Thursday January 8 Ag News

Nebraska Farm Bureau’s Ag Edge Conference focuses on Farm Technology, Ag Markets, Policy Issues and More

Nebraska farmers and ranchers can’t control the weather, but there are other areas where decision making can dramatically affect their operation’s profitability in 2015 and beyond. The Nebraska Farm Bureau Federation’s 2015 Ag Edge Conference will bring both local and national experts to the Cornhusker Marriott in Lincoln, Feb. 19-20, to help give farmers and ranchers a competitive edge today for success tomorrow, according to Nebraska Farm Bureau President Steve Nelson.  

“Managing risk in agriculture operations is key to protecting farmers and ranchers bottom lines. The weather, global markets, new technologies and politics all impact agriculture and volatility in the marketplace. The focus of this conference is to give attendees information and tools to help manage these issues,” said Nelson.

National speakers headlining the conference include Dr. Vincent Malanga, of LaSalle Economics Inc., a consulting firm that specializes in financial market analysis and economic forecasting. Also headlining the conference is Matt Bechdol, the Founder of GeoSilos, an agriculture data consulting firm that helps agriculture companies maximize the use of data for analysis.

“Farmers and ranchers operate in a world economy and that doesn’t just affect commodity prices, but input costs as well. Dr. Malanga is widely recognized for his expertise in these areas as it relates to agricutlure. Matt Bechdol is on the national forefront of data technology in agriculture and that includes understanding how we are rapidly moving from ‘precision agriculture’ to the next step of analyzing on-farm data for improved farming performance,” said Nelson. 

Nebraska farmers are also facing many decisions related to a new farm bill and constantly dealing with regulatory issues. The Ag Edge conference will feature local experts from the University of Nebraska to discuss farm bill programs and representatives from the Carrier Enforcement division of the Nebraska State Patrol to discuss recent changes in farm transportation regulations. While farmers can’t control the weather, it’s still a focal point in agriculture and Nebraska State Climatologist Al Dutcher will also present at the conference. In addition, conference attendees will also have the opportunity to hear from Nebraska Farm Bureau Federation staff on key state and national legislative and regulatory initiatives in the new session of the state Legislature and in Congress.

“This conference is targeted to farmers and ranchers, but anyone involved in any facet of Nebraska agriculture will find value from attending,” said Nelson.

The Ag Edge Conference registration is $100 for both days for Farm Bureau members, which includes a special members-only reception with Nebraska’s elected officials. For non-members the two-day conference registration is $130 per person. For more information or to register for the conference visit www.nefb.org or contact Whittney Kelley at 402-421-4760 or via email at whittneyk@nefb.org.



2015 NEBRASKA LEGISLATIVE COMMITTEES

Agriculture (8)
Rm. 2102 - Tuesday
Johnson (C), Bloomfield, Chambers, Harr, B., Kolterman, Larson, Riepe, Schilz

Appropriations (9)
Rm. 1524 - Monday & Tuesday
Rm. 1003 - Wednesday, Thursday, & Friday
Mello (C), Bolz, Haar, K., Hilkemann, Kintner, Kuehn, Nordquist, Stinner, Watermeier

Banking, Commerce and Insurance (8)
Rm. 1507 - Monday & Tuesday
Scheer (C), Campbell, Craighead, Gloor, Howard, Lindstrom, Schumacher, Williams

Business and Labor (7)
Rm. 2102 - Monday
Harr, B. (C), Bloomfield, Chambers, Crawford, Ebke, Johnson, McCollister

Education (8)
Rm. 1525 - Monday & Tuesday
Sullivan (C), Baker, Cook, Groene, Kolowski, Morfeld, Pansing Brooks, Schnoor

General Affairs (8)
Rm. 1510 - Monday
Larson (C), Coash, Hansen, Hughes, Kolterman, Krist, Riepe, Schilz

Government, Military and Veterans Affairs (8)
Rm. 1507 - Wednesday, Thursday, & Friday
Murante (C), Bloomfield, Craighead, Garrett, Groene, Hansen, Larson, McCoy

Health and Human Services (7)
Rm. 1510 - Wednesday, Thursday, & Friday
Campbell (C), Baker, Cook, Crawford, Howard, Kolterman, Riepe

Judiciary (8)
Rm. 1113 - Wednesday, Thursday, & Friday
Seiler (C), Chambers, Coash, Ebke, Krist, Morfeld, Pansing Brooks, Williams

Natural Resources (8)
Rm. 1525 - Wednesday, Thursday, & Friday
Schilz (C), Friesen, Hughes, Johnson, Kolowski, Lindstrom, McCollister, Schnoor

Nebraska Retirement Systems (6)
Rm. 1525 - At call of Chair
Nordquist (C), Davis, Groene, Kolowski, Kolterman, Mello

