April PVC sold below March deal level in Thailand

12-Apr-10

A Thai producer reported that they have concluded most April business in the local market this week, with their done deal prices standing at US$1086-1117/ton FD Thailand, 60 days deferred payment, as per Chemorbis. This indicates that producer’s sale price for April stands US$31-47/ton below March done deal level. Interestingly, the producer has attributed satisfactory sales performance to the fact their offers are competitive when compared with those of other sellers. With the week-long Thai New Year holidays set to begin next week, Thai producers have proved willing to offer attractive prices to their customers in order to conclude their monthly business ahead of the holidays. The holidays have also taken a toll on the wider Southeast Asian market, as the week long absence of Thailand and some of its neighbors from the market is projected to result in lower regional PVC consumption in April. Relatively depressed holiday demand from the local market has also prompted Thai producers to shift a comparatively larger part of their allocations to the export market this month.