Research On The Development Of China’s Soybean Industry

Soybeans was not only food crops, but also highly value-added crops, it was also an important protein source for breeding industry. Soybean industry played an important role in national economic development because it forged a huge industrial chain from cultivation, logistics, processing and consumption. When China officially joined the WTO in December11,2001, soybeans’international trade begun liberalized fully, the amount of soy import was surged, and the multinational grain merchants basically controlled Chinese soybean processing capacity through merger, equity participation and other means, affecting other aspects of Chinese soybean industry chain, make China as its processing base and consumer markets, thus China’s soybean industry involved in the global value chain led by multinational grain merchants. Meanwhile, the multinational grain merchants stepped up to promote trade liberalization of other agricultural products, intended to make the whole Chinese agriculture production involved into the global value chain led by them. The study divided into four chapters:Chapter One is the introduction of the research on Chinese soybean industry development status and development path based on reading literature data.Chapter Two is the analysis of the factors that affected China’s soybeans market, it was discovered that the demand for non-edible soybean oil and soybean meal were the causes of strong domestic demand for soybeans, domestic soybeans were highly altered by the imported genetically modified soybeans on soybean crush aspect, only in the field of traditional soybean food and soybean protein processing, domestic soybeans has not yet been replaced by genetically modified soybeans(partly because of government regulations on genetically modified food). Compared the market indicators between of domestic and imported genetically modified soybeans, discovered that domestic soybeans basically do not have international competitiveness, but have irreplaceable advantages in terms of nutritional value that the genetically modified soybeans do not have. Overall, China soybean industry had been involved in the global value chain led by multinational grain merchants, lost the pricing right on soybean’s international trade, beard the severe price fluctuations.Chapter three is the analysis of china’s soy industry development problems. The soy crop industry was shrinking, the domestic firms face the difficult problem, and China’s soy industry becoming more likely a monopoly market. Thus, there are some serious security problems exists.Chapter four is the development strategy that China’s soy industry should take.