USDA lowers India’s soybean production forecast; seen enhancing import dependence

India’s soybean production for the marketing year is forecast to decline to 9.6 million tonnes, down from earlier projections, due to erratic monsoon precipitation and reduced cultivation acreage across major growing belts in Madhya Pradesh, Maharashtra and Rajasthan, according to a report by the United States Department of Agriculture (USDA). Deficit rainfall during crucial pod-setting stages and shifting crop preferences among farmers toward competing kharif commodities have constrained overall crop yields. The projected drop in domestic oilseed processing volumes is expected to tighten local meal and oil availability, potentially escalating India’s dependence on imported edible oils—such as palm and soy oil—to meet domestic consumption demands, as per a report.

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