Soybean oilcake market in Thailand

Earlier Report Observations

The soybean oilcake market in Thailand expanded from 4.6 million tons in 2018 to 5.4 million tons in 2021. Throughout this period, the industry was shaped by the dominance of Thai Vegetable Oil Public Company Limited (TVO), which operated four plants with a total daily capacity of 6 000 tons, making it the largest producer in the country and region. Market dynamics were also influenced by the substitutability of soybean and palm oils, as well as global soybean production volumes and weather conditions affecting raw material prices.

In 2022, the market volume contracted to 5.2 million tons. This decline was driven by persistently high prices for imported soybeans, which raised production costs for soybean oil and its by-product, oilcake. The import duty on soybean oilcake remained at 2% with no reduction, contributing to sustained cost pressures. By 2023, the market recovered to 5.3 million tons as a supply glut reduced soybean oilcake and feed corn prices, boosting demand in the animal feed sector where oilcake accounts for 28% of total feed consumption. Thailand's heavy reliance on imported oilcake as a primary protein source for feed continued.

Looking at 2024, TVO reported a 188% surge in profit, with 59% of its revenue derived from soybean oilcake. The company planned a further 10% increase in soybean oil production capacity to strengthen its market position. Import volumes remained substantial, predominantly sourced from Brazil due to lower prices and higher protein content, while the import tariff on oilcake stayed unchanged at 2%.

Production soybean oilcake in Thailand

In kind, 2017-2020, K t

On a global scale, Thailand ranked as the 12th largest producer of soybean oilcake between 2017 and 2020.

Top producers of soybean oilcake, 2017-2020

World map of production of soybean oilcake, 2017-2020

Soybean oilcake production in Thailand increased for the second consecutive year. In 2020, Thailand produced 2 426 K t of soybean oilcake, which represents a 27.1% increase compared to the previous year. Between 2017 and 2020, production grew by 34.4%, translating to an annualized growth rate of 10.4%. The lowest production level was recorded in 2018 at 1 680 K t, which also saw the largest decline of 6.9%.

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

Exports soybean oilcake from Thailand

Exports in kind, K t

Thailand exported 51 K t of soybean oilcake in 2020, marking a significant increase of 180.5% compared to the prior year. From 2017 to 2020, exports surged by 220.1%, with an annualized growth rate of 47.4%.

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

Between 2017 and 2020, Thailand's soybean oilcake exports were primarily directed towards Laos and Cambodia, which together accounted for 95.9% of total export volumes. Other destinations played a minor role in the export structure.

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

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

Exports in value, M $ US

In 2020, Thailand exported soybean oilcake worth 22 M $ US, reflecting a substantial year-over-year increase of 199.9%. Over the period from 2017 to 2020, export values grew by 201.4%, with a compound annual growth rate (CAGR) of 44.4%.

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

From 2017 to 2020, Laos and Cambodia were the primary buyers of soybean oilcake from Thailand in value terms, jointly representing 95.9% of total export revenues. Other countries accounted for the remaining share.

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

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

Imports soybean oilcake to Thailand

Imports in kind, K t

Following two years of growth, soybean oilcake imports into Thailand declined. In 2020, Thailand imported 2 651 K t of soybean oilcake, showing a notable decrease of 17.5% compared to the previous year. Over the 2017-2020 period, imports fell by 10.2%, with a compound annual decline rate of 3.5%. The highest import volume was recorded in 2019 at 3 212 K t, which also experienced the largest increase of 8.7%.

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

Between 2017 and 2020, Brazil, Argentina, and the United States were the key sources for Thailand's soybean oilcake imports in volume terms. Brazil accounted for 53.2% of imports, Argentina for 10.9%, and the United States for 7.4%, together making up 71.5% of total import flows.

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

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

Imports in value, M $ US

Soybean oilcake import values into Thailand declined for the second consecutive year. In 2020, Thailand imported approximately 1 004 M $ US worth of soybean oilcake, indicating an 18.6% decrease compared to the previous year. From 2017 to 2020, import values dropped by 13.4%, with a compound annual decline rate of 4.7%. The peak import value was recorded in 2018 at 1 252 M $ US, which also saw the largest increase of 8.0%.

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

Throughout 2017-2020, Brazil, Argentina, and the United States remained the main markets for Thailand's soybean oilcake imports in value terms. Brazil contributed 54.2% of import value, Argentina 10.2%, and the United States 7.8%, collectively representing 72.2% of total import flows.

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

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