According to Cofeed, on the week as of August 9th, details of soybean oil inventories and outstanding contracts are as follows:

　　

Unit: 0’000 tonne

The market is now stocking up packing oil in full swing, so soybean oil inventory continues to drops amid a fair delivery pace, yet at a dramatically smaller pace. On the week as of August 9th, the inventory has totaled 1,376,400 tonnes, down 11,800 tonnes by 0.85% from 1,388,200 tonnes last week, down 53,600 tonnes by 3.75% from 1,430,000 tonnes last month, and down 217,100 tonnes by 13.62% from 1,593,500 tonnes of the corresponding period last year. And the five-year average at the same period is 1,310,200 tonnes.

This week (Aug. 3rd-9th), as the operation rate has risen on better crush margins, soybean crush totals 1,657,600 tonnes (meal 1,309,504 tonnes and oil 314,944 tonnes), an increase of 165,000 tonnes by 11.05% from 1,492,600 tonnes last week. Meanwhile, the operation rate (capacity utilization) is 46.39%, up 4.61 percentage points from 41.78% last week. Amid further pickups in operation rate, soybean crush is predicted to increase to around 1.70 mln tonnes next week and to around 1.71 mln tonnes the following week. Soybean oil output is thus predicted to increase in the next two weeks, and if oil mills fail to keep their normal shipments, soybean oil inventory may again climb higher. 

Fig.: China’s Soybean Oil Stocks in Recent Years