- Middle East origin $920-930/ton
- Southeast Asia origin $980-1,050/ton
- Far East Asia origin $940/ton
Comment by market players on PP Homo Raffia market as follows:
A Thai producer commented, “Following the uptrend in international prices, our company’s offers for PP Homo Raffia to Indonesia market have been adjusted significantly by $130/ton compared to last month. For done deals, we managed to conclude some deals at $20/ton lower from the initial offer level. In general, our company noted that PP demand for this month is better compared to last month although it could not be considered as strong yet.”
“We received bids for import Saudi PP Homo Raffia cargoes at $900/ton. However, we are unable to accept the bids level and our sell idea for Saudi PP Homo Raffia cargoes maintains the same as previously announced on June 22, which is at $930/ton. All on LC at sight, CIF Indonesia Main Port basis,” a global trading house stated.
“Our company managed to sell a limited volume of Vietnamese PP Homo Raffia for August shipment at $980/ton on LC at sight, CIF Philippines Main Port basis. Considering the increases in local prices, we think that the market may be willing to accept $1,020/ton-level for import Southeast Asian PP Homo Raffia cargoes. Meanwhile, the supply from a Vietnamese producer might improve for August shipments. Previously, the producer was catching up with the backlogs and the allocation from the producer has been tight for the last two months. Demand is gradually improving, although it is still considered very slow compared to the same period last year. For the outlook, we think the current uptrend will be short-lived, but the profit margin will be good from July until August,” a regional trader informed SSESSMENTS.COM.
Whereas in Vietnam, a trader reported, “The offers for PP Homo Raffia from a Saudi producer to Vietnam captured at $1,030/ton, which is almost $100/ton higher compared to last week. However, we think that the upward adjustment made by the producer is only to test the market response, as such, there is a possibility for the offers to move lower. While in the week starting June 22, buying sentiment has softened as most converters already finished the replenishment activity in the previous week. Pertaining to the outlook, we think import PP offers will most likely be moving lower in July as affected by the rainy season and will lead to weaker demand for PP.”
Another Vietnamese trader informed SSESSMENTS.COM, “On weekly comparison, the offers for import PP Homo Raffia of Saudi and India origin were kept stable on the high-end of the price range. While July shipment offers for South Korean PP Homo Raffia cargoes increased between $70-80/ton compared to last month. Regarding the response, buyers are still reluctant to accept the higher prices as the current demand in the domestic market is sluggish stemming from the weather condition.”
