Thursday August 28 Ag News

State Climatologist: Models Show Above Normal Precipitation for This Fall

            A big question this fall: will there be harvest delays due to wet weather?

            Tendencies for above-normal precipitation statewide with the highest probability south and west of a line from Scottsbluff to Grand Island are showing up for September according to the Climate Prediction Center, the University of Nebraska-Lincoln climatologist says.

            October through December forecasts also show above normal moisture is projected for the southeast half of the state with equal chance of above or below normal moisture for the remainder of the state, said Al Dutcher, state climatologist in the university's Institute of Agriculture and Natural Resources.

            There are equal chances statewide of temperatures being above or below normal, Dutcher said.

            However, during El Nino winters, Nebraska typically sees above-normal temperatures with below-normal temperatures across the southern United States.

            "We are borderline now with the expectation of a weak El Nino event starting as early as this fall," Dutcher said. Dutcher said forecasts indicate that El Nino conditions will become established during the fall period. However, he expects it to be weak and short lived.

            As for precipitation this growing season, Dutcher said, certain areas of the state did well as there was heavy precipitation this spring after a dry winter. June precipitation brought 12-17 inches of precipitation to northeastern Nebraska during June, which dropped off to the 5-9 inches across east central and southeast Nebraska.

            During the July through mid-August period, dry conditions developed across a substantial portion of eastern Nebraska, with pockets of dryness reported across the Panhandle. There has been crop damage in spotty areas across dryland cropping areas of east central and southeast Nebraska, Dutcher said.

            However, the "million dollar question" is how much of an impact did early season freeze events and multiple rounds of severe weather have on crop production this growing season. He said there is so much variability from field to field as several places across the state saw freezing, flooding, hail and having to replant once, twice, even three times.

            "For the majority of people that did not get freeze, hail or flooding, crop development is fairly close to normal, especially with these last two weeks of warmer temperatures," he said.

            However, those farmers that had to replant are the "big open-ended question," he said.

            "Based on available climate data and fall freeze probabilities, as long as producers that replanted corn varieties that require at least 300 less Growing Degree Day to reach maturity, there is less than 50 percent likelihood at this point in the game that they will incur hard freeze damage, based on a normal freeze date."

            Dutcher said soybeans may also be a "big story" this season due to the drier weather in July and August during pod fill.

            "We've been under stress in east and east central Nebraska where rains have not been as generous," he said. "To what extent crops may have been damaged is still up in the air."

            If forecasts play out, Dutcher said the entire state could see generous moisture during the final 10 days of August.  Forecasts indicate heavy rainfall with over 2 inches of rain possible across the state, with isolated pockets receiving more than 5 inches.  This would provide excellent moisture to finish grain fill and begin building soil moisture for the 2015 growing season.

            Dutcher said with winter wheat planting beginning in September, beneficial big rains also will be good for building soil moisture in top three feet of the soil profile prior to planting.

            Overall the Platte River system is doing well. Irrigation demand came later in the season and reservoir declines didn't occur until late July.

            Dutcher said if there is above normal snow in the central Rockies this winter, having enough room to store the spring runoff could be a problem.

            "Right now we are sitting at 2.5 million acre-feet in the Platte reservoir system," Dutcher said. "We were just under 2 million acre-feet in storage entering into the spring run off season. Net storage declined 500,000 acre-feet this growing season, but typically we see a 600,000 to 800,000 acre-foot decline.

            "So if we get a normal snow season and the fall precipitation forecast by the Climate Prediction Center verifies, we would be looking at essentially filling up all upstream reservoirs from Lake McConaughy upward."

            The North Platte River Basin generally has a positive response during El Nino events. In addition, an El Nino also typically brings beneficial moisture to California.

            "However, because this El Nino is so weak, it may not bring the rains they need," he said.

