South Africa: Methanol Market 2024

Methanol Market Size in South Africa

In 2022, the South African methanol market increased by 2.3% to $X, rising for the second consecutive year after two years of decline. The market value increased at an average annual rate of +3.8% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. 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 South Africa

In value terms, methanol production contracted modestly to $X in 2022 estimated in export price. The total output value increased at an average annual rate of +2.5% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The pace of growth was the most pronounced in 2018 when the production volume increased by 35% against the previous year. As a result, production attained the peak level of $X. From 2019 to 2022, production growth remained at a lower figure.

Methanol Exports

Exports from South Africa

In 2022, the amount of methanol (methyl alcohol) exported from South Africa declined remarkably to X tons, with a decrease of -68.8% compared with the year before. In general, exports continue to indicate a precipitous shrinkage. The most prominent rate of growth was recorded in 2018 with an increase of 68% against the previous year. The exports peaked at X tons in 2012; however, from 2013 to 2022, the exports remained at a lower figure.

In value terms, methanol exports declined significantly to $X in 2022. Over the period under review, exports saw a abrupt curtailment. The growth pace was the most rapid in 2018 when exports increased by 103%. Over the period under review, the exports attained the peak figure at $X in 2012; however, from 2013 to 2022, the exports failed to regain momentum.

Exports by Country

Nigeria (X tons) was the main destination for methanol exports from South Africa, with a 66% share of total exports. Moreover, methanol exports to Nigeria exceeded the volume sent to the second major destination, China (X tons), tenfold. Ghana (X tons) ranked third in terms of total exports with a 5% share.

From 2012 to 2022, the average annual rate of growth in terms of volume to Nigeria stood at -8.2%. Exports to the other major destinations recorded the following average annual rates of exports growth: China (-2.5% per year) and Ghana (+30.9% per year).

In value terms, Nigeria ($X) remains the key foreign market for methanol (methyl alcohol) exports from South Africa, comprising 49% of total exports. The second position in the ranking was held by China ($X), with a 15% share of total exports. It was followed by Namibia, with a 7.9% share.

From 2012 to 2022, the average annual rate of growth in terms of value to Nigeria stood at -6.8%. Exports to the other major destinations recorded the following average annual rates of exports growth: China (+1.1% per year) and Namibia (-13.6% per year).

Export Prices by Country

The average methanol export price stood at $X per ton in 2022, growing by 55% against the previous year. In general, the export price recorded a resilient expansion. The growth pace was the most rapid in 2021 an increase of 204%. Over the period under review, the average export prices hit record highs in 2022 and is likely to see gradual growth in the immediate term.

There were significant differences in the average prices for the major external markets. In 2022, amid the top suppliers, the country with the highest price was China ($X per ton), while the average price for exports to Tanzania ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to the Netherlands (+80.3%), while the prices for the other major destinations experienced more modest paces of growth.

Methanol Imports

Imports into South Africa

In 2022, methanol imports into South Africa surged to X tons, picking up by 204% against the previous year. Overall, imports recorded significant growth. The most prominent rate of growth was recorded in 2019 with an increase of 2,260%. Imports peaked in 2022 and are likely to see steady growth in years to come.

In value terms, methanol imports skyrocketed to $X in 2022. Over the period under review, imports saw significant growth. The growth pace was the most rapid in 2014 with an increase of 684% against the previous year. Imports peaked in 2022 and are likely to see gradual growth in the immediate term.

Imports by Country

The Netherlands (X tons), Qatar (X tons) and Saudi Arabia (X tons) were the main suppliers of methanol imports to South Africa, together comprising 98% of total imports.

From 2012 to 2022, the biggest increases were recorded for the Netherlands (with a CAGR of +220.1%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, the Netherlands ($X) constituted the largest supplier of methanol (methyl alcohol) to South Africa, comprising 55% of total imports. The second position in the ranking was taken by Qatar ($X), with a 26% share of total imports. It was followed by India, with a 10% share.

From 2012 to 2022, the average annual rate of growth in terms of value from the Netherlands totaled +218.9%. The remaining supplying countries recorded the following average annual rates of imports growth: Qatar (0.0% per year) and India (+81.3% per year).

Import Prices by Country

The average methanol import price stood at $X per ton in 2022, which is down by -5.1% against the previous year. In general, the import price showed a pronounced shrinkage. The most prominent rate of growth was recorded in 2015 when the average import price increased by 309% against the previous year. As a result, import price reached the peak level of $X per ton. From 2016 to 2022, the average import prices failed to regain momentum.

Prices varied noticeably by country of origin: amid the top importers, the country with the highest price was Trinidad and Tobago ($X per ton), while the price for Saudi Arabia ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Trinidad and Tobago (+49.6%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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