DL Methionine Price Trend and Forecast

DL Methionine Regional Price Overview

Get the latest insights on price movement and trend analysis of DL Methionine in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

DL Methionine Price Trend for the First Half of 2024

During the first half of 2024, DL methionine prices experienced a significant upward trajectory globally. The surge in demand for DL methionine across various applications, including animal feed, food additives, and pharmaceuticals, was a key factor driving this price increase. Rising costs of critical raw materials like ammonia and methanol further contributed to higher production expenses, supporting the overall upward trend.
 

DL Methionine Price Chart

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In China, manufacturing sector recovery and the seasonal demand surge ahead of the Lunar New Year strained DL methionine inventories, pushing prices higher. These conditions impacted not only the domestic market but also regions dependent on Chinese exports, such as the USA and Europe. Global supply chain disruptions, including delays at major transit points like the Panama and Suez Canals and adverse weather conditions, led to increased shipping costs, further elevating DL methionine prices. Rising consumer confidence in the US and Europe, driven by easing inflation concerns and anticipated interest rate adjustments, also fueled demand, supporting higher prices. Meanwhile, reduced manufacturing activity in China, linked to the Spring Festival holiday and maintenance shutdowns at key production facilities, constrained global supply, adding to the price pressures.

Geopolitical tensions, particularly between Iran and Israel, created further uncertainty, potentially disrupting trade routes and increasing transportation costs, thus contributing to the upward trend. The DL methionine market's outlook remained strong, bolstered by sustained demand across various sectors and persistent supply chain challenges. Factors like equipment shortages, port congestion in Asia, and rising ocean freight rates also played a role in maintaining high price levels.

As Western markets entered peak season months, increased demand coupled with continued supply chain constraints drove prices even higher. Monetary policy adjustments, such as interest rate cuts by the European Central Bank, aimed at stimulating demand, added to the bullish sentiment surrounding the DL methionine market. Overall, the combination of robust demand, supply chain disruptions, geopolitical tensions, and supportive economic policies contributed to the continued escalation of DL methionine prices during the first half of 2024.

Analyst Insight

According to procurement resources, the price of DL Methionine is thus expected to be primarily driven by the growing demand and supply constraints in the quarters ahead and is likely to end the year on a higher note.
 

DL Methionine Price Trend for Second Half of 2023

The market for DL-methionine, an essential amino acid used in animal feed, is driven by several industrial factors, primarily by the demand for high-quality animal protein. Additionally, the growth of the global livestock industry, particularly poultry and swine sectors, directly influences DL-methionine consumption. Market trends such as increased meat consumption and advancements in animal nutrition science also contribute to the demand for DL Methionine in industrial applications.

The Asian countries witnessed a rough trajectory during the third quarter of 2023 in terms of DL-methionine prices. The market depreciated by a significant margin as industrial demand slowed down, and in view of these weak sentiments, the production rates also declined. The dim market scenario was further negatively influenced by the inadequate number of overseas orders and rising uncertainties in the market's economic growth. However, towards the end of the quarter, the purchasing activities increased, projecting a positive influence on the market.

The fourth quarter, however, showed mixed sentiments. Initially, the rise in prices was supported by the inclining cost of crude oil and swiftly declining inventories. Additionally, the downstream food and feed industries also established some stability in their market activities and thus increased their procurement rates of DL Methionine, giving the prices a boost. However, this spark in the market was short-lived as the number of new orders in both domestic and overseas markets started to decline in the middle of the fourth quarter, causing oscillations in the DL Methionine prices.

Analyst Insight

According to Procurement Resource, the price of DL Methionine is expected to fall in the footsteps of the downstream fragrance and beauty industries, which have been on a positively inclining journey for the past few quarters.

Procurement Resource provides latest prices of DL Methionine. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.