For the Fourth Quarter of 2021
China's production for the liquid will expand at a pace of 7% per year due to continued investment and technical improvements in the project. The production is expected to hit 17,600 MT by 2022. The need for citral in the downstream sector is increasing as its downstream industry continues to grow. The demand in China is expected to reach 23,200 MT by 2022.
For First, Second and Third Quarters of 2021
Wanhua Chemical declared their intention to develop citral, a crucial feedstock for Vitamin A, on January 27, 2021. This new source followed Xinfa's declaration earlier in the year that it would begin producing and supplying vitamin A in the second half of 2019. Despite their small capacity, both projects demonstrated a consistent pattern of market tension being relieved. As a result, the price of vitamin A was expected to decrease. In May, the industry faced a supply deficit of the liquid as Malaysian enterprises remain closed to prevent the spread of COVID. The Malaysian BASF PETRONAS factory produces citral and citronellol at its integrated chemical complex in Kuantan.
Manufacturers in the citral industry are expanding their production capacities in cosmetics, pharmaceutical items, and perfumes, in addition to detergents and cleaners, to diversify their revenue sources. To acquire a competitive advantage over other producers, they are learning alternative manufacturing technologies such as steam refining, solvent extraction, ultrasonication, and supercritical fluid extraction, among others.
For the Year 2020
High demand of beta pinene and low availability in the Indian market in H1-20 resulted in increased prices. The high prices were also supported by the supply chain disruptions caused by COVID-19. The deteriorating India-China relations further strained the prices, and the imports went down towards the end of 2020. The prices for turpentine (feedstock for Beta Pinene) remained stable after increasing in August-September 2019 due to excess supply in the global market. The prices in India increased in H1-20 due to increased freight costs within the country and restricted imports. Citral prices were stable as the demand had been slow-stable for H1-20. There were no sudden fluctuations expected in H2-20. The market price of the liquid in India averaged at 6346 USD/MT.
Citral prices in the first quarter of the year started at a low of 7512 USD/MT in January, which then rose to 8609 USD/MT in February. By March 2020, the price had risen to 9003 USD/MT and remained stable for the rest of the year. It is a key ingredient in making Vitamin A supplements. Citral-containing essential oils are used to treat infections of the skin and mucosa. Its antibacterial action in the treatment of various drugs had been thoroughly proven in the literature. Its natural components, on the other hand, are volatile and unstable. As a result, citral's therapeutic effects tend to outweigh its drawbacks. Nanocarrier technologies are being researched by companies in this sector to induce natural citral molecules in essential oils. Manufacturers are unlocking growth prospects in medicine delivery systems with the help of nanocarriers.
Procurement Resource provides latest prices of Citral. 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 Citral for several regions around the globe, which are as follows:
Citral is a clear yellow coloured liquid with a lemon-like odour. It is utilised to produce or make other chemicals. It can be found in the oils of various plants, such as lemon myrtle, lemongrass, lemon tea-tree and others. Being an aroma compound, it is extensively used in perfumery and as a flavouring agent for fortifying lemon oil.
Chemical Formula of Citral:
To produce Citral via vapour-phase dehydrogenation, geraniol or geraniol-nerol mixtures are used as the starting materials. In this process, the starting material is dehydrogenated in the presence of a catalyst such as copper under reduced pressure, which finally produces Citral.
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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).