Herbridge, 5 Sept. 2011_The rutin industry is excited to see a good harvest for huaimi(sophora flower bud) this year in China. But rutin prices decline to a surprised level in short term. Specially, the prices for NF11 version decreased to 250RMB/kg in early August from 360RMB/kg before the harvest. Rutin prices have bounded slowly and are expected to rise under stable conditions in the future, said Wu Li, Marketing Manager of Okaypharm Co., Ltd.

The previous years' storage was almost out before 2010 harvest and the very poor harvest caused huaimi prices to surged, resulted into recorded prices for rutin in China. Industry players predicted before 2011 harvest that rutin prices might decline slowly attibuted to potential good harvest this year. It is a fact that rutin prices declined sharply in early August, exceeding industry expectations. But it is not hard to understand the situation when you learn huaimi prices profile after the new harvest.

Huaimi prices continued to decline and once to 27RMB/kg after the new crop arrival. But rutin manufacturers didn't buy large huaimi at the price level. On the one hand, many farmers and traders expected high prices for huaimi, which were very high last year. They are reluctant to sell huaimi at the low prices. On the other hand, rutin manufacturers expected huaimi prices to further decline and delay purchasing activity. Huaimi prices began to rebound in mid-August when rutin manufacturers started purchasing raw materials step by step. In other word, rutin manufacturers didn't buy large amounts of huaimi at the lowest level. Therefore, it is nature to see higher prices for rutin as huaimi prices rebound in the future.

Okaypharm, the leading supplier of rutin, quercetin, diosmine and L－a-Glycerophosphoryl in China, told herbridge.com," China can meet all-year rutin demand based on the harvesting condition this year. Rutin is expected to see higher prices as huaimi prices rebound in the future, but may not rise significantly. " According to herbridge.com, the inflation and resulted higher labor cost make it hard to decline for huaimi prices. Moreover, we cann't exclude the possibility that huaimi prices rebound as huaimi available becomes smaller and smaller.

According to herbridge.com, most rutin manufacturers take orders to carry out production in China. The prices for NF11 version and EP6 version have rebounded to 280RMB/kg and 380RMB/kg, respectively. The market is relatively stable in China.

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