Friday January 27 Ag News

NEBRASKA CATTLE INVENTORY UP 4 PERCENT

All cattle and calves on hand January 1, 2012,  in Nebraska totaled 6.45 million head, up 4 percent from a year ago according to USDA’s National Agricultural Statistics Service, Nebraska Field Office.    All cows on hand January 1, at 1.94 million head, were 6 percent above last year.  The 2011 calf crop was estimated at 1.69 million head, up 2 percent from 2010.   Cattle and calves on feed for slaughter in all Nebraska feedlots on January 1 totaled 2.65 million head, up 4 percent from last year.

IOWA:
All cattle  and calves  in  Iowa as of  January 1, 2012  totaled 3.90 million head, according  to  the  latest USDA, National Agricul tural Statistics Service – Cattle report. This estimate is unchanged from January 1, 2011.  Beef cows, at 895,000 head, were 7 percent above last year.  Milk cows, at 205,000 were down 2 percent from last year.

All heifers 500 pounds and over, at 920,000 head, were down 7 percent  from  last year.   Heifers  for beef cow  replacement were  up 17 percent to 140,000 head;  heifers for milk cow replacement at 140,000 head were up 8 percent from the previous year; and all other heifers were down 14 percent to 640,000 head.

Steers weighing 500 pounds and over were down 4 percent  from  last year at 1,300,000 head.   Bulls weighing 500 pounds and over were unchanged from a year ago at 60,000 head.  Calves under 500 pounds on January 1 totaled 520,000 in 2012, up 16 percent from last year.

The 2011 calf crop was estimated at 1.05 million head, up 4 percent from the 1.01 million born in 2010.  Cattle and calves on feed for slaughter in all feedlots on January 1, 2012 was at 1,300,000 head down 6 percent from one year ago.

January 1 Cattle Inventory Down 2 Percent
All cattle and calves in the United States as of January 1, 2012 totaled 90.8 million head, 2 percent below the 92.7 million on January 1, 2011. This is the lowest January 1 inventory of all cattle and calves since the 88.1 million on hand in 1952.  All cows and heifers that have calved, at 39.1 million, were down 2 percent from the 40.0 million on January 1, 2011.
  • Beef cows, at 29.9 million, were down 3 percent from January 1, 2011.
  • Milk cows, at 9.2 million, were up 1 percent from January 1, 2011.

Other class estimates on January 1, 2012 and the change from January 1, 2011, are as follows:
  • All heifers 500 pounds and over, 19.4 million, down 1 percent.
  • Beef replacement heifers, 5.2 million, up 1 percent.
  • Milk replacement heifers, 4.5 million, down 1 percent.
  • Other heifers, 9.6 million, down 2 percent.
  • Steers weighing 500 pounds and over, 16.1 million, down 2 percent.
  • Bulls weighing 500 pounds and over, 2.1 million, down 5 percent.
  • Calves under 500 pounds, 14.1 million, down 3 percent.
  • Cattle and calves on feed for slaughter in all feedlots, 14.1 million, up 1 percent.
  • The combined total of calves under 500 pounds, and other heifers and steers over 500 pounds outside of feedlots was 25.7 million, down 4 percent.

Calf Crop Down 1 Percent
The 2011 calf crop was estimated at 35.3 million head, down 1 percent from 2010. This is the smallest calf crop since the 34.9 million born during 1950. Calves born during the first half of 2011 are estimated at 25.7 million, down 1 percent from 2010.



2012 Beef Feedlot Roundtables at Three Locations in February

Beef feedlot managers, owners, employees and supporting industry personnel will learn the latest in feedlot health, nutrition, environment, and economics at the 2012 Beef Feedlot Roundtables Feb. 14-16 in West Point, Lexington and Bridgeport with remote connections to locations in Iowa.

The University of Nebraska-Lincoln Extension Roundtables will be offered Feb. 14 at the Nielsen Community Center in West Point, Feb. 15 at the Holiday Inn Express in Lexington and Feb. 16 at the Prairie Winds Community Center in Bridgeport.

Registration is from 7:45-8:15 a.m. with introduction and welcome at 8:15 by local extension personnel.

University and industry representatives will speak on feedlot animal health, nutrition, and environment topics which include a producer panel on manure management, the environmental impact of cattle, and a research update.

The Nebraska Beef Council will give an update on new beef products and sponsor lunch.

Feedlot economics and research topics include feeding options with more expensive inputs, use of technology, and risk protection. The program will conclude with a research update and adjourn by 4 p.m.

Preregistration is available by phone, fax, e-mail or mail and requested by Feb. 3. Cost is $25 and will be accepted with a preregistration at the door. Cost for those who have not preregistered will be $40. For more information or a registration form contact Matt Luebbe at the Panhandle Research and Extension Center, 4502 Ave I, Scottsbluff NE 69361, phone 308-632-1397, fax 308-632-1365 or e-mail mluebbe2@unl.edu.

The Beef Feedlot Roundtable is sponsored by UNL Extension in the University's Institute of Agriculture and Natural Resources.

