In the second half of 2024, native starch prices experienced notable upward pressure. Following earlier price cuts, producers actively sought to raise prices for deliveries in the third quarter, aiming for a significant increase. However, negotiations with buyers, particularly from the paper industry, proved challenging, and suppliers were unable to fully achieve their targets for native wheat starch.
Meanwhile, potato starch prices climbed globally due to strong demand and tight supplies. Extreme weather events in China, including floods and heatwaves, reduced potato yields, pushing raw material costs higher.
Similar trends were seen in the U.S. and Europe, where improving economic conditions and rising consumer confidence supported stronger demand for potato starch. Corn starch also faced price hikes due to increased agricultural costs, shipping disruptions, and ongoing high demand from food, pharmaceutical, and industrial sectors. Across all native starch types, supply constraints combined with robust demand led to a generally bullish market for H2’24, though some segments like wheat starch saw resistance from buyers, limiting the full price recovery.