Polymer Prices In Iran Is Moving In-Line With The Global Market

Today on Sun. Sept. 22nd, 2019, the PDID Office of NPC announced the new base prices for official sales of polymers. The announcement showed that almost all prices have been increased. Though, the massive rise in the base price of polymers in the Iranian in-line with the global market was predictable.

In this week with the stability of the US$ Value, the global prices have been more influential in the formula for the discovery of the polymers’ basic prices and other petrochemical materials. This led to the growth of polymer prices in the Iranian market.

The value of the US$ rose just Rials 71 in comparison with that of last week, which is a small amount to ignore. In the other words, the nominal value of US$ today recorded only a 0.06 percent increase, and in such circumstances, global price changes are the second most important price calculation factor in the Iranian market.

Though, following the global pattern of prices, the prices of the materials in the Iranian polymer market also increased, but the slope of price growth in the Iranian market was not as high as in other Asian markets. The reason is also clear; Iran’s petrochemical feed-stock is not dependent on foreign sources, including Saudi Arabia.

This stability has led to only the prevailing psychological climate in the world markets affecting Iran’s basic prices, lifting them out of the downward phase after eight weeks and raising them again.

One of the major consequences of this price increase for the Iranian polymer market is that polymers may face a serious decline this week, as many commodity traders will wait for the psychological consequences of the attack on Aramco to subside to shipment. Take their cows to their warehouses at cheaper prices.

Under such circumstances, it is expected that the buyers of materials from stock exchange only buy as much as they need, which in turn means a decrease in trading volumes for this week, and just one week after volatile market trading, that reached above 70,000 tons.

Materials with highest price rise

The LDPE film grade rose by 4.4% in comparison with the previous week, the highest in the polymer commodity groups, compared to last week.

After it the GPPS rose by 2.4% and its price reached to Rls. 111,707 / Kg.

The third rank registered for 3 commodities. HDPE for rotational molding, injection molding grade of HDPE and ABS were the three commodities with 2.3% rise in prices. LDPE also gained the 4th rank by just a 0.04% price rise.

Materials with lowest price increase

The PVC group, textile PP and HDPE extrusion grade PE100 extruded heavy polyethylene, with 0.06%, HDPE extrusion type PE80 and PP recorded the lowest price rise.

The following prices are the free market prices on Sat. Sept. 21st, before today’s price announcement. The GREEN figures show decreased prices, the RED the increased ones. While, the BLACK figure is showing the prices that remained constant, all in comparison with last Saturday free market prices (Click Here)

The following table shows the weekly trading figures including ODTv index for the week between Sun. Sept. 15th till Sat. Sept. 21st., 2019.

The last article published about market analysis was: Surprising Week For The Polymer Prices In Iranian Market