The worst drought on record by the United States in the last 50 years means New Delhi’s exports of soybeans will increase by 5%. India will export at least 4 million tons to China, Vietnam, Japan and South Korea. With the explosion of mad cow disease, soy has replaced animal protein in cattle feed.

Mumbai (AsiaNews) - A new record for the Indian economy: exports of soybeans will grow by 5% next year, surpassing sales in the United States and making New Delhi the biggest exporter of feed for Asia. The worst drought ever recorded by the U.S. in the last 50 years has helped New Dehli's growth in the area, as well as leading to an increase in the prices of corn and soybeans by 55%. According to the Soybean Processors Association of India, from October 1 next shipments will be 4 million tons, compared to 3.8 million tons this time last year. For 2012-2013, the total harvest will exceed 11.5 million tonnes.

The demand for soybeans has increased exponentially with the explosion of mad cow disease. Since then, soy has replaced animal protein contained in feed, the leading cause of the infectious disease (bovine spongiform encephalopathy).

"For India - explains Davish Jain, CEO of Prestige Foods Ltd. - this is a golden opportunity. The drought that has affected the corn and soybean crops in North America causing skyrocketing prices, and consumers are looking elsewhere". Besides the United States, New Delhi has to compete with Argentina and Brazil to provide feed to China, Vietnam, Japan and South Korea In general, the country exports more than 70% of its crop of soybeans.

This year, even in India the monsoon season - which counts for more than 70% of annual rainfall - fell by 5% over the past 50 years, and as much as 19% at the end of July. However, this had no impact on soy. According to the Ministry of Agriculture, farmers have cultivated 10.7 million acres with soybeans, compared with 10.3 million hectares last year.

 

• india
• soybean
• crop
• export
• US
• drought
• economy