Tuesday August 4 Ag News

Nebraska and Iowa Governors Announce American Ethanol Pump Labeling Initiative

Governors of the nation's top two ethanol-producing states jointly announced the launch of a statewide pump labeling initiative to promote the American Ethanol brand.

Nebraska Governor Pete Ricketts and Iowa Governor Terry Branstad have announced the implementation of new fuel pump labels featuring the American Ethanol brand.  The American Ethanol brand will provide nationwide consistency in pump labeling for all ethanol blends including E10, E15, E30 and E85.

The American Ethanol brand was originally introduced in 2011 when NASCAR adopted E15 (15% ethanol) as its fuel of choice.  Nebraska and Iowa are among the first states to introduce the brand at retail locations. Both states are offering new pump labels free of charge to retailers across Iowa and Nebraska.  In each state, the new labels have been approved by the state agencies that govern pump labeling.

"This new brand label will provide a consistent consumer experience at pumps across the state and capitalize on the high profile that American Ethanol has enjoyed through the NASCAR partnership," said Governor Branstad.  "We want to make it even easier for consumers to find this clean-burning, high-performance fuel wherever they travel."

Governor Ricketts emphasized the clean air benefits of ethanol blended fuel. "When it comes to air quality, American Ethanol-blended fuel burns cleaner,” said Governor Ricketts. “The new pump labels are a great way to inform consumers of the wealth of benefits American Ethanol-blended fuels provide. It is cost-effective, American-made, renewable and better for our environment.”

According to the American Lung Association of the Upper Midwest, American Ethanol-blended fuel burns cleaner and improves air quality compared to regular gasoline. When drivers use American Ethanol, they’re improving air quality and reducing the causes of asthma, heart disease and lung cancer not only for themselves but also their children and grandchildren. American Ethanol lowers the level of toxic, cancer-causing emissions in vehicle exhaust—reducing air pollution, improving human health, and reducing greenhouse gas emissions.

With 3.8 billion gallons of annual production and 42 ethanol plants, Iowa leads the nation in ethanol production.  Nebraska is second with more than two billion gallons of annual production and 24 plants.  "The ethanol industry has re-energized rural communities and added value to agricultural production in our states," Governor Branstad said.  "Ethanol production has created good jobs, generated tax revenue and helped our nation improve its energy security."

"Ethanol transforms corn into fuel, animal feed and economic vitality all across Nebraska and Iowa," Governor Ricketts added.  "In Nebraska, the Golden Triangle of corn, livestock and ethanol gives us a unique advantage for economic growth and national leadership in the production of fuel, food, feed and fiber."

Several retail outlets have already begun displaying the American Ethanol label, helping consumers better understand their choices when they fill up.  Any standard vehicle can use E10, a blend of 10 percent ethanol while vehicles 2001 and newer can use E15, a blend of 15 percent ethanol.  With nearly 500,000 flex fuel vehicles in Nebraska and Iowa, consumers can flex their option to choose E85, a blend of 85 percent ethanol and make a positive impact agreed both Governors. Selecting American Ethanol fuel blends at the pump is the right choice for cleaner, healthier air—and the American Ethanol label at the pump will help consumers in making that choice.



Help Prioritize Emerging Issues for Nebraska Extension
Chuck Hibberd, UNL Extension Dean & Director

Nebraska Extension is an important part of the University of Nebraska-Lincoln and is committed to providing research-based education to the people of Nebraska. In addition to our well-known 4-H Youth Development programs, we also work in six other areas (extension.unl.edu/educational-programs).

We are committed to listening to Nebraskans to help us focus on emerging issues that are important to the people of our state. We define an issue as an opportunity, a challenge, or a problem that could be addressed by Nebraska Extension. Each issue might have 4-6 educational programs designed to yield valuable results for program participants.

As part of our planning process, we have developed a list of 35 possible issues that will be helpful in guiding our work over the next 3-5 years. This list came from a survey of Extension Specialists, Educators and Assistants, a review of demographics, surveys and other organization's strategic plans and input gleaned from interviews with key leaders across Nebraska.

