Indian PVC players: Expected demand revival may not arrive in Sept

PVC players operating in India’s PVC market have been expressing their expectations regarding demand, which remains under the influence of the ongoing monsoon season and the GST implementation entering into force by July 1st.

Sellers were initially hopeful about seeing better demand in September in line with the end of the monsoon season; however, nowadays they mostly concur that several holidays in the September-October period including Diwali Holiday (starting on October 18 to continue for 5 days) are expected restrain the expected improvement until the end of October.

A trader in Mumbai said, “Demand remains quite slow in India given the monsoon season as well as the GST implementation and we think it will improve after Diwali Holiday.”

Another trader commented, “End-users are not in a hurry to make purchases given holidays in September and October. For this reason, we think demand will remain mostly stable in September and we will see the peak season either in the end of October or in November. It is hard for producers to make sales while traders are also unable to raise their offers further.”

A third trader said, “We don’t think demand will improve in September given the present impacts of the monsoon season and the GST implementation.”