Sodium Nitrite market trend remains firm amidst the ongoing Russia-Ukraine conflict
- 14-Apr-2022 12:23 PM
- Journalist: Timothy Greene
Sodium Nitrite prices witnessed a near stable trend globally due to sufficient demand from downstream segments such as water treatment and food preservatives despite the ongoing geopolitical Russia-Ukraine conflict. Growing awareness over water treatment and increasing stress by the governing bodies have made water treatment a sufficient growth segment for Sodium Nitrite in the global market. Meanwhile, the approaching summer season in Asian countries led to increased demand for natural food preservatives like Sodium Nitrite.
Sodium Nitrite is used in wastewater treatment as it is used to control corrosion caused by Hydrogen Sulphide in wastewater pipelines. Moreover, Sodium Nitrite is primarily used as a food preservative as it possesses antimicrobial properties and acts as a food antioxidant.
Markets of Asia, North America, and Europe showed similar sentiments towards the demand for Food Preservatives in early April as North America and the Asia Pacific are the largest producers and consumers of Food Preservatives, followed by Europe. Production of Sodium Nitrite in Asia has been affected by strict covid 19 protocols leading to congestion and transit delays for cargo ships at container terminals, especially in China, causing the prices to rise. In Europe, the ongoing conflict between Russia and Ukraine has disrupted regional logistic networks resulting in a supply mismatch leading to a rise in prices. Besides, firm demand from the downstream food additives market has also contributed to the surge in prices.
ChemAnalyst predicts the price of sodium nitrite to largely follow an uptrend in the second quarter of FY22 driven by increased demand from the food processing industry and the continued disruption in global supply chains aided by the sporadic geopolitical turbulence across different regions, including Eastern Europe and East Asia. Additionally, the rising demand for food preservatives in the global market has also intensified the demand for Sodium Nitrite in the coming weeks.