China’s currency and stock market crisis has the potential to affect the global market for soya, given that the country currently accounts for around two-thirds of the world’s soya bean imports, according to AHDB Pork.
Commenting that this week’s Chinese stock market activity meant that “longer term fears over the state of China’s economy remain”, AHDB Pork’s weekly feed commentary draws attention to the country’s potential to influence the global market for both grains and protein meals.
“China currently accounts for around two-thirds of the world’s soya bean imports and slower economic growth in the country has the potential to reduce total global demand for oilseeds,” said AHDB Pork, while also making that point that, for the moment, soya meal prices had moved little on the week.
The same commentary also reported that, following the falls in the Chinese stock market on Monday this week, UK wheat futures initially dropped rapidly on “fears of weaker Chinese demand”. However, this was later offset for UK wheat futures by the euro strengthening against sterling on the day.