European ethyl acetate producer resumes production

17 April 2014 13:23 Source:ICIS News

LONDON (ICIS)--A European producer of ethyl acetate (etac) resumed its production during the weekend ended 13 April, a company source said on Thursday.

“We are up and running for a couple of days or so,” the source said. “I can’t confirm the exact date but it was over the last weekend.”

Nevetheless, supply of spot volumes will be limited for the next couple of weeks, the producer said.

“Volumes are restricted for at least the next two weeks. We need to replenish stocks, we have a backlog of orders. We’ll focus on contract customers and loyal distributors. People have been struggling [because of the supply shortages] the last couple of weeks. There are some urgent needs.”

The source added that it proves that Europe cannot survive with imported material alone.

The producer said it is quoting €950/tonne FCA (free carrier) and will not sell below that level.

“People are prepared to pay,” the source said.

European etac prices have recently been driven upwards by supply shortages stemming from both fewer imports entering Europe during recent weeks, and a severely reduced availability of European spot volumes.

The market has been eagerly awaiting the restart of production from this producer for the last two to three weeks.

By Jo Pitches