Monday October 14 Ag News

Soy Growers Welcome House Farm Bill Conferees, Call for Cooperation Between House and Senate

In response to the naming of conferees from the House of Representatives for negotiations on the farm bill Saturday, the American Soybean Association (ASA) commended the speaker and called on conferees from both the House and the Senate to cooperate and work quickly to come to terms on a comprehensive farm bill that can pass both chambers.

“This has been a trying process, but we commend Speaker Boehner and Minority Leader Pelosi for moving it along to the next stage. At this point, the necessary steps have been taken to bring all parties to the table, and now it’s time to set partisan divides aside and work together to craft a compromise that works for all farmers,” said ASA President Danny Murphy, a soybean, corn and wheat farmer from Canton, Miss.

House conferees include House Agriculture Committee Chairman Frank Lucas (R-Okla.) and fellow Republican Reps. Steve King of Iowa, Randy Neugebauer of Texas, Mike Rogers of Alabama, Mike Conaway of Texas, Glenn Thompson of Pennsylvania, Austin Scott of Georgia, Rick Crawford of Arkansas, Martha Roby of Alabama, Kristi Noem of South Dakota, Jeff Denham of California, Rodney Davis of Illinois and non-committee members Steve Southerland of Florida, Ed Royce of California, Tom Marino of Pennsylvania, Dave Camp of Michigan, and Sam Johnson of Texas. Representing the House Democrats in conference will be Agriculture Committee Ranking Member Collin Peterson (D-Minn.) and Reps. Mike McIntyre of North Carolina, Jim Costa of California, Tim Walz of Minnesota, Kurt Schrader of Oregon, Jim McGovern of Massachusetts, Suzan DelBene of Washington, Gloria Negrete McLeod of California, Filemon Vela of Texas and Marcia Fudge of Ohio. Non-committee Democrats include Reps. Eliot Engel of New York and Sandy Levin of Michigan.

The House contingent joins Senate conferees Chairman Debbie Stabenow (D-Mich.), Ranking Member Thad Cochran (R-Miss.), and Sens. Patrick Leahy (D-Vt.), Pat Roberts (R-Kan.), Tom Harkin (D-Iowa), Saxby Chambliss (R-Ga.), Max Baucus (D-Mont.), John Boozman (R-Ark.), Sherrod Brown (D-Ohio), John Hoeven (R-N.D.), Amy Klobuchar (D-Minn.) and Michael Bennet (D-Colo.).

Murphy also called on the conferees to take into account recent input provided by ASA on several key issues, including the bill’s commodity, trade, and other titles. “ASA has given well-researched and well-documented feedback on multiple provisions in each chamber’s bill,” he said, “… and each input has been made with the end goal of protecting and advancing a dynamic soybean industry and a larger agriculture sector that has been among the brightest of bright spots as our economy continues to recover. Soy is the country’s largest farm export and second largest crop, and the policies established by the conference in the final bill must not lead to skewed planting decisions, production distortions and potential trade challenges.”

The conferees will now begin the process of combining the farm bills from the House and the Senate into one final bill, at which point both chambers must pass that version before it sees the president’s desk for signature. A one-year extension of the 2008 Farm Bill expired Sept. 30, and farm programs will revert to permanent laws from the late 1930s and 1940s if a solution is not reached by January 1.

“We’re well past the eleventh hour,” added Murphy. “The lack of any current farm legislation places farmers at a huge risk, and it’s time our lawmakers come together and get this thing done. This is a great next step, but there is much work left to do.”



Nebraska Farm Bureau Challenges Chipotle “Scarecrow” Marketing Campaign

The Nebraska Farm Bureau is challenging the images and insinuations of a new marketing campaign initiated by Chipotle Mexican Grill, Inc. which Nebraska Farm Bureau leaders say plays fast and loose with the truth about how food is raised and more importantly, the ethics and morals of the people involved. Members of Nebraska Farm Bureau’s Board of Directors recently sent a letter to Chipotle’s Chairman and Co-CEO to express extreme disappointment and concerns about the message the campaign sends to people about American farmers and American agriculture.

