Thursday December 5 Ag News

Nebraska's Tiemann Honored for 15 years of USGC Service

"There's no other organization in the United States that can do what the U.S. Grains Council does," said Alan Tiemann, Nebraska Corn Board member. "With the Council's public-private partnership we're doing great things around the world to develop exports of our products."

Tiemann has a unique perspective on his 15 years of Council experience. Beginning in 1997, he represented the Nebraska Grain Sorghum Board for six years. Then, after a short break, he moved to Nebraska's corn checkoff board in 2005, becoming an at-large director on the USGC board and, last summer, the Council's secretary/treasurer.

"One of the biggest changes I've seen in my years at the Council is in structure from a board of delegates to a board of directors," he said. "It's allowed the Council to become more efficient than when they had three huge meetings each year."

He urges members to maximize the benefits of Council membership by being involved.

"Even if you're not named to an advisory team [A-Teams], the best thing you can do is show up at the meetings and visit as many A-Teams as you can," he said. "Find out where your skill set fits with the Council's work and get involved.

"The Council has such a diversity of teams that there's something for everybody to get passionate about."

Tiemann's own passion is new markets. "We're still working to expand China, but markets are constantly evolving from where they were 20, 15, even 10 years ago. Will the next opportunity be Africa? India?

"That's what I'm excited about at the Council."



USDA Farm Storage Loans Available

USDA Nebraska Farm Service Agency (FSA) State Executive Director, Dan Steinkruger, reminds farmers and ranchers that Farm Storage Facility Loans (FSFL) are available through FSA.

The Farm Service Agency offers low-interest loans to grain producers to build new or upgrade existing storage facilities and permanent drying and handling equipment. Loan opportunities include, but are not limited to:
·       New conventional-type cribs or bins, oxygen-limiting and other upright silo-type structures, and flat-type storage structures designed for whole grain storage,
·       Perforated floors, safety equipment, quality improvement equipment, electrical equipment and concrete components considered essential for a fully functional storage facility,
·       Remodeling existing storage facilities to increase storage capacity.

Farm storage facility loans are also available to fruit and vegetable producers for new cold storage facilities; and to hay and biomass producers for new storage structures.

Farm storage facility loans must be approved prior to site preparation, equipment purchase or construction, and must be secured by a promissory note and security agreement.  The new maximum principal loan amount is $500,000. Participants are required to provide a down payment of 15 percent, with CCC providing a loan for the remaining 85 percent of the net cost of the eligible storage facility and permanent drying and handling equipment.

Additional security is required for poured-cement open-bunker silos, renewable biomass facilities, cold storage facilities, hay barns and for all loans exceeding $50,000. New loan terms of seven, 10 or 12 years are available depending on the amount of the loan. Interest rates for each term rate may be different and are based on the rate which CCC borrows from the Treasury Department.

Contact your local FSA Office for more information on Farm Storage Facility Loans or visit the web at www.fsa.usda.gov/ne.



Worried About Hormones in Beef?
Bruce Treffer, UNL Extension Educator

There are a lot of concerns and mixed messages about hormones in beef. There are a few things to keep in mind the next time you hear that beef contains too many hormones.

All multi-cellular organisms contain hormones. That’s true for animals and vegetables, but some meat production systems use hormone implants which cause the meat to have slightly more hormones than the non-implanted. True in beef, but not in pork or chicken as federal law does not permit the use of hormones in raising hogs or chickens. Implants are used to increase efficiency (i.e. feed conversion to muscle more quickly) or more muscle from less feed more quickly, which keeps prices down and reduces the environmental impact of production.

In beef, the implanted animals will produce meat that contains slightly more of the hormone estrogen (1.9 versus 1.3 nanograms per 3 ounce serving - which is about the size of a deck of cards). Is that extra estrogen going to cause problems? Consider the facts. When hormones are eaten, they are digested, broken down and largely neutralized, so they don’t act as hormones anymore. Even if they did, the 1.9 nanograms of estrogen in implanted beef seems miniscule when we consider that a child’s body produces around 50,000 nanograms of estrogen per day. An adult female (non-pregnant) will produce 480,000 nanograms of estrogen per day on its own.

The 1.9 nanograms of estrogen in implanted beef is also miniscule compared to 225 nanograms of estrogen in potatoes, 340 nanograms of estrogen in peas, 520 nanograms of estrogen in ice cream, 2,000 nanograms of estrogen in cabbage, 11,250 nanograms of estrogen in soy milk, and 170,000 nanograms of estrogen in soybean oil… all based on a 3 ounce serving size. One birth control pill contains 35,000 nanograms of estrogen. It may be surprising to learn that there are more hormones in commonly eaten food products than there are in beef (http://go.unl.edu/uhg4 or http://msucares.com/pubs/publications/p2767.pdf)!

