Amino Acids China E-News

In general, amino acid market shows outstanding performance in Oct. 2014. First of all, methionine price continued increasing which caused obsession to the downstream industry, after Evonik reduced methionine supply to Chinese market. Secondly, supply of threonine was still in shortage which drove up its price. Thirdly, the ex-works price of lysine kept stable in Oct. With more and more manufacturers resuming production, the supply of lysine might increase and the price is expected to decrease. Moreover, the average ex-works price of glycine saw a year-on-year growth in Q1-Q3 2014.

Reviewing in amino acid enterprises, Ningxia EPPEN launches a new product rumen-protected lysine and holds optimistic attitude at domestic cow feed additive market. In addition, Bluestar Adisseo was planning to have a backdoor listing which might enhance its financing. Thanks to its competitive advantage in alanine production technology,  alanine business segment maintained the top drive of Huaheng Biotechnology's revenue increase in H1. Global Bio-chem restarting operation poses profound effect on the lysine supply.

Feed industry is an important concerns to amino acid. At the end of Sept. of 2014, SAC launched a plan of revising GB standards including seven projects related to feed-grade amino acids. In terms of company dynamics, ABF increased the investment on Chinese feed industry. In fact, the biological feed project launched in Jiangsu Province was the second high-tech project ABF invested in China. In addition, COFCO Trade signed a strategic agreement on the supply of amino acid as feed ingredient with both WENS and Twins Group. Breeding industry is related to feed industry closely. As we can see, the government is very strick on the management of animal sewage. In the meantime, amino acid as a kind of additive has positive effect on environmental protection since it can lighten the pollution caused by the animals.

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