“The Scarecrow campaign perpetuates two of the greatest fallacies of modern food production. The first being the myth of the American ‘factory farm’, the second being that people involved in raising food care only about profit and do so at the expense of their animals and our natural resources,” said Nebraska Farm Bureau President Steve Nelson.

The Scarecrow campaign consists of a video and video game that paints a picture of a society where food is raised and manufactured by a faceless corporate food system, using scarecrows as a mindless labor force to cover the harsh treatment of farm animals behind closed doors. Farm Bureau leaders called the campaign “narrow minded in scope” and an “oversimplification of food issues” that go well beyond serving Chipotle customers.

“There are very real issues of hunger, food insecurity and challenges of feeding a growing population. These challenges are reflected in the various methods in which food is raised to ensure there are food choices for people at a variety of price points,” said Nelson. “The Chipotle campaign and video ignores these issues and, in the process, disparages farm and ranch families who care very much about the well-being of their fellow man, the animals in their care and the land and natural resources entrusted to them.”

Despite the displeasure and distaste for the “Scarecrow” campaign, Farm Bureau leaders called on Chipotle to engage in dialogue to discuss broader food issues.

“Chipotle’s motto is ‘Food with Integrity.’ Farm Bureau and its members share in that belief, but it is clear there are differences of opinion in how that is defined. We are open and willing to start a dialogue about what that truly means for all people who remain in need of the crops and livestock Farm Bureau members raise,” said Nelson.



Weather Update for Nebraska — October Could Set a Record
Al Dutcher, UNL Extension State Climatologist

The unofficial tornado count from the widespread severe weather in the first week in October stands at 18-21. (We won't have the official count until the federal shutdown ends as NOAA (NWS) employees are not permitted to conduct storm assessments, only actions that have a human safety factor (i.e. forecasts, warnings). Most locations east of Kearney received over 1.50 inches of moisture, with the area around Hastings and pockets of eastern Nebraska seeing 4- to 5-inch totals. Unofficially, over 8 inches was reported near Wolbach. The northern Panhandle saw the worst of the snow, with the biggest total being reported by cooperative observers at just over 8 inches in the Crawford area. Significant cattle deaths occurred in this area and in western S.D., which was hard hit by the storm.

This week's Drought Monitor shows a one-category decrease for eastern Nebraska, the northern Panhandle, and northeastern Cherry County. Unfortunately, southwest and west central Nebraska failed to meet the criteria necessary for a one-category reduction. Last Monday, the U.S. Climate Prediction Center released a 30-day forecast calling for below normal moisture across the entire state for October. It was just one to two days later that this powerful storm swept across Nebraska.

Let’s put this storm in context. Typical October precipitation is between 1.75 and 2.25 inches for the eastern third of Nebraska. Last week's totals exceeded normal October moisture for most of eastern Nebraska, the northern Panhandle, and sections of extreme northern Nebraska. In fact, quite a few locations received double the normal October moisture, with isolated pockets receiving three times the normal moisture for the month. Many of our long-term stations across eastern Nebraska could set all-time records for October with a couple more moisture events this month. To be a Top 10 October requires 5 inches of moisture; breaking the record requires 6-7 inches.

More Rains Forecast for This Week
The outlook going forward appears to favor another system beginning as early as Thursday evening across western Nebraska, then moving into the western Dakota’s from Friday through Saturday. Models indicate light moisture for eastern Nebraska as the main energy stays west and northwest. Another system is poised to move through the state late this weekend into early next week. It has the potential to spread more rain across western Nebraska with lighter amounts in eastern Nebraska. The total seven-day moisture from these two systems is projected at 0.75-1.25 inches for the western third of the state, 0.25-0.75 inches for central Nebraska, and 0.50-0.75 inches for eastern Nebraska. Much cooler conditions are in store after the second system passes our region, with high temperatures projected to be in the 60s and 70s.

Longer term, another system looks like it will swing through the central Plains next weekend. Current projections put southeast Nebraska on the northern extent of the precipitation shield. A much more robust system moves through the following Monday or Tuesday and has the potential to generate substantial moisture if current trends verify. A lot of very cold air is expected to sweep in behind this system, possibly bring another snowstorm.

