Benzyl Alcohol (CAS 100-51-6) is a colourless aromatic alcohol widely used as a solvent, preservative, bacteriostatic agent and intermediate in applications ranging from pharmaceuticals through coatings and printing inks. According to recent market research, benzyl alcohol Price Trend is expected to grow steadily, supported by its diverse end-use applications and regulatory favourability for lower-toxicity solvents.
In terms of demand segmentation:
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Pharmaceutical-grade benzyl alcohol is set to dominate due to its use as a preservative in injectables and topical formulations.
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Industrial grades (for coatings, inks, adhesives) continue to contribute significantly.
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Geographically, growth is led by Asia-Pacific (notably India and China) driven by expanding chemical, pharmaceutical and personal-care sectors.
From a procurement or cost-management perspective, understanding benzyl alcohol’s price trend is essential because feedstock, regional supply/demand balances and regulatory shifts can quickly influence margins and sourcing strategies.
Key Factors Influencing Benzyl Alcohol Pricing
When analysing the price trend of benzyl alcohol, the following drivers are critical:
Raw material & feedstock inputs
One of the principal cost drivers is the availability and cost of the upstream aromatic feedstock—often toluene or benzyl chloride intermediates. For example, a recent review noted that the global trend of benzyl alcohol pricing was “heavily influenced by the price of feedstock toluene, regional supply and demand imbalances”.
In periods when toluene or benzyl chloride supply is tight (due to plant outages, upstream competition for toluene, regulatory constraints), benzyl alcohol pricing tends to firm.
Regional supply-demand dynamics & logistics
Regional imbalances (e.g., Asia Pacific vs Europe vs North America) play a large role. For example:
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According to one pricing service, in March 2025 the average price of benzyl alcohol in the United States declined ~12% month-on-month and was down ~19% year-on-year.
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In China the same service reported a more modest month-on-month increase (~1%) but still a year-on-year decline.
Such divergence reflects differing end-use demand strength, import/export flows, and regional capacity expansions or shutdowns.
End-use industry demand
Demand from pharmaceuticals (preservatives, injectables), cosmetics/personal care (low-VOC solvents), coatings/printing inks and adhesives influences pricing. When one major end-use sector slows (for instance coatings during a construction downturn), it can exert downward pressure on benzyl alcohol. For example, certain reports noted price corrections in China during 2023-24 due to slower downstream activity.
Regulatory & sustainability pressures
Solvent regulations (VOC limits, REACH restrictions in Europe, global push for lower toxicity) tilt demand toward certain grades of benzyl alcohol. Higher-purity grades or specialist grades often command a premium.
Furthermore, regions with stringent import/export duties, or logistics constraints, can see local price premiums.
Supply disruptions & capacity expansions
Factory turnarounds, force majeure events, or feedstock shortages can create short-term tightness and price spikes. Conversely, new capacity additions (especially in Asia) can create softness. For instance, the “market correction” noted in China in 2023-24 was tied to increasing supply and weaker downstream demand.
Benzyl Alcohol Price Trend – Recent History
Here is a summary of the recent pricing environment for benzyl alcohol:
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According to a monthly price database, in March 2025 the price in the United States was approximately USD 1,750 per metric ton, representing a ~12% drop from the previous month and ~19% lower year-on-year.
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In China, pricing was around USD 1,410 per metric ton in the same period from ~1,750 the year prior.
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Europe showed a modest monthly increase (~0.9% in March 2025) to USD 2,310 per metric ton, though still ~6% down from a year earlier.
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In October 2024, industrial-grade benzyl alcohol in China reportedly dropped from ~USD 2,020/MT in October 2023 to ~USD 1,610/MT — a ~20% decline.
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For India, a local listing indicates a price trend range of INR 30-300/kg (indicative rather than definitive for high-volume industrial grade).
These data points together suggest a correction phase through 2023-2025, with pricing under pressure due to slower downstream demand and increased supply, particularly in key Asian regions.
