July 5, 2022
China Soymeal: Ample supply weighs down prices (week ended Jul 4, 2022)
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Over the week, the closing price of CBOT July soy futures fell further by 2%.
Demand for soy remained weak, particularly as several institutions, including USDA, lifted Brazil’s soy harvest projection for 2022/2023. With supplies set to remain ample .buyers in China were not keen to stockpile high soymeal inventories.
Meanwhile, during the first half of 2022, Brazil exported 55.34 million tonnes of soy, decreased by 8.5% compared with the first six months of 2021, according to Brazil's National Association of Grain Exporters (ANEC).
Soymeal prices averaged RMB4,097/tonne, dipped RMB77/tonne or 1.8% compared with the previous week.
Soymeal demand is unlikely to be strong as feed producers, who face slow feed sales, expected soy supplies to be plentiful. Prices are poised to be under pressure in the coming period.
Full version of the report is available at: https://spoutinfo.com/market-forecast-detail/31/32/271/4223
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