I NDEX

Particulars Page No.

Particulars Page No.
Introduction 01 Demand Supply & Net Availability Snapshot
Exhibit: India HDPE Demand Supply 03
Import Snapshot Exhibit: India All PE Demand Supply 03
Exhibit: HDPE India Import Snapshot 01 Exhibit: India Polymer Demand Supply 03
Exhibit: Import Data Average in 2013 01 Exhibit: India Ethylene Net Availability 04
Exhibit: Geographical Distribution of India HDPE I mports (Volume) 01
Exhibit: Geographical Distribution of India HDPE I mports (Value) 01 Crude Price Movement
Exhibit: Dated Brent/Nymex Crude April Price Movement 04
HDPE India Pricing
Exhibit: HDPE Grades Average Monthly Pricing 01 INR V/ s USD
Exhibit: HDPE Film Monthly Prices (Max/Min) 01 Exhibit: INR Performance against the USD in April 04
Exhibit: M-o-M Average Prices % Change 02
Exhibit: Major Products Price Trends 02 India GDP Growth Projection
Exhibit: HDPE Grades India April Price Movement 02 Exhibit: India GDP Growth Projection 2013-14 04
Exhibit: HDPE Film 1 Year Price Movement (April 2012 April 2013) 02
Exhibit: HDPE Film 3 Year Price Movement (April 2010 April 2013) 03 HDPE April Offers to India
Exhibit: HDPE Offers made to India in the month of April 04
Port Performance 03
Exhibit: Highest Import Volume Countries at J NPT Port 03 Important Global News
Exhibit: Some of the important global HDPE related plant news 04
Feedstock Price Movement
Exhibit: Ethylene April India Price Movement 03 Government of India 5 Year Plan Figures
Exhibit: GoI 11th/12th/13th 5 Year Plans CAGR Figures 05
POLYMERUPDATE
Analysis - HDPE Import Data (April 2013)
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POLYMERUPDATE
Analysis HDPE Import Data
ContactDetails:344,AtoZIndl.Estate,G.K.Marg,LowerParel(w),Mumbai400018,INDIA|Email:[email protected]|Tel:+912261772000(25lines)|Fax:+912261772025 1


Introduction:

HDPE stands for High-Density Polyethylene. It is sometimes also referred to as polyethylene high-density
(PEHD) and sees high import volume into India given its various applications. It takes 1.75 kilograms of
petroleum (in terms of energy and raw materials) to make one kilogram of HDPE. Known for its large
strength to density ratio, HDPE finds applications in Raffia, Blow Moulding, Film, Pipes and Injection
Moulding. HDPE is highly preferred as a sheathing material where it provides high resistance to water
penetration. It is very hard, has low coefficient of friction, and is abrasion resistant. Hence, it is used in
products and packaging such as milk jugs, detergent bottles, margarine tubs, garbage containers and
water pipes.

HDPE is principally used for the manufacture of high-performance pipe, blow-molded household and
industrial bottles, oil bottles, injection-molded food containers, consumer durables and disposable goods
and film goods such as grocery sacks and merchandise bags.

Import Snapshot

Exhibit: HDPE India Imports Snapshot


Source: GoI April 2013 Import Data

The above exhibit gives a snapshot on HDPE India imports in terms of volume imported and monetary
value of the imports that have taken place in 2013. The volume for the month of April was recorded at
29322 MTS which is a 6.59% decline as compared to the volume imported in the month of March. The
monetary value of the imports was Rs. 249 crores which represents a 5.32% decline as compared to the
monetary value of HDPE imported in the month of March. HDPE imports have been on the downside in
this year except for the month of March where it saw a healthy spike.

Exhibit: Import Data Average in 2013


Source: GoI April 2013 Import Data

The above table gives out the average figures for HDPE imported into India in 2013. As we can see, the
average import per month stands at 30769 MTS, the average import monetary value is Rs. 252 crores.
HDPE imports in 2013 have seen an average volume decline of 5.26% per month and an average
monetary value decline of 3.07% per month so far into the year.

For April, HDPE imports have been received from around 22 countries with 26 ports (air/sea/dry) in India
being the destination points.

Exhibit: Geographical Distribution of India HDPE Imports (Volume)


Source: GoI April 2013 Import Data


The Middle East region accounted for 89.69% of HDPE imported into India. Among the countries, Qatar
accounted for 10971 MTS (37.42% of total HDPE imported into India), Saudi Arabia accounted for 9180
MTS (31.31%) and UAE accounted for 3776 MTS (12.88%) of HDPE imports.


Exhibit: Geographical Distribution of India HDPE Imports (Value)


Source: GoI April 2013 Import Data

The monetary value of HDPE imported into India from the Middle East region was Rs. 219 crores. Among
the countries, the value of HDPE imported from Qatar was worth Rs. 90 crores, Rs. 76 crores from Saudi
Arabia and Rs. 34 crores from UAE.


