Comments: albeit operating rate in oil factories this week recovers, imported soybean stocks are still gained in Chinese major coastal areas till October 15th, week 41 in 2017, as massive soybeans arrive at ports in some regions, in detail, weekly stocks of imported soybeans have amounted to 4,627,800 tonnes, up 4.67% from the previous year's 4,421,000 tonnes with an increase of 206,800 tonnes, yet, up 37.79% from 3,358,600 tonnes in the same period last year. It’s expected that operating rate will continue to increase sharply next week with weekly crush soaring to 1.9 Mln tonnes, meantime soybean stocks are expected to be trimmed next week.
As oil factories start up in succession, the consumption of soybean meal stocks this week are significantly slowed down, with stocks a tad lower. Generally, soybean meal stocks in Chinese major coastal areas decline due to good turnover but increasing outstanding contracts in oil factories till October 15th, in detail, 783,100 tonnes of stocks in total, down 1.19% compared with 792,600 tonnes last week, a reduction of 9,500 tonnes, yet up 45.80% against the same period last year of 537,100 tonnes. Meanwhile soybean meal this week in outstanding contracts amounts to 4,778,800 tonnes, up 3.5% against 4,617,000 tonnes last week to increase 161,800 tonnes, yet up 46.96% from 32,51,700 tonnes over the same period last year. Operating rate will continue to increase next week, and soybean meal stocks in late October may be accumulated slightly.
Figure 1: Trend of Chinese coastal soybean carryover in recent years
Figure 2: Trend of Chinese coastal soybean meal carryover in recent years
Figure3: Trend of Chinese coastal soybean meal in outstanding contracts in recent years
