Breaking News-RTRS-Asia Oils-High port stocks damp Chinese palm oil demand

By Niluksi Koswanage
KUALA LUMPUR, Oct 29 (Reuters) - China, the world's second largest vegetable oil buyer, has slowed palm oil purchases by 20 to 25 percent this month amid swelling stocks at its ports, which may weaken exports and put pressure on prices.
Traders say China's palm oil stocks are up 25 percent to half a million tonnes, a marked contrast to its port soybean stocks, which have fallen by as much as half in the past three months to 2-3 million tonnes.
Soy imports are expected to surge as China's food processors try to keep up with soyoil demand but on the palm oil front, China just bought 340,000 tonnes of mostly refined palm olein from Malaysia compared to the monthly 400,000-450,000 tonnes.