On March 10th, the National Grain and Material Reserve Data Center reported that oil plants resumed full operation in March, with an increase in domestic soybean crushing capacity. However, the amount of imported soybeans arriving at the port has decreased. It is expected that the total soybean crushing capacity for the month will be around 7 million tons, and soybean meal output will be around 5.6 million tons. Affected by the trend of foreign markets, the domestic soybean meal prices have been relatively high recently, and market trading has been sluggish. It is expected that the soybean meal inventory of oil plants will be around 750,000 tons by the end of the month, an increase of about 50,000 tons year-on-year.

The article points out that soybean meal production is expected to reach 5.6 million tons in March, with an increase in supply. However, the decrease in imported soybean arrivals has not offset the increase in crushing volume. At the same time, market trading is sluggish and demand is weak, resulting in soybean meal inventories expected to rise to 750,000 tons, an increase of 50,000 tons year-on-year. Oversupply and inventory accumulation pose strong bearish pressure on spot soybean meal prices.

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