NC Signs Letter of Support for Grassley/Donnelly Amendment
In February 2013, the Environmental Protection Agency (EPA) released personal information on 80,000 livestock producers to the Natural Resources Defense Council, Earth Justice and the Pew Charitable Trusts under Freedom of Information Act (FOIA) requests the groups fled.
To prevent this action from occurring again, Sens. Chuck Grassley (R-Iowa) and Joe Donnelly (D-Ind.) have introduced an amendment to the Senate version of the 2013 Farm Bill. Under the amendment, EPA cannot disclose personal information such as names, addresses and other identifying information unless the data are aggregated to prevent the identifcation of individual livestock and poultry producers and their families, or the individual provides his or her consent to EPA.
This past week, The Nebraska Cattlemen signed onto a letter that will be sent to the entire Senate in support of the Grassley/Donnelly Amendment (#1011). NC would also like to applaud Nebraska Senators Deb Fischer and Mike Johanns for their support of this issue and concern for Nebraska livestock producers.
UNL to Host September Beef Symposium
Kenneth Eng wants to give something back to the industry in which he's spent his life.
To honor his late wife, Caroline, who died about three years ago, Eng has donated a total of around $2 million to three universities to fund research on how to increase cattle efficiency in times of stress.
Along with the University of Nebraska-Lincoln, the Dr. Kenneth and Caroline Eng Foundation has granted money to Texas A&M University and Oklahoma State University.
Eng spent most of his professional career in Texas, but is a Nebraska native, having been born in Boone County near Newman Grove.
On Sept. 12 and 13, UNL will host the first Cow-Calf Efficiency Symposium, which will present the findings of the research so far. The event will take place in the Johnny Carson Center.
Eng believes that semi-confinement systems can provide an answer to the problem of decreased feed due to drought. In semi-confinement systems, cattle are held in a dirt lot, with less space than a regular pasture. This reduces their energy output levels and allows them to be sustained on less feed.
"It's a good strategy if you are under drought stress," Eng said. "We've done so many things incorrectly; it's time to look at what might be good for the whole industry."
Today, only about 25 percent of available crop residue (such as corn stalks) are being used for cattle feed.
Larry Berger, the head of the animal science department at UNL, has worked with Eng for two years.
"He's very creative," Berger said. "He's one of the out-of-the box type thinkers who likes to explore new things."
UNL is currently working on a research trial in Mead and Scottsbluff. There is about a 15-20 inch difference in the amount of annual rainfall between the two regions, with Mead being wetter. The researchers will measure feed costs, animal performances and animal health and reproduction rates at each site.
"It provides an opportunity to help producers deal with the extended drought and this is new research that will give cattle producers in Nebraska alternatives to consider in feeding their cattle," Berger said.
Eng said that he is looking forward to the event. "I'm looking forward to some really good new data being presented," Eng said. "We hope to have a big crowd and I hope to see a lot of old friends."
Pre-registration is $100 and it costs $125 at the door.
Several hotels are within walking distance of the event. To register, go to http://go.unl.edu/cowcalfsymposium.
To Cut or Not to Cut Hail-Damaged Alfala
Bruce Anderson, UNL Extension Forage Specialist
Hail damaged many alfalfa fields during storms last week. If yours was one of them, you have some harvest decisions to make.
Alfalfa growth normally originates from the upper tip of the stem. If this tip is removed -- by mowing, by grazing, or by hail -- stem growth ceases and regrowth must begin. Regrowth comes from the crown if most of the top of the plant has been cut off. But when lower branches and leaves still remain on the stem, new growth often develops slowly from axillary buds near stem branches.
Yield from axillary regrowth is much lower than yield from crown regrowth. Since some branches usually remain after hail, regrowth rates can be very low if many plants in the field were only partly damaged.
Sometimes you can speed up recovery of alfalfa by harvesting the field as soon as possible after hail to encourage crown regrowth rather than axillary regrowth. Deciding when is your biggest challenge.
The amount of damage and nearness to harvest both affect this decision. Cut as soon as possible if plants have reached bud stage and more than twenty-five percent of plant tips are broken. For plants within two weeks of harvest, cut if one-half or more of the plant's growing tips are injured or if most plants are lodged. And harvest or shred anytime more than two-thirds of the plant tips are broken unless the hail was so severe that only stubble remains or plants were less than a foot tall when the hail occurred. After these early cuttings, delay your next harvest to allow plants extra time to recover from this extra stress.
To cut or not to cut, that is the question. And your answer will affect growth rates of this, and your next, cutting.
Resurrecting “The BEEF STATE” Plates
Nebraska Cattlemen Board of Directors, in conjunction with the Board of Directors of the Nebraska Cattlemen Foundation, want you to be part of bringing back part of Nebraska’s history. From 1956 to 1965, Nebraska license plates bore the phrase, “The BEEF STATE.” That phrase was a great source of pride to beef producers and many others around the state. Unfortunately, “The BEEF STATE” moniker has not been part of Nebraska license plates since.
