Thursday July 25 Ag News

Johanns Sponsors Bill Preventing EPA from Releasing Producer Information

U.S. Sen. Mike Johanns (R-Neb.) this week cosponsored legislation introduced by Sens. Chuck Grassley (R-Iowa) and Joe Donnelly (D-Ind.) to prevent the Environmental Protection Agency (EPA) from distributing the personal information of farmers and ranchers. The Farmer Identity Protection Act (S. 1343) is part of Johanns’ ongoing effort to protect ag producers following EPA’s distribution of private information to anti-ag groups earlier this year.

“I understand that EPA has a job to do, but that job isn’t enabling the harassment of farmers and ranchers trying to put food on the tables of families around the globe,” Johanns said. “It’s hard to decipher whether EPA’s private data release was a mistake in light of the absurd subsequent releases. What’s not hard to say is that it’s unacceptable, and this bill makes that crystal clear.”

On February 10, 2013, EPA released to activist groups Earth Justice, the Pew Charitable Trust and the Natural Resources Defense Council information on 80,000 livestock operations across the United States, including 3,500 in Nebraska, following Freedom of Information Act (FOIA) requests. The information EPA provided included names, home addresses, personal telephone numbers and employee information—data that under federal law should have been confidential. EPA asked for the information to be returned so private information could be redacted. All the private information, however, was not redacted and EPA again distributed the private data.

This legislation is similar to an amendment to the farm bill, which Johanns cosponsored, but the amendment was not allowed a vote.



NCTA Adds Irrigaton Tech Program

A two-semester technical program to train irrigaton service personnel launches next month at the University of Nebraska-Nebraska College of Technical Agriculture (NCTA) in Curts.
 
“The Irrigaton Technician Certfcate Program will educate students for service technician positons in the expanding center-pivot irrigaton industry,” said Dr. Brad Ramsdale, who heads the agronomy and irrigaton components of NCTA’s Ag Producton Systems (APS) Division. “The curriculum is specifcally designed to provide students with the necessary skills in electricity, welding, safety, pumping dynamics and communicatons.”

NCTA faculty and adjunct faculty from the irrigaton industry will teach the courses.  Fall classes will feature core courses in electricity with applicatons to the irrigaton industry.  A major feature of the spring curriculum is the Mechanized Irrigaton Systems course that focuses on the latest control systems used on center-pivots.

Rural landscapes across central and western Nebraska have become doted with new center-pivot systems in the last few years, partcularly as dry land crop ground is developed for irrigaton, and as surface, furrow-irrigated farms are converted to the more-efcient sprinkler packages.   

Nebraska has over 8.5 million acres of irrigated crop land and is a leader in center-pivot and irrigaton components, says Ramsdale.

The top four pivot manufacturers internatonally are based in Nebraska. Listed alphabetcally, Reinke Manufacturing (Deshler), T-L Irrigaton Company (Hastngs), Valmont Irrigaton (Valley), and Zimmatc by Lindsay (Lindsay and Omaha, NE), decades ago put Nebraska irrigaton on the map.

While each has its own internal training program, industry leaders applaud NCTA’s initatve for an in-depth, hands-on educatonal program.  Partnerships are underway with some companies providing equipment, instructors, scholarships or fnancial resources to enhance the NCTA program.

Ken Goodall, Reinke’s western U.S. sales director, said the Deshler-based manufacturer will match local dealer sponsorships, up to $1,000 per student. In return for the college fnancing and certfcate, students will pledge to come back and work three years as dealership technicians.

“There is a dire need for irrigaton technicians right now, with the populace growing and more need for food all the tme,” Goodall said.  “With populaton estmates to exceed 9 billion people before 2050, American farmers need to grow more food, on the same acres, and they rely on mechanized irrigaton to do that.”



GALVA, IOWA ETHANOL PLANT TO PRODUCE CELLULOSIC ETHANOL

Quad County Corn Processors recently announced that it will formally break ground on a new “bolt on” bio-refinery that will turn corn kernel fibers into cellulosic ethanol.  Quad County’s Adding Cellulosic Ethanol (ACE) project ground breaking ceremony will take place at 1:00 pm (CT) on Monday, July 29, 2013 at the plant.

