Phenol Weekly Report 11 Jan 2019

Weekly Price Trend: 07-01-2019 to 11-01-2019

• The above given graph focuses on the Phenol price trend for the current week.
• If we take a quick look at the above given weekly price trend it can be observed that this week domestic prices remained stable with significant hike by end of the week.
• By end of the week prices were assessed at the level of Rs. 87/Kg for bulk quantity. 

Booking Scenario

INDIA & INTERNATIONAL

• This week domestic phenol market prices were assessed around Rs.87/Kg for bulk quantity. Prices increased significantly for this week.
• CFR India prices for this week were assessed in the range of USD 1320-1340/MTS, increased by USD30/MTS for this week.
• Benzene FOB Korea prices improved by USD 41/MT in this week. FOB Korea values were assessed around USD 561/MT. On other side CFR China prices were assessed around USD 581/MT for this week.  This improvement has a positive impact on Phenol prices in international market.
• Crude prices remained volatile throughout this week. There has been rise decline in crude prices since December. The impact is seen all the major petrochemical prices. The experts believe it to be meltdown of some giant economies of the world.
• China is the major country Asia facing the huge slowdown in its economy. Oversupply with limited demand of petrochemical has been pushing the price to melt further.
• Experts do believe that now Brent and WTI are expected to trade between $60 and $70 a barrel by the second half of this year, unless a sharp global economic slowdown affects the outlook for global oil demand.
• While OPEC is expected to cut its output in 2019 in an attempt to balance the market, US production should maintain its upward momentum.
• Oil tripped on Friday amid concerns and apprehensions over the outlook for the global economy, but output cuts agreed by major exporters underpinned crude prices and kept markets on track for a strong weekly climb. 

PLANT NEWS

Phenol/Acetone unit restarted by CSPC

• CNOOC Shell Petrochemicals Co (CSPC) of China has restarted its Phenol/Acetone unit. Earlier the unit was shut down in the month of august last year due to some equipment failure. Unit has resumed its production last week. The unit is currently operating at full of its capacity. Unit is based at Huizhou province of South China and has the production capacity of 220,000 tonnes/year for phenol and 130,000 tonnes/year for acetone. 

$1 = Rs. 70.49

Import Custom Ex. Rate USD/ INR: 71.25

Export Custom Ex. Rate USD/ INR: 69.55