As the heritage of Nebraska’s beef industry has continued to grow in all phases in the last 50 years, the pride and hard work has never wavered. Nebraska’s beef industry is positioned to be the epicenter of beef industry of the United States and beyond.
This idea of re-introducing “The BEEF STATE” phrase on our state’s license plates is not a new thought. Roughly fve years ago, NC member and current United States Sen. Deb Fischer, as Chair of the Unicameral’s Transportation and Telecommunications Committee, wanted the phrase as part of the current license plate run. Obviously, the phrase did not make it on the plates.
The NC Board of Directors, as part of the celebration of the 125th Anniversary of the formation of the Nebraska Cattlemen, want to celebrate and promote the culture of Nebraska’s largest industry, beef. What better way to do so than create a license plate with the phrase, “The BEEF STATE.”
Your Vote
The Board of Directors of both NC and the NC Foundation, in working with the Nebraska Department of Motor Vehicle Department, created three “The BEEF STATE” license plate choices as pictured above. The directors want NC members to vote to select the winning design.
Those attending the NC Midyear Meeting in Valentine on June 18-19 can vote in person. If you cannot attend the summer meeting, please vote online at the Nebraska Cattlemen website: www.nebraskacattlemen.org. Online voting will conclude Friday, June 28. Votes will then be tabulated, the winning plate announced, and then the promotion and acquisition of the necessary 500 applications will begin.
Livestock Groups Urge Senate to Ban Formula Contracts
Fifteen national and state livestock groups including R-CALF USA, sent a joint letter today to U.S. Senators urging them to aggressively support the bipartisan Farm Bill amendment sponsored by Senators Mike Enzi (R-Wyo.), Tim Johnson (D-S.D.), and Jon Tester (D-Mont.). The amendment, Senate Amendment 982, would prohibit the largest meatpackers from using anticompetitive formula contracts to procure livestock from independent cattle and sheep feeders.
According to the group's letter, the amendment would end the meatpackers' practice of enticing cattle and sheep feeders to commit livestock under a formula contract that, while granting livestock sellers timely access to the marketplace, does not even include a negotiated base price. For this reason, the groups refer to anticompetitive formula contracts as un-priced contracts.
The numbers of cattle that have exited the price-discovery cash market in favor of formula contracts has skyrocketed during the past several years. According to national data collected by the U.S. Department of Agriculture (USDA), the volume of cattle sold in the price-discovery cash market shrank from 52% in 2005 to only 26% in 2012, while the volume of cattle procured under formula contracts increased from 33% to 55% during the same period.
The group's letter explains that formula contracts are anticompetitive because their ultimate settlement is based on prices discovered in the cash market, which is a market the meatpackers can readily manipulate simply by avoiding it and relying on their formula livestock.
"The meatpackers have created a vicious conundrum," said Bill Bullard, CEO of R-CALF USA .
Bullard explained: "First, the meatpackers restrict timely access to the marketplace for independent producers, forcing them to enter formula contracts; second, the meatpackers rely on their formula livestock to avoid the cash market, causing the cash market to fall; finally, the meatpackers slaughter their formula livestock and pay the livestock producers a price based on the depressed cash market that the meatpackers had just manipulated."
"Dominant meatpackers are able to artificially lower the price they pay for all cattle and sheep," the groups highlighted in their letter.
In support of their call for the ban on anticompetitive formula contracts, the groups wrote that the U.S. sheep flock has declined by more than half in just three decades and lamb prices fell over $100 per head between early 2011 and mid-2012, a period when consumers continued paying high prices for lamb.
"Also, while consumers continue paying record prices for beef, independent cattle producers have suffered horrendous, long term losses. During the 26-month period from March 2011 to April 2013, when beef prices were reaching historic highs, independent cattle producers lost an average of about $116 per head for every animal sold to the dominant meatpackers," the letter states.
The letter concludes, "Both the cattle industry and the sheep industry are shrinking fast and neither industry will recover on its own unless Congress takes immediate action to end the manipulative practices caused by the dominant meatpackers' use of anticompetitive formula contracts."
Groups that joined the request for the ban on formula contracts include: Buckeye Quality Beef Association (Ohio), Cattle Producers of Louisiana, Cattle Producers of Washington, Colorado Independent CattleGrowers Association, Independent Beef Association of North Dakota (I-BAND), Independent Cattlemen of Nebraska, Independent Cattlemen of Wyoming, Kansas Cattlemen's Association, Missouri's Best Beef Co-Operative, Murray County, Oklahoma Independent Cattlemen's Association, Nevada Live Stock Association, Northern Wisconsin Beef Producers, Organization for Competitive Markets (OCM), R-CALF USA, and South Dakota Stockgrowers Association.
