I.Soybean

     Price: The supply in China's ports is small, while the demand is good. Amid quick delivery pace, the sales market is supported. As the US soybean import later may still be restricted amid an uncertainty over U.S.-China trade talks, imported and distributed soybean in short run is likely to further go up on the traders' optimistic outlook. However, the bumper crop harvest in South America and huge global supply still curbs China's market. Buyers should pay attention to news about the trade war amid G20 summit approaching.

     Crush: This week (June 8th-14th), as mills have fractionally cut down their utilization rate, soybean crush reaches a total of 1,726,200 tonnes (meal 1,363,698 tonnes and oil 327,978 tonnes), a reduction of 52,600 tonnes by 2.95% from 1,778,800 tonnes last week. Meanwhile, utilization rate (capacity utilization) has decreased by 1.76 percentage points to 48.32% from 50.08% last week. The crush is predicted to recover with rising utilization in the next two weeks to around 1.82 mln tonnes next week and to 1.83 mln tonnes the following week.

     As of this week, soybean crush nationwide totals 59,573,915 tonnes, down 2,546,233 tonnes by 4.09% from 62,120,148 tonnes of the same period last year. In 2019 (as from Jan. 1st, 2019), national soybean crush amounts to 36,422,515 tonnes, down 1,296,913 tonnes by 3.43% from 37,719,428 tonnes of the corresponding period in 2018. 

     Inventory: The inventory continues to drop yet just fractionally this week. On the week as of June 14th, imported soybean inventory is 4,264,100 tonnes in main domestic coastal oil mills, down 20,900 tonnes by 0.49% from 4,285,000 tonnes last week and down by 29.84% from 6,078,200 tonnes of the same period last year. With ongoing arrivals of soybean at ports in the third quarter, the inventory likely continues to rise later. 

     Import and its outlook: According to Cofeed, imported soybean is 30 cargoes with 1.899 mln tonnes this week, a total of 50 cargoes with 3.19 mln tonne for June so far. The import is predicted to be 113 cargoes with 8.335 mln tonne for June shipment, 9.80 mln tonnes for July, 9.30 mln tonnes for August, 9.60 mln tonnes for September, and 9.0 mln tonnes for October. Statistics will be updated every week on account of variable and unstable buying. 

     II.Soybean Meal

     Price: This week (June 10-14, 2019), spot soybean meal trend is down at the beginning and then up, most prices declining from last week. Specifically, the price is 2870-2950 yuan/tonne in coastal areas, mostly down by 20-60 yuan/tonne from last week, partially up 10-20 yuan/tonne. 

     Inventory: The total trading volume remains mild this week. As of this Friday, the trading volume is pegged at 482,000 tonnes, a decline of 16.45% from 576,900 tonnes last week and of 44.93% from 875,400 tonnes from a year earlier. On the week as of June 14th, soybean meal stockpiles in main domestic coastal oil mills total 760,000 tonnes, up 23,900 tonnes by 3.25% from 736,100 tonnes last week yet down by 31.91% from 1,116,200 tonnes a year earlier. The inventory will likely keep rising next week on light trading and an crush prospect of 1.82 mln tonnes. 

     III.Soybean Oil

     Price: This week (June 10-14, 2019), soybean oil stops declining and rebound. Main prices for GB grade-one soybean oil in coastal areas stay at 5250-5410 yuan/tonne, up 20-70 yuan/tonne.

China's Soybean Oil Weekly Price (RMB/mT)
Region		Grade	This week	Last week	Changes
Northeast China	Dalian, Liaoning	GB Grade 1	-	-	-
		GB Grade 3	-	-	-
North China	Qinhuangdao, Hebei	GB Grade 1	-	-	-
	Tianjin	GB Grade 1	5250-5260	5210-5220	40
East China	Rizhao, Shandong	GB Grade 1	5,270	5,200	70
	Xiamen, Fujian	GB Grade 1	-	-	-
	Zhangjiagang, Jiangsu	GB Grade 1	5,410	5,370	40
Central China	Zhengzhou, Henan	GB Grade 1	-	-	-
South China	Dongguan, Guangdong	GB Grade 1	5,340	5,300	40
	Fangchenggang, Guangxi	GB Grade 1	-	-	-
		GB Grade 3	-	-	-
National average			5,310	5,280	30

     Inventory: Soybean oil inventory has  slowed down its growth this week. On the week as of June 14th, the inventory has totaled 1,459,950 tonnes, up 17,050 tonnes by 1.18% from 1,407,500 tonnes last week, up 59,950 tonnes by 4.28% from 1,400,000 tonnes month-on-month, and up94,950 tonnes by 6.96% from 1,365,000 tonnes year-on-year. And the five-year average at the same period is 1,135,600 tonnes.