HDPE India Pricing

Exhibit: HDPE Grades Average Monthly Pricing


Source: PolymerUpdate Price Archives (Reliance Ex-Hazira Rs/Kg Basic)

The above table lists out the average prices observed for the respective HDPE grades for the first four
months of the year. Three month average (Feb13 - Apr13) and six month average (Nov12 - Apr13) are
also provided.

Exhibit: HDPE Film Monthly Prices (Max/Min)


Source: PolymerUpdate Price Archives (Reliance Ex-Hazira Rs/Kg Basic)

The above table lists out the maximum and minimum prices that were observed for HDPE Film in the first
four months of the year. The overall maximum and minimum prices for the year 2013 are also provided. As
we can see, the maximum price recorded in the month of April was Rs. 86.46 while the minimum price was
Rs. 84.96.
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POLYMERUPDATE
Analysis HDPE Import Data
ContactDetails:344,AtoZIndl.Estate,G.K.Marg,LowerParel(w),Mumbai400018,INDIA|Email:[email protected]|Tel:+912261772000(25lines)|Fax:+912261772025 2




Exhibit: M-o-M Average Prices % Change


Source: PolymerUpdate Price Archives (Reliance Ex-Hazira Rs/Kg Basic)

The above table lists out the M-o-M changes for the respective HDPE grades considering average monthly
prices. The month of April saw a decline in prices across HDPE grades, similar downtrend was observed in
March too. J anuary and February had both seen uptrend in HDPE prices. As, we can see, HDPE grades
have witnessed a positive net uptrend so far in the year. The Film grade has seen a maximum net upside
of 3.57% so far during the year while the Raffia grade witnessed the least net upside of 1.03% so far into
the year.

Exhibit: Major Products Price Trends



Source: PolymerUpdate Price Archives [HDPE (Reliance Ex-Hazira Rs/Kg Basic), LDPE (Reliance Ex-Mumbai
Panvel Depot Rs/Kg Inclusive of excise duty), LLDPE (Reliance Ex-Hazira Rs/Kg Basic), PVC (Reliance Ex-
Hazira Rs/Kg Basic), PP (Reliance Ex-Hazira Rs/Kg Basic), PS (Ex-Works Rs/Kg Basic), PET (Reliance Ex-
Hazira Rs/Kg Basic), EVA (Reliance Ex-Works Rs/Kg Basic)]

Note: The above table has been formulated by comparing the average price for the particular month as
compared to the average price of the preceding month. If the value is Up, the average price for the
particular month was observed to be higher as compared to the average price for the preceding month. I f
the value is Down, the average price for the particular month was observed to be lower as compared to
the average price of the preceding month. I f the value is Neutral, no change was observed in the
average price of the particular month and the preceding month. We have considered the India price
movements of the following grades: HDPE Film, Blow Moulding, Injection, Pipe, Raffia; LDPE General,
Heavy Duty, Injection, Lamination, Milk Pouch; LLDPE Extrusion Coating, Film, Injection, Rotomoulding;
PP Block Copolymer, BOPP Homopolymer, Injection, Raffia, Random Copolymer, TQ Film; PVC -
Suspension; PET Bottle; PS GPPS, HIPS; EVA. Similar price trends were observed for all grades for a
particular polymer.




Exhibit: HDPE Grades India April Price Movement


Source: PolymerUpdate Price Archives (Reliance Ex-Hazira Rs/Kg Basic)

The above chart gives out the price movement in the respective HDPE grades for the month of April.


Exhibit: HDPE Film 1 Year Price Movement (April 2012 April 2013)


Source: PolymerUpdate Price Archives (Reliance Ex-Hazira Rs/Kg Basic)

The above chart shows the price movement for HDPE Film over a one year time frame. 30 period and 60
period moving averages are also highlighted. HDPE Film prices have seen as overall increase of 1.19%
from the April 2012 to April 2013.





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POLYMERUPDATE
Analysis HDPE Import Data
ContactDetails:344,AtoZIndl.Estate,G.K.Marg,LowerParel(w),Mumbai400018,INDIA|Email:[email protected]|Tel:+912261772000(25lines)|Fax:+912261772025 3


Exhibit: HDPE Film 3 Year Price Movement (April 2010 April 2013)


Source: PolymerUpdate Price Archives (Reliance Ex-Hazira Rs/Kg Basic)

The above chart shows the price movement for HDPE Film over a three year time frame. 30 period and 60
period moving averages are also highlighted. HDPE Film prices have seen an overall increase of 24.01%
from April 2010 to April 2013.

Port Performance

J NPT Port (Indias largest seaport) received the maximum amount of HDPE import shipments into I ndia.
The volume involved was 17129 MTS which is 58.42% of the total HDPE imported into India.

