The steep prices of raw materials including melamine and Formaldehyde led to the steep jump in liner prices. The high prices of Melamine impacted production of Liner Laminates, and many companies decided to shut the production of Liner Laminates. The sudden volatility resultedas a crisis in the market having extreme short supply during September and October month. But the easing prices of Melamine and other chemicals is now opening a window where producer are eased up. The change supported manufacturers to re-start production of Liner laminates. Market confirms the improving supply of Liner laminates in November month on a softer offered price lesser in tune to 10-12 percent.
Distributors across markets expressed concern during October and even in November when they approached more than 10 manufacturers and suppliers for their Liner laminate requirements but they did get. Now, the supply has improved and prices also down to 10-12 % and looking a further ease up of 1 to 2% in coming weeks.Dealers from Indore, Ludhiana, Lucknow, Bangaloreetc have confirmed the easing supply of Liner laminate, which was short in October. This also affected the demand of their range laminates categories. Many players solid color sheets were being pushed as replacement of liners because liner price did reach almost to the same level. Till writing the news, liner prices that crossed 400 mark are now offered at 10-12% lower prices varying brand to brand and thicknesses.
The organised players have not yet offered any price consideration as yet. It is noted that Liner grade laminate market functions on low margin hence show no patience of capacity to increase or decrease price to the respect by which the raw material price is raising.The laminate industry with huge volume of liner grade remain on brink to sustain the overheads of the plants hence the dynamics change with every price fluctuation. Despite of resuming availability of raw materials. the shortage in liner supply will remain an issue due to high involvement of capital, RM cost leading to drop in production.