Quad County staff, directors, shareholders, industry representatives, political supporters and numerous guests will meet on the west side of the plant which is located at 6059 159th Street.  Quad County is situated two miles south of Galva at the intersection of Highways 20 and M-25.  Due to limited parking and truck traffic safety, guests are asked to park in the hay field northwest of the plant and enter the parking area from Highway M-25.

Confirmed speakers for the ceremony include:  Iowa Secretary of Agriculture Bill Northey, a representative from Senator Harkin’s office, Congressman Steve King and Bob Dinneen, President and CEO of the Renewable Fuels Association in Washington, DC.  Other dignitaries who will address the guests at the reception include:  Monte Shaw, Executive Director of the Iowa Renewable Fuels Association and Brian Jennings, Executive Vice-President of the American Coalition for Ethanol.

“We are excited to see the ACE project finally coming to life after working on it behind the scenes for the past four years in our R&D lab”, said Delayne Johnson, General Manager of Quad County Corn Processors.  “This technology will create 2 million gallons of cellulosic ethanol out of the corn kernels, a feed stock that we already have on site”, he continued.  “In addition to creating 5 new full-time jobs in Galva, this process will increase our ethanol yields by six percent, increase our corn oil removal by three times and create a feed product that is much higher in protein and lower in fiber.  In essence, we will create more value out of the corn bushels we already process which will allow us to grow and continue to be a leader in the ethanol industry.”

Quad County Corn Processors is a 35 million gallon per year corn starch ethanol production facility in Galva, Ida County, Iowa.  Founded in 2000, Quad County is a cooperative that is owned by 353 shareholder members.  Today, the company employs 35 full-time employees who operate the plant 24 hours a day.  In addition to producing millions of gallons of clean burning ethanol and valuable corn oil, Quad County consumes 12.5 million bushels of corn annually and manufactures 250,000 tons of Golden Bran® feed co-products for the livestock industry.  The company also operates an ethanol trans-load railroad facility in Cherokee.



Ag Land Prices, Markets, Policy Lead Iowa Discussions

Impacts of the wild weather, market and commodity swings led expert panel discussions during the Iowa Farm Bureau Economic Summit this week in Ames. Nearly 300 Iowa farmers and agribusiness industry leaders came to Scheman Auditorium for perspectives from national experts in market, fiscal policy, commodity marketing, land use trends and climate change.

Many panelists at the IFBF-sponsored event agreed the agricultural sector can expect changes in the months to come and only good planning will protect their sustainability.

"The consistent message was make long-term plans, and make sure you're grounded in reality," said IFBF Director of Research and Commodity Services David Miller. "The reality is there are no guarantees what our yields will be until we're in the fields for harvest."

The Iowa Nutrient Reduction Strategy Plan was also on the docket, leading to lively discussion. One of the presenters, Dean Lemke, a Natural Resources Engineer for the Iowa Department of Agriculture and Land Stewardship (IDALS), said media reports critical of the Nutrient Strategy's voluntary implementation have been premature. "Thirteen of 22 nonpoint source action items are underway now through the Water Resources Coordinating Council (WRCC) and various agencies to begin implementation efforts to support the Nutrient Strategy conservation practices. Some of the early steps we're doing looks at nine high-priority watersheds; we're holding field days to educate and encourage adoptions of these new science-based practices, so everyone can see how implementation can impact water quality." Lemke said Iowa farmers aren't going to solve all the problems in those watersheds overnight, but the progress being made is measureable over the last 30 years and must be encouraged to continue.

Other presentations that encouraged much discussion came from state climatologist Elwynn Taylor. Despite last year's drought and this year's wet, flooded spring, Taylor told Iowa farmers they can expect continued wild swings in the weather, thanks to La Nina and El Nino effects.

Farmers also took interest in results of an intensive Multi-State Land Use study, which examined two USDA databases which report on land use. According to the USDA Crop Reporting database which relies on on-farm visits, land-use grid surveys and farmer surveys, Iowa had a net conversion of 3,500 acres of grassy habitat to cropland from 2007 through 2012. Acres planted to corn in Iowa were the same in 2012 as in 2007; soybeans gained 800,000 acres, but alfalfa acres declined by 440,000 acres and oat acres declined by 80,000 acres, highlighting that much of the shift in land use is among crops, rather than a shift in land use. The study, conducted by Decision Innovation Solutions, showed farmers in 40 of Iowa's counties developed new wildlife habitat with more land being converted to grassy habitat from cropland than grassy habitat conversions to corn and soybeans.

