Edible oil limit order will be lifted or rising tide

The two-month limit for edible oil that began in early April is due to expire in early June. On May 31, a number of large edible oil companies stated that as of now, companies have not received any definite news whether the limit order will be lifted. After the April interview, the NDRC has not held a similar request again. Limit price meeting.

“According to the current market conditions, (limit orders) are difficult to continue.” Guo Qingbao, editor-in-chief of China National Grease Net, said that because the previous price limit was based on interview methods rather than formal policies, the price limit There will be no formal notification of the lifting of the order. It is very likely that the company will submit a price adjustment application to the NDRC in the near future.

The price limit makes it difficult to extend the instructions of a number of edible oil companies that they did not continue to limit their prices. At the end of November 2010, the National Development and Reform Commission interviewed COFCO, Yihai Kerry, China Textile Group, and Jiusan Grease. In four months, that is, after the “two sessions” in March 2011, the company can no longer increase the price of small packaged cooking oil. In early April of this year, Yihai Kerry confirmed that after the “two sessions” ended, the NDRC once again discussed the aforementioned companies and hoped that prices could continue to maintain stability. According to Yihai Kerry, the time required for the government to suspend the price increase is two months.

In early June, it was the time for the expiration of the secondary limit order. Is the previous experience of the pirates continuing to ask for a limit or is it due? A number of edible oil companies stated that they have not ordered the limit price to continue.

In Guo Qingbao's view, the government did not continue the interview, which means that it will “gradually relax” in the control of edible oil prices. According to him, this year the rapeseed care policy has been finalized, the purchase price of rapeseed supporting city this year is set at 4,500 yuan / ton (GB third). If 35% of the oil output rate is calculated at 2100-2200 yuan/ton, the cost of vegetable oil will not be less than 9800 yuan/ton. If other management costs of the company are taken into consideration, the vegetable oil cost will reach 10,200 yuan/ton. Prior to this, according to the requirements of relevant departments, the ex-factory price of small packaged cooking oil was 9,400 yuan/ton.

"Continuing to limit prices, companies will not be able to live!" Guo Qingbao said.

The phenomenon of inversion of soyoil prices has also been very obvious. In April, the price of imported bulk soyoil in Hong Kong was above 10,000 yuan per ton. Soybean oil was refined and packaged into small packaged cooking oil, and the price was increased by more than 1,000 yuan per ton. Although the current situation of soybean oil has improved, it is still a loss.

The first quarter of this year's financial results announced by Fenghui International, a company of Yihai Kerry, showed that due to factors such as rising raw material prices and price stability measures taken by China to cope with inflation, the company’s profit before tax for small packaged grain and oil products The total amount decreased by 21% year-on-year to $36.8 million.

The sales volume of Fengyi International's small packaged grain and oil products increased by 32% year-on-year to 1.122 million tons, but the profit before tax fell from 4.3% in the same period of last year to 2.1% in the first quarter of this year.

Outside the interviewed large companies, SMEs also complained about limit orders. The head of a local grain and oil company once told reporters that companies have been in a predicament of price inversion since the second half of last year, but companies did not dare to increase prices. The reason is that after the NDRC imposed requirements on the prices of the four major edible oil companies, similar companies like him would be even less competitive if they increased their prices.

The complaints of small and medium-sized enterprises also lie in the fact that government subsidies are limited to these major edible oil companies.

In mid-January of this year, the State Grain Administration directed sales of a total of approximately 500,000 tons of edible oil to COFCO, Yihai Kerry, China Textile Group, Jiusan Grease, and Huifu five grain and oil companies to ease the difficult situation of edible oil processing enterprises. It is reported that the rapeseed oil targeted for sale is 8,900 yuan per ton, which is about 1,000 yuan lower than the market price per ton; the targeted soybean oil sold is 3,500 yuan per ton, which is 200-300 yuan lower than the market price per ton.

In April, the second batch of edible oil that was targeted for sale was reactivated. Among them, the amount of rapeseed oil was about 450,000 tons, and the price was the same as the first time.

Regulators outside the limit order have rumors that, in order to stabilize prices, the State Reserve will release 2.12 million tons of soybean Guo Qingbao believes that the current high cost of rapeseed oil, companies will certainly apply for price increases.

However, there have been rumors in the market that, in order to stabilize prices, the State Reserve will release 2.12 million tons of soybeans, including customs within 3,300 yuan / ton, customs 3,500 yuan / ton; soybean oil 100,000 tons, price 8,900 yuan / ton, vegetable oil, 60,000 tons, Price 8900 yuan / ton, the work will be completed before the end of June.

Among them, temporary reserves of soybeans were mainly allocated to 450,000 tons of COFCO, 110,000 tons of China Textile, 1.3 million tons of Yihai, 931.3 million tons, 130,000 tons of Huifu, and the main deposits of temporary stored soybean oil were 93,200 tons. 80,000 temporary storage of vegetable oil is 60,000 tons of COFCO. However, the rumor has not yet been confirmed.

On the other hand, a nationwide inventory of edible oil stocks has been vigorously launched.

On May 24, the State Food Administration website published a "Notice on Launching Inspection of National Edible Vegetable Oil Stocks" jointly issued by the National Development and Reform Commission, the National Grain Administration, the Ministry of Finance, and the China Agricultural Development Bank. ""Notice"").

"Notice" said that in order to effectively strengthen the supervision of edible vegetable oil inventories, strengthen the macroeconomic regulation and control of the material basis, and ensure the stability of grain and oil supply, the State Council approved the decision to inspect the national oil stocks in 2011.

This mapping will focus on checking the central reserve oil, national temporary storage oil, and local reserve oil stocks, as well as commodity oil stocks including the four policy-based fat storage companies, including China Grains, China Foods, China Food, and China Textile. At the same time, commodity oil inventories of other companies that have included grain circulation statistics but have not stored policy oils and fats will also be checked and verified.

“It is mainly to find out the specific conditions of the state-owned stocks of edible oil. In the future, once the price of cooking oil fluctuates, it will serve as a basis for macroeconomic regulation and control.” Guo Qingbao told reporters.

A local food system source said that this was the first time in a decade that a nationwide large-scale inventory of edible vegetable oils had been conducted. Previously, the relevant national authorities have carried out a lot of research on how to carry out inspection of edible vegetable oil stocks. Inventories of inventory inspection pilots were carried out in Hubei Province last year. Other provinces simultaneously organized a reasonable measurement of real-error rate test before they decided to start national food consumption in June 2011. Vegetable oil inventory inspection work.

He also revealed that the inspection of edible oil stocks underlined the principle of on-site inspections, that oil stocks were physically inspected, and that the results of inspections were in place.

However, Guo Qingbao believes that according to the current soybean stocks and the company's own stock situation, edible oil should be more adequate, "but the cost is relatively high."