Friday February 20 Cattle on Feed + Ag News

NEBRASKA CATTLE ON FEED UP 2 PERCENT

Nebraska feedlots, with capacities of 1,000 or more head, contained 2.49 million cattle on feed on February 1, according to the USDA’s National Agricultural Statistics Service. This inventory was up 2 percent from last  year.  Placements during January totaled 495,000 head, down 9 percent from 2014.  Fed cattle marketings for the month of January totaled 450,000 head, down 4 percent from last year.  Other disappearance during January totaled 15,000 head, unchanged from last year.



IOWA CATTLE ON FEED UP 5%

Cattle and calves on feed for slaughter market in Iowa for all feedlots totaled 1,275,000 on February 1, 2015, according to the USDA, National Agricultural Statistics Service – Cattle on Feed report. The inventory is up 5 percent from January 1, 2015, and up 5,000 head from February 1, 2014. Feedlots with a capacity greater than 1,000 head had 660,000 head on feed, up 3 percent from last month but unchanged from last year. Feedlots with a capacity less than 1,000 head had 615,000 head on feed, up 6 percent from last month and up 1 percent from last year.

Placements during January totaled 195,000 head, a decrease of 3 percent from last month but up 9 percent from last year.  Feedlots with a capacity greater than 1,000 head placed 100,000 head, down 1 percent from last month and down 12 percent from last year. Feedlots with a capacity less than 1,000 head placed 95,000 head. This is down 5 percent from last month but up 46 percent from last year.

Marketings for January were 134,000 head, up 7 percent from last month and up 2 percent from last year. Feedlots with a capacity greater than 1,000 head marketed 78,000 head, down 2 percent from last month but up 10 percent from last year. Feedlots with a capacity less than 1,000 head marketed 56,000 head, up 24 percent from last month but down 8 percent from last year. Other disappearance totaled 6,000 head.



United States Cattle on Feed Up Slightly
   
Cattle and calves on feed for slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 10.7 million head on February 1, 2015. The inventory was slightly above February 1, 2014.

Placements in feedlots during January totaled 1.79 million, 11 percent below 2014. Net placements were 1.71 million head. During January, placements of cattle and calves weighing less than 600 pounds were 405,000, 600-699 pounds were 340,000, 700-799 pounds were 477,000, and 800 pounds and greater were 565,000.

Marketings of fed cattle during January totaled 1.63 million, 9 percent below 2014. January marketings are the lowest since the series began in 1996.  Other disappearance totaled 77,000 during January, 8 percent above 2014.

2014 Cattle on Feed and Annual Size Group Estimates
Cattle and calves on feed for slaughter market in the United States for feedlots with capacity of 1,000 or more head represented 81.6 percent of all cattle and calves on feed in the United States on January 1, 2015, up from 81.3 on January 1, 2014.

Marketings of fed cattle for feedlots with capacity of 1,000 or more head during 2014 represented 87.2 percent of all cattle marketed from feedlots in the United States, up from 86.9 percent during 2013.


Number of Cattle on Feed (1,000 head, % of Feb '14)
Colorado ...:        890           94    
Iowa ..........:       660          100     
Kansas .......:      2,090          102  
Nebraska ...:      2,490          102     
Texas .........:      2,490          102     


Number of Cattle Placed on Feed (1,000 hd, % of Jan '14)
Colorado ....:       135            71     
Iowa ..........:        100            88     
Kansas .......:        410            94   
Nebraska ...:        495            91     
Texas .........:        350            86     


Number of Cattle Marketed (1,00 hd, % of Jan '14)
Colorado ......:       140            82        
Iowa .............:        78           110        
Kansas ..........:       355            92         
Nebraska ......:       450            96        
Texas ............:       345            90         



Private Pesticide Applicator Certification Classes next week in Dodge County
Nathan Mueller, UNL Extension Educator

The 2015 growing season is just around the corner and I’m sure you are already in the process of making preparations.  As you check important “to do” items off your list remember to look at your Nebraska Department of Agriculture pesticide applicator card to see if this is your year to recertify.

