The Soybean Meal is extracted from the Soy bean, regarded as an important crop throughout the world. Soybean Meal is regarded as the best vegetable protein food source and accounts for over 65% of the world's protein requirements. Much of the Soybean meal is used as animal feed and rest is used for varied human consumption purposes like in baking and meat substitutes. A solvent extraction method is used in the production of the Soybean meal where the beans are first crushed and subsequently, the Soy oil and Soybean meal are extracted. It is a highly preferred food source as it is easily digestible, protein rich and also due to its energy giving nature.
Soybean meals are high in B-complex vitamins, have a proven ability to lower cholesterol and are anti carcinogenic. Soy contains essential amino acids, proteins and other nutrients and is classified as a food and drug. The Soy plant or Glycine max was cultivated as early as 3000 BC in China and was regarded as one of the five sacred crops in China. It was brought to Europe but the climate and the soils were found to be unsuitable for production of the Soy crop. Later, it was brought to the USA, where it became popular and was cultivated on a vast scale.
Global production of Soybean Meal increased from 116.08 million tons in 2000/01 to 177.82 million tons in 2010/11. It has been growing at the rate of 5.31% during the last 10 years period (over 2000/01-2010/11 period). The major contributors to global Soybean Meal production are China, United States, Argentina, Brazil, EU-27, India and others with a share of 26%, 20%, 17%, 15%, 6%, 4% and 12% respectively.
Consumption of Soybean Meal in the World has increased from 115.93 million tons in 2000/01 to 174.74 million tons in 2010/11, growing at a rate of 5.07% during the last 10 years period (over 2000/01-2010/11 period). China has been the biggest consumer of Soybean Meal.
Annual export trade of Soybean Meal stands at around 60.32 million tons, with major share being contributed by Argentina. Annual import trade of Soybean Meal stands at around 57.65 million tons with major share being contributed by EU - 27.
In India, soybean is a Kharif crop. Its sowing begins by end-June with the arrival of south-west monsoon. The crop is ready for harvest by the end of September. There are about 74 Soybean varieties released / notified in India but some of the main varieties grown are Punjab-1, Braig, Ankur, Gaurav and Jawahar. Soybean Meal is produced throughout the year.
Indian Soybean Meal production has been fluctuating in the range of 5.1 - 7.1 million tons over the last few years. Consumption has been fluctuating in the range of 1 - 2.7 million tons over the last few years. Export has been fluctuating in the range of 3.1 – 5.2 million tons over the last few years. Major Centers of Soybean Meal in India are Indore, Kandla, Ujjain, Dewas, Sagar, Itarsi, Mandsaur, Akola, Nagpur, Latur, Nanded, Dhule and Kota.
Factors influencing Soybean Meal trading
- Worldwide demand for protein
- The global economic status
- The fluctuating value of the dollar
- Trans fat labeling requirements
- Edible oil competition from other fats and oils
- Fluctuating biodiesel production
- Livestock numbers
- Competition from protein sources including canola meal, synthetic amino acids and DDGS (Dried Distillers Grains with Soluble)
- Soybean meal export demand