19 April 2013 17:19 [Source: ICIS news]
This has resulted in many etac buyers refraining from purchasing.
“It’s the third week of the month, most people have purchased for April,” a producer said. “Nobody is purchasing for May as they expect it [prices] to go down.”
However, etac producers are reluctant to lower May offers as margins are already compressed.
“Buyers are trying to push it [etac prices] lower,” the producer added. “But volumes are no different than two or three weeks ago. [Feedstock] Acetic acid [prices] is stable. There are acetic acid plant shutdowns. I expect a rollover for May. Prices are at a critical level, people can't produce at lower levels.”
A distributor said: “We’re not planning on taking prices down in May because of the cost price.”
The source added that buyers have to buy when they need material, regardless of price.
A second distributor said: “There’s downward pressure, it’s a case of whether to buy now. It’s possible it [prices] may come down, but producers are very reluctant. We have to wait and see.”
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
Asian Chemical Connections