Rubber glove makers to gain from lower rates

Tariff rebate: There will be lower cost pressures on major glove players in the short-term as energy costs account for 10-12 of total costs, says PublicInvest. – Bloomberg

PETALING JAYA: A reduction in natural gas tariff rates from January to June 2017 is expected to benefit the rubber glove players as energy costs account for 10%-12% of total costs, according to analysts.

Gas Malaysia Bhd had announced that the Government approved the revision of the natural gas tariff for the non-power sector in Peninsular Malaysia from Jan 1, 2017 to Dec 31, 2019.