Ag News Summary for Nov 10-11...

Learn more at the 2011 Cattlemen's College    

The 2011 Cattlemen’s College will showcase many great speakers this year and now is the time to register for the event. The college will be held at the Holiday Inn in Kearney, Nebraska on December 7, 2011 in conjunction with the Nebraska Cattlemen/Nebraska CattleWomen Annual Convention.

Cattlemen’s College is a short, intensive cattle producer program designed to address relevant issues and deliver information that will improve a producer’s operation.

The following topics will be discussed:
·         Market Outlook
·         100 Beef Cow Ownership Advantage
·         Alternative Winter Grazing Strategies
·         Considerations & Performance of Cattle Grazing Corn Residue
·         Economics & Defense of Livestock Growth Technologies

The Cattlemen’s College will begin at 1:00 p.m. and conclude at 6:00 p.m. Thank you to Pfizer for sponsoring the Cattlemen’s College once again this year.

Registration is now open and will be accepted until December 7, 2010. The cost of the program will be $50 and all are invited to attend. More information about registration can be found on Nebraska Cattlemen’s website at www.nebraskacattlemen.org or you can call the Lincoln office at 402.475.2333.



Nebraska Ethanol Industry Coalition teams with FFV Awareness Campaign for grant project

A new grant awarded by the U.S. Department of Agriculture will be used to promote flex fuel vehicles, flex fuel pumps, and driver education.  The grant was announced at a meeting of the Nebraska Ethanol Board today.

The Nebraska Ethanol Industry Coalition (NEIC), a non-profit educational organization, will be working with the FlexFuel Vehicle Awareness Campaign to institute a wide range of activities aimed at increasing ethanol use in order to meet the national renewable fuel standard.  Project partners include the Nebraska Ethanol Board, the Nebraska Corn Board, the Clean Fuels Foundation, ICM, Poet Ethanol Products, Monsanto, Green Plains Renewable Energy, and Phibro Ethanol Performance Group.

While the FFV Awareness Campaign is an ongoing national effort, this project will concentrate on six states: Nebraska, Iowa, Kansas, Maryland, Georgia and Florida.  Key elements of the project include working with state motor vehicle departments to inform drivers that they may already have a flex fuel vehicle and how FFV drivers can easily find fueling sites offering high-level ethanol blends.  The campaign will also provide an opportunity to educate all drivers on ethanol with respect to performance, emissions, and advantages it provides over gasoline and imported oil.

Todd Sneller, Chairman of the Clean Fuels Development Coalition and Administrator of the Nebraska Ethanol Board, said the project reflects a unique “virtual pipeline” that targets production states like Nebraska, Iowa and Kansas and links them with key markets like Maryland, Georgia, and Florida.  “Clearly we are near the saturation point in terms of ethanol blends in conventional vehicles,” said Sneller.  “To maintain the renewable fuel standard and move to the next level we need to take advantage of the 9 million FFVs on the road today that can use high level ethanol blends, ranging up to E85.  For that to happen drivers need to know their vehicles have this capability and where to find the fuel,” he said.



Crops Breeder Baenziger: Ag Challenges to Feed the World are Unprecedented

Take it from a guy who helps feed the world: There's nothing quite like surveying a field comprising a healthy new crop breed your research team helped create and recalling, years earlier, "when you held all the seed of it in the palm of your hand."

P. Stephen Baenziger, University of Nebraska-Lincoln small grains breeder, brought his passion about his work to a talk titled "Setting the Stage: Why Agriculture?" Baenziger was the second speaker in the Institute of Agriculture and Natural Resources' Heuermann Lecture series, which focuses on meeting the world's growing food and renewable energy needs while sustaining natural resources and the rural communities in which food grows.

Baenziger has been the front lines of that work his entire career, including 25 years at UNL. He inherited and built on a grains-breeding program that has produced wheat breeds now planted on 66 percent of Nebraska wheat acres, as well as in nearby states. He emphasized Thursday, as he has throughout his UNL career, that this work is achieved by a skilled team.

While that success has helped boost income for Nebraska producers -- by about $71 million a year, he estimates -- Baenziger is even prouder of the fact that UNL's improvements to wheat are responsible for feeding about 2.7 million people a year. That's "why I get up every morning and come to work and why I sleep well at night."

The challenges ahead for agriculture, in Nebraska and around the world, are unprecedented, said Baenziger. He reflected on the last time in human history when the prospect of massive worldwide starvation was staved off by a Green Revolution led by Norman Borlaug and Henry Beachell. Now, 40 years later, with a population expected to reach 9 billion by 2043 -- a wealthier population, by the way, that will eat the equivalent of what would feed 12 billion today -- agricultural scientists are again racing the clock to help produce enough food.

The Green Revolution's improvements -- synthetic fertilizers and a variety of herbicides and pesticides -- likely have improved yields all they can, so future progress will depend mostly on genetic improvements by scientists. That will include transgenic crops, resisted by many consumers, and developing new hybrids.

"For the first time, we're beginning to really tease apart our breeding systems so we can be more efficient," Baenziger said.

Baenziger said the world's recognition of the challenge ahead in feeding itself is leading to a new respect for agriculture, which many have been unwilling to see as real science. In fact, Baenziger said, it's humans' "first science," the one that made all future progress possible.

"I think you're going to see some of the very best minds coming to agriculture," he said.

In fact, Baenziger added, Socrates' words from some 2,500 years ago have never been truer: "No one can be a statesman who is entirely ignorant of the problems of wheat."

"We can never be complacent. We always have to be prepared for what the future brings," he said.

Baenziger considers himself an optimist, but even he said he's not certain the challenges ahead can be met. "We're asking agriculture to perform at a level that we've never seen before."

