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  • 1. Improving Human Nutrition with Biotechnology-Derived Soybean Traits Biofortification Conference November 9, 2010 Joe Cornelius Monsanto Company 1
  • 2. The World Produces 133 MMT of Vegetable Oils 83% is Consumed for Food 20 2009 Global Vegetable Oil 18 2009 Global Vegetable Oil Production Consumption in Food 16 14 Was 110 MMT Soybean 40 MMT 12 30% 10 Rapeseed 8 Palm 19 MMT 47 MMT 14% 6 35% 4 2 Sunflower, 11 0 Philippin… Argentina Russia India Australia Japan China Thailand Turkey Ukraine EU Indonesia Brazil Canada Mexico Malaysia USA Iran Coconut, 3 Cotton, 5 Corn, 2 Peanut, 5 2 Monsanto Confidential
  • 3. Improving Soybean Oil Composition Provides Opportunity to Positively Impact US Diets U.S. Edible Oil Consumption (27 Billion lbs) Sunflower Tallow, edible Coconut Corn Soybean (65%) Cottonseed (16.6 B Lbs) Lard Olive • Soybean oil is a major component Palm of US dietary oils & fats Palm Kernel Peanut • For fried foods, baked goods, and Canola snack products, soybean oil is 2008 Soya & Oilseed Bluebook Safflower hydrogenated to increase shelf life and flavor stability • Partial hydrogenation process creates trans fats
  • 4. Vegetable Oil Consumption Impacts Nutrition Nutritional Recommendations and Actual Intake (% of energy) 16 14 We consume We consume too much too little 12 10 8 6 4 2 Low as 0 possible Trans Fat Saturated Mono- Poly- Hydrogenation Fatty Acid Unsaturated Unsaturated (Linolenic) (Palmitic) (Oleic) (Omega 3/6) Dietary Recommendations Actual Consumption 4 Monsanto Confidential
  • 5. Technology Platforms Enable Innovation from Gene to Seed to Food BREEDING Genomics Improved Biotechnology Crop Conventional Breeding Germplasm Molecular Breeding Crop Analytics Food & Nutrition Seeds BIOTECHNOLOGY Two R&D pathways linked by shared tools 5 Monsanto Confidential 5
  • 6. Vistive® Gold Soybean Oil High Stability, Low Saturated Fat, Zero Trans Fat Over 12 years development with Processors, Food Co’s and Nutrition Community OUTPUT TRAIT PRODUCT CONCEPT: NEW 2010 Dietary Guidelines: Reduce • Consumer health (reduce trans fat & saturated fat) saturated fat from • Food product performance (increase oxidative stability) 10% en to 7% en • Sustainable local source (renewable feedstock - food & industrial)) Soybean Oil - Fatty Acid Composition (%) 16:0 18:0 18:1 18:2 18:3 Palmitic Stearic Oleic Linoleic Linolenic Commodity Soybean Oil 11 4 20 55 8 Vistive Gold Soybean Oil* 3 3 74 15 < 3.5 Benefits Reduce Saturates Increase Stability Zero Trans (Total 60%, Palm 73%) Discovery Phase 1 Phase 2 Phase 3 Phase 4 Launch Proof of Concept Early Development Adv. Development Pre-Launch * Target fatty acid composition; final product specification range is contingent upon variety development and environment 6 6 Monsanto Company Confidential 6
  • 7. Biotechnology + Breeding Enhance Soybean Oil Fatty acid Δ-9 synthesis Desaturase 16:0 18:0 18:1 18:2 18:3 Palmitic Stearic Oleic Linoleic Linolenic Saturate Saturate Mono Omega 6 Omega 3 FAD2 Δ-12 FAD3 Δ-15 Desaturase Desaturase Palmitate FATB (in trigly- cerides) Thioesterase CONVENTIONAL VISTIVE® GOLD 18:1 16:0 18:0 Palmitic Stearic Oleic 18:2 Linoleic 18:3 Linolenic Omega 3 Saturate Saturate Mono Omega 6 FAD2 Δ-12 FAD3 Δ-15 Desaturase Desaturase FATB Activity Reduced- Conventional Thioesterase Biotech (RNAi) Breeding Reduces Saturated Increase Monounsaturates Reduces 18:3, enabling frying Fatty Acids Reduces Polyunsaturates without hydrogenation NOTE: relative sizes for illustrative purposes only- not proportional to actual composition
