Catching Up on Ag News... July 30-31

Diversified Agriculture Farm Tour Offered Aug. 18 in Butler County

A day-long diversified agriculture farm tour will begin 1 p.m. Aug. 18, two miles north of Abie, Neb. Farmers will visit three farms and get a chance to exchange knowledge about integrated crops and livestock systems, utilizing cover crop to extend livestock feed and increasing their farm's biodiversity.

The tour starts at Larry Stanislav's diversified crop farm. Stanislav has an extensive crop rotation of spring wheat, corn, soybeans and cover crops used to control weeds and increase fertility. Stanislav will discuss two University of Nebraska-Lincoln on-farm research studies that he has cooperated on: 1) a nutrient management study with third-year crop rotation results and 2) a flaming experiment for weed management and moisture conservation in corn.

In addition, a conservationist from the National Resources Conservation Services will review funding opportunities available through the NRCS for fencing, water systems, cover crops and seasonal high tunnels.

From 3-4 p.m., the tour moves to Mark Roh's farm, Abie Vegetable People, which is one-fourth mile west of Abie. Mark Roh is a beginning organic market gardener. He will discuss his drip irrigation system, storage facility, crop rotations, pest control, on-farm processing and future greenhouse plans. Roh will also discuss vegetables to grow for farmers markets and how to fence raccoons out of sweet corn.

The day ends at the Ostry family's Wagon Wheel Farm at 2281 Spur 12B, one-half mile north of Bruno, Neb. Mike Ostry will take participants on a tour of his various field crops and cover crops, and speak about his participation in an on-farm flaming experiment with UNL. He will also explain their large organic garden, on-farm livestock processing facility and pasture for poultry, ducks, turkeys, geese and hogs.

Families are welcome. The Ostrys have direct marketing and money-making projects that youth can do on the farm, which may spark summer job ideas for youth.

A free meal starts at 5 p.m., followed by music by the Ostry family. Call Pat at 402-584-3837 to reserve meals.

For more information on the tour, call Liz Sarno at 402-309-0944 or email her at esarno2@unl.edu.



Flame Weeding Workshop August 15 in Northeast Nebraska

A one-day workshop on flame weeding will be held August 15 at the Haskell Agricultural Laboratory near Concord from 9:30 a.m. to 5 p.m. Concord is located in northeast Nebraska, 50 miles northeast of Norfolk, Neb., and 45 miles west of Sioux City, Iowa.

Propane-fueled flame weeding is an acceptable method of weed control in organic farming. The method is gaining interest among conventional producers as well because of an increase in weed resistance to herbicides and costs of genetically modified crop seeds.

At the workshop, Stevan Knezevic, UNL extension weeds specialist, and George Gogos, UNL professor of mechanical and materials engineering, will present results from six years of research. Their work has been documented in about 20 scientific publications, 100 conference abstracts, and a patent for flaming equipment.

The researchers will cover the basics of flame weeding, including equipment needed. They will present data on propane doses for weed control and crop tolerance, and also demonstrate 4- and 8-row commercial type flamers with patented hoods for broadcast and banded flaming. A demonstration of inter-row cultivation and intra-row flaming combined in a single operation also will be presented.

Workshop participants will get to learn how to do proper flaming to control more than 10 major Midwestern weeds in seven agronomic crops: field corn, sweet corn, popcorn, soybean, sorghum, sunflower, and wheat. Several local organic farmers will be there to share their experience as well. At the end of the workshop there will be a field tour of flame weeding research.
Registration

The workshop is limited to 30 people. Cost is $100 per person. Lunch will be provided.

Partial scholarships are available to certified organic farmers from Nebraska. For more information and to register, contact Pat Bathke at pbathke1@unl.edu.



Cuming County Fair Market Livestock Shows to Be Video Streamed Live
Debra Schroeder, Cuming County Extension Educator

Thanks for to the Cuming County 4-H Council and 4-H Foundation people across the nation will be able to view the 4-H shows that take place in the Watson Pavilion live via video streaming on the internet.  The URL for the video streamed shows is: http://www.ustream.tv/channel/cuming-county-fair-2012.  This year we will test out the entire process in a pilot project with hopes of video streaming more shows and activities in future years.  This year shows dates and times that will be video streamed include:
-  Thursday, August 9
     o  8:00 a.m.  4-H Dairy and Pigmy Goats
     o  11:30 a.m. 4-H Dairy Show followed by Open Class Dairy Show
     o  4:00 p.m. Sheep Lead Contest
     o  5:00 p.m. 4-H Sheep Show
-  Friday, August 10
     o  8:30 a.m. 4-H Swine Show
-  Saturday, August 11
     o  9:00 a.m. 4-H Beef Show
Video streaming of the shows will allow those who enjoy the shows but are not able to attend due to distance or health, to watch the shows as they are going on.  Please share the URL with family and friends who might be interested in viewing the 2012 4-H Market Livestock shows via the internet.  The shows will be posted at the same URL following the fair. 
It is thought that Cuming County is the first county to video stream live their county fair shows.  This project is the result of over a year of research and work by Brenda Doerenmann and JoAnn Lewis current members of the Cuming County 4-H Council and Foundation and the expertise of Jonathan Jahnke current 4-H member.  Skywaves has also shared their technology and experiences.



Consider Herbicide Restrictions with Drought-Damaged Corn or Soybeans
(from UNL Extension)

Due to the drought conditions, some producers are considering grazing or harvesting dryland corn and soybeans for forage.  If you're considering these options, be sure to consult the labels of any herbicides applied to these fields to verify that grazing or forage harvest intervals have been met before chopping or turning livestock into a field.

Most commonly used corn herbicides have grazing or forage harvest restrictions ranging from 0-80 days after application. Soybean herbicides tend to be more restrictive regarding grazing and forage harvest. Some allow grazing 30 days after application, however many products do not allow for grazing or forage harvest.

The grazing and forage interval section of the 2012 Guide for Weed Management (pages 168-171) is a quick reference for herbicide restrictions. However, remember to always refer to the herbicide label for detailed information regarding grazing and forage harvest restrictions.



