According to Cofeed, in the week as of Nov 6, details of soybean oil inventories and outstanding contracts in main domestic regions are as follows:

With a slight pickup in operation rates this week (Oct 31-Nov 6), soybean crush at domestic mills totals 2,095,580 tonnes (meal 1,655,508 tonnes and oil 398,160 tonnes), up 2,100 tonnes or 0.10% from 2,093,480 tonnes last week. Meanwhile, operation rates (capacity utilization) are 59.85%, up 0.06% from 59.79% in the previous week. Soybean crush is expected to rise to 2.12 mln tonnes and move to 2.15 mln tonnes in the next two weeks, respectively.

Soybean oil stocks continue reducing this week in spite of a rise in soybean crush, as buyers from various fields still have strong demand and the consumption of soybean oil to replace its rivals and in feed has been increasing. In the week ending Nov 6, China’s soybean oil commercial inventories total 1,218,400 tonnes, down 32,800 tonnes by 2.62% from 1,251,200 tonnes last week, down 119,600 tonnes by 8.94% from 1,338,000 tonnes a month earlier, and up 34,050 tonnes by 2.87% from 1,184,350 tonnes of the corresponding period last year. And the five-year (2015-2019) average at the same period is 1,344,400 tonnes.

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