Friday January 20 Cattle on Feed and other Ag News

NEBRASKA CATTLE ON FEED UP 5 PERCENT

Nebraska feedlots, with capacities of 1,000 or more head, contained 2.55 million cattle on feed on January 1, according to the USDA’s National Agricultural Statistics Service, Nebraska Field Office.  This inventory was up 5 percent from last year and is the largest January inventory since the data series began in 1994.   Placements during December totaled 380,000 head, unchanged from 2010.  Fed cattle marketings for the month of December totaled 380,000 head, down 5 percent from last year. Other disappearance during December 2011 totaled 10,000 head, the same as in 2010.  

IOWA:
Cattle and  calves on  feed  for  slaughter market  in  Iowa  for  all feedlots totaled 1.30 million head on January 1, 2011, according to the USDA, National Agricultural Statistics Service, Iowa Field Office.  The inventory was up 1 percent from December 1, 2011, but  down  6  percent  from  January  1,  2011.    Feedlots  with  a capacity  greater  than  1,000  head  had  620,000 head on  feed,  up 2 percent  from  last  month  and  down  3 percent  from  last  year.  Feedlots with a capacity  less  than 1,000 head had 680,000 head on feed, unchanged from last month but down 8 percent from last year.

Placements  during December  totaled  172,000  head,  a  decrease of  44  percent  from  last month  and  down  29  percent  from  last year.    Feedlots with  a  capacity  greater  than  1,000  head  placed 77,000  head,  down  46  percent  from  last  month  and  down 17 percent  from  last  year.    Feedlots  with  a  capacity  less  than 1,000  head  placed  95,000  head. This  is  down  42  percent  from last month and down 37 percent from last year.

Marketings for December were 153,000 head, down 19 percent from last month but up 9 percent from last year. Feedlots with a capacity  greater  than  1,000  head marketed  63,000  head,  down 37 percent from  last month and down 21 percent from  last year.   Feedlots  with  a  capacity  less  than  1,000  head  marketed 90,000 head, unchanged from last month but up 50 percent from last year. 

United States Cattle on Feed Up 3 Percent
Cattle and calves on feed for slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 11.9 million head on January 1, 2012. The inventory was 3 percent above January 1, 2011. The inventory included 7.28 million steers and steer calves, up 1 percent from the previous year. This group accounted for 61 percent of the total inventory. Heifers and heifer calves accounted for 4.50 million head, up 6 percent from 2011.

Placements in feedlots during December totaled 1.68 million, 6 percent below 2010. Net placements were 1.59 million head. During December, placements of cattle and calves weighing less than 600 pounds were 550,000, 600-699 pounds were 390,000, 700-799 pounds were 365,000, and 800 pounds and greater were 378,000.

Marketings of fed cattle during December totaled 1.80 million, 2 percent below 2010.  Other disappearance totaled 91,000 during December, 40 percent above 2010.

Average trade guesses going into the report was 103% for the on feed, 94% for the placement, and 97% on the marketings. 



Animal Welfare, Current Industry Issues Discussed at UNL Extension Program

As the world population continues to grow, safe and wholesome food production remains a top priority. It is essential that livestock producers be familiar with the perceptions and perspectives of animal welfare in relation to consumers, retailers and advocacy groups.

Four University of Nebraska-Lincoln Extension educational programs for livestock producers will be held across Nebraska to address these issues. In addition, these educational programs will provide information on the most current industry issues.

Dates and locations for the educational programs include:
Feb. 6, Nielsen Community Center, West Point
Feb. 7, UNL's East Campus, Lincoln
Feb. 8, Buffalo County Extension Office, Kearney
Feb. 9, Civic Center, Gering

The programs are designed to give livestock producers the knowledge needed to continue to do what they do best -- feed the world, said Troy Walz, UNL Extension educator in Custer County.

Registration begins at 9:30 a.m. with the program starting at 10 a.m. and ending at 5 p.m. Early bird registration (before Feb. 1) is $50 per person and $25 for each person from the same operation; registration at the door is $60 per person, and $30 for each additional person from the same operation. Price includes meal, break, and proceedings.

Speakers include: Candace Croney, Purdue University; Dan Thomson and Glynn Tonsor, Kansas State University and Jim Robb, Livestock Marketing Information Center.

