Egypt PE, PP buyers face substantial January price hikes

08 January 2014 17:20 Source:ICIS News

LONDON (ICIS)--Egyptian buyers of polyethylene and polypropylene face significant price hikes because of a shortage of material, sources said this week.

“In Egypt we see a big increase because of maintenance at a local producer’s,” a Middle East producer of HDPE said.

“They’re [Egyptian buyers] buying from the Middle East instead.”

The source added it achieved an increase of $70/tonne above December prices.

A producer of homopolymer raffia said: “We achieved more than we announced. $20-30/tonne more than expected, especially for Egypt.”

“[An Egyptian PE producer] has a production issue for the time being,” a distributor said.

“They are able to deliver only the injection grades, but the BM [blow-moulding] and film grades will not be delivered before early February.”

This could not be confirmed with the producer in question.

An Egyptian producer of homopolymer raffia said its production has now returned to normal: “Last month we had problems but we’re back to normal,” the source said, adding it suffered technical issues and a shortage of feedstocks.

By Jo Pitches