Exchange rates, tighter overseas supply push local PP, PE markets in Indonesia higher
At the start of the week, a leading Indonesian producer raised spot PP and PE offers in the local market, citing the continued depreciation of the Rupiah against the US dollar and reduced availability of ASEAN-origin materials. The producer appeared more optimistic about the PP segment
At the start of the week, a leading Indonesian producer raised spot PP and PE offers in the local market, citing the continued depreciation of the Rupiah against the US dollar and reduced availability of ASEAN-origin materials. The producer appeared more optimistic about the PP segment, as reflected in the varying levels of price increases across the two polymers.
The producer’s latest price list and changes compared to last week are shown in the following table:
|
Material |
Price List as of 25 Nov. 2024 |
USD Equivalent |
W.O.W Changes |
USD Equivalent |
Term |
|
Combined and reported by CommoPlast |
|||||
|
LL film |
IDR 17,890,000 |
$1,125 |
+IDR 140,000 |
+$9 |
FD Jabodetabek |
|
mPE |
IDR 20,920,000 |
$1,316 |
+IDR 150,000 |
+$9 |
FD Jabodetabek |
|
LL inj |
IDR 18,770,000 |
$1,180 |
+IDR 140,000 |
+$9 |
FD Jabodetabek |
|
HD film |
IDR 17,490,000 |
$1,100 |
+IDR 130,000 |
+$8 |
FD Jabodetabek |
|
HD yarn |
IDR 18,070,000 |
$1,136 |
+IDR 140,000 |
+$9 |
FD Jabodetabek |
|
HD blow |
IDR 19,040,000 |
$1,197 |
+IDR 130,000 |
+$8 |
FD Jabodetabek |
|
IPP (PP Film) |
IDR 19,320,000 |
$1,215 |
+IDR 150,000 |
+$9 |
FD Jabodetabek |
|
PPH yarn |
IDR 17,790,000 |
$1,119 |
+IDR 210,000 |
+$13 |
FD Jabodetabek |
|
PPH inj |
IDR 17,790,000 |
$1,119 |
+IDR 210,000 |
+$13 |
FD Jabodetabek |
|
PP thin wall |
IDR 18,350,000 |
$1,154 |
+IDR 220,000 |
+$14 |
FD Jabodetabek |
|
BOPP |
IDR 18,060,000 |
$1,136 |
+IDR 140,000 |
+$9 |
FD Jabodetabek |
|
PP coating |
IDR 18,060,000 |
$1,136 |
+IDR 140,000 |
+$9 |
FD Jabodetabek |
|
PP thermo |
IDR 18,210,000 |
$1,145 |
+IDR 220,000 |
+$14 |
FD Jabodetabek |
|
PPRC |
IDR 21,120,000 |
$1,328 |
+IDR 160,000 |
+$10 |
FD Jabodetabek |
|
PPBC |
IDR 19,620,000 |
$1,234 |
- |
- |
FD Jabodetabek |
|
*All prices are excluded of 11% VAT *Exchange Rate: USD 1 = IDR 15,902 *Transportation Cost: West Java = IDR 60,000, Central Java & East Java = IDR 250,000 |
|||||
Market sources attribute the supply constraints to ongoing and upcoming maintenance shutdowns at key petrochemical facilities across Southeast Asia, which have tightened the availability of both PP and PE cargoes. However, Indonesia’s lower reliance on PE imports has mitigated the impact on local PE prices.
“Both domestic PE plants are currently operating, ensuring sufficient supply. In contrast, the PP market is more constrained. Certain PP grades are expected to face tighter supply, but weak demand for end-products limits our ability to build significant inventory,” a buyer commented.
Despite upward pressure on prices from currency fluctuations and reduced import volumes, the local market has not exhibited signs of panic buying. Most buyers remain adequately stocked and are likely to adopt a cautious approach in the near term.
Written by: Henny Sunarto
Edited by: Rochelle Nguyen