South Africa is set to export approximately 200 000 tons of soybeans to China in November, marking the country's second major soybean export transaction with the Asian market.
The South African Cereals and Oilseeds Trade Association (SACOTA) said the deal had been secured by one of its multinational trading members, providing a significant boost to South Africa's soybean export programme.
South Africa first exported soybeans to China in 2023, when three vessels shipped a combined 147 000 tons.
The latest deal follows China's introduction of its Zero-Tariff Preference Scheme for agricultural products from Africa. South African soybeans previously attracted a 3% import duty, with SACOTA estimating that its removal gives local exporters an advantage of about $15 (R244) per ton over competitors in South America.
South Africa also has an estimated $12-15 (R195-R244) per ton geographical freight advantage over South American soybean exporters, further strengthening its competitiveness in the Chinese market.
The deal comes despite logistical constraints that have limited soybean exports during the current season. SACOTA said yellow maize exports had historically received preference at Port of Durban export terminals, restricting capacity available for soybeans.
Late rains also delayed harvesting, while tight inland stocks and demand from domestic crushing operations initially limited volumes available for export. As a result, only relatively small quantities of soybeans were exported by container and deep-sea exports were expected to remain limited.
The outlook has now changed significantly. SACOTA estimates that soybean exports could reach 510 000 tons during the season, including the China deal, as well as deep-sea container exports to Indonesia and Malaysia and cross-border shipments to Zimbabwe and Eswatini.
South Africa is coming off a record soybean crop, with the Crop Estimates Committee forecasting production of 2.8 million tons for the 2025/26 summer grain production season.
SACOTA cautioned, however, that export projections remained fluid because high domestic prices could affect demand and transactions.
Meanwhile, a consignment of soybean meal is scheduled to be imported through Cape Town in September – the first such import in more than two years.
