Agriculture – Soybeans 2015/2016 / Are Chinese Imports Going to Accelerate?August 3, 2015
Bunge CEO expects Chinese buys of U.S. soybeans to ramp up in fourth quarter…
While forward sales of 2015-2016 soybeans are off to a notably slow start (down around 50% from last year at this point), Bunge’s CEO Soren Schroder told Reuters he expects business will accelerate in the fourth quarter thanks to purchases by China. The top importer has been buying a record amount of soybeans from South America in recent months, but Mr. Shroder said positive soy crush margins should keep import demand strong.
“Three months of record imports by China means that they’re sitting on comfortable inventories and are therefore not in a hurry to go out and forward-buy a lot of beans,” Schroder said, continuing, “But I think when we get to October, November, December, the Chinese will be there in style.” But he did note that crush margins are expected to be around half as strong the second half of the year.