Sodium Alginate Price Trend and Forecast

Regional Price Overview

Get the latest insights on price movement and trend analysis of Sodium Alginate in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

Sodium Alginate Price Trend for the First Half of 2023

Sodium Alginate prices rely on the feedstock alginate to a great extent, and the alginate is sourced from seaweed, so the price trend also varied with the seaweed production and prices during the said period.

Sodium Alginate Price Chart

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As the Asian continent counts as the biggest seaweed-producing and exporting region, the production yield here set the tone for Sodium Alginate prices worldwide. During early 2023, the climatic disruptions affected the agricultural produce as the uneven, unseasonal rainfalls with several strong typhoons resulted in disrupted growth, causing a severe supply curtailment.

Thereby raising the upstream costs for Sodium Alginate throughout the discussed period. However, dull downstream demands from the pharma, textile, etc. industries kept the market anchored. So, overall, the Sodium Alginate market remained afloat with fluctuating patterns in the initial two quarters of 2023.

Analyst Insight

According to Procurement Resource, the price trend for Sodium Alginate are expected to continue fluctuating in a similar manner in the upcoming months, given the volatilities in the upstream costs and downstream demands.

Sodium Alginate Price Trend for the Second Half of 2022

Asia

Sodium alginate is obtained from seaweeds whose prices fell in the Asian Pacific region in the said period. The demand from the domestic sector remained bearish throughout the quarters and the ripple effects of covid restrictions in China had a major negative impact on the price trend of sodium alginate. In addition to this, the decrease in demand from the end-sector market further aided the fall in prices.

Europe

The European region showed fluctuations in the price trend of sodium alginate as the prices of related algae-obtained products declined in the region. The main cause of this decline was the reduced demand for the commodity, high input costs, and adverse effects from the ongoing Russia-Ukraine war. In addition to this, the fourth quarter also witnessed a rise in the prices of raw materials and fluctuating market dynamics. The uncertainties in the market along with weak demand from the end-sector industries led to the declining trend of algae products such as sodium alginate.

North America

The North American market showed conflicting price trend for sodium alginate in the last two quarters of 2022. The decline in prices was attributed to the weak demand from the end-user industries and the rise in inventories in the region. The prices of feedstock material also plummeted in the US, fueling the declining price trend. However, the demand rose towards the end of the fourth quarter due to improvements in consumer demand, low stock availability and sufficient supply from the manufacturers.

Analyst Insight

According to Procurement Resource, the price trend for sodium alginate are likely to fluctuate in the upcoming months. This fluctuating trend will attribute to the uncertain market dynamics, oscillating demand from end-user industries and high input costs.

Sodium Alginate Price Trend For the First Half of 2022

Alginate, also known as alginic acid is an organic substance that is obtained from seaweed. The price of seaweed (used as a feedstock )determines the global sodium alginate price patterns. The vast bulk of the world's seaweed demand is satisfied by Southeast Asia.

Indonesia is the world's largest producer of seaweed, but recent price fluctuations have made it challenging for farmers to make a livelihood. Because China is the largest country that processes seaweed, China's strong demand is a major factor in feedstock pricing.

The Chinese government's zero-tolerance covid regulations had a negative impact on the manufacturing sector. Even once restrictions were lifted, the turnaround was not ideal since high pricing and supply-side restraints negatively impacted market demand sentiment.

The price of seaweed in Indonesia was adversely impacted by the decline in Chinese demand, which also had an impact on the price trend of sodium alginate. The Indonesian government's export limitations as well as the devaluation of the currency against US dollars caused seaweed prices to further collapse. Seaweed cost 2.97–4.21 USD/kg in China whereas it cost 3.5–6.87 USD/kg in Europe.

However, due to increased demand on the local US market, seaweed prices were somewhat increased, averaging 10.55 USD/kg. Due to consistent demand from the pharmaceutical and dental industries, sodium alginate pricing managed to stay afloat in the worldwide market despite fluctuating trend in seaweed prices.

Procurement Resource provides latest prices of Sodium Alginate. 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.