Polypropylene in Ukraine

Polypropylene in Ukraine

Annual Market Report

2006

www.market-cis.com

© www.market-cis.com

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Polypropylene in Ukraine - 2006

Resume .................................................................................................... 6 Market Trends .......................................................................................... 7

Western Europe................................................................................. 9 Eastern Europe.................................................................................10 Russia .............................................................................................11 Ukraine ...........................................................................................12

Definitions in Report .............................................................................. 13 Methods of Research .........................................................................13 Classification of Products ...................................................................13 Consumption Markets........................................................................13 Producers ........................................................................................14 Consumers.......................................................................................14 Prices ..............................................................................................14 Investments.....................................................................................15 Diagrams and Tables.........................................................................15 Forecast ..........................................................................................15 Growth Indices .................................................................................15 Currency Exchange Rate....................................................................15

1. Evaluation of Polypropylene Market in Ukraine .................................. 17 1.1. General State of Polymer Market in Ukraine...................................17 1.2. Evaluation of Polypropylene Market ..............................................18 1.3. Consumption by Types of Polypropylene........................................21 1.4. Consumption of Polypropylene by Markets.....................................22

1.4.1. Fibers and filaments ..........................................................23 1.4.1.1. Bags ...................................................................................... 27 1.4.1.2. Coating .................................................................................. 33

1.4.2. Injection Molding...............................................................35 1.4.2.1. Furniture ................................................................................ 38 1.4.2.2. Caps for PET-packaging............................................................ 41 1.4.2.3. Automobiles............................................................................ 43 1.4.2.4. Accumulators .......................................................................... 47

1.4.3. Films ...............................................................................50 1.4.4. Sheet Extrusion ................................................................57 1.4.5. Construction.....................................................................59

2. Domestic Production .......................................................................... 62 3. Import Statistics ................................................................................ 66

3.1. Import of Polypropylene by Markets..............................................68 3.2. Import of Polypropylene by Types ................................................70

4. Export Statistics................................................................................. 71 5. Brands Rating..................................................................................... 73 6. Producers Rating................................................................................ 74

6.1. TVK ..........................................................................................76 6.2. Dow..........................................................................................77 6.3. Slovnaft ....................................................................................78 6.4. Borealis.....................................................................................79 6.5. Basell Orlen Polyolefins ...............................................................80 6.6. ExxonMobil................................................................................81 6.7. Basell Polyolefins........................................................................82 6.8. Chemopetrol..............................................................................83 6.9. Pomatics ...................................................................................84 6.10. BP Solvay Polyethylene .............................................................85

Market News in 2004 ............................................................................. 86


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The present report includes consumption, production, export and import

analysis in Ukraine by types of polypropylene, markets, consumers, producers and

brands. There is detailed sales statistics for the first 10 market players also. Report

provides the data from 2000 to 2005 as well as market forecast for 2006.

The data of consumption by types of polypropylene is presented: Homo,

Impact, Random, other propylene copolymers. Consumption trends were analyzed

in detail for the following markets: fibers and filaments, injection molding, films,

thermoformed wares and construction. The largest markets were analyzed by

sectors. For example, for fibers and filaments we introduced the following

specification – bags and floor coating, for injection molding – furniture, caps for

PET-packaging, automobiles and accumulators. Each of consumption markets

includes a little survey describing market development and current tendencies. The

data of investment to PP-processing is presented for the each of markets.

There is a detailed analysis of data on the domestic production, import and

export of PP (by types of PP, by markets, manufacturers, and PP brands). The

market shares of 30 polypropylene producers and rating of 40 brands were

defined. There are 10 profiles of PP suppliers in the report. The news for 2004

presented separately.

In the survey, you can also find answers for the following questions:

What was the monthly consumption and prices of PP during 2005?

Due to what reason was a peak in PP consumption in March-April, 2005?

Why nominal level of investments into PP processing in 2005 fell down to the level of

2001?

Who invests into PP market today, in which articles?

Which sectors of PP processing rose faster than whole market?

What are the volumes of production, export and import of PP finished articles?

How will develop PP domestic processing in the nearest future?

Why did the market share of Linos decreased in 2005?

