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In January, there was a slight increase in the Chinese Cephalexin market due to steady operating rates at the key fermentation facilities, combined with slightly firmer foreign inquiries than previously reported. After a relatively stable month of December, Cephalexin prices continued their upward trend as buyers located in India, Brazil, and other major export markets resumed buying activity after having assessed their respective year end inventories of the same product.
The slight upward movement in Cephalexin prices can more readily be linked to continuing demand visibility than it could be to any cost pressures, especially considering practically unchanged prices of the principal feed ingredients such as *-ADCA and phenylglycine derivatives. Apart from relatively small cost support associated with seasonal pricing of coal and just the routine expenditures associated with meeting environmental compliance conditions, no real cost pressure was present in the marketplace to...
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