An Indonesian trader shared with SSESSMENTS.COM the latest adjustment on local PP offers from the company’s end amid the quiet market. On a weekly comparison, offers for local PP Homo Raffia from the trader were stable on the low-end level and dropped by IDR200,000/ton ($14/ton) on the high-end level. Some buyers submitted bids around IDR300,000-1,100,000/ton ($20-75/ton) lower than the initial offer levels depending on the volume of purchases. However, in the end, the trader managed to conclude deals at the same level to the initial offers at IDR15,100,000/ton ($1,030/ton) for 40 tons. While for PP Homo Injection, the trader lowered the offers by IDR100,000-300,000/ton ($7-20/ton) compared to last week’s level and concluded deals at the same level to the initial offers at IDR15,000,000/ton ($1,023/ton). All offers on cash, FD Indonesia basis and excluding 10% VAT.
As for PP Homo Film, the trader does not have spot offers this week owing to zero stocks. Further explained, a local PP producer in Indonesia experienced an outage at its PP plant on July 7 due to catalyst problems. On July 11, the plant resumed production and managed to produce on-spec materials. Due to this, this week, the producer focuses on meeting demand from contract-based customers only, SSESSMENTS.COM noted.
For localized cargoes, initially, the trader offered localized Vietnamese PP Homo Injection at IDR14,300,000/ton ($975/ton) and received bids at IDR300,000/ton ($20/ton) lower than the initial offer level. However, the bids were rejected as the trader did not get materials from the supplier. Previously, the trader submitted bids for off-grades PP Homo Injection from a Vietnamese PP producer at $870/ton on LC at sight, CIF Indonesia Main Port basis. Yet, the producer refused the bids citing that the producer received higher bids and managed to sell the cargoes at $900/ton-level to other markets, as stated to SSESSMENTS.COM.