Revenue (8)
Rm. 1524 - Wednesday, Thursday, & Friday
Gloor (C), Brasch, Davis, Harr, B., Scheer, Schumacher, Smith, Sullivan

Transportation and Telecommunications (8)
Rm. 1113 - Monday & Tuesday
Smith (C), Brasch, Davis, Friesen, Garrett, McCoy, Murante, Seiler

Urban Affairs (7)
Rm. 1510 - Tuesday
Crawford (C), Coash, Ebke, Hansen, Hughes, Krist, McCollisterSelect Committees

Committee on Committees (13)
McCoy (C)
District 1: District 2: District 3:
Campbell Harr, B. Bloomfield
Coash (VC) Krist Hadley
Garrett Mello Schilz
Schumacher Smith Watermeier

Enrollment and Review (1)
Hansen (C)

Reference (9)
Krist (C), Watermeier (VC), Campbell, Chambers, Coash, Hadley, Hughes, Larson, Murante,
Mello (nonvoting ex officio)

Rules (6)
Garrett (C), Bloomfield, Krist, Nordquist, Schumacher, Hadley (ex officio)

Executive Board of the Legislative Council (9)
Krist (C), Watermeier (VC), Campbell, Chambers, Coash, Hadley, Hughes, Larson, Murante,
Mello (nonvoting ex officio)




Johanns Elected to Deere & Company Board of Directors

Deere & Company (NYSE: DE) announced today that former U.S. Senator Michael O. Johanns has been elected to its board of directors effective January 8, 2015. Johanns recently completed his term in the Senate after deciding not to run for re-election. He has also previously served as the U.S. Secretary of Agriculture and as governor of Nebraska.

"Mike's wide range of expertise in the areas of agriculture, banking, commerce, foreign trade, law and governance will be valuable assets for the Deere & Company Board of Directors," said Samuel R. Allen, Deere's chairman and chief executive officer. "We are pleased Mike has agreed to join the Deere Board."

Johanns was governor of Nebraska from 1999 until 2005. He was appointed U.S. Secretary of Agriculture in 2005 and served in that capacity until 2007. He was elected to the U.S. Senate in 2008 and announced in 2013 that he would not run for re-election.

Johanns is a graduate of Saint Mary's University of Minnesota and Creighton University School of Law. Before his election as governor, he had been elected to various local government positions in Nebraska, including as a member of the Lancaster County Board and the Lincoln City Council and as mayor of Lincoln for two terms.

With Senator Johanns' election, Deere & Company's Board totals 12 members, 11 of whom are independent directors.



Jan. 18 “FARMLAND” Showing Includes Live Discussion with Farmer Featured in Film

The Friends of Saunders County 4-H and Extension Foundation are hosting a showing of the film, “FARMLAND” on Sunday, January 18 at on January 18, 2015, at the Performing Arts and Learning Center, Wahoo High School, 2201 N. Locust in Wahoo.   The film begins at 4:00 p.m.

FARMLAND steps inside the world of farming and ranching for a glimpse into the lives of six young farmers and ranchers.  Oscar and Emmy award winning director James Moll traveled across the country meeting young farmers and ranchers and learning about the challenges and promises of growing and raising food. The high-risk/high reward jobs and passion for a way of life that many farmers and ranchers pass down from generation to generation is highlighted. The film was made with financial support of the U.S. Farmers & Ranchers Alliance®.

David Loberg is a fifth-generation Nebraska corn and soybean farmer from near Carroll, Nebraska.  He is one of the featured farmers in the film and will be at the showing in Wahoo.  Following the presentation, Loberg will take part in an interactive discussion with the community.

There is no charge for this presentation.  Donations will be accepted.

For more information contact:  Carrie Duffy ( 402)290-7847, Amy Whitehead (402)480-8485, or Susan Thomas (402)944-7852.

Official trailer for the feature length documentary is available at farmlandfilm.com.  In case of weather related cancellation the film will be shown on January 25 at 4 p.m.



Agri/Eco-Tourism Workshop to be held in February

The Nebraska Tourism Commission is accepting registrations for its annual Agri/Eco-Tourism Workshop. The event is designed for those who want to learn more about the agri/eco-tourism industry. It will be held February 23-25, 2015 at the Holiday Inn Hotel & Convention Center in Kearney.

“Nebraska’s agricultural heritage and love of the land makes this the perfect place for nature based tourism. Our research clearly shows us that visitors adore Nebraska’s wide-open spaces and enjoy experiencing the land first-hand. It’s a chance to escape the pressure of city life and to slow down and reconnect with loved ones,” commented Kathy McKillip, Director of the Nebraska Tourism Commission.

Conference attendees usually include farmers, ranchers, outfitters, vineyard operators, u-pick operators, managers of eco-tourism attractions, Chambers of Commerce staff and more.

