NEW DELHI, INDIA — Reduced acreage, unfavorable weather conditions and crop diversification have led a decline in projected soybean production in India for the 2025-26 season, according to a report from the Foreign Agricultural Service (FAS) of the US Department of Agriculture.
In its report, dated Aug. 26, the FAS sees India’s soybean output declining by 12% compared to the initial forecast for this year, dropping to 10.7 million tonnes. That’s down from last year’s record crop of 12.58 million tonnes. The production decline is linked to a 12% decrease in projected harvested area.
“Untimely rainfall during the sowing period disrupted planting activities, necessitating re-sowing efforts,” the FAS said. “Additionally, growers shifted to alternate water-intensive crops like rice and sugarcane, benefiting from the excessive rainfall. Growers also turned to cultivating more corn, anticipating better monetary returns.”
Corn production is rising in India due to surging domestic demand from the ethanol, starch and animal feed industries.
The FAS also noted that soybean crushing is projected to fall by 6% compared to 2024-25, to 9.5 million tonnes, driven by declining feed demand and narrowing profit margins.
Soybean meal output is forecast to decline as “producers will face operational and financial challenges due to reduced crushing volumes and increased competition from Argentine soy meal,” the FAS said. “Exports remain constrained and ending stocks are forecast to drop by 52% to 455,000 tonnes.”