            For more information about weather and crops, visit CropWatch, UNL Extension's crop production newsletter, at cropwatch.unl.edu



Nebraska LEAD Announces 2014-2016 Fellows

Nebraska LEAD Group 34 participants were announced by Terry Hejny, director, Nebraska LEAD (Leadership Education/Action Development) Program.

The newest members of Nebraska's premier two-year agricultural leadership development program in its 34th year are made up exclusively of participants who are involved in production agriculture and/or agribusiness in Nebraska, Hejny said.

"We are proud to say that Class 34 appears to be filled with outstanding individuals from throughout the state and I am excited to get started with them," Hejny said.  The two-year program will begin in September.

LEAD Fellows will participate in 12 monthly three-day seminars across Nebraska, a 10-day national study/travel seminar and a 14-16 day international study/travel seminar. The goal of the program is to develop problem solvers, decision makers and spokespersons for agriculture and Nebraska.

Seminar themes include leadership assessment and potential, natural resources and energy, leadership through communication, agricultural policy and finance, our political process, global perspectives, nuclear energy, social and cultural issues, understanding and developing leadership skills, agribusiness and marketing, information technology, advances in health care, the resources and people of Nebraska’s Panhandle and other areas designed to develop leaders through exposure to a broad array of current topics and issues and how they interrelate.

The Nebraska LEAD Program is operated by the non-profit Nebraska Agricultural Leadership Council in cooperation with the Institute of Agriculture and Natural Resources at the University of Nebraska-Lincoln and 10 other institutions of higher education throughout Nebraska.

Nebraska LEAD 34 Fellows in alphabetical order are: Reed Allen, Wayne; Lance Atwater, Hastings; Ashley Babl, Norfolk;    Nicole Bohuslavsky, Omaha; Wayne Brozek, Gering; Adam Bruning, Edison; Jonathan Carlson, Callaway; Josh Cool, Gothenburg; Tabbatha Cornelius, Bassett; Jordan Feller, Wisner; Debra Gangwish, Shelton; Mat Habrock, Lincoln; Todd Heithoff, Elgin; Clayton Hensley, Fremont; Justin Jarecke, Kearney; Tyler Kugler, Elwood; Hilary Maricle, Albion; Brandon Mason, Blair; Mark Miles, Ainsworth; Bryan Palm, Mitchell; Esther Rickert, Wood River; Jacob Robison, Elk Creek; Cecil Schriner, Hildreth; Jeff Schroeder, West Point; Alex Schwarz, Bertrand; Rick Spencer, Culbertson; Misty Stauffer, Harrisburg; Sarah Werner, Davenport; Lance Williams, Nora; and Teri Zimmerman, Wymore.   



21 Graduate from Iowa Corn Leadership Class

Recently, 21 members of the Iowa Corn Leadership Enhancement and Development (I-LEAD) Class 6 graduated and completed their two year leadership journey. The class consisted of farmers, agribusiness and governmental emerging leaders from across the state.

"Over the past two years, I-LEAD members have learned communication skills, gained worldly knowledge, built lasting relationships, and have grown to be leaders for the future of Iowa agriculture," said Bob Hemesath, a farmer from northeast Iowa and an Iowa Corn director who oversaw the program. Integral parts of the I-LEAD program include; gaining an understanding of agriculture, making decisions as a group and developing leadership skills. Many of the two-day meetings are spent discovering more about members' leadership style and building a foundation for working with different personalities and points of view.

This past winter, I-LEAD Class 6 had the opportunity to explore agriculture in a different part of the world. During a ten-day mission to China, members of I-LEAD Class 6 met with government officials, corn customers and industry experts to learn about Chinese culture and the process of developing export markets for Iowa's agricultural commodities through connections with the U.S. Grains Council (USGC) and the U.S. Meat Export Federation (USMEF).

Following the China mission, the class took a domestic mission to California to take a look at agriculture challenges closer to home. Members of the class enjoyed learning about different farming practices, the wide range of crops grown in California and the challenges they face. To conclude their journey, I -LEAD Class 6 spent four days in Washington D.C. learning about national issues and policy.

