China has purchased about 12 million metric tons of soybeans according to a report from Reuters. The news agency says that the total meets a U.S.-stated pledge to purchase that amount by the end of February.
“The 12-million-ton target was met last week after bulk purchases by state buyer Sinograin and state trader COFCO, which were the only buyers of U.S. soybeans,” Reuters reported. “Private crushers continued to favor cheaper supplies from Brazil and Argentina.”
Bloomberg agrees that the current total reflects continued bookings by state-owned firms in recent weeks. The USDA’s export data, which lags behind real-time totals, put China’s total purchases at just over eight million tons as of January 8.
Hitting the 12-million-ton target will likely boost trader and exporter confidence that China could also meet the broader goal outlined by the White House of buying at least 25 million tons of U.S. soybeans through 2028.
Sources: Reuters, Bloomberg, NAFB News Service
