Naproxen Prices Rise Globally on Account of Improved Demand

The prices of Naproxen an Active pharmaceutical Ingredient (API) have inclined globally throughout the first half of the first quarter 2023 on the back of high end-user demand and moderate inventory levels. Also, current breakdown of China's zero-Covid policy and the looming mild recession according to various market experts were the main causes of price surge of Naproxen.

Rising prevalence of pain and inflammation which have resulted in acute chronic disease were one of the primary factors that drove the market demand for non-steroidal anti-inflammatory drugs such as Naproxen, ibuprofen, and others. Earlier the suppliers and traders for Naproxen (non-steroidal anti-inflammatory drug) stated that the Covid-19 outbreak was one of the driving factors that resulted in higher demand for drugs, which was further made worse by long lead times. As January approached the inquiries from international market surged in China which compelled the manufacturers there to increase their production capacity because of the arrival of Lunar New year which in turn caused in temporary stoppage of manufacturing units and lack of labours.

Ibuprofen, Diclofenac, Naproxen and others are the commonly prescribed drugs used to provide relief form pain, and reduce swelling (Inflammation) which was another reason that kept the market trend of Naproxen on an upper side stably as its usage remained consistent. Besides this, ease in protracted supply chain constrain in Germany and the United States helped the domestic traders to put bulk orders in advance as the domestic inventories started to decrease.

Other than this, Energy prices remained the biggest concern in January, but once more softened from previous levels. The Euro zone inflation dipped for a third consecutive month in January and soared consumer price index all together supported the positive market trend for Pharmaceutical API’s including Naproxen.

As per ChemAnalyst analysis, "the cost of Naproxen are projected to follow an inclined trajectory in upcoming months. However, emerging markets are expected to face healthy disinflation which is likely to support the positive price trend. With the demand side moving positively, market participants would focus on raising their inventory levels among them.”