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MonthlySSESSMENTS: June Pakistan PP Prices


  • Import PP offers during June captured moving in the same trend
  • Demand in the country was sluggish throughout June
  • There is a possibility for PP demand to slow down further

According to the data collected by SSESSMENTS.COM’s team, June-July shipment offers from Saudi producers surfaced in the first week of June with an upward increment of $10/ton compared to May shipment with offers for import PP Homo grades captured available between $850-900/ton. By the following week, there were no fresh import offers reported in the country following the significant decreases in inquiries as well as transactions as most buyers already held sufficient inventory on hand. However, sources revealed that there were some deals that were concluded in the week ending June 5. Sources stated that a trader managed to sell import Saudi PP Homo Injection cargoes at $20/ton lower than the initial offer level. Meanwhile, a global trading house sold import Saudi PP Homo Raffia cargoes between $910-920/ton. Despite some deals concluded, most customers were showing resistance towards the higher prices and voiced out buy idea for Saudi PP Homo Raffia at $880/ton, or between $30-40/ton lower from the initial offer level. All on LC at sight, CFR Karachi Port. 

By the week commencing June 15, a distributor revealed that the offers for import PP cargoes of United Arab Emirates origin captured higher between $40-50/ton from a month earlier. As informed to SSESSMENTS.COM, the allocation is rather limited and the cargoes have been sold out since the first week of June with the deals concluded at $850/ton for PP Homopolymers and between $890-900/ton for PP Block Copolymer. For PP Random Copolymer Injection of the same origin, deals were achieved at $980/ton. Sources added that the offers for South Korean PP Block Copolymer were available at $1,030/ton. However, buyers were uninterested as the offers deemed too high. In the fourth week of the month, the offers for PP Homopolymers of Southern Africa and Middle East origin recorded at $920-930/ton and $960/ton respectively. Further added, deals for near-to-prime grade PP Homo Raffia of Middle East origin concluded at $875/ton. All offers also on LC at sight, CFR Karachi Port. 

Market sources reported to SSESSMENTS.COM that PP demand in Pakistan throughout June was sluggish. There were several factors affecting the demand, such as Eid Al-Fitr holiday as well as resistance towards higher offers amid slow finished products sales. Moreover, the government decided to reimpose lockdown called “smart lockdown” in the fourth week of June. The lockdown would seal 500 areas identified as “hotspots” or having a possible increase in ratio/speed in the spreading of coronavirus while different sectors of economic activity were still allowed to open. The movement was taken as the number of confirmed COVID-19 cases in the country continued to increase. Although the downstream activity was not affected, market sentiment was getting dull as players were very cautious regarding the market movement. Despite the slow demand, a distributor reported that on the week commencing June 15, the company managed to sold-out the allocation for United Arab Emirates cargoes. 

Looking ahead, Pakistani market players stated to SSESSMENTS.COM that market direction is difficult to predict that it is better to continue monitoring market development. While considering the re-implementation of lockdown, the demand for PP resins in the country predicted to slow down in July.

Transactions for import PP between June 1 to June 5 on LC at sight, CFR Karachi Port

OriginProductTransaction TypeOffers (USD/ton)
Middle EastPP Homo FilmPrice List900*
Middle EastPP Homo FilmOffer Received880-900
Middle EastPP Homo InjectionPrice List880*
Middle EastPP Homo InjectionOffer Received850-880
Middle EastPP Homo InjectionSold860**
Middle EastPP Homo RaffiaPrice List880*
Middle EastPP Homo RaffiaOffer Given930-940
Middle EastPP Homo RaffiaOffer Received850-880
Middle EastPP Homo RaffiaSold900-930
Description: *For purchases above 99 tons **Done deals for July shipment

Transactions for import PP between June 15 to June 19 on LC at sight, CFR Karachi Port

OriginProductTransaction TypeOffers (USD/ton)
South KoreaPP Block CopolymerOffer Received1,030
United Arab EmiratesPP Block CopolymerSold890-900
Saudi ArabiaPP Homo FilmOffer Received960*-980*
Saudi ArabiaPP Homo FilmPrice List960*-980*
Saudi ArabiaPP Homo InjectionPrice List940*-960*
Saudi ArabiaPP Homo InjectionOffer Received940*-960*
United Arab EmiratesPP Homo InjectionSold850
Saudi ArabiaPP Homo RaffiaOffer Received940*
Saudi ArabiaPP Homo RaffiaPrice List940*
United Arab EmiratesPP Homo RaffiaSold850
Saudi ArabiaPP Random Copolymer BlowOffer Received1,080*
Saudi ArabiaPP Random Copolymer BlowPrice List1,080*
United Arab EmiratesPP Random Copolymer InjectionSold980
Description: *July shipment offers

Transactions for import PP between June 22 to June 26 on LC at sight, CFR Karachi Port

OriginProductTransaction TypeOffers (USD/ton)
Middle EastPP Homo InjectionPrice List955
Southern AfricaPP Homo InjectionOffer Received920-955
Middle EastPP Homo RaffiaOffer Given960
Middle EastPP Homo RaffiaSold*875
Middle EastPP Homo RaffiaPrice List955
Southern AfricaPP Homo RaffiaOffer Received920-930
Southern AfricaPP Homo RaffiaOffer Given920
Description: All import offers for July shipments; *Near-to-prime quality

Transactions for import PP between June 29 to June 30 on LC at sight, CFR Karachi Port

OriginProductTransaction TypeOffers (USD/ton)
Middle EastPP Homo FilmOffer Received1,000
Middle EastPP Homo FilmPrice List970
Middle EastPP Homo InjectionPrice List950-970
Middle EastPP Homo RaffiaOffer Received930-970
Middle EastPP Homo RaffiaPrice List950
Middle EastPP Random Copolymer InjectionPrice List1,080

Tags: Asia Pacific,English,ISC,Monthly,PP,Pakistan

Published on June 30, 2020 6:02 PM (GMT+8)
Last Updated on June 30, 2020 6:33 PM (GMT+8)