Salvaging Soybeans as Hay or Silage
Bruce Anderson, UNL Extension Forage Specialist

Rain-fed soybeans may still have an opportunity to produce yield in areas that receive sufficient and timely rains. If that’s not the case for your dryland soybeans, you may want to salvage them as hay or silage.

When made correctly, soybean hay and silage can have feeding values similar to those for alfalfa.

Harvest soybean forage when leaves start to turn yellow, just before they drop off. It’s especially important to harvest before a freeze to prevent rapid leaf loss.

Making Hay. Soybean hay is challenging to make. The stems are quite woody and dry slowly. Be sure to condition or crimp the hay to hasten stem dry down. In contrast to the stems, soybean leaves dry quickly and then become crumbly. Avoid raking the fragile leaves, which can contribute to yield loss and a much lower feed value. If you must rake to merge windrows for baling, do it within one day of cutting. Do not rake to hasten drying as leaf loss will be severe.

Making Silage
Making good soy silage is less risky if you have silage equipment and do it right. I prefer mixing chopped soybeans with corn or sorghum as they are being ensiled, but that’s not always possible. For straight soy silage:
-    Get a good, clean chop.
-    Uniformly add a silage inoculant designed for legumes like alfalfa.
-    Add about one bushel of cracked corn or 50 pounds of molasses to each ton of wet silage to aid fermentation.
-    Pack soy silage especially well.

Obviously, you would rather harvest a good bean crop than make hay or silage from it, but when drought and heat prevent a good bean crop, hay or silage may be a good alternative.



Nebraska Soybean Management Field Days Set Aug. 14-17 at Four Locations
The 14th annual Soybean Management Field Days Aug. 14-17 focuses on staying competitive in a global marketplace, increasing profits and meeting the world's growing food and energy needs starting right here in Nebraska.

The field days are sponsored by the Nebraska Soybean Board in partnership with University of Nebraska-Lincoln Extension in the Institute of Agriculture and Natural Resources and are funded through checkoff dollars. The efforts of the checkoff are directed by the United Soybean Board promoting progress powered by U.S. farmers.

The field days will offer producers unbiased and research-based information to improve their soybean profitability.

The event consists of four stops across the state, each with replicated research/ demonstration plots, lunch and time for questions. Producers can obtain ideas and insight about the challenges they face in producing a quality crop at a profitable price in today's global economy.

Topics include:  quest for the Holy Grail in soybean production; soybean seed treatments and foliar fungicides, growth enhancement interactions with herbicides; herbicide-carrier rate study; and managing land leases and soybean marketing. In addition, UNL Extension's BIT Mobile will be on hand for participants to visit and learn how to optimize irrigation efficiency and energy use with the SoyWater program. Participants also can tour the soybean variety development and breeding advancement plots.

As part of the "Bring a Farmer" promotion, two drawings will be held at each field site for 300 gallons of biodiesel/biodiesel blend. One is for "repeat attendees" (producers who have attended in the past) and who bring along new soybean producer attendees. Each repeat attendee will receive one entry for each new producer attendee that he or she brings that attends the field day. A second drawing will be held for new soybean producer attendees. Winners will be selected from a random drawing of entries at each field site. Official rules are online at: ardc.unl.edu/soydays.

By participating in the Soybean Management Field Days, producers will see their checkoff dollars at work bringing leading technology and ideas to producers.

Presenters include university specialists, educators and industry consultants.

Agronomists, plant disease and insect specialists will be available to address production-related questions. Participants can bring unknown crop problems for complimentary identification.

The field days begin with 9 a.m. registration and conclude at 2:30 p.m. Free registration is available the day of the event. Dates, locations and directions are:

– Aug. 14 - Tim Rowe Farm (Lexington) - From Lexington:  From Junction of Highway 30 and Highway 21, go 2.6 miles north on Highway 21, then east 1/4 mile. Field site is on north side of the road. (South side of SW 1/4 section).

– Aug. 15 - Kracl Partnership Farm (O'Neill) - From O'Neill:  From Junction 275 and Old 108, go 2.1 miles east on Old 108, then north 1/2 mile.  Field site is on east side of the road. (SW corner of NW 1/4 section).

– Aug. 16 - Keith Pillen Farm (Platte Center) - From Platte Center:  From 4th and A streets (Bank of Valley corner), go 1.1 miles south on 280th Ave (A Street). Field site is on the west side of the road (0.1 mile south of bridge).

 – Aug. 17 - Nick, Ron and Kevin Hotovy Farm (David City).  From David City:  From Junction Highway 92 and Hwy Highway, go 1 mile east on Highway 92, then 3/4 mile north on county road.  Field site is on east side of NW 1/4 section.

The field days are sponsored by the Nebraska Soybean Board in partnership with UNL Extension in the university's Institute of Agriculture and Natural Resources and are funded through checkoff dollars. The United Soybean Board (USB), through soybean checkoff investments, is committed to making your checkoff pay off.

For more information about the field days and maps to sites, visit the Soybean Management Field Days website at http://ardc.unl.edu/soydays. Or contact the Nebraska Soybean Board at 1-800-852-BEAN or UNL Extension at 1-800-529-8030.



Nebraska Cattlemen Present Policy at Cattle Industry Summer Conference

Nebraska Cattlemen made their mark in Denver this past week by attending the 2012 Cattle Industry Summer Conference. Members gathered with others from across the country to discuss issues important to the beef industry.

Nebraska Cattlemen members took this opportunity to bring three of their own new policies to the attention of the cattle industry.  Nebraska Cattlemen policies were presented at National Cattlemen’s Beef Association (NCBA) Policy Committee meetings where they were approved and sent on to the board meeting where all three were approved and adopted by NCBA as interim policy.

The following are brief overviews of the three resolutions that were approved by NCBA as interim policy.

CH Directive 1 – Trichomoniasis
    - Due to an inconsistence in rules regarding Trichomoniasis, National Cattlemen’s Beef Association will work with APHIS in their current authority to develop a program for interstate movement relative to Trichomoniasis.

PR/EM – Aerial Surveillance
    - National Cattlemen’s Beef Association (NCBA) asks for the immediate cease of aerial surveillance being conducted by the Environmental Protection Agency (EPA) due to the blatant violation of private property rights of businesses, residents and adjoining businesses and residents.  NCBA supports on-site inspections as the sole means of inspection when required under the Clean Water Act.

