bodyType

customContents

entityId

entityUuid

articlePageQuery

filter

article

articleBaseAdvertisingInfoArticle

articleListArticle

articleSeoArticle

helpersCheckIsPostiesArticle

hooksArticleAcknowledgementGateOverlayArticle

hooksTrackPageViewArticle

hooksContentInterestArticle

articleLinkingDataContent

articleSchemaContent

liveArticle

advertZone

sentiment

contentLock

topics

types

sections

moreOnThisArticles

urlAlias

commentCount

sponsorType

authorLocations

authors

paywallTypes

corrections

displaySlideShow

multimediaEmbed

printHeadline

seriesContainer

socialHeadline

headline

flag

firstTopic

glossary

flattenTypeIds

publishedDate

additionalInfoBoxes

images

image

relatedLinks

relatedNewsletters

__typename

createdDate

sponsor

factSheets

series

knowledgeQuestion

disableOffPlatformContent

published

updatedDate

summary

subHeadline

body

keywords

copyrighted

customTimezone

liveContents

Ralph Jennings

US soybean exports to China are leading their five-year average this year, as the war in Ukraine and drought in South America hamper alternative sources, according to an industry body.
American soybean producers shipped 27.3 million metric tonnes to China from September 1 to April 22, said Scott Gerlt, an economist with the American Soybean Association.
Over the past five years, Gerlt said, China ordered 22 million to 23 million metric tonnes in the September-April periods.
Russia’s war in Ukraine has cramped China-bound exports of wheat, corn and sunflower oil from the two farm-rich countries, he said, in turn raising prices of soybeans as a substitute. Four-fifths of US soybeans are processed into livestock feed and the rest into vegetable oil.
With an eye on food security, China’s grain stockpiling has global implications
China was hoping in 2019 that Russia could step up “soybean cooperation”, Chinese media outlet Yicai Global said at the time, quoting a Ministry of Commerce spokesperson.
US soybean contracts came to slightly more than US$16 a bushel in March and now stand above US$17 per bushel.
South American soybean-exporting nations have been struggling with drought conditions since last year, Gerlt said, reducing shipments to China from normally vibrant sources. Argentina, Brazil and Paraguay are South America’s chief exporters.
“What’s clear is that China will be paying more to import food for people and livestock, whether it’s now or later in the year, and they don’t have a lot of supplier choices,” said Douglas Barry, council communications vice-president of the Washington-based advocacy group US-China Business Council.


“It’s supply and demand, which augurs another good year for farmers in the US heartland, whether it’s due to volume or value,” Barry said.
China is the world’s top importer of soybeans, taking in about 97 million metric tonnes in 2021, according to market research firm Statista. And about 162.8 million metric tonnes of soybeans were imported globally.
Marine shipping, land transit and workplace closures in China due to Covid-19 over the past two months have not hampered US soybean exports, Gerlt said.
But this year’s orders lag those of last year at this time, he said. China last year needed more soybeans to feed hog herds that farmers had increased after an outbreak of African swine fever resulted in the deaths of about 100 million hogs, but recovering herds eventually became too large and started losing money.
“We’re not going to beat last year’s record, but we’re going to be up there,” Gerlt said.
‘Inject new impetus’: China, US urged to improve agricultural ‘bright spot’
The half a million producers of soybeans, across 30 US states, have weathered a “wild five years” with China, he said. He pointed to Covid-19’s debilitating onset in 2020, alongside the phase-one trade deal that strengthened US agricultural exports before it expired at the end of last year and was not renewed.
China’s central leadership has warned about the food-security risks associated with depending on imports.
In that spirit, farmers in the northeastern Chinese province of Heilongjiang set out in January to boost soybean production by planting 666,667 hectares (1.6 million acres), the provincial Communist Party chief said at the time.
Heilongjiang accounts for about 40 per cent of China’s total soybean output.
“They’re a fairly large producer of beans, but it’s not nearly enough,” Gerlt said.


Australia sends largest trade contingent to China to sell milk, Wagyu beef, wine at CIIE

China’s biggest trade fair draws record buyers, but deals fall short of pre-pandemic level

China’s Premier Li Qiang vows wider opening to play stabilising role in global economy

China ‘most challenging trade partner’, says EU’s next trade chief

China trade

China trade: imports of US soybeans rise as Ukraine war, South America drought limit sources

China is the world’s top importer of soybeans, taking in about 97 million metric tonnes in 2021. Photo: Reuters

China is the world’s top importer of soybeans, taking in about 97 million metric tonnes in 2021. Photo: AP

Amid Ukraine and Covid-19, Xi Jinping puts China’s food security in focus with trip to Hainan

Chinese President Xi Jinping visits a seed laboratory in Sanya, Hainan province, on Sunday. Photo: Xinhua

China food security: farmers in Jilin leave fields fallow as lockdown threatens corn supply

Lockdowns in Jilin province have prevented farmers from tending to their fields, raising concerns about the coming corn harvest. Photo: Shutterstock Images

Lockdowns in Jilin province have prevented farmers from tending to their fields, raising concerns about the coming corn harvest. Photo: Xinhua

China’s fertiliser crunch leaves farmers grasping at straws a month before crucial spring application

A farmer loads fertiliser and seeds into a seeder in Nanyang, Henan province. Photo: Reuters

China’s second-largest corn-growing area, northeast Jilin province, has been affected by coronavirus lockdowns. Photo: Xinhua

China GDP: economy grew, but ‘more pain will come’ as coronavirus, lockdown pressures weigh on outlook

China has set its gross domestic product (GDP) growth target for 2022 at “around 5.5 per cent”. Photo: EPA-EFE

China’s migrant workers are shunning factory jobs, and manufacturers are getting desperate

Many of China’s young migrant workers – long the backbone of its manufacturing industry – are seeking alternatives to factory jobs. Illustration: Brian Wang

Economy

China Economy

Economic Indicators

Knowledge

China Macro Economy

Trade Policy

Social Policy

Topics

News

China


China has been importing millions more metric tonnes of soybeans in recent months than its past average
World’s top importer of soybeans is looking to protect and bolster its supply chain as food-security fears mount



Food security is a paramount concern for the world’s most populous nation, and its dependence on imported soybeans likely means ‘another good year for farmers in the US heartland’.


China trade: imports of US soybeans rise as Ukraine war, South America drought limit sources

China has been importing millions more metric tonnes of soybeans in recent months than its past average World’s top importer of soybeans is looking to protect and bolster its supply chain as food-security fears mount

China has been importing millions more metric tonnes of soybeans in recent months than its past average

World’s top importer of soybeans is looking to protect and bolster its supply chain as food-security fears mount