But, he added, "failure cannot be an option, unless you're willing to accept starvation," Baenziger said.

Heuermann Lectures are made possible through a gift from B. Keith and Norma Heuermann of Phillips, long-time university supporters with a strong commitment to Nebraska's production agriculture, natural resources, rural areas and people. Future lectures include former Nebraska Gov. and U.S. Sen. Robert Kerrey, Dec. 12, and Stewart Brand, considered the founder of Earth Day, Jan. 17, 2012.



Informa: 2012 Corn Acres Up 2.2%
Analytical Firm Pegs Corn Plantings at 94 Million Acres

Private analytical firm Informa Economics Friday raised its outlook for U.S. corn plantings in 2012, cut its forecast for plantings of soybeans and left its wheat forecast unchanged, traders said.

Informa, a closely watched crop forecaster, pegged corn plantings at 94 million acres, up from its October estimate of 93.1 million acres, traders said. The firm projected soybean plantings at 76.1 million acres, down from its October forecast of 77 million, and left its wheat plantings outlook unchanged from October's 57 million estimate.

Informa, in a report, attributed the increase in corn area compared with last month due to corn's improved net revenue prospects as compared to those for soybeans over the past month. Recent soybean prices are nearly equal to the level offered about 30 days ago while corn prices increased slightly, giving corn a larger advantage in projected returns as the two crops compete for 2012 acreage, the report said.

If Informa's planting projections are realized, farmers in 2012 will harvest a record 14.1 billion bushels of corn, assuming they abandon a normal number of acres and produce trend-type yields, according to the firm. Farmers will harvest 3.35 billion bushels of soybeans and 2.3 billion bushels of wheat, assuming normal abandonment and trend-type yields, Informa said.

The firm forecast 2012 all wheat yield at 45.4 bushels per acre, which, if realized, would be 1.7 bushels per acre above 2011. Informa also estimated 2012 winter wheat seedings at 39.8 million acres, up 55,000 from its October forecast.

The U.S. Department of Agriculture this week estimated farmers in 2011 will harvest 12.310 billion bushels of corn, 3.046 billion bushels of soybeans and 1.999 billion bushels of wheat. The department estimated farmers had planted 91.9 million acres of corn, 75 million acres of soybeans and 54.4 million acres of wheat for harvest in 2011.



Classic Thanksgiving Dinner Will Cost a Bit More

The retail cost of menu items for a classic Thanksgiving dinner including turkey, stuffing, cranberries, pumpkin pie and all the basic trimmings increased about 13 percent this year, according to the American Farm Bureau Federation. AFBF's 26th annual informal price survey of classic items found on the Thanksgiving Day dinner table indicates the average cost of this year's feast for 10 is $49.20, a $5.73 price increase from last year's average of $43.47.

"The cost of this year's meal remains a bargain, at just under $5 per person," said AFBF President Bob Stallman, a rice and cattle producer from Texas. "The quality and variety of food produced for our dinner tables on America's diverse farms and ranches sets us apart from our contemporaries around the world. It is an honor for our farm and ranch families to produce the food from our nation’s land for family Thanksgiving celebrations."

The AFBF survey shopping list includes turkey, bread stuffing, sweet potatoes, rolls with butter, peas, cranberries, a relish tray of carrots and celery, pumpkin pie with whipped cream, and beverages of coffee and milk, all in quantities sufficient to serve a family of 10. There is also plenty for leftovers.

The big ticket item, a 16-pound turkey, came in at $21.57 this year. That was roughly $1.35 per pound, an increase of about 25 cents per pound, or a total of $3.91 per whole turkey, compared to 2010. The whole bird was the biggest contributor to the final total, showing the largest price increase compared to last year.

A gallon of whole milk increased in price by 42 cents per gallon, to $3.66. Other items that showed a price increase from last year were: a 30-ounce can of pumpkin pie mix, $3.0, up 41 cents; two nine-inch pie shells, $2.52, up 6 cents; a half-pint of whipping cream, $1.96, up 26 cents; one pound of green peas, $1.68, up 24 cents; a 14-ounce package of cubed bread stuffing, $2.88, up 24 cents; a dozen brown-n-serve rolls, $2.30, up 18 cents; three pounds of sweet potatoes, $3.26, up 7 cents; and fresh cranberries, $2.48, up 7 cents.

A one-pound relish tray of carrots and celery declined by a penny to 76 cents, while a combined group of miscellaneous items, including coffee and ingredients necessary to prepare the meal (onions, eggs, sugar, flour, evaporated milk and butter) decreased in price, to $3.10.

Farm Bureau volunteer shoppers are asked to look for the best possible prices, without taking advantage of special promotional coupons or purchase deals, such as spending $50 and receiving a free turkey. Shoppers with an eye for bargains in all areas of the country should be able to purchase individual menu items at prices comparable to the Farm Bureau survey averages. Another option for busy families without a lot of time to cook is ready-to-eat Thanksgiving meals for up to 10 people, with all the trimmings, which are available at many supermarkets and take-out restaurants for around $50 to $75.



Nutrition Labeling Coalition Commends USDA for Delaying Effective Date for Mandatory Nutrition Labeling Rule

The U.S. Department of Agriculture’s Food Safety and Inspection Service (FSIS) announced it would delay for two months, until March 1, 2012, the effective date for enforcement of the “Nutrition Labeling of Single-Ingredient Products and Ground or Chopped Meat and Poultry Products” final rule. The announcement was made in response to a request from a coalition of organizations representing food, agriculture and retail associations that will be affected by the final rule to ensure they have time to implement the newly required nutrition labels.

