China’s COFCO Doubling Soybean Crush Capacity in Brazil

Global soybean competition is moving deeper into crush capacity, logistics, and value-added product control.

NASHVILLE, Tenn. (RFD NEWS) — China’s state-owned food company COFCO plans to more than double soybean crushing capacity at its Rondonópolis plant in Brazil, adding another major piece to the global race for soy processing. Dr. Fred Gale says the project shows how Brazil, China, and the United States are all pushing to capture more value through crushed rather than raw bean exports.

The expansion would raise the plant’s capacity from 4,500 metric tons per day to about 10,000. Annual processing capacity would reach 1.35 million metric tons, with output including soybean oil, meal, and about 350,000 metric tons of biodiesel.

The location is important. Rondonópolis sits in Brazil’s west-central soybean region and is connected by rail to Santos port, where COFCO is also expanding shipping capacity. The project aims to improve control over product flows, add export value, and reduce pressure on harvest-season logistics.

Farm-Level Takeaway: Global soybean competition is moving deeper into crush capacity, logistics, and value-added product control.
Tony St. James, RFD News Markets Specialist

Gale notes that the move comes as Brazil’s overall crush capacity continues to rise. At the same time, China already has excess crush capacity and weak margins, which could make additional competition from soy oil and meal harder for existing processors.

The broader takeaway is that soybean competition is shifting beyond production and exports. It is now increasingly a battle over who controls processing, logistics, and supply chain influence.

Related Stories
President Donald Trump says a deal is nearly done on lowering beef prices, but he has not released details.
Record crops are increasing grain storage needs, prompting safety experts to remind producers of the risk of grain bin entrapment during harvest.
The impacts of the government shutdown have reached commodity growers with crops to move, ag economists monitoring the harvest without key data reporting, and meat producers in need of new export markets.
In a statement provided to RFD-TV News, a USDA spokesperson reiterated President Trump and the USDA’s commitment to farmers in difficult economic times.
China is not one of our top suppliers of cooking oil, according to USDA ERS data, but does export a lot of used cooking oil to the U.S. for biofuel production.
Lewis Williamson with HTS Commodities joined RFD-TV’s Market Day Report to share insight into what’s happening on the ground and in the markets.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Rail consolidation could affect grain basis, freight rates, and service reliability across major producing regions.
For communities that depend on agriculture as their primary economic engine, the recession is not defined by headlines on Wall Street. It is defined by the quiet disappearance of the businesses that once processed, serviced, and supported the crop.
Alan Bjerga of the National Milk Producers Federation discusses the Dairy Margin Coverage program, recent improvements, and what producers need to know ahead of this week’s enrollment deadline.
Higher output keeps milk supplies ample, reinforcing expectations for softer dairy prices even as feed costs remain favorable.
Cash flow management and lender communication are becoming critical survival tools for farmers as tightening margins increase risk and borrowing pressure.
Expanded global trade access boosts long-term export demand potential for U.S. ag products.