Local PP, PE market in Indonesia extended the weakening trend
Over the past couple of weeks, Indonesian HDPE bag makers saw a spike in finished goods orders. However, the situation started to turn sour.
A key Indonesian producer announced weekly PP and PE offers over the weekend with additional decreases reflecting the constant downward pressure from soft demand and competitive import parcels.
The producer’s latest price list and changes compared to last week are shown in the following table:
|
Material |
Price List as of 13 May. 23 |
USD Equivalent |
W.O.W Changes |
USD Equivalent |
Term |
|
Combined and reported by CommoPlast |
|||||
|
LL film |
IDR 16,370,000 |
$1,104 |
-IDR 600,000 |
-$40 |
FD Jabodetabek |
|
mPE |
IDR 18,070,000 |
$1,218 |
- |
- |
FD Jabodetabek |
|
LL inj |
IDR 17,110,000 |
$1,154 |
-IDR 590,000 |
-$40 |
FD Jabodetabek |
|
HD film |
IDR 17,190,000 |
$1,159 |
-IDR 220,000 |
-$15 |
FD Jabodetabek |
|
HD yarn |
IDR 17,190,000 |
$1,159 |
-IDR 220,000 |
-$15 |
FD Jabodetabek |
|
HD blow |
IDR 18,150,000 |
$1,224 |
- |
- |
FD Jabodetabek |
|
IPP (PP Film) |
IDR 17,410,000 |
$1,174 |
- |
- |
FD Jabodetabek |
|
PPH yarn |
IDR 16,380,000 |
$1,104 |
-IDR 290,000 |
-$20 |
FD Jabodetabek |
|
PPH inj |
IDR 16,380,000 |
$1,104 |
-IDR 290,000 |
-$20 |
FD Jabodetabek |
|
PP thin wall |
IDR 17,330,000 |
$1,168 |
-IDR 300,000 |
-$20 |
FD Jabodetabek |
|
BOPP |
IDR 17,110,000 |
$1,154 |
- |
- |
FD Jabodetabek |
|
PP coating |
IDR 17,110,000 |
$1,154 |
- |
- |
FD Jabodetabek |
|
PP thermo |
IDR 16,820,000 |
$1,134 |
-IDR 290,000 |
-$20 |
FD Jabodetabek |
|
PPRC |
IDR 19,030,000 |
$1,283 |
- |
- |
FD Jabodetabek |
|
PPBC |
IDR 18,960,000 |
$1,278 |
+IDR 160,000 |
+$11 |
FD Jabodetabek |
|
*All prices are excluded of 11% VAT *Exchange Rate: USD 1 = IDR 14,831 *Transportation Cost: West Java = IDR 60,000, Central Java & East Java = IDR 250,000 |
|||||
Over the past couple of weeks, Indonesian HDPE bag makers saw a spike in finished goods orders. However, the situation started to turn sour. The continuous drop in raw material prices has now encouraged end-product buyers to slow down to avoid potential price risks.
“Therefore, we also take a step back and only purchase two weeks’ worth of raw material. The market is full of uncertainties,” added, a manufacturer.
Meanwhile, the pressure on the PP market is tremendous. Buyers place bids at IDR15,300,000/ton excluding VAT for both yarn and injection grades – similar to deal levels done in the previous week.