Midnight oil: New opportunities from biofuel manufacturers will mitigate slight revenue growth

The Soybean Farming industry experienced a volatile five-year period. Industry revenue grew immensely prior the beginning of the period, lifted by skyrocketing oilseed prices, giving the industry an inflated starting point. The rising demand for food from developing countries has supported industry exports; however, the appreciating US dollar has kept exports from rising at a rapid rate. Meanwhile, the accelerated expansion of biofuel production spurred demand for soybeans at home. Having helped farmers expand their production, the adoption of genetically modified seeds is reaching a saturation point and is no longer a major source of production improvement. Additionally, the biofuels segment, which rejuvenated the industry and strengthened domestic demand, is stabilizing...purchase to read more.

Industry Statistics & Market Size
Revenue
$40bn
Annual Growth 13-18
-3.4%
Forecast Growth 18-23
Profit
Employment
99,300
Businesses
95,342
Market Share of Companies
There are no companies with a dominant market share in this industry

Industry Threats & Opportunities

  • Soybeans are anticipated to maintain their position as the second-largest crop in the United States
  • The number of soybean farmers is expected to increase, as land will be readily available
  • Imports will begin to make up a greater portion of domestic demand
  • Industry Report - Industry Products Chapter

    Almost all soybeans within the United States are processed using a method called crushing. Crushing results in two products: the solid protein referred to as soybean meal and liquid soybean oil. For every hundred pounds of soybeans crushed, the average result is about 80 pounds of soybean meal, 19 pounds of soybean oil and a pound of waste. In terms of dollar value, oil can comprise as much as half of a soybean's value, although it makes up less of its bulk. The exact ratio fluctuates over time as market prices continually adjust.Soybean mealSoybean meal is the world's most important source of protein feed, providing more than two-thirds of the world supply. Mea...purchase to read more.

    Additional Insights for the Soybean Farming Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Soybean Farming Industry are

  • Economies of scale
  • Production of premium goods/services
  • Economies of scope
  • IBISWorld analysts also discuss how external factors such as Demand from organic chemical manufacturing and Trade-weighted index in the Soybean Farming industry impact industry performance..

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    What's in this report

    What is the Soybean Farming Industry?

    Farms in this industry grow soybeans as their main crop. Soybeans are most often used in livestock feeds and vegetable oils, with a small but growing proportion being used in biofuel production. Establishments that sell soybean seeds to US farmers for growing crops are also included.

    Industry Products
  • Soybean meal
  • Soybean oil
  • Soybean hull
  • Industry Activities
  • Soybean farming
  • Soybean seed production
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from organic chemical manufacturing
  • Trade-weighted index
  • World price of soybeans
  • Subsidies for soybean farming

  • Current Performance
  • Boom turns to bust
  • Prices drop dramatically
  • Shift in subsidies
  • Chart: Revenue Growth

  • Industry Outlook
  • Overseas competition strengthens
  • Consumption trends
  • Profitability and industry size
  • Table: Soybean Farming Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Soybean Farming Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Beef Cattle Production
  • Animal Food Production
  • Margarine & Cooking Oil Processing
  • Organic Chemical Manufacturing
  • Corn, Wheat & Soybean Wholesaling

  • Key Selling Industries
  • Biotechnology
  • Crop Services
  • Farm Product Storage & Warehousing
  • Farm, Lawn & Garden Equipment Wholesaling
  • Fertilizer Manufacturing

  • Products & Services
  • Soybean oil
  • Soybean meal
  • Soybean hull
  • Chart: Soybean Farming Industry Products and Services Segmentation

  • Demand Determinants
  • Livestock production
  • Popularity of alternative energies
  • Price
  • Exchange rates
  • Consumer preferences

  • Major Markets
  • Exports
  • Domestic soybean crushing mills
  • Soybean growers
  • Chart: Major Market Segmentation for the Soybean Farming Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Rent and Utilities
  • Wages
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Soybean Farming

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Soybean Farming Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Soybean Farming Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Soybean Farming Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)
  • World Price of Soybeans (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Asian Soybean Rust
  • A disease caused by airborne fungi, which kills soybeans. It was discovered in US crops in 2004.
  • Biofuel
  • Also called agrifuel or biodiesel. A fuel consisting of or derived from dead biological material, usually plants.
  • Bushel
  • A unit of mass. A bushel of soybeans equates to 56 pounds or 25.4 kilograms.
  • Genetically Modified (Gm)
  • A technique whereby specific changes are introduced into a plant's or animal's DNA by genetic engineering techniques. The most common modified foods include soybean, corn and canola.
  • Herbicide
  • A substance used to destroy unwanted plants and weeds, while leaving a desired crop relatively unharmed.
  • Soybean Meal
  • The solid protein left over after the oil is removed from soybeans.
  • Yield
  • The amount of soybeans produced per acre of land. For soybeans, this is measured in bushels per acre.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Soybean Farming can be used to help you understand the industry’s market size, growth potential and major companies. Five-year forecasts provide insight into the industry’s prospects, so you can make decisions with confidence. This information is perfectly suited to informing your business plans, pitch books, benchmarking and SWOT analysis.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Soybean Farming:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Soybean Farming market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Soybean Farming, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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