For more information contact one of the following UNL Extension educators, or visit their county website for the program brochure:
Lindsay Chichester, Richardson County, 402-245-4324, richardson.unl.edu
Denny Bauer, Brown, Keya Paha and Rock counties, 800-634-8951, bkr.unl.edu
Troy Walz, Custer County, 308-872-6831, custer.unl.edu



Cattlemen's Day Feb. 8 to Offer Presentations for Beef Producers

It's been a good year for beef producers. Above-average rainfall produced abundant hay. Record prices made producers smile all the way to the bank after selling calves. But while the generous rain and prices have made ranching easier, the fundamentals haven't changed. Producers who want to stay on top will want to attend the fifth annual Cattlemen's Day Feb. 8.

The University of Nebraska-Lincoln Extension event will be at the Gudmundsen Sandhills Lab Feb. 8 from 8:30 a.m. to 4 p.m.

Registration starts at 8:30 with refreshments. Jerry Volesky, UNL range management specialist, will start the morning with grazing and haying strategies for Sandhill meadows. Rick Funston, UNL reproductive specialist, will discuss options for managing reproduction in the herd, and Tom Field of the Engler Agribusiness Entrepreneurship Program will talk about building a successful beef business in changing times.

After lunch, Matt Spangler, UNL beef specialist, will discuss important criteria for selecting bulls. A panel of producers will talk about the grazing strategies that work for them on their ranch.

Trade booths are welcome. Contact Rick Funston at rfunston2@unl.edu or call 308-696-6703 for a booth (cost $50). Participants are encouraged to pre-register for the meal, sponsored by Nebraska Grazing Lands Coalition, Farm Credit Services of America, and Merck Animal Health by Jan. 30 to the Central Sandhills Extension Office (1-800-657-2113 or 308-645-2267) or Ellen at 308-696-6701.

The Gudmundsen Sandhills Lab is three miles north of Whitman, then five miles east. The Wagonhammer Building is the building to the east.



EPA Regions 7 and 8 Meet State Agriculture Directors in Kansas City, Kan.

Officials from EPA Regions 7 and 8 today hosted a meeting with the directors of state agriculture departments of  Iowa, Colorado, Kansas, Missouri, Montana, Nebraska, North Dakota, South Dakota, Utah and Wyoming.  The meeting, held at EPA’s Region 7 building in Kansas City, Kan., provided a forum for dialogue on EPA programs and regulations as well as specific issues, interests and concerns of the agriculture sector.

EPA staff participants in the meeting included: Karl Brooks, Region 7 Administrator; Jim Martin, Region 8 Administrator; Josh Svaty, Region 7 Senior Adviser; Damon Frizzell, Region 7 Agricultural Adviser; Jennifer Schuller, Region 8 Agriculture Adviser; and Howard Cantor, Region 8 Deputy Administrator.

“Agricultural producers deserve credit for taking significant steps to protect the environment while finding innovative ways to feed millions,” said EPA Region 7 Administrator Karl Brooks. “American farmers and ranchers have such broad impacts on everything from daily food prices to widespread environmental impacts to emerging renewable fuel technologies that EPA needs to hear the views of state agriculture directors as part of our decision making process.”

EPA recognizes that agricultural producers are on the frontline of environmental stewardship and are affected by many EPA programs.  Frequent meetings with state agriculture directors are a critical way for EPA to provide outreach and receive feedback on current issues and concerns. Specific topics of today’s meeting included air quality standards for particulate matter, renewable fuels, nutrient management, water quality and concentrated animal feeding operations.



Another Record Monthly High for Pork Production

Commercial red meat production for the United States totaled 4.22 billion pounds in December, down 3 percent from the 4.35 billion pounds produced in December 2010.

Beef production, at 2.13 billion pounds, was 6 percent below the previous year. Cattle slaughter totaled 2.75 million head, down 6 percent from December 2010. The average live weight was down 8 pounds from the previous year, at 1,297 pounds.

Veal production totaled 10.7 million pounds, 8 percent below December a year ago. Calf slaughter totaled 72,900 head, down 6 percent from December 2010. The average live weight was down 8 pounds from last year, at 253 pounds.

Pork production totaled 2.07 billion pounds, up 1 percent from the previous year. Hog slaughter totaled 9.94 million head, up slightly from December 2010. The average live weight was up 1 pound from the previous year, at 278 pounds.

