Amino acids and Vitamins markets

For the veterinary API industry, the long-awaited golden weeks, "golden nine and silver ten," have been under the way, but the market opened with a less than optimistic answer sheet. The veterinary API market remains weak this month, and the trading is generally light. Whether the upstream manufacturers or the middle and lower reaches of the traders and terminals, they obviously showed insufficient confidence in the veterinary API market trends. The market has begun to diverge; Tylosin and Tilmicosin market prices are turning steadily strong, while the transaction price range of Florfenicol and Doxycycline and other categories continue sliding down. In the short period, the veterinary API market will operate roughly in a weak position, and the shock at the bottom will continue.

The average market price in September was 255 yuan/kg, hitting a new record low, and fell 44% compared with January this year, almost halving the same period last year. The mainstream manufacturers have sufficient supply; the ex-factory price is constantly reduced. The continuous loss-making game is not just for the limited demand that was initially not strong. It is desperate to maintain its own market share, waiting for the next opportunity after a new wave of technology and capacity adjustments.

Reference quotation 260-270 yuan/kg, the market appeared to be cooling down, and the transaction price has been adjusted, but with a tiny decline. From January to July, Amoxicillin prices remained firm, benefiting from the growing demand for exports. Mainstream factory quotations stay at a high place, the inventory at the trade channel becomes low, and the trade unwillingness to sell has increased.

Doxycycline runs weakly; the average market price is 410 yuan/kg. With the recovery of some maintenance and the release of new production capacity, the supply is expected to increase significantly compared with the previous period. However, the overall market has weak expectations.

In the environment of the overall weak market of the veterinary API, tylosin repeated activity is one of the few highlights in recent times, with a bottom rebound of 2.47%; while its downstream products, Tilmicosin, also rose continuously, rebound by 8.12% from the bottom. This counter-trend rebound is mainly due to the improvement in downstream demand brought about by the rebound in pig prices and the enormous impact of emotional stimulation brought about by increased market inquiries.

We will wait and see whether tylosin can continue to rebound under the background of continuous expansion of production capacity, the overall weakness of veterinary APIs and the lack of market confidence. Of course, if the demand in the later stage can be released dramatically, the possibility of a sharp increase in product prices is not excluded.

In September, the domestic vitamin market is stable and weak; most categories are light, and the terminal is mainly manifested as demand to buy. Although there is news released that mainstream factories are to raise the price, the market has not yet shown a positive response, the industry players’ expectation for the market has turned lower, and the inquiry and purchase are more lukewarm than in the previous period; Traders’ willingness to build the inventory is still low. The mindset of the shipment is facilitating the transaction and delivery through bargaining.

The current reference quotation is 78-82 yuan/kg, and the market price is in the historically low range, remaining stable and weak. Domestic manufacturer's quotation is on the higher side; the trade channel transaction is relatively flat, the price margin is weakened slightly, and some stock prices are even lower.

According to a press release, DSM plans to reduce working capital/inventory to extend its shutdown of the Vitamins A and E plant in Siselen, Switzerland, in the third quarter of 2023.

Reference price: 67-70 yuan/kg. The manufacturer's overhaul time is longer than before. Most enterprises will finish the overhaul at the end of September, and some have already resumed production. The market purchasing atmosphere is active, and the local transaction is optimistic. It is estimated that the price will remain stable before the full resumption of production.

DSM raised the price on September 14. On August 01, DSM stopped quoting and signing orders.

The current mainstream quotation is 74-80 yuan/kg. The mainstream factory offers a fallback to facilitate the transaction, but the market transaction is not good or bad, with the individual order on bargaining. With the new capacity entering the market, the recent ex-factory quotation fell back, and the market then weak finishing.

Vitamin K3 market quotation 66-75 yuan/kg. Manufacturers willingness declined for the low-priced delivery. But the recent market turnover is general, prices fell slightly.

1.Folic acid factories resumed production one after another, supply resumed, but prices are hovering at the bottom;

2.Vitamin B1 factory stopped quoting; transaction prices slightly went upward;

3.Vitamin B2 transaction prices fell, and the bargaining range is widening.

Soybean meal prices have soared since August. As the primary raw material and source of protein, soybean has a specific substitution relationship with amino acids and corn by-products. Therefore, the soaring prices of soybean meal do good for amino acids demand. With an increase in downstream market demand, amino acid prices are driven rebounding.

ZYMIS 500 is an enzyme widely distributed in animals, plants and microorganisms, with an exceptionally high content in egg white. ZYMIS 500 can effectively hydrolyse peptidoglycan of bacterial cell walls, making the cell wall loose and the cell lysed, and then the bacterium dies. ZYMIS 500 has the functions of antibacterial and anti-inflammatory, antiviral, immunity enhancement, and bifidobacterium proliferation, etc. It has a broad application prospect in the animal breeding industry, especially in the application of antibiotic replacement. ZYMIS 500 will be preferred as an antibiotic growth promoter (AGP) replacement.

Potassium Diformate is a specifically conjugated acid double-salt approved in 2001 in the EU as a non-antibiotic growth promoter (Commission Reg. No.1334/ 2001). Experiments and field applications have proven that the product is safe, highly efficient, non-toxic and residual-free for use in farming animals such as pigs, poultry, fish and shrimp.