<<

APR-JUN 2005 VOL. 14, NO. 2 AAGG INNOVATIONINNOVATION NNEWSEWS ® The newspaper of the Agricultural Utilization Research Institute

got value-addedpage milk? 6

The way the gluten-free cookie crumbles page 10

Hog tales page 8 page 11 SSweetweet iideasdeas Prospects for Minnesota’s industry and other ag commodities page 4 AURI GUIDE TO SERVICES

A nonprofit corporation created AURI – a good buy to strengthen rural Minnesota’s economy, AURI helps businesses respond to market opportunities BY EDGAR OLSON Nearly 90 percent of respondents with new and value-added reported AURI lab and pilot plant A recent survey of AURI uses for agricultural goods. The There is nothing quite like the facilities were valuable to their projects. Institute builds working partnerships with satisfaction of finding a bargain — clients showed 55 percent business innovators, agricultural groups and AURI significantly addressed business researchers, and provides technical support to especially saving on a big ticket item or concerns for 85 percent, and improved a getting way more than you paid for. clients conducting new product research and product or process for 70 percent. saved money, 60 percent development. AURI is a bargain for Minnesota. And 60 percent say AURI services are AURI programs are available to legally- avoided costly mistakes organized businesses or cooperatives with In our past fiscal year, AURI provided more valuable now than when they projects that have the potential to create more than 15,000 hours of technical first began working with us. More than and 40 percent increased new uses or new markets for Minnesota service to 245 different value-added 80 percent say AURI is needed by rural agricultural commodities. AURI assistance is projects. Based on a survey of those Minnesota businesses and processors. designed for the early stages of a product’s revenue because of AURI life cycle, while an element of feasibility is yet clients, nearly 200 new jobs were created This client feedback tells us that the vast to be determined. and over $16 million was invested in majority of our clients have received assistance. equipment, infrastructure and other something of value from AURI that Project proposals are evaluated on the items. following criteria: increased their chance at success. • Innovation/uniqueness Thousands of producers were directly And it’s more likely their projects will • Market viability impacted by AURI’s work. And we didn’t positively impact producers. • Use of Minnesota commodities • Number of farmer-producers impacted even figure in the jobs, investments and AURI services are a bargain that offer • Amount of value added from further producers indirectly affected by this Minnesota businesses a competitive processing value-added activity. • Economic impact advantage. • Cost savings Our survey asked clients about the impact of AURI’s assistance: 55 percent Programs are designed to assist with: said they saved money, 40 percent • Identifying emerging value-added opportunities realized increased revenue, and 60 • Developing innovative commodity-based percent avoided costly mistakes because products of AURI guidance. We, like our clients, • Developing production processes for believe this service is valuable to feasible products • Promoting products developed with AURI Minnesota. technical assistance • Providing resources to bring new products and processes to the marketplace

Assistance may include: • Access to AURI’s scientific and business staff • Access to laboratory and pilot plant facilities AURI Ag Innovation Quiz • Product development and feasibility testing • Process evaluation and improvement • Technology transfer and applied research • Business needs evaluation After perusing all the information about 3. What disease afflicts 6. How much corn is produced in the United • Links to available resources value-added uses for Minnesota crops, test people who can’t tolerate States each year? • Potential for grant funds to qualifying applicants your recall with the following quiz. Good gluten? a. 10 million dry tons luck! a. Silica b. 220 million dry tons AURI provides resources proportionate to the b. Cilia c. 1 billion dry tons project’s impact. Smaller-impact projects may Hint: If you get stumped, the answers are at c. Celiac be eligible for technical assistance only, while projects with industry-wide impact may be the bottom of this quiz. 7. According to the eligible for financial assistance. 4. How much of the U.S. USDA Dietary Guidelines, sugar beet production how many beans should 1. What is 70 percent of the is in Minnesota? Americans consume AURI Facilities oil refined in a. One-third each week? AURI operates several laboratories: Minnesota used for? b. 10 percent a. Two tablespoons • Coproducts Utilization Laboratory a. Food c. 50 percent b. One cup and Pilot Plant, Waseca b. • Fats and Oils Laboratory, Marshall c. Three cups c. Ink • Meat Laboratory, Marshall 5. How many resealable milk cartons does 8. What does the Japanese word “kurobuta” mean? 2. Where does the name AURI Offices McDonald’s sell a. When’s dinner? Six Point Berkshire come from? per week? b. Supreme black hog Headquarters a. When carried across the P.O. Box 599 a. 500,000 c. Tastes like chicken goal line, the pig scores Crookston, MN 56716 b. 2 million d. Dude, where’s my car 6 points 1-800-279-5010 c. 4.2 million e. I am serious, and don’t call me Shirley b. The white tips of a hog’s Southeast Office feet, nose and tail P.O. Box 251 c. The Berkshire constellation Waseca, MN 56093 ANSWERS: (507) 835-8990

ANSWERS: 1)a 2)b 3)c 4)a 5)c 6)b 7)c 8)b 8)b 7)c 6)b 5)c 4)a 3)c 2)b 1)a ANSWERS: Southwest Office 1501 State Street ABOUT AG INNOVATION NEWS Marshall, MN 56258 (507) 537-7440 Dan Lemke, communications director For information on AURI, Address correspondence or Cindy Green, managing editor call 1-800-279-5010 or visit subscription requests to: For staff e-mail addresses, our Web site: www.auri.org Rolf Hagberg, photography Dan Lemke visit AURI on the Web: Design by pounce.com Out-of-state subscriptions are Ag Innovation News www.auri.org $10 per year; Minnesota subscriptions are P.O. Box 251

Published by the Agricultural Utilization free. To save AURI mailing and printing Waseca, MN 56093 TM Research Institute to inform the food, costs, order an electronic version at Telephone: (507) 835-8990 and business communities and www.auri.org/news/subscrib.htm [email protected] the general public about developments in Trademark of American Soybean ag-based products.

