MOSCOW (MRC) - SIBUR's Biaxplen held a customer day on March 12, where they discussed the situation on the polypropylene (PP) market with customers, the manufacturer said.
The following topics were discussed: prerequisites for the growth of the cost of basic raw materials for the production of BOPP films, forecast of changes in prices for finished products and solutions to stabilize the situation on the market. The meeting was attended by over 100 Biaxplen client companies from Russia and the CIS countries.
It is noted that the company was forced to correlate prices for its products due to the rise in the cost of basic raw materials, which causes concern among consumers. In this situation, it was important for the company to explain to customers the true reasons for the rise in prices and discuss joint actions to respond to the situation and find solutions to stabilize the Russian BOPP film market.
Georgy Martirosyan, Senior Marketing Manager of the Basic Polymers Directorate of SIBUR, in his speech described the situation in the polypropylene and BOPP films market and predicted the development of events in the short term: “Polypropylene is now a very popular product all over the world. part of the capacity in Europe and America, the rise in prices for chemical products in the world and other factors, prices for it have skyrocketed. "
Alexey Gich, Head of Sales in Russia and the CIS at Biaxplen, assured the partners that the Russian market remains a priority for the company, and noted that it is already using various tools to curb the rise in film prices (for example, price fixing for up to 2 months) in order to give partners time to orient themselves in the changing economic situation. "This is a good platform to travel together the path of new challenges," Alexey Gich shared his opinion on the meeting. "In such a dialogue, issues that are significant for the industry can be resolved. Such events improve communication with the market, help to discuss with clients various models of fair and correct distribution of price increases. throughout the flexible packaging industry. "
Earlier it was reported that since the beginning of January, the Russian polypropylene (PP) market has been showing a stable rise in prices under the pressure of the situation in foreign markets. High PP prices in certain regions of the world and, as a result, a good export alternative put serious pressure on PP prices in Russia. Since the beginning of the year, prices for propylene homopolymer (PP-homo) have increased by more than 10%.
According to MRC's ScanPlast, the total volume of PP production in Russia increased by 8% in the first two months of this year compared to the same indicator in 2020 and amounted to about 350,000 tonnes. All manufacturers, except for Nizhnekamskneftekhim, have increased their operating time.
Biaxplen is a subsidiary of the SIBUR petrochemical holding, the leader of BOPP in Russia. Production capacity - 180 thousand tons per year, 8 high-speed lines. Brand assortment - over 40 types. Production sites are located in five regions. The products are exported to 27 countries.
MRC