November 20, 2006

Protein content of US soybean crop falls to record low

A study of the 2006 US soybean crop, prepared for the American Soybean Association (ASA) and the United States Soybean Export Council (USSEC), indicates that the record-large harvest carries the lowest average protein content ever seen.

"Average protein and oil concentrations for the US soybean crop were similar, but slightly lower than those described in the 2005 quality survey," ASA said in an executive summary of the report, obtained Friday by Dow Jones Newswires.

The study concludes that on a weighted-average basis, new-crop US soybeans carry an average protein content of just 34.51 percent; down from 34.92 percent in 2005, and the lowest percentage ever found by the annual industry study, which dates back to 1986.

By contrast, concentrations of oil in the 2006 soybean crop are estimated at 19.17 percent (yielding 11.5 pounds of vegetable oil per bushel), which is still the fifth-highest level ever, despite falling from 19.41 percent, (11.65 pounds per bushel), in 2005.

"Region-by-region analysis indicates that the western Corn Belt states produced a crop with a very similar protein and oil profile to that produced in 2005, while eastern Corn Belt states produced seed with lower protein and oil concentrations than last year. The Southern regions tended to produce soybean crops with lower protein and slightly higher oil concentrations than were produced in 2005."

The research, conducted by University of Minnesota agronomists Seth Naeve and James Orf, involved near-infrared spectroscopy of 1,593 harvest samples received from soybean farmers in 30 US states. Results are being released at a series of ASA/USSEC Soybean Quality Trade Missions being held across Asia through Nov 21.

"This survey is intended to provide new crop quality data to aid international customers with their purchasing decisions for the upcoming year," said ASA. "With some regional exceptions, 2006 was an excellent production year, with excellent yields. Yields in western and Mid-South states were limited by drought conditions."

The USDA currently projects an unprecedented domestic soybean crop of 3.204 billion bushels, which would total 4.6 percent larger than the 2005 harvest.