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HDPE deficit pushes the prices up

June 14/2010

MOSCOW (MRC) Temporary absence of production of several HDPE grades in conditions of permanent demand has led to deficit in the market. To the end of last week prices for film-grade 273 HDPE went up to the level RUB 55.000 56.000/mt according to MRC Price reports.

 

HDPE deficit pushes the prices up

Lack of film-grade and 273 HDPE appeared due to Russian PE producers production plans for May June and growing demand in the market. Also the situation was aggravated by temporary technical problems at Stavrolen. As a result, on Friday some companies suspended sales of film-grade HDPE.

 

Prices for film-grade material in Moscow have reached the level RUB 55.000 55.500/mt, including VAT, FCA. Some market participants expect further price increase.

 

The situation in 273 HDPE market is more serious. Production of 273-83 PE grades in June at Kazanorgsyntez capacities isnt expected. Temporary technical problems at Stavrolen have led to delay of terms of HDPE supplies into the domestic market. Price offers have reached the level RUB 55.000/mt, including VAT, FCA Kazan, or RUB 56.000/mt, including VAT, FCA Moscow.

 

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For more information about Russian  HDPE market please refer to MRC Price reports.

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