Acetic Acid Weekly Report 10 January 2020

 Weekly Price Trend: 06-01-2020 to 10-01-2020

• The above given graph focuses on the Acetic Acid price trend from 6^th Jan to 10^th Jan 2020. If we take a quick look at the above given weekly prices, it can be observed that prices remained variable throughout this week.
• By end of the week prices were assessed at the level of Rs.35/Kg, slightly increased in this week.

Booking Scenario

INDIA& INTERNATIONAL

• Domestic prices of Acetic acid were assessed around Rs.35/Kg for Kandla and for Mumbai port of India.
• CIF India prices for Acetic Acid were assessed around USD 540-560/MT, with an increase of USD30/MT for this week.
• Prices for Methanol on other side improved for this week. CFR India prices were assessed at the level of USD 208/MT, increased by USD 8/MT for this week.
• There has been significant rise in demand of Acetic Acid from the downstream industry which is VAM and PTA manufacturers. Rise in demand is primarily due to start up of new VAM units. Lotte BP Chemical plans to start trial operation at its new 200,000 tonne/year VAM plant in Ulsan in October 2020.
• India's Central Government - in its Acetic Acid (Quality Control) Order 2019 - directed that acetic acid imports shall conform to and bear the Bureau of Indian Standards’ (BIS) Indian Standard mark of IS 695:1986 under a license from the BIS with effect from 2 February 2020.
• As of end December, the majority of producers were still in the process of obtaining the license, a process which could take several months from the point of registration .
• Traders are concerned about booking January shipments from China to India, lest the cargoes are held up on arrival in early February if the licenses are not in place.
• The local industry in India was heard to be working with the authorities for an extension of the effective date of the BIS certification.
• In the near term, supply may still remain ample given the lack of acetic acid plant turnarounds scheduled in the first quarter of 2020.

PLANT NEWS

Acetic Acid unit undergo maintenance by Jiangsu Sopo Chemical

China based Acetic Acid unit is likely to undergo maintenance in the month of April. Unit is based at Zhejiang and Jiangsu province of China. The two units has the production capacity of 80,000 tonnes/year and 40,000 tonnes/year. Unit is likely to remain off-stream for around one month.

Acetic Acid unit undergo maintenance by Shanghai Wujing Chemical

China based Acetic Acid unit is likely to undergo maintenance in the month of April. Unit is based at Shanghai province of China. It has got two Acetbetween Iran and USic Acid manufacturing units. The two units has the production capacity of 450,000 tonnes/year and 250,000 tonnes/year. Unit is likely to remain off-stream for around one month.

1$: Rs. 70.93 

Import Custom Ex. Rate USD/ INR: 72.15

Export Custom Ex. Rate USD/ INR: 70.45