M Resolution 1 – Futures Commission Merchants Insurance
    - Due to the effects of the bankruptcy of CME clearing member MF Global, National Cattlemen’s Beef Association urges the development of an insurance program for Futures Commission Merchants (FCM’s) that would protect the value of excess customer funds on deposit in futures margin accounts.

The Cattle Industry Summer Conference was held July 25 – 28, in Denver Colorado.  The conference featured meetings of the National Cattlemen's Beef Association, Cattlemen's Beef Promotion & Research Board, American National CattleWomen, Inc. and National Cattlemen's Foundation. Interim

The cattle industry comes together twice a year to discuss current issues as a group, to work on programs and initiatives and to set the course for the future betterment of the beef cattle industry.
If you would like to see the language of each policy or directive in its entirety, please contact the Nebraska Cattlemen at 402.475.2333.



Federation of State Beef Councils Enhances Checkoff Program at Industry Summer Conference

Members of the Federation of State Beef Councils addressed  changing industry and consumer landscapes during meetings at the 2012 Cattle Industry Summer Conference in Denver, July 25-28. As part of its efforts, the Federation approved changes to Joint Beef Checkoff Committees and awarded promotional grants to beef councils in states with a high consumer-to-cattle ratio.

Federation Chairman Craig Uden, a beef producer from Elwood, Neb., said the issue of declining checkoff resources and rising consumer expectations were particularly top of mind during the conference.

“As cattle numbers and checkoff collections are reduced, we’re going to need to find ways of increasing efficiencies,” Uden said. “At the same time, we can’t lose sight of the fact that consumers are expecting more information and transparency from food producers. Our work is certainly cut out for us as we seek ways of doing more with less.”

As part of its deliberations, the Federation executive committee awarded $46,500 in grants to five state beef councils for six promotional projects in the coming year. The awards were announced during the Federation Forum, July 26.

“Our Federation Initiative Fund awards the grants, which provide needed financial support to small beef councils who are trying to localize national programs and reach large numbers of consumers in their states,” Uden said.       

Grant awardees are:
Arizona: for starting a Team BEEF running group to demonstrate beef’s healthy benefits 
Indiana: for a holiday beef roast retail promotion
Minnesota: for a nutrition influencer farm-to-fork tour  
New York: for extending its foodservice influencer program
Pennsylvania: for plans to organize a Team BEEF group to demonstrate beef’s healthy benefits



Nebraska Corn Board grant funds 50 percent allocated

The Nebraska Corn Board’s new blender pump grant program that began July 1 has garnered a tremendous response, with half of the funds available in the program already being allocated to gas station owners who plan to upgrade their equipment.

As part of its 2012-13 budget, the Nebraska Corn Board set aside $750,000 to further develop fuel ethanol infrastructure in Nebraska through the grant program. Grants provide fuel retailers up to $40,000 to help cover the costs of installing blender pumps.

“We have seen an incredible amount of interest from retailers from all across the state, from Lexington to Blair, including larger communities like Norfolk, Columbus, Omaha and Lincoln,” said Kim Clark, director of biofuels development with the Nebraska Corn Board.

Bosselman’s Pump & Pantry had taken advantage of a smaller Nebraska Corn Board blender pump grant program in the past to help install blender pumps in Central City, Grand Island and St. Paul.

The company has also applied for grants with the new program for several more locations across the state. “Blender pumps are a great way to support agriculture and renewable fuels in Nebraska, while offering motorists more choices at the pump. The grant money the Nebraska Corn Board offers helps offset some of our costs to install the pumps and is a great incentive to upgrade,” said Stephanie King-Witt, director of marketing, media and public relations of Bosselman’s Pump & Pantry.

David Merrell, a farmer from St. Edward, noted that Nebraska is the second largest producer of ethanol and the third largest producer of corn in the country. “We need to be able to use more of the products we produce right here in the state,” said Merrell, a member of the Nebraska Corn Board. “Blender pumps are a great way to increase the availability of ethanol, especially for those who drive flex fuel vehicles, and we’re seeing more FFVs on the road every day.”

The pumps also provide opportunities for stations to more easily offer E15, which is approved for use in all model year 2001 and newer cars, light-duty trucks and SUVs.

Seth Harder, general manager at Husker Ag, LLC, said, “We at Husker Ag feel that blender pumps are a necessary part of rural sustainability. The state of Nebraska has no traditional oil refining capacity, as most of the states in the upper Midwest do not. As such, we are subject to importing over 90 percent of our transportation fuel into the state. Blender pumps allow flexibility, choice and price control for the consumer.”



Resolving Division Fence Disputes in Nebraska

Ideally, neighbors can agree between themselves on most fencing issues. If they cannot agree, Nebraska Division Fence Statutes provide a legal process for resolving fence disputes. A 2010 amendment establishes the requirements for splitting cost of a wire division fence equally (50-50) between neighbors. Mediation is probably the most cost-effective way to resolve fence disputes if the parties cannot settle the matter between themselves.

In this week's Cornhusker Economics newsletter, David Aiken, UNL agricultural law specialist, answers questions on resolving fence disputes and provides resources on mediating problems that can't be resolved neighbor-to-neighbor. Among the questions addressed are:
-    Are division fences required?
-    Do I need permission to go onto the neighbor's land for fence construction, maintenance, or repair?
-    What happens if my neighbor won't pay, won't build, or won't repair the fence?
-    How does mediation work?
-    What happens if the fence is damaged by natural disaster?

For the answers to these questions and more information see Resolving Division Fence Disputes in Nebraska... http://agecon.unl.edu/c/document_library/get_file?uuid=66237db6-48f5-4aca-9337-e19870ca09bb&groupId=2369805&.pdf. 



Hoegemeyer Celebrating 75 Years at Annual Homecoming Field Day August 9

Hoegemeyer Hybrids will be celebrating 75 years in the seed business at its annual Homecoming Field Day on Thursday, Aug. 9, 2012.  The information-packed event will feature three guest speakers, insightful breakout sessions and tours of Hoegemeyer seed plots and facilities.

