For the Quarter Ending March 2024
North America
Despite starting the quarter on a positive note, the first quarter of 2024 witnessed declining prices for Vitamin B2 in the North American market. Numerous factors have contributed to this trend, resulting in an overall decrease in pricing dynamics. Particularly in the USA, where the most significant price fluctuations occurred, prices initially rose until the midpoint of the quarter before declining in March. Concurrently, Vitamin B2 supplement prices decreased from $39550/mt in January to $39480/mt FOB New Jersey by March. Market conditions were influenced by factors such as limited product availability, increased freight costs, and reduced imports from Asia. In response, U.S. authorities collaborated with industry stakeholders to improve real-time monitoring of freight movements, particularly focusing on nutraceutical shipments from China.
Due to China's role as a major producer and the U.S. as a primary importer, shipments were temporarily halted during the Chinese Lunar New Year holidays in mid-February. Despite expectations of a surge in demand for nutraceuticals, including Vitamin B2, following the post-holiday market rebound in China, the anticipated increase in the U.S. did not materialize as predicted by industry analysts. However, demand remained steady in the U.S. until the second half of Q1, supported by fresh stockpiles from domestic suppliers. The conclusion of 2023 witnessed disruptions in supply chains and trade due to the security crisis in the Red Sea, leading to significant increases in freight charges. These disruptions affected various trade routes, causing congestion at U.S. ports on both coasts and disruptions in the Panama Canal, impacting commodity prices.
As prices began to decline in March, a significant contributing factor was the reduced demand from the pharmaceutical and nutraceutical sectors, as well as a decrease in freight charges. This reduced demand coincided with an oversupply of Vitamin B2 from domestic sources, further complicating market dynamics. Additionally, decreased interest from Asian markets, particularly China, has also contributed to the depreciation in prices. Overall, the trend for Vitamin B2 prices in Q1 2024 has been negative, with a significant decrease of 15% compared to the same quarter last year.
APAC
During the first quarter of 2024, the Vitamin B2 market in the Asia-Pacific (APAC) region, particularly in China, experienced modest growth. Prices in China increased slightly from $34,900 per metric ton in January to $35,500 per metric ton Ex-Shanghai by March, reflecting a 1.7% rise over the period. This positive trend through March marked a notable improvement from the challenges encountered in the fourth quarter of 2023, which included subdued demand from end-users, limited new inquiries, and excess inventory.
From mid-January 2024 onward, demand began to strengthen steadily and sustained momentum through March, signaling a recovery in market sentiment. The first quarter of 2024 demonstrated significant improvement with rising prices, reflecting a more balanced relationship between supply and demand. This upward trajectory allowed participants in the Chinese market to maintain healthy profit margins throughout the quarter. However, growth slowed in March, with prices experiencing a slight decline. Even during the Lunar Chinese New Year holidays, the domestic Vitamin B2 market remained resilient, supported by robust manufacturing activities leading up to the holiday and the availability of fresh inventory. Additionally, the international demand for Vitamin B2, especially from the pharmaceutical and other sectors, added complexity to the supply-demand dynamics, influencing market trends later.
Despite facing challenges such as declining consumer confidence, deflationary pressures, youth unemployment, reduced exports, and a decrease in foreign investment, China's manufacturing output exhibited resilience. The domestic Vitamin B2 market in China experienced significant improvements, characterized by an increase in demand and manufacturing output.
Europe
During the first quarter of 2024, the Vitamin B2 market in Europe exhibited a nuanced pricing landscape, influenced by a variety of factors. Overall, the market remained relatively stable, characterized by moderate fluctuations without any significant price shocks. Analyzing the trend and seasonality of Vitamin B2 prices in Germany during the fourth quarter of 2023 revealed no substantial changes compared to the previous year. The correlation between prices and market conditions remained consistent throughout the quarter. Germany, being the largest market for Vitamin B2 in Europe, experienced both positive and negative price trends. Prices remained relatively stable, starting at $44,850/mt in January and slightly decreasing to $44,800/mt in March CFR Hamburg. This stability was supported by sustained demand and increased import costs from China.
