Toluene Diisocyanate prices on hike in India owing to strong demand

The prices of Toluene Diisocyanate, a major feedstock for Polyurethane, have been increasing from the last few weeks in India. Polyurethane is a widely used commodity in India that find its applications in several distinct end-user industries. Polyurethane is primarily employed in bedding and furniture, automobiles, paints, and adhesives. The Indian market has also been affected by the ongoing conflict between Russia-Ukraine, resulting in high crude oil and natural gas prices. The inflation in the Indian Market can be seen through the soaring prices of several commodities, including Toluene Diisocyanate (TDI).

Following its last week's trend, Toluene Diisocyanate prices inclined upwards and marked a spike of 2.66% in the Indian domestic market during the week concluding with 11th March. The prime reason for the consistent price hike of Toluene Diisocyanate was the robust demand from the downstream industries to form Polyurethane. The demand for Polyurethane comes from several industries including automotive, infrastructure, construction, paints, and others. It is extensively utilized in making flexible foams for furniture and lightly weighted automobile parts. Polyurethane is also used in different sports equipment, in medical tubing, and as insulators and adhesives.

Furthermore, the augmenting price value of Toluene Diisocyanate is propelled by the higher upstream costs because of accelerating prices of its feed, Toluene, and Nitric acid. The rise in Toluene and Nitric Acid prices is backed by enhanced crude oil prices and increased demand for fertilizers, respectively. Moreover, amplified freight charges have further exacerbated the price value of Toluene Diisocyanate in India.

According to ChemAnalyst, “The prices of Toluene Diisocyanate would keep surging in the upcoming weeks owing to high demand for the downstream product, Polyurethane. Strong demand for Polyurethane comes from several industries for distinct applications, hence soring the price value of Toluene Diisocyanate in the Indian market.”