SunSirs: Glycine Market Stabilized at a High Level in December

　　Price trend

　　According to data from SunSirs’bulk list, the domestic glycine price continued to stabilize in December, and the average price of industrial-grade glycine stabilized at 35,000 RMB/ton.

　　Analysis review

　　According to the price chart of SunSirs, the glycine market was trending steadily in December and the price was firm. The mainstream quoted price of the market was 35,000 RMB/ton. The overall market was operating smoothly. Although the raw materials formaldehyde and ammonium chloride had declined to varying degrees, the cost impact was limited. The production of the enterprise was relatively stable, the inventory was small, and the delivery was smooth. They mainly completed the orders of old customers, and the new orders were limited.

　　In terms of demand: downstream prices of glyphosate have risen all the way, and the price of glyphosate technical has exceeded 80,000 RMB/ton, and the price at the end of December was close to 85,000 RMB/ton. Demand for glyphosate continues to be strong, and December is still the peak season for pesticide exports. Some agrochemical companies have already placed orders until March next year. Domestic and foreign demand remains unchanged, and prices tend to rise but never fall.

　　Market outlook

　　The glycine analyst of SunSirs believes that the current price of glycine has risen to a high level. After a month of sideways price adjustments, although there is support from the downstream glyphosate’s demand, considering the downstream acceptance, continued upward resistance is expected to be greater. In January, the price of glycine may see a slight price drop.