Soybean oilcake market in South America

Earlier Report Observations

The soybean oilcake market in South America saw considerable volume swings from 2018 to 2023, moving between 22.8 million tons and 34.5 million tons. A sharp drop in 2019 was followed by a strong recovery, culminating in a peak of 34.5 million tons in 2021. After another contraction in 2022, the market volume rebounded to 33.1 million tons in 2023. The market value reflected this volatility, rising from $11.2 billion to $17.9 billion over the same period.

The market's expansion in 2023 occurred despite significant supply-side challenges. A severe drought in Argentina, driven by a third consecutive La Niña event, threatened the soy crop and was exacerbated by high inflation and currency depreciation, which prompted farmers to withhold produce. These factors contributed to a reduction in export volumes, which, alongside an increase in regional production to 68.6 million tons, supported the growth in domestic market volume to 33.1 million tons.

Production soybean oilcake in South America

In kind, 2017-2020, K t

Top producers of soybean oilcake, 2017-2020

World map of production of soybean oilcake, 2017-2020

After two consecutive years of decline, soybean oilcake production in South America rebounded in 2020. Production reached 68 216 K t, marking a 5.3% increase compared to 2019. The lowest production level was recorded in 2019 at 64 760 K t, which represented a 3.3% decrease from the previous year.

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

In value, 2017-2020, M $ US

In 2020, the value of soybean oilcake output in South America was 23 559 M $ US, showing a 9.8% year-over-year increase. The lowest value was recorded in 2019 at 21 453 M $ US, which was a 17.8% decline from 2018. The highest value occurred in 2018 at 26 105 M $ US, reflecting an 11.6% increase from the previous year.

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

Exports soybean oilcake from South America

Exports in kind, K t

South America's soybean oilcake export volume declined to 42 253 K t in 2020, representing a significant 10.1% decrease from 2019. The peak export volume was recorded in 2019 at 46 983 K t, which had shown a 7.8% increase from the previous year. Over the 2017-2020 period, exports decreased by 5.8%, equivalent to an annualized decline of 2.0%.

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

Between 2017 and 2020, South America's soybean oilcake export destinations were highly diversified. Vietnam and Indonesia each accounted for 9.8% of exports in kind, while the Netherlands represented 6.4%. Together, these three countries formed just 26.0% of total export flows, with the remaining 74.0% distributed among numerous other trading partners.

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

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

Exports in value, M $ US

South America's soybean oilcake exports declined for the second consecutive year in 2020, reaching 14 592 M $ US. This represented a 6.2% decrease compared to 2019. The highest export value was recorded in 2018 at 17 004 M $ US, which showed an 11.8% increase from the previous year. The largest decline occurred in 2019 with an 8.5% decrease. Over the 2017-2020 period, exports decreased by 4.0%, equivalent to an annualized decline of 1.4%.

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

The partner structure for soybean oilcake exports in value terms remained fragmented between 2017 and 2020. Indonesia accounted for 9.9% of export value, Vietnam represented 9.6%, and the Netherlands contributed 7.2%. Together, these three countries formed just 26.6% of total export flows, with no single country achieving a dominant market share.

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

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

Imports soybean oilcake to South America

Imports in kind, K t

After two years of growth, soybean oilcake imports to South America declined in 2020 to 4 978 K t, representing a 1.4% decrease from 2019. The peak import volume was recorded in 2019 at 5 047 K t. The largest increase occurred in 2018 with a 29.4% rise. Over the 2017-2020 period, imports increased by 32.8%, equivalent to an annualized growth rate of 9.9%.

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

Between 2017 and 2020, the United States and China were the primary sources for soybean oilcake imports to South America, together accounting for 40.6% of total import volume.

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

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

Imports in value, M $ US

In 2020, foreign soybean oilcake supplies to South America reached 2 010 M $ US, showing a modest 2.1% increase compared to 2019. The highest import value was recorded in 2018 at 2 116 M $ US, which represented a 22.9% increase from the previous year. The largest decline occurred in 2019 with a 7.0% decrease. Over the 2017-2020 period, imports increased by 16.7%, equivalent to an annualized growth rate of 5.3%.

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

Between 2017 and 2020, the United States and China were the main sources for soybean oilcake imports to South America in value terms, together accounting for 41.2% of total import flows.

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

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