According to Cofeed, in the week as of August 14, details of soybean oil inventories and outstanding contracts in main domestic regions are as follows:

Some millers are facing a temporary soybean shortage as they are unable to discharge soybean vessels when berths are under strain at ports, and some are struggling with ballooning soybean meal inventories, so soybean crush continues to decrease this week (Aug 8-14). Specifically, soybean crush at domestic mills totals 1,965,800 tonnes (meal 1,552,982 tonnes and oil 373,502 tonnes), down 78,600 tonnes or 3.8% from 2,044,400 tonnes last week. Meanwhile, operation rates (capacity utilization) are 56.62%, down 2.26% from 58.88% in the previous week. Soybean crush is predicted to increase to around 2 mln tonnes and 2.05 mln tonnes in the coming two weeks, respectively.

Soybean oil inventories continue to reduce this week. In the week ending Aug 14, China’s soybean oil commercial inventories total 1,226,850 tonnes, down 15,950 tonnes by 1.28% from 1,242,800 tonnes last week, up 36,950 tonnes by 3.11% from 1,189,900 tonnes a month earlier, and down 126,350 tonnes by 9.34% from 1,353,200 tonnes of the corresponding period last year. And the five-year average at the same period is 1,354,810 tonnes. 

The amount of soybean oil in outstanding contracts is 2,613,800 tonnes this week, a rise of 60,450 tonnes or 2.37% from 2,553,350 tonnes last week.

Fig.: China’s Soybean Oil Stocks in Recent Years