Benzyl Acetate Prices (Q4 2021)
In Q4 2021, in Asia, Indian Benzyl market prices were recorded at 1520 USD/MT on an average from October to November. Prices of AA in Asia slowed in Q4 due to weakening demand. Laxmi Organics, a leading Indian company, imported large quantities of it from Celanese PTE Ltd. to meet their acetyl derivatives need. In the near term, a drop in Chinese AA prices was projected to keep downward pressure on both imported and local offers. The negative raw material supply in the global region, as a result of weak export activity in India, South Korea, and Belgium, had an impact on prices. The derivative prices, primarily ethyl acetate and butyl acetate, also stabilised.
In Q4 2021, the US benzyl acetate market price was recorded at 1331 USD/MT. With poor demand and ample supply in North America, the price trend had been steadily declining. However, when compared to the same year's Q2 and Q3, the prices were on the high side. Prices rose because to limited supplies and concerns about the omicron Covid-19 version. Although US acetic acid production had already gradually resumed, accessible amounts for export to Europe remain limited. This was owing to poor production rates caused by difficulty obtaining raw materials such as methanol, as well as regular maintenance. The prices in the US market were 1450 USD/MT FOB Texas and 1476 USD/MT FOB Louisiana.
AA prices in Europe spiked in October and November before starting to fall in December. In October and November, Germany's rates were 1805 USD/MT DDP Hamburg and 1845 USD/MT DDP Hamburg, respectively. The prices increased to multi-month and multi-year highs across Europe as a result of a global supply shortage. The situation was exacerbated by long transportation periods and restricted freight capacity. The supply chain was still in peril, with reduced container availability and rising freight costs.
Benzyl Acetate Prices (Q1-Q3 2021)
In 2021, Indian benzyl acetate market prices were recorded at 1165 USD/MT in January and 1520 USD/MT in April. Throughout the first quarter, the supply of the raw material AA improved, but stayed balanced, as several key plants in China restarted after a turnaround since late December. The demand in the APAC area had been driven by steady consumption from downstream sectors. Increased prices in the Asian market were caused by increased demand and the lack of supply of the raw material. Prices in India also continued to rise, with an average of 982 USD/MT on CFR JNPT basis. Due to the rise in the price of the feedstock methanol, the Asia Pacific market for the raw material saw an exponential growth in its prices in the third quarter of 2021. Furthermore, in China, the shutdown of the Ningbo-Zhoushan port for nearly two weeks in August, as well as congestion at the country's other ports, caused a disruption in the supply chain, affecting AA availability in the region. Furthermore, in July, the factories in Guangxi and Anhui Huayi were shut down for roughly 3-4 weeks for maintenance, adding to market constraint. Due to a container constraint in India, high freight expenses contributed to the quarter's rising pricing trends.
In 2021, the US benzyl acetate market price for the first three quarters was recorded at 1331 USD/MT from January to September. During the first quarter of 2021, regional raw material supplies were limited due to a lack of feedstock supply and rising methanol costs. Due to adverse weather conditions in Texas and the Gulf of Mexico, Celanese declared force majeure in mid-February and postponed the expansion of its new AA facility due to unfavourable market conditions. In mid-February, CFR New York prices were approximately 930 USD/MT, while FOB Texas settlements were rangebound between 775-780 USD/MT due to persistently constrained supply. However, demand remained buoyant as major economies across the world normalised, owing to a robust increase in downstream VAM consumption as well as for delivering anticipated export orders.
After Hurricane Ida interrupted many manufacturing sites in August, the raw material supply in North America remained limited. Due to severe climate crises, the industrial infrastructure in the Gulf of Mexico remained closed, resulting in a demand-supply imbalance. Acetic acid leakage at LyondellBasell's Texas plant in July, as well as concerns about delta variant spread, weighed on market sentiments. The prices have been influenced by raw material price increases all around the world. FOB U.S.A. prices soared to 430 USD/MT in September, demonstrating a steady increase since July, owing to a continuing supply constraint.
The raw material supplies in the European region were restricted in the first quarter of 2021, as imports from the United States were limited owing to plant outages, followed by sharply rising costs in the region. The increased demand for AA from downstream acetate sectors boosted overall demand for benzyl acetate. Due to intense rivalry in the local market, dealers in northwest Europe were keen to get additional volumes, resulting in an increase in prices across Europe.
Due to the shutdown of LyondellBasell's La Porte facility, one of the world's largest suppliers of AA, supply in the European region constricted in the third quarter of 2021. Furthermore, the Meishan terminal at Ningbo port was overburdened, resulting in a raw material shortage in Europe. Raw material price increases, combined with increased demand for downstream products, continued to cause ripples in the region's acidic acid pricing. In the fourth quarter, DDP-Germany increased monthly average pricing by 110 USD/MT.
Benzyl Acetate Prices Overview 2020
In 2020, Indian benzyl acetate market prices were recorded at 1720 USD/MT in January, 1660 USD/MT in April, 1593 USD/MT in July and 1495 USD/MT in October. As various factories resumed operations and ramped up production following protracted delays in several regions of Southeast Asia, the raw material acetic acid (AA) market sentiments grabbed the lead in the third quarter due to robust demand from the downstream industries. In Q3 2020, Chinese AA operating rates improved significantly, staying around 80-82%, compared to the low 60s in the previous quarter. Increased activity in the Indian market, which reported robust performance from acetyl intermediates and downstream Vinyl Acetate Monomer, offered further support to its futures, which headed towards recovery (VAM).
Benzyl acetate market prices in the United States in 2020 were 1593 USD/MT in January, which dropped to 1331 USD/MT in March. The second quarter saw a significant drop in quarterly numbers for major AA producers in the region, owing to a weakened acrylic acetyl chain segment, which fell by double digits year over year due to a persistent decline in industry pricing due to a deflationary environment for raw materials. Due to decreased demand in the United States and Canada, the North American market continued under pressure in the third quarter.
As players reported a jump in demand from downstream VAM makers, all main Middle Eastern AA manufacturing sites were running at improved rates. When compared to the previous quarter, prices increased dramatically, but customers appeared to be able to withstand the claimed increase. Depending on the feedstock and the buyer's reaction as the year drew to a close, some price relief could be seen in the approaching quarter.
Procurement Resource provides latest prices of Benzyl Acetate. 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.
Procurement Resource provides prices of Benzyl Acetate for regions around the globe, which are as follows:
About Benzyl Acetate:
Benzyl Acetate, a colorless liquid having an odour of pears, is an organic ester formed by the condensation of benzyl alcohol and acetic acid. It is often found in alcoholic beverages. Benzyl Acetate occurs in several like places like jasmine, apple, cherry, guava fruit as well as in peel, wine grape, white wine, tea, plum, cooked rice, Bourbon vanilla, naranjilla fruit (Solanum quintozenes), Chinese cabbage and quince.
Chemical Formula of Benzyl Acetate:
In this process, benzyl alcohol and acetic acid are used as raw materials. They undergo direct esterification under the catalysis of sulphuric acid and this results in the formation of Benzyl Acetate, which is further neutralised, washed and fractionated into finished goods.
Note: Our supplier search experts can assist your procurement teams in compiling and validating a list of suppliers indicating they have products, services, and capabilities that meet your company's needs.
The displayed pricing data is derived through weighted average purchase price, including contract and spot transactions at the specified locations unless otherwise stated. The information provided comes from the compilation and processing of commercial data officially reported for each nation (i.e. government agencies, external trade bodies, and industry publications).