The European economy encountered uncertainties during this period, including surging energy costs and the implementation of interest rate hikes. These factors contributed to a fragile market environment for Vitamin B2, complicating efforts to stabilize prices. Until mid-February, several factors influenced Vitamin B2 prices in Germany. The rising import costs from China, exacerbated by disruptions in the Red Sea and the Chinese New Year celebrations, exerted pressure on prices. Additionally, currency exchange rate fluctuations, such as the Euro's depreciation against the USD, added to the financial challenges faced by German importers.
In March, prices experienced a marginal decline due to ample supply and reduced demand. To summarize, the Vitamin market in Germany was overall influenced by factors, including inflation, federal taxes, supply chain disruptions and escalating energy costs.
For the Quarter Ending December 2023
North America
In the fourth quarter of 2023, the North American market for Vitamin B2 witnessed a downward trajectory in prices, primarily due to a decline in demand from the nutraceutical and pharmaceutical sectors, coupled with waning consumer confidence.
Despite the resilience of the US labor market, characterized by job additions and a decrease in unemployment rates, rising interest rates and inflationary pressures dampened consumer sentiment, impacting the dietary supplement industry. Vitamin B2 prices commenced the quarter at $41,300/MT and concluded at $39,060/MT FOB New Jersey, reflecting the overall decline. Import levels in Q4 2023 exceeded those of Q4 2022, suggesting that retailers may have completed destocking and were gearing up for the holiday season in December.
By the quarter's end, the performance of the US economy in 2023 was deemed "remarkable." Despite concerns about inflation control and potential job losses, the US economy managed to evade recession and demonstrated accelerated growth. In the final weeks of December, increased consumer demand in the United States, coupled with escalated freight charges potentially influenced by the Israel-Hamas conflict, drove price hikes in the Vitamin B2 industry.
APAC
In the fourth quarter of 2023, the Vitamin B2 market in the Asia-Pacific region exhibited a variety of trends, with some products witnessing price increases while others experienced declines. Overall, Q4 2023 witnessed a downward price trend for Vitamin B2 in China. This was due to an imbalance in the market caused by reduced demand from the pharmaceutical and nutraceutical industries, particularly notable in November. Conversely, India's nutraceutical market expanded due to improved economic conditions, heightened production levels, and increased new business inflows. Despite expanded production, China experienced significant price decreases attributed to sluggish demand both locally and globally. Another indicator of the decline in Vitamin B2 demand in China's pharmaceutical and nutraceutical sectors was the absence of fresh inquiries from the overseas markets in the initial half of the quarter. From October to December, Vitamin B2 prices in China dropped from $37,410/MT to $34,060/MT Ex-Shanghai. December saw attention drawn to China's economy due to improvements in the PMI and increased consumer confidence, accompanied by a gradual price uptick. In China, the nutraceutical market experienced mixed outcomes throughout the year, with certain product categories declining while others recovered.
Europe
In the fourth quarter of 2023, the European Vitamin B2 market experienced a decline in prices. High supply levels negatively impacted the market, with domestic businesses maintaining substantial inventories to meet demand and address concerns of potential shortages before the December holiday season. Additionally, reduced end-user demand and ample availability of Vitamin B2 in the domestic market were significant factors contributing to the price reduction. However, by December, Vitamin B2 prices were recorded at USD 44,300/MT CFR Hamburg, marking a notable decline of over 3% from November in the German market by the end of the quarter. The decline in demand from Germany's downstream industries during the month was primarily driven by significant stockpiles maintained by domestic companies, despite minimal shifts in market dynamics. A significant factor influencing these market dynamics was China, a major exporter, which lowered the price of Vitamin B2. Consequently, German importers benefited from reduced prices when procuring Vitamin B2 supplements, resulting in a corresponding decrease in prices within the local market. Additionally, the lack of fresh inquiries from end-user industries such as nutraceuticals and pharmaceuticals nationwide prompted local sellers to offer the product at relatively lower prices.
