MOSCOW (MRC) -- Kazanogsintez, Russia's only polycarbonate (PC) producer, maintained its PC production the same as in the corresponding period last year - 6,400 tonnes, according to MRC ScanPlast report.
Despite oversupply of material in the market and low buying activity, the producer does not plan to reduce its output this year. The surpuss of material is being exported, mainly to China. Thus, January exports totalled over 2,000 tonnes.
At the same time, the plant's production structure remained the same: extrusion grades accounted for more than half of it, which corresponds to the consumption structure of the Russian market.
At present, Kazanorgsintez is preparing for the spring season (April-May) and overstocking its warehouses with extrusion grades. Market players said they expect demand to be very strong. The important factors are the State Program of Agriculture Modernization, as well as the introduction of a new standard on PC sheets for the construction market. Prices of Russian PC granules are expected to equal the prices of imported material by the peak season in early May.
The producer does not plan to carry out maintenance in the near future because of the need of uninterrupted supply of both the domestic and foreign markets with the material.
MRC