Major Indonesian producer lifted local PP, PE offers for the second time

It is reported a major Indonesian producer has announced the second price list this week with additional IDR150,000/ton ($10/ton) hike from the previous trading day after the Rupiah fell to the lowest levels in two decades.

The latest price list is shown in the following table:

Further hike is inevitable given the fact that the local currency might depreciate further against the US dollar in the near term. However, buyers are not aggressive in making fresh buy claiming comfortable inventories levels. "Only small to medium scale converters would continue sourcing homo-PP cargoes, but only purchase in small quantity. We are not confident that local suppliers can achieve the hike target on LLDPE film given the heavy influx in import materials," a trader said.