Included in the coalition are the American Lamb Board; the American Meat Institute; the Food Marketing Institute; the National Cattlemen’s Beef Association; the National Chicken Council; the National Grocers Association; the National Pork Board; the National Pork Producers Council; and the National Turkey Federation. The coalition issued the following statement in response to FSIS’s announcement to delay the effective date:

“The mandatory nutrition labeling rule will have a significant impact on the regulated entities, and we commend FSIS for recognizing the challenges we face and for extending the effective date. When FSIS announced this final rule last December, we began working to understand the new requirements to ensure implementation. Over the past 11 months, we have worked with FSIS to fully understand the rule’s requirements, but we still have questions that need to be answered before a smooth implementation can occur.

“While we support efforts to educate consumers about the nutritional profile of meat and poultry products, it is crucial to get it right. Delaying the effective date for two months will give retailers and others in the food production chain additional time to implement labeling systems, to obtain necessary software and scales to properly label the products and to educate employees about the new requirements. We look forward to continuing to work with FSIS over the next five months to find the least disruptive and most cost-effective way to implement the rule.”



China Top US Farm Export Market

China, the world's largest importer of cotton and soybeans, has topped Canada to become the No. 1 market for U.S. farm exports for the first time, the Agriculture Department said on Thursday.

U.S. exporters sold $20 billion in agricultural products to China during the fiscal year that ended on Sept. 30, according to a newly completed tally. It was the first time China was the top market for an entire fiscal year. The USDA has forecast sales to China and Canada of $19 billion apiece this fiscal year.

Agriculture Secretary Tom Vilsack was scheduled to visit Vietnam and China next week with the goal of removing barriers to U.S. goods.

The world's most populous nation and a dynamic economy, China shot to prominence as a U.S. farm export market in a few years. In 2004, it was the No. 5 buyer with $6 billion in purchases.

In the past year, China gained attention as a potentially large consumer of U.S. corn. It bought 900,000 tonnes of U.S. corn in mid-October and is believed to be the unidentified buyer of 1.25 million tonnes in March. China is the second-largest corn grower in the world behind the United States, the largest exporter.

Overall, U.S. farm exports were a record $137.4 billion in fiscal 2011 and were forecast for $137 billion in fiscal 2012, which opened on Oct. 1. Leading customers, besides China and Canada, are Mexico, Japan, the European Union and South Korea.



Record Growth of U.S. Agricultural Exports in Fiscal Year 2011

Agriculture Secretary Tom Vilsack made the following statement today after USDA released its final tally for agricultural exports in fiscal year 2011:

"Thanks to the productivity of America's farmers, ranchers and producers, the American brand of agriculture is surging in popularity worldwide. Farm exports in fiscal year 2011 reached a record high of $137.4 billion—exceeding past highs by $22.5 billion—and supported 1.15 million jobs here at home. Furthermore, agriculture continues to bolster our nation's economy by contributing a trade surplus year after year. This year, that surplus hit a record $42.7 billion. And next year looks equally strong for the U.S. agricultural economy, thanks in part to President Obama signing new trade agreements with South Korea, Colombia and Panama, which will add an additional $2.3 billion to our export total and support nearly 20,000 American jobs.

"U.S. agriculture continues to be a bright spot in America's economy and a driving force behind export growth, job creation, and our nation's competitiveness, underscored by the increasing demand for U.S. food and agriculture around the world. For the first full fiscal year, China was the lead export market for farm products, buying almost $20 billion of goods such as soybeans, cotton, tree nuts and hides. There is no doubt that the Asia Pacific region recognizes the United States as a reliable supplier of the highest-quality food and agricultural products, and that's the message I will take to our trading partners when I travel next week to Vietnam and China to help expand markets and remove barriers to trade for U.S. farm products. Partnerships with growing markets like those in Vietnam and China are integral to the strength of the U.S. economy in the decades ahead.

"Strong export performance means higher incomes for farmers and ranchers, more opportunities for small businesses owners, and jobs for folks who package, ship, and market agricultural products. So, thank you to all of America's farmers, ranchers and producers who continue to make U.S. agriculture a bright spot in our nation's economy."



NPPC Wants Japan In TPP Trade Talks

The National Pork Producers Council today welcomed Japan’s announcement that it would like to join the Trans-Pacific Partnership (TPP) multi-lateral trade talks.

The TPP would be a regional trade bloc, consisting of Australia, Brunei, Chile, Malaysia, New Zealand, Peru, Singapore, the United States and Vietnam.

“The U.S. pork industry strongly supports Japan’s entry into the TPP, and NPPC urges the United States and the other TPP countries to accede to Japan’s request,” said NPPC President Doug Wolf, a pork producer from Lancaster, Wis. “Pork producers would gain tremendous market opportunities with Japan as part of the TPP.”

Japan already has free trade agreements with six of the nine TPP countries: Brunei, Chile, Malaysia, Peru, Singapore and Vietnam.

Japan is the No. 1 market for the U.S. pork industry, which in 2010 exported $1.65 billion of pork to the Asian nation and which in the first nine months of this year has shipped $1.44 billion.

“Japan is our top market, but that market can be expanded through the TPP,” Wolf said. “And expanding existing markets and opening new ones are vital to the continued profitability of U.S. pork producers.”

The U.S. pork industry last year exported nearly $4.8 billion of pork, an amount that added about $56 to the price producers received for each hog marketed.



China, Mexico Help Drive Torrid Red Meat Export Pace

Led by a record-breaking month for pork exports to China and the continued rebound of beef exports to Mexico, 2011 remains on pace to set new annual records for the value of beef, pork and lamb exports, according to statistics released by the USDA and compiled by the U.S. Meat Export Federation. September results show pork exports up 23.6 percent in volume and 40.5 percent in value from last year while beef exports rose 27.3 percent in volume and 35.9 percent in value. Not to be left out, U.S. lamb exports soared 113 percent in volume over September of 2010 while the value of those exports jumped 83.9 percent.

