According to the Commodity Market Analysis System of Shengyi Society, from September 9th to 13th, the domestic ethanol price fell from 5937 yuan/ton to 5925 yuan/ton, with a price drop of 0.21% during the period and a year-on-year decline of 14.29%. The cost of domestic edible ethanol is still in a loss making state, with downstream demand for replenishment being the main factor. The overall trading atmosphere is still acceptable, but the willingness to replenish is limited.

In terms of cost, the domestic corn market price is weakly adjusted, new grain is accelerating its listing, and aged grain continues to supply the market, resulting in a significant price drop. The cost of ethanol lacks favorable support.

On the supply side, there are significant differences in the operating rates of production enterprises in different regions. The ethanol supply is expected to be supported by favorable factors.

On the demand side, the off-season of Baijiu consumption continues and orders are postponed; Methyl ethyl ester maintains stable purchasing volume for anhydrous materials; Ethyl acetate is expected to resume production at Yankuang plant, with a rebound in production. Short term ethanol demand is expected to be supported by favorable factors.

The future forecast shows a negative impact on the cost side, while there is still no clear sign of improvement in downstream demand. Business Society’s ethanol analyst predicts that the domestic ethanol market will remain weak in the short term.