2,5-Furandicarboxylic Acid Price Trend and Forecast

Regional Price Overview

Get the latest insights on price movement and trend analysis of 2,5-Furandicarboxylic Acid in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa

2,5-Furandicarboxylic Acid Price Trend for H1 of 2023

In the first two quarters of 2023, the price trend of 2,5-Furandicarboxylic acid saw an upward trajectory. The trend of 2,5-Furandicarboxylic acid is majorly affected by the prices of feedstock material, i.e., sugarcane. In Asia, particularly in India, the government imposed a hike in the FRP prices of sugarcanes and its related commodities in the second quarter of 2023, which increased the upstream costs. These high costs of raw materials further boosted the economy of the 2,5-Furandicarboxylic acid market.

In addition to this, the prices were also supported by the slow movement of the sugar industry as the production rates fell during the months of March and April. The decline in production rates was not only seen in the Asian continent but also Europe. The uncertainties in the global market and rising inflation rates drove the cost of production, influencing the price trend for  2,5-Furandicarboxylic acid heavily.

Analyst Insight

According to procurement resources, the price trend of 2,5-Furandicarboxylic acid is expected to incline as the prices of raw material sugar and related items seem to follow a bullish trend.

2,5-Furandicarboxylic Acid (FDCA) Price Trend for H2 of 2022

Asia

The 2,5-Furandicarboxylic Acid market witnessed a fluctuating price trend in H2 2022. The second half started with a stagnant market outlook. The price trend for 2,5-Furandicarboxylic Acid closely mimicked that of its feedstock sugar/sugarcane. As the Chinese government lifted the covid restrictions, the supply chains resumed leading to the normalisation of trade. This led to a decline in the prices of 2,5-Furandicarboxylic acid amid erratic demand. But as Q4 arrived the rapid offtakes overpowered the supply resumptions and prices started hovering with a little upward inclination.

Europe

The economic backlash in the European region negatively affected the consumption patterns of the consumers thereby, leading to demand destruction. Hence, the prices of almost all the commodities declined in H2 due to lowered/feeble offtakes. However, the opening of supply chains and decongestions of ports provided the much-needed respite, but no simultaneous effect on the market demand was seen. The sullen demands kept the FDCA price trend on a lowered trajectory.

North America

The North American market replicated the Asian trend for FDCA prices. The sugar prices had an almost flattened curve and wavered on the lower side. Sufficient supply and lowered demand caused the FDCA prices to decline.

Analyst Insight

According to Procurement Resource, the price trend for FDCA are expected to rise in the coming quarter considering the current market dynamics. The demand for FDCA is expected to rise, but the fluctuating feedstock prices and availability will determine the future course of the market trend.

2,5-Furandicarboxylic Acid Price Trend For H1 of 2022

Asia

2,5-Furandicarboxylic Acid is obtained via the dehydration of sugars like glucose and sucrose.

Sucrose crystals are obtained organically from sugarcane. During the first quarter, owing to the robust demand from the sugar and ethanol industries, the prices of sugarcane and thus sugar soared. Also, India individually met the demand for sugar globally due to the reduced production from the Latin states and supply chain constraints amid the ongoing conflict.

Maharashtra had a bumper harvest season this year and exceeded the quotas drastically, leading to market stockpiling. Hence, the Indian government allowed the mills to export more than the permitted amounts to prevent losses. The lowered prices of feedstock sugars weakened the price trend of 2,5-Furandicarboxylic Acid.

Europe

In line with the Asian market, sugar prices remained strong during the first quarter due to solid downstream demand and supply-side shortages. However, the prices stabilized in the second quarter because of the increased imports from the sugar exporting nations which led to the stockpiling of the product in the local markets.

North America

During the start of the current year, the sugarcane and thus the sugar prices soared throughout the domestic market. The poor harvest due to the severe climatic conditions and the reduced exports from Brazil and Mexico resulted in the inflated costs of sugars.

However, during the second quarter, the prices of sugars plateaued and stabilized due to mixed market sentiments. The price of glucose syrup averaged 948.20 USD/MT.

Procurement Resource provides latest prices of 2,5-Furandicarboxylic Acid. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.