The global vitamins market – an overview
We always keep a very close eye on the vitamins industry and work directly with qualified vitamin producers supplying us from Europe, China and India. Our team of experts analyzes the fluctuations in the supply market for each individual vitamin with the utmost precision.
Since the final quarter of 2021 in particular, the majority of vitamin factories have been suffering production shortages. Environmental protection policies mean that strict new political guidelines have been introduced in China to reduce local energy consumption. In turn, some raw materials production has had to be shelved, with the result being supply bottlenecks and an increase in market prices.
What’s new?
Due in particular to the scarcity of coal and new environmental policy in China, the Chinese central government has passed strict political measures to reduce local energy consumption. Most of the raw materials used for vitamin production can no longer be produced at the usual cost under these conditions, and some raw materials production has even stopped completely.
The result of this is that raw materials prices for vitamins have skyrocketed and availability has become scarce.
The raw material price for vitamins such as biotin and vitamins B1, B5 and B6 rose by as much as 100 % within a matter of months. Most manufacturers of vitamins like B5 and B6 have stopped offering quotes entirely.
Looking to the future
In late 2021 the strict state controls were relaxed and the tense situation improved for most vitamin producers. The factories for vitamins B1, B6, B12 and biotin are gradually getting back to normal production levels and a normal price range, while market prices are no longer rising so sharply.
Due to the ongoing lack of production in China, the supply of vitamin B5 remains strained in the European market. There is likely to be improvement, however, in relation to vitamins B1, B6, B12 and biotin.
But for Vitamin B5, the tensive situation remained until beginning of 2022. Due to the continues production deficiency from China to European market, Vitamin B5’s market supply is getting more tensive.
Please feel free to contact us if you have any further questions or comments.
Dr. Robert von Rönn
Head of BU Life Science
Telefon: +49 40 300 501 8188
E-Mail: r.vonroenn[at]tergroup.com