September 15, 2008

Good rains and higher output boost India's soymeal export prospects 

The USDA  raised its projection of Indian soymeal exports 19 percent in 2008-09 (October-September) from an earlier forecast on the back of an increase in output following good rains.

The USDA Friday said it expects the south Asian nation to ship 5.67 million tonnes of soymeal compared with 4.77 million tonnes estimated in August. Exports may still be lower than that of 6.02 million tonnes in 2007-08.

The report also attributed the rise to "competitive pricing and strong demand for oil meal in neighboring countries."

India is the world's fourth-largest soymeal exporter, after Argentina, Brazil and the US.

The department held its soy production estimate at 9.2 million tonnes compared with 9.1 million tonnes made in August.

Good monsoon rains in late August and early September have boosted plantation of soy in India, which will be harvested in October, the report said.

The production estimate is still lower than the 2007-08 output of 9.3 million tonnes.