Polymer Prices in Iran Far Away from Free Market Trend
Today Sunday Aug. 5th., like other Sundays, the PDID Office of NPC announced the base prices of polymers and other chemicals for the week ahead till Aug. 12th. 2018.
According to the Plastics Industry Magazine (PIM) report, the market for petrochemical products is still suffering from many problems and disasters. Among it, one can mention the issue of smuggling of polymer materials to neighboring countries, hoarding, the bad mechanism imposed at Iran Mercantile Exchange, the terrible price gap between stock exchanges and the free market, and so on. However, in the last week, despite the fact that most of the prices of polymers were experiencing a downward trend globally, the situation in Iran was the opposite.
What we guess is that, this approach was an effort to make the free and the commodity markets closer to each other. With this view last week the authorities dropped their formula and raised all the polymeric materials’ prices in a relatively noticeable manner. Expecting this trend to be continued was a wrong approach, as this week the PDID office surprised the experts by once again turning to its conventional formula. The prices defined that the discovery of the prices of polymer materials by combining two factors of global price changes of polymers, as well as changes in the exchange rate of Rial and US$.
As of this approach, the SBR 1502 with a growth of 3.5%, rose the most to the base price, reaching a final price of Rials 79.716, which is an increase of about Rls. 2700. Subsequently, 641 and 645 bottle grades of PET grew by 2.3 percent, up by 1200 Rls./Kg., while the brokers enjoy an extra surplus of about Rls. 200.000 by selling the same material in the free market. The rest of the variations were incremental and well below 1%, among which one may point to the PS 7204 resin with only 0.8% price increase, that ranked third the material among the various types of products and polymer grades.The types of grades in the PVC group, with only 0.2% growth, recorded the lowest price growth this week.
The following table shows all new prices and its comparison with that of July. 29th.
|US$ Value||43878||44088||+210||+ 0.5|
|EPS 200 / 300||66317||–||–||+ 0.6|
|EPS 400||64440||–||–||+ 0.6|
|GPS 1540||64745||–||–||+ 1.3|
|HDPE Blowing (BL3 / 0035)||56597||56539||-58||– 0.1|
|HDPE Extrusion (EX3/PE80)||62322||61871||-451||– 0.7|
|HDPE Extrusion (PE100)||63280||62641||-639||-1.0|
|HDPE Film (X5 / F7000)||56450||56380||-70||– 0.1|
|HDPE Injection (HI500 / 52518)||50125||49116||-1009||– 2.0|
|HDPE Rotational (3840)||52315||51262||-1053||– 2.0|
|HIPS 7240||75895||76500||+605||+ 0.8|
|LDPE Film (190 / 020 / 0075)||51832||51797||-35||– 0.1|
|LLDPE 209AA||49745||49915||+170||+ 0.3|
|PET Bottle G781||59647||59909||+262||+ 0.4|
|PET Bottle G785||57940||58194||+254||+ 0.4|
|PET Bottle G821||62456||62730||+274||+ 0.4|
|PET Bottle G825||60693||60960||+267||+ 0.4|
|PP Inj. (MR 230)||62411||61515||-896||– 1.4|
|PP Textile (R552 / Z30S)||56180||55255||-925||– 1.6|
|PVC S7054||45780||45872||+92||+ 0.2|
|PVC S57||45780||45872||+92||+ 0.2|
|PVC S60||44983||45074||+91||+ 0.2|
|PVC S65||41799||41883||+84||+ 0.2|
|SBR Bright 1502||77032||79.716||+2684||+ 3.5|