This year’s keynote speaker will be Michael Boehlje, a Distinguished Professor in the Department of Agricultural Economics and the Center for Food and Agricultural Business (CAB) at Purdue University. Dr. Boehlje is involved in teaching, research and executive education in agricultural finance, farm and business strategy and management and structural change in the agricultural industries. The major theme of his work is the importance of strategic planning and thinking, and positioning the farm for long-term success in a turbulent business climate.

Hoegemeyer agronomists and product managers will also be available to provide details on Hoegemeyer products and answer questions from growers.

“We want to thank everyone who has trusted and believed in our brand for the past 75 years,” Hoegemeyer President Stephen Becerra said. “The event is geared to show our appreciation and provide thought provoking information in a fun, family atmosphere.”

Guests who book seed at Homecoming will receive an early booking discount, as well as a limited edition Hoegemeyer shop stool and personalized seed advice.

The annual Homecoming Field Day draws hundreds of growers from across the Western Corn Belt to Hooper, Neb., the home of Hoegemeyer Hybrids since it began 75 years ago. The free event runs from 9 a.m. to 3.p.m and lunch will be provided.

For a complete schedule, visit www.therightseed.com.



Nebraskans Again Overcome Mother Nature
Senator Mike Johanns

Last summer, many across Nebraska met Mother Nature face to face with the flooding of the Missouri, Platte, and Niobrara Rivers. Though the flood damage is still evident, it showed us the resourcefulness and resilience of Nebraskans and just how far we’re willing to go to help our neighbors. I am still amazed and proud of how Nebraskans came together as a state and in their communities. This summer, the problem isn’t too much water – it’s not enough. Nebraskans once again are coming together.

Every county in our state has been declared to be in “a state of severe drought,” an especially troublesome problem for a state which plays such a leading role in agriculture. I remain in close contact with state officials monitoring the drought and have reached out to the U.S. Department of Agriculture (USDA) on multiple occasions to ensure a proper response.

So far the response has been swift. After I wrote to Secretary of Agriculture Tom Vilsack, asking him to allow emergency haying and grazing on Conservation Reserve Program lands, he authorized it within a few days. I also asked him to act on the Nebraska State Farm Service Agency’s (FSA) request for an additional 58 Nebraska counties to be given Secretarial Disaster Designations. This would qualify producers in those counties on a case-by-case basis for emergency, low-interest FSA loans to help them get over the hump of this trying year. Again he acted quickly.

I channeled my concerns through Congress last week, as five of my colleagues on the Senate Agriculture Committee and I wrote Secretary Vilsack asking him to sharpen USDA’s focus on the drought. Producers should be kept apprised of crop insurance rules for drought situations and livestock operations need assistance to sustain their herds. USDA would do well to consider all options available to give our ag producers flexibility during such an historic drought.

North central Nebraska has faced extreme wildfires as a result of the drought. These fires have burned through more than 72,000 acres of land in Keya Paha, Brown, and Cherry Counties. Once again the resourcefulness, bravery, and skill of Nebraskans are evident. More than 500 first responders have contained a majority of the fires, and this containment increases daily. Many have traveled hundreds of miles, including some from across state lines, to lend a hand. Our state is grateful to them, and they remain in my thoughts and prayers.

It is never easy when Mother Nature throws us a curveball, and for some it has been downright devastating. Though we still have work to do, it is refreshing to see the response has been top-notch and the commitment from volunteer individuals and communities inspirational.

I will continue working at the federal level to advocate for passage of the farm bill, which is currently under consideration in the House of Representatives. This bill would bring much-needed certainty to many producers impacted by the drought.

I am confident our communities and our state will get through this just as we did the flooding last year, and drought in past years. Nebraskans are a resilient bunch and you can bet we’ll take care of one another.



Coalition Urges Waiver Of RFS Because Of Drought

As drought conditions become the worst in 50 years and corn yields are expected to drop significantly, a coalition of meat and poultry organizations today asked the U.S. Environmental Protection Agency to waive the federal mandate for the production of corn ethanol.

In a petition delivered to EPA Administrator Lisa Jackson, the coalition asked for a waiver “in whole or in substantial part” of the amount of renewable fuel that must be produced under the Renewable Fuels Standard (RFS) for the remainder of this year and for the portion of 2013 that is one year from the time the waiver becomes effective.

The RFS requires 13.2 billion gallons of corn-based ethanol to be produced in 2012 and 13.8 billion gallons in 2013, amounts that will use about 4.7 billion and 4.9 billion bushels, respectively, of the nation’s corn. Some agricultural forecasters now are estimating that just 11.8 billion bushels of corn will be harvested this year – about 13 billion were harvested in 2011 – meaning corn-ethanol production will use about four of every 10 bushels.

The RFS has “directly affected the supply and cost of feed in major agricultural sectors of this country, causing the type of economic harm that justifies issuance of an RFS waiver,” said the coalition in its petition.

It pointed out that EPA was granted the authority in the 2005 Energy Policy Act, which set the initial RFS, and in the 2007 Energy Independence and Security Act, which expanded the fuels standard, to waive because of severe economic or environmental harm the annual volume of renewable fuel that must be produced.

In asking Jackson to take prompt action to provide a measure of relief for livestock and poultry producers, the coalition petition said, “[i]t is abundantly clear that sufficient harm is occurring now and that economic conditions affecting grain supplies and feed prices will worsen in the months ahead. Both conditions provide an independent basis for a waiver of the RFS.”

“America’s pork producers are extremely worried, given the drought affecting much of the corn-growing regions, about having feed for their animals,” said NPPC President-elect Randy Spronk, a producer from Edgerton, Minn. “And their anxiety is compounded knowing that the RFS requires corn ethanol to be produced no matter what. We’re asking EPA to give livestock and poultry producers and, ultimately, consumers a little help.”

“Relief from the RFS is extremely urgent. This very short corn crop will undoubtedly prove to be devastating to the animal agriculture industry, food manufacturers, foodservice providers and consumers,” added Michael Welch, president and CEO of Harrison Poultry in Bethlehem, Ga., and past National Chicken Council chairman. “Thousands of jobs, a continued upward trend of rising food prices and the livelihoods of family farmers are all at risk. The chicken industry is urging EPA to implement the law and promptly grant a full or partial waiver of the RFS. If not now, when?”

