Calcium Acetate Market Analysis: Price Increase Forecast for September-October 2024

Industry analysts predict a steady price increase for Calcium Acetate through September and October 2024, driven by various factors including the modest rebound in downstream demand across multiple sectors, limited product availability, and higher costs associated with the feedstock. As per the market experts, Calcium Acetate an essential specialty chemical, widely used in pharmaceuticals, food additives, and agricultural applications, has seen a mixed trend in terms of its prices over the past few months, while anticipates a steady rebound as September 2024 commences. Several key factors are contributing to the price surge. Initially considering the supply side, Recent disruptions in the supply chain for raw materials, particularly acetic acid and calcium carbonate, have put significant pressure on Calcium Acetate production.

As of the market trend in the month of August, Celanese Corporation, a key player in the Acetyl chain market, announced the lifting of its force majeure on Acetic acid and Vinyl Acetate monomer across the Western Hemisphere. While this signals a stabilization in the underlying supply chain conditions, the ripple effects are still being felt across the industry. However, industry insiders suggest that the recent volatility has prompted many manufacturers to increase prices as a buffer against future disruptions, thereby contributing to an overall price rise of key end-products including those of Calcium Acetate.

On the demand side, the pharmaceutical and food industries, two major consumers of Calcium Acetate, have seen increased activity in recent months. Calcium Acetate is used as a preservative and stabilizer in various food products. Its acceptance as a safer alternative to other preservatives has led to a growing preference in the food industry. This shift is particularly notable in response to consumer demand for natural and safe additives, which boosts the market for Calcium Acetate. Increased food processing activities, particularly in preparation for the holiday season, further amplify demand and support the future estimation of its price rise.

Moreover, despite concerns about potential economic slowdowns, key markets for Calcium Acetate have shown resilience. Inflation and fluctuating exchange rates have led many buyers to secure larger volumes of Calcium Acetate, anticipating future price increases. This speculative buying might further contribute to the upward price pressure.

While at the same timeframe,  recent regulatory changes favoring the use of Calcium Acetate in certain applications have provided an additional boost to demand. While specific details of these regulations vary by region, the overall trend has been supportive of increased Calcium Acetate usage. Although no major plant shutdowns have been reported, sources close to leading manufacturers suggest that production rates have not kept pace with the growing demand. Some facilities are reportedly operating at near capacity, with limited room for expansion in the short term. As the market navigates these challenging conditions, buyers are advised to closely monitor developments and consider long-term supply agreements to mitigate the impact of potential further price increases concerning the Calcium Acetate.