I．National stocks
This week (as of May 10th), edible palm oil stock totals 833,100 tonnes at domestic ports, up 7% from 778,500 tonnes last week and up 83,800 tonnes or 11.18% from 749,300 tonnes month on month, and up 180,100 tonnes or 27.58% from 653,000 tonnes year on year. Meanwhile, industrial palm oil stock at main domestic ports totals 132,800 tonnes, down 11,200 tonnes by 7.7% from 144,600 tonnes last week.
China's edible palm oil stock this week rises from earlier decline to over 800,000 tonnes, which is due to the increase of ship arrivals in the three biggest regions, i.e. North China, East China, South China. However, the spread between palm oil and soybean oil expands this week. As of this weekend, the spread was 985 yuan/tonne, up 92 yuan/tonne from 893 yuan/tonne last week. With the buyers' purchase upon low prices the turnover of palm oil this week was 40,100 tonnes compared to 5,100 tonnes last week. The palm oil demand will go up with the rise of temperature. And the recently increasing consumption of palm oil is favourable to destocking.
Fig.: China's palm oil stocks in recent years
II. Goods Arrivals
According to the latest statistics by Cofeed, the estimate of import volume for April this week is unchanged from last week to settle at 530,000-540,000 tonnes (24-degree palm oil 410,000-420,000 tonnes and industrial palm oil 120,000 tonnes), and the estimate for May this week is unchanged from last week to settle at 380,000-420,000 tonnes (24-degree 260,000-300,000 tonnes and industrial palm oil 120,000 tonnes). The estimate of import volume for June is unchanged from last week to settle at 410,000 tonnes (24-degree palm oil 290,000 tonnes and industrial palm oil 120,000 tonnes).
