Bumper crop, high overseas demand push soymeal exports

Written by Commodities Bureau | New Delhi, Oct 6 | Updated: Oct 7 2008, 05:48am hrs
A bumper crop and higher overseas demand of soymeal has resulted in a rise in exports by more than 38% during 2007-08, a trade body said on Monday. Soymeal exports rose to 4.8 million tonne during the oil-year 2007-08 from 3.5 million tonne achieved last year, Indore-based Soyabean Processor Association of India (Sopa) said. Soymeal, an important source of protein in animal-feed, is processed from soybean. Indias soymeal exports rival sales from Brazil and Argentina.

Out of 45 major export destinations, demand from Malaysia, Japan, China, Vietnam and Thailand increased significantly, Sopa said. As a result, shipments to Malaysia rose more than two-fold at 1.22 lakh tonne, exports to Japan by 72% at 8.57 lakh tonne, China by 54% at two lakh tonne and to Vietnam by 39% at 12.43 lakh tonne, Rajesh Agrawal, coordinator, Sopa, said. However, exports during September of the oil-year declined sharply by 69% to 68,442 tonne from 2.23 lakh tonne in the previous year, Agrawal added. About 3.5 lakh tonne exported to Pakistan, Nepal and Bangladesh via rail and road is, however, not included in the data, he added.

The exports during April - September 2008 rose to 1.6 million tonne as compared to 7.6 lakh tonnes during the same period last year, registering a growth of 118%.

However due to high soymeal exports, there has been a rise in the price of poultry feed in the country as soymeal is a key component of the feed.

According to the Poultry Federation of India (PFI), soyameal has been currently selling at Rs 25,000 per tonne up from Rs 16,000 that prevailed in the same period last year. The export of soymeal is likely to see an upward trend next year as Sopa recently said that due to favourable weather conditions along with wider application of technology and weed management techniques, the countrys soybean production is expected to cross the 10-million tonne mark during 2008.