Sodium Benzoate (Exp) Prices to Witness Wobbly Market Sentiments Globally
- 13-Dec-2022 4:00 PM
- Journalist: Gabreilla Figueroa
In the Global market, Sodium Benzoate (Exp) experiences ailing market sentiments during the end of the fourth quarter of 2023. As with the start of December, Sodium Benzoate anticipates a weak price trend in Germany and the United States. Upstream Benzoic Acid prices at the beginning of December showed a considerably declining trend compared to the month before, i.e., throughout November, the trend was on the upper side, and this upside-down price tendency continued to support the price trajectory of Sodium Benzoate (Exp).
In Germany, the price of Sodium Benzoate (Exp) started to decline by 1.43 percent in early December after a drop in its demand before the end of the year, as per the market participants. Inventories started to stockpile, fearing market players for loss aversion, owing to which they further focused on the destocking process by reducing the cost of Sodium Benzoate (Exp). Additionally, Europe's dependency on China for trade is increasing as many of its top companies are keen to invest in the world's second-biggest economy, irrespective of the disruption caused by Covid policies.
Similarly, in the United States, the prices of Sodium Benzoate (Exp) displayed a declining trend of 1.81 percent in early December 2022, backed by a reduction in buying sentiments of the customers from the downstream food and beverages and pharmaceutical sectors. Additionally, due to the Christmas festive break, weak upstream Benzoic Acid costs and lesser inquiries from the domestic market resulted in the stockpiling of Sodium Benzoate (Exp) inventories with the market players and industry giants. Further, the supply chain in the United States has gradually improved as the backlogs have substantially decreased at the ports of the United States. Earlier, the United States economy was harmed by labor disruptions, geopolitical concerns, and weather circumstances, but now the economy is beginning to rebound. However, this still does not indicate stable market fundamentals in the United States, as the demand remained on the lower side.
As per ChemAnalyst: "It is anticipated that with the start of New Year, i.e., 2023, the cost of Sodium Benzoate (Exp) will incline significantly around the globe. Following the Christmas break, the domestic market of both Germany and the United States will reopen, and end-user demand is expected to speed in a positive direction, showcasing a bullish market sentiment for Sodium Benzoate (Exp). Moreover, the newer stock levels will be there with market participants because of the declining inventory levels.