Morning topics will cover feedlot economics and environment with the following presentations: market outlook and risk management, Shane Ellis, Iowa State University; feedlot cattle footprints, Terry Mader, UNL Extension; manure values and BFNMP$ program, Matt Luebbe, UNL Extension-Panhandle Research and Extension Center; producer panel on manure value and challenges, local producers and industry; and Beef Council update, Lisa Brass and Ann Marie Bosshamer.

Afternoon sessions will cover feedlot health and nutrition with the following presentations: Digital Dermatitis: an emerging challenge for feedlot cattle, Jan Shearer, Iowa State University; grain adaptation and roughages, Galen Erickson, UNL Animal Science; use of technology and impact on feedlot production, Heather DePra, UNL Extension; research update: Galen Erickson, UNL Animal Science, Terry Mader, NEREC, and Matt Luebbe, PHREC.



Total Sheep and Lamb Inventory Down 2 Percent

All sheep and lamb inventory in the United States on January 1, 2012, totaled 5.35 million head, down 2 percent from 2011. Breeding sheep inventory decreased to 3.98 million head on January 1, 2012, down 3 percent from 4.08 million head on January 1, 2011. Ewes one year old and older, at 3.16 million head, were 2 percent below last year. Market sheep and lambs on January 1, 2012, totaled 1.37 million head, down 2 percent from January 1, 2011. Market lambs comprised 94 percent of the total market inventory. Twenty-two percent were lambs under 65 pounds, 12 percent were 65 - 84 pounds, 22 percent were 85 - 105 pounds, and 38 percent were over 105 pounds. Market sheep comprised the remaining 6 percent of total market inventory.

The 2011 lamb crop of 3.51 million head, was down 2 percent from 2010. The 2011 lambing rate was 109 lambs per 100 ewes one year old and older on January 1, 2011, an increase of 2 percent from 2010.

Shorn wool production in the United States during 2011 was 29.3 million pounds, down 4 percent from 2010. Sheep and lambs shorn totaled 4.03 million head, also down 4 percent from 2010. The average price paid for wool sold in 2011 was a record high $1.67 per pound for a total value of 48.9 million dollars, up 40 percent from 35.0 million dollars in 2010.

Sheep death loss during 2011 totaled 240 thousand head, an increase of 4 percent from 2010. Lamb death loss increased 3 percent from 370 thousand head in 2010 to 380 thousand head in 2011.

Total Goat and Kid Inventory Down 4 Percent
All goat inventory in the United States on January 1, 2012, totaled 2.86 million head, down 4 percent from 2011. Breeding goat inventory totaled 2.38 million head, down 4 percent from 2011. Does one year old and older, at 1.78 million head, were 3 percent below last year's number. Market goats and kids totaled 487 thousand head, down 5 percent from a year ago.

Kid crop for 2011 totaled 1.88 million head for all goats, down 2 percent from 2010.

Meat and all other goats totaled 2.36 million head on January 1, 2012, down 4 percent from 2011. Milk goat inventory was 360 thousand head, unchanged from January 1, 2011, while Angora goats were down 15 percent, totaling 146 thousand head.

Mohair production in the United States during 2011 was 865 thousand pounds. Goats and kids clipped totaled 149 thousand head. Average weight per clip was 5.8 pounds. Mohair price was $4.12 per pound with a value of 3.56 million dollars.

NEBRASKA:
Sheep and Lambs:  77,000 head, +4% from last year;  62,000 breeding head and 15,000 market head
Lamb crop:  70,000 head, +4% from last year

IOWA:
All  sheep  and  lambs  inventory  at 195,000 head  is down nearly 3 percent  from last  year  according  to  the  latest  USDA, National  Agricultural  Statistics  Service  – Sheep  and  Goats  report.    Total  breeding stock,  at  143,000 head,  is  approximately 13 percent  higher  than  a  year  ago. Compared  to  last  year,  market  sheep  and lambs  decreased  nearly  29 percent  to 52,000 head,  and  the  lamb  crop  decreased nearly 3 percent to 155,000.



Rasby to discuss cow-calf nutrition at Mid-America Alfalfa Expo & Conference

Dr. Rick Rasby, a University of Nebraska–Lincoln cattle feeding expert, will discuss the opportunities for including forages in cow-calf operations at the Mid-America Alfalfa Expo & Conference, which is scheduled for February 7-8 at the Buffalo County Fairgrounds in Kearney.

“With higher grain prices, the market is saying to use more forages,” Rasby said. “We’ll discuss how can we optimize the use of forages.”

He noted that while grazing is a tremendous opportunity, especially here in Nebraska, there are times of the year when feeding harvested forage will be necessary. “It is important to know the nutrient quality of that forage,” he said, “because you need to make sure you’re meeting the needs of the beef cow.”

Rasby joined the staff at the University of Nebraska in 1986 as extension beef specialist with primary responsibilities in cow/calf management, reproduction and nutrition. He received a B.S. from the University of Nebraska–Lincoln and his M.S. and Ph.D. from Oklahoma State University. Since arriving in Nebraska, his extension programs have focused on economical feeding programs incorporating forages for beef cows and evaluation of reproductive performance of the cow herd. He was also instrumental in development of the beef website, beef.unl.edu.

