US Threonine Prices Experience Mixed Trends: Feed Grade Costs Surge while Food Grade Sees a Dip

The prices of Threonine demonstrate a mixed pricing trajectory across the international market, primarily in the United States, as June 2023 concludes. The cost for feed grade surged by around 7 percent in June, while for food grade, it dropped by 6 percent after demonstrating a stable increment trend. Various factors such as the rise in domestic inquiries, surge in upstream cost, and operational charges kept the prices of Threonine on the north side during June.

Threonine is considered a key amino acid used in a variety of applications, including animal feed, food, and dietary supplements. Demand for Threonine has increased since April 2023 due to rising domestic demand from various end-user sectors.

The US market has experienced a continuously increasing trend for Threonine during this month; more Threonine material was consumed, and domestic demand continued to rise. The industry, however, is likely to boost its operating activities. The market is expected to become more competitive, such as China's manufacturing unit "Fufeng" plans to start production at a higher rate again in China to meet up global surge in demand. This will likely positively impact the market for Threonine in the United States because the local retailers and suppliers still possess fewer supplies for feed grade and would focus on raising their shelves, which will result in higher import momentum, i.e., higher exports.\

The market price of Threonine in Europe also demonstrates an upward market trend for feed grade, i.e., higher compared to the previous month, while prices continued to decrease for food grade. Similarly, in China, Threonine has experienced a price increase. Higher fermentation costs for feed-grade Amino Acids such as Threonine, Lysine propelled the manufacturers to raise domestic and international prices and keep their inventories enough to meet the surging necessities. Besides this, regarding food grade, the prices of Threonine dropped in both regions, such as the US and Europe. One of the primary reasons behind that includes the storage, which was enough concerning the poor demand. The trading activity for food-grade Threonine also remained weak, mainly depending on traders' inquiries.

According to ChemAnalyst analysis, " In the upcoming months, it is anticipated that the price of Threonine for feed grade would remain on the upper side while for food grade will continue to decline with the same rate. Trade activity in the international market is projected to remain variable in the coming months, particularly from China to the USA and Germany.