GM soymeal import from US may hurt India’s export edge, warn exporters
India’s soybean exporters have raised concerns over the government’s reported consideration to allow imports of genetically modified (GM) soybean meal from the US, warning that such a move could erode the country’s export competitiveness built on its “non-GM” reputation.
Indian soya products are globally recognised for being produced from non-GM raw materials, a distinction that commands a premium in key markets like Europe. Exporters fear that the import of GM soymeal could blur this distinction, undermining India’s credibility as a source of non-GM soy products.
“All Indian soy products are non GM because our basic raw material is non GM. Most soy value added products are made using either the defatted or full fat soybean meal as the raw material. Indian soy based food products are imported mainly for their non GM character,” said DN Pathak, executive director at the Soybean Processors Association of India (SOPA).
SOPA recently wrote to the Ministry of Commerce expressing grave concern over the proposed GM soymeal import plan, cautioning that it would further depress prices for domestic farmers already struggling to sell below the Minimum Support Price (MSP). The industry body has urged the government to safeguard both farmer incomes and the integrity of India’s soy export brand.
India currently runs a trade deficit in the overall soy complex due to heavy imports of soy oil, even though it does not import soymeal. The country’s soymeal exports have flourished largely because of the non-GM label. According to data from the Observatory of Economic Complexity (OEC), India exported $1.11 billion worth of soymeal in 2023, ranking fifth among 121 exporting nations. Soymeal was also India’s 67th most exported product that year.
“If GM Soymeal is imported into India, we will lose our exclusive non-GM SBM USP in the international market thereby exports would also be adversely affected,” said Dr Davish Jain, Chairman of SOPA.
India ranked fourth globally in soymeal exports in 2023-24, behind Argentina, Brazil, and the US, according to the American Soybean Association. The European Union remains the largest importer, followed by Indonesia, Vietnam, and the Philippines and India remains one of the biggest importers to the EU for its non –GM tag.
“Indian soya products get an edge over Latin American exporters in the European market, despite Indian products being costlier, because of its non-GM tag. Europe pays a premium price for non-GM products. With the import of GM soya meal, this might get affected,” said a soy exporter.