"This year has presented opportunities for the U.S. red meat industry to expand exports, and the industry has worked aggressively to capitalize on those opportunities," said Philip Seng, USMEF president and CEO. "The premiums that international buyers pay for U.S. beef, pork and lamb are critical to the bottom line of U.S. producers."

On the pork side of the industry, September exports equated to 26 percent of total U.S. pork and pork variety meat production and those exports were valued at $56 per head -- solid increases from September 2010 totals of 22 percent of production and $40.87 per head.

For beef, September exports accounted for 14.4 percent of total beef and beef variety meat production and $212.64 in value per head of fed cattle, up from 11 percent of production and $151 in value per head last year.

Like their beef and lamb counterparts, pork exports remain on a record-setting pace and, like beef, are on track to eclipse $5 billion in value for the year for the first time on record. For the month, the U.S. exported 183,495 metric tons of pork valued at $537.6 million, which trails only March of 2011 as the second-highest monthly export value on record.

For the year, the U.S. has exported more than 1.6 million metric tons of pork valued at nearly $4.4 billion, increases of 16 percent and 25 percent, respectively, over the first nine months of 2010.

Pork exports were led by China/Hong Kong, which bought 47,180 metric tons of product, up 64 percent from last year. The 39,020 metric tons purchased by China was a new monthly record, up 92 percent from last year. The value of the exports to China/Hong Kong was $101.7 million, a 129 percent jump from last year.

Japan remains the leader in value of U.S. pork exports. September’s totals were 38,689 metric tons valued at $166.2 million, increases of 23 percent in volume and 32 percent in value over last year.

Mexico continues to be the volume leader in pork, importing 41,666 metric tons (7 percent increase) valued at $87 million (18 percent increase).

Pork exports to South Korea grew 82.3 percent in volume and 153.6 percent in value versus year-ago levels, although the pace has slowed somewhat from earlier in the year.

Japan and South Korea are two of the markets that USMEF has aggressively targeted in a campaign to raise the visibility of the U.S. pork butt, a cut identified by U.S. exporters as one that has been undervalued.



Weekly ethanol production data for the week ending 11/4/2011.

According to the Energy Information Administration data, ethanol production averaged 911,000 barrels per day (b/d) – or 38.26 million gallons daily.  That is down 5,000 b/d from the week before.  The 4-week average for ethanol production stood at 911,000 b/d for an annualized rate of 13.97 billion gallons.

Stocks of ethanol stood at 16.4 million barrels.

Gasoline demand for the week averaged 364.2 million gallons daily. 

Expressed as a percentage of daily gasoline demand, daily ethanol production was 10.51%.

On the co-products side, ethanol producers were using 13.813 million bushels of corn to produce ethanol and 102,813 metric tons of livestock feed, 90,780 metric tons of which were distillers grains.  The rest is comprised of corn gluten feed and corn gluten meal.  Additionally, ethanol producers were providing 3.94 million pounds of corn oil daily.

September Ethanol and Distillers Grains Exports
According to U.S. government data released today, the U.S. exported a total of 105.8 million gallons (mg) of denatured and undenatured (non-beverage) ethanol in September, with nearly half of the shipments going to Brazil. Year-to-date exports stood at 746.5 mg at the end of September, almost double the amount exported in the entire 2010 calendar year. The U.S. remains on pace to export between 900 mg and 1 billion gallons in 2011. This would be equivalent to roughly 7 percent of total expected U.S. ethanol production this year.

Meanwhile, after hitting an annual high in August, distillers grains (DG) exports dipped 17 percent in September. U.S. exports of DG totaled 685,483 metric tons (mt), down from 829,489 mt in August. Year-to-date exports of DG stand at 5.94 million mt, meaning the U.S. is on pace to export nearly 8 million mt in 2011, down about 11 percent from 2010.



Harkin Proposes Extending, Improving Beginning Farmer Assistance

Senator Tom Harkin (D-IA) Thursday introduced legislation to extend, improve and strengthen programs at the U.S. Department of Agriculture (USDA) that have proven successful in helping beginning farmers and ranchers continue, start and build family farming and ranching operations, which are vitally important to rural communities and the entire nation. The bill's features include helping beginning farmers and ranchers obtain education and training, necessary financial resources and credit, assistance for practicing sound conservation in their operations, and adequate income insurance and risk management.

"One of the most hopeful occurrences in rural America is when someone is able to get started in farming or ranching and go on to build a successful operation," Harkin said. "We need more beginning farmers and ranchers in America to secure critical supplies of food, fuel, and fiber for the future; to care for and conserve our soil, water, and other natural resources; and to join in the life of healthy and vibrant local communities."

The legislation introduced today by Senator Harkin:
-- Extends and strengthens the beginning farmer and rancher development program, enacted in the 2008 farm bill, which provides competitively-awarded grants to qualified organizations that deliver training and education for beginning farmers and ranchers. The bill also makes it a priority for USDA to issue grants to support agricultural rehabilitation and vocational training for military veterans and to deliver training and education to help veterans who are beginning farmers and ranchers.

-- Enhances USDA initiatives enabling beginning farmers and ranchers to assemble the financial resources they need to start and build a successful operation. It creates a microloan program in which young beginning farmers and ranchers who qualify could borrow up to $35,000 for operating expenses at reduced interest rates and with simplified paperwork, promotes savings for investment by beginning farmers and ranchers through individual development savings accounts, and updates and improves USDA programs that help beginning farmers and ranchers obtain loans for operating expenses, land purchases, and applying conservation practices.