So why do kids seem to be growing faster and reaching puberty earlier? Genetics play a role, but hormones make far less sense than calories consumed and increased levels of body fat (i.e., childhood obesity). According to Dr. Frank Biro of the Cincinnati Children’s Hospital, “BMI (body mass index) is, we found, the biggest single factor for the onset of puberty.” It is easy to blame hormones and sometimes just meat for that matter, or food in general for health problems because the general public is removed from actual food production and processing. It is human nature to be fearful of things we aren’t familiar with or that we don’t fully understand. It is always advisable to do some research and make inquiries yourself before believing everything you hear or read. If misinformation and half-truths are repeated often enough, and in sinister enough media campaign voices, they can take on a life of their own devoid of science or truth.



ASA Announces 2014 Officers and Committee Assignments

The Board of Directors of the American Soybean Association (ASA) has confirmed Ray Gaesser from Corning, Iowa, as its newest President, and has moved outgoing President Danny Murphy from Canton, Miss., to the position of Chairman. Board members also elected Wade Cowan from Brownfield, Texas, to serve as First Vice President, an office that places Cowan in line to be the association’s president in 2015.

“There are so many issues that face the soybean industry today, and I’m excited to lead this organization in addressing each one of them,” said Gaesser. “As we work to see a farm bill enacted, and soybean-friendly policies in place within the trade, transportation, energy and technology arenas, we know that we’ll depend on the consistent involvement and cooperative work between all members of the soy family including our state affiliates, United Soybean Board, United Soybean Export Council and our industry partners, to help fully realize the benefits of those victories. As always, ASA remains committed to ensuring the success and profitability of soybean farmers, and I am very proud to be part of that effort.”

Also elected to form ASA’s nine-member executive committee were Secretary Wyatt Whitford of Ernul, N.C., and Richard Wilkins from Greenwood, Del., as Treasurer. Bob Worth of Lake Benton, Minn., Ron Moore of Roseville, Ill., Bob Henry of Robinson, Kan., and Kevin Hoyer of West Salem, Wisc., were elected to serve as the association’s four vice presidents. Whitford, Moore and Hoyer are new elections to the Executive Committee, while Wilkins, Worth and Henry were reelected to the posts they held in 2013.

Elections were held in St. Louis at ASA’s annual winter board meeting, and the meeting also served as a venue to celebrate the retirements of Kentucky’s Randy Mann, Illinois’ Ron Kindred, Rob Joslin of Ohio and Andy Welden of Michigan from the ASA Board. Assuming positions on the Board as new members at the meeting were Kentucky’s Gerry Hayden, Ron Moore of Illinois, Jerry Bambauer of Ohio and Michigan’s Matt Stutzman.

The Executive Committee will meet in Iowa next week to finalize plans for 2014 and name appointees to ASA’s various boards, task forces and committees.



Farm Bill Update
(from USGC)

Facing looming end-of-the-year deadlines, House and Senate conferees are reported to have made significant progress in hammering out a deal on a new farm bill. As of Thursday afternoon, conferees are reported to be awaiting Congressional Budget Office scoring on the commodity title. Significant differences remain, however, on the Supplemental Nutrition Assistance Program (SNAP/food stamps), where the impasse must be resolved at a senior leadership level. While no one is yet predicting an outcome, House Majority Leader Eric Cantor said Thursday afternoon that the House could vote on a conference report as early as next week, although a short extension also remains a possibility.

The Market Access Program (MAP) and the Foreign Market Development Program (FMD) -- USDA's two key export promotion programs -- are not an issue, since both the House and Senate have already voted to reauthorize them at full funding levels. They are among the dozens of other non-controversial farm bill programs that, unfortunately, remain trapped in the no-man's land while the remaining disagreements are resolved.

Continued delay in passing a new farm bill is severely constraining the work of the U.S. Grains Council and other cooperator groups that utilize MAP and FMD. The unique public-private partnership centered on MAP and FMD has contributed greatly to making the United States the world's leading exporter of agricultural products. Continuing inaction on the farm bill translates into lost sales and market share. Delay inflicts real harm.



