Market Analysis - Monthly Report - August, 2020 - Florfenicol

Overview of the Current Market Situation

In August 2020, the price of florfenicol was hovering at a low level. Some factories raised production and overhaul, and the supply was tight. The details are as follows:

① On the market side, in August, the price of florfenicol was hovering at a low level, and major terminals and departmental distributors signed goods at low prices to reserve inventory.

② On the supply side, in August, Zhejiang Kangmu Pharmaceutical stopped production for maintenance, and it is expected that production and shipment will resume in mid-September. There is a lack of Kangmu supply in the market. Hansyn has relatively sufficient supply and is the mainstream supplier in August. Delivery of Anhui Liberty is also scheduled for September.

Price Offer and Factory Operation

 Market Forecast

In summary, it is expected that in September 2020, florfenicol will still maintain a tight supply situation in the first half of the month. Due to the rapid appreciation of the RMB exchange rate, the price of US dollars will continue to rise, and the transaction price is expected to be 52USD/KG-52.5USD/KG . With the resumption of production of Kangmu Pharmaceutical in the second half of the month, market tensions are expected to ease.