This chemical is primarily utilized in the synthesis of various organic compounds, particularly in the development of pharmaceuticals. It serves as a key intermediate in the production of drugs that target central nervous system disorders, including antidepressants and antipsychotics. Additionally, it is employed in the creation of dyes and pigments due to its ability to form stable, colored complexes. In research, it is often used to study the properties of benzofuran derivatives, which are known for their diverse biological activities. Its role in organic synthesis also extends to the development of agrochemicals, contributing to the formulation of pesticides and herbicides.