Dalian soyabean contracts, which fell steeply late last week, climbed their three percent limit early on Monday after Chinese crushers set a floor price on their key product, soyameal.
The most active September contract gained 94 yuan a tonne to 3,260 yuan ($393.9) in early trade, while most other contracts rose by between 86 and 97 yuan. The key Dalian soyameal contract rose 105 yuan to 2,745 yuan a tonne.
Dalian soyameal contracts also surged in early trade. The most active September contract had gained four percent by 0246 GMT.
"There was a meeting among crushers over the weekend and they've set the floor price of soyameal at 2,900 yuan, which in turn boosted soybean prices," said a trader in Beijing. "Dalian futures have also dropped sharply in some sessions last week and there is very little room for the prices to fall further," he added.
Chinese crushers agreed to stop selling soyameal at prices below 2,900 a tonne to overcome a crisis triggered by a sharp Chicago decline, Beijing's ongoing credit tightening and weak meal demand, industry sources said.
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