This month, moderate to weak demand for ortho-xylene from end -users has led the bulk prices, Ex- Mumbai, to decline from previous months average by Rs. 6-4 per kg to the range of Rs. 83-85 per kg. In line with this momentum, Reliance Industries Limited (RIL), also rolled over its ex- works price for the aromatic to previous months basic price of Rs. 93 per kg.
Indianpetrochem evaluates from dialogues with various traders that the demand for ortho-xylene is weak this month, when compared to the previous. As a result of monsoon, the uptakes from paint industries is lower than previous month, a Mumbai based trader informed. Meanwhile, the demand from pesticide industry, which had decline last month, has picked up pace, however, sources inform that the recovery in demand isn't that significant as the decline in demand from the paint sector.
Over and above, off late, phthalic anhydride (PA) market has been plagued with moderate demand, which in return has dragged down the demand for its feedstock, ortho-xylene. A prominent North Indian based PA dealer informed, " The demand for PA from paint industries has been poor due to monsoon,. Also, the demand from DOP and DBP manufacturers have taken a hit due to recent ongoing environmental issues of manufacturing plasticizers, raised by the Government".
Also, the benchmark price of ortho-xylene in South Korea has declined by $30-40 per tonne since past month to $1,275 per tonne FOB Korea. This, along with reduction in basic custom duty of imports for the aromatic, has also contributed to the decline in the bulk price of ortho-xylene in India.
(This article was published on the website on August 14, 2014)
Indianpetrochem evaluates from dialogues with various traders that the demand for ortho-xylene is weak this month, when compared to the previous. As a result of monsoon, the uptakes from paint industries is lower than previous month, a Mumbai based trader informed. Meanwhile, the demand from pesticide industry, which had decline last month, has picked up pace, however, sources inform that the recovery in demand isn't that significant as the decline in demand from the paint sector.
Over and above, off late, phthalic anhydride (PA) market has been plagued with moderate demand, which in return has dragged down the demand for its feedstock, ortho-xylene. A prominent North Indian based PA dealer informed, " The demand for PA from paint industries has been poor due to monsoon,. Also, the demand from DOP and DBP manufacturers have taken a hit due to recent ongoing environmental issues of manufacturing plasticizers, raised by the Government".
Also, the benchmark price of ortho-xylene in South Korea has declined by $30-40 per tonne since past month to $1,275 per tonne FOB Korea. This, along with reduction in basic custom duty of imports for the aromatic, has also contributed to the decline in the bulk price of ortho-xylene in India.
(This article was published on the website on August 14, 2014)
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