Today (Sep 27), the market for meals in China is shown as follows:

Soybean meal: U.S. soybean futures rose to stand above 1,000 cents on Friday as the bulls went bargain buying, and China’s Dalian Commodity Exchange is closed on Sunday today. Spot soybean meal prices go up 10-20 CNY to 3,030-3,090 CNY/tonne in coastal regions in tepid trade. (Tianjin 3090, Shandong 3040-3070, Jiangsu 3040-3050, Dongguan 3030-3060, and Guangxi 3050-3060.) China’s livestock and poultry industry embraces a big recovery this year, and soybean meal inventories have also been declining for weeks since buyers are stocking up for the Mid-Autumn Festival and the National Day holidays. Meanwhile, net crush margins for U.S. soybeans have turned negative on the DCE in the wake of a steep decline in soybean oil prices, which is also supporting meal prices. But China’s soybean crush has hit a fresh high again under massive soybean arrivals at ports, and buyers will complete festival buying next week, which will curb meal prices. Overall, short-term soybean meal prices will have limited potential to rebound and will follow futures to fluctuate at a narrow range.

Imported rapeseed meal: U.S. soybean futures closed higher on Friday and posted above 1,000 cents as the bulls buy on the dips. Futures market in China was closed in Sunday. And rapeseed meal price in coastal regions settled at 2,300-2,400 CNY/tonne with a fluctuation of 10-20 CNY/tonne, seeing a light trading. China keeps importing soybean, leading to a huge arrival at ports. Consequently, soybean crush records new high with an increase of 4% to 2.27 mln tonnes compared to the previous week, depressing rapeseed meal price. 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 eight weeks in a row, which plunges 50% to 1,000 tonnes. Therefore, rapeseed meal market is boosted by rapeseed meal shortages. In a hybrid of the bull and the bear, short-term rapeseed meal price is predicted to move with fluctuations.

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. In China, there is routine consumption on fishmeal among terminal buyers, and feed manufacturers are also appropriately stocking up for the 8-day holidays, so traders are making some shipments. Moreover, fishmeal imports from Peru are at a slow pace, while domestic stocks are not huge, which combine to cause a tight supply in domestic market. Traders are stalling sales now, which also lends some support to the market. In the near term, domestic fishmeal market is predicted to steady with a slight rise.

Stocks at ports: Huangpu 20,500 tonnes, Fuzhou 12,000 tonnes, Shanghai 13,900 tonnes, Tianjin 650 tonnes, Dalian 4,500 tonnes, Fangchenggang 1,000 tonnes and 3,900 tonnes at other ports.

FOB quotes from foreign markets today: Oct/Nov shipments are quoted at 1,270 USD/tonne for Peruvian Standard with 65% protein content and at 1,500 USD/tonne for Peruvian super with 68% protein content. Chilean Standard with 65% protein content is quoted at 1,260 USD/tonne, and super with 68% protein content at 1,490 USD/tonne.

Cottonseed meal: Cottonseed meal prices stay stable today. Due to recovering livestock breeding and stockpiling before Mid-Autumn Festival and National Day holidays, soybean meal stocks in oil plants have fallen. The net crush margin of U.S. soybean futures is already negative following steep declines in oils prices. US soybean closed higher on Friday and hit 1,000 cents again. Spot soybean meal increases by 10-20 CNY/tonne in China’s coastal regions. For the moment, old cottonseed price remains too high, and the livestock breeding is recovering gradually. Thus, factories intend to prop up price. However, a little new cottonseed starts going marketing, so feed enterprises are waiting for new cottonseed meal, weighing on its market. It is predicted that short-term cottonseed meal market may fluctuate in a narrow range.

(USD $1=CNY ¥6.81)