India’s oilmeal exports to Japan, Iran, Thailand, Indonesia, Taiwan and Vietnam have gone down considerably due to severe competition from other major exporting countries including China and Argentina
The Dollar Business Bureau
India’s oilmeal exports fell by 41% in November to 112,081 tonnes as against 189,032 tonnes in the same month last year.
Accumulative exports of oilmeal during April-November 2015 also fell by 38% to just 895,646 tonnes from last year’s 1,452,105 tonnes.
“The export of soybean meal is at a historical low during current year and reported 55,889 tonnes during the first eight months of the financial year 2015-16 compared to 250,904 tonnes in the previous year,” the Solvent Extractors' Association of India said in a release.
Export of rapeseed oil also reduced by more than 33% during the period April-November this year.
The lack of capacity utilisation is one of the many reasons for this ongoing decline. The association said the industry has been going through very tough time and many plants have been closed down. The remaining plants are operating at very low capacity due to disrupted cycle of crushing and shipment.
India’s oilmeal exports to Japan, Iran, Thailand, Indonesia, Taiwan and Vietnam have gone down considerably due to severe competition from other major exporting countries including China and Argentina.
Besides, Indian soyameal has also lost Vietnam market due to a stiff competition from other exporters and increased availability of oil from their domestic crushing units.
Referring to Japan, the industry body said Japan was a big importer of Indian soybean meal, however now it has started using genetically modified soybean meal and buy from various other origins.
After trade sanctions were lifted from Western countries, Iran began to import soyameal from other suppliers. “Currently, India is out priced by $100 against other origins in Iranian market,” the statement said.
Indian oilmeal has lost Vietnam market due to a stiff competition from other exporters and increased availability of the commodity from their domestic crushing units
December 05, 2015 | 1:20pm IST