Turkey’s PP copolymer market faces rapid hikes on tightness

PP copolymer traders reported lifting their offers further in December, blaming a lack of fresh cargos mainly from South Korea. Diminishing prompt stocks pushed the locally-held prices visibly up from last month for both PP block and random copolymer grades.

“Main Korean producers including SK Global, Hanwha Total and LG Chem are unable to offer any January shipment cargos amid a lack of container and booking space from the region. Moreover, soaring freights raised the cost of imports further,” players said. A trader is still waiting for 2 containers of copolymer that he had secured from South Korea.

No South Korean import offers were affirmed at the time of writing, while Saudi Arabian prices were reported at $1300-1320/ton CFR Turkey, subject to 6.5% customs duty, cash. “Prices posted noteworthy increases considering done deals at $1160-1170/ton back in November for dutiable origins,” said a buyer.



In the distribution channel, PPBC injection offers moved above the $1800/ton threshold to be quoted between $1800-1850/ton ex-warehouse Turkey, cash inc VAT. The range jumped $150/ton on both ends week over week, while transactions were confirmed at or close to the low end.

According to ChemOrbis Price Index, the local PPBC market has last broke above this threshold in June 2018, the weekly average data suggested.

PPRC injection offers rose to $1850/ton with the same terms with prices as high as $1890/ton being targeted by sellers due to low stocks at the time of publication.

A copolymer buyer said, “We had to pay large hikes this month when compared to our previous purchases since we fell short in supply given delivery delays from Asia.”