Threonine market cooling down while vitamin B3 remains firm

Lysine hcl and sulphate remain relatively stable and some activity seen for Q3 buying. Tryptophan is said to be a bit firmer, but nothing significant seen yet in terms of market activity. Methionine markets are feeling weakish. Valine relatively stable at the moment.

Vitamin B3 (niacin) and K3 MNB remain firmer as key raw materials needed for production are tight. The rest of the vitamin market shows no significant changes compared to previous weeks.

Lysine

Some weeks ago, when the price was a bit lower compared to today, some cover was taken for the remainder of Q2 and a good portion of Q3. Some buyers even contracted a bit for Q4. The market has become quieter now, although some bits and pieces of business are still seen for Q3 delivery. Prices FOB China have been a bit firmer compared to some weeks ago, but that is only some cents. Prices are still low in general.

Threonine

Prices FOB China remain firm as manufacturers continue to increase their price step by step and are sticking to it. Local prices have increased some 10% – 20% lately for Q2 and Q3 business and it is now coming to a level where buyers start to hesitate and are not sure the increase will continue. That hesitation has to do with new capacity coming online as well and the upcoming, mostly quiet, summer months. Q2 is contracted and roughly 50% of Q3 as well, and a lot of mixed signals on the willingness to book the remainder of Q3 yes or no.

DL-Methionine

Recently some suppliers announced price increases, but no impact seen in the market yet. The overall tone is weak and prices continue to decline step by step in all regions. Overall, the demand for methionine from the poultry and fish industry is not too bad, but the market is mostly weakish due to the ample production output available, leading to overcapacity. The market feels very quiet and is contracted to Q2 and an overlap into Q3.

Tryptophan

Some signs of a potential firmer market, as prices have become low in China and because there is a general desire from manufacturers to take the price up. Demand seems to be a bit better compared to late last year/early this year, but still behind on 2020/2021. Some inquiries were seen, but no significant business reported right now. Q2 and a portion of Q3 are contracted in most regions.

Valine

A slightly increased number of inquiries is seen, as one of the Chinese suppliers is going into a factory maintenance period. At the same time, one of the main suppliers is returning to the market and another main supplier will come with more capacity later this year. The bottom line, no significant transactions are seen and the market feels calm and stable right now. Q2 and a portion of Q3 are contracted.

Vitamin E 50%

The market is very quiet and mostly contracted for Q2. There is a wait-and-see attitude for longer-term business, as the demand in some regions is still behind and it is said that several traders sitting on some unsold stock. The de-stocking of the market is taking longer than expected. Right now the market is quiet and stable to slightly weakish.

Vitamin A 1000

The market continues to move between periods of stable prices and then a bit weaker again. Although significant decline has not been seen any more for some time now. 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. The market feels very quiet.

Vitamin D3 500

Although vitamin D3 manufacturers are trying to increase prices for some time now, it has only led to a more stable market, at still a relatively low price level. The import disruptions in Europe have led to firmer prices, but that increase seems to have come to a stop and prices have been stable recently. The supply/import worries are not fully over yet in the EU. Q2 and a portion of Q3 are contracted and the market feels quiet at the moment.

D-Calpan

Recently, weaker spot prices have been reported again in several regions. But the market is overall very quiet. These weaker prices are mostly initiated, up until now, by traders and not by manufacturers. The supply & demand balance still seems to be in favour of a weaker market. 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

Although less active and less firm compared to a few weeks ago, there is still a firm tone in the vitamin B3 market due to shortages in key raw materials to manufacture vitamin B3. Most end-users already had contracted Q2 and a big portion of Q3 (even Q4) some time ago when prices were lower, but it is yet to be seen in the coming weeks and months if these contracts can be executed in a timely manner. In theory, Q2 and Q3 are well contracted. The spot market is still relatively active in several regions though.