After facing minor hurdles when arrivals had come to a halt in the wake of the demonetisation move of the government, soybean arrivals have begun picking up and are expected to keep pace for the remaining part of the season.
On a financial year basis, the country’s exports during April 2016 to November 2016 were 1,55,874 tonnes as compared to 2,73,433 tonnes in the same period of previous year, showing a decrease of 43%.
Industry experts, however, believe that there will be good amount of exports from India. During current Oil year, (October – September), total exports during October 2016 to November, 2016 were 80,142 tonnes as against 71,905 tonnes last year, showing an increase by 11.45%.
“Bangladesh is a good prospect and Indian soybean meal has gone to Japan as well. Japan, Vietnam, Korea and Thailand have shown interest and Europe has also shown interest in Indian soybean meal this year,” DN Pathak, executive director, Soybean Processors Association of India (SOPA) said.
Indian soybean meal prices are pretty competitive as compared to international prices. A SOPA delegation had visited Bangladesh in the last week of November. Pathak said there was good interaction and duty incentives were good. There should good export this year although nothing can be quantified as yet, he said.
Earlier, a six-member delegation of the industry body had toured five countries to promote Indian soybean meal exports. Thailand, Vietnam, the Philippines, Japan and Indonesia were among the countries visited by the delegation.
Last year, India exported some 2.87 lakh tonnes which included more of value added products instead of just soybean meal. India’s export of soybean meal has declined to ‘nil’ as the value of India’s exported goods is costlier by $100-150 a tonne in importing countries such as Vietnam and Japan as compared to sourcing the same from Brazil and Argentina — the world’s two large soybean producers
In the letter written by the ministry , it was mentioned that India has been a major exporter of soybean meal to the Far East and SEA (southeast Asia). However, during the past couple of years, our exports have fallen drastically due to disparity in prices. This year, the crop looks very good and there is every possibility that we can re-enter these markets with competitive prices and the added advantage of being totally non-genetically modified.
Pathak had earlier stated that exports were expected to rise this season on account of higher production and comparatively lower prices of soybean. Indian price is competitive as compared to US prices and soybean from Brazil and Argentina is expected to come into markets by April next year and therefore India stands to gain from a good crop and may even surpass exports of the previous year, he said.