This week (1st-7th, Sept), operation rate continues its rise in domestic cottonseed oil mills, mainly due to the machine resumption after maintenance in Shandong and Hebei. Among 136 oil mills surveyed by Cofeed, 16 oil mills are in operation (some are not in full state) this week. The stock of cottonseed crush volume in national oil mills amounts to 33,880 tonnes (cotton oil to 3,908.8 tonnes, cottonseed meal to 16,899.4 tonnes, cottonseed hull to 8,470 tonnes, and cotton linter to around 4,065.6 tonnes), up 2,980 tonnes over last week’s 30,900 tonnes by 9.64%; it also sees an increase of 23,580 tonnes as against 10,300 tonnes during the same period last year by 228.93%. (Operation rate over the same period last year was lower, which was attributed to down state of machines in most national mills under environmental protection inspection and less cottonseed supply, while this year’s cottonseed supply sees an increase over last year.) Operation rate in cottonseed oil mills this week is 9.53%, up 0.84% from last week’s 8.69%, and up 6.63% from 2.90% during the same period last year. And operation rate in cottonseed oil mills is predicted to go up slowly before new cottonseed meal floods into market. 

     Fig.1: Cottonseed Operation Rate in China (2013-2018)

    Fig. 2: Cottonseed Crush Volume Weekly in China (2015-2018)