May 18, 2011

China's soy imports dip 2.6% in Jan-April

China imported 14.84 million tonnes of soy in the period from January to April this year, down 2.6% on-year, according to statistics released by China's General Administration of Customs.

In April, China's soy imports reached 3.88 million tonnes, 10.5% more than in March this year, but 7.4% less than a year earlier. Soy import value was US$2.27 billion, up 8.9% from March.

Some experts said that China's soy imports are likely to see slower growth this year. China's soy stocks are adequate at present, which led to decrease in import. Currently, soy demand in the domestic market is weak. Soy stocked is approximately 6.3 million tonnes. Generally, the ports that warehouse soy stocks are around five million tonnes.

At present, the price of the imported soyoil is RMB9,800 (US$1,506)/tonne, and the price of the soymeal is around RMB2,900 (US$446)/tonne, which has obviously reduced the profit of soy processing companies.

The soy processors, which imported soy at higher prices, will record losses, sources said. Their profit is largely depending on whether they locked in the right prices on purchasing time.

Last month, China imported 480,000 tonnes of edible vegetable oil, with import value reaching US$579 million, up 53.2% on-month. The country imported 320,000 tonnes of grains, with import value of US$134 million, down 10.1% on-month.