Global Neomycin Sulphate Prices to Edge Down on Ample stock and Weak Demand

Neomycin Sulphate prices were bogged down into a stalemate amid weak cost support and gloomy demand but sufficient supply. Bearish fundamentals over the last three months still dominated the Neomycin Sulphate market tendency, resulting in massive stockpiles among manufacturers. However, end-user producers seemed to be in a solid wait-and-see attitude. As a result, manufacturers under sales pressure cut prices to promote sales.

In November 2022, China's Neomycin Sulphate prices kept the downtrend and reduced by 4% after a decline of 9.6% in October as demand was mute with poor buying interest. Covid cases resurgence from the end of October led to both logistic restriction and end-user run rate limitation, which resulted in Neomycin Sulphate inventory accumulation and lower offers. Besides this, prices dropped as end-user users sustained procurement based on a need-to basis amid the slashing demand in the domestic market. In addition, export orders were sluggish amid the overseas off-peak season, though exports of several producers were mild in the fourth quarter of 2022.

Meanwhile, Neomycin Sulphate prices sustained a downward price trajectory in Germany, with costs decreasing by 4.2% in November 2022 due to pessimistic market sentiments as domestic demand was lower than expected, especially from the primary end-user pharmaceutical industry. Therefore, market transactions were slow, and low import quotations from Asian countries. Besides, the freight charges from Asia to Europe were also on the verge of decrement as port congestion issues eased somewhat.

Not just in Asia and Europe, the Neomycin Sulphate market in North America has also witnessed relatively similar market dynamics, where the prices have declined this month. According to the data, the United States had around a 4.1% decrement in the Neomycin Sulphate price trend in November 2022 due to low requirements from the end-user sector. Market insiders held a bearish mentality, and downstream users were cautious. Also, abundant stock levels provoked traders to actively reduce prices to destock their endless inventory due to the upcoming Christmas Holiday.

As per ChemAnalyst's analysis, Neomycin Sulphate prices will likely follow a downward trend and resemble the present price trajectory in December. However, Neomycin Sulphate markets might be lower next month due to the consistent drop in demand for the product undermined by the dim international economic situation.