Nov 6, 2017   SOURCE: BusinessWire

Caustic Soda Market Procurement Report – Supply Market and Spend Analysis by SpendEdge

Global procurement market intelligence advisory firm, SpendEdge, has announced the release of their ‘ Caustic Soda Market Procurement Research Report.' The insights and data in this report provide a strategic analysis of the supply markets, factors influencing purchasing decisions, procurement best practices, pricing models, supplier landscape, and an analysis of the supplier capability matrix for the chemicals industry. This report breaks down the data and analysis behind the procurement of caustic soda and acts as an all-inclusive guide for making smart purchasing decisions.

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Global Caustic Soda Procurement Market Intelligence Report (Graphic: Business Wire)

Global Caustic Soda Procurement Market Intelligence Report (Graphic: Business Wire)

“The growing demand for caustic soda across the globe can be attributed to the growth of end-user sectors like the pulp and paper industry, the water treatment sector, and the textile industry,” says SpendEdge procurement research analyst Anil Seth. “The pulp and paper industry is the largest end-user segment of the global caustic soda market, where caustic soda is used widely in pulping and bleaching processes,” added Anil.

Key Report Features

Supply Market Insights       Negotiation Strategies
Procurement Best Practices       Category Risk Analysis
Cost Saving Opportunities       Key Supplier Analysis
Pricing Models       Supplier Capability Matrix

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Report Insights

  • The growing demand for caustic soda can be attributed to its low cost and wide-ranging applications in end-user industries. Within the soap industry, caustic soda is combined with vegetable oils and animal fats for conversion of triglycerides contained in these fats to soaps. Also, the cost of the product can vary depending on the demand-supply scenario, where oversupply in regions such as MEA can lead to a reduction in procurement costs.
  • The buyers in this market should procure from suppliers that facilitate the shipment of caustic soda in anhydrous form. Anhydrous caustic soda can be transported in various forms such as flakes, beads, compounders, and solid castings, this helps in reducing the volume that needs to be transported due to the elimination of water content. Also, it helps to reduce the chances of spills and leakages leading to savings in transportation cost.
  • One of the key challenges faced by the buyers in this market includes difficulty in selecting appropriate grade of caustic soda. Lack of technical know-how in selecting the appropriate grade of caustic soda as per end-user application can result in the purchase of an improper product by the buyers that do not cater to the application-specific requirements. Therefore the buyers need to gain detailed insights into the expertise of suppliers regarding the selection of appropriate grades of caustic soda.

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Caustic Soda Market Pricing Trends

The volume-based pricing model is the most adopted pricing model in the global caustic soda market. This pricing model is used for high-volume procurements by large players, wherein the player can leverage volumes and term of engagement to procure discounts and value-additions. The value-additions may include inventory management solutions and assistance with warehousing and shipping. The spot pricing model offers higher pricing transparency when compared with volume-based pricing, as it is based on the prevailing market price of caustic soda.

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SpendEdge shares your passion for driving sourcing and procurement excellence. We are a preferred procurement intelligence partner for Fortune 500 firms and other leading companies across numerous industries. Our strength lies in delivering robust, real-time procurement market intelligence that helps sourcing and procurement professionals make informed decisions. These innovative procurement solutions help enterprises transform structural capabilities, improve execution efficiency, and fast-track time to savings.