  • 8. Vistive Gold Technology in the Seed Lowers Saturated Fat in a Soybean Acre Lbs of Saturated Fat / Acre 80 Each acre of 70 Vistive Gold Stearic 60 Soybeans 50 reduces: 40 • Saturated Fat 60% Palmitic • Palmitic Acid 75% 30 Stearic 20 10 Palmitic 0 Commodity Soy Vistive Gold Soy 15% Sat Fat 6% Sat Fat Over a persons lifetime Vistive Gold could reduce saturated fat intake 377 LBS Average annual U.S. per capita consumption of soybean oil is 54 lbs; Average U.S. lifespan is 77.7 years 8 Monsanto Confidential
  • 9. Vistive Gold Technology in the Seed Increases Soybean Oil Fry Life 77% French Fries and Fried Chicken 100 Hrs of Fry Life in Food Application 90 80 90 Hrs Vistive 70 Gold 60 Oil 50 Fry Life 40 51 Hrs Commodity 30 Oil 20 Fry Life 10 0 Commodity Vistive Gold Soybean Acre Soybean Acre 9 Monsanto Confidential
  • 10. Vistive Gold Delivers Consumer Nutrition Benefit % Trans & Saturated Fat in French Fries French Fry Percent 40 39.1% Study 35 Trans • Vistive oil reduced saturated fat 43% Fat and trans fat 98% in french fries 30 15.7% • Vistive oil enables Zero Trans Fat on 25 nutrition facts label 20 • Food Co’s striving for “Clean Label’s” Sat 13.5% (no trans-fat, no PHSBO, low saturated fat) 15 Fat Nutrition Facts Nutrition Facts 23.4% Trans Serving Size 114 g Serving Size 114 g 10 Amount Per Serving Amount Per Serving 0.3% Calories 384 Calories from Fat 183 Calories 384 Calories from Fat 183 5 Sat % daily Value* % daily Value* 13.2% Total Fat 20g 31% Total Fat 20g 31% Saturated Fat 4g Saturated Fat 2.5g 0 Hydrogenated Vistive Gold Trans Fat 1g Trans Fat 0g French Fry in Partial French Fry in Source: 2009, Merlin Development and Monsanto Hydrogenated Oil Vistive Gold Oil Monsanto Confidential 10 10
  • 11. Soymega Soybean Oil for Food TM (SDA Omega-3 Enriched Soybeans) Over 12 years development with Processors, Food Co’s and Nutrition Community OUTPUT TRAIT PRODUCT CONCEPT: • Consumer nutrition benefit (bioactive omega 3 – heart health) • Improve food product performance (taste and shelf life) • Sustainable source of omega 3 in food (renewable supply – non marine) Soybean Oil - Fatty Acid Composition (%) 16:0 18:0 18:1 18:2 18:3 18:4ω3 Palmitic Stearic Oleic Linoleic Linolenic Stearidonic Commodity Soy 11 4 24 52 8 0 SDA Omega 3 Soy* 11 4 20 24 10 20 Increase Omega-3 Discovery Phase 1 Phase 2 Phase 3 Phase 4 Launch Proof of Concept Early Development Adv. Development Pre-Launch * Target fatty acid composition; final product specification range is contingent upon variety development and environment 11 Monsanto Company Confidential
