Corn Residue Creates Opportunity for Cattle Industry
This year's drought means producers are looking for options to feed their cattle. University of Nebraska-Lincoln beef specialists suggest grazing corn residue. Corn plants create as much residue as they do grain, and growers then have to figure out how to dispose of the residue before it chokes next year's crop.
Stalk shredding and tilling will help manage excess residue, but Terry Klopfenstein, UNL animal scientist, said it's better to give it to the cattle industry. As the amount of available conventional forage decreases following the drought, he suggests giving around 10 percent of corn residue to cattle for grazing. "The cattle do the work," he said. "You don't have to spend money on equipment, fuel or labor."
He said more than a decade of research at UNL shows no decrease in yield when cattle are allowed into the fields to graze the corn residue. Their data actually show a three percent increase in yield. While not statistically significant, Klopfenstein said, it at least demonstrates that yield should not decrease. "Taking off some residue is just good for crops," he said.
Despite worries about the effect of the cattle, they actually seem to have minimal impact on the soil and yield. Compaction can be a problem in the spring when soil is muddy, but the risk is very small after fall harvests. "It's probably a positive because they're mixing the soil and the residue," Klopfenstein said. The cattle first eat any grain that harvest may leave behind, but most often they eat the husks and leaves. They generally leave behind the stalks, the most beneficial part of the plant for the soil.
Farm Service Agency Changes Reporting Methods of IRS Forms 1099-G and 1099-MISC
In accordance with the Internal Revenue Codes, the Farm Service Agency (FSA) will change how it provides IRS Forms 1099-G and 1099-MISC to producers. “Beginning with 2012, these forms will not be issued by FSA to recipients that received less than $600 in the calendar year,” stated Josie Waterbury, Thurston FSA County Executive Director.
The Farm Service Agency is issuing 2012 final direct payments under the 2008 Farm Bill and Conservation Reserve Program (CRP) payments to farmers and landowners in October 2012. Many of these payments are less than $600. Producers should retain the record accompanying the check or the direct deposit statement for 2012 income tax purposes.
An additional budget saving step taken by FSA is to consolidate reporting information from multiple counties into a single 1099-G or 1099-MISC form. Producers are encouraged to maintain small payment records and/or contact their tax advisor to determine if these payments need to be reported on their tax returns.
Contact your local Farm Service Agency for additional information.
USSEC Board Elects New Chairman, Executive Committee
Soy industry representatives and farmer leaders gathered in New Orleans last week to appoint the new U.S. Soybean Export Council (USSEC) Board and elect officers for the coming year. USSEC appoints, or reappoints, a board of directors comprised of 15 members – four representing ASA, four representing the United Soybean Board (USB) and seven representing industry and state soy organizations.
ASA farmer-leaders selected to serve on the USSEC Board include: Chairman Randy Mann, Jim Miller (Belden, NE), John Heisdorffer, and Ron Kindred.
USB directors selected include: Vice-Chair Sharon Covert, Jim Call, Vanessa Kummer, and Tom Rotello.
Kirk Leeds, Iowa Soybean Association CEO, and John Wright, of Owensboro Grain Company, were elected to serve as secretary and treasurer, respectively. Visit www.ussec.org to view the full list of the 2012-2013 USSEC Board.
RFA Elects New Leadership for 2013
At its annual membership meeting held this week in Omaha, Nebraska, the Renewable Fuels Association (RFA) announced new Officers of the Board of Directors. The RFA elected Neill McKinstray, President of the Ethanol Division, The Andersons, Inc. as Chairman of the RFA Board of Directors. McKinstray previously served as the Vice Chairman for two terms, and will be succeeding Chuck Woodside, General Manager of farmer-owned KAAPA Ethanol. Woodside served as Chairman for two terms.
McKinstray was named President of the Ethanol Division, The Andersons, Inc. in late 2011. He had previously served as Vice President of The Andersons, Inc. grain and ethanol group since 2005. He began his career with The Andersons in 1976. McKinstray is primarily responsible for the management of The Andersons, Inc. ethanol biorefineries in Ohio, Michigan, Indiana and Iowa. He is also responsible for managing and directing third-party ethanol services provided by The Andersons.
