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Case study · Industrial Compounding

Building a Reliable PP and HDPE Supply Pipeline for an Indian Compounder

India & Pakistan — India — General Plastics

Building a Reliable PP and HDPE Supply Pipeline for an Indian Compounder
Supply originChina resources
Trade platformHong Kong
Markets of focusInternational industry

The challenge

An Indian industrial compounder serving the automotive and packaging sectors needed a diversified polymer supply pipeline to reduce dependence on a single regional source. They required consistent PP and HDPE grades with predictable lead times and competitive landed costs for their Mumbai-area facility.

Our approach

Essencia Trade identified suitable PP and HDPE grade supply options from qualified China-based resources, matching the customer's melt flow index, density, and application requirements. We coordinated FOB and CFR pricing comparisons, packaging format alignment (25 kg bags on pallets), and structured a quarterly supply programme with flexible volume adjustments.

Results

The customer established a dual-source supply model, reducing supply concentration risk. Landed cost per MT decreased by approximately 6-8% compared to their previous single-source arrangement. Supply lead time predictability improved from variable 4-10 weeks to consistent 4-5 weeks for recurring grades.

Adding a China supply option through a coordinated partner gave us commercial leverage and operational predictability we didn't have before.

— Procurement Manager, Industrial Compounding Manufacturer

Commercial enquiry

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