Chinese importers have bought more U.S. soybeans, even though 2 million tonnes of American cargoes are waiting to be unloaded in China, Reuters reported.
Up to seven cargoes have been purchased this week by Chinese importers for shipment in December and January because of competitive U.S. prices compared to South American prices and good crush margins in China, Reuters said, citing two traders familiar with the matter.
Currently, there is confusion over payments of extra duties for U.S. shipments booked under a tariff-free quota system, the sources said.
The soybeans stuck at the port waiting to be unloaded are mostly destine for state reserves and were purchased by Sinograin and COFCO during a truce in the China-U.S. trade war, Reuters said. Some ships have been there for almost a month.
Storage for state reserves is limited so the soybeans can only go into certain warehouses, the news agency reported.
China has purchased about 14 million tonnes of U.S. soybeans from December, at least half of which are going into the reserves.