Bangladesh signs landmark deal to buy $1.25 bln worth of US soybeans

Bangladesh’s largest soybean processors and importers—Meghna Group of Industries, City Group, Delta Agrofood Industries Ltd., Mahbub Group, and KGS Group—have signed letters of intent to increase their purchases of U.S. soybeans over the next 12 months. U.S. soybeans are a key component of poultry and aquaculture feed mixes, and this agreement lays the foundation for building a sustainable, reliable, and high-quality supply chain for Bangladesh.

Under the agreement, Bangladesh’s soybean meal processors and importers have committed to purchasing soybeans and meal worth US$1.25 billion. The agreement also includes joint efforts to promote sustainable procurement and reduce environmental impacts through the U.S. Soy Sustainability Assurance Protocol (SSAP). USSEC and industry partners also intend to collaborate on market development and increased protein consumption in Bangladesh through the USSEC “Right to Protein” campaign.

Commenting on the new agreement, MD. Taslim Shariar, Deputy CEO of Meghna Group of Industries, noted: “This is an important step for Bangladesh and its processing industry. The more we process, the greater our food security. The agreement supports the rapid growth of the poultry and feed industries. Vegetable oil production will also increase. The United States and Bangladesh are working hand in hand, creating a legacy of economic resilience, industrial growth, and high-quality nutrition for future generations.”

According to the USDA, in 2024, American soybeans will be Bangladesh’s largest agricultural export, valued at $350 million. Bangladesh is the largest market for American soybean exports in South Asia, with imports of American soybean meal increasing by 650% year-on-year. Meanwhile, Bangladeshi imports to the United States in 2024 totaled $8.78 billion, demonstrating the strong trade partnership between the two countries.

Buyers in Bangladesh have long noted the advantages of American soybeans over products from other countries. Amirul Haque, Managing Director of Delta Agrofood, added: “The quality of American soybeans is significantly higher than that of other producers.”

In addition to being certified as sustainable, American soybeans are characterized by better digestibility, reduced damage, and a high nutritional profile, which translates into improved animal performance and economic returns. For over 30 years, USSEC’s efforts in Bangladesh have focused on knowledge and technology transfer, including the Soy Excellence Center, the In-Pond Raceway System (IPRS), and the International Aquaculture Feed Facts Database (IAFFD).

Tags: soybean, USA, Bangladesh