Quality Premium Program

Program History - MnSP has offered a Quality Premium Program since 2003 for producers delivering soybeans to Brewster. The Quality Premium Program (QPP) was developed to improve the quality of the soybeans delivered to MnSP. By providing premiums for desired processor traits, such as high oil and protein content, MnSP hopes to improve the quality of soybean meal being delivered.

Why Oil & Protein is Important - Soybeans grown in Northern areas are typically .75 to 1.50% lower in crude protein than soybeans grown in the central bean belt. Since the marketplace pays for protein, northern processors must sell their meal at a discount because of the lower protein levels of incoming soybeans. By increasing the quality of the soybean stock being processed, northern processors are better able to compete in the world protein market and are able to bid higher for high quality soybeans.

Creating extra value in the soybeans grown in the Dakota's and Minnesota equates into a WIN-WIN situation for MnSP and soybean growers. By choosing varieties based first on yield and then on protein & oil levels, the grower may receive a premium for the improved quality of the product. We must point out that by selecting seed with higher protein and oil content does not guarantee premiums on every load. However, variety selection can increase the odds of receiving premiums, and provide for better prices over time.

Program Details - Producers need to deliver soybeans to MnSP in Brewster. Each load is graded for oil and protein content, adjusted to a 13% moisture basis. The oil and protein MUST meet a minimum of 18.5% and 34.4%, respectively, to become eligible for either premium. Once the load meets the minimum standards for oil and protein, the following scales will be paid, independent of each other, in cash.

Note: There will be a maximum payment total of $10,000 per payee.