Vinyl Acetate Monomer Weekly Report 24 June 2017

Weekly Price Trend: 19-06-2017 to 23-06-2017

• The graph above focuses on the Vinyl Acetate Monomer price trend for the current week.
• VAM prices remained soft-to-stable throughout this week. In compare to other petrochemicals there has been slowdown in domestic values for VAM throughout this week.
• By end of the week prices were assessed around Rs.72/Kg for Kandla port and for Mumbai port.

Total import of VAM in the month of May 2017

The above chart depicts the import of VAM in the month of May 2017.
Booking Scenario

The above chart shows the international prices for Vinyl Acetate Monomer. International prices of VAM decreased slightly for this week in compare to last Friday’s assessed level.
INDIA & INTERNATIONAL

• VAM prices were assessed at the level of Rs.72/Kg at Kandla and Mumbai port for bulk quantity.
• On other side, CFR India values reduced slightly for this week. Prices were assessed in the range of USD 850-870/MTS, reduced by USD 10/MTS in compare to last week’s closing values.
• Dairen Chemical Corp is planning to shut its VAM unit for maintenance turnaround. The unit is likely to go off-stream in the month of July 2017. It is expected to remain off-stream for around two weeks but the date for restart of unit is uncertain.
• Unit is based at Jurong island in Singapore and has the production capacity of 3,50,000 mt/year.
• This week oil prices followed mixed trend. The oil market posted its worst performance in the first six months in last two decades effectively signaling its refusal to accept the effectiveness of the OPEC statement and its desire for further production cuts.
• As per report, OPEC and Russia tried to stabilize prices with cuts at around $50-$60 per barrel, but this week Brent prices fell toward $44 per barrel on persistent oversupply worries.
• On Thursday Crude oil rose moderately following a Wednesday in which the commodity bottomed just above $42 per barrel.
• On Thursday, closing crude values have increased.WTI on NYME closed at $42.74/bbl, prices have increased by $0.21/bbl in compared to last closing prices. While Brent on Inter Continental Exchange increased by $0.40/bbl in compared to last trading and was assessed around $45.22/bbl.
• OPEC ministers and officials have said the cartel would not rush to deepen production cuts from the current four percent to arrest the price decline. They said the group would rather wait until existing joint cuts with non-OPEC Russia finally result in a global stocks decline during the third quarter when demand for crude oil is usually strong.
• OPEC and Russian sources also told that there were few signs the group is preparing any extraordinary action ahead of a joint ministerial monitoring committee meeting in Russia at the end of July.

$1 = Rs. 64.52
Import Custom Ex. Rate USD/ INR: 65.15
Export Custom Ex. Rate USD/ INR: 63.50