China's soy buying slows amid heavy imports

Chinese soy buyers have slowed down bookings of new cargoes as large amounts of imports are arriving in the country this month and the next, according to the China National Grain and Oils Information Centre (CNGOIC).

China's soy supply would be in surplus and purchases for near-month cargoes were at a lower level while bookings for forward months may be decreasing as well, it said.

Soyoil trades remain thin amid weak demand. Supplies are ample and given large soy imports and the approaching domestic harvest of rapeseed, soyoil demand remains weak.

Soymeal prices fell 3.6% last week because of excessive supplies. Demand from poultry breeders has picked up, but feedmills have kept their inventories low.

Corn supply is tightening in the country's inland areas, with big price rises also driving up prices in the major growing areas in the northeast. Corn processors are willing to raise their purchase prices of corn as they remain profitable.

There are still worries that corn supply in coming months will be tight, and such worries will bolster purchases by feedmills and processors while worsening supply. Corn prices are seen continuing to rise in June.