Reliance Industries Limited, India’s largest player in the polyester value chain, has sharply increased the prices of purified terephthalic acid (PTA) and MELT for the current week. However, the rate of monoethylene glycol (MEG) remained unchanged. It is said that the steep rise in the prices of polyester raw materials in the Chinese market supported a similar move by Reliance.
According to market sources, RIL fixed prices as PTA at Rs. 84.90 per kg (an increase of Rs. 3.70), MEG at Rs. 56.50 per kg (unchanged), and MELT at Rs. 89.04 per kg (an increase of Rs. 3.18). The pricing of polyester raw materials will come into effect from the coming Saturday.
At the beginning of this fortnight, the company kept the price of polyester staple fibre (PSF) unchanged at Rs. 106 per kg. But it can also be revised upward by Rs. 2 per kg for the next fortnight, as per the sources.
The company sets prices for polyester raw materials based on the price trends in China and fluctuations in crude oil. The Indian market follows the price trend of Reliance as it is the dominating player in the country.
Sources said that cheaper crude oil prices should guide polyester raw materials’ prices downwards. However, PTA and MELT have noticed a steep increase in the Chinese market, which encouraged Reliance to follow the same trend.
