IOCL LLDPE 2 MFI SLIP (020F18S - PRIME) in Mundra

Polymer prices reflect continued market weakness as both supply and demand face challenges. Increased production and imports are pressuring supply, while limited demand follow-up and inventory replenishment dominate downstream activities. Maintenance shutdowns by major producers like Reliance aim to stabilize operations.

Polyethylene (PE) prices remained stable domestically, with minor adjustments across segments. Global markets faced bearish sentiment due to weak demand, oversupply, and cautious trading in Asia and the US. Indian suppliers reduced prices to clear inventories, while processors began stockpiling. Recovery is unlikely in the near term due to market uncertainties.

Polymer prices remain stable with minor fluctuations in specific grades. Domestic PE supplies are expected to increase as key Indian producers resume operations. Import demand stays limited amid uncertainty and inventory losses. International polymer production restarts and a higher exchange rate for import valuation add to market dynamics.

LLDPE prices in January 2025 show upward trends due to tight supply pressures, with 2 MFI Non-Slip priced at Rs. 89190/MT. However, downstream demand remains weak. Key industry developments include maintenance shutdowns in China and Saudi Aramco's propane price cuts. Experts predict continued challenges due to subdued demand and tight cash flows.

Polymer prices remained largely stable, with slight fluctuations in select grades like HDPE PE100 Natural (-₹2/kg) and LLDPE (+₹0.5/kg). Demand for HDPE blow and PVC is declining as PET gains market share. Virgin polymer markets see routine orders but below expected levels. Global trends include price hikes and plant maintenance updates.

HMEL offers a range of polymer products in Ahmedabad, including 2 MFI Non-Slip at INR 89,190 per MT, Extrusion Coating at INR 98,760 per MT, 1 MFI Slip at INR 88,870 per MT, and Roto Moulding at INR 96,590 per MT.

India's polymer market is facing oversupply due to increased domestic production, with major players like RIL ramping up capacities. Coupled with stable or declining demand and supply chain uncertainties, prices of key polymers have dropped. Globally, stable ethylene prices and economic changes, such as Mexico's interest rate cut, continue to influence the market.

The polymer market remains subdued with minimal price changes and declining demand for LDPE and LLDPE grades, particularly in electrical pipe applications. Crude oil price gains and propylene price increases in Asia signal potential market shifts.

Polymer prices remain largely stable in December, with minor fluctuations across grades. Supply adjustments and seasonal demand trends suggest potential price strengthening in early 2025. Industry rationalization, including plant closures, and anti-dumping measures in global markets are expected to shape the dynamics.