Soybean: Soybean inventories keep falling this week due to smaller storage volume than the crush volume, which has although fallen to 1.51 Mln tonnes. On the week as of March 15th, imported soybean stockpiles total 3,865,700 tonnes in main domestic coastal oil mills, a reduction of 438,600 tonnes by 10.19% from 4,304,300 tonnes last week, and by 23.44% from 5,049,500 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 further this week amid strong trading since March, coupled by declining operation rate. On the week as of March 15th, soybean meal stock in main domestic coastal oil mills is 643,900 tonnes, down 24,700 tonnes by 3.69% from 668,600 tonnes last week, and down by 9.04% from 707,900 tonnes of the same period last year. The inventory will be little changed as downstream buyers will have reduced demand after this round of replenishment, which will offset a smaller crush volume of around 1.50 Mln tonnes.
Fig. 2: China’s coastal soybean meal carry-over stocks in recent years
Outstanding contracts: Outstanding contracts of soybean meal in oil mills have increased fractionally this week. On the week ended March 15th, contracts in domestic main areas hold 2,591,100 tonnes unfinished, up 3,600 tonnes by 0.14% from 2,587,500 tonnes last week, yet sharply down by 56.28% from 5,927,900 tonnes of the same period last year.
Fig. 3: China’s coastal soybean meal in outstanding contracts in recent years
