Soybean Import Expected to Drop in Late 2012 in China

By CnAgri2012-07-19 09:05:57 Print

China’s soybean imports registered 5.62 million MT in June and 29.05 million MT in January ~ June, up 40% and 22.5% respectively on the year-on-year basis. Vegoil imports registered 540,000 MT in June and 2.7 million MT in January ~ June, up 16.2% and 21.2% respectively on the year-on-year basis.

Soybean stock at Chinese ports has hit a high level of 6.9 million MT currently. Meanwhile, the auction of home-produced soybeans is turning brisk. Therefore, soybean supply is abundant. However, soybean and soymeal futures price has kept climbing for five weeks in the international market on account of traders’ expectation of a soybean production failure this year. BOABC predicts that if soybean import price runs high in the second half of this year, China may cut soybean imports and increase rapeseed imports from Canada.

From "China Oil and Oilseeds Market Weekly Report"