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United Soybean Board and soybean checkoff continues quest to look beyond the bushel
Decatur, Illinois
August 30, 2005

The customer’s always right. Businesses have lived by these important words to meet customer demand for decades. U.S. soybean farmers are no different. The United Soybean Board (USB) and soybean checkoff launched the Select Yield & Quality Initiative three years ago to better meet customer quality demands and now international customers are providing feedback to U.S. farmers as to why this initiative is so vital.

“We targeted the Upper Midwest with this initiative, not because farming abilities are lacking in this area, but because the geographic conditions tend to produce lower protein levels,” says Greg Anderson, USB Chairman and soybean farmer from Newman Grove, Neb. “By working with seed companies and processors, the soybean checkoff is trying to provide farmers with varieties that hit 19 percent oil and 35 percent protein, but without a yield drag and in some cases, that even offer a premium.”

Checkoff farmer-leaders landed on the 19-35 goal based on input from overseas customers and the constant demand for Hi-pro soybean meal. The combination of 19 percent oil and 35 percent protein maintains the oil levels needed to supply the market and allows high enough protein to satisfy customers needing consistency for feed. International buyers all over the world are telling checkoff farmer-leaders they want to buy U.S. soybeans, but that they may be forced to look elsewhere, more specifically Brazil.

“The high levels of protein and oil content are very important to us,” said Cindy Yang Xiuchun, manager with Qinhuangdoo Golden Sea Grain & Oil Industry Co. based in China. “Nowadays the oil content and protein levels of Brazilian beans are much higher than those from the United States; that means we’ll get a better profit by producing soybean meal with more oil and higher protein. Of course, the [amount of] heat-damaged beans from Brazil are higher than those from the United States, which is a disadvantage. So if you can produce soybeans with higher protein those will be the best beans in the world.”

With China being the number one export customer for U.S. soybean farmers, and customers throughout China and all of Asia demanding higher protein, it’s hard to ignore the need for higher protein and oil. But Anderson stresses checkoff farmer-leaders don’t want farmers to sacrifice in this quest for improved quality.

“Yield is king and that will never change. We’re farmers and we know that better than anyone,” says Anderson. “What we want our fellow farmers to do is consider yield and agronomics first, then ask their seed dealer which of those varieties will yield the highest protein and oil combination. Right now our survey data shows one in three farmers in the Upper Midwest are doing just that and that’s a huge success for the checkoff. But we want to get every single farmer asking about 19,35.”

Farmers in other parts of the Midwest and the South may wonder why the checkoff is focusing so heavily on quality in the Upper Midwest. The biggest reason is the impact on overall averages for the U.S as well as perception internationally of the quality of U.S. soybeans. On top of that, checkoff-funded research has shown the loss of one major customer could truly impact every single soybean farmer. If the United States were to lose China as a customer, the price of soybeans could drop 31 cents and 640,000 soybean acres could be lost.

For more information on how to reach the 19 percent oil and 35 percent protein levels in U.S. soybeans, visit worldsbestbeans.com.

The USB is made up of 64 farmer-directors who oversee the investments of the soybean checkoff on behalf of all U.S. soybean farmers. As stipulated in the Soybean Promotion, Research and Customer Information Act, USDA’s Agricultural Marketing Service has oversight responsibilities for USB and the soybean checkoff.

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