Attendees will get:
•             Ideas for planning for emergencies
•             Tips for getting the most out of your land
•             Examples of fresh marketing ideas
•             Methods for analyzing potential market opportunities
•             Inspiration for potential cross-marketing opportunities
•             Guidance on how to calculate return on investment

Keynote Speaker Joe Calhoon, business growth consultant and author, will be doing a three hour workshop on Business Growth Made Simple.  The interactive, hands-on, workshop is packed with idea generators, exercises, real-life success stories, guidelines, and action steps for developing a clear and compelling plan to improve your business.

There will be a pre-workshop business tour at Mac’s Creek Winery and Vineyards.  They will share their story and “behind the scenes” insight on what it takes to start and maintain a family business and strive to build the business throughout the years.

To get more information about the 2015 Agri/Eco-Tourism Workshop or to register, go to:
http://industry.visitnebraska.com/index.php?option=com_content&view=article&id=93&Itemid=56. 

If you have any questions about the conference or would like information on sponsorships, please call Karen Kollars at 308-249-3220.

A block of rooms has been reserved at the Holiday Inn Hotel & Conference Center in Kearney until January 25.  The room rate for workshop attendees is $84.95 per night for standard rooms plus tax. Call the Holiday Inn directly at 308-237-5971 and specify you are with Nebraska Tourism’s 2015 Agri/Eco-Tourism Workshop when making reservations.



November Meat Export Volumes Lower, but Value Remains on Record Pace

U.S. beef and pork export volumes trended lower in November, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF). However, the cumulative 2014 volume totals were still higher year-over-year, with January-November beef exports up 2 percent to 1.1 million metric tons (mt). Pork exports were also 2 percent higher at just under 2 million mt.

With December totals still to be recorded, beef exports already set a new full-year value record of $6.49 billion (up 16 percent year-over-year). Pork export value through November ($6.13 billion, up 11 percent) is on pace to break the 2012 record and already exceeds the 2013 year-end total.

November results were mixed for beef exports, with volume down 5 percent from a year ago to 96,348 mt, while value was 19 percent higher at $626.7 million. November pork exports were down 13 percent in volume (168,062 mt) and 6 percent in value ($519.9 million).

USMEF President and CEO Philip Seng said that while the first 11 months of 2014 reflect a very solid performance for U.S. beef and pork, exports face heightening economic challenges in leading markets in the coming year.

“Demand for U.S. beef and pork remains strong, as international buyers appreciate the unmatched quality and consistency of our products,” he said. “But lower slaughter numbers reduced 2014 supplies, which obviously had an impact on prices, and in recent months buying power in many key markets has been affected by slowing economic growth and weaker currencies. Market access restrictions in several important markets, including China and Russia, also had a big impact on opportunities for U.S. exports last year. The outlook for 2015 is for more of the same, but our industry has proven its ability to identify and develop export outlets in difficult times. When I look across the world as a whole, I still see good potential for further expansion of red meat exports in 2015.”

Key Asian markets drive beef export value to record heights
November beef exports equated to 15 percent of total production and 12 percent of muscle cut production, compared to 14 percent and 11 percent, respectively, a year ago. For January through November, exports equated to 14 percent of total production and 11 percent for muscle cuts (up from 13 percent and 10 percent). Export value per head of fed slaughter was $359.77 in November (up 35 percent from a year ago) and $293.96 for January-November (up 16 percent).

November exports to leading market Japan were the smallest since March at 18,449 mt – reflecting a seasonal slowdown – but export value ($136.5 million) was still up 35 percent. January-November exports increased 3 percent in volume (225,328 mt) and 13 percent in value ($1.47 billion) as U.S. beef continued to reclaim market share in Japan.

Other January-November beef results include:
-   Exports to Hong Kong surpassed $1 billion for the first time ($1.01 billion, up 39 percent) on volume of 137,435 mt (up 19 percent).
-   Strong momentum continued for U.S. beef in South Korea, as exports were up 14 percent in volume (107,147 mt) and 44 percent in value ($762.8 million). On a value basis, U.S. market share in Korea climbed from 38 percent in 2013 to 42 percent in 2014.
-   Exports to Taiwan rebounded from a slow start in 2014, reaching 30,984 mt (up 6 percent) valued at a record $264.8 million (up 15 percent).
-   While exports to Mexico slowed in November, totals were still up 14 percent in volume (219,712 mt) and 28 percent in value ($1.05 billion) for the year. (As USMEF has noted previously, however, data issues from January-May 2013 suggest that year-over-year growth for 2014 is likely overstated.)