Select presentations from the 2013 Iowa Farm Bureau Economic Summit can soon be accessed online at www.iowafarmbureau.com.



Branstad designates August as Iowa Soybean Month

As the Iowa Soybean Association (ISA) looks ahead to celebrating 50 years of service to soybean farmers in 2014, the association is honored to have Governor Terry Branstad declare August as Iowa Soybean Month.

The Iowa Soybean Association (ISA) was organized in 1964 by a group of Iowa farmers who came together with a common goal – to increase the profitability of soybean production in the state. At that time, Iowa grew 121 million bushels of soybeans. In 2012, that number grew to 414 million bushels of soybeans.

Mark Jackson serves as ISA president and farms near Rose Hill. He’s one of 21 volunteer farmers who are elected to serve on the ISA board of directors, representing nearly 11,000 members throughout the state. He says the soybean month proclamation recognizes the value of soybean production to Iowa and ISA’s innovative offering of programs and services.

“Not only do Iowa’s farmers lead the nation in the production of soybeans, the state’s soybean industry is a recognized leader in biodiesel, transportation, soyfoods, international marketing, environmental stewardship and agronomic and production research,” said Jackson. “I’m proud to raise a crop that has many important applications, from serving as a vital source of protein for people and livestock to providing an important fuel source.

Jackson says it’s an exciting time to be involved in the soybean industry.

“We continually pursue new opportunities for Iowa soybean farmers while providing expertise that helps farmers continually improve production with environmental performance,” he says. “We’re positioned for continued growth as domestic and global demand for reliable sources of protein increases.”

People visiting the Iowa State Fair in Des Moines can take an active part in Iowa Soybean Month. On Thursday, Aug. 8, the opening day of the fair in Des Moines, the ISA will partner with the Iowa Food & Family Project and GROWMARK to package 250,000 servings of soy-based meals for Meals from the Heartland. Volunteers will be needed to work for one-hour shifts from 7 a.m. to 6 p.m. in the south side of the Varied Industries Building. To participate, visit iowastatefair.org.



“Fields of Champions” connects families, farmers and food…via fun!

The third annual “Fields of Champions” Family Cookout, held July 20 in Ames before the Iowa Summer Games’ opening ceremonies, opened the eyes and minds of farmers and Iowa newcomers, alike.

The event, free and open to the public, celebrated food and farming. Visitors enjoyed a free meal that featured beef and pork burgers, soy snacks, eggs on a stick, yogurt, fruit and milk; supported the Iowa Food Bank Association with more than $2,000 through free-will donations; participated in a number of activities and game; and had the chance to talk to farmers about their roles in raising healthy food.

Randy Souder is a farmer who grows corn and soybeans in Calhoun County. In his second year volunteering at Fields of Champions Cookout, Souder said the best part of volunteering at these events is the opportunity to talk to new people about farming.

“Last year, we answered a ton of questions. If I could, I'd like to give everyone a coupon or voucher for soymilk or something similar and to redeem it, they'd have to give it to a farmer who would then talk to them about soy and agriculture,” explained Souder. “Connecting with consumers is an important part of my job as an Iowa farmer.”

The connections weren’t lost on even the most non-rural residents.

A new job brought Josh Martinez, 24, to Des Moines eight months ago. The Brooklyn, N.Y., native was intrigued with the Iowa Egg Council booth’s egg-on-a-stick. He had to get a closer look for a photo.

"I knew nothing about farming. I know milk comes from cows, and that's it. But I want to learn about farming,” he said. “Since I’ve come to Iowa, farmers are always willing to show me around and offering to let me ride in their combines. I do love it out here. It's been a phenomenal experience and the people here are great."

“Fields of Champions” Family Cookout sponsors include the Iowa Beef Industry Council, Iowa Egg Council, Iowa Pork Producers Association, Iowa Select Farms, Iowa Soybean Association, Midwest Dairy Association, The Soyfoods Council, United Soybean Board, Hiland Dairy Foods, Swiss Valley Farms and Iowa Food Bank Association.



June Commercial Red Meat Production Down from Last Year

Commercial red meat production for the United States totaled 3.86 billion pounds in June, down 4 percent from the 4.02 billion pounds produced in June 2012.

Beef production, at 2.17 billion pounds, was 4 percent below the previous year. Cattle slaughter totaled 2.73 million head, down 5 percent from June 2012. The average live weight was up 17 pounds from the previous year, at 1,307 pounds.

