At a time when domestic arrivals of Kharif soybean crop have picked up, the poultry industry has written to the Center seeking extension of deadline for import of De-oiled Soya Cake (DOC). All India Poultry Breeders Association President Bahadur Ali, in a letter to the Ministry of Animal Husbandry, Dairying and Fisheries, has said that the expansion is necessary to meet the total import of 1.2 million tonnes of DOC approved by the government. Soybean prices rise in the domestic market.
DOC is the protein-rich solid left over after the oil is extracted from soybeans. It is the basic raw material used in poultry feed.
In September, the government allowed the import of genetically modified soymeal for the first time since independence. This was in response to an appeal by the poultry industry, which had complained about the exorbitant price of DoC. The industry was given time till January 31, 2022 to receive imports, of which 6.5 lakh tonnes has already arrived.
Ali said in his letter that as a result of government intervention, the DoC price has gone up from Rs 100 per kg to Rs 70 per kg since September. The industry expects the domestic crop prices to cool down to Rs 38-40 per kg with the expectation that the seed will trade at Rs 40-50 per kg against the MSP announced by the government at Rs 39 per kg. “However, last year, hoarders, stockists and speculators… took advantage of the market and livestock industry with price speculation on the NCDEX platform… through forward trading and hoarders deposited seeds to manipulate the markets…,” the letter read.
Ali said there could be consequences if the Center did not intervene. The association has demanded steps like extension of import deadline till March 31, 2022, ban on trading of soybeans on commodity exchanges and strict action against hoarders.
It also comes as farmers have begun to discontinue their soybean yields. Soybean Processors Association of India has estimated domestic production at 118.89 lakh tonnes. A processor from Madhya Pradesh said, this was more than enough to meet the domestic demand of DoC.
Meanwhile, farmers in Maharashtra and Madhya Pradesh have resisted any move to extend the import window. Farmer leader Raju Shetti said the move by the poultry industry is a bleak veil by the major corporate houses who want to pressurize the government for imports.
“At a time when the government is talking about having Atmanirbhar, why is it allowing imports at the cost of domestic producers,” he asked.
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