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Farm Bill provision may provide premiums for oilseeds for healthier foods

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Washington, DC
October 25, 2007

Provision may include low-linolenic and other soybeans

When making planting decisions, farmers must balance the yields of new technology against good risk management considerations. Today the U.S. Senate introduced its version of the 2007 Farm Bill, which includes a provision that will help farmers manage risk while taking advantage of new soybean traits that can produce healthier foods.

The Commodity Quality Incentive Program (CQIP) provision, introduced by Sen. Tom Harkin (D-IA), is a provision that will provide incentives to reduce the cost to farmers of growing oilseeds that can benefit public health, like low-linolenic soybeans.

"QUALISOY, an industry initiative charged with introducing improved soybean traits to the marketplace, has led the effort to develop CQIP for inclusion in the 2007 Farm Bill, and has engaged the leadership and expertise of the American Soybean Association (ASA) to have the program included in both the House and Senate versions of the bill," Curt Sindergard said. Sindergard is an Iowa farmer, QUALISOY Legislative Working Group chair and ASA director.

Preserving the identity of enhanced-quality soybeans requires segregation in the field, storage and transportation. This can discourage farmers from growing these soybeans, despite high demand from the food industry, consumers and government organizations that all want to make the food we eat healthier. Oilseed crops that will qualify for CQIP funding may include low-linolenic and increased-oleic acid soybean traits, which reduce or eliminate the need for hydrogenation, the process that causes trans fats to form. Soybeans that produce heart-healthy oils with reduced saturated fats or increased omega-3 fats will also likely qualify. CQIP will protect farmers and encourage trial of these new varieties by providing payments directly to farmers who grow them in the first four years of plantings.

"Growing enhanced-quality products is an entrepreneurial venture," said Jim Sutter, QUALISOY past chairman and Cargill vice president. "The premiums provided collectively by the industry and through the farm bill, under CQIP, will encourage farmers to grow crops with these traits, which will help meet food industry demand for healthier products and ensure the competitiveness of U.S. soy."

The need for alternative oilseeds continues to rise as food manufacturers and foodservice operators reformulate products in order to improve the overall health profile of foods. Because of the 2006 Food and Drug Administration requirement to label trans fats, the demand for stable oils with improved health profiles is tapping out supplies of nearly all healthful alternatives.

The House of Representatives issued its version of the 2007 Farm Bill on July 27, 2007, which includes language on CQIP introduced by Rep. Nick Lampson (D-TX). Supporters of the CQIP provision include the U.S. Canola Association, National Sunflower Association and the American Heart Association.

A diverse 22-member QUALISOY Board of Directors sets research priorities, evaluates existing and emerging technologies, and helps identify future soybean trait enhancements that would benefit the food and feed industries. For additional information on low-linolenic product availability, QUALISOY's activities and its Board of Directors, visit www.QUALISOY.com.

For more information on the 2007 Farm Bill, visit www.usda.gov/farmbill, and for more information on ASA, visit www.soygrowers.com.

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