February 9, 2015
China Soymeal Weekly: Feed millers stock inventories, lift trading volume by 42% (week ended Feb 8, 2015)
An eFeedLink Exclusive
Price summary
Prices stayed stable.
|
Weekly transacted prices of soymeal in China | ||||
|
Region |
Protein content (%) |
Price as of Feb 2 |
Price as of Feb 9 |
Price change |
|
Heilongjiang |
43% |
3,480 |
3,480 |
0 |
|
Liaoning |
43% |
2,980 |
3,010 |
30 |
|
Hebei |
43% |
2,960 |
2,950 |
-10 |
|
Shandong |
43% |
2,880 |
2,880 |
0 |
|
Jiangsu |
43% |
2,900 |
2,920 |
20 |
|
Guangdong |
43% |
2,800 |
2,800 |
0 |
|
Prices are representative and are for reference only. | ||||
Market analysis
CBOT soy futures prices remained under 1,000 cents per bushel despite dwindling US soy supplies.
Demand for soymeal increased as feed millers restocked depleted inventories while prices remained at record low levels. Over the past week, soymeal transaction of major crushers totalled 742,600 tonnes, which was a whopping 42% increase compared with the previous week.
Market forecast
Crushers have begun to cut down production as the Chinese New Year holidays are just a couple of weeks away. Meanwhile, several feed producers are expected to accumulate stocks, albeit prudently, in the days ahead. The prices of soymeal are therefore seen stable to higher.
