Imported N-Hexane in Kandla

Hexane prices have decreased by ₹1/kg, with offers ranging from ₹85.50 to ₹88++ per kg. Looking at the market sentiments, chemical buyers are opting for spot deals. Read chemical market commentary for a complete understanding of the latest trends.

N-Hexane prices expected to remain under pressure this week due to weak downstream demand, surplus inventories, and lower replacement costs.

Importers have raised the price of N-Hexane by ₹5/kg, bringing it to ₹98++ per kg ex-Kandla on a 60-day credit basis. Traders are offering even higher rates, around ₹100++ per kg ex-Kandla on the same credit terms. No bulk deals were reported, as sellers are reluctant to liquidate their limited inventories.

This week, Ethanol amine prices dropped by nearly 3%, tracking a decline in feedstock Ethanol and Ammonia prices. Importers are offering Mono Ethyl Amine (MEA) at ₹105++/kg Ex-Mumbai (ISO Tank) and ₹123++/kg Ex-Mumbai (Barrel) on advance payment terms. Domestic manufacturers have also reduced their prices, according to a leading trader.

Toluene prices in India have increased by ₹3/kg, driven by a rebound in crude oil and naphtha prices, as well as strong demand from the paints, coatings, and pharmaceutical sectors. Supply constraints, coupled with positive spreads in BTX components, suggest a further potential price hike of $70/MT in the near term. India’s Toluene demand is largely met through imports, with domestic production contributing only 16.8%.

Domestic methanol prices witnessed an increase of ₹1.00/kg as importers adjusted their offers upwards. The updated prices, based on advance payment terms with immediate lifting, are as follows: Ex-Kandla: ₹27.00++, Ex-Mumbai: ₹27.50++.

Phenol prices have softened this week due to increased supply, weak upstream market trends, and bearish sentiment. Domestic production has resumed, ensuring stable supply levels. Seasonal demand recovery from plywood manufacturers is expected to offset current price pressures partially.

The melamine market is experiencing downward pricing trends due to oversupply and reduced demand in downstream industries. New production capacities and restored operations of previously offline facilities are intensifying the supply-demand imbalance. Coupled with declining raw material costs, these factors create a challenging outlook for the market.

Toluene prices in the Indian market saw a downward revision due to weak upstream dynamics, including falling crude oil and naphtha prices. The demand remains subdued but is expected to recover with increased activity in the pharmaceutical and paints industries. Global market trends, such as maintenance at chemical plants in China, are also influencing supply and pricing dynamics.