-- Strengthens assistance to beginning farmers and ranchers for maintaining and adopting sound conservation practices in their operations through the Conservation Stewardship Program (CSP) and Environmental Quality Incentives Program (EQIP), and on land that is coming out of the Conservation Reserve Program (CRP). Increases opportunities for beginning farmers and ranchers to obtain grants from USDA to help them create income-producing enterprises by adding value to agricultural commodities.

-- Helps beginning farmers and ranchers obtain better crop and revenue insurance policies and apply risk management in their businesses.

"Across America, we are fortunate to have many families and individuals who possess the ability, motivation, and dedication to start or continue a farm or ranch and build a rewarding life in agriculture," Harkin said. "This legislation will help more beginning farmers and ranchers find opportunities across all types of operations -- including commercial-scale crop and animal agriculture systems, organic agriculture, growing for local food systems and farmers markets, and even farming in urban and suburban areas."

Cosponsors of the legislation are Senators Casey (D-PA), Tester (D-MT), Brown (D-OH), Leahy (D-VT), Franken (D-MN), Bingaman (D-NM), Klobuchar (D-MN), Johnson (D-SD), and Boxer (D-CA).



US Grains Council Begins Lower-Oil DDGS Education Efforts

As more U.S. ethanol plants add oil extraction capacity either at the front end or back end of their processes, the supply of lower-oil distillers dried grains with solubles (DDGS) is increasing, and with it, the need to educate foreign DDGS users about its different characteristics.

“The lower oil content means a difference in how this DDGS will perform in livestock rations,” explained Sean Callanan, USGC manager of programs. “The Council has spent a lot of resources on building an international market for DDGS. Now we’re taking steps to educate people about lower-oil DDGS.”

In a first step, Council international directors who administer DDGS programs and international DDGS nutritionist consultants met in Minneapolis last week with ethanol and DDGS industry contacts and leading U.S. livestock nutritionists to discuss lower-oil DDGS.

“For many of the attendees, this was the first they had heard about lower-oil DDGS,” said Callanan.

The two-day program began with an exploration of ethanol industry dynamics, including the differing financial successes of plants with and without oil extraction. At one time, DDGS oil content was 10-15 percent , but as extraction becomes more efficient, oil-content is likely to be much lower.

Nutritionists from the swine, beef, dairy and poultry industries reported that only preliminary data is currently available for feed formulations with lower-oil DDGS, but new testing is already under way. When research results are available beginning next February, the Council will determine its next steps, including possible conference calls or webinars.

“As this newer form of DDGS moves into the marketplace, we want to make sure our customers aren’t surprised by the difference in its performance,” said Callanan. “We will need to begin re-educating them about what to look for and how to recalibrate feed formulas for different levels of oil in DDGS.”



Tractor & Combine Sales Were Up in October

According to the Association of Equipment Manufacturers' monthly "Flash Report," the sales of all tractors in the U.S. for October 2011 were up 7.5% compared to the same month last year.  For the month, two-wheel-drive smaller tractor (under 40 HP) were up 9%, and 40 & under 100 HP were up 11%. Sales of two-wheel-drive 100+ HP were up 2% from last year, and four-wheel-drive tractors were even for the month.  Combine sales were up 10% for the month.

For the year 2011, a total of 142,778 tractors were sold, which compares to 141,591 sold through October 2010.  Two-wheel drive smaller tractors (under 40 HP) are even with last year, while 40 & under 100 HP were up 3%. Sales of two-wheel drive 100+ HP are down 1%, while four-wheel-drive tractors are up 5% for the year.  Sales of combines for the year 2011 total 8,443, down 4% from the same period in 2010.



Time to Move on Highway Bill
Kent Bacus, NCBA manager of legislative affairs

Over the years, U.S beef producers have been anxiously waiting for Congress to vote on legislation to address our concerns with antiquated and inconsistent transportation rules and regulations that hinder the flow of commerce for small businesses. Legislative solutions are typically consolidated into one piece of multi-year authorizing legislation commonly known as the highway bill. Instead of keeping our transit laws current and reflective of the needs of today’s economy, Congress has the unfortunate habit of kicking the can down the road by extending the existing highway bill to a time when political and fiscal forecasts seem brighter. In fact, the previous highway bill expired in October 2009 and has been extended several times. The current extension of transportation programs will expire at the end of March 2012. All signs from Capitol Hill suggested that no further action would happen on the highway bill until early 2012.

Fortunately, we are finally starting to see movement on the transportation front. On Wed., Nov. 9, the Senate Committee on Environment and Public Works voted unanimously in support of S. 1813, “Moving Ahead for Progress in the 21st Century Act,” commonly referred to as the highway bill. The bill is a two year bill that consolidates existing surface transportation programs and reallocates funding to other transportation programs.

Unfortunately, the bill does not include language to address cattlemen’s immediate concerns with increasing truck weights with an additional axle or to allow agricultural permits for drivers to haul up to 100,000 pounds. While the bill does not include language critical to cattlemen, it is important to remember that this is just the beginning of a long process. The House has indicated it may move forward with a transportation bill by the end of this year. NCBA will continue meeting with members of Congress and the House Transportation and Infrastructure Committee to help them understand why cattlemen’s concerns should be addressed in the highway bill.

