February 2, 2005

Huge price increase in China-manufactured vitamin D3
 
An eFeedLink exclusive report  

The week started with prices of China's vitamin D3 moving up significantly after a period of relative stability. Two of China's major producers have issued price quotes of RMB86/kg, a marked increase of RMB30/kg. 

The reason cited for the price hike is the narrowing of the difference in prices between locally produced and imported vitamin D3.  Higher raw material cost has also driven vitamin D3 prices higher.

A major Chinese producer has temporarily halted production of vitamin D3 in preparation for plant maintenance, and production will resume after the Spring Festival. The sudden unexpected price hike has caused a flurry of price enquiries to descend on the market.

However, with one week left before the Spring Festival, actual buying has tapered. It remains to be seen whether the prices of China-produced vitamin D3 will sustain the new high levels in post-Spring Festival markets.