Emirati players: Import and local April prices surface

Players operating in the United Arab Emirates have reported receiving new April PP prices both in the local and import markets.

According to reports given to ChemOrbis, a local Emirati producer issued $80/ton increases on their PE prices while they lifted up their PP prices by $90/ton for April. Looking at the new prices, the producer offers HDPE film at $1160/ton while they offer PP raffia and injection at $990-1010/ton on FD Dubai, United Arab Emirates, cash basis.

“Although the price hikes were expected, the local producer’s increase amounts exceeded our expectations. Usually they are more competitive than the import market levels but this month, the gap between the local producer’s prices and the import market levels has narrowed to below $50/ton. We think that this change of pricing policy might stem from the local producer’s limited quotas,” commented a player.

Meanwhile, a major Saudi Arabian producer also issued increases on their April prices. The producer lifted up their PE prices by $70-80/ton and PP prices by $100-110/ton when compared to March. Now, they offer HDPE film at $1200-1210/ton, LDPE film at $1260/ton, LLDPE film at $1230/ton and PP raffia and injection at $1030/ton on CIF Dubai, United Arab Emirates, 90 days deferred payment basis.
According to a trader, overall demand has been performing better in the market since the high season of Ramadan approaches and the rather tight supplies, especially for PP grades, continue to support sellers for further hikes.