Acetic Acid Weekly Report 15 Feb 2019

Weekly Price Trend: 11-02-2019 to 15-02-2019

• The above given graph focuses on the Acetic Acid price trend from 11^th February to 15^th February 2019. If we take a quick look at the above given weekly prices, it can be observed that prices remained stable and firm in domestic market.
• With continuous fluctuation in crude values prices there has been no change in domestic values for this week.
• By end of this week, prices were assessed at the level of Rs.36/Kg for Kandla and for Mumbai port for bulk quantity.

Booking Scenario

INDIA& INTERNATIONAL

• Domestic prices of Acetic acid were assessed around Rs.36/Kg for Kandla and for Mumbai port of India. This week domestic prices remained unchanged and firm for this week.
• CIF India prices for Acetic Acid were assessed around USD 410-430/MT remained unchanged in compare to last week’s closing values.
• Major producer Celanese on 1 February announced a $90/tonne hike on acetic acid in Asia outside China.
• Demand is likely to improve only after Luna holidays in China as many plants are likely to go off-stream for maintenance.
• The lack of strong demand in the broader Asian market also led suppliers to remain more conscious and alert.
• Prices for Methanol have remained vulnerable since last few weeks has also affected the Acetic Acid values in domestic as well as international market.
• The recent terror attack on Indian military will have an adverse impact on Indian trade relation with neighbouring nation. Moreover such heinous attacks affect the economy of the country as well.
• Oil prices hit new high after a week long and has been the highest in this year. Withhold in the supply of crude from The Petroleum Exporting Countries (OPEC) and some non-affiliated suppliers including Russia has led to this hike in values.
• Brent crude oil prices hit 2019 highs above $65 per barrel on Friday, spurred by U.S. sanctions against Venezuela and Iran as well as OPEC-led supply cuts.
• Brent rose as high as $65.10, pushing past the $65 mark for the first time this year, before edging back to $64.97 a barrel by 0450 GMT. That was still 0.6 percent above the last close. 

PLANT NEWS

Acetic Acid plant to be shut down by Daicel Industries

• Japan based Daicel Industries is likely to shut down its Acetic Acid unit for maintenance turnaround. The unit is likely to go off-stream for around one month.
• Unit is based at Himeiji in Hyogo province of Japan and has the production capacity of 4,20,000 tonnes/year.
• Major acetic acid producers in Asia include BP, Celanese, China’s Jiangsu Sopo, Shanghai Wujing, Yankuang Cathay Coal Chemicals, Taiwan’s Chang Chun Petrochemical and Saudi Arabia’s International Acetyl Company. 

1$: Rs. 71.22

Import Custom Ex. Rate USD/ INR: 72.65

Export Custom Ex. Rate USD/ INR: 70.90