Cofeed News: edible palm oil at China’s ports this week ended July 6th comes into at 567,900 tonnes, basically up 7,800 tonnes contrasting with 560,100 tonnes last week and up 139,400 tonnes by 32.5% as compared to 428,500 tonnes year on year, but vis-a-vis 624,000 tonnes the same week of June, it is still down 56,100 tonnes by 9%. Stocks of industrial palm oil are around 90,000 tonnes, up 6,100 tonnes by 7.3% from 83,900 tonnes attained last week.

    Till Friday, edible palm oil is seen piling up in stockpiles owing to some shipment arrivals. According to the latest investigation, imports of palm oil in July are estimated to be around 0.38-0.41 Mln tonnes (0.25-0.28 Mln tonnes of 24-degree palm oil, 0.13 Mln tonnes of industrial palm oil), down 40,000 tonnes from last estimates, and average 0.46-0.47 Mln tonnes of monthly soybean will arrive during August-to-September period. But narrowed price gap between soybean oil and palm oil at 688 yuan/tonne still dampens buyers’ interest in buying and subdues demand for palm oil in end users amid fragile palm oil futures at home and abroad this week. Traded volume of palm oil this week is around 2,100 tonnes, a tad higher than 1,000 tonnes last week. On this point, supply of palm oil is basically assured.

                          Figure: Comparison of domestic palm oil stocks in recent years

    Estimated imports of palm oil are shown as follows: July: approximately 0.38-0.41 Mln tonnes (0.25-0.28 Mln tonnes of 24-degree palm oil, 0.13 Mln tonnes of industrial palm oil), down 40,000 tonnes from last estimates; August: 0.47 Mln tonnes (0.34 Mln tonnes of 24-degree palm oil, 0.13 Mln tonnes of industrial palm oil). September: 0.46 Mln tonnes (0.30 Mln tonnes of 24-degree palm oil, 0.16 Mln tonnes of industrial palm oil), basically unchanged from last estimates. Arrivals of palm oil may change with the market and shipping schedule, therefore information will be updated according to latest shipments and possible defaults.