Highlights

Turkish soybean area and production for MY 2016 are now estimated about 33,000 hectares and 120,000 MT, respectively. The recent production bonus increase is expected to have positive effects on second crop soy planting. Turkey imported 1.36MMT soy in during the first eight months of MY 2015/16, of which the United States supplied 397,000 MT. Turkey also imported a total of 332,000 MT soymeal during the first seven months of MY 2015/16, of which 70,000 MT were U.S. soymeal.

Soybean PSD

Oilseed, Soybean

Market Begin

Year

2014/2015

2015/2016

2016/2017

Sep 2014

Sep 2015

Sep 2016

USDA

New

USDA

New

USDA

New

Official

Post

Official

Post

Official

Post

Area Planted

40

35

30

27

30

33

Area Harvested

35

35

25

27

30

33

Beginning Stocks

287

287

359

359

279

274

Production

135

135

90

100

110

120

MY Imports

2197

2197

2300

2200

2250

2275

MY Imp. From U.S.

450

0

450

500

450

450

MY Imp. from EU

0

32

0

30

0

0

Total Supply

2619

2619

2749

2659

2639

2669

MY Exports

10

10

20

50

15

50

MY Exp. to EU

0

0

0

0

0

0

Crush

1150

1150

1200

1125

1150

1150

Food Use Dom. Cons.

0

0

0

0

0

0

Feed Waste Dom. Cons.

1100

1100

1250

1210

1230

1230

Total Dom. Cons.

2250

2250

2450

2335

2380

2380

Ending Stocks

359

359

279

274

244

239

Total Distribution

2619

2619

2749

2659

2639

2669

CY Imports

2000

2255

2300

2750

2300

2800

CY Imp. From U.S.

450

739

450

500

450

500

CY Exports

10

12

10

50

10

50

CY Exp. to U.S.

0

2

0

0

0

0

Yield

3.8571

3.8571

3.6

3.7037

3.6667

3.6364

Soybean

Production

In Cukurova region where ninety-five percent of the local soybean crop is planted, soybean has to compete with wheat, corn and cotton. In recent years, attractive returns on peanuts also created an alternative to soybean planting in the region.

The GOT has been encouraging the increase of oilseeds by higher production bonus payments. Oilseeds other than soybeans had benefited from these increases during the last six years but finally in April 2016, the GOT increased the soybean production bonus by about twenty percent to TL 600 (US$ 200) per ton for MY 2016 crop. The announcement was late for the first crop soy but it is expected to have some effects for second crop soy planting in the region. Accordingly, MY2016 domestic soy planting is now estimated at 33,000 hectares and 120,000 MT.

Consumption

During 2015 Turkish poultry industry had to face two major challenges: biotechnology related feed items import issues and avian influenza cases. Approvals of four new soy and nine corn varieties provided some relief to the imports of these commodities. However, in 2016 the industry is facing new challenges such as slow exports due to security problems in the border areas. The industry is showing great efforts to find new routes to the main export markets and also searching new export markets. Due to the above issues domestic consumption of soybean expected to go up moderately to 2.3 MMT in MY 2015.

Trade

The recent approval of additional genetically engineered soy and corn traits eased imports somewhat and assisted to inflow of these products. Total soybean imports during the first eight months of MY 2015 were 1.37 MMT, slightly less than last year. Ukraine become the leading supplier with 546,000 MT followed by the United States with 397,000 MT. Ukraine benefited from geographical proximity and favorable pricing. Canada (70,000 MT), Paraguay (44,000 MT) and Brazil (33,000 MT) were the other leading suppliers.

Soybean meal PSD

Meal, Soybean

2014/2015

2015/2016

2016/2017

Market Begin

Year

Oct 2014

Oct 2015

Oct 2016

USDA

New

USDA

New

USDA

New

Official

Post

Official

Post

Official

Post

Crush

1150

1150

1200

1125

1150

1150

Extr. Rate,

0.7704

0.76

0.77

0.76

0.7704

0.7704

Beginning Stocks

210

191

208

144

242

159

Production

886

875

924

855

886

886

MY Imports

464

450

600

550

650

600

MY Imp. From U.S.

