Shortage of injection moulding grade of HDPE – 21 Aug 2014

Major Indian market is going under shortage of Injection molding grade of polymers. This shortage is biggest  for Injection Moulding (IM)grade of HDPE. The main reason behind this shortage is irregular supply from major domestic producers while demand from the end users is strong, especially from Houseware sector.

On communication with different traders and end users about this shortfall, Indianpetrochem gathered that the upswing in demand from the Housing sector is due to the increase in export by this sector.

Our sources from Chennai market have informed that IM grade of HDPE material is going through a dry out phase. However, demand is moderate and imported material has started arriving at the Chennai port. As a result, the open market prices have become quite stable.

Traders believe that the problem of short supply will be resolved soon as imported material would be available in the market in abundance. He further added that price movement is expected to remain uncertain.

On, 21 August 2014, price of IM grade of HDPE and PP were reported in Chennai and Mumbai market at  130-131 and 122 Rs per kg and 133 and 124 Rs per kg, respectively.