Europe glycol ether prices stable despite ethylene rise

03 January 2014 23:59 Source:ICIS News

LONDON (ICIS)--European glycol ether (EGE) producers have kept prices for butyl glycol (BG) and butyl di-glycol (BDG) stable for the first week of January, with suppliers offering rollovers from December for loading until 7 January, market sources said on Friday.

“For the first couple of days in January I still have the same prices as in December,” a distributor said, adding: “New prices will be given next week.”

A producer kept its BG and BDG spot prices unchanged this week and in line with the low end of the current ICIS range.

Producers are likely to try to pass on increases to the market because of the €15/tonne increase in the January ethylene contract price.

“[We are] uncertain what will happen [in January] as many people are still on holidays,” a second distributor said.

Demand levels were difficult to gauge because of the limited trading activity, although January is traditionally a slow month for the EGE market because demand from the construction market does not pick up until the end of the first quarter.

BG spot prices are currently €1,270-1,330/tonne free delivered (FD) northwest Europe (NWE), and butyl di-glycol BDG spot prices are €1,450-1,480/tonne FD NWE, according to ICIS.

By Matt Tudball