When farmers thank the rains for water, the thought behind it is usually for the bountiful harvest that accompanies arable land with sufficient water. This short piece highlights the lifespan of the budded star- Soybean, its benefits, some interesting facts, and how you can tap from its wealth.

Popularly known for its famous product, soymilk, in Nigeria and other countries in Africa, this commodity has placed itself as one of the leading crops, placing it in the top 10 in the grain commodities industry not just on the continent but on the global map. Nigeria exported Soybean to the tune of N38.63 billion in Q1 2023, accounting for 13.8 percent of the country’s total agricultural exports within the period.

It contains more than 36% protein, 30% carbohydrates, and generous amounts of dietary fiber, vitamins, and minerals. Additionally, it comprises 20% oil, making it the primary crop for edible oil production. While many leguminous plants offer some protein, soybeans are special. They provide affordable and high-quality protein, similar to what you find in meat, poultry, and eggs.

Depending on the variety, soybeans can be harvested between 100 and 160 days after planting. In Nigeria, soybean cultivation usually starts in May or June, and harvest spans from September, stretching to October and sometimes November. Nigeria is sub-Saharan Africa's second-largest soybean producer, closely behind South Africa. Despite its diverse nutrients and demand, it is most times not the primary crop of production. It is mainly cultivated by small-scale farmers and planted as a non-staple crop among sorghum, maize, or cassava.

Economic Benefits

Soybean production in 2023 was affected by the erratic rainfall patterns in some of the prominent soybean-producing areas, which led to a shortfall in annual moisture requirements essential for optimal soybean growth. Nigeria's soybean production will likely be 1,150 thousand metric tons in 2023/2024. This is a small decrease from the 2022/2023 estimate of 1,250 thousand metric tons.

Due to this challenge, our projections indicate a modest 1% reduction in soybean production volume for the year 2023. This decrease is expected to result in an estimated total production of approximately 1.26 million metric tonnes of soybeans. At this production capacity and factors such as high demand for soybean oil, Biodiesel/ industrial uses, and increasing public awareness about the health benefits of soybean consumption, the price of soybean will spike and surpass 2022’s price of NGN 436,000/mt.

Given the current season and high demand for this commodity, investors and traders are encouraged to buy into it on the Exchange and truly experience a fresh start at trade this harvest season. In less than 5 minutes, you can finish your commodity trading on the platform.