The Price of Sodium Nitrite Eased Up with muted End-Use Demand
- 23-May-2022 2:52 PM
- Journalist: Timothy Greene
Shandong, China: European Sodium Nitrite price movement showed a downward trend in May, backed by the weak demand in downstream food additives and pharmaceuticals segments. Moreover, in China, port congestion at several container terminals and shutdown in Shanghai, which is considered as the largest container terminal in China has delayed the export activity in the country and lowered demand from the downstream industries.
According to the analysis conducted by ChemAnalyst, In china, Sodium Nitrite prices declined in the Month of May due to sluggish demand from the primary Sodium Nitrite consuming food preservative industry amid the ongoing COVID 19 along with implemented lockdown, which resulted in bearish buying interest amongst the Chinese buyers. Delay in the export activity from China amid port congestion at several container terminals of China such as Shanghai, conclusively resulted in high freight charges. Manufacturers indulge in maintaining stable offtakes in the domestic market by revising prices for Sodium Nitrite.
In the European market, limited demand from end-use consumers and uncertainties because of the escalated tension between Russia and Ukraine has caused supply chain disruption for Sodium Nitrite in the month of May. Moreover, bearish buying activity witnessed in the European market amidst the gradual ramp up of production activities conclusively eased up the prices of Sodium Nitrite. High logistics and production costs made the traders indulge in revising the prices of Sodium Nitrite.
As per ChemAnayst, “The Sodium Nitrite prices are anticipated to show an increase in June in Europe with an increment in the demand from downstream food preservative and pharmaceutical segments. Prices of Sodium Nitrite are expected to increase in China due to further firmness in demand from the end-user pharmaceuticals and food preservative industries. Trading activities are expected to improve with the gradual relaxation in the COVID 19 restrictions amid lockdown in China.