We are asking you to provide your input on the importance, and the urgency, of addressing these issues. Your input will help us narrow the list to issues that are actionable, relevant and most important to Nebraskans. In addition, if you find that we have missed one or more important issues, there will be blanks for you to add this information. We expect that your participation will require 10-15 minutes. We will share the results if you choose to provide your e-mail address.

Your input is voluntary and participation will in no way impact your future ability to work with the University of Nebraska. Responses will be anonymous, all e-mail addresses will be separated from responses and all data will be aggregated prior to distribution.

To participate, please click on the following link. If you receive multiple survey invitations, we ask that you complete only one. You are also invited to forward this survey link to others who could provide helpful input. This survey will close at 5 p.m. CDT on Aug.7. Access the Nebraska Extension Issue Identification Survey at https://ssp.qualtrics.com/jfe/form/SV_9Hr8gGatudwJrRr. 

Thank you so much for your commitment to Nebraska Extension!



USDA Rural Development Awards Funding to 15 Nebraska Recipients to Assist with Energy Needs

Fifteen Nebraska applicants have been selected to receive $474,974 in grants from USDA Rural Development through the Rural Energy for America Program (REAP).  Funds will be used to install renewable energy systems and make energy efficiency improvements that will promote energy conservation.

“Through these projects, energy consumption will be reduced, thereby making more dollars available to be kept within rural Nebraska and assisting the state’s rural economy,” said Nebraska State Director Maxine Moul, USDA Rural Development.  “The projected number of households powered through this funding package is 309 homes providing (3,351,151 kWh) of energy saved or generated.”

Eligible agricultural producers and rural small businesses may use REAP funds to make energy efficiency improvements or install renewable energy systems, including solar, wind, renewable biomass (including anaerobic digesters), small hydroelectric, ocean energy, hydrogen and geothermal.  Additional information on the Rural Energy for America Program may be found at http://www.rd.usda.gov/programs-services/rural-energy-america-program-renewable-energy-systems-energy-efficiency/ne or contact Jeff Carpenter, jeff.carpenter@ne.usda.gov; (402) 437-5554.

Detailed below by county are the energy projects selected from Nebraska’s allocation of funding. Funding is contingent upon the recipient meeting the conditions of the grant agreements.  Among the grants approved were: 

Burt:  Keogh, Ronald J. – Oakland - $35,250 – Installing a 25 kW wind turbine on a 100 foot monopole.
Butler:  Barcel Mill & Lumber, Inc. – Bellwood – $41,000 – Installing a 25 kW wind turbine on a 100 foot monopole.
Dixon:  Bose, Andy – Wayne – $25,056 – Replacing an older, inefficient grain drying system with a new, more efficient model.

Since the start of the Obama Administration, USDA has supported more than 9,600 renewable energy and energy efficiency projects nationwide through REAP. During this period, the Department has provided more than $288 million in grants and $268 million in loan guarantees to agricultural producers and rural small business owners.



SUMMER WATER NEEDS
Bruce Anderson, Nebraska Etension Forage Specialist

               This summer’s heat and humidity makes it abundantly clear how important adequate water is for your pastured livestock.  Let’s discuss ways to provide water throughout your pastures.

               Summer has been hot and muggy.  While it may be uncomfortable for you and me, it is particularly hard on livestock out on pasture.  To help them survive, much less thrive, under these conditions, they need plenty of good, clean water.

               Not only do they need plenty of good, clean water – they need it close by.  Once upon a time, it was common to make cattle walk a mile or more to water.  And they’d do it.  But just think how hard it is on animals in this heat and humidity.  Once they get to the water, the last thing they want to do is turn around and go all the way back to where they came from to graze.  As a result, they do little grazing more than a half mile away from water.  In fact, research shows that when cattle need to travel more than 1000 feet to water, they spend less time grazing, they burn off pounds walking, and they graze distant areas incompletely.

