Polyol Price Trend in India: Forecast, Chart, Prices And Index Q2 2026

The Polyol Price Trend in India during Q2 2026 showed a significant increase as rising crude oil prices, higher feedstock costs, and disruptions in Middle East shipping routes affected the global chemical market.

Polyols are important raw materials used in the production of polyurethane foam, mattresses, furniture, automotive seating, insulation materials, and several industrial products.

During the quarter, higher import quotations and increased shipping expenses raised purchasing costs for Indian buyers. However, the market started showing signs of correction in June 2026 as buyers became more cautious and importers focused on managing existing inventories.

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Polyol Price Trends in India During Q2 2026

The second quarter of 2026 was a period of considerable price movement for the global polyol market. Rising geopolitical tensions in the Middle East and the closure of the Strait of Hormuz created uncertainty across energy and chemical supply chains.

These developments pushed crude oil and several petrochemical feedstock prices higher, increasing production costs for chemical manufacturers.

Polyols are closely connected to the wider petrochemical industry. Polyether polyols, for example, are commonly produced using propylene oxide as a key raw material. When the cost of this feedstock increases, manufacturers face higher production expenses. They may respond by increasing their selling prices to protect their operating margins.

The situation became more challenging when shipping routes were disrupted and freight expenses increased. Buyers had to consider not only the price of the chemical itself but also transportation costs, insurance, delivery schedules, and replacement expenses.

In India, these developments affected imported polyol offers during Q2 2026. Importers and polyurethane manufacturers faced higher procurement costs compared with the previous quarter. Although demand from downstream industries continued to support purchasing activity, buyers also became more careful about placing large orders at elevated prices.

By June 2026, the market began to move in the opposite direction. Earlier price increases had encouraged buyers to secure material in advance, resulting in higher inventory levels in some distribution centres. As immediate purchasing requirements declined, suppliers adjusted their offers to attract new orders. This change brought some relief after the sharp increases recorded during the quarter.

Polyol Prices in India: Understanding the Quarterly Increase

The Indian polyol market recorded a substantial increase during Q2 2026. According to the Price Watch, import prices on a CIF Nhava Sheva basis increased by 30.18% compared with Q1 2026.

Several factors contributed to this movement. The first was the increase in upstream raw material costs. Higher propylene oxide prices raised the cost of producing polyols in international markets. Since India depends on imported material for part of its requirements, changes in overseas production costs can quickly influence import quotations.

The second factor was the increase in international shipping expenses. When shipping routes become less predictable, freight rates and insurance costs can rise. Importers may also face longer delivery times, making it more difficult to plan purchases according to their normal production schedules.

Currency movements and replacement costs can add further pressure. Even when a buyer has sufficient stock for current production, the cost of replacing that stock may be higher than the previous purchase price. Importers often consider these replacement costs when negotiating new orders.

During Q2, Indian polyurethane manufacturers continued purchasing material to support their production schedules. Industries that use flexible and rigid polyurethane foam require a steady supply of polyols, so completely stopping purchases is generally not practical. However, higher prices encouraged buyers to review their inventory requirements more closely.

The result was a market in which higher import costs supported selling prices, while changing purchasing behaviour gradually limited further increases.

Polyol Price Chart: What the Q2 2026 Movement Shows

The Polyol Price Chart for Q2 2026 reflects two important phases: a sharp increase during the quarter followed by a downward adjustment in June.

The quarterly increase shows how quickly the polyol market can respond to changes in feedstock costs, energy prices, and international logistics. When several cost pressures occur at the same time, suppliers may revise quotations within a relatively short period.

For Indian buyers, import prices on a CIF Nhava Sheva basis provide a useful indication of the cost of bringing material to the destination port. These prices include the cost of the product, insurance, and freight to the named destination. However, they do not necessarily represent the final delivered cost for every domestic buyer, as port handling, customs duties, inland transportation, taxes, and other expenses may also apply.

June presented a different picture. After the earlier increase, some importers already had sufficient inventory to meet their immediate requirements. New purchasing orders slowed, and suppliers faced greater pressure to offer competitive quotations.

The monthly correction should not automatically be interpreted as a complete reversal of the quarterly increase. A market can decline from its recent peak while remaining considerably more expensive than it was at the beginning of the quarter.

For businesses, reviewing both quarterly and monthly movements provides a clearer understanding of market conditions than focusing on a single price change.

Polyol Price Index: Impact of Feedstock and Supply Chain Costs

The Polyol Price Index during Q2 2026 reflected the combined effect of higher production expenses, restricted shipping routes, and changing buyer sentiment.

