Crude oil and Insecticides

Crude oil is a raw material for insecticides; their prices have moved together.

Crude oil (energy) and Insecticides (chemical): 2 relationships.

How they are linked

1. Feedstock

Physical flow · Direct · Crude oil → Insecticides

Insecticides is made from crude oil: it is one of the raw materials its production routes start from.

2. Price link: distant feedstock

Cost and price · Weak · Both ways

Most insecticides are built from aromatic and other petrochemical intermediates, but many synthesis steps add value. Against the pesticides proxy, monthly moves correlate at -0.07 and yearly at 0.16, so there is little visible link.

• -0.07 monthly change correlation
• 0.16 12-month change correlation
• 0.05 fitted elasticity

Built from the site data on production routes, energy flows, industry value chains, input-output tables and prices.