Sponsored by the Nebraska Alfalfa Marketing Association (N.A.M.A.), the Mid-America Alfalfa Expo & Conference is designed especially for alfalfa producers, livestock/dairy producers and others who are involved in alfalfa production, purchasing, hay feeding or processing.

Other speakers include Dr. Ron Hansen, ag economics professor at the University of Nebraska–Lincoln, who will provide a session on multi-generational family farm ownership; Dr. Al Dutcher, Nebraska climatologist, who will discuss weather patterns and forecasts for the coming crop year; and Trent Loos, well-known commentator, columnist and ag advocate.

Registration includes admission to all presentations and programs, a Tuesday afternoon reception, dinner Tuesday evening, admission to the large alfalfa industry trade show and the opportunity to bid in the fundraising auction that takes place Tuesday afternoon. The auction features a wide range of items including seed, harvesting equipment, supplies and other valuable products and services.

Registration is $10 per person in advance (tickets must be purchased by noon, February 3, 2012) and $20 at the door. Participants under the age of 18 are admitted at no charge. Registration is available online at www.AlfalfaExpo.com.



New Water for Food Institute Director to be Heuermann lecturer Feb. 20

Global water and food issues take center stage Monday, Feb. 20, when Professor Roberto Lenton, one of the world's foremost water management and development experts, presents the February Heuermann Lecture in the Hardin Hall auditorium, 33rd and Holdrege, on the University of Nebraska-Lincoln East Campus.

"Water for Food: Think globally, act locally," is the topic for the 3:30 p.m. public lecture.

Lenton is founding director of the Robert B. Daugherty Water for Food Institute at the University of Nebraska as of Feb. 1. He comes to the university after serving since 2009 as chairman of the independent World Bank Inspection Panel.

"We must continue to have ample and high quality water for human use, and we must use water wisely to grow food to feed the world's growing population," said Ronnie Green, IANR Harlan vice chancellor and moderator of the Heuermann Lectures. "Roberto Lenton brings a wealth of knowledge and experience to his Heuermann Lecture and to his work as the new executive director of the Robert B. Daugherty Water for Food Institute."

Lenton will discuss the world's growing food needs and the growing competition for scarce water resources as he analyzes important trends, emerging challenges and looming threats around the world.

"There is a global interconnectedness of water and food issues," Lenton said, "and we need to think both globally and locally to successfully meet the challenges before us.

"For instance -- both globally and in Nebraska, we need to effectively manage our groundwater resources as we face the challenges of increasing water productivity. To do that successfully, we must have solutions specific to our local conditions and needs."

Lenton also will discuss unique contributions the Robert B. Daugherty Water for Food Institute can make in addressing local and global water and food issues.

"The University of Nebraska has an outstanding group of faculty and staff with a long track record of addressing water and food security issues from a variety of disciplinary perspectives," Lenton said. "We must draw on all resources across the university engaged in water and food issues to fully capitalize on Nebraska's experience in efficient water use while combining that knowledge and experience with research and practice in other parts of the world. That way we can create synergy that provides collaborative knowledge in which the sum is greater than all of its parts."

With some 40 years of international experience in water resources and sustainable development, Lenton has served as chairman of the Water Supply and Sanitation Collaborative Council and of the Technical Committee of the Global Water Partnership. He was director of the Sustainable Energy and Environment Division of the United Nations Development Programme in New York, and director general of the International Water Management Institute (IWMI) in Sri Lanka.

Under his leadership, IWMI grew from a small project-based organization to a major institute with more than 300 people in 10 countries and an annual budget that had tripled in size.

Lenton served as program officer in the Rural Poverty and Resources program of the Ford Foundation in New Delhi and New York, co-chaired the United Nations Millennium Project Task Force on Water and Sanitation, and was lead author on that task force's final report, and more.

Heuermann Lectures in the Institute of Agriculture and Natural Resources at UNL focus on meeting the world's growing food and renewable energy needs while sustaining natural resources and rural communities. They 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.

A 3 p.m. reception in the Hardin Hall lobby precedes the lecture.



Iowa Pork Congress Review:  2012 Iowa Pork Taste of Elegance Winners Announced

A chef from the Diamond Jo Casino in Dubuque was proclaimed the winner of the 2012 Iowa Pork Taste of Elegance competition this week in Des Moines.  Chef Jon Nelson was named Chef Par Excellence in the Iowa Pork Producers Association’s 25th annual culinary contest Jan. 23. He prepared a pork dish he titled “Pur Porc.” Nelson earned a plaque, $1,000 and the opportunity to compete in the National Taste of Elegance event in California this spring.

Another Dubuque chef placed second in the contest and earned the title of Superior Chef. Chef Andrew James Weis of Caroline’s Restaurant at the Hotel Julien Dubuque prepared an entrée titled “Pork Ribeye Specialty” and he won a plaque and $500.

The third place winner was Chef Aaron King of Dos Rios/Big City Burgers and Greens/Catering DSM in Des Moines. As Premier Chef, King received a plaque and $250. His “Pork 3 Ways” entrée featured Honey and Cider Caramelized Pork Belly, Morse Farms Satsuma Mandarin Marmalade, Pig Skin Ravioli, House-cured Whiskey Smoked Ham and Lentil Parfait, and Adobo Pork Loin with Negro Mole.