PAGE 2 AURI AG INNOVATION NEWS • APR-JUN 2005 Visit our Web site at www.auri.org

Special section: A vision for Minnesota commodities

A vision for Minnesota commodities dry edible The bean fitness plan beans Dry bean growers tout health benefits and search for nonfood uses

BY E.M. MORRISON of dry beans. About 80 percent of the crop is sold for domestic use. Minnesota, one of the Americans should eat up to three cups of top five dry bean states, produces about 115 beans a week. million pounds of dry beans a year, worth That’s according to the 2005 USDA Dietary more than $40 million in farm cash receipts. Guidelines for Americans, which recommends Virtually the entire bean crop is processed that adults triple the amount of beans they into food products, such as canned and dry- now consume. And a new FDA-approved packaged beans and soups, chili, baked beans dietary guidance message says that “diets and Mexican dishes. including beans may reduce your risk of heart disease and certain cancers.” AURI’s food scientist, Charan Wadhawan, has helped many Minnesota entrepreneurs Bean growers hope to make the most of this develop and test new bean products, such good news about one of nature’s healthiest as bean dips, burritos, chili, and foods. “It provides a unique opportunity to specialty bean flours. really get the message out about dry beans,” says Tim Courneya, executive director of Northarvest Bean Growers Association, which Exploring new uses represents 3,000 farmers in Minnesota and North Dakota. “Nutrition speaks nationwide.” Taking a cue from the corn and soybean industries, growers are looking for nonfood Northarvest is leading a national effort to bean uses, as well. “The corn and soybean craft a marketing campaign that promotes people have really paved the way,” Courneya the health benefits of eating beans. “We says, “by creating a model of what can be want a unified message” that will allow the done as far as industrial uses for crops.” entire bean industry to speak with one voice, Courneya says. In January, Northarvest Bean Growers commissioned North Dakota State University to review scientific literature on Beans for better health the composition and alternative uses of dry beans. Growers expect this review to spark Navy, kidney, pinto, black and other dry beans research on industrial applications for dry are high in protein, contain no saturated fat or bean extracts at the USDA National Center cholesterol, and pack more fiber than many for Agriculture Utilization Research in Peoria, whole grain foods, according to the American Ill. Potential new-use opportunities could Dry Bean Board. They also provide important include: nutrients, such as calcium, iron, potassium, selenium, magnesium and folic acid. “In • Insect and fungi control many parts of the world, beans are an important dietary staple,” says Stacey Zawel, • Black plastic executive director of the Beans for Health • Starch-digestion inhibitors Alliance, which promotes beans worldwide, “but Americans are not eating enough.” • Oxidation inhibitors • Pharmaceuticals More beans on the table AURI is also working on nonfood uses, including burning damaged beans for energy. By spreading the word about beans’ contribution to good health, growers aim Dry beans are a small agricultural sector, to lift consumption, Courneya says. After accounting for just 1.5 million acres peaking in the 1940s at 11 pounds per nationally, compared to more than 73 million person, annual U.S. bean use fell steadily acres each for corn and . That makes until the mid-1970s, bottoming out at about it hard for dry bean growers to compete for four pounds per person. In the late 1970s, value-added research money, Courneya says. consumption began to rise, but has now Still, he adds, “We’ve started the search. And plateaued at just under eight pounds per we may find a component in beans that could person. be used in a new way.” ■ PHOTO BY ROLF HAGBERG American farmers grow nearly a dozen types PHOTO BY ROLF HAGBERG

AURI AG INNOVATION NEWS • APR-JUN 2005 PAGE 3 A vision for Minnesota commodities Keeping Minnesota Sweet sugar beets Maintaining domestic sugar markets a top priority

BY E. M. MORRISON You’ve heard of “Minnesota Nice?” Well, there is also “Minnesota Sweet.” Minnesota is the nation’s leading producer of sugar beets — a sturdy root crop that pumps plenty of sweetness into Minnesota’s economy. Sugar beets generate almost $2 billion in economic activity for Minnesota, and account for some 20,000 jobs and more than $40 million in state tax revenue, PHOTO BY ROLF HAGBERG according to a 2004 study by North Dakota State University. Minnesota farmers — who last year planted nearly 500,000 acres of sugar beets — are working to keep the local beet industry sweet. Growers are supporting research to boost sugar beet yields and improve sugar refining. They are also backing trade agreements that cap sugar imports. And they are planning a new public relations campaign that explains sugar’s place in a healthy diet. “If there is one message we want to get out to people, it’s to understand the role sugar plays in the economy of the Upper Midwest,” says Nick Sinner, executive director of the Red River Valley Sugar Beet Growers Association, which represents 2,500 beet growers in Minnesota and eastern North Dakota. Minnesota last year produced one-third of the country’s sugar beets: just under 10 million tons, worth more than $310 million in farm cash receipts. State growers process their sugar beets at farmer-owned cooperative refineries in Minnesota leads the nation in sugar beet production, which generates about $2 billion in annual economic activity for the state. Competing with Minnesota and North Dakota. The largest, low-carb diets, high-fructose and alternate sweeteners, a beet growers association is promoting sugar as an all-natural sweetener with 900-member American Crystal Sugar, based only 15 calories per teaspon. in Moorhead, last year manufactured three billion pounds of sugar — about 18 percent of the domestic sugar supply — and reported when cheaper high-fructose corn syrup improving crop quality, varieties, yields and Association. Future research will evaluate revenues of $1 billion. The state’s beet replaced sugar in soft drinks and some bakery sugar content. “Our average ton-per-acre using less-refined sugar beet syrup to make refineries also make high-quality livestock products. In the 1990s, sugar consumption yields and our average sugar content have ethanol. feed from beet pulp, most of it for export grew at a small but steady pace, Schweitzer increased gradually, and that’s a trend we markets. In the current market, it doesn’t make says, and “there is a small move now to hope to see continue,” Schweitzer says. On the economic sense to use beet sugar in ethanol beverages sweetened with sugar.” However, refining side, American Crystal is focusing on manufacturing, Wagner says. He estimates alternative sweeteners, low-carb diets and the improving efficiency and boosting the amount Tenuous trade policy that ethanol would return less than one-third loss of confectionary manufacturing continue of extracted sugar. the current domestic sugar price. However, But the thriving Midwest sugar industry could to weigh on sugar use, he says. turn sour if American trade policies change, But so far, there have been only a handful ethanol could offer an alternative use for allowing more cheap foreign sugar into the of attempts to come up with new sugar beet excess sugar in bumper-crop years, when U.S. country, Sinner says. U.S. trade agreements All-natural sweetener uses, says Michael Sparby, AURI project sugar production exceeds government trade now allow domestic producers to market director. Scientists at the University of quotas, he says. To bolster demand, the sugar industry has Minnesota, for example, are refining beet pulp about 85 percent of the sugar consumed here. In addition, U.S. sugar- farmers are launched an image campaign promoting and other crop fibers for polymers. AURI has The rest is imported from around the world at showing an interest in manufacturing ethanol, sugar as an all-natural sweetener with just 15 helped growers research beets’ potential for well below U.S. sugar prices. Sinner says. “If they are successful, that could calories per teaspoon. “We think it’s necessary energy and pharmaceutical sugars move cane sugar out of U.S. sugar markets to get the facts about sugar out there,” Sinner such as ribose. Competing alternatives says. “Everything in moderation: sugar, in to ethanol. So the sugar beet industry could moderation, can be part of a healthy diet.” AURI has also helped beet farmers explore receive some indirect benefit from that.” Lower sugar consumption and alternative using beet sugar to boost ethanol production. Meanwhile, Sinner says, “We’re fighting to sweeteners also pose challenges for Midwest A 2000 research project showed that keep sugar here in the Midwest because it’s a sugar beet growers, says Jeff Schweitzer, a adding crystalized sugar to the corn slurry Few new uses profitable crop for growers, provides jobs and spokesman for American Crystal Sugar. speeded fermentation, says Wayne Wagner, helps keep our main streets open.” ■ Midwest sugar beet farmers have focused a Crookston farmer and legislative liason Sugar use dropped sharply in the early 1980s, their research and development efforts on for the Red River Valley Sugar Beet Growers