For the Quarter Ending September 2023
North America
The price trajectory of Vitamin B2 exhibited a notable decline in the third quarter of 2023, with FOB values falling from $45500/mt to $42550/mt from July to September, signaling a pessimistic close to the quarter. The corresponding low demand and high availability of supplies that participants had on hand to meet the total demand were the main factors that supported this price decline. The US economy's growth continued to worry the Federal Reserve throughout the quarter, raising the possibility of higher inflationary pressures. The US manufacturing sector contracted in July for the ninth consecutive month, according to the data, as businesses trimmed employees and production as new orders fell as a result of a slump in overall demand. Due to the sufficient supply provided by domestic producers, the demand for nutraceuticals, particularly vitamin B2, entering the United States from outside decreased substantially from the second half of the quarter Q3. Furthermore, even as the Federal Reserve continued its vigorous monetary tightening in an attempt to lower record inflation, the increase in inventories indicated a broad lack of demand from consumers overall. A number of positive economic indicators were found later in the second half by states participating in Soft Landing Summer, indicating that the US economy is avoiding the recession that many had predicted due to Fed intervention.
Asia Pacific
Vitamin B2 values in China saw a stabilization towards the conclusion of the third quarter of 2023, with an average of $37560/mt in September, after starting the quarter at a negative $38820/mt in July. Due to escalating deflation, high youth unemployment, and weak foreign demand, the second-largest economy in the world grew less rapidly than expected in the first half of 2023. This trend continued in the second half of the year, and the economy began the third quarter of 2023 on a negative pedestal. String currency—a stronger Yuan (RMB) relative to the USD—and rising end-user demand (both locally and internationally) have been the two most important reasons driving China's price increase for Vitamin B2 in the second half of this quarter. The arrival of China's golden week in September also contributed to the ensuing price increase for the Q3 quarter since there was a slight increase in manufacturing and freight because of an increase in demand and queries prompted by possible shortage fears. Due to the strengthening of the Yuan and the decline in the value of the US dollar, exporting nutraceuticals—including vitamin B2—became more expensive, impacting both domestic and international markets.
Europe
In Europe - After beginning the third quarter of 2023 with a negative $49000/mt in July, vitamin B2 price values in Germany's domestic market stabilized toward the end of the third quarter, averaging $47900/mt CFR Hamburg in September. The primary driver prompting the Vitamin B2 suppliers to drop their quotations over the course of the quarter has been an excess of inventory levels, which have met the overall demand. Industry analysts reported that the German industrial sector was still having trouble at the commencement of the third quarter. German suppliers of nutraceuticals reported significant declines in output, new orders, and factory prices at the start of the third quarter of 2023, indicating that the situation has gotten worse. Another factor contributing to the sales decline was the constant, sharp decline in new orders, the largest fall in over three years. Customers were waiting and lowering stock levels over the course of the time period, indicating a lackluster demand for all types of commodities, including Nutraceuticals. Uncertainty in the economy, the geopolitical situation, and the tighter financial conditions all influenced the decline in demand. Prices, however, increased because of higher manufacturing costs in China as well as higher freight costs in advance of China's Golden Week holiday (a big importer) in the latter half of Q3 2023.
For the Quarter Ending June 2023
North America
The North American domestic market for Vitamin B2 showed a decreasing price trajectory during the second quarter of 2023. The price negotiations for FOB New Jersey decreased from $48500 per MT to $48000 per MT between April and June 2023, showing a marginal decrease of 1.0% during the quarter. Demand for Vitamin B2 from end-users in the pharmaceutical and nutraceutical industries was lower across the US due to prudent inventory levels on their shelves. Inflation in the country has declined in line with energy prices. However, despite falling energy prices, there is still significant underlying inflation, well above the Federal Reserve's target, according to industry experts. Despite the mixed sentiment on Vitamin prices, the country's nutraceuticals market has shown mixed market patterns. Compared to a loss of 1.9% over the previous 12 months, the USDX has lost 2.5% for the year to 12 May 2023. As a result, the US dollar has become strong and has captured demand, allowing buyers and wholesalers to profit from both the potential and volatility of the country's market, including that of nutraceuticals.
