Today is 05/25/2020

Soybean Crushing Margin Estimates in China- 31/7/2019

Theoretical Crushing Margins for Imported U.S. Soybean (RMB/tonne, July shipment)
Region Income Expenditure Margin Soybean Break-even Price
Soybean Oil Soybean Meal Total Soybean Cost Crushing Cost
Dalian, Liaoning 5,380  2,880  3,297  3,899  150 -752 3,831 
Qinhuangdao, Hebei 5,400  2,780  3,222  3,899  150 -827 3,827 
Costal Shandong 5,360  2,800  3,230  3,899  150 -819 3,836 
Jiangsu 5,480  2,770  3,230  3,899  150 -820 3,807 
Guangdong 5,500  2,750  3,218  3,899  150 -832 3,803 
 
Theoretical Crushing Margins for Imported U.S. PNW Soybean (RMB/tonne,Sep. shipment)
Region Income Expenditure Margin Soybean Break-even Price
Soybean Oil Soybean Meal Total Soybean Cost Crushing Cost
Dalian, Liaoning 5,380  2,880  3,297  3,841  150 -694 3,758 
Qinhuangdao, Hebei 5,400  2,780  3,222  3,841  150 -769 3,753 
Costal Shandong 5,360  2,800  3,230  3,841  150 -761 3,763 
Jiangsu 5,480  2,770  3,230  3,841  150 -762 3,734 
Guangdong 5,500  2,750  3,218  3,841  150 -774 3,729 
 
Theoretical Crushing Margins for Imported Brazilian Soybean (RMB/tonne, Aug. shipment)
Region Income Expenditure Margin Soybean Break-even Price
Soybean Oil Soybean Meal Total Soybean Cost Crushing Cost
Dalian, Liaoning 5,380  2,880  3,351  3,129  150  72  2,789 
Qinhuangdao, Hebei 5,400  2,780  3,276  3,129  150  -3  2,784 
Costal Shandong 5,360  2,800  3,284  3,129  150  5  2,794 
Jiangsu 5,480  2,770  3,284  3,129  150  5  2,763 
Guangdong 5,500  2,750  3,273  3,129  150  -7  2,758 
 
Theoretical Crushing Margins for Imported Argentine Soybean (RMB/tonne, July shipment)
Region Income Expenditure Margin Soybean Break-even Price
Soybean Oil Soybean Meal Total Soybean Cost Crushing Cost
Dalian, Liaoning 5,380  2,880  3,244  3,056  150  38  2,832 
Qinhuangdao, Hebei 5,400  2,780  3,168  3,056  150  -38  2,828 
Costal Shandong 5,360  2,800  3,177  3,056  150  -29  2,837 
Jiangsu 5,480  2,770  3,175  3,056  150  -31  2,810 
Guangdong 5,500  2,750  3,163  3,056  150  -44  2,805 
 
Crushing Margins for Port Distributed Soybean (RMB/tonne)
Region Income Expenditure Margin Soybean Break-even Price
Soybean Oil Soybean Meal Total Soybean Cost Crushing Cost
Dalian, Liaoning 5,380  2,880  3,271  3,580  150  -460  3,462 
Qinhuangdao, Hebei 5,400  2,780  3,195  3,580  150  -535  3,457 
Costal Shandong 5,360  2,800  3,204  3,580  150  -526  3,466 
Jiangsu 5,480  2,770  3,202  3,580  150  -528  3,438 
Guangdong 5,500  2,750  3,190  3,580  150  -540  3,434 
 
Crushing Margins for Domestic Soybean (RMB/tonne)
Region Income Expenditure Margin Soybean Break-even Price
Soybean Oil Soybean Meal Total Soybean Cost Crushing Cost
Heilongjiang 5,530  3,030  3,309  3,400  160  -251  3,344 
Dalian, Liaoning 5,380  2,880  3,165  3,520  160  -515  3,524 
Qinhuangdao, Hebei 5,400  2,780  3,088  3,540  160  -612  3,545 
Boxing, Shandong 5,400  2,800  3,104  3,560  160  -616  3,570 
Remarks:
1. Domestic soybean cost: soybean purchasing price + freight to the factory (Heilongjiang)
2. Oil extraction rate at 16%, and meal at 80%.
3. Estimated margins and actual profit in mills may have some differences as mills usually use their inventories or have already locked the cost previously, which may be different from intraday soybean cost on the basis of the CBOT price.
4. Soybean Break-even Price is calculated with intraday soybean cost and soybean oil price, and when the crush margins is ZERO, then it is soybean break-even price.