03 October 2011 10:08 [Source: ICIS news]
SINGAPORE (ICIS)--Indian major Reliance Industries Limited (RIL) has raised its list prices for all of its polyethylene (PE) grades with effect from 1 October this year, in line with the weak Indian rupee and flat domestic demand, a source close to the company said Monday.
RIL announced late on 30 September an increase of Indian rupees (Rs) 1.50/kg (Rs1,500/tonne, $31/tonne) for low density PE (LDPE) film, Rs1/kg for linear low density PE (LLDPE) film and Rs1.50/kg for high density PE (HDPE) film.
Despite the softer prices in the ?xml:namespace>
The prices of LDPE film are at Rs90.00-90.50/kg
“We have noticed the local demand has been steady in September and is likely to sustain in October,” a source close to the company said.
“With the weaker rupee, we have decided to raise the prices to match the current import levels,” the source added.
The equivalent import parities are quoted by RIL at $1,550/tonne (€1,163/tonne) CFR (cost & freight) Mumbai for LDPE film, $1,320/tonne CFR Mumbai for LLDPE film and $1,380/tonne CFR Mumbai for HDPE film on 3 October, local traders said.
The offers of imported spot cargoes were heard at $1,470-1,530/tonne CFR Mumbai for LDPE film, $1,340-1,350/tonne CFR Mumbai for LLDPE film and $1,350-1,370/tonne CFR Mumbai for HDPE film on 3 October, the traders added.
“Imports have been unattractive for the past few weeks as local material is cheaper because of the currency advantage. It has been difficult for us to import,” a Mumbai-based trader said.
“The domestic and imported material are priced more on par now, so the sales of imports should be better. However, the soft Chinese prices has somehow affected the local sentiment,” a second Mumbai-based trader said.
($1 = Rs49.00, $1 = €0.75)
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|
Asian Chemical Connections