When soybeans are sold young versus when they are sold grown, the price difference can be several times over.
CNR News, Beijing, September 3 (Reporter Boyi) According to a report by China Rural Voice's "San Nong China," many friends who do not farm have no idea what the relationship is between the summer cold dish "boiled edamame" and "soybeans." In fact, edamame is just the young form of the soybean. When sold as a vegetable, the soybean becomes edamame.
Although they are the same thing, the current market conditions differ greatly. As a major soybean-growing country, our nation's soybeans in various regions have now been coming onto the market one after another. So how is the soybean market this year?
In about ten more days, the soybeans of Kang Luwei, a villager in Group 1 of Houxiang Village, Houxie Township, Luohe City, Henan Province, should be ready for harvest. Although the drought has been severe this year, Kang Luwei still believes that drought-tolerant soybeans will, as in previous years, deliver a bumper harvest and increased income.
Judging by the current growth, 400 jin is a sure thing. Soybeans are a drought-tolerant crop and do not need watering.
Speaking of the soybeans about to be harvested, Kang Luwei is beaming with joy. Prices have been stable for several consecutive years, and selling is no worry either. The beans do not even need to be hauled home; they are taken away directly at harvest, which puts Kang Luwei, who works away from home, very much at ease:
Kang Luwei: Machine harvesting, after harvesting, there is no need to transport them home; they can be sold right at the edge of the field.
Since the cancellation of temporary state reserve soybean purchases in 2014, soybean prices have fallen markedly. The purchase price of Northeast soybeans dropped from 2.45 yuan/jin to a low of 1.75 yuan/jin. For a period of time, farmers' enthusiasm for planting fell greatly, and at present domestic soybean output overall falls short of demand. Zhang Jinjie, an analyst at Zhuochuang Information, believes that this year's soybean purchase price remains stable, and is steady with a slight rise:
Zhang Jinjie: This year, rainfall across the country has been uneven, causing an overall decline in output across soybean-producing areas. Among them, Hubei suffered flooding, while Henan, Anhui and the Northeast saw obvious drought. At present, Hubei beans have entered the mid-stage of coming onto the market, and other producing areas are expected to come onto the market collectively by the end of September. Due to this year's reduced soybean output, farmers are fairly reluctant to sell, and it is expected that this year's soybean price will not be too low. The opening purchase price for Northeast beans is around 2 yuan, and Henan and Anhui beans are expected to be around 2.3 yuan. Compared with last year's opening price of 1.9 yuan, the price increase for southern soybeans exceeds 20%.
Having correctly read the market, Kang Luwei, who has planted soybeans continuously, firmly believes that this year's purchase price will not be low either:
Kang Luwei: Last year the price was 1.8 yuan per jin; it cannot drop any further. Soybeans have too many uses. In our area, there are too many soybean processing plants, and the income is 700-800 yuan per mu.
As an important food crop, Kang Luwei's soybeans can bring his family an income of seven to eight hundred yuan per mu, which makes him very satisfied. The income of Ma Hongmei, a soybean grower in Zhongpai Community, Feixi County, Anhui Province, is much higher:
Ma Hongmei: What we grow is for use as a vegetable, and it has already been fully harvested. The earliest ones went for 4 or 5 yuan, generally the relatively later ones for over 3 yuan or over 2 yuan; the later it goes, the a bit cheaper it gets. Yield per mu can generally reach 3000-6000.
They are also soybeans, so why is the price gap so large? Income per mu jumps from seven to eight hundred to 3000-6000, and the key lies in the market timing and how they are sold. Ma Hongmei, a soybean grower in Zhongpai Community, Feixi County, Anhui Province, sells soybeans as a vegetable in large wholesale quantities, for diners to boil as edamame or use in dishes, so the price is naturally quite a bit higher.
But such an attractive price is not something all soybeans can reach. Zhang Jinjie, an analyst at Zhuochuang Information:
Zhang Jinjie: Fresh edamame, as a vegetable, is only a stage-specific ingredient in supply. It lacks preservation, and the market does not have such deep processing. Farmers should still choose a suitable method to sell.
Prices cannot be compared, but yields can still be increased. Ma Hongmei, a soybean grower in Zhongpai Community, Feixi County, Anhui Province, suggests that her fellow grower Kang Luwei should consult agricultural technicians more:
Ma Hongmei: We have agricultural technicians who provide dedicated guidance.
The stability of the soybean market has also strengthened the confidence of Kang Luwei, a villager in Group 1 of Houxiang Village, Houxie Township, Luohe City, Henan Province, to continue planting:
Kang Luwei: First, it saves time and effort. Comparing it with growing corn, growing corn requires 150 yuan of fertilizer input, while growing soybeans requires no fertilizer at all.
Although soybeans are coming onto the market one after another, market demand is still enormous. If storage conditions are available, Zhang Jinjie, an analyst at Zhuochuang Information, believes farmers might as well wait and observe before selling:
Zhang Jinjie: Due to flooding disasters, Hubei beans have seen an overall output reduction of about 30%, and farmers are fairly reluctant to sell. The loading price of early-maturing soybeans has fallen from a high of 2.80 yuan/jin to the current 2.70 yuan/jin, a relatively small decline, and there is expected to still be room for a rebound in the future market. This year's soybean yield per unit area has clearly declined and supply has decreased. It is expected that soybean prices will continue to rise later. We hope farmers can also take their time selling the soybeans in their hands, observe the market price for a while, and then sell.