According to Cofeed, on the week as of Jan 15, details of soybean stocks and soybean meal stocks and outstanding contracts in coastal regions are as follows:

Soybean: Soybean stocks continue increasing this week as more cargoes put into mills, but the increment is smaller as soybean crush picks up to 1.98 mln tonnes. In the week as of Jan 15, China’s imported soybean stocks in coastal regions total 5,281,300 tonnes, up 30,200 tonnes by 0.58% from 5,251,100 tonnes last week and up by 34.61% from 3,923,400 tonnes year over year.  

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

Soybean meal: Sharp rises in soybean meal prices stimulated the market to welcome robust trade for a second straight week, and mid-and-downstream buyers bring forward their schedule to stock up for the Chinese Lunar New Year with concerns that the the pandemic could affect the logistics; hence, soybean meal stocks are further lower in China this week. In the week as of Jan 15, China’s soybean meal stocks in coastal regions are 623,600 tonnes, down 180,100 tonnes by 22.41% from 803,700 tonnes last week and up by 5.03% from 593,700 tonnes a year earlier. As weekly soybean crush will further pick up to 2 mln tonnes in coming two weeks and downstream buyers are more cautious at current high prices in soybean meal market, soybean meal inventory is expected to slow down the decline.

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

Outstanding contracts: The amount of soybean meal in outstanding contracts reduces this week. In the week as of Jan 15, outstanding contracts in mills in domestic coastal regions hold 4,722,400 tonnes not delivered, down 696,200 tonnes by 12.85% from 5,418,600 tonnes last week and up by 78.62% from 2,643,800 tonnes year over year

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