Average Downstream Demand Leads to Nonylphenol Ethoxylates Price Stagnancy Across the Regional Markets in Mid-May 2024

Hamburg (Germany): With the onset of May 2024, the prices of Nonylphenol Ethoxylates have demonstrated mixed sentiments across the regional markets. Reports of OPEC+ nations considering extending production cuts into Q2 2024 have led to a surge in upstream Crude Oil prices, impacting the pricing dynamics of various chemicals, including Nonylphenol Ethoxylates. Germany's chemical industry has faced challenges in recent quarters, affecting the market performance of key raw materials like Nonylphenol Ethoxylates. In the USA, for the past few weeks, prices of Nonylphenol Ethoxylates have remained stable, largely due to average demand.

The personal care sector, a significant consumer of Nonylphenol Ethoxylates, has exhibited moderate activity, contributing to the overall market stability. The ChemAnalyst database has shown that the prices of Nonylphenol Ethoxylates were observed at USD 2520 per ton in the week ending 10th May. Additionally, there have been sufficient supplies of Nonylphenol Ethoxylates, preventing any shortages that could potentially drive prices up. The availability of key upstream materials essential for Nonylphenol Ethoxylates production, such as Nonylphenol and Ethylene Oxide, has also been consistent. This reliable supply of raw materials has allowed manufacturers to maintain stable prices for Nonylphenol Ethoxylates, ensuring smooth market operations despite the average demand.

On the other hand, after the May Day Holidays, the procurement of Nonylphenol Ethoxylates from the downstream Personal care industries has been improving, but at a slower pace. Thus, the manufacturers have avoided the price changes this week. As per market sources, by injecting funds into the economy, the government hoped to stimulate demand, encourage investment, and create a more favorable environment for economic growth, which would contribute to easing the market sentiments for Nonylphenol Ethoxylates.

In India, market participants have noted that the pace of offtakes from the downstream Personal Care industries has been adequate. Overall, market transactions have remained sufficient, and the Nonylphenol Ethoxylates market has remained at high levels. One of the leading downstream manufacturers, Godrej Consumer Products in India, reported a nearly 20% rise in fourth-quarter profit, benefiting from higher demand for its home and personal care products. On the contrary, Aarti Industries reported a net profit of Rs. 132 crores for the period ending March 31, 2024, representing an increase from the net profit of Rs. 124 crores recorded for the period ending December 31, 2023.

According to the pricing intelligence of ChemAnalyst, Nonylphenol Ethoxylates prices are expected to be higher across regional markets, driven by rising raw material prices and expected improvement in demand from downstream industries, particularly Personal Care, in the coming weeks.