Producers announce polyolefin price increases again
Customers often wait until the second week of the month to make purchasing decisions. They want to have a complete picture of the market
Customers often wait until the second week of the month to make purchasing decisions. They want to have a complete picture of the market
The end of September has seen increased demand for polyolefins compared with the middle of the month in the Polish market.
According to Chem-Courier’s data, PE prices gained €30 - 60/t week on week depending on the grade, or €70 - 125/t month on month, in Europe last week. However, this had no effect on demand.
Film LDPE grades, especially those with MFI=0.3, have been unavailable on the Polish market this week.
According to Chem-Courier’s data, the Polish polyolefin market was awaiting the announcement of new prices last week.
PE and PP supply has tightened in the Polish market this week. It was nearly impossible to get the material from polyolefin producers for two weeks prior to this one, and now it is getting increasingly more difficult to buy it from traders as well.
A reported shortage of polyolefins in Poland has caused panic among converters.
"Many customers are interested in prices and will most likely start restocking in August" - a market participant said.
Demand has reportedly been steady in the last week of July. "We still see weak demand for polyolefins in Poland; still, some companies decided to build small stocks due to a predicted price increase" - a trader has commented.
The situation has begun changing in the Polish polyolefin market. PE and PP producers are reducing their capacity utilisation or storing their products while refusing to sell large quantities of the commodity to traders and converters.
Demand for injection PE has strengthened this week, according to Polish traders. ‘We get the most enquiries for injection HDPE and LDPE and the fewest requests for PP homopolymers from converters,’ one of the market players has reported. Converters that make products from PP complain about limited polymer availability.
The situation has been unclear in the Polish polyolefin market in the first week of July. Traders have informed that converters are actively asking for quotes, but few of them are buying the commodities. Converters of polypropylene, its copolymers in particular, are the most active.