Veal production totaled 8.5 million pounds, 5 percent below June a year ago. Calf slaughter totaled 57,600 head, up 3 percent from June 2012. The average live weight was down 20 pounds from last year, at 250 pounds.

Pork production totaled 1.68 billion pounds, down 4 percent from the previous year. Hog slaughter totaled 8.20 million head, down 4 percent from June 2012. The average live weight was unchanged from the previous year, at 274 pounds.

Lamb and mutton production, at 12.7 million pounds, was up 3 percent from June 2012. Sheep slaughter totaled 183,500 head, 9 percent above last year. The average live weight was 139 pounds, down 8 pounds from June a year ago.

January to June 2013 commercial red meat production was 24.1 billion pounds, down 1 percent from 2012. Accumulated beef production was down slightly from last year, veal was down 7 percent, pork was down 1 percent from last year, and lamb and mutton production was up 1 percent.

State (million pounds, % of June 2012)
Nebraska .....:     591.9             97      
Iowa ............:     473.0             93      
Kansas ........:    478.9            103      



National Pork Board Sees Increase in Summer Pork Sales

The United States Department of Agriculture has announced that June 2013 frozen pork supplies are down 14 percent from the previous month, and down nearly 5 percent on a year-over-year basis, reflecting higher demand for pork.

According to the July 23, 2013,Daily Livestock Report, total pork inventories at the end of June were 564.9 million pounds, or 4.7 percent lower than in June 2012. TheDaily Livestock Report- written by economists Steve Meyer, Ph.D. and Len Steiner - also noted that "pork stocks normally decline in June, but this year the month-to-month change in pork inventories was 14.3 percent, the largest volume depletion in 20 years."

"At a point in time when pork production is high and domestic supplies are up, this shift in inventories is great news for our producers," said Karen Richter, a farmer from Montgomery, Minn. and president of the National Pork Board. "This market shift demonstrates that pork is hot right now and has a momentum that continues to build throughout the traditional summer grilling season."

Earlier this week the Pork Checkoff wrapped up a six-week radio advertising campaign in an effort to capitalize on new pork chop names and favorable pork prices for consumers. The report of lower frozen inventories is occurring on the heels of both the consumer campaign and aggressive promotions with major grocery retailers. The retail promotions featured ribs and chops, with specific advice at the meat case to cook pork chops "like a steak."

"For the past eight weeks, we have been reaching out to consumers and it is paying off," Richter said. "By building relationships and launching promotional campaigns with America's top food retailers, we are seeing a boon in pork sales."

Consumer education about the value and versatility of pork, the adoption of new pork cut names, and reinforcement of pork's ideal cooking temperature were the Pork Checkoff's key consumer messages. The new porterhouse pork chop, ribeye pork chop and New York pork chop were specifically featured in the summer marketing campaign.

"The previous nomenclature was confusing to consumers," Richter said. "We listened to our consumers and chose the new cut names in order to enhance the value in the meat cuts, and used new, simplified labels that better explain proper cooking techniques. Pork remains a great value for consumers today, and the surge in pork sales this summer is great news for pork producers as well."



Pork Checkoff Increases Commitment to Combatting PEDV

Following a unanimous vote by its board of directors, the National Pork Board has committed to investing an additional $350,000 toward research, education and coordination of efforts to better understand Porcine Epidemic Diarrhea Virus, or PEDV. This increase in funding is in addition to $450,000 announced in June, bringing total Checkoff dollars invested to $800,000.

"Our No. 1 priority is to contain spread of the virus with the goal of increasing the potential to eliminate the disease," said Dr. Paul Sundberg, vice president of science and technology at the National Pork Board. "Through research we just completed, we already have determined that transportation of sows and market hogs can be a major risk factor in the spread of PEDV."

Toward that end, Sundberg said the next step is to assemble a core team of pork producers, veterinarians, packers and processers to refine a specific biosecurity approach.

"The collaboration we have received in just the first two months of study is outstanding. Each day we learn more about PEDV and its impact, so these additional funds for timely research and national coordination will allow us to help pork producers better address the virus, while preparing us for other potential emerging disease scenarios," Sundberg said.

