For the Quarter Ending June 2023
North America
Across the North American region, the prices of Ofloxacin demonstrate a mixed price trajectory throughout the second quarter of 2023. At the beginning of the second quarter, the prices continued to follow the market trend of the previous month resulting in a steady rising inquiry from the domestic pharmaceutical and healthcare sector.
However, in May, ofloxacin prices went down by 2 percent from the previous month. The combination of decreased demand, increased supply, and a weakening currency has led to a decline in Ofloxacin prices in the USA this month. In recent months, both countries, China and India, being the major supplier of Pharmaceutical API, including Ofloxacin, have increased production to meet the growing demand, resulting in higher stocks.
Also, the weakening of the US dollar against other currencies supported this month’s decreased trade as this has made Ofloxacin more expensive for buyers in the US, which has reduced demand and put further downward pressure on prices. However, the prices rebounded again in June but steadily. Also, the domestic Ofloxacin suppliers have a sizable supply on hand that allows them to meet local demand. Moreover, the US Consumer Price Index (CPI) rose by 0.1% in June 2023 from May. With this, the prices for Ofloxacin get settled at USD 41650/MT CFR Los Angeles.
Asia Pacific
During the second quarter, the price of Ofloxacin, an Active Pharmaceutical Ingredient, demonstrated a zigzag market sentiment throughout the second quarter of 2023, as at the beginning of April. The price surged moderately, followed by the market sentiments of the previous month. Consumption remained consistent in April in both the domestic and global markets. Furthermore, export activities from China stayed on the upper side because of a persistent inquiry from the international market. Moreover, towards the middle of the second quarter, the prices began to drop and decreased by around 4 percent. This price decrease was supported by ample inventories among the merchants, followed by reduced export momentum. Also, the strengthening of the Chinese Yuan against the US dollar in recent months has made various end-products, including Ofloxacin, more expensive for buyers in other countries, owing to which the traders and manufacturers reduced their prices even more, to balance out their market outlook. Following this, the market improved for pharmaceutical API with the termination of Q2-2023. According to market experts, China’s Consumer Price Index (CPI) rose by 0.2% in June 2023 from May, but manufacturing remained weak. With this, Ofloxacin API prices across the region market were settled at USD 4810/MT FOB Shanghai.
Europe
For the whole second quarter, the prices of Ofloxacin depict a parallel market trend as that of the United States. The prices continued upward until April while dropping significantly in May and rebounding stably in June. April’s price trend was supported by consistent demand balanced with continuous manufacturing activities and supplies among the merchants. While as May 2023 approached, the prices went down by more than 5 percent and settled at USD 24500/MT. This price trend was attributed to a drop in international inquiries and changes in climatic conditions that resulted in lessened orders sentiments from retailers and suppliers, as hotter climatic might degrade the medicines and their raw material. Also, this month’s prices were further supported by the weakened German Purchasing Manager Index (PMI) for Germany, which was 52.2, down from 54.8 in May. Moving towards the end of Q2, the prices for Ofloxacin were assembled at USD 46650/MT CFR Hamburg, demonstrating a stable incremented trend with participants ensuring enough stocks to meet overall demand.
For the Quarter Ending March 2023
North America
With a significant increase in domestic demand and constrained supply among market players, the price of Ofloxacin rose during the first quarter of 2023. In early January 2023, Ofloxacin inventories among market participants were sufficient to meet all needs, as opposed to December 2022. By the middle of the first quarter, a slowdown in trade activity and a steady increase in demand forced traders and suppliers to raise their quotes, further supporting the upward price trend for Ofloxacin. Overall, the cost of Ofloxacin in the United States was constructed at USD 47640/MT CFR Los Angeles.
Asia Pacific
Prices for Ofloxacin increased throughout the first quarter of 2023 in the APAC area as a result of heightened demand following the Lunar New Year and the government abandoning its zero-COVID policy. Both consumption and output notably surged during the holiday-shortened month of January in China. The producers were forced to increase production and stock their shelves with downstream of Ofloxacin before the end of the quarter. Moreover, ease in trade activity along with a decrease in freight charges, further supported the upsurged market trend of Ofloxacin in the APAC region. With this, prices increased at a modest rate and reached USD 46680/MT FOB Shanghai.
Europe
The first quarter of 2023 saw a strong upward pricing trend for Ofloxacin as queries from the downstream sector substantially increased. Furthermore, as 2023 approaches, commerce between Germany and China climbed to a record level despite political worries about over-dependence, becoming China Germany's top trading partner for the seventh consecutive year. Early in January, a balance between supply and demand was seen in the local market, but as February drew closer, the price went on the higher side consistently, which helped the market participants to raise their prices of Ofloxacin. Additionally, increased trade activity and persistent inquiries from exporting nations strengthened the Ofloxacin market value through the end of March 2023. With this, the prices for Ofloxacin settled at USD 48800/ MT CFR Hamburg.
For the Quarter Ending December 2022
North America
North American region, particularly the USA, witnessed an inclined price trend for Ofloxacin during the start of October. Increased end-user demand balanced with enough supplies among the market participants kept the prices of Ofloxacin on the higher side. Slowing economic activity amid rising borrowing costs, Consumer spending, which edged up 0.1% after surging 0.9% in October, and ease in trade disruption along with shipment cost supported the market sentiments of Ofloxacin in the USA. Towards the mid of the fourth quarter till the end of 2022, the prices fell significantly with the settlement of USD 46155/ MT CFR Los Angeles backed by decremented inquiries coupled with the temporary shutdown of the domestic market owing to New-year holidays.
