2-EH prices in India have recently witnessed an upward trend

2- EH Prices in India

Recently, there has been an increase in the prices of 2-Ethylhexanol (2-EH), primarily influenced by the lack of supplies of 2-EH to India. As per the official data, a 5.17% decrease in India's imports of 2-EH was registered from March 2023 to March 2024. This reduction in imports is attributed to restrictive trade policies and ongoing geopolitical tensions, suggesting a tightening supply which is contributing to the price hikes. Considering India is heavily dependent on these imports (and mainly Germany for 2-EH), the lack of supplies has caused an uptick in the prices for 2-EH in India.

The geopolitical landscape, particularly the ongoing conflict between Israel and Iran, has also led to increased prices in crude oil and propylene. This rise in raw material costs further influenced the prices of derivatives like 2-EH.

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In addition, recent economic indicators such as India's Composite Purchasing Managers' Index (PMI) output index, which increased to 62.2 in April from 61.8 in March, reflected a recent rise in production activities within India. This surge is bolstering the demand for plastics and subsequently driving up the prices of 2-EH.

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Production Cost Report

Procurement Resource provides in-depth cost analysis of 2-EH production, including manufacturing process, capital investment, operating costs, and financial expenses.



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