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Import of pipe HDPE to Russia decreased by 9%

April 13/2012

MOSCOW (MRC) Ц Due to the bad weather in the beginning of the year, Russian companies reduced the imports of pipe polyethylene. In Q1, the imports of pipe HDPE to Russia made about 16,800 tonnes, down 9% year on year, according to MRC analysts.

In March, the imports of pipe HDPE to the Russian market were reduced to 5,600 tonnes, a month earlier this figure was about 6,100 tonnes. The reduction of imports resulted from unfavourable weather (cold February and March), and as a consequence, poor sales of the finished product. Also, insufficient funding from the State contributed to the situation.

In general, over the three months, the total imports of pipe HDPE to Russia made about 16,800 tonnes, 9% down year on year. Russian companies prefer to purchase Asian and Middle Eastern PE (Korea Petrochemical, SCG Chemicals and Sabic).

In mid-March, Kazanorgsintez due to technical problems temporarily halted its production of black PE100. The production of pipe material was resumed only in the beginning of this week. Since December Stavrolen has closed down the operations. Until that time this plant supplied to the domestic market large volumes of PE80. Other Russian producer Ц Gazprom neftekhim Salavat also had technical problems with production. However, the decline in the supplies of pipe HDPE from domestic and foreign producers did not affect the market.

The price quotation of the Russian black PE100 was at Rb69,200-69,700/tonne, including VAT, CPT Moscow. Coloured PE80 was offered on average for Rb67,000-68,000/tonne, including VAT, CPT Moscow. Uncoloured Russian PE100 this week was offered on average for Rb64,500-65,500/tonne, including VAT, CPT Moscow. Purchasing activity over the two weeks was low, due to bad March, many local pipe producers do not hurry to replenish their inventories.

Author:Anna Larionova
Tags:PE, HDPE.
Category:General News
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