PAGE 4 AURI AG INNOVATION NEWS • APR-JUN 2005 Visit our Web site at www.auri.org A vision for Minnesota commodities Bean there, doing that soybeans Soybeans present a myriad of value-added opportunities

BY DAN LEMKE Biodiesel Only 50 years ago, the U.S. soybean crop was A legislative mandate, requiring a 2-percent relatively minor. Today, it is one of the most biodiesel blend in every gallon of diesel fuel widely planted crops in the nation. sold in Minnesota, is scheduled to take effect Minnesota soybean production ranks third in June — opening a vast new industrial in the nation. In 2003, about 7.5 million acres market for soybean oil. were planted to soybeans, producing nearly In the United States, biodiesel demand is 230 million bushels. Only Illinois and Iowa estimated to increase by as much as 850 grow more beans. percent over the next 10 years. Only about The prolific oilseed has become popular with 150 million gallons are now produced in the farmers because of the myriad value-added country annually, including about 3 million uses for soy oil and meal — paints, inks, gallons in Minnesota. However, with two adhesives, lubricants, plastics. Soybeans are biodiesel refineries under construction and part of our everyday life. Recent advances in others planned, the state’s capacity should soy-based biodiesel and dust control products grow significantly are spurring even greater demand. Currently 70 percent of the soybean oil Already the number one vegetable-protein refined in Minnesota is for food uses source in the world, soybeans are “very — vegetable oil, shortening and margarine, adaptable to new uses,” says Jim Palmer, Palmer says. “Biodiesel will cause a shift in Minnesota Soybean Growers executive use for some of that oil.” director. Besides increased demand for biodiesel, However, foreign competition and yield health concerns could prompt some changes. improvement are keeping the soybean supply To make margarine and shortening, soybean high, forcing producers to continue pursuing oil is hydrogenated, creating trans fatty acids new uses. that can be detrimental to heart health. “What was a premium use for oil may mean “There are more soybeans on the market from that oil now moves into an industrial market. places like South America with higher oil and The oil will still go to its highest and best use, protein contents, so we need to find new uses but industrial applications will increase as it to open markets to keep prices up,” says Sue becomes more plentiful.” Meyer, a New Prague farmer and Minnesota Soybean Research and Promotion Council director. Industrial uses Palmer says every commodity gravitates to its Most consumers have no idea how prevalent greatest and best use first — food — then to soy products are in both consumer and industrial applications. As supplies increase, industrial applications. From flexible foams so do opportunities. and rigid soy plastics used in carpet backing, AURI has worked collaboratively with the insulation, furniture, auto parts, shoes, Minnesota Soybean Growers on dozens roof coatings, mattresses and pillows — to cleaners, lotions, personal care products, of projects that have led to new products, PHOTO BY ROLF HAGBERG services and businesses, says Max Norris, candles, paints, adhesives and lubricants AURI director of projects and technology. — soy-based products are widely available Soybeans are part of our everyday life — in paints, inks, adhesives, cosmetics, plastics — as well as “That includes a great deal of work on and accepted. food and feed. The fastest growing market is soy-based biodiesel; demand could increase by 850 biodiesel.” Palmer says value additions don’t always percent over the next decade. come from new products, but rather renewable replacement for products that Livestock feed already exists. Soy foods and nutraceuticals a soy component, has been shown to reduce cancer risk. About 50 percent of Minnesota’s annual “How fast (a soy-based replacement) is Traditionally, soy foods have been most widely soybean production is exported. The other 50 accepted will depend on how it compares to used in Asia. However, soy is increasingly Producers are pursuing opportunities for percent is processed for meal and oil. Some what’s being used.” popular across the globe. While sometimes soy-based components and extractions that of the meal is sold to Canada and Mexico, but roasted or boiled in whole form, soybeans are can be used in nutraceutical and medicinal most is fed to Minnesota livestock. “To replace an existing ingredient, it can’t just more commonly used as food ingredients in applications. While these uses may not be equal, it has to be better,” Palmer says. “It consume large quantities of beans, they Livestock is estimated to be a $28 billion breads, , meat products and in meat used to be that cost, quality and consistent substitutes. More homes are using products could provide profitable niche markets for industry in Minnesota. Farm-raised animals availability were the only considerations for producer-driven enterprises. consume about 1.8 million tons of soybean such as soy milk and texturized vegetable ingredients. Now, I think environment is a key protein. meal per year, or about 74 million bushels factor.” “Every new use we find for soybeans increases of soybeans. Soybean producers, tied to Soy’s high-protein, low-carbohydrate content the value,” says Jim Call, MSRPC chair, “which the livestock industry’s health and growth, Soy-based lubricants and bioplastics are some is appealing — and it has nutraceutical means more profit for Minnesota farmers.” ■ support projects such as on-farm processing of the newest developments. Soy oil is also benefits. In 1999, the Food and Drug of soy meal. being investigated in electrical transformers. Administration said a diet including soy foods reduces the risk of heart disease. Isoflavone,

