Methionine market active for Q3 buying, vitamin market remains calm

Tryptophan is a bit firmer in China, but no significant reaction seen from the market. Other regions remain calm and stable. Threonine has cooled down and the price has become stable at a higher level. Lysine and Valine are relatively stable and calm at the moment.

Vitamin B3 (niacin) and K3 MNB remain firmer, as key raw materials needed for production are tight. Most of that increase seems to be priced however, long positions have been taken. Both vitamin E and A are stable to weakish, with especially E offered at a discount by traders with unsold stock. The rest of the vitamin market still shows no significant changes compared to previous weeks.

In partnership with Feed Additive Prices

Lysine

Some weeks ago, some cover was taken for the remainder of Q2 and a good portion of Q3. Some buyers even contracted a bit for Q4. After that, prices in some regions (EU and China) firmed a bit, but they stayed stable mostly in the US. The market has become quieter now, although some bits and pieces of business are still seen for Q3 delivery. Prices are still low in general.

Threonine

Prices FOB China have been firming in the last couple of weeks and now seem to stabilise again. All manufacturers are offering and holding on to these relatively higher FOB China prices for June and July shipments. Local prices in the regions like Europe have increased some 10% – 20% lately for Q2 and Q3 business. In the US that increase is not seen compared to previous weeks. A strong wait-and-see attitude now among buyers, who want to see if this increase will stick. Q2 is contracted fully and roughly 50% of Q3 is contracted as well, on average.

DL-Methionine

Within a few days, since last week, the market has become active and prices have firmed. The general trend for methionine has been weak for a long time and prices drifted to a low price. Not historically low, but still it is low. That has led to more and more resistance from the manufacturers to lower prices further and now things have stabilised and even turned around, as suppliers increase prices altogether and/or even stop offering. This triggered Q3 buying in several regions and the market is active at the moment. Q2 was already contracted and now Q3 in several regions is being contracted as well.

Tryptophan

A bit firmer market is seen in China, as prices have been too low for a long time now and it is said to be an unsustainable business. If higher prices are supported on the demand side, is still to be seen. Other regions remain stable so far and no changes seen in the market conditions. Demand seems to be a bit better compared to late last year/early this year, but still behind on 2020/2021. Q2 and a portion of Q3 are contracted in most regions.

Valine

At this moment the market is relatively calm. Some transactions are seen for spot, but nothing unusual. The maintenance period that was announced by one of the main Chinese suppliers did not have any impact so far on the market prices. One of the main suppliers is returning to the market and another main supplier will come with more capacity later this year. Q2 and a portion of Q3 are contracted.

Vitamin E 50%

Recently, one of the main Chinese vitamin E manufacturers has announced to go into plant maintenance as of next month, for 6 weeks. So far, no reaction from the market seen on that. The market is very quiet and mostly contracted for Q2 and a portion of Q3. There is still a wait-and-see attitude for longer-term business, as the demand in some regions is still behind and so far there doesn’t seem to be any availability issues. Right now the market is quiet and stable to slightly weakish.

Vitamin A 1000

No significant changes are seen compared to previous weeks. The market continues to move between periods of stable prices and then a bit weaker again. Although no significant decline is seen anymore. Until now, all manufacturers seem to be producing and committed to the market, although with a lot of price resistance at the current level. Q2 is contracted and a portion of Q3 as well, as buyers find risk acceptable at the current price levels.

Vitamin D3 500

During the recent more volatile market in March and April, some decent volumes were contracted ahead in several main regions. This led to price stabilisation and even firmer prices in some regions like Europe. Right now the market seems very calm and prices are stable mostly, although still at a low level. The supply/import worries are not entirely over yet in the EU. Q2 and a portion of Q3 are contracted.

D-Calpan

The d-calpan market feels very quiet and slow and the price in most regions has been a bit weaker lately. Manufacturers are not happy with the current low market prices, but they also do not want to lose their market share. But it is still mostly traders offering lower prices in order to move their stock out. There is a decent contract cover for Q2 and early Q3, but some buyers also continue to buy hand-to-mouth as they expect lower prices.

Vitamin B3

Vitamin B3 still has a firmer tone to it in general. But by now a big portion of the raw material supply chain issues have been priced in it seems and longer-term contracts have been concluded. So the market feels quieter now compared to several weeks ago but with that firmer tone to it in most regions. Most end-users already have contracted Q2 and a big portion of Q3 (even Q4). There is still a focus on availability and timely contract execution as raw material availability is said to be tight.