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Hydrogen peroxide prices surge in India on supply crunch, high demand

29 May '25
2 min read
 Hydrogen peroxide prices surge in India on supply crunch, high demand
Pic: Shutterstock

Insights

  • The Indian hydrogen peroxide market faced tight supply situation due to raw material shortages, while demand rose from textile, paper, and water treatment sectors.
  • Prices showed a U-shaped trend from January to mid-March, then climbed sharply through May.
  • The market is currently stable but may remain volatile if supply challenges continue.
The Indian hydrogen peroxide market has witnessed a sharp upward price movement between March and May 2025, with rates climbing from around ₹22/kg (~$0.26/kg) in mid-March to ₹26.5/kg (~$0.31/kg) in last week of May 2025 and almost stable in the weeks of May. This significant increase reflects a tightening supply situation in the domestic market, coupled with a rebound in industrial demand.

Industry sources report that limited availability of raw materials and production constraints have led to a shortage of hydrogen peroxide in the market. This supply crunch has coincided with a seasonal rise in demand from key sectors such as textiles, pulp and paper, and water treatment, further intensifying upward price pressure.

From January to mid-March 2025, hydrogen peroxide prices in the Indian domestic market exhibited a U-shaped pattern on a weekly basis. Prices remained fairly stable in January but started to drop in late January, touching ₹20/kg (~$0.23/kg) and hitting a low point around mid-February, possibly due to decreased industrial demand or oversupply. Beginning in March, prices started a slow rebound as market demand levelled off, especially from the textile and paper industries. April experienced ongoing growth fuelled by restocking efforts and enhanced demand downstream.

Market participants are closely monitoring the situation, with expectations that prices may remain elevated in the near term unless supply normalises or import volumes increase. Stakeholders are advised to assess procurement strategies accordingly as volatility continues to influence the chemical’s pricing dynamics whereas market currently on stable phase.

ALCHEMPro News Desk (HU)

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