Turkey’s locally-held PP, PE markets cool off on thin trade

Distributors in Turkey’s locally-held polyolefins markets adopted relatively flexible pricing policies this week, aiming to speed up their sales considering slowing buying appetite heading towards the end of April.

In the PP market, locally-held homo-PP raffia offers were quoted between $1370-1450/ton ex-warehouse Turkey, cash inc VAT. The range dropped by $50/ton on the low end week over week. The PP injection range also eased $20/ton to stand at $1430-1480/ton with the same terms.

A distributor reported on Friday that he was able to get $1400/ton for some prompt Indian PP injection, although this level was not widely confirmed by other sources at the time of press. “Some sellers who were offering PP raffia at $1440-1450/ton earlier in the week conceded to $1400/ton later,” said a big bag maker who purchased some material at this level.

In the PE market, locally-held prices were pegged at $1670-1700/ton for LDPE, at $1520-1580/ton for LLDPE and HDPE film and at $1500-1580/ton for blow moulding ex-warehouse Turkey, cash inc VAT. There were decreases from $20/ton to $50/ton within the ranges amidst lower adjustments from some sellers given poor buying interest.

“PP and PE prices are seeing some corrections already since stagnant end product markets are weighing down on raw material prices. Plus, several converters met their requirements earlier in March and April and are now claiming to be covered until June. Therefore, some distributors prefer to destock,” a distributor commented. Another distributor said that he may step back from his PP and PE offers next week if demand remains poor.

No supply concerns have been voiced for local PP and PE recently amidst quiettrade. There are rumors in the market that Petkim has resumed deliveries for LDPE, which was said to be tight in terms of availability in April.