PLATTS-PVC-03-Sept.pdf

8/11/2019 PLATTS-PVC-03-Sept.pdf

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This Weeks Highlights:

Asian EDC/VCM - Flat to weaker amid thin trade, weak demand

Asian PVC - Falls $2/mt amid weak demand

INDEX:Platts International Prices 1

Polymerupdate Indian Domestic Producer Price 1

Platts Polymer Shipping Costs (USD/MT) 1

Polymerupdate CIF India Prices 2

Polymerupdate Indian Open Market Price Table 2

Polymerupdate Indian Producer Posting Price Comparison 2

Heard in PVC Market 3

Platts International Market Commentary & Analysis 3

Polymerupdate - PVC Market Supply Scenario 4

Platts Price Analysis Of PVC Chain Processing Margins 5

Currency Rates 6

Crisil Research Macroeconomics & Currency Monthly Analysis 6

Point of Contact 8

Polymerupdate - About us & Copyright 8

Platts - About us & Copyright 8


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Week 36 September 03, 2014

ContactDetails:344,AtoZIndl.Estate,G.K.Marg,LowerParel(w),Mumbai400013,INDIA | Email:[email protected] | Tel:+912261772000(25lines) | Fax:+912261772025

2

POLYMERUPDATE (CIF INDIA PRICES)

CIF INDIA BY ORIGIN (Nhava Sheva Port)

South Korea Thailand Taiwan

WK 35 WK 36Price Change

on Week

WK 35 WK 36Price Change on Week

WK 35 WK 36Price Change on Week

Aug 27 Sep 03 Aug 27 Sep 03 Aug 27 Sep 03

Suspension 1110 1110 0 1100 1100 0 1110 1110 0

Emulsion 1350 1350 0 -- -- -- -- 1340 1340 0

- All prices are in USD/MT CIF India (Nhava Sheva)

- For South Korea, Singapore, Thailand and Saudi Arabia : Cargo size of 50-100mt delivered within 30 days.

- Price assessments are based on information gathered from a cross section of the industry that includes resin producers, processors, traders and distributors.

- Standard repeatable orders (based on confirmed market deals) form the basis of the prices.

POLYMERUPDATE - Indi an Open Mar ket Pr i ce Tabl e Note: All prices are in INR/kg levels.

Product Mumbai Delhi Kolkata Bangalore Indore Chennai Patna Ahmedabad Hyderabad

Ethylene Based PVC 85 - 86 90 - 91 87 - 88 86.5 - 87 90.5 - 9288.5 - 89

(Incl. of VAT)94 88 - 89 91.5 - 92

POLYMERUPDATE - INDIAN PRODUCER POSTING PRICE COMPARISON (GRADE WISE)

PVC SUSPENSION K-67 w.e.f 1 September-2014

Producer Grade No. *INR/MT USD/MT

RIL 67GER01 (Ex-Gandhar) 77500 1151

RIL 67.01 (Ex-Hazira) 77500 1151

RIL 57GER01 (Ex-Gandhar) 79000 1174

RIL 57.11 (Ex-Hazira) 79000 1174

*Domestic Indian producer prices are quoted in INR/MT basic (Nett of all taxes) ; equivalent USD/MT price is calculated at current US/INR rate.*Lot Size: 1 Truck Load (10 to 16 MT)

- USD Price calculation: INR/MT Aprox. Clearing and Forwarding Charges / Basic Duty / Exchange Rate = USD/MT (For example: 82330 2500 / 1.075 / 54.24 = 1396)


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ContactDetails:344,AtoZIndl.Estate,G.K.Marg,LowerParel(w),Mumbai400013,INDIA | Email:[email protected] | Tel:+912261772000(25lines) | Fax:+912261772025 4

POLYMERUPDATE - PVC MARKET SUPPLY SCENARIO

VCM plant operated by Taiwan VCM at

full rates

Taiwan VCM Corp. is operating its vinyl

chloride monomer (VCM) plant at 100%

capacity levels. A steady market undertoneexisted for the product in the domestic

markets. Located at Kaohsiung in Taiwan,

the VCM plant has a production capacity of

410,000 mt/year.

VCM lines shut by Asahimas for

maintenance

Asahimas has shut one of two vinyl chloride

monomer (VCM) lines for maintenance. The

VCM line was shut on August 20. It is likely

to restart in mid-September 2014. Located

at Cilegon in Banten province, Indonesia,

the shut VCM line has a capacity of 240,000

mt/year while the line which is operating

has a capacity of 160,000 mt/year.

PVC plant restarted by FPC

Formosa Plastics Corp (FPC) has restarted a

polyvinyl chloride (PVC) plant. The plantrestarted early this week. It was shut on

August 18, 2014 for maintenance

turnaround. Located in Mailiao, Taiwan, the

plant has a production capacity of 500,000

mt/year.

VCM plant operated by Tokuyama at lower rates

Tokuyama Corp is operating its vinyl chloride monomer (VCM) plant at lesser capacity levels. The plant is operating at 70% of production capacity. Located at Tokuyama, Yamaguchi prefecture in Japan, the VCM

plant has a production capacity of 330,000 mt/year.


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PLATTS Pr ice Analy sis of PVC Chai n Processing Ma r gins

Naphtha to Ethylene Naphtha to PVC

Typical North East Asian $/mt margin for producing ethylene

from naphtha using a conversion cost of $350/mtPremium or discount of CFR FE Asia PVC prices over naphtha

Ethyleneto PVC PVC : VCM Ratio

Premium or discount of CFR FE Asia PVC prices compared to naphtha CFR FE Asia PVC prices as a ratio to VCM


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Currency rates equivalent to 1 US Dollar :

Countries Currency Rates Countries Currency Rates

Indian Rupees (INR) 60.60 Japan Yen (JPY) 105.12

Pakistan Rupees (PKR) 102.09 Indonesia Rupiahs (IDR) 11,763.26

China Yuan Renminb (CNY) 6.14 Malaysia Ringgits (MYR) 3.17

Bangladesh Taka (BDT) 77.47 Singapore Dollars (SGD) 1.25

Sri Lanka Rupees (LKR) 130.19 South Korea Won (KRW) 1018.29

Thailand Baht (THB) 32.12 Saudi Arabia Riyals (SAR) 3.75

Taiwan New Dollars (TWD) 29.94 United Arab Emirates Dirhams (AED) 3.67

CRISIL Resear ch Macr oeconomi cs & Curr ency Mont hly Analy sis

OVERVIEW: Monsoon enters crucial phase

In June, the first month of the monsoon season, rainfall was close to 43% below the long period average. This

delayed the sowing of crops. However, the rainfall deficit reduced to 18% by August 10. The IMDexpects overallrainfall deficiency of around 10%, which implies that rains will pick up further over the remaining part of the season.

CRISILs Deficient Rainfall Impact Parameter shows that Maharashtra, Gujarat and Rajasthan are the worst-hit. These

states have a large share of coarse cereals (jowar, bajra), pulses (tur) and oilseeds (groundnut, soybean) in overall

production. The delay in sowing of these cropswill pull down the agricultural GDP growth to 1% in FY15. This is

unlikely to derail the Reserve Bank of Indias consumer price index (CPI) inflation target of 8% by January 2015 as the

most-affected crops have low weight (4.3%) in the CPI. Moreover, government measures, such a lower rise in the

minimum support price this year and ample buffer stocks, and a favourable base-effect will cap foodgrain inflation.

However, the risk is from elevated fruit and vegetable prices, which are hard to predict and can play spoilsport.


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PLATTS-PVC-03-Sept.pdf

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Transcript of PLATTS-PVC-03-Sept.pdf