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Study Supports Soybean Crush Facility in Manitoba

A new feasibility study jointly funded by the Canadian and Manitoba governments and various industry players, has determined that Manitoba has the proper balance of soybean production and demand to support the construction of a soybean crushing facility in the province.

Based upon the expansion of soybean acreage across the region, the growing demand for soymeal from the livestock industry in Western Canada, and the lack of any large scale soybean crushing facilities in the west of the country, it has been determined that such a project would be financially viable.

Manitoba currently boasts 1.25 million acres of soybean – producing 18% of the country’s total output, and the study predicts that over the next decade, soybean production in western Canada could increase four-fold in response to growing global demand. Currently, the vast majority of soybeans produced in the region are shipped to either the U.S. or China for processing.

The study goes on to say that the economics of the project could be enhanced through the inclusion of canola crushing capacity at the facility as well, but did not suggest any specific construction site for such an operation. Other benefits determined within the study include the expansion of a local soybean market for growers, a new protein source for livestock producers in western Canada, and an overall economic benefit to the region of C$190 million per year.

Further study is planned to identify industry stakeholders who may want to pursue such a project, possibly with producer involvement. Manitoba Pulse and Soybean Growers and Soy 20/20 estimate that it will be between five and seven years before such a project is in place.

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