Calcium Carbonate prices globally witnessed a decrement in November, influenced by year-end destocking pressures. The downstream packaging sector of Calcium Carbonate also reported poor demand.

The packaging industry's struggles in Europe are attributed to a lack of waste management, prompting Brussels to ban certain food packaging. Efforts to implement new rules for reducing packaging waste are underway. As of November 24, Calcium Carbonate prices stood at USD 355 per metric tonne, FOB Antwerp, reflecting a 3 percent decline.

High-interest rates and rising building costs in the past few months have impacted the growth of the EU's construction sector, with Germany particularly affected by high energy costs. The demand for construction materials in the cement industry, such as bricks and concrete, has seen sharp production declines. Decreased demand and destocking pressures of Calcium Carbonate storage further contributed to the decline in Calcium Carbonate prices.

Market participants project zero growth or a decline in European construction works for the quarter ending December 2023. Investors and homebuyers appear reluctant to invest further capital at the start of 2024 due to slower economic growth. However, Calcium Carbonate prices are expected to grow by about 1.5 percent in January and potentially register a 2.5 percent growth in February.

Saint Gobain, a leading construction chemicals manufacturer, has announced the acquisition of Menkol Industries, an Indian manufacturer, to bolster its specialty building material business. The bilateral relationship between Australia and India is flourishing, exemplified by the visit of a 10-member Australian Built Environment Industry delegation.

Market participants anticipate an improvement in home purchase affordability in 2024, with expectations of repo rate cuts contributing to the Home Purchase Affordability Index (HPAI) improvement by 60-80 bps.

Home purchase affordability levels have declined in India this year after reaching peak availability last year, influenced by global concerns of a potential recession and rising economic headwinds, leading the central bank to raise interest rates.

The industry's commitment to sustainable construction and the transition to paperless operations has negatively affected the demand side of Calcium Carbonate, according to the Environment, Social, and Governance (ESG) report.

US manufacturing sector has reported a contraction in November indicated by PMI  49.2 decreased from 50. Last week, Doug McMillon, CEO of Walmart said there’s a high chance that the US will see deflation in 2024 and that can lead packaged foods companies to have their biggest sales growth challenge next year. However, strict environmental policies & regulations have created a massive demand for sustainable paints & coating products, increasing consumer preference to purchase eco-friendly materials like Calcium Carbonate.

In the USA, Calcium Carbonate prices remained stable in November. Despite a good grasp on recyclable technologies, the significant knowledge gap among consumers about eco-friendly packaging materials like Calcium Carbonate highlights the need for increased promotion in the USA.