Global amino acid markets were mostly stable this week, but methionine moved in opposite directions by region. In Asia, methionine prices firmed as production shutdowns supported sentiment; two producers raised offers, and buying picked up. Sources said new Chinese capacity due in November could cap further gains later in Q4. European markets were calm, with most buyers covered, and one producer raised tryptophan offers after CJ Europe’s 10% increase took effect. North American prices were mostly steady, though the low end of methionine fell. Brazilian methionine also fell while the rest of the complex held on ample stock.
Asia
Methionine prices maintained their stable-to-firm trend. Producers raised offers while focusing on fulfilling existing orders; traders’ offer prices also firmed.
Asian methionine prices are firming as production shutdowns support sentiment, prompting two international producers to raise offers by 5% and 10%, respectively. Buying activity also increased this week. However, new Chinese capacity, expected to come online in November, could ease supply pressure later in Q4 and limit further price increases.
Europe
European amino acid markets were stable this week, with one market participant describing conditions as calm as most buyers were covered and those with remaining volume delayed purchases until the last moment. CJ Europe’s 10% L-tryptophan price increase took effect on 5 October. One producer has already raised its offers in response, while existing contracts are being honoured.
North America
North American amino acid prices were mostly steady this week. Early in the week, the low end of the methionine range fell and the low end of valine edged up. International and Chinese lysine, threonine, and tryptophan held all week. Sources said Chinese DL-methionine was no longer competitive for export to the US after China shipped heavy volumes in September. Hurricane Isaias closed the Port of Mobile for one day, and sources said methionine production in the area appeared unaffected. In tryptophan, demand ran stronger than expected but trade was volume-driven with no price movement, which suggested adequate inventory. Lysine sources said soybean meal crush tightness was easing, though it will take a few weeks to show up in basis and diet formulations.
South America
Brazil’s amino acid prices were largely stable this week, and DL-methionine was the exception. Methionine values fell on lower buyer indications and a confirmed transaction late in the week. Lysine HCl, lysine sulfate, tryptophan, and valine held as participants reported ample stock and broadly balanced demand. Sources said threonine edged slightly higher, but it was unclear whether the move reflected the wider market or would last through the month. A national holiday thinned trade early in the week, and a strong Brazilian real (BRL) against the dollar kept lowering landed costs for importers.
Written by Crown Ashiwaju, Greg Potter, Lydia Ma and Elliot Holgate