Exhibit: Highest Import Volume Countries at J NPT Port



Source: GoI 2013 April Import Data

The above pie chart shows the countries with highest HDPE
import volume activity at J NPT. The percentages denote HDPE
import shipments at J NPT from the respective countries in
proportion to the total volume of HDPE imported into India.
Imports from Qatar were the highest at 6956 MTS followed by
Saudi Arabia at 4946 MTS and UAE at 2410 MTS.

Feedstock Price Movement

Exhibit: Ethylene April India Price Movement


Source: PolymerUpdate Price Archives (India CFR USD/MT)
Ethylene witnessed a downtrend in prices in the month of April. Ethylene prices were down by 10.66%
during April.
Demand Supply Snapshot

Exhibit: India HDPE Demand Supply


Source: Asia Petrochemical Industry Conference 2013 India Country Report (A:Actual, E:Estimate)

The above table provides the India HDPE Demand Supply Snapshot. HDPE registered a 9% growth in
2012, this is likely to increase to 12% and 14% in 2013 and 2014 respectively.

Exhibit: India All PE Demand Supply


Source: Asia Petrochemical Industry Conference 2013 India Country Report (A:Actual, E:Estimate)

The above table lists out the PE Demand Snapshot for India. As we can see, PE recorded a growth of 12%
in 2012 and likely to maintain the momentum in 2013 and 2014.

Exhibit: India Polymer Demand Supply


Source: Asia Petrochemical Industry Conference 2013 India Country Report (A:Actual, E:Estimate)

The above table lists out the I ndia Polymer Demand Supply scenario. Operating rate is expected to
increase from 83% in 2012 to 86% in 2013 and expected to touch 90% in 2014.


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POLYMERUPDATE
Analysis HDPE Import Data
ContactDetails:344,AtoZIndl.Estate,G.K.Marg,LowerParel(w),Mumbai400018,INDIA|Email:[email protected]|Tel:+912261772000(25lines)|Fax:+912261772025 4


Exhibit: India Ethylene Net Availability


Source: Asia Petrochemical Industry Conference 2013 India Country Report (A:Actual, E:Estimate)

The above table lists out the Ethylene Net Availability for India.

Crude Price Movement

Exhibit: Dated Brent/Nymex Crude April Price Movement

Source: PolymerUpdate Price Archives (USD/Barrel)

Dated Brent prices saw an overall decline of 7.84% while Nymex prices saw an overall decline of 3.72% in
the month of April.

INR V/ s USD

Exhibit: INR Performance against the USD in April

Source: INR price movement is based on mid-market averages and sourced from www.x-rates.com

The rupee saw an overall appreciation of 1.11% against the USD in the month of April. The rupee has
seen a net appreciation of 1.99% against the USD so far in 2013.

India GDP Growth Projection

Exhibit: India GDP Growth Projection 2013-14




Source: Asia Petrochemical Industry Conference
2013 India Country Report

The above table lists out the estimates on Indias
GDP growth for 2013-14 made by various
agencies.

HDPE April Offers to India

Exhibit: Some of the HDPE Offers made to India in the month of April


Source: PolymerUpdate Market I ntelligence

The above table lists out some of the HDPE offers that were made to India in the month of April.

Important Global News

Exhibit: Some of the important global HDPE related plant news


Source: PolymerUpdate Market Intelligence

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POLYMERUPDATE
Analysis HDPE Import Data
ContactDetails:344,AtoZIndl.Estate,G.K.Marg,LowerParel(w),Mumbai400018,INDIA|Email:[email protected]|Tel:+912261772000(25lines)|Fax:+912261772025 5


Government of India 5 Year Plan Figures

Exhibit: GoI 11th/12th/13th 5 Year Plans CAGR Figures


Source: GoI 12th 5 Year Plan on Petrochemicals

The above table gives the Actual CAGR achieved in the 11th 5 Year Plan (2005/06 2011/12) and the
projected CAGR for the 12th 5 year Plan (2011/12 2016/17) and 13th 5 year Plan (2016/17 2021/22)
for HDPE and Ethylene. As per government projections, HDPE is likely to enjoy above GDP growth rates in
the 12th and 13th 5 Year plan periods.

We look forward to receiving any feedback/suggestions on this analysis.


Disclaimer:ThisanalysismakesuseofImportdataprocuredfromtheIndianCustomsonan
as is basis. We have attempted to refine the raw database by removing records with
sweep/reprocessed/offgradematerialshipmentsandrecordswithnonstandardunits.We
haveundertakenourbesteffortsinrefiningthedatabasewhileformulatingourstatistics,
however, customs data is known to include repetitions which is difficult to verify
independentlyandmayhaveinadvertentlygotincludedinthisanalysis.Norepresentation
or warranty, express or implied, is made as to the fairness, accuracy, completeness or
correctnessoftheinformation/opinionscontainedherein.Itisadvisablethatallfiguresbe
consideredasapproximate.

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