Vinyl Acetate Monomer Weekly Report 21 April 2018

Weekly Price Trend: 16-04-2018 to 20-04-2018

• The graph above focuses on the Vinyl Acetate Monomer price trend for the current week.
• There has been rise in domestic values for VAM. The local demand has compelled the prices to go on high range.
• By end of the week prices were assessed around Rs.88/Kg for Kandla port and Rs.90/Kg Mumbai port.

Booking Scenario

The above chart shows the international prices for Vinyl Acetate Monomer. International prices of VAM increased heavily again for this week.
VAM with zero duty was available at USD 1230/MT in for traders.
INDIA & INTERNATIONAL

• VAM prices were assessed at the level of Rs.88/Kg at Kandla and Rs.90/Kg for Mumbai port bulk quantity. There has been significant hike in domestic market.
• On other side prices in international market witnessed a rising trend. Prices were assessed in the range of USD 1220-1240/MTS, increased by USD 30/MTS in compare to last week’s closing values.
• There has been significant hike in VAM prices in Asian market. One of the leading manufacturers of VAM, Celanese has increased its Ex China values by USD 100/MTS this week. The Reason specified for this hike is high cost of Acetic Acid and Ethylene which are its feedstocks.
• End users and traders do believe that this hike is unbearable for India buyers because many consumers will restrict their consumption for May as slowdown in demand is expected in the month of June and July due to monsoon showers. Moreover the feedstock values are not so high as specified by the company so its is difficult to digest these values.
• The crude prices have seen a new height since 2014 due to ongoing in global supply with Saudi Arabia intending for prices to still go high in the international market.
• The previous oversupply of crude is no more in the international market. Experts believe that reaching the marl of $ 70 is very near in the future.
• Oil prices have escalated through the week but on Thursday prices have remained mixed. On Thursday, closing crude values have decreased. WTI on NYME closed at $68.29/bbl; prices have decreased by $0.18/bbl in compared to last closing prices. While Brent on Inter Continental Exchange increased by $0.30/bbl in compared to last trading and was assessed around $73.78/bbl.

$1 = Rs. 66.03
Import Custom Ex. Rate USD/ INR: 66.70
Export Custom Ex. Rate USD/ INR: 65.00