Soybean oil and fractions market in Central America

Earlier Report Observations

Central America's market for unmodified soybean oil and its fractions grew from 1 155 thousand tonnes in 2018 to 1 291 thousand tonnes in 2023. The increase was not linear, with a noticeable contraction to 1 186 thousand tonnes in 2020, but recovery and further expansion followed in subsequent years. This overall growth was underpinned by a consistent rise in domestic production, which increased by 23% over the period, while import volumes gradually declined.

By 2024, regional trade patterns highlighted Central America's established dependence on imports from the world's largest soybean oil producers, namely the United States, Argentina, and Brazil. Concurrently, the region exported significant volumes to neighboring markets such as Honduras, Belize, El Salvador, and Nicaragua, with Mexico serving as a key export hub. No major regulatory shifts, new market entrants, or significant changes in production infrastructure were reported for the year.

Production soybean oil and fractions in Central America

In kind, 2017-2020, K t

Top producers of soybean oil and fractions, 2017-2020

World map of production of soybean oil and fractions, 2017-2020

Central America's production of soybean oil and fractions has grown for the third year in a row. In 2020, the region produced 945.7 thousand tons, marking a 0.8% increase from 2019. Looking at the period from 2017 to 2020, production rose by 13%, with an average annual growth rate of 4.2%.

Annual dynamics of production in Central America in kind, 2017-2020, K t

In value, 2017-2020, M $ US

In 2020, the value of soybean oil and fractions produced in Central America reached 965.8 million US dollars, up 5.7% compared to 2019. Between 2017 and 2020, production value increased by 7%, translating to an annualized growth rate of 2.3%. The most significant drop occurred in 2019, with a decline of 1.4%.

Annual dynamics of production in Central America in value, 2017-2020, M $ US

Exports soybean oil and fractions from Central America

Exports in kind, K t

The data shows irregular changes, reflecting a volatile market environment. The lowest export volume was recorded in 2019 at 24.9 thousand tons, while the highest was in 2020 at 51.5 thousand tons—a 2.1-fold difference between these years. In 2020, cross-border shipments of soybean oil and fractions from Central America totaled 51.5 thousand tons, which is 106.4% higher than the previous year. The largest decline was recorded in 2019, at 37.9%.

Annual dynamics of product's exports from Central America in kind, 2017-2020, K t

An analysis of exports in kind from 2017 to 2020 reveals a broad distribution across many markets. Venezuela accounted for 22.4% of exports, Cuba for 7.5%, and the United States for 3.6%. Together, these three partners represented only 33.6% of total flows, with the remaining 66.4% going to other destinations.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Central America in kind, 2017-2020

Exports in value, M $ US

The market exhibited volatility over the observed period. The lowest export value was recorded in 2019 at 24.3 million US dollars, while the highest was in 2020 at 52.6 million US dollars—a 2.2-fold difference. In 2020, Central America exported 52.6 million US dollars worth of soybean oil and fractions, up 116.5% from the prior year. The largest decline occurred in 2019, at 43.7%.

Annual dynamics of product's exports from Central America in value, 2017-2020, M $ US

From 2017 to 2020, the partner portfolio for exports in value terms of soybean oil and fractions from Central America was quite broad. Venezuela represented 23.7% of exports, Cuba 7.4%, and the United States 3.6%. Combined, these three countries accounted for only 34.7% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Central America in value, 2017-2020

Imports soybean oil and fractions to Central America

Imports in kind, K t

Soybean oil and fractions imports into Central America declined for the third consecutive year. In 2020, the region imported 5.6% less than the previous year, with a total volume of 5.6 thousand tons. Between 2017 and 2020, imports decreased by 21.4%, equating to an annualized decline rate of 7.7%.

Annual dynamics of product's imports to Central America in kind, 2017-2020, K t

From 2017 to 2020, the United States remained the primary source for imports in kind, holding an 83.0% share of total flows. The rest of the volume was distributed across numerous other destinations.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Central America in kind, 2017-2020

Imports in value, M $ US

After a two-year decline, Central America's imports of soybean oil and fractions in value terms increased. In 2020, imports reached 270.4 million US dollars, showing a slight uptick of 1.0% compared to the previous year. Over the period from 2017 to 2020, imports decreased by 23%, with a compound annual growth rate of -8.3%. The lowest value was recorded in 2019 at 267.6 million US dollars, and the largest decline occurred in 2018 at 14.8%.

Annual dynamics of product's imports to Central America in value, 2017-2020, M $ US

From 2017 to 2020, the United States was the principal market for soybean oil and fractions imports into Central America, accounting for 81.3% of total imports in value terms. Other destinations formed a less significant portion of the import volume.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Central America in value, 2017-2020