Local PE market rose sharply in Indonesia; PP market moderated gains
In a surprising development, a major local Indonesian producer lifted spot PE sharply on the first trading day of the week, taking turn from the peer grade – PP.
In a surprising development, a major local Indonesian producer lifted spot PE sharply on the first trading day of the week, taking turn from the peer grade – PP. Trading sentiment in Indonesia remained sluggish as converters were unable to transfer the rising raw material costs to end-product buyers. However, players speculated that the latest hikes are the direct result of the strong upstream ethylene prices.
The producer’s latest price list and changes compared to last week are shown in the following table:
|
Material |
Price List as of 05 Feb. 2024 |
USD Equivalent |
W.O.W Changes |
USD Equivalent |
Term |
|
Combined and reported by CommoPlast |
|||||
|
LL film |
IDR 21,150,000 |
$1,346 |
+IDR 960,000 |
+$61 |
FD Jabodetabek |
|
mPE |
IDR 21,500,000 |
$1,368 |
+IDR 170,000 |
+$11 |
FD Jabodetabek |
|
LL inj |
IDR 21,740,000 |
$1,383 |
+IDR 970,000 |
+$62 |
FD Jabodetabek |
|
HD film |
IDR 20,780,000 |
$1,322 |
+IDR 790,000 |
+$50 |
FD Jabodetabek |
|
HD yarn |
IDR 20,780,000 |
$1,322 |
+IDR 790,000 |
+$50 |
FD Jabodetabek |
|
HD blow |
IDR 20,720,000 |
$1,318 |
+IDR 640,000 |
+$41 |
FD Jabodetabek |
|
IPP (PP Film) |
IDR 21,800,000 |
$1,387 |
+IDR 180,000 |
+$11 |
FD Jabodetabek |
|
PPH yarn |
IDR 20,930,000 |
$1,332 |
+IDR 170,000 |
+$11 |
FD Jabodetabek |
|
PPH inj |
IDR 20,930,000 |
$1,332 |
+IDR 170,000 |
+$11 |
FD Jabodetabek |
|
PP thin wall |
IDR 21,470,000 |
$1,366 |
+IDR 180,000 |
+$11 |
FD Jabodetabek |
|
BOPP |
IDR 22,050,000 |
$1,403 |
+IDR 170,000 |
+$11 |
FD Jabodetabek |
|
PP coating |
IDR 22,050,000 |
$1,403 |
+IDR 170,000 |
+$11 |
FD Jabodetabek |
|
PP thermo |
IDR 21,420,000 |
$1,363 |
+IDR 170,000 |
+$11 |
FD Jabodetabek |
|
PPRC |
IDR 21,260,000 |
$1,353 |
+IDR 170,000 |
+$11 |
FD Jabodetabek |
|
PPBC |
IDR 21,080,000 |
$1,341 |
+IDR 160,000 |
+$10 |
FD Jabodetabek |
|
*All prices are excluded of 11% VAT *Exchange Rate: USD 1 = IDR 15,715 *Transportation Cost: West Java = IDR 60,000, Central Java & East Java = IDR 250,000 |
|||||
“There are also forward-selling PE cargoes in the distribution market at discounted prices. We are comfortably covered and prefer to stay sidelines for now. New offers from the producers are way above the market acceptance,” a buyer commented.
In fact, Indonesian traders started to cut PP and PE offers amid slumping demand conditions. The influx of previously purchased cargoes from the import market also arrived in the market, easing the supply tightness to a certain extent.