Overview of the Global Oilseed Markets Annual Meeting National Cottonseed Products Association Santa Fe, New Mexico May 4, 2009 John Baize

U.S. and Rest of World Gross National Product Strong growth in U.S., but faster growth in rest of world World economy grew by 65% in 18 years

China and India Gross Domestic Products

World Economy Now In Recession We now have had 3 quarters of low or negative economic growth – down 6.1% in 1sr quarter 2009 Rapidly rising unemployment in U.S. and around the world Major reduction in bank liquidity Low inflation or deflation Consumer have sharply reduced consumption, boosted savings. Restaurants particularly are seeing reduction in sales Meat consumption is down in US and many other countries.

Global Pork and Chicken Meat Production

Global Soymeal Consumption 2000/01 – 2007/08 and Forecast for 2008/09

Global Soyoil Consumption 2000/01 – 2007/08 and Forecast for 2008/09

Soybeans, Corn, Wheat, Cotton, and Rice Percentage Change in Global Consumption 1990/91 – 2007/08 and Forecast for 2008/09

U.S. Soybean Oil Consumption October – March 2007/08 and 2008/09 Marketing Years

U.S. Cottonseed Oil Consumption October – March 2007/08 and 2008/09 Marketing Years

U.S. Soymeal Consumption October – February 2007/908 and 2008/09

Global Soybean Production and Consumption 2000/01 – 2007/08 and Forecast for 2008/09

Soybean Production U.S., Argentina, Brazil and China

Argentina’s Soybean Production

Annual Growth in Global Soybean Consumption 2000/01 – 2007/08 and Forecast for 2008/09

U.S. Harvested Area of Corn, Soybeans, and Wheat A Big Battle For Land

U.S. Cotton Consumption and Exports 2000/01 – 2007/08 and Forecast for 2008/09

U.S. Cotton Planted Area Actual 2000 – 2008 and Forecast for 2009

Mississippi Planted Area of Corn, Cotton, and Soybeans

Global Cotton Production and Consumption 2000/01 – 2007/08 and USDA Forecast for 2008/09

USA, Brazil, China, and India Average Cotton Yields Bt Cotton May Be Helping Other Countries More Than U.S.

Global Cotton Ending Stocks 2000/01 – 2007/08 and USDA Forecast for 2008/09

U.S. Cotton Harvested Area and Cottonseed Production 2000 – 2008

U.S. Cottonseed Usage Crush and Use for Feed and Waste 2000/01 – 2007/08 and USDA Forecast for 2008/09

Cottonseed Oil U.S. and Global Consumption 2000/01 – 2007/08 and USDA Forecast for 2008/09

U.S. Palm Oil Consumption 2000/01 – 2007/08 and USDA Forecast for 2008/09

World’s Largest Soybean Importers 2007/08 Marketing Year

Global Soybean Ending Stocks 2000/01 – 2007/08 and Forecast for 2008/09

Ending Stocks of Soybeans U.S., Argentina, and Brazil 2000/01 – 2007/08 and Forecast for 2008/09

U.S. Soybeans Ending Stocks to Use Ratio

Chinese Soymeal Consumption

China’s Pork and Chicken Meat Production

China’s Soybean Imports from All Origins 2000/01 – 2006/07 and Forecast for 2007/08

U.S. Soybean Exports 2000/01 –2007/08 and Forecast for 2008/09

U.S. Soybean Exports to China and Rest of World 2003/04 – 2007/ /09 as of April 16

U.S. Soybean Crush 2000/01 – 2006/07 and Forecast for 2007/08 and 2008/09

U.S. Soybean Meal Consumption 2000/01 – 2006/07 and Forecast for 2007/08 and 2008/09

U.S. Corn Use for Ethanol Production 1997/98 – 2007/08 and Forecast for 2008/09 About 1/3 of corn re-enters the feed market as distillers grains (25% protein)

U.S. Soyoil Consumption 2000/01 – 2007/08 and Forecast for 2008/09

Impact of Changing Crude Oil Price On Energy Value of Agricultural Commodities Crude Oil ($/Barrel) $60$80$100$120$140$160 Corn ($/MT) $158.98$211.98$264.97$317.96$370.96$ Wheat ($/MT) $174.60$232.81$291.01$349.21$407.41$ Soybeans ($/MT) $165.09$220.13$275.16$330.19$385.22$ Vegoil ($/MT) $395.31$527.08$658.85$790.62$922.38$1,054.15

Price of Crude Oil and Soybean Oil January 2007 – March 2009

Global Vegetable Oils Stocks to Use Ratio

Past and Projected Future Demand for Soybeans World Likely to Need Additional 70 MMT of Soybeans in 2018

Questions