Where does it all go?
Have you ever driven across the Midwest, or even just around Central Illinois, and wondered what happens to the endless fields of corn and soybeans? There were over 89M acres of corn and 89M acres of soybeans cultivated in the U.S. in 2018. Combined, that is more than the entire state of Texas or the country of New Zealand. On top of this massive area, we have heard about record yields and record production for the last several years. So, a question we get a lot... where does it all go?
According to the American Corn Growers' Association, only 12.7% of the corn produced in the U.S. leaves the country. Animal feed and ethanol are by far the biggest users accounting for 36.9% and 37.8% respectively. Food stuffs round out consumption with the remaining 12.6% of the total usage. Sweeteners, starch, cereal, and beverages (like the adult kind) are all common uses.
Conversely, soybeans are a huge export product, with more than 40% heading overseas. Of those exports, 60% (or 25% of the total crop) are headed for China. It is not hard to see why China chose to target soybeans with retaliatory tariffs very early in the current trade war. With so much support for the current administration coming from the Midwest and rural communities, it was a strategic and swift blow to Mr. Trump.
The uses of soybeans staying in the U.S. are split by The United Soybean Board into the primary components of meal (80%) and oil (20%). A staggering 97% of bean meal goes to animal feed while just 3% finds its way into our food. Oil, on the other hand, goes mostly to food products (68%). But, a significant portion also provides biofuels (25%) and industrial products (7%).
Locally, our numbers are a bit different due to the outlets in our proximity. According to Cory Deckard at Roanoke Farmers Association, roughly 85% of our corn goes to ethanol production. Marquis Energy, just up the road in Hennepin, makes up a huge portion of that use as the largest ethanol plant in the U.S. Our beans are also a bit out of the norm, with 67% heading overseas. Major rail and river terminals nearby get beans moving toward the gulf.
Hopefully this adds clarity around the uses of the corn and soybeans that we grow. They are important products in the global market and important to your everyday life. So next time you are out driving the countryside, remember that the ethanol or biodiesel fueling your vehicle and the meat fueling your body started in those fields!