“I support American ethanol and what it has done for rural communities in Nebraska and in many other states throughout the country,” said J.D. Alexander, Nebraska cattleman and National Cattlemen’s Beef Association president. “What I do not support are federal mandates picking winners and losers and a federal government sitting patiently by, forking over taxpayer dollars to artificially inflate the price of corn for livestock producers and other end-users. I find it concerning to the viability of the livestock industry that these mandates are allowed to continue today in the worst drought I have seen in my lifetime. This isn’t rocket science. Implement the law, waive the RFS, let the market work and embrace free market principles.”

“As a small, independent turkey grower from Minnesota who buys about 100,000 bushels of corn every year, my family’s livelihood is being threatened by the looming drought disaster,” said John Burkel, of Badger, Minn. “The EPA granting a waiver from the RFS is needed now. This is the only immediate relief for this country’s livestock and poultry producers. We need to stabilize the markets. The reality is, at these volatile, high prices, even the most prudent, cautious farmer can find themselves out of business.”

Members of the coalition that signed the petition include the American Feed Industry Association, American Meat Institute, American Sheep Industries Association, California Dairy Campaign, Dairy Producers of New Mexico, Dairy Producers of Utah, Idaho Dairymen’s Association, Milk Producers Council, National Cattlemen’s Beef Association, National Chicken Council, National Pork Producers Council, National Turkey Federation, Nevada State Dairy Commission, North American Meat Association, Northwest Dairy Association, Oregon Dairy Farmers Association, Southeast Milk Inc., United Dairymen of Arizona and the Washington State Dairy Federation..



NCGA Statement on the Call for a Renewable Fuel Standard Waiver

National Corn Growers Association President Garry Niemeyer released the following statement in response to the drought and the call by some for the EPA to waive provisions of the Renewable Fuel Standard.

“NCGA stands firm in its support of the Renewable Fuel Standard and will strongly oppose legislation to alter or repeal the RFS. Likewise, we believe it is premature for a waiver of the RFS provisions at this point. With the crop still in the field, it is too early to determine this year’s final corn supply. In addition, the ethanol industry now has a significant surplus of ethanol and RFS  credits that can greatly offset ethanol’s impact on the corn supply.

“However, we recognize the severe impact of the drought on our farmers and our customers, here and abroad, with livestock, poultry, ethanol and other processing facilities, and we believe the flexibility of the RFS does work, and will work. NCGA also supports the waiver process that is embodied in the current RFS, and respects the right of those that may file a waiver petition to do so.

“In the meantime, NCGA continues to encourage those seeking RFS legislation to, instead, work through the government’s existing RFS waiver petition process in the event they believe it has caused severe economic harm.

“Many of our farmer members are suffering immensely from the drought. Many are also in the same predicament as our customers because they have livestock or own ethanol plant shares. Now is the time for all of American agriculture to pull together and work together for solutions that benefit us all.”



RFA Responds to RFS Waiver Petition

Responding to this morning’s conference call hosted by a coalition of livestock and poultry groups announcing plans to seek a waiver of the Renewable Fuel Standard, the Renewable Fuels Association (RFA) issued the following statement:

“Given the flexibilities inherent to the RFS, and the fact that waiving the program would not result in any meaningful impacts on corn prices, we fully expect Administrator Jackson to deny any waiver request,” said Bob Dinneen, RFA president and CEO. “A dispassionate review of the facts can lead to only one conclusion: a waiver of the RFS would simply reward oil companies that have long sought to repeal this very important and successful program. The RFS has reduced our dependence on imported oil and saved consumers at the pump.”

“This summer’s hot, dry weather conditions have caused significant challenges for all users of grain,” Dinneen said. “We understand the hardships facing the agriculture industry this summer are serious. From extremely poor pasture conditions to heat stress on animals to reduced crop yield potential, this summer’s circumstances have been difficult. However, waiving the RFS won’t bring the type of relief the livestock groups are seeking, nor will it result in significantly lower feed prices. In fact, because ethanol plants also produce a high protein feed, limiting ethanol production will only further complicate drought related feed issues and costs.”

“The marketplace is the most efficient mechanism to ration demand, not the government, and that is already happening,” Dinneen continued. Dinneen pointed out that the ethanol industry has already begun to respond to sharply higher corn prices by significantly reducing production. The industry’s consumption of corn last week was the lowest in over two years and down nearly 14% in just the last six weeks.

Still, despite the downturn in production and continued demand rationing by the ethanol industry, obligated parties (petroleum refiners and blenders) should have no problem meeting the RFS. The ability of obligated parties to “bank” excess Renewable Identification Number (RIN) credits and use them for compliance in the following year provides a significant measure of flexibility that takes pressure off of the corn market in the event of a short crop. It is estimated that some 2.4 to 2.6 billion excess renewable fuel RIN credits are currently available to obligated parties, equivalent to nearly 20 percent of this year’s RFS renewable fuel requirement.

The program’s flexibility also means that waiving the RFS would not have a meaningful impact on corn prices. A recent analysis by Professor Bruce Babcock at Iowa State University simulated the corn price impacts of a 100% waiver of the RFS during the upcoming 2012/13 corn marketing year, finding that a waiver might result in only a 4.6% reduction in corn prices.

Professor Babcock concluded that, “The desire by livestock groups to see additional flexibility in ethanol mandates may not result in as large a drop in feed costs as hoped.” He further found,  “…the flexibility built into the Renewable Fuels Standard allowing obligated parties to carry over blending credits (RINs) from previous years significantly lowers the economic impacts of a short crop, because it introduces flexibility into the mandate.”

In addition to the excess RINs available, it is important to note that ethanol stocks remain robust, and gasoline blenders can draw on those stocks to help meet demand in the event production is curtailed. Ethanol stocks currently stand at 800 million gallons. Moreover, ethanol exports—which reached record levels in 2011—are slowing dramatically to compensate for current market conditions.



National Grange Urges EPA's Cooperation with Livestock Producers

The National Grange today urged the Environmental Protection Agency to cooperate with a group of livestock producers who filed a petition July 30 with the EPA requesting a one-year waiver from the agency's renewable fuel standard (RFS) rule.

