January 14, 2008

 

China soy prices rise on strong futures
 

 

Soy prices in China's major producing regions were higher in the week to Friday, as farmers have limited stocks while futures prices stayed at near-record levels.

 

Soy prices in Jiamusi city in Heilongjiang province were around RMB4,380-RMB4,420 a  tonne, up from around RMB4,340/tonne a week ago.

 

Soy prices in Qianjin in the province were around RMB4,300/tonne-RMB4,360/tonne, up from RMB4,280/tonne a week earlier.

 

The benchmark September 2008 soy futures traded on the Dalian Commodity Exchange hit another contract high at RMB4,838/tonne last Friday (January 11, 2008).

 

Analysts said farmers' dwindling stocks and near-record high futures prices are supporting cash values.

 

The China National Grain and Oils Information Center Friday forecast more than 3 million tonnes of imports in January, which would exceed the 2.93 million tonnes of imports in December, according to the General Administration of Customs.

 

Soyoil prices remained steady in the week to Friday.

 

In southern Guangdong province, fourth-grade soyoil prices were around RMB11,400/tonne, little changed from RMB11,200-RMB11,400/tonne.

 

Soymeal prices were mostly little changed as well.

 

In Guangdong province, prices of average-protein soymeal were unchanged around RMB3,550/tonne.

 

The CNGOIC said a sufficient supply of soyoil and the high soymeal stocks will likely to keep prices steady before the Chinese New Year in early February.

 

RMB1 = USUS$1376 (Jan. 14)