April 11, 2024

Philippines to bring in more soybeans this year to meet livestock industry's demand

The Philippines is expected to import more soybeans in 2024 due to increased demand from the livestock, poultry, and aquaculture industries, the US Department of Agriculture (USDA) said.

According to a report by the USDA's Foreign Agricultural Service (FAS), soybean meal imports for the Philippine feed industry are expected to grow 4% to 3.2 million metric tonnes in the marketing year 2024-2025.

The Philippines imports most of its soy to meet domestic demand, especially for animal feed.

Due to the limited land set aside for production, mostly in the Caraga and Ilocos Regions, the local harvest may likely be unchanged at 1,000 metric tonnes.

"The United States is the preferred source with an 85% market share. About 15-40% of the feed ration of animal and aquaculture feeds is soybean meal," the FAS said. It added that imports of soybean meal will help offset the 16% decline in copra meal production, mainly due to the ongoing effects of El Niño on coconut production.

Copra meal is a by-product of the coconut oil extraction process.

The Philippine government weather service, known as PAGASA, said that El Niño is starting to weaken, though its effects may last until August.

"The El Niño weather disturbance will affect coconut production… Copra crushing will decline by 15%, which will also result in a 15% reduction in coconut oil supply," the report said.

- BusinessWorld