December 6, 2004
Bumper Harvest Continually Drove China's Soybean Prices Lower in November
China's Soybean Monthly Report - November 2004
An eFeedLink Special Report
Below is an abstract of the report: Bumper Harvest Continually Drove China's Soybean Prices Lower in November
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Soybean spot prices in China went through the phases of weakening to marginal recovery to stability in the month of November. The country-wide average price for third-grade soybean in November was RMB2,787/ton, a fall of 8.32% compared with October's.
Global soybean supply has swelled with a bumper harvest in the US and China. Slow growth in demand will result in supply outstripping demand. In China, continual high imports of soybeans and soyoil have met with slow growth in domestic demand for soymeal and soyoil.
Analysts are not too hopeful for a price recovery in the Chinese markets in the near term, even after factoring in the anticipated increased buying volume prior to the Chinese New Year period.
More contents in this 3-page report include:
I. Farmers' Reluctance to Offload Stocks Led to Price Recovery in First Half November
II. Concerns over Rust and Mad Cow Disease Sent CBOT Soybean Prices Higher
III. Spot Prices in International Markets Buoyed by Depreciating US Dollar and Farmers'
Hoarding of Stockpiles
IV. Global Soybean Prices Likely to Fluctuate at Low Level on Bumper Harvest
V. Market Oversupplied with Rising Imports and Higher Domestic Output
