Global Potassium Benzoate Prices Likely to Follow Bullish Trends in May 2023

The Potassium Benzoate market anticipates a strong economy for the entire month of May 2023. The key factors influencing price variation for Potassium Benzoate are upstream crude oil prices, feedstock Benzoic Acid prices, and Potassium Carbonate prices. Additionally, these elements are predicted to influence the potential Potassium Benzoate market positively.

After OPEC+ countries quickly declared a coordinated cut in oil output, the price of raw material Benzoic Acid surged. When the First Republic Bank of the United States filed for bankruptcy on May 1, the financial crisis struck once more and sent the market into a frenzy. Potassium Benzoate lacked the bare necessities. Saudi Arabia reportedly reduced the cost of Crude Oil in the Asian market on May 5. The Abu Dhabi National Oil Company of the United Arab Emirates said at the commencement of May that they would reduce the oil shipments by 5% to balance the supply and demand of Crude Oil. At the beginning of May, OPEC+ implemented its production reduction strategy, which further reduced the supply of Crude Oil by 1.15 million barrels per day. The U.S. Federal Reserve raised interest rates by 25 basis points, as was to be expected, after which they would stop climbing.

However, because domestic Potassium producers had an adequate supply and the price of Potassium Chloride kept falling, feed Potassium Carbonate declined internationally. The Potassium Carbonate market had stagnant transaction volume, dismal shipping volume, and reduced market size. The market for Potassium Benzoate continues to trend substantially upward due to growing Benzoic Acid prices, notwithstanding the drop in the price of other feedstock Potassium Carbonate. The economic recovery, the steady increase in downstream demand from the agrochemical and cleaning sectors, and the typical market follow-up all contributed to the success of price increases for Potassium Benzoate.

According to the ChemAnalyst database, the price of upstream Benzoic Acid and Potassium Carbonate will rise during the second quarter of 2023, raising the cost of Potassium Benzoate across the globe.