Algerian trader: Buyers opt for off-grade materials
According to him, overall demand remains slow and the depreciating local currency against the US dollar is one of the reasons that the decreases issued in July did not do much to improve buying interest.
“For example, the July import HDPE prices had been announced with $30-40/ton decreases from June. However, given the devaluation of the Algerian dinar against the US dollar, distributors could not reflect these import declines to their locally held offers much. High exchange rates caused the decrease amounts to be minor,” he stated.
Considering the current situation of weak demand, players’ struggles amidst the economic weakness and the fact that the Algerian market was trading at much higher levels than Asian markets, he expects to hear declines on August prices.
“Buyers have been minimizing their purchases and traders did not import much either in July. This situation led to some tightness in the distribution market and helped lift up locally held prices during the month. However, in August, we anticipate adequate decreases in the import market and we anticipate these decreases to be reflected onto local market levels as well,” he commented.
More free plastics newsPlastic resin (PP, LDPE, LLDPE ,HDPE, PVC, GPS; HIPS, PET, ABS) prices, polymer market trends, and more...
- Turkey’s PE market stuck between weak fundamentals and up pressure from China
- Firming PP trend falters in China’s local market
- European players question if bottom is near for PE
- Asian ABS players turn cautious after recent rally
- July PVC dealt lower in Europe, what lies ahead for August?
- China’s Jan-May total polymer imports hit a record of nearly two decades
- India’s local PVC market soars to 6-month high after customs hike
- China’s export PET market faces correction after rising 10% from two-year-low
- Spot propylene moves in opposite directions in Asia and Europe
- European PS hits year-to-date low on July drops