Erythromycin Thiocyanate
Year:2007 ISSUE:27
COLUMN:MARKET REPORT
Click:224    DateTime:Sep.25,2007
Erythromycin Thiocyanate      

Erythromycin thiocyanate is a major intermediate for macrolide API (active pharmaceutical ingredients). Its downstream products include erythromycin, azithromycin, clarithromycin and roxithromycin.
    The output of erythromycin thiocyanate in China reached around 8 thousand tons in 2006, an increase of around 30% over 2005. Major producers today include Ningxia Qiyuan Pharmaceutical Co., Ltd., Yidu HEC Biochem Co., Ltd., Sichuan Shanshan Pharmaceutical Co., Ltd., Henan Xinxiang Huaxing Medicines Factory and Xi'an Lijun Pharmaceutical Co., Ltd. The market share held by these 5 producers has reached more than 90%. Ningxia Qiyuan Pharmaceutical Co., Ltd. is the largest erythromycin thiocyanate producer in China and the output in the company reached 3 thousand tons in 2006. Other two producers with annual output is more than 1 thousand tons are Sichuan Shanshan Pharmaceutical Co., Ltd. (2.6 thousand tons) and Yidu HEC Biochem Co., Ltd. (2 thousand tons). Owing to the brisk demand in recent years, domestic enterprises are conducting construction and expansion of erythromycin thiocyanate units. It is reported that the 3.6 thousand t/a expansion project in Sichuan Shanshan Pharmaceutical Co., Ltd. is under way.
   The output growth of erythromycin thiocyanate in China was mainly be digested by export before 2006. The exported amount reached 1 172 tons in 2006, an increase of 36% over 2005. Changes have appeared in 2007. The demand for erythromycin thiocyanate in the domestic market has increased rapidly and erythromycin thiocyanate produced in China has shifted from the use mainly for export to the use mainly in the domestic market. The macrolide API sector has also shifted from the direct export of erythromycin thiocyanate to the export of products with high added value such as azithromycin, clarithromycin and roxithromycin.
   The exported amount of erythromycin thiocyanate was only 496 tons in the first half of 2007, a drop of 23% from the same period of 2006. The export of major downstream products including azithromycin, clarithromycin and roxithromycin has however grown rapidly. It shows that the profit growth of pharmaceutical producers in China have already depended on downstream products.

Export of Macrolide API in China
   in the First Half of 2007
Product           Export (ton)    Growth (%)
Clarithromycin    83                186
Azithromycin    156               88
Roxithromycin    21                153
Source: CNCIC