Today (Sep 22), the market for meals in China is shown as follows:

Soybean meal: U.S. soybean futures fell sharply on Monday on lower-than-expected quantity inspected for exports and as crop good-to-excellent conditions were 1 percentage point higher than the forecast at 63%, and meal futures expand their early losses on China’s Dalian Commodity Exchange today. Spot soybean meal prices go down 20-50 CNY to 3,030-3,140 CNY/tonne in coastal regions in tepid trade. (Tianjin 3110, Shandong 3050-3100, Jiangsu 3040-3080, Dongguan 3030-3060, and Guangxi 3040-3070.) Domestic soybean crush has hit a historical high while soybean meal has been in tepid trade amid cautious sentiment, so soybean meal market is dragged down to decline. But domestic millers have been delivering soybean meal at a brisker pace and soybean meal stockpiles have been falling for three straight weeks owing to growing demand from the breeding sectors and as buyers are stocking up for the Mid-autumn Festival and National Day holidays. Overall, soybean meal market is predicted to have limited declines and keep range-bound and strengthening. Buyers can wait for low and stable prices to make appropriate replenishment.

Imported rapeseed meal: U.S. soybean futures tumbled on the swiftly accelerating second wave of the COVID-10 outbreak in Europe and America. Meal futures in China move lower after opening decline today. And rapeseed meal price in coastal regions settles down 10-20 CNY/tonne at 2,360-2,430 CNY/tonne, seeing a light trading. The peak season of aquaculture will come to an end after October. Rapeseed inventory sets at 393,000 tonnes with an increase of 138% compared to the same period last year, which is in sufficient supply. Due to huge imports of soybean and good crush margin, soybean crush rises by 10% to 2.18 mln tonnes from the previous week, recording new high in a single week. As a result, rapeseed meal price is dampened by these factors. However, rapeseed crush still stays at low levels due to limited rapeseed imports amid tensions between Ottawa and Beijing. In this case, rapeseed meal stocks in coastal areas have fallen for seven weeks in a row. Accordingly, rapeseed meal supply is tightening, which may support rapeseed meal price. And rapeseed meal market is likely to fluctuate in a narrow range in a short term. Buyers can stand on the sideline factored in volatile prices.

Imported fishmeal: Imported fishmeal prices are stable today and can be traded through negotiation. Peruvian Standard SD with 65% protein content is 9,800-9,900 CNY/tonne; Peruvian higher-quality SD with 65% protein content is 10,300-10,400 CNY/tonne; Peruvian higher-quality SD with 67% protein content is 10,800-11,000 CNY/tonne; and Peruvian Super Prime SD with 68% protein content is 11,200-11,400 CNY/tonne. Terminal consumers are still purchasing fishmeal on immediate demand, and feed enterprises are stocking up for the Mid-autumn Festival and National Day holidays. In addition, there is a delay in the arrival of vessels from Peru recently and domestic fishmeal stocks get relatively tight at present. Hence, fishmeal supply is decreasing in domestic market and some traders are stalling sales to prop up prices. In the near term, domestic fishmeal market is predicted to steady with a slight rise.

Stocks at ports: Huangpu 24,000 tonnes, Fuzhou 13,000 tonnes, Shanghai 15,000 tonnes, Tianjin 700 tonnes, Dalian 5,000 tonnes, Fangchenggang 1,100 tonnes and 4,000 tonnes at other ports.

FOB quotes from foreign markets today: Oct/Nov shipments are quoted steadily at 1,260 USD/tonne for Peruvian Standard with 65% protein content and at 1,490 USD/tonne for Peruvian super with 68% protein content. Chilean Standard with 65% protein content is quoted higher by USD 40 at 1,260 USD/tonne, and super with 68% protein content at 1,490 USD/tonne.

Cottonseed meal: Cottonseed meal prices rise by 50 CNY/tonne in several regions today. Factories intend to raise price as old cottonseed price remains too high before new cottonseed goes marketing. Besides, the livestock breeding is recovering gradually, and the stockpiling ahead of China’s Mid-Autumn Festival and National Day holiday is still ongoing. These have offered support to cottonseed meal market. Due to the swiftly accelerating second wave of the COVID-10 outbreak in Europe and America, U.S. soybean futures slumped on Monday. Meal futures on China’s Dalian Commodity Exchange also fall back from low opens today, and spot soybean meal in coastal regions dips by 20-50 CNY/tonne. In addition, buyers are cautious in purchasing as new cottonseed is about to enter market, which tentatively limits the upward momentum of cottonseed meal market. It is predicted that short-term cottonseed meal market may fluctuate to stay strong.

(USD $1=CNY ¥6.79)