Impact of Rising DDGS Production and Lower Prices on Oilmeal

22-Mar-2025 10:36 AM

Impact of Rising DDGS Production and Lower Prices on Oilmeal
★ Farmer organizations and industry groups have urged the government to provide incentives for the export of soybean meal (DOC).  
★ In a letter to Union Home Minister on March 12, Maharashtra Chief Minister highlighted that allowing ethanol production from maize and rice has led to an additional 20 lakh metric tonnes of DDGS (Dried Distillers Grains with Solubles) production. This surplus has further reduced soybean DOC prices.  
★ The state government has supported the demand for subsidies on soybean meal exports.  
★ According to the Solvent Extractors' Association (SEA), total oilmeal exports in February 2025 were 3.30 lakh tonnes, 36% lower than the previous year.  
★ During the first five months of the oil year (October to September), soybean meal exports dropped by 23% to 13.47 lakh tonnes.  
★ Farmers and industry stakeholders have demanded that the government provide export incentives for soybean meal to ensure they receive fair prices for their crops and improve their financial stability.