Despite US$40 increase in Korean PP offers to Peru, prices continue to be competitive

23-Feb-12

South Korean polypropylene offers to Peru saw a US$40/mt hike in the week, rising to US$1650/mt CFR for homo-polymer and US$1700/mt CFR for co-polymer, as per Platts. Prices continue to be competitive despite these recet price hike and are at par with Indian offers. India is offering homo-polymer at the same price as Korea but with longer delivery times. Resin delivery time from India to Peru was 60 days, while it was 35 days from Korea. Bids in the Peruvian market were around US$1620/mt CFR for homo-polymer PP and at US$1670/mt CFR for PP co-polymer. Feb PP offers from Columbia to Peru were almost US$200/mt more expensive than Asia at US$1840/mt CFR for homo-raffia, US$1860/mt CR for homo-film and US$1900/mt CFR for co-polymer. European homo-polymer offer to Peru was heard at US$1700/mt CFR, while the US was offering higher at US$1950/mt CFR. Offers from Brazil for February were few due to programmed maintenance shutdowns at Braskem in December.