Porcine Epidemic Diarrhea Virus (PEDV) Confirmed in U.S.
The USDA confirmed that Porcine Epidemic Diarrhea Virus (PEDV) has been identified in the United States for the first time. The National Veterinary Services Laboratory found PEDV in a small number of U.S. herds through testing.
“This is not a new virus, nor is it a regulatory/reportable disease,” said Lisa Becton, DVM, director of swine health information and research for the National Pork Checkoff. “Since PEDV is widespread in many countries, it is not a trade-restricting disease, but rather a production-related disease.”
The virus was first discovered in England in 1971. Since then, the disease has been identified in a number of European countries and Canada, and most recently in China, Korea and Japan.
PEDV only affects pigs and is not zoonotic. Therefore, it poses no risk to other animals, humans or food safety. It is similar to transmissible gastroenteritis (TGE) and is transmitted through the fecal-oral route with acute diarrhea symptoms within 12 to 36 hours of onset. Producers are advised to immediately report any signs of illness in their pigs to their herd veterinarian.
“We are monitoring this disease and will make recommendations to producers as necessary,” Becton said.
Iowa Takes Aggressive Step to Tear Down Big Oil’s Bogus Blend Wall
The Iowa Renewable Fuels Association (IRFA) applauded the Iowa Legislature’s passage of H.F. 640 as a big step in supporting fuel choice for Iowa’s fuel retailers and consumers. The legislation protects retailers from Big Oil efforts to restrict competition by guaranteeing local retailers the right to offer the ethanol and biodiesel blends of their choice, such as E15, E85 and B20.
“This legislation represents a solid step forward for higher ethanol blends, consumer choice, and the federal Renewable Fuel Standard (RFS),” stated IRFA President Rick Schwarck, CEO of Absolute Energy. “I find it ironic that Big Oil consistently claims that retailers don’t want to sell higher ethanol blends like E15, yet they use every trick in the book to prevent retailers from offering E15. In fact, the American Petroleum Institute (API) fought tooth and nail to try to keep these retailer protections out of the bill. This bill tears down one part of Big Oil’s bogus blend wall in Iowa.”
The legislation includes a section that amounts to a retailer ‘Bill of Rights,’ preventing oil refiners’ supply agreements from directly or indirectly limiting the ability of local retailers to offer the ethanol and biodiesel blends they choose. The provision was based on a law enacted in South Dakota in 2011 and addresses specific, anti-competition provisions from actual refiner supply agreements.
As a result, new supply agreements will not be allowed to:
- Restrict fuels from other suppliers;
- Restrict installing a blender pump;
- Restrict using current equipment from offering higher blends, like E15, E85, and B20;
- Restrict ethanol or biodiesel blends from being advertised;
- Restrict the locations where a retailer may offer the higher blends (like under a canopy);
- Restrict payment for higher blends to cash only (no credit cards)
“One supplier should not be allowed to dictate to local retailers what they can and cannot do with products from other suppliers,” continued Schwarck. “More freedom for retailers to offer the fuels they choose often means more ethanol and biodiesel blends, which benefits consumers by increasing competition at the pump. And it also means more RINs will be generated for use in complying with the federal RFS.”
Know options for prevented corn plantings, ICA urges
Farmers with crop insurance policies who did not complete corn planting by today (May 31) need to act quickly to keep some of their options open, says the Iowa Cattlemen’s Association. About 15 percent of intended corn acres were not planted, according to the most recent Crop Progress and Condition Report issued by Iowa’s National Agricultural Statistics Service on May 28.
“Iowa cattle producers grow a lot of their own corn for feed. We’re just coming off a drought year which put a lot of pressure on feed availability and cost, and now they are dealing with extended cool weather and heavy rains this spring. There’s no doubt that feed costs will continue to be pressured. We want our members to know all their options if they haven’t finished planting corn,” says Justine Stevenson, ICA director of government relations and public policy.
The best thing producers can do is contact their crop insurance agents to understand all the options and the impacts each can have.
Farmers can still plant corn during the late planting period, which continues to June 25. “If they choose this option, the insurance payments will be reduced by 1 point for every day planting is delayed after May 31,” Stevenson says.
A second option is to take the prevented planting option, which is 60 percent of the production guarantee. A third option is to plant a second crop such as soybeans or cover crops. Soybeans don’t reach their final planting date under crop insurance provisions until June 15.
“The cover crop option could help cattle farmers meet forage needs,” Stevenson says, “but they need to be aware of how that part of the program works. If the cover crop is harvested before Nov. 1, their prevented planting payment will be reduced to 35% of the total. If harvest happens Nov. 1 or after, then the full prevented planting payment will be distributed.”
