Local suppliers in the European market this week offered the lowest spot prices for polypropylene (PP), and quotations for imported volumes of material were too high to be able to work with them, told ICIS several market sources.

Most market sources reported that the lowest prices on the spot market were quotes on the level of EUR950 per tonne FD NWE (North-Eastern Europe), it is possible for only a few euros cheaper in some exceptional cases. However, they also noted that the level of prices no longer be available from foreign suppliers, since a weak euro has made it very difficult to achieve.

One customer said: “Now it is impossible to find the price of the imported material is lower than EUR1 000 per tonne.”

This week, buying activity in the spot market, PP remained low, as buyers have already purchased the necessary volumes for November.

PP market in Europe is now awaiting harmonization propylene contract prices for December to see where prices will move in the PP this month.

As reported by the MRC, the initial price of propylene in Europe for December delivery was agreed at EUR45 lower in November and is on the level of EUR710 per tonne. Price reduction is a consequence of weakening naphtha quotes throughout November, as well as the unstable supply and demand balance.

According to the price review ICIS-MRC, the Russian market of PP buying activity last week was low, the majority of local processors have closed all of its transactions with respect to November of polymer supply. Some companies reported that they started negotiations on December level contract PP prices. On the agreed transactions have been reported, some companies are going to get lower prices.