Graduates of I-LEAD Class IV include: Jarrod Bakker (Dike), Laurie Bedord (Ankeny), Carly Cummings (Ames), Ryan Gallagher (Washington), Paul Gieselman (Morning Sun), Adam Gregg (Johnston), Jeff Johnson (Riverton), Mark Kenney (Ankeny), Josh Lammert (Silver City), Kayla Lyon (Ames), Gretchen McClain (Stockport), Thomas Meierotto (West Des Moines), Devin Mogler (Des Moines), Jason Ribbens (Webster City), Brian Rouse (Emmetsburg), Dan Runner (Gilman), Brent Schipper (Conrad), Vince Sitzmann (Prairie City), Adam Stamp (Ankeny), Jody Van Regenmorter (Inwood) and Chris Wolters (Sanborn).

I-LEAD Class 7 will start their journey in November. For more information, visit iowacorn.org/ilead.



NEBRASKA AGRICULTURAL PRICES FOR AUGUST

Preliminary prices received by farmers for winter wheat for August 2014 averaged $5.90 per bushel, a decrease of 46 cents from the July price according to the USDA’s National Agricultural Statistics Service.

The preliminary August corn price, at $3.70 per bushel, decreased 50 cents from the previous month.

The preliminary August sorghum price averaged $6.10 per cwt, a decrease of 65 cents from July.
  
The preliminary August soybean price, at $11.80 per bushel, was down $1.20 from last month.

The August alfalfa hay price, at $112.00 per ton, was down $1.00 from July. The other hay price, at $87.00 per ton, was down $10.00 from July.



IOWA AGRICULTURAL PRICES IN AUGUST

The preliminary August 2014 average price received by farmers for corn in Iowa was $3.50 per bushel according to the latest USDA, National Agricultural Statistics Service – Agricultural Prices report. This is down $0.56 from the July price, and $2.82 lower than August 2013.

The  preliminary August  2014  average  price  received  by  farmers  for  soybeans,  at  $12.10  per  bushel, was  down $0.90 from the July price, and $2.10 lower than the August 2013 price.

The preliminary August oat price was $3.40 per bushel, down $0.54 from July, and $0.31 below August 2013. 

All hay prices in Iowa averaged $145.00 per ton  in August, up $2.00 from  the July price, but $44.00 per  ton  less than August 2013.  Alfalfa hay prices fell $49.00 per ton from one year ago, to $156.00 and other hay prices were $28.00 per ton lower than last year, at $102.00.  

The preliminary August average price was $24.40 per cwt for milk, up $0.60 from July, and $4.40 per cwt above one year ago.  



August Farm Prices Received Index Unchanged

The preliminary All Farm Products Index of Prices Received by Farmers in August, at 109 percent, based on 2011=100, was unchanged from July. The Crop Index is down 2 points (2.2 percent) and the Livestock Index decreased 1 point (0.8 percent). Producers received higher prices for cattle, milk, apples, and broccoli and lower prices for corn, broilers, soybeans, and wheat. In addition to prices, the overall index is also affected by the seasonal change based on a 3-year average mix of commodities producers sell. Increased monthly movement of cattle, grapes, hogs, and calves offset the decreased marketing of wheat, corn, soybeans, and hay.

The preliminary All Farm Products Index is up 4 points (3.8 percent) from August 2013. The Food Commodities Index, at 120, was unchanged from last month but increased 14 points (13 percent) from August 2013.

All crops:
The August index, at 90, decreased 2.2 percent from July and is 13 percent below August 2013. The lower index for oilseeds & grains was the major contributor to the decline in the all crops index.

Food grains: The August index, at 82, is 3.5 percent below the previous month and 14 percent below a year ago. The August price for all wheat, at $5.85 per bushel, is down 31 cents from July and $1.03 below August 2013.

