Market sources revealed to SSESSMENTS.COM that a Japanese trading house has started offering Malaysia PRefChem’s LLDPE cargoes to Indonesia. As reported, the trader is offering near-prime and off-grade LLDPE Film C4 cargoes from Malaysia’s Pengerang Refining and Petrochemical (PRefChem) today (July 12) to Indonesia. One of the sources said the Japanese trading house does not provide a new price quotation, instead, the trader asks buyers to place bids.
So far, buyers have yet to submit inquiries as they mull over whether to purchase the materials or not. SSESSMENTS.COM was informed that the trader expects that bids from buyers for PRefChem’s LLDPE Film C4 cargoes will be around $1,000/ton on LC at sight, CIF Indonesia Main Port basis. A source opines that such a bid level is considered acceptable, however, concern about the producer’s LLDPE plant condition lingers.
Pertaining to the terms and conditions, the source pointed out to SSESSMENTS.COM that all bids should be submitted by 12.00 PM local time on July 13, 2022. There will be additional freight costs for non-major ports and shipments will be in 40-foot containers from Singapore or Port Klang. Furthermore, upon receiving the sales contracts, buyers must provide shipping instructions within 7 working days and all off-specs or near-prime materials will be on "No-Claim" basis.
