High Acrylonitrile price weakens demand in Delhi market, price remains stable – 16 Jan 2014

Prevalence of high Acrylonitrile price in the Delhi market has enabled only large buyers to purchase the chemical, restricting smaller buyers from purchasing it on account of cost considerations. Demand for the chemical, thus, continued to remain dull, although slight improvement was observed today on purchases by large buyers, while, small and medium-sized buyers had to wait for some moderation in the price. One of the traders in the market told Indianpetrochem, "The weak demand has resulted not only from the price being high, but also due to slowdown of the automobile industry and air-conditioner manufacturers almost stopping productions due to the winter season."
 

But, as far as the diverse uses of Acrylonitrile are concerned, its off-takes cannot stop altogether, irrespective of inflation in its price, as it is used in manufacture of many plastic-based items, reasoned a large industrialist based in Delhi.
 

In view of the sluggish conditions, traders in the market preferred not to maintain huge stocks. Besides, imports of the chemical also was learnt to be low these days, apparently due to the prevailing dull demand conditions. Many of the traders expected demand for the chemical to strengthen by the end of February 2014, when industrial activities are expected to rise.
 

Traders in the Delhi market today quoted their Acrylonitrile prices at around Rs 179-182 per kg. They also said that the price has remained almost unmoved during the last few days.