Study On The Pricing Power Of The Soybean Of China

In international agricultural commodities trade, soybean has become the world's important strategic commodity . It is an important food crops, and it was also an important source of protein, feed and cooking oil. it has become strategic reserves. The soybean imports of China has ranked first in the world, and at the same time the soybean consumption ranked second,but because the comprehensive reasons,China doesn't have the pricing power in the import of soybean. This paper applied the qualitative and quantitative research methods for the analyzation .We studied the problem of the pricing power of the Soybean of China mainly from three blocks.Firstly,we studied on the international market situation of Chinese soybean import,analyzed the situation of international trade and import trade's structure,then we made the definition index of the lack of pricing.Based on the index,this paper analyzed qualitatively and quantitatively to the pricing power of China's soybean import,including comparative between import volume and international price , the fluctuation range of the import price,the comparative between import price and international price,pricing and granger causality text.Through qualitative and quantitative analysis,we know that China lack the power of pricing.Secondly,this paper analyzes the reason of Chinese soybean's lack of import.The factors affecting the pricing are relatively broad. Based mainly on the mechanism of the soybean price forming ,we found the reasons of the lack of pricing power are mainly inclued the unbalanced supply and demand,lack of pricing centre, the monopoly of four food dealers(Archer Daniels Midland, Bunge, Cargill, Louis Dreyfus) , imperfect industry association , lacking the platform providing information ,policy and the government's public service does not reach the designated position, etc.Thirdly,this study puts forward suggestions of getting pricing power.Firstly,we must improve the supply of domestic soybean .Through improving the domestic soybean supply, China can enhance the ability of adjusting domestic soybean market price, that can make China no longer enslaved to other countries in international soybean trade. Secondly,we must establish futures market deeply.It's mainly included speeding up marketization of China's economic development , improving China's agricultural futures market's internationalization degree, improving the investors structure of Chinese agricultural futures market ,strengthening the market combined of the futures market and cash market with depth, strengthening scientific, promoting the standardization of trade rules and the internationalization of the regulatory system. Thirdly, The government should implement soybean industry protection and supporting policies, mainly include strengthening the government's regulation and service, strengthening risk management, enhancing industry associations'develpoing ang cooperating.