Methanol prices couldn't maintain the gains observed last week as competition intensifies this week

This week the bulk price of methanol, Ex-Mumbai, declined by Rs. 1-2 per kg as suppliers (mainly importer) lost the bargaining power to command high prices, as observed last week, and engaged in price war, which dragged down the prices this week. Bulk prices declined this week even as the booking price of methanol gained weight by $5 per metric tonne to $280 per metric tonne CFR India.

Bullish international market sentiment for Benzene last month lifts ex-works prices for the Aromatic in India this month

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.

PS prices hike due to domestic short-supply

Despite moderate to weak demand for General Purpose Polystyrene (GPPS) from most end user industries, the price of the polymer has been on the rise in domestic markets due to short supply from domestic producer. Supreme Petrochem has ceased its manufacturing unit for Polystyrene (PS) due to unavailability of Styrene, while limited imports are available in the market.

Less than expected demand for C9 solvent from agrochemical industry can brew a loss making season for Indian manufactures and importers

RIL declined its ex- works price of C9 solvent in August  from Rs. 2.50 to Rs.70.00 per kg. Indianpetrochem had assimilated in its previous news story that there are strong market indicators for RIL to perform a downward price revision due to low demand and huge inventory pile -up at suppliers end. C9 market has registered one of the biggest drop in demand as the technical used in agrochemical industry isn't available in the Indian market.

Cyclohexanone price set to rise as Benzene gains momentum internationally

There is strong indication that Cyclohexanone prices will rise in the near term as its feedstocks price, Benzene, is impacted by volatility in crude oil. Last week bent crude prices peaked at $108.39 a barrel as a consequence of geopolitical tensions in European Union and Middle East.

Outlook of price for the PET material likely to remain uncertain

With the onset of monsoon in several parts of the country, Indian polymer market is showing considerable fluctuations. Demand for the engineering plastic is usually low during this period of the year as most of the end user curtail their production rates for beverage bottles, which consumes majority share of  PET material. The demand is expected to gain momentum at the end of the monsoon season. The outlook of price for the polymer material is likely to remain uncertain.

Geopolitics of crude oil and rising domestic demand sets Toluene prices in India on a bull run

Intensified geopolitical tension between Europe and Russia, along with falling stock inventories for crude oil in North America, has led to volatility in crude oil prices this week. Resultantly, the prices of Toluene, which is one of the most traded aromatic, has gained moment in Indian and International markets. In India, strong cyclical demand for the solvent has lead to expectation that prices may gain momentum in the future.

Onset of Monsoon pulls down PVC prices

Indian polymer market is going through a thin trading atmosphere for PVC material from the last few days. Volatility in the Rupee and depressed buying sentiments are some of the factors responsible for the slide in demand for the PVC material. The other factor that effected the demand for the PVC  resin was heavy rain in several parts of India during this week, and higher offer price resisted by Indian importers. Traders as well as buyers are expecting strengthening in demand after the monsoon end.

Weak demand from specialized paint drags down MIBK prices

Bulk price of MIBK (Methyl Isobutyl Ketone) in Mumbai market have been on a downward trend since the beginning of July, 2014. The bulk price Ex-Mumbai reached highs of Rs. 139 per kg before declining to current incoming price to Rs. 124 per kg. The prices moved on account of plug in previous short supply position.

Imports to plug the domestic short supply situation of MEG in India

The demand for MEG is strong to moderate across major markets in India. Despite considerable manufacturing capacity for MEG in India, the domestic market at present is dominated by imports as most manufacturers captively consume the chemical or are under planned maintenance.

Booking price of SM to India expected to go down in near future

Styrene Monomer (SM) prices in India are completely reliant on price fluctuations of the Asian benchmark prices. In turn, the benchmark prices overseas are impacted significantly by Benzene prices, its feedstock. International Benzene prices have been volatile since last month due to the crude oil price fluctuations caused by the political insurgency in Iraq. While the prices of Benzene have stabilized on this account, the international prices of Styrene are yet to move back to original trading range.

New Union Budget positively impacts PA market; Aromatics remain unaffected

On 11th July, 2014, the Indian government announced the budget for the coming financial year, whereby, basic custom duty reduction was announced for a host of petrochemical and petrochemicals feedstock. In order to comprehend the effect of this on the Aromatics market in India, Indianpetrochem evaluated the impact of custom duty revision for Reformat and Ortho Xylene.