Pakistan’s Engro resumes PVC output after securing feedstock

23 February 2010 07:38  [Source: ICIS news]

SINGAPORE (ICIS news)--Pakistan's largest polyvinyl chloride (PVC) producer, Engro Polymer and Chemicals, has resumed normal production after feedstock shortages had curtailed output earlier, market players said on Tuesday.

A shortfall in feedstock vinyl chloride monomer (VCM) had forced the company to slash PVC production for 15-20 days in January but it had since secured fresh supplies for February, market players said.

The company had started "running its own VCM plant" and had imported VCM cargoes as well, said a source familiar with the situation.

Engro began VCM operations late last year to support its PVC production but technical issues prevented the VCM plant from running smoothly, market players said. This, combined with a shortfall in VCM imports, forced the company to cut PVC production last month, market players added.

Production at the VCM plant was still irregular but adequate VCM imports had already been secured, industry sources said.

Engro, whose chlor-alkali complex is located at Port Qasim, near the coastal city of Karachi, has annual PVC and VCM capacities of 150,000 tonnes and 270,000 tonnes respectively.

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By: Ng Hun Wei
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