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Regd. No.

: S-54781/2006 (REGISTERED UNDER THE SOCIETIES REGISTRATION ACT XXI OF


1860)

To
The Secretary
Ministry of Commerce and industry
Govt. of India
New Delhi 110001
Date: Feb 02, 2022

Subject: Regarding discussions on policy and procedure to apply for the import of 50,000 metric tons of Non-
GM Food Specialty Soybeans (HSN Code: 12019000) under TRQ scheme due to the reason that food specialty
soybeans are not grown in India, and it is seriously impacting the soy food processing industry

Respected Sir,

Soy Food Promotion and Welfare Association (SFPWA) represents the soy food processing industries in India. Soy
Food processing is one of the preferred business categories operating in the food processing sector with the
strength of over 2,000 micro, small, and medium units positioned all across the country. In addition to providing
low-cost nutrition to the local area of its operation and complying with the “Nutrition Mission” of India, this
industry has generated an extensive employment opportunity in the region.

Soy is not a staple food in India, hence the requirement to process and serve the best optimal quality to the
customer is paramount. With specialized modern food processing techniques and scientific interventions, soy
food companies have improved quality, but due to a lack of affordable, high quality raw ingredients, we feel
challenged for new growth opportunities such as plant-based protein products, soymilk, tofu etc.

Inconsistent and inferior raw soybean quality is the leading cause of dissatisfied consumers wanting better taste,
texture and flavor profiles. Indian soybeans are oil and meal centric, suitable for crushing. There are no
specialty soybeans grown in the country, thus the supply of the same does not exist. While all Indian beans are
non-GM, they are also treated as commodity beans regardless of the end use, be it in the food or feed industry.
When soybeans are needed for food applications, Indian producer’s grade and select the best possible beans from
the general lots and sell them at a premium price. Unfortunately, this does not qualify to satisfy the specialty food
characteristics and do not match up with the quality standards and the consumer’s expectations. As a result, many
Indian soy food processors are now forced to shut down.

Soy is the safest, most affordable, and highest quality source of protein in India, but with the lack of suitable food
grade specialty soybeans, the soy food processors are significantly constrained. This is limiting the business
opportunities, job creation, and revenue generation, as well as depriving the general masses in India from an
excellent, affordable, nutritional protein source that consumers need and manufacturers are ready and able to
supply.

In addition, this raw material constraint is preventing the export opportunities of value- added soybean
products as well as the foreign investments in the form of FDI.

Importing soybeans at present rate of import duty (45% basic duty + other applicable taxes) comes to more than
57% which is not economically viable to import and process into soy food products on a commercial scale. This is
the reason the soy food industry is eagerly looking for this TRQ.

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Regd. No. : S-54781/2006 (REGISTERED UNDER THE SOCIETIES REGISTRATION ACT XXI OF
1860)

Sir, we would like to understand the government policies on TRQ mechanism and learning the process to apply
for this.

SFPWA members will highly appreciate your help to designate an appropriate officer in the ministry of
Commerce and industry to help us understanding the government’s policy on this and the way forward.

Thanking you and best regards

Sincerely,

K. Sarat Chandra Kumar (President)


Soy Food Promotion and Welfare Association
Plot # 30/25, Knowledge Park III, Greater Noida 201306 Uttar Pradesh (NCR Delhi)
Mob: 9841027370; 0120-2428800 W; Email: info@soyaindia.org; Website: www.soyaindia.org

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