The demand for Chloroform is steady in the Indian market as its used as a solvent in the pharmaceutical, dyes and pesticide industry. Industrial chloroform is manufactured from the chloromethane group. In this light, Indianpetrochem analyzed the price differential between the feedstock, Methane and Chloroform in India and comprehended the current market situation for the chemical. In order to get a comprehensive picture on Chloroform's market dynamics, the website spoke to traders across various trading hubs in India and surveyed the stock positions of various domestic manufacturers in the country.
The main domestic manufacturers for Chloroform in India are; GACL ( Gujarat Alkalies and Chemicals Limited ), GFL (Gujarat Flurochemical Limited), SRF and Chemplast Sanmar group.
The website spoke to traders and dealers in Mumbai and Ahmedabad market and understood that there is limited, as good as non -availability, of SRF and GFL in the market- traders who have any stock positions from these manufacturers hold inventories far too small to be of any significance. In order to get some clarity on this matter, the website tried to contact GFL and SRF, but the company officials refused to comment on the market scenario.
At the other end of the spectrum, it is reported to us that traders pan India have ample stock positions for GACL in the market, while Chempalst Sanmanr products were available only in the south Indian markets such as Hyderabad, Bangalore, etc. A Mumbai based trader added, "Current market price for Chloroform isn't attractive enough for domestic manufactures to maintain their existing margins, this could be the primary reason why GFL and SRF have curtailed their production capacities for the chemical".
At present, the bulk price for Methanol, which is the feedstock for chloroform, in the market is Rs. 31-32 per kg (exclusive of taxes), while the ex- factory price for Chloroform from GACL is Rs. 23 per kg.
At this point, its important to note that GACL revised its basic price on 13th March, 2014, from Rs. 21 per kg to Rs. 23 per kg, exclusive of all taxes. Market participants believe that this price was raised in line with expensive imports from Russia, which gained momentum by Re. 1- 1.5 a kg in the same week.
The bulk price differential between Methanol and Chloroform indicates the levels at which Chloroform is being undersold in the market and affirms traders comment on profit margins of domestic manufactures.
In the Mumbai market, Chloroform in intact packaging (barrels) from Russian costs Rs. 26.50 per kg (exclsuive of all taxes) while GACL product sells at Rs. 29.50 per kg (exclusive of packaging).
By Arjun Kumar (arjun.kumar@indianpetrochem.com) and Ntasha Berry (ntasha.berry@indianpetro.com)
The main domestic manufacturers for Chloroform in India are; GACL ( Gujarat Alkalies and Chemicals Limited ), GFL (Gujarat Flurochemical Limited), SRF and Chemplast Sanmar group.
The website spoke to traders and dealers in Mumbai and Ahmedabad market and understood that there is limited, as good as non -availability, of SRF and GFL in the market- traders who have any stock positions from these manufacturers hold inventories far too small to be of any significance. In order to get some clarity on this matter, the website tried to contact GFL and SRF, but the company officials refused to comment on the market scenario.
At the other end of the spectrum, it is reported to us that traders pan India have ample stock positions for GACL in the market, while Chempalst Sanmanr products were available only in the south Indian markets such as Hyderabad, Bangalore, etc. A Mumbai based trader added, "Current market price for Chloroform isn't attractive enough for domestic manufactures to maintain their existing margins, this could be the primary reason why GFL and SRF have curtailed their production capacities for the chemical".
At present, the bulk price for Methanol, which is the feedstock for chloroform, in the market is Rs. 31-32 per kg (exclusive of taxes), while the ex- factory price for Chloroform from GACL is Rs. 23 per kg.
At this point, its important to note that GACL revised its basic price on 13th March, 2014, from Rs. 21 per kg to Rs. 23 per kg, exclusive of all taxes. Market participants believe that this price was raised in line with expensive imports from Russia, which gained momentum by Re. 1- 1.5 a kg in the same week.
The bulk price differential between Methanol and Chloroform indicates the levels at which Chloroform is being undersold in the market and affirms traders comment on profit margins of domestic manufactures.
In the Mumbai market, Chloroform in intact packaging (barrels) from Russian costs Rs. 26.50 per kg (exclsuive of all taxes) while GACL product sells at Rs. 29.50 per kg (exclusive of packaging).
By Arjun Kumar (arjun.kumar@indianpetrochem.com) and Ntasha Berry (ntasha.berry@indianpetro.com)
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