The rule requires that 15 billion gallons of domestically produced ethanol be incorporated into the United States' gasoline supply by 2022.

In 2012, roughly 40% of all domestic corn production is dedicated to ethanol production.

Livestock producers asked the EPA, which retains the authority to waive the RFS rule should they deem that it is causing severe environmental or economic damage, to lift the rule in light of the nationwide drought that has devastated thousands of farms and ranchers.

"Our nation's farmers are proud to be part of the movement against the dependence on foreign energy, however, that movement has to be tempered against the American public's ability to obtain affordable and safe meat products, corn and corn-derived foods," National Grange President Ed Luttrell said Tuesday. "In a year such as this where drought conditions are the worst they have been in more than 50 years or longer in some areas, the EPA must be flexible."

The group petitioning the EPA, which includes the National Cattleman's Beef Association, National Chicken Council, National Pork Producers Council, and the National Turkey Federation, said the rule, together with the drought, is going to make it increasingly more difficult for farmers and ranchers to feed livestock this year. They have also forewarned that the spike in corn prices will continue to drive up the prices of beef, poultry and pork, especially if producers cannot find relief elsewhere.



American Soybean Association Statement on Proposed House Farm Bill Extension

With a proposed extension of the 2008 Farm Bill on the House floor this week, American Soybean Association (ASA) First Vice President Danny Murphy, a soybean farmer from Canton, Miss., issues the following statement on this legislation:

“The American Soybean Association believes that U.S. farmers and livestock producers need certainty in programs which help them manage risk in order to make decisions which will affect their operations over the long-term. This is particularly true today, with devastating drought conditions covering over half of the country. A one-year extension of the 2008 Farm Bill, combined with short-term disaster assistance to livestock producers, will not provide the certainty that agriculture needs now. We need a new five-year farm bill with long-term risk management and disaster assistance programs.

“ASA understands that a one-year extension of the 2008 Farm Bill may be all that can pass the House before it adjourns this week. We support moving the farm bill process forward, so that a Conference can be convened in September, when Congress returns. ASA supports a one-year extension provided there are assurances that a new five-year bill can be negotiated at that time.”



NMPF Opposes Extension of Present Farm Bill

The National Milk Producers Federation (NMPF) today issued the following statement expressing strong opposition to attempts by the House to extend a version of the current farm bill by one year and reiterating support for the inclusion of Dairy Security Act (DSA) in any final farm bill package:

“The current safety net for dairy farmers is not sufficient in dealing with scenarios like we are currently facing from high feed costs associated with the ongoing drought,” said Jerry Kozak, President and CEO of NMPF. “If we are going to be serious about providing better protection for the nation’s dairy farmers while at the same time providing taxpayer savings from current programs, then we should pass a new farm bill which includes the DSA, which was included in both the Senate-passed farm bill and the farm bill recently passed out of the House Agriculture Committee.

“Under the proposed extension, the Milk Income Loss Contract Program (MILC) would not pay out for the remainder of 2012 or for 2013 while the nation’s dairy farmers are experiencing razor-thin margins. The proposed 2008 farm bill extension does nothing to ensure dairy farmers and their bankers that they will have any safety net to deal with the present and future periods of tight margins and extreme volatility.

“Our current dairy policy is outdated and costs more to taxpayers while the new provisions actually save taxpayer dollars. Dairy farmers have spent more than three years working closely with legislators in crafting comprehensive dairy policy reform so that they have a stronger safety net while at the same time reducing the burden for taxpayers. Any outcome that does not include these carefully crafted provisions would be a failure to lead agriculture in the right direction.”

"We urge both the House and the Senate to reject an extension of our failed policies."



2011 National Beef Quality Audit Results Released

Results from the 2011 checkoff-funded National Beef Quality Audit were released this week at the Cattle Industry Summer Conference in Denver. Keith Belk, Colorado State University, and audit researcher, says audit respondents indicated the industry has done a very good job at improving beef safety, yet that may be one of the biggest hurdles moving forward. Belk says even though the industry continues to invest millions of dollars into beef safety, it’s always a concern.

Belk says, “Most of the industry feels that we have invested a significant amount of funds toward improving beef safety. We started primarily with the packer sector of the industry in investing those funds in new technologies to advance food safety and now we’ve just sort of started to expand that into other marketing sectors of the industry. And so going forward, even though we’ve made some substantial progress in improving safety, we need to continue that pathway because there’s still a huge risk – a huge down side, liability – for not continuing to evolve that effort.”

Data from the audit can directly benefit all cattle producers, says audit researcher Jason Ahola, Colorado State University. He gives us his interpretation of whether implementation of the checkoff’s Beef Quality Assurance (BQA) practices is harder if you’re a 100-head cow/calf producer versus a larger producer.

Ahola says, “I personally don’t see a major obstacle for a medium or even small operator to implement beef quality assurance guidelines or practices consistent with that. I guess someone could say does a small or medium size operator have as much time available to be able to go to a meeting and participate, especially if they have a full-time job or something like that? Maybe one could argue the case, but in today’s world with an online certification program available it seems like it should be easy access to any size producer.”

We’ll get into the nuts and bolts of specific data points later, but now that all the numbers are compiled, what do we do and where do we go from here? Dr. Tom Field, University of Nebraska, Lincoln, addresses this point.

Field says, “All an audit does is provide you the opportunity to make better choices. Markets drive choice-making. I think now there is sufficient economic pressure and sufficient social pressure that our industry will take this information and will make significant changes in the way that it views not only delivery of product integrity, eating satisfaction and telling the story, but do that in a much more proactive way. I think we’re an industry that is absolutely at a crossroads and we’re at a tipping point. We either get it right or we continue to watch cow numbers slide and as cow numbers slide, there are undesirable consequences that ripple not only across our industry and all the related industries but through our society. I think producers are highly motivated. What they need and what I think is incumbent upon the industry is that it is time for industry leaders to step up their game and drive for a profitable, sustainable future and to stay out of the weeds and off of the side roads and get right down the highway.”

Results from the 2011 National Beef Quality Audit can be found by visiting www.bqa.org. 



