Price Drivers Analytics

At-a-glance market drivers analysis and actionable impact commentary

New analytics solutions from ICIS

The Price Drivers Analytics are part of the new analytics solutions for petrochemicals and fertilizers. This is a new tool providing you with diagnostic analytics to help you monitor competition beyond your country and region in order to maximise your margin potential and optimise sales opportunities. You can now access this on your ICIS Dashboard via the pre-defined workspaces, for the chemicals and fertilizers commodities that you subscribe to. See list of commodities and regions available »

What are the Price Drivers Analytics pre-defined workspaces?

ICIS editors, who are experts in the markets that they cover, manage the pre-defined analytical workspaces. The information and comparative data is in line with the ICIS price assessments, validated by ICIS editors’ knowledge of the market and calculated using multiple factors and information about how the market responds to price changes.

Charts provided will include relevant cross-commodity and cross-regional trend analysis. The type of chart depends on the market and includes impact commentaries that enable you to quickly understand what this means for the market.

What will each chart provide?

chart

What are the types of Price Drivers Analytics charts?

Import parity

A like-for-like price comparison between import cargo and domestic production for a given commodity in a specified region. This enables you to compare the competitiveness of import cargoes with domestic production.

How will this help you?

Sellers

  • Decide where to export your products
  • What will the pricing strategy need to be for optimum return
  • Monitor competition from other countries and regions

Buyers

  • Decide where to export your products
  • What will the pricing strategy need to be for optimum return
  • Monitor competition from other countries and regions

Distributors

  • Understand and act upon the optimum method to bring in higher margins
  • Decide between importing your materials or purchasing from domestic producers

Substitution trends

Displays a comparative trend on cost competitiveness of alternative materials.

How will this help you?

Sellers

  • Pre-empting demand changes
  • Track competition from alternative materials
  • Support pricing decisions driven by convertor’s price-performance comparison
  • Monitor whether demand will be impacted by price changes in substitute commodities

Buyers

  • Support your mid-term decisions
  • Decide whether to use a substitute material based on the price-performance trends
  • Monitor competition from other countries and regions

 

Arbitrage/Netbacks


Shows which destinations are the most attractive opportunities for exporters to sell to – a key driver of trade flow and supply changes. This is based on the net price difference between destination price and the sum of associated costs, including typical freight and market price at origin.

How will this help you?

Sellers

  • Increase your knowledge of local and international arbitrage opportunities
  • Gain a comprehensive view of the drivers behind trade flow changes to make more accurate supply/demand forecasts
  • Monitor competition from other countries and regions to set the right pricing strategy

Buyers

  • Decide on the most cost-effective source for spot cargoes; by importing or from domestic producers
  • Support price negotiations with suppliers
  • Pre-empt and prepare for risk of supply availability within your region

Distributors

  • Understand and act upon the optimum method to bring in higher margins
  • Decide between importing your materials or purchasing from domestic producers

Feedstock & Downstream Spreads

Relative price comparisons between upstream and downstream, that drive changes in operating rates, supply and demand. Managed and updated by ICIS editors, the calculation takes into account where applicable commodity conversion factors for a like-for-like comparison with feedstock costs.

How will this help you?

Sellers

  • Monitor comprehensive insight on upcoming supply drivers
  • Manage negotiation with greater effectiveness
  • Converters
  • Pre-empt changes in supply and demand
  • Increase your understanding of feedstock prices with margin commentary
  • Set the right pricing strategy for your business needs

Buyers

  • Support negotiation
  • Pre-empt and prepare for changes in supply availability