Which exactly PP brands are preferred by manufacturers of fibers and filaments

production, injection molding, BOPP-films and others?

In which sectors have domestic processors high chances to replace import?

Why did deliveries growth of PP producers from Central Europe slow down?

How the last investments into BOPP-films in Russia will have an influence on Ukrainian

market?

Which PP producers increased their market shares and which lost positions?

Who in Ukraine will invest into injection molding soon?

What is the forecast for market for 2005 in Ukraine and in the world?

Statistics of report: 92 pages, 96 tables, 41 diagrams, 22 854 words, 214 - number of companies mentioned.

Format: PDF file or color paper version Contact: [email protected]


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List of tables

1. The structure of the world PP production capacities, 2004, % 2. Polypropylene market in Russia, 2000-2005, KT 3. Currency exchange rates in Ukraine, 2000-2005, UAH 4. Main currency exchange rates in Ukraine, 2005, UAH 5. Consumption of basic polymers in Ukraine, 2000-2005, KT 6. Polypropylene market in Ukraine, 2000 – 2006, MT 7. Consumption of polypropylene in Ukraine by types, % 8. Consumption of polypropylene in Ukraine by types, MT 9. Consumption of polypropylene in Ukraine by markets, % 10. Consumption of polypropylene in Ukraine by markets, KT 11. Consumption of PP by fibers and filaments market, MT 12. Consumption of polypropylene in fibers and filaments sectors, MT 13. Top 5 producers PP for fibers & filaments market in Ukraine, MT 14. Top 10 brands PP for fibers & filaments market in Ukraine, % 15. Suppliers of polypropylene into bags sector, % 16. Production of PP sacks in Ukraine, kg 17. Production of flooring in Ukraine, thous. sq.m. 18. Import of carpeting to Ukraine, 2000-2005, MT 19. Consumption of PP in the market of injection molding by types, % 20. Consumption of PP in the market of injection molding by types, MT 21. Consumption of PP by the sectors of injection molding, MT 22. Suppliers of PP in the market of injection molding products, MT 23. The rating of PP brands in the market of injection molding

products, % 24. Manufacturers of PP for the market of furniture in Ukraine, MT 25. PP brands in the market of furniture in Ukraine, % 26. Manufacturers of PP in the sector of caps for PET-packaging, MT 27. PP brands in the sector of caps for PET-packaging in Ukraine, % 28. Manufacturers of PP for the automobile market of Ukraine, MT 29. Polypropylene brands for the automobile market in Ukraine, % 30. Polypropylene brands for the market of accumulators in Ukraine,

% 31. Production of lead accumulators in Ukraine, pieces 32. Consumption of PP in the market of films in Ukraine, MT 33. Consumption of PP by types in the market of films in Ukraine, % 34. Manufacturers of PP for the market of films in Ukraine, MT 35. Top 20 PP brands in the market of films in Ukraine, % 36. Types of polypropylene films 37. Import/export of PP films to/from Ukraine, 2003-2005, MT 38. Import of BOPP to Ukraine, 2005, MT 39. Production of film in Ukraine, 2004-2005, MT 40. Production of cigarettes in Ukraine, 2004-2005, mln. pcs. 41. The world BOPP-film consumption, KT 42. Production of food products in Ukraine, 2004-2005, MT 43. Consumption of PP in the sector of sheet extrusion, MT 44. Manufacturers of PP for thermoformed products, MT 45. PP brands for thermoformed products, % 46. Production of beer in Ukraine, thous. decaliters 47. Consumption of PP in the market of construction materials by

types, MT 48. Consumption of PP by the construction sectors, % 49. Consumption of PP by the construction sectors, MT

