For the Quarter Ending March 2023
North America
The first quarter of 2023 saw fluctuation in the North American market for Biotin Price declines in the first month of the quarter because of ease in port congestion in the US, severely restricting trade activity from importing nations. Due to a variety of factors, such as the US's skyrocketing inflation, the geopolitical crisis in Russia and Ukraine, and the wildly fluctuating nature of oil prices, domestic traders and producers continued to be concerned about the high cost of chemicals used in the food and beverage industry throughout the quarter, including Biotin. Prices decreased in the last month of the quarter as a result of the steady offtakes and the availability of sufficient inventories in the downstream sectors of the US region. Towards the end of the quarter, the prices for Biotin were assessed at around USD 272980/MT for CFR New York in March.
Asia Pacific
Biotin prices in the Asia Pacific region declined in the first quarter of 2023 for a variety of reasons. The first half of the quarter saw a decline in Biotin prices in the Chinese market before levels off in the second. China supplies the majority of the world's Biotin; therefore, tolerance standards and limits were lowered and deleted, considerably facilitating production and logistics opened. Because of this, shipping the product to important international ports and across the country was eased. Offtakes from the downstream food and beverage sectors were consistent throughout the quarter, despite the fact that suppliers and consumers in the Chinese and Indian markets both retained sizable stocks. Toward the end of the quarter, the prices were assessed around USD 220000/MT for FOB Shanghai in March.
Europe
The Biotin market in Europe fluctuated during the first quarter of 2023. Due to a change in market behavior, Biotin prices in Germany increased rapidly through the end of January. The most expensive import into Germany came from China, where the value of the yuan increased by approximately 2.13% in just January alone. This is what caused the price increase. As German retailers received high import prices from Asia in February, biotin prices in Germany continued to rise. Furthermore, orders from end-user industries surged, keeping demand strong and causing continual stock consumption. German retailers acquired low import prices from Asia in March, continuing the downward trend in biotin prices. In addition, despite declining orders from end-user Towards the end of the quarter, the prices for Biotin were assessed at around USD 245980/MT for CFR Hamburg in March.
For the Quarter Ending December 2022
North America
The North American market for Biotin commenced the Q4 of 2022 on a declining note, with FOB Illinois prices settled at USD 375450/MT in October due to sluggish demand from the downstream pharmaceutical sector in the United States. Production rates remained optimum despite low consumption rates in the domestic market. However, these prices continued to drop in November and fell even further to USD 313060/MT in December in the US domestic market. The US supply chain gradually became better in H2 of 2022 as the country finally started to recover, and the port on the east coast significantly reduced ship backlogs. The US supply chains were adaptable because of reduced shipping demand brought on by slower consumer spending and a fall in manufacturing activity in December. In America, despite challenges from dwindling government assistance, reductions in net worth, rising interest rates, and depreciation of actual earnings and wealth through price rises, all of which have influenced the country's overall market condition.
Asia- Pacific
During the fourth quarter of 2022, the Biotin market exhibited sluggish market sentiments across the Asia Pacific region, with prices declining from USD 265450/MT in October to USD 230650/MT in December. The Golden week closure of industrial facilities in China from October 1 and 7 resulted in a slow rate of contraction in the manufacturing sector this month. The market for Biotin was weak after returning from the Golden Week Holiday. After that, the ongoing lockdown measures in some parts of China due to rising COVID-19 cases led to production, operations, and logistics uncertainties. Both poor purchasing activities amid bleak demand for Biotin from downstream pharmaceutical industries resulted in a downward trend as buyers were in a solid wait-and-see attitude. In terms of supply, the manufacturers of Biotin in the Chinese domestic market had enough inventories as they received minimal orders from domestic and international buyers.
Europe
In the German market, the prices of Biotin scaled down from USD 268461/MT to USD 241210/MT from October to December. The decline in the German market during the fourth quarter of 2022 was due to sufficient inventory among domestic merchants. Also, the demand from downstream pharmaceutical and healthcare industries decreased significantly throughout the quarter as buyers were cautious before making any purchases. As a result, the traders reduced the prices to increase the purchase of their goods. However, Covid 19 issues, the situation in Russia, and the state of war in Ukraine all continued to have a detrimental effect on output.
Prices for Biotin in the US domestic market fell sharply during the third quarter of 2022, from USD 395250/MT to USD 368750/MT from July to September. The US Biotin market saw a decline in demand from downstream pharmaceutical and nutraceuticals industries following the slow offtakes in downstream sectors. In the US market, the growing recession fear has increased the interest rate resulting in weakened consumer spending. Additionally, the market sources informed that the accelerated supply of Biotin has been enough to fulfill the orders. These factors had a substantial influence on the downward pricing trend of Biotin, which decreased by more than 17% on a quarterly basis.
The price trend for Biotin in the Asia Pacific showed a downward trajectory throughout the third quarter of 2022. The prices of Biotin in China significantly decreased by around 7.7% in August and declined further by 2.4% in September. In the Chinese domestic market, there was enough stock of Biotin with the local suppliers, and the price was lower than the production cost. Only purchases for immediate consumption were observed from significant suppliers; otherwise, demand from downstream industries remained weak during the entire quarter. Thus, the FOB Shanghai prices for Biotin in China were assessed at USD 279700/MT in September.
German Biotin price trend showcased a downward trajectory during the third quarter of 2022, with values for CFR Hamburg estimated at USD 317600/MT in July and later settled to USD 283930/MT in September. However, the quarter's downward price trend was backed mainly by the lowest price quotation from the significant importing country, China which seems quite beneficial for German buyers. Moreover, inventories of Biotin were sufficient to cater to the overall demand, resulting in lower Biotin prices in the domestic market. Also, demand from end-user pharmaceutical and neutraceutical industries remained sluggish as the customer was buying as a necessity. Furthermore, Germany's logistical problems worsened the economic slump as transportation bottlenecks persisted this quarter.