Specifically, cattlemen urge Congress to include the following provisions in the highway bill:
-    Give states the option to increase truck-weight limits to 97,000 pounds with inclusion of a sixth axle on trucks. Increasing hauling capacity will result in fewer trucks on the roads. We greatly appreciate Congressman Michael Michaud (D-Maine) and Congresswoman Jean Schmidt (R-Ohio) for introducing the Safe and Efficient Transportation Act of 2011 (H.R. 763), and for Senator Mike Crapo (R-Idaho) for introducing the Senate version (S. 747).
-    Allow the purchase of permits for commercial vehicles to haul farm commodities up to 100,000 pounds.
-    Create a uniform mileage exemption for farm use vehicles exceeding 26,000 pounds. We need uniformity and reciprocity of farm exemptions across state lines for drivers licenses and we strongly oppose any federal requirement of commercial driver’s licenses for farmers and ranchers. We are grateful to Congressman Sam Graves (R-Mo.) for introducing H.R. 3265, which waives certain driving restrictions during planting and harvest seasons for producers who are transporting agricultural goods. We also commend Congressman James Lankford (R-Okla.) for introducing the Farmers’ Freedom Act of 2011(H.R. 2414). This legislation exempts certain farm vehicles (including the individual operating the vehicle) from certain federal requirements (for a commercial driver’s license, drug testing, medical certificates and hours of service) governing the operation of motor vehicles.

To all of our producers and anyone engaged in agribusiness, we need your help. We need a commonsense highway bill that addresses the needs of rural America and we need it now. Contact your elected officials in the House and Senate and urge them to include these provisions in the highway bill to create a safer and more efficient transportation system in our nation.



Iowa Select Launches MetaFarms' i-Production

MetaFarms Inc., Burnsville, Minn., a leading provider of information systems to livestock producers, announces the launch of an i-Production service contract with Iowa Select Farms, Iowa Falls, Iowa.

Iowa Select Farms has implemented the Sow Manager and Finish Manager applications. MetaFarms' i-Production platform provides pork production companies with an integrated set of applications for all phases of production, as well as, import and export data services between a company, their customers and suppliers.

"The transition to i-Production's integrated platform has given us the ability to perform quick, secure rollup and summary reporting across our system," said Allen Whiley, director of finishing, Iowa Select Farms. "Integration and interfacing with our internal feed, movement and accounting systems have helped us realize tremendous cost savings."

"i-Production's user friendly reports and web-based platform have given us the ease and power to make instant, more informed decisions," said PJ Corns, director of sow production, Iowa Select Farms.

MetaFarms' i-Production Finish Manager focuses on the nursery and finishing production system. It allows the producer to record and manage detailed data such as inventory, pig movements, daily mortalities, treatments, feed deliveries, revenue and expenses. Sow Manager provides complete inventory reconciliation and integrated movements across the system.

"i-Production's integrated platform gives Iowa Select the ability to manage every phase of production," said Chad Becker, MetaFarms president. "The ability to electronically import data, such as feed invoices, will save Iowa Select Farms time and provide more accurate data.

Iowa Select Farms is the largest pork producer in Iowa and the 5th largest in the U.S. The company has been producing high quality pork for nearly 20 years and is firmly committed to providing the best in animal care and well-being, producing high quality, wholesome pork products, environmental stewardship and sustainable food production.

With nearly 550 swine farms across the state, Iowa Select Farms is one of the leading economic engines to Iowa's rural communities through employing nearly 1000 people, contracting with over 345 farm families and supporting hundreds of local businesses throughout the state.

i-Production, MetaFarms' animal enterprise management software for pork producers, features three integrated applications: Sow Manager, Finish Manager and Sales Manager. MetaFarms' web software enables producers to more effectively manage their businesses and helps reduce costs, enhance yields, improve margins and monitor animal health more efficiently.



USDA Proposes Improvements to Help Deliver Disaster Assistance More Quickly to Producers
U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) Administrator Bruce Nelson today announced that USDA is accepting comments on a proposed rule to streamline the process for its Secretarial Disaster Designation, allowing farmers and ranchers devastated by natural disaster to obtain assistance faster. The improvements outlined in the proposed rule aim to cut the time to make a disaster designation by as much as 70 percent. Designating disaster counties is a key step to authorizing disaster assistance for some of the programs administered by USDA. Disaster assistance provides support to American producers as part of the farm safety net. USDA believes that a strong farm safety net is important to the vitality of American agriculture.

“America’s farmers and rural communities are vitally important to our nation’s economy, producing the food, feed, fiber and fuel that continue to help us grow,” said Nelson. “Therefore, it’s crucial that we help farmers remain productive through difficult times. When disaster strikes, this proposal will help us provide assistance more quickly, streamlining processes from six steps to two. That’s the kind of improvement we need to make.”

A natural disaster designation makes all qualified farm operators in the designated areas eligible for a variety of assistance from USDA, including low interest emergency (EM) loans and the Supplemental Revenue Assistance Program (SURE). The Secretary of Agriculture is authorized to designate disaster counties to make disaster assistance programs available to farmers and ranchers.

Currently, designations require a state governor or Indian tribal council to initiate disaster designation through a formal request of the Secretary. The process has been in place for more than two decades and regulations have not been substantively revised since 1988. Streamlining the process from six steps to two will enable USDA to help those in need in an expedited manner, allowing farmers and ranchers devastated by natural disaster to obtain emergency loans faster than before. Additionally, the proposed rule can help to ensure all eligible disaster counties receive a designation.

The proposed rule for Secretarial Disaster Designations:
Streamlines the USDA Secretarial designation process from a six-step process to a two-step process. Expedites and simplifies the disaster designation process for severe drought occurrences by using the U.S. Drought Monitor as a tool to automatically trigger disaster areas with no further documentation. Removes the requirement that a request for a disaster designation be initiated by a state governor or Indian tribal council. Note: This rule still allows a state governor or Indian tribal council to request a Secretarial Disaster Designation.

