Cost rises weigh on glovemakers

PETALING JAYA: The plunge in global rubber prices to almost a five-year low currently may seem like a boon to many rubber glove manufacturers given the cheaper raw material that represents nearly half of their total production costs, which could result in better profit margins in the coming quarters.

This notion, however, is quickly dismissed by local rubber glove makers, which of late had to succumb to other cost increases such as the electricity and gas tariff hikes this year, as well as the minimum wage policy.