For the Quarter Ending June 2021
Sodium Bicarbonate prices showcased a stable rise during this quarter, bolstered by firm offtakes from the downstream end user segments and rising feedstock prices. On the demand side, strong offtakes of the product from the regional pharmaceuticals sector were reported throughout the quarter, while in other segments demand showed a staggering rise driven by industrial rebound. In addition, major manufacturers of Sodium Bicarbonate revealed that they received strong demand from the automotive and photovoltaic cell market. Therefore, a considerable rise in the price of this product was observed during Q2 2021, in USA.
The Asian market witnessed mixed sentiments for Sodium Bicarbonate during this quarter, which varied country over country. In China, Sodium Bicarbonate maintained buoyancy throughout the quarter amid volatile demand condition, while the prices maintained firmness taking support from the factors like inflation and soaring raw material prices. Meanwhile in India, prices primarily fluctuated with the demand fundamentals, which were changing rapidly due to the resurgence of pandemic in the country. However, several Indian manufacturers raised Sodium Bicarbonate offers by a significant percentage to absorb the sharp surge in the overall production cost. Tata Chemicals raised its ex-works offers for Technical Grade Sodium Bicarbonate to USD 275.61/mt in June, up by about USD 13/mt from its last revision.
The European Sodium Bicarbonate manufacturers also reported stable demand while the availability remained adequate enough. In Europe, the demand for Sodium Bicarbonate remained sturdy from the pharma segment, for the production of antacid, while other sectors remained modest. Demand for the food grade material also reported strong gains with rising inflation also a factor affecting the regional demand. On the other side, prices of this product primarily affected by strong demand from the automotive sector of the region, as European automotive sector showcased more offtakes in comparison with other regions.
For the Quarter Ending March 2021
Sodium Bicarbonate demand maintained an overall stability throughout the quarter across North America. The demand side was majorly driven by food, pharmaceutical and animal feed segment, while other segments like water treatment, Industrial chemicals remained comparatively low performing in the region. However, in the midst of stable demand, the supply remained limited across the region, which was due to the limited availability of raw materials like Ammonia and weather-related constraints. Freezing fallout in USA curtailed the production activity across several downstream sectors that reduced the availability pf the key raw materials.
The Asian market demonstrated mixed sentiments for Sodium Bicarbonate in Q1, with demand largely varying country over country. However, the overall demand for the Asian market remained stable with prices fluctuating in limited range. In China, the price of Sodium Bicarbonate depicted an overall downward trajectory, backed by stable demand with abundant availability reported across the country. While in India, prices fell during February which later resumed strength in March. The reason behind this was improved production activities in the midst of modest demand. The prices of Sodium Bicarbonate hovered around USD 300/MT and USD 261.8/MT in China and India respectively during the month of February.
The European market experienced stability in demand for Sodium Bicarbonate during Q1 2021, bolstered by steadily improving economy post recovery from pandemic during March. Raw material availability remained a matter of concern in the region with several reasons, like curtailed transportation activity after unfavourable weather scenario reduced imports from USA and critical shortage of shipping containers exacerbated the tightness in overseas supply. However, demand from the downstream segments like animal feed and pharmaceutical sector maintained stability, which primarily supported the overall market in this quarter.
For the Quarter Ending December 2020
Since Asia Pacific Region is dominating region from manufacturing of Sodium bicarbonate, it witnessed incredible gains backed by its consistent increment in its usage after Covid-19 Outbreak. For the quarter ending December one of the largest players of Sodium Bicarbonate based in India, reported that it has witnessed a sharp increment in its imports. Although the local demand for countries like India and China remained in a stable to firm range, consistent increase in export demand from pharmaceutical sector provided a strong push in its market fundamentals. Consequently, Sodium Bicarbonate prices for the quarter ending December averaged at USD 280 per MT in India.
Demand for Sodium Bicarbonate in Europe remained in a stable to firm range buoyed by its consistent usage in pharmaceutical and healthcare sector. As in Europe, the packaged food material demand increased due the threat of new coronavirus which further enhanced the demand for Sodium Bicarbonate from food industry. In line with the slight upward push in the demand fundamentals for Sodium Bicarbonate in Europe its prices also increased marginally in the regional market.
Sturdy demand from end-use industries like chemicals, pharmaceuticals, water treatment in Q4 as people remained highly aware for hygiene and cleanliness after buzz of resurgence of Coronavirus in several parts of Europe. Its demand is expected to stay strong supported by the government initiatives to increase the R&D activities in the region. The pharmaceutical companies contributed to the high demand of sodium bicarbonate in this region in Q4,2020.