• Players hoped that Middle Eastern PE demand would pick up in H2 April after festivities but it remained low in all regions;

• Producers and traders have high hopes for May though;

• One of the major producers has lowered prices for most PE grades by $20/t to encourage buying activity this month;

• Saudi Arabia’s Tasnee has decreased its prices for blow-moulding and caps&closures HDPE by $20/t in the Gulf Cooperation Council (GCC) states for May dispatch;

• Pipe grades by Tasnee have held its value in GCC;

• Producer has increased LDPE prices by $30/t, although, players have yet to report any LDPE production or supply issues in Saudi Arabia;

• Suppliers expect players to restock more actively after depreciation and ahead of Hajj that celebrated in mid-June;

• Middle Eastern PE markets are traditionally active during May, June and July;

• Demand has yet to pick up this week and supply has been more than sufficient;

• Qatari producer has declared FM on LDPE production at one of its plants in H2 April;

• Only a few Turkish customers have complained about a lack of Qatari material so far;

• Pakistani and Indian buyers have showed the most interest in the Middle Eastern material lately;

• Suppliers have complained about demand from China and Turkiye;

• Logistical situation remains difficult due to Red Sea crisis, freight rates and lead times are still high;

• Interest for Iranian PE is lacklustre due to high commodity and delivery prices

Domestic demand will pick up gradually this month. It will be at its peak in mid-May or H2 of this month. Demand is likely to be moderate to good due to PE depreciation and anticipated restocking ahead of Hajj. Supply will be sufficient in domestic markets and exceed in the export ones due to lacklustre demand. FM at Qatari plant is a negative influence but a minor one so far. Saudi Arabian producers are likely to increase domestic PE prices by $20/t next month if demand improves. If sales will be dissapointing than a roll over is more likely. The export market may pick up somewhat after suppliers have revised its quotes down but strained logistics will keep depress it as buyers still complain about high delivery costs and long lead times.