China’s largest crop planting province Heilongjiang is set to add 10 million mu (666,667 hectare) of soybean planting acreage in 2022, most of which will be switched from areas that were planted with corn and rice last year.
The Chinese government is expected offer higher subsidies for soybean planting than for corn planting this year, as the country aims to bolster its production of the oilseed.
The market expects subsidies for soybean will be 200 yuan/mu ($475 USD/ha) higher than those for corn.
Moreover, some of the additional planting area for soybeans are expected to be converted from wet rice paddy fields into dry farmland for soybean planting, according to market sources.
This reflects China’s strong willingness to boost its soybean output in 2022 as rice is categorized as a ration grain in the country that is normally a top priority for planting.
Soybean output in China slumped last year to the lowest level in three years at 16.4 million tons, while import volume hovered at 95-100 million tons.
Meanwhile, corn and wheat output in the country both hit new records of 273 million tons and 137 million tons respectively.