Net levels are still reported in a wide range, at €1,320-1,390/tonne FD (free delivered) NWE (northwest Europe), with the bottom end widely seen as representative of imports and the top end from the preferred supplier in Europe.
Some sellers had spoken of increases of up to €40/tonne for April, but as one major seller has rolled over C4 (butene base) linear low density polyethylene (LLDPE), it could prove hard for other sellers to squeeze out an increase, particularly as the April ethylene contract fell by €15/tonne and imports affect sentiment in the MLLDPE sector.
A couple of producers are still targeting increases of €20/tonne.
The ethylene contract settled at €1,165/tonne FD NWE last week, but since the settlement spot ethylene has fallen and a spot price of €865/tonne was said to have been done this week.
Most buyers said that the MLLDPE market has no shortage of supply and therefore they see no reason to pay an increase. They argued that if March prices roll over into April, producers will have already gained a €15/tonne spread improvement because of the drop in the April ethylene contract price.
Discussions are expected to be protracted for monthly business.