This week’s feed additive market update looks at the price hike for lysine, the localized feather meal market and the drop in price for vitamin A.
Lysine forward contracts show trend reversal Buyers of L-Lysine that waited to submit their orders in September are paying almost 20% more for full containers than those that bought in August. The forward contracts for deals entered into the Glowlit system show further price increases until a specific time in the future, at which point the trend reverses.
Feather meal & other by-products highly localized Even as new European regulations show promise for animal by-product markets, trade in them remains largely localized. Shipping constraints continue to prevent traders from alleviating tight markets, leaving buyers with fewer options. Those situated most closely to slaughter houses and rendering facilities benefit from their proximity.
Feather meal is a classic example of a product for which the global price is irrelevant. The vitamin A market continues its downward trend in prices. The forward contracts for deals entered into the Glowlit system show this trend continuing into the future, but with a clear end point. Keep in mind, however, that as additional forward contracts are entered this information updates in real time