Amino Acids | Good News! HEBANG Succeeded in Liquid L-Methonine Project
Robert Liu
Business director,supplier, distributor for Vitamins, amino acids, and the other food additives and feed additives
---------------------Thur, December 24, 2020
Key Points from effamall.com
Previously, high costs and the attendant soaring overseas market, strong demand and tight supply, irregular shipping cycle, anticipated freight increases, as well as uncertainty brought by the COVID-19 epidemic jointly boosted prices of major amino acids stronger.
Recently more than one factors like pressure from power ration and environmental protection, together with the up surging prices of thermal coal, chemical ingredients, and ingredients of vitamin and amino acids (liquid ammonia, hydrochloric acid, sulphuric acid, ammonium sulfate, propylene, sulphur, and methanol, etc.) are pushing up costs of amino acid and partially weigh on some supplies. Accordingly, market is very likely to go bullish on different levels.
Prices of L-Lysine and L-Threonine remain robust. Rigid-demand transactions report fairly well. Meanwhile, prices of L-Methionine are rising steadily. End-users become more motivated to buy. Quotes on December 21, 2020 are listed below:
Quotes on December 23, 2020 listed below:
According to our online market survey last week, 54% of the participants believe that prices for L-Threonine will keep running, 8% vote for the opposite and another 38% think prices should remain stable for some time.
Focuses
L-Lysine
Main Prices for L-Lysine Sulphate 70% in China’s Domestic Market: RMB 5.2-5.6/kg (equiv. EUR 0.58-0.62/kg; USD 0.7-0.76/kg*);
Prices for L-Lysine HCl 98% in China’s Domestic Market: RMB 9.5-9.7/kg (equiv. EUR 1.06-1.08/kg; USD 1.29-1.31/kg*).
Quotes by major manufacturers have mostly stabilized at an elevated level and even go much stronger. Three factors are weighing on this: high prices and tight supply in the ingredient market plus limited spot inventories held by market participants.
L-Methionine
Spot Prices in the European Market: EUR 2.05-2.3/kg;
Main Prices in China’s Domestic Market: RMB 17.5-18/kg (equiv. EUR 1.94-2/kg; USD 2.37-2.44/kg*).
In the European market supply couldn’t meet the multiplying demand; facts like delivery deferrals add fuel to the flames. Manufacturers have to suspend or raise their quotes. Overall, the current stabilized market is in an uptrend.
Currently offer by Evonik Industries AG (Evonik) is RMB 18.5/kg (equiv. EUR 2.06/kg; USD 2.5/kg*); CJ CheilJedang Corp (CJ) stopped quotes temporarily.
Demand reported by the Chinese domestic market relative normal, the present stable transaction prices are becoming robust and trading activities slightly picking up steam.
According to Sichuan Hebang Biotechnology Co.,Ltd. (HEBANG) , its L-Methionine project has moved into a production trial and got accredited products on December 12, 2020. Need to track supply and demand in the remainder of 2020.
L-Threonine
Prices in the European Spot Market: EUR 1.3-1.45/kg;
Main Prices in China’s Domestic Market: RMB 9.5-9.9/kg (equiv. EUR 1.06-1.1/kg; USD 1.29-1.34/kg*), some transaction prices slightly lower.
Current high prices in China’s domestic market are tending stronger due to the elevated ingredient costs, anticipated freight increases and tight supply in the overseas market. It’s expected that prices should stabilize at some high level later, but not exclude the bullish possibility.
L-Tryptophan
Prices in the European Market: EUR 7.5-7.75/kg;
Prices in China’s Domestic Market: RMB 60-63/kg (equiv. EUR 6.67-7/kg; USD 8.12-8.53/kg*). Market prices keep up.
End-users reported fairly good demand, meanwhile, both import and export freight were pushed higher due to limited transportation resources, helping transaction numbers continue to be handsome. It’s estimated that prices in the global market should continue to be robust.
L-Valine
Spot Prices in the European Market: EUR 3.8-4.3/kg;
Recently market prices in China’s Domestic Market have been mostly stabilized and transactions average.
Mainstream Prices: RMB 24-26/kg (equiv. EUR 2.67-2.89/kg; USD 3.25-3.52/kg*). More details are listed below:
*Remarks:
Conversion Method from RMB against EUR: RMB price/exchange rate of the day/ (100%+13%), therein, 13% is VAT rebates for product export;
Conversion Method from RMB against USD: RMB price/exchange rate of the day/ (100%+13%), therein, 13% is VAT rebates for product export.
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