According to Cofeed, in the week as of August 28, details of soybean oil inventories and outstanding contracts in main domestic regions are as follows:

Following a further rise in operation rates this week (Aug 22-28), soybean crush at domestic mills totals 2,038,200 tonnes (meal 1,610,178 tonnes and oil 387,258 tonnes), up 21,200 tonnes or 1.05% from 2,017,000 tonnes last week. Meanwhile, operation rates (capacity utilization) are 58.70%, up 0.61% from 58.09% in the previous week. Soybean crush is predicted to increase to around 2.04 mln tonnes and 2.07 mln tonnes in the coming two weeks, respectively.

Soybean oil inventories rally this week following a rise in the crush and the unloading of crude soybean oil at ports. In the week ending Aug 28, China’s soybean oil commercial inventories total 1,307,450 tonnes, up 47,500 tonnes by 3.77% from 1,259,950 tonnes last week, up 67,450 tonnes by 5.44% from 1,240,000 tonnes a month earlier, and down 22,050 tonnes by 1.66% from 1,329,500 tonnes of the corresponding period last year. And the five-year average at the same period is 1,372,800 tonnes. 

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