The adverse impact of the COVID-19 entailed measures and restrictions revealed itself in Q3 statistics as exports dropped by up 52% as compared to Q2 of 2020. Nonetheless, export dynamics indicate an overall increase in annual sales.
In Q3, export sales have been made to Russia, Ukraine, Belarus, Georgia, Kazakhstan, Turkey. The percentage of sales to CIS countries has increased by 36% so far in 2020 as compared to the previous year. In January-September of 2020, 42% of total exports was directed to CIS markets.
Rating highest (56% of total sales) by the volume of purchased polymers is Russia, as it has been the destination of about 70% of our export total in Q3.
Since early 2020, SOCAR Polymer has become the biggest importer of Homopolymer PP to Russia, supplying now about 40% of RF’s market demand for such grades.
In Q3, the local to foreign sales ratio changed positively from 1:8 in the previous quarter to 1:5 (20% of total sales in Q3). As a general tendency, the local sales’ share in SOCAR Polymer’s total sales is steadily rising and has almost tripped over the Jan-Sep period of 2020. Domestic sales made up 19.5% of total sales in Q3.
SOCAR Polymer exports both by highway transport, by railway and by sea. In July, the 1020 tons of HB0322BF BOPP grade exported to Kazakshtan were delivered by the ADY Express railways using a new route going through Russia.