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Indonesian producer revises local PP, PE offers, restarts PP plant

by ChemOrbis Editorial Team -
  • 05/12/2016 (16:30)
A trader in Indonesia reported that a local producer started this week with PP decreases while keeping their PE offers unchanged from their most recent levels, except for an increase on HDPE film.

The producer lowered their prices for PP grades by IDR270,000/ton ($20/ton) and raised for HDPE film by IDR 60,000/ton ($4/ton).

Accordingly, the producer’s offers currently stand at IDR16,890,000/ton ($1243/ton) for raffia and injection, at IDR17,470,000/ton ($1285/ton) for coating, at IDR17,090,000-17,770,000/ton ($1257-1307/ton) for film and at IDR17,350,000/ton ($1276/ton) for BOPP, all on an FD Jabodetabek, Indonesia, cash basis.

The producer’s local PE prices are reported at IDR17,010,000/ton ($1251/ton) for LLDPE film, at IDR18,790,000/ton ($1382/ton) for LLDPE injection, at IDR15,990,000/ton ($1176/ton) for HDPE film and at IDR17,110,000/ton ($1259/ton) for HDPE pipe all on an FD Jabodetabek, Indonesia, cash basis.

Meanwhile, a source from the Indonesian producer reported that they have restarted their PP plant with a capacity of 480,000 tons/year following two weeks of planned maintenance in November. “For December, we don’t expect increases on PP and PE prices due to oil production cuts since demand is not improving and supply is getting to normal levels with our restart. Half of the production cut is from non-OPEC members, therefore we think that the feedstock costs may be influenced but it won’t be reflected to prices as hikes immediately,” the producer source commented.
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