For the Quarter Ending June 2023
North America
The price of Ulexite in the USA declined in the second quarter of 2023 due to a rise in economic instability along with a rising inflation rate. In the second quarter, the US economy faced a drastic phase as the downfall of major banks in the USA led to the debt crisis condition across the USA. The inflation rate rose at a faster pace leading to lower buying capacity from local consumers. The buyers were hesitant to place large orders as market sentiments got pessimistic. Meanwhile, the recent trade war between the USA and China has led to decreased demand for Ulexite from China. The rising cost of mining Ulexite in the USA, due to environmental regulations and labor costs is putting downward pressure on Ulexite prices. The declining prices of Ulexite are having a negative impact on the US Ulexite industry. Many companies are laying off workers and closing mines. The government is considering providing financial assistance to the industry to help it stay afloat.
APAC
The price of Ulexite in India has been on a declining trend in the second quarter of 2023 due to decreased demand from the local and overseas markets. The macroeconomic factor concerning declining economic conditions and mounting inflation rate led to reduced consumption rates by local and overseas buyers. The demand for boron from the downstream glass industries remained on a lower edge in the Indian spot market amid increased extraction rates. The increased supply from new mines in India in Gujrat and Rajasthan led to an increase in inventory level for Ulexite. The limited imports from the European and US markets due to the declining economic state amid lower manufacturing activity across the Global market provoked the buyers to place large orders. The increased interest rate in the overseas Chinese market led to a decline in demand for Ulexite ore and resulted in mounting inventory levels. As a result of the declining prices, many Ulexite miners in India are facing financial difficulties. The government is considering providing financial assistance to these miners to help them weather the storm.
Europe
The price of Ulexite in Germany has shown a decline in the second quarter of 2023amid an increased extraction rate from overseas countries such as Australia and Peru. The local inventory level was on a higher edge as the supply from new mines in South America was mounting. In Q2, the German economic condition worsened as it entered a recession period. This resulted in a lack of demand from the downstream glass and automotive industry, which is a major user of Ulexite. The buyers were hesitant to place large orders as the German spot market showed a bearish sentiment. As a result of the declining prices, some Ulexite mines in Germany have been forced to close. However, the German Ulexite industry is still relatively strong and is expected to recover in the coming quarters. Overall, the price of Ulexite has declined in Germany in the second quarter of 2023. This is due to several factors, including increased supply, decreased demand, and uncertain economic conditions. The declining prices are having a negative impact on the Ulexite industry across Germany.
For the Quarter Ending March 2023
North America
The Ulexite market in the USA observed a mixed pricing trend in the first quarter of 2023. In January Q1, the market prices surged amid increased demand from the end-use industries. In addition, the economy experienced inflationary pressure, and as a result, transportation costs rose in the region. The pricing trend continued the upward trajectory in February as the inflation issue heightened the uncertainty in the US market. In addition, the supply and demand gap widened due to weaker performance in the downstream packaging sector. The production rates were moderate and sufficient availability of the product was maintained, due to which, in March, the market prices of Ulexite tumbled as the domestic demand outlook remained subdued.
APAC
In the first quarter of 2023, the market prices of Ulexite showcased a bearish pricing trend in the Indian domestic region. The market sentiments of Ulexite were affected by limited market transactions and ample inventories of the product in the region. The domestic suppliers reduced operating rates to manage their production costs. In the mid-Q1, the market sentiments for Ulexite stabilized with a slight drop in the market prices due to stagnant demand from the downstream housewares and automotive sectors and wait-and-see consumer attitude in the region. In the last month of Q1, the prices declined amid low demand and falling prices of Agro intermediates. Additionally, the upstream Natural gas prices also plunged in this time frame in the Indian market. Thus, the market prices of Ulexite Ex-Gujarat settled at USD 636 per ton at the end of Q1 2023.
Europe
In the first quarter of 2023, the Ulexite market observed mixed pricing trends in the European region. In the first month of Q1, the market prices increased amid increased manufacturing activities and a surge in downstream demand in the region. Also, the active procurement rates from the product were observed. In February, the market prices of Ulexite plummeted owing to uncertainties regarding economic conditions and rising inflationary pressure, due to which the downstream demand deteriorated in the European region. In March, the prices declined further amid slow production outputs and a lagging demand outlook. Also, the manufacturing PMI dropped in this time frame.
