August 15, 2018 domestic feed raw materials market summary

Market Commentary-Focus

Corn:

Some domestic feed enterprises continue to purchase spring corn to replenish inventory, northeast old grain supply is sufficient, downstream consumption has not improved significantly, short-term supply is still relatively loose, in stock price shocks slightly weak operation. With the new season and early spring corn listed in Southwest and East China, and the southern part of North China, it is expected that the price of corn in mid-to-late August is likely to fall moderately in domestic corn in stock prices, but in mid-to-late September, the main corn producing areas in the north are in the new season. After the corn is listed, the possibility of high corn prices is high. Under the premise of insufficient demand for corn production in the new season, the upward trend of corn in stock prices this year will not change for the time being.

Soybean Meal:

Due to technical buying and last Friday's sharp drop of nearly 5% in soybean prices, the market has continued to rise. U.S. soybeans closed up again overnight. However, the good yield prospect of U.S. soybeans has put pressure on the market. It is expected that the short-term rebound will end, focusing on 870 cents support. U.S. soybean has been rising continuously and domestic soybean meal factories have seen a marked increase in price support. Although domestic soybean meal still has inventory pressure, in view of the increasingly severe trade friction between China and the United States, and the rising cost of imported soybean due to tariffs and the continuous devaluation of the RMB, U.S. soybean has recently repeatedly reported factors such as the decline in excellent rate and the recurrence of weather speculation factors. Domestic factories have strong soybean meal prices. Today, the quotation in some coastal areas has soared by about 100 yuan, some quotations in the northern region are around 40-50 yuan/ton. Continue to pay close attention to the development of Sino-US trade relations and weather changes in US soybean producing areas.

Rapeseed Meal:

Rapeseed meal rose today. The U.S. soybean market is under pressure and the rebound may end. The domestic protein meal market is strong due to the Sino-US trade war. Soybean meal continues to rise today. In addition, aquaculture continues to be in the peak season. The rapeseed meal market is supported by the peak demand season. Today's market is strong. The long-term rapeseed meal will rise with the rise of soybean meal. The trend will remain unchanged. Pay close attention to the latest news of Sino-US-US-US trade relations and soybean meal trends.

Cottonseed Meal:

Today cottonseed meal to maintain finishing. Cottonseed is in a period of green and yellow, cottonseed meal supply is limited, and cottonseed meal demand continues to be in the peak season stage, the market is strong. Domestic meal market by the Sino-US trade war impact of strong resilience, but the cottonseed meal market transactions did not see volume, so cottonseed meal strong adjustment, long-term with the rise of soybean meal, cottonseed meal inevitably rose, pay close attention to the trend of soybean meal market.

　　DDGS：

Recently, corn alcohol manufacturers concentrated into the maintenance, manufacturers start-up rate is low, corn prices stabilize and other good for DDGS to provide support, but less than soybean meal price advantage, inhibit downstream consumer demand, suppress price increases, short-term domestic DDGS price trend to maintain a stable trend.

super steam fish meal:

Under the influence of high fishmeal cost and good demand, fishmeal market sales mentality is supported. Mid-term Shanghai Port, Guangzhou Port terminal feed enterprises have been picking up goods, southern port traders sales mentality is relatively strong, most of the price wait-and-see. Among them, the domestic Peruvian super steam fish meal is quoted at 11600-12000 yuan/ton. Up to now, Peru's super steam grade fish meal outer plate is quoted at US $CNF1620/ton.

whey powder

Whey powder is stable. On July 6, the trade war started. China began to impose a tariff of 25% on American milk products. Domestic whey lactose prices have risen one after another. Recently, European whey prices in the United States have risen across the board, and the RMB exchange rate has depreciated sharply. China's whey powder import cost is high, and the market is stable and strong.

Lysine:

Recently, lysine manufacturers raised their quotations slightly, with plum blossom manufacturers offering 7.8 yuan/kg for 98 content and 4.4 yuan/kg for 70 content. The market rose slightly due to this boost. The sharp depreciation of RMB is beneficial to the export of domestic enterprises. The promotion of low protein diet is expected to gradually boost lysine consumption. During high temperature maintenance, the supply area will narrow. However, corn prices will fluctuate at a low level, and the release of some new lysine production capacity will put pressure on the market, the rebound is limited.

Methionine:

On the 15th, methionine was weak, and the Xijie Malaysia factory was overhauled from early July to mid-August as planned. The depreciation of the RMB exchange rate supported the import cost. However, the domestic methionine supply was abundant, the market was not good for purchase and sale, and the methionine market was in a narrow range, with stable and weak operation.

Vitamin A:

On July 2, BASF announced the lifting of force majeure for VA and VE products and the gradual resumption of supply of products. Some manufacturers quoted 395-400 yuan/kg, the domestic VA market price fell back, Xinhe Hecheng VA factory planned to stop production for 10 weeks from mid-July, the factory accident of Xinhe Hecheng Shangyu subsidiary had limited impact on the supply side, the European VA1000 market quotation was adjusted back to 70-75 euros/kg, and the domestic dealer quotation was weak and volatile.

Vitamin E:

On July 2, BASF announced the lifting of force majeure for VA and VE products. Xincheng plans to suspend production for 5 weeks from early August 2018 to September 2018. Recently, some manufacturers quoted 38-40 yuan/kg, while some manufacturers stopped reporting. Downstream enterprises mainly consumed inventory, with poor market purchase and sale, weak stability and narrow price range. The European market offers 4.3-4.4 euros/kg.

outer three yuan hair pig:

Today's pig prices continue to rise, local fine-tuning. The enthusiasm of farmers for slaughter has improved, but the tight supply of pig sources continues. At present, the temperature is still high, the market demand has not improved significantly, and the enthusiasm of slaughtering enterprises to collect pigs has declined slightly. With the increase of favorable boost in the later period, pork demand will show a seasonal improvement. Pig prices will gradually start to rise in mid-to-late August and will continue until around mid-September. By late September, the probability of pig prices falling again and adjusting will gradually open.

Eggs:

Egg prices have risen sharply today. At present, egg prices exceed last year's Mid-Autumn high, with the terminal retail high price suppression, while cold storage eggs into the market, egg manufacturers began to be cautious in purchasing, is expected in the short term egg prices or continued volatility is strong, but the increase gradually slowed down.

Knockout Chicken:

Today's elimination of egg chicken prices steady adjustment. At present, egg prices continue to rise, the overall elimination of farmers psychology is not strong, many areas to eliminate the age is too large, is expected to be the near-term chicken prices or high shock adjustment.

white feather meat chicken:

Today, the price of white feather chicken fell slightly. Due to the influence of the high temperature weather in the early stage, the survival rate of broilers has declined, and it is difficult to acquire the slaughterhouse, but the slaughterhouse is under great operating pressure, and the price of chicken is expected to continue to fluctuate in the short term.

white feather broiler seedlings:

White feather broiler seedlings fell today. Last weekend, the price of chicken rose again, breaking through the 9 yuan/kg mark, the market is excited, leading the release and farmers to fill the column actively, while the production of chicken seedlings is low, pushing up the price of seedlings, with the rising price of seedlings, the cost of breeding has increased significantly, the risk of breeding has increased, it is expected that the price of chicken seedlings will fall slightly in the short term.

Note: The daily quotation summary deadline for each variety is 11:30, and the difference in statistical time will cause a small difference in the price of the day.