The Ninth China International Oils and Oilseeds Conference (CIOC) jointly organized by the Dalian Commodity Exchange (DCE) and Bursa Malaysia Derivatives (BMD) will be held in Guangzhou on November 6. With the theme of “new situation, new strategies and new development”, at the invitation attending the conference will be the representatives from the spot enterprises at home and abroad on the industry chain involved in trading, production and consumption of oils and oilseeds and the service agencies supporting the oil and oilseed industry such as futures companies, financial institutions and information institutions as well as the national ministries and commissions and industry associations, etc.
According to the organizing committee of the conference, the 9th CIOC will include nine major keynote speeches such as “China's Macroeconomic Situation and Outlook,” “Analysis and Outlook for Global Grain Pricing Mechanism” and “Status Quo and Development Trend of China’s Squeezing Industry” as well as two forums on “Analysis of the Modes and Strategies of Cross-market Arbitrage Trading” and “Development Outlook of the Oil and Oilseed Market”.
Since 2014, the international financial market has experienced dramatic changes with ups and downs seen in the prices of bulk commodities. Since the third quarter, the domestic oil and oilseed market has been volatile with the prices diving by nearly RMB 1,000 / ton. Subsequently, the “defaults” of domestic soybean traders have been hyped and the “letter of credit” crisis for the trade finance providers has emerged accordingly, overshadowing the domestic market prices of oils and oilseeds in the future.
Since July, suppressed by the negative factor of continuously increasing per unit yield of soybeans produced in the United States, the futures prices of oils and oilseeds on domestic market have declined all the way. Yesterday, the futures price indexes of soybean oil, palm oil and soybean meal closed at RMB 5,998 / ton, RMB 5,292 / ton and RMB 2,873 / ton respectively, down by 13.1%, 10.5% and 19.3% respectively from the last trading day of the second quarter, with the prices nearing the record lows set during the financial crisis in 2008. Under such a market pattern, the domestic enterprises of the oil and oilseed industry have focused on the ninth CIOC, hoping the VIPs and experts could crack the puzzles at the conference.
Since 2006, DCE and BMD have jointly organized the CIOC. The previous conferences have played an important role in developing the economic functions of the futures market, energetically promoting the soybean product line, the palm oil and other futures products, and effectively deepening the integration of the futures and spot markets.