India: Inflation is on the rise and can be seen globally, especially after disruption in the value chain caused by the Ukraine-Russia war. The prices of almost all commodities are increasing in the market. However, since April, the price of 2-Ethylhexanol or Octanol has declined in the Indian market. The 2-Ethylhexanol prices got afflicted by INR 4100 per metric tonne, with a decrement of 2.4% from the last month's values, according to Chemanalyst's data. The Octanol price declined most notably due to decreased values of feedstock propylene. The propylene price declined by 3% in the Indian market after relief in the inflationary pressure on Crude oil impacted by the release of US strategic oil reserves in March.

The Oxo alcohols and phthalates market are growing in May as demand for materials is consistent from the plasticizers and paint industries. With the growing construction sector and increased construction activities, an escalation in the cost of construction of warehouses is observed in the major cities of India. The price trend of phthalates remained upward in the domestic market, and Dioctyl Phthalate prices rose by 1.8% from the previous month. The demand for 2-Ethylhexanol continues to grow in the downstream plasticizer DOP- Dioctyl Phthalate industries due to consistent consumer demand for plasticizers from the EV vehicle sector. Consumer demand sentiment is shifting towards EV automobiles, most significantly after the hike in fuel prices was seen in the market due to inflation in Crude oil.

As per Chemanalyst, “Oxo alcohols market are flourishing, and demand for 2-Ethylhexanol is likely to remain consistent in the plasticizers, paints, and automotive industries with increasing activities in the construction sectors. The prices of 2-Ethylhexanol are likely to bounce back and will show some increment in the upcoming period with inflationary pressure on the prices of feed Propylene.”