Soybean processing

Discussion in 'Commodity Futures' started by TraDaToR, Oct 8, 2011.

  1. TraDaToR



    Do you know how much time it takes to processors to crush soybeans into oil and meal?

    Thanks a lot.:)
  2. Not very long.
  3. TraDaToR


    Back to this topic, I would like to know if commercials are always playing same expiration for soybean and products. Are they always playing Mar/Mar/Mar, Aug/aug/Aug, Nov/dec/dec...? They never buy Soy in Mar to to deliver products in october for example... I am asking for known industry crush practices.

    Thanks a lot.
  4. Why are you assuming that is the case? If storage and interest costs were low enough to warrant storing beans and crushing them in 6 months, there would be no rational not to take advantage.

    The typical structure you're looking for is front+1 crush spread. Same for the crude crack - one month processing time.
  5. TraDaToR


    It was a question in fact. I forgot the "?". Thanks for the info.