Remember, a private pesticide applicator is one who uses or supervises the use of restricted use pesticides in the production of agricultural commodities on land owned or rented by him/her or his/her employer, farmers, ranchers and orchardists.

2015 Private pesticide applicator certification in Dodge County is scheduled as follows:
Date                                        Time                                       Location                                   
February 25                  1:30 p.m.   –   4:30 p.m.             Municipal Building, Dodge
February 26                  1:30 p.m.   –   4:30 p.m.             UNL Extension Office, Fremont
February 26                  5:30 p.m.   –   8:30 p.m.             UNL Extension Office, Fremont

Additional training dates and times are available at: https://edmedia.wufoo.com/reports/2015-psep-private-training-dates-/. 

Private pesticide applicator certification sessions serve as both initial- and re-certification.  The certification cost is $30 payable to University of Nebraska – Lincoln at the conclusion of training.  Following certification the Nebraska Department of Agriculture will bill you $25 for your license.  Note that certification and licensing became two separate operations beginning in 2002.  You are not eligible to purchase or apply restricted use pesticides until you are both certified and licensed.  A self-study course may be completed instead of attending a certification session.  The self-study course is $60 plus the $25 license fee.

The application process will again be expedited this year for applicators that have their private pesticide applicator cards with them (with applicator number legible) and a letter that you have/will receive(d) from the Nebraska Department of Agriculture that has a bar code on it.  Please bring your current card and correspondence that you receive(d) from the Nebraska Department of Agriculture with you.

If you have any questions please feel free to call us at 402-727-2775 or e-mail me.



USDA CELEBRATES THE FIRST YEAR OF THE 2014 FARM BILL

A year ago, President Obama signed the 2014 Farm Bill into law. Since that time, the U.S. Department of Agriculture (USDA) has been busy administering programs and services across Nebraska to help farmers, ranchers, foresters, and rural communities.

The Farm Bill has had an impact across Nebraska through programs implemented by USDA Agencies. The Farm Service Agency (FSA), Natural Resources Conservation Service (NRCS) and Rural Development (RD) Agencies work with individuals and communities across the state on issues dealing with economics, sustainability and access to current technology, just to name a few.

NRCS Acting State Conservationist Doug Christensen said, “This past year has been an exciting opportunity for our employees to implement new programs available through the 2014 Farm Bill. Through the conservation title of the Farm Bill, NRCS in Nebraska provided over 1,500 conservation contracts in fiscal year 2014, on over 1.1 million acres to local landowners and producers.”

FSA State Director, Dan Steinkruger said, “Implementing Farm Bill programs is always a challenge and our Nebraska Offices have jumped right in.  Over the last year, Nebraska livestock producers have received financial assistance for 2012, 2013 and 2014 disaster losses.  Implementation of the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) safety net programs are currently underway.”

Maxine Moul, Rural Development state director said, “Because of the 2014 Farm Bill, rural agricultural producers and small business owners can now apply for resources to purchase and install renewable energy systems or make energy efficiency improvements.  The bill also provided additional resources for micro entrepreneurs and for water and waste water projects in communities of less than 10,000 population.”

For more information about the programs and services available through the 2014 Farm Bill, visit www.usda.gov.



January Milk Production up 2.1 percent
                       
Milk production in the 23 major States during January totaled 16.5 billion pounds, up 2.1 percent from January 2014. December revised production at 16.3 billion pounds, was up 3.4 percent from December 2013. The December revision represented an increase of 14 million pounds or 0.1 percent from last month's preliminary production estimate.

Production per cow in the 23 major States averaged 1,918 pounds for January, 17 pounds above January 2014. This is the highest production per cow for the month of January since the 23 State series began in 2003.

The number of milk cows on farms in the 23 major States was 8.62 million head, 103,000 head more than January 2014, and 8,000 head more than December 2014.

Iowa:  Milk production in Iowa during January 2015 totaled 410 million pounds, up 5 percent from January 2014 according to the USDA, National Agricultural Statistics Service – Milk Production report. This is the highest January milk production for Iowa since 1967. The average number of milk cows during January, at 210,000 head, was up 1,000 from last month, and 5,000 more than a year ago. Monthly production per cow averaged 1,950 pounds, up 45 pounds from last January.

