Vitamin C Compression Nearly 30%

On April 12, the Medical Insurance Association held a meeting of all members of the Vitamin C branch in Beijing. In addition to the summary of the work of the Vitamin C subcommittee, amendments to the Constitution of the Vitamin C subcommittee, election of the board of directors, the relevant ministries and commissions of the country are also advised to strengthen the management of vitamin C production and export.

According to relevant industry sources told reporters, early this month, vitamin C production companies have received a "2011 vitamin C production plan and other matters notice." The document issued jointly by the National Development and Reform Commission and the Ministry of Industry and Information Technology pointed out that in order to maintain a basic balance between supply and demand in accordance with domestic and international market demand, the national vitamin C production plan was set to be 100,000 tons in 2011.

It was revealed that in Liaoning Province, where Northeast Pharmaceutical was the main producer, Hebei Province, with a production plan of 18,400 tons, Shiyao, and North China Pharmaceuticals, received 33,600 tons; Jiangshan Pharmaceuticals, Jiangsu Province received 16,000 tons, and Shandong Province won 1.88 million tons and so on.

According to statistical information from the authoritative department, the total amount of vitamin C exports during the 1-2 months of this year was 18,000 tons, which was an obvious increase.

"At present, the total market demand is between 910,000 to 100,000 tons. If the country's total production can be controlled at 100,000 tons this year, it will be able to achieve a balance between supply and demand, and the price will be reversed." Securities reporter said.

Government departments to promote production planning policies will promote the healthy development of vitamin C industry. According to Lu Linquan, in the past, the industry has participated in many new competitors, and domestic companies have waged price wars. As a result, the export price of vitamin C in China has continued to fall, seriously hurting the healthy development of the industry.

The key issue now is the implementation of policies. Lu Linquan believes that all relevant state agencies should introduce strong regulatory measures to achieve this year's planned production targets. "The extent to which policy regulation can be achieved determines how much it will play."

Mr. Zhou, an analyst at Healthnet Pharmaceuticals, told reporters that the policy will be formally announced and it is uncertain whether it will be implemented smoothly. He took Hebei Province as an example. “The province’s production target is 33,600 tons, but how should North China Pharmaceuticals and Stone Drugs allocate this index?”

According to statistics, in 2010, the national export volume of vitamin C was 114,000 tons, and the national output was about 130,000 tons. A pharmaceutical industry researcher of a brokerage firm said that according to the national production plan, the existing production plan will be compressed to close to 30%. If the production plan can be strictly implemented, it will have a greater impact on the supply and demand of vitamin C, and vitamin C may reverse the price. Downturn situation. He pointed out that the listed companies involved in vitamin C are mainly Northeast Pharmaceutical and North China Pharmaceutical.

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