China’s soybean imports fell 15.3 percent in May from a year earlier, but the level was still the second-highest on record for the month, exceeding analysts’ expectations as peak South American supplies and smoother port logistics supported arrivals.
Total imports stood at 11.79 million metric tons, down from 13.92 million a year earlier, data from the General Administration of Customs showed on Tuesday.
May soybean imports exceeded market expectations of around 11 million metric tons, said Wang Wenshen, an analyst at Sublime China Information.
“Given that April imports were relatively low, part of the May volume likely reflected cargoes delayed from April due to slower customs clearance, rather than an increase driven by underlying demand,” Wang said.
Traders and analysts said soybean customs clearance times had improved to as little as 10 to 14 days, compared with around 25 days previously.
Over the period from January to May, soybean arrivals in the world’s biggest buyer totalled 36.94 million tons, down 0.4 percent from 37.11 million tons a year earlier, the data showed.
“Looking ahead, soybean arrivals in the June-August period are expected to remain between 10 million and 11 million tons per month on average, suggesting ample supplies through the second and third quarters,” said Liu Jinlu, an agricultural researcher at Guoyuan Futures.
Top soybean producer Brazil exported 14.83 million tons of soybeans in May, up from 14.10 million tons a year earlier, according to Brazilian government data. China is expected to account for the bulk of the exports.
Traders are also watching for signs of renewed Chinese demand for US soybeans after Beijing agreed to expand agricultural trade during mid-May talks with Washington.
The absence of major Chinese purchases since the meeting has weighed on Chicago soybean futures in recent weeks.
Reuters
