Price Trend
The domestic ethanol market rose and fell unevenly this week. According to the monitoring data of business associations, the price of domestic ethanol market was 5380 yuan/ton at the beginning of the week, rising by 0.19% annually, and falling by 3.23% compared with the same period last year.

II. Market Analysis

Products: Alcohol began to rise in some areas this week, only in Henan Province after the price of small factories fell. Northeast enterprise equipment gradually opened, Heilongjiang Nehe plant recently put in materials, although the supply side of enterprises has rebounded, but the enterprise inventory is not high, affected by the high level in some areas, the willingness of enterprises to pull up is obvious, the quotation of large factories has been pulled up, and the market transaction price has risen sharply; Henan small factory price has been pulled up earlier this week, but later small. After the factory pulled up, the shipment situation was blocked, and the price fell on Thursday. Shandong floated spring plant reduced production, and the supply side was good. The price of East China rose slightly, but at present, the construction situation of East China enterprises was not much. The downstream part digested the inventory of Northeast China, the ethyl acetate factory had not started to purchase, the raw material price remained high, and the market price was firm. Southern cassava alcohol enterprises are supported by good supply side and high price is sorted out; molasses alcohol is produced by only one enterprise, supported by good supply side, and the market transaction price has risen sharply; there is no spot of cassava alcohol in Guangdong, and there is a shortage of high-grade alcohol, and only the supply of Xintiande and Ante in Guangxi, Xintiande’s high-grade alcohol is mostly available. In Guangxi, Ante’s price is higher than the market. In Zhanjiang area, the supply side is less, the price remains stable. In anhydrous area, Jinyuan and Xintiande supply this week, and in the case of non-arrival of foreign goods, the price is stable.

Industry chain: In the upstream, the average weekly price of Maize in Jilin region of Northeast China closed at 1740 yuan/ton, which was stable compared with last week’s price. The price of dried cassava chips in upstream Thailand remained stable, mainly due to the current season of fresh cassava production. Cassava entered the starch market more and dried chips exported less. Up to now, FOB 235-240 US dollars/ton, theoretical port price of East China 1900-1920 yuan/ton, and domestic East China purchased goods from Northeast China and sold them. Enterprises have more inventories and less start-up. On the downstream side, Ethyl acetate in East China was 5775 yuan/ton this week, up 1.36% from last week’s price.

3. Future Market Forecast

Enterprises in Northeast China are gradually starting construction. After accumulating their stocks, it is not excluded that it is possible to adjust the offer in order to drain the stocks. But downstream chemical industry hears of purchasing plans, two sections of liquor are also purchased. The fluctuation of prices in Northeast China needs to see the purchasing situation downstream. In the short run, the supply area in Henan Province is rebounding, which is small. In the short run, there are two enterprises in South China starting work at the end of the month because of the maintenance of the reorganization and operation in Henan. In the short run, there is a high price due to the favorable supply side. However, there is a possibility that the two enterprises will adjust after the installation is opened. In the absence of water, there are arrivals, and short-term market prices are expected to remain stable. Ethanol analysts at business associations predict that prices in the domestic ethanol market will remain strong next week or that there may be a slight adjustment in some areas.