China's October Soybean Imports Down 41.2%, Lowest Since March 2020
China’s soybean imports in October fell 41.2% from a year earlier, hitting the lowest level since March 2020, customs data showed on Sunday as poor crush margins curbed demand and Hurricane Ida limited US shipments.
Photo Insert: Soybean harvest
The world’s top buyer of soybeans brought in 5.11 million tons of the oilseed in October, versus 8.69 million tons a year earlier, General Administration of Customs data showed, Dominique Patton and Muyu Xu reported for Reuters.
China’s soybean purchases in October were also down from the 6.88 million tons imported in September, the data showed.
China brought in 79.08 million tons of soybeans in the first 10 months of the year, down 5% from a year earlier. Chinese crushers had stepped up purchases earlier in the year in anticipation of strong demand from a fast recovering pig herd.
Demand has, however, dropped after pig supplies outpaced demand, leading to a plunge in prices and wiping out farmer profits. Hog farmers faced heavy losses throughout the summer months, though prices have picked up in October.
As recently as early September, soybean crush margins were negative after hitting a record low in June. However, the margins improved during September on declining stockpiles.