This document provides an overview of acetic acid including its general details, product applications across various sectors like pharmaceuticals and textiles, Indian trade statistics on imports and exports. It discusses the key Indian manufacturers and their production levels. It also outlines a new large scale acetic acid project by Indian Oil Corp in partnership with BP. The document analyzes India's demand-supply scenario from 2012-2013 to 2014-2015, noting a gap that will need to be met through imports. It breaks down domestic demand by sector for the period of April 2012-2013, with PTA accounting for the largest share at 35%.

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1. PRODUCT OVERVIEW...................................................................................................................2
1.1. General details ....................................................................................................................2
1.2. Product application..............................................................................................................2
2. INDIAN TRADE STATISTICS ...........................................................................................................4
2.1. Import.................................................................................................................................4
2.2. Export.................................................................................................................................5
3. INDIAN SUPPLY SCENARIO ...........................................................................................................6
3.1. Indian Manufacturers and their production level – April 2012 to March 2013..........................6
3.2. New Project.........................................................................................................................6
4. INDIAN DEMAND SUPPLY SCENARIO.............................................................................................8
4.1. Indian demand supply scenario– Period Apr 2012 to Mar 2015 ..............................................8
4.2. Sectorwise Indian domestic demand – Period April 2012-2013 ...............................................8
4.3. Pattern of sectorwise demand – April 2012 to March 2013 ....................................................9

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1. PRODUCT OVERVIEW
1.1. General details
Chemical formula CH3COOH
CASnumber 64-19-7
Appearance Colourless,waterlike liquid
1.2. Product application
Sectorwise application
Sector Application details
Pharmaceuticals Eg. In the preparationof ibuprofen, Sulphamethoxazole,Chloroquin,
Metronidazole etc
Textiles In makingPurifiedtelepthalicacid(PTA)
Acidulant&Preservative Eg: Vinegar,Jams,Pickles,Ketchupsetc.
Chemical synthesis For eg.Monochloroaceticacid(MCA),Vinyl Acetate Monomer(VAM)
Acetates Eg. Celluloseacetate,Ethyl Acetate,Zincacetate,Amyl acetate etc.
Pesticides Eg. Chlorpyriphos,Acephate
Diketene &itsderivatives Eg. Monomethyl acetoacetamide,ethyl acetoacetamide,MAA
Tanning/ dyes Laundrysour, printingcalico&dyeing
Solvents For gums,resins& volatile oils
Pickling Aceticacid/ citric acid / oxalicacidor formicacidcan be usedto acidify
a skinto kill bacteriamakesthe skineasiertofleshandcreatesa
positive ioniccharge inthe skinfibrestoattract tannins.
Derivative products
 Aceticanhydride
 Diketene anditsderivatives
(Monomethyl acetoacetamide,ethyl acetoacetamide,methyl acetoacetate)
 Acetate esters(Celluloseacetate,ethylacetate,zincacetate,amyl acetate etc)
 Vinyl acetate monomer(VAM)
 Monochloroaceticacid (MCA)
 Purifiedterephthalicacid(PTA)

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Usage of acetic acid in textile sector
‘Fabricsofteners’ isadded atthe endof the washingprocessistoneutralise the verysmall amountsof
detergentsleftinthe textilesandthuspreventstaticelectricity.
The simplestwaytoinactivate any detergentsleftinthe fabricisto neutralise the pHtobetween6.5
and 7.5 throughadditionof a small amountof aceticacid.Through thismethod,the activityof the alkali
and surfactantsiseliminated.
Aceticacidis not a fabricsoftenerinprinciplebutisoftenusedforthispurpose inprofessional
laundries.
Aceticacidis a weakorganicacid whichis readilydegradable andhasnoadverse effectsinthe
environmentexceptforthe use of oxygenfordegradation.Itisalsoreadilydegradableunderanaerobic
conditions.
Role of acetic acid in various industry
Industry Role of acetic acid
Food pH modifier/preservative
Pharma Raw material
Agro Raw material
Dyestuff Raw material
Chemical (VAM/PTA/AA etc) Raw material
Textile Curingagent
Cotton/ polyester/wool Bleachingagent
Rubber/ latex Coagulant
Casein Coagulant