               So – how can you improve your water distribution?  More ponds, wells, windmills, and dugouts will help, but they can get expensive.  Plus, they can only be placed in certain locations and can’t be moved.  So my preference often is to use a pipeline.  They can be put almost anywhere.  And if you want to add more water locations, pipelines can be tapped into anywhere along the line.  In many areas, you might qualify for cost-share dollars to help pay for the installation.  You also can leave your pipe on top of the ground, saving trenching costs, if you only need water during the growing season.

               Over time, water improvements pay for themselves with better grass and improved animal performance.



2014 US Total Farm Production Expenditures Up 8.3%

Farm Production Expenditures in the United States are estimated at $397.6 billion for 2014, up from $367.3 billion in 2013. The 2014 Total farm production expenditures are up 8.3 percent compared with 2013 Total farm production expenditures. Nearly all expenditure items increased from the previous year.

The four largest expenditures at the United States level total $188.3 billion and account for 47.3 percent of Total expenditures in 2014. These include Feed, 16.0 percent, Farm services, 11.4 percent, Livestock, poultry and related expenses, 11.3 percent, and Labor, 8.6 percent.

In 2014, the United States Total farm expenditure average per farm is $191,500 compared with $175,270 in 2013, up 9.3 percent. On average, United States farm operations spent $30,680 on Feed, $21,818 on Farm services, $21,722 on Livestock, poultry and related expenses, and $16,472 on Labor. For 2013, United States farms spent an average of $29,779 on Feed, $18,612 on Farm services, $16,321 on Livestock, poultry and related expenses, and $15,271 on Labor.

Total Fuel expense is $16.7 billion. Diesel, the largest sub-component, is $10.6 billion, accounting for 63.5 percent. Diesel expenditures are down 2.8 percent from the previous year. Gasoline is $3.1 billion, up 3.3 percent. LP gas is $2.1 billion, up 16.5 percent. Other fuel is $950 million, up 28.4 percent.

The United States Economic Sales Class contributing most to the 2014 United States Total expenditures is the $1,000,000 - $4,999,999 class with expenses of $135.1 billion (34.0 percent of the United States total), up 2.3 percent from the 2013 level of $132.0 billion. The $5,000,000 and Over class follows it with $102.0 billion, up from $79.0 billion in 2013.

In 2014, Crop farms expenditures decreased to $202.2 billion, down 2.1 percent, while Livestock farms expenditures increased to $195.4 billion, up 21.5 percent. The largest expenditures for Crop farms are Rent and Farm services, both at $26.8 billion (13.3 percent of total), Labor at $24.1 billion (11.9 percent), and Fertilizer, lime and soil conditioners at $23.2 billion (11.5 percent). Combined crop inputs (chemicals, fertilizers, and seeds) are $56.2 billion, accounting for 27.8 percent of Crop farms total expenses. The largest expenditures for Livestock farms are Feed at $62.1 billion (31.8 percent of total), Livestock, poultry and related expenses, at $42.8 billion (21.9 percent), and Farm services at $18.5 billion (9.5 percent). Together, these line items account for 63.2 percent of Livestock farms Total expenses. The average Total expenditure for a Crop farm is $213,150 compared to $173,285 per Livestock farm.

The Midwest region contributes the most to United States Total expenditures with expenses of $124.0 billion (31.2 percent of total), up from $118.4 billion in 2013. The other regions, ranked by Total expenditures, are Plains at $99.3 billion (25.0 percent), West at $85.6 billion (21.5 percent),
Atlantic at $48.2 billion (12.1 percent), and South at $40.5 billion (10.2 percent). The Plains increased $11.6 billion from 2013, which is the largest regional increase.

