Get the latest insights on price movement and trends analysis of Raw salt in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).
Raw Salt Price Trends for the First Half of 2023
Raw Salt continued its journey uphill even in the first two quarters of 2023. Even though the average salt production saw a good rise this year, still, the demands from consuming food, pharma, and chemicals sectors exceeded expectations.
Obtaining raw salt from seawater in coastal areas is an energy-intensive process; along with this, the labor and power costs have been rising globally because of inflation, which has led to a perpetual rise in production costs. But because salt is such a necessary commodity, the suppliers and consumers have shared the cost load. Along with raising selling prices, the manufacturers have also taken marginal profit cutdowns.
According to Procurement Resource, the Raw Salt price trendss are likely to fluctuate going forward since the salt companies will try to cap the price hike after a certain point.
Raw Salt Price Trends for the Second Half of 2022
Raw Salt prices surged for the entire period of the second half of the year 2022. Demands from the downstream sectors, especially pharma and chemicals, grew, highlighting the short supply issue in the Raw Salt sector.
In the latter half of the final quarter, an approx. A 9% YOY rise in Raw Salt sales was observed. Inflationary pressure was also a primary reason for heightened prices. This can clearly be deciphered by how major salt corporations observed a dip in operating earnings despite raising the selling price as the operational and processing costs had also gone up.
According to Procurement Resource, the Raw Salt price trendss will rise even further going forward in 2023 since the demands are on the rise and supplies are short.
For the Second Quarter of 2022
In India, salt production was majorly affected by heavy rains which delayed the harvest in the largest salt producing state, Gujarat. India is the third largest producer of the commodity after US and China exporting to more than 55 countries in the world.
As energy prices went up dramatically in Europe following the Russia-Ukraine conflicts, salt processing costs soared leading to a rise in its price.
For the First Quarter of 2022
When supply was limited and demand was high, salt prices rose, as they do with any commodity. Because of the environmental impact of salt damage, several states, such as Oregon, had elected not to utilise rock salt as a deicer for roads and highways. Consumption and expenses, meanwhile, continued to climb. In Alaska DOT price of rock salt was 145 USD/MT.
For the Fourth Quarter of 2021
Monthly average price in China for Inorganic Sea salt (crude salt) in November was quoted for 420 RMB/MT. This was up from the prior figure of 340 RMB/MT for October 2021. The retail pricing index for salt in India was around 120 in December 2021. This meant that the RPI for salt had risen by 20% since the base year of 2016.
For First, Second and Third Quarters of 2021
China's salt output has decreased by an average of 2% year on year since 2014, yet the country has remained the world's top producer of the commodity since 2019. In 2021, India was likely to face a shortage of the commodity due to high rains over the previous two years and the consequences of COVID-19, which significantly hampered salt output in Gujarat.
However, due to the cumulative impacts of heavy rainfall over the past two years and the consequences of COVID-19, which severely hampered the output in Gujarat, a shortage of salt was anticipated in MY 21/22. Furthermore, because of the COVID-19 outbreak, manufacturing was halted, resulting in a 35 % decline in output in 2020 compared to 2019.
The coronavirus epidemic had little effect on salt extraction output, with manufacturing continuing despite government’s social distancing efforts. Chemical producers are the industry's second-largest market, accounting for around 30% of total sales in 2021-22.
Chemical producers' demand, both organic and inorganic, fell in 2020-21 due to lower downstream demand. In 2021-22, demand from chemical producers was predicted to grow, minimizing revenue declines. As major downstream establishments such as those in the hospitality industry were closed for much of 2020-21, demand from food processors plummeted. By April 2021, lockdown. restrictions reduced, reducing income declines in the current year.
In the United States, vacuum and open pan salt prices were projected to be 215 USD/MT whereas the price of solar salt was roughly 120 USD/MT during the same year. The US is the top importer of low sodium sea salt although this nation has tight and hefty import duties on various goods including low sodium sea salt. This restricted profit margins for significant firms in the nation, so they are relocating their manufacturing base to foreign countries.
For the Year 2020
Although China's salt output has decreased by an average of 2% YoY since 2014, the nation has remained the world's largest producer of thee commodity since 2019 in comparison to other producing countries. Exports totaled 1.158 MMT in 2020, valued at USD 98,588 million, with South Korea and Japan as the major importers.
According to the United Nations COMTRADE database on international trade, the European Union imported USD 637.47k worth of salt, pure sodium chloride, and sea water from India in 2020. In 2020, virtually every country witnessed a reduction in its output; China was the exception, reporting a 1.7 % rise compared to 2019 statistics. In the EU nations, salt extraction dropped by approx. 16 %. In 2020, France was placed 12th with the share in export of 2.26 %.
In 2020, the country imported around 16 MMT of salt for consumption, a modest reduction from the 18.6 MMT imported the previous year. The output in the United States was at about 39 MMT.
Procurement Resource provides latest prices of Raw Salt. 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.
Raw Salt appears as a white crystalline solid. It is a type of sea salt generally containing high amount of sodium chloride, calcium minerals, iodine, and other mineral elements. It generally occurs in seas and underground deposits. It has numerous applications including its utilisation as a raw material in salt refineries to produce various end use products. The raw salt is refined to get pure salt and to enhance its storage and handling characteristics. This generally involves recrystallisation of brine solution upon its treatment with chemicals, thus, precipitating most impurities.
|Product Name||Raw Salt|
|Industrial Uses||Pharmaceuticals, Chemical industry, Food processing|
|Synonyms||Crystal salt, Rock salt|
|Supplier Database||EM Salt Group, Cargill, Incornporated, Tata Chemicals Ltd., Indo Brine Industries Ltd.|
|Region/Countries Covered||Asia Pacific: China, India, Indonesia, Pakistan, Bangladesh, Japan, Philippines, Vietnam, Iran, Thailand, South Korea, Iraq, Saudi Arabia, Malaysia, Nepal, Taiwan, Sri Lanka, UAE, Israel, Hongkong, Singapore, Oman, Kuwait, Qatar, Australia, and New Zealand
Europe: Germany, France, United Kingdom, Italy, Spain, Russia, Turkey, Netherlands, Poland, Sweden, Belgium, Austria, Ireland Switzerland, Norway, Denmark, Romania, Finland, Czech Republic, Portugal and Greece
North America: United States and Canada
Latin America: Brazil, Mexico, Argentina, Columbia, Chile, Ecuador, and Peru
Africa: South Africa, Nigeria, Egypt, Algeria, Morocco
|Currency||US$ (Data can also be provided in local currency)|
|Supplier Database Availability||Yes|
|Customization Scope||The report can be customized as per the requirements of the customer|
|Post-Sale Analyst Support||360-degree analyst support after report delivery|
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 industrial or commercial production of Raw Salt involves the process of evaporation of seawater, where the residue is extracted to obtain the desired product.
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).
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