While you couldn’t buy moisture in August through mid-September, now the atmosphere appears poised to make up for this deficit, creating a challenging harvest.



Managing Winter Annual Weeds Starts this Fall
Lowell Sandell, Weed Science Extension Educator

While corn and soybean harvest may be your primary concern this month, look for opportunities to scout from the combine and prepare for effective winter annual weed management in 2014.

With recent rains and cooling temperatures, winter annual weeds are emerging and actively growing in row crops across Nebraska. Scouting during harvest can give no-till producers a head start on weed control in 2014.

Winter Annual Weeds
Winter annual weeds have become prolific in many Nebraska no-till fields. This increase has been associated with
-    increased adoption of conservation tillage practices,
-    widespread adoption of glyphosate-resistant crops and the subsequent increased reliance on total postemergence weed control programs, and
-    the reduced use of soil residual herbicides in corn and soybean production.

The impact of winter annual weeds in cropping systems is sometimes overlooked because these weeds typically complete most of their lifecycle prior to or shortly after corn and soybean planting. However, dense mats of winter annual weeds may result in delayed soil warming in spring, direct and indirect competition for water and nutrients during initial establishment of the summer crop, and difficulties at planting. Moreover, winter annual weed species can act as alternative hosts for pests. For example, henbit is known to be an alternative host for soybean cyst nematode (SCN), a major soybean pathogen.

Recent research on emergence timing of winter annual weeds across Nebraska showed that downy brome, tansymustard, henbit, Carolina foxtail, and field pansy emerged mostly in the fall (more than 90% of total emergence). Virginia pepperweed and purslane speedwell had the majority of the seedlings emerging in the fall (approximately 70% of total emergence), but some seedlings also emerged during late winter and early spring. Shepherdspurse and field pennycress had some seedlings emerging during fall (approximately 30% of total emergence), but the majority of it occured in late winter and early spring.

If in previous years farmers have noticed fields infested with fall-emerging species such as marestail, henbit, downy brome, tansymustard, Carolina foxtail, field pansy, Virginia pepperweed, and purslane speedwell, these fields should be scouted and perhaps managed after crop harvest in the fall. Scouting and management of fields infested with mostly spring-emerging species such as shepherdspurse and field pennycress is more appropriate in spring.

Henbit Marestail
Marestail is a troublesome weed in Nebraska no-till fields and glyphosate-resistant populations are prevalent throughout much of the state. Research has shown that marestail tends to germinate mostly in the fall in Nebraska, however in other areas of the Corn Belt it germinates through the spring and summer. According to our observations and conversations with growers, henbit and marestail seem to be the most prevalent winter annual weeds in much of eastern Nebraska. As these species are expected to emerge mostly in the fall, scouting and managing these fields right after crop harvest is a reasonable strategy.

Key Fall Management Considerations
Numerous herbicide tank-mix options are available for control of most winter annual weeds. Consult pages 59 (corn) and 103 (soybeans) of the 2013 Guide for Weed Management in Nebraska (EC130) for effective options for your winter annual weed spectrum.
    
In the Nebraska research cited previously, the majority of fall emergence was completed by early November, thus, targeting herbicide applications from late October to mid November would be prudent. Younger weeds tend to be more susceptible to herbicide treatments in the fall or early spring when they are small. Waiting until late spring may not result in the desired control if these weeds are at an advanced growth stage.
    
If glyphosate-resistant marestail is one of the primary targets of control, the use or inclusion of a growth regulator herbicide (2,4-D and/or dicamba) is necessary for adequate control. We believe that 2013 was a relatively light year for marestail, in part due to extreme drought conditions during the fall 2012 germination period. With recent precipitation, marestail is germinating and could become more of a problem in 2014 if timely management is ignored.
    
Field pansy has become more prevalent in southern Nebraska in recent years. In our trials, 2,4-D and dicamba have been relatively ineffective on this species. Products that contain chlorimuron (e.g., Classic, Authority XL, Valor XLT) have shown good results with fall applications. Applying a product with chloriumuron in the fall will require rotation to soybeans the following year.



