Domestic soybeans are in urgent need of industrial integration future policy subsidies or can be expected
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[China Agricultural Machinery Industry News] There are three common staple foods: rice, wheat, and corn. In ancient times, soybeans were favored. In the era of small-scale peasant economy, planting soybeans is very consistent with the characteristics of self-sufficiency and circular economy. But now, this is a soybean that is traditionally superior to crops, but farmers are not too happy to plant it. What is the actual cause? Isn’t it worthwhile to have a soybean in this year?
Domestic soybeans are in urgent need of industrial integration future policy subsidies or can be expected
Soybean acreage continues to shrink
China is the country of origin of soybeans and has a planting history of more than 5,000 years. The United States, which began planting soybeans in 1804, became a large producer and exporter. Last year, its output exceeded 90 million tons, accounting for nearly one-third of the world's total production. In contrast, China's annual soybean output has dropped from 18.05 million tons in 2004 to 11.8 million tons last year, but it has become the world's largest soybean importer with the high consumption of soybean oil.
In the past 20 years, rice, wheat, corn and other crops have increased year by year, and the development of the soybean industry has stagnated or even shrunk. As of 2014, soybean plantings continue to hit new lows of only 660 hectares.
Why are farmers increasingly reluctant to grow soybeans?
Professor Zhu Junfeng from the School of Economics and Management of China Agricultural University believes that:
It is the fact that the soybean yields in our country are generally not high, which is a fatal factor for farmers. The yield of US soybeans is about 230 kg/mu, and China is about one-third different.
The second is that we import high oil soybeans, the oil yield can reach 18-20%; while China's soybeans are mainly high protein, the oil yield is only about 15%.
Is Chinese soybean really lacking market competitiveness?
From the perspectives of both per mu yield and market efficiency, domestic soybeans are not competitive, and farmers' income is not high. This is precisely the reason why soybean acreage has continued to shrink in the past 20 years.
Average income per mu: The market price of domestically produced soybeans is 3.7 yuan per kilogram. According to the unit production of 160 kilograms per mu, the gross income per mu is less than 600 yuan. After deducting the cost, I am afraid that there is not much left. The three northeastern provinces and the Inner Mongolia Autonomous Region, as pilot projects for soybean target price reform, implemented price separation. Last year, the target price was set at 4,800 yuan per ton. The income of farmers per mu of land was close to 800 yuan.
If the same plot of land is planted with corn, even if it is calculated according to the market price after the cancellation of the deposit, the amount of corn per kilogram is about 1.5 yuan, the yield per mu is 700 kilograms, and the average gross income per mu is more than 1,000 yuan, which still has obvious advantages compared with soybean.
Market Benefits: Domestic soybeans produce less oil, while imported soybeans from the United States and Brazil are mainly high-oil GM varieties, mainly used for oil extraction, high oil yield and relatively low price, and quickly occupied the Chinese market. A bucket of 5 liters of genetically modified soybean oil is about 10-40 yuan cheaper than traditional soybean oil. It is especially popular with ordinary Chinese families, especially small restaurants and food stalls.
However, this year the Ministry of Agriculture clearly proposed the structural adjustment of “reducing corn and increasing soybeansâ€, which is also an initiative at the national level to implement supply-side reforms in the agricultural sector.
With the marketization of corn prices and the change of consumption concept, domestic non-GMO soybeans are gradually welcomed. I hope that everyone can recognize the reality and seize the opportunity.
Why do countries use soybeans instead of corn?
Corn is already a staple crop with a high total output in China. It is also a “hardcore crop†in the eyes of farmers, but now there is “excess capacityâ€. In 2014, the northeast region of China began to implement the “grain and bean crop rotation†pilot, encouraging some local corn growers to grow soybeans and provide appropriate subsidies.