Fusarium Head Blight (FHB) has led to major economic costs for wheat and barley producers. Grain products and feed grain contaminated with deoxynivalenol (DON) (commonly known as vomitoxin) are subject to Food and Drug Administration advisory limits and as a result end-users place restrictions on their use. This has led to steep price discounts, as well as higher risks for producers and grain merchandisers. Varietal research has led to development of varieties that are resistant or moderately resistant to FHB. Studies indicate combinations of genetic resistance, fungicides and some management practices (combine settings, tillage practices, etc.) can be used to decrease economic costs due to FHB. The purpose of this study was to estimate the economic costs of scab. To do so we developed several economic models, analysed extensive data and conducted surveys of wheat flour millers, barley maltsters, and grain handlers. A detailed assessment of costs indicates the most important costs accrued by the wheat and barley industries were the risk premium paid to induce adoption of DON reducing technologies and the value of yield forgone. These were followed by the direct costs of fungicide, added shipping costs, testing and segregation and discounts.

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An important emerging problem in soybean marketing is the variability in quality, which is typically measured by protein and ultimately results in mispricing. This study analyzes the effects of testing soybeans for specific quality traits including essential amino acids. A model was developed to analyze costs and risks that may arise for grain handlers to segregate soybeans into high-and low-quality grain flows based on alternative importer purchasing specifications. A stochastic optimization model is used to determine optimal testing locations and intensities in addition to the costs and risks to grain handlers. The model allows for blending to determine optimal shipments from separate locations with differing quality distributions. This paper provides a framework for agribusinesses, grain handlers, and marketers to make decisions in response to importers' purchasing requirements and strategies. K E Y W O R D Ssoybean quality, testing, trading,