Lamb and mutton production, at 12.5 million pounds, was down 16 percent from December 2010. Sheep slaughter totaled 180,700 head, 16 percent below last year. The average live weight was 139 pounds, up 1 pound from December a year ago.

January to December 2011 commercial red meat production was 49.2 billion pounds, up slightly from 2010. Accumulated beef production was down slightly from last year, veal was down 4 percent, pork was up 1 percent from last year, and lamb and mutton production was down 9 percent.

State by State (million pounds, % of Dec 2010)
Iowa ...............: 595.6, 100      
Kansas ...........: 416.6, 90      
Nebraska ........: 606.6, 96      
South Dakota ..: 96.5, 101      



USDA Cold Storage Highlights

Total red meat supplies in freezers were down 1 percent from the previous month but up 1 percent from last year. Total pounds of beef in freezers were up 2 percent from the previous month and up 1 percent from last year. Frozen pork supplies were down 3 percent from the previous month but up 1 percent from last year. Stocks of pork bellies were up 55 percent from last month but down 19 percent from last year.

Total frozen poultry supplies on December 31, 2011 were down 1 percent from the previous month and down 16 percent from a year ago. Total stocks of chicken were down 3 percent from the previous month and down 22 percent from last year. Total pounds of turkey in freezers were up 6 percent from last month and up 7 percent from December 31, 2010.

Total natural cheese stocks in refrigerated warehouses on December 31, 2011 were up 1 percent from the previous month but down 6 percent from December 31, 2010.  Butter stocks were up 12 percent from last month and up 29 percent from a year ago.

Total frozen fruit stocks were down 6 percent from last month but up 3 percent from a year ago.  Total frozen vegetable stocks were down 5 percent from last month and down 3 percent from a year ago.



Informa Raises U.S. 2012 Corn Acreage Forecast

Private analytical firm Informa Economics on Friday raised its estimate for how much corn will be sown in the U.S. in 2012 and cut its estimate for soybean plantings. 

Informa, a closely watched crop forecaster, pegged corn plantings at 94.748 million acres, up from its December estimate of 94.389 million acres, traders said.   If realized, this would surpass the 2007 record planted corn acreage by 1.2 million, according to the firm.

The firm projected soybean plantings at 74.568 million acres, down from its December forecast of 74.608 million. 

As for wheat, Informa estimated 2012 winter wheat plantings at 41.947 million acres. The USDA last week pegged winter wheat plantings at 41.9 million acres.  Informa projected spring wheat plantings at 13.493 million acres, and durum plantings were seen at 2.465 million, they said.  Informa estimates all wheat acreage at 57.9 million, which would be 3.5 million above last year.



Poet Shelves Ethanol Pipeline

Poet said Friday it has decided to put a dedicated ethanol pipeline project on hold, citing slim prospects for a federal loan guarantee.  In March 2009, Poet joined Magellan Midstream Partners to study the feasibility of a dedicated ethanol pipeline. Magellan announced it placed its interest in the project on hold early last year.

"We continue to believe that the pipeline is a viable project with tremendous benefits for the country," said Jeff Broin, Poet CEO and founder. "But with little prospects for a federal loan guarantee in the near future we are currently focused on other efforts."

During the period when Poet and Magellan were working together, they had conducted preliminary studies of a dedicated ethanol pipeline, but from the beginning they believed that financing for a project of this size would be challenging without a federal loan guarantee.

Broin also said that the existing infrastructure for transporting ethanol serves the industry well.  "While a pipeline could improve the efficiency of ethanol distribution and lower costs for motorists, the system that we have in place today has allowed ethanol to flow seamlessly into more than 90% of the gasoline sold," he said.

Poet, based in Sioux Falls, S.D., has a production capacity of more than 1.6 billion gallons of ethanol per year, controls a network of 27 plants nationwide, making it one of the largest ethanol producers in the United States.



RFA Outlines Priorities in Letter to Obama Before SOTU

American ethanol production is creating jobs, energizing rural economies, reducing oil imports, and helping all consumers save money at the pump emphasized the Renewable Fuels Association today in a letter to President Obama as he prepares for the State of Union address on Jan. 24.

