Braskem, the only polyethylene producer in Brazil, increased offer prices for its domestic market by Reais 250/mt ($138/mt) for April, a company source said Monday.
"We decided it was the right moment to try to pass a price jump due to two main factors. One was because the raw material prices went up for April, and the second because of the strength of the dollar against the Real, which has been blocking the import resin interest since last month," the source said.
After the hike, Braskem was offering HDPE blow molding at Reais 4,775/mt CIF ($2,638/mt), HDPE injection and film at Reais 4,790/mt CIF ($2,618/mt).
LDPE offer was at Reais 4,950/mt CIF ($2,734/mt) and LLDPE butene at Reais 4,700/mt CIF ($2,596/mt), all the prices with pis/coffins.
Meanwhile, a trader in the Brazilian market said the resin import market was still slow this week due to the strength of the dollar against the Real and because Asian offers had an increase of $40-60/mt compared with last week.
"If the dollar value doesn't go down and Braskem doesn't announce another price increase for the second half of the month the import market in Brazil is going to be very slow," the trader said.
Asian polyethylene offers to Brazil with the increases were at $1,640/mt CFR for LDPE film, $1,600/mt CFR for HDPE injection and blow molding and at $1,550/mt CFR for LLDPE butene.