Chef Joseph Weisz of the Iowa Stater Restaurant in Ames took home the People’s Choice Award. The 2011 Iowa Pork Taste of Elegance Superior Chef was a last-minute replacement in the contest and he won a plaque and $250 with an entrée he called “Tre Carbonara.”

A total of eleven chefs from Iowa restaurants competed for the top prize in this year’s contest at the Des Moines Marriott Downtown. A visiting chef from Manitoba, Canada, competed, but was only eligible for the People’s Choice Award.  Each of the chefs was required to use a fresh pork cut in an original entrée. The winning pork dishes were selected on the basis of taste, appearance and originality by a panel of judges.  Following the day’s competition, nearly 300 invited guests enjoyed the evening reception and samples of each contestant’s entrée, as well as samples from several Central Iowa wineries.

West Delaware HS student named 2012 Iowa Pork Queen
A student at West Delaware High School in Manchester will serve as the Iowa Pork Queen for 2012.  Lindsay Reth, the daughter of Russ and Dianne Reth of Manchester, was crowned pork queen Jan. 25 at the 40th annual Iowa Pork Congress Banquet in Des Moines. The 2012 Iowa Pork Princess and Iowa Premier Pork Youth Ambassador also were selected.  Reth, the current Delaware County Pork Queen, is a senior at West Delaware High School. She plans to attend Wartburg College in Waverly after high school graduation and major in business administration.  The new Iowa Pork Princess is Sterling Schnepf of Granville in Plymouth County. The daughter of Richard and Sharon Schnepf, Sterling attends Iowa State University in Ames and is a sophomore majoring in animal science pre-graduate studies. She was named Plymouth County Pork Queen last spring.  A total of seven county pork queens entered this year’s competition.

An Iowa State University junior will serve as the 2012 Iowa Premier Pork Youth Ambassador. Jacob Swanson of Ottumwa in Wapello County is majoring in public service and administration in agriculture. He is the son of Don and Pat Swanson.  Swanson won the title over four other youth ambassador contestants.

All of the contestants participated in interviewing and communications exercises and were judged on their skills, poise, presentation and overall knowledge of the pork industry and Iowa agriculture.  Reth, Schnepf and Swanson will serve as representatives of the Iowa Pork Producers Association and assist with various pork promotional and educational activities throughout the year.  The new Iowa Pork Queen and the Iowa Premier Pork Youth Ambassador each receive a $2,000 scholarship and the Iowa Pork Princess earns a $1,000 scholarship from the Iowa Pork Producers Association.



Cold Weather Kicks in Limits on Winter Manure Application in Iowa

Most producers recognize that winter manure application can result in loss of important nutrients and cause runoff problems.  Iowa state law, however, actually prohibits some producers from applying liquid manure on snow-covered ground after Dec. 21 and frozen ground after Feb. 1 unless it's an emergency.  The law does not apply to manure from open feedlots or dry manure.  It applies to confinement (totally roofed) facilities with liquid manure that have 500 or more animal units. Generally, 500 animal units would be 1,250 finishing hogs; 5,000 nursery pigs; 500 steers, immature dairy cows or other cattle; or 357 mature dairy cows.

"We've been lucky this year having very little snow on the ground," said Ken Hessenius, supervisor of the DNR Spencer field office. "But now that we have a little snow, we want to remind all livestock and poultry producers that they need to protect water and prevent pollution as they land apply manure."

In addition, the law limits liquid manure application from confinements from Dec. 21 to April 1 if the ground is snow-covered. If manure can be injected or incorporated, it can be land applied during this time. Snow-covered ground is defined as soil having one inch or more of snow cover or one-half inch or more of ice cover. Starting Feb. 1, confinement producers with 500 or more animal units will also be limited to emergencies if applying liquid manure on frozen ground.

Under those conditions, producers can apply only in emergency situations, defined in the law as unforeseen circumstances beyond the control of the producer such as natural disaster, unusual weather conditions, or equipment or structural failure.

Confinement producers must call the local DNR field office before they apply to report emergency applications. They can apply manure only to fields identified for emergency application in their manure management plans that have a Phosphorus Index of 2 or less. DNR field specialists will ask several questions about the application area and amount. They may have ideas or suggestions for producers who have questions about a specific site or risks. Field office locations and phone numbers are available at www.iowadnr.gov/InsideDNR/DNRStaffOffices/EnvironmentalFieldOffices.aspx .

Hessenius added that if the manure is surface applied, producers and commercial applicators need to observe the separation distances, generally applying at least:
-- 750 feet from buildings such as residences, businesses and schools;
-- 200 feet from environmentally sensitive areas such as a drinking water well, lakes, rivers, streams or ag drainage wells; and
-- 800 feet from high quality water resources.

"The research shows that the later in the season and the closer to spring snowmelt that you apply, the greater the risk that manure-laden runoff will reach a stream," he said. He recommends that producers who might run out of storage this winter consider emergency application early in the winter, not late.  "Most important, they should use good common sense, applying on flat land with the least snow cover, located far from a stream," Hessenius said.



