According to Cofeed, in the week as of Oct 16, details of soybean oil inventories and outstanding contracts in main domestic regions are as follows:

With the end of the Mid-Autumn and the National Day holidays, operation rates for soybean crush quickly pick up to a very high level this week (Oct 10-16). Specifically, soybean crush at domestic mills totals 2,088,300 tonnes (meal 1,649,757 tonnes and oil 396,777 tonnes), up 700,750 tonnes or 50.5% from 1,387,550 tonnes last week. Meanwhile, operation rates (capacity utilization) are 60.12%, up 20.17% from 39.95% in the previous week. Soybean crush is expected to continue its rise to 2.14 mln tonnes and 2.16 mln tonnes in the next two weeks.

But soybean oil stocks obviously decline this week, as buyers from various fields are stocking up soybean oil now, and the consumption of soybean oil to replace its rivals and in feed is still large. In the week ending Oct 16, China’s soybean oil commercial inventories total 1,288,400 tonnes, down 55,700 tonnes by 4.14% from 1,344,100 tonnes last week, down 11,600 tonnes by 0.89% from 1,300,000 tonnes a month earlier, and down 53,070 tonnes by 3.96% from 1,341,470 tonnes of the corresponding period last year. And the five-year (2015-2019) average at the same period is 1,390,200 tonnes.

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