The international positioning of antibiotic products is no longer "affordable"

Business club October 13 hearing this year, most antibiotic raw materials prices appear out of stock phenomenon, but this round of price increases is not as blind as in the past, but in a certain environment and conditions for price and supply adjustments.

Due to the adverse effects of the slowdown in the world economy and the appreciation of the renminbi, the international market environment in 2010 is not optimistic. Since the negative growth in exports of chemical raw materials in 2009, efforts have been made to improve the value orientation of the export of raw materials and to speed up the upgrade of the variety structure. The stagnation of exports of raw material medicines last year has been effectively improved. It is in this context that antibiotics have seen major changes in 2010. The positioning of products in the international market is no longer a matter of “quality and cheapness”.

In 2009, the prices of antibiotics generally declined, and some companies adopted price increases in the event of a shrinking value. Since 2010, most of the antibiotic raw materials have appeared in the phenomenon of price increase and shortage of goods, including some veterinary antibiotics; in addition, the out-of-stock phenomenon of some products has not even been improved. In general, this round of price increases is characterized by long duration and small room for price declines.

This year, antibiotic raw materials have generally risen in price, and the market demand has not decreased. It can be seen that the international market has become increasingly dependent on Chinese raw material medicines. In fact, this year's price increase is not as blind as it used to be. It is the adjustment of prices and supply under certain conditions and conditions. The fact that the increase in 2008 is too high and the price declines in the later period is not repeated.

Penicillins: a long period of stability

The price of penicillin industrial salt is maintained at 75 yuan/BOU, and amoxicillin is maintained at 235 yuan/kg

In the first three quarters of 2010, the market for penicillin-based APIs was a series of twists and turns. Since July, prices have remained at a relatively stable level over the years, and the maintenance cycle has been long.

In 2008, the market price of penicillin industrial salt rose from 60 yuan/BOU to 130 yuan/BOU, and dropped from 130 yuan/BOU to 55 yuan/BOU. In 2009, the price remained at 55 to 70 yuan/BOU, and in 2010, From the beginning of the year, 55 yuan/BOU rose to the current 72 yuan/BOU. Due to corn and starch price increases and environmental protection pressures, most companies adopted the production cuts and production cuts at the cost line, which caused prices to rebound slightly. . In fact, the market demand for penicillin industrial salt itself has been decreasing, and the focus of production companies has gradually shifted to downstream products. More room for growth lies in 6-APA, amoxicillin and ampicillin.

The overall demand for amoxicillin and 6-APA this year is stable, and exports have been growing. The domestic price of amoxicillin emerged from the sluggish market in the first half of the year. Since the raw material medicine conference in Harbin in May, the price of 6-APA and amoxicillin has been raised from 190 yuan/kg to 220 yuan/kg in June. Since the month, the price has been basically maintained; in September, the price has risen again and the price has reached 235 yuan/kg. Compared with the past, the increase is not significant.

With the advent of autumn and winter seasons, the demand for penicillin raw materials has increased. It is expected that the prices of penicillin industrial salt and amoxicillin may increase slightly in the future.

Cephalosporins: weakened effect of intermediate shortage

The price of 7-ACA is maintained at 750-800 yuan/kg, and the prices of downstream products are relatively stable

The overall demand for the cephalosporin product market was stable this year, with prices slightly lower in the first half of the year. In terms of exports, ceftriaxone sodium, cefazolin sodium, cephalexin, cephradine, and cefotaxime have all shown growth in the first half of the year. Since the second half of the year, the supply and demand of its intermediate 7-ACA has affected downstream cephalosporin prices. As the 7-ACA chemical production process gradually withdrew from the market, chemical companies such as Shiyao Pharmaceutical Co., Ltd. and Fukang Chemicals Co., Ltd., which previously used chemical processes, have all adopted the enzymatic method this year. In the replacement process, the supply of products is short, and there is no exact match in the application of some cephalosporins, so the quality of some varieties will be affected.

After the stable production of 7-ACA, its market supply increased, and the cost of enzymatic methods decreased. Therefore, price competition will be an inevitable trend. In the fourth quarter, the price of 7-ACA may remain at around 750 yuan/kg, and the price of downstream products is relatively stable.

In addition, cephalexin and cephradine were affected by the low price of 7-ADCA in the first half of the year and the price was always low. The market did not have a big improvement, but it slightly improved in the second half of the year. At present, the market price of cephalexin is about 380 yuan/kg; the price of cephradine is 420 yuan/kg; cefixime and cefaclor are also affected by the increase in prices of upstream products, and the prices have changed slightly.

Macrolides: Quotes remain high

The price of erythromycin thiocyanate is maintained at 450-480 yuan/kg, which is the highest price increase for antibiotics.

This year, the macrolide raw materials maintained a high market last year, and the price of antibiotics had the highest price increase. After this price increase, the business cycle has been maintained for a long time and the product price remains high. It is expected that the price will not change much in the fourth quarter and will remain high.

At present, the supply of erythromycin thiocyanate production companies is limited, the export price is 75 US dollars / BOU, the domestic price is as high as 480 yuan / kg. Mainly because there is no major change in the domestic competitive landscape, the company's competitiveness is prominent, and In the international market, there are few competitors and strong dependence.

With the increase in the amount of macrolide downstream preparations and raw material export demand, the current domestic market demand for azithromycin, clarithromycin, and roxithromycin is increasing, making the supply of erythromycin thiocyanate increasingly tense. The domestic price of azithromycin is stable at about 1280 yuan/kg, and the price of clarithromycin is about 1,600 yuan/kg. The price changes in the fourth quarter will depend on the availability of erythromycin thiocyanate.

Quinolone: ​​Demand is in strong supply

The price of ciprofloxacin hydrochloride is maintained at 200 yuan/kg, and the price of other quinolones is relatively stable

The quinolone bulk drug does not have a large share in the entire antibiotic class, with ciprofloxacin hydrochloride, ofloxacin, levofloxacin, and enrofloxacin in the upper scale. Among the major products this year, the prices of ciprofloxacin hydrochloride and enrofloxacin are generally higher.

This year, the domestic and international demand for ciprofloxacin hydrochloride is still strong, and the supply has been tense. The price at the beginning of the year was around RMB 170/kg. Starting from April, the quotation reached RMB 200/kg. This is mainly due to the control of ciprofloxacin intermediates by Zhejiang Guobang Pharmaceutical Co., which prevents other companies from producing at full capacity. The price of other quinolones is relatively stable. At present, the price of enrofloxacin is maintained at around RMB 200/kg; the price of levofloxacin hydrochloride has not changed much and is still around RMB 260/kg.

Antibiotics for veterinary use: demand persists for a long time

Oxytetracycline prices at 75 yuan / kg, the price of doxycycline also rose

Another highlight this year is raw material for veterinary antibiotics. Since last year, most of the products have maintained high prices, and the tight supply conditions have lasted for a long time, such as chlortetracycline, terramycin, and neomycin, and the supply has not yet stabilized. The price is also rising.

Since the oxytetracycline raw materials entered into September, prices have started to rise, and manufacturers have had difficulties in supplying them. Prices are currently around 75 yuan/kg. Subsequently, its downstream doxycycline was also affected. The quotation increased from the previous 310 yuan/kg to 330 yuan/kg, mainly due to the decrease in production of Shijiazhuang Huayu Pharmaceutical and Huabei Pharmaceutical. In addition, chlortetracycline premixes also maintained a good market, domestic production was relatively concentrated, and prices and supply have been tense.