Global market developments of PAPs and Vitamin E50

Global market developments of PAPs and Vitamin E50

This week’s feed additive update takes a look at the latest developments regarding Processed Animal Proteins (PAPs) and Vitamin E50.

Rising commodity prices and shipping costs have strained the supply of feed ingredient chains around the world. With a 70% protein deficit, the European Union must import expensive protein sources from around the world. But now it appears that economic pressure is pushing the EU to reconsider the existing bans on Processed Animal Proteins (PAP) – like feed grade poultry by-product meal – a change that will supply some of the demand for protein from local sources. This change seems to come far sooner than even lobby groups involved in the matter had anticipated. While we wait to see whether conferences return in full force, we can be sure that the approval of PAPs by the EU would fundamentally change the balance of feed ingredients supply and demand around the world.

Vitamin E50

Last week, DSM reported that the production of key Vitamin E50 intermediates at its Yimante facility have now resumed following an incident at the end of April. This was preceded by a price increase from NHU for Vitamin E that got customers around the world to source material and increase interest on Glowlit for the product.

Glowlit data shows that the global price of Vitamin E50 has increased 23.5% since April 19th. As production increases, we’re waiting to see whether this price trend is sustained or when it will reverse.

Leave a Comment