50. The rating of PP brands in the sector of pipes, % 51. Production of polymer pipes in Ukraine, 2004-2005, MT 52. Production of ruberoid in Ukraine, 2001-2005, thous. sq.m. 53. Production of PP in Ukraine, MT 54. Production of polypropylene in Ukraine during 2005, KT 55. Sales of Lipol PP in Ukraine, % 56. Technical characteristics of Linos polypropylene 57. Import of polypropylene to Ukraine, 2000-2006, MT 58. Import of polypropylene to Ukraine by types, 2000-2006, MT 59. Key importers of polypropylene to Ukraine, MT 60. Import of polypropylene to Ukraine by markets, % 61. Import of polypropylene to Ukraine by markets, MT 62. Import of polypropylene to Ukraine by types, % 63. Import of polypropylene to Ukraine by types, MT 64. Export of polypropylene from Ukraine, MT 65. Export of polypropylene by brands, % 66. Export of PP from Ukraine by countries, 2005, KT 67. Rating of polypropylene brands consumption in Ukraine, % 68. Rating of producers of PP and PP copolymers in Ukraine, MT 69. Market shares of PP producers in Ukraine, % 70. Sales of TVK polypropylene by types, 2000 - 2005, MT 71. Sales of TVK polypropylene by markets, 2000 - 2005, MT 72. Sales of TVK polypropylene by brands, 2000 - 2005, % 73. Sales of Dow polypropylene by types, 2000 - 2005, MT 74. Sales of Dow polypropylene by markets, 2000 - 2005, MT 75. Sales of Dow polypropylene by brands, 2000 - 2005, % 76. Sales of Slovnaft polypropylene by types, 2000 - 2005, MT 77. Sales of Slovnaft polypropylene by markets, 2000 - 2005, MT 78. Sales of Slovnaft polypropylene by markets, 2000 - 2005, % 79. Sales of Borealis polypropylene by types, 2000 - 2005, MT 80. Sales of Borealis polypropylene by markets, 2000 - 2005, MT 81. Sales of Borealis polypropylene by brands, 2000 - 2005, % 82. Sales of Tomskneftechem polypropylene by types 2000 - 2005, MT 83. Sales of Tomskneftechem polypropylene by markets, 2000 - 2005,

MT 84. Sales of Tomskneftechem polypropylene by brands, 2000 - 2005,

% 85. Sales of Chemopetrol polypropylene by types, 2000 - 2005, MT 86. Sales of Chemopetrol polypropylene by markets, 2000 - 2005, MT 87. Sales of Chemopetrol polypropylene by brands, 2000 - 2005, % 88. Sales of Basell polypropylene by types, 2000 - 2005, MT 89. Sales of Basell polypropylene by markets, 2000 - 2005, MT 90. Sales of Basell polypropylene by brands, 2000 - 2005, % 91. Sales of Basell Orlen Polyolefins polypropylene by types, 2000 -

2005, MT 92. Sales of Basell Orlen Polyolefins polypropylene by markets, 2000 -

2005, MT 93. Sales of Basell Orlen polypropylene by brands, 2000 - 2005, % 94. Sales of Rompetrol polypropylene by types, 2000 - 2005, MT 95. Sales of Rompetrol polypropylene by markets, 2000 - 2005, MT 96. Sales of Rompetrol polypropylene by brands, 2000 - 2005, %

List of Diagrams

1. Consumption of polypropylene in the world, mln. MT 2. Consumption of PP in the world, 2005, % 3. Consumption of PP in the world by markets, 2005, % 4. Growth of the world polymer consumption, 2004-2010, % 5. PP prices in Western Europe, 2005, FOB NWE, USD/MT 6. Price for PP-raffia in Western Europe, 2005, FOB NWE, USD/MT 7. Consumption of polymers in Russia, 2005, % 8. The structure of PP import to Russia, 2005, % 9. Prices for imported PP in Russia, 2005, USD/MT, DAF 10. Consumption of base polymers in Ukraine, KT 11. Consumption of polymers in Ukraine, 2005, % 12. Consumption of polymers in Europe, 2005, % 13. Consumption of PP in Ukraine, 2000-2006,KT 14. Consumption of polypropylene in 2005, MT 15. The price for PP-raffia in Western Europe, 2005, FOB NWE, USD/MT 16. Prices for PP in Ukraine, 2005, brand 21030, USD/MT, incl. VAT 17. Investments into PP processing, EUR mln. 18. Investments into PP processing in Ukraine, 2005, % 19. Consumption of PP by types, 2005, % 20. Consumption of PP by markets, 2005, % 21. The structure of PP application in the CIS

