Soybean: soybean stocks this week pile up in mills as imported soybeans earlier arrived at ports are now unloading amid sufficiently large arrivals. In week 31 ended on August 3rd, imported soybeans in China’s main coastal areas amount to 6,660,300 tonnes in stockpiles, a growth of 283,100 tonnes or 4.43% vis-a-vis 6,377,200 tonnes last week, and also up 10.29% contrasting with 6,038,500 tonnes year on year. Subject to several days of scorched weather, most mills in Tianjin are forced to suspend operation for one week and some in Shandong are also required to limit operation to 30% from date August 4th upon electricity rationing. As such, soybean stocks next week in mills will continue to pile up when operation is probable to resume in a normal level till August 14th.

    Soybean meal: soybean meal is seen shriveled in stocks this week for its rallying prices amid upward futures attract buyers to make proper replenishment. Till August 3rd, total stocks in costal major areas settles at 1,216,500 tonnes, down 32,100 tonnes by 2.57% from 1,248,600 tonnes last week, yet contrasting with 1,159,200 tonnes year on year, it is otherwise up 4.94%. Soybean meal next week are forecast to go down in stockpiles in the event that mills in Tianjin and Shangdong either suspend or limit operation.

    Soybean meal amounts in outstanding contracts till August 3rd have largely increased to 6,486,000 tonnes for week 31 extends to early August from Late July, up 1,190,900 tonnes by 22.49% from 5,295,100 tonnes last week, and up 18.42% as compared to 5,477,000 tonnes year on year. 

                        Figure 1: China’s coastal soybean carry-over stocks in recent years

                   Figure 2: Chin’s coastal soybean meal carry-over stocks in recent years

                Figure 3: China’s coastal soybean meal in outstanding contracts in recent years