Feedstock costs remained a major influence on prices. Propylene oxide is an important input for many polyether polyols, and its price can be affected by crude oil, energy, and the availability of upstream petrochemical products. When the cost of producing propylene oxide rises, the effect can move through the supply chain and reach polyol buyers.

Energy expenses also influence manufacturing operations. Chemical production requires reliable energy supplies, while transportation depends on fuel availability and cost. Increases in either area can place additional pressure on the final selling price.

International logistics were another important factor during the quarter. Disruptions around the Strait of Hormuz created uncertainty for regional trade and contributed to higher shipping-related costs. Suppliers and importers had to consider the possibility of delays, route changes, and higher freight expenses when planning deliveries.

However, the price index also needs to reflect demand conditions. Higher costs do not always lead to continuous price increases. If buyers reduce their purchases or manufacturers build sufficient inventories, suppliers may struggle to maintain earlier quotations.

This became more visible in June 2026. Slower spot buying and improved inventory availability helped reduce immediate price pressure in several markets, including India.

For procurement teams, the index is most useful when considered alongside feedstock trends, import offers, freight costs, and downstream demand. Looking at these factors together can help explain why prices rise during one month and decline during another.

India Polyol Market: June 2026 Price Correction

After recording a quarterly increase of 30.18%, polyol import prices in India declined by 8.94% in June 2026 compared with May 2026, according to the supplied data.

This correction was linked mainly to changes in purchasing behaviour. Following the sharp increase in earlier months, some importers became less willing to commit to fresh spot purchases at elevated prices. They preferred to use material already available at ports and in their warehouses before arranging additional supplies.

This approach is common when market prices have increased rapidly. Buyers want to avoid purchasing large volumes just before a possible price decline. They may therefore place smaller orders, negotiate shorter delivery commitments, or wait for clearer signals from international suppliers.

Suppliers also had reasons to adjust their quotations. When buying interest slows, maintaining high offers can make it harder to secure new business. More competitive prices can help suppliers move inventory and encourage buyers to return to the market.

The June decline provided some relief to Indian polyurethane manufacturers. However, the reduction did not necessarily bring prices back to their Q1 levels. Businesses that had purchased material at higher prices still had to manage those costs within their existing production and sales commitments.

The correction also highlights the importance of purchasing discipline. Buying too much during a period of rising prices can increase inventory costs if the market later weakens. On the other hand, keeping insufficient stock can create supply risks if prices rise again or shipments are delayed.

A balanced procurement strategy can help businesses manage these competing concerns.

Global Polyol Price Trends: Singapore, Saudi Arabia and China

Developments in other markets also help explain the movement in Indian import prices. The supplied Q2 2026 data shows that polyol prices increased across Singapore, Saudi Arabia, and China, although the size of the increase varied by market and product grade.

Singapore Polyol Price Trend

Polyol export prices from Singapore, measured on an FOB Jurong basis for the specified grade, increased by 31.53% in Q2 2026 compared with Q1 2026.

Higher propylene oxide costs and increased manufacturing expenses supported this rise. Buyers in the polyurethane foam sector continued making inquiries during the quarter, helping maintain purchasing activity despite the higher prices.

In June, prices declined by 11.17% compared with May. Regional buyers reduced their spot purchases after the earlier increase, encouraging suppliers to adjust their quotations.

The Singapore market illustrates how strong cost pressure can lift prices during a quarter, while weaker immediate demand can contribute to a correction later.

Saudi Arabia Polyol Price Trend

Saudi Arabian polyol export prices on an FOB Jeddah basis increased by 38.41% quarter on quarter in Q2 2026.

Higher raw material values and restricted export logistics contributed to the increase. Producers faced elevated processing costs, while regional trade disruptions added uncertainty to the movement of goods.

In June, prices decreased by 11.46% compared with the previous month. Downstream manufacturers reduced immediate order volumes, and gradually stabilising inventories helped ease spot market pressure.

This movement shows that the effects of supply disruptions can be substantial, but prices may begin to correct when buyers reduce their purchasing activity.

China Polyol Price Trend

China recorded the largest quarterly increase among the four markets covered in the supplied data. Polymer polyol export prices on an FOB Qingdao basis increased by 46.36% in Q2 2026 compared with Q1 2026.

Higher upstream energy benchmarks and propylene oxide costs increased production expenses. Demand from automotive and insulation applications also supported purchasing activity during the earlier part of the quarter.

However, prices declined by 10.07% in June compared with May. Overseas buyers became more cautious about placing new orders as they assessed the direction of the market.