“While renewable energy discussions have been few and far between on Capitol Hill and in the election this year, the upcoming State of the Union address offers the unique opportunity to remind lawmakers and the American public of the value of a strong domestic renewable fuel industry,” wrote RFA President and CEO Bob Dinneen.  “The story of renewable fuels in America is good one.  Domestic production of ethanol, the largest and most viable biofuel available today, was nearly 14 billion gallons in 2011.  That represents ten percent of the nation’s gasoline supply.  Even more impressively, ethanol represents one-quarter of all motor fuel used in gasoline engines that is produced from domestic sources.”

Dinneen underscored the value of domestic ethanol production in job creation, stating that “job creation estimates for 2011 as a result of U.S. ethanol production suggest close to 100,000 direct jobs and an additional 350,000 indirect and induced jobs supported by America’s ethanol producers.”

Additionally, Dinneen seized upon the downturn in America’s use of imported oil and the direct impact the rise in domestic ethanol production has played in reversing the trend of a growing dependence on imported oil.

“As you know, for the first time since 1997, net oil imports account for less than 50 percent of total U.S. demand for crude oil,” wrote Dinneen.  “That is down significantly from recent years when nearly two out of three barrels of oil used in the U.S. were sourced from other nations.  …with ten percent of America’s gasoline supply now comprised of a domestic renewable fuel, American ethanol is meaningfully and directly helping to make the dangerous threats of petrodictators to disrupt vital oil shipping lanes less impactful.  This is not only saving Americans money, but it is also a way to help mitigate the need for U.S. military action to protect the flow of oil.”

Dinneen urged President Obama to build on his record of success in support of domestic ethanol production to push for four important policy directions.

First, ensuring the integrity and intent of the Renewable Fuel Standard is paramount to both existing ethanol producers and companies developing new technologies.  “This policy is the only nationwide domestic energy strategy that is directly reducing imports of oil while also creating permanent U.S. jobs and economic opportunities.  Moreover, it serves as the policy foundation for investment in and commercialization of advanced and cellulosic ethanol technologies,” wrote Dinneen.

Second, extending key tax provisions for cellulosic ethanol production will be key to commercializing these technologies.  “Extensions of both the Production Tax Credit (PTC) for cellulosic ethanol and the Accelerated Depreciation Allowance for cellulosic biorefineries are two polices that are needed to spur continued investment and create some semblance of balance and parity within energy tax policy that is lacking today.”

Third, the continued focus of the Obama Administration on ethanol and renewable fuel infrastructure and new production technologies will be critical to breaking the fossil fuel monopoly on the nation’s fuel supply.  Specifically, Dinneen commended the work of Agriculture Secretary Tom Vilsack noting, “[t]he Department of Agriculture has made wise and fruitful investments in next generation ethanol technologies, farming practices and technologies to supply a growing array of biofuel feedstocks, and ethanol fueling infrastructure that is needed to expand the market opportunity for domestically-sourced ethanol and other biofuels.”

Fourth, a level playing field is desperately needed in order for more domestic renewable fuels like ethanol to compete in the market.  Dinneen encouraged President Obama to continue his push to eliminate oil industry tax breaks.  “Now is the time to end taxpayer handouts to all oil companies, not just the largest or most profitable, and begin to create the level playing field and free market for which so many anti-ethanol and renewable energy critics claim to desire,” wrote Dinneen.



Federal Panel: More Testing Finds GPS/LightSquared Interference
(from NAWG newsletter)

A year of testing by a federal interagency committee has unanimously determined there “appear to be no practical solutions or mitigations” to GPS interference caused by LightSquared’s broadband technology.

That was the main message of a letter sent last week by the group’s co-chairmen to the Department of Commerce, noting that the Federal Aviation Administration (FAA) has also concluded the technology could interfere with flight-safety systems that depend on GPS.

The co-chairs of the interagency review panel, who are deputy secretaries of the Departments of Defense and Transportation, indicated in their letter that the level of interference, even with proposed fixes, is so severe “no additional testing is warranted at this time.”

LightSquared has applied for a spectrum use waiver from the Federal Communications Commission (FCC) to allow it to deploy technology to dramatically expand broadband access, including in rural areas.

However, extensive testing has shown the technology also causes significant interference with GPS systems, which are well-integrated into the agricultural, construction, aviation and other industries, as well as commonly used by members of the general public.

