Capro export prices hit by high inventories - Poland’s ZAT

05 March 2012 16:44  [Source: ICIS news]

LONDON (ICIS)--High inventories of polymide 6 (nylon 6) and its precursor caprolactam (capro) held by manufacturers in Asia and other key export destinations could keep a lid on capro prices for the foreseeable future, a source at Poland-based producer Zaklady Azoty Tarnow (ZAT) said on Monday.

“Manufacturers, notably in Asia, seem to have built up stocks during the latest restrained economic growth, but we would hope that capro prices would at least stabilise at current levels,” he added.

“Despite other factors such as growing capro production capacities in Asia itself, there remains some prospect of price growth in coming months, but we are a long way from the record capro prices seen in mid-2011,” the source said.

February capro contracts settled at €2,180–2,250/tonne FD (free delivered) NWE (northwest Europe), compared with prices of around €2,700/tonne ($3,553/tonne) seen last summer.

ZAT and fellow Polish chemical producer Zaklady Azotowe Pulawy (ZAP) recently announced that they are pursuing a joint-venture plan to construct a capro plant in either China or Taiwan with a capacity of 80,000-120,000 tonnes/year.

($1 = €0.76)

By: Will Conroy
+44 20 8652 3214

AddThis Social Bookmark Button

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.

Printer Friendly

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