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PP demand in Ukraine back to pre-crisis level

June 25/2010
MOSCOW (MRC) Ukrainian polypropylene (PP) market gradually returns to pre-crisis level. Estimated PP consumption in Ukraine over the course of January May 2010 16% increased comparing with same period last year according to MRC Monthly reports.
PP demand in Ukraine back to pre-crisis level


Increase of consumption promoted the reduction of exports (-35%) and imports elevation (+11%). Ukrainian imports into Turkey went down by 56% this year, and in two last months the supplies there were totally absent. Exports into Russia were minimized.

At the same time, just from Russia was the most significant increase of imports (+79%). This year share of Russian material in the Ukrainian market forms 33%. Only in April May Russian imports were small (about 1 kt in two months). The main cause was the deficit in the Russian market due to suspensions of the biggest PP producers. High price level was a disadvantage of Russian polypropylene.


May appeared to be a strict month for Ukrainian PP market. Long-term Linos suspension for the maintenance has seriously limited the supply of Ukrainian material. The resume is expected on June 26 27. In June the production, as per experts, should form around 1 kt.


For more information about PP market please refer to MRC Monthly reports.


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