AURI AG INNOVATION NEWS • APR-JUN 2005 PAGE 5 A vision for Minnesota commodities Dairy’s new design dairy Smart merchandising, new products and farm improvements

BY E.M. MORRISON Dairy Association. “This area represents a new, under-tapped avenue we can pursue Ronald McDonald is leading the dairy to further expand the market for dairy industry’s new approach to milk products,” she says. merchandising. Beverages are one of the fastest-growing Last summer, McDonald’s restaurants segments of this market, she says. New introduced a colorful plastic milk jug offerings include drinkable yogurt, fruit featuring Ronald McDonald surfing on a sea smoothies made with dry milk, low-lactose of milk. The resealable jug has supercharged milk drinks, and “meal replacement” drinks McDonald’s milk sales from 625,000 to made with whey protein concentrate. 4.2 million units a week, according to Dairy Foods Magazine, an industry trade journal. Whey, which used to be treated as a worthless byproduct of cheese McDonald’s Milk Jug is one example of dairy’s manufacturing, is now being processed new focus on consumer appeal, says Alan into protein concentrate and added to all Terwedo, a program manager at Midwest kinds of foods, including infant formula, Dairy Association, which represents 17,000 bakery goods, energy bars and candy. It’s Midwestern farmers. even being extruded into crunchy snack Annual consumption of dairy products has bits. Long a favorite of body builders for its risen slowly since 1975, to nearly 600 pounds nutritional value and flavor, “Whey is going per person, according to the USDA. While mainstream,” Higgins says. cheese use has nearly doubled during this period, fluid milk consumption has fallen, mainly because of competition from other More opportunity beverages, Terwedo says. The lesson for the Another emerging opportunity is “functional dairy industry: “We can’t look at milk as a foods,” which are tailored to specific PHOTO BY ROLF HAGBERG commodity any more. We have to look at it as nutrition needs. New research is shedding a value-added beverage.” light on the health benefits of specific dairy components, sparking additional demand, McDonald’s milk sales jumped from 625,000 to 4.2 million servings per week after the company introduced colorful milk jugs in three flavors. Youth appeal Higgins says. Other promising dairy uses coming up: McDonald’s isn’t the only place where milk digestion could let farmers add even more is getting a new look. Wendy’s restaurants • Fat-free aseptic-formula puddings for Positive signs value to dairy . are selling milk in colorful plastic bottles. school lunch programs. Despite Minnesota dairy’s slump, there are “They’ve had great success with it, as well,” signs of vitality, says Pat Lunemann, 45, who Terwedo says. • Oxygen-barrier coatings for snack peanuts and nuts. runs a 530-cow dairy farm near Clarissa, Milking change Schools are also interested in dairy products Minn. and serves on the boards of the In another encouraging sign, the region’s dairy with packaging panache. In a recent pilot • Gloss coatings for candy. Minnesota Milk Producers Association and science programs are full. “We now have more test at 146 schools in 12 different markets, the Agri-Growth Council. kids ready and willing to go into dairy than traditional paper milk cartons were Combating decline Milk prices have been strong for the last 18 we’ve had in a long time,” Lefebvre says. As replaced with single-serving plastic bottles. months, and the state continues to have a younger farmers enter the business, “we’re Milk consumption jumped an average of Dairy is Minnesota’s second-largest livestock robust dairy infrastructure, he says. “We still seeing some early signs that the decline in 28 percent after the new packaging was sector (just behind hogs), generating more have the cheese plants; we still have the feed dairy may be leveling off.” introduced, Terwedo says. than $1 billion in farm cash receipts. Still, mills, veterinarians, consultants.” Minnesota Minnesota dairy has suffered a decades-long Efficiency is improving, too, Lefebvre Milk in flavors such as cherry, strawberry, has 10 large dairy processors and several decline. Cow numbers have dropped by nearly says, as more Minnesota dairy operators banana, orange crème and vanilla made a small processors that make niche-market half since 1970, according to the Minnesota modernize their facilities or undertake modest big hit with students, too. Keeping milk ice- products such as kefir, creamline milk, grass- Department of Agriculture. During the same expansions — “going from, say, 80 cows to cold and installing see-through dairy vending fed butter, and organic milk and ice cream. period, the state’s milk production fell by 200.” And a few are “jumping to the next machines, like those that sell sodas and sports AURI has worked with many of these specialty almost a quarter, even as total U.S. milk level,” he says, milking 1,000 cows or more. processors. drinks, also boosted milk consumption in output climbed 40 percent. pilot test schools, he says. Lunemann, for one, is optimistic about Minnesota also has ample water and land To combat this decline, state milk producers Minnesota’s dairy future: “The key thing for for animal agriculture, Lunemann says. And are supporting a variety of development our industry is for dairy producers to be able the state’s ethanol, beet and soybean plants Whey more uses initiatives, says Bob Lefebvre, executive to adapt,” he says. “I see us being able to turn provide abundant supplies of inexpensive, director of the Minnesota Milk Producers the corner if we embrace changes.” ■ Dairy ingredients offer another marketing high-quality feed. “These plants need Association. These include: opportunity. livestock so they don’t have to put their Milk components, such as whey, nonfat dry • Access to capital and investment credits to byproducts on a rail.” milk, lactose, calcium and milk fat, are used modernize or expand dairy facilities. in many processed foods to improve flavor, • Workable environmental regulations and Cow power consistency and nutrition. land use laws. As and energy costs rise, the state’s The dairy-ingredients market, now more • Effective quality improvement programs dairy manure is an increasingly valuable than four-billion pounds, is growing • Public relations efforts that promote the resource. “I’ve had my neighbors arguing about 3 percent a year, says Mary Higgins, over who gets more manure from me,” ingredient marketing manager for Midwest benefits of animal agriculture for society and the environment. Lunemann says. Some day, he adds, methane

PAGE 6 AURI AG INNOVATION NEWS • APR-JUN 2005 Visit our Web site at www.auri.org AURI News Briefs

