Chinese firms have booked the first soymeal cargo from Argentina since Beijing first approved Argentine imports in 2019. Reuters said China’s animal feed industry wants to broaden its supply options to mitigate potential disruptions from the U.S.-China trade war.
Four sources told Reuters that several Chinese feed makers have jointly signed the deal to purchase 30,000 metric tons of Argentine soymeal for July shipment. One Singapore-based trader called it a “test case,” and if the soymeal gets through Chinese inspections and quarantine successfully, then expect more deals in the future. The cargo was purchased at $360 per ton on a cost and freight basis and is expected to arrive in September. China is the world’s biggest consumer of protein-rich animal feed raw material but produces most of it by crushing soybeans, mainly imported from Brazil and the U.S. Argentina is the world’s top exporter of soy oil and meal.
