Rubber plantation acquisitions a possibility for Apollo

Management at Apollo Tyres are considering the purchase of rubber plantations as a potential means of countering ever increasing rubber prices. On May 27, the tyre maker’s vice-chairman and managing director Neeraj Kanwar told Indian publication The Economic Times that “as far as buying rubber plantations, or for that matter any kind of backward integration, is concerned, we are always open to possibilities depending upon the need of the hour.”

Kanwar added that Apollo is also reviewing contracts with suppliers to ‘correct’ rubber prices and is working to offset high rubber prices by maintaining a leaner and more efficient inventory and greater production efficiency.

Related news:

• Indian trucking organisation threatens Apollo boycott

• Multistrada to run rubber plantation