Davids joins AURI board Development Crawford retires Committee St. Paul, Minn.— State Representative Greg chair, Davids Marshall, Minn. — AURI chemist Jerry Davids (R-Preston) has been appointed by chaired the Crawford has for years worked to develop Minnesota House Speaker Steve Sviggum Commerce new uses for ag products. Now he is finding to serve on AURI’s board of directors. committee. new uses for his time. Davids, a southeastern Minnesota farmer, He authored a After nine years as analytical chemist at is serving his eighth term in the House measure that AURI’s fats and oils lab in Marshall, Crawford of Representatives and chairs the House would require retired in March. He has been involved with Agriculture and Rural Development a 20-percent numerous research projects, ranging from Committee. ethanol blend road dust control products to Omega-3 fatty “My goal as chair (of the House committee) in gasoline acids in eggs and pork. is to add value to Minnesota agriculture,” sold in the “Jerry has contributed greatly to AURI and Davids said. “Whether through the Minnesota by its success over the years ... I thank him for development of ethanol, biodiesel or other 2012. Davids. his hard work, dedication and loyalty,” says agricultural products, one of my primary “With Rep. Edgar Olson, AURI executive director. goals at the Legislature has always been David’s interest in value-added agriculture, to create opportunities for producers to we believe he will be a great asset to AURI,” Prior to joining AURI, Crawford worked for broaden the market for their agricultural says Edgar Olson, AURI executive director. Allied Mills in Peoria, Illinois and Supersweet products. I look forward to serving on the Research Farm in Courtland, Minn. AURI board.” Davids succeeds Elaine Harder as the Minnesota House representative on AURI’s Aldo Handojo, a 2004 graduate of Southwest Davids grew up on a Fillmore County farm board. Minnesota State University, has been hired and was first elected to the state legislature to fill the analytical chemist position. Crawford. in 1991. Prior to being named Ag and Rural Elsewhere in ag utilization

BY DAN LEMKE CARTOONS © UNCLE HYGGLY / POUNCE.COM Editors note: As a service to our readers, we provide news about the work of others in the ag utilization arena. Often, research done elsewhere complements AURI’s work. Please note that ARS is the USDA’s research arm.

Paper, plastic or both? A Japanese paper company has designed a composite made from used paper and -based plastic that could be used to make tableware and other plastic goods. The company plans to start manufacturing and marketing pellets of the material, which tests show is stronger and more heat resistant than The tea to exercise researchers are frying chips in oil spiked with estrogen dependent diseases such as breast polypropylene. a plant-based ingredient called phytosterols, cancer. The research team began investigating Green tea may soon be giving sports drinks a which can soak up cholesterol without kelp because rates of hormone-dependent Source: Soyatech.com, February 10, 2005 stamina boost. Researchers from the Japanese influencing taste. Other sterol-enriched cancer are significantly lower in Japan where healthcare company Kao found that mice foods, such as margarine and salad dressings, kelp consumption is high. fed a green tea extract regularly for 10 weeks are already on the market. Phytosterols, Source: University of California, Berkeley, February 2, 2005 Had your limonoids? increased their exercise endurance by about which can be extracted from plants such We know citrus fruits are rich in vitamin C, 24 percent. The extract appears to stimulate as soybeans, have been shown to block but they also offer a lesser-known nutritional muscle’s fatty acid use, reduce carbohydrate the absorption of LDL, the so-called ‘bad’ A must-see film bonus called citrus limonoids. The body use and allow for longer exercise times. cholesterol. Researchers also maintain that the green tea’s A Welsh university has developed a derives limonoids from citrus fruits and Source: Soyatech.com, February 2, 2005 juices. In ARS laboratory tests with animals effect on fatty-acid uptake, which speeds fat biodegradable food-packaging film for and human cells, limonoids have been shown breakdown, helps with weight loss. perishable produce. The University of Wales Bangor’s BioComposites Centre developed to fight cancers of the mouth, skin, lungs, Source: Foodnavigator.com, January 31, 2005 Sea-weeding-out cancer breast, stomach and colon. Researchers are the film, derived from corn and starch also investigating limonoids capacity to lower Chowing on kelp may help keep cancer at bay. blended with vegetable oil molecules to cholesterol. Spiked chips University of California, Berkley researchers produce a thin gas barrier that functions like have found that kelp, a brown seaweed, lowers plastic films. The film is being tested in Italy Source: USDA-ARS, February 8, 2005 Tortilla chips may not be health food, but the concentration of the female hormone on pasta that is kept fresh from the factory. scientists may have found a way they can estradiol in laboratory rats. This evidence Source: Soyatech.com, February 11, 2005 help lower cholesterol. Brandeis University suggests that kelp may decrease the risk of

AURI AG INNOVATION NEWS • APR-JUN 2005 PAGE 7 Six Point Renaissance A Minnesota pork producer group is marketing the almost-forgotten Berkshire breed to global markets

Ruth and Jeff Goldenstein, who raise Berkshire hogs on their farrow-to-finish operation near Kerkhoven, Minn., are members of Six Point Berkshire, a producer group that markets the hogs globally.

STORY AND PHOTO BY DAN LEMKE almost vanished a few years ago. (See the concentration of purebred Berkshires in number of consumers, Goldenstein says. U.S. sidebar story: A Bershire History) “When we the country — 36,000 annually. It hopes to and Canadian markets are showing more Cottonwood, Minn. — Six Point Berkshire is started raising Berkshires eight years ago, repopulate the breed while reaching pork- promise, so he wants Six Point Berkshire grateful that not all pork chops are created there were only about 700 females in the hungry people around the globe who prefer to increase production to 40,000 animals equal. The 33-member hog producer group country,” says Gene Goldenstein, Six Point the more flavorful meat. “We market most annually. “The market is there, but we will from southwest Minesota is among a tiny Berkshire manager. of our pork to Japan,” Goldenstein says. only grow more if we have secured the minority in the nation producing Berkshire “Consumers there are most interested in market.” hogs. The slow-growing breed produces meat The breed fell out of favor with producers who taste. They tend to eat smaller portions than that’s more flavorful but also higher in fat than want to raise lean pork quickly and efficiently. “They’ve exercised a tremendous amount Americans, so they are less concerned with most American-raised pork. Berkshires produce small litters — only five of due diligence,” says Dennis Timmerman, having a lean product and more interested in to seven baby pigs per farrowing. They gain AURI project director. “They’ve set up a Six Point Berkshire drew its name from the how their food tastes.” weight slowly and have a higher percentage of detailed business plan that follows up on their breed’s distinctive characteristic — four white intramuscular fat than most breeds grown on All Berkshires are bred from one genetic market research. This will help them keep feet, white nose and white-tipped tail. The a large scale today. nucleus, guaranteeing a consistent breed and their production and the market demand in handsome hogs have been in the United quality. Berkshire meat is strong-flavored, balance.” ■ States for nearly two centuries, but the breed Six Point Berkshire produces the largest tender and dark — desired by a growing

