Indore : Soymeal exports from India may dip to nearly half in new oil year
Soybean meal exports from India are expected to drop significantly in the 2024-25 oil year, from 22 lakh tonnes to about 10 lakh tonnes. This decline is driven by the Iran-Israel conflict affecting exports to Iran, as well as the high cost of Indian soymeal, which has deterred buyers from Southeast Asia. Indian soymeal is priced around $100 per tonne higher than competitors. Additionally, global tensions, such as the Russia-Ukraine conflict, are impacting shipping routes and the industry’s outlook, according to SOPA.
Indore: Soyabean meal exports from India in the new oil year commencing October are expected to plummet to nearly half as the Iran-Israel conflict is anticipated to significantly impact exports to Iran, while the elevated prices of Indian meal have deterred South East Asian buyers, according to a traders and soyabean processing body on Monday.”Soybean meal exports from India in the 2024-25 oil year are projected to decrease to approximately 10 lakh tonne, compared to 22 lakh tonne in the preceding year, due to the Iran-Israel hostilities and potential threats to shipping routes.
Procurement from Iran has diminished and may decline further if the conflict escalates. Transactions with Southeast Asian nations have also reduced as a result of the high prices of Indian origin meal,” said DN Pathak, executive director of the Soybean Processors Association of India (SOPA).As per SOPA, around 8 lakh tonne of soyabean meal was exported from India to Iran in the previous oil year. The oil year commences in October and concludes in September.Exports of soyabean meal from India in the last oil year amounted to approximately 22 lakh ton, according to SOPA, owing to competitive prices.
Pathak said that Indian origin soybean meal is roughly $100 per tonne more expensive compared to other major suppliers in the global market.”India’s soybean and edible oil industry is presently navigating a highly uncertain phase, primarily influenced by global challenges such as the ongoing Russia-Ukraine conflict, tensions in the Middle East, and potential threats to shipping routes. These factors have had a substantial impact on the industry. Domestically, the Indian soy industry remains optimistic about future policy changes, especially following the recent increase in duties on edible oils. It is anticipated that these changes will pave the way for further reforms, providing the sector with opportunities to progress towards self-sufficiency in edible oil production,” Pathak said.SOPA intends to announce the price outlook and crop estimation for the soyabean crop during the two-day International SOPA Conclave scheduled for October 13 and 14.
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