Domestic market sees prices unchanged or increase
October Quotes on the Saudi domestic marketof this major producer were announced at flat or increased levels ranging from SAR 187/ton ($50/ton) to SAR 412/ton ($110/ton) month-on-month. This pricing strategy was predictable as most market participants had predicted similar prices, mainly due to tight supply and bullish sentiment globally.
Markets Jordan, Lebanon increase prices due to supply
New quotes from this major supplier Saudi Arabia also increased in the Middle East markets. In Lebanon, the producer’s new PE quote increased by $40-80/ton while the PPBC quote inj. increased by 90-100 USD/ton compared to the previous month. Supply has been questioned as the major producer did not supply PPH to Lebanon in October.
Latest quote in Lebanon is 1400-1410 USD/ton LLDPE C4 film, 1450-1460 USD/ton HDPE film and HDPE b/m, 1440-1450 USD/ton HDPE inj., 1600-1610 USD/ton LDPE film, and 1680-1690 USD/ton PPBC inj., CIF Beirut.
In Jordan, October LLDPE C4 film and HDPE film quotes from a major Saudi producer increased by $30-50/ton month-on-month while quotes for LDPE film were unchanged. New quotations of PPH grades from this producer have increased by about 80 USD/ton from last month while there is no supply of PPBC inj. in Jordan.
Accordingly, the October price in Jordan is 1580 USD/ton LDPE film, 1410 USD/ton LLDPE C4 film, 1430 USD/ton all types of HDPE, 1570 USD/ton PPH inj. and raffia, 1600 USD/ton PPH film and fibre, and 1680-1690 USD/ton PPBC inj., CIF Aqaba.
Quotes rose higher than expected in Egypt
Meanwhile, new quotes in Egypt by major producer Saudi Arabia have surprised market participants as the increase has been higher than most of them had anticipated.
For October, quotes HDPE film and HDPE inj. of this major producer increased sharply by 140 USD/ton while LLDPE C4 film and LDPE film increased by 230-240 USD/ton from last month. Quote PPH raffia and inj. of major producers also increased by $240/ton while PPH film and fiber quotes increased by $200/ton. PPBC and PPRC prices inj. an increase of about 170-180 USD/ton compared to September.
Producers return to Nigeria with high prices
In September, the major Saudi producer skipped regular shipments to Nigeria, because of supply and logistics issues; and only quotes from Indian and Korean manufacturers. However, new PP and PE quotes from this major producer were announced this week and continue to rise above previous prices.
The latest import quotation in Nigeria is 1750-1760 USD/ton PPH raffia and inj., 1780-1790 USD/ton PPH film and fibre, 1850-1870 USD/ton PPBC inj., 1620 USD/ton PPRC inj. 1800-1820 USD/ton LDPE film, 1480-1490 USD/ton LLDPE C4 film, 1520-1530 USD/ton HDPE film, 1500-1510 USD/ton HDPE b/m, 1470-1490 USD/ton HDPE inj., all under the CFR Lagos method, excluding 10% customs duty.
Most PP, PE quotes in October go up in China
In the Asian market, an agent of a major producer Saudi Arabia said that the producer has increased its October PE and PP quotes for China , excluding HDPE film, largely due to demand for the material. This product is weaker.
Quotations by these major producers to the Chinese market have increased by $150/ton LDPE and $60/ton LLDPE and PPH raffia. According to the report, the major producer has enough allocation for October.
