Soybean oil and fractions market in Nicaragua

Earlier Report Observations

In 2018, Nicaragua's soybean oil market volume stood at 24 130 t, heavily dependent on imports as local soybean cultivation was characterized by an underdeveloped market, low input use, and traditional production methods, limiting domestic supply. The market then experienced significant volatility, declining to 15 317 t in 2019, partially recovering to 17 916 t in 2020, before falling again to 12 374 t by 2023.

Import volumes, constituting the bulk of supply, varied sharply during this period, reflecting shifting global conditions. By 2024, Nicaragua's reliance on imported raw materials remained high, with global disruptions such as the Russia-Ukraine war and export restrictions from Indonesia directly affecting availability and prices. In response, the government implemented measures including full fuel subsidies and extended safeguards to reduce tariffs on crude and refined soybean oil, aiming to cushion price increases and maintain market stability.

Production soybean oil and fractions in Nicaragua

In kind, 2017-2020, t

Top producers of soybean oil and fractions, 2017-2020

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

Soybean oil and fractions production in Nicaragua saw a decline after two consecutive years of growth. In 2020, production stood at 1 900 tonnes, representing a 5.0% decrease compared to the previous year. Over the 2017-2020 period, production increased by 11.8%, with an average annual growth rate of 3.8%. The peak production was recorded in 2019 at 2 000 tonnes, which also marked the largest annual increase of 11.1%.

Annual dynamics of production in Nicaragua in kind, 2017-2020, t

In value, 2017-2020, K $ US

Soybean oil and fractions production in Nicaragua continued to grow for the second year in a row. In 2020, the output was valued at 1 997 thousand US dollars, showing a modest increase of 1.2% from 2019. From 2017 to 2020, production value rose by 11.2%, with a compound annual growth rate of 3.6%. The lowest value was recorded in 2018 at 1 735 thousand US dollars, which also saw the largest decline of 3.4%. In contrast, 2019 experienced the most significant increase of 13.7%.

Annual dynamics of production in Nicaragua in value, 2017-2020, K $ US

Exports soybean oil and fractions from Nicaragua

Exports in kind, t

In 2020, soybean oil and fractions exports from Nicaragua totaled 689 tonnes, reflecting a substantial increase of 46.0% compared to 2019. Between 2017 and 2020, exports grew by 44.7%, equivalent to an annualized rate of 13.1%. The lowest export volume was recorded in 2019 at 472 tonnes, which also saw a decline of 4.7%.

Annual dynamics of product's exports from Nicaragua in kind, 2017-2020, t

From 2017 to 2020, Honduras remained the primary destination for Nicaragua's soybean oil and fractions exports in volume terms, accounting for 76.6% of total flows. The remaining share was distributed among various other markets.

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

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

Exports in value, K $ US

Soybean oil and fractions exports from Nicaragua rebounded after two years of decline. In 2020, exports reached 724 thousand US dollars, marking a sharp increase of 55.5% compared to 2019. Over the 2017-2020 period, exports increased by 43.9%, with an annualized growth rate of 12.9%. The lowest value was recorded in 2019 at 466 thousand US dollars, while the largest decline occurred in 2018 at 5.2%.

Annual dynamics of product's exports from Nicaragua in value, 2017-2020, K $ US

During 2017-2020, Honduras was the dominant market for Nicaragua's soybean oil and fractions exports in value terms, representing 76.4% of total flows. The remainder was spread across several smaller markets.

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

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

Imports soybean oil and fractions to Nicaragua

Imports in kind, t

Soybean oil and fractions imports into Nicaragua increased after two years of decline. In 2020, imports amounted to 16 705 tonnes, showing a strong year-on-year rise of 21.1%. However, over the 2017-2020 period, imports decreased by 36.9%, with an annualized decline rate of 14.2%. The lowest import volume was recorded in 2019 at 13 789 tonnes, which also experienced the largest drop of 39.6%.

Annual dynamics of product's imports to Nicaragua in kind, 2017-2020, t

From 2017 to 2020, Nicaragua's soybean oil and fractions imports in volume terms were highly concentrated, with the United States and Costa Rica together accounting for 80.6% of total flows. Other trading partners made up the residual share.

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

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

Imports in value, K $ US

Soybean oil and fractions imports into Nicaragua rose after two years of contraction. In 2020, imports reached 16 121 thousand US dollars, up by 26.6% compared to 2019. Despite this recent increase, imports over the 2017-2020 period fell by 35.6%, with an annualized decrease of 13.6%. The lowest value was recorded in 2019 at 12 738 thousand US dollars, which also saw the largest decline of 38.2%.

Annual dynamics of product's imports to Nicaragua in value, 2017-2020, K $ US

Between 2017 and 2020, three key markets—the United States, Costa Rica, and Argentina—collectively accounted for 91.1% of Nicaragua's total soybean oil and fractions imports in value terms.

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

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