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Price of Chlorpyrifos rebounds in June 2022

 

In June 2022, the market supply of Chlorpyrifos became tight. Both the quotation and actual transaction price of Chlorpyrifos was around USD7,329.8/t, increasing by USD299.2/t MoM and USD747.9/t compared to that in April 2022.

 Main reasons for the increase in the price of Chlorpyrifos:

1.        The market prices of upstream raw materials including Diethyl chlorothiophosphate and 3,5,6-Trichloropyrid maintained high, supporting the stable increase in the production costs of Chlorpyrifos;

2.        Recently, the market inventory of Chlorpyrifos has been low and its market supply has become tight because a mainstream manufacturer could not receive new orders due to its current long-term order which is under delivery. 

 

The transaction price of upstream intermediate Diethyl chlorothiophosphate was about USD3,739.7/t. The market supply of this intermediate was limited although the market demand for this product from its downstream industry was not too much. That was mainly because mainstream manufacturers have unstable operation rates and most of them suspended production for maintenance.

 

The transaction price of another upstream intermediate, 3,5,6-Trichloropyrid, was about USD5,759.2/t. The market supply of the product was stable and the market demand from downstream industries showed a momentum of increase. The sales of the product have been good recently and the product has attracted more and more attention from its downstream industries.

 

Judging from the current market feedback, the market price of Chlorpyrifos may move sideways, mainly because of limited demand growth, buying on demand and stockpiling.



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