Home / Knowledge / News / Textiles / RIL sees 7% q-o-q rise in polyester demand in Q4FY18
RIL sees 7% q-o-q rise in polyester demand in Q4FY18
28
Apr '18
Courtesy: RIL
Courtesy: RIL
Domestic polyester demand was recovered at Reliance Industries Limited (RIL) with demand improving in the fourth quarter of 2018 by 7 per cent q-o-q and 11 per cent y-o-y. During FY18 polyester chain margins remained healthy with slower capacity growth relative to demand growth. This supported operating rates and favourable margins for integrated players.

In the fourth quarter of fiscal 2018, polyester markets were marked by slow recovery in the Chinese downstream market impacting delta in a firm intermediates price environment. PFY prices gained 4 per cent q-o-q while delta declined 12 per cent q-o-q to $ 274/MT. PSF prices improved by 5 per cent q-o-q and delta dipped 14 per cent q-o-q to $ 214/MT. PET markets however remained buoyant amidst expectations of good seasonal demand. PET prices gained 12 per cent q-o-q and margins firmed up by 28 per cent q-o-q to $ 206/MT.

"Polyester markets remained healthy and producers were able to pass on increase in cost to the downstream units. In fiscal 2018, PFY price increased 13 per cent y-o-y with delta firming by 14 per cent y-o-y. The Chinese ban on imports of recycled feed continued to support virgin polyester markets – as a result, PSF prices increased by 17 per cent y-o-y; with delta strengthening by 40 per cent y-o-y. Global PET markets remained tight due to shutdowns in western markets, which aided Asian players. In the reported period, PET prices firmed up by 14 per cent y-o-y and delta gained by 19 per cent y-o-y," RIL press release said.

Reliance polyester chain expansions have stabilised and are operating at optimal rates. In fiscal 2018, RIL polyester chain production increased by 25 per cent y-o-y reflecting commissioning of new capacities. Fibre intermediates production in FY18 increased to 9 MMT from 6.8 MMT and polyester production increased to 2.4 MMT from 2.2 MMT. RIL has successfully captured the upcycle in polyester industry with timely expansions across the chain.

Intermediate markets strengthened, tracking oil and naphtha markets. PX price was higher by 5 per cent y-o-y, however margins were weaker by 10 per cent y-o-y due to higher feedstock prices. PTA price firmed up 9 per cent y-o-y in line with the upstream prices, supported by tight supplies and firm demand. PTA delta firmed up 31 per cent y-o-y and remained above 5 year average. MEG markets also remained buoyant with tight supplies and strong demand. FY18 price firmed up 23 per cent y-o-y and delta was higher by 26 per cent y-o-y.

During the fourth quarter of 2018, fibre intermediate markets remained strong with robust downstream demand and tight supplies. PX prices gained 8 per cent q-o-q and delta firmed 19 per cent q-o-q to $ 371/MT. PTA prices gained 10 per cent q-o-q and margins strengthened by 19 per cent q-o-q to $ 150/MT. MEG prices firmed up by 8 per cent q-o-q and delta gained by 13 per cent q-o-q to $ 598/MT. (RR)

Fibre2Fashion News Desk – India


Must ReadView All

Sales tax reduced for Pak textile, leather sectors

Textiles | On 20th Nov 2018

Sales tax reduced for Pak textile, leather sectors

Pakistan’s Federal Board of Revenue (FBR) recently issued procedure...

US may include RMG in revised duty free Nepali items list

Apparel/Garments | On 20th Nov 2018

US may include RMG in revised duty free Nepali items list

The United States is interested to revise the list of Nepali products ...

Courtesy: Microsoft

Information Technology | On 20th Nov 2018

Gap partners with Microsoft for digital transformation

Gap has established a strategic partnership with Microsoft to drive...

Interviews View All

Mandeep Nagi, Shades of India

Mandeep Nagi
Shades of India

Women value something that is unique and has a flavour of India

Stefan Warnaar, Peak to Plateau

Stefan Warnaar
Peak to Plateau

People are willing to pay for quality and performance

Jim Desai, Blaiva Fabricaa

Jim Desai
Blaiva Fabricaa

Fashion industry likely to remain labour-intensive in coming years

Urmil Arya,

Urmil Arya

Sushila International, a well established textile organisation established ...

Anupam Arya,

Anupam Arya

<div>Jaipur-based Fabriclore Retailing Pvt. Ltd. is attempting to revive...

Himanshu Jariwala,

Himanshu Jariwala

J Korin started as a partnership firm with four powerlooms in the textiles ...

Prof Seokheun (Sean) Choi, Binghamton University, State University of New York (SUNY)

Prof Seokheun (Sean) Choi
Binghamton University, State University of New York (SUNY)

A team of researchers from the State University of New York (SUNY),...

Isabel Herranz, European School of Business & innovation

Isabel Herranz
European School of Business & innovation

Cutting-edge ideas like the Internet of Things and artificial intelligence ...

Kerem Durdag, Biovation II LLC

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Sidharth Sinha, Sidharth Sinha

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Yash P. Kotak, Bombay Hemp Company

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Tony Ward, Tony Ward

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


November 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Advanced Search