In October, Liquid Glucose prices continued their upward trajectory worldwide, mirroring the pattern seen in the previous month. This increase was primarily fueled by steady demand from downstream industries, escalating costs of raw materials, and constrained market supply. Liquid Glucose, a saccharide-rich aqueous solution derived from starch hydrolysis with corn as the primary feedstock, experienced price pressures due to a significant rise in corn prices. The surge in corn costs was attributed to heightened demand during the festive season, supply chain challenges, and fluctuations in global commodity markets, all of which contributed to the upward movement in Liquid Glucose prices.

In India, the rise in Liquid Glucose prices is attributed to several key factors. Firstly, an acceleration in output growth, fueled by a surge in new orders and international sales, contributed significantly to the price increase. Fresh export orders from diverse regions including Asia, Europe, Latin America, and the US provided a strong boost to production volumes. This uptick in demand was supported by favorable market conditions, including buoyant consumer demand and optimistic sales pipelines, leading to an increase in production. The improved confidence levels among businesses also played a role, reflecting a positive outlook for the sector. However, inflationary pressures were another crucial factor, with input costs rising at a three-month high pace, primarily driven by higher freight, labor, and material costs. As a result, companies were compelled to increase their output prices to offset these rising costs. The strong demand for Liquid Glucose gave firms the necessary leverage to pass on these increased costs to customers, further pushing prices upward.

Furthermore, the seasonal boost in demand during festive periods like Diwali further fueled the price increase, especially within the food industry, where Liquid Glucose is a key ingredient.

India's position as a major exporter of Liquid Glucose has created a cascading impact on pricing trends across neighboring markets, particularly in Vietnam and Indonesia. The depreciation of the Indonesian Rupiah and Vietnamese Dong against the USD has amplified this effect, significantly increasing the cost of imports from India. With weaker local currencies, importers in these countries are burdened with higher expenses for procurement, which inevitably translates into elevated domestic prices for Liquid Glucose.

According to ChemAnalyst, Liquid Glucose prices are expected to stay high in the coming months, driven by sustained strong demand from end-users. The upcoming holiday season, including Christmas, New Year's, and the Lunar New Year, is anticipated to further amplify this trend, as these festivities typically lead to an increase in the consumption of processed and specialty food products. This seasonal surge in demand is likely to exacerbate the pressure on the already constrained supply of Liquid Glucose, resulting in a continuation of the upward price trajectory.