Domestic MDC in Dahej

MDC prices have increased, with manufacturers raising offers despite weak demand. Domestic supply is abundant due to increased production capacity from TGV SRAAC and the new entry of Sreyas. However, demand from the active pharmaceutical ingredient (API) sector remains low. The market is expected to remain volatile, with price stability dependent on manufacturer coordination and inventory management.

Methylene dichloride (MDC) prices in India have decreased by ₹3/kg this week due to sluggish demand from the API sector and higher inventory levels. Price reductions have been noted across various regions, with authorized dealers offering lower prices in southern India. Increased production capacity from TGV SRAAC and Sreyas has contributed to the price decline. Price volatility is expected in the near term.

MDC prices have dropped by ₹2/kg due to weak demand, cheaper imports, and rising inventories. Domestic manufacturers face competition intensified by Sreyas Industries' re-entry, while feedstock cost pressures limit price flexibility.

Acetone prices in India have increased by ₹1/kg, reaching ₹74++/kg (Ex-Dahej) due to rising demand from the paints and coatings sector and a reduction in port inventories. While demand remained stable in March, market participants expect a recovery in April, particularly from pharmaceutical intermediates like Paracetamol and Ibuprofen. Market experts anticipate continued price volatility as industry players build inventories ahead of potential price hikes.

Niacinamide prices dropped by ₹100/kg this week due to weak export demand and slow domestic consumption. Seasonal demand fluctuations and financial year-end closures further impacted trading activity. However, supply remains stable, supported by Jubilant Ingrevia’s expanded production capacity in Gujarat. With India’s Niacinamide demand growing at 6.9% CAGR, market dynamics are expected to shift.

Mixed Xylene (MX) prices dropped by ₹3/kg due to reduced replacement costs and weak downstream demand ahead of fiscal year-end. Despite healthy supply levels, demand from sectors like paints and coatings has slowed. However, seasonal demand is expected to rebound in April, potentially supporting prices.

Sodium Methoxide prices have decreased by ₹1 per kg amid a slowdown in biodiesel production and fiscal year-end lulls. The supply remains stable, but unfavorable economics challenge manufacturers. Industry experts suggest a cautious approach due to fluctuating market conditions.

Toluene prices dropped by ₹5/kg amid bearish sentiment and declining benzene contracts. Despite stable supply, year-end inventory caution dampened demand. The naphtha-to-toluene spread fell below breakeven, while favorable benzene spreads offered some relief. Seasonal demand from paints and coatings may support prices post-March, though overall market outlook remains cautious.

IPA prices have declined sharply amid high port inventories and sluggish downstream demand. Importers are facing liquidation pressure, while domestic producers maintain stable prices. Bulk buyers seek lower rates for April. With reduced consumption from pharma manufacturers and ongoing financial year-end stock adjustments, bearish market sentiment is expected to persist.