Vitamin E Outlook Remains Positive
Year:2017 ISSUE:17
COLUMN:INORGANICS
Click:352    DateTime:Nov.30,2017
Vitamin E Outlook Remains Positive


Both natural and synthetic vitamin E (VE) products are produced in China, with only about 20% of output volume being natural. The synthetic process is complicated, with high technical requirements. VE capacity is just over 100 kt/a, and output is more than 70 kt/a.
As of June 20, 2017, there are 375 national vitamin E production approval numbers. Seven are for original drug production. Twenty six GMP certificates for VE have been granted to producers, according to the CFDA website at the end of June. Outstanding among these firms are Zhejiang New Harmony Union Company Ltd. (four certificates), Zhejiang Medicine Xinchang Pharmaceutical Factory (three), Southwest Synthetic Pharmaceutical (three). In addition, Zhejiang Medicine Vitamin Factory, Roche (Shanghai) Vitamin Company, Peking University Medicine, Zhejiang Jinliyuan Pharmaceutical, Shaanxi Xiyue Pharmaceutical each obtained two, while Zhejiang Jutai Pharmaceutical  Co., Ltd., Anhui Big Oriental Pharmaceutical Co., Ltd., Zhejiang Nojin Pharmaceutical Co., Ltd., Northeast Pharmaceutical General Plant, Zhejiang Anglikang Pharmaceutical Co., Ltd. and Huazhong Pharmaceutical Co., Ltd. each obtained one.

Fluctuation of price

In recent years, the growth of Chinese VE export has been strong, and the main export destinations are North America, Western Europe and Asia. Over the years, the United States has been the largest importer of Chinese VE, taking over 10 000 tpy of exports, more than a quarter of total exports.
In recent years, fluctuation of VE prices in the international market is greater. The average export price in 2015 was the lowest – only 46% of that in 2011. In 2016, VE market prices started to stabilize and recover. In mid-April 2016, the average VE price in the domestic market reached RMB59 600/t, up about 44% compared to the beginning of the year. VE prices in the international market also rose, with Chinese VE prices rising to about US$14/kg from US$8/kg in 2015.
VE export prices have risen sharply, the manufacturers are profitable and the enterprises are busy with production. VE production increased rapidly in the short term, flooding the market. In 2017, VE prices began to decline. In mid-June 2017, the price of feed grade VE in China was also low, with some manufacturers quoting about RMB4 000/t.

Outlook remains positive

Demand for VE will likely tend to grow however, and the prospects are promising. There are three main reasons:
The first is that the application market should be wide and large. It has been collected by the Chinese Pharmacopoeia since 1977. In addition, it has been collected by US Pharmacopoeia USP40, UK Pharmacopoeia BP2017, Japanese Pharmacopoeia JP17, Korean Pharmacopoeia 10th edition, European pharmacopoeia EP9.0, etc. Vitamin E was also an early-entry variety of China's over-the-counter medicines. There are 61 non-prescription drugs involving VE, including unilateral preparations and many compound preparations, according to the CFDA website, as of June 20, 2017.
Vitamin E is also an ingredient in a variety of multivitamins, such as 21 Super-Vita, Centrum, Gold Theragran and other products. These products have annual sales of tens of billions of yuan all over the country, which are expected to grow in the future.
In beauty products, VE is an important additive of high-middle grade skincare products, and the major foreign skin cleansing companies all use it. In recent years, more and more domestic skin cleansing companies have also launched VE skin-care products, and the market potential is large.
Second, there is progress in clinical research. In recent years, domestic and foreign experts and scholars on the physiological and pharmacological effects of VE conducted extensive research. It has been found that VE is able to participate in various metabolic processes of the body, with many effects similar to ginseng. Its clinical value is more and more important. The applications are increasing, already involving medicine, surgery, gynecology, pediatrics, infections, dermatology, radiology, etc., so it has become one of the popular modern drugs.
Third, demand for feed additives is large. Currently, about 80% of the world's VE is used as a feed additive. Twenty percent of VE is used in medicine and food. Global feed production is expected to grow steadily by about one billion tpy (2%). Chinese VE is used mainly for feed additives, and China is expected to produce 240 million tpy of animal feed by 2020, so demand for VE will continue to grow.