For the Quarter Ending December 2022
North America
Ulexite levels have been steadily growing in North America throughout Q4. Prices have been impacted by a lack of upstream Boron supply in the early months of the year due to lesser import volumes, lower inventory levels, and reduced refinery operating rates. Ulexite prices in the United States were supported by growing crude oil prices. Moreover, during the quarter, supply chain issues contributed to the burdens of both producers and procurers. Prices have risen due to strong demand from the end user industries in abrasion or others. Ulexite FOB Savannah (USA) during December was assessed at USD 798/MT.
APAC
The fourth quarter of 2022 saw a downward pricing trend in the APAC region's Ulexite market. Ulexite's market sentiments have been impacted by the rise in COVID instances in the Chinese market, as demand for this product has dwindled as a result of lockdown restrictions. The lack of demand in the spot market and the excess supply coming from the growing regions put pressure on the price of Ulexite. The slowdown in economic activity put pressure on the Asian market. Additionally, the Ulexite downstream market also saw a decline in market transactions.
Europe
In the fourth quarter of 2022, prices for Ulexite in the European region exhibited an increasing price trajectory with small volatility. Prices were higher at the start of Q4 due to the strong demand as contrasted to the supply side's accumulated stock. The feedstock Boron remained robust, which raised the operational cost rate. At the end of Q4, the general price trend was observed to be on the rise. However, low freight prices and a large supply of available containers made logistics easy in the fourth quarter.
For the Quarter Ending September 2022
North America
Ulexite prices rose this quarter in the USA due to increased demand from downstream sectors brought on by solid demand from packaging and other end-use fertilizer areas. The pulp and paper industry's enormous demand has led to an expansion of the Ulexite market and increased prices. In addition, growing input prices have driven the product's price on the local market. Low inventories and high agricultural offtakes to meet the demand to alleviate the boron shortfall have increased the product's price. Prices for Ulexite were anticipated to be USD 780/MT in September.
APAC
Ulexite prices have risen sharply in the third quarter of 2022, owing to increased demand from the glass fiber and ceramic industries. The commodity price has increased due to increased offtakes with low supplies on the global market. The product's demand has grown internationally on the back of the agriculture sector's requirements. Owing to a surge in orders from the agricultural sectors due to its use as fertilizer to address the boron shortage, the price of Ulexite has grown in India's domestic market. Ulexite's market value in the Indian domestic market has expanded due to the significant demand from the paper and pulp sector. Increased offtakes have driven the need for Ulexite from the agriculture sector to treat the boron deficit.
Europe
Ulexite costs rose in the European region in the third quarter of 2022. The manufacturing process has also been hampered by rising upstream natural gas prices. Ulexite manufacturers now have many more opportunities on the market thanks to fundamental changes in demand in the glass, fiber, and fertilizer industries. The agricultural sector has seen a substantial increase in the need for Ulexite due to its use in treating various plant species' deficiencies of boron, a mineral crucial for plant growth. The product price has dramatically escalated because of the limited inventory levels and high market demand.
For the Quarter Ending June 2022
North America
In North America, the price of Ulexite increased throughout the Q2 of 2022, backed by an increase in demand from the end-use industries, including glass fibers and ceramic industries used as a source of forming an ultra-gloss transparent glass. In the first half of Q2, even though Ulexite prices are typically stable, present market conditions have a lot of volatility. In the second half of Q2, the fundamentals of demand for the product from the glass and fibers, fertilizers, and sectors have greatly increased the opportunities for producers in the Ulexite market. Additionally, the price of packaging and processing has gone up along with the cost of energy like natural gas, which is to blame for the increase in Ulexite's domestic market pricing in the USA.
Asia Pacific
In Asia-Pacific Region, the price of Ulexite increased throughout the Q2 of 2022, backed by an increase in demand from the to an increase in demand from the agricultural sectors as it is used as a fertilizer to cure the deficiency of Boron. In the first half of Q2, it is estimated that, unlike other extremely soluble borates, Ulexite induces a slow Boron release coherent with the slow uptake of Boron required by plants. In the second half of Q2, the tremendous demand from the paper and pulp industry has also boosted the market value of Ulexite in the Indian domestic market.
Europe
In Europe, the price of Ulexite fluctuated throughout the Q2 of 2022 due to the unpredictable market dynamics. In the first half of Q2, the prices increased in the first month due to high demand and the source of slow-release Boron for use in agricultural applications. In the first half of Q2, the use of Ulexite increased as ulexite 2-4 mm is a greyish granular substance, and it was directly used on crops or soil or in a fertilizer mixture. However, the prices were on a downward trajectory in the second month of the quarter, backed by a consistent increase in price, thus, decreasing the demand. Moreover, in the last month of the quarter, the prices increased due to the high input cost and the rise in raw materials price, mainly Boron. Thus, the price of the product remained fluctuated throughout the quarter.