“Again, we urge our members to contact their insurance agent to know the full scope of their options,” Stevenson said.
Ethanol Plant Steps Up to Offer Consumers Serious Ethanol Discounts
The Iowa Renewable Fuels Association (IRFA) today announced that while Iowa gas prices are often hitting new highs, Iowans can turn to ethanol blends like E85 to save some of their hard-earned money.
E85 is being sold at attractive prices across the state, but in areas where ethanol producers are selling E85 directly to the retailer, consumers are seeing even greater discounts. Siouxland Energy and Livestock Cooperative (SELC), a 60 million gallon per year ethanol plant in Sioux Center, Iowa, is now offering E85, a fuel blend containing 85 percent ethanol and 15 percent gasoline, directly to retailers and is passing on the RIN value generated by blending ethanol.
According to OPIS, recent prices for E85 at Iowa terminals were about $2.69 per gallon, while SELC listed the price for their E85 at only $2.17 per gallon. Last week, Absolute Energy of St. Ansgar, Iowa announced the implementation of the same program.
“Here at Siouxland Energy, we’re passing on the RIN savings to the consumer, and it’s making for some very attractive E85 prices,” stated SELC Commodity Manager Tom Miller. “I think ethanol plants are growing tired of watching a middleman pocket the RIN value to the detriment of consumers. Our plant wants consumers to understand the real value of homegrown ethanol, so we’ve cut out the middleman and we’re selling E85 directly to retailers at a much greater discount.”
A RIN, or renewable identification number, is a free credit earned by the blender of ethanol that can then be sold on the open market to oil refiners, which use the credits to demonstrate compliance with the federal Renewable Fuel Standard (RFS).
FY 2013 Exports Forecast at a Record $139.5 Billion; Imports at a Record $111 Billion
Fiscal 2013 agricultural exports are forecast at a record $139.5 billion, down $2.5 billion from the February forecast and $3.7 billion above fiscal 2012 exports. The forecast for grain and feed exports is down $2.8 billion from February, primarily reflecting lower export volumes and unit values for wheat and corn. Sugar and tropical product exports are also forecast lower, down $500 million fro m the last forecast. The forecast for oilseeds and products is raised slightly and the forecast for cotton exports is $500 million higher. The forecast for livestock, poultry, a nd dairy is unchanged from last quarter, at a record $30.1 billion. The export forecast for horticultural products is unchanged at a record $32.0 billion.
U.S. agricultural imports are forecast at a record $111 billion, $1.5 billion lower than the February forecast, but $7.6 billion higher than in fiscal 2012. Lower forecasts for tropical products account for most of the reduction from February.
The forecast trade balance for fiscal 2013 is lowered $1billion to $28.5 billion, down $3.9 billion from fiscal 2012.
Vilsack on Forecast for U.S. Agricultural Exports
The U.S. Department of Agriculture released its fourth Outlook for U.S. Agriculture Trade in fiscal year 2013 today. USDA projects $139.5 billion in agricultural exports in FY 2013, which if realized would be a new record. Since 2009, U.S. agricultural exports have climbed from $96.3 billion in 2009 to the most-recent forecast of $139.5 billion. Agriculture Secretary Tom Vilsack made the following statement:
"Today's report is promising news that keeps American agriculture on track to continue the strongest period of exports in our nation's history. Agricultural exports are an important part of our economy, supporting more than one million jobs - and as a part of President Obama's National Export Initiative to double U.S. exports by the end of 2014, USDA has worked hard to open new markets for quality U.S. agricultural products. We've helped achieve new trade agreements with countries around the world, helped organic producers export more products through new equivalency agreements, broken down hundreds of unfair barriers to trade, and utilized trade promotion programs that have helped more than 1,000 U.S. businesses and organizations promote agricultural products abroad. Today, we're looking ahead to the next big achievements - particularly a Trans-Pacific Partnership with Asian nations, and a Transatlantic Trade and Investment Partnership with the European Union.
We must continue working to strengthen markets and opportunity in American agriculture. That's one reason why it is important that Congress achieve passage of a comprehensive Food, Farm and Jobs Bill as soon as possible. Trade promotion efforts provided by the current Farm Bill have been extremely valuable for U.S. producers. A long-term Food, Farm and Jobs Bill would continue these programs, enabling USDA to keep working with producers and businesses to promote their quality products around the world. This is an important step to further increase agricultural exports from the United States and create more good jobs here at home. As we continue our efforts to strengthen agricultural trade, USDA will keep working hard to help Congress pass a multiyear, comprehensive bill as soon as possible."
