Friday October 14 Ag News

Seven MO River Governors & States to Discuss Flooding on MONDAY in OMAHA

Gov. Dave Heineman will be joined by the Governors and representatives from six other states along the Missouri River for a news conference on Monday, October 17, at 11:00 a.m. CT. There will be a private meeting where the Governors will continue flood-related discussions, and receive an update from the U.S. Army Corps of Engineers on how the Corps will be modifying its operation plan for next year to help prevent the extreme flooding experienced in 2011.

Gov. Heineman will be joined by Gov. Terry Branstad  (IA), Gov. Sam Brownback (KS), Gov. Jack Dalrymple (ND), Gov. Dennis Daugaard (SD) and senior staff for Gov. Matt Mead (WY). Gov. Jay Nixon (MO) will be joining the meeting via phone, and will have senior staff present in Omaha.

The first meeting of the Missouri River Governors was held on August 19, where Governors met in Omaha with the U.S. Army Corp of Engineers. At the meeting, the Governors discussed concerns with and issues related to Missouri River flood control in the wake of this year’s historic flooding.

At this meeting, the Governors will meet with representatives of the U.S. Army Corp of Engineers including General John R. McMahon who oversees the Northwestern Division. FEMA representatives from Regions 7 and 8 will also meet with the Governors to discuss emergency programs and coordination between states and the federal government.



Low-Stress Animal Handling Workshop Oct. 27-28

The Southeast Nebraska Grassland Association invite people to its Low Stress Animal Handling Workshop on Oct. 27 and 28 in Syracuse, Neb., located on highway 2, less than an hour east of Lincoln and less than an hour south of Omaha. The instructors for this workshop will be Richard and Tina (Williams) McConnel, two of the foremost low-stress animal handlers in North America.

So who will this benefit? For anyone who works with animals to move them, sort them, load them, round them up this is invaluable information.

At $100 per day, this is not cheap. However, the actual cost to the Association is over twice that per student but is being underwritten by Five Rivers Resource Conservation and Development Council. In addition to being less than half of the usual cost for this kind of workshop, it is approximately 500 miles closer than sites where it is usually held. Finally, if you bring a friend, you can get $25 deducted from your registration fee. What a deal!

Nebraska Sustainable Agriculture Society (NSAS) members and their families will receive a 50% discount if they register before Oct. 21. If you are not sure if NSAS membership has expired please, send an email to healthyfarms@gmail.com. To join NSAS and receive member benefits, such as this $100 discount, please visit, http://nebsusag.org/join.shtml. Or contact one of our board members. Information can be found at http://nebsusag.org/join.shtml.



August Pork, Beef Exports Soar to New Heights

August was another outstanding month for U.S. pork and beef exports, according to statistics released by USDA and compiled by the U.S. Meat Export Federation (USMEF). Pork exports reached their highest monthly volume of the year at 186,068 metric tons, and the second-highest value total of all time at $531.2 million. Beef exports set an all-time monthly value record at $514.2 million on a strong volume of 116,405 mt. Both pork and beef exports are on pace to set new value records in 2011 and to eclipse the $5 billion mark for the first time ever.

Pork exports surge in Asia, Canada, Russia, Southern Hemisphere markets
August pork exports were 27 percent higher than a year ago in terms of volume and 44 percent higher in value (surpassed only by the record $553.6 million, set in March 2011). This performance pushed year-to-date exports to nearly 1.44 million metric tons valued at $3.82 billion - an increase of 16 percent in volume and 23 percent in value over last year’s pace. August exports equated to 27.3 percent of production with a value of $56.27 per head, compared to 22.4 percent and $40.87 in August 2010. For the year, pork exports equated to 27.3 percent of production with a per head value of $53.98.

August exports to Japan, the leading value market for U.S. pork, were 28 percent higher than a year ago in volume (40,887 metric tons) and 37 percent higher in value ($168.4 million). For the year, exports to Japan were 13 percent ahead of last year’s record pace in terms of volume (328,353 metric tons) and 16 percent higher in value ($1.27 billion).

South Korea continues to be a bright spot for U.S. pork as August exports more than doubled last year’s volume total (10,268 metric tons) and more than tripled the value ($31.2 million). For the year, exports to Korea were 142 percent higher in volume (146,627 metric tons) and 192 percent higher in value ($374.5 million). These totals have already set new full-year records for Korea, topping the previous highs set in 2008 of 133,532 metric tons valued at $284 million.

