An Indonesian converter shared with SSESSMENTS.COM on the latest import Middle Eastern PE offers to the country. As informed, this week the converter received import HDPE Film and LLDPE Film C4 offers from several Middle Eastern producers, with most prices remaining at particularly high levels.
For United Arab Emirates origin, current offers for HDPE Film cargoes from a producer are hovering above $900/ton-level, available at $920/ton on LC at sight, CIF Indonesia Main Port basis. In response, the converter submitted bids at $40/ton lower than the initial offer level as market talks have it that the producer is saddled with high inventory levels due to the slow uptake rate from Vietnamese buyers. “We heard that the Emirati producer is grappling with a supply overhang as most of their customers in Vietnam are only purchasing small volumes to cover up monthly production. Market talks have it that the producer is holding around 400-500 tons of raw materials at its Singapore warehouse,” the converter stated to SSESSMENTS.COM.
As for Qatar origin, the converter also received import LLDPE Film C4 offers from a producer at $875/ton on LC at sight, CIF Indonesia Main Port basis. As the Qatari producer is willing to entertain requests for a discount, the converter managed to secure the deals at $865/ton, or at $10/ton lower than the initial offer level. For Kuwait origin, a producer is offering import LLDPE Film C4 cargoes at $890/ton with the same payment and delivery terms. As the current offers from the producers’ end are too high and unworkable, the converter is reluctant to procure the cargoes.