Agriculture groups are heavily engaged on this issue because without a technical fix, LightSquared’s technology would knock out most of an estimated 500,000 precision receivers used in farm equipment, which have allowed for critical safety and environmental benefits and billions of dollars of savings on the farm.

LightSquared reacted quickly to the interagency determination, saying the review process was “fraught with inappropriate involvement of the GPS manufacturers, lax controls, obvious bias, lack of transparency and unexplained delays,” and that its private tests have shown its proposed fix for the interference problem “works flawlessly.”

The Coalition to Save Our GPS, which has advised caution in moving forward, said in a statement, “LightSquared has been afforded every possible opportunity to make its technical case and has failed to demonstrate that it can avoid interference to many critical GPS-based activities… At this point, there is no evidence that any further modifications to its proposal would yield a different conclusion.”  



USDA Reminds Producers of Sign-up Dates for 2012 Direct and Counter Cyclical Program and Average Crop Revenue Election Program

U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) Administrator Bruce Nelson today announced that enrollment for the 2012 Direct and Counter-cyclical Program (DCP) and the Average Crop Revenue Election Program (ACRE) will begin on Jan. 23, 2012. The last day for producers to sign up for either program will be June 1, 2012.

USDA urges producers to make use of the electronic DCP (eDCP) automated website to sign up, or producers can visit any USDA Service Center to complete their 2012 DCP or ACRE contract. eDCP saves time, reduces paperwork and speeds up contract processing at USDA Service Centers. It is available to all producers who are eligible to participate in the DCP and ACRE programs and can be accessed at www.fsa.usda.gov/dcp. To access the service, producers must have an active USDA eAuthentication Level 2 account, which requires filling out an online registration form at www.eauth.egov.usda.gov followed by a visit to the local USDA Service Center for identity verification.

USDA computes DCP program payments using base acres and payment yields established for each farm. Eligible producers receive direct payments at rates established by statute regardless of market prices.

For 2012, advance direct payments are not authorized in accordance to the Food, Conservation, and Energy Act of 2008. Counter-cyclical payment rates vary depending on market prices.

Counter-cyclical payments are issued only when the effective price for a commodity is below its target price. The effective price is the higher of the national average market price received during the 12-month marketing year for each covered commodity and the national average loan rate for a marketing assistance loan for the covered commodity.

The ACRE Program provides a safety net based on state revenue losses. When the ACRE option is chosen, it acts in place of the price-based safety net of counter-cyclical payments under DCP. USDA provides the farm a revenue guarantee. The guarantee starts with multiplying an average yield calculated using a five-year state average times the most recent two-year national price average for each eligible commodity. For the 2012 crop year, the two-year price average will be based on the 2010 and 2011 crop years. When all criteria are considered in calculating the target and the annual revenue is lower than the revenue guarantee, the farm is eligible for support under ACRE, assuming all other qualifications are met.

Since 2009, producers have had the option to participate in either DCP or ACRE. A producer who initially chose to enroll in DCP has the option to switch to ACRE during the 2012 enrollment period; however, producers who chose to enroll in ACRE cannot switch back to DCP.

An ACRE payment is issued when both the state and the farm have incurred a revenue loss. The 2012 crop year ACRE payment is based on 85 percent of the farm's planted acres times the difference between the state ACRE guarantee and the state revenue times the ratio of the farm's yield divided by the state expected yield. The total number of planted acres for which a producer may receive ACRE payments may not exceed the total base on the farm.

In exchange for participating in ACRE, in addition to not receiving counter-cyclical payments, a farm's direct payment is reduced by 20 percent, and marketing assistance loan rates are reduced by 30 percent.



Agriculture Secretary Vilsack Announces Support for a New Advanced Biofuel Production Facility

Agriculture Secretary Tom Vilsack today announced that USDA has approved a conditional commitment for a $25 million guaranteed loan to build a biorefinery plant with funding support from USDA's Biorefinery Assistance Program. The plant will be constructed by Fiberight, LLC based in Blairstown, Iowa.

"This project is another step the Obama administration is taking to support production of a new generation of renewable fuels, in order to build an active biofuels and biomass production industry in every region of the country," said Vilsack. "Investments in renewable energy create jobs and reduce America's dependence on foreign oil."

