Why Soybean Meal Prices in India Are Rising in 2026 — 7 Key Reasons
If you have been tracking Soya DOC prices in India since the start of 2026, you will have noticed a consistent upward trend. As of March 2026, NCDEX spot prices stand at ₹40,500/MT for SBM 46% and ₹44,000/MT for HiPro 48% — a sharp recovery from the lows seen in early 2025. Here are the seven factors driving this increase, and what it means for buyers sourcing from India.
1. Smaller Kharif 2025 Crop
Soybean is a kharif crop grown during India's monsoon season across Madhya Pradesh, Maharashtra, and Rajasthan. The 2025 kharif harvest came in smaller than expected, meaning processors have less raw soybean to crush. Less raw material at the input stage directly tightens Soya DOC supply at the output stage.
2. Crushing Plants Buying Aggressively
With limited domestic soybean availability, crushing plants have been competing for the reduced supply, bidding prices higher at the mandi level. This increased competition for raw soybean pushes up the cost of the primary input, which processors pass through directly into Soya DOC pricing.
3. MSP Acting as a Price Floor
The government's Minimum Support Price (MSP) for kharif 2025 soybean is ₹5,328 per quintal. When market prices in mandis trade near or below MSP, farmers tend to withhold their stock rather than sell at a loss. This reduces the volume reaching the market and supports prices from below.
4. Rising Soya Oil Import Costs
India imports a significant share of its soybean oil requirement. When global soya oil prices rise, domestic oil prices strengthen too, making the overall crushing economics more attractive for processors. This incentivises higher demand for raw soybean, which in turn lifts Soya DOC prices as a co-product of the crushing process.
5. January Export Surge
India's soymeal exports jumped 484% year-on-year in January 2026, reaching 336,390 tonnes, as a rally in global prices made Indian Soya DOC highly competitive for international buyers. When large volumes move to export markets, less Soya DOC remains for domestic feed manufacturers — tightening local supply and pushing up domestic prices.
6. NCDEX Futures Suspended
As per SEBI directives, futures and options contracts in soybean have been suspended until March 31, 2026. Without an active futures market, processors and traders lose the ability to hedge their positions. This reduces price transparency and often pushes buyers toward securing physical stock at higher spot prices rather than risk being caught short.
7. Growing Domestic Poultry Demand
India's poultry, dairy, and aquaculture sectors continue to expand steadily year over year, with animal feed demand projected to grow roughly 3% in MY 2025/26. This means baseline domestic demand for Soya DOC keeps rising regardless of supply conditions — so any supply tightness lands on a demand base that was already growing.
Where Prices Stand Today
Current NCDEX prices of ₹40,500/MT (SBM 46%) and ₹44,000/MT (HiPro 48%) represent a strong recovery from the record low of ₹28,600/MT seen in March 2025, though they remain below the all-time high of ₹51,000/MT recorded in November 2023. This suggests there is still room for movement in either direction depending on how the kharif 2026 crop develops and how export demand evolves through the year.
What This Means for Buyers
For international buyers, the rise in domestic prices makes export margins tighter — but it also signals genuine quality demand rather than oversupply. Buyers working with established exporters who can lock in pricing and provide consistent supply will be better positioned than those trying to find spot deals during periods of tight domestic availability. Kartari Exim monitors these market conditions closely and can advise on the best timing for bulk orders.
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