August 16, 2016
China Soymeal Weekly: Strengthened demand lifts prices (week ended Aug 15, 2016)
An eFeedLink Exclusive
Price summary
Prices moved higher.
|
Weekly transacted prices of soymeal in China | ||||
|
Region |
Protein content (%) |
Price as of Aug 7 |
Price as of Aug 15 |
Price change |
|
Heilongjiang |
43% |
3,800 |
3,800 |
0 |
|
Liaoning |
43% |
3,130 |
3,190 |
60 |
|
Hebei |
43% |
3,060 |
3,140 |
80 |
|
Shandong |
43% |
3,000 |
3,090 |
90 |
|
Jiangsu |
43% |
3,140 |
3,150 |
10 |
|
Guangdong |
43% |
3,100 |
3,150 |
50 |
|
Prices are representative and are for reference only. | ||||
Market analysis
After the recent week's sharp loss, CBOT soy futures prices consolidated higher as import orders for US soy beans exceeded analysts' expectations.
Supplies of soymeal increased 7% to 1.62 million tonnes in China as crushing rates picked up. However, as buyers increased purchases while soymeal was cheap after the sharp declines over the past three weeks, prices strengthened by 1.5%
Market forecast
Demand for soymeal is poised to expand as farmers fatten animals in preparation for the surge in demand in the period leading to the Mid-Autumn Festival and long October holidays. Unless CBOT soy futures prices fall significantly, soymeal prices are seen stable to higher in China.
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