Chinese imports of soybeans are set to rise to a new all-time high for 2013/14 marking a decade of continuously increasing imports. Imports are expected to increase by 15% over 2012 after heavy rains and flooding damaged crops in China’s largest soybean producing region. The U.S. Department of Agriculture (USDA) predicts China’s soybean imports to reach 69 million tons for the 2013/14 marketing year – a 16% increase over the year before. The Grain and Oil Information Center estimates that China’s soybean output will fall to 12 million tons – 2.6% off from a year ago, marking the third year of declining output. As the price of corn increases, more and more Chinese farmers are switching from growing soybeans to growing corn, compounding the deficit. The director for China at the U.S. Soybean Export Council expects China to import between 22 million and 24 million tons of soybeans from the U.S. over the next marketing year and adds that weather conditions and improvements to infrastructure and ports will play a large role in the volume of soybeans that China imports from South America.
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