Feed grains: The August index, at 64, is down 5.9 percent from last month and 38 percent below a year ago. The corn price, at $3.70 per bushel, is down 35 cents from last month and $2.51 below August 2013. Sorghum grain, at $6.79 per cwt, is 61 cents below July and down $2.03 from August last year.

Oilseeds: The August index, at 94, is down 8.7 percent from July and 15 percent lower than August 2013. The soybean price, at $12.20 per bushel, decreased 90 cents from July and is $1.90 below August 2013.

Other crops: The August index, at 98, is down 6.7 percent from last month and 3.9 percent below August 2013. The all hay price, at $185 per ton, is down $7.00 from July but $8.00 higher than last August. The price for upland cotton, at 66.9 cents per pound, is down 15.2 cents from July and 10.0 cents from last August.

Livestock and products:
The August index, at 132, is 0.8 percent below last month but 23 percent higher than August 2013.  Compared with a year ago, prices are higher for cattle, milk, hogs, broilers, calves, and turkeys. The price for market eggs is down from a year earlier.

Meat animals: The August index, at 140, is up 1.4 percent from last month and 30 percent higher than last year. The August hog price, at $88.30 per cwt, is down $5.00 from July but up $14.10 from a year ago. The August beef cattle price of $160 per cwt increased $4.00 from last month and is $39.00 higher than August 2013.

Dairy products: The August index, at 118, is up 1.7 percent from a month ago and 20 percent higher than August last year. The August all milk price of $23.70 per cwt is up 40 cents from last month and $4.10 higher than August 2013.

Poultry & eggs: The August index, at 124, is down 8.8 percent from July but 8.8 percent above a year ago. The August market egg price, at 86.2 cents per dozen, decreased 18.8 cents from July and is 0.8 cents lower than August 2013. The August broiler price, at 60.0 cents per pound, is down 6.0 cents from July but 6.0 cents above a year ago. The August turkey price, at 73.0 cents per pound, is down 1.0 cent from the previous month but up 5.6 cents from a year earlier.

Prices Paid Index down 1 Point
The August Index of Prices Paid for Commodities and Services, Interest, Taxes, and Farm Wage Rates (PPITW) is at 111 (2011=100). The index is down 1 point (0.9 percent) from July but 5 points (4.7 percent) above August 2013. Lower prices in August for feeder pigs, complete feeds, concentrates, and mixed fertilizer more than offset higher prices for feeder cattle, herbicides, supplies, and insecticides.



NEBFARMPAC Endorses State Senator Brad Ashford for Congress in General Election

Nebraska Farmers Union’s Political Action Committee, NEBFARMPAC announced their enthusiastic endorsement of State Senator Brad Ashford for Congress in the Second Congressional District in the General Election.  They made their announcement at an afternoon event hosted by NEBFARMPAC for Ashford and Congresswoman Jan Schakowsky of Illinois.  The event highlighted the economic development benefits of renewable energy and urban agriculture.

The NEPFARMPAC Board made the following statement:

“We know Brad Ashford.  “Our organization has enjoyed a positive working relationship with State Senator Brad Ashford as we have worked with him on a wide range of issues for the past sixteen years he has served in the Legislature. He is a known and proven public official.  He has an open door, and an open mind.  State Senator Ashford is an even handed problem solver.  He tackles the tough problems by gathering the facts, and then bringing people together to solve problems and represent the public’s best interests.   He is a proven public servant.”

“State Senator Brad Ashford represents the bi-partisan problem solving approaches that is needed in Congress to bring together different ideas and forge solutions,” said Gale Lush of Wilcox, NEBFARMPAC President.  “The extreme partisanship in recent years has created a toxic atmosphere in Congress that has produced the least productive Congress in recent history if not ever.  We need to send people to Washington, D.C. who knows how to get things accomplished and represent the folks back home.”

