Supply issue forces shutdown of Evonik's methionine plants in Belgium
The German specialty chemicals producer said it does not expect an impact on earnings as a result of this development.
Dr Emmanuel Auer, head of the animal nutrition business line, Evonik, said the supply failure impacts both of its methionine plants in Antwerp.
“We have decided to send a force majeure notification to our customers and suppliers with immediate effect, in accordance with our contracts.”
The company is “investigating repair scenarios” and is expecting to have a solution “very soon”, he said.
Meanwhile, Evonik says it is trying to meet demand with stock materials.
The company added that its technical teams are working to address the issue and that customers will be kept informed as the situation develops.
DL-methionine output at Evonik
Evonik’s current annual global capacity in terms of DL-methionine, which it brands as MetAMINO, is around 730,000 metric tons. Along with the plants in Antwerp, the company produces DL-methionine in Alabama in the US, in Singapore and in Wesseling in Germany.
Relying on this production network, it supplies customers in more than 120 countries, which, it said previously, ensures a “structurally reliable supply of methionine on a global basis - regardless of geographic location.”
The largest plant is in Antwerp though.
Last month, Evonik announced a hike in the net price of MetAMINO by up to 9% globally with immediate effect, saying all existing contracts and supply agreements would be honored.
DL-methionine is an essential amino acid. When added to poultry and pig feed, the crude protein level in the feed can be reduced, thereby lowering the impact of farmed animal production on the environment, said the producer.