Recently, the price of vitamin D3 rose from RMB 250-300/kg at the beginning of June to 500-600 RMB/kg during the CPHI exhibition, which rose by more than 100% in a single week, even broke the highest point of history, Garden Bio-tech even raised the price of feed-grade vitamin D3 up to RMB1500/kg, and USD200 kg for export.
A few of vitamin products have risen prices significantly, mainly due to the continuous cost increase of raw materials. The problems, such as pollution and emissions in the production process of vitamin raw materials, are the environmental pressure widely spread among the production enterprises, resulting in the suspension of production and significant supply contraction, and strong support for vitamin prices. In addition, with the elimination of free-range farmers and increased industry concentration, the outbreak of the feed industry will drive fast growing demand of vitamins.
The research organization believes that thanks to factors such as environmental protection along with supply side reform, a proportion of the production capacity has been cleared, and a supply gap is formed,the current wave of price surge is expected to continue for more than half a year until the end of 2018.
Related Chinese vitamin D3 manufacturers:
NHU is one of the world's four largest vitamin producer and has a production capacity of 1,500 tons of vitamin D3.
Kingdomway is one of only six Vitamin A manufacturers in the world, and VD3 ranks fifth in terms of production and sales. Vitamin D3 production capacity is 1,500 tons.
Garden Bio-tech has a market share of NF-class cholesterol and VD3 of more than 50%, and they have strong industry discourse power.
We believe that Vitamin D3 may continue to raise prices in the second half of 18 years, mainly due to the continued tightening of environmental protection, which leads to tight supply, and at the same time, under the background of high environmental protection costs, the possibility of new entrants in the short term is low and the supply gap is formed. Will drive further price increases and it is expected that product prices will continue to surge in the second half of the year.
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