Exports to China also continued to surge, with a record August volume (35,636 metric tons) pushing this year’s volume up 336 percent (188,622 metric tons) to go along with a 237 percent increase in value ($316.8 million). Exports to Canada were up 9 percent in volume (131,004 metric tons) and 14 percent in value ($464.2 million). August export volume to Russia was the second-highest of the year at 8,213 metric tons. Though export volume to Russia (49,143 metric tons) was down about 12 percent for the year, value was up 22 percent to $149.4 million. Another market showing exceptional growth was Australia, up 18 percent for the year in volume (45,865 metric tons) and 39 percent in value to $147.4 million (less than $1 million short of the full-year value record established last year). Exports to Central-South America were up 22 percent to 44,980 metric tons with volume up 33 percent to $113.4 million. Existing trade agreements have assisted exports to this region and ratification of the Colombia and Panama FTAs will foster further growth.

Mexico continues to be the top volume destination for U.S. pork at 344,875 metric tons – down 3 percent from last year’s record pace. August volume of 44,641 metric tons was steady with last year but up 13 percent from July, and the value of August’s exports to Mexico rose more than 10 percent. For the year, export value to Mexico was up 2 percent to just under $654 million.

“It is gratifying to see U.S. pork exports performing so well in key Asian markets and in so many countries across the globe,” said USMEF President and CEO Philip Seng, who has just returned from the World Pork Conference in Bonn, Germany. “Many regions of the world are facing very tight pork supplies and exports from many pork-producing countries are stagnant. The efficiency and resourcefulness of U.S. producers have allowed our industry to fill this need, and through aggressive campaigns such as the global pork butt initiative we are moving a wider range of cuts than ever in overseas markets. This has solidified our position as the world’s leading pork exporter.”

Beef exports show strong growth in nearly all major markets
Despite slipping slightly from July in terms of volume, a strong August performance pushed beef exports 26 percent higher for the year in volume (857,680 metric tons) and 39 percent higher in value ($3.58 billion). August exports equated to 14 percent of total U.S. production with a value of $214.11 per head of fed slaughter. (This compared to just under 12 percent and $159.59 per head last year.) For the year, beef exports equated to 14.2 percent of production with a value of $200.75 per head.

Though down from the record pace established in July, beef exports to Canada remained very strong at 19,945 metric tons valued at $114.6 million. This was 44 percent higher in volume and 55 percent higher in value than in August 2010. For the first eight months of the year, Canada has been the leading value destination for U.S. beef at $709.7 million (up 54 percent from last year and already a new full-year record) and second only to Mexico in volume at 130,657 metric tons (up 33 percent).

Mexico was the volume pacesetter for U.S. beef at 169,963 metric tons and second in value at $646 million. These totals were up 6 percent and 24 percent over last year’s pace, respectively. August export value of $93.4 million was easily Mexico’s highest monthly total of the year.

The Middle East continued to shine as a region of tremendous growth for U.S. beef, with totals through August running 37 higher than last year in volume (113,229 metric tons) and 46 percent higher in value ($220.7 million). Egypt was the mainstay market in the region but growth was also strong in the United Arab Emirates, Saudi Arabia, Kuwait and Qatar – markets aggressively targeted this year by USMEF.

Asian markets were also an excellent source of growth for U.S. beef exports, including Japan (up 38 percent in volume to 109,051 metric tons and 44 percent in value to $583.6 million), Korea (up 49 percent to 110,017 metric tons and 41 percent to $485.6 million), Hong Kong (up 66 percent to 33,827 metric tons and 98 percent to $151.2 million) and the Philippines (up 21 percent to 9,003 metric tons and 37 percent to $25.6 million). Taiwan was the exception to this trend, dropping 7 percent in volume (22,642 metric tons) and 6 percent in value ($123.1 million) due to regulatory changes that have created an uncertain business climate for importers.

The Central-South America region increased purchases of U.S. beef by 50 percent in volume (17,320 metric tons) and 66 percent in value ($49.8 million) over last year. Chile, Peru and Guatemala have been the primary centers of growth in the region, but exports should be further bolstered by free trade agreements with Panama and Colombia.

“We are very excited about the growth of U.S. beef exports, not only in traditionally strong markets but in emerging destinations as well,” Seng said. “Despite significant trade barriers in Asia, we continue to achieve outstanding success in most of our key markets. And even in Taiwan, where a large decline was predicted, the U.S. industry’s efforts with importers, distributors and retailers have helped U.S. beef maintain a strong presence. We have also targeted the hotel and restaurant sectors in growing tourist destinations such as the Middle East, Hong Kong and the Philippines, and those efforts are paying significant dividends.”

