November 6, 2008
India soymeal crop export deals reach 1.1 million tonnes
Indian exporters have contracted to export around 1.1 million tonnes of the new soymeal crop so far for shipment in November-December, a senior industry official said Wednesday (November 5).
"The deals have been contracted at an average price of US$290 to US$300/tonne, although some deals in the beginning of the new crop season were signed at around US$400/tonne," said Rajesh Agrawal, coordinator of the Soybean Processors Association of India.
He said although prices have fallen in the last few weeks, soymeal exports are likely to be robust this year at 5.5 million tonnes.
"Even at the current levels of US$290/tonne, we are better off than our competitors," said Agrawal.
Domestic soy production is projected to rise to 10.8 million tonnes this year, up from 9.47 million tonnes last year, boosting supplies for exports during the year.
"As domestic consumption is limited, there will be sufficient quantity for exports. However, the realizations of exporters will be lower," said B.V. Mehta, executive director of the Solvent Extractors' Association.
He said last year's prices were around US$500/tonne.