45th Edition Foodcom ADDITIVES Newsletter

Hello Partners!

Welcome back to our Newsletter!

In our latest newsletter we look at the trends in the amino acid market that are affecting the prices of Lysine, Threonine, Methionine, Tryptophan, Citric Acid and Vitamin C. These price changes highlight the increasing demand and challenges in the supply chain. We also emphasize the industry’s focus on innovation and sustainable development. We invite you to follow these important updates that are shaping our market.

Let’s take a look at what else is happening on the market!

Hottest Products of the Week!

Methionine

The Methionine market is experiencing rapid growth after a period of stagnation. An increase of 3.66% from the 51st week of 2023 to the 8th week of 2024 signals a recovery in demand. This positive trend could indicate increased use of Methionine in sectors such as animal feed and dietary supplements, highlighting its strategic importance in the agrochemical value chain. Companies may feel pressure to secure supply given the growing market value of this amino acid.

Tryptophan

Tryptophan prices are rising rapidly, up 6.45% in the first eight weeks of 2024. This trend indicates that Tryptophan, an important ingredient in animal feed and dietary supplements, is increasing in value. Continued growth could indicate a need to adjust industry purchasing strategies, with a focus on supply chain security and potential inflationary pressures in the amino acid market.

Citric acid

The Citric Acid market is facing price increases in early 2024 due to plant shutdowns in Asia Pacific, geopolitical tensions in the Red Sea and rising costs of corn starch – a key raw material for acid production. Currency fluctuations in Europe and rising raw material prices are putting additional pressure on the market. These challenges are also expected to have an impact in the first quarter of 2024.

Vitamin C

The Vitamin C market is experiencing remarkable growth with a price increase of 58.2% in the last months of 2023 and early 2024. This astronomical rise could be the result of growing demand for immune-boosting products. Such dynamic price changes will inevitably impact the strategies of both manufacturers and consumers, potentially leading to a search for alternative sources of the vitamin or accelerated research into synthetic substitutes.

What else?

Pregis LLC, in partnership with ExxonMobil Corp., has launched a new foam packaging product made from certified round polyethylene resins that promotes the development of sustainable packaging. The product, which meets consumer demand for high performance and circular plastic solutions, is manufactured using ExxonMobil’s advanced recycling technology. Both companies have achieved ISCC Plus certification, which ensures that foam packaging produced at Pregis’ Kentucky and California plants helps reduce plastic waste and promote a circular economy in the packaging sector.

Evonik Industries has partnered with the College of Mainz, Germany, to commercialize randomized polyethylene glycols (rPEGs) designed to improve drug delivery, which could be on the market by the end of 2024. These new PEGs are tailored to pharmaceutical applications and increase the efficacy and safety of drugs.

On February 21, 2024, Chevron Mediterranean Limited will carry out scheduled maintenance work on the Tamar gas platform offshore Israel, including controlled gas flaring to ensure safety. This follows a $24 million investment in a project to increase production from the Tamar field. Part of this expansion is a new pipeline to be completed by 2025. In addition, Chevron has signed an agreement to export gas to Egypt. Despite recent tensions in the region, Chevron says maintenance and flaring pose no threat to the community and intends to continue to meet Israel’s energy needs.