(Jamie) Welcome back to Farm Factor and the Kansas Soybean Update.
(Greg Akagi) This is the Kansas Soybean Update. It’s brought to you by the Kansas Soybean Commission. The Soybean Checkoff, Progress Powered by Kansas Farmers. Dennis Gruenbacher farms near Andale and serves as chairman of the Kansas Soybean Commission. Dennis despite potentially large stocks and export challenges, the value chain has taken advantage of several opportunities to create a more optimistic outlook for soybean demand and prices. (Dennis Gruenbacher) The Kansas Soybean Commission on behalf of all soybean farmers, we like to thank our customers, whether you bought soybeans, soybean meal, biodiesel or cereal or you consumed pork, chicken, beef, fish, turkey or milk, soy or dairy, in the past several years. You have been great partners and challenged to us to grow more soybeans. We also would like to thank our processors who have increased their processing of soybeans into meal and oil and all our export buyers and marketers who have delivered our products to countries all over the world so we could increase the protein diets of many starving people in this world. Farmers maintain a positive attitude for the long run. Thanks to the expanding soybean usage. (Greg) So what are some of those uses? (Dennis) First, high oleic soybean oil promises to help reclaim a share of the demand loss to trans-fats concerns. We are thankful that contracts already are available in North Central and Northwestern Kansas and look forward to high oleic soybeans spreading to the rest of state in the next several years. Also, if you have soybean meal, use is expected to grow 2% per year for the next two years. If that applies to animal agriculture in Kansas, it could mean feeding of meal from an additional one million bushels of soybeans to pigs, beef cattle and dairy cattle in 2018. In Japan, Taiwan’s factory in India, soybean meal use has grown 10 million tons over the past five years; that’s more than 425 million bushels. Our global development partners at the World Initiative for Soy in Human Health, US Soybean Export Council, Kansas State University, IGP Institute, continue to enhance US soybean’s market preference, consumption and utilization. As for the soybean oil market, biodiesel use– about one quarter of US production. If Renewable Fuels Legislation favors the expansion, biodiesel use of soybean oil could increase significantly up to another three billion pounds or about 280 million bushels. Finding new uses in consumer and in industrial products are growing rapidly and providing price support for farmers. The Checkoff and the entire value chain have worked for more than 20 years to build demand, therefore, while soybean production has increased more than 70% over that period, the inflation itself– price has held it all. (Greg) That is Dennis Gruenbacher, who farms near Andale. He serves as chairman of the Kansas Soybean Commission, and he’s our guest on the Kansas Soybean Update. It’s brought to you by the Kansas Soybean Commission. The Soybean Checkoff Progress, Powered by Kansas Farmers. Learn more at kansassoybeans.org. For Kansas Soybeans, I’m Greg Akagi.
(Jamie) Hope you enjoyed this week’s Kansas Soybean Update. After the break we’ll catch up with Kyle and Carolyn O’Neil, Registered Dietician, Cookbook Author and Travel Journalist.