Indonesian PP, PE markets galloped lower; production disruption hindered delivery
The fear of significant delays in both local deliveries and import arrivals has driven Indonesian customers back to the market this week, sparking increased trading activity. However, it is noteworthy that even in the distribution market, ready stock cargoes are scarce, with the majority of available offers being for forward-selling.
In a move reflecting the ongoing regional market weakness, a major local producer in Indonesia has once again lowered its weekly PP and PE offers. This marks the fourth consecutive week of downward adjustments since the beginning of July.
The producer’s latest price list and changes compared to the previous offers are shown in the following table:
|
Material |
Price List as of 27 Jul. 2024 |
USD Equivalent |
W.O.W Changes |
USD Equivalent |
Term |
|
Combined and reported by CommoPlast |
|||||
|
LL film |
IDR 18,870,000 |
$1,160 |
-IDR 420,000 |
-$26 |
FD Jabodetabek |
|
mPE |
IDR 21,580,000 |
$1,326 |
- |
- |
FD Jabodetabek |
|
LL inj |
IDR 19,700,000 |
$1,211 |
-IDR 410,000 |
-$25 |
FD Jabodetabek |
|
HD film |
IDR 18,720,000 |
$1,150 |
- |
- |
FD Jabodetabek |
|
HD yarn |
IDR 18,720,000 |
$1,150 |
- |
- |
FD Jabodetabek |
|
HD blow |
IDR 19,130,000 |
$1,176 |
- |
- |
FD Jabodetabek |
|
IPP (PP Film) |
IDR 19,030,000 |
$1,169 |
-IDR 260,000 |
-$16 |
FD Jabodetabek |
|
PPH yarn |
IDR 17,890,000 |
$1,099 |
-IDR 260,000 |
-$16 |
FD Jabodetabek |
|
PPH inj |
IDR 17,890,000 |
$1,099 |
-IDR 260,000 |
-$16 |
FD Jabodetabek |
|
PP thin wall |
IDR 18,540,000 |
$1,139 |
-IDR 260,000 |
-$16 |
FD Jabodetabek |
|
BOPP |
IDR 18,380,000 |
$1,129 |
-IDR 260,000 |
-$16 |
FD Jabodetabek |
|
PP coating |
IDR 18,380,000 |
$1,129 |
-IDR 260,000 |
-$16 |
FD Jabodetabek |
|
PP thermo |
IDR 18,380,000 |
$1,129 |
-IDR 260,000 |
-$16 |
FD Jabodetabek |
|
PPRC |
IDR 21,330,000 |
$1,311 |
-IDR 250,000 |
-$15 |
FD Jabodetabek |
|
PPBC |
IDR 20,030,000 |
$1,231 |
-IDR 240,000 |
-$15 |
FD Jabodetabek |
|
*All prices are excluded of 11% VAT *Exchange Rate: USD 1 = IDR 16,273 *Transportation Cost: West Java = IDR 60,000, Central Java & East Java = IDR 250,000 |
|||||
Despite the reduced prices, production disruptions have hampered the producer's ability to deliver previously sold cargo on time. One buyer commented, "We bought some HDPE film containers earlier this month and until now, we have not received our cargo yet. It is highly possible that the producer can only deliver in August."
The fear of significant delays in both local deliveries and import arrivals has driven Indonesian customers back to the market this week, sparking increased trading activity. However, it is noteworthy that even in the distribution market, ready stock cargoes are scarce, with the majority of available offers being for forward-selling.
Written by: Henny Sunarto
Edited by: Rochelle Nguyen