MERCOSUR: Methanol Market 2024

Methanol Market Size in MERCOSUR

In 2022, the MERCOSUR methanol market increased by 0.4% to $X, rising for the second year in a row after two years of decline. The market value increased at an average annual rate of +4.6% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. As a result, consumption reached the peak level of $X. From 2019 to 2022, the growth of the market remained at a lower figure.

Methanol Production in MERCOSUR

In value terms, methanol production fell to $X in 2022 estimated in export price. The total production indicated a perceptible increase from 2012 to 2022: its value increased at an average annual rate of +2.9% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production increased by +8.5% against 2020 indices. The most prominent rate of growth was recorded in 2018 when the production volume increased by 25% against the previous year. Over the period under review, production reached the peak level at $X in 2019; however, from 2020 to 2022, production stood at a somewhat lower figure.

Methanol Exports

Exports in MERCOSUR

Methanol exports declined to X tons in 2022, falling by -6.1% against the year before. In general, exports, however, recorded buoyant growth. The pace of growth appeared the most rapid in 2017 when exports increased by 46%. The volume of export peaked at X tons in 2019; however, from 2020 to 2022, the exports remained at a lower figure.

In value terms, methanol exports fell to $X in 2022. Over the period under review, exports, however, posted buoyant growth. The growth pace was the most rapid in 2021 when exports increased by 88%. As a result, the exports attained the peak of $X, and then dropped in the following year.

Exports by Country

Venezuela represented the major exporting country with an export of around X tons, which resulted at 66% of total exports. It was distantly followed by Chile (X tons), committing a 34% share of total exports.

From 2012 to 2022, the biggest increases were recorded for Chile (with a CAGR of +10.4%).

In value terms, Venezuela ($X) and Chile ($X) constituted the countries with the highest levels of exports in 2022.

In terms of the main exporting countries, Chile, with a CAGR of +12.7%, saw the highest growth rate of the value of exports, over the period under review.

Export Prices by Country

In 2022, the export price in MERCOSUR amounted to $X per ton, waning by -5.3% against the previous year. Over the period under review, the export price, however, showed a relatively flat trend pattern. The pace of growth was the most pronounced in 2021 an increase of 40%. The level of export peaked at $X per ton in 2014; however, from 2015 to 2022, the export prices remained at a lower figure.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Chile ($X per ton), while Venezuela stood at $X per ton.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Chile (+2.0%).

Methanol Imports

Imports in MERCOSUR

In 2022, after two years of growth, there was decline in overseas purchases of methanol (methyl alcohol), when their volume decreased by -2.8% to X tons. Total imports indicated resilient growth from 2012 to 2022: its volume increased at an average annual rate of +5.8% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth appeared the most rapid in 2016 with an increase of 18% against the previous year. Over the period under review, imports reached the maximum at X tons in 2021, and then declined modestly in the following year.

In value terms, methanol imports rose markedly to $X in 2022. Total imports indicated prominent growth from 2012 to 2022: its value increased at an average annual rate of +7.4% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +66.3% against 2020 indices. The growth pace was the most rapid in 2021 when imports increased by 58% against the previous year. The level of import peaked in 2022 and is expected to retain growth in the immediate term.

Imports by Country

Brazil dominates imports structure, amounting to X tons, which was near 90% of total imports in 2022. It was distantly followed by Colombia (X tons), creating a 4.8% share of total imports. Peru (X tons) followed a long way behind the leaders.

Brazil was also the fastest-growing in terms of the methanol (methyl alcohol) imports, with a CAGR of +7.7% from 2012 to 2022. At the same time, Peru (+5.6%) displayed positive paces of growth. By contrast, Colombia (-2.1%) illustrated a downward trend over the same period. Brazil (+14 p.p.) significantly strengthened its position in terms of the total imports, while Colombia saw its share reduced by -5.7% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Brazil ($X) constitutes the largest market for imported methanol (methyl alcohol) in MERCOSUR, comprising 89% of total imports. The second position in the ranking was held by Colombia ($X), with a 3.6% share of total imports.

In Brazil, methanol imports increased at an average annual rate of +9.7% over the period from 2012-2022. In the other countries, the average annual rates were as follows: Colombia (-3.9% per year) and Peru (+1.9% per year).

Import Prices by Country

In 2022, the import price in MERCOSUR amounted to $X per ton, growing by 8% against the previous year. Import price indicated a slight expansion from 2012 to 2022: its price increased at an average annual rate of +1.5% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, methanol import price increased by +66.9% against 2020 indices. The pace of growth appeared the most rapid in 2021 an increase of 54% against the previous year. Over the period under review, import prices reached the maximum in 2022 and is expected to retain growth in the immediate term.

Average prices varied somewhat amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Brazil ($X per ton), while Colombia ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Brazil (+1.9%), while the other leaders experienced a decline in the import price figures.

Source: IndexBox Platform