22. Consumption of PP in the market of fibers and filaments, KT 23. Consumption of PP in the market of bags, KT 24. Consumption of PP in the market of flooring, MT 25. Consumption of PP in the market of injection molding, KT 26. Consumption of PP in the market of furniture in Ukraine, MT 27. Consumption of PP in the sector of caps for PET-packaging in

Ukraine, MT 28. Consumption of PP in the Ukrainian automobile market, MT 29. Consumption of polypropylene in the market of accumulators, MT 30. Consumption of PP in the market of cast packaging, KT 31. Consumption of PP in the market of films in Ukraine, KT 32. The structure of PP-film import by types, 2005, % 33. Consumption of BOPP-films in Ukraine, 2005, % 34. Consumption of PP in the sector of sheet extrusion, MT 35. Consumption of PP in the market of construction materials, MT 36. Consumption of finished pipes by types of raw materials in Ukraine,

2005, % 37. Production of polypropylene in Ukraine, KT 38. Import of polypropylene to Ukraine, KT 39. Import of polypropylene to Ukraine by markets, 2005, % 40. Export of polypropylene from Ukraine, KT 41. Export prices for PP, USD/MT, DAF, Ukrainian border



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List of companies mentioned

1. ABB Lummus Global 2. A.Schulman 3. AMI Consulting 4. Amoco Chemical 5. Ampacet 6. Atofina 7. Aramco Overseas 8. Basell 9. Basell Orlen 10. BASF 11. Beepack Group 12. Borealis 13. BP Solvay Polyethylene 14. Bruckner

Maschinenbau GmbH 15. Bureau Veritas Quality

International 16. Carmel olefins 17. City bahk 18. Chemical Week

Associates 19. Chemopetrol 20. CMAI 21. Chennai Petroleum

Corp Ltd 22. C&T 23. Continental Polymers

Ltd 24. Debant group 25. Debant-Ukraine 26. Deceuninck 27. DMT 28. Dow 29. Ecoplastic 30. Exxon Mobil 31. Fujian 32. Fortum Oil 33. Freedonia 34. FV Plast 35. Grant Global Pte Ltd 36. Gabriel-Chemie 37. Jacob Composite 38. Hipol 39. HilltonGate 40. Hoechst Trespaphan 41. Hunter Douglas 42. Hyundai 43. IAL Consultants 44. Ibn Zahr 45. International Polysacks 46. ISIC LOR 47. Kermi 48. Kiefel Extrusion GmbH 49. Kuraray 50. Krauss Maffei 51. LG 52. Lubrizol 53. Maack Business

Services 54. Manuli Film 55. Mavel 56. McKinsey & Company 57. Mazda 58. Mazeikiu nafta 59. Mavel 60. Multibase 61. Murman Plastic

Machiner b.v. 62. Novolen Technology 63. Oriental Weavers 64. OZ-MAK plastik

makina SAN.ve TIC.Ltd.sti

65. Padana Resine 66. PCI 67. Phillip Townsend

Associates 68. Plastic Omnium 69. Poliplast

70. Pomatics 71. PSA (Peugeot-Сitroen) 72. Radici Film 73. Reifenhauser

GmbH&Co.Kg 74. Rompetrol 75. Sabic 76. Samsung 77. Samyoung Chemical 78. Simona 79. Sky Plastic 80. Slovnaft 81. Stallinger & Co.Cm.b.h 82. Treofan Germany

GMBH & Co 83. Tervakoski Dielectrics 84. TPCA (Toyota Peugeot-

Сitroen) 85. TVK 86. Union Crystal Co.,Ltd 87. UCB S.A 88. Wavin 89. WindmÖller & HÖlsher 90. Winkhaus 91. World Bank 92. Veka 93. Avis 94. AutoZAZ Daewoo 95. Autocomplect 96. Azmol 97. Accumulator Plant

