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Welcome to theConference on Agricultural Solutions and Cooperation
Harkany, HungaryJune 2009
John Heisdorffer
President
Iowa Soybean Association
Key Emerging IssuesWorldwide economic uncertainty
Competition for hectares between soybeans, corn and wheat.
High fertilizer prices
Higher Amino Acid availability in U.S. beans and meal provide added value
Economically advantageous to formulate on availability and digestibility of key amino acids
Higher animal performance & less expensive diets
Metric tons
< 6,8006,801-20,40020,401-54,40054,401-108,800108,801-217,700
Not Estimated
217,728 +
Soybean Production
Value of International Markets45% of U.S. soybean production exported over last 5 years
Three of last 4 years are record setting years for soybean exports:
2008 record 30.4 million metric tons of soybeans exported
2006 record 29.9 million metric tons exported
2004 record 29.8 million metric tons exported
Soy exports valued at over $12 billion
Bean exports – 30.4 million metric tons– up 12%
Meal exports – 7.5 million metric tons– up 1%
Oil exports – 1.4 million metric tons – up 60%
U.S. Hectare Allocation(Planted)
Source: U.S. Department of Agriculture (USDA)
Grower/Producer Organizations• Focused on needs of soybean farmers
• Directed by Farmer Leaders
• Aimed at Producer Profitability
• Environmentally sensible production
Soybean Checkoff
• Established in 1991
• Figured at ½ of 1% of net market value
• All Producers MUST pay
• Not allowed to be spent on lobbying and policy
Policy/Membership
• Voluntary dues paid to grower organization
• 23,000 ASA members
• Money spent on:– Domestic Farm Policy– Trade Policy– Biofuels development/policy
What We Do to Build Demand for Soybeans
• Domestic Demand– Soy Foods– Biodiesel/Bio-based Products– Supporting the livestock industry
• International Demand– AGP Partnerships – USSEC– ASA-IM
International Marketing Initiatives SE Asia export promotion
program via Gray’s Harbor Developing long-term relationships with key buyers by
demonstrating our commitment to providing the highest and most reliable supply of soybean meal in the world via the Port of Grays Harbor and AGP. AGP will also conduct aquaculture research trials with a specially modified soybean meal.
Black Sea regional export promotion program Working to establish direct business relationships with soybean meal importing customers in each Black Sea market country. Like Asia, hoping to develop a strong relationships and interests in a strong supplier-processor-buyer relationship with AGP and the Midwest soybean states and soybean producers.
Increased Production
• Higher Yield
• Increased Disease resistance
• More agronomic management information
Pursue State and Federal Polices
• Risk Management
• Regulatory Issues and Reduce trade barriers
Goals of the Iowa Soybean Association
Public Affairs-Secure resources and policies that enable Iowa soybean and livestock producers to compete globally.
Supply-Stabilize and increase yield while improving production efficiency and the environment.
Demand- Increase demand of Iowa soybeans by meeting the needs of our customers.
Information and Education- Disseminate information about the activities and investments of the organization.
Organizational- Strengthen the ability of ISA to meet its goals and objectives while improving operations.
Thank You!