Rural Nebraskans Rethinking Water Priorities in Wake of 2012 Drought

Eighty percent of rural Nebraskans with farming interests experienced a loss of business income because of last year's drought, according to the Nebraska Rural Poll.

Poll responses also indicated rural Nebraskans' priorities for water uses have shifted since they last were surveyed on the issue, in 2004.

The 18th annual University of Nebraska-Lincoln poll was sent to 6,320 households in Nebraska's 84 nonmetropolitan counties in March and April. Results are based on 2,317 responses.

Nebraska was wracked in 2012 by what has been described as the worst drought in at least 50 years. Eighty-eight percent of rural Nebraskans with occupations in agriculture reported decreased farm production in 2012, with 42% saying they experienced this to a great extent.

Eighty percent of respondents said they lost income. While national reports tended to focus on the near-record farm income levels due to higher prices, the poll shows that for Nebraskans in the middle of the drought, price increases could not overcome production losses.

“It serves as a reminder that agriculture faces unique production and economic risks and points to the critical nature of delayed action in Washington, D.C. over future agricultural policy,” said Brad Lubben, UNL public policy expert.

With memories of that drought in mind, rural Nebraskans also appear to be rethinking priorities for water use. Seventy-three percent rated indoor use in existing homes as a high priority; 56% and 51% listed livestock and crop irrigation, respectively, as high priorities. In 2004, only 48% of respondents listed livestock as a high water-use priority.

Only 28% of respondents listed indoor use in new housing developments as a priority use, and only 10% listed outdoor recreation, down from 34% and 18%, respectively, in 2004.

Poll respondents seem to be saying "we can’t just build businesses and homes and add new uses without knowing the water will be there," said Lubben.

Randy Cantrell, rural sociologist with the Rural Futures Institute, added: "There's a message here for economic developers. They have to be participants in these discussions about water."

Seventy-three percent of poll respondents said they had voluntarily reduced water use in response to last year's drought.

"That strikes me as a positive note about rural Nebraska's willingness to contribute," Cantrell said.

Also, 75% reported loss of wildlife and wildlife habitat.

The Rural Poll is the largest annual poll of rural Nebraskans' perceptions on quality of life and policy issues. This year's response rate was about 37%. The margin of error is plus or minus 2%. Complete results are available online at http://ruralpoll.unl.edu. The university's Center for Applied Rural Innovation conducts the poll in cooperation with the Nebraska Rural Futures Institute with funding from UNL Extension and the Agricultural Research Division.



Iowa Interagency Group Meeting on Missouri River Oct. 16

The State Interagency Missouri River Authority (SIMRA) will meet in Des Moines Oct. 16. Presentations will include current and projected precipitation, river and stream flows, and shallow groundwater conditions in Iowa; an update of the conditional permit for the Shallow Water Habitat Project located at Little Sioux Bend in Harrison County; and how congressional changes to FEMA's National Flood Insurance Program taking effect this month will affect policyholders.

The SIMRA seeks stakeholder input and makes recommendations on policies affecting the Missouri River. The group will meet at 9:30 a.m. in the Iowa Utilities Board Conference Room 1 at 1375 E. Court Ave., Des Moines. The meeting is open to the public.

The complete agenda is available at www.iowa.gov/state/main/pmc/pmc.php under DNR. Interested people can attend the meeting by conference call. Dial 866-685-1580 and follow the prompts. The conference code is 2816326 followed by the pound (#) sign.

SIMRA includes representatives from the Governor's office, Iowa Department of Agriculture and Land Stewardship, the Iowa Utilities Board, the Iowa Economic Development Authority, Iowa DNR and Iowa Department of Transportation.



Iowa Farmers Talk GMO
Laurie Johns, Iowa Farm Bureau

Hundreds of protestors, many who've never been on an Iowa farm, are heading to our state next week to protest progress in farming. They don't believe in genetically modified crops and no amount of peer-reviewed science or speeches from Nobel laureates will convince them otherwise. Just as they have the right to voice their opinions and be heard, the Iowa men and women who spend years in the field growing your food also hope you will hear their stories, and let common sense prevail.

