Operation rates continue picking up in China this week (Feb 27-Mar 5), but the rise is smaller than the forecast due to a lack of beans after cargo unloading was disrupted by the port congestion in Rizhao Port, Shandong. Soybean crush at domestic mills totals 1,681,500 tonnes (meal 1,328,385 tonnes and oil 319,485 tonnes), up 162,300 tonnes or 10.6% from 1,519,200 tonnes last week. Meanwhile, operation rates (capacity utilization) are 47.42%, up 4.58% from 42.84% in the previous week. Following smaller soybean arrivals at ports in February and March and due to swelling meal inventory, soybean crush is expected to decline next week to around 1.58 mln tonnes, and then slightly pick up to 1.67 mln tonnes in week 11. The overall crush remains at a low level.

In the crop year of 2020/21 (from Oct 1st, 2020), China’s soybean crush totals 40,088,644 tonnes, up 4,402,744 tonnes or 12.34% from 35,685,900 tonnes a year earlier.

In the calendar year of 2021 (from Jan. 1st, 2021), China’s soybean crush amounts to 14,597,706 tonnes, up 945,449 tonnes or 6.93% from 13,652,257 tonnes of the corresponding period in 2020.

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

Details for weekly crush by region are shown as follows: