I．Port stocks in China

Cofeed News: till November 17th(this week), stocks of edible palm oil at China’s ports have climbed to 512,700 tonnes by 5.3% from 486,700 tonnes last week, and up 16.6% against 439,500 tonnes the same period last month with an increase of 73,200 tonnes; while stocks of industrial palm oil have jumped to 69,500 tonnes by 8.4% from last week’s 64,100 tonnes, with a rise of 5,400 tonnes. Generally, domestic stocks of palm oil soar to over 0.5 Mln tonnes and Chinese buyers are still proactive in procurement as import margins go better though price gap between soybean oil and palm oil spots is regained to 368 yuan/tonne, still far below the normal level of 800-1,000 yuan/tonne. In addition, the blending of palm oil is seriously affected by colder weather in China, consequently, sales of palm oil is quite dim. Later, domestic palm oil will continue to accumulate where around 0.54 Mln tonnes will be piled up in the end of November.

                Figure: Comparison of domestic palm oil stocks in recent years

II．Arrivals

    Imports of palm oil are estimated to be 0.48-0.50 Mln tonnes in November(0.36-0.40 Mln tonnes of 24-degree palm oil, 0.1-0.12 Mln tonnes of industrial palm oil), and about 0.45 Mln tonnes in December(0.33-0.35 Mln tonnes of 24-degree palm oil, 0.1-0.12 Mln tonnes of industrial palm oil). Arrivals of palm oil may change with the market and shipping schedule, therefore information will be updated according to latest shipments and possible defaults.