Statement from USDA on Farm Bill Negotiations

USDA Communications Director Matt Paul made the following statement today:

"Negotiations on Capitol Hill about the Farm Bill should continue until House and Senate leaders reach agreement on a comprehensive bill. Numerous members of both sides have indicated progress, and the country deserves continued work on this critical legislation."



ASA Director Cunningham Testifies on Importance of Raising the Proposed Biodiesel RVO

American Soybean Association (ASA) Director Mike Cunningham joined other biofuels stakeholders in Washington today to testify at a hearing on the Environmental Protection Agency’s proposed rule to set the 2014 and 2015 biomass-based diesel Renewable Volume Obligation (RVO) at 1.28 billion gallons. The number is significantly less than the industry is capable of producing next year, as well as the 1.7 billion gallon RVO that industry had called for.

“Soybean farmers are extremely proud of the major role we have played in the development of the U.S. biodiesel industry - an industry that has helped diversify our fuel supply, reduced greenhouse gas emissions, and created jobs and economic growth, especially in rural America,” said Cunningham, a soybean farmer from Bismarck, Ill. “The Biomass-based Diesel and total Advanced Biofuels levels set forth in the proposal are unnecessarily low and will stifle the growth and job creation potential demonstrated by the biodiesel industry over the past several years.”

As Cunningham illustrated in his testimony, ASA sees no compelling reason not to increase the Biomass-based Diesel volumes above the estimated actual production for 2013, or at least 1.7 billion gallons with a commensurate level for total Advanced Biofuels.

“Biodiesel is the most prevalent advanced biofuel currently produced in the United States,” explained Cunningham. “The industry has met or exceeded the RFS Biomass-based Diesel volume requirements each and every year they have been in place and 2013 production is expected to reach 1.7 billion gallons.”

“Any RFS volume requirement below the 1.7 billion gallons to be produced in 2013 would be a significant setback for the biodiesel industry and for our shared goals of diversifying the nation’s fuel supply, reducing greenhouse gas emissions, and growing our economy,” he added.

For a full transcript of Cunningham’s testimony, please click here.

EPA will continue to accept public comments on its proposed rule through Jan. 28. In addition to Cunningham’s testimony, ASA members will submit their own comments until the closing date, and will remain in contact with EPA until the final rule is released.



NCBA Past President Testifies Before EPA on the Renewable Fuels Standard

Today the Environmental Protection Agency (EPA) is hosting a public hearing on their proposed rule to reduce the 2014 renewable volume obligations under the Renewable Fuel Standard (RFS). The National Cattlemen’s Beef Association’s (NCBA) past president Steve Foglesong will testify at the hearing this afternoon. Foglesong is a cattle feeder and corn-grower from Astoria, Ill., where his family owns and operates Black Gold Ranch.

“I am a corn farmer, I just choose to feed it to cattle, it’s value added,” said Foglesong. “It’s not that different from the ethanol industry who takes corn to feed it into their plants and produce ethanol, dried distillers grains (DDGs), and carbon dioxide instead of beef. The process is identical, all but the RFS mandate, which gives the ethanol industry an advantage in purchasing corn. We’re not opposed to corn ethanol, but it’s time to look at reforming the RFS and let the market pick winners and losers instead of the government.”

EPA’s proposed rule would reduce the 2014 RFS volume obligations for conventional corn-based ethanol by 1.39 billion gallons. Today’s hearing is an opportunity for all stakeholders to share their view on the proposed rule.  

“NCBA supports the EPA’s proposed rule as it’s a step in the right direction, but more still needs to be done to level the playing field for all users of corn,” said Foglesong. “There is still work to do and we will continue to work with Congress to bring reform to the RFS.”

During the 2002-2003 marketing year, the United States Department of Agriculture estimated that corn use for ethanol production accounted for 10 percent of the total U.S. corn usage. Today, roughly 42 percent of the corn crop goes into ethanol production to meet the RFS mandate. Over the past four years, the average cost to grain finish a market steer has increased by more than $200 per head.

“These costs are not sustainable for a segment of our industry that relies on corn,” said Foglesong. “Last year, when state governors were denied a waiver of the RFS in light of the worst drought in over 50 years, it became evident that the RFS needs to be fixed.” 

Foglesong expressed his support of the EPA’s decision and urged stakeholders to work together to find long-term compromise on the RFS.




Keep the Trains on the Tracks

In comments to the U.S. Department of Transportation (DOT), the Renewable Fuels Association (RFA) pressed the DOT to look at the underlying causes of train derailments, which include rail construction and maintenance, instead of focusing exclusively on the expensive retrofit of current DOT-111 railcars. The RFA comments are in response to the Pipeline and Hazardous Materials Administration (PHMSA) advanced notice of proposed rulemaking for the rail shipping of hazardous materials.

