Argentina Soybean Crushing Falls to 10-Year Low, Global Soy Market May See Volatility
26-Mar-2026 03:05 PM
Argentina Soybean Crushing Falls to 10-Year Low, Global Soy Market May See Volatility
★ Soybean crushing in Argentina declined to around 2.0 million tonnes in February, marking the second-lowest monthly volume in the past decade. This sharp drop is likely to impact the global supply of soy products, particularly soymeal and soyoil.
★ Lower crushing activity will reduce the output of both soyoil and soymeal, tightening global availability and potentially putting upward pressure on prices. Additionally, ongoing geopolitical tensions and war-related disruptions have increased transit and freight costs, further supporting global price levels.
★ On the soymeal front, reduced production in Argentina—one of the world’s largest exporters—could strengthen international prices. This may create export opportunities for countries like India, where soymeal could become more competitive in the global market.
★ With declining crushing in Argentina and rising logistics costs, the global soy market is likely to remain firm. While this may benefit Indian exporters, it could also lead to higher import costs for domestic consumers.