Today (Apr 15), the market for meals in China is shown as follows:

Soybean meal: U.S. soybean futures surged on Wednesday, as cold weather in the U.S. Midwest could slow down soybean planting and the market forecast that U.S. March soybean processing would pick up from 155 mln bushels in February to 179 mln bushels, in addition to a nearly 5% rally in U.S. crude oil and a weak U.S. dollar. Meal futures advance on China’s Dalian Commodity Exchange today. Spot soybean meal prices go up 20-40 CNY to 3,280-3,390 CNY/tonne, in weaker trade. (Tianjin 3350-3360, Shandong 3270-3290, Jiangsu 3240-3300, Guangdong 3260-3280, and Guangxi 3290.)

China’s soybean meal stocks fell 6% to 720,000 tonnes last week as soybean crush declined to a very low level of 1.35 mln tonnes on sustained crush margins. And soybean meal shipments are also at a brisker pace as the demand from aquaculture is improving under warm weather. Domestic millers have stronger sentiment to raise prices, which is supporting meal market. But China will bring in more soybeans as Brazilian producers are actively marketing new crops, whilst domestic hog producers are inactive in replenishing hog stocks due to the impact of the African swine fever. These are still curbing rises in meal price. In the short term, soybean meal market may fluctuate to keep its strength.

Rapeseed meal: U.S. soybean futures ended higher on Wednesday. The most-active contract for rapeseed meal futures edges up on China’s Zhengzhou Commodity Exchange today. Spot rapeseed meal is offered 20-40 CNY/tonne higher at 2,630-2,760 CNY/tonne in coastal regions, in tepid trade. Crush margins for soybean and rapeseed futures have been negative on domestic exchange. Besides, many farmers will probably feed more fingerlings with the warmer weather and higher prices in aquatic products. In this case, the demand from aquaculture may gradually pick up, which may boost meals prices. But farmers are reluctant to replenish pig herd due to continuous pullbacks in hog prices amid the concerns over African swine fever. Additionally, China’s soybean arrivals in April-June could bump up to 27 mln tonnes, thereby weighing on meals prices. It is expected that rapeseed meal price will not rise too excessive and may fluctuate frequently.

Imported fishmeal: Imported fishmeal prices steady in China today, in tepid trade. Peruvian Standard SD with 65% protein content is 9,600-9,900 CNY/tonne; Peruvian higher-quality SD with 65% protein content is 10,000-10,200 CNY/tonne; Peruvian higher-quality SD with 67% protein content is 10,500-10,600 CNY/tonne; and Peruvian Super Prime SD with 68% protein content is 11,000-11,200 CNY/tonne. China’s fishmeal stocks get near to 180,000 tonnes at ports with new cargo arrivals, while the feed demand for fishmeal is limited due to a slow recovery in aquaculture and the influence of the African swine fever; hence, port traders are under growing pressure. Besides, market sources said Peruvian fishing quotas in the new season could be neutral or bullish, which is also affecting the sales sentiment in domestic market. Domestic traders are mostly waiting for the release of the quotas and conclude transactions on negotiated prices.

Stocks at ports: Dalian 19,780 tonnes, Tianjin 2,030 tonnes, Shanghai 60,415 tonnes, Huangpu 70,900 tonnes, Fuzhou 19,610 tonnes, Fangchenggang 1,240 tonnes and 4,605 tonnes at other ports.

FOB quotes from foreign markets today: May/June shipments are quoted steadily at 1,370 USD/tonne for Peruvian Standard with 65% protein content and at 1,590 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.

Fish catches in southern Peru: As of Apr 13 (local time), fish catches in the first season of 2021 total 118524 tonnes, taking up 28.98% of the total quota of 409,000 tonnes and with the fishing average at around 2,195 tonnes per day and 290,476 tonnes remaining available. The catch period spans from March 10 to June 30 (The trial catches started from Feb 19).

Cottonseed meal: Cottonseed meal prices in China stay stable with a partial rise of 30-100 CNY/tonne today. U.S. soybean futures soared on Wednesday. Meals futures stage gains on Dalian Commodity Exchange today. Spot soybean meal increases by 20-40 CNY/tonne in coastal regions. Farmers will likely feed more fingerlings with the warmer weather and higher price in aquatic products, thereby seeing a gradual recovery in demand from aquaculture. Thus, oil mills have strong intention to prop up meals prices, giving a boost to their market. But China’s soybean arrivals at ports will climb up in follow-up days with the upcoming marketing season for Brazilian soybean. Besides, farmers are wary of replenishing hog stocks amidst the African swine fever in China, which limits price rises of meals products. Therefore, short-term cottonseed meal price will potentially fluctuate at a narrow range.

(USD $1=CNY ¥6.53)