The production of Canada's high quality soy resulted in the development of some niche, and high-premium-paying, customers for the crop during the 2012-13 crop year, and expectations are for this feat to be repeated in the 2013-14 season starting at the end of this month.

 

Federal funding of roughly CAD90,000 (US$87,600) allowed the Canadian Soy Council to work with the Canadian International Grain Institute, to further develop interest in Canadian-made soy in Japan and Thailand during the 2012-13 crop year, said Nicole Mackellar, a project co-ordinator with the Canadian Soy Council.

 

As an example, she said the funding allowed the Guelph-based council -- founded by the growers' groups in Ontario, Quebec and Manitoba -- to invite 11 delegates that were part of Japan's National Federation of Tofu and Industry Trade to Canada. The delegates represent the small- to medium-sized tofu manufacturers in Japan and account for roughly 65% of Japan's tofu supply.

 

"The representatives, some of who had never been to Canada, were shown first-hand what the Canadian soy industry is all about and what makes Canadian soy superior to our competitors," Mackellar said.

 

They got to tour soy processing facilities to see first-hand the safety requirements and food quality standards that are in place after the farmer delivers the soy to the commercial elevator system.

 

The representatives also got the opportunity to meet with key soy producers from each of the main growing provinces of Quebec, Ontario and Manitoba, and see directly what farmers do to grow the soy, along with the equipment used for planting, harvesting and spraying.

 

Mackellar said these types of programmes give Canada the advantage on the global market, especially in providing of high-quality food-grade soy. She acknowledged Canada only provides 2% of the world's soy and is only the seventh largest exporter of the crop.

 

Canada, she said, can provide genetically modified (GM) soy or non-GM identity-preserved soy. However, its niche countries such as Japan that exclusively seek out Canada's food-grade soy over competitors including the US and South America.

 

Canada's ability to segregate, and to ensure the quality of soy required is delivered to the end-user's door, also provides an advantage over the other major exporting nations, Mackellar said.

 

Part of the motivation for seeking out the niches in the food market is the high premiums paid for those products, she said. Japan was one of the countries willing to pay the premiums needed to allow farmers in Canada to grow that product. The council, she said, had already applied to the federal government for funds to promote Canadian soy for 2013-14. She was unable to advise which different niche markets the council would target in the coming crop year.

 

Canadian Grain Commission (CGC) statistics show that during the 2011-12 crop year, Canada exported a total of 1.964 million tonnes of soy, compared to the 2010-11 total of 2.035 million. CGC data for the 2012-13 crop year shows Canada had exported 2.219 million tonnes of soy as of end January. At the same time a year ago, Canada had shipped 1.399 million tonnes.