Rubber output from key growers will probably increase to its highest level in at least nine years in 2013 on rising productivity and replanting programs, said the Association of Natural Rubber Producing Countries.

Production from members, representing 92 per cent of global supply, may climb to 11.1 million metric tons from an estimated 10.863 million tons this year, Secretary-General Kamarul Baharain Basir said at a conference today. Output will advance to 11.8 million tons in 2014 and reach 14.4 million tons in 2018.

Rubber has rebounded 26 per cent from a near three-year low in August. Thailand, Indonesia and Malaysia, which represent about 70 per cent of world supply, agreed to curb shipments, starting Oct. 1, and cut down aging trees, removing from the market a total of 450,000 tons.

The countries will reduce exports by 180,000 tons this quarter, the International Tripartite Rubber Council, representing the nations' state agencies and exporters, said Aug. 29.

Production is driven by government-backed programs to boost productivity and replant aging trees, Basir said in Medan, Indonesia. "Rubber prices are also a driving factor."

The group revised up its 2012 output forecast on Oct. 8 to a 5 per cent gain to 10.863 million tons from a previous forecast of a 4.7 per cent rise to 10.833 million tons. Production rose 8.7 per cent to 10.342 million tons in 2011, ANRPC data show.

Rubber for March delivery climbed as much as 1.1 per cent to 262.8 yen a kilogram (US$3,337 a metric ton) before settling at 260.7 yen on the Tokyo Commodity Exchange. The most-active contract dropped to 205.6 yen on Aug. 14, the lowest since October 2009. -- Bloomberg