Implications for Procurement & Industry Stakeholders
For procurement managers, chemical manufacturers and energy/solvent users, the recent trends and drivers of benzyl alcohol pricing yield a number of actionable insights:
Inventory strategy
Given the current softness in several regions, maintaining minimal excess inventory might be prudent. However, if a supply disruption or plant shutdown occurs on toluene or benzyl chloride feedstock, prices could spike quickly — flexible purchasing contracts might be a hedge.
Regional sourcing consideration
Because pricing varies regionally (higher in Europe, lower in Asia/Pacific in recent months), evaluate logistics costs, import duties and local regulatory compliance. Suppliers in Asia may offer cost advantage, but you must assess reliability, quality grade and lead-time risks.
Grade differentiation
High-purity or pharmaceutical-grade benzyl alcohol often carries a premium. If your application tolerates industrial-grade, you may gain cost advantage. Otherwise for pharma/cosmetic use the premium may be justified by regulatory and performance demands.
Feedstock watch‐points
Monitor toluene and benzyl chloride markets, as well as major aromatics capacity expansions and shutdowns. Because benzyl alcohol pricing often follows feedstock cost shifts, early indication from feedstock markets can provide lead time for procurement decisions.
Downstream demand signals
Keep an eye on coatings/inks, adhesives, pharmaceutical manufacture and personal-care formulation trends. A rebound in any major end-use segment (for example after a construction uptick, or regulatory change favouring low-VOC solvents) may create stronger demand for benzyl alcohol, tightening supply and driving pricing.
Logistics, regional policies & regulation
In regions with tighter regulation (Europe REACH, US EPA) and stricter import rules, prices may remain elevated. For Indian or regional Asian manufacturers, the expanding demand in pharmaceuticals may raise domestic pricing pressure and reduce arbitrage opportunities. According to India export-volume data, exports of benzyl alcohol from India rose significantly from 2017 to 2018.
Outlook for the Benzyl Alcohol Price & Market (2025)
Based on available forecasts and market commentary:
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The global benzyl alcohol market size is projected to expand from USD 3.79 billion in 2024 to perhaps USD 6.6 billion by 2035 (CAGR ~5.2%) according to one source.
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Other sources suggest a slightly lower CAGR (~4.8% from 2023 to 2030) with expected market value reaching USD 4.51 billion by 2030.
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Price forecasting commentary indicates that after the correction in 2023-24 the market may stabilise in 2025, barring any major feedstock disruption.
From a price perspective:
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If feedstock costs remain stable and supply/demand are balanced, we may see relatively flat to modestly increasing prices, especially in regions with tighter regulation or higher logistic cost.
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If downstream demand accelerates (e.g., global rebound in coatings or pharmaceuticals, or increased personal-care product launches requiring high-purity grades), then pricing in specific regions may firm.
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On the flip side, if supply continues to expand (particularly in Asia) and downstream demand remains modest, there is a risk of further price softness.
For stakeholders in India and Asia in particular: With India’s anticipated growth in pharmaceuticals (CAGR ~5.8% from 2025-2035) and strong demand drivers in cosmetics and coatings, regional pricing may gradually firm over time.
Practical Take-aways for Industry Users
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Sourcing timing: Consider negotiating long-term supply contracts with price-adjustment clauses tied to feedstock indices to mitigate volatility risk.
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Supplier diversification: Given regional pricing variation and potential logistic/regulatory disruptions, maintain at least two supplier regions (e.g., Asia + Europe) if feasible.
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Grade optimisation: Evaluate whether your application can use industrial grade vs pharmaceutical grade – the cost difference may be significant.
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Monitor upstream indicators: Track toluene/benzyl chloride markets, aromatics plant maintenance schedules and global coatings/adhesives demand as early signals of pricing shifts.
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Inventory flexibility: Keep lean inventory but with contingency buffers for supply disruptions.
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Regional-specific risks: For India, check import duties, domestic production expansions, export volumes and regulatory changes, as these will impact local pricing dynamics.