Today (Feb. 28), the market for meals in China is shown as follows:

Soybean meal: US soybean futures closed with gains last night, and meal futures open high to move lower on the Dalian Commodity Exchange today. Soybean meal spot prices partially go up by 10-20 yuan/tonne in tepid trading. Specifically, the price settles at 2650-2860 yuan/tonne today. (Tianjin 2860, Shandong 2825-2830, Jiangsu 2720-2740, Dongguan 2620-2650, and Guangxi 2630-2730.) South American countries will harvest bumper soybeans, and DCE soybean crush is still lucrative with Brazilian soybean gross crush margins at 170-260 yuan/tonne. Therefore, oil mills have been raising operation rates for weeks. Moreover, meat consumption has been severely cut by the novel coronavirus outbreak, which has resulted in a slowdown in recovering hog production, so soybean meal has a dismal outlook in demand. Besides, due to the quick spreading of the epidemic in many countries, financial markets have slumped, of which US three major indexes-Dow Jones Industrial Average, S&P 500 Index and NASDAQ-all fell by over 4%, which was the first time since last October. However, soybean arrivals are forecast to be only 77 cargoes or around 5.02 mln tonnes in March. Some mills have made a downtime plan, and most mills now have no spot soybean meal for sales. In the meantime, as a growing number of feed enterprises have resumed work, soybean meal shipment is quickening and its trading totaled 430,000 tonnes yesterday. In addition, some mills with swelling soybean oil stocks may prop up prices, and the arbitrage of buying meals and selling oils has also bolstered the price. On the whole, short-term soybean meal market will keep range-bound. Buyers are suggested to make appropriate replenishment on the dips and remain cautious in chasing after excessively high prices. 

Imported rapeseed meal: Imported rapeseed meal price rises slightly today, of which it settles up 10 yuan/tonne at 2,240-2,360 yuan/tonne in coastal areas (Guangxi 2,230, up 30; Guangdong not offered; Fujian 2,270). Rapeseed is in short supply as there is no sign of easing tensions between China and Canada, so the operation rate in oils mills is low. Meanwhile, most of spot soybean meal has been sold out, and soybean arrivals in March also lower. Accordingly, some enterprises will likely halt the operation due to a shortage of soybean, which boosts meals prices. But Chinese oil plants are still purchasing South American soybean, and the import for U.S. soybeans may also increase in later period. Besides, the novel coronavirus pneumonia outbreak has resulted in a huge fall in meats consumption. Also, the demand from aquaculture has been in a slack season. Thus, the demand outlook of meals is worrying and the upward space of rapeseed meal price is also limited. And meals futures may edge down in afternoon trade, so buyers can wait and see.

Imported fishmeal: Imported fishmeal is quoted steadily today and can be traded through negotiation. Peruvian Standard SD with 65% protein content is 11,800-12,000 yuan/tonne; Peruvian higher-quality SD with 65% protein content is 12,200-12,300 yuan/tonne; Peruvian higher-quality SD with 67% protein content is 12,800-12,900 yuan/tonne; and Peruvian Super Prime SD with 68% protein content is 13,000-13,100 yuan/tonne. Transportation cost remains high because logistics are still in recovery amid the unfinished epidemic, so traders are encouraged to prop up prices. This is good to the market. But fishmeal is in slack consumption at present, so that buyers usually buy according to immediate demand. Port stocks are hard to digest, while fresh goods are arriving at ports, so total stocks are rising at ports. Overall, fishmeal market is predicted to be steady in the near term. Stocks at port: Huangpu 58,000 tonnes, Fuzhou 29,000 tonnes, Shanghai 33,000 tonnes, Tianjin 1,000 tonnes, Dalian 11,000 tonnes, Fangchenggang 1,000 tonnes and 4,000 tonnes at other ports. FOB quotes from foreign merchants today: It is quoted steadily at 1,430 USD/tonne for Peruvian Standard with 65% protein content and 1,730 USD/tonne for Peruvian super with 68% protein content. Chilean Standard with 65% protein content is unchanged at 1,400 USD/tonne, and super with 68% protein content at 1,700 USD/tonne.

Cottonseed meal: Cottonseed meal prices are mostly not offered today. Partial prices are stable with individual declines of 50 yuan/tonne. The demand for cottonseed meal is limited by an inversion of price spread between soybean meal and it. Besides, the demand for meats has affected by novel coronavirus pneumonia outbreak, thereby the demand outlook of meals is also worrisome. Consequently, these factors inhibit cottonseed meal market. But the overall operation rate of oil mills stays at a low level now. And cottonseed meal inventories are low, which limits the price declines. Therefore, short-term cottonseed meal market will likely fluctuate at a narrow range. With crush enterprises resuming the production successively, there is a risk of dropping in cottonseed meal prices.