The virus was first identified in U.S. swine herds in mid-May, and as of mid-July, 346 cases of PEDV have been confirmed in 14 states, with most in Iowa and Oklahoma.*

"Pork producers immediately responded to PEDV. We have already learned so much through increased cooperation among state and federal agencies, professional organizations, associations and from the information pork producers have willingly shared," said National Pork Board president Karen Richter, who raises hogs and farms with her family in Montgomery, Minn. "Our focus on research, education and the sharing of information is exactly where we need to provide Checkoff funds. This investment will contribute to a stronger organized effort and industry."

While PEDV is widespread in many countries, it is not trade-restricting. The virus presents itself similarly to Transmissible Gastroenteritis (TGE), another swine disease. The symptoms are clinically similar, including diarrhea and dehydration, and can be fatal to small pigs - especially those under three weeks of age. Current research is focused on diagnostics and surveillance, pathogenicity, transmission risk factors and educating pork producers and transporters on steps they can take to eliminate it. 

PEDV is spread in a fecal-oral manner. As such, pork producers, handlers and transporters are urged to follow strict biosecurity measures. Special care needs to be taken to wash and completely disinfect transport vehicles. If a pork producer suspects PEDV, they should immediately consult a veterinarian since fast action in identification, containment and biosecurity can stem its spread.

Researchers already have found the virus present on the surfaces of truck and animal chutes, so having strict transportation biosecurity is critical to stopping its spread. General transportation biosecurity tips include:
-    When visiting a site or packing plant, transporters should wear coveralls and boots to prevent contamination in the cab of the trailer and to minimize exposure to other pigs.
-    Establish a "clean" and "dirty" zone for farm and transport workers to follow during load-in and load-out.
-    Clean and disinfect trailers after use. This is especially important when going to commingled sites such as cull depots, packing plants or buying stations.
-    Remove dirty shavings, manure and other debris. The use of a detergent soap can help to break down dried manure and speed up the wash process. After cleaning the trailer, use a disinfectant according to label directions to kill the virus.
-    Wash coveralls, boots and other equipment when transporting pigs and cleaning the interior of the tractor cab to remove any dirt or shavings.
-    Once clean, park the tractor and trailer in a secure location away from other vehicle traffic to dry.

"Many questions remain unanswered about PEDV, including how it entered the U.S. and the precise number of pigs that have become infected," Sundberg said. "What's important to keep in mind is that PEDV is not a human health issue but rather a pig production disease, and we know that enhanced biosecurity measures are extremely important in containing the virus."



Biodiesel on Pace for Record Year

Boosted by strong federal policy aimed at diversifying the transportation fuels market, the U.S. biodiesel industry reached a new production record for the first half of the year and is on pace for its best year ever, according to new EPA figures.

Biodiesel refiners across the country have produced more than 636 million gallons through the end of June, the EPA reported Thursday. That puts the industry on pace to break the previous annual biodiesel production record of just under 1.1 billion gallons and to significantly exceed this year's volume requirement under the Renewable Fuel Standard (RFS).

"This is further proof that policies like the RFS are delivering," said Anne Steckel, vice president of federal affairs at the National Biodiesel Board, the U.S. biodiesel trade association. "This growth means good-paying jobs, fewer harmful emissions and a diversified fuel market that is helping consumers."

"Just this week, gas prices were the third highest on record, even as we're drilling more and more oil here at home," Steckel added. "It just shows that we need alternatives if we're going to escape this cycle of price spikes in the oil markets. The American people understand that we need to diversify and adopt an all-of-the-above energy approach, and we need strong domestic energy policy to do that."

Biodiesel, made from a diverse mix of resources including soybean oil, recycled cooking oil and animal fats, is the only EPA-designated Advanced Biofuel with commercial-scale production nationwide, and the first to reach 1 billion gallons of annual production. In 2011, production reached nearly 1.1 billion gallons. It remained flat at that level in 2012 after Congress allowed the $1-per-gallon biodiesel tax incentive to expire.

But this year, after Congress restored the tax incentive and the EPA finalized a volume increase under the RFS, the industry is poised to shatter previous records.

"We've been steadily increasing volume and are planning to run at maximum capacity for the rest of the year," said Karl Radune, president of BioDiesel One Ltd., a small producer in Southington, Conn., that makes biodiesel from recycled cooking oil. "It's allowed us to build inventories, reach out to new customers, and recapture some of the customers we lost when the tax incentive lapsed last year."

Radune said he also is hoping to boost staffing but remains concerned that Congress might allow the tax incentive to expire again at the end of the year, as it did in 2010 and 2012.