NEBFARMPAC Secretary and Nebraska Farmers Union President John Hansen said “There is a reason why the voter approval rating of Congress has rightly sunk to an embarrassing 18%.  That reason is that Congress has forgotten that its job is to govern and do the people’s business.  Instead of working together to solve problems for the good of society, they participate in hyper-partisanship winner take all politics.  It is time for a change.  NEBFARMPAC endorses and recommends Brad Ashford to voters because we believe he represents the very best attributes of a dedicated, hardworking, non-partisan Nebraska State Senator in our unique, non-partisan, one-house unicameral legislative system.  We think Brad Ashford’s 16 years of outstanding public service earns him our unanimous and enthusiastic endorsement for Congress in the Second Congressional District.” 



FREE BQA Certifications from Sept. 1-Oct. 31

For the third time, Boehringer Ingelheim Vetmedica, Inc. (BIVI) is supporting the checkoff-funded Beef Quality Assurance (BQA) program by sponsoring all online certifications this fall for producers who enroll from September 1-October 31.

Boehringer Ingelheim Vetmedica, Inc. BIVI will pick up the $25-$50 certification fee for beef or dairy producers who are interested in becoming certified or recertified during this period. Visit www.BQA.org/team to take advantage of the open certification period.

The BQA program is important to the cattle industry as it gives producers a set of best practices for producing a safe and high quality beef product. And for dairy producers, this offering is also beneficial as a large percentage of dairy calves and market cows make their way into the food chain.

The BQA certification modules are customized to fit the specific needs of each segment of the cattle industry – cow-calf, stocker, feedyard and dairy operations. The program covers best management practices such as proper handling and administration of vaccinations and other products, eliminating injection site blemishes, and better cattle-handling principles.

“One of the challenges that beef producers face is having all of their employees become BQA-certified,” says Dr. Jerry Woodruff, Professional Services Veterinarian with Boehringer Ingelheim Vetmedica, Inc. “Boehringer Ingelheim Vetmedica’s partnership with BQA helps offset some of those expenses, and we encourage producers and their employees to use the web-based training programs.”

More than 11,000 producers have taken advantage of Boehringer Ingelheim Vetmedica Inc.’s BQA certification partnership. Boehringer Ingelheim Vetmedica Inc.’s partnership also includes financial support of the Beef Cattle Institute at Kansas State University, which developed the certification module.



Gulf Offshore Aquaculture Rule Finally Released for Comment
(American Soybean Associaiton)

A long-awited notice of proposed rulemaking on the Gulf Fisheries Management Plan was published in the Federal Register on Aug. 28, 2014. The rule will set up a permitting process for offshore aquaculture operations in the Gulf of Mexico and has been widely anticipated by ASA and offshore aquaculture stakeholders. A link to the proposed rule is here. The 60-day comment period closes on Oct. 27, 2014.

The Gulf of Mexico Fishery Management Council prepared the plan in 2009. The Federal Registerannouncement states that “If implemented, this rule would establish a comprehensive regulatory program for managing the development of an environmentally sound and economically sustainable aquaculture industry in Federal waters of the Gulf of Mexico…The purpose of this rule is to increase the yield of Federal fisheries in the Gulf by supplementing the harvest of wild caught species with cultured product.”

ASA met with NOAA (National Oceanic and Atmospheric Administration) and OMB (Office of Management and Budget) officials in May to urge publication of the rule. In conjunction with the Soy Aquaculture Alliance, ASA will review the proposal and offer comments on areas where it can be improved. State associations are encouraged to comment as well.



U.S. Corn Exports to the Middle East and North Africa Surge this Marketing Year
(US Grains Council)

Exports of U.S. coarse grains and co-products to the Middle East and North Africa have rebounded dramatically this marketing year due to price, world market conditions and consistent trade servicing.

As of Aug. 21, the region had outstanding sales and accumulated imports of U.S. corn of nearly 4.4 million metric tons (173 million bushels) for this marketing year, which ends Aug. 31. This is in stark contrast to the fewer than 300,000  tons (11.8 million bushels) that went to the region in 2012/2013. “The U.S. Grains Council is staying in touch with the major buyers in the region, reminding them what’s going on with U.S. price wise,” said USGC Regional Director of the Middle East and Africa Cary Sifferath.