Senate Hopeful to Pass Farm Bill Next Week, House to Take Up Bill in Mid-June
(from National Association of Wheat Growers newsletter)
The Senate plans to take up 2013 Farm Bill legislation as soon as it is back in session on Monday, June 3. Although it is still unclear what amendments will be considered during the final days of debate, members of the Senate Agriculture, Nutrition and Forestry Committee, including Chairwoman Debbie Stabenow (D-Mich.), seem confident that their chamber will pass its version of the farm bill sometime next week. Before leaving for the Memorial Day recess, Senators undertook three full days of debate and amendment votes on the Senate floor. According to House Agriculture Committee Chairman Frank Lucas (R-Okla.), the House is set to debate its bill on the House floor sometime in mid-June, possibly the week of June 17th. NAWG is encouraged by the swift movement on the Senate and House floors, and wheat growers look forward to a completed legislative product before the current extension expires on Sept. 30.
Preview of Senate Farm Bill Debate: Crop Insurance Still a Target
New analysis is coming out about the amendment adopted by the full Senate during debate last week that would apply adjusted gross income (AGI) limits to crop insurance premiums. The amendment was offered from Sens. Dick Durbin (D-Ill.) and Tom Coburn (R-Okla.) and would reduce the premium subsidy by 15 percent for farmers with AGIs of $750,000 or higher. Kansas State University agriculture economist Dr. Art Barnaby examined how placing means testing on crop insurance would affect the risk pool, agreeing with Senate Agriculture Committee Chairwoman Debbie Stabenow’s (D-Mich.) comments that limiting crop insurance support would cause producers with large pieces of land to leave the insurance system, making the costs rise for the rest of the risk pool.
Barnaby also examined assumptions behind an amendment likely to be offered on the Senate floor next week by Sen. Jeff Flake (R-Ariz.), which would eliminate the harvest price option from the revenue protection contract. Barnaby explains that crop insurance has provided yield coverage since 1980, but only after the inclusion of the harvest price option in 1996 was there large scale Corn Belt participation in crop insurance. Ultimately, amendments such as the Durbin-Coburn and Flake amendments will incentivize farmers not to take crop insurance, which is exactly the opposite of what NAWG and most other farmer organizations believe the industry needs. NAWG strongly supports policies that encourage everyone who wants to take crop insurance to be able to participate in the program, making it more affordable for all growers and helping ensure safe and affordable food for a growing world population.
May Farm Prices Received Index Advanced 2 Points
The preliminary All Farm Products Index of Prices Received by Farmers in May, at 194 percent, based on 1990-1992=100, increased 2 points (1.0 percent) from April. The Crop Index is down 1 point (0.5 percent) but the Livestock Index increased 6 points (3.7 percent). Producers received higher prices for eggs, hogs, soybeans, and broilers. Prices were lower for corn and wheat. 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 broilers, sweet corn, and hay offset decreased marketings of soybeans, apples, wheat, and oranges.
The preliminary All Farm Products Index is up 14 points (7.8 percent) from May 2012. The Food Commodities Index, at 181, increased 3 points (1.7 percent) from last month and 12 points (7.1 percent) from May 2012.
Prices Paid Index Unchanged
The May 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 unchanged from April but 4 points (1.9 percent) above May 2012. Higher prices in May for nitrogen, gasoline, other machinery, and supplies offset lower prices for concentrates, feeder cattle, diesel, and complete feeds.
Prices Received by Farmers - All crops:
The May index, at 221, is down 0.5 percent from April but 3.3 percent higher than May 2012. Index decreases for feed grains & hay, commercial vegetables, and food grains more than offset index the increases for fruits & nuts, oilseeds, potatoes & dry beans, and upland cotton.
Food grains: The May index, at 244, is 1.2 percent below the previous month but 11 percent above a year ago. The May price for all wheat, at $7.51 per bushel, is down 20 cents from April but 84 cents above May 2012.
Feed grains & hay: The May index, at 295, is down 1.7 percent from last month but 7.7 percent above a year ago. The corn price, at $6.88 per bushel, is down 9 cents from last month but 54 cents above May 2012. The all hay price, at $203 per ton, is $3.00 higher than April and $2.00 above last May. Sorghum grain, at $11.20 per cwt, is 40 cents below April but 80 cents above May last year.
Cotton, Upland: The May index, at 125, is up 0.8 percent from April but 10 percent below last year. The May price, at 75.7 cents per pound, is up 0.3 cents from the previous month but 8.7 cents below last May.
Oilseeds: The May index, at 255, is up 2.0 percent from April and May 2012. The soybean price, at $14.80 per bushel, increased 40 cents from April and is 80 cents higher than May 2012.
Livestock and products:
The May index, at 170, is 3.7 percent above last month and 13 percent higher than May 2012. Compared with a year ago, prices are higher for broilers, milk, market eggs, cattle, and hogs. Prices for turkeys and calves are down from last year.
