The chemical industry is very critical for the economic development of any country, it plays very crucial role and provide solutions virtually to all the sectors of economy. With global growth and development all over the world, India emerges out to be one of the focus destinations for growth and emerging economy. India with its current size and contribution accounts for 3 percent of global chemical industry.
Focused growth and proper planning can enhance our contribution to the global economy and thus can leverage the Indian economy. Chemical industry can provide an accelerated growth to the economy provided the industry gets a strategic roadmap for its own growth and development. For this, industry needs investment in capacity creation, technology development, access to feedstock and skilled human resources. Today the scenario is that most of the industries have their manufacturing units in different countries mainly due to unavailability of chemical resources. Fragmented nature of this industry had affected the growth and optimized utilization of resources and economies of scale. Nevertheless, big players must take into consideration the beneficiary aspects related to Small players of this industry as well.
To provide solution and one time destination for all the prices we have designed a website called www.globalchemicalprice.com. It provides every bit related to chemical industry be it in terms of prices, industry updates, reports, or current affairs on your desktop.
It is an independent analysis and information based website focused on the fast growing petrochemical sector. Our group has been very active in this industry and posses sound knowledge about the functionality of this market. As mentioned earlier we provide domestic as well as international prices for the various chemicals. Domestic prices are updated on daily basis, while international price assessment is being done on weekly basis and published on every Friday. The schedule of publication of our daily prices and reports is available on our website.
We have developed our own methodology for price assessment taking into account the existing market standards. Our methodology is envoy of market and the chemical prices to which it relate. To ensure the consistency and reliability of prices we follow a well defined procedure on daily basis which is further explained below.
Daily Price Methodology
Our website publishes daily prices for 30 chemicals. So for all the 30chemicals this procedure is being followed to make daily price assessments.
Daily price assessments are based on recent information gathered from reliable and active market participants. These participants include traders, producers, brokers, distributors and consumers.
Market data is collected by our team via telephone calls, e-mails, instant messaging and electronic transfer of back office deal sheets.
The domestic opening prices are in Indian Rupees/Kilogram (Kg) basis.
Our team of analysts regularly communicate with key brokers and producers in the market and take their opening market prices. Along with prices the care is taken that their prices are valued on the basis of their transaction size.
Prices are further analysed and go through a predefined procedure.
This procedure includes various steps. At every level detail assessment is being carried out. The next way is of scrutinization. The examination is done on the basis of several factors like current market scenario, strong reason for fluctuation in prices, irrespective to market equilibrium i.e. maintaining demand and supply ratio, disparity in feedstock prices and variation in upstream and downstream prices. After thorough analysis the prices are published. The prices are for bulk quantity.
The prices quoted for bulk quantity has 60-70 days sharp credit. If credit period is for 90 then price may vary. Here cash discounts are also offered but only in case of cash payments.
All prices are in INR/Kg. These prices are basic - inclusive of Customs duty & exclusive of local V.A.T & C.V.D.
The prices of Mundra Port are 0.15 to 0.25 paisa lower than Kandla Port. (owing to freight charges).
For bulk products Mumbai prices are Ex- Nava Sheva & for Powder Products it is Ex Bhiwandi.
Please note that the prices quoted in our website are Ex tank and VAT inclusive. However we do not guarantee for prices to have an implication of VAT charges on the sale of chemical.
The above procedure is carried out on everyday basis and in the end rates are published on our website.
Our main objective throughout this process remains that whatever inputs are given for price assessments are of high quality as it represents the integrity of our website.
As mentioned earlier, 29 chemical prices are studied and analysed on daily basis. While studying the international market, every minute detail related to ports, countries from where it is imported, upstream and downstream products prices, currency rates, crude price, exchange rates etc. are taken into consideration and analysed well. The 29 chemicals are listed below:
|Acetic Acid||Base Oil (N70)||Maleic Anhydride||Mixed Xylene||Phenol|
|Acetone||C9||Melamine||Mono Ethylene Glycol (MEG)||Pthalic Anhydride|
|Acrylonitrile||Cyclohexanone||Methanol||N Butanol||Styrene Monomer|
|Base Oil (SN 500)||Ethylene Di Chloride||Methyl Ethyl Ketone (MEK)||N Hexane||Toluene|
|Butyl Acetate||Formaldehyde (37%)||Methylene Di Chloride (MDC)||N Propanol||Vinyl Acetate Monomer (VAM)|
|Butyl Acrylate||ISO Propanol (IPA)||Methyl Iso Butyl Ketone(MIBK)||Ortho Xylene|
We are in process to expand our list of chemicals.
When we study for international prices, every chemical has different pricing strategy and different pricing slabs. Some of the chemical has anti-dumping duty, as a result cost is increased while importing. Prices even depend upon the countries from where they are imported. Thus for every chemical a certain set of procedure is followed which is being mentioned below: