Import and local prices emerge firm in Nigeria’s PP, PE markets

The country’s local producer, ELEME, announced January offers with increases. Prices from the producer have been on a firming spree for six months in a row. The depreciation of the local currency against the USD also adds to the producer’s efforts to raise list prices. PE offers were reported with NGN110,000-110,200/ton ($124/ton) increases while PP prices gained NGN80,000-110,800/ton ($90-125/ton) when compared to December levels.

According to media sources, Nigeria’s Naira is set for its worst year since 1999. Analysts predict further depreciation for the currency in 2024. Also, the country is currently battling its highest inflation in two decades.

January offers are currently at NGN1,560,000/ton ($1943/ton) for LLDPE, NGN1,562,000/ton ($1946/ton) for HDPE film and inj., NGN1,574,200/ton ($1961/ton) for HDPE b/m, NGN1,624,000-1,685,000/ton ($2023-2099/ton) for PPBC, NGN1,583,300/ton ($1972/ton) for PPH raffia and NGN1,562,600-1,613,800/ton ($1947-2010/ton) for PPH inj., all on ex Port Harcourt city, cash basis.

In the import market, January PE offers surfaced with $30-40/ton increases while PP prices were unchanged from initial December prices. This sentiment shift followed the big price decreases in December.

“Business activity across the country is stumbling amid rising prices and hiking exchange rates. The market is still affected by the holiday mood, and it’s yet to resume normal operations as some buyers are still traveling,” opined a local source.

Prices stand at $1060-1080/ton ($1166-1188/ton Inc duties) for LDPE, $1040-1060/ton ($1144-1166/ton inc duties) for LLDPE, $1030-1050/ton ($1133-1155/ton inc duties) for HDPE film, $1080-1100/ton ($1188-1210/ton inc duties) for HDPE b/m and inj., $1040-1050/ton ($1144-1155/ton inc duties) for PPBC, $1130-1140/ton (1243-1254/ton inc duties) for PPRC, $1010-1030/ton ($1111-1133/ton inc duties) for PPH raffia and inj., $1040-1060/ton ($1144-1166/ton inc duties) for PPH fibre, all on a CFR Nigeria, cash, subject to 10% customs duty basis.