Asia Pacific
In the second quarter of 2023, the Asia-Pacific Vitamin B2 market showed a bearish price sentiment. Price negotiations for FOB Shanghai, China, began to decline, falling from $40340 per tonne to $39200 per tonne between April and June 2023. This price fall has been in place since the middle of the second quarter of 2023, as demand for Vitamin B2 from end-users in the pharmaceutical and nutraceutical sectors declined both domestically and internationally. Chinese Vitamin B2 producers were forced to sell the product at lesser margins because of lower demand and inquiries from regional and international customers. In the second half of the quarter, China's nutraceutical market began to pick up as companies began to expand domestically and internationally, but this did not prove beneficial for the Vitamin B2 market. With demand and inquiries having fallen in the latter weeks of April, there was ample supply from local suppliers, which was the other factor driving prices lower. China's manufacturing activity contracted for a third consecutive month in June, albeit at a slower pace, as pressure mounts on the authorities to unleash more stimulus to support the nation's economy. Analysts have begun to downgrade their forecasts for China's economy for the rest of the year after May industrial production and retail sales data missed expectations, a sign that the post-pandemic recovery seen in the first quarter began losing momentum in the second.
Europe
The second quarter of 2023 for the German Vitamin B2 market was not as bullish as earlier predicted, with price discussions for CFR Hamburg falling marginally from USD 51,000 per tonne to USD 50,000 per tonne. Gas prices in Europe have fallen to their lowest levels in April since the energy crisis began, increasing optimism for a stronger economic recovery, which undoubtedly improved trade from Asia. However, due to the more than sufficient stocks of Vitamin B2 held by domestic providers at a time of low demand, price negotiations eased during the quarter. With the slight improvement in European economic conditions, the European Union (EU) has plans to reduce its dependence on Chinese imports by boosting the country's manufacturing industry. To avoid potential future shortages, they have been stockpiling goods in warehouses, which has led them to lower their price margins later in Q2 in order to reduce their inventories. Inflation in Germany rose again in June by more than 6%. However, the impact on the country's nutraceuticals industry is yet to be seen. According to several industry experts, weaker-than-hoped-for economic performance in China since the reopening of the country from strict COVID-19 restrictions, a looming US recession, and continued monetary tightening appear to be weighing on German business sentiment.
For the Quarter Ending March 2023
North America
During the first quarter of 2023, the price trend for Vitamin B2 showed a decline, with prices in New Jersey settling at $54670 per MT in January and $50150 per MT in March, respectively. Industry players had predicted that the pharmaceutical and nutraceuticals industry would remain in rough waters during the first quarter of 2023 following the previous quarter's market turbulence. However, consistent end-user demand and low to moderate inquiries from downstream providers managed to control the market dynamics. The relaxation of China's zero-covid ban during the first week of January had a favorable effect on the first half of the quarter as the supply chain and trade remained strong, leading to a decrease in freight costs. The second half saw a sharp reduction in demand, which lowered prices. Domestic merchants dropped manufacturing orders by as much as 40% in the second half of the first quarter due to a decline in local consumer demand and record-high warehouse stocks.
Asia Pacific
In the Asia Pacific, China's decision to remove harsh COVID-19 limitations in the first week of January provided the trillion-dollar economy, which had suffered significantly over the previous four years, fresh vitality. As a result, the first quarter of 2023 turned out to be somewhat favorable for China. However, the FOB Shanghai pricing pattern in the domestic Chinese market during the first quarter of 2023 was negative, with prices declining from $45655/MT in January to $42650/MT in March. The price of Vitamin B2 in the domestic market for nutraceuticals and pharmaceuticals saw a roll-over sentiment for two consecutive weeks in January after a week-long Lunar Holiday. Technically speaking, the markets started off strong when they got back from holiday, with more local and foreign orders and shipments, but things eventually took a turn for the unthinkable. Following a week-long holiday and the markets' recovery from the covid-induced lull, China's manufacturing sector had a significant decline in the second half of 2022. China's decline is mostly attributable to a decline in end-user demand in both domestic and international markets.