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2. INDIAN TRADE STATISTICS
2.1. Import
Annual import
Countrywise import – Apr 2011 to Mar 12
2008-2009 2009-2010 2010-2011 2011-2012
Quantity in tonnes 285036 389650 466096 748970
0
100000
200000
300000
400000
500000
600000
700000
800000
Quantity in tonnes
Indonesia 1%Uruguay 1%
Ukraine 1%
Spain 1%
France 1%
Russia 1%
U S A 2%
U Arab Emts 2%
Netherland 3%
Saudi Arab 6%
Iran 7%
Malaysia 21%Singapore 24%
China P Rp 27%

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2.2. Export
Annual export
Countrywise export
2008-2009 2009-2010 2010-2011 2011-2012
Quantity in tonnes 12589 13022 8367 23418
0
5000
10000
15000
20000
25000
Quantity in tonnes
Others 11%
Netherland 4%
Bangladesh Pr 5%
Egypt A Rp 6%
U Arab Emts 18%
Belgium 56%

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3. INDIAN SUPPLY SCENARIO
3.1. Indian Manufacturers and theirproduction level – April 2012 to March 2013
In tonnes
Name of the organisation Installed capacity Production
GNFC,Gujarat 150000 170500
Industrial Organics,Ludhiana 75000 11500
Trichy Distrilleries,Trichy 24000 18000
Total 249000 200000
Most of the units including Jubilant Organosys and Somaiya Organics confirmed that they stopped
production of acetic acid. They imported acetic acid for captive consumption as well as for supply to
other consumers in India.
3.2. New Project
Company Indian Oil Corp (IOC) JV with BP
Projectcapacity One milliontonnesperannum of aceticacid
Projectlocation Gujarat
Process BP's CativaXL technology
Schedule 2015
The Indianmarketis sufficientlylarge toaccommodate one worldscale plant.ButRelianceIndustrieshas
talked about building plants for acetic acid and derivatives at Jamnagar, Gujarat. This project too has
been in the pipeline for a few years and it remains to be seen if the company will be interested in
pursuing it after the BP-IOC announcement.
It isalso interestingthatBPwhichhas joinedhandswithReliance inthe gasvalue chainhasdecidedto
partnerIOC foracetic acid.

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Assam PetrochemicalsLimited(APL)
Projectcapacity 72000 tonnesperannum of aceticacid
150,000 tonnesperannumof methanol
Projectcost Rs. 3.5 billion (foraceticacid)
Rs. 11 billion(forbothcombinedplantof methanol andaceticacid)
Plantlocation Namrup,assam
Projectschedule Q III,2015

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4. INDIAN DEMAND SUPPLY SCENARIO
4.1. Indian demand supply scenario– Period Apr 2012 to Mar 2015)
In tonnes
Period
(Apr to Mar)
Domestic
demand
Export demand Total demand *Indian
production
Gap in supplyto
be met import
2012-2013 950000 24000 974000 200000 774000
2014-2015 1067500 25500 1093000 200000 893000
It isconsideredthatthe Indianproductionwouldremainatpresentlevel till2014-2015.
Growth rate considered 6% per annumfor domesticdemand
3% per annumfor exportdemand
4.2. Sectorwise Indian domestic demand – Period April 2012-2013
Sector Demand in tonnes
PTA 332500
Acetate andacetic anhydride 294500
MCA 57000
Pharmaceuticals 76000
Pesticides 57000
Tanning,dyesanddye intermediate 47500
Textile processing 28500
Foodand othermiscellaneoussectors 57000
Total 950000

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4.3. Pattern of sectorwise demand – April 2012 to March 2013
PTA
35%
Acetate and acetic
anhydride
31%
MCA
6%
Pharmaceuticals
8%
Pesticides
6%
Tanning, dyes and
dye intermediate
5%
Textile processing
3%
Food and other
miscellaneous
sectors
6%

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