Soybean meal exports rose slightly in December to 277,000 tonnes (lt) due to increased demand from European buyers such as Germany and the Netherlands. However, the latest estimates from industry body Soybean Processors Association of India (SOPA) showed that intake by the domestic livestock feed sector remained flat at 5.5 liters.
Soybean meal exports in December were 2.77 liters, an increase of more than 1 percent compared to 2.74 liters in the same period last year. However, cumulative exports for the 2024-25 oil year starting October fell 21% to 5.18 liters compared to 6.59 liters a year ago as India remains expensive in the global market. Exports decreased in October and November.
biggest buyer
Germany was the largest buyer of Indian soybean meal in December with 49,875 tonnes, followed by the Netherlands with 39,088 tonnes, Bangladesh with 32,002 tonnes and France with 28,542 tonnes. Neighboring Nepal purchased more than 27,724 tonnes during December, while Belgium bought more than 17,800 tonnes. Imports from Iran, which was a major purchaser last year, remained at about 500 tons in December.
Meanwhile, as prices continued to fall in the domestic market following global trends, soybean arrivals in the market were estimated at 46 liters by the end of December, an 11% decrease compared to 52 liters a year ago.
The amount of crushing by the end of December was 30.50 liters, down 14% from 35.50 liters the previous year. However, direct consumption of soybeans increased slightly from 1.10 to 1.40 liters.
Inventories of crushers and traders are estimated at 89.82 liters, down from 93.46 liters in the same period last year.
Decrease in food and feed intake
As a result of reduced market arrivals, soybean flour production decreased by 14% to 24.07 liters from October to December. One year ago it was 28.01 liters. Domestic consumption by the food sector decreased slightly from 2.25 liters to 2.10 liters. Feed consumption during the period also decreased from 18.50 liters to 17 liters.
Meanwhile, soybean prices remain below MSP across major producing regions. While the government has fixed the MSP at Rs 4,892 per quintal, the modal price in the market in Madhya Pradesh, the largest producing state, ranged from Rs 3,500 to Rs 4,400 per quintal as of Monday.
The government agency has so far procured over 8.84 liters of soybean, of which the bulk of the procurement of over 3.88 liters was from Madhya Pradesh, followed by 3.10 liters from Maharashtra, 83,075 metric tons from Telangana and 83,075 metric tons from Rajasthan. 51,026 tonnes in the state, 32,687 tonnes in Gujarat and 18,282 tonnes in Karnataka. The authorized quantity for public procurement by the government is 33.85 liters.