“Today, ethanol is presenting the U.S. with a critical opportunity to expand domestic energy production and reduce foreign oil imports by millions of barrels. The future of energy independence and a stronger America is being realized right here, right now, every day, in ethanol plants across the country,” said McKinstray. “It is important that the industry continues to drive forward, ensuring that we maintain critical policies like the Renewable Fuel Standard (RFS), extend key tax policies for new fuel commercialization and investment in renewable fuel infrastructure so that we can continue to provide American consumers with more clean fuel options.”
“The members of the RFA have worked tirelessly to ensure the continued growth and evolution of this industry and future years hold great promise. I am honored to have been elected to help lead this organization, and look forward to the challenges and opportunities that lie ahead.”
Joining McKinstray as elected officers of the association are:
• Vice Chairman Randall J. Doyal, CEO of Al-Corn Clean Fuel in Claremont, Minnesota.
• Treasurer Walter Wendland, CEO of Golden Grain Energy in Mason City, Iowa.
• Secretary Mick Henderson, General Manager of Commonwealth Agri-Energy in Hopkinsville, Kentucky.
• President Bob Dinneen, CEO of Renewable Fuels Association, Washington, DC.
Win Free Groceries for Year from Iowa Farmers
While Iowa farmers are currently focused on harvesting their fields and caring for their livestock, they also understand the need to open their doors to consumers interested in seeing how food is grown and raised. This fall, the Iowa Farm Bureau Federation (IFBF) is offering the Iowa Farmers Feed US sweepstakes program which invites Iowans to meet today's farmers, take video tours of their farms and register for a chance to win free groceries for a year.
Following the sweepstakes, there will be two free grocery grand prizes of $5,000 each from Iowa Farmers Feed US' grocery partner, Fareway Stores, Inc., awarded to Iowa residents drawn at random from those who register at www.FarmersFeedUS.org/ia. The site offers an up close and personal look at eight Iowa farm families and a chance to tour their farms, which include hog barns, white corn fields and turkey barns. Website visitors can register for the sweepstakes with each of the eight farmers, each day of the sweepstakes, which runs from noon today until noon on Oct. 31.
"My family is involved in the Iowa Farmers Feed US project because we understand that while not everyone is involved in raising food, nearly everyone is interested in seeing how animals are cared for, how crops are raised and how we protect Iowa's soil, air and water," explained Justin Dammann, who raises cattle, corn and soybeans in Page County. "This website offers that opportunity for people throughout the state of Iowa, many of whom have never been on a farm. It's a great opportunity for farmers to showcase our commitment to growing safe, wholesome food today."
The website features beef cattle, turkey, corn, dairy cattle, hog and soybean farmers from across the state, each sharing their personal stories about their history in agriculture, farm families and dedication to producing food. Featured farmers include:
-- Justin and Jennifer Dammann, white corn farmers, Essex
-- Russ Yoder, turkey farmer, Wayland
-- Eric and Emily Crossman, hog farmers, Ogden
-- Jim Brown, soybean farmer, Churdan
-- Pam Johnson, corn farmer, Floyd
-- Stephanie Dykshorn, dairy cattle farmer, Ireton
-- Matt Schuiteman, hog farmer, Sioux Center
-- Tim Kaldenberg, beef cattle farmer, Albia
Additional Iowa agriculture groups supporting this initiative include the Iowa Corn Growers Association, the Iowa Pork Producers Association and Midwest Dairy.
Renewable Fuel Stakeholders Launch National Campaign
A large coalition of advanced and traditional renewable fuel stakeholders today joined forces to defend America’s Renewable Fuel Standard (RFS) and the economic, employment, domestic renewable energy and national security benefits the RFS provides. The new coalition, Fuels America, spans the full spectrum of domestically-grown renewable fuel, national security, renewable energy and other stakeholders.
The coalition also launched an online platform at FuelsAmerica.org and a Twitter presence @FuelsAmerica.
The launch comes as the U.S. Environmental Protection Agency considers a request to “waive” the RFS, a move that coalition members stressed would have serious consequences for America’s rural communities, renewable technology innovators and energy independence.
