<article><p class="lead">Polymer trade in India are slowing to a stop after the government on 24 March announced a countrywide lockdown for 21 days to stem the spread of the coronavirus.</p><p>Deliveries of polymers across the country are expected to be significantly impacted. </p><p>At least three India-based petrochemical producers either declared, or intend to declare, force majeure on supplies following the announcement of the lockdown.</p><p>Local administrations have instructed converters to stop operations, except for the production of necessities. </p><p>This will reduce resin demand for polymers from local converters.</p><p>Producers may soon face accumulating inventories as goods cannot be delivered to converters as transportation is paralysed.</p><p>Some ports and warehouses remain open today, but may face significantly reduced manpower and goods unloaded may not reach converter warehouses because of land travel restrictions. </p><p><i>Argus</i> data showed that LLDPE film prices in India were at $800-840/t cfr and PP raffia prices at $890-930/t cfr on 19 March.</p><p>Indian converters have turned to locally produced polymers in recent weeks as the pandemic triggered a sharp drop in the rupee. The rupee was at 76 against the US dollar on 25 March.</p><p>Port closures could also delay shipments of Indian-origin polymers to export markets.</p><p>Deals of Indian-origin LLDPE film were heard done this week at $690-700/t cfr China for May shipment. An Indian producer active in China has not announced if April offers will be delayed as a result of the blockade. </p><p class="bylines">By Muhamad Fadhil, Yee Ying Ang and China staff</p></article>
