You are buyer for Polyurethane Foam (a kind of plastic material) and you want to analyse the current situation of the Supply Market

You are buyer for Polyurethane Foam (a kind of plastic material) and you want to analyse the current situation of the Supply Market.

There are 3 industries buying most of the production available. (Packaging, Households, Construction) and a small percentage of other industries.

The current situation regarding demand and supply is the following:

The demand growth over the next 3 years is expected to be about 15%.

You have also learned that the suppliers are currently using their factories at 87% of their production capacity.

Suppliers have invested to increase their production by 10% over the next 3 years.

Based on this information, describe how the difficulty of the market will change in the future, and how can you expect the prices to change (increase or decrease).