I would expect it because corn subsidies cause way more corn to be grown than necessary.
Now, lots of corn is great and all (well, not really), but if you grow corn all the time you are going to kill your soil (for one, depleting the nitrogen in the soil). Soybeans have the neat property of putting atmospheric nitrogen back into the soil. So if you want to grow lots of corn without breaking the bank on fixing your soil all the time, then changes are you spend some of the time growing soybeans. (Usually two seasons of corn then one of soybean, or one of corn then one of soybean).
Since soybeans are not the primary crop but are grown relatively in proportion to massively overproduce corn, I would expect soybeans to be pretty damn cheap. I don't have the market breakdown but my understanding is that the bulk of soybeans are just used as cattle-feed. I would expect this to depress the price of soybeans leading to very cheap soy products, even with the large amount of processing that needs to be done to them to make them human edible.
The large amount of processing might be the cause of the high price of soy products, but with supply of soybeans so high my suspicion is that low demand causes soybean product prices to be high. Soybean based food is still relatively niche and there are not all that many companies in that field so prices stay high.
In Econ 101, yes. As I said, "Since soybeans are not the primary crop but are grown relatively in proportion to massively overproduce corn, I would expect soybeans to be pretty damn cheap". Soybeans are not soybean products though, and a high supply of soybeans doesn't mean that soybean product prices should be low.
I posit that there is a low supply of soy-products caused by a low-demand for soy-products. Only a fragment of consumers are interested in soybean products, and demand is unlikely to change much as price drops. Worse, the vegetarians I know tend to be pretty loyal to particular brands of soy product. Basically, demand for soybean products is pretty inelastic and low. Not many people are interested in soy products, but the people that are interested will pay what they have to.
Premium soy products are the Bloomberg Terminal's of food. Almost nobody wants a Bloomberg Terminal, but a few people need a Bloomberg Terminal. Worse, the people in that market need a Bloomberg Terminal specifically. Bloomberg is unlikely to lease more terminals by dropping their price. If there were more demand for that sort of product, we would probably see more companies making suitable products for far cheaper. That's not the case though, so it is a shitty market to break into.
The issue then isn't low demand and high supply, it's low elasticity of demand and, for human food products, low supply. The original cited factors were irrelevant at best.
Now, lots of corn is great and all (well, not really), but if you grow corn all the time you are going to kill your soil (for one, depleting the nitrogen in the soil). Soybeans have the neat property of putting atmospheric nitrogen back into the soil. So if you want to grow lots of corn without breaking the bank on fixing your soil all the time, then changes are you spend some of the time growing soybeans. (Usually two seasons of corn then one of soybean, or one of corn then one of soybean).
Since soybeans are not the primary crop but are grown relatively in proportion to massively overproduce corn, I would expect soybeans to be pretty damn cheap. I don't have the market breakdown but my understanding is that the bulk of soybeans are just used as cattle-feed. I would expect this to depress the price of soybeans leading to very cheap soy products, even with the large amount of processing that needs to be done to them to make them human edible.
The large amount of processing might be the cause of the high price of soy products, but with supply of soybeans so high my suspicion is that low demand causes soybean product prices to be high. Soybean based food is still relatively niche and there are not all that many companies in that field so prices stay high.