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The economics of caustic soda and chlorine under the Antitrust Authority eye




I have been requested to write an opinion on whether a manufacturer of chlorine hypochlorite is tampering free competition by having two different prices for two different types of clients: a big buyer (about 2000 tons per month) and small clients (about 15 tons per month). The manufacturer argues that chlorine and caustic soda [affil links] are produced concurrently so excess production of one or the other needs to be sold even at nil price once the other product has already been sold; one of the ways to sell the excess product is by transforming it into sodium hypochlorite. However, I understand you need both, caustic soda AND chlorine gas to make sodium hypo. What are the proportions of chlorine gas and caustic soda produced by electrolytic process (any difference with membrane tech) and what are the proportions of these two required for hypo?

Hernan J. Garrido-Lecca
Economist - Professor of Economics - Lima, Peru
2003


Check this page, http://aida.ineris.fr/bref/brefca/bref_gb2.htm it has everything about caustic and chlorine manufacture.

Edouard Gerard
- Singapore
2004




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