PP sellers push for further hikes in Turkey, demand remains thin
In the raffia market, Middle Eastern offers are reported at $1040-1050/ton CIF, cash, subject to 6.5% duty. This would make an increase of $30-40/ton based on the latest deals concluded right before the Eid holiday at $1000-1020/ton.
Sources from the Middle Eastern suppliers argue that their allocation to Turkey had already been limited. “Based on the netback to China, our offers to Turkey should be at $1050/ton at the minimum,” argued a trader.
An Indian producer also lifted its offers by $30-40/ton when compared to the week before the holiday to $1070/ton CIF Turkey, subject to 3% duty, cash.
In the fibre market, Middle Eastern offers are reported at $1040-1080/ton CIF, cash, subject to 6.5% duty, implying a weekly increase of $30/ton on the high end. Duty-free Egyptian PP fibre was also dealt at $1140/ton DAP, cash, showing a $40/ton increase when compared to last month.
“Buying interest from fibre buyers remains quite muted. As they already met their requirements, they are all waiting and showing resistance to new higher levels,” said a trader.
A seller also said, ““It is true that buyers have built some stocks already. However, I still feel they will be back to the market as their stocks are not high enough to keep them on the sidelines.”
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