May 3, 2010

 

 

Chinese soy buyers have slowed new cargo bookings from South America because of massive imports during May to July, the China National Grain and Oils Information Centre (CNGOIC) said.

 

Some trading houses could record losses from selling imported soy as heavy imports may pressure prices, it said on Friday (Apr 30).

 

China, the world's top soy buyer, was likely to import a record level of soy in excess of five million tonnes each in May and June, the centre estimated earlier.

 

Soymeal prices remained steady along with demand. A supply surplus could occur as soy plants in some areas are crushing more. Large soy imports could lead to a fall in meal prices. Warming weather could boost demand for palmoil for blending with soyoil. Soyoil demand could fall in coming weeks.

 

Bidding for state corn remained active. Rising domestic corn prices could lead to more imports from neighbouring countries, such as Thailand and Myanmar. China bought two cargoes of US corn last week.

 

Feedmills are likely to use more feed wheat instead of corn amid high prices.