With commodity prices on the rise earlier this year, there is concern that food will become more expensive. Soy beans (in picture on the left - aka Soya Beans), which are one of the plants with the highest available protein levels, are amongst the commodities whose prices have risen. The soy bean is used as a food in its own right as well as being used to make soya milk, tofu and other products. Additionally, soy beans are used as cheap meat and dairy substitutes in many processed foods for human consumption. And processed soya beans or by-products of the process are used as ingredients to animal feeds.Effectively, you will find the soy bean in many parts of the food chain for man and beast. So when soya bean prices rise this will have an impact on consumers particularly those in emerging economies. While there is no talk of food riots for the moment, this is cause for concern. It seems surprising since world production of soy beans continues to rise with the USA producing close to 50% of global output.
One may be tempted to think that there is competition for resource - the soy bean. The rise in the use of biofuels must be considered. If we stay with soya beans only, the oil content in soy beans is close to 20% which is amongst the highest for plant based oils. This oil is extracted for use as biodiesel fuel. After the oil is extracted the rest of the bean enters the food chain. In a report prepared by the USA based United Soybean Board, biofuels in 2007 represented 4% of world consumption of liquid fuels; in 2030 this is projected to rise to 20%. This does include oil from other plants.
However, we do need to consume oil or fats in our diets. Of particular importance is the fact that some 80% of the fats in soy beans are mono-unsaturated and poly-unsaturated fats - the good fats. When soy beans are used to make soya milk you get these good fats and this together with soy protein is what makes soy milk preferable in many ways as an alternative to dairy milk. If prices of soy beans continue to rise this will have serious implications for poorer households around the world who rely on soy beans for their nutrition. This could disruption centuries of the tradition to make soya milk at home. And perhaps drive up the prices of soy milk in supermarkets around the world. So this must feature in the debate of soya beans being used as a food and fuel. Will it be a question of follow the money in the soy bean food v fuel debate?
