The plywood, Laminate, and PVC board industry are about to witness the volatile prices ofraw material. Most tilted on the higher side compared to 2019 levels. The raw material prices offered deep comfort to manufacturers. Otherwise more of the plants would fall to the sick category.

During 2020, phenol prices anticipate being the biggest disruptor.  Which will impact laminate as well as the plywood industry to the most? The anti-dumping duty, safeguard duty, BIS role and global disturbances are the key factors that will influence phenol prices during 2020. On average, the estimates reveal that phenol will be 18 to 20 percent higher compared to 2019. Although in chemicals and commodities nothing can say as certain.

Price Factor Initiates The Best Plywood:

The prices of Phenol will see a lot of regulation, whereas prices of methanol will depend upon US-IRAN factor, vessel charges, and Indian industry payment cycle. According to chemical and commodity experts, Phenol, Methanol, and Melamine will be adding to the input cost of laminate and plywood at least by 7% to 10 % range without any doubt.

The prices of PVC boards and PVC laminate expect to remain on the same levels as raw material prices do not see any immediate direct impact. With PVC compound availability and weakness in global demand, the raw material price for PVC anticipates remaining stable.

The timber price for plywood makers will be troubling again if market demand for the finished product goes up. In the year 2019, it saw a price rise reaching the 1000 mark and coming back to 850 again because of weak demand from the industry side. Stay order on new wood-based industries in Uttar Pradesh also deterred the timber price levels in the year-end.

Although whether market demand improves or not. Prices of poplar, as well as eucalyptus logs, will be rising by another 15% July onwards. The arrival of more MDF, Particle Board plants and new modern plywood factories. Will be helping the strengthening of timber prices be it North India or South. Present prediction for 2020 is on the negative line on profits for plywood, laminate, MDF manufacturers due to higher raw material cost.