Last weekend's artificial rain has bought little cheer for Bulu and other rubber planters in Jino town of Xishuangbanna, southern Yunnan, as output continues to be severely affected by the prolonged drought in the region.

With dark despair in his face Bulu said that his 3.5-hectare rubber plantation has been ravaged by powdery mildew, a disease wherein rubber trees shed leaves and latex production slows. So much so that Bulu fears that output this year could plunge nearly 30 percent.

Xishuangbanna, the second-largest rubber growing area after Hainan province in China, has 246,000 hectares of rubber trees and the cash crop provides much of the income for local farmers.

Local government officials maintain that the shortfall in output has resulted in losses of over 180 million yuan ($26.37 million) for the region as of March.

There are around 30 private rubber manufacturers here and most of them have ceased production, as the crop requires huge quantities of water.

"The average price of rubber has soared to 24 yuan per kg from 14.6 yuan per kg last year," said Gong Sixiao, manager of Xing Hong Rubber Factory.

With trends indicating a shortfall of rubber worldwide, prices have increased sharply in most of the international market.

Rubber advanced to its highest level on March 29 since September 2008 as supply in Thailand, the world's largest exporter, is expected to decline.

Futures in Tokyo rose as high as 312.3 yen per kg ($3,373 a metric ton). The price has advanced nearly 13 percent this year.

But with drought playing havoc in the growing regions, China, the largest natural rubber importer, will have no other choice but to import the commodity from abroad, say analysts.