Raw Materials Bullish,Piperine Remains Temporarily Stable Supply
date:2012-03-12
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Piperine market has been relatively stable recently. In China, raw materials of piperine come from two sources: home-made raw materials, primarily purchased from Hainan, Guangxi, Guangdong, and Yunnan, etc.; and raw materials purchased from the large pepper producer, India. In Chinese market, piperine and curcumin are similar, raw materials of which both purchased from home and India. Furthermore, raw materials from India always have better quality than those from home. 

Some domestic piperine producers use Indian pepper as raw materials. Thus they may be challenged by price changes in the future, though they can ensure a stable product quality. However, according to Herbridge Media, most domestic piperine producers believe prices of Piperine 95% and Piperine 98% are relatively stable. They have no express intent of price increase. Therefore, the domestic piperine market will remain stable in the near future. No significant effect has been produced by Indian market. Quoted prices of both Piperine 95% and Piperine 98% are not over RMB 4000/kg in China.

According to other information, in 2011, total yield of pepper in India was 5% lower than that in 2010. Future inventory tends to be unsatisfactory. However, Viet Nam is also a large producer of pepper, also located in the tropic zone. In this March-April, new pepper produced in Viet Nam will effectively ease and impact the high prices in Indian pepper market.

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