Compare on delivered cost per unit of usable protein, not on the price per tonne. Then add the factors that do not show in price: specification, GM status, consistency, lot size, transit time and supplier risk.
Argentina and Brazil are among the largest soybean meal exporters in the world, shipping mainly in bulk vessels. Indian meal usually ships in containers or smaller bulk lots. The two often suit different buyers.
Neither origin is better in every case. The answer depends on where you are, what you feed and how much you buy.
Start with delivered cost per protein
Work out the landed cost of each option at your plant: FOB price, freight, insurance, duties, port and inland costs. Divide by the protein delivered, using as-is protein after moisture. A cheaper meal with lower protein may cost more per unit of protein.
For meals other than soybean, such as rapeseed or rice bran, also adjust for fibre, energy and amino acids. Your formulator can price each meal against your least-cost formula.
Points of difference
- GM status: GM soybean is not approved for cultivation in India, so Indian soybean meal can be sold as non-GM with the right documents. Much South American soybean is GM.
- Protein and fibre: compare tested results, not grade names. Hi-pro and standard meals differ.
- Heat treatment: check urease activity and protein solubility on both.
- Sand and silica: check acid insoluble ash on Indian lots in particular.
- Form: Indian meal may be powder or pellets. Check which suits your handling.
- Lot size: bulk vessel cargoes suit large mills. Containers suit smaller buyers and mixed orders.
- Transit time: India is closer to Asian and Middle Eastern ports than South America is.
- Supply timing: the Indian soybean crop is harvested in autumn, while the South American crop comes in the first half of the year.
Supplier and supply risk
Indian meal supply depends on domestic feed demand, and exports can be restricted at times by DGFT notification. South American supply is larger but has its own weather, logistics and policy risks. Spread risk across origins if your volume justifies it.
With any origin, check the plant, the test results and the documents. Indian plants vary widely in scale and control. See how to tell a trader from a processor.
A simple comparison sheet
Market background is in what the main export markets for Indian oilmeals are.
- Landed cost per tonne and per unit of protein.
- Tested protein, moisture, fibre and acid insoluble ash.
- GM status and supporting documents.
- Lot size, packing and transit time.
- Payment terms and supplier track record.
Where we come in
We collect Indian offers on your exact specification, test samples at an NABL-accredited lab, and give you comparable figures to set against your South American quotes. Ask for a free sourcing review.