- Strong South Korean demand: Buyers secured 120,000 tons of soybean meal in dual tenders for March–May 2025 delivery, locking in near-term feed coverage.
- Stable international pricing: Narrow price spread of about $2/ton (C&F) between KFA and NOFI tenders signals steady global soybean meal values.
- Origins concentrated outside Black Sea: Supply is sourced from the U.S., China, and South America, underscoring the Black Sea region’s limited role in soybean meal trade.
- Neutral for Black Sea markets: Focus on non-Black Sea origins keeps regional grain exporters primarily oriented toward wheat and corn, with minimal spillover from soymeal demand.
South Korea Soybean Meal Purchasing Activity
South Korea exhibited robust import demand for soybean meal on January 13, completing two significant purchase tenders totaling approximately 120,000 tons for delivery between March and May 2025. These transactions secure feed coverage ahead of the South American harvest period and reflect ongoing strength in Asian feed demand.
Tender Details: KFA and NOFI Purchases
The Korea Feed Association (KFA) purchased 60,000 tons of soybean meal from COFCO at $371.71 per ton C&F, including port unloading surcharges. The contract allows for flexible origins, with supplies potentially coming from the United States, China, and South American exporters. Delivery is scheduled for May 30, with South American cargoes required to arrive between March 15 and April 15.
In a separate but parallel tender, NOFI, a major South Korean animal feed producer, booked an additional 60,000 tons of soybean meal from South American origins via trader Olam. This purchase was concluded at $373.80 per ton C&F, including port unloading surcharges, with delivery stipulated by May 25.
| Buyer | Volume (tons) | Supplier / Trader | Origin | Price (C&F, incl. surcharges) | Delivery Window |
|---|---|---|---|---|---|
| KFA | 60,000 | COFCO | U.S., China, South America (mixed) | $371.71/ton | South American shipments: Mar 15–Apr 15; final delivery by May 30, 2025 |
| NOFI | 60,000 | Olam | South America (exclusive) | $373.80/ton | Delivery by May 25, 2025 |
| Total | 120,000 | – | U.S., China, South America | Spread: approx. $2.09/ton | March–May 2025 |
Market Impact and Black Sea Context
The concentration of these tenders on U.S., Chinese, and South American origins underscores the Black Sea region’s marginal role in global soybean meal trade compared with its prominence in wheat and corn. The tight March–May delivery windows suggest South Korean buyers are proactively covering short- to medium-term needs before South American harvest pressure builds. The narrow price differential of roughly $2 per ton between the two deals points to a stable international pricing environment and limited near-term volatility for soybean meal benchmarks.
For Black Sea exporters, the impact is neutral. Trade flows and pricing dynamics in that region remain driven primarily by wheat and corn fundamentals, with minimal direct effect from current soybean meal procurement activity in East Asia.
Source: Market Data
Leave a Reply