According to Cofeed, on the week as of Dec 4, details of soybean stocks and soybean meal stocks and outstanding contracts in coastal regions are as follows:

Soybean: Imported soybean stocks mount higher this week as soybean crush continues falling to 1.78 mln tonnes due to swelling meal inventories. In the week as of Dec 4, China’s imported soybean stocks in coastal regions total 5,493,700 tonnes, up 350,800 tonnes by 6.82% from 5,142,900 tonnes last week and up by 65.44% from 3,320,600 tonnes of the same period last year. Domestic soybean stocks usually decreased gradually from September in previous years, but China has purchased many 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 continue decreasing this week owing to a further decline in soybean crush. In the week as of Dec 4, China’s soybean meal stocks in coastal regions are 838,900 tonnes, down 85,500 tonnes by 9.25% from 924,400 tonnes last week and up by 98.36% from 422,900 tonnes of the corresponding period last year. As soybean crush will pick up to 1.95 mln tonnes next week, soybean meal stocks are likely to slow down declines correspondingly.

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

Outstanding contracts: The amount of soybean meal in outstanding contracts increases this week, which spans from November to December. In the week as of Dec 4, outstanding contracts in mills in domestic coastal regions hold 5,891,200 tonnes not delivered, up 1,967,900 tonnes by 50.16% from 3,923,300 tonnes last week and up by 53.81% from 3,830,100 tonnes of the same period last year.

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