BLOOMINGTON, Ill. — Although soybean growers across the Midwest achieved record yields in 2010 and enjoyed high soybean prices, soybean associations say growers can boost income in 2012 by focusing on yield and quality when they make their seed decisions this winter.

“Soybean farmers think yield is what’s really going to put money in their pockets,” said Illinois Soybean Assoc. director and soybean producer Tim Seifert of Auburn, Ill. “But buyers decide which soybeans to purchase based on oil and protein levels.”Competing on the world market against big hitters like Brazil and Argentina requires soybeans with higher levels of oil and protein.

“When the world’s looking to buy soybeans – especially for livestock purposes – they’re looking for high components,” Seifert said.

Growing high-component soybeans results in better prices for producers because high-quality beans meet customer requirements, said Chris Schroeder of Centrec Consulting. “Processors pay for the protein and oil they will get from soybeans,” Schroeder said. 

“Beans with a high estimated processed value (EPV), the combined value of the oil, meal and hulls, are worth more to a processor than beans with lower component levels.”

Even higher quality food-grade soybeans, used for tofu or specifically for their oil, for example, can pay premium prices, according to Emily Otto-Tice, director of environment and production for the Indiana Soybean Alliance.

“But premiums are paid for any variety of soybeans viewed as ‘premium soybeans,’” she said.

She cautioned that growing premium soybeans isn’t a winning proposition for all producers. “Some require a lot of tillage; more work equals higher costs. The premiums help offset the additional costs,” Otto-Tice said.

She also noted not all facilities process the higher-quality beans, so transportation costs also need to be considered. More information on various premium programs can be found online at www.soybeanpremiums.org

Visitors to the site can filter the results by state to narrow the search for appropriate programs.

The good news, Seifert said, is soybean farmers don’t have to sacrifice yield for quality. 

“Many existing soybean varieties produce both the yields growers need and the quality processors expect,” he explained.

“Ask your seed dealer specifically for varieties delivering high quality, optimally striving to achieve a general target of 35 percent protein and 19 percent oil, in addition to high yields.”

The Soybean Quality Toolbox at www.SoyQuality.org and data from the Varietal Information Program for Soybeans (VIPS) at www.vipsoybeans.org can help producers identify high-quality soybean varieties in their areas.