That's because for decades, these thousands of Iowa farmers have seen what progress in farming can do.

Paul Vassen has been growing corn and beans on his Delaware county farm since 1962. Although he'll proudly admit being 'old fashioned,' he says there are some things that nostalgia can't cure, like hunger.

"I don't 'think there's any doubt in my mind that the genetic improvements that seed companies have developed have given us the opportunity to see greater yields, despite what Mother Nature can dish out. We can't forget that feeding people is really what this is all about. Last year, for example, we were very dry and even though yields were not up to what we considered 'normal', they were much better than, say, 10 to 15 years ago when we had the same drought conditions, but didn't have these great seeds that were more resistant to drought or pests.

Years ago we used planters with seeds in one box and insecticide in another, which meant we were using a lot more insecticide. I'm happy that old planter sits idle on my farm now, because our GMO seeds help us defeat pests like rootworm and corn borer," says Vassen.

Roger Zylstra...a longtime corn, soybeans and hog farmer from Jasper County, has seen a lot of changes, too. If he can be more productive and more sustainable, he can also keep farming in the family, and that's why he favors GMO crops. "The reality is we're trying to build and grow for the future. My youngest son just came back full time to the farm. I work hard to build a sustainable farm for his return and only innovation helps us do that."

Innovation has brought incredible progress to Iowa farms. Between 1980 and 2010, U.S. farmers nearly doubled corn production, yet thanks to better seeds, better equipment and conservation practices, are using less fertilizer than they put on the ground, back with Zylstra and Vassen first got started farming all those years ago. According to data from the U.S. Department of Agriculture's (USDA) National Agricultural Statistics Service (NASS), farmers grew 6.64 billion bushels of corn using 3.9 pounds of nutrients (nitrogen, phosphorus and potassium) for each bushel in 1980. Just a couple years ago, that yield busted the bins at 12.45 billion bushels, using 1.6 pounds of nutrients per bushel produced. I'm no math genius, but by any assessment, that's more than an 87 percent increase. How many other industries can claim that?

When you look at the science, the numbers, the sustainability that GM crops bring and meet the men and women who grow your food, it's hard to swallow the hysteria that the 'anti' crowd is selling. Young farmers just getting started believe it's the 'disconnect' that folks may have today with farmers; they just haven't met one. Colin Johnson is a young family farmer from Wapello county who grows corn, soybeans and hay. He says the farmers growing food today have more in common with folks asking the questions than many realize. Knowledge-seeking is a good thing, so long as both sides are sought out. "Of course GMO is safe. Of course it's all about feeding more people, but the bottom line for me is that as a family farmer with young kids, I'm not going to put anything in the ground that's not safe for us, or our environment. We're eating this food, too," says Johnson.

Progress has brought us safer cars, cell phone coverage in the country, the internet, and countless improvements in the fields of health care and fitness. Progress has also brought consumers more choices at the grocery store and that includes healthier choices from GMO food: fortified with calcium, vitamin A, and other vitamins and minerals. Providing choices is what keeps farmers moving forward. "The farming practices we've used, the no-till and everything, it's a great advance from where we were. I have no doubt we will continue to move forward. That's what we do," says Zylstra.



Informa Estimates Harvest Progress

Combines continued to chug along this week with farmers making big strides in soybean harvest as well as some progress on corn.  Private analytical firm Informa Economics estimated soybean harvest advanced to 40% complete as of Oct. 13, which is about one week behind the five-year average. Last week, the general estimate of soybean harvest was that it was 22% complete.  Informa estimated corn harvest progressed to about 30% complete, compared to the 42% average. Last week, corn harvest appeared to be 20% complete.  USDA stopped issuing its weekly Crop Progress reports after the federal government shut down October 1.



China Corn, Wheat Output Up

China is likely to post increases in its harvest of corn and wheat this year, but may see a slight decline in rice production, the state-backed China National Grain and Oils Information Center said in a statement Monday.

