The Global Agricultural Information Network (GAIN) report from the Foreign Agricultural Service (FAS) of the US Department of Agriculture has predicted that soybean crush in Thailand will remain below pre-pandemic levels in the years 2023-24 and 2024-25. This is due to a slow economic recovery, which is expected to lead to a 2% growth in soybean crush in 2023-24 and a 3% growth in 2024-25, compared to the average annual growth rate of 5% prior to the COVID-19 pandemic.
The report, released on April 5, forecasts that soybean crush in Thailand will reach 2.43 million tonnes in 2024-25, with imports mainly from Brazil meeting soybean demand in the country. Four active soybean crushers in Thailand have a combined daily capacity of 12,500 tonnes but are operating at only 70% capacity. These crushers primarily produce cooking oil, with soybean meal for animal feed serving as another key revenue stream.
However, crushers in Thailand are currently holding high inventories due to lower than expected domestic consumption of cooking oil and soybean meal for animal feed following an economic slowdown. Despite this, demand for full fat soybeans is expected to increase by around 3% each year in 2023-24 and 2024-