Iowa Soybean Association announces award winners

The Iowa Soybean Association (ISA) announces the winners of new awards the association has established this year to recognize those who have demonstrated commitment and leadership in the field of agriculture. “These awards provide an opportunity for ISA to recognize farmer leaders in all stages of their careers, as well as partners who have supported Iowa soybean farmers,” says ISA President Dean Coleman. “The recipients have all made contributions to the soybean industry and are all very deserving of this recognition.”

Awards were presented in five categories: Environmental Stewardship, Rising Star, New Leader, Legacy of Leadership and Friend of the Iowa Soybean Farmer.

The Friend of the Iowa Soybean Farmer Award, presented by AGP, was awarded to Iowa Lieutenant Governor Kim Reynolds, recognizing her support of Iowa soybean farmers through her actions and efforts.  Reynolds was recognized as a strong advocate for agriculture and Iowa’s rural communities. She often offers direct assistance to a variety of ISA initiatives, including serving as co-chair of the Iowa Food and Family Project’s “Special Delivery: Homes, Help, Hope for Haiti” project.

The Legacy of Leadership Award, presented by Stine Seed, was presented to the family of the late Curt Raasch, of Odeboldt, Iowa.  Raasch demonstrated a passionate and relentless commitment to growing the soybean industry in Iowa. A fourth-generation farmer, he was very active in the soybean industry for more than two decades, culminating with serving as chairman of the United Soybean Board in 2006.

The New Leader Award, presented by Pioneer Hi-Bred International, was awarded to Lindsay Greiner, a soybean farmer from Keota, Iowa. Greiner, who has been actively involved in his ISA district advisory council, has shown outstanding involvement and commitment to promoting the soybean industry and agriculture as a whole.  In addition to volunteering with ISA, Greiner serves as vice president of the Keota Community School Board of Education. He also serves on the board of the Iowa Foundation for Agricultural Advancement, known as the “Sale of Champions” at the Iowa State Fair.

The Rising Star Award, presented by Farm Credit Services of America, recognizes an ISA member’s son or daughter who is actively involved in promoting agriculture through involvement in local, state and national activities and organizations and who is preparing to continue ag studies in college. This year’s award winner is Kendra Wuthrich, the daughter of Roger and DeAnn Wuthrich of Bloomfield, Iowa. Wuthrich, a senior at Davis County High School, is active in school activities 4-H and FFA. She plans to study agricultural business.

The Environmental Stewardship Award, presented by Iowa Select Farms, was awarded to Robert Ballou of Monticello, Iowa. The award is presented to an ISA member who has demonstrated a commitment to installing and maintaining practices that improve environmental sustainability.  Ballou is a member of ISA’s Environmental Programs and Services Advisory Council, and serves on the Iowa Watershed Improvement Review Board. He is actively involved in improving conservation practices on his farm using grid sampling and guided stalk sampling and other practices, and is in the process of developing a Certified Environmental Management Systems for Agriculture (CEMSA) plan for his farm.



Biodiesel Production Breaks 1 Billion Gallon Mark

The U.S. biodiesel industry reached a key milestone by producing more than 1 billion gallons of fuel in 2011, according to year-end numbers released by the EPA on Friday.  The total volume of nearly 1.1 billion gallons is by far a record for the industry and easily exceeded the 800 million gallon target required under the EPA's Renewable Fuel Standard (RFS). The previous record for biodiesel production was about 690 million gallons in 2008.

"We've been seeing a lot of stories about setbacks in the renewable energy sector recently, and I think our success in 2011 reflects the bigger picture reality, which is that strong energy policy is working to stimulate production of clean, American-made energy," said Anne Steckel, vice president of federal affairs for the National Biodiesel Board (NBB).

"Specifically, our success clearly demonstrates that the biodiesel tax incentive and the Renewable Fuel Standard are working just as Congress envisioned," Steckel added. "Our industry is creating jobs, reducing our dependence on imported fuel, and improving the environment."

A recent economic study commissioned by NBB found that biodiesel production of 1 billion gallons supports 39,027 jobs across the country and more than $2.1 billion in household income. An additional 11,698 jobs could be added between 2012 and 2013 alone under continued growth in the Renewable Fuel Standard (RFS) and with an extension of the biodiesel tax incentive.

"Now is not the time to be second-guessing the RFS or eliminating the biodiesel tax incentive," Steckel said. "We're proving that the policies work, that American innovation and competitiveness can pull us away from our dangerous dependence on imported fuel. Just as President Obama said in his State of the Union this week, we need to stay the course to continue creating jobs and building America's energy capacity."

The biodiesel industry's success in 2011 comes after Congress reinstated the fuel's $1-per-gallon tax credit in December 2010 and as the EPA's RFS program for biodiesel completed its first full year of implementation. Without those policies in place in 2010, production dropped dramatically as dozens of plants shuttered and thousands of people lost jobs.

The tax incentive has since expired again, on Dec. 31, 2011, and the biodiesel industry is urging Congress to reinstate it. In addition, the industry is calling on the EPA and the Obama Administration to finalize the EPA's proposal to boost the biodiesel volume requirement under the RFS to 1.28 billion gallons in 2013.

The latest EPA numbers show that a record 160 million gallons of Biomass-based Diesel were produced in December alone.