The proposed rule, which is contained in the Federal Register dated Nov. 14, 2011, at http://www.regulations.gov, has a 60-day comment period. Comments on the proposed rule must be submitted no later than Jan. 13, 2012, to be considered.



USDA Streamlines Programs to Help American Agriculture Enhance Productivity, Drive Economic Growth

Agriculture Secretary Tom Vilsack announced today that USDA has streamlined a host of programs and processes in an effort to help farmers, ranchers and businesses continue to drive America's productive agricultural economy. As USDA approaches its 150th anniversary, the changes—quicker disaster assistance, expedited reviews of pending product applications, and less reporting dates—will help USDA build a better, stronger and more efficient Department. Improvements were announced by the Farm Service Agency (FSA), the Risk Management Agency (RMA), and the Animal and Plant Health Inspection Service (APHIS).

"As USDA continues to find ways to modernize our services, we remain committed to improving the customer experience by streamlining processes, accelerating delivery, and using innovative technologies," said Vilsack. "The improvements announced today will help businesses respond more quickly to market demands, provide producers with a more responsive farm safety net, and help our customers create jobs. President Obama challenged USDA and other federal agencies to streamline operations, and today USDA is taking a big step toward answering that challenge."

U.S. agriculture is currently experiencing one of its best years in decades thanks to the productivity, resiliency, and resourcefulness of America's producers. Overall, American agriculture supports 1 in 12 jobs in the United States and provides American consumers with 86 percent of their food, while maintaining affordability and choice. The efficiencies outlined today will help producers and businesses maintain this competitive edge.

Earlier this year, Vilsack asked USDA leadership to undertake a review of the Department's operations to identify improvements and innovations to the Department's services and programs. Many of the process improvements announced today are part of the USDA Customer Service Plan, which identifies key Departmental actions and initiatives aimed at improving customer service. USDA developed this plan in support of the President's April 27, 2011, Executive Order 13571, on "Streamlining Service Delivery and Improving Customer Service."

The process improvements announced today include:

From FSA:
    USDA is accepting comments on a proposed rule to streamline the process for its Secretarial Disaster Designation, allowing farmers and ranchers devastated by natural disaster to obtain emergency loans and other assistance faster than before. Streamlining the process from six steps to two will enable USDA to help those in need in an expedited manner. Additionally, the proposed rule can help to ensure all eligible disaster counties receive a designation.

From RMA and FSA:
    Establishing 15 common Acreage Reporting Dates (ARDs) for farmers and ranchers participating in RMA and FSA programs. The common reporting dates will reduce the reporting burden on producers and also help to reduce USDA operating costs by sharing similar data across participating agencies. Before the streamlining, RMA had 54 ARDs for 122 crops, and FSA had 17 ARDs for 273 crops.

From APHIS:
    APHIS is making a number of improvements to its process for reviewing license applications for veterinary biologics. APHIS anticipates being able to reduce its veterinary biologics licensing processes by potentially 100 days—or a 20 percent savings—by streamlining its processes;
    APHIS is focused on improving processes to better serve USDA's customers in the areas of risk assessment and rulemaking for the importation of agricultural products. The Agency found that by streamlining data needs, reducing the time for drafting risk assessments, and improving project management and tracking, APHIS expects significant improvements.
    On petitions requesting nonregulated status for genetically engineered (GE) organisms, APHIS anticipates being able to significantly reduce the average length of the petition process while maintaining strong oversight. At the same time, the new process will provide the opportunity for earlier input from the public on petitions for deregulations, allowing USDA to better serve all its stakeholders.
    APHIS is streamlining the enforcement process against those who jeopardize plant and animal health and animal welfare. Under a process pilot-tested in October 2011, APHIS aims to resolve a typical case in 165 days—a time savings of 40 percent. The new target for complex cases is 215 days—a 46 percent time reduction.



CWT Assists with 2.1 Million Pounds of Cheese Exports

Cooperatives Working Together (CWT) has accepted 12 requests for export assistance from Dairy Farmers of America, Darigold, Foremost Farms and United Dairymen of Arizona to sell a total of 961 metric tons (2.119 million pounds) of Cheddar and Monterey Jack cheese to customers in Asia and the Middle East. The product will be delivered November through May 2012.

In 2011, CWT has assisted members in making export sales of Cheddar, Monterey Jack and Gouda cheese totaling 36,735 metric tons (81.0 million pounds) to 25 countries on four continents. That is the equivalent of 810 million pounds of milk, the annual production of 38,570 cows.

Assisting CWT members through the Export Assistance program positively impacts producer milk prices in the short-term by reducing inventories that overhang the market and depress cheese prices. In the long-term, CWT's Export Assistance program helps member cooperatives gain and maintain market share, thus expanding the demand for U.S. dairy products and the farm milk that produces them.

CWT will pay export bonuses to the bidders only when delivery of the product is verified by the submission of the required documentation.



Atrazine Benefits U.S. Consumers by Up to $4.8 Billion Annually

U.S. consumers and society benefit from atrazine and other triazine herbicides by up to $4.8 billion per year, due to increased yield as well as decreased producer costs and reduced soil erosion, according to new studies released in Kansas City.

In addition, the U.S. economy benefits from atrazine and other triazine herbicides by as much as $22 billion over a five-year period.

Benefits to farmers and consumers from the triazine herbicides include increased corn, sorghum and sugar cane crop yields, lower weed-control costs, significantly reduced soil erosion and less carbon released into the atmosphere. Atrazine and the triazine herbicides account for as many as 48,000 American jobs in corn production alone.

The findings -- shared during a webcast news conference hosted by AgriTalk Radio -- demonstrate triazine benefits to food production, environmental protection and U.S. job creation.

