02 October 2013 17:11 [Source: ICIS news]
LONDON (ICIS)--The South African polyethylene (PE) market is extremely short of high density polyethylene (HDPE) and also short of low density polyethylene (LDPE) because of issues following a domestic producer’s maintenance, market sources said on Wednesday.
With the traditional high season in October and November, a supply shortage is having a serious impact.
“We're hanging on for dear life,” a distributor said. “It’s absolute chaos and panic. HDPE, there is nothing [available]. LD, most of the grades there's nothing [available]. Pretty soon LLDPE will be affected as well.”
A trader said: “There’s a hole in supply until [the producer] sorts out the problems. October and November are in the middle of the high season. There’s nothing we can do. Everything is in limbo.”
The problems are said to stem from contaminated feedstock ethylene from the plant in question.
The producer concerned was unable to comment.
It is thought that production at the plant in question may be resumed from 4 October.
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