In the first quarter of 2024, Cocamidopropyl Betaine (CAPB) prices in India had experienced a decrease, averaging between USD 750-780 per metric ton. This decline had been attributed to fluctuations in demand from the personal care and household cleaning sectors, which, despite having shown overall stability, faced several challenges. While the personal care industry had grown at a rate of 6%, it had not compensated for the oversupply in the market. Robust consumption patterns in key markets like India and Japan had continued, but logistical hurdles had impacted production efficiencies. Additionally, the market had faced volatility due to disruptions in coconut oil production the primary feedstock for CAPB in Southeast Asia, where extreme weather conditions had led to significant output reductions, contributing to pricing pressures. Consequently, the balance between supply and demand had shifted, resulting in the observed price decline during this quarter. Overall, while CAPB prices had shown a downward trend, the market dynamics had remained complex due to external supply challenges.
In the second quarter of 2024, Cocamidopropyl Betaine (CAPB) prices had seen a notable increase, driven by strong demand across the detergents, homecare, and personal care sectors, influenced by seasonal cleaning trends and an increased focus on hygiene. Prices had risen from an average of USD 741 to USD 780 per metric ton in India, reflecting an increase of approximately 5.25%. This surge had been exacerbated by rising raw material costs, particularly for coconut oil, along with supply chain disruptions and elevated shipping costs. Anticipating heightened summer demand, traders had begun stockpiling, further tightened availability and increased pricing pressure. By the end of the quarter, CAPB prices had significantly increased, highlighting the ongoing market dynamics and challenges faced in the supply chain.
Q3 2024 – In the third quarter of 2024, Cocamidopropyl Betaine (CAPB) prices have decreased in the Asia-Pacific region, fluctuating around USD 777 to USD 762 per metric ton. This reflects a decrease of approximately 5.6% from the previous quarter. This decline has been influenced by variations in usage within the personal care sector and ongoing adjustments in the cleaning industry, alongside seasonal cleaning practices. Key markets like China and India have continued to play pivotal roles, prompting manufacturers to adapt their production levels to meet the shifting demand. On the supply side, the opening of new facilities in Southeast Asia and the U.S. has alleviated some previous supply shortages, allowing production plants to operate more efficiently and contributing to stabilizing the market.
Q4 2024 – In the fourth quarter, the increasing demand for Cocamidopropyl Betaine (CAPB) from the personal care and cleaning sectors will have driven prices upward globally. The rising popularity of sulfate-free and eco-friendly personal care products will have further boosted CAPB demand across various regions. Consequently, the CAPB market is expected to have continued expanding and stabilizing in the upcoming quarter, backed by steady demand and ongoing adjustments in production capacity. However, factors such as changing demand dynamics, supply chain modifications, and geopolitical developments are likely to have introduced volatility, keeping market participants on alert.