[Domestic News]Mysteel Analysis: Interpretation of Sesame Import Data for January-February 2024

After the Spring Festival, sesame seeds from West Africa have gradually arrived at the port, increasing the overall supply in the port. However, downstream demand for warehousing is not strong, leading to a situation of oversupply and weak demand in the market. Consequently, prices of some varieties have continued to decline. Now let's take a closer look at the import situation in January and February.

1、Analysis of Sesame Import Quantity

The current domestic sesame market in China mainly relies on imports, with an external dependency of around 70%. Therefore, the quantity and price of imported sesame have a significant impact on the domestic market. According to customs statistics, the total import volume of sesame in China from January to February 2024 was 184,134.487 tons, an increase of 7,527.132 tons compared to the same period last year, representing a growth rate of 4.26%. Looking at the outbound situation from Huangdao Port, the overall outbound volume in January and February was around 121,000 tons, indicating strong support from the supply side. However, after the Chinese New Year holiday, as downstream processing factories resumed operations gradually, they did not stockpile sesame, and most terminal channels replenished on an as-needed basis, resulting in port inventories remaining at a high level.

2、The Analysis of Sesame Import Structure

The main sources of sesame imports in January and February 2024 were primarily Niger, Togo, Myanmar, Sudan, and Ethiopia. From the import data, Niger sesame was the major contributor, accounting for 41.21% of the total imports in January and February, followed by Togo at 17.47%, and then Myanmar at 13.35%. Looking at the sesame import structure in 2024, sesame imports in January and February were mainly from West Africa. However, from post-holiday to March, the market gradually entered the off-season, but with a relatively strong supply. Due to limited market digestion capacity and continuous decline in demand, import sesame prices from Ethiopia and Niger dropped by 100-300 yuan. Some traders showed weak willingness to ship and are waiting for further market developments.

3、subsequent development

Overall, the domestic sesame market in China is currently in the off-season. Reflecting on the entry volumes at Huangdao Port until March 21st, the import quantity of sesame is around 78,000 tons, with an outflow of around 46,000 tons. According to the import patterns of previous years, it is anticipated that the import volume for March will exceed 100,000 tons. Currently, the outflow volume of imported sesame from Huangdao Port still surpasses the inflow volume. Amidst the off-season consumption, traders are negotiating deals based on profit margins, resulting in a relatively chaotic market with transaction prices. Short-term projections indicate that sesame prices are expected to remain relatively weak but stable, with a need to monitor the import and export situation at ports closely.