International benchmark price of Benzene have been on a downward trend since the beginning of the month, benchmark price in Korea have dropped by 4% since the beginning of this month. On the other hand, most domestic manufacturers have conducted an upward price revision on the basic price of Benzene, citing "international price hike of Benzene" to be the main reason.
During the second half of July, 2014, the benchmark price of Benzene has moved within the range of $ 1,482- 1,444 FOB Korea, which is much higher range than current levels of 1,397 FOB Korea. Most market participants pinpoint the current decline in prices to a surge in supplies offered by new plants which commenced operation in Asian region.
Also, an international publication added that due to surplus capacity addition of PX (Paraxylene) in Asian region, which is leading to declining PX prices, manufactures such as S-oil and Samsung Total Petrochemical are focusing towards increased production and sale of Benzene (as well as Toluene and Mix Xylene) instead for exports to US markets. Rising demand for Benzene from US markets has primarily driven up the benchmark prices last month.
Interestingly, Naphtha prices have been on a downward trend since the beginning of the month, the website gathers from an international publication that declining "downstream demand and weakening US markets" being the primary reason.
In India, RIL increased the ex- works price of Benzene by Rs. 2.5 per kg to Rs. 92 per kg, following which other manufacturers such as BPCL did an upward price revision for the chemical.
In line with this, a trader informed Indianpetrochem, that the demand for the aromatic is unfazed by this price revision, as such, overall demand is stable for the aromatic in the Indian market.
(This article was published on the website on August 06, 2014)
During the second half of July, 2014, the benchmark price of Benzene has moved within the range of $ 1,482- 1,444 FOB Korea, which is much higher range than current levels of 1,397 FOB Korea. Most market participants pinpoint the current decline in prices to a surge in supplies offered by new plants which commenced operation in Asian region.
Also, an international publication added that due to surplus capacity addition of PX (Paraxylene) in Asian region, which is leading to declining PX prices, manufactures such as S-oil and Samsung Total Petrochemical are focusing towards increased production and sale of Benzene (as well as Toluene and Mix Xylene) instead for exports to US markets. Rising demand for Benzene from US markets has primarily driven up the benchmark prices last month.
Interestingly, Naphtha prices have been on a downward trend since the beginning of the month, the website gathers from an international publication that declining "downstream demand and weakening US markets" being the primary reason.
In India, RIL increased the ex- works price of Benzene by Rs. 2.5 per kg to Rs. 92 per kg, following which other manufacturers such as BPCL did an upward price revision for the chemical.
In line with this, a trader informed Indianpetrochem, that the demand for the aromatic is unfazed by this price revision, as such, overall demand is stable for the aromatic in the Indian market.
(This article was published on the website on August 06, 2014)
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