According to Cofeed, on the week as of February 3rd, details of soybean stocks and soybean meal stocks and outstanding contracts in coastal regions of China are as follows:
Soybean: Imported soybean stocks increase this week as mills have just crushed 942,000 tonnes last week (Week 4) and 52700 tonnes this week, which were right in the Lunar New Year holidays. In the week as of February 3rd, imported soybean stocks in mills in domestic coastal regions total 3,990,400 tonnes in main domestic coastal oil mills, up 463,200 tonnes by 13.13% from 3,527,200 tonnes in Week 3 and down by 34.04% from 5,331,100 tonnes of the same period last year. The majority of mills have delayed the schedule for production under the impact of the epidemic, so soybean crush is predicted to remain low at around 710,000 tonnes next week. In this case, soybean stocks will likely continue to go higher.
Fig. 1: China’s coastal soybean carry-over stocks in recent years
Soybean meal: Soybean meal stocks continue declining this week as buyers are making replenishment while soybean crush largely goes lower. In the week ended February 3rd, soybean meal stocks in mills in domestic coastal regions are 356,000 tonnes, down 113,300 tonnes by 24.14% from 469,300 tonnes in Week 3 and down by 43.80% from 633,500 tonnes of the corresponding period last year. Mills will be unable to resume soybean crush to a normal level under the epidemic, so soybean meal stocks will likely stay low.
Fig. 2: China’s coastal soybean meal carry-over stocks in recent years
Outstanding contracts: The amount of soybean meal in outstanding contracts increases this week. In the week as of February 3rd, outstanding contracts in mills in domestic coastal regions hold 2,549,900 tonnes unfinished, up 495,300 tonnes by 24.11% from 2,054,600 tonnes in Week 3 and up by 38.43% from 1,841,900 tonnes of the same period last year.
Fig. 3: China’s coastal soybean meal in outstanding contracts in recent years
