POLYPROPYLENE

Polypropylene prices in Asia have moved up to US$1480/MT in the week of January 21, 2008. Prices in Asia have not moved up in proportion to rising feedstock prices and limited supplies, mainly due to quiet market conditions. Most sellers had concluded deals for Jan shipment at last weeks' US$1460 level. Offers from Indian producers have been heard at the current high values, while February offers from South Korean suppliers are awaited. Rising propylene values will eventually catch up with downstream prices, ending in at least thirty dollar hike from current polypropylene values.