SADA 98. Aleana 99. Alex Pack 100. Amalteya 101. Amtel 102. Anfol 103. Arian 104. Art Metal Furniture 105. Atem Ukraine 106. Attis 107. Bars 108. Baglend 109. Biaksplen 110. VarioPak 111. Vicont II 112. Vinicin-Ukraine 113. Vozko 114. Gala 115. Gemoplast 116. Grinn 117. DAK 118. Dneproazot 119. Dneproplast 120. Domotechnika Nord 121. Dupon 122. Eurocar 123. Euromet 124. Zhytomir-Polysacks 125. Zhytomirskiy Plant of

Artificial Fibers 126. ZAZ 127. Zenit 128. Inline - Ukraine 129. Inkopack 130. Interagropack 131. Interplast 132. Itak 133. Kyivchemvolokno 134. Klaim 135. Komunar 136. Kraz 137. LAZ 138. Linos 139. Lukoil-neftechim 140. Lutskplastmass 141. Lutskchem 142. Market Group 143. Mega-Pack

144. Metra Ukraine 145. Minkan 146. Mogilev Plant of

Artificial Fibers 147. MPNZ 148. NPP Neftechemistry 149. ISTA National

Accumulator 150. Corporation ISTA 151. Agrocomplex 152. Neftepromresurce 153. Nizhnekamskneftechim 154. Novatek 155. Novy Stil Group 156. Nord 157. Njamuna Banga 158. Obriy 159. Azot (Severodonetsk) 160. Oxidental Managment

Company ltd. 161. Oriana 162. Plastavtomatic 163. Plastko 164. Plastmodern 165. Polex 166. Polymer 167. Polymerpromtex 168. Polypack 169. Polyplastic 170. Polypropylene 171. Printex 172. Prodintorg 173. Regent 174. Simferopol Plastic

Plant 175. Sintelon 176. Slavutskiy Ruberoid

Plant 177. Stavrolen 178. Stirol-Pack 179. Sovfsvit 180. Speztechosnastka 181. Tandem 182. Tarkett 183. Teknimont 184. Terichem 185. Terichem-Lutsk 186. Techkom 187. Technopack 188. TNK-Ukraine 189. TNPP 190. TNHZ 191. Tyumen-Medico-Smila 192. UkrSibbank 193. Ukrplastavtomat 194. Ukrplastic, Kiev 195. Ukrplastic, Obukhov 196. Ufaorgsintez 197. Faberplast 198. Fibrebit 199. Folkswagen 200. Himont 201. Chemosvit 202. Chemtech 203. Chimplast 204. Choch-Bereg 205. Chernigovskoye

Chemvolokno 206. Shkoda 207. Evikem 208. Elektrotel 209. Elo ltd 210. Energy generative

company “Ukr-Can-Power”

211. Energoinvest 212. EkoNak 213. Uniplast



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… extract from report…

Resume

The Ukrainian polypropylene market demonstrates the high growth rates.

Though the year 2005 remained in our memory due to its instability and low

macro-economic figures, the consumption of PP increased by 18%.

We believe that a market will keep on expanding despite of the sharp

increase of prices for petrochemical raw materials. According to our estimations,

the PP consumption would increase by 15% in 2006.

The only Ukrainian PP manufacturer – Linos – reduced its output volumes by

10% in 2005. As before, the Ukrainian PP production is still export-oriented.

However, during the last year the share of export in the sales of Linos decreased

down to 52%.

Commencing 2003, there has been a recurring problem of seasonal deficit in

the second quarter. This is connected, first of all, with the planned maintenance in

Lisichansk carried out in April-May.

The share of import in 2005 in the general consumption structure

constituted 57%. At the same time, the volumes of import, according to the

results of the year, increased by 48%. The main importers are still TVK, Dow,

Slovnaft, Borealis and Tomskneftechem.

According to the results of the year, the maximum growth rates were

observed in the sector of injection molding products. The market of PP fibers and

filaments is still the most capacious in Ukraine. The growth rates of the PP

consumption in this sector constituted 17%. The main supplier of PP (raffia),

suitable for fibers and filaments, is Linos holding more than 75% of the market.

