Anthracene is a polycyclic hydrocarbon made up of three benzene rings fused together. This hydrocarbon is a crucial component for pigment and agriculture industries (pesticides, and fungicides). Thereby, the demands from these sectors determine the downstream pricing outlook for anthracene. Feedstock prices and other manufacturing costs influence the upstream pricing outlooks. Since anthracene is extracted via fractional distillation of coal tar, the price indices for both anthracene and coal tar show great similarities.
During the first quarter of the year 2024 as well, the market behavior exhibited similarities for anthracene and coal tar. Coal production has seen impressive increments in recent times. In India, the stockpiles surpassed 43 million tonnes; this resulted in a turndown of external cost pressure. The import volumes also took a hit. Concurrently, given this feedstock supply surplus, anthracene also felt the pressure. Suppliers started discounting the prices in order to sustain the product movement volumes. Some demand upticks momentarily pushed the prices up. However, the overall market sentiments remained downward, wavering for anthracene for the most part.