India's Saturated Acyclic Monocarboxylic Acids Price Surges to $1,116 per Ton

India Saturated Acyclic Monocarboxylic Acids Import Price in October 2022

In October 2022, the saturated acyclic monocarboxylic acids price stood at $1,116 per ton (CIF, India), surging by 11% against the previous month. Overall, the import price, however, recorded a perceptible descent. The most prominent rate of growth was recorded in June 2022 an increase of 28% against the previous month. As a result, import price attained the peak level of $1,647 per ton. From July 2022 to October 2022, the average import prices remained at a lower figure.

Prices varied noticeably by the country of origin: the country with the highest price was the United States ($2,556 per ton), while the price for China ($879 per ton) was amongst the lowest.

From January 2022 to October 2022, the most notable rate of growth in terms of prices was attained by Taiwan (Chinese) (+5.6%), while the prices for the other major suppliers experienced a decline.

India Saturated Acyclic Monocarboxylic Acids Import Prices by Type

Prices varied noticeably by the product type; the product with the highest price was salts of acetic acid ($17.1 per kg), while the price for acetic acid ($503 per ton) was amongst the lowest.

From January 2022 to October 2022, the most notable rate of growth in terms of prices was attained by salts of acetic acid (+6.9%), while the prices for the other products experienced more modest paces of growth.

India Saturated Acyclic Monocarboxylic Acids Imports

In October 2022, the amount of saturated acyclic monocarboxylic acids imported into India fell dramatically to 99K tons, shrinking by -32.1% on September 2022. Overall, imports continue to indicate a noticeable decrease. The pace of growth appeared the most rapid in September 2022 when imports increased by 19% against the previous month. Imports peaked at 175K tons in April 2022; however, from May 2022 to October 2022, imports failed to regain momentum.

In value terms, saturated acyclic monocarboxylic acids imports contracted remarkably to $111M (IndexBox estimates) in October 2022. Over the period under review, imports saw a deep setback. The most prominent rate of growth was recorded in March 2022 when imports increased by 1.3% m-o-m. Imports peaked at 238K tons in January 2022; however, from February 2022 to October 2022, imports failed to regain momentum.

India Saturated Acyclic Monocarboxylic Acids Imports by Type

Acetic acid (50K tons), esters of acetic acid (excluding ethyl acetate) (27K tons) and lauric acid and other acids, their salts and esters (9.3K tons) were the main products of saturated acyclic monocarboxylic acids imports to India, with a combined 87% share of total imports. These products were followed by mono-, di- or tri-chloroacetic acids; propionic, butanoic and pentanoic acids and their salts and esters, formic acid, its salts and esters, palmitic acid, stearic acid, their salts and esters, acetic anhydride, salts of acetic acid and ethyl acetate, which together accounted for a further 13%.

From January 2022 to October 2022, the biggest increases were in ethyl acetate (with a CAGR of +11.9%), while purchases for the other products experienced more modest paces of growth.

In value terms, esters of acetic acid (excluding ethyl acetate) ($38M), lauric acid and other acids, their salts and esters ($25M) and acetic acid ($25M) were the most imported types of saturated acyclic monocarboxylic acids in India, together comprising 80% of total imports. Mono-, di- or tri-chloroacetic acids; propionic, butanoic and pentanoic acids and their salts and esters, palmitic acid, stearic acid, their salts and esters, formic acid, its salts and esters, salts of acetic acid, acetic anhydride and ethyl acetate lagged somewhat behind, together accounting for a further 20%.

India Saturated Acyclic Monocarboxylic Acids Imports by Country

In October 2022, China (51K tons) constituted the largest saturated acyclic monocarboxylic acids supplier to India, accounting for a 52% share of total imports. Moreover, saturated acyclic monocarboxylic acids imports from China exceeded the figures recorded by the second-largest supplier, Singapore (17K tons), threefold. The third position in this ranking was held by Saudi Arabia (10K tons), with an 11% share.

From January 2022 to October 2022, the average monthly rate of growth in terms of volume from China was relatively modest. The remaining supplying countries recorded the following average monthly rates of imports growth: Singapore (-6.0% per month) and Saudi Arabia (-1.5% per month).

In value terms, China ($45M) constituted the largest supplier of saturated acyclic monocarboxylic acids to India, comprising 41% of total imports. The second position in the ranking was held by Singapore ($18M), with a 17% share of total imports. It was followed by Saudi Arabia, with a 12% share.

From January 2022 to October 2022, the average monthly growth rate of value from China amounted to -7.2%. The remaining supplying countries recorded the following average monthly rates of imports growth: Singapore (-10.4% per month) and Saudi Arabia (-3.1% per month).

Factors Affecting Saturated Acyclic Monocarboxylic Acid Prices

Saturated acyclic prices in India have been on the rise in recent years, due to a number of factors. One of the main reasons for this is the increasing demand for these products, as they are used in a variety of industries. This has led to producers seeking to increase prices in order to maximize profits.

Another factor that has contributed to rising prices is the decreasing availability of raw materials, as many suppliers have been unable to keep up with the demand. This has led to shortages and an overall increase in costs.

Lastly, transportation costs have also been on the rise, as fuel prices have increased and there has been a general trend of inflation. All of these factors have put pressure on manufacturers, leading to higher saturated acyclic prices in India.

There are a number of initiatives underway to increase the supply of acyclic products in India. For example, the government is working with industry to set up new production facilities and expand existing ones. In addition, steps are being taken to improve the efficiency of existing facilities and reduce wastage. These initiatives should help to bring down prices over time.

Source: IndexBox Market Intelligence Platform