Lamb exports challenging all-time volume, value records
After a somewhat slow start to 2011, U.S. lamb exports have climbed 72 percent ahead of last year’s pace in terms of volume (14,901 metric tons) and 42 percent higher in value ($21.2 million) These were the largest January-August export totals ever achieved by U.S. lamb, and exports are already near the annual volume record of 13,934 metric tons set in 2006. Mexico, Canada and the Caribbean continue to be the mainstay markets, but exports are also showing promise in Central America and the Middle East.



Japanese Corn Industry Convinced of US Stable, Quality Corn Supply

The U.S. Grains Council recently organized a team of Japanese corn industry representatives to travel to the United States for a firsthand look at the high quality crop.

“It was encouraging for the corn buyers in the team to see the good condition,” said Tommy Hamamoto, USGC director in Japan. “The U.S. maintains over 80 percent market share in Japan mainly due to the reliable supply of high quality corn. The visits further ensured the industry’s willingness to purchase U.S. corn.”

The team visited a Grain, Inspection, Packers and Stockyards Administration (GIPSA) field office to learn about grain quality assurance standards for both domestic and export use. The team also toured the Chicago & Illinois River Terminal Elevator, the CGB Naples elevator and the Zen-Noh export elevator in New Orleans. Finally, the team met with Monsanto to learn about new developments in biotechnology and breeding.



NOPA Sep Soy Crush Lower

The National Oilseed Processors Association (NOPA) says soybean crush was 110.313 million bushels for September, down 8.454 million bushels from the previous month.  Soybean meal production came in at 2.64 million short tons (s.t.), down 212 thousand s.t. from August and 284 thousand s.t. from September 2011.  September 2011 Soy Oil production was pegged at 1.29 billion pounds, down 96 million pounds from the previous month and down 138 million pounds from the some month one year ago. 



NAWG, 70+ Groups Offer Support for Nuisance Dust Legislation

The National Association of Wheat Growers has joined a coalition of more than 70 groups this week expressing strong support for a bill that would exempt rural “nuisance dust” already regulated by states and localities from regulation under the Clean Air Act.

The legislation, H.R. 1633, or the Farm Dust Regulation Prevention Act of 2011, has been offered by Rep. Kristi Noem (R-S.D.) in response to reports the Environmental Protection Agency (EPA) is considering  regulating a certain type of dust as much as twice as strictly.

Under the Clean Air Act, EPA is required to set National Ambient Air Quality Standards for coarse particulate matter (PM) every five years. In 2006, EPA set that standard at 150 micrograms per cubic meter based on a precautionary viewpoint because science at the time was inconclusive about coarse PM’s health effects.

EPA has been reviewing the standard for coarse PM, which is essentially dust kicked up by cars or machinery on roads or during field work, for more than a year.

A policy assessment that should form the basis of the ultimate decision makes two recommendations to Administrator Lisa Jackson: 1) maintain the current standard because of remaining uncertainties in the science behind the regulation or 2) revise down the standard to between 65-85 micrograms per cubic meter, regardless of the uncertainties.

The second option would effectively make coarse dust standards under the Clean Air Act twice as strict - and would likely put much of rural America either into a state of “nonattainment” or at risk for nonattainment depending on weather conditions.

Since beginning the review, various Administration officials have said concerns about additional dust regulation are unfounded, though EPA has not yet announced its decision or a timeline for its decision.

In a letter sent this week to leaders of the House Energy and Commerce Committee’s Energy and Power Subcommittee, the groups described the potential negative consequences of further regulation.

“As you are aware, farming and other resource-based industries are dusty professions. From tilling fields, to driving on dirt roads, to extracting resources, rural Americans deal with dust every day. Working in the soil is where they derive their livelihoods, and where the world derives much of its food and other essential resources,” they wrote.

“If the EPA were to revise the dust standard to 65-85 µg/m³, states would be put in a position of having to impose regulatory restraints on rural operations, increasing the cost of production when that cost is already at historically high levels. And, for what purpose? Scientific studies have never shown rural dust to be a health concern at ambient levels.”

The groups called H.R. 1633 “common sense” legislation that would exempt nuisance dust from Clean Air Act regulations if states and localities regulate it on their own. In areas where there is no local regulation, the bill would allow the Administrator to impose regulations under the Clean Air Act, but only if scientific studies show that there is a significant health effect from coarse PM in that area and that the cost of the regulation would not outweigh its benefits.



