Jul 23, 2024 9:45 a.m.

Indonesian PP market extended the weakening trend; PE held steady.

While the weaker US dollar has a role in the latest price decision, sources believed that the cuts are inevitable considering the fact that import offers

Title

Available in

A key local producer in Indonesia resumed cutting spot PP offers in the latest weekly price announcement amid immense downward pressure caused by sluggish demand and the persistently falling import market. 

The producer’s latest price list and changes compared to last week are shown in the following table: 

Material

Price List as of 04 Nov. 23

USD Equivalent

W.O.W Changes

USD Equivalent

Term

Combined and reported by CommoPlast

LL film

IDR 18,700,000

$1,192

-

-

FD Jabodetabek

mPE

IDR 20,380,000

$1,299

-

-

FD Jabodetabek

LL inj

IDR 19,300,000

$1,230

-

-

FD Jabodetabek

HD film

IDR 19,440,000

$1,239

-

-

FD Jabodetabek

HD yarn

IDR 19,440,000

$1,239

-

-

FD Jabodetabek

HD blow

IDR 19,780,000

$1,261

-

-

FD Jabodetabek

IPP (PP Film)

IDR 17,630,000

$1,124

-IDR 460,000

-$29

FD Jabodetabek

PPH yarn

IDR 17,160,000

$1,094

-IDR 220,000

-$14

FD Jabodetabek

PPH inj

IDR 17,160,000

$1,094

-IDR 220,000

-$14

FD Jabodetabek

PP thin wall

IDR 17,710,000

$1,129

-IDR 220,000

-$14

FD Jabodetabek

BOPP

IDR 17,400,000

$1,109

-IDR 460,000

-$29

FD Jabodetabek

PP coating

IDR 17,400,000

$1,109

-IDR 460,000

-$29

FD Jabodetabek

PP thermo

IDR 17,320,000

$1,104

-IDR 220,000

-$14

FD Jabodetabek

PPRC

IDR 19,210,000

$1,225

-IDR 300,000

-$19

FD Jabodetabek

PPBC

IDR 19,130,000

$1,220

-IDR 300,000

-$19

FD Jabodetabek

*All prices are excluded of 11% VAT

*Exchange Rate: USD 1 = IDR 15,685

*Transportation Cost: West Java = IDR 60,000, Central Java & East Java = IDR 250,000

 

While the weaker US dollar has a role in the latest price decision, sources believed that the cuts are inevitable considering the fact that import offers for non-dutiable cargoes have fallen sharply in recent days. 

“We expect additional decreases moving forward, otherwise, buyers would just source more attractive cargoes from the import market. Besides, forward-selling parcels in the distribution market are also relatively attractive,” a buyer commented.

Meanwhile, responses toward the PE offers are not too optimistic, especially for LLDPE film. As reported earlier, the presence of locally held Malaysian LLDPE film cargoes at attractive prices weighs heavily on the market while encouraging buyers to place aggressive bids on other parcels.