According to Cofeed, on the week as of Oct 23, details of soybean stocks and soybean meal stocks and outstanding contracts in coastal regions are as follows:

Soybean: Imported soybean stockpiles continue reducing in coastal regions this week, as soybean crush climbs higher to 2.19 mln tonnes. In the week as of Oct 23, China’s imported soybean stocks in coastal regions total 5,536,400 tonnes, down 336,300 tonnes by 5.73% from 5,872,700 tonnes last week and up by 66.80% from 3,319,000 tonnes of the same period last year. Domestic soybean stocks usually decreased gradually from September in previous years, but China has purchased much more U.S. soybeans this year as a part of the trade deal, so it is necessary to focus on whether soybean crush would stay high.

Fig. 1: China’s coastal soybean carry-over stocks in recent years

Soybean meal: Soybean meal stocks arise this week as soybean crush continues climbing to a very high level. In the week as of Oct 23, China’s soybean meal stocks in coastal regions are 921,500 tonnes, up 31,600 tonnes by 3.55% from 889,900 tonnes last week but up by 65.58% from 556,500 tonnes of the corresponding period last year. As soybean crush is predicted to stay high at 2.16 mln tonnes next week but the demand and delivery for soybean meal is improving recently, soybean meal stocks are expected to show only slight growth.

Fig. 2: China’s coastal soybean meal carry-over stocks in recent years

Outstanding contracts: The amount of soybean meal in outstanding contracts continues decreasing this week. In the week as of Oct 23, outstanding contracts in mills in domestic coastal regions hold 4,506,700 tonnes not delivered, down 648,300 tonnes by 12.58% from 5,155,000 tonnes last week and up by 44.38% from 3,121,400 tonnes of the same period last year.

Fig. 3: China’s coastal soybean meal in outstanding contracts in recent years