Bio-Propanediol Price Trend and Forecast

Regional Price Overview

Get the latest insights on price movement and trend analysis of Bio-Propanediol in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

Bio-Propanediol Price Trend for the Second Half of 2023

A number of companies use bio-propanediol as a sustainable substitute for propanediol derived from petroleum. Due to its moisturizing qualities and capacity to improve product stability, it is a vital component of skin creams, lotions, and shampoos in the cosmetics and personal care industry. Furthermore, bio-propanediol is used as a renewable and biodegradable alternative in the manufacturing of eco-friendly fabrics like polyester fibers. Its eco-friendly nature comes from its feedstock material, corn, which also dictates its price trend.

Bio-Propanediol Price Chart

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The extravagant harvest of corn benefitted the consumers as it lowered the prices of livestock feed and ethanol production. The surplus corn also strained storage capacity and depressed prices, resulting in the squeezing of farmers' profits. Despite lower prices, storing grain is becoming more expensive and riskier due to rising interest rates.

High costs for fuel and fertilizer further burden farmers, with net farm income expected to decline. However, declining prices present challenges, making it harder for farmers to maintain profit margins. Due to this problem in the feedstock industry, the prices of bio-propanediol also faced instability in the last two quarters of 2023. During the fourth quarter, there was a slight rise in procurement rates due to the onset of the holiday season, but this was far from being sufficient to ease the pressure on traders.

Analyst Insight

According to Procurement Resource, the price trend of Bio-Propanediol is expected to depend on the corn harvest and trade in the next season of cultivation and on the consumer interest in this sector.

Bio-Propanediol Price Trend for the First Half of 2023

Bio-Propanediol exhibited mixed price patterns throughout the period under discussion. Various factors like weather conditions, inventory stocks, downstream demands, crop yields, etc., determined the overall market behavior for Bio-Propanediol. Stable demands from downstream polyurethane and cosmetic industries were observed, whereas the supplies remained fluctuating in various global markets.

The prices of feedstock corn stabilized in the second quarter as supplies from Russia and Ukraine entered the market. Whereas sugar prices rose continuously owing to disturbed monsoon rain cycles as some regions received excess rainfall while others had to experience drought-like conditions. Hence, these inclined feedstock prices pressured the price trend for Bio-Propanediol.

Analyst Insight

According to the Procurement Resource, the Bio-Propanediol prices will likely remain uncertain in the coming quarter, given the current volatilities in the market. As the Black Sea treaty is yet to be revised, the prices will depend on the availability of raw materials in the market.

Bio-Propanediol Price Trend for the Second Half of 2022

Bio-Propanediol is a green chemical sourced out of products like corn and sugar. So, the price trend vary according to the price and supply changes of its feedstocks corn and sugar. The Asian Bio–Propanediol markets witnessed an oscillating price pattern in H2 2022. As the supply chain stabilized owing to the arrival of precious Black Sea corn supplies, the overall bio-propanediol prices in the market declined. However, a slight increase in the market was seen towards the end of H2 as the market demand rebounded.

The European markets and American markets too replicated the Asian market trend. The prices stayed swinging with a downward inclination. Surplus supplies and sullen demand sentiments were the major reasons for price depreciation.

Analyst Insight

According to Procurement Resource, the price trend Bio–Propanediol are likely to register an oscillating trend in the coming months. As the supply dynamics are improving, the market offtakes will determine the price patterns for bio-propanediol.

Bio-Propanediol Price Trend For the First Half of 2022

Being a biobased chemical, Bio-Propanediol is obtained via the fermentation of corn or glucose syrup. With the increasing demand for environment-friendly chemicals and the rising costs of feedstocks, the price trend for Bio-Propanediol exhibited an upward trend globally. In the USA, the price of glucose syrup averaged 948.20 USD/MT, while feedstock corn averaged 215.35 USD/MT during the said period.

The prices of corn surged due to the poor harvest throughout the USA and Latin American region owing to adverse weather conditions. In Brazil, corn prices averaged 298 USD/MT, while in Europe, corn futures rose by 30%. These inflated feedstock prices kept the Bio-Propanediol prices firm in the global arena.

Procurement Resource provides latest prices of Bio-Propanediol. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.