Acetic Acid Weekly Report 29 March 2019

Weekly Price Trend: 25-03-2019 to 29-03-2019

• The above given graph focuses on the Acetic Acid price trend from 25^th March to 29^th March 2019. If we take a quick look at the above given weekly prices, it can be observed that prices remained stable in domestic market.
• Initially prices remained firm but by end of the week there was slight improvement in domestic values. By end of this week, prices were assessed at the level of Rs.32.5/Kg for Kandla and for Mumbai port for bulk quantity.

Booking Scenario

INDIA& INTERNATIONAL

• Domestic prices of Acetic acid were assessed around Rs.32.5/Kg for Kandla and for Mumbai port of India. This week domestic values improved by Rs.0.5/Kg in domestic market.
• CIF India prices for Acetic Acid were assessed around USD 380-400 increased by USD 20/MTS for this week.
• Prices for Methanol have decreased at the level of USD 2/MT and since last few weeks has also affected the Acetic Acid values in domestic as well as international market. CFR India Methanol prices were assessed at the level of USD 290/MT.
• Indian currency has also strengthened against dollar in last few weeks. This has been one of the strongest performances of rupee against dollar since last few years
• There have been constant fluctuation include prices in international market. US have been worried for the formation of new Middle East bloc comprising of Turkey, Iran and Qatar.
• These nations are already in black list of US, now with strong connection among these countries the trigger is felt by the US government.
• There is one more thing which could derail the oil supplies of US. The quality issue with crude has been a big headache for the manufacturers. Recently two leading Korea importers have cancelled their order for crude from US. Reason behind this declining quality is that there is a massive pipeline network carrying crude oil from the U.S. shale patch to the Gulf Coast ports where it is loaded on tankers and sent to Asia, with South Korea emerging as the biggest buyer of U.S. crude so far this year.
• Yet with so many pipelines—trunks and branches—the oil gets contaminated with various undesirable things, from oil residue to heavy metals, pipe cleaning agents, and a group of compounds called oxygenates. These last ones are particularly worrying for refiners, it seems.
• On Thursday, closing crude values have decreased. WTI on NYME closed at $59.30/bbl. Prices have decreased by $0.11/bbl in compared to last closing prices. While Brent on Inter Continental Exchange decreased by $0.01/bbl in compare to last closing price and was assessed around $67.82/bbl. 

1$: Rs. 69.21

Import Custom Ex. Rate USD/ INR: 70.00

Export Custom Ex. Rate USD/ INR: 68.35