[CHICAGO] China’s state stockpiler Sinograin purchased at least 10 cargoes of US soybeans on Friday (Jan 9), or at least 600,000 tonnes, for shipment in April and May, capping an active week of buying by the world’s top importer, three traders with knowledge of the deals said.
At least eight of the cargoes booked on Friday were slated for shipment from US Gulf Coast export terminals, with the remainder due to ship from the Pacific Northwest, they said.
Friday’s sales brought Beijing closer to fulfilling a commitment to buy 12 million tonnes of the latest US soybean harvest by the end of February after Sinograin purchased about 10 cargoes of US soy on Monday.
Chinese importers booked smaller daily volumes later in the week, all of which were for shipment in March or later during the peak export season for rival supplier Brazil, traders said.
China shunned US soybeans for months amid tensions with Washington over US President Donald Trump’s trade tariffs before resuming purchases in late October. Beijing’s total purchases were now likely near 10 million tonnes or more, traders and analysts said.
Chinese state-owned traders have been buying US soybeans despite cheaper supplies often available from Brazil, where farmers are beginning to gather what is expected to be their largest harvest ever, and despite a domestic supply glut.
China’s National Grain Trade Center said Sinograin will auction 1.1 million tonnes of imported soybeans on Jan 13, its first sale of the year and the fourth since last month, as the state stockpiler works to make room for arriving US shipments. REUTERS
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