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Temporary trouble in Russian film-grade HDPE market

July 21/2010
MOSCOW (MRC) -- In late June first signs of film-grade HDPE deficit appeared in the Russian market. July hasnt improved the market situation; however, PE prices remained without changes according to MRC Price reports.
Temporary trouble in Russian film-grade HDPE market In late June Russian converters have faced certain difficulties in film-grade HDPE purchase. Seasonal demand increase in conditions of declining domestic production has led to tight supply of film-grade material in the market. Price offers for film-grade HDPE were fluctuating in the range of RUB 54.000 55.500/mt at the end of the month, including VAT, FCA. Besides that, the first volumes of film-grade Salavatnefteorgsyntez polyethylene appeared in the market in late June.

In July PE production was suspended at Stavrolen due to technical problems. Also Salavatnefteorgsyntez was forced to shut down HDPE and LDPE production due to accident at ethylene supply at the beginning of the month. However, improvement is expected in the Russian market next two weeks. Kazanorgsyntez and Nizhnekamskneftehim are going to increase domestic shippings, Stavrolen and Salavatnefteorgsyntez are going to resume the production. Current price offers for small available film-grade HDPE volumes fluctuate depending on a region in the range of RUB 55.500 57.000/mt, including VAT, FCA. Price for future volumes is on the average level RUB 53.500 54.500/mt.

 

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For more information please refer to MRC Polyethylene in Russia Price reports.

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