Indonesian players: Demand for local homo-PP is recovering
Indonesian players: Demand for local homo-PP is recovering

Indonesian players this week reported seeing better buying interest for local homo-PP as international suppliers take firmer stance on import cargoes claiming tight availability. A good number of deals have been observed though traders have yet to implement any major price hike.
CommoPlast data showed that compared to earlier July, domestic homo-PP yarn based on FD Indonesia, excluding VAT, cash term has gained approximate $25/ton with a trader commented, “Due to previous production issues, local producers are not having sufficient cargoes either, therefore buyers become more active in searching for material in the distribution market. Demand is on recovery track, especially with the traditional high demand season just around the corner.”
Many converters therefore are planning to make additional purchases for longer production need. A woven bags maker said, “We are planning some purchases for September with expectation of better end product businesses in the coming month. Most international sellers are holding very firm on the prices, which is supporting local sentiment.”
Another buyer purchased local homo-PP yarn at $1130/ton FD Indonesia, excluding VAT, cash term added, “We decided to restock from local suppliers considering firm import offers for non-dutiable cargoes at $1100-1120/ton CIF term. Domestic market has hit the bottom and we do expect continuous firming trend in the coming weeks. At the meantime, we are monitoring how Chinese buyers responded to the recent hike in import offers.”
Local homo-PP currently stand in the range $1130-1170/ton FD Indonesia, excluding VAT, cash term.