EPA Determines Palm Oil Biodiesel Not Qualified Under RFS

The Environmental Protection Agency announced in its Federal Registry today that palm oil biodiesel and renewable diesel does not qualify under the Renewable Fuel Standard due to lifecycle greenhouse gas emissions.  EPA said that it has determined that GHG emission reductions from biodiesel and renewable diesel produced from palm oil are 17% and 11% respectively compared to the statutory baseline petroleum-based diesel fuel used in the RFS program. 

"This analysis indicates that both palm oil-based biofuels would fail to qualify as meeting the minimum 20% GHG performance threshold for renewable fuel under the RFS program," EPA said today.  The EPA will be accepting comments on the analysis of palm oil biodiesel and renewable diesel until Feb. 27.



Wind Energy Continues Substantial Growth in 2011

The U.S. wind industry experienced a fourth quarter that shows wind power is forging ahead into new states like Ohio and Nevada while doubling down on installations in existing strong wind markets in California, Illinois, Iowa and Kansas, the American Wind Energy Association said.

AWEA reports that the U.S. wind industry installed just more than 6,810 megawatts (MW) in 2011, 31 percent higher than 2010, and has more than 8,300 MW under construction, setting the stage for a strong 2012.

While California topped the list for megawatts installed in 2011 with 921, Illinois also had a very strong 2011, coming in with the second most megawatts installed for the year and rising to fourth on the overall list. Other traditional stalwarts like Iowa, Minnesota and Oklahoma rounded out the top five. Ohio came in as the fastest growing wind power state in 2011 with 101 megawatts installed leading to a more than 900% growth rate.

Meanwhile, South Dakota joined Iowa as the states receiving the highest percentage of their electricity from wind with 20 percent. Overall, 30 states brought wind projects online in 2011 and construction is ongoing for 2012 projects in 31 states, including the first wind projects in Nevada, Connecticut and Puerto Rico.

Kansas tops the under construction list with more than 1,188 megawatts of wind scheduled to come on line in 2012.

“This shows what wind power is capable of: building new projects, powering local economies and creating jobs,” said Denise Bode, CEO of the American Wind Energy Association. “Traditional tax incentives are working. This tremendous activity is being driven by the federal Production Tax Credit (PTC) – which leveraged an average of more than $16 billion a year in private investment over the last several years and supported tens of thousands of manufacturing jobs.”

“In hard economic times we’re creating jobs and delivering clean, affordable electricity,” Bode stressed. “But we will lose all these consumer benefits and a brand new, growing manufacturing sector if Congress allows the Production Tax Credit to expire. Businesses need certainty. That is why it is urgent that Congress extend the PTC now, before the end of the first quarter, or risk losing a bright new manufacturing sector to foreign countries.”

A recent report by Navigant Consulting finds that if Congress allows the PTC for wind to expire, jobs in the wind industry will be cut in half, meaning a loss of 37,000 American jobs and a one third cut to American wind manufacturing jobs, while private investment in the industry would drop by nearly two thirds. And Navigant found that these job losses will begin now and accelerate with each month the PTC nears the expiration deadline at the end of the year.

Meanwhile, extending the PTC will allow the wind industry to grow to almost 100,000 American jobs in just four years and stay on track toward supporting 500,000 American jobs by 2030.



Grower Team Stewards Sustainability

The National Corn Growers Association's Production and Stewardship Action Team traveled to Fresno, Calif., this week to tackle issues related to sustainability, water quality and other conservation and environmental concerns.

 At the meeting, Gary Edwards and Ken McCauley, who serve as NCGA organizational appointees on two sustainability initiatives, spoke to growers about sustainability efforts in the agricultural industry.

McCauley, an NCGA past president who farms in eastern Kansas, discussed the importance of corn farmers playing an active role in the development of farm management systems that will help producers to achieve verifiable sustainability outcomes that satisfy performance expectations of manufacturing supply chains and still maintain farm productivity.

Such is the mission of the National Institute of Sustainable Agriculture, McCauley noted, which expects to implement model systems developed through producer leadership and participation in November of 2012 across a variety of crops and regions. McCauley stressed the importance of farmers making sure sustainability efforts in production agriculture do not run counter to yield and operational productivity.

Gary Edwards demonstrated to the group the Field to Market's FieldPrint Calculator.  "This calculator is a step in the right direction for farmers to discover the management practices applicable to their operations, which achieve sustainable results without sacrificing productivity," said Edwards.

The team also heard a presentation by Debbie Reed of the Coalition on Agricultural Greenhouse Gases, regarding large global corporations' approaches to sustainability. Reed talked about corporations linking their need to secure an adequate supply of agricultural resources to grow their businesses to corporate social responsibility. She described how Mars, one of the world's leading food manufacturers, realized that they needed to work in cooperation with farmers to adapt more sustainable production practices in order to secure the cocoa supply need to grow their global businesses. Reed also urged farmers to take a leadership role in defining what sustainable agriculture will mean to the global food chain.

The meeting will include a visit Thursday to the University of California's Kearney Ag Research Center as well as Golden State Feed and Grain. Before they conclude their work Friday, the team members also will have presentations from the Western Plant Health Association and the California Farm Bureau.



