August 26, 2013
 
Tight supplies continue to buttress China rapeseed meal market (week ended Aug 23, 2013)
 
An eFeedLink Exclusive
      
                                                                                               
Price summary
 
Prices were stable to higher.
 

Weekly transacted prices of rapeseed meal in China

Region

Price type

Protein content
(%)

Price as of
Aug 16
(RMB/tonne)

Price as of
Aug 23 
(RMB/tonne)

Price change

(RMB/tonne)

Percentage

Jiangsu

Nantong

Ex-warehouse

36

3,200

3,300

100

3.13

 

Wuxi

Ex-warehouse

36

2,550

2,550

0

0

Anhui

Chaohu

Ex-warehouse

36

2,500

2,500

0

0

Hefei

Ex-warehouse

36

3,150

3,250

100

3.17

Anqing

Ex-warehouse

36

3,050

3,050

0

0

Hubei

Wuhan

Port

36

3,250

3,300

50

1.54

Jingmen

Ex-warehouse

36

2,900

2,900

0

0

Xiangyang

Ex-warehouse

36

2,900

2,900

0

0

Hunan

Yueyang

Ex-warehouse

36

3,000

3,000

0

0

Changde

Ex-warehouse

36

2,950

2,950

0

0

Changsha

Rail Station

36

3,300

3,300

0

0

Sichuan

Chengdu

Rail Station

36

3,000

3,000

0

0

Ziyang

Ex-warehouse

36

2,400

2,550

150

6.25

Qinglongchang

Ex-warehouse

36

2,390

2,500

110

4.6

Guangdong

Guangzhou

Rail Station

36

3,250

3,300

50

1.54

Average

-

-

2,919

2,957

37

1.28

Prices are representative and for reference only.
RMB1=US$0.1633 (Aug 26)

 

Market Analysis
 
Tight supplies continued to boost confidence in feed millers, who have been keeping prices high. Coupled with strong demand from the aquaculture industry, China rapeseed meal market gained for another week with prices rising in several regions.
 
Meanwhile, CBOT soy prices rose to a two-month high, as concerns over this year's soy production spurred technical buying.
 
 
Market Forecast
 
As prices have risen to record-high levels, together with the depleting domestic rapeseed inventory, feed millers are seeking alternatives and turning increasingly to soymeal for substitution, which will further reduce the supply of rapeseed meal. The situation is unlikely to change before the next season of Canada’s harvest hit the market. With shortage in supplies, China rapeseed meal market will likely gain more ground in the near term.
 

 


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