Monsanto Company, in conjunction with its soybean processing partner Ag Processing Inc (AGP), a cooperative, announced today a boost in the premium paid to producers for contract production of VISTIVE™ low-linolenic soybeans. With a 20-cent per bushel addition to the premium, soybean producers participating in AGP’s VISTIVE program can earn a total of 55 to 65 cents per bushel premium for growing the low-linolenic variety that was introduced to the marketplace two years ago by Monsanto. To the soybean farmer, this could mean $30 or more per acre depending on yields.

“Monsanto and AGP are working together to encourage soybean producers to grow more VISTIVE soybeans to increase the supply of low-linolenic soybean oil, which will help food companies meet the growing demand for products with lower trans fats,” said Greg Twist, Senior Vice President of Marketing, Soybean and Corn Processing. “While 2007 contract acres have already surpassed 2006 levels in our program, demand for low-linolenic soybean oil continues to expand. We are optimistic that this extra incentive will result in increased participation from Midwestern soybean farmers to capitalize on this expanding market opportunity.”

Twist said that the additional premium will be added to VISTIVE contracts for producers who have already signed up for the 2007 growing season as well as new contracts. “Additionally, producers who had previously committed acres to this program will have the opportunity to expand acres if they so desire,” said Twist.

AGP recently announced that it has expanded the VISTIVE program to six of its nine soybean processing plants for 2007. AGP, the fourth largest soybean processor in the United States, added the processing of VISTIVE variety soybeans to its plant locations in Eagle Grove, Iowa; Emmetsburg, Iowa; Manning, Iowa; and Hastings, Nebraska. In addition to the four new locations, the company will continue to process VISTIVE soybeans at its Mason City and Sheldon, Iowa, facilities, where the program has been in place for the past two years.

VISTIVE soybeans, developed through conventional breeding, contain three percent linolenic acid as compared to the typical eight percent level found in traditional soybeans. The result is a more stable soybean oil that, for certain applications, does not need partial hydrogenation, which produces trans fatty acids (trans fats).

“The entire soybean industry has worked hard on developing healthier ingredients to reduce the presence of trans fats in foods,” said Dave Tegeder, Senior Vice President, Refined Vegetable Oils. “VISTIVE low-linolenic soybean oil enables food companies such as the Kellogg Company and KFC Corporation to reduce trans fats in their products. AGP is expanding our program for this trait-enhanced oil to meet the increasing need of our food customers to provide healthier alternatives to the American consumer.”

“We are excited about our partnership with Monsanto, local cooperative members and soybean producers to expand VISTIVE soybean production,” added Twist. “AGP continues to emphasize new ways to differentiate U.S. soybeans from commodity markets. VISTIVE soybeans are another excellent example of creating new market value for producers.” AGP will work in concert with its cooperative members and their farmer owners to offer a premium to producers who grow VISTIVE soybeans under contract for the 2007 growing season.

Ag Processing Inc is the world’s largest cooperative soybean processor and a leading vegetable oil refiner in the United States. AGP is owned by 203 local cooperatives and six regional cooperatives, representing over 250,000 farmers from 16 states throughout the nation.

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