Key Scientist Says Agriculture Productivity Growth Must Increase
(from NAWG newsletter)

A leading scientist recently told American millers that U.S. investment in agricultural research is less than 1 percent of the total farm gate value of goods, which must be increased by developing a greater voice for “the science of agriculture” through cross-sector efforts.

Dr. Robert Beachy, former head of USDA's National Institute for Food and Agriculture (NIFA) and a trustee of the Donald Danforth Plant Science Center, spoke at the North American Millers’ Association annual meeting late last week.

From his unique perspective as a former Obama Administration official and a leader of a major, non-profit research center, Beachy described for NAMA members his view of opportunities and challenges for both U.S. and global agriculture.

He said that to double agricultural output by 2050, when the global population is expected to be around 9 billion, without growing agriculture’s environmental footprint, the rate of productivity growth will need to rise from around 1.4 percent annually to at least 1.75 percent annually.

Beachy said challenges for food providers going forward will include ensuring adequate supplies of food for a growing population, while adapting to changes in the climate, finding new and sustainable sources of energy and ensuring natural resources. To facilitate these goals, Beachy also identified profitability in the agriculture sector as a necessary component of sustainability for the industry.

Beachy said a second “green revolution” began 15 years ago with the introduction of biotechnology and predicted a third green revolution will occur around efforts to reduce food losses and waste and to couple efforts to achieve food security goals with production of secondary effects, like bioenergy.

He said modern technologies, including biotechnology, will be essential to sustainability efforts, describing biotechnology's positive impact on the environment, greenhouse gas emissions and productivity for those crops in which it is widely incorporated.

Beachy also addressed the state of agricultural research reinvestment, telling audience members an estimated $121 billion is invested annually in agriculture research, with an additional $165 billion invested by food manufacturing companies. These investments support about 3.7 million jobs, as well as the sales of agriculture goods, services and food products in the U.S. and overseas.

To increase the money going to basic and applied research, he called for cross-sector efforts to identify research targets and partnerships, as well as the development of new funding mechanisms. He specifically said collaborations and public, private and government partnerships will be essential in the future of agriculture research, as challenges rise while available dollars decrease.



ACE welcomes energy policy debate and recognition that increased domestic energy production creates jobs 

The American Coalition for Ethanol (ACE) said it welcomes debate about energy policy and job creation, and reminds the public and candidates for office that since the Renewable Fuel Standard was enacted, the ethanol industry has increased energy supplies and added more new jobs than any other domestic energy product.

ACE Executive Vice President, Brian Jennings, says this is a good time for the industry to highlight the benefits that ethanol is providing in the United States.  “ACE is pleased to see the focus on improving domestic energy production on the campaign trail. We have continually reminded elected officials and candidates for office that ethanol has increased our domestic energy production and has provided new jobs for hundreds of thousands of Americans. While many say they support an “All of the above” energy strategy, policy recommended and supported by some candidates often seem to be “all of the below” strategies, focusing only on more drilling in more places to try boost job numbers. We need to remember that ethanol production has already contributed to hundreds of thousands of jobs in the US, and will continue to do so as long the EPA is not prevented from allowing consumers the option of using 15% ethanol-blended fuel, and as we continue to install more blender pumps and build more flex-fuel vehicles,” Jennings said. 



Sales Up for Syngenta During Third Quarter

Sales in the third quarter of 2011 increased by 16 percent at constant exchange rates Syngenta. The company says volume expanded by 13 percent, representing the sixth consecutive quarter of double digit growth, and prices rose 3 percent.

In the first nine months of the year, sales were up 13 percent at constant exchange rates at $10.4 billion.

In Latin America, Syngenta's leading offers enabled growth of 27 percent across the portfolio. A robust soybean crop price and the expectation of lower production in the USA are leading to increased investment by soybean growers in Brazil and Argentina.

Corn sales were also up strongly with rapid adoption of both herbicides and traits. In Europe, Africa and the Middle East, sales increased by 10 percent led by France and the CIS.



ADM Orders Three New Ocean Vessels For Crop Shipments

Archer Daniels Midland Company announced that it has placed an order with Japan's Sumitomo Corporation for the construction of three new post-Panamax dry-bulk oceangoing vessels, which will increase the size of ADM's oceangoing fleet to 11 vessels. The post-Panamax dry-bulk carriers will have a deadweight of approximately 95,000 metric tons each.

