AKRON, OHIO - Several readers called to complain that a polystyrene price increase of 4 cents per pound noted in the March 13 issue actually indicates a drop in the average price for small quantities of certain injection grades, compared with our previously published numbers. The 4 cent increase did go through, but Plastics News still believes the revised numbers more accurately reflect market conditions.
However, an explanation is in order.
The previous price for crystalline PS quoted a broad range of 55-64 cents per pound, for an average of 59.5 cents.
Similarly, high-impact PS listed at 59-68 cents, for an average of 63.5 cents.
The current low-volume price for crystalline PS cites a narrower range of 56-60 cents per pound, for an average of 58 cents.
The current price for high-impact PS is 59-64 cents per pound, for an average of 61.5 cents.
In both cases the average is lower than the average before the increase because the current ranges are closer to current market conditions and actual transaction prices.
As we have stated in the past, we report pricing figures to the best of our ability, relying on information from a number of sources in the industry whom we believe to be trustworthy.
We received reports previously of a broad range of PS prices being paid, and our numbers reflected that. Following the recent increase, the band has narrowed.
While we acknowledge this situation may cause inconvenience for some readers, we believe that refining the quoted prices - by narrowing the ranges of the prices we quote - serves a greater number of our readers.
We also remind readers that we advise them against pegging contracts on our published numbers. While we are confident of the figures, they are intended only to provide a general barometer for pricing trends.