“We are also reminding them about U.S. corn and DDGS, corn gluten feed and other products to help them consider bringing in some combination shipments. The Council also does a fair number of technical programs working with the feed, broiled and dairy industries to keep them up to date.”




Vietnam Grants Licenses to Four Genetically-Modified Corn Varieties
(USGC)

The Vietnamese Ministry of Agriculture and Rural Development (MARD) for the first time has granted licenses to four genetically-modified corn varieties to be used for both human consumption and animal feed.

This process started four years ago when Vietnam announced it would start field trials of these four varieties of genetically-modified corn. Since then, the varieties have gone through extensive testing and evaluation, as well as being approved by Vietnam’s Council of Food Safety for Genetically-Modified Food and Animal Feed.

This is partly a result of years of educational outreach by the U.S. Department of Agriculture (USDA) Foreign Agriculture Service (FAS) and the U.S. Grains Council (USGC) promoting science-based approaches to biotechnology among policy-makers, said Adel Yusupov, USGC regional director of south and southeast Asia.

The Council believes that the introduction of these genetically-modified varieties will foster sustainable agriculture in the country and increase the quality of its corn.

“It is certainly a welcomed development in Vietnamese agriculture that will improve the livelihood of Vietnamese grain farmers, reduce feed costs for the animal sectors and reduce Vietnam’s reliance on imported feed ingredients,” Yusupov said. “The decision also shows Vietnam’s modern and proactive approach to solving agrarian problems.”

Even though this regulation could reduce Vietnam’s reliance on imports, the country’s macro-economic conditions – including population growth, continual urbanization and dietary shifts towards increased animal protein consumption – offer prospects for increase in feed grain demand and imports of U.S. coarse grains and related co-products.



Enrollment for New Dairy Farm Risk Management Program to Begin Sept. 2

Agriculture Secretary Tom Vilsack today announced that starting Sept. 2, 2014, farmers can enroll in the new dairy Margin Protection Program. The voluntary program, established by the 2014 Farm Bill, provides financial assistance to participating farmers when the margin – the difference between the price of milk and feed costs – falls below the coverage level selected by the farmer.

The U.S. Department of Agriculture (USDA) also launched a new Web tool to help producers determine the level of coverage under the Margin Protection Program that will provide them with the strongest safety net under a variety of conditions. The online resource, available at www.fsa.usda.gov/mpptool, allows dairy farmers to quickly and easily combine unique operation data and other key variables to calculate their coverage needs based on price projections. Producers can also review historical data or estimate future coverage based on data projections. The secure site can be accessed via computer, Smartphone, tablet or any other platform, 24 hours a day, seven days a week.

"We've made tremendous progress in implementing new risk management programs since the Farm Bill was signed over six months ago," said Vilsack. "This new program is another example of this Administration's commitment to provide effective safety net programs that allow farmers and ranchers to manage economic risks beyond their control. And the supplemental Web tool will empower the nation's 46,000 dairy producers to make decisions that make sense for them."

Development of the online resource was led by the University of Illinois, in partnership with the USDA and the Program on Dairy Markets and Policy (DMaP). DMaP partners include the University of Illinois, the University of Wisconsin, Cornell University, Pennsylvania State University, the University of Minnesota, Ohio State University and Michigan State University.

The Margin Protection Program, which replaces the Milk Income Loss Contract program, gives participating dairy producers the flexibility to select coverage levels best suited for their operation. Enrollment begins Sept. 2 and ends on Nov. 28, 2014, for 2014 and 2015. Participating farmers must remain in the program through 2018 and pay a minimum $100 administrative fee each year. Producers have the option of selecting a different coverage level during open enrollment each year.

