Soybean: Soybean inventories keep falling this week due to smaller import volume and storage volume than the 1.58-million-tonne of crush. On the week as of March 8th, imported soybean stockpiles total 4,304,300 tonnes in main domestic coastal oil mills, a reduction of 611,100 tonnes by 12.43% from 4,915,400 tonnes last week, and by 23.77% from 5,647,200 tonnes of the same period last year. Port soybean stockpiles will gradually decline before the intensive arrivals in mid-to-late April.
Fig. 1: China’s coastal soybean carry-over stocks in recent years
Soybean meal: Soybean meal stocks have dropped marginally this week after buyers made replenishment upon modest price rebounds, coupled by output reduction amid declining operation rate. On the week as of March 8th, soybean meal stock in main domestic coastal oil mills is 668,600 tonnes, down 39,600 tonnes by 5.59% from 708,200 tonnes last week, yet up by 0.70% from 663,900 tonnes of the same period last year. The inventory will be little changed as downstream buyers will slow down their purchase pace in spite of a crush volume of around 1.62-1.64 Mln tonnes in the next two weeks.
Fig. 2: China’s coastal soybean meal carry-over stocks in recent years
Outstanding contracts: Outstanding contracts of soybean meal in oil mills have further increased this week in satisfactory trading. On the week ended March 8th, contracts in domestic main areas hold 2,587,500 tonnes unfinished, up 480,500 tonnes by 22.80% from 2,107,000 tonnes last week, yet sharply down by 58.11%% from 6,177,800 tonnes of the same period last year.
Fig. 3: China’s coastal soybean meal in outstanding contracts in recent years
