The Erucic Acid manufacturers raised their quotations marginally by 1.1% in the European region during August 2024 amid consistent demand and stressed availability of supplies. The orders for Erucic Acid were consistent from the beauty sector. By mid-2024, Beiersdorf’s shares reached a temporary all-time high, buoyed by strong first-quarter performance in the Consumer Business Segment and the announcement of a higher dividend. EBIT (excluding special factors) was 838 million Euro, a decrease from 852 million Euro, with a margin of 16.2% compared to 17.3% the previous year. The financial result improved to 26 million euros due to higher securities value and positive net interest income. Sales performance saw the Consumer Business Segment grow organically by 8.0%, with nominal sales rising 5.4% to 4,331 million euros. NIVEA and Labello grew organically by 11.1%, with sales climbing 7.6% to 2,956 million euros. Simultaneously, the Erucic Acid consumption rates were firm in the Pharma sector, and the Healthcare segment grew 4.0% organically in Q2, with nominal sales up 3.5% to 150 million euros. Regionally, Europe saw a 6.8% increase in organic sales, with nominal sales up 6.9% to 1,933 million euros. Western Europe grew by 5.1% organically, while Eastern Europe achieved a notable 13.8% organic growth.

Meanwhile, the European Commission has downgraded its forecast for the Rapeseed harvest in the European Union, projecting a yield of approximately 18 million tonnes. This revision represents a decrease of 1.3 million tonnes compared to the previous year’s harvest, and the adjustment reflects ongoing challenges and adverse conditions impacting rapeseed production in the region. As a result, cost support for Erucic Acid costs remained strong due to a surge in feedstock Rapeseed Oil prices, driven by reduced seed crushing rates and low availability of raw material Rapeseed. Simultaneously, the Euro Area Consumer Price Index (CPI) increased to 126.74 points in August 2024 from 126.54 in July, marking a continued rise in consumer prices. It highlighted the inflationary pressures affecting the Euro Area, and Erucic Acid prices rose in the European market. According to the ChemAnalyst data sources, Erucic Acid FD Hamburg prices in Germany witnessed USD 4800/MT at the end of August 2024.

The market analyst anticipates that towards the end of Q3 of 2024, the Erucic Acid prices will likely increase in the European region. The demand for Erucic Acid is expected to rise with the start of the final quarter of 2024. At the same time, the production costs of Erucic Acid might incline due to the rising feedstock Rapeseed Oil prices. Simultaneously, the stocking practices of Erucic Acid may increase from buyers before the winter season.