Methionine Prices Possibly Would Ascend Periodically in the Future

By CnAgri2018-10-17 14:40:32 Print Methionine prices have stabilized for nearly one month, at RMB 17,500-18,500/MT, the lowest in recent years. However, methionine prices would ascend periodically in the future.
 
First, methionine is in a periodically tight supply. UniGroup has not resumed production yet, and Xinhecheng is having an overhaul, which reduce the supply of methionine. And meanwhile, influenced by exchange rates, methionine imports are relatively low.   
 
Second, the domestic demand for methionine is relatively good. Thanks to relatively good  farming margins of egg poultry and the coming of a peak of laying after October, the demand for feed from egg poultry is strong; pushed by relatively margins in previous periods, meat poultry farming is gradually resuming. 
 
Third, methionine costs improve. Along with the increasing of petroleum prices, methionine production costs increase; and meanwhile, RMB has devalued greatly since the second half of 2018, pushing up methionine import costs. 
 
However, along with the resuming of methionine production in the domestic and the increasing of capacity in other regions of Asia, the growth in methionine prices possibly won’t continue in the near future.