- Natural clear recycled LDPE films in short supply
- Domestic trades dominate market discussions
Asian recycled low density polyethylene rose Sept. 22 amid snug supply.
Market sources said that bales did not contain high enough proportions of clear packaging scrap to alleviate supply pressures on the natural clear film recycled LDPE pellet market. R-LDPE natural pellet demand also remains particularly strong due to continued high virgin LDPE prices, traders said.
At the other end of the colour spectrum, however, black and grey pellet demand had better availability of darker colored post-consumer waste, sources said.
In trade flows, China seems to be the biggest buyer of the pellets, importing from Southeast Asian countries such as Thailand, Malaysia, Indonesia and Vietnam. However, amid the lack of recycled scrap and difficulty of locating containers for export, export trade for recycled pellets had dried up and many Southeast Asian countries were trying to sell domestically, sources said.
In addition, the prices of domestic pellets were higher than exports, traders said. There were also talks about Chinese agents buying locally in Southeast Asia but this could not be verified, sources said.
India was also heard to have been an importer of recycled pellets, but some sources said that India is predominantly a domestic market.