Farm Progress

High-oleic soybeans in Illinois

Here's a quick update on EU approval, processing facilities and demand for high-oleic soybeans.

Jill Loehr, Associate Editor, Prairie Farmer

December 5, 2016

2 Min Read

Unless you farm within hauling distance of Fowler, Ind., producing high-oleic soybeans probably won’t fit in your crop plans for 2017. However, Russ Sanders, DuPont Pioneer, says this isn’t a long-term obstacle. For now, Sanders says it’s a stewardship decision.

“Illinois is a huge part of the export corridor,” he explains. And without European Union approval, good stewardship means keeping high-oleic beans out of major processing facilities.

Sanders expects EU approval sometime this year, in time for 2018 crop plans.

GOOD STEWARDSHIP: “Illinois is a huge part of the export corridor,” says Russ Sanders, DuPont Pioneer. For good stewardship purposes, major Illinois processing facilities are waiting for EU approval before taking on high-oleic soybeans.

In the meantime, DuPont Pioneer and the United Soybean Board are working through plant logistics and determining which facilities can handle the second “stream” of grain, including the extra packaging the oil requires for food-service and restaurant customers. Sanders points out the processors prefer to package the oil on-site, rather than shipping to a third party for packaging, which adds costs.

Limited ADM, Bunge, CHS, Perdue Agribusiness and AGP locations are already processing high-oleic soybeans. That’s why Sanders believes that once EU approval comes through, Illinois locations will be ready to come on board quickly.

But is there demand for high-oleic soybeans? Sanders explains that DuPont Pioneer and the United Soybean Board are working together to ensure there is. “Right now, it’s a chicken-and-the-egg dilemma,” he explains. “Food companies aren’t willing to convert until you have the oil in place; processors won’t produce the product until there’s demand.”

High-oleic soybean oil does offer benefits to the end user beyond extended fryer life or packaged food-shelf life, including a cleaner, "less greasy” smell, and less “gunk” on fryers. Sanders says the large food companies who have tried the oil recognize the benefits.

But it comes back to the supply factor, he says, which he sees as a short-term challenge. Following EU approval, the United Soybean Board expects high-oleic soybean to become the fourth-largest crop in the United States. 

About the Author(s)

Jill Loehr

Associate Editor, Prairie Farmer, Loehr

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