Apr 17, 2018   SOURCE: BusinessWire

LDPE Procurement Research – Market Trends and Spend Analysis by SpendEdge

SpendEdge, a global procurement intelligence advisory firm, has announced the release of their ‘LDPE Market Procurement Research Report.’ The insights and data in this report provide a strategic analysis of the supply markets, factors influencing purchasing decisions, procurement best practices, pricing models, supplier landscape, and an analysis of the supplier capability matrix for the chemicals industry. This report breaks down the data and analysis behind the procurement of LDPE and acts as an all-inclusive guide for making smart purchasing decisions.

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LDPE Procurement Report (Graphic: Business Wire)

LDPE Procurement Report (Graphic: Business Wire)

“The increasing demand from the packaging industry is driving the growth of the global LDPE market,” says SpendEdge procurement analyst A Kowshik. “Also, developing economies, such as India, China, Brazil, Mexico, the Philippines, and Indonesia will also witness an increase in the demand for LDPE,” added A Kowshik.

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Procurement analysts at SpendEdge highlight the following top three market trends that are contributing to the growth of the Global LDPE Market:

  • Growing vertical integration of suppliers
  • Increasing shift of LDPE production to regions with low-cost feedstock
  • Rise in M&A activities among suppliers

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Growing vertical integration of suppliers

In the LDPE category, many suppliers are involved in activities such as the production of raw materials to achieve cost optimization. This helps the buyers to reduce the dependence of suppliers on third parties of raw materials, thereby reducing lead times.

Increasing shift of LDPE production to regions with low-cost feedstock

The surge in the availability of low-cost feedstock has led to suppliers investing in production capabilities. This helps in the reduction in the cost of raw materials, thereby reducing the price of LDPE for buyers.

Rise in M&A activities among suppliers

In the LDPE category, the suppliers are involving in M&A, which is further leading to the consolidation of the market. The presence of limited vendors helps buyers to exercise greater vigilance and quality control over the manufacturing process of LDPE.

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