Combined Total expenditures for the 15 Estimate States are $257.9 billion in 2014 (64.9 percent of the United States Total expenditures) and $238.5 billion in 2013 (64.9 percent). California contributes most to the 2014 United States Total expenditures with expenses of $41.0 billion (10.3 percent). California expenditures are up 11.5 percent from the 2013 estimate of $36.8 billion. Iowa, the next leading state, has $31.9 billion in expenses (8.0 percent). Other states with more than $20 billion in Total  Expenditures are Texas ($27.1 billion) and Nebraska ($22.1 billion).



Iowa Farm Production Expenditures

Iowa farm production expenditures totaled $31.9 billion in 2014, according to the latest USDA, National Agricultural Statistics Service' Farm Production Expenditures Annual Summary report. This is 7 percent above the 2013 total expenditures. Feed expense, which rose 23 percent to $6.21 billion, represented the largest single production expense for Iowa farmers in 2014, accounting for 19 percent of the total.  Livestock and Poultry purchase expense was the second largest expense, totaling $5.50 billion and 17 percent of the total. This is up 22 percent from 2013. Rent expense rose 2 percent to $4.18 billion, and accounted for 13 percent of the total. The largest percentage increases from last year were for Miscellaneous Capital expenses (up 60 percent), Taxes (up 33 percent), and Labor (up 26 percent).



USDA Dairy Products June 2015 Production Highlights

Total cheese output (excluding cottage cheese) was 959 million pounds, 1.5 percent above June 2014 but 3.1 percent below May 2015.  Italian type cheese production totaled 415 million pounds, 1.0 percent above June 2014 but 2.6 percent below May 2015.  American type cheese production totaled 383 million pounds, 3.6 percent above June 2014 but 4.5 percent below May 2015.  Butter production was 143 million pounds, 1.7 percent above June 2014 but 15.9 percent below May 2015.

Dry milk powders (comparisons with June 2014)
Nonfat dry milk, human - 164 million pounds, up 10.6 percent.
Skim milk powders - 34.7 million pounds, down 34.6 percent.

Whey products (comparisons with June 2014)
Dry whey, total - 80.7 million pounds, up 1.7 percent.
Lactose, human and animal - 90.7 million pounds, down 11.8 percent.
Whey protein concentrate, total - 38.6 million pounds, down 11.6 percent.

Frozen products (comparisons with June 2014)
Ice cream, regular (hard) - 70.5 million gallons, down 4.6 percent.
Ice cream, lowfat (total) - 47.3 million gallons, up 10.9 percent.
Sherbet (hard) - 3.79 million gallons, down 9.4 percent.
Frozen yogurt (total) - 6.82 million gallons, up 9.0 percent.



NFU Applauds Three Member States on 100-Year Anniversary

National Farmers Union (NFU) President Roger Johnson today applauded three Farmers Union states – Montana, Iowa and South Dakota – in observing their 100th year anniversary in 2015, and for a century of outstanding activism and organizing to fight for family farmers and ranchers.

“NFU’s strength, as a federation of member states, relies largely on the activism, energy and commitment of its members, who are engaged in all aspects of policy making,” noted Johnson.  “These three states have been fighting the ‘good fight’ on behalf of family farmers and ranchers for a full century, and they are part of the reason why Farmers Union has enjoyed so many public policy successes nationally,” said Johnson.

NFU represents over 200,000 family farmers and ranchers in 33 states across the nation, advocating for the economic and social well-being of family farmers through education, cooperation and legislation. Johnson noted that an additional eight state Farmers Unions have also been advocating for family farmers since first being founded over 100 years ago: Arkansas, Illinois, Indiana, Kansas, Missouri, Nebraska, Rocky Mountain, and Texas.

“Since our founding in 1902, NFU has advocated for the economic and social well-being and quality of life of family farmers and their communities by supporting the sustainable production of food, fuel and fiber,” he noted.

Johnson thanked the members and leaders in the three centurion states for their commitment to fairness and equity for family farmers and ranchers. “The longevity of the Farmers Union organizations in Montana, Iowa and South Dakota is only possible because of the unwavering commitment of their members,” said Johnson.  “We hope that the energy and enthusiasm these states have shown is contagious,” he added.