BY DAN LEMKE and flavor. It became favored by see today. This is the only known swine registry, was created to marbling than most other types upper-class English farmers. Even outside blood that went into the safeguard the breed’s purity. of pork. Though a decade ago the the Royal Family kept a large Berkshire breed, which records Only hogs directly imported from Berkshire hog was nearly extinct Berkshire herd at Windsor Castle. say has been pure for the last established English herds, or Once out of favor with American in the United States, it has a 200 years. traced directly back to imported pork producers because of long and storied pedigree. The original Berkshire was Berkshires, are accepted for smaller litter size and slower- reddish or sandy colored, It is believed Berkshires came registration. growing characteristics, the Legend has it, the breed was sometimes spotted. The sandy to the United States in the Berkshire is rebounding due discovered by the British army at hair is still sometimes seen early 1820s. They were quickly Berkshire meat is especially to its popularity in gourmet its winter quarters in England’s in the white areas of modern absorbed into the general enjoyed by the Japanese who cuisine and a growing U.S. ethnic shire of Berks more than 300 Berkshires. Later this basic stock hog population because they call it “kurobuta,” meaning market. ■ years ago. Army veterans told of was crossed with Siamese and improved common stock. “supreme black hog.” the remarkable hogs, larger than Chinese breeds, resulting in the Berkshires’ high-quality meat is Source: Oklahoma State other swine, which produced black-and-white color pattern we In 1875, the American darker, tastier and contains more University swine breed hams and bacon of rare quality Berkshire Association, the first directory

PAGE 8 AURI AG INNOVATION NEWS • APR-JUN 2005 Visit our Web site at www.auri.org Loving the lightweight Hog producers collectively market hogs — too light for most U.S. packers — to ethnic consumers.

BY DAN LEMKE Based on production costs and 2002 market has established distribution channels for prices, a 200-pound hog was sold at a $34 lightweight hogs; many are shipped to Mexico Marshall, Minn. — Lightweight Minnesota loss, a 210-pound hog at a $12 loss, and a where consumers prefer the smaller animal. hogs are not pulling their load. 220-pound pig at a $7 loss. Some processors are actively looking for Pork producers in Minnesota raise about “It’s a challenge for everyone,” says lightweight hogs because they have carved 14 million hogs per year — more than three Minnesota Pork Producers Executive Director out specialty-product market niches and need times the state’s human population. Nearly Dave Preisler. “It doesn’t matter what size more volume. 5 percent of those pigs are considered you are, a certain number of hogs won’t meet lightweight, below the range packers want. Producers may also be able to collectively packers’ specs. There are places to go with Hogs that weigh less than 220 pounds earn reach direct markets without a processor. For

PHOTO BY ROLF HAGBERG them — the challenge is: what are you going considerably less than their market-ready example, Minnesota Pork Board President to get paid?” littermates and may actually cost producers Dale Stevermer of Easton says he has been money. Some processors have identified niche able to find local markets for lightweight opportunities for lighter hogs, including hogs. If it increases farm income, it’s worth Minnesota is the country’s third-largest hog Hispanic, Asian, Hmong and Hawaiian investigating, he says. producer. Most producers operate on tight markets.“There are ethnic markets for margins, requiring peak efficiency. Dennis “Each producer needs to look at their underweight hogs, but the processors serving Timmerman, AURI project director, says situation to see how much money they those markets need volume for economy of producers will turn over an entire population are losing” on lightweight hogs, Stevermer scale,” Timmerman says. of hogs in a finishing barn at least twice a says, “And what are the best ways to change year. When most are at market weight, all are A market study sponsored by AURI and the that?”■ sold at once. However, some won’t meet the Minnesota Pork Producers shows the state minimum-weight market requirements. produces more than 1,000 underweight hogs each day. But they are located throughout “If a producer has a 1,000-head barn and the state, making collective marketing a sells all those animals at the same time, for challenge. a variety of reasons, 30 to 50 of those hogs lightweight pigs because barns need to be won’t be as big,” Timmerman says. “Packers A possible solution is a centralized buying cleaned and readied for the next batch, so call them a ‘sort loss’ and pay much less.” station that serves processors, such as Sioux they endure the losses. An underweight hog is Preme Packing, which specializes in lighter Many producers can’t afford to hang on to typically sold at 40 percent of market value. hogs. The Sioux Center, Iowa processor Well-fed pork Full-fat soy diet yields pork with higher Omega 3s BY DAN LEMKE today’s hogs is that “they can’t eat enough to grow optimally,” Bruce Bot says. Minneota, Minn. — The old phrase, ‘you are what you eat,’ holds true even for hogs. The Bots say the high-energy soy ration is better used by hogs. “Even if the cost Pigs fed a full-fat extruded-soybean diet of the extruded beans is higher, the feed yield meat high in Omega 3s and Vitamin E, efficiency is improved, so it takes less feed according to a meat analysis conducted by to put on a pound of pork,” Bruce Bot AURI chemist Jerry Crawford last fall. says. Bruce Bot and eight other southwest Custom Extruding’s process uses Minnesota hog producers requested the pressure and friction to raise soybeans’ study. Bot’s cousin and business partner temperature to about 300 degrees, which Eric Bot opened Custom Extruding LLC in fractures cell membranes and releases Minneota, Minn., which annually processes oil to blend with the meal. To make 60,000 to 70,000 bushels of soybeans into full- conventional meal, oil is removed from fat meal. With soy oil’s health benefits, Bruce the soybean. Extruding doesn’t remove and Eric wondered if feeding the meal to hogs anything but a small percentage of water. would enhance the meat’s quality. The process also negates certain trypsin

