January 16, 2017
China Soymeal Weekly: China soymeal market stable despite falling CBOT soy futures (week ended Jan 16, 2017)
An eFeedLink Exclusive
Price summary
Prices were mostly stable.
|
Weekly transacted prices of soymeal in China | ||||
|
Region |
Protein content (%) |
Price as of Jan 9 |
Price as of Jan 16 |
Price change |
|
Heilongjiang |
43% |
3,450 |
3,450 |
0 |
|
Liaoning |
43% |
3,440 |
3,440 |
0 |
|
Hebei |
43% |
3,220 |
3,220 |
0 |
|
Shandong |
43% |
3,200 |
3,100 |
-100 |
|
Jiangsu |
43% |
3,250 |
3,250 |
0 |
|
Guangdong |
43% |
3,180 |
3,200 |
20 |
|
Prices are representative and are for reference only. | ||||
Market analysis
CBOT soy March futures prices surged higher before end of the week, making a weekly gain of 5%.
Despite a stronger CBOT soy market, soymeal prices remained flat in most parts of China. As supplies of soymeal were abundant amid plentiful soy imports and high operation rates of crushers, the market was under pressure. However, feed millers increased stocks before the Chinese New Year holidays, hence lending some support to the market.
On average, soymeal prices inched lower by 0.41%.
According to customs statistics, China imported 9 million tonnes of soy in December, slightly lower by 1.31% compare with a year ago. Total soy import for 2016 was 83.91 million tonnes, up by 2.66% year-on-year.
Market forecast
China's January soy imports are projected at 8-8.2 million tonnes. With feed demand poised to stay limited due to a weak livestock market, soymeal prices are seen soft in the coming period.
All rights reserved. No part of the report may be reproduced without permission from eFeedLink.
