Chemplast Sanmar’s (Chemplast) Q1FY23 spreads were impacted by various factors including: 1) China dumping excess supply into India and other regions; 2) falling PVC / VCM prices pushing buyers to start destocking, which hurt volumes; and 3) sharp fall in prices and slower volume offtake leading to inventory write-downs. EBITDA dipped 44% QoQ (vs volume decline of 16%), which was exacerbated by higher power cost (coal). Considering that the company will record nil PVC spreads for almost half of Q2FY23, we can infer that full recovery in financials will be visible only in H2FY23. Chemplast has started construction of its custom manufacturing plant while that of the paste-PVC plant is progressing as planned and these plants should go on-stream in FY24. Chemplast is working on fresh capex for existing products and expansion into new products as well. Volumes hurt from destocking and lower spreads. Specialty volumes rose 54% YoY (fell 38% QoQ) to 14kte, which was lower than normalis...