AURI tests proved them right. Vitamin E PHOTO BY ROLF HAGBERG inhibitors present in raw soybeans that and Omega 3 fatty acids — known to reduce can keep animals from digesting soy heart-attack risk and fight cancer — were 250 meal. Most monogastric animals cannot percent higher in soy-meal fed pork versus digest raw soybeans and may lose weight conventional. Also, a South Dakota State from eating them. Hogs can fully use the University sensory panel found the taste and

deactivated meal. PHOTO BY ROLF HAGBERG texture compared favorably to traditionally- produced pork. “Today’s pigs perform better on extruded soybeans,” Eric Bot contends. “We want Full-fat extruded soybeans have long been there’s a market that will allow them to receive is looking at various distribution channels to process feed so that it can be used most fed to hogs, but mostly to lactating sows and a premium for their pork,” says Dennis and could possibly design its own label. optimally by the animal.” young pigs because farmers have been leery Timmerman, AURI project development “We’re adding value twice,” Eric Bot adds, of adding excess fat to market hogs, bred for Now that farmers know the extruded meals’ director. The producer group, which markets “first to the soybeans, then to the pork.” ■ leanness. However, a common problem with health benefits, “we’re helping to determine if about 5,000 extruded-soy-fed hogs annually,

AURI AG INNOVATION NEWS • APR-JUN 2005 PAGE 9 news BitterSweet Bakery offers fresh confections to consumers with celiac disease PHOTO BY ROLF HAGBERG

Karla Suckling of Minneapolis enjoys a carrot muffin made at BitterSweet Bakery in Eagan, the only 100-percent gluten-free bakery in Minnesota that caters to people who cannot tolerate wheat, or rye in their diets.

BY CINDY GREEN gluten-free bakery to do so, Narva says. “And “I went to a kinesiologist — a chiropractor the meat and potatoes; I made the sweets.” we get the comment all the time, ‘my family who does muscle testing to see how foods Eagan, Minn. — Lareen Narva started the She tried recipes from gluten-free cookbooks. doesn’t know the difference, everyone loved it, affect your health.” That day she found out 2004 new year by opening Minnesota’s only “Some things did not turn out the way I no one knew it was gluten free.’ ” that “things like sandwiches were killing me. 100-percent gluten-free bakery — one of thought they would. My first failure was a loaf a handful in the United States. Just over a Packaged gluten-free foods are often “dry, “I come from a German heritage — every of bread — it probably weighed 10 pounds. year later, BitterSweet Bakery is not only grainy, with no flavor or a pungent flavor,” meal had bread. Every day there were cookies Her family had to try everything because “I drawing customers from throughout the Narva says. “I wish I could taste those and bars.” After eliminating gluten foods, “I don’t’ like to throw things away,” Narva says. Twin Cities, but remote communities like products when they’re fresh.” For example, couldn’t believe I wasn’t vomiting anymore.” “My family was very honest with me — they’d Madison, Wisc. and Fargo, N.D. In December, white , which keeps better than brown, say, ‘don’t do that again.’ ” Because the disease is hereditary, she had her the Minneapolis Star Tribune included must be stored in a cool, dry place to three children tested, including her 7-year-old “This is a whole new world of experimenting BitterSweet in its “A to Z list of where to find maintain quality. “There is only so much you daughter and 5- and 3-year-old sons (now — nothing that you could ever imagine.” good things to eat.” can do with rice.” 26, 24 and 21). All were diagnosed with celiac Narva wrote her own recipes, taking pointers Narva brushes off accolades for her quick Customers can select from cookies, muffins, disease. Her husband had a related condition, from gluten-free publications and even accomplishments: “I should be shot for what bars and cakes in a wide variety of flavors. colitis, which he treated with a gluten-free used her sister’s Weight Watcher’s trick: “I I’m doing. I’ve never been in business before, BitterSweet also sells and diet. Of her five siblings, “four have the substituted fat with pumpkin or apple sauce never been in the food industry before.” pancake/waffle mix, breads, buns and will condition.” Two of those are not on a special and got a moister, better-quality batter.” soon introduce breadstick and dinner rolls. diet and “live on antacids,” she says. “We can But she is an accomplished baker of gluten- Later this year, the bakery will launch online trace it back four generations — my grandma free treats, as Narva and her three children The cakes and cookies coming out of Narva’s ordering. had it; her parents had it too.” have celiac disease and cannot tolerate oven started receiving raves from family and friends. “But I didn’t have a thought about the gluten in wheat, rye, barley and their The family had to give up favorites like starting a bakery. I had to get three kids derivatives. After 20 years of experimenting cookies, macaroni, burger buns and many The gluten attack through high school.” with non-traditional baking ingredients snack foods. It was difficult for her children. — rice, , potato flour, chickpeas Narva discovered she had celiac disease “When they teach the five basic food groups — Narva has designed baked goods that fool during her third pregnancy. She became in school, they need to say that not everyone SCOREing a business the palate as well as they eye: pumpkin bars, severely ill with stomach pains, vomiting, can eat wheat.” chocolate chip cookies, lemon-poppyseed diarrhea, and lost 10 pounds in her fourth A couple years ago, Narva’s son grabbed a muffins, to name a few. month. “They thought it might be an package of gluten-free cookies off the counter intestinal virus or parasites. You get so Kitchen creations and said, ‘Mom, what is this stuff? Your “What sets me apart from others is my depressed when you’ve tried everything under cookies are so much better. Don’t you get the Narva went to work in the kitchen creating chocolate-cherry muffin tastes like a regular the sun and nothing works.” Narva wondered hint? You’ve got to start a bakery.’ I grew up in replacements. “I’ve always cooked; our family chocolate-cherry muffin. “We do a ton of why she felt better when she ate nothing at a family-owned business — my father owned made everything from scratch. My sister made birthday cakes and wedding cakes,” the only all. a plumbing company. But I didn’t really know