USDA funding will be used to construct a 55,000 square foot facility that will produce cellulosic ethanol by converting municipal solid waste and other industrial pulps into advanced biofuels, as well as using conventional renewable biofuel derived from seed corn waste. When operational, the facility is expected to produce approximately 3.6 million gallons of cellulosic ethanol per year. The process will use a cellulosic microbe to produce up to 15 percent more ethanol than traditional fermentation technology, and reduce energy inputs in the fermentation and distillation process. Fiberight estimates the project will create 38 jobs and save 16 jobs.

Under the conditional commitment, Fiberight must meet specified conditions before the loan guarantee can be completed. Other funding comes from the State of Iowa.Fiberight also received a $2.5 million grant from the Iowa Power Fund in 2010. The company will work with the Benton County landfill to supply a portion of the feedstock for the project. The total project cost is estimated at $59.5 million. Fiberight, LLC was incorporated in 2007 for the purpose of converting an existing ethanol facility into a cellulosic ethanol facility in Blairstown.



USDA Seeks to Modernize Poultry Inspection in the United States

In a shift that will save money for businesses and taxpayers while improving food safety, the U.S. Department of Agriculture's (USDA) Food Safety and Inspection Service (FSIS) is proposing a modernization of young chicken and turkey slaughter inspection in the United States by focusing FSIS inspection resources on the areas of the poultry production system that pose the greatest risk to food safety.

"The modernization plan will protect public health, improve the efficiency of poultry inspections in the U.S., and reduce spending," Agriculture Secretary Tom Vilsack said. "The new inspection system will reduce the risk of foodborne illness by focusing FSIS inspection activities on those tasks that advance our core mission of food safety. By revising current procedures and removing outdated regulatory requirements that do not help combat foodborne illness, the result will be a more efficient and effective use of taxpayer dollars."

Currently, some FSIS employees in poultry establishments perform several activities which are unrelated to food safety, such as identifying visual defects like bruising, while others conduct the critical inspection activities. Under the proposed plan, all FSIS inspection activities will focus on critical food safety tasks to ensure that agency resources are tied directly to protecting public health and reducing foodborne illnesses. Additionally, some outdated regulatory requirements are being removed and replaced with more flexible and effective testing and process control requirements. Finally, all poultry establishments will now have to ensure that their procedures prevent contamination in the production process and provide supporting data to FSIS personnel.

By focusing inspectors only on the areas that are crucial to food safety, these changes will not only enhance consumer safety but will improve efficiency saving taxpayers more than $90 million over three years and lower production costs at least $256.6 million per year.

FSIS will continue to conduct on-line carcass-by-carcass inspection as mandated by law. This rule will allow FSIS personnel to conduct a more efficient carcass-by-carcass inspection with agency resources focused on more effective food safety measures. Data collected by the Agency over the past several years suggests that offline inspection activities are more effective in improving food safety. Inspection activities conducted off the evisceration line include pathogen sampling, and verifying that establishments are maintaining sanitary conditions and controlling food safety hazards at critical points in the production process.

The proposal was posted today on the FSIS website at www.fsis.usda.gov/regulations_&_policies/Proposed_Rules/index.asp and soon will publish in the Federal Register. The comment period will end 90 days after the proposal publishes in the Federal Register and must be submitted through the Federal eRulemaking Portal at www.regulations.gov, or by mail to the U.S. Department of Agriculture (USDA), FSIS, OPPD, RIMD, Docket Clearance Unit, Patriots Plaza III, Room 8-164, 355 E Street, S.W., Washington, D.C. 20024-3221. All items submitted by mail or electronic mail must include the Agency name and docket number, which will be assigned when it is published in the Federal Register.

