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China's soybean imports fell 10% in April compared with a year earlier, customs data showed on Tuesday, after a stricter customs clearance process delayed the processing of cargo.
The world's biggest buyer of soybeans brought in 7.26 million tons of the oilseed last month, significantly below the 9 million tons expected by traders based on ship schedules.
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Analysts and traders attributed the drop to new customs procedures that began in April, delaying the unloading of soybean cargoes for up to two weeks.
“Enhanced customs inspection continued throughout April and this resulted in lower-than-expected imports,” said Rosa Wang, an analyst at Shanghai JC Intelligence Co Ltd.
Soybeans are crushed to produce soybean meal, rich in protein and one of the main ingredients in animal feed, and cooking oil.
Crushers have stepped up soybean purchases since late last year to meet an expected recovery in demand from China's livestock sector.
But Chinese customs began in April requiring traders to wait for the results of quarantine checks before receiving soybeans until two weeks later, according to Wang Mingwei, an analyst at Dayue Futures.
The change was not publicly announced. China's General Administration of Customs could not immediately be reached for comment.
The delays have pushed up soybean meal spot prices in China, a Beijing-based trader said, with the price at the Rizhao milling center rising 13% in April to 4,320 yuan per tonne.
With April soybeans delayed until May landing, May imports are expected to return to high levels, likely between 9 million and 10 million tonnes, Wang said.
Soybean arrivals in the first four months reached 30.29 million tonnes, an increase of 6.8% over the same period in 2022, the data also showed.
Source: Ningwei Qin and Dominique Patton | Notícias Agrícolas
