Ethyl Acetate Prices Surge as Raw Material Costs Escalate; Manufacturers Hold Back on Future Contracts
%2Fhttps%253A%252F%252Fofbadmin.s3.ap-southeast-1.amazonaws.com%252Fnexizo%252Fproduction%252Fstrapi%252FChemicals_1_07379aaddf.png&w=1920&q=100)
Ethyl Acetate prices have increased by INR 1/kg, reaching INR 70++ per kg on an ex-Pune basis for advance payment terms. Accord Organics Pvt Ltd, India’s largest single-location manufacturer of Ethyl Acetate, is offering the chemical at INR 70.50++ per kg ex-Ahmednagar for August lifting on advance payment terms.
Price
- In the domestic market, Ethyl Acetate prices have increased by INR 1/kg, reaching INR 70++ per kg on an ex-Pune basis for advance payment terms.
- Trader offers are even higher, with spot deals for immediate delivery quoted at INR 70.50++ per kg.
- Accord Organics Pvt Ltd, India’s largest single-location manufacturer of Ethyl Acetate, is offering the chemical at INR 70.50++ per kg ex-Ahmednagar for August lifting on advance payment terms.
- Most Ethyl Acetate manufacturers are currently refraining from offering September and October 2024 contracts due to a significant surge in production costs. This increase is driven by the elevated prices of FOB China Acetic Acid and US Ethanol, which are at the higher end of the range.
- Bulk consumers are eager to secure contracts for September and October 2024, but manufacturers are holding off as production costs have escalated to INR 73 per kg, primarily due to the rising cost of raw materials.
Demand and Supply
- Supply remains moderate, while demand has not met expectations, particularly due to a decrease in demand from the paints and coatings sector, attributed to the ongoing monsoon season.
- However, demand from the packaging, printing inks, and bulk drug industries remains robust for August and is expected to stay firm for September and October 2024, driven by strong production plans.
- India’s monthly demand for Ethyl Acetate is approximately 40,000 MT, with significant consumption across the pharmaceutical, paints, coatings, printing inks, adhesives, herbal extraction, and packaging sectors.
- Demand in the Asian market is picking up and is expected to remain strong, aligned with the rising demand for Ethyl Acetate. The cost of raw materials, particularly the Asian benchmark FOB China Acetic Acid, increased by nearly 14% in August 2024.
- The replacement cost of Acetic Acid in India has climbed by nearly 15% from August to September 2024. The firm demand is pushing Ethyl Acetate manufacturers to actively source Acetic Acid at these escalated levels, projecting higher Ethyl Acetate costs.
News
- In the domestic market, upstream crude oil benchmark WTI prices increased by 2.49%, reaching $74.83 per barrel.
- FOB Singapore naphtha prices also saw a slight increase of 0.23%, reaching $655 per MT.
- Additionally, FOB China Acetic Acid prices surged by nearly $50 per MT in August 2024, rising from $383 per MT to $433 per MT.
Expert's Opinion
- Predicts that Ethyl Acetate prices are expected to remain bullish this week due to strong downstream demand. The higher feedstock prices are likely to keep prices on the higher side. Buyers are therefore advised to consider inventory opportunities in anticipation of a further surge in Ethyl Acetate prices.
Daily Market Report
%2Fhttps%253A%252F%252Fofbadmin.s3.ap-southeast-1.amazonaws.com%252Fnexizo%252Fproduction%252Fstrapi%252FChemicals_2_e177666201.png&w=3840&q=75)
DEG Price Update: Importers Raise Rates, Domestic Prices Hold Steady
Importers of DEG have raised prices by ₹2.5/kg, bringing the new rate to ₹58.50++ Ex-Hazira on 60-day payment terms.Meanwhile, domestic manufacturers have maintained stable pricing
Read Story
%2Fhttps%253A%252F%252Fofbadmin.s3.ap-southeast-1.amazonaws.com%252Fnexizo%252Fproduction%252Fstrapi%252FChemicals_1_07379aaddf.png&w=3840&q=75)
Indian VAM Market Sees Robust Growth with Seasonal Demand and VAE-Based Paint Products
Domestic Vinyl Acetate Monomer (VAM) prices rose by ₹2/kg this week, driven by seasonal demand from paints and adhesives sectors and higher raw material costs. India’s VAM market, reliant on imports, sees increased trading activity and a demand surge from downstream applications like VAE-based paints.
Read Story
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252FFuel_removebg_preview_3_5781903070.png&w=3840&q=75)
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252FMethanol_2_65e8980f77.png&w=3840&q=75)
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252FStyrene_Monomer_1_f8b72a3209.png&w=3840&q=75)
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252FAcetic_Acid_e26907494c.png&w=3840&q=75)
%2Fhttps%253A%252F%252Fd86af0gufpxog.cloudfront.net%252Funsafe%252Fadaptive-fit-in%252F105x89%252Ffilters%253Aformat(webp)%252Fhttps%25253A%25252F%25252Fofbadmin.s3.ap-southeast-1.amazonaws.com%25252Fnexizo%25252Fproduction%25252Fstrapi%25252FToluene_1_f3fa17cee8.png&w=3840&q=75)
%2Fhttps%253A%252F%252Fd3dhalnpawfxbg.cloudfront.net%252Fproduction%252Fnexizo%252Fnexizo.ai%252F_next%252Fassets%252Fbg-png-msite.png&w=3840&q=30)
%2Fhttps%253A%252F%252Fd3dhalnpawfxbg.cloudfront.net%252Fproduction%252Fnexizo%252Fnexizo.ai%252F_next%252Fassets%252Fved.png&w=128&q=75)