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India May Need US Soybean Meal for Growing Poultry Industry, Experts Say

India’s poultry sector is growing quickly. This means the demand for animal feed is also increasing. Experts from the Compound Livestock Feed Manufacturers Association (CLFMA) suggest that India might need to import soybean meal from the United States in the future. This could happen even though India is currently producing enough to meet its needs.

Divya Kumar Gulati, chairman of CLFMA, spoke at an event for the 17th Poultry India Expo. He mentioned that trade talks between India and the US could lead to importing soybean meal. Soybean meal is an important ingredient in animal feed because it is rich in protein.

Mr. Gulati shared that a CLFMA group recently visited farms in the US. He said US farmers are facing financial difficulties because China has stopped buying their products. Because of this, they are looking for new markets to sell their soybean meal. Mr. Gulati believes a trade deal between India and the US could be reached soon.

He also clarified that the US is keen on exporting soybean meal, not whole soybeans. “They are trying to promote soybean meal, not soybeans,” he explained. He added that soybean meal is a quality product that is not genetically modified (GM) and cannot be germinated if planted. India has imported soybean meal before, so importing a quality product like this should not be a problem.

Currently, India is self-sufficient in protein-rich feed ingredients. This is thanks to increased production of Distillers Dried Grains with Solubles (DDGS). DDGS is a useful by-product created when rice is used to produce ethanol. “Around 5.2 million tonnes of rice has been diverted for ethanol production. So the by-product coming out of it is rice DDGS, which is high in protein. And that’s what is replacing soybean meal also,” Mr. Gulati said.

However, he warned that this self-sufficiency might not last. “Currently we are self-sufficient, but if this is the rate of increase of the poultry sector, then we might fall short of raw materials in the future, as we are facing a situation with corn.” This indicates that while rice DDGS is currently helping meet demand, future growth could outstrip supply.

India has specific rules for importing GM soybean meal. While India generally does not allow imports of whole GM soybeans or GM food crops, it permits processed GM products like soybean meal for animal feed. This is especially for the poultry and livestock industries.

In 2021, the Indian government first allowed the import of 1.2 million tonnes of GM soybean meal. More import quotas were given in 2022, and discussions are ongoing as part of the trade negotiations with the US. These imports are carefully controlled and can only happen at certain approved ports after getting permission beforehand.