The “3rd China Soybean Industry International Summit Forum” was held in Harbin on September 4. It was organized by the Heilongjiang Provincial Agricultural Commission, the China Soybean Industry Association, Dalian Commodity Exchange (DCE), Beidahuang Grain Group Co., Ltd. and the Heilong Jiang Provincial Soybean Association, and co-organized by Jiusan Group, Nanhua Futures and Henghua Agricultural Service.
DCE Vice President Zhu Lihong said in her speech that DCE has established a relatively sophisticated soybean industry chain risk-avoiding system, which involves No. 1 soybean, No. 2 soybean, soybean oil, soybean meal futures and soybean meal options. The futures and options of the soybean industry chain have served 1.5 million various industries and investors since the listing of soybean futures in 1993.
Zhu Lihong said that China’s soybean industry has experienced a series of reform in recent years, with plantation, trading and consumption pattern keeping reconstructing and price fluctuation risk increasing. In this context, DCE has focused on serving the stable development of the industry and guaranteeing the national grain and oil security. On the one hand, it has kept improving the contract rules system, adjusted the delivery quality standard and delivery method for No. 1 soybean contract and set up delivery warehouses in Heilongjiang Province, Jilin Province and the Inner Mongolia Autonomous Region successively, realizing the full-coverage of delivery areas on main soybean producing areas in China; on the other hand, it has actively explored effective methods for risk management and steadily expanded the “insurance + futures” pilot and the over-the-counter options pilot. A total of 21 soybean “insurance + futures” pilot programs and the over-the-counter options pilot programs have been successively carried out in 2015 – 2017, among which 19 are for farmers and enterprises in Heilongjiang Province (with the accumulated financial support of RMB 24.4 million).
Currently, the supply-side structural reform has been continuing, which has led to profound changes in the grain planting structure in northeast China and brought about unprecedented development opportunities and challenges for Chinese soybean industry. Zhu Lihong said that DCE will research to adjust the standard delivery areas for No. 1 soybean to provide more convenience for industrial clients to carry out risk management and take part in delivery. Through the continuous cultivation and construction of the futures market, DCE will continue to enhance the intrinsic value and competitiveness of domestic soybean and give full play to the functions of Dalian futures market, thus contributing to the development and revitalization of the Chinese soybean industry.
