Argentina’s December PS prices rise by 2.0% for all grades

05 December 2013 22:18 Source:ICIS News

HOUSTON (ICIS)--Petrobras Energia, Argentina’s main polystyrene (PS) producer, has increased prices by 2.0% for all grades of the resin, effective on 25 November, production sources said on Thursday.

The increase, confirmed also by buyer sources, was motivated by inflation and currency devaluation.

A 2.5% increase was successfully implemented in late October, and was in effect for much of November, motivated by similar reasons.

Availability of PS material has been tight in Argentina, curtailed by non-programmed outages at the styrene plant. Production has resumed, and inventories are getting close to normal.

Imports from Brazil have been filling the gaps, but face stronger hurdles as the government delays granting of import permits to prevent loss of hard currency.

With the November increase, general purpose polystyrene (GPPS) prices in Argentina are in the range of $2,584-2,756/tonne (€1,912-2,039/tonne) DEL (delivered), while high impact polystyrene (HIPS) prices were in the range of $2,730-2,930/tonne DEL, according to ICIS data.

($1 = €0.74)

By George Martin