European SLES Prices Rise Due to Increasing Upstream Costs From Exporting Countries

European SLES Prices Rise Due to Increasing Upstream Costs From Exporting Countries

European SLES Prices Rise Due to Increasing Upstream Costs From Exporting Countries

  • 22-Feb-2023 12:01 PM
  • Journalist: Gabreilla Figueroa

In order to maintain a domestic supply of upstream palm oil during the approaching months, Indonesia has halted half of its export licenses as the country's religious holidays draw near. Malaysia said it would consider retaliatory measures, such as export cuts, to reduce the number of palm oil, an upstream of Sodium Lauryl Ether Sulphate (SLES), exported to the EU if they move forward with the deforestation bill. The EU is getting closer to passing a new deforestation law that restricts the import of items from areas at risk of deforestation, hence intends to reduce deforestation globally. Last month, the EU environment committee opened the path for a vote on the issue that will take place in future months. The slow but steady demand rise from the European cosmetic sector has increased demand for SLES in European markets. A temporary ban on products linked to deforestation by the EU may prevent future shipments of palm oil, an upstream of SLES, from the two exporting Asian nations. These factors are raising the cost of SLES in the European markets.

A joint committee from Indonesia and Malaysia is traveling to Europe to acquire additional data and give their opinions on the bloc's future strategy regarding the commodity to ensure a steady flow of the upstream of SLES. The rising demand for cosmetics during this trade complication will further pressure the prices of SLES in Europe.

According to ChemAnalyst, The price of SLES in the European region will continue to improve as the performance of the cosmetic sector is likely to continue to increase along with the increasing cost of upstream palm oil. The decision, which will be taken during the upcoming weeks during a meeting between officials from Indonesia and Malaysia to send a trade mission to the EU to express their worries about the new deforestation law, will determine the magnitude of the price increase of SLES in Europe.


Track Real Time Prices

Related News

Sodium Lauryl Ether Sulphate (SLES) Prices Upswing in China Amid Critical Raw Material Shortage and Falling US Dollar
  • 25-Jan-2022 2:15 PM
  • Journalist: Xiang Hong
Underwhelmed Chinese SLES Prices to Surge on Double Whammy from Depleting Inventories and Raw Material Tightness Post Festive Slowdown
  • 11-Jan-2022 1:51 PM
  • Journalist: Nina Jiang
Bearish Feedstock Futures Give Way to a Cooling in China’s SLES Prices, Downtrend Likely to Stretch Through December
  • 13-Dec-2021 6:31 PM
  • Journalist: Li Hua
Feedstock Tightness, Cost Concerns Set the Stage for China’s SLES Prices to Continue Uptrend in 2022
  • 03-Dec-2021 6:09 PM
  • Journalist: Nina Jiang