The contract price of propylene in Europe for December delivery was finally agreed at the level of EUR725 per tonne, which is below the level of EUR30 November prices, ICIS reported some market participants.

Three producer and three consumer directly confirmed this approval of the contract price, which had been approved under the terms of FD NWE (North-Eastern Europe).

Earlier this week, another major producer and two customers in Europe have agreed on the original contract price for the supply of propylene in December at the level of EUR710 per tonne, which is below the EUR45 price level in the previous month. However, the price did not find the necessary support in the market.

The contract price is considered to be completely harmonized after its confirmation by at least two producers and from two users. This price is the price without discounting, while a manufacturer may give discounts depending on the conditions of supply and the volume of purchases.

As reported earlier MRC, propylene contract price for deliveries in Europe in November, had been finalized at the level of EUR755 per tonne, which is above the level of October EUR30.

Propylene is the main raw materials for the production of polypropylene (PP).

According to the price review ICIS-MRC, the Russian market of PP this week started negotiations on the December level of contract prices of Russian PP. Opinions were divided Russian producers. Some manufacturers are discussing a decrease in prices for 750-2 000 rubles. per ton. Some manufacturers intend to extend the November rates.