Ascorbic Acid Coated, DC97 and USP
Different from other ingredients, Vitamin C pricing is stable. As of today, the export quotation policy is still not officially issued by Chinese government, but many reports and insiders indicate that the quotation limits will be issued very soon. Our suggestion is that it is a good time to accumulate stock as the selling price is close to the cost. The price is at a historically low level and manufacturers will be holding the production during the summer months for maintenance. Also, once the quotation is issued, the cost will start to increase.
The scenario of today’s beta alanine is somewhat similar to that of creatine mono 10 years ago. The acceptance and recognition of this ingredient used in the bodybuilding industry has been substantially enhanced and expanded. The demand is on a strong rise while the supply is temporarily in short. We are working hard to expedite shipments and get more availability.
The supply and price are stable. The price increases a small amount due to the currency exchange, but DNP is able to keep it constant and unchanged for now.
The supply and availability is very limited. The quotation from manufacturers has increased by 150-200%. Actually, since 2009, the price of biotin has been at a historically low level and manufacturers were making slim profits or even losing money just to keep the business going. Now, Zhejiang Medicine has stopped production due to a gas leakage in the workshop, so we are predicting the price will increase and stay at a higher and favorable level for the producers.
The supply is stable and the sales of this product continue to increase over the past few months. We have increased the quantity imported and hope to get a better market share on this product. We are also able to provide choline bitartrate coated and choline chloride. We welcome any inquiry for all choline products.
Chondroitin Sulfate Sodium
The demand is stable and the manufacturer’s production line is fully scheduled for blanket orders. The price for on the spot buying market has started to increase.
We are predicting the demand for Chinese material will be on a rise against declining demand of Japanese material due to concerns of radiation. Requests of large quantities are received much more frequently and we have inflated the import quantity to stay more competitive on pricing. The current stock is USP fermentation grade and we also welcome inquiries of our 20% water soluble version.
The acceptance and demand for creatine mono are steadily increasing. The price has also increased by 8%-10%. As one of the most important products for DNP, we have secured long term contracts with manufacturers and availability is guaranteed.
Glucosamine HCL/Glucosamine Sulfate 2KCL
Glucosamine is produced from the shell of shrimp and crab. Due to the droughts and floods in South China, we think the harvest of these aquatic/fishery products will be greatly affected. The manufacturers’ production line is full in schedule and preparation for extra stock to face the possible shortage of starting material.
L-Arginine & Its Derivatives
The demand has been high in the past 3 months and we are predicting the trend will continue in Q3 if the production capacity still remains the same. The basic form of arginine (l-arginine base and L-arginine mono HCL) has begun to be used in personal care formulations. Arginine is the starting material for its family members like Ornithine, L-citrulline and also for its derivatives such as L-arginine AKG, L-arginine ethyl ester diHCL, L-arginine malate, L-arginine L-aspartate. All those ingredients are substantially demanded in the bodybuilding industry to improve fitness and enhance energy.
The price increases by 5%-8% due to the currency exchange rate and cost increase. We successfully partnered with quality manufacturers in the past few months allowing us to increase our import quantity considerably. This will ultimately allow DNP to provide competitive pricing to our customers.
L-Ornthine AKG/D-Aspartic Acid
The above two products are new for DNP, but have already become popular in the bodybuilding industry. We are anticipating feedback these two products but most importantly, we have them in stock now.
The supply is very limited and price increases by approximately 50-100%.Through our visit to manufacturers, we find the production is greatly affected by the government’s pollution regulations. Some manufacturers are shut down and forced to quit; some are being relocated and very few of them can maintain their normal production.
The price increased by 10%-15% and with blanket orders in place with manufacturers, we should be able to keep the price stable at this time.
Pyridoxine HCL B6/Calcium D-Pantothenate B5
Pyridoxine（B6）supply is affected by the electricity powder shortage. Calcium D-pantothenate –We are predicting that the price will be on an uptrend in Q3 as there is a shortage of its starting material/intermediate beta alaine. If you have regular demand of the above two products, it is advisable to increase your inventories at this time.
There is a sign of overcapacity of production. Many manufacturers in Shandong province have launched production and the fermentation technology has been quite mature and assessable. It is well managed by more and more producers.
As mentioned in the last report that we are seeing some new capacities stepped in, the price is still soft at current stage. Some manufacturers are located in the disaster area of the flood and droughts; electricity power is a concern to run the production normally and in the meantime, the floods may cause delay of the goods delivery.
Taurine price is on a stable trend. On one hand, the starting material for taurine, ethylene oxide (EO) is soft in pricing since the beginning of June and on the other hand, after the shuffle process, there are four major producers left in the market.
Dl-alpha Tocoperyl acetate 50% powder and Oil price increased by 10%. As mentioned in the last report, DNP will bring D-alpha Tocoperyl succinate in stock and it is our expectation that the first shipment will sell out immediately. We still have a limited stock and have arranged a new shipment in July, but the availability is limited.
Feedback from manufacturers is that the price of D-xylose, which is the starting material for xylitol, continues to increase and we forecast that the trend will continue in Q3. Xylitol’s history is still fairly new; we do not have a long term history of pricing on this item. We believe a price increase is unavoidable and surely to occur due to the manufacturers needs but we will control the price at a reasonable level for our customers.
Xylitol DC grade is in very high demand. More and more customers are trying to use this grade directly in their tablet formulations and it tastes great! We have increased import volume in Q3 and if you are looking for a great sweet flavor in your tablets, it is highly recommended to try Xylitol DC.
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