  • 12. SDA-Omega 3 Soybean Oil a Better Solution Dietary EPA has been demonstrated in clinical trials to benefit heart health* Algae Produce Marine Route to Omega 3 EPA in Human Diet is via Algae and Fish Oil 18:1 18:2 18:3 18:4 20:5 20:5 20:5 Oleic Linoleic ALA SDA EPA EPA EPA Mono Omega 6 Omega 3 Omega 3 Omega 3 Omega 3 Omega 3 Rate limiting step is ALA conversion Fish consume Humans consume to SDA in fish and mammals algae and deposit fish and deposit EPA EPA Soybeans Produce Biotech Route to Omega 3 SDA in Human Diet is via Soybean Oil 18:1 18:2 18:3 18:4 20:5 20:5 Oleic Linoleic ALA SDA SDA EPA Mono Omega 6 Omega 3 Omega 3 Omega 3 Omega 3 + Delta-15 + Delta-6 A wide variety of Humans consume good desaturase desaturase foods made with tasting SDA foods and (overcomes rate limiting step) SDA soy oil produce their own EPA * Yokoyama et al. Effects of eicosapentaenoic acid on major coronary events in hypercholesterolaemic patients (JELIS): a randomised openlabel, blinded endpoint analysis. Lancet 2007; 369: 1090–98 12 Monsanto Confidential
  • 13. SDA Omega-3 Soybean Oil Clinical Study Confirms Heart Health Benefit CLINICAL STUDY RESULTS DEMONSTRATE SDA • SDA is GRAS (Generally CONVERSION TO HEART HEALTHY EPA Recognized As Safe) 1.4 Presented at: * • SDA diet more than %EPA IN RED BLOOD CELLS 1.2 doubles heart healthy EPA American Heart Association * 1 Scientific Sessions Nov. 14, 2009 by levels compared to 0.8 Dr. William Harris commodity soy 0.6 • In addition, SDA diet 0.4 exhibited a significant 12 Weeks 12 Weeks 12 Weeks reduction in triglycerides Control Control Control 0.2 • 26-30% reduction versus 0 Conventional EPA Oil SDA Soy control subjects with high Soy Oil Diet Control Diet Oil Diet baseline triglycerides *Per protocol population of 157 subjects; p<0.001 compared to soy oil control; SDA and EPA not different p=0.101 Mean (+ SEM) for per protocol population of 157 subjects •p<0.001 compared to soy oil control; delta for SDA and EPA not different p=0.101; ANCOVA 13 Monsanto Confidential 13
  • 14. Soymega SDA is Compatible with Food Systems Broad Range of Food Applications Granola Bar Shelf Life Results Excellent Stability and Clean Neutral Flavor Beverages Baking Soymega flavor profile outperforms Soy Milk/Smoothies Breads alternative sources of Omega-3 Fruit Juices/Drinks Muffins Vegetable Juices/Drinks Cookies/Crackers 7.5 Enhanced Waters Pastries/Cakes Baked Cereal Bars Dairy Products Dairy Drinks Snack Foods Low Score Yogurt/Yogurt Drinks Granola/Cereal Bars 5.0 5.0 Cheese Products Nutritional Bars = Better Sour Cream/Dips Snacks Taste! 4.0 Ice Cream/Frozen Desserts Confectionery 3.5 3.5 Non Dairy Creamers Prepared Foods Oil Based Foods Processed Meats Margarine/Spreads Processed Fish Shortenings Entrees/Sides Mayonnaise Soups/Sauces Salad Dressings Pet Foods Peanut Butter Control SDA Flax Algal Fish Encapsulated Soy Soy Fish 0-15 Scale =National Food Laboratory. Nut and Berry Granola Bar Sensory Results. July 2008. 14 Monsanto Confidential
  • 15. Omega-3 Soybeans a Path to Sustainable Supply Just one acre of Omega-3 SDA- enriched soybeans is equal to ~10,000, 3 oz. servings of salmon * Each salmon icon represents 100 servings of fish 15 15 15 Monsanto Company Confidential
  • 16. Summary: Improving Human Nutrition with Biotechnology-Derived Soybean Traits 2010 Dietary Guidelines Recommendations • Avoid industrial trans fat Vistive® Gold • Substitute with MUFA and PUFA Low Saturate High Oleic • Reduce saturated fat in diet Low Linolenic • Reduce to less than 7% en. Soybean Oil • Substitute with MUFA and PUFA • Consume LC sources of Omega-3 Soymega™ • Two 4 oz. servings of fatty fish/week SDA Omega-3 • Average of 250mg LC PUFA/week Soybean Oil 16 Monsanto Confidential 16