According to the Market Statsville Group (MSG), the global soybean derivatives market size is expected to grow from USD 264.6 billion in 2022 to USD 529.1 billion by 2033, at a CAGR of 6.5% from 2023 to 2033.

Soybean seed is an essential component of the oil market. It contains significant nutrients like minerals, vitamins, and protein carbohydrates. Soybean derivatives are obtained from soybean seeds and serve as a rich source of nutrients to the health-conscious and vegan population across the globe. The ease in availability and low price of these derivatives makes them an ideal source of protein and serve as an alternative to meat. Besides the food and beverage industry, soybean derivatives hold significant importance in biodiesel. It is being used to manufacture biodiesel as a sustainable solution to replace petrochemicals gradually. Additionally, these derivatives are increasingly used in the feed industry due to their rich protein content and are categorized into aquaculture, poultry, pet foods, and others.

Factors such as increasing demand for animal feed and other functional purposes drive the market’s growth. Other growth-inducing factor is rising government investment in research and development to enhance the efficiency of the manufacturers. Due to the presence of unsaturated fatty acids, the growth of this market can be negatively affected. Yet the scope of opportunities in the soybean derivatives market is endless.

COVID-19 Impact on the Global Soybean Derivatives Market

The COVID-19 pandemic has significantly impacted the global economy, putting further pressure on the soybean derivatives market. Due to the worldwide lockdown, the logistics industry was severely affected, hampering the crop's domestic transport and export. Farmers in some countries were producing soybean, but due to logistics failure, the produce could not reach the processing units. This led to a huge gap in the demand and supply of soybean derivatives. Additionally, livestock farmers and meat producers, the largest feed industry purchaser, were significantly impacted by the closure of industries due to the novel Coronavirus. But as the restrictions lifted, the stored soybean products were transported to the processing units, and production resumed. Also, it is projected that with the increasing demand for plant-based protein, the industry will experience steady growth.

Global Soybean Derivatives Market Dynamics

Drivers: Increasing Livestock Production

Soybean is an ideal animal feed component due to its nutritional value and low pricing. Nearly 80 percent of soybean cultivation is used in the animal feed sector, and the rest is for human consumption. With the increasing livestock production, soybean derivates are expected to witness stable growth. The investment by the government in the manufacturing segment boosts the soybean derivatives market. In order to introduce new age technologies in the manufacturing units to improve the efficiency of the soybean breeding and production of soybean oil and other products, the government is making prominent investments. All the aforementioned factors will drive the steady growth of the soybean derivatives market.

Restraints: Presence of Unsaturated Fatty Acids and Availability of Substitutes in the Industrial Application

Nutritionists across the globe believe that soybean derivates contain unsaturated fatty acids, which can have harmful effects on human health. As a result, many consumers are averting the consumption of soybean derivatives. Also, with the decrease in agricultural land and heavy usage of fertilizers and pesticides, the quality of the product is expected to deteriorate in the near future. Various substitutes for soybean derivates, such as bagasse and wood pulp, are available in industrial applications. Hence, these factors could impede the growth of the soybean derivatives market.

Opportunities: Increasing Vegan Population

Due to a massive surge in lifestyle diseases like obesity and diabetes, people are switching towards healthy and vegan diets. Hence, the vegan population is exponentially rising globally, which has increased the demand for meat alternatives/rich sources of protein. As a plant-based protein source, soybean is an ideal choice for health-conscious vegan consumers. Additionally, soy milk, a replacement for dairy, is a popular choice amongst the vegan population. New entrants in the soybean derivatives market can produce various products considering the vegan population and get an edge over the existing competitors.

Scope of the Global Soybean Derivatives Market

The study categorizes the soybean derivatives market based on type, lecithin processing, application, and distribution channel at the regional and global levels.

