28 July 2011 21:14 [Source: ICIS news]
SAO PAULO (ICIS)--Brazil's domestic sales of industrial chemicals in June fell by 2.75% year on year because of lower demand, caused by a weaker economy, chemical industry association Abiquim said on Thursday.
Compared with May, Brazil’s domestic sales in June dropped by 6.57%. Sales dropped in part because of scheduled and unscheduled shutdowns, according to Abiquim.
In the first six months of the year, domestic sales fell by 3.34% year on year, mainly because of a rise in imports.
Sales dropped because some customers had delayed purchases - on expectations that prices would later drop, Abiquim said.
Domestic production of industrial chemicals in June dropped by 1.6% year on year and by 4.5% month on month, according to Abiquim.
In the January-June, output fell by 4.16% year on year.
Brazil’s chemical industry ran at an average of 78% of capacity in the January-June period, compared with an 82% capacity in the same period of 2010, Abiquim said.
In the first six months of 2011, domestic prices of chemicals increased by 14.12% year on year.
Prices increased by 2.03% in June from May. However, prices fell for inorganic products and thermoplastic resins, Abiquim added.
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