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CoBank Report on Increased Soybean Crushing Capacity


In a new release dated December 10th, CoBank opined that three new crushing plants located in North Dakota, Michigan and South Dakota scheduled to be on line between 2019 and 2021 will increase crushing capacity. The Report documents an increase of 2.8 million tons of soybean meal and 1.4 billion pounds of soybean oil representing 120 million bushels of soybeans annually or 6 percent of the current U.S. harvest.


The resulting over-production will lower margins for processors.  It is anticipated that increased soybean meal production could be absorbed by the U.S. market over a five-year period with two years for soybean oil, after the North Dakota plant enters production in 2021.  The plants to be built in North and South Dakota were designed to cater for export and will be supplied from in-state farms but with limited local demand for either meal or oil.

The CoBank Report is entitled, Growing Pains: Soybean Meal Demand Key to U.S. Crush Industry’s Outlook as Capacity Grows, available at