Today (Mar 18), the market for meals in China is shown as follows:

Soybean meal: U.S. soybean futures were marginally lower on Wednesday, and meal futures also edge lower on China’s Dalian Commodity Exchange today. Spot soybean meal prices go down 10-30 CNY to 3,250-3,320 CNY/tonne, in tepid trade. (Tianjin 3320, Shandong 3260-3300, Jiangsu 3250-3300, Dongguan 3260-3300, and Guangxi 3310-3320.) 

Hog producers in China are inactive in replenishing hog stocks under the influence of the African swine fever. Meanwhile, poultry stocks have not recovered and aquaculture is still in slack season. Soybean meal market remains in thin trade, and some millers have to suspend the crush due to swelling meal inventories. These are constraining meal prices. But soybean crush remains low this week for a lack of beans, and soybean meal stocks have declined to 740,000 tonnes and some millers have sold out spot meal for March contracts. Besides, oils prices also fall sharply. Overall, short-term soybean meal market is predicted to follow futures to fluctuate repeatedly at a narrow range.

Rapeseed meal: U.S. soybean futures closed lower on Wednesday on slower export demand and improved weather condition in South America. Meals futures ease off on China’s exchanges today. Spot rapeseed meal is offered at 2,720-2,800 CNY/tonne in coastal regions, a decline of 20-30 CNY/tonne, in tepid trade. Farmers are not active in replenishing hog stocks due to a resurgence of African swine fever in some regions. And aquaculture has yet to totally begin at the moment. These have led to a subdued trade in meal products, and oil plants are still urging the deliveries. Consequently, meals prices are depressed. But tightening supplies of Canadian old rapeseed spark higher cost of importing rapeseed, causing continued losses on crush margins. This has affected crusher’s positivity in making purchases. Besides, many crushing mills are idled by a shortfall in soybeans during the month of March and April, giving a boost to rapeseed meal market. It is projected that rapeseed meal prices will potentially fluctuate narrowly in a short term.

Imported fishmeal: Imported fishmeal prices steady in China today and can be traded through negotiation. Peruvian Standard SD with 65% protein content is 9,700-10,000 CNY/tonne; Peruvian higher-quality SD with 65% protein content is 10,200-10,500 CNY/tonne; Peruvian higher-quality SD with 67% protein content is 10,700-10,900 CNY/tonne; and Peruvian Super Prime SD with 68% protein content is 11,200-11,400 CNY/tonne. Port fishmeal stocks continue rising up to nearly 120,000 tonnes in China now due to the arrivals of fresh cargoes, whilst feed demand is small now due to slack aquaculture season and low hog stocks. As such, port traders are expected to cut down fishmeal prices slightly in the near term.

Stocks at ports: Dalian 10,070 tonnes, Tianjin 830 tonnes, Shanghai 43,180 tonnes, Huangpu 42,760 tonnes, Fuzhou 14,570 tonnes, Fangchenggang 1,000 tonnes and 4,055 tonnes at other ports.

FOB quotes from foreign markets today: Apr/May shipments are quoted steadily at 1,410 USD/tonne for Peruvian Standard with 65% protein content and at 1,630 USD/tonne for Peruvian super with 68% protein content. Chilean Standard with 65% protein content is quoted steadily at 1,430 USD/tonne, and super with 68% protein content at 1,600 USD/tonne.

Cottonseed meal: Cottonseed meal prices in China stay stable with a partial decrease of 50 CNY/tonne today. U.S. soybean futures edged lower on Wednesday. And meals futures on Dalian also marginally fall today. Spot soybean meal declines by 10-30 CNY/tonne in coastal region. Farmers are inactive in replenishing hog stocks amid the resurgence of African swine fever. Meanwhile, poultry inventory has not been rebuilt yet. Plus, aquaculture has not begun yet for the moment. Consequently, soybean meal is in light trading, and some soybean crushing mills suspend the processing as soybean meal stocks swell, cracking down soybean meal price. Besides, cottonseed meal trade is tepid currently result from a lack of rigid demand, which curbs its market tentatively. Additionally, most of cottonseed oil plants are idled at present, bringing some support to cottonseed meal market. Therefore, short-term cottonseed meal price will likely follow soybean meal to move with fluctuations.

(USD $1=CNY ¥6.49)