Low-oil DDGS Becoming Increasingly Available

Ethanol plants in the United States, which also produce the feed ingredient distiller’s dried grains with solubles (DDGS), continue to upgrade equipment to extract non-food grade corn oil during the ethanol production process.  While regular DDGS may contain 10-15 percent oil, the low-oil variety contains much less and has different characteristics and feeding values than regular DDGS.  Of the roughly 200 corn dry mills that produce ethanol, about 90 have oil extraction capabilities, and 105 plants will by this summer.

“On a production basis, about 40 percent of U.S. DDGS produced today is low-oil, and 58 percent will be low-oil by this summer,” said Randy Ives of Gavilon, LLC, and U.S. Grains Council Value-Added Advisory Team Leader.  Ives explained that low-oil DDGS has higher crude protein and higher levels of amino acids. The concentrated amino acid profile is positive for monogastric animals like poultry and swine, while dairy animals may be able to utilize more product thanks to the lower level of fat in low-oil DDGS.  While its appearance is the same as regular DDGS, the dried, low-oil product has improved flowability.

The Council noted research is underway to help quantify the characteristics of low-oil DDGS. Results will become available later in 2012.

While buyers and sellers often add the protein and fat numbers together as part of a sales contract, that may need to change going forward.  “This makes asking questions and communicating important,” Ives said. “What we really need to do is go back to requesting specific protein and fat levels and then build in a discount schedule to make up for slight differences in the final shipment.”  Low-oil DDGS is a great product that has different values for different buyers, depending on the end use, Ives commented. “It’s important for buyers to ask questions and hold suppliers accountable,” he added.

Why extract oil?
Just five years ago, few ethanol plants had the ability to extract non-food grade corn oil because the equipment was expensive, and the oil had little value. Now, however, the value of non-food grade corn oil has increased, and plants can extract the oil more efficiently due to improved emulsifiers and centrifuge technology, lowering the payback on oil extraction equipment to as little as six months.  For example, an ethanol plant using 16 million bushels of corn to produce 40 million gallons of ethanol can also produce 135,000 tons of low-oil DDGS and 8 to 12 million pounds of oil.  “With such a positive return, the adoption rate has been incredible,” Ives said.



Brazil Summer Corn Numbers Continue To Shrink

Forecast numbers for the Brazilian summer corn crop continue to shrink on the dry weather in the south.  On Friday, local farm consultancy lowered its estimate to 34.9 million metric tons (mmt) from 36.4 mmt last month.  The harvest will now be smaller than last year's (35.9 mmt), despite a 10% increase in planted area, it said in a report.  The heaviest losses will be in the southernmost state of Rio Grande do Sul, where yields are seen 42% lower than last year. Parana, Brazil's No. 1 corn state, will see yields fall 18% on the dry weather.



Baucus Named NAWG’s 2011 Wheat Leader of the Year

Senate Finance Committee Chairman and longtime agricultural advocate Sen. Max Baucus (D-Mont.) was named this week as the National Association of Wheat Growers’ 2011 Wheat Leader of the Year.  The Wheat Leader of the Year Award, the wheat industry’s highest public service award, is given annually to one Member of Congress based on his or her demonstrated commitment to the well-being and goals of the wheat industry.  Baucus was chosen by NAWG’s leadership to receive the 2011 award because of his tireless support of three free trade agreements that were approved last year; his efforts to protect crop insurance within the federal budget; and his general advocacy for agricultural priorities.

“We in Montana know how much Sen. Baucus and his staff care about our state’s farmers and about farmers around the country,” said Bing Von Bergen, NAWG’s second vice president and a wheat farmer from Moccasin, Mont. “Sen. Baucus has proven time and time again that he’s a champion of the wheat industry. He understands our concerns and does a spectacular job of fighting for them.”  Baucus received his award at a NAWG open house Thursday evening, held during the Wheat Industry Winter Conference in Washington, D.C.

“America’s farmers commend Chairman Baucus for his leadership in the effort to approve trade agreements with Colombia, Panama and South Korea, and for his strong defense of essential programs that support the foundation of our nation’s economy – agriculture,” said NAWG Chief Executive Officer Dana Peterson.

Baucus is a repeat winner of the Wheat Leader award, having also won it in 2008 and 2002.  Previous Wheat Leaders include Sen. Patty Murray (D-Wash.) (2010); Rep. Collin Peterson (D-Minn.) (2009 and 2007); Rep. Stephanie Herseth Sandlin (D-S.D.) (2006); Rep. Jo Ann Emerson (R-Mo.) (2005); Rep. Jerry Moran (R-Kan.) (2004); Sen. Conrad Burns (R-Mont.) (2003); Rep. Larry Combest (R-Texas) (2001); Rep. George Nethercutt (R-Wash.) (2000); and Sen. Pat Roberts (R-Kan.) (1999).

The Wheat Advocate Award is given annually to Members of Congress who have demonstrated support for the wheat industry above and beyond the norm.  Those receiving 2011 Wheat Advocate awards include:
    Sen. Kent Conrad (D-N.D.)
    Rep. Bob Gibbs (R-Ohio)
    Sen. Amy Klobuchar (D-Minn.)
    House Agriculture Committee Chairman Frank Lucas (R-Okla.)
    House Agriculture Committee Ranking Member Collin Peterson (D-Minn.)
    Senate Agriculture Committee Ranking Member Pat Roberts (R-Kan.)
    Rep. Jean Schmidt (R-Ohio)
    Rep. Mike Simpson (R-Idaho)
    Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.)