140

47

140

70

140

100

MY Imp. from EU

240

15

240

0

240

0

Total Supply

1560

1516

1732

1549

1778

1645

MY Exports

52

52

40

40

50

55

MY Exp. to EU

0

2

0

0

0

0

Industrial Dom. Cons.

0

0

0

0

0

0

Food Use Dom. Cons.

0

0

0

0

0

0

Feed Waste Dom.Cons.

1300

1320

1450

1350

1500

1400

Total Dom. Cons.

1300

1320

1450

1350

1500

1400

Ending Stocks

208

144

242

159

228

190

Total Distribution

1560

1516

1732

1549

1778

1645

CY Imports

428

417

620

450

720

500

CY Imp. From U.S.

140

49

140

65

140

75

CY Exports

45

45

50

50

50

60

CY Exp. to U.S.

0

0

0

0

0

0

SME

1300

1320

1450

1350

1500

1400

Soy exports were about 40,000 MT during the same period. The United States was the leading destination with 33,000 MT. Export to United States is reportedly organic soybeans. N. Cyprus (3,200 MT), Canada (2,000 MT) and Iraq (1,400 MT) were the other destinations.

Soybean meal

Production

On the contrary to the early season situation the recent dramatic world price increases of soymeal made soybean imports more attractive and increased domestic crushing margins. MY 2015 soymeal production is now estimated about 855,000 MT compared to the early season estimate of 836,000MT. Provided that crushing margins continue as they are, domestic soymeal production is expected to go up in the coming season as well since crushers will continue to utilize the large capacity that they have.

Consumption

Domestic consumption is increasing but at a slower rate. Poultry meat and eggs producers who are facing difficulties in exports require less meal. Soymeal consumption in MY 2015 is projected to be about 1.35 MMT, up only marginally compared to a year ago.

Trade

Turkey has imported a total of 322,000 MT of soybean meal during the first seven months of MY 2015. The United States supplied 70,000 MT. Argentina (207,000 MT), Brazil (40,000 MT) and Ukraine (24,000 MT) were the other leading suppliers.

Turkey exported about 25,000 MT of soy meal during the same period. Iraq (14,000 MT), N. Cyprus (9,000 MT), and Azerbaijan (1,000 MT) were the main destinations.

Soybean oil

Main soy oil usage in Turkey continues to be poultry feed and industrial use since the biosafety law forbids soy oil to be used in food if it is produced from biotech soybeans.

Due to large domestic crushing for industrial use, Turkey did not import soy oil during the first seven months of MY 2015. Exports during the same period however were about 7,000 MT of which 5,000 MT were to Iraq and 1,000 MT to N. Cyprus.

Soybean oil PSD

Oil, Soybean

2014/2015

2015/2016

2016/2017

Market Begin

Year

Oct 2014

Oct 2015

Oct 2016

USDA

New

USDA

New

USDA

New

Official

Post

Official

Post

Official

Post

Crush

1150

1150

1200

1125

1150

1150

Extr. Rate, 999.9999

0.1783

0.1783

0.1783

0.1733

0.1783

0.1783

Beginning Stocks

10

10

35

35

49

35

Production

205

205

214

195

205

205

MY Imports

0

0

0

0

0

0

MY Imp. From U.S.

0

0

0

0

0

0

MY Imp. from EU

0

0

0

0

0

0

Total Supply

215

215

249

230

254

240

MY Exports

7

7

15

15

20

20

MY Exp. to EU

0

0

0

0

0

0

Industrial Dom.Cons.

95

95

100

100

110

110

Food Use Dom. Cons.

0

0

0

0

0

0

Feed Waste Dom.Cons.

78

78

85

80

85

85

Total Dom. Cons.

173

173

185

180

195

195

Ending Stocks

35

35

49

35

39

25

Total Distribution

215

215

249

230

254

240

CY Imports

0

0

0

0

0

0

CY Imp. From U.S.

0

0

0

0

0

0

CY Exports

10

8

20

15

20

20

CY Exp. to U.S.

0

0

0

0

0

0