Povidone Prices Likely to Increase in August 2023 Across the Globe

The prices of Povidone across the global market improved in early August and are estimated to sustain their upward trend until the final weeks of August. Various factors contributed to this surge in Povidone prices, including rising consumption in downstream pharmaceutical, cosmetics, and other industries. However, the merchants stated that compared to previous months, they possessed more than enough stocks that could cater to both regions' overall requirements.

Moreover, July 2023 was carried on by a hot and stormy calendar month for the US, with scorching temperatures, flooding, and rain impacting major parts of the nation. This further supported an optimistic market trend for Povidone in the North American region as Povidone is considered a common antiseptic that is used to disinfect skin and wounds, making it relatively safe to use, even in hot weather conditions. The market participants focused on clearing their previously piled-up stocks first, keeping the market northward.

Apart from that, another factor that contributed to a higher price trend of Povidone includes the rising cost of inputs, such as upstream 1-butanediol, resulting in a higher cost of production. Rising feedstock prices have further supported an optimistic market trend for Povidone across the US and the German market.

Likewise, in Germany, some material experts indicated that the price of Povidone had steadily risen during the middle of the third quarter and consistently higher imports and exports. Also, this was the first time since the beginning of Q3 that the prices of Povidone improved within the market, and also, the participants and domestic merchants waited a long time for the price to increase so that they could destock their previous quarter's stockpiles at a higher price rate and gain their profits.

Besides this, various other factors also contributed to a moderate rise in the prices of Povidone in both regions throughout August, including inflation, one of the primary factors contributing to the rising price of Povidone. The demand for Povidone is expected to increase due to its antiseptic, anti-bacterial, and anti-fungal properties that are effective against many bacteria, viruses, fungi, and protozoa. It is also relatively safe to use, even in hot weather conditions. The cost of producing Povidone has risen in recent months due to the rising cost of energy, feedstock, and labor.

However, ChemAnalyst further anticipates that "the prices of Povidone in both the regions would depreciate again as Q3 ends. A decrease in domestic inquiries and the Weaker upstream market is expected to further support this negative price trend for Povidone in the forthcoming months."