Serious About Soy

From edible oils to soy flours and isolates, growing demand for plant-based protein leads to greater variety of customized solutions.

Soybean farmers grow the perfect bean,” says Nancy Chapman, executive director, Soyfoods Association of North America. “Soybeans are a near perfect source of protein.”

Long a staple in Asian cooking, soy and products such as edamame, tofu and tempeh have made their way into American diets as the increasingly diverse population has incorporated foods from cultures across the globe, says Chapman. Yet, in recent years, soy has found itself poised to become an even bigger part of the global food chain, she says, due largely to growing global demand for protein and the adaptability of the soybean itself.

The U.S. leads the world in soybean production. Nearly one-third of the nation’s cropland produced 3.97 billion bushels of soybeans in 2014, according to the U.S. Department of Agriculture. American farmers produce nearly twice the volume of soybeans they did nearly 30 years ago.

“The soybean gives you more protein per acre than any other plant, or any animal for that matter. It is a healthy protein, as well, with the right fats,” says Chapman, who holds a degree in nutrition from Northwestern University and, as a registered dietitian, has worked as a public health specialist.

“Soy protein is an extremely high-value product,” she says. “Soy is a sustainable, financially stable and complete protein. Soy is one of the strongest plant proteins, providing a larger percentage of protein than other vegetarian sources.”

Demand for such nutrients is only expected to grow as the world population is projected to reach 9 billion by 2050. In coming years, plant-based proteins may play a larger role in fulfilling that need.

More recently, diet trends have driven increased demand. Awareness of flexitarian (part-time vegetarian) diets has resulted in more interest in plant-based protein, including soy, according to research by Mintel, a London-based market research firm.

“Protein is the biggest trend in consumer products right now,” says Kara VanKleek, global marketing director, CHS Processing and Food Ingredients. “It’s important to consumers and it is significant in their purchasing decisions.”

Soy has long been used to increase nutritional value of food products, including meal replacement beverages, energy and snack bars, and cereals. According to Innova Market Insights 2016 trends, soy demand is projected to grow as “consumers continue to seek added protein in a broad variety of product categories.”

Today, the consumer market is favorable for plant-based proteins, which include soy and other sources, such as rice and peas, according to Mintel research. While 86 percent of Chinese consumers have reported eating supplemental plant proteins, only a third of consumers in the U.S. and U.K. have tried them, although nearly another third say they are willing to try them.

“there is growing global demand,” says VanKleek. “Consider India and its growing middle class. Consumers in general tend to consume more protein as income levels increase. In India, where the population is about 80 percent vegetarian, the growing middle class is seeking and is willing to pay for more and better vegetarian protein products.”

At the recent Institute of Food technologists (IFt) trade show in Chicago, CHS Processing and Food Ingredients team members pitched their soy products to thousands of food manufacturers, many of whom were looking for ways to incorporate more protein into consumer products.

If asked to describe the taste of CHS soy isolates, one might call it bland. Predictably, consistently bland. In the world of soy isolates, that’s a good thing. It’s a mark of quality.

For soy products used as food additives, particularly isolates manufactured to add protein to popular foods such as energy bars and smoothies, the soy must add no taste of its own to better accept flavors added by the manufacturer.

“Flavor is how CHS differentiates itself from the competition, because we present a very neutral flavor of soy protein,” says Dayton Daberkow, sales manager, CHS Processing and Food Ingredients. “When people are looking to make a protein claim on a product, that protein ingredient is going to play an important role. It’s going to be near the top in the ingredient statement. So whatever your protein tastes like is what your finished application will taste like, particularly for a bar or a beverage.”

Owned by farmers, CHS Processing and Food Ingredients manufactures and markets a full line of specialty soy products to foodservice companies, packaged-goods companies, food-contract manufacturers, restaurateurs and others in the food industry around the world. It’s a broad customer base that has diverse demands, says Daberkow, but that is also interacting with consumers regularly.

“The American consumer in particular has really become interested in protein,” he says. “We have seen a lot of growth in front-of-package claims and label claims regarding protein content. Here at the IFT show, we’ve enjoyed talking about how CHS can deliver that solution.”

In addition to isolates, CHS products include edible soy oils, soy flours and textured soy products. Innovation itself is a strong driver for increasing soybean demand.

“We tap into changing consumer needs and growing demand for key product benefits,” says VanKleek as she walks the vast IFT show floor. “That provides a foundation for how our products can be used to satisfy these needs when we talk with key food industry customers. One example is textured soy protein, which is used in meat extenders and replacers. These products are used in such consumer products as vegetarian meals, egg rolls, pizza toppings, sausages and burritos, to name a few.

“Also, our strong foundation in grain trading allows us to meet changing demands by contracting for the raw materials we need,” says VanKleek.

A strong connection to CHS producer-owners provides a distinct marketplace advantage, even in soy flour export markets, says Anita Florido, soy flour sales and product manager, CHS Processing and Food Ingredients, who manages accounts across Europe, the Middle East, Asia and Latin America.

“I’d like to say that we are the purest player, because our farmers are a strong source of beans,” says Florido. “It’s a huge benefit, especially for the export market but also the domestic market, to have a company that is a cooperative that works for the farmer.”

Being farmer-owned gives CHS a strong connection to the farmers who grow the raw materials it uses, says VanKleek. Most of the soybeans brought in for crushing come from the Midwest, within 40 miles of facilities at Creston, Iowa, and Fairmont and Mankato, Minn.

“That allows us to have a consistent supply and quality level that we can pass along,” she says. “We have control over the beans, which is important in maintaining protein and moisture levels and providing quality products. It reduces variability as much as possible, as opposed to getting beans from Brazil or Argentina, or even different parts of the U.S.”

Being vertically integrated is also increasingly important when it comes to tracing non-GMO soybeans, a small but growing corner of the market. CHS is the only major soy ingredient manufacturer to have obtained non-GMO project verification on its soy oil, flour, flake, grits and meal. CHS also has CertID non- GMO certification on soy oil, meal, flour, flake, grits and isolates.

“We hold the honor of having the fastest CertID approval in the history of certification,” says VanKleek. “Making products that differentiate us from our competition and meet the needs of consumers allows us to increase sales of soy products across the board, delivering value to our farmer-owners.”

As smoothies grow in popularity in today’s snacking culture, so has desirability of CHS soy isolates as a valuable protein source. According to a 2014 Mintel study, more than 83 percent of consumers 18 to 34 years of age have purchased a smoothie or shake in the past three months. That percentage is smaller, but still significant in older Americans: 68 percent of consumers 35 to 44 years of age, and 58 percent of those between 45 and 54 years old.

A past president of the American Soybean Association, Ray Gaesser grows 3,000 acres of soybeans at his farm near Corning, Iowa.

As population and incomes in China and India and other countries grow to middle-class status, they will eat more proteins. And soybeans are the most economical and best source of protein that there is. Everything I hear as I travel is that U.S. soybeans really are the highest quality export soybeans in the world. The new uses are not only human consumption, but it is plastics, greases, and even the side panels on our combines and tractors. All of them are made with soy.

They want a reliable, competitive market. And they want the information from CHS and other organizations that will help them do a better job and relate well with our consumers. I think the associations have been a great way for farmers to invest in new uses and new technology that in the long run will help them do a better job, and also help the price of soybeans. All those things work together. The more we work together, the better off we all are going to be.

“Soyfoods sales is a $4.5 billion industry dominated by snack bars and protein bars.”