October 26, 2020

China imports 51% more soybeans year-on-year from Brazil in September

China's General Administration of Customs said the country had imported 51.4% more soybeans in September compared to the same month in 2019, as cargos bought earlier this year cleared customs, Reuters reported.

China purchased 7.25 million tonnes of soybean from Brazil in September, higher than the 4.79 million tonnes purchased in 2019 according to customs data.

Overall, China imported 9.8 million tonnes of soybeans from different countries in September, 19% higher compared to last year. 1.17 million tonnes of soybeans was imported from the United States, a 32.4% drop from the 1.73 million tonnes that arrived in the same month in 2019.

Shipments from the US are expected to go up in the fourth quarter of this year as US soybeans dominate the market during their harvest season.

China has increased its US agricultural purchases, especially for soybean and corn to fulfill its pledge agreed in the US-China Phase 1 trade deal signed earlier this year.

Analysts and traders said overall imports are projected to lower as there will be less shipments from Brazil.

China's national soybean inventories dropped to 7 million tonnes by the week of October 18, after reaching 8 million tonnees in early September. As for soybean meal, the country's inventories are at 937,900 tonnes, down from 1.27 million tonnes in early September.

-      Reuter