“2023 Soybean Industry Annual Conference and China Soybean Industry International Summit Forum Held in Harbin”
Harbin, Heilongjiang Province – The “2023 Soybean Industry Annual Conference and the 7th China Soybean Industry International Summit Forum” took place on August 17, gathering industry experts and professionals to discuss the global soybean supply, demand, and price outlook for the upcoming year. Wang Liaowei, deputy director of the Market Monitoring Division of the National Grain and Oils Information Center, delivered a speech focusing on the impact of Brazil’s soybean exports and the mismatch between supply and demand on soybean prices.
During his speech, Wang Liaowei highlighted that the increase in Brazil’s soybean exports will alleviate the impact of the lower-than-expected increase in US soybean production. Despite the decrease in US soybean planted area and the slower progress of Brazil’s soybean sales, Wang Liaowei emphasized that the available soybeans for export in South America will increase, ultimately driving global supply.
In terms of global soybean production and trade, Brazil, the United States, and Argentina account for a significant portion of the market. The US Department of Agriculture reported a decrease in the planted area for US soybeans in 2023, while Brazil’s soybean production is expected to reach a record high of 163 million tons. On the other hand, Argentina’s soybean production is expected to drop, making it a net importer of soybeans. However, a recovery increase is expected for Argentine soybeans in the 2023/2024 season.
Turning to the domestic market, Wang Liaowei mentioned that China is making efforts to promote soybean cultivation, with a projected increase in the sown area and overall yield. Heilongjiang Province, the largest soybean producing area in China, plans to implement a differentiated subsidy policy to support soybean production. In addition, soybean imports are expected to continue to meet domestic demand, with imports in the 2022/2023 season anticipated to exceed 98 million tons.
Wang Liaowei concluded his speech by stating that the international and domestic soybean markets may continue to experience fluctuations and adjustments. The tight inventory of old crop soybeans in the United States and the anticipation of new crop yields will be key factors influencing market dynamics. Additionally, the substantial increase in global soybean production will heavily rely on South America, with market focus shifting towards the region as soybean planting commences in September.
The conference and summit forum provided a valuable platform for industry experts to exchange insights and discuss the future of the soybean industry. As the soybean market continues to evolve, stakeholders will closely monitor production, trade, and market trends to make informed decisions moving forward.