2014 Annual Milk Production up 2.4 Percent from 2013
The annual production of milk for the United States during 2014 was 206 billion pounds, 2.4 percent above 2013. Revisions to 2013 production increased the annual total 13 million pounds. Revised 2014 production was up 52 million pounds from last month's publication.

Production per cow in the United States averaged 22,258 pounds for 2014, 442 pounds above 2013. The average annual rate of milk production per cow has increased 13.9 percent from 2005.

The average number of milk cows on farms in the United States during 2014 was 9.26 million head, up 0.4 percent from 2013. The average number of milk cows was revised up 2,000 head for 2014.

2014 State Statistics
Iowa ........:  207,000 milk cows,  22,444 lbs/cow,   4,646 million pounds total production +0.8% '13
Nebraska..:  54,000 milk cows,  22,130 lbs/cow,  1,195 million pounds total production, +2.6% '13    



Iowa State Helps Develop App for Recording Pesticide Applications

Meeting state and federal pesticide record-keeping requirements can be as easy as pulling out a smartphone or tablet for producers and agribusinesses, thanks to an app Iowa State University helped develop.

The Pesticide Safety Education Program at Iowa State worked on the Pesticide and Field Records app for iOS and Android systems with funding from the Iowa Department of Agriculture and Land Stewardship and the Environmental Protection Agency. It is available at no charge from the iTunes store (Pesticide and Field Records Plus) and Google Play (Pesticide and Field Records). 

The ISU Extension and Outreach program, formerly known as the Pest Management and the Environment Program, is working with the developers to improve the app’s usefulness and features, said Kristine Schaefer, program manager and extension program specialist.

The app is designed to help producers and agricultural businesses record and maintain pesticide application information. It allows users to document pesticide application information and link the information to specific field locations using satellite mapping.

The app also features a product search option that lists EPA product registration numbers and identifies restricted use products. The iPad version, and an updated release of the Android version scheduled for late February, includes printing and emailing capabilities.



Another Pork Production Record Expected in 2015

U.S. meat and poultry production will rise to a record 95.13 million pounds in 2015, with gains in pork and poultry output more than offsetting a slight drop in beef production, the U.S. Department of Agriculture forecast on Thursday.

Reuters reports that total U.S. pork production was seen up 5.5 percent at 24.09 million pounds, while poultry output was forecast to rise 3.6 percent to 39.95 million pounds, both all-time highs.

Beef production this year was expected to drop 0.1 percent to 24.22 million pounds.

Average hog prices in 2015 were forecast at $56.00 per hundredweight, down 26.3 percent from last year's record $76.03 per cwt, and average steer prices were seen rising 4.8 percent to a record $162.00 per cwt, the USDA said.



PMA, ILWU Announce West Coast Waterfront Contract

The Pacific Maritime Association and the International Longshore and Warehouse Union today  announced a tentative agreement on a new five-year contract covering workers at all 29 West Coast ports. The deal was reached with assistance from U.S. Secretary of Labor Tom Perez and Federal Mediation and Conciliation Service Deputy Director Scot Beckenbaugh. The parties will not be releasing details of the agreement at this time.

The agreement is subject to ratification by both parties.  “After more than nine months of negotiations, we are pleased to have reached an agreement that is good for workers and for the industry,” said PMA President James McKenna and ILWU President Bob McEllrath in a joint statement. “We are also pleased that our ports can now resume full operations.”



ASA Points to Truck Weight Limit Study, Urges Congress to Include Increased Truck Capacity and Efficiency in 2015 Highway Bill

The American Soybean Association (ASA) is touting a research project released yesterday by the Soy Transportation Coalition (STC) that examines the effects of increasing truck weight limits on federal highways. The project, titled, “Heavier Semis: A Good Idea?” was funded by the soybean checkoff and is an update of a 2009 report that looks at the impact of increasing truck weight limits on federal roads and bridges from the current 80,000 lbs., with a five axle configuration to 97,000 lbs., with the addition of a sixth axle. The analysis specifically looked at the impacts on motorist safety, infrastructure wear and tear, and potential cost savings and efficiency gains for agriculture and the U.S. economy.