Europe
The pharmaceutical and nutraceutical industries in Europe got off to an unfavorable start in the first quarter due to an increase in orders and shipments from domestic and international markets. The prices for Vitamin B2 decreased during the first quarter of 2023 from $56970 per MT in January 2023 to $53080 per MT in March 2023, respectively. Because the outlook for supply and demand appeared promising, most of the quarter, participants in the local market recognized favorable arbitrage. As China's surprise covid re-opening and the protracted Russia-Ukraine war reduced inflation pressures, the European market showed encouraging signs. This, combined with an improvement in end-user demand from both producers and suppliers, paved the way for a quick recovery in activity. In the second half of the quarter, the cost of shipping containers between Asia and Europe also dropped significantly to pre-pandemic levels or lower, illuminating a strong demand and supply dynamic.
For the Quarter Ending December 2022
North America
After the FOB New Jersey prices of Vitamin B2 dropped from $56600/MT to $54070/MT from October to December, the fourth quarter of 2022 continued to demonstrate the declining sentiments due to the continuing turbulence in the US domestic market. Due to the Golden Week vacations interrupting imports from China during the first week of October, a number of domestic retailers had to raise their price quotations in response to the enduring demand. The tiebreakers, which included China's Covid lockdowns, Russia's conflict in Ukraine, rising inflation in the US, and harsh weather conditions, continued to put fragile supply chains in danger throughout most of the quarter. Strong currency, sluggish end-user demand, and unexpected supply shocks all made it difficult for factories to operate on the global market. The U.S. supply chain gradually became better in the second half of 2022 as the country finally started to recover and the port of New Jersey on the east coast significantly reduced ship backlogs. In November, prices began to decline throughout all US supply chains, reducing inflationary pressures. As a result of weaker shipping demand spurred on by slower consumer spending and a decline in manufacturing activity in December, the US supply chains became more flexible.
Asia Pacific
China's Vitamin B2 domestic market displayed weakening sentiments in the fourth quarter of 2022 as prices dropped from $47540/mt to $45180/mt from October to December. Due to the Golden Week closure of industrial facilities during the first week of October, China's manufacturing sector contracted at a low rate this month, along with the lowest export orders. The market's chances of catching up to the modest increase seen in some industries during the first half of Q4 were decreased by the fact that Chinese traders returning from the Golden Week holiday also had to deal with a variety of contradicting signals. In China, the Dual Control on Energy Consumption increased prices for a number of products in the second half of Q4 2022, including Vitamin B2. The domestic manufacturers and suppliers met the total demand during the quarter with an acceptable supply of inventories on hand. Following the government's decision to relax its zero-covid regulations in response to widespread protest and ubiquitous unrest in the country, which put the country once again in choppy waters, cases of Covid-19 started to appear in the key manufacturing hubs of China, which shocked the market yet again.
Europe
The quarter 4th of 2022 saw a stagnant trend in the European Vitamin B2 market, with CFR Hamburg values assembling at $56420 per MT in December. Industrial production in Germany increased little in October amidst rising energy prices and delayed supply-chain problems. However, the COVID-19 issues, the situation in Russia, and the state of affairs in Ukraine all continued to have a detrimental effect on output. Demand-wise, offtakes in the end-user industries continued to be favorable, but the pharmaceutical and nutraceutical industries were still being negatively impacted by the rising cost of raw materials and energy. Even while better trade flows resumed in Germany and the larger eurozone in the second half of Q4 2022 as a result of some breathing room, this did not necessarily indicate that market fundamentals have balanced.
