Mumbai, India: Fumaric Acid prices have been consistently inclining in the Indian domestic market since February 2022. However, it is anticipated that this continuous increment in Fumaric Acid prices will only continue till the end of this month. It has been predicted that the prices of Fumaric Acid are likely to fall in June.

As per the latest analysis, the market is currently surging due to various dominating factors. Fumaric Acid primarily finds its usage as a food additive or preservative in bakeries, confectioneries, and wine-making industries. As the number of bakeries and confectionaries has been rising in the country due to changing consumer food preferences and western influence, the offtake of Fumaric Acid from these sectors has also been growing. Furthermore, the consumption of fumaric Acid has been escalating in the wine-making industry due to the spreading awareness about the nutritional benefits of wine intake.

In addition, the prices of Maleic Anhydride, the feedstock for Fumaric Acid manufacturing, are surging in the Indian market, eventually leading to the high price of Fumaric Acid. Besides, skyrocketing crude oil prices, augmenting freight charges, and port congestion amid Russia-Ukraine war tensions are propelling the price of fumaric acid.

The manufacturer confirmed that the expected decline in Fumaric Acid has nothing to do with the downstream demand. Instead, the price of Fumaric Acid would fall in June because major manufacturing plants are planning to sell off all the stockpiled Fumaric Acid and destock their existing inventories in fear of spoilage in the upcoming monsoon season.

As per ChemAnalyst anticipations, "The declining price value of Fumaric Acid would again start soaring in July because destocking of inventories is more likely to end as July begins. The strong downstream demand and increasing Maleic Anhydride price would again become the dominant factor and determine the Fumaric Acid market in India."