Demand for trucking is projected to continue to increase in the U.S. in coming years and ASA is urging Congress to increase investments in every facet of our transportation infrastructure, including roads and bridges, locks and dams, ports, and measures that will improve rail service as well. Increasing trucking capacity and efficiency is a logical and essential step to meeting our current and future transportation needs.

The STC study provides additional support and justification that increasing trucking capacity can be done with no adverse impact to safety while providing significant economic benefits. Increasing truck weight limits on federal highways will not compromise safety. First and foremost, allowing six axle, 97,000 lbs. semis will result in fewer semis on the road compared to the status quo and fewer trucks on the road will result in fewer accidents and injuries. The studies and analysis also show that the braking distance of a six axle truck weighing 97,000 lbs. is the same as a five axle, 80,000 lbs. truck. These are not just theories and studies, but results that have been proven by real world experience in other countries such as Canada and the United Kingdom that have implemented higher truck weight limits and seen a reduction in truck related accidents. The STC study projects such an approach in the U.S. will result in 98 fewer motorist fatalities by 2022.

The study further highlights how a six axle, 97,000 lbs. semi will result in a reduction of weight per tire of 35 lbs. compared to a five axle, 80,000 lbs. semi – reducing wear and tear on the nation’s roads. Many states already allow weights higher than 80,000 lbs on state roads.

For transporting soybeans and soy products, allowing six axle, 97,000 lbs. semis will result in 1.2 million fewer truck trips, 5.5 million fewer gallons of fuel consumed, 56 thousand fewer tons of carbon dioxide emissions, and between $11 million - $28 million in reduced fuel costs. The use of a six axle, 97,000 lbs. semi will enable a farmer to transport at minimum an additional 183 bushels of soybeans per load. By 2022, this will annually save soybean farmers 602,000 truck trips, 1.7 million gallons of fuel, and between $4 million - $8 million in reduced fuel costs.

As Congress considers reauthorization of the Surface Transportation bill (aka the Highway bill) this year, ASA urges and will continue to advocate for the inclusion of provisions to allow states to adopt increased truck weight limits of 97,000 lbs. for six axle trucks on federal interstates. It's safer, more efficient, and necessary to meet the growing transportation needs for soybean farmers and many other U.S. industries.



Soy Growers Discuss Regulatory Challenges, Stepping-Up Consumer Engagement at Annual NOPA Meeting

Leaders in the oilseed industry met this week to discuss key issues, including regulatory challenges and consumer education.

The American Soybean Association’s Executive Committee joined the United Soybean Board, US Soybean Export Council and oilseed processor leaders for the annual National Oilseed Processors Association (NOPA) meeting in California, where discussion included the global economy, engaging consumers and implications of the 2014 mid-term elections.

One positive outcome concluded is the demand from meat customers, including pork, poultry, beef and aquaculture, is robust and growing as populations and incomes rise worldwide.

A key takeaway from the meeting is the continued need of the industry to fight against regulatory challenges, on both the farm and processing plant levels. Industry leaders also underscored the importance of ramping up efforts to educate consumers on biotechnology, how farmers produce what they eat and the work that goes into meeting consumer needs for healthy, affordable food.

On Thursday, ASA President Wade Cowan joined USSEC Chairman Laura Foell, USB Chairman Bob Hazelwood, U.S. Canola Association President Ryan Pedersen and NOPA Chairman Chris Nikkel, of Bunge, on an industry panel to discuss ways the oilseed industry can work together to be successful when facing these challenges.



USDA Cold Storage Highlights

Total red meat supplies in freezers were up 14 percent from the previous month and up 5 percent from last year. Total pounds of beef in freezers were up 10 percent from the previous month and up 14 percent from last year. Frozen pork supplies were up 18 percent from the previous month but down 4 percent from last year. Stocks of pork bellies were up 13 percent from last month but down 39 percent from last year.

Total frozen poultry supplies on January 31, 2015 were up 11 percent from the previous month and up 5 percent from a year ago. Total stocks of chicken were up 2 percent from the previous month and up 6 percent from last year. Total pounds of turkey in freezers were up 45 percent from last month and up 1 percent from January 31, 2014.

