The All India Rubber Industries Association (AIRIA) is diligently gearing up for the India Rubber Expo 2024 (IRE 2024) – to be held from March 20-22, 2024 at Bombay Exhibition Center, Mumbai - aiming to make it a benchmark event. While the Indian rubber industry exhibited resilience in 2023 amid the global turmoil, the industry anticipates a gradual recovery in 2024 fuelled by increased domestic procurement and infrastructure projects. In this interview, Vishnu Bhimrajka, Chairman & Chief Convener, IRE 2024, and Director, Polmann India Ltd, outlines the importance of value-added rubber products, government initiatives, and industry collaboration.

AIRIA is working tirelessly to ensure that India Rubber Expo 2024 becomes a benchmark event for the rubber industry. We are focused on creating a platform that fosters collaboration, showcases technological advancements, and addresses key challenges faced by the industry. Our efforts include strategic partnerships, engaging relevant stakeholders, and curating a comprehensive agenda that reflects the current needs and future potential of the rubber sector.

IRE 2024 is set to surpass previous editions in terms of innovation, collaboration, and global participation. Key highlights include specialised sessions on emerging trends in the International Rubber Conference, more than 90 per cent stalls booked as bare (which is a rare occasion for exhibitions), etc. IRE 2024 will draw crowds as the expo will feature cutting-edge technologies and a robust international presence. The expo will provide a unique opportunity for networking and big business through the Reverse Buyer and Sellers Meet (RBSM) you can forge long-term connections with original equipment manufacturers and government bodies. Connect with biggest procurement companies like Indian Railways, DRDO, ISRO, Indian Navy, etc in a one-to-one interaction. 

The Indian rubber industry faced challenges in 2023 due to global uncertainties and disruptions. However, the industry showcased resilience and adaptability. Looking ahead to 2024, we anticipate a gradual recovery as the global landscape stabilises. Key factors like increased domestic procurement by government PSUs and ongoing infrastructure projects will contribute to a positive trajectory for rubber industry. On the rubber machinery front, the machinery players have experienced improved domestic footprint with some players achieving an export to domestic ratio of 60:40. 

On the rubber plantations front, Rubber Board is doing a great job by increasing and exploring more avenues for plantations in the Northeast region. India also exports to nations like Vietnam, Cambodia etc species of rubber plants which are grafted and grown in controlled environment in the private nurseries in Kerala. 

Value-added rubber products play a pivotal role in the manufacturing industry for several reasons: They enable diversification of product offerings, enhance performance and functionality, and contribute to supply chain efficiency. Moreover, adherence to regulatory standards, cost-efficiency, and adaptability to customisation make them indispensable for manufacturers aiming to stay competitive and innovative. 

The recently introduced Quality Control Orders (QCOs) for 24 footwear products is in the direction to improve quality of rubber products. These QCOs were implemented for large and medium enterprises from July 1, 2023, while for the small and micro units it is applicable from this year January 1, 2024.

The Indian rubber industry confronts challenges such as competition from cheaper imports, outdated technology, escalating raw material costs, adherence to BIS specifications, limited innovation adoption, and aging industry tools. Addressing these challenges requires a collaborative approach, technological upgrades, and a commitment to industry best practices. 

Further, government has also tried to put in efforts to raise and nurture industries through PLI Schemes. But, in case of rubber, the companies are smaller in size and many in number which does not meet classifications. Importantly, harmonising PLI Schemes according to the needs of rubber industry can solve this issue and AIRIA is working on the same with government. 

Moreover, the rubber industry is sailing through challenges of climate change and adverse weather conditions such as flash floods, excessive rainfall etc which demands for security through insurance schemes. The state of Kerala is also working towards giving compensation to the ones affected by including the rubber crop as an agricultural commodity thereby qualifying it for schemes of state government.

Makers of value-added rubber products have a multitude of opportunities across diverse sectors. In automotive industry, due to lightweighting being the trend, lightweight rubber products have a sea of opportunity. Defence industry has now opened up for private companies in a big way which has specialised application areas such as rubber bullets, anti-vibration solutions, rubber tracks, and radiation-proof seals to name a few. Silicone rubber, known for human implants, offers versatile applications. Vande Bharat trains and Metro coaches being expanded across the country drive demand for specialised applications. Government PSUs favouring domestic industry presents a significant growth factor. 

Key trends in the rubber industry include a surge in raw rubber imports due to exponential consumption, growing export surplus, and a focus on technological advancements. Observing the trends in ‘HSN 40’ of exports and imports, we foresee an increased emphasis on meeting domestic demands through innovation and efficiency. Natural rubber production in India is growing year-on-year and Rubber Board has taken initiatives to build and expand plantations of specific rubber types in the North-eastern region, which has similar terrain like the state of Kerala which dominates in the rubber production in India. 

One of the new trends seen recently is that of industries getting listed on share market. This helps in a dual way; one as the trust of the company procuring material can view their performance publically and the company can raise capital easily. 

As we approach India Rubber Expo 2024, my message to the industry is one of optimism, collaboration, and resilience. Let's seize the opportunities presented by the changing global landscape as every challenge brings big opportunity. I would like the rubber industry to take leverage of government schemes by understanding them in detail. AIRIA is doing its part by holding free seminars, conferences which serves as a primary platform for such information exchange. 

IRE 2024 will also give a platform for collective growth, and I encourage all stakeholders to actively engage, learn, and contribute to the success of this pivotal event. I seek more and more participation in the India Rubber Expo 2024 in Mumbai so that we connect and go ahead collectively as an industry.