Sometime today our prices on products containing carnauba are going up.. this will also be changing for all of our distributors very soon if not already. here is a few paragraphs from a supplier in Brazil...
However the slightly stronger US Dollar did not influence too much the USD sales prices of carnauba waxes, as the majority of carnauba wax refiners are without stock at this moment, and have to delay their contracted delivery times, respectively, cannot, partly, fulfill their delivery commitments. The lack of carnauba powder raw materials stocks are creating a pressure of demand not only from the export markets (it was exported on May 1.698 tons of carnauba), but also from the domestic market alike, so that prices for the raw material are drastically going up - in this case if the raw materials eventually could be obtained from local speculators who do not carry reasonable qualities and do not care too much about the qualities- this situation is not at all advantageous for the marketing and reputation of carnauba wax in general recently there were some serious claims worldwide due to the lack of a reasonable quality raw materials.
Our business-partner have a different policy, they buy raw material during crop season when selected the best available from traditional carnauba farmers and can buy the best for our customers. At this moment, we had already finished our purchases until next crop, we have enough raw material (type 3) and do not want to submit ourselves to the very high level prices of raw material we have been watching at this moment. Our view is that Carnauba wax prices for prime yellow may increase as the situation is different, as the raw material is really scarce and it takes longer to get type 1 prime yellow only after two months crop usually starts. So this also brings some concerns to the market, we still do not have a clear picture when new crop will come as we are depending on weather conditions mainly
There is not much we can do but buy as much raw materials now and hope for the future ... this is also effecting sealants as the demand for raw materials is increasing ... sad to say this situation is not looking good for the short term
However the slightly stronger US Dollar did not influence too much the USD sales prices of carnauba waxes, as the majority of carnauba wax refiners are without stock at this moment, and have to delay their contracted delivery times, respectively, cannot, partly, fulfill their delivery commitments. The lack of carnauba powder raw materials stocks are creating a pressure of demand not only from the export markets (it was exported on May 1.698 tons of carnauba), but also from the domestic market alike, so that prices for the raw material are drastically going up - in this case if the raw materials eventually could be obtained from local speculators who do not carry reasonable qualities and do not care too much about the qualities- this situation is not at all advantageous for the marketing and reputation of carnauba wax in general recently there were some serious claims worldwide due to the lack of a reasonable quality raw materials.
Our business-partner have a different policy, they buy raw material during crop season when selected the best available from traditional carnauba farmers and can buy the best for our customers. At this moment, we had already finished our purchases until next crop, we have enough raw material (type 3) and do not want to submit ourselves to the very high level prices of raw material we have been watching at this moment. Our view is that Carnauba wax prices for prime yellow may increase as the situation is different, as the raw material is really scarce and it takes longer to get type 1 prime yellow only after two months crop usually starts. So this also brings some concerns to the market, we still do not have a clear picture when new crop will come as we are depending on weather conditions mainly
There is not much we can do but buy as much raw materials now and hope for the future ... this is also effecting sealants as the demand for raw materials is increasing ... sad to say this situation is not looking good for the short term
