Price trend

According to the monitoring of SunSirs, the price of domestic corn starch rose first and then fell in March, with an overall fluctuation and downward trend. On March 1, the average price of edible first-class corn starch was 3,168.00 RMB/ton, while on March 31, the average price was 3,142.00 RMB/ton, with a decrease of 0.82% during the month.

Analysis review

In March, the price of corn starch by-products continued to be low, and the processing losses of enterprises increased. The continuous processing losses induced manufacturers to comprehensively raise prices. In addition, domestic corn starch inventory was relatively low, and under the support of the downstream rigid demand for corn starch, in the first ten days of March, the domestic corn starch factory price continued to rise.

In mid March, the operating rate of corn starch manufacturers remained low, and corn starch inventory continued to operate at a low level. The manufacturers' attitude towards price fixing remained unchanged, supporting the domestic corn starch price to continue to move steadily. In March, the price of domestic corn market fell back comprehensively. Under the continuous lower cost of raw materials, the downstream trading entities of starch had a strong wait-and-see attitude, and procurement was more cautious. The manufacturers' price-support cannot match the pressure of the continuous decline in raw material costs. In order to ensure shipment, in late March, enterprises successively lowered their factory prices, driving the domestic corn starch market prices to fall back comprehensively.

Market outlook

Analyst of corn starch products from SunSirs believes that the cost of raw materials continued to decline, downstream trading entities were cautious in purchasing and selling, and the operating rate of enterprises was still low. After the temperature rose, the demand for starch increased slightly, and it is expected that after entering April, there will still be some room for the domestic corn starch market price to fall, and the overall price will fall to around 3,100 RMB/ton before moving forward in a small shock.

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