Local PP and PE offers in Indonesia extended firming trend

A major domestic producer in Indonesia announced fresh weekly offers to buyers in the country with additional increases on both PP and PE cargoes today. Persistent limited supply remains the primary driver steering market higher though buying interest started to dim.

The producer’s latest price list and changes are shown in the following table:

Except for HDPE film, which due to serious supply shortage has encouraged buyers to accept the current market price levels, traders are agreeing that it is hard for homo-PP and LLDPE film to achieve large hike. “Buyers are resisting the continuous price hike. Some traders started to give small discount of homo-PP cargoes in order to smoothen sales process,” a trader informed.