Request to Agriculture Minister to direct NAFED to stop sale of soybean

25-Feb-2025 06:24 PM

The Soybean Processors Association of India (SOPA) has written a letter to the Union Agriculture Minister requesting that the National Agricultural Cooperative Marketing Federation of India (NAFED) be directed to postpone its plan to sell soybean in the open market.

According to SOPA, NAFED, an agency under the Ministry of Agriculture, intends to begin selling its stock of soybean starting March 3, 2025. This soybean was purchased from farmers under the Price Support Scheme (PSS).

SOPA’s concern is that the wholesale market price of soybean is currently significantly lower than the minimum support price (MSP) of Rs 4892 per quintal, ranging between Rs 3900 to Rs 4100. SOPA believes that selling soybean at this time would further drive down prices, discouraging farmers from cultivating soybean in the upcoming season.

The letter also highlights that the sowing season for soybean abroad typically begins in June and continues into mid-July, so a further drop in prices could harm the Indian soybean industry.

The Chairman of SOPA expressed that farmers, particularly in Madhya Pradesh, Maharashtra, and Rajasthan, are already frustrated with the current returns from soybean farming and may switch to other crops if soybean prices continue to fall.

The letter suggests that delaying the sale of soybean until after July 15, 2025, when the sowing season will be nearing completion, would align with the government’s goals of self-sufficiency in oilseeds and ensuring better returns for oilseed producers.

SOPA has requested the Agriculture Minister to direct NAFED and the National Cooperative Consumer Federation (NCCF) to maintain their soybean stock for now, and only consider selling it after the critical sowing period for the crop has passed.