24 July 2013 17:18 [Source: ICIS news]
LONDON (ICIS)--Despite the ongoing political unrest in Egypt, polypropylene (PP) market conditions are improving, a buyer said on Wednesday.
“We're in a better position than one month ago,” the source said. “We threw out our president, customers are buying, the economy is booming. Banks are in a better position, the problems are in the street for the allies of terrorists.”
Much of the improvement is thought to stem from a $12bn aid package of cash, loans and fuel to Egypt from the UAE, Kuwait and Saudi Arabia.
“It’s much better,” the source continued. “Hard currency increased by eight billion dollars. The media does not transfer that, they concentrate on demonstrations in the street. We have a good government, a good president.”
The source added that Egyptian producers are still producing volumes, despite the unrest.
Two weeks ago, another buyer spoke of problems with the transportation of material.
These problems now appear to have improved, according to the first buyer.
Furthermore, while some Middle East producers have recently been reluctant to do business with Egypt, deeming it too risky, this improvement in the country's financial situation may see confidence increase.
A homopolymer raffia producer said that it hopes to be doing business with Egypt again soon.
|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