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.

Acetone prices have risen by ₹2/kg to ₹70/kg due to reduced phenol production, while isopropyl alcohol (IPA) prices fell slightly to ₹93/kg amidst adequate inventory. Demand for both chemicals is recovering, driven by the paints and bulk drugs sectors.

N Propanol and NPAC prices dropped ₹2/kg over the week, driven by weak demand and surplus inventory. Monthly demand stands at 5,000 metric tons for N Propanol and 3,500 metric tons for NPAC. While paints and coatings demand dipped, recovery is expected by mid-January 2025, with NPAC prices poised for an uptick.

The domestic acetyl market turned bullish in the second half of December 2024, driven by strong downstream demand and a surge in export activities. Accordd Organics Pvt Ltd, a leading acetyl manufacturer in India, has priced Ethyl Acetate at ₹68++ per kg ex-Ahmednagar on advance payment terms.

Caustic Soda Flake prices rose slightly by ₹0.5/kg, driven by heightened demand from sectors like textiles, paper, and aluminum. Local supply remains tight due to reduced production rates, while the bulk drug industry faces weaker demand. Expert insights suggest prices will stay firm, supported by steady downstream demand despite mixed market conditions.

Acetic Acid prices rose domestically by ₹1.5/kg, influenced by higher import costs, supply constraints, and surging FOB China prices. Domestic demand surged 26% in 2024, driven by new production capacities.

Toluene prices witnessed a reduction driven by lower crude oil and naphtha costs, while the demand outlook for December appears optimistic due to seasonal factors and growing requirements in pharmaceutical and coatings sectors. Global feedstock trends and production dynamics further influenced the market, signaling potential bullish movements in the coming weeks.