Rising soybean meal prices drive soybean imports in India

India has increased soybean imports following a sharp rise in domestic soybean meal prices. According to a US Department of Agriculture (USDA) report, the surge is linked to concerns over a weak monsoon that could negatively affect the country’s upcoming oilseed crop.

Imported soybeans are currently being crushed to meet domestic demand for soybean meal used in animal feed, as well as vegetable oil for human consumption. In its June “Oilseeds: World Markets and Trade” report, the USDA raised its forecast for India’s soybean imports in the MY 2025/26 by 500,000 tons to 700,000 tons.

The revision reflects a smaller soybean harvest in MY 2025/26 and a sharp increase in soybean meal prices, which have reached a premium of nearly 60% compared with US-origin products. This has encouraged processors to import raw beans to support domestic supply needs.

In the previous marketing year, India imported only negligible volumes of soybeans due to a record domestic crop and sufficient availability of protein feed ingredients, including by-products from ethanol production. However, the shift in market fundamentals has led to renewed import demand.

Sub-Saharan African countries remain India’s main soybean suppliers, with Niger, Togo and Nigeria among the most significant exporters, as imports from major producers such as the US, Brazil and Argentina are restricted due to regulations on genetically engineered soybeans. USDA forecasts suggest that India’s soybean production will recover in 2026/27, with imports expected to fall to around 200,000 tons.

Tags: prices, soybean, India, imports, soybean oil