EPICHLOROHYDRIN (ECH) MARKET Challenges and Opportunities

One of the major challenges faced by the market players is the fluctuating prices of key raw materials that are used in the production of ECH. Epichlorohydrin is primarily manufactured from propene and chlorine as the key raw materials. The prices of both propene and chlorine are highly dependent on the fluctuations in crude oil prices in the global market. Any increase in crude oil prices often leads to a hike in the prices of propene and chlorine, inflating the production costs for ECH manufacturers.

Market Opportunity - Innovations in ECH production processes enhancing efficiency and reducing costs

One of the key opportunities for the players in this market is to focus on innovations and developments to enhance the efficiency of ECH production processes. This can help in optimizing the production costs in the long run. Various ECH manufacturers are investing in advanced process technologies like continuous production methods and membrane separation techniques. This helps in reducing wastage during production and achieving higher yields. Some companies are also exploring the use of renewable feedstocks like glycerol to replace traditional petrochemical-based raw materials. This can lower input costs dependence on volatile crude oil prices.