Local suppliers lifted PVC prices in Indonesia

Indonesian buyers reported receiving higher PVC offers from domestic suppliers this week, in line with the firming trend observed in the international ground. Compared to January, average local PVC offers ha firmed up $40/ton, reaching $1000-1040/ton, FD Indonesia, cash term.

A converter purchased the parcel from local producer at the upper end of the range informed, “End product demand is still mediocre and we think raw material price might continue to firm up in the coming month given healthy demand from international buyers. “

A trader added, “The government has assigned new projects, though budget for 2017 is relatively smaller than last year. Many pipe and profile converters are forced to cut end product prices to speed up sales. However, suppliers would continue to push PVC price up in the near term given high production costs.”