BASF hikes formic acid price ‘to restore sustainable margin levels’

30-May-2016 - Last updated on 31-May-2016 at 11:13 GMT

Chemical giant, BASF, is raising the price of its various formic acid products.

“The price increase is necessary to restore sustainable margin levels as well as to further maintain BASF’s high quality and service standards for our customers,” a spokesperson for the company told FeedNavigator today.

Formic acid is used in a broad range of applications. In animal nutrition, it is employed as a feed preservative.

BASF is the world’s leading producer of formic acid, with production plants in Ludwigshafen in Germany, Nanjing in China and in Louisiana in the US

The producer said it is increasing the price of its Formic Acid 85% by €30 per mt ($35/mt) in Europe and South America with immediate effect or as existing contracts permit.

It said prices for Formic Acid 94% will be increased accordingly on a pro rata basis.

In North America, BASF is raising prices by $0.02 per lb ($44/mt) for Formic Acid 85%.

Prices for all other concentrations of the substance will be increased accordingly on a pro rata basis, added the German firm.