These years, the demand to the Berberine HCL has been increased continuously. However, the price of the raw material of Berberine HCL has risen sharply from last April to this April. The factory purchase price of the fresh peel of Phellodendron Chinense Schneid has risen from RMB9.6 yuan/kg in May 2021 to the current RMB12yuan/kg, an increase of more than 25%. It showed that the price is not as stable as in previous years, and it is predicted that there is still a momentum of continued rise.
With extensive in-depth and comprehensive investigation and analysis, the reasons for the surge in raw materials of Berberine HCL are listed as follows:
1.The price of Chinese herbal decoction pieces of Phellodendron Chinense Schneid has continued to rise since April last year. In April 2021, the market price of Unshaved Bark of Phellodendron Chinense Schneid was RMB18 yuan/kg, and by mid-November 2021, the price rose to 21 yuan/kg. As one of the formulations of traditional Chinese medicine for prevention and treatment, the demand for Chinese herbal decoction pieces of Phellodendron Chinense Schneid is affected by the epidemic, and the market is not saturated after the new production ends, causing the price to rise directly to 30 yuan/kg from mid-November to early December. Up to now, the unified price of Phellodendron Chinense Schneid pieces has reached 33 yuan/kg, an increase of 83.3% compared with last year.
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Market Price for Unshaved Bark of Phellodendron Chinense Schneid. |
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| Price(RMB/KG) | ||||||||||||
| Y/M | Jan | Feb | Mar. | Apr. | May | Jun. | Jul. | Aug. | Sept. | Oct. | Nov. | Dec. |
| 2017 | 14 | 14 | 14 | 14.5 | 14.5 | 14.5 | 14.5 | 14.5 | 14.5 | 14.5 | 14.5 | 14.5 |
| 2018 | 14.5 | 14.5 | 14.5 | 14.5 | 14.5 | 14.5 | 15 | 15 | 15.5 | 15.5 | 15.5 | 15.5 |
| 2019 | 15.5 | 15.5 | 15.5 | 15.5 | 16 | 16 | 16 | 16 | 17 | 17 | 17 | 17 |
| 2020 | 18 | 18 | 18 | 18 | 18 | 18 | 18 | 18 | 18 | 18 | 18 | 18 |
| 2021 | 18 | 18 | 18 | 18 | 18 | 18 | 19 | 20 | 20 | 21 | 21 | 27 |
| 2022 | 30 | 32 | 32 | 33 | ||||||||
2:At present, the resources of the Phellodendron Chinense Schneid peel are limited, and there may be a period of 5-7 years of tight supply.
In the years before 2017, the price of the Phellodendron Chinense Schneid decoction pieces was very low, only about RMB9-14 yuan/kg, and the purchase price of fresh Phellodendron Chinense Schneid peel was only RMB1.6-2.5 yuan/kg, which dampened the enthusiasm of farmers for planting. Usually, the harvesting of Phellodendron Chinense Schneid bark requires about 8-10 years, and the harvesting by farmers is also one-time stripping. Therefore, it is expected that the supply of Phellodendron Chinense Schneid bark will have a fault of about 5-7 years, and the supply in some areas will take about even ten years for recovery.
3: Affected by the epidemic, China’s Southeast Asian border ports have been closed, and the channels of crude berberine (extracted from Common Fibraurea Stem Daemonorops margaritae (Hance) Becc.) imported from Southeast Asia have been blocked, which will also drive price of the Chinese Phellodendron Chinense Schneid peel to continue to rise.
To sum up, in this year’s berberine HCL market, if there is no significant reduction in global demand, the price will continue to run at a high level and even continue to rise. However, if there is a significant reduction in demand and the global epidemic situation is quickly brought under control, its price may keep stable or has a slight drop.
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Post time: Apr-20-2022