For the Quarter Ending September 2022
North America
With prices assembled at $57500 per MT in July, the American market for Vitamin B2 started the third quarter of 2022 on a promising note. However, these values later decreased in September and were resolved at $54700 per MT. Nutraceutical manufacturers were compelled to lower their prices due to the periodic lockdowns in China, where most nutraceutical products are imported. As a result, the second half of this quarter saw an effective decline in downstream demand in the US. The number of industrial facilities in China that were shut down for maintenance in the final week of July dramatically reduced imports to the US. This significantly impacted the downward pricing trend along with the declining demand in the final weeks of the third quarter.
Asia Pacific
The third quarter of 2022 saw a decline in the pricing trend for Vitamin B2 in the Asia Pacific market. This decline in China results from low raw material costs, muted consumer spending, and sluggish end-user sector demand. Large suppliers restricted their orders during the first half to immediate usage, and in July, FOB Shanghai prices reached $53500 per MT. Both the poor offtakes and the weak downstream demand were to blame for this. However, after the markets reopened following the closure, the plants that manufacture Vitamin B2 conducted maintenance, reducing the amount of the vitamin that was accessible to both domestic and foreign suppliers. Later, the local market's downstream demand decreased, with prices eventually stabilizing at $46370 per MT Ex-Shanghai in September.
Europe
The European market for Vitamin B2 displayed a downward trend throughout the third quarter of 2022, with CFR Hamburg values settling at $57410/MT in July and then decreasing even further to $48780/MT in September. Germany's logistical problems this quarter compounded the country's economic decline as transportation bottlenecks persisted. The continued lockdowns in Chinese ports and the instability in Russia and Ukraine worsened the situation in Europe. Domestic merchants were compelled to cut their quotations in the second half of the quarter due to the weak end-user demand for the pharmaceutical and nutraceutical industries.
For the Quarter Ending June 2022
North America
The second quarter of 2022 for the vitamin B2 market started out well, but from April to June, the values for FOB New Jersey fell from $58840/mt to $57200/mt. The COVID lockdown in China's commercial hubs, which drastically slowed imports, exacerbated a long-standing supply bottleneck in the nation. Due to high inflation, bothered political situation between Russia and Ukraine, and highly unpredictable nature of oil prices, domestic merchants and purchasers were concerned about high raw material prices during the entire quarter. On the back of the abrupt changes in oil prices in May, import, consumer, and production spending all gradually increased. Ocean cargo from China appeared to be passing through the nation's main ports without any issues in June, despite the Asian blockades. But throughout the quarter, demand from the downstream sectors, including nutraceutical and pharmaceutical remained steady.
Asia Pacific
In the Asia Pacific region, the market trend for vitamin B2 showed a declination during the second quarter of 2022. Between April and June, FOB Qingdao prices fell from $56050/mt to $52250/mt in the domestic Chinese market. China's production of vitamin B2 surged during quarter two of 2022's H1 due to the opening of its factories and ports. Following a spike in COVID-19 instances during the final week of April, China's authorities placed significant production facilities on lockdown, which had a variety of effects on the nation's nutraceutical markets. Offtakes from the end-user industries remained consistent throughout the quarter in terms of demand. Due to the Zero-COVID policy of the country, several cargo ships were left stranded at ports, which significantly exacerbated the export of the product in offshore markets. Due to the high COVID customs, several factories were prepared to offer the product at a discount toward the end of the quarter in order to get rid of inventories before it deteriorated. In India, Ex-Mumbai prices were valued at INR 3575500 per MT on the domestic market during June.
Europe
The domestic market trend for Calcium Powder in the European region remained on the positive side throughout the second quarter of 2022, despite price decreases that began at the end of June. The Russia-Ukraine conflict drove up freight costs and slowed the flow of commodities into Europe, which further exacerbated trade activity from importing nations. Throughout the entire quarter, demand from end-user industries, including the pharmaceutical and nutraceutical sectors, remained consistent. However, the suppliers had enough inventory to meet all domestic demand.