Pork export pace slows in leading markets Mexico, Japan
November pork exports equated to 25 percent of total production and 20 percent of muscle cut production – down from 26 percent and 22 percent a year ago. For January through November, exports equated to 27 percent of total production (up from 25.5 percent) and 22 percent for muscle cuts (up from 21 percent). Export value per head slaughtered was $58.99 in November (up 3 percent from a year ago) and $63.21 for January-November (up 17 percent).

Exports to leading volume market Mexico slowed in November (53,433 mt, down 9 percent) but January-November volume still reached 617,034 mt, up 10 percent from a year ago. Export value was 2 percent lower in November ($121.8 million) but still up 31 percent year-over-year to a record $1.42 billion.

Pork muscle cut exports to Japan were down 22 percent in November (25,901 mt) and fell 19 percent in value ($120.3 million). For January-November, muscle cut exports to Japan were down 6 percent in volume (354,239 mt) and 2 percent in value to $1.66 billion. The Japanese market has been greatly impacted by an influx of pork from the European Union, which has been locked out of its top market, Russia, since January 2014. Data from Japan show that pork/pork variety meat imports from the EU increased 42 percent through November, reflecting lower prices resulting from the impasse with Russia.

Other January-November pork results include:
-   Exports to Korea have already surpassed 2013 year-end totals in both volume (120,724 mt, up 40 -percent from a year ago), and value ($392.3 million, up 64 percent).
-    Led by Colombia, exports to the Central/South America region remain on a record volume pace (112,101 mt, up 3 percent) and have already set a new value record of $316.4 million (up 15 percent). Although exports to Colombia slowed in the fourth quarter, January-November totals were still up 42 percent in volume (43,716 mt) and 54 percent in value ($123.8 million).
-    While pork exports to Canada were 9 percent lower in volume (191,355 mt), export value remained strong at $832.1 million – up 7 percent year-over-year and approaching the full-year record of $855.7 million set in 2012.

November lamb exports lose momentum
U.S. lamb exports were lower in November, breaking a four-month run of year-over-year increases. January-November exports were down 15 percent in volume (9,673 mt) and 1 percent in value ($25.6 million). Exports increased to Mexico, the Caribbean, the United Arab Emirates, Panama and the Philippines, but these results did not fully offset a sharp decline in exports to Canada. Lamb muscle cut exports fared better, achieving a 6 percent increase in value ($15.7 million) despite a 6 percent decline in volume (2,621 mt).



FAA Grants Permits for Agriculture, Real Estate Drones

(AP) - The Federal Aviation Administration on Tuesday issued permits to use drones to monitor crops and photograph properties for sale, marking the first time permission has been granted to companies involved in agriculture and real estate.

The exemptions to the current ban on commercial drone flights were granted to Advanced Aviation Solutions in Star, Idaho, for "crop scouting," and to Douglas Trudeau of Tierra Antigua Realty in Tucson, Arizona.

Advanced Aviation Solutions plans to use its 1.5-pound, fixed-wing eBee drone to make photographic measurements of farm fields, determine the health of crops and look for pests. The aim is to save farmers time walking through fields. The drone also can carry sensors that pick up information invisible to the naked eye, which can help determine which fields need watering.

Trudeau's exemption authorizes him to fly a Phantom 2 Vision+ quadcopter to "enhance academic community awareness and augment real estate listing videos," the FAA said.

Real estate companies have been eager to gain permission to use drones to photograph and make videos of pricey properties.

The permits require that drone operations include both a ground "pilot" and an observer, that the pilot have at least an FAA private pilot certificate and a current medical certificate, and that the drone remains within line of sight of the operator at all times.

Before these approvals, the FAA had granted 12 exemptions to 11 companies involved in the oil and gas, filmmaking, landfill and other industries.

As of today, the FAA has received 214 requests for exemptions from commercial entities.

The agency is under pressure from Congress, the drone industry and companies that want to use drones to provide broader access to U.S. skies. FAA officials had said they hoped to propose regulations to permit general commercial use of small drones by the end of 2014, but that deadline has slipped.

Industry forecasts predict drones will create tens of billions of dollars in economic development and create thousands of new jobs once commercial use is permitted, but an Associated Press poll conducted in early December found Americans are skeptical of the benefits of heralded drone revolution.

Thirty-three percent of Americans oppose using drones to monitor or spray crops, while another third support it. Only 27 percent of Americans favor using drones for aerial photography. Privacy and safety are key concerns.

FAA officials say preventing potentially deadly collisions between drones and manned aircraft is their top priority. The agency receives reports nearly every day of small drones flying in the vicinity of manned aircraft and airports even though that's not permitted.



Corn Growers Joins Cuba Coalition in Call for Level Playing Field on Trade

The National Corn Growers Association today joins U.S. Department of Agriculture Secretary Tom Vilsack and fellow farm and food organizations seeking to end the United States’ embargo against Cuba and advance trade relations between the two nations.

