Local PP and PE offers continue to hike despite the appreciated Rupiah in Indonesia
Local PP and PE offers continue to hike despite the appreciated Rupiah in Indonesia
Strong bullish sentiments brewing amongst suppliers have sparked a massive jump in spot PP and PE prices in the domestic Indonesia market this week despite the rapid appreciation of the Rupiah against the US dollar.
The latest price list from a key local producer and changes compared to last week are shown in the following table:
|
Material |
Price List as of 16 Jan. 23 |
USD Equivalent |
W.O.W Changes |
USD Equivalent |
Term |
|
Combined and reported by CommoPlast |
|||||
|
LL film |
IDR 18,200,000 |
$1,205 |
+IDR 250,000 |
+$17 |
FD Jabodetabek |
|
mPE |
IDR 19,130,000 |
$1,267 |
-IDR 80,000 |
-$5 |
FD Jabodetabek |
|
LL inj |
IDR 18,900,000 |
$1,251 |
+IDR 240,000 |
+$16 |
FD Jabodetabek |
|
HD film |
IDR 18,900,000 |
$1,251 |
+IDR 240,000 |
+$16 |
FD Jabodetabek |
|
HD yarn |
IDR 18,900,000 |
$1,251 |
+IDR 240,000 |
+$16 |
FD Jabodetabek |
|
HD blow |
IDR 19,600,000 |
$1,298 |
+IDR 160,000 |
+$11 |
FD Jabodetabek |
|
IPP (PP Film) |
IDR 19,520,000 |
$1,293 |
+IDR 550,000 |
+$36 |
FD Jabodetabek |
|
PPH yarn |
IDR 18,740,000 |
$1,241 |
+IDR 240,000 |
+$16 |
FD Jabodetabek |
|
PPH inj |
IDR 18,740,000 |
$1,241 |
+IDR 240,000 |
+$16 |
FD Jabodetabek |
|
PP thin wall |
IDR 19,370,000 |
$1,283 |
+IDR 90,000 |
+$6 |
FD Jabodetabek |
|
BOPP |
IDR 19,210,000 |
$1,272 |
+IDR 400,000 |
+$26 |
FD Jabodetabek |
|
PP coating |
IDR 19,210,000 |
$1,272 |
+IDR 400,000 |
+$26 |
FD Jabodetabek |
|
PP thermo |
IDR 19,290,000 |
$1,277 |
+IDR 240,000 |
+$16 |
FD Jabodetabek |
|
PPRC |
IDR 20,620,000 |
$1,365 |
+IDR 400,000 |
+$26 |
FD Jabodetabek |
|
PPBC |
IDR 19,600,000 |
$1,298 |
+IDR 550,000 |
+$36 |
FD Jabodetabek |
|
*All prices are excluded from 10% VAT *Exchange Rate: USD 1 = IDR 15,102 |
|||||
In a span of a week, the Rupiah appreciated nearly 3.2% against the US dollar, according to data from Oanda, on expectations that the Federal Reserve would be less aggressive in the next interest rate hikes, now that inflation in the US is under control.
On the other hand, suppliers are optimistic as they continue to count on the tightening global PP and PE supply outlook as Asian and Middle Eastern plants enter maintenance season.
It is becoming increasingly difficult for the end-product market as the current demand does not support the inflated raw material pricing. A manufacturer in the packaging sector told CommoPlast, “Some of our customers decided to cancel placing new PO because they are unwilling to accept current prices. We have no plan to chase after the uptrend to protect our cashflow. There are too much of uncertainties, hence, we prefer to do back-to-back businesses.”