Import Indian homo-PP touched $1000/ton threshold in China

Persistent sluggish demand observed in the PP market in the past couple of weeks has cultivated pressure on domestic stockists, especially in Southern China area, as converters refused to make fresh replenishment amid weak end product demand. For this, traders in this market area have down adjusted prices for Indian homo-PP cargoes by $30/ton from official price list announced earlier this week, to reach $1000/ton TT in advance, at bonded warehouse. 

Commenting on this, a trader in East China said, “Most offers for main stream Middle East cargoes remain at the level $1010-1060/ton CFR China. However, demand condition in Southern area is much weaker than the Eastern market; hence traders take more aggressive move to encourage buying interest. We think it is difficult for prices to breach below this threshold in the near term as costs of trader’s on-hand cargoes are well above this.”       

With this, import homo-PP to China has seen new lower end, making overall import homo-PP price range at $1000-1060/ton CFR China, LC 0-90 days term.