The U.S. Agriculture Coalition for Cuba is composed of more than 30 U.S. agricultural and food organizations committed to building a deeper U.S.-Cuba relationship.

Although agricultural exports to Cuba are legal, the financing and trade restrictions have hampered the ability of American farmers to compete with other countries, such as Argentina and Brazil, which do not face the same restrictions. U.S. corn exports to Cuba have decreased from nearly 800,000 metric tons in 2008 to 200,000 tons in 2013.

NCGA President Chip Bowling issued the following statement:

"Cuba is not a level playing field for American farmers. It’s time we have a chance to better compete for Cuba’s business. NCGA has long supported normalized trade relations with Cuba, as part of our efforts to expand markets for U.S. corn and feed the world. We are proud to join this coalition. We will work closely with our fellow coalition members to advance a trade relationship with Cuba that is efficient, globally competitive, and benefits both nations.”

More information on the coalition, including a list of charter members, can be found at www.USAgCoalition.com.



Soy Growers Join Fellow Ag Groups to form U.S. Agriculture Coalition for Cuba

The American Soybean Association (ASA) joined fellow farm and food organizations as well as Agriculture Secretary Tom Vilsack today for the launch of the U.S. Agriculture Coalition for Cuba (USACC). Soybeans, soybean meal and soybean oil combine to represent the nation's largest agricultural export, and soy meal is a critical protein source in pork and poultry feed. The demand for these products is growing exponentially in Cuba, as it is in other Latin American and Caribbean markets, and ASA President Wade Cowan noted the potential of the opening of the Cuban market for American soy growers in the following statement:

"Like any new and developing market, Cuba represents a great opportunity for soybean farmers in the U.S.," said Cowan. "We are proud to be part of the USACC because expanding our relationships with markets like Cuba generates concrete value for American farmers by increasing demand not only for soybeans, but also for the livestock and meat products that make up our largest customer base. While we've been able to sell beans in Cuba for years now, we're a long way from being completely open for business in that country. As part of the USACC, we'll work with our fellow organizations at all points in the supply chain to ensure that the relationship between the U.S. and Cuba is one that benefits both our countries."



U.S. Wheat Farmers Anticipate Increased Trade Opportunities with Cuba

U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) are pleased to be founding members of the U.S. Agricultural Coalition for Cuba (USACC). The organizations are encouraged by President Obama’s efforts to renew diplomatic relations with Cuba. However, it is unclear if these actions alone will be enough to restore the Cuban wheat market for U.S. farmers. That is why they share USACC’s mission to re-establish Cuba as a market for U.S. food and agricultural exports.

Cuba, which does not grow wheat commercially, is the largest wheat market in the Caribbean, purchasing almost all of its wheat from the European Union and Canada. In the recent past, Cuba has imported more than 16.3 million bushels (445,000 metric tons) of wheat in a single year from the United States, sales that today would represent a value of nearly $123 million. However, under current rules set by the Treasury Department’s Office of Foreign Assets Control, the United States can only export agricultural products to Cuba through the use of third-party, foreign banks, which makes facilitating trade burdensome and often more expensive for Cuba. Partly as a result, Cuba has not purchased U.S. wheat since 2011.  

“U.S. wheat farmers are excited about the prospect of exporting more wheat to Cuba,” says NAWG President Paul Penner, a wheat farmer from Hillsboro, KS. “NAWG has long supported strengthened trade relations with Cuba and see this as a historic step in that direction.”

“The U.S. wheat industry applauds these efforts to normalize trade relations, which take concrete steps away from a policy approach towards Cuba that has accomplished little,” said USW President Alan Tracy.  “If U.S. trade with Cuba can increasingly respond to economics rather than politics, we believe our wheat market share there will eventually grow from its current level of zero to around 80 to 90 percent, as it is in other Caribbean nations.  We have a natural competitive advantage over other suppliers.”



NMPF, USDEC and IDFA Support Coalition Efforts to Facilitate U.S. Dairy Exports to Cuba

The National Milk Producers Federation (NMPF), U.S. Dairy Export Council (USDEC) and International Dairy Foods Association (IDFA) joined other food and agricultural organizations in support of additional changes in U.S. policy to facilitate U.S. dairy exports to Cuba and permit open travel for all Americans to that nation. The dairy organizations are members of the U.S. Agriculture Coalition for Cuba, a coalition of more than 30 trade associations and companies championing an end to the U.S. embargo against Cuba.

The dairy groups say one of the biggest impediments to trade is the lack of financing to allow for payment in a manner that it is commercially viable. They stressed the importance of policy changes that would remove costly and unnecessary burdens on U.S. agricultural exporters by allowing payment to pass from Cuba directly to U.S. banks in place of the current requirement that payments be routed through banks in other countries.

