April Market Report



Opening Commentary


We have experienced an increase in “alerts” about a government “crackdown” in China advising us that factories are being closed for pollution without notice.  This is putting pressure on both aromatic chemicals and essential oils, resulting in higher prices and shortages.

Apr 2017
Apr 2017

Orange Oil & Terpenes

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The limited availability and high prices in this market continue.

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Apr 2017
Apr 2017

Eucalyptus Oil & Eucalyptol

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Prices continue to firm as supplies are being exhausted.  With spring collection still two months away we do not see any easing of prices.

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Apr 2017
Apr 2017

Garlic Oil Chinese

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Prices continue to firm.  Reports still state that there is no new oil being produced and that many factories have not yet reopened.  Additionally, quality remains an issue.  

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Apr 2017
Apr 2017

Star Anise & Natural Anethole

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Pricing for both ingredients has been stable but dealers are advising that there is a possibility that the new crop will be off.  With carryover depleted, they are advising that prices may increase dramatically.  

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Apr 2017
Apr 2017

Cassia Oil & Natural Benzaldehyde

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Prices continue to inch upward as carryover is dwindling.  With oil from the spring crop not due to reach the market until June, we expect to see this trend continue.

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Apr 2017
Apr 2017

Ginger Oil Chinese

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Reports continue to state that many factories have still not converted from coal-fired boilers.  With demand for fresh Ginger still strong very little oil is being produced.  

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Apr 2017
Apr 2017

Geranium Oil Chinese

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One report states that high prices have encouraged more planting of Geranium in China for 2017.  A dealer estimates that 20% more acreage has been planted and that hopefully yield will be better than in 2016.  Until oil is available in July, prices will remain at their currently high level.  

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Apr 2017
Apr 2017

Litsea Cubeba & Natural Citral

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Reports continue to state that pricing will firm until September when new crop oil becomes available.

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Apr 2017
Apr 2017

Clove Leaf Oil & Derivatives

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With a deadly cyclone in Madagascar and incessant rains in Indonesia, prices for the following ingredients are rising: Clove Leaf Oil, Clove Stem Oil, Eugenol, Methyl Eugenol, Methyl Iso Eugenol, Iso Eugenol, Eugenyl Acetate, Iso Eugenyl Acetate, and Vanillin ex Eugenol.  From Madagascar, expect the Ylang Oils and Vanilla to escalate as well.

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Apr 2017
Apr 2017

Turpentine & Derivatives

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The last report we received prior to this writing had “Gum Turpentine Rocketing” as a headline.  The reported cause of this increase in demand is that several derivative producers started ordering large amounts in order to fulfill contractual requirements.

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Apr 2017
Apr 2017

There have been heavy rains in Indonesia and continued rain in the growing regions in Southern China at the end of 2016.  The Chinese crop is reportedly off by 15-20% and internal demand in Indonesia is strong.  This has translated into higher prices as availability is becoming limited.  

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Apr 2017
Apr 2017

Wintergreen Oil

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Here too heavy rains in 2016 caused production to be less than that of 2015.  Prices have risen from their lows and quality can be an issue.  

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Apr 2017
Apr 2017

Vanillin & Ethyl Vanillin

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With limited feedstocks in China and heightened concern over the pollution these products cause, pricing for both ingredients has increased.

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Apr 2017
Apr 2017

Cornmint Oil & Menthol

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Prices are still firm as cash restrictions continue to hamper trade at the farm level.  With the increasing production of synthetic Menthol looming, producers may be trying to get as much margin as possible before prices begin to collapse.  

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Apr 2017
Apr 2017

Maltol & Ethyl Maltol

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Pricing has spiked upwards as a key requirement for the production of US Natural is currently not available.  Due to factories closing there are also shortages on synthetic versions of these products.

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