Brazil increases soybean processing capacity

Soybean processing capacity in Brazil increased this week with the inauguration of soybean meal industries and a grain oil refinery in Dourados, in Mato Grosso do Sul, by Coamo – Agroindustrial Cooperativa. At the ceremony, the Minister of Agriculture, Livestock and Supply, Tereza Cristina, highlighted the importance of adding value to the grain produced in the country.

“At a time when Brazil is exporting and opening up the market, having more value-added products to our soybeans, in the form of bran and oil, is extremely important. We will have more bran available for pig, poultry and cattle farming. These are higher quality jobs, just gains”, stated the minister, highlighting that the opening of the Chinese market for Brazilian soybean meal is still under negotiation.

According to Embrapa Soja, with data from Agrostat, last year, Brazil exported 83,6 million tons of soybeans, generating revenue of US$33,2 billion. Soybean meal exported 16,9 million tons, generating US$6,7 billion. Exports of 1,4 million tons of oil generated US$1,0 billion. In total, exports from the soybean complex were US$40,9 billion in 2018.

Coamo's CEO, José Aroldo Gallassini, also highlighted that, in addition to supplying the national market, the new processing units will contribute to increasing exports to Europe. “These industries will allow us to expand Coamo’s presence in the Brazilian market with refined oil, in the states of Santa Catarina and Rio Grande do Sul with soybean meal and also expand our participation in the European market with soybean meal”, says Gallassini.

The capacity of the new units, which received an investment of R$780 million, is to process 3.000 tons of soybean per day, producing bran, and a refinery for 720 tons per day of soybean oil, equivalent to 15 million bags. With the Dourados industries, added to the other two industrial parks, Coamo increases its soybean processing capacity to 8.000 tons/day and its refining capacity to 1.440 tons/day of refined soybean oil. According to the cooperative network, it is responsible for around 3,5% of all national grain and fiber production.