Today (Mar. 3), the market for meals in China is shown as follows:

Soybean meal: US soybean futures closed higher last night, and meal futures extend gains on the Dalian Commodity Exchange today. Soybean meal spot prices go up by 10-30 yuan/tonne, and the trading is not as good as yesterday with only some low-level replenishment. Specifically, the price settles at 2730-2920 yuan/tonne today. (Tianjin 2920, Shandong 2890-2920, Jiangsu 2800-2820, Dongguan 2730-2770, and Guangxi 2750-2770.) Soybean arrivals at ports are predicted to be relatively small in March, and weekly soybean crush will decrease to 1.60-1.65 mln tonnes separately for both next two weeks, compared to 1.92 mln tonnes last week. While mills now almost have no spot soybean meal for sales, the demand is improving as downstream feed enterprises are resuming work; hence, it will take time to solve the tight supply in the market. The trading totaled 380,000 tonnes in soybean meal market yesterday. In addition, soybean oil stocks are swelling in some mills, and traders are taking the arbitrage of buying meals and selling oils, which both help prop up soybean meal prices. However, Brazilian soybean crush margins still stay high at 200-280 yuan/tonne, and soybean arrivals at ports will likely amount to 24.30 mln tonnes from April to June. Moreover, a decline in demand for meat products under the coronavirus pneumonia will also affect the breeding, which will thus constrain the upward space of soybean meal. Buyers are suggested not to chase after excessively high prices. 

Imported rapeseed meal: Imported rapeseed meal price rises today, of which it settles up 30-50 yuan/tonne at 2,300-2,390 yuan/tonne in coastal areas (Guangxi 2,300, up 50; Guangdong not offered; Fujian 2,370). Rapeseed is in short supply amid unclear relations between China and Canada, so the operation rate in oils mills is low, which leads rapeseed meal stocks to stay at a low level. Besides, soybean arrivals in March are lower, so the soybean crush will decrease to 1.60-1.65 mln tonnes over the next two weeks. Moreover, most of spot soybean meal has been sold out, and the number of downstream feed enterprises that return to work has increased. And the demand goes better, boosting meals prices. However, Chinese oil mills are still purchasing South American soybeans due to the considerable crush margins of soybean futures. In addition, the novel coronavirus epidemic is spreading worldwide, which will result in a huge fall in meats consumption. Also, the demand from aquaculture has been in a slack season. Thus, the upward space of rapeseed meal price will be curbed. Buyers had better not chase up prices too excessively.

Imported fishmeal: Imported fishmeal prices are mostly stable with a partial decline of 100 yuan/tonne 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 12,100-12,300 yuan/tonne; Peruvian higher-quality SD with 67% protein content is 12,700-12,900 yuan/tonne; and Peruvian Super Prime SD with 68% protein content is 12,900-13,100 yuan/tonne. Currently, 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. Traders are under pressure, which is bearish to the market. But transportation cost remains high when logistics are still in recovery amid the unfinished epidemic, so traders are encouraged to prop up prices. This is good to the market. Overall, fishmeal market is predicted to be steady in the near term. Stocks at port: Huangpu 59,000 tonnes, Fuzhou 30,000 tonnes, Shanghai 34,000 tonnes, Tianjin 1,000 tonnes, Dalian 12,000 tonnes, Fangchenggang 1,000 tonnes and 4,000 tonnes at other ports. FOB quotes from foreign merchants today: It is quoted steadily at 1,450 USD/tonne for Peruvian Standard with 65% protein content and 1,750 USD/tonne for Peruvian super with 68% protein content. Chilean Standard with 65% protein content is quoted steadily at 1,420 USD/tonne, and super with 68% protein content at 1,720 USD/tonne.

Cottonseed meal: Cottonseed meal prices are stable with partial rises of 50 yuan/tonne today. As downstream feed enterprises return to job successively, factories basically have no stocks. Besides, meals on Dalian Commodity Exchange rise further today, and spot soybean meal up by 10-30 yuan/tonne. And it will likely offer support to cottonseed meal market in the near term. But the demand for cottonseed meal is limited by an inversion of price spread between soybean meal and it. Also, the novel coronavirus epidemic is spreading around the world, lowering demand for meats and affecting breeding industry, thereby the demand outlook of meals is also worrisome. Consequently, the price rises of cottonseed meal are limited. Buyers can make proper replenishment on the dips but not chase up prices too high.