China introduces automatic licence system for soy imports

China has introduced an automatic import licence system for soy, one that requires importers to apply for licences from China's Commerce Ministry.

 

The Commerce Ministry issued a statement last month, announcing that soy and rapeseed from January 1 will be added to a list of farm products requiring such licences that already includes soyoil and chicken.

 

The measure could cause delays for recently arrived cargoes but it will have no impact in the long term, said one soy trader.

 

The ministry states that licences will be issued within 10 working days.

 

Meanwhile, concerns over delays to imported soy cargoes helped push up Dalian futures prices, with the most-active September contract trading 2.7% higher before easing to settle at RMB4,140 (US$606) per tonne, an increase of 1.7%.

 

Dalian prices have also been supported in recent months by Beijing's decision to continue stockpiling domestic crops at a higher price than last year.