Consumer Trends Continue to Change When it Comes to Beef

Given the changing nature of availability of foods and preferences, the beef checkoff has been tracking these consumer consumption patterns to better understand preparation methods and flavors used in beef preparation. Executive Chef Dave Zino tells us more about the trends and what the 2012 research data shows.  He says,  “One of the interesting factors I found is that from 2002 to 2012, more people are eating beef steaks in that medium-rare to medium range which pleases me because I know that’s where you’re going to get that best beef-eating experience. And more people are eating ground beef in burgers at 160 and above which also pleases me because we know that all bacteria is eliminated at 160 degrees. So throughout the years I think we’ve seen some really positive changes.”

Zino says overall, a variety of different ethnic foods have become more popular since 2005... “In terms of ethnic foods, American or local food is still the most popular, followed by Italian then Mexican. But even, we saw jumps in folks liking Vietnamese food more, and Japanese food. Every ethnic category there was a jump in liking and what that tells me is that I think people are a little more food savvy now.”

Chef Zino explains why it’s important for the beef checkoff to develop a better understanding of consumer preferences...“There’s no sense in doing research like this unless you follow it. So I mean it really helps us kind of hone in on the recipes and the new products that we’re developing for consumers.”



CWT Assists with 1.4 Million Pounds of Cheese Export Sales

Cooperatives Working Together (CWT) has accepted six requests for export assistance from Dairy Farmers of America, Darigold and United Dairymen of Arizona to sell 1.433 million pounds (650 metric tons) of Cheddar and Monterey Jack cheese to customers in Asia, North Africa, the Middle East and South America. The product will be delivered July through December 2012.

In 2012, CWT has assisted member cooperatives in making export sales of Cheddar, Monterey Jack and Gouda cheese totaling 71.5 million pounds, and butter and anhydrous milk fat totaling 55.3 million pounds, to 33 countries on four continents. On a butterfat basis, the milk equivalent of these exports is 1.866 billion pounds, or the same as the annual milk production of 88,800 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 and butter 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.



EPA Releases June Biodiesel Volume

The EPA said Thursday that 112 million gallons of biodiesel were produced in June, reporting year-to-date production of 557 million gallons through the first six months of the year.

Biodiesel production is reported under the EPA's Biomass-based Diesel category in the Renewable Fuel Standard (RFS). To view the figures, visit the EPA's website here. The EPA numbers show a total of 117.5 million gallons of Biomass-based Diesel for the month of June, but that figure also includes renewable diesel.

Last year, the biodiesel industry set a new production record of nearly 1.1 billion gallons, supporting more than 39,000 jobs across the country. Made from an increasingly diverse mix of resources such as recycled cooking oil, soybean oil and animal fats, biodiesel is the first and only EPA-designated Advanced Biofuel that's produced on a commercial scale across the U.S. It is produced in nearly every state in the country and is used in existing diesel engines without modification.



NPPC Wants Taiwan To Lift Ractopamine Ban

In a letter sent today to Obama administration trade officials, the National Pork Producers Council expressed its strong objection to re-opening Trade and Investment Framework Agreement (TIFA) negotiations with Taiwan because of that country’s continued failure to lift a ban on a widely approved dietary additive used in pork production.

The Taiwanese parliament recently voted to ease restrictions on U.S. beef imports from cattle produced with Ractopamine but left the ban in place on pork produced with the same product.

Ractopamine is a dietary additive that improves the feed efficiency, growth rate and lean carcass percentage of live hogs and cattle. It has been approved by the U.S. Food and Drug Administration and by the food-safety agencies in 24 countries. Earlier this month, the U.N.’s Codex Alimentarius, which sets international standards for food products, approved a maximum residue limit (MRL) for Ractopamine, which U.S. pork meets.

“Failing to lift the ractopamine ban for pork was not an inadvertent omission,” said NPPC President R.C. Hunt, a pork producer from Wilson, N.C. “It is nothing more than a ploy by the Taiwanese government to bring the United States back to the TIFA negotiating table.

“In Taiwan, pork production is much more important than beef, and pork producers have much more political clout,” Hunt added. “This, and only this, explains the decision to lift the Ractopamine ban on beef but not on pork.”

NPPC asked U.S. Trade Representative Ron Kirk, Secretary of State Hillary Clinton and Department of Agriculture Secretary Tom Vilsack to make clear to Taiwan that lifting the Ractopamine ban for beef only will not prompt the United States to re-open TIFA talks with Taiwan. TIFA provides a framework for expanding trade and resolving trade disputes between countries.

The pork organization also urged the U.S. officials to “up the ante” on Taiwan by indicating that the United States will not support the Asian nation’s entry into negotiations on the Trans-Pacific Partnership, a regional trade pact, until it drops its Ractopamine ban on pork imports.

“We believe it is time for the United States to explore all potential means, including legal tools, of getting the Taiwanese to open their market,” said Hunt.

If Taiwan were to lift the Ractopamine ban on pork imports, U.S. pork exports to that country would increase to $417 million within 10 years, according to Iowa State University economist Dermot Hayes. Just $53.8 million of U.S. pork was shipped to Taiwan in 2011.



July Farm Prices Received Index Advanced 11 Points

The preliminary All Farm Products Index of Prices Received by Farmers in July, at 193 percent, based on 1990-1992=100, increased 11 points (6.0 percent) from June. The Crop Index is up 20 points (9.4 percent) but the Livestock Index decreased 1 point (0.7 percent). Producers received higher prices for corn, wheat, soybeans, and hogs and lower prices for cattle, grapes, broilers, and broccoli. In addition to prices, the overall index is also affected by the seasonal change based on a 3-year average mix of commodities producers sell. Increased monthly movement of wheat, grapes, grain sorghum, and hay offset the decreased marketing of milk, potatoes, cantaloupes, and corn.

The preliminary All Farm Products Index is up 10 points (5.5 percent) from July 2011. The Food Commodities Index, at 178, increased 7 points (4.1 percent) from last month and increased 3 points (1.7 percent) from July 2011.

Prices Paid Index Up 1 Point
The July Index of Prices Paid for Commodities and Services, Interest, Taxes, and Farm Wage Rates (PPITW) is 215 percent of the 1990-1992 average. The index is up 1 point (0.5 percent) from June and 11 points (5.4 percent) above July 2011. Higher prices in July for feed grains, concentrates, nitrogen, and LP gas offset lower prices for feeder cattle, feeder pigs, diesel, and potash & phosphate.

