Soybean Quality and Trade. Seth Naeve

Soybean Quality and Trade Seth Naeve naeve002@umn.edu 2018 Agronomy Conference, Sioux Falls, SD December, 12, 2018

Outline Introduction (with trade commentary) US Soybean Quality Survey Better measures of soybean quality Amino Acid Composition and Protein Concentration Variation in Sucrose and (presumably ME) 2015 Regents of the University of Minnesota. All rights reserved.

My general philosophy Soybean is a complex and variable product/commodity. Traditional grading systems do not correlate well with actual value. Most soybean quality traits extend into meal The first purchasers who are able to find hidden value will capture additional profit. 2015 Regents of the University of Minnesota. All rights reserved.

QUALITY OF THE UNITED STATES SOYBEAN CROP: 2018 DR. SETH NAEVE AND DR. JILL MILLER-GARVIN

OUTLINE Survey History 2018 Growing season Historical protein and oil variation 2018 survey results

THE 2018 GROWING SEASON

2018 GROWING SEASON The big stories of 2018 included Drought conditions in the Missouri and the Midsouth Shorter periods of drought in N. and S. Dakota and Michigan The early season was cold, but warm temperatures accelerated crop development Excessive rains across several states hampered harvest

HISTORICAL PROTEIN AND OIL VARIATION

ENVIRONMENTAL IMPACTS ON SOYBEAN PROTEIN AND OIL Location-specific environmental impacts (latitude, climate, and soil type) affect long-term quality trends However, annual variation in weather patterns affects year-over-year variation in soybean quality Rainfall patterns appear to have the greatest impact on soybean quality Excessive rainfall early in the season appears to reduce protein deposition in the seed Drought conditions during the seed-filling stages exacerbate this condition

2018 SURVEY RESULTS

2018 SURVEY METHODS In August, sample kits were mailed to 5,702 soybean producers based on soybean production by state By October 26, 2018, 1,004 samples were returned for analysis 1,518 were returned by November 2 Analysis was re-opened, and Partial summaries for each group are provided here Front side of the sample bag

2018 SURVEY METHODS - PROTEIN AND OIL Samples were analyzed for protein and oil concentration by Near Infrared Spectroscopy (NIRS) using a Perten diode array instrument Average protein and oil values were determined by state Regional and US average values were determined by weighting averages based on estimated 2018 production

DESCRIPTION OF DATA COLLECTION PROCESS Moisture on each sample was recorded immediately upon receipt Test weight is expressed on a pounds per bushel basis Seed size/weight was determined by counting and weighing 1,000 seeds from each sample

PROTEIN AND OIL

Region Number of Samples Protein (13%) Change from 2017 Oil (13%) US Average 1,518 34.2 18.9 Change from 2017 Seed Weight (g/100 seeds) 16.7 (n = 1,004) Average of 2018 Crop 34.2 +0.1 18.9-0.2 16.6 (n = 1,004) US 2008-2017 Average 34.6 18.9 US average values weighted based on estimated production by state, as estimated by USDA, NASS Crop Production Report (October, 2018) 12/6/2018

Region Number of Samples Protein (13%) Change from 2017 Oil (13%) Change from 2017 Seed Weight (g/100 seeds) Western Corn Belt 801 34.0 0 18.7-0.3 16.7 (n = 478) Eastern Corn Belt 576 34.3 +0.3 19.0-0.1 16.8 (n = 434) Midsouth 94 34.8 +0.4 19.6 +0.1 15.8 (n = 69) Southeast 19 35.3 +0.7 19.4-0.3 14.9 (n = 11) East Coast 28 34.9 +0.4 19.2 +0.2 17.8 (n = 12) Regional average values weighted based on estimated production by state, as estimates by USAD, NASS Crop Production Report (October 2018) 12/6/2018

12/6/2018

PHYSICAL CHARACTERISTICS

BETTER MEASURES OF QUALITY: A.K.A. AMINO ACIDS

BETTER MEASURES OF THE VALUE OF SOYBEANS Soybeans & soybean meal have been valued primarily on an indirect measure of protein crude protein Crude protein is probably not the best measure of a soybean (or a soybean meal s) value Overestimates total amino acids (true protein) at higher protein levels No information on protein QUALITY (relative balance of amino acids) Both formal and informal feeding trials in destination countries have repeatedly shown that meal from US soybeans performs better than expected based on protein levels

Ravindran et al. (2014) OVERALL, SOYBEAN MEAL ORIGINATING FROM THE U.S. HAD BETTER NUTRITIVE VALUE COMPARED WITH THOSE FROM ARGENTINA AND INDIA, ON THE BASIS OF APPARENT METABOLIZABLE ENERGY [HIGHER SUCROSE IN U.S. SBM] AND CONTENTS OF DIGESTIBLE CRUDE PROTEIN AND DIGESTIBLE AMINO ACIDS. PERHAPS THE INTERESTING FINDING OF THE CURRENT WORK IS THE LACK OF CORRELATION BETWEEN CP CONTENT AND NUTRITIVE QUALITY OF SOYBEAN MEAL.

12/6/2018

Is this amino acid thing real? In a recent University of Minnesota study using controlled environments, the relationship between protein quantity and quality was tightly negatively correlated Higher protein concentration leads to a dilution of essential amino acids 2015 Regents of the University of Minnesota. All rights reserved.

BETTER MEASURES OF QUALITY: B) SOLUBLE SUGARS

Other Constituents Vary as Well Other proteins Trypsin inhibitors, Urease, and other Anti-nutritionals Carbohydrates Fiber Starch Soluble Sugars (Sucrose, Stachyose, and Raffinose) Fatty acids Isoflavones Many other functional constituents 2015 Regents of the University of Minnesota. All rights reserved.

Seth Naeve naeve002@umn.edu Jill Miller-Garvin mille443@umn.edu