Deteriorating Supply Conditions for Locust Bean Gum and Sharp Decline in Demand
First written in FY2025-H1. 1 of 3 entries say "Materialised", first in FY2026-H1. Latest entry: FY2026.
The whole theme swung hardest in 2025: 23 of 32 companies on the "Worse" side.
2 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「In the thickening and stabilizing agent business, conditions remained uncertain, including intensifying competition for some products where supply shortages had been resolved.」
Although supply shortages have been resolved for some products, the form in which the risk has emerged has shifted toward intensifying competition, representing a partial easing from the previous supply restrictions and sharp decline in demand. - FY2026-H1MaterialisedAnnual report
「In the thickening and stabilizing agent business, sales declined due to reduced usage and switches to substitute products resulting from surging market prices, as well as supply restrictions caused by political instability in countries of origin, although」
In addition to surging market prices, reduced usage, and switches to substitute products related to worsening supply conditions for locust bean gum and other products, supply restrictions caused by political instability in countries of origin have actually materialized as lower sales. - FY2025-H1First statedAnnual report
「As market prices for locust bean gum fluctuated sharply amid worsening supply conditions resulting from poor harvests in previous years, demand fell sharply and the market contracted substantially as customers reduced their usage and switched to substitute products. With orders from customers declining, sales volume and prices fell well below the year-earlier period.」
It is stated that worsening supply conditions originating from poor harvests in previous years, sharp market price fluctuations, and the sharp decline in demand and market contraction resulting from reduced usage and switches to substitute products actually materialized as declines in orders, sales volume, and prices for locust bean gum.