Meat animals: The May index, at 163, is up 1.9 percent from last month and 2.5 percent higher than last year. The May hog price, at $67.00 per cwt, is up $5.20 from April and $4.20 higher than a year ago. The May beef cattle price of $125 per cwt is up $1.00 from last month and $3.00 higher than May 2012.
Dairy products: The May index, at 152, is up 2.0 percent from a month ago and 23 percent above May last year. The May all milk price of $19.80 per cwt is 30 cents above last month and $3.60 higher than May 2012.
USSEC is Optimistic with Results of India’s First Buyers – Sellers Meet
The U.S.Soybean Export Council hosted the first national level commercial meeting for marketing opportunities in India at the Radisson Hotel in Indore from May 2-4. The buyers – sellers meet was convened in the backdrop of increasing domestic consumption and concerns of domestic availability, rising prices and other trade related issues. USSEC stressed the importance of bringing together all partners in the soy value chain to deliberate emerging issues and concerns in order to develop solutions leading to sustainable growth in domestic soy consumption. Indian stakeholders no longer consider soybeans to be an oilseed crop, but now largely recognize soy as a protein crop intended to provide wholesome food and feed products at affordable prices. Soybean meal and defatted soy flour are now considered co-products and not by-products of soy processing.
Approximately 110 feed utilization members from throughout India came to seek solutions on soy for their business operations and take away tools for raw material management. National feed interests were represented by influential companies such as the Compound Livestock Feed Manufacturers Association (CLFMA), National Egg Coordination Committee (NECC) and several large soy buyers such as Suguna Foods, Ananda Fisheries and Venkys. The major meal utilization sectors (broiler, layer and aquaculture), which collectively comprise about 4 million metric tons (MMT) annually, were also well-represented at the two-day event. The opportunity for feed representatives to interface with top crushers in addition to leading traders facilitated valuable networking opportunities throughout these meetings. Discussions with India’s feed utilization members helped create a clearer understanding on expectations of S&D, quality concerns, tools required for managing raw materials in the future, and further opportunities. Utilizing soy will help feed representatives run animal production businesses successfully and in a sustained manner.
The USSEC team facilitated talks strengthening trade linkages between buyers and sellers with the expectation of leading to sound market development pathways in the future. The views of the country’s leading trade organizations further added to the interactions and understanding of the soy complex in India. These trade associations recognized the domestic potential and made recommendations to sellers to explore this potential sector and use it to sustain their businesses.
There was a significant shift in the focus of all stakeholders from crush for oil and export of soybean meal (SBM) to crush for meal and increased domestic consumption. Virtually all participants spoke of the need to enhance the quality of soymeal to be able to utilize more SBM in further value-added products. Investment interest ranged from the feasibility of producing high value ingredients such as soy protein isolates and concentrates to textured soy proteins, as well as marketing high quality food grade defatted soy flour. Near unanimity was seen with the various stakeholders in relation to the soy balance sheet as well as with future projections of domestic utilization of soy in India.
Feedback from large processors was unambiguous in relation to the future growth and market access of value-added soy foods. These processors are actively seeking engagement with USSEC resources to assist with capacity and trade building processes. Utilization food companies have long seen the need to improve the quality specifications of soy flour to meet the user industry needs. ITC, the largest user of defatted soy flour for fortification of wheat flour, indicated that the utilization of soy flour in multigrain flour could double if the quality of soy flour is improved. The crushers / sellers appreciated the market needs for quality products and assured that they would make necessary improvements to soy flour as soon as possible. Similar discussions took place between Dal Analogue producers and large institutional consumers such as school meal providers to partner together for delivering better protein nutrition at affordable prices.
USSEC is very pleased with the discussion initiated at this inaugural buyers – sellers meet. The meetings provided an appropriate platform for stakeholder conversations and were conducive for frank deliberations between all partners to arrive at solutions for accomplishing sustainable domestic consumption through value-added soy food and feed products.
IGC Raises Forecasts for World Corn and Wheat Crops
The International Grains Council on Friday raised its forecasts for the world's corn and wheat crops, citing better cultivation and yields in the European Union and the Soviet Union. The IGC expects 682 million metric tons of wheat to be harvested, 4% more than last season and 2 million tons more than the organization estimated last month. "Although there is continued uncertainty about harvest prospects in some major producers, global wheat availabilities are still set to be ample over the year ahead," the IGC said in a report.
It pegs the 2013-14 corn crop at 945 million tons, up 10% from last season and 6 million tons more that last month's forecast. "Carryovers in 2013-14 will be much more comfortable compared to the previous year, especially in the U.S., where stocks are expected to more than double," said the report.
