BEIJING: China imported 13.04 million metric tons of soybeans for the first two months of the year, the lowest for the period in five years, customs data showed on Thursday.

Imports in January and February by the world’s top oilseed buyer fell 8.8% from the same period a year ago, according to the General Administration of Customs.

The imports are the lowest for the period since 2019, according to Reuters records.

China customs reported revised soybean import volumes for January-February 2023 at 14.30 million metric tons, versus the initial published figure of 16.17 million metric tons.

China combines import data for January and February into one release to smooth out the impact of the Lunar New Year holidays, which may fall in either month each year.

China to consolidate increase in soybean production, work report says

China’s soybean demand for livestock feed may be hit this year by new regulations to control the nation’s pig production capacity after an aggressive expansion of farms led to an oversupply of pigs and mounting losses.

China lowered the national target for normal retention of breeding sows to 39 million from 41 million, in a move that analysts say could reduce the size of the world’s largest pig herd by at least 22 million.

Meanwhile, soybean harvest in major producing countries Brazil and Argentina was well under way with expectations of plentiful supply.

Analysts have been mostly downgrading Brazilian estimates in recent weeks but the country is still flush with beans after a record crop last season and has been exceeding U.S. sales to China.