Import Duty Exemption Ends Today; Rupee Strengthens While - Crude Returns to Pre-War Levels

The global polymer market continues to favour buyers as multiple macroeconomic indicators turn positive. The Indian Rupee has strengthened against the US Dollar and is expected to remain firm as geopolitical tensions in the Middle East ease. A stronger rupee improves import economics and reduces the landed cost of imported polymers. Brent crude oil has declined to USD 73.66/bbl, bringing crude prices back to pre-war levels. Lower energy costs are expected to reduce feedstock costs across the petrochemical value chain, creating a favourable environment for softer polymer prices. At the same time, improved material availability and lower crude prices are expected to reduce polymer import costs over the short to medium term. However, global demand remains weak, and producers continue to face pressure to move volumes, keeping overall market sentiment cautious. Polymer Futures PP: USD 957/MT ▲22LLDPE: USD 903/MT ▲7PVC: USD 572/MT ▼6 Important Policy Update Today is the final day of India's temporary import duty exemption on major polymers. If no extension is announced, the effective import duty is expected to revert to approximately 8.25% (7.5% Basic Customs Duty + 10% Social Welfare Surcharge) from tomorrow. This policy change could increase the landed cost of future imports and may influence domestic pricing in the coming weeks. Market Outlook Despite the expected restoration of import duty, the broader market outlook remains soft to bearish. Lower crude oil prices, a stronger rupee, and improving global supply are expected to outweigh the duty impact over the medium term. Domestic producer pricing strategies and government policy announcements will continue to influence short-term market direction. PolyMart Recommendation - Buy based on actual production requirements.- Avoid panic purchasing and maintain healthy inventory levels.- Closely monitor government announcements on import duty.- Favourable macroeconomic indicators continue to support a soft-to-bearish outlook for polymer prices. Stay informed. Stay ahead. Procure with Purpose.Disclaimer:PolyMart does not offer guarantees regarding the accuracy, reliability, or completeness of the information provided on its platform. Users are advised to independently verify any data before relying on it for decision-making purposes.