While much of the soybean conversation today focuses on low prices, Brazilian competition, and Chinese tariffs, one segment of the U.S. soybean industry is quietly thriving. Food-grade soybeans are carving out strong, stable markets both overseas and at home.
SB&B Foods works with farmers across the Upper Midwest to grow identity-preserved, non-GMO soybean varieties tailored to customer needs. Rather than selling generic beans, the company contracts specific varieties and keeps them separate throughout the entire supply chain to preserve taste and quality. “We don’t sell non-GMO soybeans, we sell varieties of non-GMO soybeans,” said Scott Sinner, vice president of supply chain for SB&B Foods. “Every variety makes their product taste a little different.”
Unlike commodity soybeans, food-grade beans are forward-contracted at a premium above the Chicago Board of Trade price, offering growers more certainty and value. SB&B’s top markets include Japan, Taiwan, Thailand, and several Southeast Asian countries. None of which currently impose tariffs on their food-grade soybean imports from the U.S. “We’ve never sold a single soybean to China in 35 years,” Sinner noted, adding that soybeans are a staple food in Asia, making trade disruptions less likely.
Looking ahead, Sinner sees growing opportunity closer to home as well. The increased use of GLP-1’s has created a higher demand for tofu and soy-based protein. The use of those drugs has driven consumer focus on high-protein diets. “In the last year, our U.S. sales are up 400%,” he said. With expanding domestic demand and steady international markets, food-grade soybeans are proving to be a bright spot for growers seeking stability in a challenging farm economy.
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