Weekly Chemicals Market Report - Apr 13 - Apr 19, 2026

Weekly Chemicals Market Report - Apr 13 - Apr 19, 2026

The Indian chemicals market witnessed broad-based softening this week, with the category average price declining 3.60% week-on-week to ₹153.88/KG, driven by sharp corrections in Methanol (-16.42%), Phenol (-11.43%), and Acetic Acid (-6.45%). Weak demand sentiment, cautious buying behaviour, and easing import costs — particularly from Asian suppliers — pulled prices lower across key petrochemical-linked solvents. Despite month-on-month gains in several products like N-Butanol (+32.35%) and MEK (+75.00%), the near-term trajectory points toward consolidation as buyers remain on the sidelines amid global trade uncertainty.

Key Highlights

• Methanol was the week's top mover, plunging 16.42% WoW from ₹67/KG to ₹55–56/KG at Kandla and Mumbai amid weak demand and profit-booking by traders.
• Phenol dropped 11.43% WoW from ₹175/KG to ₹155/KG at Kandla and Dahej, continuing a multi-session correction as import supply remained comfortable.
• Acetic Acid fell 6.45% WoW, sliding from ₹62/KG to ₹58/KG at Kandla and Mumbai in a steady three-session decline through the week.
• Butyl Acrylate Monomer (BAM) corrected 8.51% WoW from ₹235/KG to ₹215/KG at Kandla, reflecting softening upstream acrylate chain costs.
• Melamine eased 7.69% WoW from ₹130/KG to ₹120/KG at Mundra as Chinese export pressure kept import prices competitive.
• N-Hexane was the lone gainer, rising 1.69% WoW to ₹120/KG at Kandla, supported by steady solvent extraction demand from edible oil processors, and is up a significant 26.32% MoM.

Price Summary

Market Context

This week's broad price correction across the chemicals basket was primarily driven by a convergence of weak end-user demand, easing freight rates, and a cautious global trade environment. Solvent markets — particularly Methanol, Acetic Acid, and Phenol — have been under sustained selling pressure as downstream industries including paints, pharmaceuticals, and textiles restrained purchases given inventory build-ups from prior months. The month-on-month data tells a contrasting story: products like MEK (+75.00% MoM), MIBK (+44.00% MoM), N-Butanol (+32.35% MoM), and N-Hexane (+26.32% MoM) remain significantly elevated versus March levels, suggesting that the WoW corrections are healthy profit-taking corrections within a broader uptrend rather than a structural demand collapse. On the supply side, Asian — particularly Chinese — export availability of petrochemicals has improved following the post-Lunar New Year ramp-up in production. Increased vessel arrivals at Kandla, Dahej, and Mundra have added to port-level inventory, putting near-term pressure on import-linked products including Phenol, Melamine, VAM, and Styrene Monomer. IPA and Ethyl Acetate held stable at ₹238–265/KG and ₹98/KG respectively, supported by domestic production from Deepak Phenolics and GNFC which has been relatively steady. The India–US tariff negotiation backdrop and a slightly firmer rupee also contributed to lower landed import costs for several bulk chemical imports this week.

News This Week

A report from Nexizo.ai dated within this week's window directly corroborates the sharpest price movement observed: Methanol prices softened across Asia and India due to cautious sentiment and weak demand, with India-level prices quoted at ₹63–75/KG in the article — consistent with our week-opening level of ₹67/KG — before declining to ₹55–56/KG by week-end on our platform. The article cited profit-booking by traders and geopolitical uncertainty as key sentiment drivers, both of which were visible in the sharp three-session slide (₹67 → ₹60 → ₹56) captured in our trend data. Freight cost dynamics mentioned in the news piece — where stable shipping supply is keeping import costs in check — also help explain why the correction was relatively swift and orderly rather than panic-driven. The 'range-bound with slightly bearish outlook' assessment from the article aligns with the broader pattern seen across the chemicals category this week, where most products found a floor by mid-week and held steady into the weekend. Procurement teams should note that while the news narrative is bearish for Methanol, the MoM figure still shows an +8.74% increase, meaning current levels may represent a new, structurally higher base rather than a return to pre-March pricing.

Outlook

For the week of Apr 20–26, procurement managers should watch three key variables: (1) Crude oil price direction — Brent crude movements will directly influence feedstock costs for Phenol, Styrene Monomer, and aromatic solvents like Toluene and Mix Xylene, which are already showing MoM weakness; (2) Methanol import cargo arrivals at Kandla — if fresh vessel shipments clear port-side customs, a further dip toward ₹52–54/KG is possible before demand picks up; (3) Any updates to India-US trade negotiations or reciprocal tariff announcements, which could re-price the risk premium on import-linked chemicals across the board. Actionable advice: buyers of Methanol, Acetic Acid, and Phenol who have upcoming requirements in May should consider spot purchases at current levels rather than waiting — prices have already corrected 6–16% in a single week and may stabilise or partially recover as Asian suppliers pull back offers. For MEK and MIBK, which remain elevated at ₹350/KG and ₹180/KG respectively (+75% and +44% MoM), we recommend locking in term contracts now if substitution is not feasible, as supply tightness in these specialty ketones appears structural. IPA buyers should monitor Deepak Phenolics plant utilisation rates closely — any domestic output disruption could quickly reverse the current price stability.