Today (Oct. 21), the market for meals in China is shown as follows:

Soybean meal: US soybeans further rose last Friday on sustaining snowy weather and the purchases of 850,000 tonnes by China last week, and meal futures are also expanding gains after higher opens on the Dalian Commodity Exchange today. Spot soybean meal prices go up by 30-80 yuan/tonne to attract some low-level purchases. Specifically, the price settles at 3,050-3,220 yuan/tonne. (Tianjin 3,220, Shandong 3,160-3,180, Jiangsu 3,100-3,140, Dongguan 3,050-3,110, and Guangxi 3,070-3,110). The overall margin for livestock breeding is quite decent in China now, and its local governments are also working hard to support hog production, under which hog feed production has seen a month-on-month increase of 10.4% in September, according to Cofeed. Soybean meal stocks are low at present, especially in North China, where the price has a bigger growth than the South. With such a bullish atmosphere, soybean meal market will continue its upward trend in the short term. But US farmers are quickening their soybean harvests, and Chinese importers have purchased substantial soybeans with the monthly average over 8.0 mln tonnes in November and December. And the main underlying threat for the market is the increase in soybean crush. Buyers can make appropriate replenishment to keep certain stocks, but not to chase after higher prices. 

Imported rapeseed meal: Imported rapeseed meal rises in price today, of which it settles up 20-30 yuan/tonne at 2,400-2,500 yuan/tonne in coastal areas (Guangxi 2,400, up 30; Guangdong 2,500, up 20; Fujian not offered). The rapeseed is still in tight supply under pending issues between China and Canada. Besides, rapeseed crush rises up but still stays at a low level. Last Friday, rapeseed inventory decreased by 19% week-on-week to 23,700 tonnes in coastal areas. And oil plants tend to prop up prices. However, the trade war is easing, and U.S. soybeans are in harvest and going marketing. Moreover, the overall demand for meals is poor due to the lingering African swine fever, so there is little improvement in terminal demand. Therefore, the rises of rapeseed meal are curbed by these factors, and short-term prices will fluctuate to stay strong. Buyers are suggested to make proper replenishment on the dips and not to chase up prices too high.

Imported fishmeal: Imported fishmeal price is stable with some rises today. It is 9,100-9,500 yuan/tonne for Peruvian Standard SD with 65% protein content, 9,400-9,800 yuan/tonne for Thai SD with 67% protein content, and 9,900-10,000 yuan/tonne for Japanese SD with 67% protein content, and higher by 100 yuan at 10,100-10,500 yuan/tonne for super SD with 68% protein content. Stocks at port: Huangpu 106,000 tonnes, Fuzhou 33,000 tonnes, Shanghai 64,000 tonnes, Tianjin 1,000 tonnes, Dalian 7,000 tonnes, Fangchenggang 1,000 tonnes and 4,000 tonnes at other ports. FOB prices from foreign merchants today: it is 1,110 USD/tonne for Peruvian Standard SD with 65% protein content and 1,310-1,330 USD/tonne for super SD with 68% protein content. Chilean Standard SD with 65% protein content is 1,100 USD/tonne, and super SD with 68% protein content at 1,300 USD/tonne. Feed plants are still making replenishment, helping quicken the delivery at port, and there are no many fishmeal stocks at domestic ports. Domestic traders with stocks in hand have stronger sales sentiment now, in addition to firm prices from Peru. These are all bullish to domestic market, thus sending the price higher today. But it is hard to improve the demand for fishmeal in domestic aquaculture industry, and due to the influence of the African swine fever, the consumption of feed is also slow. On the whole, the market is predicted to steady in the near term. 

Cottonseed meal: Cottonseed meal today declines by 30-100 yuan/tonne today. The cottonseed meal price is depressed by climbing operation rate, the demand affected by narrowed price gap between soybean meal and cottonseed meal, as well as slow pace of delivery in some factories. However, the livestock and poultry industry is profitable as a whole, and the government vigorously supports recovery of breeding. According to survey, the production of pig feed in September increased by 10.4% from August. Besides, meals on DCE today expand rises amid high opens. Spot soybean meal increases by 30-80 yuan/tonne. These are benefit to limit the declines of cottonseed meal. In short, short-term cottonseed meal may not fall too much and will stabilize gradually. Buyers can take chance to make small replenishment upon low prices.