"The uncertainty around the tax incentive makes it very difficult to plan for growth," he said.

Biodiesel is a renewable, clean-burning diesel replacement that can be used in existing diesel engines. It is the first and only commercial-scale fuel produced across the U.S. to meet the EPA's definition as an Advanced Biofuel under the RFS - meaning the EPA has determined that it reduces greenhouse gas emissions by more than 50 percent when compared with petroleum diesel. It is produced in nearly every state in the country and last year supported some 50,000 jobs nationwide.

Biodiesel volumes are reported under the Biomass-based Diesel category under the RFS, which also includes renewable diesel, a similar diesel alternative. Together, biodiesel and renewable diesel producers have reported a total of more than 700 million gallons under the Biomass-based Diesel category, significantly ahead of the annual volume requirement of 1.28 billion gallons.



NCGA Action Team Chair Participates on Biotech Panel for State Department

This week National Corn Growers Association Trade Policy and Biotechnology Action Team Chair Jim Zimmerman participated on a panel at the U.S. State Department National Foreign Affairs Training Center.  Zimmerman was the only agriculture producer to be invited to speak during the State Department's course.  The panel focused on biotechnology and global challenges related to trade, food security, energy and climate change.

"With a rapidly growing world population it will be necessary to produce as much food in the next 50 years as was produced in all recorded history, making biotechnology in agriculture more important now than ever before," Zimmerman said.  "Better seed technology provides farmers choices to cope with new and emerging challenges such as difficult weather conditions, plant diseases and pests. In addition, the benefits of biotechnology not only include increased yields but also decreased use of water and fertilizer, allowing our farmers to produce more with less."

The session was a panel of four speakers representing a diversity of views on modern biotechnology. Other panelists represented the Center Food Safety, Center for Science in the Public Interest and the Biotechnology Industry Organization. The course addressed questions related to views of agricultural biotechnology and its ability to address global challenges.  Panelists were also asked their position labeling GE products.



DDGS valued at 89 percent of corn in 6 year average

While the pricing of distillers dried grains with solubles (DDGS) is primarily explained by the relative value of energy and protein and corn and soybean meal prices, University of Illinois economists Scot Irwin and Darrel Good find there is substantial variation to those relationships.

In the recent analysis, “Understanding the Pricing of Distillers Grains,” the economists note that consumption of distillers grains in the domestic market is estimated to be approaching 30 million tons a year. “Consumption of grains and soybean meal in domestic livestock feeding is near 180 million tons per year, so that [distillers grains] now account for a sizable share of domestic livestock feed and accounts for much of the decline in feeding of whole corn since 2007-’08.”

Distillers grains prices have ranged between less than 70 to nearly 110 percent of the value of corn, with the average being 89 percent from January 2007 through July 2013, as quoted by the USDA Agricultural Marketing Service for Iowa ethanol plants. The pricing patterns of distillers grains follow soybean meal as well, they added, “with DDGS priced at a fairly large discount to soybean meal.”

The economists used a simple linear regression model to compare the price patterns. “The estimated coefficients of the model indicated that DDGS prices changed by 85 cents per ton for each $1 per ton change in the price of corn and that DDGS prices changed by 11 cents per ton for each $1 per ton change in the price of soybean meal. The model estimates indicated that the combination of corn and soybean meal prices explained 92 percent of the variation in DDGS prices over the period studied.” The model wasn’t perfect, however, they added. “The magnitude of the price relationships seems reasonable and the overall ‘fit’ of the estimated price relationships is quite good. Still, the unexplained variation in the price of DDGs is relatively high, with the model having a standard error of about $16.75 per ton.”



USDEC, NMPF Support Vice President’s Call for Renewed Trade Discussions with India

The National Milk Producers Federation (NMPF) and the U.S. Dairy Export Council (USDEC) applauded U.S. Vice President Joe Biden’s remarks during a speech yesterday in India calling for expanded trade between India and the United States. The vice president also pointed to the need to negotiate and work through barriers to market access, among other trade priorities.

“For far too long, a wide range of U.S. dairy products have been effectively locked out of the Indian market without sound scientific justification,” said Tom Suber, president of USDEC. “U.S. dairy products are sold in over 100 markets around the world and are well known for their high level of food safety. We look forward to renewed discussions with India on how to remove inappropriate barriers to market access for safe products.”

