Manufacturers overhaul and raise prices! VA, VE, D3 markets rebound

The vitamin market slipped on the downward channel for three months, and finally bottomed out and rebounded. Recently, favorable factors such as manufacturers' price increases and overhauls have flooded in. Downstream companies have been active in replenishment, and transactions in the VA, VE, and D3 markets have risen. Affected by the new crown epidemic, foreign demand has been weak recently, inventory consumption of terminal feed enterprises has slowed down, while domestic demand has not fully recovered, traders have lost money and sold goods. In recent months, the market has entered a bear market to destock, and it has fallen continuously plus summer maintenance. The supply side is also adjusting and shrinking, the number of manufacturers that stop production for maintenance has increased, and the operating rate of factories has fallen.

With the consumption of downstream inventory and the arrival of the replenishment cycle, domestic demand has resumed growth, and the positive factors that manufacturers stop reporting price increases have gradually boosted the market. Recently, VA, VE, and D3 markets have been actively buying and selling, and transaction prices have risen. Weekly VA market price is 395-410 yuan/kg, VE market price is 63-67 yuan/kg, D3 market price is 170-200 yuan/kg.

Recent VA, VE, D3 maintenance price increase information:

VA: Prior to this, BASF notified the customer by email that the German factories VA and AD3 stopped receiving orders in the third quarter due to quality problems. The Xinhecheng VA production line has been overhauled since July and ended at the end of August. Zhejiang Pharmaceutical stopped production for maintenance from August 1 to September 15. Another European manufacturer's VA production line has been suspended for 6 weeks since early August. This week, the market reported that some domestic factories raised their quotations to customers to 470-480 yuan/kg.

VE: Zhejiang Pharmaceutical stopped production for maintenance from August 1 to September 15, and its VE products stopped reporting. The VE production line of a European manufacturer has been shut down for 4 weeks since early August. On August 10, Xinhecheng increased the quotation of VE products to 92 yuan/kg.

D3: The new domestic vitamin D3 oil standard will be implemented on July 1, 2020. VD3 produced from animal brainstem cholesterol as the starting material will not continue to be sold in China. Zhejiang Medicine will stop production for maintenance from August 1st to September 15th, and the latest price of Garden Biology is 500 yuan/kg.

The domestic pig stock has recovered

Under the dual benefits of financial, land preferential policies and high prices of live pigs, large domestic companies have continued to invest in their enclosures. They have established subsidiaries in many places to deploy aquaculture industries. The investment in live pig breeding projects under construction and newly built in various places is nearly 100 billion yuan. It is planned to add 45 million heads to the market within two years. Small and medium-sized farmers are not as capable of resisting risks as large companies, but they are also resuming production and expanding production within their ability. The domestic new crown epidemic is properly controlled, catering and other consumption are gradually restored, and the domestic pig breeding stock is increasing. The foreign epidemic situation is still severe. The number of confirmed cases in the world exceeds 20 million. Among them, the number of confirmed cases in the United States exceeds 5 million. Some countries are facing a severe test of how to deal with the second outbreak of the epidemic. Unemployment rates in many countries have increased sharply, and the breeding industry has been weakly affected.

However, overseas companies rely on replenishment requirements in the fourth quarter, and domestic consumer demand has gradually improved. Some VA, VE, and D3 manufacturers have suspended production until mid-September. Some manufacturers have increased their quotations, and traders' costs have increased. The VA, VE, and D3 markets have stabilized. Strong operation. At present, many vitamins such as B1, folic acid, calcium pantothenate, and K3 have fallen to a low level, and follow-up needs to pay attention to manufacturers' trends. On August 9th, Zhenhua shares announced that the company intends to purchase 100% of the shares of Minfeng Chemical held by the Chemical Medicine Group through the issuance of shares. After the transaction is completed, Minfeng Chemical will become a wholly-owned subsidiary of the listed company. The supply side tends to be concentrated, and the increase in K3 market variables has attracted more attention.