Vitamin B12 prices in China to remain stout by the end of Q1 2022

Ever since the Russian troops stormed Ukraine in the early hours of Feb 24th, China’s fast-moving markets are being consistently hit by energy haves and have-nots, havens, and non-havens. An all-encompassing effect has been witnessed across the world due to the surging Crude oil and gas prices, including the nations that are exporting oil and coal and nations that rely heavily on the energy imports. Amidst the current beleaguered economy, China is attracting more and more investors seeking safety. As the country was already on the road to recovery after the unprecedented outbreak of the Omicron variant that overtook Delta in late November, shutdown of markets due to the Spring Festival holidays & Winter Olympics left the demand & supply sentiments in a frenzy.

The 2022 Beijing Winter Olympics that started on February 4th has put China’s strategy to a new test. In the sudden wake of the Covid-19, the demand for several vitamins increased significantly in China as a holistic approach to fight infections and boost immunity. However, after the implementation of China’s zero-covid policy, major feed grade manufacturers such as Zhejiang NHU Pharmaceutical and Shangyu NHU Bio-Chem halted their operations in mid-December, which worsened the supply chain pressure of Nutra products across the domestic as well as offshore markets.

As Per ChemAnalyst, the prices of Vitamin B12 are anticipated to remain strong in the Chinese market in the forthcoming period on the back of bullish demand and stabilized offtakes. After the operations resumed in the country post-festive season with boosted sentiments, the demand for nutraceutical products is likely to remain firm in the domestic market until the end week of March. Rapidly increasing healthcare expenditure in China, coupled with the need for developing a healthy lifestyle, will further augment the growth of the nutraceuticals market. For dietary supplements, especially multivitamins, the pandemic induced a severe shortage, which has led to the cost of various raw materials impulsing across the nation, and that won’t be changing in the near term.