28 November 2012 17:28 [Source: ICIS news]
LONDON (ICIS)--South Africa's Sasol has increased its December low density polyethylene (LDPE) offers for domestic business, industry sources said on Wednesday.
Sasol's December low density polyethylene (LDPE) offers are at South African Rand (R) 12,950/tonne ($1,465, €1,133), up R500/tonne from R12,450/tonne in November.
"They come off from such a low base, it is necessary for them to drag their LD prices up. December isn't a great month, but there are rumours that this December might be better than average as customers might close later," an importing distributor said on Sasol's LDPE price hike.
South African converters almost always source LDPE from Sasol as it is the sole producer in the country. In addition, imports have come to a standstill because of the recent competitive offers from the producer.
"There are no imports available. You would have been stupid to import," the distributor said.
Meanwhile, the company's December linear low density polyethylene (LLDPE) offers are rolled over at R13,450/tonne.
"Low batches of LL is the reason why Sasol is rolling over LL," the distributor added.
The price movement are unconfirmed at Sasol, but widely confirmed by other market players in South Africa.
($1 = R8.84, €1 = R11.43)
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