Vitamins are trace organic substances that humans and animals must obtain from food in order to maintain normal physiological functions. They play an important role in human growth, metabolism, and development. VD3 is also an indispensable vitamin.Vitamins neither participate in the formation of human cells nor provide energy for the body.
Vitamins are a group of organic compounds necessary for maintaining good health. This kind of substance in the body can neither be a raw material constituting body tissues nor a source of energy, but a class of regulating substances that play an important role in material metabolism.
China is a big country in the production and export of vitamins, and the vitamin industry shows strong cyclical characteristics. In 2015, China's vitamin output was 256,000 tons, accounting for 68.5% of global output, of which the export volume reached 198,000 tons, accounting for 77.3% of the total domestic output. China has become the largest country in the production and export of vitamins. China's vitamin industry has a great say in global pricing and competition.2000-2005 was the initial stage of China's vitamin industry from small to large, and from 2006 to 2017, it experienced a rapid development phase from large to large. Due to the drastic changes in the supply side, China's vitamin industry has experienced several rounds of ups and downs from 2006 to the present . Product price and profit fluctuations show obvious cycle characteristics.
The price alliance is effective when the
price is low, and the recent price trends of VA and VB5 are verified. Before
2015, it was mainly the market pattern change caused by the market evolution of
the industry itself. In 2015, the state proposed supply-side reforms to make
environmental protection an important exogenous variable that affects the
industry pattern. Most vitamins have undergone year-round integration and
market rebalancing. A relatively stable oligopoly pattern of about 4-6
companies has been formed. Under the oligopoly competition, the market tends to
believe that there is a loose "price alliance" between participants.
The price alliance is basically invalid when the price is high, and it is easy
to fall into the "prisoner's dilemma". When the price is low, it will
let the participants form spontaneously Mutual protection alliance,
profit-oriented common goals make the price alliance effective at this time.
The recent trends of VA and VB5 are corroborated. Unlike the previous grinding
period after the price of the vitamin industry fell at a high level.The price
bottomed out and the response speed exceeded market expectations. The strategy
and implementation rhythm of coordinated price protection among the industries
are highly tacit .
In the future, the price of vitamins will
fluctuate sharply or become normal. VD3 is expected to become the next price
increase of vitamins. Due to the relatively rigid demand for vitamins, which
occupies a small amount of downstream costs. And combined with the pricing
strategy determined by the oligopoly pattern and the short-term supply
uncertainty of small manufacturers.So the vitamin prices will fluctuate sharply
or become normal in the future. Due to the "mostly strong"
competition pattern of the VD3 industry, it is difficult to be shaken in the
short term. The market capacity is small, the suppliers are highly cooperative,
and the prices have risen in pulses every year. The right to speak is stronger,
VD3 is expected to become the next price increase of vitamins.
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