Argus, a leading global energy and commodity price reporting agency, has launched the world’s first prices for biochemicals. These include bioethylene, biopropylene, biobutadiene, and biobenzene. This is a major step for the emerging green chemical market.
The chemical industry is shifting toward biochemicals, helping to reduce greenhouse gas emissions. It also supports sustainability and circularity. The new prices respond to requests from many market players. These include large chemical producers, major consumer brands, automakers, and plastics end-users.
Argus assesses premiums for bio-based products like bionaphtha and biopropane. These are compared daily to fossil fuel options. These assessments form the basis for the new prices. The prices are published monthly. They follow standard industry practices. This provides a clear, regular reference point for the market.
The new biochemicals prices offer many benefits. They give companies and buyers better transparency and they help explain the factors that influence market changes. Previously, deals were often bilateral. This made the market opaque and hard to understand.
The new prices can be used as benchmarks and can guide physical supply contracts. They also support investment decisions and market analysis.
Adrian Binks, Argus Media’s CEO, said: “Biochemicals will grow in importance. Even now, they make up a small part of total chemical consumption. Providing transparency early on will help companies meet sustainability goals. These prices will help allocate resources effectively. We are pleased to work with the industry on this. We plan to expand the range of prices as the market develops.”
These prices are based on Argus’ deep expertise in biofuels, chemicals, and feedstocks. This experience ensures accurate and reliable assessments. The new prices will help shape sustainable chemical markets. They promote transparency and support industry efforts toward greener solutions.
