A Myanmar trader reported to SSESSMENTS.COM that the unexpected changes on PE and PP prices urged buyers in the country to delay procurement activity. During April, the demand for end products was cramped as most citizens were obliged to stay at home starting from Myanmar’s New Year in the middle of April. However, in early May, citizens are starting to come back from the holiday, thus, most converters started to check market prices. The trader stated that most customers that previously planned to make purchases decided to delay the procurement and adopt a wait-and-see stance as the offers have been moving up from April’s level. For Middle Eastern PP Homo Raffia, the offers in late-April were available at $810-830/ton, but already up to $850-860/ton-level last week. Likewise, the offers for US HDPE Film increased by around $80-90/ton compared to the offer level in April.
Although the market condition is getting better as more and more countries relaxing the lockdown regulations, customers prefer the sideline positions. “Finished product demand is traditionally slow in June-July due to the rainy season. Other than that, we are unsure that these higher prices will sustain as the outlook remains pessimistic owing to the impact of Coronavirus pandemic towards the economy,” the trader opined to SSESSMENTS.COM.
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