Citric Acid
Market status:
In January, the price reduction of citric acid market was limited. Affected by the cost, the upstream price adjustment was relatively cautious. In order to effectively reduce the supply pressure, the upstream started to maintain a rational level. Since January involves the Spring Festival holiday, the trading time is limited, and the upstream has no production stop plan during the Spring Festival, and the industry’s inventory is gradually accumulating.
Forecast of the market outlook:
The transportation capacity will gradually recover in February, and foreign trade contract orders will be signed intensively before Christmas, and will be implemented sequentially from January to March, which will boost the industry to a certain extent. At the same time, the upstream is in a state of loss. In the later period, it may continue to adjust the start-up to a more rational state, and the intention to continue to lower the price of citric acid is not strong. In terms of raw corn, as the temperature gradually increased in February, the moisture content of grain sources in the North China market gradually decreased, and the progress of grain sales at the grassroots level and the activity of market purchases and sales gradually increased. It is expected that the mainstream price of the corn market in North China may stabilize first and then decline in February , the price of corn is going down, the cost pressure of citric acid is reduced, and the loss of enterprises may be reduced.
To sum up, it is expected that the citric acid spot market will consolidate weakly from February to April, or rebound slightly under the support of foreign trade.
Glacial Acetic Acid
Looking at it today, downstream users still need to replenish goods, the atmosphere of market negotiations is good, and the load of some devices is not high, which still supports the market. It is expected that the market price of glacial acetic acid will rise steadily today.
Post time: Jan-30-2023