Jim Mulhern, chief operating officer of NMPF, agreed and adds, “As we focus on tearing down unwarranted trade barriers so that our industry can continue to grow, it is equally important to ensure that we also maintain a strong focus on food safety and product integrity. U.S. dairy products have an excellent track record in this area while India’s own government has found serious problems with a majority of its dairy products.”

In early 2012, NMPF called the U.S. Food and Drug Administration’s attention to a study conducted by the Indian Food Safety and Standards Authority that found that 68% of milk samples analyzed did not meet Indian standards. “Given these alarming findings, we believed it was important for FDA to determine if adulterated dairy products in India were entering the U.S. market,” Mulhern stated. “We are gratified that FDA agreed that concern is warranted and this summer put in place an import alert on certain dairy products from India.” The FDA import alert calls for the detention of specified dairy products from certain Indian exporters and requires further documentation to ensure that the products are complying with U.S. regulations designed to protect food safety.

“U.S. dairy exporters believe that trade between the United States and India can be mutually beneficial, particularly as India struggles to consistently meet its growing domestic dairy demand,” adds Suber. “As the U.S. and India reengage in talks aimed at improving bilateral trade, we must ensure that a focus on the importance of safe and accurately labeled food remains at the core of discussions on agricultural trade.”



Bunge 2nd-Quarter Earnings Fall After Year-Earlier Gain; Sales Up

Bunge Ltd.'s (BG) second-quarter earnings fell 50% from a year-earlier period that included a big gain on acquisitions, masking improved sales.

The company buys, sells, stores and transports oilseeds and grains to customers worldwide. It processes seeds for protein meal for animal feed and oil products for consumers.

"We navigated the choppy markets well, but faced some challenges in North America, Europe and Argentina, which suffered from the continued effects of last year's poor oilseed and grain crops," Chief Executive Soren Schroder said.

The company also reduced its capital-expenditures plans for the year by $200 million and began a review of 2014 plans, adding projects that more immediately improve efficiencies and competitiveness will be priorities.

Bunge reported a profit of $136 million, or 75 cents a share, down from $274 million, or $1.78 a share, a year earlier. The year-earlier period included a $121 million gain on investments and acquisitions. Sales grew 6.8% to $15.49 billion.

Analysts polled by Thomson Reuters expected a $1.34-a-share profit on $15.81 billion of revenue.

Gross margin narrowed to 4% from 4.4%.

Sales at the agribusiness segment, by far the company's largest business by revenue, rose 9.3%. Sales from the sugar and bioenergy business posted a 13% decline. Edible oil products sales were up 1.9%.



CNH Shareholders Approve Merger with Fiat Industrial

CNH Global NV said Tuesday that shareholders approved the full merger with majority owner Fiat Industrial SpA, which will result in a new company to be called CNH Industrial NV.

Italy-based Fiat Industrial already owns 87 percent of Burr Ridge, Ill.-based CNH Global, which produces construction and agricultural equipment under the New Holland and Case brands. CNH's Case IH brand is based in Racine.

CNH has said the full merger is expected to close in the third quarter.

Upon closing, CNH shareholders will receive 3.828 common shares of CNH Industrial for each CNH Global share they hold at the time of the merger.

In addition, CNH shareholders that participated in the CNH extraordinary general meeting of shareholders that approved the merger, including those who attended or voted via proxy, can choose to receive one additional special voting share for each common share of CNH Industrial they will receive when the merger takes effect.



Deere introduces mower that runs efficiently on E0 to E85

John Deere has introduced a flex-fuel model to its ZTrak line of commercial lawn mowers.  The new, industry exclusive, Z925M Flex Fuel is compatible with the full range of fuels from E0 to E85 and delivers improved horsepower, torque and fuel efficiency. 

“The flexibility to run machines with fuel blends ranging from straight gasoline up to 85 percent ethanol will appeal to customers who want to be more green, burn less fossil fuel, and still have multiple fuel options available,” said Chase Tew, product marketing manager for John Deere Commercial Mowing.

The new model is a 24.6 horsepower commercial-grade mower, with either 54- or 60-inch blades. It is powered by an aluminum block, air-cooled, vertical shaft, electronically fuel injected engine. Tew explained the engine’s improved horsepower, torque and fuel efficiency is a result of a closed loop electronic fuel system, which uses an oxygen sensor to continuously monitor oxygen levels in the exhaust gas.

