June 28, 2006
US partners Paraguay to explore Indian soy market
An initiative to jointly explore India's soy market potential has been mooted by the US and Paraguayan soy industries, marking the first time that grower-to-grower discussions have occurred between US producers and its competitors about partnering opportunities in a specific target market.
The agreement, called the Global Grower Development Agreement, was signed between the United States Soybean Export Council and the Paraguayan Chamber of Cereals & Oilseeds Exporters and Paraguayan Soybean, Oilseeds and Cereals Producer Association.
The US is eager to work with Paraguayan soy farmers to increase the use of soy in markets like India, said Curt Raasch, United Soybean Board chairman.
Although the US does not export soy to India currently, a rising Indian population and increasing consumption of soymeal for the poultry, dairy and aquaculture industries in the country presents substantial opportunities.
US programmes to increase demand for soy in India are already underway and South American growers are encouraged to support these efforts by funding feed technology workshops, feed marketing support, and soyfoods training programmes.
American Soy Association president Bob Metz said the initial goal is to increase Indian soymeal consumption and thus reduce their exports.
Farmers in Paraguay realise that growing future demand in India would benefit all of the Americas, not just the US, Metz said, adding that both the US and Paraguay agree it is time for North and South America to share the cost of building demand for soy products in India.
US grower-leaders have also discussed partnership activities with growers in Brazil and Argentina.
The Global Grower Development Agreement calls for activities that would broadly promote the development and use of the soy which advances the interests of its producers, processors, and users through product and market development support.
