Methylene chloride prices stable despite firmer producer sentiment

28 January 2014 23:59 Source:ICIS News

LONDON (ICIS)--European methylene chloride prices are stable this week, after firming for the first time since September last week, as the firmer producer sentiment could not be widely confirmed, sources said on Tuesday.

A producer said it has increased its export prices and hopes demand from outside Europe will boost European prices.

“Domestic [price] increases should be possible in February,” the producer said. “When exports go up it will reduce availability here [in northwest Europe].”

It added it is targeting NWE price increases of €10-20/tonne.

On the export side, the producer quoted $650/tonne FOB (free on board), however, this was for drummed cargoes and the FOB NWE (northwest Europe) export range is based on bulk cargoes, according to the ICIS methodology.

A trader and a distributor both said they had no evidence of higher prices and are awaiting more information from their suppliers.

This week the ICIS price range for NWE is stable at €480-520/tonne FD (free delivered) and the export range is also steady at $450-500/tonne FOB NWE.

By Stefan Naidu