Beijing launched a nationwide initiative to reduce reliance on imported soybean meal, targeting all stages from feed producers to leading agribusiness firms. This campaign seeks to lower soybean imports by more than 6% by 2030, addressing vulnerabilities in the country’s $50 billion annual import bill.

Fermented feed mixtures of bran, crop residues and food waste have grown from 3% of industrial feed in 2022 to 8% in 2025, with projections of 15% by 2030. Fermentation improves protein digestibility and reduces costs, cutting feed expenses that account for about 70% of pig farming outlays.

China purchases over $12 billion of U.S. soy each year, roughly a quarter of its total soybean import value. A sustained shift to local alternatives could significantly erode demand for American soybeans and pressure global soybean prices.

Major pig producers like Muyuan Foods have cut soymeal content from 10% to 7.3% over six years, turning to synthetic amino acids from fermented corn starch. Foreign investors are pouring capital into China’s $6 billion fermented feed sector to capitalize on the rapid market transition.