Fluconazole API Prices Surge as Demand Goes North in Europe
- 02-Nov-2022 2:41 PM
- Journalist: Rene Swann
Hamburg: The ongoing increase in Fluconazole API costs is a combination of factors, including rising Natural Gas prices, strong demand from end-user pharmaceutical sectors, and low stock levels among local providers in the European region. Low stock levels and lack of availability contributed to Fluconazole API's appreciating trajectory. The analyst reported that the price of Fluconazole increased by 2.50% in the European region.
The energy crisis and rising energy prices influenced large-scale operational activities, leading to low production levels and negative inventories among European stockholders. The rail services across the continent were impacted by port congestion, particularly in Hamburg, as well as cargo bunching strike activity and cancellations. These concerns hit the already overburdened trucking sector, where the issues of driver shortage and fuel price worsened. The market emotions were further impacted by the strike that lasted until mid-October in the UK's Liverpool port to counteract steam price inflation. Furthermore, as their Fluconazole API inventories began to fall drastically toward the end of October 2022, the local suppliers concentrated on raising their stock levels by restocking their inventories. They also believed that the offtakes might continue to be more prominent in the coming months.
The Fluconazole API market exhibited similar trends as the Asian market because of the pharmaceutical industry's dependence on the APAC region. China is the source of almost 80% of Europe's API imports. The ongoing production halt brought about market effects in both the APAC and Europe regions because of the golden week. Due to a low stockpile and insufficient supply to meet downstream demand, Fluconazole API costs have escalated. Germany has also been severely impacted by traffic jams and the intensity of marine freight.
As per ChemAnalyst, the expert predicts the cost of Fluconazole API to increase significantly in the forthcoming months. Trading momentum may still be impacted, and local suppliers are anticipated to raise their prices in response to the clients' soaring demand.