The Friend of Wheat Award is given annually by NAWG for superior action in support of the goals and policies of the wheat industry. This award is given to Congressional and administrative staff members who have demonstrated support for the wheat industry above and beyond the norm.  The 2011 Friend of Wheat Awards were given to:
    Jonathan Coppess - Senate Agriculture Committee Majority Staff
    Ryan Flickner - Sen. Pat Roberts (R-Kan.)
    Krysta Harden – USDA’s Office of the Secretary
    Tina May - Senate Agriculture Committee Majority Staff
    Jim Miller - Sen. Kent Conrad (D-N.D.)
    Bill Murphy - USDA-Risk Management Agency
    Clark Ogilvie - House Agriculture Committee Minority Staff
    Joe Schultz - Senate Agriculture Committee Majority Staff
    Mike Seyfert - Senate Agriculture Committee Minority Staff
    Anne Simmons - House Agriculture Committee Minority Staff
    Alexis Taylor - Sen. Max Baucus (D-Mont.)



House Ag Approves Six Bills to Amend Dodd-Frank Swaps Regs
(from NAWG newsletter)

Members of the House Agriculture Committee approved on Wednesday six bills to amend the portions of the Dodd-Frank regulatory reform law related to over-the-counter swaps.  The bills were all approved by on voice votes and emanated from oversight work the Committee has done with regards to Commodity Futures Trading Commission (CFTC) proposed regulations under the new law.

The bills approved include:
    H.R. 1840, to require CFTC to assess the costs and benefits of proposed actions.
    H.R. 3336, the Small Business Credit Availability Act, which ensures banks and farm credit institutions can continue providing interest rate swaps for customer loans without being classified as swap dealers.
    H.R. 2682, which ensures end users can continue to use derivatives to manage business risks without being subject to costly margin requirements.
    H.R. 2779, which provides clarification that inter-affiliate transactions, when the parties to the transaction are under common control, are not to be regulated as swaps.
    H.R. 3527, which clarifies the definition of swap dealer to ensure energy and agriculture end-users are not misclassified and subject to costly new regulatory requirements.
    H.R. 2586, which prohibits regulators from requiring a minimum number of participants to receive or respond to quote requests.

In a release, the Committee said it has held seven hearings in the past year to review the portions of the law over which it has oversight, taking testimony from market participants.  Committee Chairman Frank Lucas (R-Okla.) said the changes would prevent regulations that could deter businesses from hedging risk.

NAWG and other agricultural groups have also communicated concerns about the Dodd-Frank rulemaking process to the CFTC.  In a letter sent earlier this month, agricultural groups told the agency that too rigid financial reform regulations could make it impossible for individual farmers and small agricultural companies to access much-needed financial risk management services. That full letter is available at http://www.wheatworld.org/issues/othercorrespondence/.



John Deere Marks the Company's 175th Anniversary

In 2012, Deere & Company marks the 175th anniversary of its existence, which began when company founder John Deere successfully manufactured and marketed the self-scouring plow in 1837.

"John Deere revolutionized agriculture and he made farming in the tough soil of the U.S. Midwest a productive and profitable venture," said Samuel R. Allen, chairman and chief executive officer of Deere & Company. "Our recognition of this special anniversary reminds us of the many thousands of John Deere employees who came before us to make this company a world leader."

Deere had moved from his home in Vermont to start a small blacksmith shop in Grand Detour, Illinois. He later moved the business to Moline, Illinois, where the world headquarters is still located. The company was incorporated as Deere & Company in 1868. From the one-man shop at its inception, Deere currently has more than 60,000 employees worldwide.

John Deere is the world's leading manufacturer of agricultural and forestry equipment as well as a leader in construction and turf care equipment. Additionally, Deere manufactures engines and powertrains for its own equipment and that of other OEMs, provides credit and other financial services to those who purchase equipment, and is a world leader in precision irrigation.

"John Deere instilled four core values in his company," Allen said. "Today John Deere employees still deliver on the important values of integrity, quality, commitment, and innovation and we believe these values have been the key to the longevity of our enterprise."

Recognition of the 175th anniversary began recently when the John Deere Foundation made a $175,000 grant to help fund Feeding America's BackPack Program that provides children nutritious and easy-to-prepare food they need over the course of a weekend. Since 2007, the John Deere Foundation has been an active supporter of BackPack programs in several communities where Deere has facilities.

That grant is one of many ways Deere's 175th anniversary will be recognized as the year progresses. Deere & Company's recently issued annual report announces the milestone with the number "175" printed in large type on a simple silver cover. The publication reports the story of Deere's record-setting business performance for 2011 on the company's website at www.JohnDeere.com.

Various Deere business units around the globe will recognize the special anniversary for employees as the year progresses and Deere will engage in a citizenship activity that will have a positive impact in many of the communities where John Deere employees live and work. Deere will periodically highlight the anniversary on the company's popular social and internet media channels.