China: Oilseeds and Products Update
In anticipation of higher demand for industry feed and protein meal, based on a recovery in swine production and steady growth in the poultry sector, China’s soybean imports are forecast to hit a record of 86 million metric tons (MMT) in MY16/17, up from the estimated 83 MMT in MY15/16. Post’s forecast for MY16/17 soybean imports is slightly lower than the official USDA data forecast of 87 MMT. China’s recent sale of stored oilseed and oilseed product reserves (soybeans and rapeseed oil) will absorb some of the market share for food soybeans and vegetable oils. However, forecast lower imports of DDGS as a result of China’s anti-dumping investigation may increase demand for soybean meal and thus support growth of soybean imports.
