This week (Dec 26, 2020-Jan 1, 2021), operation rates in soybean oil mills continue falling at a pace sharper than the forecast due to swollen meal inventories, especially in southern regions. Soybean crush at domestic mills totals 1,708,880 tonnes (meal 1,350,015 tonnes and oil 324,687 tonnes), down 173,200 tonnes or 9.2% from 1,882,080 tonnes last week. Meanwhile, operation rates (capacity utilization) are 48.81%, down 4.94% from 53.75% in the previous week. With easing meal stockpiles, soybean crush is expected to rise to around 1.83 mln tonnes next week and to nearly 2 mln tonnes in the following week.

Soybean crush nationwide is estimated at 8.34 mln tonnes in December at current utilization rate, lower than 8.543 mln tonnes in the previous month but higher than 8.1008 mln tonnes of the corresponding period last year.

In the crop year of 2020/21 (from Oct 1st, 2020), China’s soybean crush totals 25,735,064 tonnes, up 2,844,064 tonnes or 12.42% from 22,891,000 tonnes a year earlier.

In the calendar year of 2020 (from Jan. 1st, 2020), China’s soybean crush amounts to 95,341,750 tonnes, up 10,409,065 tonnes or 12.26% from 84,932,685 tonnes of the corresponding period in 2019.

Fig.: Soybean Weekly Crush in China (2016-2020)

Details for weekly crush by region are shown as follows: