China issues early warning for soybean and rapeseed imports

Both soybean and rapeseed imports are expected to reach historic highs in April and imports in May will remain relatively high, says the Ministry of Commerce. As domestic supply increases, the Ministry of Commerce reminds enterprises to avoid importing too much.

In April, soybean and rapeseed imports will exceed 3.8 million tons and 270,000 tons, a 60 percent increase and a 180 percent increase year-on-year, respectively. Cumulative imports for the first four months will reach around 14 million tons and 900,000 tons, nearly a 40 percent increase and a 120 percent increase year-on-year, respectively, setting all-time highs in import volume.

To date, enterprises have reported 3.85 million tons and 130,000 tons of forecasted shipments of soybean and rapeseed for April.

Since imports have risen sharply, the current stock level is relatively high across ports, pushing prices down. As the weather gets warmer, which means that high season for palm oil consumption will arrive and new domestic rapeseed will shortly reach the market, the market supply will increase and there will later be abundant supply at home.

The Ministry of Commerce warns relevant importers to pay close attention to market trends in the future, strengthen risk prevention and appropriately adjust their importing levels, so as to avoid losses incurred as a result of excessive importing.

Source: People's Daily Online