Pigments Market Update
Pigments Market Update
Although still not back to pre-recession levels, the pigments market has continued to
recover. Pigment companies are reporting a decrease in supply issues and an increase in
demand for certain market segments, such as automotive coatings.
by Kerry Pianoforte, Associate Editor
Generally speaking, the pigments market has shown some signs of improvement in 2011, although it still has not reached pre-recession levels. Pigment manufacturers are
reporting increased demand and a positive outlook for 2012.
“In general the word of 2011 was ‘volatile’,” said Badal Shah,
president, Aakash Chemical and Dye Stuffs, Inc. “The global pig-
ments market performed well. We saw a 30 percent increase in
organic pigment sales, however there were also price increases
that contributed to this. We saw demand to be very strong, and
an overall positive outlook, contrary to what publications and
economic forecasts were telling us. With that said, we did see the
trend of just in time requirements where customers were hesi-
tant in keeping traditional inventory levels.”
In terms of production, Shah said Aakash produced more or-
ganic pigment in 2011 by volume compared to any previous year,
and this was directly due to global diversification and demand
grown in LATAM and Asia.
“Overall, market demand for pigments tracked economic activity within the NAFTA region,” said Ron Lee, business direc-
tor, pigments and colorants, BASF North America. “Although
the economy continues to present challenges and uncertainties,
we have seen consistent overall demand for pigments in 2011.”
“Due to continued, although slow, growth in the global econ-
omy, we have seen an upswing of the pigments market in 2011,
but still not to pre-recession levels,” said Mehran Yazdani, vice
president, marketing, performance pigments, Sun Chemical.
“That being said, we still face economic uncertainty due to the
European financial crises and the slow U.S. economic recovery.
As a leading global pigment manufacturer, we are optimistic that
Sun Chemical Performance Pigments will overcome these global
economic challenges and see continued growth for the pigments
market in 2012.”
According to Frank Lavieri, executive vice president and gen-
eral manager, Lansco Color, 2011 was divided into two distinct
periods in terms of the pigment market performance. “The first
third of the year was similar to 2010 in that sales were increased
by customers filling their supply chains,” he said. “This was
largely completed by May and the remainder of the year saw
more normal demand.”
While the U.S. has shown signs of recovery from the recession,
demand in Europe has slowed down due to their economic woes.
