February 21, 2017
China Methionine Weekly: Bird flu outbreak curtails poultry feed sales, weakens methionine market (week ended Feb 20, 2017)
An eFeedLink Exclusive
Price summary
Prices moved lower.
Price quotes of imported dl-methionine slid to the range of RMB23-24/kg, lower by RMB0.50-1.50/kg.
For liquid methionine*, price quotes were mainly around RMB21/kg.
|
Weekly prices of dl-methionine in China | |||
|
Area |
Jan 28 - Feb 13 |
Feb 14 - Feb 20 |
Price change |
|
Guangzhou |
25.00 |
24.00 |
-1.00 |
|
Chengdu |
25.00 |
24.00 |
-1.00 |
|
Jinan |
23.50 |
23.00 |
-0.50 |
|
Nanjing |
24.50 |
23.50 |
-1.00 |
|
Shijiazhuang |
24.50 |
23.00 |
-1.50 |
|
Zhengzhou |
23.50 |
23.00 |
-0.50 |
|
Shenyang |
24.70 |
23.50 |
-1.20 |
|
Beijing |
24.50 |
23.00 |
-1.50 |
|
Weekly transacted prices of liquid methionine* in China | |||
|
Area |
Jan 28 - Feb 13 |
Feb 14 - Feb 20 |
Price change |
|
North |
21.00 |
21.00 |
0.00 |
|
Central |
21.00 |
21.00 |
0.00 |
|
South |
21.00 |
21.00 |
0.00 |
|
Prices refer to delivered-to-feedmill prices, and are for reference only. | |||
*Commonly referred to in China as liquid methionine is methionine hydroxyl analogue, a liquid source of supplemental methionine.
Market analysis
Methionine market remained under pressure as poultry feed producers cut purchases while the bird flu epidemic continued to trouble the poultry sector. Sellers negotiated readily in a bid to clear piling inventories.
In Europe, prices of methionine for 2017 Q2 deliveries were in the range of EUR2.45-2.50/kg.
Market forecast
This year's bird flu outbreak in China is much more severe than previous years, with 192 human infection and 79 death cases in January alone. This will slow down the recovery of post-Chinese New Year feed demand, decimating the sales of methionine as a result. Methionine prices are therefore expected to weaken further in the coming weeks.
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