Sesame Seeds: A detail report on China Market

Current Market Analysis:

Recently, domestic sesames prices are stable and the imported sesame prices are stable.

According to the Tender from Korea: The result of Korea 11,735 mt Sesame Tender Invitation on 11 September 2017 is all win this bidding. The winning countries are India, Pakistan and Nigeria. For the 2,000T high quality white sesame, India win this tender. Its winning price is at 1,213-1,241USD/T and the average price is at 1230.67USD/T. For the 4,000T high quality white sesame, the winning countries are India and Nigeria. Its winning price is at 1,198-1,250USD/T and the average price is at 1,230USD/T,in which Nigeria win 600T with the average price 1,198USD/T and India win 3,400T with the average price 1,235.33USD/T. For the generic quality white sesame, the winning countries are India, Pakistan and Nigeria. Its winning price is at 1,155--1,228USD/T and the average price is at 1,178.25USD/T. In which Nigeria win 600Twith the average price 1,165USD/T, Pakistan win 600T with the average price 1,155USD/T and India wins 800T with the average price 1,200USD/T.For the 3,735T generic white sesame, the winning countries are India, Pakistan and Nigeria. Its winning price is at 1,158-1,202USD/T and the average price is at 1,183.33USD/T.In which Pakistan wins 600T with the average price 1,158USD/T, Nigeria 2,700T with the average price 1,185USD/T and India 435T with the average price 1,202USD/T.The arrival date should be from November 30^th,2017 to December 15^th,2017.There is no limitation to the place of origin. The destination port is Busan, Pyongtaek, Incheon, Kwangyang Port.

According to ECX (Ethiopia Electronic Trading Platform), from October 26 to September 8, 2017, it traded about 252,206.4 tons of new season 2015/2016 sesame in total. On September 8, 2016, it traded about 295 tons of sesame in total, averaging 1,248.51 USD/MT. In which WOLLGA 150 tons, at the price of FOB 1,167.16USD/MT; HUMERA 145 tons, at the price of FOB 1,302.75USD/MT. And mostly are the HUMERA white sesame. The trading volume was reduced and the prices are increased.

From what we gathered, currently the 1-grade white from Ethiopia is quoted at FOB 1,250 USD/MT and India 99/1/1 white sesame at CNF 1,170-1,190USD/T. Now the Tanzania and Mozambique new sesame begin to go into the market in a big quantity. In the early period, the Japanese importers bought some future goods from Tanzania at 1,150USD/T. But now the exporters in East Africa quote the new sesame at CNF1,100--1,160USD/T.

China:

According to the information, the present inventory from the last year is about 50,000--60,000 tons in India. In 2016, the production of sesame from Tanzania is about 150,000 tons. And the production of 2017/2018 season sesame from Tanzania is reduced about 50%. It is reduced about 75,000 tons in Tanzania. Now the environment protection pressure inhibit the market demand. Later this pressure will be released. The market demand will be better along with Middle Autumn Day and National Day coming. The visitors estimated the price around December 15th, in which the price of new season sesame from Nigeria is estimated at CNF 1,150-1,200USD/T, the new season sesame from West Africa at CNF 1,100-1,200USD/T and the new season sesame from India at 1,150--1,200USD/T.

According to China Customs Administration E-Port data survey: In the month of July, 2017, China imported 36806482 kg sesame at the price of 1.08 USD/kg,17461000 kg from Ethiopia at the price of 1.11 USD/kg ,5501380 kg from Sudan at the price of 1.08 USD/kg and 3856340 kg from Niger at the price of 0.93 USD/kg. China exported 1977053 kg sesame at the price of 1.903USD/KG, in which 1811400 kg to Korea,13600 kg to Japan and 10943 kg to USA.

In the early days because of the heavy rain, it leads the flood, landslide and wind hail in Zhejiang, Anhui, Jiangxi, Hubei, Hunan, Guangxi, Chongqing, Sichuan and Guizhou. Recently, it has a strong rain again in Hunan and Jiangxi. It will be bad for the sesame growth. In the view of the  2017 plantation area, it is reduced this year in China. Even though there is a heavy rain in Hunan, Hubei, Anhui and Jiangxi, its affection on the sesame is limited. Besides, the weather is better in the main production area in China. It is good for the growth of the sesame. If it will keep such good weather for one month, the sesame yield in per hectare must be increased. It is estimated that the total production of sesame this year with be the same as that in the last year. Later we should pay more attention on the weather in the main production area.

According to what we know, there has been some new sesame into the market in Hunan and Hubei. The opening price is higher than that in the last year (at about 10.200--10,400RMB/T).But the sales is slow.

According to what we know, with the summer coming, the consumption to the sesame oil and the sesame sauce will be increased. And the oil plants and the sauce plants will increase the purchasing quantity to the oily sesame accordingly, which will be good for the consumption to the sesame at the port and good for the sesame market. This year, the Middle Autumn Day and National Day are at the same time. The market demand will be larger. The downstream enterprise begins to stock the goods gradually, which will be good for the sesame market at the port.

According to what we got from the port, it is sold 2,000 tons of goods at Huangdao Port and 300 tons at Tianjin Port. The price depends on the quality. If it has a good quality, its price will be higher. On the contrary, it will be cheaper. It is still the buyer market at the port now. The inventory at the port has less than that in the same period in the last year clearly. The high inventory pressure has been released gradually. I think the downstream customers are waiting for the new season sesame and just watch the market. The traders at the port think that the arrival quantity later will not be big, besides, near to the Middle Autumn Day and National Day, the demand will be more. So they are not willing to reduce the price. The sesame market is in the stable state now generally. What we should pay more attention is that since this week, the sales quantity at the port is more. It may be the signal to storage the goods for the Middle Autumn Day and National Day.