The price of castor derivatives such as hydrogenated castor oil (HCO) and 12-hydroxystearic acid (12 HSA) depends first on the castor seed crop and castor oil, then on the conversion cost, the grade and the delivery terms. Prices change with the crop, so each quote should be for your grade and period.
This article gives no figures for HCO price, 12 HSA price or castor oil derivatives price. It explains the drivers and how to secure a quote.
Seed and oil come first
Castor derivatives start as castor seed, which is crushed to give oil. India is the main source of castor seed and derivatives, and the oil is the raw material for HCO and 12 HSA. The size and quality of each season's crop therefore feed through to the derivative quote. Read how castor seed prices affect derivatives and why India supplies castor derivatives.
Weather, area sown, competing crops and export demand all shape the crop. Buyers cannot predict these, so plan for movement rather than a fixed figure.
Refining and conversion
Oil is refined, then hydrogenated to make HCO, which is a hard wax. 12 HSA is made from HCO or castor fatty acids by splitting and processing. Each step uses energy, hydrogen and catalysts, and the cost depends on the plant and its scale.
Quality limits affect cost too. Tighter limits on melting point, hydroxyl value, acid value and colour need more careful processing. See HCO melting point and hydroxyl value and 12 HSA acid value.
Other factors on a quote
- Form: flakes or powder, with powder needing extra milling. See HCO and 12 HSA forms.
- Certifications and documentation, such as the ones in castor derivative certifications.
- Packing, freight and insurance, and the Incoterm.
- Order size and delivery schedule.
- Demand from lubricant, grease, cosmetics and coatings makers.
How to secure a quote and plan ahead
Because the crop is seasonal, forward cover can help. Ask suppliers whether they will fix a price for a period, what volume they will commit, and what happens if the seed market moves sharply. Many buyers agree a formula linked to an agreed reference rather than a long fixed price. Take legal advice on the clause.
Send each supplier the same specification and pack, ask for validity in days and compare using how to compare chemical quotes on an equal basis. For the spec, see writing a specification for HCO or 12 HSA.
Quality points that change the quote
Two lots of HCO can both be called HCO and still differ. Melting point, hydroxyl value, iodine value, acid value, moisture and colour all change performance, and tighter limits cost more to meet.
Write the limits in the contract and ask for a certificate of analysis for each lot. Have the first lots tested by a laboratory you choose, because a difference in grade is often the reason for a difference in quote.
Next step
We find and audit castor derivative plants, check samples and documents, have lots tested, and supervise loading. A real quote comes from a sourcing review, so book a free sourcing review.