In 2005, domestic companies invested into equipment of PP processing

about EUR 9 mln. The biggest investments were recorded in the markets of films,

pipes and injection molding. Among production projects, we would like to draw

your attention to the launch of new production capacities at Ukrplastic (9-layers

film extrusion line Brampton Engineering), Rozma (pipe extrusion line Bandera),

Anfol (sheet extrusion line Meaf), Spetstechosnastka (injection molding machines

Demag and Arburg) and Atem-Ukraine (Sacmi machines for PET-bottles covers).

Supplies of PP from Tomsk increased by almost five times. Turkmenian PP

may be considered to be a discovery of the year; its sales volumes approached the

level of 2 KT.

Despite of the positive dynamics in the domestic processing, the import of

finished goods made of PP is still at the high level. According to the results of

2005, it made up about 35 KT. About 74% of supplies belonged to the markets of

films (57% of them are BOPP films), pipes and fittings.



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World

At present, there is a stable trend for the growth of consumption in the

world polypropylene market. In 2005, according to the preliminary estimations,

the world PP consumption constituted 41.1 mln. MT, and by 2007, it would grow

up to the level of 46.3 mln. MT.

Source: CMAI

Asia is still the biggest consumer; in 2005, its share constituted about

40.5% of the total PP consumption. The second and the third places are shared

by Western Europe and North America (D. 0.2).

Source: CMAI

According to the data of Nexant ChemSystems, the PP consumption in the

countries of Western Europe increased only by 1% in 2005. The capacity of the PP

market in Western Europe constituted 8.2 mln. MT in 2005. In accordance with

analysts’ forecast, its annual growth would make up 3.6% up to the year 2010.

In 2005, there was a more significant growth in the countries of Central

and Eastern Europe, which made up 4.8% with the market capacity of 1.5 mln.

MT. That growth was, in many respects, conditioned by the move of production

capacities for PP processing from Western Europe to Eastern Europe, primarily, to

Hungary, Poland and Czech Republic.

D. 0.1 Consumption of polypropylene in the world, mln. MT

30,6 31,9 34,6 36,7 38,6 41,1 43,7 46,3

0

24

48

2000 2001 2002 2003 2004 2005 2006forecast

2007forecast

D. 0.2 Consumption of PP in the world, 2005, %

Western Europe20.6%

South America4.5%

Asia40.5%

Other12.3%

Central Europe3%

North America20.1%



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D. 0.7 Consumption of polymers in Russia, 2005, %

PET16%

PP13%

PS10%

PVC20%

PE41%


Russia

In 2005, the polypropylene consumption in Russia exceeded the level of 400

KT. Polypropylene holds the fourth place in terms of Russian consumption of large-

capacity polymers. Its share in 2005 constituted about 13% (D. 0.7).

Source: MRC

At present, there are three enterprises, the total capacities of which

constitute 300 KT per year: Neftechemiya (Moscow Refinery), Tomskneftechem

and Ufaorgsynthez. The existing capacities of these enterprises are not able to

meet the demand of the domestic market both in terms of volumes and in terms of

the brand range. At the same time, the workload of production capacities

increased from 86.3% in 2000, up to, practically, 100% in 2005.

Table 0.2. Polypropylene market in Russia, 2000-2005, KT

Index 2000 2001 2002 2003 2004 2005

Production 230.8 258.8 265.8 286.4 293.8 285.6

Import 14.4 23 30.7 39.6 50.1 128.2

Export 51 54.4 50.5 37.2 31.5 24

Consumption 194.2 227.4 248.7 288.7 312.4 389.8

Growth, % - 17% 9% 16% 8% 25%

Source: MRC

The share of import in the consumption structure increases from year to

year, and, in 2005, it made up 33%. In the nearest two years, the situation in the

market may change same as the situation in the market of polystyrene in 2004-

2005. The main reason for that would be the launch of new PP production

capacities in Nizhnekamsk and Budennovsk with the total capacity of 260 KT per

year, by the end of 2006.



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1. Evaluation of the Polypropylene Market in Ukraine

1.1. The General State of the Polymer Market in Ukraine

During 2000-2004, the Ukrainian market of large-capacity polymers was

growing extremely quickly, in average by 27% per year. The last year 2005, was

not an exception. The market growth rates exceeded our last year’s expectations

and made up 23%.

