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HDPE operations resumed in Ukraine

September 01/2010

MOSCOW (MRC) -- The resume of film-grade polyethylene production in Kalush is scheduled for September 3 after two years of inactivity.

According to the company"s data, Kalush cracker is to start operations on September 5. Before the shutdown about 40% of Kalush HDPE was sold in Ukraine, about 30% - in Russia and the other volumes were delivered into the international markets.


In two years the structure changed in the markets, and the attractiveness of the Russian market for Kalush HDPE became much higher. To late August the difference in price of Kalush HDPE in the Russian and Ukrainian market exceeded USD 100/mt. Suspension in Kazan is expected soon, that"s why film-grade polyethylene from Kalush is going to have good perspective soon.


European producers decreased September HDPE prices for the Ukrainian market by EUR 10-15/mt. Russian producers, vice versa, elevated the prices by USD 30-50/mt.


PVC from Kalush will be supplied to the market early in 2011








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