Weekly Acetic Acid Report 11th December 2020

Weekly Price Trend: 07-12-2020 to 11-12-2020

• There has been significant rise in domestic prices for Acetic Acid. The rise has been in particular since last two weeks.
• By end of this week prices were assessed at the level of Rs.60/Kg, for both the ports. There has been rise in values by more than 30% in last one week. Prices have been increased by Rs.12/Kg in this this week for both the ports.

Booking Scenario

INDIA & INTERNATIONAL

• Domestic prices of Acetic acid were assessed at the level of Rs.60/Kg for this week.
• Domestic prices have been increasing this week. The rise in Methanol prices has boosted the prices for Acetic Acid market as well.
• CIF India prices were assessed in the range of USD 580-600/MT for this week. Prices has increased by USD 40/MT for this week.
• There has been an increase of USD 30/MT in Methanol prices for this week. There has been conclusive rise in demand for Acetic Acid in Indian market. The major factor causing the rise in prices is higher feedstock prices coupled with supply-demand fundamentals.
• India has been importing huge chunk of Acetic acid from China. But due to pandemic there has been slowdown in imports from China. Moreover, the demand for Acetic Acid is highest in the period of Sept-Nov across Asian countries.
• Oil has recovered from historic lows reached in April when the pandemic hammered demand, helped by a record supply-cut deal by the Organization of the Petroleum Exporting Countries and allies, known as OPEC+
• Oil gushed above $50 a barrel on in this week for the first time since early March as hopes of a faster demand recovery after the release of COVID-19 vaccines offset a huge rise in US crude inventories that showed there was still ample supply available.
• Britain began vaccinations this week and they could start as soon as this weekend in the United States. Canada on Wednesday approved its first vaccine and said initial shots would be delivered starting next week.
• Brent crude was up $1.51, or 3 percent, at $50.37 a barrel at 1501 GMT, rising for a third day. U.S. West Texas Intermediate (WTI) crude rose $1.46 cents, or 3.2 percent, to $46.98.

1$: Rs. 73.65

Import Custom Ex. Rate USD/ INR: 74.70

Export Custom Ex. Rate USD/ INR: 73.00