Animal Feed Ingredient Market Information In China On September 6, 2023

 

Feed Ingredient Price List On September 6, 2023

 

Variety	Today AVG. Price(RMB)	Yesterday AVG. Price(RMB)	Growth	Unit
Corn/Maize	2899.79	2898.47	+1.32	RMB/MT
Soybean Meal	4925	4905	+20	RMB/MT
Rapeseed Meal	3930	3920	+10	RMB/MT
Cotton Seed Meal	4375	4375	-50	RMB/MT
DDGS	3045.5	3045.5	0	RMB/MT
Peruvian Steam Dried Fish Meal	18400-18800	18700-18800	-300	RMB/MT
Wheat	3029.89	3032.42	-2.53	RMB/MT
Data Source: China Feedtrade Net Exchange Rate: 100USD=730.3900RMB

 

 

 

Market Comments and Concern

 

Corn/Maize

 

On the 6th, the price of corn fluctuated and went up. Before domestic new corn can be effectively supplied to the market, the tight supply of old grain and low channel inventory will continue to support high market fluctuations. At the end of September, as new grain gradually enters the market and the supply of brown rice, imported grains, etc. increases, the tight market supply and demand pattern is expected to ease. China's aged corn stocks will continue to decline in September. There is no obvious sign of increase in the quantity of imported corn arriving at the port. The supply of spring corn is limited. The demand for corn for breeding will continue to grow. The operating rate of deep processing enterprises has rebounded. The demand for corn has increased, and traders' stocks have continued to increase. Declining reluctance to sell sentiment is still high. In September, China's aged corn stocks will continue to decline. The supply of spring corn is limited. The demand for corn for breeding will continue to grow. The operating rate of deep processing enterprises will rebound. The demand for corn will increase. As the launch time of new season corn approaches, traders will increase their willingness to sell goods. . The overall supply of corn in September is still moderately tight, but the large investment in alternative raw materials has moderately eased the tight supply of corn, and the continued rise in wheat and malt prices has also provided support for corn prices. It is predicted that the chance of a stagflation correction in corn prices will increase in September. In the first half of the month, the price will be stable, slightly weak, and the decline will not be significant. In the second half of the second half, as the new season corn harvest time approaches in the main producing areas of Northeast China, the potential impact of new crop pressure will gradually appear, and trade The reluctance of merchants to sell has weakened, and the willingness to ship goods is expected to gradually increase, and the decline in corn prices will expand.

 

DDGS

 

On the 6th, the price of DDGS was firm. The inventory of DDGS has been digested recently, and the overall performance of DDGS shipments is acceptable. Most ethanol factories have strong sentiments to support prices, and maintain a bullish attitude towards the market outlook, which supports the price of DDGS to a certain extent. In September, the operating rate of Chinese corn starch production enterprises recovered moderately, and the production and supply of DDGS continued to grow and the supply continued to improve. However, the price of raw material corn continues to remain high. Although the price of plant protein meal has retreated, it continues to remain high overall. Although the support for DDGS prices has weakened, it is still generally strong. It is predicted that during the first half of September, it is more likely that the DDGS price will continue to be stable and relatively strong, and the probability of a correction in the second half of the month will increase.

 

Soybean Meal

 

Due to active technical selling and the possible return of rainfall in some soybean producing areas in the Midwest to ease crop growth pressure in the later period, soybean futures prices fell under pressure. However, the expected sales of new soybeans in the United States and the significant decline in soybean growth rate limited the decline in the soybean market. Although the U.S. soybean harvest is approaching, the market has cooled down due to the production reduction hype caused by the weather. Some feed farming companies already have a certain amount of inventory after the basis contract is withdrawn. In addition, the high spot price of soybean meal limits the willingness of the terminal to continue to stock up on soybean meal. , after the spot spot of soybean meal remained light, the inventory stopped falling and turned to rise. Factories' willingness to raise prices weakened, and prices were in a state of slight adjustment. However, the cost of imported soybeans is still high and the demand for livestock and poultry farming will continue to support the market, and the price of soybean meal will continue to fall to a limited extent.

 

Source: China Feedtrade Net