April 19, 2018

China Soymeal Weekly: Soy import concerns boost soymeal sales (week ended Apr 16, 2018)

An eFeedLink Exclusive
 

Price summary

Prices increased significantly.
 

Weekly transacted prices of soymeal in China

Region

Protein content (%)

Price as of Apr 16
(RMB/tonne)

Price as of Apr 9
(RMB/tonne)

Price change
(Percentage)

Heilongjiang

43%

3300

3560

260

Liaoning

43%

3360

3440

80

Hebei

43%

3250

3330

80

Shandong

43%

3200

3250

50

Jiangsu

43%

3200

3300

100

Guangdong

43%

3250

3320

70

Prices are representative and are for reference only.
RMB1=US$0.1590 (Apr 17)

         
         
Market analysis

Over the week, prices of CBOT May soy futures closed 1.2% higher.

Concerned about the trade war between the US and China, which could result in a 25% tax on US soy imports, several buyers increased stockpiles to be on the safe side. Weekly transaction volume of soymeal surged 60% to 1.42 million tonnes, supporting the price hikes of the product.

On average, soymeal prices rose prominently by 3.8% over the week.
 

Market forecast

Soymeal market is set to stay firm amid likely upsurge in soy import costs. However, after the recent round of price surge, feed producers, who are wary of the weak hog market, will hold back purchases.
 

 


All rights reserved. No part of the report may be reproduced without permission from eFeedLink.