A look at the factors that affect gluconates pricing, global market size and the top manufacturers.
Sodium gluconate is nothing but a sodium salt of gluconic acid and the main manufactured form of gluconic acid. The compound has several industrial applications like dyeing, textile, metal surface water treatment, and printing. Due to the more industrial use, the product is in great demand, and the price fluctuates.
Before you learn about the factors that affect gluconates’ pricing, you need to understand the global market size and top manufacturers.
Global Sodium Gluconate Market Size
Gluconic acid is produced by various methods that include biotechnology and chemical methods. The microbial process is mostly used for the industrial production of gluconic acid and its derivatives. The production cost for different products of gluconic acids vary. It is generally in the range of $1.20 per kg to $8.50 per kg. Sodium gluconate is the most widely marketed derivative of gluconic acid. It accounts for 80% of the total production.
China is one of the significant producers of sodium gluconate. In the year 2016, China’s production of sodium gluconate exceeded 100 K MT. The rapid expansion of production facilities has increased the production of sodium gluconate by a significant threshold. China is also the number one consumer of sodium gluconate due to the rapid expansion of Chinese cities and infrastructure development.
Other regions with a greater demand for this gluconic acid derivative are Africa, Middle-East, North and South America, Asia, and Europe.
To help you get clarity on the pricing, we have discussed factors that determine sodium gluconate price.
Demand And Supply
Like any commodity, market demand has a more significant effect on sodium gluconate price. There is greater demand for gluconic acid during the summer month than other seasons. Hence, you will see its price rise in summer months and witness price fall in winter and different seasons. Various chemical industries follow a specific order cycle. When a large number of industrial orders is placed, it increases competitive pressure, leading to an increase in prices.
The demand for gluconic acid is affected by the weather cycle. Sodium gluconate is widely used in the construction industry. It is primarily used as a water reducer for concrete, retarder, and plasticizer. When the construction industry is in full swing, you will see the market supply of gluconate floating. During the summer season, construction companies feel a greater need for sodium gluconate. As the temperatures rise, there is increased demand for concrete admixtures to increase cement hydration time. During the summer season, the hydration reaction in concrete peaks in advance, preventing completion of work. The addition of sodium gluconate extends the hydration time and helps complete construction work.
Not all sodium gluconates are made the same. There are various qualities of gluconic acid available in the market, and they are priced differently. The market demand for multiple attributes of sodium gluconates is different, which also affects the market prices.
The production policies and methods vary with government regulations and the arrival of new technologies. Some environmental regulations lead to an increase in production costs, which increases the price of the final product. Also, some changes in production policies result in the creation of higher quality products that also affect gluconates’ pricing structure.
Urban development is closely connected to the construction industry. Governments across the world invest in building infrastructure for the progress of the region. This development work includes building roads, bridges, ports, railways, airports, and various infrastructure elements. Cement is primarily used in all types of construction work.
Sodium gluconate is used as a plasticizer and water reducer in concrete, gypsum, and mortar. It has good chelating power in alkaline solutions. The demand for sodium gluconate is higher where urban development is in full swing. The greater market demand leads to an increase in prices.
To sum up, these are some of the factors that affect sodium gluconate price.