eFeedLink - China Whey Weekly: Market weakens under slack demand (week ended Dec 3, 2018)

December 6, 2018

China Whey Weekly: Market weakens under slack demand (week ended Dec 3, 2018)

An eFeedLink Exclusive

Price summary

Prices stayed soft.

Weekly port transaction prices of whey in China
Specification	Port	Price as of Nov 26 (RMB/tonne)	Price as of Dec 3 (RMB/tonne)	Price Changes (RMB/tonne)
Low protein	Shanghai	7,900	7,800	-100
	Tianjin	8,000	7,900	-100
	Shandong	8,000	7,800	-200
	Guangdong	7,900	7,800	-100
	Jiangsu	-	-	-
	Beijing	8,100	7,900	-200
	Inner Mongolia	-	-	-
High protein	Shanghai	-	-	-
	Tianjin	-	-	-
	Shandong	8,700	8,700	0
	Guangdong	8,700	8,700	0
	Jiangsu	-	-	-
	Beijing	8,700	8,700	0
	Inner Mongolia	-	-	-
Prices refer to port transaction prices for bulk purchases in Dalian, Shanghai, Guangzhou, etc, and are for reference only. RMB1=US$0.1458 (Dec 6)

Suppliers' quotes

Price quotes of US feed-grade whey were stable in the range of US$ 661-783/tonne as supplies dwindled amid lower cheese production.

Market analysis

Demand for whey remained sluggish while the hog market continued to be plagued by disease outbreaks and the piglet quantity stayed low. Hence, even as imports decreased while import costs increased, whey prices continued to slide under tepid sales.

Market forecast

Demand for whey is unlikely to improve in the coming period with piglet production rates usually low during winter and the outlook of the hog sector bleak. With the renminbi appreciating, hence helping to mitigate the rise in US whey costs, prices are seen stable to lower.

Remarks: Prices refer to port transaction prices of low-protein whey and are for reference only.

Remarks: Prices refer to CIF China price quotes (US-Dollar) of low-protein whey and are for reference only.