GNFC is the sole manufacturer of Acetic acid in India, with an installed capacity of 100,000 MT per annum. Domestic market demand is more than the production and therefore imports are made from Iran and some other countries. Acetic Acid prices generally depend upon the international market i.e. booking prices offered by international manufacturers.
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The price of Acetic acid in India generally remains in the range of Rs.37-45 per kg. The prices for the chemical also depend on the prices of Methanol, it being the primary feedstock for acetic acid. The demand of the product generally remains strong all over the year.
Demand from end users remained strong for 2014-2015. Monthly consumption of acetic acid generally declines during the winter season. Demand in India is expected to grow at a CAGR of 6.5% during 2014-17.
JUBL and Laxmi Organics have not been operating their plants at full capacity as their manufacturing is based on Ethyl alcohol, which is not economical. On the other hand, lately GNFC has been operating its plant at more than 100% utilization rate.
Given its importance, consult our in-house experts for the latest updates on Acetic Acid. We cover not just price movements and potential price points, but also manufacturer capacity addition, plant shutdowns and regulatory issues. Talk to our experts for in-depth insights into the Acetic Acid industry.
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