APAC
The prices of Ofloxacin plummeted at the end of 2022 in the Asia Pacific region, primarily in China. With the start of the fourth quarter, i.e., during October, the prices of Ofloxacin demonstrated a positive market outlook as the demand inclined considerably with an increase in supply chain activity. Following November, demand in China started to drop gradually, with sufficient stocks among the market participants to meet all immediate orders. The price of Ofloxacin got settled at USD 44750/MT FOB Shanghai. Following December, an outburst of lockdowns of COVID-19 muted economic output and affected the market sentiments of all the commodities, including Ofloxacin, in China.
Europe
During the fourth quarter of 2022, the European market for Ofloxacin imitated a similar pattern as that of North America. The market initially started on a weaker note up to November as the demand from the end-user sector pharmaceutical industry decreased, balanced with the overall supplies among the market participants. After November, demand for Ofloxacin increased slightly, keeping the prices on the stable side. The prices of Ofloxacin until November were gathered at USD 46100 /MT CFR Hamburg in Germany. At the same time, Fresher quotations from, Traders and inquiries from suppliers decreased in December of 2022 because of higher stock reserved with market players due to the market's brief closure on account of Christmas and New Year's eve.
For the Quarter Ending September 2022
North America
During the third quarter of 2022, the North American market for Ofloxacin API showed a modest dip. From July to September, the prices for CFR Los Angeles dropped from USD 47155/mt to USD 46400/mt. Since this pharmaceutical ingredient is primarily imported from China, the country's zero-covid policy significantly restricted the availability of this chemical in the nation. Due to the heat wave and a power shortage, several Chinese industrial facilities were forced to shut down in the second half of Q3, which had a detrimental impact on the USA's commerce. The US giants and economists attributed the nation's declining demand and market circumstances to a number of issues, including the nation's high-interest rates, limited supply, and high inflation.
Asia Pacific
As the FOB Shanghai prices in China decreased from USD 45285/mt to USD 44600/mt from July to September, the market trend for Ofloxacin in the APAC region showed a slight decline during the third quarter of 2022. The strong pharmaceutical industry demand during the first half of the quarter had a favorable impact on Ofloxacin's price chart. However, because of the sluggish offtakes and weak downstream demand, significant suppliers delayed placing sizable orders due to unexpected conditions, such as the country's later half's terrible weather and power outages. After the closure, when the markets reopened in the last week of July, a number of manufacturing facilities underwent maintenance. Additionally, the market dynamics in China over the final weeks of the quarter have been significantly impacted by extreme weather and economic issues, which somewhere propelled the price decline in the country.
Europe
In Germany, the prices of Ofloxacin API remained stable during the third quarter of 2022 and were settled at USD 46460 per MT CFR Hamburg in the quarter ending September. The instability in Russia and Ukraine, as well as the lockdown, port restrictions, and power outages in China, a major supplier, added to the already challenging economic climate in Europe. Additionally, the downstream pharmaceutical industries' demand was weak this quarter despite stable offtakes in these sectors.
For the Quarter Ending June 2022
North America
Ofloxacin API prices dropped in the North American region during the second quarter of 2022 due to weak end-user downstream demand from various pharmaceutical sectors. Besides that, Manufacturers were obliged to reduce the production rate, negatively affecting the prices for Ofloxacin API. Moreover, weakened purchasing and buying activities from the Customer's side resulted in stockpiled inventories in the local market, putting pressure on the dealers. The primary factor for price reduction of API in the market was reduced upstream feed Tetraflurobenzoyl chloride prices. Additionally, affected trading activities amid fluctuated fuel prices result in the price decrement of Ofloxacin API in the market and the prices were assembled at USD 48955/MT CFR Los Angeles in the Untied States .
Asia Pacific
During the second quarter of 2022, the market for Ofloxacin witnessed a decremented pricing trend in the APAC region backed by reduced upstream feed Tetraflurobenzoyl chloride prices. Reduction in trading activities amid the Covid situation in China during the month-end of Q1 -a major exporter of Ofloxacin to the various regions negatively affected the costs of Ofloxacin in the market. The prices went down initially in the Chinese market due to a decrease in upstream Raw material prices but then surged in mid of second quarter because of enhanced raw material costs and higher demand in the region. Additionally, the market plummeted towards the end of Q2 amid a reduction in downstream demand from end-user enterprises and got settled at USD 45500/MT FOB Shanghai.
Europe
The European region witnessed a declined price trend for Ofloxacin in the Second Quarter of 2022, backed by uncertain demand from downstream pharmaceutical industries. The decreased raw material prices severely affected the domestic market, which also affected Ofloxacin cost owing to lower buying and purchasing activities from Customer's side. Furthermore, the traders were compelled to trade Ofloxacin API somewhat at a lower price due to sufficient stocks and reduced demand. Also, a decrease in trading activities amid the Russian-Ukraine geopolitical tension, leading to the delayed shipment, caused a decline in freight charges and a reduction in API prices in the markets. Overall, the prices of Ofloxacin API demonstrated were assembled at USD 54600/MT CFR Hamburg in Germany.
