PP price stays almost unmoved in Indian markets on buyers restricting purchases in ending fiscal – 28 Mar 2014

Demand for PP has not gained active momentum in Indian markets even after Reliance Industries Limited assuring price protection, subsequent to lowering its ex-work price for the polymer in its last price revision. Market participants attributed the inactive demand conditions in the country's markets in respect to the polymer to buyers refraining from purchases in the closing days of fiscal.. A Mumbai-based trader told the website, "Demand for PP is not active as buyers have restricted purchases to avoid cash outflow during the ending fiscal." He further said," In such conditions, there is no notable fluctuation in price of the polymer. The demand is likely to strengthen in the next month. " 
 

A Delhi-based trader also articulated a similar market situation, attributing the ending fiscal to prevalence of dull demand conditions in the market for polymers, including PP. He also said that there is no shortage of PP stocks in the market.
 

In the Mumbai market, a trader quoted the prevailing price of the Raffia and Injection Moulding grades of the PP material at Rs 122-124 a kg and Rs 119-120 a kg respectively.
 

The market situations indicate that the probability of producers rolling over their ex-work prices in the next price revisions is high.