# Ajinomoto Co., Inc. Enters into Agreement to Subcontract the Manufacture of Feed-Use Amino Acids to Meihua Holdings Group of China Rebuilding the Global Supply Structure to Accelerate Growth of the Animal Nutrition Business

> Ajinomoto Co. signed an agreement with Meihua Holdings Group of China to subcontract manufacture of feed-use lysine and threonine. Ajinomoto Animal Nutrition Group will sell the Meihua-made products under the Ajinomoto brand from fiscal 2018. Meihua is the second subcontractor for the unit's feed amino acids.

- Date: 2017-08-03 · published 2017-08-03T12:00:00.000Z
- Category: trade · region China · magnitude low
- Page: https://feedsoft.ai/events/69380-ajinomoto-co-inc-enters-into-agreement-to-subcontract-the-manufacture-of-feed
- Commodities: [Lysine](https://feedsoft.ai/c/LYSINE.md)

## Why it matters

Shifting more feed amino acid output to a large Chinese producer reshapes global lysine supply and adds to Chinese capacity. The effect on lysine prices is modest, but it reinforces the supply overhang that keeps amino acid prices under pressure.

## Read by commodity

- LYSINE: neutral

## Sources

- ajinomoto.com: https://www.ajinomoto.com/en/presscenter/press/detail/g2017_08_03.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.