Jim Mulhern, president and CEO of NMPF, urged members of Congress to seek changes in policy that would remove travel restrictions and reform financing rules for U.S. food products destined for Cuba. “NMPF believes that unilateral U.S. government actions should not hinder U.S. dairy exporters from selling their products to any nation,” said Mulhern. “We look forward to expanding our ability to more easily provide the Cuban people and those Americans wishing to travel to Cuba with the nutritious and safe foods that we produce in such abundance here in the United States.”

“Right now, the U.S. has been forced to largely cede this neighboring market to our competitors,” added Tom Suber, president of USDEC. “Cuba has been importing approximately $200 million worth of dairy products in recent years, but virtually none of that has come from our exporters due to the restrictions they face in trading with Cuba.”

“Cuba is a natural market for IDFA members, and we look forward to further opening that market for U.S. dairy products,” said Connie Tipton, president and CEO of IDFA.

In addition to the embargo’s financial provisions, the three organizations said lifting travel restrictions could help U.S. agricultural exports by allowing exporters to more easily conduct business with Cuba and spurring greater demand for U.S. agricultural products in Cuba.

Members of the U.S. Agriculture Coalition for Cuba are the American Farm Bureau Federation, American Soybean Association, Corn Refiners Association, Illinois Cuba Working Group, Illinois Soybean Growers, Illinois Farm Bureau, International Dairy Foods Association, National Association of State Departments of Agriculture, National Association of Wheat Growers, National Barley Growers Association, National Chicken Council, National Corn Growers Association, National Council of Farmer Cooperatives, National Farmers Union, National Grain and Feed Association, National Milk Producers Federation, National Oilseed Processors Association, National Sorghum Producers, National Turkey Federation, North American Export Grain Association, North American Meat Institute, Soyfoods Association of North America, United Soybean Export Council, U.S. Canola Association, U.S. Dairy Export Council, U.S. Dry Bean Council, U.S. Wheat Associates, USA Rice Federation, Smithfield Foods, Chicago Foods International, Cargill and CoBank.



Argentina Grains Enter '15 Looking Good

As Argentina's soybean and corn planting enters the final stages, the crops look in generally good condition, according to the Buenos Aires Cereals Exchange.

Early-planted corn and soybean crops are entering key development stages with soil moisture levels average to good and pest and disease incidents limited in most areas.

In the case of corn, excellent yields are already anticipated from early-planted crops, said the exchange in a weekly report.

Argentina has already planted 93.5% of its 50.9 million acres of soybeans projected for this season. Remaining are some areas in the north, where there are some seed quality problems and the south where dryness is an issue. According to the exchange, these issues may trim planted area a little.

Some 80.9% of the projected 7.4 million acres of corn has been put in the ground.



Market Challenges and Federal Policy to Take Center Stage at National Biodiesel Conference

The end of 2014 delivered two powerful shocks to the transportation fuels sector. First, the Organization of the Petroleum Exporting Countries (OPEC) refused to decrease production to offset reduced demand, leading to the lowest oil prices in years. Then, the U.S. Environmental Protection Agency (EPA) announced it would finish the year without setting annual federal renewable fuels volume requirements for gas and diesel distributors.

Those burning energy issues and more will be hot topics at the annual National Biodiesel Conference and Expo January 19 – 22 at the Fort Worth Convention Center. And with demonstrations and discussions among thousands of biodiesel producers, distributors and enthusiasts in store, local residents are invited to come learn more for themselves on the second day of the big show.

“With a new Congress convening in Washington, DC, promising significant new legislation aimed at biofuels and the energy sector, it just makes sense that we will be highlighting some of these same issues in the heart of the of domestic oil and gas industry,” said Joe Jobe, CEO of the National Biodiesel Board (NBB).

This will be the 12th straight year NBB will produce the premier U.S. biodiesel event. Highlights of this year’s conference and expo include:
-    An opportunity for attendees and the public to test biodiesel vehicles at a unique ride-and-drive experience;
-    Automakers and fleets will display their latest cars and trucks at the vehicle showcase;
-    Texas fleet managers will share their experiences with biodiesel and how it’s making a difference in the Lone Star State;
-    A session on biodiesel infused heating oil shaking up the industry, and much, much more.

But energy policy will be front-and-center of the discussions, with state and federal experts on all sides of the issue presenting their views and expectations.

Of particular importance to biofuel producers is the fate of the Renewable Fuel Standard, the federal policy enacted under President George W. Bush with bipartisan support that ensures minimum volumes of biodiesel and other renewables are blended into the fuel supply. The year ended clouded in controversy as the EPA never finalized a rule for 2014’s volume requirements.

“Without a rule in place,” Jobe said, “biodiesel producers are hesitant to invest in their businesses and employees. In some cases, the uncertainty over the EPA potentially scaling back volume requirements has led some producers to shutter plants and lay off staff. The industry needs confidence that the federal government is committed to advanced biofuels and supportive of our growth.”