“Along with other continuously monitored data such as intake air pressure and temperature, oil temperature, engine speed, crankshaft position, and throttle position, the Flex Fuel Electronic Control Unit (ECU) continuously calculates the optimum amount of fuel to inject to maximize power, torque and fuel efficiency,” Tew told Ethanol Producer Magazine. “If the oxygen level in the exhaust strays from the ideal air/fuel mixture, the oxygen sensor triggers adjustments to the amount of fuel injected into the system. The engine then ‘closes the loop’ between the air/fuel intake mixture and the exhaust gas output to provide a constant stream of critical feedback to deliver optimal fuel efficiency and improved power with any fuel blend being used.”

As a flex-fuel engine, Tew explained it could not be optimized to take full advantage of ethanol’s positive properties such as the 100 octane antiknock rating, since it would then not be able to use straight gasoline. “However, the flex-fuel system continuously optimizes performance and efficiency as much as possible for all fuel blends being used.”

The specifications sheet for the new mower says the flex-fuel engine delivers up to 25 percent better fuel economy than typical carbureted engines of similar power at 1.1 to 1.9 gallons per hour. “Fuel consumption depends on many factors such operating conditions, operations being performed, loads, terrain, deck size, blades, and other factors such as fuel types,” Tew explained. “Because of the lower amount of energy per gallon of ethanol, higher blend ratios of ethanol will result in proportionately higher fuel consumption.  However, keep in mind that higher ethanol blend fuels also cost proportionately less than gasoline.”

The engine also has cleaner emissions, Tew said, due to ethanol’s greenhouse gas emission profile that is about 40 percent lower than gasoline. “The flex-fuel engine also has lower HC (hydrocarbon), NOx (oxides of nitrogen), and lower CO2 (carbon dioxide) emissions when running on E85 fuel.”



American Ethanol Brings Home a Victory for Farmers with Dillon Win

American Ethanol sped into Victory Lane last night as spokesman Austin Dillon held off challengers during an exciting green-white-checkered finish to win the inaugural Mudsummer Classic at the Eldora Speedway in Ohio.

This was the first NASCAR® series race held on a dirt track in 43 years, featuring a mix of NASCAR Sprint Cup™ racers, dirt track veterans and rising stars. Dillon pulled out the impressive victory in front of a sold out crowd, overcoming a 19th place start.

“Last night was nothing short of a spectacular outing for American Ethanol and Austin Dillon,” said National Corn Growers Association NASCAR Committee Chair Jon Holzfaster. “Millions of fans watching the spectacle learned more about American Ethanol, already the race’s television entitlement sponsor, as Dillon’s win elevated the coverage of ethanol. This unprecedented opportunity to reach a broad, diverse audience highlighted how ethanol fuels champions on the track while providing real savings at the pump.”

Dillon dominated the third leg of the race, fighting off repeated challenges, in the No. 39 American Ethanol Chevrolet Silverado. His incredible efforts culminated in a buzz-inducing finish that will leave NASCAR fans talking about the historic race for years.

“It’s amazing! I want to thank Richard Childress Racing and American Ethanol for giving me these opportunities,” Dillon exclaimed as he celebrated in Victory Lane. “That's real racing right there, that's all I've got to say.”

The return to dirt was much anticipated by NASCAR fans, with the race trending worldwide on Twitter and an expected ratings boost for SPEED network’s primetime coverage. SPEED’s coverage, which prominently featured the American Ethanol logo throughout the race, included commentary from racing greats Tony Stewart, Brad Keselowski and Clint Bowyer.

The Eldora win caps off Dillon’s social media road trip called the “American Ethanol Heartland Tour.” Through a blog, fans followed Dillon as he drove from Chicagoland Speedway to the Eldora race in a flex fuel vehicle. From the FFV, Dillon tweeted and posted photos on Facebook at fuel stops, documenting as he met with an Indiana corn farmer and toured an ethanol plant. This in-depth coverage helped draw attention to how ethanol can help mitigate the high summer gas prices consumers currently see at the pump.

Launched by Growth Energy and the National Corn Growers Association, along with the support of other partners, American Ethanol is a breakthrough brand that seeks to expand consumer awareness of the benefits of ethanol and E15, and takes the NASCAR Green initiative to the next level. Since the program launch for the 2011 season, NASCAR drivers have run more than 4 million miles on renewable Sunoco Green E15.