Corn output is projected to rise 4.6% from last year to 215 million metric tons, and wheat by 1.1% to 122.17 million tons, it said.

Rice production is likely to fall 0.7% to 202.75 million tons, it said. Soybeans may also decline 4.2% to 12.5 million tons, the CNGOIC said.

The government has said it is likely to post a 10th consecutive record grain harvest this year. Grain includes corn, wheat and rice, but not soybeans.



Paraguay's Congress Approves 10% Tax on Soybean, Grain Exports

Paraguay's Congress has approved a 10% tax on exports of grain, wheat, corn and sunflower seeds.  The tax is designed to ease the country's fiscal woes and promote grain processing at home. The government hopes to raise $300 million a year from the tax.

Producers oppose the plan, claiming it will hurt competitiveness.  Farmers in the country are expected to produce over 9 million metric tons of soybeans in the coming season and is already the world's No. 4 soybean exporter, according to government estimates. Overall grains production is pegged at around 15 mmt.

Since Paraguay is land locked, the country's grains go through Argentine and Brazilian ports.



CBH Raises Aussie Harvest Forecast

CBH Group has lifted its forecast for Western Australia's 2013-14 grain harvest to as much as 13 million metric tons after favorable late rains, the cooperative said in a statement Monday.

CBH said it expects between 12.7 million-13 million tons of grain to be delivered by growers this season, up from an estimate last month of 11.5 million-12.6 million tons, and also higher than a long-term average of 10.6 million tons.

After a winter dry spell, late Spring rains boosted prospects for the state's Kwinana and Geraldton zones, while favorable growing conditions have resulted in potential record receivals for the Albany zone, CBH said in its initial harvest report.

Growers delivered the first grain earlier this month, and deliveries typically run through to early January.

Typically, two-thirds of the harvest is wheat, and deliveries to CBH account for 90% of state production. Nearly all is exported. Western Australia is the country's largest wheat-producing state.



AGRIUM NAMES NEW CEO

Agrium Inc. announced today that its Board of Directors has appointed Agrium's Chief Operating Officer, Chuck Magro to succeed Mike Wilson as CEO upon his retirement, which will be effective December 31, 2013. Mr. Magro will join the Agrium Board of Directors immediately.

"The Board is pleased that its succession planning process has led to the selection of such a strong leader and internal candidate as Chuck to replace Mike," said Agrium's Board Chair, Victor Zaleschuk.

"Chuck will join the Agrium Board and work with the directors and Agrium's highly successful management team to ensure our integrated strategy continues to deliver superior results for shareholders."

"I am confident that with Chuck's leadership skills and industry experience, combined with the strength of our executive leadership team, the company will continue to build on Agrium's high performance culture to drive operational excellence and bring value to all of our key stakeholders," said Mike Wilson, President and CEO of Agrium.

"On behalf of the entire Board of Directors, I would like to express my thanks to Mike for his drive, dedication and leadership in implementing our integrated strategy and very successful expansionary phase that was envisioned nearly a decade ago. The success of our strategy has resulted in Agrium's share price increasing by over 500% in the past decade," said Agrium's Board Chair, Victor Zaleschuk. "We are pleased Mike has agreed to remain on the Agrium Board until the next Annual General Meeting."

Magro was appointed Chief Operating Officer in 2012. Prior to this, he held the role of Executive Vice President, Corporate Development & Chief Risk Officer and was responsible for a number of core areas within Agrium including: Corporate Development and Strategy, EHS&S, Sustainability & Stakeholder Relations, Internal Audit, and Risk Management. Previously, Mr. Magro was Vice President, Manufacturing where he was responsible for Agrium's Wholesale manufacturing facilities.

Magro joined Agrium following an extensive career with Nova Chemicals, a major petrochemical manufacturer. Chuck started his career as a process engineer and his career progressed quickly to include leadership roles in plant and operations management, product line management, leading a major strategic growth project, supply chain team leadership and heading investor relations. He has a Bachelor of Applied Science (Chemical Engineering) from the University of Waterloo and an MBA from the University of Windsor.