Soybean price assessments

Platts assessments are based on robust and transparent market data that includes, but is not limited to, firm bids and offers, expressions of interest to trade, and confirmed trades reported across the trading day.

Platts publishes the assessed soybean values as differentials to the CBOT soybeans futures settles, often referred to as the "basis". The corresponding futures contract month letter code appears next to the basis value.

Brazil

The Brazil soybean FOB Santos assessments reflect 60,000mt cargoes of Brazil ANEC soybean specification, but with a typical protein level of 34.5%. The FOB Paranagua assessment reflects a smaller parcel size of 5,000 mt. The assessments reflect cargoes loading one calendar month forward. These will roll to the next month on the first publication day after the 15th of the current month.

Platts also assesses a soybeans new crop FOB Paranagua cargo value. The location, quality, and quantity are the same as the SOYBEX/Soybeans Brazil FOB Paranaguá assessment. The FOB Paranagua new crop assessments reflect loading over the months of March, April, May, and June. The FOB Santos new crop assessments reflect loading over the month of March

Platts typically begins publishing new crop values on the first publication day after June 15. As the publication day gets closer to the new crop month, the assessments will transition to be

assessed as the front-month SOYBEX/Soybeans Brazil FOB Paranagua or Santos assessment.

The Brazil crush margin price is based on Platts FOB Paranagua prices, with a 78% soybean meal yield and a 19.5% soybean oil yield line with industry association ABIOVE (Brazilian Association of Vegetable Oil Industries).

China

The CFR North China price assessments reflect Brazil quality soybean specification, as per ANEC 41 and 42 Brazilian soybeans quality clause, with a standard oil content of 18.5% and a standard protein level of 34.5%. The assessments reflect full month shipment, one- and two-months following the date of publication. Rolling the following calendar month on the first publication day after the 15th of each month.

The gross China soybean crush margin is published using a 79% soybean meal yield and a 19% soybean oil yield. The soybean crush calculation is: DCE Soybean Meal x 0.79 + DCE Soybean Oil x 0.19 minus the Handling cost at 50 CNY/mt and minus the cost of imported soybeans (CFR China SOYBEX M1), adding the 3% import tax and the 9% VAT.

USA

The CIF New Orleans soybean assessment reflects standard US Federal Grain Inspection Service grade No. 2 Yellow Soybeans, but with a maximum moisture content of 14%, typical protein level of 34.5% and typical oil content of 18.5%. The assessment reflects typical barge loadings in the current calendar month on the following key US inland waterways -- the Mississippi River, the Illinois River and the Ohio River – for delivery to New Orleans. The FOB cargo soybeans assessment reflects cargoes loading FOB New Orleans one month forward. This rolls to the following calendar month on the first publication day after the 15th of the month.

Since 1909, S&P Global Commodity Insights has been evolving rigorous methodologies for data gathering, mathematical analysis, and specialist judgement to create price assessments that reflect a commodity’s true value. A robust and transparent physical price representing the specific dynamics of regional markets can lead to physical indexation and financially settled derivative instruments. It is a powerful tool that helps customers and other market participants:

— Manage and hedge price risks

— Leverage arbitrage opportunities

— Carry out negotiations more profitably and efficiently

— Make better-informed planning and trading decisions

Brazil is the top producer and exporter of soybeans, accounting for over a third of global prosecution. Brazil also has one of the world's largest soybean crushing capacity and is the second-largest exporter globally for both soybean meal and soybean oil. Brazil also has long-term growth expectations for domestic biodiesel demand.

China has the world's largest soybean crushing capacity with an average volume of over 90 million metric tons of soybeans crushed over the past five years, representing 30% of volume of soybeans crushed globally. China is also the world’s largest importer of soybeans – importing more than 60% of soybeans traded worldwide, on average over the past 5 years.

• Nearby shipment traded
• Firm price for spot soybean meal

Soybean CFR China for June shipment prices inched higher at the Asian close May 6, tracking higher CFR China premiums and CBOT futures.

Brazilian soybean cargo basis was heard traded CFR China at 142 cents/bu over July (N) CBOT futures, for June shipment into North China.

At present, the extent of the impact of the Brazilian floods on the Chinese soybean market cannot be determined. “We do not have specific interpretations or analysis on this matter yet as further evaluation is needed,” a Chinese trader said.

Domestic soybean meal offers for spot delivery May 6 were heard higher in China after the Labor Day holiday, with offer levels in East China at Yuan 3,330/mt and South China at Yuan 3,350/mt, market sources said.

Average prices of spot live hogs were heard to remain steady around Yuan 14.9/Kg, with higher prices heard in South China, market sources said.

On the Dalian Commodity Exchange (DCE), product contract prices rose compared to the previous session.

Soybean meal September 2024 contract closed at Yuan 3,475/mt, up Yuan 76/mt whereas soybean oil contract price closed at Yuan 7,696/mt, up Yuan 68/mt on the day.

Platts assessed China gross crush margin at $30.43/mt May 6, up $8.04/mt on the day.

Platts is part of S&P Global Commodity Insights.