An Indonesian trader shared with SSESSMENTS.COM on the latest adjustment for local and localized Vietnamese PP offers following the demand condition in the country. As revealed, the trader decided to adjust offers for PP Homo Raffia and PP Homo Injection by IDR200,000/ton ($13/ton) higher compared to offers on Monday, May 4. The trader decided to increase the offers following the improvement in PP demand in the country. Further explained by the trader, buying sentiment for PP lifted as buyers were on panic due to the recent shutdown at the leading Indonesian polyolefins producer’s cracker coupled with the rebound in crude oil prices. Moreover, the trader opined that buyers have started to stock up for June production as the large-scale social restrictions (PSBB) in the greater Jakarta is expected to end by then.
The trader sold localized Vietnamese PP Homo Raffia cargoes at IDR100,000/ton ($7/ton) lower than high-end of the price range at IDR13,000,000/ton ($859/ton). While deals for localized PP Homo Injection from the same origin concluded at the same level to the low-end of the price range at $12,900,000/ton ($852/ton). As for local PP Homo Film cargoes, deals concluded at IDR13,100,000/ton ($866/ton). All offers are on cash, FD Indonesia basis, and excluding 10% VAT. Speaking of the export market, the trader informed that Chinese buyers express buy ideas for PP Homo Film at $850/ton on LC at sight, CIF China Main Port basis. However, as the shutdown at the PP plant of the trader’s supplier is being extended, the trader does not have any allocation for these cargoes to China market, as stated to SSESSMENTS.COM.
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