“Fuels America is built around one core idea: renewable fuel is essential to the U.S. economy, our nation’s energy security, our rural communities and the environment,” said former Congressman Jim Greenwood, President and CEO, Biotechnology Industry Organization (BIO). “More than 400,000 American jobs are supported by renewable transportation fuel, and America leads the world in renewable fuel innovation. That is why Fuels America’s diverse membership has come together to reset the national conversation on renewable fuel, protect the progress that has been made and ensure that America’s Renewable Fuel Standard continues its success.”
Fuels America members include:
25x25 Growth Energy
Abengoa Bioenergy National Association of Wheat Growers
ACORE National Corn Growers Association
Advanced Ethanol Council National Farmers Union
American Coalition for Ethanol National Sorghum Producers
American Security Project Novozymes
Biotechnology Industry Organization (BIO) POET
DuPont Renewable Fuels Association (RFA)
The Fuels America campaign will be a national effort, including advertising, beginning in Washington, DC and several states, including Colorado, Ohio, Delaware and Montana. Each state will have its own online platform reachable through FuelsAmerica.org and feature the stories of renewable fuel innovators and communities with a stake in maintaining the RFS.
“In this election year all eyes are on Ohio, and in Ohio our eyes are focused on growing our state’s economy,” said Pam Hall, President of the Marion Area Chamber of Commerce in Marion, OH. “For a rural community with a declining population and other economic challenges, the 2008 opening of a renewable fuel plant in Marion County was clearly something to celebrate. Today 68 million gallons of ethanol are produced at our plant by 41 individuals who add to our local and state tax base. That plant would not have been built without the Renewable Fuel Standard, and that is exactly the type of industry our community needs to improve our economic future.”
“Renewable fuel matters to everyone in Colorado, from farmers in the eastern part of the state to researchers at our universities and entrepreneurs in our clean tech economy,” said Jim Imbler, President and CEO of Lakewood, CO-based ZeaChem Inc. “ZeaChem has grown from an innovative idea for producing cellulosic fuel to a scaled operation ready to manufacture. The investor certainty created by the Renewable Fuel Standard is essential to our continued growth, and to the growth of other advanced biofuels and bio-based chemicals companies like ours.”
Members of the Fuels America coalition also stressed that renewable fuel plays a central role in increasing America’s energy independence. Since 2000, domestically-grown renewable fuel has contributed to a 25 percent reduction in oil imports from the Persian Gulf, making the nation more energy independent and driving down prices at the pump. Americans saved $50 billion on imported fuel costs in 2011 thanks to renewable fuel.
“America’s energy security and national security depend on expanding our renewable fuel sector, said Vice Adm. Dennis McGinn (Ret.), President of the American Council On Renewable Energy (ACORE). “The renewable fuel innovation we have seen across the country since the RFS was created is helping break America’s dependence on foreign oil and giving our armed forces new assets on the battlefield. Protecting America’s Renewable Fuel Standard will protect that progress, improve our country’s energy security and protect our men and women in uniform.”
Coalition members noted that the rapidly emerging advanced renewable fuel sector has benefited directly from the RFS, with advanced facilities now producing fuel in Florida, Louisiana, Indiana, Kansas, Minnesota, Mississippi, South Dakota, Tennessee and Texas.
“The Renewable Fuel Standard has created billions in investment and created hundreds of thousands of careers,” said Adam Monroe, President of Novozymes North America. “If the RFS is altered or undermined, companies like ours will have to make tough choices about where to put our long-term dollars. Keeping those dollars, and the jobs they will continue to create, in America means keeping the RFS in place. It’s a market-based signal to innovators and investors – and it works.”
September Farm Prices Received Index Increased 7 Points
The preliminary All Farm Products Index of Prices Received by Farmers in September, at 200 percent, based on 1990-1992=100, increased 7 points (3.6 percent) from August. The Crop Index is up 5 points (2.2 percent) but the Livestock Index was unchanged. Producers received higher prices for wheat, milk, cattle, and eggs and lower prices for corn, hogs, sweet corn, and broilers. 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 soybeans, corn, apples, and peanuts offset the decreased marketing of cattle, wheat, broilers, and grapes.
