India Soybean Market Overview, 2030

India’s soybean market is an integral part of the country's agricultural economy, contributing significantly to the livelihoods of millions of farmers, especially in states like Madhya Pradesh, Maharashtra, and Rajasthan. As one of the leading producers of soybeans in Asia, India boasts a strong domestic production capacity, driven largely by its favorable agro-climatic conditions and government support through various subsidies and research initiatives. Over the years, the crop has gained importance not just as a source of edible oil but also as a critical input for protein-rich animal feed and food products. Indian consumers, both rural and urban, are becoming increasingly health-conscious, and soybeans are finding a prominent place in household diets due to their high nutritional value, including essential amino acids, vitamins, and minerals. This growing awareness has stimulated interest in soy-based products, ranging from soy milk and tofu to ready-to-eat snacks and flour. The Indian soybean market is also influenced by global dynamics, as international price fluctuations, export demands, and trade policies affect domestic prices and availability. Despite infrastructural and logistical challenges, the supply chain for soybeans in India is gradually becoming more organized, aided by digital platforms, warehousing facilities, and government-backed procurement programs. Furthermore, with an increasing focus on sustainable agriculture and plant-based diets, soybeans are poised to play a crucial role in India’s efforts to address food security, reduce dependence on meat protein, and support environmentally friendly farming practices.

According to the research report India Soybean Market Overview, 2030, published by Bonafide Research, the India Soybean Market is anticipated to grow at more than 8.22% CAGR from 2025 to 2030. The Indian soybean market is undergoing a period of transition shaped by both domestic and global factors. On one hand, the traditional uses of soybeans in oil extraction and animal feed continue to dominate, providing a stable base for market activity. On the other hand, rising urbanization, shifts in dietary preferences, and increasing demand for plant-based foods are creating opportunities for diversification and value addition. Indian companies are investing in processing technologies and product development to cater to evolving consumer needs, which include convenient, high-protein, and affordable food options. The role of government initiatives, such as the promotion of oilseed cultivation and price support mechanisms, has further encouraged farmers to cultivate soybeans over less profitable alternatives. At the same time, improvements in logistics and supply chain management are making it easier for soybeans to reach end markets with minimal spoilage or loss. The export potential of Indian soymeal, especially to countries with livestock industries, adds another dimension to market dynamics, although this remains susceptible to international competition and phytosanitary standards. Consumer trust in domestic soy products is also on the rise, supported by increased availability of branded, certified, and traceable soy-based foods. The growing presence of health food stores and e-commerce platforms is providing additional avenues for market penetration. Despite challenges like weather dependency, fragmented land holdings, and occasional policy inconsistencies, the Indian soybean market is set for robust growth.

In India, the soybean market is predominantly driven by non-genetically modified crops, as the country has not yet approved the commercial cultivation of genetically modified soybeans. This regulatory stance aligns with both consumer sentiment and governmental concerns about biosafety, biodiversity, and seed sovereignty. The result is a robust market for non-GMO soybeans, which are widely used in food processing, animal feed, and oil production. Indian consumers, particularly those seeking natural and organic options, tend to prefer non-GMO products due to health and environmental considerations. These preferences are reinforced by labeling regulations and the rise of certifications that help buyers identify non-GMO products in the marketplace. Nevertheless, the debate around genetically modified organisms continues, with proponents arguing that GMO soybeans could offer higher yields, pest resistance, and climate resilience. In sectors such as animal feed and certain industrial applications, there is growing interest in importing GMO soybeans to meet specific quality or price targets, although these imports are strictly regulated and limited. The dichotomy between these two types underscores broader issues in India’s agricultural policy, where balancing innovation with safety and consumer choice remains a critical task. The non-GMO segment currently dominates, supported by domestic production and farmer familiarity, while GMO varieties may gradually make inroads in controlled environments for specific use cases.

The application of soybeans in India spans multiple sectors, reflecting the versatility and nutritional value of the crop. One of the largest applications is in animal feed, particularly for poultry and dairy industries, where soybean meal serves as a critical protein source. As India’s demand for eggs, milk, and meat continues to rise in response to population growth and rising incomes, the feed industry is experiencing increased pressure to secure reliable, high-protein inputs, thus fueling soybean demand. In the food and beverage sector, soybeans are steadily gaining traction as a functional food ingredient. Products such as soy milk, tofu, soy flour, and soy-based snacks are becoming more common in supermarkets, health food outlets, and urban households, especially among vegetarians and health-conscious consumers. These products are marketed for their protein content, cholesterol-lowering properties, and suitability for lactose-intolerant individuals. Industrial applications are also emerging, including the use of soy in biofuels, biodegradable plastics, adhesives, and cosmetics. Although this segment is still nascent in India, it holds potential for expansion as the country pushes for greener and more sustainable alternatives across industries. In addition to mainstream applications, soybeans are used in niche sectors such as dietary supplements, nutraceuticals, and functional foods aimed at improving public health outcomes. Government and private sector initiatives to promote soy-based nutrition among lower-income populations also play a role in expanding its applications.

Soybeans in India are available in both raw and processed forms, each catering to different segments of the supply chain and end-use markets. Raw soybeans are primarily used by processors, feed manufacturers, and oil mills. These buyers source raw soybeans in bulk, often directly from mandis or agricultural markets, where pricing is influenced by seasonal yields, weather conditions, and market demand. The raw form is valued for its flexibility, allowing processors to extract oil, produce soymeal, or create various soy derivatives tailored to market needs. On the other hand, the processed form of soybeans includes a wide range of products such as defatted soy flour, textured vegetable protein, soy nuggets, soy milk, tofu, and even soy-based infant foods. These processed items are gaining popularity across both urban and semi-urban markets due to rising awareness about their nutritional benefits and versatility in daily cooking. Food companies are capitalizing on this trend by introducing ready-to-cook and ready-to-eat soy products that cater to time-constrained consumers. The growth of food processing infrastructure, supported by government incentives and private investment, has enabled better conversion of raw soybeans into high-value processed goods. Additionally, the health food movement has boosted the appeal of processed soy products among fitness enthusiasts, diabetics, and weight-conscious consumers. As more Indians adopt preventive health measures and plant-based diets, the demand for processed soy is expected to rise significantly.

Direct sales are mostly confined to large institutional buyers such as oil mills, feed manufacturers, and food processing units that procure raw soybeans in bulk directly from farmers, cooperatives, or through auction platforms. These buyers often engage in forward contracts or spot deals during peak harvesting seasons to secure supply at favorable prices. The wholesale market, including Agricultural Produce Market Committees and trader networks, acts as a critical intermediary channel that facilitates the aggregation, grading, and movement of soybeans from producing regions to urban consumption centers. This channel serves both small processors and large buyers who may not have direct sourcing capabilities. On the retail side, processed soy products dominate shelf space in grocery stores, supermarkets, health food outlets, and increasingly, online platforms. Retail distribution plays a pivotal role in building consumer trust and expanding access to branded soy items, especially in tier-one and tier-two cities. E-commerce has opened new pathways for soy product sales by enabling direct-to-consumer models, subscription services, and customized health food packages. As consumer expectations around transparency, convenience, and health benefits grow, retailers are adapting by stocking a wider range of certified, organic, and value-added soy products. The government’s focus on strengthening agri-logistics, reducing post-harvest losses, and promoting digital marketplaces is expected to enhance distribution efficiency.

Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Soybean Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• GMO
• Non GMO

By Applications
• Animal Feed
• Food & Beverages
• Industrial
• Other

By Form
• Processed
• Raw

By Distribution Channel
• Direct Sales
• Wholesale
• Retail

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.