“The world’s largest soybean importer is opening its market to Tanzania”, Hong Kong’s South China Morning Post said on October 29 that China and Tanzania reached an agricultural agreement this week. China will start importing Tanzanian soybeans in order to escape from the soybean suppliers such as Brazil the United States.
The products China imports from Africa are still dominated by natural resources such as oil and copper. Tanzania is the latest African country on signing such an agricultural export agreement with China. Countries which have previously signed such agreements include Kenya, are mainly exporting avocados, tea, coffee and roses to China. For example, Ethiopia exports coffee and soybeans; Namibia, Botswana, South Africa and Rwanda exports beef.
China purchased 9.79 million tons of soybeans last month, YTY increases 19%. According to data from S&P Global Platts, nearly three-quarters of them are from Brazil, the world’s largest soybean producer and exporter, and 12% are from the United States. The quota of soybeans that China imported from Brazil increased by 51.4% compared to the same period in 2019.
China needs to import more than 100 million tons of grain each year, of which soybeans will be taken more than 9,000 tons. Most of China’s imports of soybeans come from Brazil, the United States and Argentina. In Africa, Ethiopia exports soybeans to China, but only a small part of China’s total imports. Other soybean countries in Africa are South Africa, Nigeria and Zambia.