DTN Retail Fertilizer Trends

Fertilizer prices remained fairly steady the fourth week of July 2015, according to retailers tracked by DTN. With this calmness in the market, some farmers are debating whether to lock in fertilizer prices now.

For the second consecutive week in a row, all eight of the major fertilizers slipped in price compared to a month earlier, but these moves to the low side were slight. DAP had an average price of $569 per ton, MAP $594/ton, potash $487/ton, urea $469/ton, 10-34-0 $636/ton, anhydrous $689/ton, UAN28 $324/ton and UAN32 $354/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.51/lb.N, anhydrous $0.42/lb.N, UAN28 $0.58/lb.N and UAN32 $0.55/lb.N.

Only one of the eight major fertilizers is double digits higher in price compared to July 2014, all while commodity prices are significantly lower from a year ago. 10-34-0 is still 17% higher compared to last year.

Two fertilizers are slightly more expensive compared to a year earlier. Potash is up 2% and anhydrous was 3% higher compared to last year.

The remaining five nutrients run lower compared to retail prices from a year ago. Both DAP and MAP are 3% lower, UAN28 is 4% less expensive, UAN32 is down 7% and urea is 10% less expensive from a year earlier.



Guilty of Grilling
(from watchdog.org)

Nothing says “summer in America” like the smell of meat roasting on an open grill. But a Florida man recently found his summer tradition threatened when local authorities in Pinellas Countyreportedly sent an "environmental specialist" because the smell of his barbecue was drifting off his property. The specialist then ordered him to keep the meatyfragrance on his own property.

We're not sure what's more ridiculous, the fact that someone called in local authorities over the smell of barbecue, or that the county actually has an ordinance on the books for this specific "problem" - its website says backyard grills and barbecues can be legitimately reported for “causing a nuisance odor.”

Congratulations, environmental officials, you’ve ruined an American summertime institution.



DuPont Pioneer Advances Next Generation of Corn Products

DuPont Pioneer announced today that it will advance its new line-up of corn offerings to stewarded on-farm trials in 2016 as newly branded, Pioneer® brand Qrome™ products. The high-yielding corn products, previously identified on the research and development pipeline as event DP 4114, will be equipped with proven insect protection and strong agronomics to deliver maximum on-farm performance.

“The new line-up of Pioneer® brand Qrome™ corn products help deliver improved yields and the strength of pyramided insect protection to a wider array of hybrid platforms,” said Steve Reno, DuPont Pioneer vice president and regional business director for the United States and Canada. “By advancing Qrome™ products from the research test phase to on-farm trials, we will be able to demonstrate to growers the value that these products will bring to every acre of their own fields.” 

The foundation of the Qrome™ product line is event DP 4114 – a transgenic event that includes a molecular stack of proven Bt proteins from the Herculex® 1 and Herculex® RW traits, and is highly compatible with Pioneer® brand corn germplasm across a wide range of hybrid platforms.

“As part of our commitment to delivering the right product on the right acre, Pioneer deploys extensive local testing of its products before bringing them to market,” said Reno. “Qrome™ products are being tested in small plot research and IMPACT™ trials in 2015 across the Corn Belt this year under a variety of conditions and environments to ensure consistent, leading performance before commercial launch.”

In multi-year testing, Pioneer® brand hybrids containing Qrome™ product technology had insect efficacy on-par with hybrids containing the original Herculex® XTRA technology (Events TC1507 and DAS59122), but offered improved yield performance due to the technology’s compatibility with the corn germplasm.

Qrome™ product stacks have received cultivation approval in the United States and Canada and import approval in a number of key export markets. The on-farm trials will be managed under strict stewardship requirements.



