China: Oilseeds and Products Update
As a result of a recovery in swine production and steady growth in the poultry sector, and subsequent higher demand for industry feed and protein meal, China’s soybean imports are forecast to hit a record of 86 million metric tons (MMT) in MY16/17, up from the estimated 82.5 MMT in MY15/16. The soybean import growth rate, however, is expected to slow due to a forecasted recovery in domestic soybean production and China’s sale of oilseed stocks and oilseed product reserves (soybeans and rapeseed oil), absorbing market share for food soybeans and vegetable oils. However, forecast lower imports of DDGS as a result of China’s implementation of anti-dumping duties increases demand for soybean meal and thus could support growth in soybean imports.
