Chemicals & Plastic Based Raw Material Cost Expected To Ease Up Post April 2021

person access_time   3 Min Read

The Raw material prices have been on a frenzy rise after September 2020. The year 2021 is expected to bring calming effect with vaccine arrival and with pent up demand settling down. The global supplier kind of ‘raw material processing plants’ will be in full efficiency with normalcy approaching in financial year 2021-22 thus bringing a stability in supplies’ believe industry experts of chemicals and resins field.

The impact of sea freight and international shipping cargo companies is expected to reduce with many of the firms coming back to normal operations in 2021. The freight prices are expected to come down significantly that will also help to bring soothing effect to extreme prices observed in commodities during 2020.

The price correction is expected in second half if any major disruption does not disturb the market and logistic feel industry analysts. The domestic consumption market is also expected to stabilise with consolidation happening in construction and reality sector. The badly hit sectors like offices, hotels and public places are expected to take longer time to recover hence any new demand push for raw materials does not seems to be picking pace soon. The rally seen in PP, PE, PVC segments during Q3 of 2020 is certainly cooling down and prices for these commodities will see a correction once all plants become operational. Year 2021 is expected to offer relief over all in raw material front and bring better prospects for manufacturers in laminate and PVC based category is a positive hope coming from industry experts.

You may also like to read

shareShare article