Local ethylene-based PVC offers on cash, EXW Mumbai basis (excluding 18% GST in all terms)
As contacted by SSESSMENTS.COM’s team, the leading Indian PVC producer calculated the gap between the producer’s offers and open market prices. Currently, offers from the producer stand at INR68,500/ton ($911) on cash, EXW Mumbai basis and excluding 18% GST. According to the producer, the offers are between INR3,000-4,000/ton ($40-53/ton) lower compared to offers in the open market.
The producer also shared prediction about how long the current state of demand will sustain to SSESSMENTS.COM. At the moment, demand for PVC in India is considered healthy and reaching 60-70% of the normal demand before the Coronavirus outbreak. Converters are mostly running at 70% of the normal rate. Meanwhile, the availability of materials is limited. The producer is running at 95% of the normal capacity. “Traders do not have much volume to offer, so local producers’ sales are good,” the producer said.
The producer opined that the good demand will last until the end of June for the southern part of the country whereas, for the northern part, healthy demand might sustain up to the first half of July. After that, the monsoon will start. “We will have to see to what extent the monsoon this year will affect demand,” the producer told SSESSMENTS.COM.
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Tags: Asia Pacific,English,India,News,PVC
Published on June 2, 2020 1:15 PM (GMT+8)Last Updated on June 2, 2020 1:15 PM (GMT+8)
