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Canada Shuns Monsanto's Roundup Ready Soybeans

Canada Moving Away from Roundup Ready Soybeans

"A seed marketing manager from Monsanto indicated that Roundup Ready
Soybeans would not be available in Canada in 2001".

The latest USDA FAS report on Canadian oilseeds and products is available
at http://www.fas.usda.gov/gainfiles/200105/100680672.pdf
=================================================================
Date: 5/18/2001
GAIN Report #CA1075
Canada - Oilseeds and Products - Annual - 2001

Japan Will Look to Canada Instead of U.S. for Soybeans:

The May 9 edition of Good Morning Ontario states that the U.S.
ag attache in Japan reported imports of U.S. soybeans are forecast
to decline in 2001/02, as soybean users continue to shift to non-GM
soybeans from Canada and Brazil. "In order to meet Japan's increasing
demand for non-GMO food soybeans, both Brazil and Canada have
rapidly increased their soybean exports," says the attache. "For example,
Brazil's share in volume increased from 12%in 1999 to 16 % in 2000.
Canada's share increased from 3%in 1999 to 5% in 2000. As a result,
the U.S. market share dropped from 79% in 1999 to 64% in 2000."
In addition, total meal imports are expected to decline for compound
feed and an increase in meat imports.

IV. Identity Preservation
Canada Supplies Non-GMO and IP Soybeans: Various trade journals
have looked at the issue of Canada supplying a growing market for
non-GMO as well as identity-preserved (IP) soybeans. According to
some in the soybean industry, Canada (specifically Ontario who is a major
soybean producing province) has a competitive advantage in being able
to supply non-GMO white helium soybeans. Japanese buyers who want
non-GMO white soybeans turn to Canada who will later process the
soybeans into white tofu. A staff person for the Ontario Soybean Growers
(OSG) said that some companies involved in trading non-variety specific
white soybeans believe that the introduction of a Roundup Ready white
soybean would be harmful to the Ontario industry. Other companies that
trade in higher-value, variety-specific IP markets think it would enhance
their business. A trader for Maple Leaf foods said that there is "zero
demand" beyond the crush market from overseas buyers for GM white
soybeans. However, the trader also stated that Asian buyers are choosing
Ontario soybeans because of the IP programs in place and not because the
soybeans are from Ontario or that they are non-GM white soybeans. A seed
marketing manager from Monsanto indicated that Roundup Ready Soybeans
would not be available in Canada in 2001.

Increasing Acreage to IP Soybeans in Ontario: According to a March 16
Ontario Farmer article, IP soybean production in Ontario has increased
from a minor crop several years ago to accounting for a nearly a third
of all soybean acres (approximately 650,000 acres, based on Statistics
Canada soybean acreage of 2.2 million acres). The president of First
Line Seeds says that food grade soybeans in North America tend to be
categorized according to how Asian buyers view quality. Generally,
Canadian soybeans are valued over U.S. soybeans, and soybeans grown
in the northern regions like Michigan, Ohio, Indiana and Ontario have an
edge over soybeans grown further south. The climate in the more northern
regions tend to result in higher protein levels. Regarding soybean
quality, the lowest level quality soybeans are the crusher beans. The
rest of the rankings in ascending order are as follows: mixed non-GMO
varieties; non-GMO varieties that are identity-preserved; mixed white
varieties; mixed white varieties that are identity preserved; then IP
varieties with special traits. At the top of the quality chart for North
American soybeans are premium IP varieties that closely resemble top
varieties grown in Japan for tofu and natto.