Total natural cheese stocks in refrigerated warehouses on January 31, 2015 were up 2 percent from the previous month and up 3 percent from January 31, 2014.  Butter stocks were up 41 percent from last month and up 3 percent from a year ago.

Total frozen fruit stocks were down 10 percent from last month and down 6 percent from a year ago.  Total frozen vegetable stocks were down 9 percent from last month and down 1 percent from a year ago.



New Study on Abuse of WTO Agricultural Rules Could Help Focus Doha Round Negotiations

Several influential countries are not complying with the domestic agricultural support commitments they made as members of the World Trade Organization (WTO). That is the conclusion of a study sponsored by U.S. commodity organizations and introduced to agricultural negotiators Wednesday, Feb. 18, 2015, in Geneva, Switzerland. Those organizations made the point that recognizing the current realities in agricultural support and trade could help improve the chances of finally reaching a Doha Round agreement.

The study was conducted by DTB Associates, Washington, DC, and updates a similar study conducted in 2011. U.S. Wheat Associates (USW) was one of the sponsors of the latest study indicating that the governments of India, China, Turkey, Brazil and Thailand have dramatically increased trade distorting subsidies for wheat, corn or rice production over the past ten years to levels that exceed their WTO agreements — in most cases by large margins. That information has not been readily available to WTO negotiators.

“U.S. wheat farmers strongly support the goals of the WTO and the Doha Round,” said USW President Alan Tracy. “We also believe every WTO member must follow the rules. Sadly, the facts we have uncovered show this is not the case.”

Member countries are required to report their domestic support levels to WTO regularly, but more than 650 notifications were late as of November 2014, Tracy noted. Turkey has not reported its support since its 2001 crop year. China has not reported since 2008 and India just submitted a notification last fall covering seven crop years to make them current through 2010. However, the study demonstrates that even notifications that have been reported often rely on faulty methodology.

“This study shines a light on what is really happening,” said USW Vice President of Policy Shannon Schlecht. “What it shows is a massive increase in government-sanctioned support prices and violations of Aggregate Measure of Support agreements that are distorting world trade in wheat, corn and rice.”

The minimum government prices reported in the study indicated a significant increase in support for wheat production in these countries over the past several years. Since the original study in 2011, a few countries increased their minimum support price for wheat by $50 to $100 per metric ton.   

Under the Uruguay Round Agreement of the mid 1990s, WTO member countries agreed to abide by limits on Aggregate Measure of Support (AMS). The DTB study showed India, China, Turkey and Thailand have exceeded their AMS commitments by a wide margin. WTO records show that the United States has always met its annual notification commitment and has never exceeded its AMS limit of $19.1 billion.

The fact that these countries have far exceeded their WTO support commitments leads to serious trade distortions. An insightful example may be found in the Indian government’s wheat production and trade policies.

The study determined that India’s minimum support price for wheat increased by 111 percent between 2005/06 and 2013/14. India recently notified the WTO of a much lower increase but the study showed that the Indian government used faulty tactics to calculate the number it reported, a number that many other WTO members have questioned. 

Increasing support levels gave Indian farmers an artificial incentive to produce more wheat. In fact, India’s wheat production increased by 35 percent over those seven years to record levels. That buoyed world wheat supplies and increased pressure on prices that hurt wheat farmers in other countries.

Over the same time, Indian wheat exports increased from 300,000 metric tons (MT) to 6.5 million MT. The study also included evidence that India is offering wheat export subsidies that are also illegal under its WTO commitment. Yet, claiming it must maintain a large public stockpile of grain to maintain food security as an advanced developing country, India has demanded exemptions to its trade-distorting levels of support.

“We agree with our U.S. agricultural negotiators that we see no possibility of concluding the Doha agreement by pursuing the same approach used over the last decade,” Schlecht said. “Hopefully the facts in the study will help raise awareness of the current realities of trade-distorting farm subsidies. Without this information it will be impossible for WTO members to achieve a balanced Doha Round conclusion across the domestic support, market access and export competition pillars."