In this file:
· China’s June soybean imports surge on pig herd recovery
· China’s hog slaughter recovery bodes well for feedgrains
China’s June soybean imports surge on pig herd recovery
via Hellenic Shipping News - 15/07/2021
China’s soybean imports in June rose on strong domestic demand as the country’s pig herd recovers from African swine fever, market sources told S&P Global Platts July 13.
According to a customs department report released June 13, China imported 10.7 million mt of beans in June, up 11.6% month on month, but down 3.9% from record imports last June.
The world’s largest soybean importer bought 48.96 million mt of beans in the first half of 2021, up 8.7% on the year, the customs report showed.
While US-origin beans dominated China’s soy imports in the first three months of 2021, Brazil is expected to comprise the majority of shipments between April and September amid the arrival in the market of new crop.
Typically, China buys Brazilian oilseed for the first three quarters of a calendar year due to its price competitiveness and turns to the US in the last quarter when South American beans begin to get more expensive.
According to market analysts, Brazil-origin bean purchases are set to dominate China’s oilseed market until late September, when the new US soybean crop harvest begins.
Hog herd recovery boosting soy demand ...
China’s hog slaughter recovery bodes well for feedgrains
"We conclude that China will remain an active buyer of U.S. grain through at least the 2021-22 marketing year based on steady pork production, higher slaughter rates and currency tailwinds," CoBank said in a recent report.
By Sean Pratt, The Western Producer (Canada)
July 15, 2021
A major farm lender in the United States is forecasting another strong year of Chinese grain and oilseed demand in the new crop year, and that bodes well for prices.
“Predicting with certainty whether China will purchase the same levels of U.S. soybeans, corn and sorghum over the next year as it has done so over the past year is impossible,” CoBank said in a recent report.
“That said, we conclude that China will remain an active buyer of U.S. grain through at least the 2021-22 marketing year based on steady pork production, higher slaughter rates and currency tailwinds.”
China has already contracted 10.7 million tonnes of new crop U.S. corn, or two-thirds of its total anticipated imports from that country. It has also bought three million tonnes of new crop soybeans.
“Barring cancellations, these orders lend confidence that U.S. feedgrain exports to China will continue to be strong during the next six months,” said CoBank.
The U.S. Department of Agriculture is forecasting China will slaughter 520 million hogs in 2021. That would be up from the trough of 460 million hogs in 2020 but well below the peak of 735 million in 2014..
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