How Paucity of Raw Material Pushing the Prices of Sodium Nitrite Upward in India
- 22-Jun-2022 8:45 AM
- Journalist: Jai Sen
Mumbai, India: Sodium Nitrite price movement showed an upward trend in third week of June, backed by the shortage of raw materials and high freight charges in the Indian market. In India, import activity is delayed from China amid the re-implementation of lockdown restrictions in China due to rising COVID 19 cases.
Sodium Nitrite maintained a rising price movement in June in domestic local market due to the bullish demand from the primary Sodium Nitrite consuming food preservative industry owing to the ongoing summer season and from the pharmaceuticals segment amid the increasing number of COVID 19 cases in India. Meanwhile, as per the analysis conducted by ChemAnalyst, many chemical units have been closed post-COVID 19 in Gujarat, hampered production activities, which conclusively impacted the Sodium Nitrite price in India.
According to the Chemanalyst database, Sodium Nitrite price showcased a surge of nearly 3% due to climbed raw material prices used in the chemical production of Sodium Nitrite, such as Sodium Nitrate and Sodium Hydroxide. Apart from the prices of raw materials, the cost of fuel and gas used by the chemical industries and transportation and logistics increased in June in India. As per the trader, bullish market sentiments were seen from the downstream industries amongst the buyers, and enterprises indulged in passing a surge of input costs burden to the consumers in mid-June 2022.
As per ChemAnayst anticipation, “The Sodium Nitrite prices are expected to show an increase in upcoming months in India with an increment in the demand from downstream food preservative and pharmaceutical segments. Additionally, the price movement of Sodium Nitrite is likely to be impacted by the supply disruption from China amidst re-implemented lockdown restrictions in the Chinese market. Port congestion is expected at container terminals in China.