For the Quarter Ending March 2023
North America
Oleic Acid costs declined in the first quarter of 2023 in the North American market, continuing a trend of a stable market. As a result of a decline in demand and more permissive export of tall Oil fatty acids, prices fell in the first half of Q1 of 2023. The second quarter saw a decrease in the price of Oleic Acid, which can be attributed in part to the ease with which raw materials can be obtained in nations that produce commodities as well as the plentiful supply of raw materials from exporting nations. More Oleic Acid was available at the time to satisfy the demand from the downstream food business. The first quarter saw North America's pricing trend continue to decline as a result of the decline in demand for downstream items. Toward the end of the quarter, the prices for Oleic Acid were assessed at around USD 1345/MT for CFR Houston in March.
Asia Pacific
Oleic Acid prices declined in the first quarter of 2023 due to stable market dynamics. In order to reduce the price of cooking Oil, the export of raw tall Oil fatty Acid was started, which also led to a decrease in the cost of other edible oils. Due to Malaysia's lax labor regulations, there is a constant need for oleic Acid; nevertheless, the supply is limited. Market sentiments weakened in the final month of the quarter as a result of lower demand from downstream industries, including the food industry. Lower upstream costs for raw materials and oleic Acid have also been a result of availability and a decline in local market demand. Toward the end of the quarter, the prices for Oleic Acid were assessed at around USD 1180/MT for CFR Shanghai in March.
Europe
In the first quarter of 2023, Oleic Acid prices in the European region kept declining. Price declines for Oleic Acid in the area during the first half of the quarter have primarily been attributed to lower raw material futures this quarter. Due to a consistent supply and low freight costs, the price trend for Oleic Acid has further decreased in the area. Due to the low price of Tall Oil fatty acids in Asian nations, which resulted in lower prices in the second half of Q1 and especially in the last month, Oleic acid levels considerably declined around the middle of the quarter. Oleic Acid prices decreased in the European region as a result of a mix of steady demand from the downstream sectors and the food industry, as well as inconsistent supplies in the global supply chain. Towards the end of the first quarter of 2023, the prices were assessed around USD 1305/MT for FOB Rotterdam in March.
For the Quarter Ending December 2022
North America
Oleic Acid costs declined in the fourth quarter of 2022 in the North American market, continuing a trend of a stable market. Prices decreased in the first half of Q4 of 2022 due to a drop in demand and more lax export laws for Malaysian palm oil. Oleic Acid costs fell in the second quarter in part due to the accessibility of palm oil resources in countries that manufacture goods as well as the ample supply of raw materials from exporting countries. To meet the demand from the downstream beauty industry at the time, more Oleic Acid was accessible. Due to the drop in demand for downstream products, North America continued its downward pricing trend during the most recent quarter. Toward the end of the quarter, the prices for Oleic Acid were assessed at around USD1480/MT for CFR Houston in December.
APAC
Oleic Acid prices declined in the fourth quarter of 2022 due to stable market dynamics. The export of raw palm oil was begun to lower the cost of cooking oil, which also caused the price of other edible oils to fall. Although there is a consistent demand for Oleic Acid due to Malaysia's labour laws, there is also a finite amount of supply. Decreased demand from downstream businesses, such as the personal care sector, in the last month of the quarter resulted in slackened market attitudes. More so, the availability and declining local market demand have resulted in lower upstream costs for raw materials and Oleic Acid. Toward the end of the quarter, the prices for Oleic Acid were assessed at around USD 1280/MT for CFR Shanghai in December.
Europe
In the fourth quarter of 2022, Oleic Acid prices in the European region kept declining. Prices for Oleic Acid in the region fell in the first part of the quarter, which has been mostly attributed to decreased palm oil futures this quarter. The price trend for Oleic Acid in the region has further declined due to an ongoing supply and affordable freight costs. Oleic Acid levels significantly decreased around the middle of the quarter as a result of the low price of palm oil in Asian countries, which reduced prices in the second half of Q4 and particularly in the last month. Because of a combination of sustained demand from the cosmetics industry and other downstream industries during the winter and erratic supplies brought on by disturbances in the global supply chain, Oleic Acid prices declined in the European region. Towards the end of the fourth quarter of 2022, the prices were assessed around USD 1420/MT for FOB Rotterdam in December.
Oleic acid prices fluctuated in the third quarter of 2022 in the North American market, continuing a trend of an unstable market. Prices fell in the first half of Q3 of 2022 because of a decline in demand and easier export regulations for Malaysian palm oil. In addition, the paucity of palm oil resources in product-manufacturing nations and the insufficient supply of materials from exporting nations because of port congestion also had a role in the second quarter's increase in oleic acid prices. Less oleic acid was available during the time to meet the demand from the downstream cosmetic industry. North America had a continuation of the increasing pricing trend during the first quarter because of the increased demand for downstream products. Toward the end of the quarter, the prices for Oleic Acid were assessed at around USD 2550/MT for CFR Houston in September.
Oleic Acid prices changed in the third quarter of 2022 due to unpredictable market dynamics. The export of raw palm oil was begun to lower the cost of cooking oil, which also caused the price of other edible oils to fall. Although there is a consistent demand for Oleic Acid due to Malaysia's labor laws, there is also a finite amount of supply. Increased demand from downstream businesses, such as the personal care sector, in the last month of the quarter resulted in tighter market attitudes. More so, the limited availability and rising local market demand have resulted in higher upstream costs for raw materials and oleic acid. Toward the end of the quarter, the prices for Oleic Acid were assessed at around USD 2325/MT for CFR Shanghai in September.
In the third quarter of 2022, Oleic Acid prices in the European region kept fluctuating. Reduced palm oil futures this quarter have been primarily blamed for the region's declining Oleic Acid prices in the first half of the quarter. Continuous supply and cheap freight costs have further decreased the price trend for Oleic Acid in the Regional market. Because of the high cost of palm oil in Asian nations, which increased prices in the second half of Q3 and especially in the last month, Oleic Acid l prices rose considerably near the middle of the third quarter. Oleic acid prices increased in the European region because of a combination of stable demand from cosmetics and other downstream industries during the winter and erratic supplies brought on by disruptions in the global supply chain. Towards the end of the third quarter of 2022, the prices were assessed around USD 2405/MT for FOB Rotterdam in September.
