The relative prices expressed in US$ per short ton for corn, soybeans and soybean meal, September delivery, were downloaded from the Dalian Commodity Exchange website reflecting major contracts on September 2nd. These values were compared with the spot price at close of trading on the CME indicated in parentheses.
|
Commodity
|
Dalian CE
|
52-week range
|
CME 09/02
|
|
Corn
|
$298*
|
$249-$303
|
($127)
|
|
Soybeans
|
$576*
|
$482-$594
|
($321)
|
|
Soybean Meal
|
$385*
|
$347-$396
|
($303)
|
* short ton with exchange rate CNY 6.9=US$1
Soybean meal on the Dalian exchange increased by 7.2 percent or $26 per ton since mid-July despite release of soybean reserves from inventory to crushers.
Soybeans were up 41.5 percent or $169 per ton.
Corn was up 8.6 percent or $23 per ton.
It is evident that due to the higher price of feed, producers of hogs, eggs and conventional broilers in China are at a disadvantage in production cost compared to their counterparts in the U.S. and Brazil.
Large eggs (57g) traded on the Dalian exchange at 35 cents per dozen.