Many Q1 price increases did not hold firm throughout the quarter, and producers are trying to boost prices again at the start of Q2. More products are in demand now than in the past few years. OPEC s production cutback has deeply affected the chemical industry. Increased raw material costs are being passed through to the customer, creating more pressure on Ethlyene Glycol, DiEthylene Glycol, Propylene Glycol, and DiPropylene Glycol. These items and others continue to go up in price.
Glycerine supply is tight.
This trend is expected to continue for the next four to six months. A major synthetic producer is having problems meeting demand. This has increased demand for high quality natural material, which those producers cannot meet. China continues to be a large net importer. Indications point to current conditions lasting through the summer.