Methanol Weekly Report 13 September 2019
Weekly Price Trend: 09-09-2019 to 13-09-2019
- The above graph focuses on the Methanol price trend for the current week. Prices remained vulnerable throughout this week. Domestic prices were assessed at the level of Rs.18/Kg for bulk quantity by end of the week.
- By the end of the week prices were assessed around Rs 18/Kg for Kandla and Mumbai ports.
Booking Scenario
INDIA&INTERNATIONAL
- This week domestic market prices of Methanol remained vulnerable there was a constant variation in the values. Prices in the domestic market increased slightly for this week and were assessed at the level of Rs.18/Kg for bulk quantity.
- CFR India prices were assessed around USD 215/MTS, increased by USD 7/MTS for this week. With ongoing monsoon season at its peak there has been significant decline in demand for Methanol.
- CFR China prices were assessed around USD 217-237/MT, with no change in values in compare to last week’s closing values for this week.
- Benzene the major source for aromatic products has also improved for this week. FOB Korea values for Benzene were assessed around USD 700/MT, increased by USD 13/MT for this week, while CFR China prices also improved and were assessed at the level of USD 700/MT for this week.
- Crude oil futures were marginally lower during mid-morning trade in Asia Friday after an OPEC meeting held yesterday. It resulted into no supply cuts in crude production and bearish market reports on oil fundamentals.
- Ongoing trade tensions between the US and China, coupled with geopolitical risks in the Middle East and OPEC production cuts, kept prices moving within a tight range Friday morning.
- According to reports India has been one of the major beneficiaries as its imports bill has reduced heavily with declining crude prices.
- Crude oil prices fell more than $10 per barrel in a year and being the largest component in India’s overall imports, the fall in prices and demand can substantially bring down the country’s import bill. Decline in global economic indicators, US-China trade war and Brexit uncertainty are believed to have contributed to oil price declines and volatility. In 2014, oil prices dramatically fell down to $50 per barrel from over $100 per barrel.
MTO unit restarted by Shenhua Coal Co
- Shenhua Coal to Liquid and Chemical Co has restarted its Methanol-to-Olefins unit after brief maintenance. Earlier the unit was shutdown in the month of July for an annual maintenance. The unit has restarted its production in last week. Unit is based at Yulin in Shaanxi in China and has the production capacity of ethylene around 300,000 mt/year and propylene capacity of 300,000 mt/year.
MTO unit restarted by Shandong Yangmei Hengtong Chemical
- Shandong Yangmei Hengtong Chemical has restarted its Methanol-to-Olefins unit after brief maintenance period. Earlier the unit was shutdown in the month of July for an annual maintenance schedule. Unit has resumed its production in last month.
- Unit is based at Shandong province of China and has the production capacity of ethylene production capacity of 120,000 mt/year and propylene capacity of 180,000 mt/year.
$1 = Rs. 70.91
Import Custom Ex. Rate USD/ INR: 71.85
Export Custom Ex. Rate USD/ INR: 70.15
