Global Threonine Prices to Observe a Rising Trend Following First Quarter of 2023
- 24-Jan-2023 6:38 PM
- Journalist: Jai Sen
The first quarter of 2023 is expected to see an increase in the price of Threonine globally, primarily due to growing production costs brought on by strengthening market circumstances, export market disruption, and rising upstream costs. To deal with the soaring inquiries from the domestic market for both grades of food and feed, the trade and domestic distributors worldwide, particularly in Germany and the United States, emphasize boosting their quotations.
China, a major Threonine exporter, noticed a mixed pattern for food and feed grade as prices climbed for feed grade and sharply declined for food grade during the final month of the fourth quarter of 2022. However, prices for both grades are anticipated to rise during January 2023. The arrival of the Chinese Lunar New Year (CNY) will cause Chinese offices and factories to close for about three working weeks, giving laborers and employees time to travel back home and spend the holiday with their respective families, which may have an impact on the current upward trend in Threonine prices. Overall, compared to the previous month in January, Threonine's cost might be around 2.89% for feed grade and 1.19 percent for food grade and probably will follow a similar pattern in forthcoming months.
While in Germany and the United States, Threonine prices may increase during the first half of the first quarter of 2023, on the same note as in China. Increased customer inquiries, higher input, operating costs, and rising upstream corn prices may have kept downstream Threonine market sentiments moving northward. The dealers and suppliers of the amino acid Threonine are expected to pay great attention to the many elements that might impact its market. Further, in the coming months, industry participants visualize continuous solid market fundamentals and a significant upswing in end-user demand.
According to the ChemAnalyt, "prices of Threonine are expected to remain on the upper side at a consistent rate in the following months. Buyers and traders are more likely to increase their stock levels with them to meet the surging demand significantly."