Bob Dinneen, President and CEO of the Renewable Fuels Association, explained, “The ethanol industry takes safety very seriously, but we don’t re-engineer vehicles already on the road with new, expensive suspension systems to combat any potential damage from hitting a pothole on the interstate. No, we fix the pothole. The same should be true with rail transportation.”

The RFA has always placed safety front and center. Commenting in its response to the DOT, “Safety is a top priority of the ethanol industry, especially when it comes to ethanol transportation on the rail ways. RFA has assembled a variety of resources to serve as guidance documents and to ensure proper precautions are taken to avoid an incident involving ethanol and the rail ways.”

The comments point to specific safety successes, “The U.S. Department of Transportation’s Federal Railroad Administration (FRA) announced that 2012 was the safest year in rail history with 99.997% of the approximately 1.7 million carloads of hazardous materials shipped in 2012 successfully reaching their final destination without a release caused by an accident.”

Dinneen stressed the need for PHMSA to focus on the deep seeded problem of rail integrity, “Rather than focusing exclusively on railcar design, a more prudent approach would be to invest in initiatives that address these root causes and keep the railcars on the tracks. Such initiatives should include improvements in inspection and track maintenance protocols, utilizing available technology to assist in reducing human error (e.g., Positive Train Control), and improved communication systems for rail operations. These types of actions would provide a better cost-benefit ratio and help stop the derailment incidents from occurring at all.”

He continued, “RFA strongly believes that DOT, FRA and PHMSA need to address the root cause of the recent train derailments in a swift and comprehensive manner. DOT must look closely at recent incidents and develop sensible regulations that address the human errors and substandard railways that lead to incidents. Otherwise, train derailments, whether carrying hazardous material or human passengers will continue to injure people, property, and the environment.”

The Renewable Fuels Association continues to support P-1577 as submitted, keeping the option of a jacketed or non-jacketed car; does not support costly modifications to the existing DOT-111 tank car fleet based on current available data that has not been third party reviewed; and believes monetary costs for modification to existing DOT-111 for Denatured Fuel Ethanol are exceptionally high.



CWT Assists with 14.8 Million Pounds of Cheese and Butter Sales in November

Even though the program only received requests for export assistance for a few weeks in November due to the NMPF Joint Annual Meeting and the Thanksgiving holiday, Cooperatives Working Together (CWT) provided assistance on 47 sales of cheese and butter totaling 14.8 million pounds. The accepted requests included 3 million pounds of butter (1,362 metric tons) and 11.8 million pounds of cheddar, Gouda, and Monterey Jack cheeses. The product will go to 16 different countries and will be delivered between November 2013 and May 2014.

Through November, CWT-assisted exports of butter totaled 87.9 million pounds (39,879 metric tons) and 121.9 million pounds of cheddar, Gouda, and Monterey Jack cheeses. The p roduct is going to 40 different countries on six continents. With the Milk Income Loss Contract (MILC) expired as of September 30, 2013, and the farm bill in limbo, CWT is the only program actively providing support to America’s dairy farmers.



1,000 Industry Leaders Wish Jerry Kozak Well, Welcome Successor at NMPF Annual Meeting

Dairy industry leaders from across the country converged on Phoenix for four days in mid-November to bid an emotional goodbye to outgoing NMPF President Jerry Kozak and to hear incoming President Jim Mulhern’s vision for the organization’s future. The occasion was NMPF’s 2013 annual meeting, held jointly with the National Dairy Promotion and Research Board and the United Dairy Industry Association.

The meeting also featured a major policy speech by NMPF Board Chair Randy Mooney, and an expanded Town Hall in which 800 dairy farmers heard presentations on a long list of industry issues. In addition, six new board members were elected to the NMPF board, and the organization announced the name selected for the cartoon character it is using to help revitalize the dairy REAL® Seal.

In all nearly 1,000 people attended the meeting at the Arizona Biltmore Hotel. Headline speakers were former NFL head coach Herman Edwards, and organizational change expert Peter Sheahan. Agri-Talk Radio host Mike Adams was master of ceremonies, and up-and-coming country music star James Wesley provided banquet entertainment. Wesley (left) clearly enjoyed performing for a large group of farmers.

The meeting’s emotional highlight came when Kozak, president and CEO since 1997, thanked those with whom he has worked in the past 16 years, and turned the reins of the organization over to Mulhern.

