Vitamin market in Europe still weak
This is the first of our weekly updates on the feed additives markets – specifically vitamins, in partnership with Feed Additive Prices. Some buyers have recently taken long positions on several vitamins, such as the B-vitamins, as the price is very low and risk is very manageable.
Highlights
Vitamin E has become stable in most regions, although in Europe it still feels weakish. Vitamin A did not decline any further over the last week in all regions, although the market is still very calm. Vitamin D3 suppliers are still not really interested in putting forward an offer or have stopped offering completely. Some buyers have taken Q2 and partly Q3 cover now. Some stocking is still seen in Europe as the supply is uncertain due to import restrictions/procedures. Calpan remains weakish, just like K3 and some of the B-vitamins.
Vitamin E 50%
Mostly in Europe, a step-by-step price decline is still seen, although it has been stable for the past week. In other regions, the stabilisation had already started a while before. There is already some cover on Q2, but buyers remain cautious. Although the sentiment is changing a bit now and it seems that buyers are starting to assess risk even more and have a bit more of an open mind when it comes to contracting ahead into late Q2 at current price levels. But it has not led to significant buying activity yet.
Vitamin A 1000
The price decline has become really slow now and in some regions, there is even some stabilisation seen. Regional differences were seen in terms of market activity. Some buyers actually contract forward or consider doing so, as the price is really low and they want to secure availability. While others continue to buy hand to mouth. A large portion of Q2 is contracted.
Vitamin D3 500
The market has become a bit more active in several regions and prices firmed here and there recently, although nothing significant. Several Chinese suppliers have been less willing to offer recently. Prices are low and it has become tempting to take forward contracts and secure availability into the summer. The situation in Europe with import disruptions at the borders is still not fully clear in terms of availability in Q2 and onwards and has led to increased stocking at several distributors and end-users. Some importers still have material stuck at the ports, which is there for months now already. Q2 is partially contracted and buyers are considering contracting more now.
D-Calpan
Prices in China seem to have stopped declining, but in other regions not yet. Although the speed of decline has become less. Buyers are still careful to book significant volume forward as there is still a concern about further potential price decline. A portion of Q2 has been contracted, but conservatively.
Vitamin B3
The market is well contracted by now, and it has become relatively quiet in terms of buying, the overall sentiment has stayed a bit bullish. Recently prices started to firm in China and the question was whether it would stick and lead to a similar pattern in other regions. Some regions indeed also showed some price increase and for sure in China it is sticking until now. Overall, at least the price decline seems to have stopped. The price is still at a very low level though. Overall Q2 and a portion of Q3 are contracted.
