Bad weather, lower prices to hit soya output

According to Soybean Processors Association, this year, Soybean production is expected to be lower at 69.29 lakh tonnes than earlier estimate of 74 lakh tonnes

With the drought-like situation in the state and the monsoon uncertainty, many cultivating soybean till now plan to switch to other crops.

Maharashtra and Madhya Pradesh account for about 80 per cent of the all-India output. This year, Maharashtra's output is expected to be 2.2 million tonnes, a fall of 17 per cent. In MP’s Dewas district, excessive rain has destroyed swathes of the crop, though the overall output is expected to remain 3.4 mt.

According to the Soybean Processors Association of India (Sopa), this year, output of the bean this kharif is expected to be 6.9 million tonnes, instead of the earlier estimate of 7.4 mt. Lesser production would mean more import of edible oil and less of soymeal export.

“There has been inter-cropping in Maharashtra, affecting the production. Second, productivity has gone down,” said D N Pathak, executive director, Sopa. "In several cases, farmers have not gone to harvest because the cost of harvesting is much higher."

The trade thinks farmers are set to reduce the area for soybean cultivation by up to 10 per cent this year, in response to falling prices. Soybean is the main summer-sown oilseed crop for the world's biggest importer of edible oil but prices have dropped 10 per cent in the past two years. Prices of some pulses have nearly tripled over the same period.

During the 2015 kharif season, soybean was sown on nearly 11.1 million hectares.

Export of soymeal in April 2016 was 12,295 tonnes, from 46,389 tonnes in April 2015, says Sopa. In the current oil year (October 2015-September 2016), total exports till April were 198,065 tonnes as against 596,016 tonnes last year, a fall of 66.8 per cent.

Maharashtra and Madhya Pradesh are the major soybean producers of India and contribute over 80% of the total production.

 

This year, Maharashtra has registered a 17% or 4.6 lakh tonne fall in production due to drought-like situation, while in MP's Dewas, excessive rain has destroyed huge swathes of crop.

However, according to revised numbers, there is no change in production in Madhya Pradesh at 34.125 lakh tonne. It accounts for 53% of India's total soybean production.