1.Price Trend

According to the monitoring of SunSirs, the average price of domestic rapeseed at the beginning of the week was RMB 5000 yuan / ton, while the average price of domestic rapeseed at the end of the week was RMB 5140 yuan / ton, up 2.8%.

2.Cause analysis

Products: the supply of domestic rapeseed in the market is gradually decreasing, the demand of downstream market is acceptable, the traders are reluctant to sell at a high price, and the price of rapeseed is firm. The price of domestic rapeseed in Yancheng, Jiangsu is about RMB 2.58 yuan / Jin, that in Hubei is about RMB 2.55 yuan / Jin, and that in Anhui is about RMB 2.55 yuan / Jin.

On the aspect of imported rapeseed: according to the prediction of relevant organizations, the total amount of rapeseed imports from October to December is only 400000 tons, and the same period of last year is 1.1 million tons, with a significant decrease compared with the same period of last year.

USDA's forecast for global rapeseed production in 2019 / 20 will be reduced by 50000 tons to 68.5 million tons, as the loss of production caused by drought in the European Union and Australia is greater than the increase in Ukrainian production. EU rapeseed production is expected to be 17 million tons, down from 20 million tons last year.

According to the monitoring of SunSirs, the average price of rapeseed meal in East China at the beginning of the week was RMB 2246 yuan / ton, while the average price at the end of the week was RMB 2243 yuan / ton, down 0.15%. There is limited space for price decline of rapeseed meal with low inventory.

3.Market Forecast

In 2019, the emergence of winter rapeseed declined, and the output is expected to decrease next year. According to the rapeseed analysts of SunSirs, the price of domestic rapeseed may continue to be strong.

If you have any questions, please feel free to contact SunSirs with marketing@sunsirs.com.