New Consumer-friendly Pork Cut Names Create Buzz
The Porterhouse chop, the New York chop and the Ribeye chop are part of a new consumer-friendly pork labeling system that’s generating a lot of buzz this summer. Top-tier media have amplified the news about pork’s new names via USA Today, Fox News, ABC News, The Washington Post, Bloomberg, NBC News, the Los Angeles Times, the Chicago Tribune, National Public Radio, The Huffington Post, Yahoo News and many other outlets.
“As of late spring, more than 1,425 news stories about the new pork cut names had resulted in more than 230 million consumer impressions,” said Patrick Fleming, director of retail marketing for the Pork Checkoff. “The news also has spread quickly throughout social media.”
Before the renaming process took shape, the National Pork Board and the National Cattlemen’s Beef Association collaborated on in-depth research during an 18-month period. The research showed consumers are often confused by the different names for similar cuts of meat. As a result, they don’t know how to cook a variety of cuts now available in the meat case.
To overcome this challenge, the Pork Checkoff simplified pork cut names and is including basic usage and preparation information on the package. The new cut names will align with the foodservice industry as well, to provide a consistent consumer perception of pork at restaurants and at home.
“Research shows that consumers buy cuts they are familiar with,” Fleming said. “Now, once they get their New York chop or Ribeye chop home, they can grill it in the way they’re familiar with, too.”
National Pork Board President Conley Nelson said, “These new names will help change the way consumers and retailers talk about pork. Putting new labels on familiar pork cuts will make it easier for consumers to take advantage of pork’s great taste and value.”
He added, “We also are getting help from the new, 145-degree cooking temperature approved in 2011 by the U.S. Food Safety and Inspection Service. We’re adding new pork lovers once consumers discover how good pork is when cooked to the right temperature.”
India Sets Zero Tariff on Oil Meal Imports Signaling Willingness to Open Up Trade
The Government of India announced May 22 that it is suspending tariffs on oil meals, including soymeal and oil cakes. Though not currently a significant market for U.S. soy, US Soybean Export Ccouncil CEO Jim Sutter believes this is a welcome sign of market development potential for U.S. soy exports to the soy-producing country.
Indian imports of edible oil are on the rise. In 2011-2012, India imported a record 10.19 million tons (MT) of vegetable oil, a significant increase over previous years. The Food and Finance Ministries of India believe that lowering custom duties will create stable prices for consumers.
With national elections scheduled for next year, the political environment in India is influencing policies on food safety, food security, and international trade. According to the World Food Programme, India incorporates 25 percent of the world’s hungry and poor population, where more than 70 percent of children are malnourished and about 10 million or more people die of chronic hunger or hunger-related diseases every year. India’s government has struggled to address its food security crisis, but is now showing more urgency to pass legislation and to explore policies to curb food prices and improve the quality of life of India citizens. USSEC staff and industry advisors believe the time is right for policy reforms and USSEC has shifted its focus in India toward preparing for future Indian soy import needs rather strictly promoting soy utilization.
25th World Pork Expo presents new exhibits and record junior show
Nearly 20,000 pork producers and industry representatives from 39 countries will be in Des Moines, June 5-7, for the 2013 World Pork Expo. Presented by the National Pork Producers Council (NPPC) and held at the Iowa State Fairgrounds, it is the world’s largest pork-specific trade show with more than 400 commercial exhibits. Celebrating its 25th anniversary, World Pork Expo will feature 310,000 square feet of exhibits, which is an increase from 2012.
“If you’re looking for products, technology or information, World Pork Expo is the best place to spend your time,” says Randy Spronk, NPPC president and pork producer from Edgerton, Minn. “The heart of Expo is the personal interaction — producer to producer, and with NPPC leaders and company representatives. The most valuable part is those unexpected conversations.”
Between the business seminars and PORK Academy, World Pork Expo always offers the latest information that busy pork producers, their employees and their families need to run responsible and efficient businesses. On Wednesday, June 5, and Thursday, June 6, 20 educational presentations will take place in the Varied Industries Building. Both days include a free business-seminar luncheon featuring experts discussing economic and weather outlooks.
“We have a wide variety of seminars lined up, from nutrition and feed to manure management and food safety,” says Alicia Irlbeck, World Pork Expo general manager. “These free educational presentations are an ideal way for pork producers to learn more about the latest trends and developments affecting their markets and their product.”
Continuing its upward trajectory, the World Pork Expo Junior National has set another record this year, with 856 junior exhibitors from throughout nation entering more than 2,500 pigs. The 2012 show set a record when youths showed 2,177 hogs — a 25 percent increase from the previous year. The Junior National shows and judging competitions take place each day of Expo. The open show, with almost 1,000 hogs entered by 493 exhibitors, will be held on Friday, June 7, with a sale on Saturday, June 8.
New this year is the addition of the Agriculture Building to the exhibit space, which will feature the International Visitors Center and the America’s Best Genetics display, as well as a display of World Pork Expo memorabilia from the past 25 years.