The preliminary All Farm Products Index is up 20 points (11 percent) from September 2011. The Food Commodities Index, at 184, increased 6 points (3.4 percent) from last month and is 17 points (10 percent) higher than September 2011.
Prices Paid Index up 3 Points
The September Index of Prices Paid for Commodities and Services, Interest, Taxes, and Farm Wage Rates (PPITW) is 219 percent of the 1990-1992 average. The index is up 3 points (1.4 percent) from August and 14 points (6.8 percent) above September 2011. Higher prices in September for complete feeds, supplements, feeder cattle, and diesel offset lower prices for nitrogen, mixed fertilizer, feed grains, and feeder pigs.
Prices Received by Farmers
All crops: The September index, at 236, increased 2.2 percent from August and is 16 percent above September 2011. Index increases for fruits & nuts and food grains more than offset the index decreases for oilseeds and feed grains & hay.
Food grains: The September index, at 273, is 3.8 percent above the previous month and 11 percent above a year ago. The September all wheat price, at $8.49 per bushel, is up 45 cents from August and 95 cents above September 2011.
Feed grains & hay: The September index, at 309, is down 1 percent from last month but 14 percent above a year ago. The corn price, at $7.35 per bushel, is down 28 cents from last month but 97 cents above September 2011. The all hay price, at $187 per ton, is up $3.00 from August and $7.00 higher than last September. Sorghum grain, at $12.20 per cwt, is 90 cents above August and $1.70 above September last year.
Cotton, Upland: The September index, at 119, is up 0.8 percent from August but 23 percent below last year. The September price, at 72.3 cents per pound, is up 0.9 cents from the previous month but 21.2 cents below last September.
Oilseeds: The September index, at 270, is down 5.9 percent from August but 34 percent higher than September 2011. The soybean price, at $16.30 per bushel, increased 10 cents from August and is $4.10 above September 2011.
Livestock and products: The September index, at 155, is unchanged from last month but up 2.0 percent from September 2011. Compared with a year ago, prices are higher for cattle, broilers, eggs, calves, and turkeys. Prices for milk and hogs are down from last year.
Meat animals: The September index, at 153, is down 1.9 percent from last month but 2.7 percent higher than last year. The September hog price, at $56.50 per cwt, is down $10.40 from August and $10.60 lower than a year ago. The September beef cattle price of $120 per cwt is up $3.00 from last month and $8.00 higher than September 2011.
Dairy products: The September index, at 146, is up 5.0 percent from a month ago but 9.9 percent lower than September last year. The September all milk price of $19.10 per cwt is $1.00 higher than last month but down $2.00 from September 2011.
NASS to Publish Organic Survey Results
The National Agricultural Statistics Service (NASS) will publish the results of the 2011 Organic Production Survey on Thursday, October 4 at 3 p.m. EST. NASS contacted all USDA certified organic producers in the United States to gather information on current organic production practices. This report will include acreage, production, and sales data for a variety of certified organic crop and livestock commodities as well certified organic marketing practices. The report will be available online at www.nass.usda.gov.
Brazilian Pork Exports on the Rise
The volume and value of pork exported by Brazil during July and August were higher than in the same months of last year.
According to the latest figures from ABIPECS, Brazil exported 44,243 tons of pork in July, 22.5 percent more than in same month the previous year. For August, the volume was up by 19.2 percent to 54,717 tons. The total amount of pork exported for the first eight months of 2012 is 367,743 tons, compared to 348,843 tons in 2011, representing an increase of 5.4 percent.
The value of export sales in July was almost $108.3 million, up 15.4 percent from the same month last year. For August, the value of exports was 10.1 percent higher than 12 months previously at a little over $134.4 million. The total value of exports in 2012 up to the end of August was a little over $930 million, compared to $951.2 million at the same point in 2011.
Average values of pork exports in July and August were $2,447 and $2,457, respectively, per ton or 5.9 and 7.7 percent below the figures for the same months in 2011.
The average price for pork exports for the year to date is $2,529 per ton, down from $2,727 last year.
Welcome to the KTIC Agriculture Information blog!!! Check back here for the latest in ag news and information, from local events to international happenings and government reports that affect your operation. Please email with suggestions! -Chad Moyer, Farm Director, KTIC Radio
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