High Demands For Polymers Encountered With Low Supply

As promised yesterday (Click Here) now we will continue this week’s market analysis after announcement of the new base prices for polymers by PDID Office of NPC.

This week the official value of the US$ at the “NIMA System“, reached to its highest level. This FOREX system has been used for last 33 weeks as one of the factors that (may) affect the base prices. At the same time, the incremental global prices left no doubt for the increasing of this week’s prices. Usually the PDID Office calculates the base prices on the basis of the average value of the US$ in “NIMA System” and the global average prices of polymer raw materials.

The US$ value for this week recorded by an increase of Rls. 2.458 which was 2.2% higher than two weeks ago.
As a result, the prices of many commodities jumped up. Further we have a brief of the highest increases and the highest decreases.
Incremental side of the market
1- ABS by 7.9% increase in comparison with two weeks ago;
2- Different grades of bottle grade of PET with 5.6-5.8% increases in base price. Resulting in Rls. 7.500-8.100 in the base prices.
3- GPPS 1540 with 3.77% changed the price of this highly used polymer in Iran to Rls. 123.868.
4- PET fibre grade in the range of 3.35-3.61% which increased its prices by Rls. 5.060

Decrements sides of the market
Respectively, the highest decreases in prices are:
1- PP grades other than fibre types decreased by 2.28%, affecting Rls 2.640 decreasing in this material prices
2- PP fibre with 1.78% which reduced its market price by Rls. 2.310 and reducing it to Rls. 127.833/Kg. Though the international prices of the same materials were growing.
3- Extrusion type of HDPE (PE 80) with 0.74% reduced its price to Rls. 108.480.

Today’s market:

At the 2nd day of the announcement of the new base prices that were really shocking because of a jumping in prices of PET and some other materials, the registered demands were much higher than what was offered by PC companies. In this regard all demands wee fulfilled almost as a half.

Due to the weekly nature of this analysis, we have a long text having 3 material tables.

The following table shows the free market values at the polymer market of Iran on Mon. July 8th, 2019

The following table shows the IME market indexes for last week Sun. June 30th till Sat. July 6th, 2019. The total number of deals recorded for 202 times which is a new record of trade transactions for polymers in a week at IME Petrochemical Hall.

The following table shows the deals at IME market on Mon. July 8th, 2019. Today a total number of 75 times the polymer materials were traded.

************************