The Chinese market highlights how raw material inflation and downstream demand can support a strong quarterly increase, even when buying interest weakens toward the end of the period.

These regional price movements are useful indicators for Indian importers because overseas quotations, shipping costs, and supplier availability can influence the cost of replenishing domestic inventories.

Factors That May Influence Polyol Prices in India

Several factors are likely to remain important when assessing the Indian polyol market.

Crude oil and feedstock prices: Changes in crude oil and petrochemical feedstock costs can influence the production expenses of polyols. Propylene oxide prices are especially relevant for many polyether polyol grades.

International freight and insurance: Shipping costs affect the landed cost of imported material. Disruptions to major trade routes can increase freight expenses and create uncertainty around delivery schedules.

Import dependence and supplier availability: Indian buyers may be affected by changes in overseas production, export offers, and shipping schedules. A limited choice of readily available material can reduce their negotiating flexibility.

Demand from polyurethane industries: Furniture, mattresses, automotive components, construction insulation, appliances, and other polyurethane applications influence the need for polyols. Stronger production activity can support demand, while slower manufacturing can reduce new orders.

Inventory levels: Buyers with sufficient stocks may postpone purchases when prices are high. When inventories fall, the need to secure material can return, potentially supporting fresh demand.

Currency and landed costs: Exchange rate movements can influence the rupee cost of imported chemicals. Importers must also account for duties, port expenses, inland freight, and other charges when calculating their actual procurement costs.

Understanding these factors can help buyers distinguish between temporary price movements and changes that may have a more lasting effect on market conditions.

Polyol Price Forecast: What Buyers Should Watch After Q2 2026

The outlook for polyol prices in India will depend on how raw material costs, international shipping conditions, and downstream demand develop after Q2 2026. The available quarterly data establishes a clear pattern of rising prices followed by a June correction, but it does not by itself determine the direction of prices in subsequent months.

If crude oil and propylene oxide prices remain elevated, manufacturers may continue facing higher production costs. Any renewed shipping disruption could also increase import expenses and delay deliveries, creating additional pressure on Indian buyers.

In contrast, improved logistics, more stable feedstock prices, and sufficient inventories could help keep the market under control. If polyurethane manufacturers continue buying only according to immediate requirements, suppliers may face greater competition to secure orders.

Demand will also be important. Strong activity in furniture, automotive production, appliances, and construction-related insulation could support polyol consumption. A slowdown in these industries could reduce purchasing volumes and limit suppliers' ability to maintain higher prices.

For Indian importers, it is sensible to monitor monthly import quotations, international freight rates, supplier lead times, and the availability of material at domestic ports. Comparing new offers with existing inventory costs can also help businesses decide when to replenish stocks.

Rather than assuming that the June correction will continue indefinitely, buyers should prepare for both possibilities: further price easing if supply and demand become more balanced, or renewed increases if feedstock costs and logistics pressures intensify.

The Polyol Price Trend in India during Q2 2026 was shaped by higher feedstock costs, geopolitical tensions, shipping disruptions, and changes in purchasing behaviour. Polyol import prices at CIF Nhava Sheva increased by 30.18% quarter on quarter, reflecting the impact of rising overseas costs and more expensive transportation.

June brought a correction, with prices declining by 8.94% compared with May as importers used existing stocks and became more cautious about new purchases. Similar declines in Singapore, Saudi Arabia, and China showed that the market was responding not only to production costs but also to changing demand and inventory conditions.

For Indian businesses, monitoring the Polyol Price Chart and Polyol Price Index alongside raw material costs, freight expenses, and downstream demand can provide a more complete view of market developments. A careful approach to inventory management and purchasing decisions can help manufacturers respond to price volatility while maintaining reliable supplies.

Going forward, the direction of polyol prices will depend on the balance between production costs, supply availability, shipping conditions, and demand from polyurethane-consuming industries. Keeping track of these factors will remain important for businesses seeking to manage procurement expenses and plan their operations effectively.

👉👉👉Please submit your query to get Polyol Price Trend, forecast and market price analysis: https://www.price-watch.ai/book-a-demo/  

About Price Watch™

Price Watch™ is an independent raw material price reporting agency that provides real-time price forecasts and data-driven insights into global raw material markets. Price-Watch™ specializes in tracking raw material prices, analyzing market trends. and delivering timely updates on plant shutdowns, supply disruptions, capacity expansions, and demand-supply dynamics. The Price-Watch™ platform empowers manufacturers, traders, and procurement professionals to make faster, smarter decisions. Leveraging AI-powered forecasting and over a decade of historical data, Price-Watch™ transforms market volatility into actionable opportunity. 

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