Biodiesel – made from a variety of resources including soybean oil, recycled cooking oil, and animal fats– is the first advanced biofuel to produce more than a billion gallons of fuel three years running. In fact, at 1.7 billion gallons annual production, biodiesel currently supplies about five percent of the on-road diesel market.

“Our producers are trying to penetrate a market that has been dominated by the oil industry – with many subsidized advantages – for nearly a century,” Jobe continued. “Everyone agrees competition is a good thing. We need predictability in the RFS to help generate that competition and let it take on a life of its own from there.”



Soy Growers Welcome Roberts to Chair of Senate Agriculture Committee; Thank Stabenow for Exceptional Service

With the swearing in of the 114th Congress this week, Senate Republicans appointed Sen. Pat Roberts of Kansas as the next chairman of the Senate Committee on Agriculture Nutrition and Forestry. Outgoing Chairwoman Debbie Stabenow of Michigan will become ranking member. The American Soybean Association (ASA), which has worked extensively with both lawmakers, signaled its praise of Roberts, and its optimism for the agricultural policy landscape in the coming Congress.

"We are thankful for a wonderful working relationship with Chairman Roberts, and we're excited for what's to come on his watch," said ASA President and Brownfield, Texas, farmer Wade Cowan. "Chairman Roberts has built a deep and fluent knowledge of agricultural policy, specifically the crop insurance and disaster assistance programs that are so vital to the success of soybean farmers. What's more, Chairman Roberts has made each of his farm policy decisions based on the concept that farm programs should encourage farmers to grow what the market demands. His approach is one that doesn't distort the marketplace and enables farmers to have the flexibility and confidence they need to be successful. At his core, he understands the intricacies of our industry, and we look forward to a great partnership with him."

ASA also expressed its gratitude to Ranking Member Stabenow for her leadership of the committee for the past four years. Sens. Stabenow and Roberts led the Agriculture Committee as chair and ranking member, respectively, for the majority of Stabenow's time as chairwoman, and together laid the majority of the framework for the 2014 Farm Bill.

"We can't overstate the impact that Ranking Member Stabenow's leadership has had on the success of American soybean farmers," said Cowan. "As a direct result of her determination, resolve and bipartisan leadership, we have a set of enacted laws--not just good ideas on a drawing board--that help us stay competitive and successful every day. We owe her our most sincere thanks and look forward to continuing our relationship with her as ranking member."

Roberts becomes the first lawmaker to serve as chairman of the agriculture committees in both the House and the Senate, and both he and Stabenow are past recipients of ASA's Soy Champion Award.



Money-Saving Early Registration for 20th Commodity Classic Ends January 15

The deadline for saving on registration fees to the 20th Commodity Classic is approaching quickly. Early bird registration ends Thursday, Jan. 15, for the event, which will be held in Phoenix, Ariz., Feb. 26-28.   Online registration and details about the event are available at www.CommodityClassic.com.

Full registration includes admission to:
-    All educational sessions including Learning Centers, Early Riser sessions, What's New sessions and Mini What’s New sessions
-    The huge trade show, including box lunch on Thursday and Friday and a mid-morning snack on Saturday in the trade show
-    The General Session featuring top-notch speakers and the leadership of the commodity organizations
-    The banquet of the American Soybean Association or National Corn Growers Association (based on space availability and not guaranteed)
-    The Evening of Entertainment, featuring country music star Craig Morgan
-    The Opening Reception

As an added bonus this year, all full registrants will receive complimentary access to video recordings of 2015 educational programs including Learning Centers, Early Riser and What's New sessions following the conclusion of Commodity Classic.

The 2015 version of the Commodity Classic app for smart phones and tablets is currently available. The new app, which can be downloaded via one's operating system’s app store, enables attendees to plan their entire schedule during Commodity Classic.

Established in 1996, Commodity Classic is America's largest farmer-led, farmer-focused convention and trade show, produced by the National Corn Growers Association, American Soybean Association, National Association of Wheat Growers and National Sorghum Producers. Starting in 2016, the Association of Equipment Manufacturers and many of its members will be joining the event.

For more information, visit www.CommodityClassic.com. 



Cargill reports second-quarter earnings up 41%; 7% increase through first six months

Cargill today reported net earnings of $784 million in the fiscal 2015 second quarter ended Nov. 30, up 41 percent from $556 million in the year-ago period. First-half earnings were $1.21 billion, a 7 percent increase from $1.13 billion a year ago. Second-quarter revenues decreased 8 percent to $30.3 billion, which brought first-half revenues to $63.6 billion.

