Soybean meal prices in India have risen by over 40% in recent weeks to around ₹65-66 per kg, according to the Compound Livestock Feed Manufacturers Association (CLFMA) of India. The sharp increase, driven by supply constraints, is raising alarm among feed manufacturers and farmers across the poultry, aquaculture, and livestock sectors.
Price Surge and Industry Concern
CLFMA reported that the current supply constraints and rising prices are placing immense pressure on feed manufacturers and farmers, threatening the competitiveness and sustainability of India’s animal protein value chain. The association expressed concern over the growing shortage of soybean meal, a critical protein ingredient used in animal feed.
| Key Metric | Value |
|---|---|
| Soybean meal price (current) | ₹65-66 per kg |
| Price increase (recent weeks) | Over 40% |
| Feed cost share in aquaculture | 50-60% of production |
Impact on Aquaculture and Livestock
The concern is particularly acute for the aquaculture sector, where feed accounts for nearly 50-60% of production costs, according to CLFMA. As India continues to strengthen its position as a global seafood supplier, ensuring access to affordable, high-quality feed ingredients has become increasingly important. The price spike also affects poultry and livestock sectors, which rely on soybean meal as a key protein source.
"India’s poultry, aquaculture and livestock sectors are critical contributors to food security, rural livelihoods and exports. A sustained shortage of soybean meal and escalating feed costs can adversely impact farm productivity and profitability across the value chain." — Divya Kumar Gulati, Chairperson, CLFMA of India
CLFMA Recommendations
To address the challenge, CLFMA recommended several proactive interventions:
- Ensure balanced availability of soybean meal for domestic feed manufacturing while safeguarding interests of soybean growers.
- Promote investments in soybean processing and value-chain infrastructure to improve supply efficiency.
- Strengthen collaboration between policymakers, farmer bodies, processors, and feed manufacturers to develop a long-term protein security roadmap.
- Establish mechanisms to monitor soybean meal availability and price volatility to prevent supply disruptions.
The association urged all stakeholders to work together toward a balanced, long-term solution that protects farmers’ interests while strengthening the country’s feed and animal agriculture ecosystem.
Government Export Ambitions
The issue assumes greater significance in light of the Government of India’s vision to significantly expand seafood exports, CLFMA noted. Recently, Commerce and Industry Minister Piyush Goyal stated that India has the potential to increase seafood exports to $30 billion over the next five years, nearly 2.5 times current levels. Achieving this target will require a strong and resilient feed ecosystem that can consistently support productivity, quality standards, and export competitiveness, according to CLFMA.
The association believes that proactive interventions are required to ensure adequate availability of soybean meal and support farmers. CLFMA said it continues to engage with policymakers to facilitate a stable and predictable policy environment that supports feed affordability and sectoral growth.
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