September 12, 2017
China Methionine Weekly: Raw ingredient supply fall hampers output, strengthens market (week ended Sep 12, 2017)
An eFeedLink Exclusive
Price summary
Prices moved higher.
Price quotes of imported dl-methionine climbed to the range of RMB23.80-24.50/kg, up by RMB0.50-1/kg.
For liquid methionine*, price quotes were stable in the range of RMB18-18.50/kg.
|
Weekly prices of dl-methionine in China | |||
|
Area |
Aug 30 – Sep 5 |
Sep 6 – Sep 12 |
Price change |
|
Guangzhou |
23.50 |
24.50 |
1.00 |
|
Chengdu |
23.50 |
24.50 |
1.00 |
|
Jinan |
23.00 |
23.80 |
0.80 |
|
Nanjing |
23.50 |
24.50 |
1.00 |
|
Shijiazhuang |
23.50 |
24.00 |
0.50 |
|
Zhengzhou |
23.00 |
24.50 |
1.50 |
|
Shenyang |
23.50 |
24.00 |
0.50 |
|
Beijing |
23.50 |
24.00 |
0.50 |
|
| |||
|
Weekly transacted prices of liquid methionine* in China | |||
|
Area |
Aug 30 – Sep 5 |
Sep 6 – Sep 12 |
Price change |
|
North |
18.50 |
18.50 |
0.00 |
|
Central |
18.00 |
18.00 |
0.00 |
|
South |
18.00 |
18.00 |
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
Supplies of methyl mercaptan tightened due to Arkema's plant explosion in the US. With raw ingredients lacking, the availability of methionine decreased considerably, prompting both local and overseas producers to lift prices further.
In Europe, prices of Chinese methionine strengthened to the range of EUR2.60-2.75/kg.
Market forecast
Demand for poultry feed is expected to be strong as China prepares for the celebration of Mid-Autumn Festival and October's long holidays. Moreover, most feed millers who limited stockpiles earlier will be keen to rebuild inventories amid soaring prices.
With sales picking up and supplies limited due to lack of raw ingredients, methionine prices are poised to stay firm in the coming period.
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