Vitamin C Prices Expected to Stabilize in China
- 09-Nov-2021 5:31 PM
- Journalist: Nina Jiang
The price trend of Vitamin C in China has been on a downward trajectory since September with the prices being $7065 per tonne in mid-September lowering to $6728 per tonne in the first week of October which further fell down to $6300 per tonne in the last week of October. The prices are expected to stabilize to pre September levels as the demand fundamentals are picking up and the supply scenario has been weak due to the dual control policy and recent power outages in China. The prices are expected to flatten due to the fading effects of the dual control policy and power outages.
Another reason for the downward trend is that several manufacturers stopped offering quotations at the spot market with the inventory levels remaining sufficient. Despite the positive market outlook, the producers did not raise offered quotations for Vitamin C spot market.
The upstream corn market has been affected due to the power rationing and dual control policy in China. The prices of the raw material are expected to rise thus giving a push to the prices of Vitamin C thereby stabilizing the downward trend.
Vitamin C is an important nutraceutical which is necessary for a balanced diet and have several pharmaceutical applications. Vitamin C is of several types namely Sodium Ascorbate, Calcium Ascorbate, Potassium Ascorbate, Magnesium Ascorbate, and others. The global demand for Vitamin C stood at around 130 kilotons in 2020 and is expected to rise at a healthy CAGR of around 6% due to growing usage of Vitamin C in pharmaceuticals, pet food industry, bakery products, cosmetics.
As per ChemAnalyst, “the prices of Vitamin C which have been on a downward trajectory since September are expected to stabilize with the prices getting the necessary upward push with the rise in the prices of feedstock corn in China. The prices are expected to reach to pre September levels and then stabilize in the upcoming month.”