Over the past two years, FSIS has announced several new measures to safeguard the food supply, prevent foodborne illness, and improve consumers' knowledge about the food they eat. These initiatives support the three core principles developed by the President's Food Safety Working Group: prioritizing prevention; strengthening surveillance and enforcement; and improving response and recovery. Some of these actions include:
-    Performance standards for poultry establishments for continued reductions in the occurrence of pathogens. After two years of enforcing the new standards, FSIS estimates that approximately 5,000 illnesses will be prevented each year under the new Campylobacter standards, and approximately 20,000 illnesses will be prevented under the revised Salmonella standards each year.
-    Zero tolerance policy for six Shiga toxin-producing E. coli (STEC) serogroups. Raw ground beef, its components, and tenderized steaks found to contain E. coli O26, O103, O45, O111, O121 or O145 will be prohibited from sale to consumers. USDA will launch a testing program to detect these dangerous pathogens and prevent them from reaching consumers.
-    Test and hold policy that will significantly reduce consumer exposure to unsafe meat products, should the policy become final, because products cannot be released into commerce until Agency test results for dangerous contaminants are known.
-    Labeling requirements that provide better information to consumers about their food by requiring nutrition information for single-ingredient raw meat and poultry products and ground or chopped products.
-    Public Health Information System, a modernized, comprehensive database about public health trends and food safety violations at the nearly 6,100 plants FSIS regulates.



USDA Awards Research Grants to Ensure the Sustainability and Quality of America's Water Supply

Agriculture Deputy Secretary Kathleen Merrigan announced today that the U.S. Department of Agriculture (USDA) is awarding 26 grants for research, education and extension efforts that will help to inform science-based decision-making on water-related issues in communities across the United States. The grants, totaling $13.4 million, are split into two major categories: 17 grants will support integrated research, education and extension work to improve the quality of the nation's surface and groundwater resources in agricultural, rural and urbanizing watersheds; and nine research grants will address critical water resource issues, including drought preparedness and water reuse in agriculture. The grants are funded by USDA's National Institute of Food and Agriculture (NIFA).

"American communities and rural areas depend upon a safe and reliable water supply," said Merrigan. "These research projects will help farmers, ranchers and community leaders enhance local economies and environments in agricultural and rural communities. At the same time, drought preparedness and the consideration of novel sources of water will help cities, communities and rural areas across the nation and around the globe adapt to the effects of changing climate on water quality and quantity and better understand water's role in agro-ecosystems."

In the first category, 17 grants totaling more than $9 million were awarded by NIFA through the National Integrated Water Quality Program (NIWQP), which aims to solve water resource problems by advancing scientific knowledge about water quality. Funded projects also use the new knowledge gained to develop and disseminate science-based decision making and management practices that improve the surface and groundwater quality in the nation's watersheds.

Projects funded this year include:
    Cal Poly Corporation, San Luis Obispo, Calif., $234,865
    Colorado State University, Fort Collins, Colo., $365,000
    Colorado State University, Fort Collins, Colo., $149,000
    Colorado State University, Fort Collins, Colo., $17,000
    University of Delaware, Newark, Del., $595,000
    University of Florida, Gainesville, Fla., $398,800
    University of Florida, Gainesville, Fla., $395,000
    University of Georgia, Athens, Ga., $567,000
    University of Illinois, Urbana-Champaign, Ill., $595,000
    Purdue University, West Lafayette, Ind., $395,000
    Iowa State University, Ames, Iowa, $595,000
    Kansas State University, Manhattan, Kan., $570,000
    Mississippi State University, Mississippi State, Miss., $445,000
    Montana State University, Bozeman, Mont., $598,500
    North Carolina State University, Raleigh, N.C., $595,000
    University of Wisconsin, Madison, Wisc., $2,400,000
    University of Rhode Island, Kingstown, R.I., $495,000

Additionally, in Fiscal Year 2011, NIFA, in cooperation with USDA's Farm Service Agency, solicited proposals for three interrelated projects that address nitrogen cycling in agricultural watersheds. All three projects funded through this special emphasis area are expected to work collaboratively in developing solutions for improving water quality in agricultural watersheds. These projects include the University of Illinois, Iowa State University and the University of Rhode Island.

In the second category, nine grants totaling $4.4 million were awarded by NIFA through the Agriculture and Food Research Initiative (AFRI) Agricultural Water Sciences foundational program. This program supports research projects and programs that address critical water resource issues in agricultural, rural and urban ecosystems. These projects reflect the growing need to reduce the impacts of more frequent and intense droughts and provide alternative sources of water for irrigated agriculture and other agricultural uses under conditions of shrinking water availability. Projects were funded in California, Colorado, Florida, Hawaii, Michigan, Nebraska and Texas and include:
    University of California, Riverside, Calif., $500,000
    Colorado School of Mines, Golden, Colo., $499,815
    University of Florida, Gainesville, Fla., $486,451
    University of Hawaii at Manoa, Honolulu, Hawaii, $499,912
    Purdue University, West Lafayette, Ind., $492,797
    Michigan State University, East Lansing, Mich., $495,888,
    University of Nebraska, Lincoln, Neb., $500,000
    Texas A&M University, College Station, Texas, $498,649,
    Texas A& M University, College Station, Texas, $496,335



