Japanese Chemical Trader blog

Japan Chemical Trading Blog

Chile Earthquake and Iodine

On April 24, 2014, the Chemical Daily reported that the main iodine export port had been seriously damaged by the large-scale earthquake in Chile on April 1, and the iodine market price may increase.

Iodine is an element indispensable to mankind; it is used for X-ray contrast media, polarizing plates for liquid crystal displays, medicines, salt additives, etc.

As Chile is the world’s largest iodine producer, and Japan is the second largest, inquiries to Japanese manufacturers are said to have increased.

However, so far, there have been no reports that iodine manufacturing facilities in Chile suffered damage due to the earthquake, and it is not certain whether the earthquake is causing a full-fledged price increase; this will only be known when we learn more details on the situation.

Although the iodine price soared due to a tight supply-demand balance when Japanese manufacturers stopped production for about one month just after the Great East Japan Earthquake in 2011, the market is in a downtrend worldwide recently.