Across the global market, the market players state a continuous rise in export and import prices of Propyl paraben as the second quarter begins, supported by various factors. With a rise in demand side arriving from the end-users, particularly cosmetics, pharmaceuticals, and the food sector, supply chain sentiments additionally kept the market trade with respect to the propyl paraben on the northern side. Further, supporting to the factors, fluctuation in feed production and availability also continue to impact the supply side of downstream propyl paraben across the key producing nations, thereby supporting the price increase considerably.
Starting with the demand side, downstream purchases with respect to propyl paraben both within the producing nations and the importing nation continue to remain strong, keeping the production on the upper side. With respect to the end-users' side, particularly in the cosmetics and personal care sectors, the quotations continue to rise, keeping the sales on the higher end. Cosmetic manufacturers are absorbing these cost increases rather than reformulating their products. Furthermore, the pharmaceutical applications have also maintained steady demand for propyl paraben , with manufacturers prioritizing supply security over cost considerations, thereby focusing on sustaining more than sufficient inventories for propyl paraben at their warehouses to prevent further delays.
While heading forward to this, market analysts also attribute the steady price climb to persistent supply chain difficulties affecting key manufacturing hubs in Asia. Production facilities in China continue to focus on higher operation rates with respect to the quotations arriving from both the domestic and overseas markets for propyl paraben . However, with disruption in trade and various industrial maintenance such as Haihang Industry Co., Ltd., Wellnature Technology .,Ltd etc , the production sentiments remained on the average side.
Moreover, propyl paraben import prices in North America have risen at a steady rate since March, while European markets have experienced an even steeper increase. Importers from the American region continue to pay premium prices for available inventory of propyl paraben —a substantial increase from late March rates—while struggling to secure sufficient volumes for immediate manufacturing needs. This significantly created a supplier’s market, benefiting them in terms of higher trade dynamics and profit margins with increased sales for propyl paraben. While Industry analysts anticipate these supply constraints will persist through at least early May, after which the prices would drop gradually, thereby easing some supply-demand scenario and the market to cool in terms of trade dynamics.
However, on the feedstock side, the prices of n-propanol continued to depict a downturn across the key producing nations, particularly China. Industry analysts note that the declining n-propanol prices would typically exert downward pressure on preservative costs, particularly for propyl paraben . However, manufacturers appear to be leveraging supply constraints and propyl paraben ’s strong demand to maintain and even increase profit margins, particularly for exports. Supporting this, the Energy costs for manufacturing facilities have also risen significantly in Q1 2025, providing producers with additional justification for elevated pricing despite the n-propanol savings.
Lastly, Industry forecasts suggest this upward price trend for propyl paraben will gradually shift to the lower side as quarter two moves forward in May 2025. Steady relief for the supply constraints and improved trade dynamics could support this downward trend. Buyers may continue to focus on securing longer-term contracts for propyl paraben at lower prices, thereby benefiting the suppliers at that time as well.