Prices Received by Farmers
All crops: The July index, at 233, increased 9.4 percent from June and is 10 percent above July 2011. Index increases for feed grains & hay, food grains, and oilseeds more than offset the index decreases for fruits & nuts, commercial vegetables, and potatoes & dry beans.

Food grains: The July index, at 275, is 23 percent above the previous month and 17 percent above a year ago. The July price for all wheat, at $8.31 per bushel, is up $1.61 from June and $1.21 above July 2011.

Feed grains & hay: The July index, at 302, is up 12 percent from last month and 15 percent above a year ago. The corn price, at $7.36 per bushel, is up 99 cents from last month and is $1.03 above July 2011. The all hay price, at $184 per ton, is up $1.00 from June and up $14.00 from last July. Sorghum grain, at $12.00 per cwt, is $2.44 above June and up $1.60 from July last year.

Cotton, Upland: The July index, at 126, is down 1.6 percent from June and 7.4 percent below last year. The July price, at 76.6 cents per pound, is down 0.7 cent from the previous month and 5.9 cents below last July.

Oilseeds: The July index, at 278, is up 12 percent from June and 17 percent higher than July 2011. The soybean price, at $15.60 per bushel, increased $1.70 from June and is $2.40 above July 2011.

Livestock and products
The July index, at 151, is 0.7 percent below last month and down 2.6 percent from July 2011. Compared with a year ago, prices are higher for cattle, broilers, eggs, hogs, turkeys, and calves. The price for milk is lower than last year.

Meat animals: The July index, at 158, is down 2.5 percent from last month but 3.9 percent higher than last year. The July hog price, at $73.80 per cwt, is up $3.60 from June and $2.10 higher than a year ago. The July beef cattle price of $116 per cwt is down $5.00 from last month but $5.00 higher than July 2011.

Dairy products: The July index, at 127, is up 2.4 percent from a month ago but 24 percent lower than July last year. The July all milk price of $16.60 per cwt is up 40 cents from last month but down $5.20 from July 2011.

Poultry & eggs: The July index, at 159, is down 1.9 percent from June but 6.0 percent above a year ago. The July market egg price, at 76.3 cents per dozen, increased 7.5 cents from June and is 7.9 cents above July 2011. The July broiler price, at 49.0 cents per pound, is down 2.0 cents from June but 2.0 cents above a year ago. The July turkey price, at 72.4 cents per pound, is down 1.5 cents from the previous month but up 4.9 cents from a year earlier.



The Protect Interstate Commerce Act Offers State Trade Solution
Rep. Steve King (R-Iowa)

The food standards maintained by the United States Department of Agriculture (USDA) and the United States Food and Drug Administration (FDA) keep food in our country safe. Imagine going to the grocery store, and instead of finding several varieties of food products, only certain brands are available and many are out of stock. This is exactly what is happening in Europe. The Wall Street Journal has reported that egg prices have jumped as much as 76.5 percent as of March of this year, and the price of eggs has more than doubled in the Czech Republic from 2011 to 2012, the result of costly over regulation of chickens.

Our Founding Fathers understood states would erect trade barriers against each other. That is why the enumerated power of Congress, to exclusively regulate interstate commerce, is enshrined in our Constitution. They knew that if states were left to themselves, the temptation to erect trade barriers in an effort to protect the interests of the producers within their borders would be hard to overcome. And they knew that, in doing so, the states would stunt the growth of our nation's economy and put America at a competitive disadvantage on the world stage.

No matter what state they live in, consumers in America should be provided with the choices they want to make at the grocery store. The United States Constitution gives Congress the power to "regulate commerce... among the several states" (Article II, Sec. 8, Clause 3). In recent years, we have seen a movement growing among several states to exercise broad new trade protection powers in regulating products including ethanol, pork, beef, poultry, and eggs from entering their borders from other states. I saw that some states are ignoring the commerce clause and creating their own restrictions on agriculture products. For more than a year, I refined the solution. During the marathon markup of the 2012 Farm Bill, I offered an amendment that reinforces the appropriate role of the Commerce Clause, and simply says that states cannot regulate the trade of agricultural products from another state based on that products means of production.

The Protect Interstate Commerce Act (PICA) prohibits a state from enacting laws that place any restrictions on the means of production for agricultural goods that are sold within its own borders but are produced in other states. For example, California has passed a law mandating that no eggs can be brought into or sold in the state if they are not laid by hens housed in "humane" facilities and has given farmers until 2015 to comply with these new standards. This restriction places an incredible burden on farmers across the nation to spend up to as much as $40 per hen to completely restructure entire farming operations. Regardless of how they're produced, eggs are already regulated by the Federal Egg Inspection Act, which ensures all eggs entering interstate commerce are safe for the consumer. States will be prohibited from a state-by-state haphazard patchwork of means of production regulations that will severely undermine our nation's economy. It is unconstitutional for Iowa farmers, for example, who strenuously work to follow the law, to be told by other states how to care for their animals. This law dramatically impacts American producers, and my amendment will help farmers across the nation produce safe and healthy products that will continue to be sold in all 50 states and also restores the Commerce Clause as it is written in the Constitution.

It is important to note, however, that PICA would not prevent a state from implementing its own labeling policies for products sold within its borders. States wishing to do so could still craft labeling regulations notifying consumers about the conditions in which a product is produced.

Our nation's farmers cannot wait for both passage of the Farm Bill and my amendment. The inclusion of the Commerce Clause in the Constitution was a deliberate act to ensure that the American people would reap the benefits of a strong, national economy. As a lifelong Iowan, I understood from a young age that all new wealth comes from the land. Recent efforts by some states to erect trade barriers through means of production regulations must be addressed by Congress, and PICA will ensure its ability to do so. As a member of the House Agriculture Committee I will push for a vote on this Farm Bill on the floor of the House so that it spurs positive growth in our economy. It is important to me that producers have stability and predictability in today's markets. I will continue to make agricultural issues a top priority because issues like interstate commerce have a direct impact on all Americans.