Cotton key driver for PET feedstock price hike trend in Europe

ARTIMINO (ICIS) -- A lack of cotton is driving up the value of purified terephthalic acid (PTA), the feedstock for cotton substitute polyethylene terephthlate (PET), speakers at a PET industry forum said on Thursday.

⌠The polyester industry has to pay more (for PTA). Cotton is too high and I wouldn't be surprised if PET rates were cut for lack of (PET's feedstock,) PTA, commented Global Service International's (GSI) CEO Francesco Zanchi.

The recent flood in Pakistan has destroyed the cotton crop, not only for now but for the foreseeable future, Zanchi added.

Worldwide polyester growth was estimated at 3m tonnes/year. Add to that a further half a million tonnes as substitution for the lack of cotton and that translates to 3m tonnes of PTA and 2m tonnes of paraxylene (PX), the main PTA feedstock, said Sanjay Sinha of Reliance.

Speakers at the meeting warned that higher feedstock costs would lead to more expensive PET.

⌠The price of PET will go up in dollar terms no doubt and in a substantial way...Today is the lowest price for the next six months at least, Zanchi said, urging customers to buy product while they could.

MRC

(PlasticsToday) -- Beverage coolers supplier Frigoglass has paired with Coca-Cola Recycling LLC to convert post-consumer polyethylene terephthalate (PET) beverage bottles into beverage cooler components.

According to Tom Jezior, director key accounts, Frigoglass North America, the recycled PET comes from specially processed post-consumer bottles. "Our collaboration with Coca-Cola Recycling set the base and supported us in order to use virgin and recycled PET to create a combination that has the appropriate properties for both extrusion and injection processes," Jezior told PlasticsToday.

According to Jezior, the components, which will have some recycled content, will be injection molded and thermoformed. "Our first step was to get to a level that enabled us to substantiate this technology," Jezior said. "Since that was achieved, we see great potential in extensive use of R-PET in plastic components."

MRC

(Arkema) -- Arkema has announced the acquisition of French company PIEZOTECH which designs and manufactures electroactive fluorinated polymers. These specialty polymers will soon have high added value applications in many sectors, including robotics, aerospace, textile, automotive and electronics.

PIEZOTECH was established following a technology transfer from Institut de Recherche Saint-Louis. It designs and markets films and sensors from electroactive fluorinated polymers and copolymers, all manufactured using a unique process.

These polymers have the ability to undergo deformation under an electric current, and conversely they convert a mechanical force into electrical energy. Another of their characteristics is their ability to store and restore energy.

A global chemical company and France's leading chemicals producer, Arkema produces state-of-the-art specialty chemicals. With operations in more than 40 countries, 14,000 employees and seven research centers, Arkema generates annual revenue of ┬5.5 billion and holds leadership positions in all its markets.

mrcplast.com

(NatureWorks) -- Using a new Ingeo blend formulation, Polenghi LAS (Italy) has developed Europe's first extrusion-blow-molded biobased bottle, Polenghi LAS and NatureWorks LLC reported.

By switching from polyolefin resin to bioplastic for packaging 10 million bottles its new juice, Polenghi will conserve 1,000 barrels of oil and reduce CO2 emissions by 126 tons compared to an equivalent oil-based plastic squeeze bottle.

Polenghi's achievement demonstrates the first European commercial introduction of a low-environmental impact and renewably sourced bioplastic substitute for polyolefin resins in extrusion-blow-molding applications. This bioplastic also offers stable pricing compared to the volatility experienced in the petroleum market.

Polenghi is a family group involved in food and juices manufacturing with 4 facilities in Europe since 1976, exporting in 50 countries in the world.

mrcplast.com Справка Маркет епорт

In mid September LDPE plants in Kazan and Salavat were closed for maintenance. In this connection some market players expected gap in the domestic market and as a result price rise. But the expectations were not realized. Despite the continuous reduction of Kazan and Salavat polyethylene offer there is still a sufficient number of other producers of the material. The prices have remained unchanged for a considerably long time and they are within the range of RUB57.000-60.000/mt, VAT included, FCA, for the 158th LDPE.

At the same time, September LDPE market steadiness was provided by the reduction of export shipment and considerable deliveries from Belarus. To compare - in August the total PE export was 12 000 t, in three weeks of September shipments to the external market were reduced to 1.5 thousand tons. Also early October planned shutdown of LDPE plant in Novopolotsk (Belarus) should be taken into account, this may impact the volume of deliveries to Russia.

By October LDPE external markets situation became more favorable for the Russian fabricators. Reasonably high level of prices and deficit is now in the markets of Asia and South America. Some Russian fabricators have already announced their intention to increase the PE export in October. And the projected further quotations growth in the external markets may only increase the exports appetites of the Russian manufacturers. Similar situation happened in the beginning of the year when big export shipments resulted in deficit in the internal market and as a result price rise.

A more detailed information - in Price market reports Polyethylene in Russia.

MRC