PAGE 10 AURI AG INNOVATION NEWS • APR-JUN 2005 Visit our Web site at www.auri.org what that meant.” Gut-felt disease “I decided to enroll in a four-night class: ‘How Many of BitterSweet’s customers “come right to start a business in Minnesota,”offered by from the doctors office” because customers SCORE,” a nationwide organization of active leave BitterSweet brochures at their clinic and and retired business people who volunteer to tell their doctors about the bakery. counsel small businesses and entrepreneurs. Celiac disease, also known as gluten “By the end of the last class, I decided I could intolerance, is a genetic disorder that affects 1 not do it — they had scared me to death.” in 133 people in the United States — primarily “Life is too short,” Narva told the instructor. those of northern European descent. “He said, ‘You’re right where we want you Symptoms range from mild weakness, bone to be. The reality is you don’t make money pain and upset stomach to abdominal the first 5 years,’ ” Too many start a business bloating, severe diarrhea and weight loss. It thinking they’ll get rich quick, he explained, can be diagnosed with a medical blood test and they aren’t ready for the challenges. or intestinal biopsy. Holistic doctors use other methods for diagnosis. “I said, ‘this is still not encouraging,’ and waited almost six months to call him back.” The disease damages villi in the intestines of people who eat wheat, rye and barley. When she told the SCORE counselor she Some celiacs also avoid , although it is was ready, he connected her to Charan disputed whether oats cause damage. The Wadhawan, AURI food scientist, who helped only treatment is a strict 100-percent gluten- Narva standardize her recipes, scale them up free diet. for retail, maximize the baked goods’ shelf life, ABOVE: Lareen Narva, at right, started baking gluten-free treats about 20 years ago, after she and design nutritional labels. “She had all the A number of related conditions — and her children were diagnosed with celiac disease. Her sons Seth, at left, and Tyrel encouraged Lareen to open her own bakery, BitterSweet, where all of her children now work. resources I needed.” fibromyalgia, irritable bowel, migraines, acne, acid reflux, juvenile diabetes, depression — “When Lareen came to AURI, I thought can be helped with a gluten-free diet. “Gluten BELOW: Chocolate batter rolls into a brownie pan at BitterSweet Bakery, which features gluten- she was the perfect person to start such can inflame the liver, brainstem, joints.” free cakes, cookies, muffins, breads and, for the home baker, cornbread and other mixes. a business,” Wadhawan says. “She is knowledgeable about gluten-free foods and Narva responded to the disease not only with food choices limitations. There is a niche a diet change, but the life change entailed market for her to fill.” in starting a new business. “I’m the kind of person who likes to jump in with both feet Narva was able to keep start-up expenses low soaking wet.” ■ because family and friends offered services, such as plumbing, at discounted rates. Her For more a complete list of BitterSweet only employees have been her three children, products and ingredients, visit www. although her daughter’s first baby is due soon bittersweetgf.com “which means I have to hire an employee; I’m not looking forward to it.”

A celiac’s dream shop BitterSweet’s opening has been met with applause by celiacs “who are grateful for a fresh product,” Narva says. Most have been purchasing only pre-packaged products at food co-ops, specialty stores or on-line. Although more than two million Americans have celiac disease, there are few bakeries to serve them. “There is one in New York, one in Michigan, another in Florida, but for the most part, you can’t find them.” A few Minnesota bakeries make gluten-free products, but only one day per week. Because of high cross- contamination potential, gluten and non- gluten products cannot be made at the same time in the same facility. “Gluten-free products are more expensive — that’s one thing that shocks people who aren’t gluten free.” The bakery is near an automotive shop and people will often come in for a treat while their car is being serviced. “They look at the price and say, ‘I’m not paying $3 for a muffin,’ and they go to Cub. ... The majority of people (with celiac disease) don’t bat an eye.” Because she uses such ingredients as tapioca flour, xanthan gum and psyllium seed, her confections cost more to make. “Why do I do that? Because I get the end results that I need.”

AURI AG INNOVATION NEWS • APR-JUN 2005 PAGE 11 Non-profit Organization U.S. Postage PAID P.O. Box 599 Permit No. 14 Crookston, MN 56716 Change Service Requested Detroit Lakes, MN 56501

SStalkingtalking fforor bbiomassiomass Corn stover has many potential uses, but costs can hinder opportunity

STORY AND PHOTO BY DAN LEMKE Schechinger knows people are enthusiastic Alan Doering, AURI technical services Refiners don’t automatically convert the crude about corn stalks’ potential — from biomass specialist, hears regularly from producers, to gasoline, rather the oil is processed into Harlan, Iowa — The John Deere combine’s energy to fibers to chemical extractions. But grower groups and businesses interested in whatever will bring the highest value, be it tar, deep drone fills the damp fall air as it creeps he is realistic about the economics. using stover for building materials, hog mats, grease or diesel fuel. forward, gobbling up row after row of tall Iowa fuel pellets, paper fiber and endless other corn. But this is gleaning more than “Every time you change the stover, it adds Farmers should look at stover the same way, uses. kernels. cost,” Schechinger says. “Drying and pelleting he says. Separated components, such as the for example, add to the cost. The more you “For any of these projects to work, you have to silks, cob or fibers, or fractions converted The big green machine has been modified to can use the stover as is, the better off you are.” look at the true costs and methods of harvest through biorefining or distillation, may offer include a chopper. The rear addition and handling,” Doering says. “Sometimes the best market. blows stalks, , husks and cobs, which there are misconceptions that stover is normally end up on the ground, into a “It all depends on the end use,” Schechinger Costly ventures inexpensive, but once you factor in all the covered, mechanized, unloading wagon. says. For example, a company that makes costs, sometimes they are too high.” The corn stover is bound for a nearby facility Cost often foils ventures that feature corn horse bedding doesn’t want cob in the stover where it will be used for fibers and research. stalks. While the raw material is abundant, But that’s not to say there aren’t significant because it can be irritating to step on. But it’s also bulky and wet. And the northern opportunities or potential value in corn a chemical manufacturer that impregnates Tom Schechinger, who operates Iron Horse Corn Belt’s harvest window is relatively short. stover. herbicides with cob particles “will pay a good Farms near Harlan, Iowa, is monitoring Storage issues, transportation and drying price if they can get significant volume.” the harvest. For almost 10 years, he has costs can suddenly make this relatively conducted corn stover research projects for inexpensive and available biomass appear less A barrel of stover As the axiom goes, Schechinger says, “One the U.S. Department of Energy, National attractive. man’s trash is another man’s treasure.” ■ Lab, Iowa State University, Schechinger says it’s time producers start Cargill/Dow and others. “It depends upon what it’s competing looking at stover like a barrel of crude oil. against,” Schechinger says. Masses of bio Mention “biomass” and many Midwesterners think “corn residue,” with good reason. Corn stover is the most abundant biomass available in the United States — about 220 million dry tons annually, or three tons of stover per corn acre.

PAGE 12 AURI AG INNOVATION NEWS • APR-JUN 2005 Visit our Web site at www.auri.org