The forecast increase in imports of soybeans by China maintains prices at a high level

in the last month, prices for soybeans and soybean meal rose to multi-year highs and will remain at a high level for at least another year thanks to increased demand from China.

According to analysts S&P Global Platts Analytics in 2021/22 MG China will increase soybean imports to a record 110 million tonnes as a result of rising demand from the processing industry, which will increase production of soybean meal for livestock. The number of pigs in China is increasing rapidly, and by June can reach figures which were preceded by outbreaks of ASF.

Note that 80% of the annually imported volume of China soybean is processed.

According to the USDA estimations, in 2020/21 MG China imports 100 million tonnes of soy. Whereas according to the customs service of China, in 2020, the country imported 100,33 million tons of soybeans. In comparison with last year, soybean imports from Brazil increased by 11.46% to of 64.28 million tons and US 52% to 25,89 million tons.

China has significantly stepped up purchases of soybeans in the U.S. after the two countries signed a trade agreement in the framework of the first phase of negotiations, in which China committed itself in 2020 to buy American agricultural products 36.5 billion $. It was expected that the share of purchases of soybeans will make up half of the specified amount that will be equivalent to 40 million tonnes, however, to reach this target failed.

In December 2020 China increased compared with the corresponding period of the previous year imports of soybeans from the United States from 3.09 to 5.84 million tons, but has reduced imports from Brazil from 4.83 to 1.18 million tonnes in January – February imports from Brazil will increase, with more than 60% of the Brazilian soybean crop has been sold.