High demand to boost Biaxially Oriented Polyethylene Terephthalate (BOPET) and Biaxially Oriented Polypropylene (BOPP) market

Biaxially Oriented Polyethylene Terephthalate (BOPET) and Biaxially Oriented Polypropylene (BOPP) markets prospered in Europe and South Asia, with raw material PET following the same trend. In contrast, the BOPP market flourished globally owing to the increasing raw material polypropylene price. Thus, the price rebounded and settled at USD 2923/MT BOPET Film 13-micron DDP west coast (USA)

The raw material polypropylene for BOPP has been rising in Far East Asia, Southeast Asia, and Pakistan. This is attributed to more substantial import offers from overseas suppliers, coupled with tight product availability in the region. Inline, China being the major exporter of PET, has seen weak market sentiment with transport restrictions due to the current resurgence of covid in some provinces of China.

Further, Biaxially Oriented Polyethylene Terephthalate (BOPET) film prices rose in the H2 of Q1 on the back of high demand from the downstream sectors. The packaging and electronics sectors have increased domestic market consumption bolstered by seasonal change picking up the order. Thus, the BOPET price rose significantly and was assessed at INR 166930 per MT, whereas in China Biaxially Oriented Polyethylene Terephthalate market followed a downward trend in Q1 with less demand influx from the food packaging industry amidst the Russia Ukraine war hampering the exporting of the product in domestic as well as overseas market. In March, BOPET Film 13 µ (Spot) price settled at USD 1900 per MT on Ex- Shanghai (China).

Biaxially Oriented Polypropylene (BOPP) market measured a significant growth in March. The demand from downstream food packaging remained strong, even though consumers struggled to secure their material throughout the quarter. Manufacturers also reported that rising feedstock Polypropylene prices have further contributed to the increased cost pressure on BOPP in the Asian market. Limited domestic production of Polypropylene and unavailability of imports from South Korea and Saudi Arabia amid the rising crude oil value exacerbated the production and culminated in the rising price of BOPP with an increased downstream supply chain.

According to the ChemAnalyst database,” the price trend of BOPP and BOPET is expected to show buoyancy with higher demands from the downstream food packaging industry.”