The soybean composition issues and associated opportunities information presented is based on USB’s further analysis of soybean samples collected from farmer fields by USDA-NASS as part of their Objective Yield (OY) Survey. This information provides compositional details on the U.S. soybean crop from the 2015 and 2016 growing seasons in the eleven represented states to illustrate aspects of the “Composition-Opportunity.” The primary initial goal is to stimulate further thought and dialogue within the soybean value-chain regarding the “Composition-Opportunity.” The ultimate goal is beneficial changes in the compositional characteristics of the U.S. soybean crop and the effective capture of this value through a market system which includes composition in the valuing of soybeans.
The information presented allows value-chain participants to better understand the extent of compositional variation within the U.S. soybean crop. This information includes:
- Estimates of soybean crop composition for defined, multi-county geographic units.
- Results from models that utilize whole soybean composition to estimate soybean oil and meal yields and soybean meal composition.
- “Snapshot” estimates of soybean product value based on the soybean compositional values presented and defined market price scenarios.
From this information, a better understanding of the economic implications associated with compositional variation can be developed. The economic implications will then serve as a starting point for the determination of potential business opportunities.
A considerable amount of additional work, including allied industry expertise and participation, is required to justify a change in market behavior on the scale that will be required to move from the market’s present commodity focus to one based on composition. As more information becomes available, it will be added to soymeal.org and to the United Soybean site.