“With first-rate performance in our agricultural, animal nutrition and meat businesses, Cargill posted strong results, outpacing recent quarters by a good margin,” said David MacLennan, Cargill’s president and chief executive officer. “Just as last quarter’s focus was on getting ready for North America’s big harvest, the current quarter was all about execution. Our team did an excellent job serving farmer customers and fully utilizing our supply chains to meet domestic and export demand.”

MacLennan also said the company drew on the diversity of its animal nutrition and protein businesses around the world to help animal and livestock producers make the most of favorable demand fundamentals and satisfy consumers’ growing interest in adding more protein to their diets.

“We’re pleased to kick off Cargill’s 150th year in business with these positive results. We look forward to many more years of serving the changing needs of our customers and stakeholders.”

Segment performance:
The Origination & Processing segment was the largest contributor to Cargill’s second-quarter results, with earnings up considerably from the year-earlier period. Record corn and soybean harvests in the U.S., combined with strong domestic and export demand, boosted soybean origination, crush volumes, and bean and meal exports. Grain origination and exports via the U.S. Gulf of Mexico also were robust. Canadian performance stayed strong, bolstered by the country’s 2014 harvest, the carryover from 2013’s record crops and a steady export pull. Recent years’ capital investments in grain-handling capacity and efficiency, and an expanded portfolio of agronomic, grain marketing and risk management solutions for farmer customers also enhanced Cargill’s North American-based earnings. Results in South America were curbed by the challenging macroeconomic environment, including the effects of delayed farmer selling on supply chains in Argentina and Brazil.

Animal Nutrition & Protein earnings rose significantly from the year-ago period. Within the segment, animal nutrition results increased moderately, with lower raw material costs and applied expertise in micronutrients and other specialty ingredients contributing to the uptick. A broad-based performance put the segment’s animal protein businesses well ahead of last year. Results were led by Australian beef processing, and U.S. cattle feeding and pork processing. The U.S. turkey business enjoyed one of its best holiday seasons. Actions taken to refresh its retail brands, including branded offerings of fresh bone-in turkey breasts and fresh whole turkeys raised without growth-promoting antibiotics, were rewarded by strong retail demand.

Earnings in Food Ingredients & Applications decreased from the year-ago period. Excluding a charge related to the announced closure of the Memphis, Tenn., corn mill, segment earnings were up moderately for the quarter. Among the areas with improved operating performance were texturizing ingredients, staple foods in Brazil, and North American ethanol production, flour milling, and salt and deicing products. Though a significant contributor, earnings softened in global cocoa and chocolate. Results declined in refined edible oils in some regions.

Industrial & Financial Services results were mixed, but down in total from the year-ago period. Energy earnings rose on a combined basis, reinforced by effective risk management in volatile global oil markets. Ocean transportation and metals trading results strengthened in the second quarter but remained below the prior-year period. Asset management results trailed last year’s second quarter.



WinField® Helps Farmers Simplify Data Management Through Collaborations With Open Ag Data Alliance and AgGateway

WinField has increased its participation in two separate efforts to help simplify the exchange of information between software platforms while ensuring that farmers retain ownership and control of their data.

WinField and the Open Ag Data Alliance (OADA) are helping farmers put their data to work through the use of communication protocols enabling secure data transfer and common logins between cloud systems across the agricultural industry that prevent needing to enter similar or identical information multiple times.  Additionally, WinField and AgGateway are working to promote standardization of data formats and conversions for better compatibility between systems.

“Our engagements with OADA and within AgGateway will enable WinField retailers to better help farmers leverage the benefits of their valuable data, while ensuring data privacy and individual ownership,” said Dave Gebhardt, Ph.D., director of agronomic data and technology, WinField. “WinField is also developing its own proprietary data management solution to perform in this environment.”

“WinField continues to provide significant leadership and positive contributions to collaborative eBusiness efforts within AgGateway,” said Rod Conner, president and chief executive officer, AgGateway. “This has included leading key efforts within our precision agriculture projects, and in other major areas that will boost business efficiency.”

Another important capability being explored by OADA is the best way to have multiple clouds communicate with each other without compromising farmers’ data privacy or ownership.  “The central guiding principle of OADA is that farmers own the data they generate on their farm.  To that end, we’re building open source frameworks and protocols that will enable the industry to create apps and services that work seamlessly with any system on their farm in ways that let the farmer decide where, when, and with whom to share their data with just the push of a button.”

Gebhardt likens the collaborations between WinField and OADA, and WinField and AgGateway, to ones common in high-tech locales such as the Silicon Valley, where ideas are created and tested between parties, and ultimately developed and leveraged for the benefit of a wide user audience. 

“All signs point to big data and data science being here to stay,” said Gebhardt. “What we as an industry still need to figure out is how to best work together so it’s clear that farmers own their data, and can confidently and safely manage its use.”