India Methyl Ethyl Ketone Demand and Supply 2030

1. India Methyl Ethyl Ketone Market Demand to Grow at a CAGR of 5.1%by 2030 According to ChemAnalyst report, “India Methyl Ethyl Ketone Market: Plant Capacity, Production, Operating Efficiency, Technology, Demand & Supply, End Use, Sales Channel, Region, Competition, Trade, Customer & Price Intelligence Market Analysis, 2015-2030”, India Methyl Ethyl Ketone market is projected to grow at a healthy CAGR of 5.1% during the forecast period on account of its increasing demand as a solvent in pharmaceutical industry for manufacturing anesthetics, antiseptics, drugs, and lotions backed by growing expenditure on healthcare sector by the Indian government. In addition, growth in MEK consumption from sectors like paints and coatings, aroma chemicals, printing inks, adhesives etc. is likely to propel the country’s MEK demand in the forecast period. Browse Complete Report: India Methyl Ethyl Ketone Market Cetex Petrochemicals Limited is the only producer of MEK in India having installed capacity of 10 KTPA. The company manufactures Methyl Ethyl Ketone (MEK) and its intermediate, Secondary Butyl Alcohol (SBA) through a technology from Edeleanu, Gmbh, at its plant. Due to lack of domestic manufacturing, India’s MEK market is predominantly dependent on cheap imports from several countries. However, increasing government initiatives for the protection of domestic manufacturers from undue MEK dumping have ensured adequate margins to the local players. In its bid to compensate the material injury caused to domestic players, the Indian government imposed anti-dumping duty on MEK imports from China, Taiwan, Japan and South Africa in April 2018, which shall remain intact for a period of three years. MEK prices in India spiked appreciably after February 2020, due to imposed restrictions on trade flows to contain the spread of novel coronavirus. India’s MEK spot prices trended up by almost 6 per cent in the last quarter of FY20. Persistent tight supply from other Asian countries rendered a consistent spike in March and April cargoes further hammered by demand slowdown due to plant turnarounds in several downstream industries. During the fourth quarter, downstream MEK buyers preferred to buy the commodity only during need and seemed reluctant to take any risks. Acute volatility in crude oil and its downstream propylene contract values have directly impacted MEK market profitability, as most of the normally used solvents including MEK are downstream results of crude oil. Globally, Asia is expected to hold 70% share in the world consumption of MEK, driven by growing paints and coatings sector which consumes the majority of MEK produced globally. Adhesives sector makes up the second-largest share of the world’s MEK market and represents the fastest-growing market in China. Moreover, with major paints and coatings industries coming up with their huge investment plants in India, Asia’s MEK demand is projected to grow by leaps and bounds during the forecast period. Geographically, India’s Methyl Ethyl Ketone market has been segmented into North, South, East, and West.According to ChemAnalyst report, “India Methyl Ethyl Ketone Market: Plant Capacity, Production, Operating Efficiency, Technology, Demand & Supply, End Use, Sales Channel, Region, Competition, Trade, Customer & Price Intelligence Market Analysis, 2015-2030”, Western Region is expected to witness fastest growth in the overall MEK market owing to large downstream paints and coatings capacities which are expected to turn operational by 2023. Moreover, increase in pharmaceutical investments in the western region of India, while the country is rigorously promoting Make in India scheme will drive the MEK demand during the forecast period. “MEK is a petrochemical product and its demand and supply fundamentals are directly proportional to the fluctuations in crude oil. As India’s MEK Demand is predominantly import driven, it becomes extremely crucial for the domestic players to keenly understand the global supply-chains which have

2. got a major blow during the pandemic. Demand for Methyl Ethyl Ketone in India sees seasonal variations and remains seasonally low during the colder winter months, but usually witnesses a bump in the warmer weather when construction activities and repair projects increase. Although, long-term global MEK market seems pressurized due to rising environmental restrictions in several countries due to associated Volatile Organic Carbons (VOCs) emissions, rising demand for derivatives such as SBA and Methyl Iso-Butyl Ketone (MIBK) is likely to support the growth of India’s MEK industry. Moreover, rising investments in the downstream footwears, paints and coatings, printing inks and pharmaceuticals are likely to trigger a strong surge in the demand for Methyl Ethyl Ketone during the forecast period. A thorough understanding of dynamics and developments in downstream industries is an important step for widening the scope of the market when players are eyeing on unprecedented rise in demand levels during the forecast period” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm promoting ChemAnalyst. About Us ChemAnalyst is a ‘one stop’ digital platform that offers comprehensive market intelligence data and in- depth analysis of the Indian chemical and petrochemical industry. ChemAnalyst’s team of 100+ analysts are engaged in tracking chemical prices daily, production capacity, demand and supply outlook, manufacturing plant locations, foreign trade data and news/deals for more than 400 major chemicals produced in India.ChemAnalyst is promoted by TechSci Research which is an award winning research based management consulting firm providing market research and advisory solutions to the customers worldwide, spanning a range of industries including Chemicals & Material, Automotive, Consumer & Retail, ICT, Energy & Power, Aerospace & Defense, Water and Waste Management, BFSI and more For more information, please visit us at www.chemanalyst.com Contact Us: Nilesh Vishwakarma B-44 Sector-57 Noida, National Capital Region Tel: 0120-4523948 Mob: +91-8882336899 Email: info@chemanalyst.com