Fatty Alcohols

There are two processes in which fatty alcohols are produced - one which is based on natural oils and the other, the synthetic chain, on crude oil. The natural oils used are  palm oil, palm kernel oil, vegetable oils, soy bean or tallow. Crude oil is used for the production of the synthetic fatty alcohol chains.

In southeast Asia, natural or vegetable oils such as palm kernel oil (PKO) and coconut oil (CNO), are used as the main raw material for fatty alcohol production. In the natural oils-based  mode of production, two types of products are produced. They are glycerine+fatty alcohol or glycerine+fatty acids. No glycerine is produced in the crude oil-based synthetic process.

Fatty alcohol is blended with fatty acids in the manufacture of esters which are used in cosmetics, soaps and detergents. Ethylene oxide is also mixed in fatty alcohols to manufacture cleaning agents. The major end markets for fatty alcohols are soaps and detergents, cosmetics, wood preservatives and personal care products. Fatty alcohols are not considered toxic.

ICIS pricing quotes fatty alcohols in Asia-Pacific and the US Gulf in a combined report.

Frequency:

Published weekly on Wednesdays

Fatty Alcohols (ASIA-PACIFIC)

Weekly Price Assessments:

C12-14 Alcohol Spot Prices

• FOB S.E.ASIA (USD/MT & conversion to US CTS/LB)

C16-18 Alcohol Spot Prices

• FOB S.E.ASIA (USD/MT & conversion to US CTS/LB)

Fatty Alcohol (US GULF)

Weekly Price Assessments:

US Domestic Market Prices

• C8-11 ALCOHOL (US CTS/LB & conversion to USD/MT)
• C12-15 ALCOHOL (US CTS/LB & conversion to USD/MT)

General Information:

Assessment window: Price assessments are based on information supplied by market participants through the week up to close of business on Wednesdays at 1800 hours in Singapore and Houston.

Specification: ICIS pricing assesses C12-14 alcohol (C12-70%) on an isotank and bulk basis and C16-18 (C16-30%) in flakes/beads/pastilles in 20 kg bags in Asia. US prices are assessed on C8-11 and C12-15 alcohol (C12-70%) on a bulk liquid basis.

Timing: Cargoes loading or delivered two-six weeks forward from the date of publication.

Terms: 30-60 days after bill of lading date.

Standard cargo size: In Asia, C12-14 alcohol parcels are sold in isotank or bulk basis up to 1,000 tonnes. C16-C18 alcohol parcels are sold in 20 kg bags in full container loads (FCL) up to 120 tonnes. In the US alcohols are sold in truck and rail loads in quantities of 45,000 pounds for tank truck and railcar loads of 150,000 lb on an FOB US Gulf basis. 

Assessment basis: In Asia, the report offers both the liquid C12-14 alcohol and the solid C16-18 alcohol product. The US section covers liquid C8-11 alcohol and liquid C12-15 alcohol.

Asian business comprises intra-regional deals and shipments from southeast Asia to the US. In the US, business  for both C8-11 and C12-15 is primarily conducted on contracted terms between suppliers and direct customers or distributors. Asian business comprises intra-regional deals and shipments from southeast Asia to the US. In the US, business for both C8-11 and C12-15 is primarily conducted on contracted terms between suppliers and direct customers or distributors. No European price assessments are offered but a market summary is included within the text section with a focus on C12-14 and C16-18.  

The report offers global market commentary that includes details of traced transactions, news on the supply/demand balance, export/import information, contract price negotiations and general sentiment for price direction. Where applicable there is product information, comments on up and downstream market developments and general market intelligence.

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