"Adding three new oceangoing vessels to our global transportation network supports our strategy to increase the volume of crops we handle and expand the geographic footprint of our operations worldwide," said Royce Wilken, an officer of ADM Transportation. "It also provides greater flexibility and control of our supply chain while improving our transportation margins."

To support the increasingly global nature of its business, ADM owns and operates an expansive global transportation network, which currently includes 700 trucks, 1,500 trailers, 26,100 railcars, 1,700 barges, 58 tug boats, 29 line boats and eight oceangoing vessels, that moves crops from local elevators to processing plants and customers around the world. ADM's fleet of oceangoing vessels-ranging in size from Handy and Handymax to Supramax and Panamax-serves as the backbone of ADM's grain transportation program.

ADM's three new oceangoing vessels will be built with technology that offers high performance while decreasing energy consumption to offer the best available environmental footprint for shipping large quantities of bulk commodities overseas.



National FFA Organization to host social media training
Session will provide convention delegates ways to advocate and lead via social media

The National FFA Organization will expand the capabilities of its members to advocate for agriculture by hosting its first ever social media training for FFA members during the 84th National FFA Convention on Monday, Oct. 17.

The four-hour session will teach participants how social media plays a role in leadership on a global, national, state and local level. Students will learn more about the need for advocates in agriculture and how they can authentically tell their story using social media.

“With FFA enrollment at an all-time high and the numbers of people using social media increasing at a rapid rate, we felt it was time to help FFA members join relevant conversations in social media,” said Shane Jacques, education specialist with the National FFA Organization.

More than 90 delegates to the national FFA convention representing 12 states will take part in this session, sponsored by Rabo AgriFinance. The company is deeply rooted in agriculture around the world and across America and is committed to developing young agricultural leaders with ongoing support of the FFA.

“Young people are on the cutting edge of social networking, they use it to communicate with friends and family on a daily basis,” said Bob Wilhelm, vice president of marketing and communications for Rabo AgriFinance. “Now it’s time to take these FFA leaders to the next level and teach them how to combine social media experience with their passion for agriculture and turn them into the advocates that agriculture needs.”

Presenting the social media training are digital specialists from AdFarm, an integrated marketing, branding and digital agency with an uncommon expertise in agriculture.  The social media session will be streamed live on the National FFA Facebook page http://www.facebook.com/nationalffa from 1:00 p.m. - 5:00 p.m. EST and will be archived on the website http://www.ffa.org/. The 84th National FFA Convention in downtown Indianapolis concludes Oct. 22 and is expected to draw over 50,000 FFA members, advisors and supporters.



MyPlate Inspires Healthful Eating
By Agriculture Secretary Tom Vilsack

We know that a healthy nation starts with healthy people.  A good diet helps kids stay active and focused at school.  And staying healthy can increase your productivity on the job.  But sometimes families who want to make healthier eating choices are confused by conflicting messages, or don't have time to do the research.

That’s why, earlier this year, I launched a new, easy to understand food icon, called MyPlate.  It’s a clear and simple visual showing what a healthy meal looks like on your plate.  And now, USDA is launching our first message to accompany MyPlate - “Make half your plate fruits and vegetables.”

Today, most Americans don’t consume the recommended amount or variety of these important foods. But by joining with partners – like grocery stores, schools and health professionals – to promote the simple MyPlate message, USDA wants to help raise a healthier generation by reminding kids and parents to increase their consumption of fruits and vegetables.  

And right now, you can help spread the word by entering a contest with cash prizes that we call the MyPlate Fruits and Veggies Video Challenge.  To enter, create a short, 30-second video showing how you build a healthy plate with fruits and veggies on a budget.  Share your tips, tricks, and how-tos to inspire fellow Americans to enjoy more fruits and vegetables.  Do you have a great recipe?  Do you grow your own in a garden?  Tell us about it.  We’re looking for easy, affordable and practical ideas.  For information on the challenge, go to MyPlate.gov.

And what’s more – our efforts to help folks choose healthier diets will pay dividends for American agriculture.  Sales of American-grown fruits and vegetables are worth more than $33 billion annually and support tens of thousands of jobs.

Recently, I went to California to meet with some of the folks growing those healthy foods.  I toured a facility that helps a family-owned farm ship more than 40,000 boxes of fresh fruits and vegetables directly to consumers each month.  In the past year alone, this company has nearly doubled their workforce.

I know that across the country, farm operations of all sizes will benefit as Americans choose farm-grown produce and healthier lifestyles.  And by helping families grow strong by reminding them to ‘make half their plate fruits and vegetables,’ we can encourage healthy eating that is a win-win for the public and the American farmer.