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EPS prices in the Russian market to grow considerably by late February

February 08/2011

MOSCOW (MRC) -- Reduction in EPS stocks as well as limited imported supplies will result in considerable growth of prices for the product in the Russian market by the end of February, according to MRC analysts. 

Imports supplies of EPS to Russia essentially decreased at the end of last year. The Russian companies expected release of domestic Alphapor PS in the Russian market. But SIBUR-Himprom doesnt show the declared result while the reduction of import material stocks had resulted in EPS deficit in the Russian market.

At the same time the political crisis in Egypt brought its corrections to the geography of supplies to Russia. Supplies of materials from China, the main importer of EPS to Russia, are limited. Logistic chains alternative to Suez Canal result in considerable growth of price for shipment.

Above mentioned factors as well growth of world oil quotations and, as a result, growth of prices for EPS over the last month in Asia by USD 80/mt allow to forecast the rise of prices for EPS in the Russian market minimum by 4.000-5.000 RUB/t by late February.

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