For the Quarter Ending March 2022
North America
After the FOB negotiations for New Jersey and Illinois were fixed at USD63655/mt and USD73445/mt in March 2022, the Vitamin B2 market in North America had an upswing in the price trend in Q1 of 2022. On the demand side, the healthcare industry witnessed significant offtakes throughout the quarter. In terms of supply, there were sufficient stockpiles to meet overall demand, as dealers loaded their inventories in anticipation of market shutdown due to the Asian festive season. Throughout the first quarter, the US nutraceutical market was in limbo due to protracted port congestion and disrupted supply chain from China owing to the CNY holidays. The high degree of Vitamin B2 consumption in the end-user pharma companies, on the other hand, provided a robust foundation.
Asia Pacific
The prices of Vitamin B2 witnessed a drastic improvement in the Asia Pacific region during the 1st quarter of 2022. In the Chinese market, the FOB values of Vitamin B2 shot up from USD58100/mt to USD60560/mt from January to March 2022. After the Chinese authorities largely enacted the zero-tolerance covid policy in late December 2021 to curb the Omicron outbreak, the price chart of Vitamin B2 was largely impacted because of the sudden closure of several ports and factories. The forced closure of the major feed grade manufacturers including NHU and ZMC in Zhejiang province negatively affected the nutraceutical markets across China. On the demand front, the consumption of the product was observed strongly in the nutraceutical and pharmaceutical industries. Following the start of port movement and market activity in late H2 2022 in China, output was expanded to meet overall domestic demand. Vitamin B2 prices in India were assessed at USD61125.3/mt for Ex-Mumbai and USD53197.6/mt for CFR JNPT in March 2022.
Europe
Following the consistency in downstream offtakes, the Vitamin B2 market in Europe showcased positive sentiments during the first quarter of 2022. The market sentiments were highly influenced by the increased raw material costs and a lengthy supply chain interruption from Asian markets. Domestic European manufacturers were forced to trade Vitamin B2 at slightly increased prices due to a paucity of feedstock supplies and high input costs because of the peaking energy crisis. Elevated manufacturing costs due to high crude and gas prices during the Russia-Ukraine military conflict in the second half of Q1 further supported the Vitamin B2 market prices in Europe. The FOB prices for Vitamin B2 were culminated at USD35200 per MT in January 2022.
For the Quarter Ending December 2021
North America
In the North American region, the prices of Vitamin B2 witnessed a slight downtrend during the 4th quarter of 2021. Vitamin B2 FOB prices for New Jersey and Illinois were assessed at USD 61559/MT and USD 71400/MT, respectively, in the week ending of December. In terms of demand, offtakes from the nutraceutical and pharmaceutical industries remained consistent throughout the quarter. The supply chain improved in the last few weeks of November, which showcased an optimistic sign for the market players for the forthcoming period. Truck availability also increased in Q4 providing optimum support for material movement across the US. The prices are expected to decline at the beginning of Q1 2022 due to strengthening supply fundamentals and stagnation in demand.
Asia Pacific
During the 4th quarter of 2021, the pricing trend of Vitamin B2 showcased an upward trajectory across the Asia Pacific region. In China, the prices of Vitamin B2 rose effectively in the domestic market and escalated from USD 51478/MT to USD 56928/MT FOB Qingdao from October to December. The increased Vitamin B2 offers in the Chinese market was influenced by the elevated prices of raw materials, supply tightness, and the prevailing impact of the dual control on the energy consumption policy. As per Indian traders, the Indian domestic market also observed a sharp rise in the Chinese vitamins import as CFR JNPT prices for Vitamin B2 rose from USD 52943.24/MT to USD 53886.87/MT in quarter 4 of 2021 due to the impact of power rationing and dual control on energy consumption. Skyrocketing raw material prices also provided significant cost support to Vitamin B2 prices in India.
Europe
The market sentiments improved in the European market during the 4th quarter of 2021 on the back of the increased demand from the downstream pharmaceutical industries. However, the supply outlook of Vitamin B2 remained disrupted throughout quarter four due to the peaking energy crises across the region. The soaring raw material prices and high transportation costs further supported the price trend of Vitamin B2 across Europe.
