Soybean Sector Needs Productivity Push, Stable Import Duty Regime: Outgoing SOPA Chairman Dr Davish Jain

India’s ambition to reduce its dependence on imported edible oils will remain difficult to achieve unless domestic oilseed production becomes more productive and commercially viable, outgoing Soybean Processors Association of India (SOPA) chairman Dr Davish Jain said, calling for a predictable import duty regime, higher farm yields and a stronger domestic processing industry.

Addressing SOPA’s ninth International Soy Conclave in Indore on October 17, Dr Jain said frequent changes in import duties could influence farmers’ crop choices and discourage investment by processors.

He called for a long-term policy framework that balances affordable cooking oils for consumers with remunerative prices for farmers and the competitiveness of the domestic soybean industry.

The challenge is significant. India met only 43.74% of its edible oil demand through domestic production in 2023-24, while imports accounted for 56.25%, according to government data. Reducing this dependence will require improvements in oilseed productivity, stronger processing capacity and policies that encourage farmers to expand production.

“Farmers need more than announcements. They need predictability,” Dr Jain said, completing his 12-year tenure as SOPA chairman, which began in September 2014 and ended in September 2026.

He called for a clear import duty framework extending five to 10 years, arguing that farmers needed confidence that their produce would find a market and fetch a fair price. A financially viable processing industry was equally important, he noted, as it provided a dependable market for soybean growers and supported investment across the value chain.

Dr Jain also praised Madhya Pradesh’s Bhavantar Bhugtan Yojana, saying financial assistance to soybean farmers when market prices fell had helped support their returns. He said policy interventions should protect farmers from sharp market fluctuations while ensuring that consumers continued to have access to edible oils at reasonable prices.

Low productivity remains one of the biggest constraints facing India’s soybean sector. Dr Jain estimated the country’s average soybean yield at around 1.1 to 1.2 tonnes per hectare, compared with a global average of approximately 2.8 tonnes.

He proposed a National Soybean Productivity Mission under which SOPA would work with the Indian Council of Agricultural Research (ICAR), agricultural universities, seed companies and state governments to develop 100 model soybean seed villages.

The initiative should focus on improved seeds, scientific farming practices, modern agricultural machinery, better crop management and wider adoption of technology. The objective should be to progressively raise yields to two tonnes per hectare wherever local agro-climatic conditions permit, he said.

Higher productivity could improve farm incomes, increase domestic soybean availability and strengthen the ability of Indian processors to compete in domestic and international markets.

The pressure on the processing and export segments is already evident in recent trade trends. SOPA estimates reported in July 2026 indicated that soybean imports rose to 7.77 lakh tonnes during October 2025-June 2026, compared with just 2,000 tonnes in the corresponding period a year earlier.

Soybean meal exports also fell sharply during the period, reflecting the impact of tighter domestic supplies and high prices on export competitiveness.

Against this backdrop, Dr Jain urged the government and industry to position Indian non-genetically modified (non-GMO) soybean meal as a differentiated product in overseas markets.

Rather than competing with major exporters such as Brazil and Argentina only in the bulk commodity market, India should develop markets where non-GMO identity, quality and traceability could offer a competitive advantage, he said.

Dr Jain called for market development assistance to help Indian companies participate in international exhibitions, obtain credible certifications, strengthen traceability systems and establish relationships with overseas buyers. Europe, Japan and parts of East Asia could offer opportunities if Indian products consistently met their quality and regulatory requirements.

Dr Jain also stressed on shifting towards value addition, saying the future of the soybean economy lay beyond raw beans and conventional soybean meal.

Products such as textured soy protein, soy protein concentrates, soy protein isolates, meat alternatives and soy-enriched foods could open up new domestic and international markets. However, tapping this potential would require investment in research, technology, product development, quality control and market access.

SOPA should bring processors, food and feed companies, research institutions and entrepreneurs together to translate research into commercially viable products, Jain said. Farmers, too, should receive a fair share of the additional value generated along the supply chain.

Soybean’s economic importance extends well beyond edible oil production. Nearly 80% of domestic soybean meal production is consumed within India, while the poultry and aquaculture feed segments together account for more than 50% of the value generated through soybean processing, according to industry estimates cited in his address.

“Soybean is not merely an oilseed. It is central to India’s protein strategy,” Dr Jain said, highlighting the crop’s contribution to food and nutritional security as well as rural livelihoods.

For the incoming leadership, Dr Jain outlined another priority: making SOPA more inclusive, with stronger participation from Farmer Producer Organisations (FPOs), poultry and aquaculture feed manufacturers, scientists and other stakeholders.

Closer collaboration across the value chain would help the association identify emerging challenges and develop practical solutions, he said.

Reflecting on his tenure, Dr Jain said SOPA had strengthened its institutional credibility through data-based assessments of soybean production, supply and demand. He thanked the association’s members, farmers, processors, scientists, government representatives and Secretariat for their contributions.

He also paid tribute to his late father, Padma Shri Dr Nem Nath Jain, who had led soybean development initiatives through SOPA in the 1980s. Dr NN Jain was also the founder of the Prestige Industrial and Educational Group.

“My tenure as chairman may have ended, but my commitment to the soybean sector will continue,” Dr Jain said, adding that higher productivity, stronger processing, greater exports and affordable protein should remain central to the sector’s future.