According to Cofeed, in the week as of Apr. 10, details of soybean oil inventories and outstanding contracts in main domestic regions are as follows:
Soybean arrivals at ports are small, so that mills have to continue to lower down operation rates for a lack of soybeans this week (Apr. 4-10). Hence, soybean crush at domestic mills totals 1,356,600 tonnes (meal 1,071,714 tonnes and oil 257,754 tonnes), down 81,800 tonnes or 5.6% from 1,438,400 tonnes in the previous week. Meanwhile, operation rates (capacity utilization) are 39.07%, down 2.36 percentage points from 41.43% in the previous week. With soybean vessels heading for domestic ports, the crush will gradually pick up to 1.60 mln tonnes and 1.75 mln tonnes in the next two weeks, respectively.
Soybean oil stocks continue to decline alongside its own decent shipments and falling operation rates. In the week ending Apr. 10, China’s commercial inventory has totaled 1,027,650 tonnes, down 123,610 tonnes by 10.74% from 1,151,260 tonnes last week, down 370,350 tonnes by 26.49% from 1,398,000 tonnes last month, and down 317,850 tonnes by 23.62% from 1,345,500 tonnes of the corresponding period last year. And the five-year average at the same period is 1,104,550 tonnes.
Fig.: China’s Soybean Oil Stocks in Recent Years