By Type Outlook (Sales, USD Billion, 2019-2033)

• Soybean
• Soy Meal
• Soy Oil
• Others

By Lecithin Processing Outlook (Sales, USD Billion, 2019-2033)

• Water
• Acid
• Enzyme

By Application Outlook (Sales, USD Billion, 2019-2033)

• Food & Beverage Industry
• Feed Industry
• Biodiesel
• Others

• Soy-based woods adhesives
• Soy crayons
• Soy ink and others

By Distribution Channel Outlook (Sales, USD Billion, 2019-2033)

• Departmental Stores
• Supermarkets
• E-Commerce
• Others

By Region Outlook (Sales, USD Billion, 2019-2033)

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Italy
  • France
  • UK
  • Spain
  • Poland
  • Russia
  • The Netherlands
  • Norway
  • Czech Republic
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Indonesia
  • Malaysia
  • Thailand
  • Singapore
  • Australia & New Zealand
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Colombia
  • Rest of South America
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • South Africa
  • Northern Africa
  • Rest of MEA

Food & Beverage segment is expected to grow at the highest CAGR in the near future by Application Segment

Based on application service, the market is bifurcated into the food & beverage industry, feed industry, biodiesel, and others. In the near future, the food & beverage industry segment is expected to grow at the highest CAGR.  Most popular soy is milled into high protein soymeal, commonly used as animal feed. Due to its adequate and cheapest source of protein, it is ideal for animals. Hence the feed industry is dominating the demand for the soybean derivatives market.

Although the food & beverages segment is expected to grow at a higher pace in the near future. The rising utilization of soybean oil for cooking and food processing purpose is expected to accelerate the growth of soybean derivatives. Increasing vegan and health-conscious populations are inducing demand for soy milk and soy derivatives, which will eventually aid in the rapid growth of the food and beverages segment.

Asia Pacific is projected to account for the largest market share, by Region

Based on the regions, the global soybean derivatives market has been segmented across North America, Asia-Pacific, Europe, South America, and the Middle East & Africa. The Asia Pacific will dominate the global soybean derivatives market in 2021. Soybean consumption has expanded dramatically in the feed and food industry in the Asia Pacific region. Rising demand for meat and surging household income has led to increased expenditure on plant-based food products. Farmers and local producers are trying to strengthen their position in the Asian market.

However, North America is estimated to hold the highest CAGR in the global soybean derivatives market during the forecast period. Due to the increasing lifestyle-related diseases like diabetes and obesity in the U.S, vegan diets are gaining popularity; hence a surge in demand for soybean derivatives is witnessed in this region. Also, the presence of key players in the cultivation of soybean is contributing to the growth.

Key Market Players in the Global Soybean Derivatives Market

The global soybean derivatives market is quite competitive, with key industry players adopting strategies such as product development, to strengthen their market positions.

Major players in the global soybean derivatives market are:

• Bunge Ltd
• Archer Daniels Midland Company
• Louis Dreyfus Commodities
• Wilmar International Limited
• Cargill Inc.
• AG Processing Inc.
• DuPont Nutrition and Health
• Noble Group
• Tyson Foods
• Ruchi Soya Industries Limited

Recent Developments

• In May 2022, Cargill Inc. announced to build of a new soybean processing facility in Pemiscot County to support the rising demand for oilseeds in national and international markets.
•  In April 2022, Louis Dreyfus Commodities announced opening its new soy liquid lecithin plant in Claypool. This development aims to diversify the income streams through various products like edible oils and more.
• In October 2021, Archer Daniels Midland Company announced to build North Dakota’s first-ever dedicated soybean crushing plant and refinery to meet fast-growing demand from feed, food, industrial and biofuel customers, including renewable diesel producers.

Key Issues Addressed

• What is the market size by various segmentation of the soybean derivatives by region and its respective countries?
• What are the customer buying behavior, key takeaways, and Porter's 5 forces of the soybean derivatives market?
• What are the key opportunities and trends for manufacturers involved in the soybean derivatives supply chain?
• What are the fundamental dynamics (drivers, restraints, opportunities, and challenges) of the market?
• What and how regulations, schemes, patents, and policies are impacting the growth of the market?
• What are the upcoming technological solutions influencing market trends? How will existing companies adapt to the new change in technology?
• The market player positioning, top winning strategies by years, company product developments, and launches will be?
• How has COVID-19 impacted the demand and sales of soybean derivatives in the global market? Also, the expected BPS drop or rise count of the market and market predicted recovery period.
• Detailed analysis of the competitors and their latest launch, and what are the prominent startups introduced in the target market? Also, detailed company profiling of 25+ leading and prominent companies in the market.