AGCO Introduces the SOLO™ AGCO EDITION

AGCO Corporation (NYSE:AGCO), a worldwide manufacturer and distributor of agricultural equipment, announces the arrival of the SOLO™ AGCO EDITION Unmanned Aerial Vehicle (UAV). Utilizing intuitive mission planning and cloud-based, high-resolution mapping software, the UAV is easy to use and can increase farmers' efficiency. With the SOLO AGCO EDITION, farmers are alleviated from waiting on slow and low-resolution satellite imaging and scouting the fields by foot or vehicle, making their lives and crop yields incrementally better.

Unlike many other specialized UAV's, the SOLO AGCO EDITION provides operators with hardware, software, service and support all in one package. The UAV can fly in up to 25 mph winds and has a max speed of 55 mph. Each fully charged, smart battery is capable of covering up to 60 acres, depending on conditions and user-defined settings, with an average flight time of 20 minutes, fully equipped. The kit comes with four batteries, providing the ability to scout up to 240 acres in one trip.

"We thought through everything a farmer needs to not only scout their fields, but also collect useful data beneficial to managing their farm and improving yields and efficiency," says Jeff Punter, manager of purchasing for AGCO Parts.

The SOLO AGCO EDITION is built on 3D Robotics Solo platform and designed to evolve with the times. This UAV utilizes a three-axis Solo Gimbal, accessory bay and swappable motor pods, allowing for easy integration of future technology and features.

With simple mission planning and fully autonomous flights, this is a UAV that is easy to use and control. It is equipped with auto takeoff and landing, as well as emergency in-air brake and return-to-home features. The product includes in-app training and configurable settings in order to accommodate varying operator skill levels.

The SOLO AGCO EDITION UAV brings farmers into the future. The kit includes two cameras, customized for aerial imaging – an RGB camera for color imaging and a near-infrared camera for monitoring photosynthetic activity, or plant health. These cameras, paired with the included one year of Agribotix imaging software, produce high-resolution Orthomosaics, Normalized Difference Vegetation Index, and Field Health and Management Zone maps to provide farmers insight into their fields and help them find potential yield-limiting problems early.

"The SOLO AGCO EDITION is our field mapping solution for the everyday farmer," says Darren Parker, director of sales and marketing for AGCO Parts. "You do not need to be tech savvy to operate this UAV, you just need to be able to press launch."

Image processing history, maintained in the cloud, allows for comprehensive field condition comparison, making it easier to have precise placement of fertilization and irrigation resulting in improved yields. Live flight data – including the battery life, altitude and distance from home – are all streamed to the operator's controller for real-time flight control.

The SOLO AGCO EDITION is available exclusively to customers in the US through AGCO Parts and North American AGCO Parts dealers.



ADM Earnings Fall

Archer Daniels Midland Co. said its earnings fell more than expected in the second quarter, as record ethanol production limited profits.

The Chicago-based company buys oilseeds, grains and other commodities from farmers to make into ingredients that it then sells to food producers. ADM has sought to focus more on higher-margin businesses, such as specialty ingredients and flavorings. In December, the company agreed to sell its global cocoa business to Olam International Ltd. as it exits the volatile cocoa sector.

"In corn, domestic and export demand for ethanol was robust, but record industry production limited margins. This was partially offset by strong results from our corn sweeteners and starches business," said Chief Executive Juan Luciano.

Profit for the company's corn-processing business fell to $204 million from $338 million a year earlier.

Mr. Luciano added that the oilseeds segment had performed well.

ADM's oilseeds-processing business reported an operating profit of $344 million, up from $280 million.

However, the agricultural services segment was hurt by "lower margins and volumes of North American exports, as they were less competitive globally, and by a sharp upward move in commodity prices at the end of the quarter," he said. Agricultural services operating profit fell to $152 million from $184 million.

Overall, the company posted earnings of $386 million, or 62 cents a share, down from $533 million, or 81 cents a share, a year earlier.

Excluding special items, per-share earnings were 60 cents, down from 79 cents a year ago.

Revenue fell to $17.19 billion from $21.49 billion.