Sodium Propionate, widely used as a food preservative and food additive, has been declared a safer alternative by health agencies in various countries. Sodium propionate is used in bakeries as a mould inhibitor and acts as an anti-bacterial and anti-fungal agent in the food industry. It also preserves wine, processed meat, and carbonated drinks. Sodium propionate is commercially manufactured via a reaction of propionic acid with either sodium hydroxide or sodium carbonate.

The growing consumption of Sodium Propionate in food processing industries has been driving its prices across the globe. As the demand for packaged food products has been inclining, especially in developing countries, so is the offtake of sodium propionate in the packaged food industry. The growing safety concerns around packaged food safety is a significant reason backing the strong demand for Sodium Propionate. Furthermore, the rising urbanization and the increasing inclination of urban consumers toward easily accessible food commodities have also been contributing heavily to the demand boost for Sodium Propionate. In addition, the escalating need for canned food has also been propelling the sodium propionate market upward. Moreover, as Sodium Propionate also acts as an antimicrobial agent, its application in the food processing industry has enhanced, causing its price hike.

Besides, the fuelling prices of upstream propionic acid is another major factor giving rise to Sodium propionate prices worldwide. Skyrocketing crude oil prices amidst Russia-Ukraine war tensions have also supported the upsurge in the Sodium Propionate price value. Enhanced logistic charges and congestion on various ports are driving the market for Sodium Propionate as well.

According to ChemAnalyst, "The growing consumption of processed and packaged food is most likely to continue giving rise to the demand for Sodium Propionate in the near future, consequently, causing its price rise. The fuelling Propionic acid and crude oil prices would also support the price rise of Sodium Propionate globally."