German Inflation Accompanies Other Aspects, Heaping Pressure on Ofloxacin API Prices
- 09-Nov-2022 6:37 PM
- Journalist: Harold Finch
Hamburg, Germany: Ofloxacin API prices showcased an upsurged price trajectory in the European market after a monthly declining trend. Heighten energy prices, rising inflation, and affected market sentiments supported the price trends of Ofloxacin API in Germany. A limited supply from the exporting nations, primarily from China, significantly contributed to the surge in Ofloxacin API prices in November 2022.
Moreover, amidst Russia and Ukraine's conflict, Europe was already facing a problem with the natural gas supply. Cutbacks and strikes additionally affect the availability of downstream material from local market suppliers, keeping the prices of Ofloxacin API on the higher side. This month the cost of Ofloxacin API surged by 1.22 percent in Germany. Also, heightened demand witnessed within the region and weaker inventories with the suppliers helped them increase their downstream rates to gain profit margins and focus on improving their stock levels to meet the requirements.
Additionally, port closures further affected the European supply chain, which was already hindered by cargo gathering and labor unrest. Furthermore, China's economic slowdown, a primary exporter of Ofloxacin API to various regions due to the government's Zero Covid policy, resulted in supply disruption and weakened trading momentum with increased production costs.
According to the Chemanalyst, "The price of Ofloxacin API is expected to decline in a forthcoming month, i.e., in December 2022, backed by a decrease in its demand from end-user pharmaceutical sectors. There might be enough stockpiled with the market participants in Germany to cater to the overall necessities within the region. Weaken trading activity will likely support the price tendency of Ofloxacin API".