November 7, 2017
        
China Lysine Weekly: Weak trend prevails (week ended Nov 7. 2017)
 
An eFeedLink Exclusive
 

Price summary
 
Prices stayed soft.
 
Price quotes of 98.5-percent lysine stayed in the range of RMB8.70-9.50/kg. Average price slid RMB0.02/kg to RMB9.05/kg.
                                                   
Price quotes of 70-percent lysine dropped to RMB4.70-5/kg.
 
For imported 98.5-percent lysine, transacted prices fell to the range of RMB10.70-11.60/kg.
 

Weekly transacted prices of imported lysine in China (RMB/kg)

Provinces

City/Municipality

Price as of Nov 7
(RMB/kg)

Price as of Oct 30
(RMB/kg)

Price change
(RMB/kg)

Guangdong

Guangzhou

9.50

9.50

0.00

Sichuan

Chengdu

9.50

9.50

0.00

Shandong

Jinan

8.80

8.80

0.00

Henan

Zhengzhou 

8.70

8.70

0.00

Liaoning

Shenyang

8.80

8.90

-0.10

-

Beijing

8.80

9.00

-0.20

-

Average

9.02

9.07

-0.05

Weekly prices of imported lysine in China (RMB/kg)

Provinces

City/Municipality

Price as of Nov 7
(RMB/kg)

Price as of Oct 30
(RMB/kg)

Price change
(RMB/kg)

Guangdong

Guangzhou

11.60

11.60

0.00

Sichuan

Chengdu

11.40

11.40

0.00

Shandong

Jinan

11.00

11.00

0.00

Henan

Zhengzhou 

11.10

11.10

0.00

Liaoning

Shenyang

10.70

10.80

-0.10

-

Beijing

10.95

11.15

-0.20

-

Average

11.13

11.18

-0.05

Prices are for reference only.
RMB1=US$0.1508 (Nov 7)   

 
 
Market analysis
 
Trade was light in the lysine market as hog feed producers were not motivated to expand production nor to stockpile raw ingredients. With corn prices falling, lysine producers held prices low in attempts to stimulate buying.
 
In Europe, price quotes for Q4 deliveries stayed stable in the range of EUR1.32-1.40/kg.
 
 
Market forecast  
            
Lysine prices are likely to consolidate lower in the coming weeks. On the one hand, low soymeal costs and weak hog prices will decimate demand for lysine, while on the other hand, strong competition will pressure seller to negotiate pries to close deals.
 
 
 


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