“Attendees should stop by the Agriculture Building and vote for their favorite display,” Irlbeck says. “To celebrate World Pork Expo’s 25th anniversary, NPPC is giving away a trip for two to a location of the winner’s choice for up to a $3,000 value. All Expo attendees are eligible and can sign up in booth 2708.”
Next door to the Agriculture Building is the ever-popular Big Grill where attendees can enjoy a free pork lunch from 11 a.m. to 1 p.m. all three days of Expo.
While Expo’s days are filled with lots business activities and information, there’s also time to relax and enjoy an evening of fun and fellowship. MusicFest will take place on Thursday, starting at 4:30 p.m. It will feature GRAMMY®-nominated Little Texas, who also is celebrating its 25th anniversary this year, as well as Transit Authority, the premier tribute band to the music group Chicago.
“If you haven’t been to World Pork Expo before or haven’t been there for a few years, you’re going to be truly impressed with the quality of products, producers and information,” Spronk says. “Grab a friend, grab a fellow pork producer and head over to Expo. Where else can you go to gain the information you need for your pork-production business and have some fun at the same time?”
Admission purchased at the gate is $15 per adult and $3 for youths aged 6 to 11; there is no charge for children 5 years of age and younger. This price of admission includes entry into Expo for all three days. Proceeds from World Pork Expo are used to develop and defend export markets, fight for reasonable legislation and regulation, and inform and educate legislators.
Plan to Attend the Checkoff’s Pork Academy at World Pork Expo
The Pork Checkoff is sponsoring the Producers Opportunity for Revenue and Knowledge (PORK) Academy June 5 and 6 at World Pork Expo at the Iowa State Fairgrounds in Des Moines, Iowa. PORK Academy is a series of seminars designed to provide information for pork producers about current industry challenges in a way that can be applied to their own operations. The seminars will cover a variety of topics, including securing your farm and reputation, sow housing, feed efficiency and pork exports
“PORK Academy offers an outstanding lineup of leading experts who will address issues facing producers today,” said David Ray, a pork producer from Edenton, N.C., and chair of the Checkoff’s Producer and State Services Committee. “The sessions will provide attendees with information to help operate their farms more effectively and to stay current on industry trends and challenges.”
Following is the PORK Academy agenda. All sessions will be held in the Varied Industries Building, Room C, with the business seminar luncheons held on the upper level.
Wednesday, June 5
• 9:15 a.m. to 10:00 a.m. – Update on PEDV: What is it and how will it affect me?
Lisa Becton, National Pork Board
Patrick Webb, National Pork Board
Tom Burkgren, American Association of Swine Veterinarians
Harry Snelson, American Association of Swine Veterinarians
• 10:15 a.m. to 11:00 a.m. – Secure Pork Supply: Business Continuity for the Pork Industry in a Foreign Animal Disease Outbreak
James Roth, Iowa State University
• 11:15 a.m. to Noon – Feed Price Update and Daily Feed Efficiency Drivers
Joel DeRouchey, Kansas State University
• Noon – 2:30 p.m. – Business Seminar Luncheon
Elwynn Taylor, Iowa State University
Steve Meyer, Paragon Economics
• 1:30 p.m. to 2:15 p.m. – Protect, Prepare and Prevent: Securing Your Farm and Your Reputation
Tom Conley, The Conley Group, Inc.
Cindy Cunningham, National Pork Board
• 2:30 p.m. to 3:30 p.m. – Export Issues and World Markets
Becca Hendricks, National Pork Board
Paul Sundberg, National Pork Board
Laurie Hueneke, National Pork Producers Council
Dermot Hayes, Iowa State University
Thursday, June 6
• 9:15 a.m. to 10:00 a.m. – Food Safety Analysis
Marcos Rostagno, USDA-ARS Purdue University
• 10:15 a.m. to 11:00 a.m. – Update on PEDV: What is it and how will it affect me?
Lisa Becton, National Pork Board
Patrick Webb, National Pork Board
Tom Burkgren, American Association of Swine Veterinarians
Harry Snelson, American Association of Swine Veterinarians
• 11:15 a.m. to Noon – Reproductive Decision Tree
Don Levis, Levis Worldwide Swine Consultancy
• Noon to 2:30 p.m. – Business Seminar Luncheon
Elwynn Taylor, Iowa State University
Steve Meyer, Paragon Economics
• 1:30 p.m. to 2:15 p.m. – Industry Productivity Analysis
Ken Stalder, Iowa State University
• 2:30 p.m. to 4:00 p.m. – Sow Housing
Harold Gonyou, Prairie Swine Centre
Don Levis, Levis Worldwide Swine Consultancy
Ron Bates, Michigan State University
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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