Atrazine and the other triazines have played a major role in U.S. agriculture for more than 50 years, serving as the foundation of corn, sorghum, and sugar cane weed-control systems, according to David C. Bridges, Ph.D., who announced the findings.

"It's hard to overestimate the importance of atrazine and the triazine herbicides to U.S. agriculture and global food supplies. They benefit food production, the environment and the economy -- and that means jobs," said David C. Bridges, Ph.D., president, Abraham Baldwin Agricultural College, University of Georgia. "Some say there are ready replacements. In fact, there is no substitute for atrazine."

The studies' key findings include:

-- Over five years, the triazines provide between an $18 billion and $22 billion benefit to the U.S. economy.

-- Atrazine increases U.S. corn output by 600 million bushels per year.

-- The triazines prevent up to 85 million metric tons of soil erosion per year -- enough to fill more than 3 million dump trucks.

-- Atrazine and the other triazine herbicides help reduce emissions by up to 280,000 metric tons of CO2 per year.

-- Growers are using atrazine to control new herbicide-resistant weeds.

The event highlighted white papers by five renowned experts:

-- David Bridges, Ph.D., author, "A biological analysis of the use and benefits of chloro-s-triazine herbicides in U.S. corn and sorghum production "

-- Paul D. Mitchell, Ph.D., associate professor, Department of Agricultural and Applied Economics, University of Wisconsin, and author, "Economic assessment of the benefits of chloro-s-triazine herbicides to U.S. corn, sorghum, and sugarcane producers" and "Estimating soil erosion and fuel use changes and their monetary values with AGSIM: a case study for triazine herbicides"

-- Micheal D. K. Owen, Ph.D., professor of agronomy and associate chair, Agronomy Department, Iowa State University, and author, "The importance of atrazine in the integrated management of herbicide-resistance weeds"

-- Richard S. Fawcett, Ph.D., president of Fawcett Consulting and former professor of agronomy, Iowa State University, and author, "Efficacy of best management practices for reducing runoff of chloro-s-triazine herbicides to surface water: a review"

-- Economist Don L. Coursey, Ph.D., Ameritech professor of public policy studies, Harris School, The University of Chicago, and author of the earlier released "Illinois Without Atrazine, Who Pays?" and "Jobs, safety and informed choices"

The findings show atrazine increases U.S. corn production by about 7 additional bushels per acre of production, while U.S. sorghum farmers benefit by more than 13 additional bushels per acre of yield. Those yields help save the U.S. beef, dairy, pork, poultry and egg industries more than $1.4 billion per year. These benefits resonate throughout the entire supply chain, from farmers and food processors to retailers and consumers, Bridges said.

"Weeds are the most critical threat to global food production. Atrazine plays a significant role in managing a broad spectrum of weeds," said Micheal Owen, Ph.D. "Given the rise of herbicide-resistant weeds, the triazine herbicides are more important than ever to U.S. corn, sorghum, and sugar cane farmers."

The studies detail the triazine herbicides' environmental protection benefits. Triazines enable growers to use conservation tillage and other best-management practices, which contribute to a reduction in soil erosion in corn and sorghum.

USDA reports that U.S. cropland soil erosion declined by more than 40 percent between 1982 and 2007. Conservation tillage and related practices have contributed to this result. The triazine herbicides play an integral role in those programs.

In addition, conservation tillage and no-till farming reduce agricultural diesel fuel use by more than 18 million gallons per year and annual carbon-dioxide emissions by more than 180,000 metric tons.

"For many farm families, especially in this struggling economy, atrazine's productivity boost represents the margin between keeping the family farm and home -- and losing everything," said Don Coursey, Ph.D. "Atrazine's value extends from farms to the small businesses they support and their local communities. Our findings today show that atrazine provides a basis for between 30,000 and 48,000 American jobs in corn production alone," Coursey said.

"There can be no doubt, based on these studies that atrazine is contributing significantly to food production, environmental protection and jobs in the areas of its use," said Paul Mitchell, Ph.D.



Weekly Column: Expanding Trade with Vietnam and China
Agriculture Secretary Tom Vilsack

Next week I will travel to Vietnam and China on behalf of USDA and our nation’s farmers, ranchers and agricultural businesses. I want to strengthen trade relationships we have with both nations, support the American brand, and create more opportunities for American producers to sell their goods throughout the Asia Pacific region.

This year, China moved ahead of Mexico and Canada to become our number one export market for U.S. agricultural goods. In the past decade, the Vietnamese market has also become increasingly important for our farmers, ranchers and growers – jumping from the 50th to 15th position as a market for U.S. farm exports. 

Overall, U.S. agricultural exports are on track to reach new highs this year, helping support more than one million American jobs and bolstering our nation's economy with a record trade surplus expected to exceed $42 billion.

This progress is no accident. Our farmers are the most productive in the world, and ‘Grown In America’ products and known for their quality at an affordable price. 

Under the Obama Administration, USDA has continued to expand markets for American goods abroad. We have worked aggressively to break down trade barriers to trade and assisted U.S. businesses of all sizes with the resources needed to reach consumers around the world.

Just last month, President Obama signed new trade agreements with South Korea, Colombia and Panama. When implemented, they will increase farm exports by an additional $2.3 billion—supporting nearly 20,000 American jobs—by eliminating tariffs, removing barriers to trade and leveling the playing field for U.S. producers. Strong export performance means higher incomes for farmers and ranchers, more opportunities for small businesses owners, and jobs for folks who package, ship, and market agricultural products.

Moving forward, partnerships with growing markets like those in China and Vietnam are integral to maintaining strong exports for U.S. agriculture. We need to build an economy that makes, creates, innovates and exports. As we continue to strengthen American agriculture, it should be a model for improving the rest of our economy.