On the whole, the year of 2005 was not an easy one for the polymer

business. During the first quarter, they conducted the action “stop smuggling”, the

third and the fourth ones remained in the memory due to macroeconomic

instability and cardinal changes in the government.

According to the data of the State Statistics Committee of Ukraine, in 2005,

the growth of the GDP constituted 2.6%; the growth of the industrial production

made up 3.1%. Thus, we can state that the consumption of base polymers grows

quicker than the official economy on the whole by approximately in 10 times. The

consumption of large-capacity polymers in Ukraine reached up the level of 684 KT,

and, according to experts’ estimations, in 2006, the total growth of polymer

consumption would make up about 17% (see D.1.1).

Source: MRC

The level of PP consumption increased by 18% and reached up the level of

90 KT last year.

Table 1.1. Consumption of base polymers in Ukraine, 2000-2006, MT

Polymer 2000 2001 2002 2003 2004 2005 2006

forecast

Polyethylene

PET

Polypropylene

PVC

Polystyrene

Total

Growth, %

Source: MRC

D.1.1. Consumption of base polymers in Ukraine, KT

0

410

820

2000 2001 2002 2003 2004 2005 2006forecast

Sample page Please see full data in our Report


The year 2005 was not an easy one for

the polymer business in Ukraine



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1.4. Consumption of Polypropylene by Markets

According to the results of 2005, among the markets consuming

polypropylene we shall single out three the most capacious ones: fibers &

filaments, films and injection molding (D. 1.4.1).

Source: MRC

The market of fibers & filaments is the leader in terms of PP consumption.

Its share constitutes 45-47%. During 2000-2005 this segment has been increasing

more than in 3 times (table 1.4.1).

Table 1.4.1. Consumption of polypropylene in Ukraine by markets, %

Technology 2000 2001 2002 2003 2004 2005 2006

forecast

fibers, filaments

injection molding

films

sheet extrusion

pipes

roofing materials

other

Total 100% 100% 100% 100% 100% 100% 100%

Source: MRC

Market share of injection molding sector made up 27% in 2005. The growth

compared to 2004 was 29%. In 2006 market share of this segment will increase

and make up 27%.

The market of PP films has been dynamically developing, especially BOPP

market. However, market share of films sector in general consumption structure

has decreased from 28% in 2000 down to 20% in 2005 (table 1.4.2).


D. 1.4.1. Consumption of polypropylene in Ukraine by markets, 2005, %

other4%

fibers and filaments

47%

construction3%

films20%

sheet extrusion

2%

injection molding

24%The market of fibers & filaments is the leader

in terms of PP consumption



© www.market-cis.com 13


1.4.3. Films

About 36% of the world PP consumption belongs to packaging, the demand

for which has been quickly growing. Production of films, particularly of biaxially

oriented polypropylene films (BOPP-films), is the most dynamically developing

sector of polymer packaging in the world. According to AMI, in 2004, the world

BOPP market crossed the level of 3.9 mln. MT. In 2003, that figure made up only

3.6 mln. MT. During the last three years, the demand for BOPP materials increased

in average by 11%.

According to experts of AMI, until 2008, the demand will be growing by

7.6% annually. During 2008-2013, the growth will make up approximately 4.9%

per year. The biggest investment volumes are predicted by AMI to China (about

80% of the total investment volumes).

In Ukraine in 2005 the consumption of this polymer for the production of

films increased by 15% (D. 1.4.3.1 and table 1.4.3.1.).

Source: MRC

In 2006, the growth would make up about 10%, and the consumption

would exceed the level of 19.6 KT. The main consumption volumes belong to

Homo. Its share in the total consumption volume in 2005 constituted 91.6% (Table

1.4.3.2.).

Table 1.4.3.1. Consumption of PP in the market of films in Ukraine, MT

Type 2000 2001 2002 2003 2004 2005 2006

forecast

Homo

Random

Impact

Other

Total

Growth, %

Source: MRC

Ukrplastic (Kiev) and Terichem-Lutsk (Ukrainian and Slovakian joint

venture) are the key consumers of polypropylene for BOPP production. These

companies held more about 77% of the total polypropylene consumption in the

film sector in 2005.

