Egypt PE, PP buyer urges 'no need to panic' over political unrest

10 July 2013 10:53  [Source: ICIS news]

LONDON (ICIS)--There is no need for the polymer markets to panic because of the unrest in Egypt, a polyethylene/polypropylene (PE/PP) buyer based in the south of the country said on Wednesday, adding that the supply and demand curve is still present.

However, logistics are a problem.

“We’re safe, it’s not as bloody here as in Cairo,” the source said. ”Of course, we’re affected as our customers are in the north [of Egypt]. We’re selling, but not as fast or as frequently. The problem is delivery.”

The buyer added that Egyptian polymer producers are still producing material.

“Producers in Egypt are still producing,” the source said. “Stocks are growing, they’re producing to make good stocks for when things are better.”

In response to concerns from other African PE and PP market participants regarding any possibility of the Suez canal closing, the buyer said this is unlikely to happen.

It’s not as bad as last year, concerning the Muslim Brotherhood [and the] effect on the economy,” the source said.

By: Jo Pitches
+44 208 652 3214

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