Economic Impact of U.S. Soybeans & End Products on the U.S. Economy

By the National Oilseed Processors Association

The National Oilseed Processors Association (NOPA) and the United Soybean Board (USB) are pleased to announce the results of a new study, The Economic Impact of the U.S. Soybeans & End Products on the U.S. Economy, that examines the value of the American soybean industry.

NOPA’s President Thomas Hammer observes, “As indicated by this study’s findings, the economic contributions of the soybean processing and refining sectors to the U.S. economy are substantial, connecting soybean farmers with end users. Soybean processors convert soybeans into meal and oil. These value-added products are used in food, feed, industrial products and biofuels, supporting billions of dollars in domestic wages and tens of thousands of good paying jobs in the United States.”

This 33-page study analyzes the soybean value chain’s impact on the U.S. economy based on data from crop years 2019/20 to 2021/22. As highlighted in the report summary, during this period:

The total economic impact on the U.S. economy from the soybean sector averaged $124 billion, including $85.7 billion from soy production and $9.8 billion from soybean processing — the U.S. soy sector accounts for approximately 0.6 percent of the U.S. gross domestic product.

There are more than 500,000 individuals involved in soy farm decision-making. This includes 223,000 paid, full-time equivalent jobs and an additional 62,000 family members, beyond growers, who reside on farms and are integral to soybean farming operations.

The total wage impact of the sector averaged $10 billion.

“It’s reaffirming to see that the U.S. soybean industry has such a tremendous impact on U.S. farmers and the economy overall,” says USB Chair and Missouri farmer Meagan Kaiser. “When we think about soy’s role in food security, renewable energy and more than 1,000 products on the market, it may be surprising to the everyday consumer how our product extends across multiple sectors. This report, funded by our U.S. soybean farmers, allows soy as an often-invisible ingredient to become a visible contribution and sustainable solution for our future.”

In Ohio there are $4,717,000 acres of soybeans grown, and 13,090 jobs in the state attributed to soybeans paying $611.8 million in wages, with total revenues of $7.533 billion. There are 8,510 jobs directly attributable to soybean production, there are 500 jobs attributable to local seed sales and delivery, 950 jobs attributable to elevator operations, 990 jobs tied to soybean crushing, 400 jobs tied to refining, 470 jobs tied to biofuels production, 990 jobs attributed to feed milling, and 261 tied to limited food end use in the state.

Founded in 1930, NOPA represents the U.S. soybean, canola, flaxseed, safflower seed and sunflower seed crushing industries. NOPA members include 13 companies that operate a total of 61 soybean and 5 soft seed solvent extraction plants across 21 states. Products from these companies include meal and oil used in human food, animal feed, fuel and industrial applications. Collectively, our members process approximately 94 percent of all soybeans in the United States. For further information on NOPA, visit www.nopa.org.

The United Soybean Board’s 77 volunteer farmer-leaders work on behalf of all U.S. soybean farmers to achieve maximum value for their soy checkoff investments. These volunteers create value by investing in research, education and promotion with the vision to deliver sustainable soy solutions to every life, every day, across the three priority areas of Infrastructure & Connectivity, Health & Nutrition, and Innovation & Technology. As stipulated in the federal Soybean Promotion, Research and Consumer Information Act, the USDA Agricultural Marketing Service has oversight responsibilities for USB and the soy checkoff.

Tags: economy, NOPA, U.S., National Oilseed Processors Association, United Soybean Board, soybean industry