(Yicai Global) Dec. 6 -- When India's largest vitamin D3 factory stopped production after a fire last week, this sent vitamin D3 prices in China through the roof -- and the sector's prospects likewise on an upward trajectory.

China's leading vitamin D3 manufacturer Zhejiang Garden Bio-Chemical High-Tech Co. (Zhejiang Garden) has raised the price of its vitamin D3 to CNY900 (USD136.08) per kilogram, a significant rise from its usual CNY600 to CNY620/kg before the conflagration, Cnstock.com reported today.

The production suspension at its Indian factory has thus been a boon for Zhejiang Garden's sales, as the company currently has an annual production capacity of 5,000 tons of D3.

The Indian factory is affiliated to Fermenta Biotech Ltd., the main supplier of vitamin D3 in India. Vitamin D3 is mainly used in animal fodder, where demand for it is steady. The vitamin D3 industry was affected by de-stocking in the first half of this year, which resulted in price stagflation. Overall stocks of the feed supplement are relatively low, and as downstream customers are poised to purchase it for the forthcoming spring, the sector's prospects look good as a result.