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China corn products market: Latest market analysis presented

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PR-Inside.com: 2014-03-12 09:14:04
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Domestic market price of corn has been increasing after it has entered uptrend phase since late Nov. 2012 due to the increasing demand in downstream industries. On Jan. 14, 2013, the average market price of corn rebounded to be equal with that in early Oct. 2012.

Many corn deep-processing products such as corn oil, distillers dried grain solubles and high fructose corn syrup, enjoyed increasing market prices in Dec. 2012 thanks to the growing demand from the New Year holidays. After the holidays, the market prices of most corn deep-processing products saw a little fallback in early and middle Jan. 2013, but they may increase in late Jan. because of another consumption tide caused by Spring Festival holidays (Feb. 9-15, 2013).

Key Headlines

- Domestic supply of xanthan gum will increase obviously in 2013 because some producers will ramp up their capacities of the product.

- In Nov. 2012, China´s total import value of corn products witnesses 17% month-on-month decrease while the export value grows by 6% over Oct. 2012.

- Domestic market price of citric acid sees downtrend during Nov. 2012-Jan. 2013 because of its oversupply and decreasing cost.

- The market price of corn oil in China sees overall uptrend during Dec. 2012-Jan. 2013 because of increasing demand.

- On Dec. 25, 2012, Meihua Group notices that it plans to set up production lines of 1,000t/a pulluan and 1.5 billion/a pullulan-based capsules, which may create a new profit source to the company.

- Baolingbao recently makes progress in the production technology of oligosaccharides, which would increase competitiveness of its products in the future.

- Domestic output of sugar alcohol increases fairly rapidly in recent years thanks to increasing demand from downstream industries especially food and pharmaceutics industries.

- The output of glutamine in China is estimated to rebound to about 1,800 tonnes in 2012 after it suffers downtrend in the past four years.

- On Dec. 24, 2012, MEP publishes the renewed lists of citric acid and MSG producers meeting environmental laws & regulations.

- The increasing supply of corn and expected weak demand for corn in downstream industries will lead to sufficient supply of the product in H1 2013.

- Although China imports corn from Argentina in Oct. 2012 for the first time, it is unlikely to import a large quantity of corn from Argentina in the near future.

- Although China´s state reserve volume of sugar 2012/2013 is higher than expected, it will not change the market of sugar fundamentally.

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