D. 1.4.3.1 Consumption of PP in the market of films in Ukraine, KT

0

10

20

2000 2001 2002 2003 2004 2005 2006forecast




© www.market-cis.com 13

5. The Rating of Brands

In terms of consumption volumes we singled out the following 50 brands in

the Ukrainian market (Table 5.1.).

Table 5.1. Rating of polypropylene brands consumption in Ukraine, %

№ Brand/Manufacturer 2000 2001 2002 2003 2004 2005

1 Lipol А4 71E (К)/Linos

2 H313-02Z/Dow

3 Lipol А10 76У/Linos

4 Lipol А7 74К/Linos

5 21030-16/Tomskneftechem

6 Tipplen K499/TVK

7 BD950MO/Borealis

8 Malen P F-401/Basell Orlen

9 Lipol А3 67E (K)/Linos

10 Mosten GB 003/Chemopetrol

11 Tipplen H145F/TVK

12 Tatren FD620/Slovnaft

13 Turkmenplene TPP D30S/Turkmenbashinskiy Refinery

14 Tipplen K395A/TVK

15 PPN1/10/Sky Plastic GmbH

16 Midilena F401/Rompetrol

17 HC316BF/Borealis

18 Tatren HT 306/Slovnaft

19 Lipol А1 66H/Linos

20 Moplen НP 456J/Basell

21 Mosten MA 745/Chemopetrol

22 Tatren HF3 22/Slovnaft




26 Tipplen Н388F/TVK

27 Seetec М1400/Hyundai Petrochemical


29 Eltex PKS409/BP Solvay Polyethylene

30 Escorene PP4342C2/Exxon Mobil

31 Lipol А5 71Е (К)/Linos

32 Moplen HP1238/Basell


34 PP4062С8/Exxon Mobil


36 Malen J-702/Basell Orlen

37 KES-P-2401/Pomatics

38 МТ34ЕС/Carmel olefins

39 Tipplen K295A/TVK

40 KES-P-1100/Pomatics

41 Tatren HM2544/Slovnaft

42 Tipplen R959А/TVK

43 Eltex PKS359/BP Solvay Polyethylene

44 Tatren HM 3545/Slovnaft

45 Tatren IM 1054/Slovnaft

46 Adsyl 5C37F/Basell


48 Tipplen H 118/TVK

49 Midilena F501/Rompetrol

50 Tatren HT304/Slovnaft

Total 100% 100% 100% 100% 100% 100%

Source: MRC

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14

6. The Rating of Producers It is necessary to single out the following top 30 suppliers of polypropylene

(Tables 6.1. and 6.2.).

Table 6.1. Rating of producers of PP and PP copolymers in Ukraine, %

№ Producer 2000 2001 2002 2003 2004 2005

1 Linos

2 TVK

3 Dow

4 Slovnaft

5 Borealis

6 Tomskneftechem

7 Chemopetrol

8 Basell

9 Basell Orlen

10 Rompetrol

11 Turkmenbashinskiy Refinery

12 Sky Plastic GmbH

13 Exxon Mobil

14 BP Solvay Polyethylene

15 Pomatics

16 Hyundai Petrochemical

17 Carmel olefins

18 Atofina

19 Padana Resine S.R.L

20 Ekoplastik

21 OPC, Egypt

22 PEMU

23 Lubrizol

24 Polimer

25 H&R ESP Sales Nuth

26 Mobi

27 Fortum Oil N.V

28 The Polyolefin Company

29 Artex AG

30 Yefremovsk Synthetic Caoutchouc Plant

Other

Total

Source: MRC

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15

Ukraine. Subscription Order Form.

Market Report Company – MRC- represents an easy up-to-date system of analytical services for our clients.

We offer annual subscription that includes three Quarterly Reports and summarizing Annual Report. The research work is

carried out for four basic polymers: PE (LDPE, HDPE, LLDPE, EVA), PP (Homo-, Impact-, Random-), PS (GPPS, HIPS, EPS,

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For our key clients we also offer the expanded variants of analytical reports and creation of special information for individual inquiries.

Polyethylene Issue Date Cost, € Order mark

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Polypropylene in Ukraine