NATURAL RUBBER MARKET AND ECONOMIC VIABILITY OF RUBBER TREE CROP IN BRAZIL

This paper aims at putting natural rubber market in Brazil in context and analyzing the economic viability of rubber crop. We used statistical data obtained from government institutions. We also searched specialized bibliography and talked to experts, associations and producers of natural rubber. For the evaluation of economic viability the main data source was obtained from Santa Helena Farm and Usine, the first one to produce natural rubber in Sao Paulo State. The results show that it is necessary to invest in order to promote production growth, so that the country gets self-sufficiency of natural rubber. The national market is strongly influenced by international market fluctuations. It was possible to conclude that investment in the natural rubber production from rubber tree is economically viable with Net Present Value (NPV) R$ 4,405.07/ha; Internal Rate of Return (IRR) 10.82 %; Benefit-Cost Ratio (BCR) of 1.16 and Equivalent Periodic Benefit (BPE) R$ 416.36/ha/year.