Dairy operations enrolling in the new program must comply with conservation compliance provisions and cannot participate in the Livestock Gross Margin dairy insurance program. Farmers already participating in the Livestock Gross Margin program may register for the Margin Protection Program, but the new margin program will only begin once their Livestock Gross Margin coverage has ended.

The Margin Protection Program final rule will be published in the Federal Register on Aug. 29, 2014. The Farm Service Agency (FSA), which administers the program, also will open a 60-day public comment period on the dairy program. The agency wants to hear from dairy operators to determine whether the current regulation accurately addresses management changes, such as adding new family members to the dairy operation or inter-generational transfers. Written comments must be submitted by Oct. 28, 2014, at www.fsa.usda.gov or www.regulations.gov.

The 2014 Farm Bill also established the Dairy Product Donation Program. The program authorizes USDA to purchase and donate dairy products to nonprofit organizations that provide nutrition assistance to low-income families. Purchases only occur during periods of low dairy margins. Dairy operators do not need to enroll to benefit from the Dairy Product Donation Program.



NMPF Pleased with Newly Unveiled Margin Protection Program for Dairy Farmers

The new margin protection insurance program for dairy farmers, which was developed by the National Milk Producers Federation and enacted in the 2014 Farm Bill, was formally unveiled today by Agriculture Secretary Tom Vilsack. NMPF said it is pleased with the overall provisions of the new program, and urged farmers to begin familiarizing themselves with what will be a “valuable tool” to help manage farms’ financial risks in the future.

“Today’s release of the new dairy program’s details is the culmination of five years of work by NMPF, the nation’s dairy cooperatives and other farm groups to create an important new safety net for dairy farmers,” said Jim Mulhern, President and CEO of NMPF. “We applaud the U.S. Department of Agriculture on its hard work during the past six months putting the final touches on the dairy provisions of Congress’s Farm Bill. While some of the issues we raised could not be fully resolved in the short time available to complete the rulemaking, we’re pleased with the final package.”

Mulhern said NMPF will be working in the coming weeks to help dairy farmers understand the importance of the new safety net program. He said the organization is updating its www.futurefordairy.com website with relevant information for farmers, including a spreadsheet of historical margin trends, and an online calculator that will allow farmers to enter pricing and production data to help them select insurance coverage levels in the future.

Every farm producing milk commercially is eligible to sign up for the new program. USDA said producers can sign up at their local Farm Service Agency offices starting on Sept. 2, and the sign-up period will run through November 28. This 13-week period will allow farmers to register for coverage for the last four months of calendar year 2014, as well as for the entire year of 2015. There is a $100 sign-up fee for each calendar year, which qualifies a farmer to receive free, basic margin insurance coverage. Once farmers pay that fee, they are enrolled in the MPP for its duration, through 2017, and must annually pay at least the $100 fee.

The MPP allows farmers to protect the margin between milk prices and feed costs. Producers will insure their margins on a sliding scale, and must decide annually both how much of their milk production to cover (from 25% up to 90%), and the level of margin they wish to protect.

Basic coverage, at a margin of $4 per hundredweight, is offered at no cost. Above the $4 margin level, coverage is available in 50-cent increments, up to $8 per cwt. Premiums are fixed for five years, but will be discounted by 25% in 2014 and 2015, for annual farm production volumes up to 4 million pounds. Premium rates are higher at production levels above 4 million pounds.

Importantly, USDA agreed with NMPF that the lower premiums will apply to the first 4 million pounds of a farm’s enrolled annual milk production, regardless of the farm’s total production. For example, a farm with an annual production history of 8 million pounds that elects to cover 50% of its production history would pay the lower rate on all 4 million pounds enrolled in the program. Farmers will be able to change their coverage (the percentage of milk insured, as well as margin level) on an annual basis, with USDA establishing a 90-day enrollment window of July 1-Sept. 30 each year after 2014.

