AFPM ’13: US phenol exports into India losing money

24 March 2013 21:21  [Source: ICIS news]

SAN ANTONIO (ICIS)--US sellers moving phenol into India are losing money and “taking a bath”, a trader said on the sidelines of the International Petrochemical Conference (IPC) on Sunday.

“If you’re lucky, you’re making back your benzene costs,” the trader said. “Otherwise you’re moving material at a loss.”

Sources said phenol spot deals into India are being done in the $1,450-1,460/tonne (€1,117-1,124/tonne) on a CFR (cost & freight) basis.

Those price levels track back to a $1,360-1,370/tonne level on an FOB (free on board) USG (US Gulf) basis.

With spot phenol at that level, it is being traded at 2-3 cents/lb below US benzene contract prices.

Hosted by the American Fuel & Petrochemical Manufacturers, the IPC continues through Tuesday.

($1 = €0.77)

By: John Dietrich

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