The primary application of nicotine sulphate is an insecticide. It is a very effective biodegradable insecticide to which insects rarely develop immunity. Growing demand for plant-based non-harmful products is driving the market for nicotine sulphate. The price of nicotine sulphate usually depend on various factors such prices of feedstocks, logistics, and demand and supply interplay, but in the said quarter, prices mirrored the price of its feedstock material, tobacco leaves and sulphuric acid. The prices of both the feedstocks showed an inclining trend providing cost support to the price of nicotine sulphate. There were some plant outrages which limited the supply of sulphuric acid in short term. Therefore, the price performance of nicotine sulfate remained motivated for the majority of the first two quarters.
Occasional ups and dips were attributed to momentous supply and supply chain disturbances. However, the overall trend was optimistic. The supply of the raw material was normalized after overcoming the supply challenges. The demand of the nicotine sulphate was average and the procurement looked enthusiastic. Apart from this, the prices were also affected by logistical challenges posed by extreme weather conditions such as heavy rains in India and China and hurricanes in North America. The changing geopolitical scenarios in Europe and Red Sea crisis had also affected the supply in the said quarter. Overall, the price trajectory of nicotine sulphate depicted a positive outlook supported by rising price of feedstock materials.