August 11, 2015                     
 
China Soymeal Weekly: Record monthly soy imports limit soymeal price rebound (week ended Aug 9, 2015)
                                                                            
An eFeedLink Exclusive
 
 
Price summary
 
Prices were mostly higher.
 

Weekly transacted prices of soymeal in China

Region

Protein content (%)

Price as of Aug 2
(RMB/tonne)

Price as of Aug 9
(RMB/tonne)

Price change
(Percentage)

Heilongjiang

43%

3,000

3,000

0

Liaoning

43%

2,760

2,750

-10

Hebei

43%

2,700

2,750

50

Shandong

43%

2,700

2,730

30

Jiangsu

43%

2,750

2,800

50

Guangdong

43%

2,700

2,720

20

Prices are representative and are for reference only.
RMB1=US$0.1587 (Aug 11)

 

Market analysis
 
CBOT soy futures prices were range bound, staying below US$10/bushel.
 
In China, demand for soymeal improved, prompting most crushers to stand firm. Nevertheless, with availability abundant, the upward scope of soymeal market was limited.
 
On average, soymeal prices inched up 0.8% over the week.
 
Meanwhile, China's Jy soy imports jumped a whopping 18% on-month to a record of 9.5 million tonnes, which was 27% above July 2014's imported volume.
 
Between January and July, China imported 44.66 million tonnes of soy, higher by 7% compared with the same period last year.
 
 
Market forecast
 
Feed sales should improve as livestock producers stock inventories in preparation for September's Mid-Autumn Festival and early October's long holidays. Nonetheless, China's soy imports are expected to be high in August, hence exerting pressure on the market.
 
Should soy futures prices surge after USDA's reported lower projection of soy output in the US on August 12, China's soymeal market are likely to strengthen in tandem.
 

 


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