Indian maker introduce price protection on domestic PP, PE, and PVC as demand softens

A major local producer in India has opened price protection schemes on spot PP, PE and PVC offer to domestic buyers starting 12 March 2020 until the next price announcement. Price protection usually used to encourage customers to proceed with purchases immediately despite having the expectation of price changes in the near term.

There have been reports that purchasing activities in the local market are declining following an uptick in the previous weeks. Supply for PP and LLDPE is comfortable, though LDPE film is rather tight, sources said. 

“Despite the depreciation of the Indian Rupee, we expect the producer to down-adjust the offers to counter the sluggish demand condition. With the price protection, local buyers become less likely to attract to import materials,” a buyer commented.