The MPP’s margin definition is the national all-milk price, minus national average feed costs, computed by a formula NMPF developed using the prices of corn, soybean meal, and alfalfa hay. Farms in the program will be assigned a production history consisting of their highest milk production in either 2011, 2012 or 2013. A farm’s production history will increase each year after the farm first signs up based on the average growth in national milk production. Any production expansion on an individual farm above the national average cannot be insured.

When the margins announced by USDA for the consecutive two-month periods of Jan.-Feb., Mar.-Apr., May-June, etc., fall below the margin protection level selected by the producer (from $8/cwt. down to $4), the program will pay farmers the difference on one-sixth (or two months’ worth) of their production history at the percentage of coverage they elected to insure. Premiums must be paid either in full at sign-up, or 25% by February 1, with the remaining 75% balance to be paid by June 1. NMPF had urged USDA to provide greater flexibility on producer premium payment, such as through milk check deductions. “While USDA advised us they did not have time to set up such a system for the initial launch of MPP, we will continue to work with the department in an effort to modify this feature for future years,” Mulhern said.

“The new Margin Protection Program is more flexible, comprehensive and equitable than any safety net program dairy farmers have had in the past,” Mulhern said. “It is risk management for the 21st century, and we strongly encourage farmers to invest in using it going forward.”

Also today USDA issued the rules for another element of the farm bill’s dairy title design to help farmers: a Dairy Product Donation program through which USDA will purchase consumer-packaged dairy products for food assistance programs during extreme low-margin periods. “This is a positive step as well,” said Mulhern, “since it will stimulate demand, help dairy farmers when they need it most, and provide additional food to those in need.”



New Vaccine from BIVI doubles up against Salmonella in pigs

Veterinarians and producers now can protect pigs against two of the most virulent types of Salmonella with a single, convenient oral dose administered by the drinking water or oral drench.

Boehringer Ingelheim Vetmedica, Inc. (BIVI) introduces a new swine enteric vaccine. Enterisol® Salmonella T/C is the only swine single-dose oral vaccine labeled as an aid in preventing disease due to Salmonella Choleraesuis and Salmonella Typhimurium when administered by drinking water.

"Among traditional enteric diseases affecting pigs today, Salmonella is one of the most widespread, resilient organisms and for many producers, may be a common cause of lost production on farms," said Greg Cline, DVM, technical manager for enteric products at BIVI. "Preventing both common types of Salmonella is the most effective way to protect pigs from disease, improve pig performance and increase farm profits."

Either type of Salmonella infection can be harmful to pigs and costly to producers:
-    Salmonella Choleraesuis is more invasive and can result in septicemia, bronchopneumonia and death. Although there are no food safety concerns with S. Choleraesuis, it is more devastating in terms of mortality and lost production.
-    Salmonella Typhimurium infection is more localized. It causes diarrhea that can lead to dehydration and reduced performance. Because S. Typhimurium poses a food safety risk to humans, producers should be especially vigilant in preventing this disease.
    
“Extensive research has documented the vaccine’s effectiveness against both types of Salmonella”, Cline said.

"After the 14-day Salmonella Choleraesuis challenge period, clinical signs were significantly reduced in the vaccinated pigs" he said. "Specifically, there was no dehydration, mortality, abnormal body condition or fever. No clinical signs or adverse events from the vaccine were reported."

Results of the Salmonella Typhimurium study also are encouraging.

"Vaccinated pigs had a significant reduction in clinical disease," Cline said.

Enterisol® Salmonella T/C is available in lyophilized (freeze-dried) or frozen formulations. It can be administered via the drinking water or oral drench to pigs as young as two weeks of age.

In addition, oral delivery of the vaccine results in less stress for pigs and greater convenience for workers by eliminating the need for injections. Oral vaccination through the drinking water may also improve worker safety and pork quality.

"Immunization, along with the implementation of proper sanitation programs, biosecurity protocols and diagnostic tools, can reduce the impact of salmonellosis in your swine herd, improve the safety of the pork you provide and increase farm profitability," Cline adds. “This newest enteric vaccine fits easily into a producer’s preventive disease management strategy.”