USDA Announces Greater Flexibility and Additional Tools for Beginning Farmers and Ranchers

U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) Administrator Bruce Nelson today announced today a new rule that expands loan opportunities for beginning and socially disadvantaged farmers and ranchers, while also establishing a new Land Contract Guarantee Program. The rule provides additional flexibility allowing FSA loan officers to consider all prior farming experience, including on-the-job training and formal education, when determining eligibility for FSA for farm operating and ownership loans. It also expands a previous pilot program, the Land Contract Guarantee Program, from six states to all 50 states. This program is designed to encourage farmers and ranchers to sell their property to beginning and socially disadvantaged (SDA) farmers and ranchers through the use of seller financing.

“USDA continues to find ways to improve our services for farmers and ranchers by streamlining processes, accelerating delivery, and using innovative solutions to 21st century agricultural challenges,” said Nelson. “These improvements demonstrate FSA’s commitment to helping the next generation of America’s farmers and ranchers participate in our nation’s agricultural economy. The new flexibility also enlarges the pool of potential farmland buyers, which is important to young, beginning and socially disadvantaged farmers who start out or operate without established credit.”

The changes in eligibility announced today will increase access for farmers and ranchers to FSA loans and credit assistance. The new rule enables landowners to sell their farmland to the next generation on a contract for deed with a 90-percent guarantee against losses to the seller. Alternatively, the agency can provide a guarantee of three years’ amortized loan installments, plus payment of real estate taxes and hazard insurance premiums for the same three-year period.

U.S. agriculture is currently experiencing its most productive period in decades thanks to the productivity, resiliency, and resourcefulness of America’s producers. The improvements outlined today will help producers and businesses maintain this competitive edge. In late 2011, FSA announced a series of additional process improvements that included quicker disaster assistance and less reporting dates. Details follow:

USDA is reviewing comments on a proposed rule to streamline the process for its Secretarial Disaster Designation, allowing farmers and ranchers devastated by natural disasters 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.

USDA established 15 common Acreage Reporting Dates (ARDs) for farmers and ranchers participating in FSA and Risk Management Agency (RMA) 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.

More information on the new Land Contract Guarantee Program and the other changes are available at local FSA offices nationwide. Information about Farm Loan Programs and FSA loan qualifications can be found at www.fsa.usda.gov.



Renewable Energy in Your Community
Agriculture Secretary Tom Vilsack

Over the past three years, USDA has taken important steps to help meet President Obama’s goal of building a secure energy future for our nation. We’ve helped back the science, research and planning to expand production of biofuels and other bio-based products. We’ve supported farmers and entrepreneurs working to produce renewable energy or become more energy efficient.

We want Americans to learn about our good work and also to see how their community can get involved in an expanding renewable energy and bio-based economy that is creating jobs and driving economic growth across rural America.

So this week, USDA launched a new energy website to serve as a one-stop shop for data about energy efficiency and renewable energy programs at USDA. It builds on my commitment to make sure that USDA is using the most up-to-date technology to deliver modern and efficient service.

In today’s competitive rural business environment, we need to help farmers, ranchers and small businesses learn about funding opportunities to improve their bottom line with energy efficiency and renewable energy efforts. A great way for them to get started is by visiting www.USDA.gov/energy.

The new energy website provides access to all USDA energy resources, including agricultural, forestry, economic, and social data. A set of new web-based tools, including a Renewable Energy Investment Map and an Energy Matrix, focus on USDA’s investments and projects, providing useful information to a broad spectrum of stakeholders. It makes it easy to navigate USDA’s energy resources. In addition, the site provides a link so you can find energy experts in USDA’s state and local offices.

Every day, USDA is investing in rural communities across the country to drive job growth and a better future for the middle class.  And sometimes, we hear from our customers about the need to reduce red tape and modernize our services. This energy website helps answer that challenge: making the best use of taxpayer resources to help provide the best possible service to the American people.

I hope you’ll take a moment to visit the website at www.USDA.gov/energy.