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LDPE: limited production restrains fall of prices in Russia

October 28/2010
MOSCOW (MRC) -- By the end of October the prices for LDPE from separate Russian producers went down but there was no sharp fall in prices connected with the renewal of two productions, according to MRC Price market reports.

In mid-October along with renewal of LDPE production at Kazanorgsintez, Salavatnefteorgsintez and Polymers Plant in Angarsk after scheduled maintenance, many marketers expected sharp fall in prices. But the market didnt see total fall, moreover the prices for some positions remained unchanged.

The Russian producers renewed PE production after maintenance but not in full. Kazanorgsintez loaded only half of its capacities because of the problems with ethylene. There are no LDPE supplies to the domestic market from Polymers Plant in Angarsk because of technical problems.  PE supplies to Russia from the Belorussian producers are not considerable. 

Absence of LDPE 158 supplies to the domestic market from Kazanorgsintez restrains the fall in prices though some producers lowered the prices. This week a slight growth of buying activity is observed in the market. Converters renew material assets before state holiday early November.  Price offer for LDPE 158 depending on the producer is within the range 56.000 59.000 RUB/t, including VAT, FCA.

For more detailed information, see Price Reports Polyethylene in Russia .

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