March 31, 2020
 
China Soymeal Weekly: Prices surge 16% since mid-February (week ended Mar 30, 2020)
                                                                                
An eFeedLink Exclusive
 

Price summary
 
Prices increased further.
 

Weekly transacted prices of soymeal in China

Region

Protein content (%)

Price as of
Mar 23
(RMB/tonne)

Price as of
Mar 30
(RMB/tonne)

Price change
(Percentage)

Heilongjiang

43%

2,862

2,920

58

Liaoning

43%

2,954

3,034

80

Hebei

43%

2,896

2,948

52

Shandong

43%

2,768

2,878

110

Jiangsu

43%

2,800

2,938

138

Guangdong

43%

2,772

2,878

106

Prices are representative and are for reference only.
RMB1=US$0.1411 (Mar 31)


 
Market analysis
 
Over the week, prices of CBOT May soy futures surged another 2.2% due to talks of strikes by Brazilian port workers.
 
In China, prices of soymeal climbed further with crushing volumes shrinking. Since the Chinese New Year holidays ended in mid-February, soymeal prices have surged 16% although feed demand remained weak due to low animal population.
 

Market forecast
 
Soymeal market is expected to stay strong with supplies limited. Should port workers in Brazil start a strike due to fears of the Wuhan coronavirus, the prices of soy and hence soymeal will rise even faster.
 

 


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