Feedstock, Olefins and Aromatics
Europe butac prices assessed up by 20-30/tonne
ICIS News : 4-Oct-13 23:59
LONDON (ICIS)--European butac prices are assessed up 20-30/tonne this week following producers targeting October price hikes of 35-100/tonne ($48-137/tonne).
While the October contract price of feedstock propylene settled at a decrease of 40/tonne from September, butac producers were nevertheless keen to repair margins damaged by an inability to pass on increased feedstock costs of 110/tonne during August and September.
Some butac producers say they have achieved increases of 50-80/tonne.
We definitely achieved an increase for October, 1080/tonne [is our] minimum, one producer said. Our cutomers understood [our need to increase prices]. It was an increase of 70-80/tonne.
The previously long market is now deemed more balanced because of both maintenance upstream and improved demand.
However, distributors did not necesssarily agree.
[Producers achieved] 10-20/tonne [increases], a distributor said. From my point of view, a rollover is expected. Demand is quite stable, not too much.
Negotiations are ongoing for some participants.
By Jo Pitches
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