Kozak will be formally replaced as president January 1 by current Chief Operating Officer Jim Mulhern, a Wisconsin native who has worked for the dairy industry in various capacities for three decades. During his remarks, Mulhern urged farmers to become more engaged in both NMPF and the policymaking process.

“We need your financial commitment, yes,” he said, “but even more importantly, we need your time and effort and engagement. The more engagement our members have … the more our organization can achieve for our members. It’s a virtuous circle.”

Mulhern also stressed the need for more communication by the dairy industry. “We must tell our story,” he said, “because if we don’t, others—who don’t have our interest at heart—are telling a very different, and harmful, story.”

On other subjects, Mulhern said once the 2013 farm bill is enacted, NMPF should tackle refo rm of the federal milk marketing order system and consider addressing some changes to federal identity standards for dairy foods—but only if the changes benefit farmers. “Some of the dairy processors talk about reforming federal milk orders when what they really seem to mean is increasing their control of the market and their share of the dairy dollar,” he said. “That’s a non-starter for us. Our focus will be on reforms needed to ensure the orderly marketing of milk and to protect the financial interests of the nation’s dairy farmers.”

Mulhern noted that some in the processing community are also calling for changes to the federal standards that protect the content and quality of dairy foods. But, he said, sometimes this talk is delivered by those who either don’t understand the concept of standards of identity or those who are looking for a way to benefit financially through deviations marketed as “innovations.”

“Are there some provisions of standards that could be improved? Absolutely, especially if they relate to improvements and efficiencies in plant-level processing technologies,” Mulhern said. “However, NMPF will not agree to revisions to standards designed to ‘water down’ their quality or deceive consumers, and we will continue to work diligently to preserve all aspects of standards that preserve the integrity of traditional dairy products, their names and their composition.”

Board chair Randy Mooney delivered his speech  as a House-Senate conference committee was working in Washington on a final, compromise version of the 2013 farm bill. Mooney blasted the House bill’s proposed dairy provisions as costly to taxpayers, a bonanza for processors and not what’s needed to help farmers.

Mooney said the House provisions would create conditions reminiscent of the ea rly 1980s, when the federal dairy safety net was far too generous. In those days, he said, farmers produced more milk than the market could absorb and the government became their biggest customer.

Today, Mooney said, we are in danger of repeating history because some in Congress are forgetting the lessons of the past. “It’ll be cheap milk for processors, with taxpayers on the hook to keep the insurance money flowing,” he said. “And mark my words: If this approach were adopted, it would be the first, and last time, that a farm bill features this type of program. It’s just not built on a sound financial footing.”

The Town Hall, a tradition at NMPF annual meetings, kept attendees engaged throughout the four-hour session. Attendees heard presentations from NMPF staff on a long list of issues, which included the environment, trade, GMOs, food standards, and residue testing, in addition to the farm bill and immigration reform.

The following individual s were elected to serve as NMPF officers for 2014:
-    Randy Mooney, Dairy Farmers of America – Chairman
-    Ken Nobis, Michigan Milk Producers Association – First Vice Chairman
-    Adrian Boer, Northwest Dairy Association – Second Vice Chairman
-    Mike McCloskey, Select Milk Producers, Inc. – Third Vice Chairman
-    Dave Fuhrmann, Foremost Farms USA – Secretary
-    Doug Nuttelman (NE), Dairy Farmers of America – Assistant Secretary
-    Pete Kappelman, Land O’Lakes, Inc. – Treasurer
-    Neal Rea, Agri-Mark – Assistant Treasurer (who is new to the officer group)

The following new board members were elected to serve on the NMPF board for 2014:
-    Michael Anderson, Farmers Cooperative Creamery
-    David Cooper, FarmFirst Dairy Cooperative
-    Kelly King, FarmFirst Dairy Cooperative
-    Peter Janzen, Land O’Lakes, Inc.
-    Tom Pittman, Premier Milk, Inc.

Also at the meeting, NMPF unveiled the new name for the animated REAL® Seal character: DairyUS. It was selected in a nationwide online content in which nearly 800 votes were cast. DairyUS received 379 votes.

The animated character, based on the iconic REAL® Seal logo, will help a new generation of consumers distinguish between genuine U.S. dairy products and a growing list of list of imitations. A video announcing the name is on the REAL® Seal website homepage.

Also at the annual meeting, NMPF offered a preview of the REAL® Seal buyer’s guide, a web-based search engine that will make it easier for consumers to patronize brands and stores that offer real dairy products. The buyer’s guide website will soon be online.