Tofu (a.k.a. bean curd) is a popular component utilized in Asian cuisine made from coagulating soy milk. However, China thanks to its robust growth and dietary demand is on the verge of consuming the soybean market.
Did you know that China feeds more than 20 percent of the world’s population despite having less than 10 percent of the world’s agricultural capacity and less than 6 percent of its water resources? In spite of, China’s government has clearly indicated that they intend to establish a domestic supply chain to meet its peoples’ food demand. However, soybean production requires a substantial amount of land and water. As a result, it is more efficient for China to import soybeans. Detailed below are the numbers:
• Compared to five years ago, each person in China has been consuming 5 percent more meat, 10 percent more milk and utilizes 8 percent more cooking oil. Note: Soybean meal is an integral component of the feed needed to support China’s booming protein and dairy industries.
• Since 2005, China’s total soybean consumption has risen 64 percent. In 2010 they imported 55 million tons, more than 50 percent of the annual global trade, primarily from the US and Brazil.
• China is the largest importer of US soybeans! They buy a quarter of our crop. The US Department of Agriculture forecasts that our soybean exports will increase 62 percent to over 90 million tons over the next ten years.