Friday April 1 Ag News

Breeding Soundness Exam: A risk management tool for cow calf producers
David Hardin, DVM, UNL School of Veterinary Medicine and Biomedical Sciences

Profitability for the cow calf producers starts with high pregnancy rates and a high percentage of the calves being conceived early in the breeding season. A critical component of reproductive success is having sound, highly fertile bulls. This requires bull(s) that can detect cows in estrus, successfully mount and deliver viable, normal sperm into the reproductive tract of the cow. A proven method to determine the breeding potential of bulls is the Breeding Soundness Evaluation (BSE) system developed by the Society for Theriogenology. The Breeding Soundness Evaluation (BSE) is a relatively quick and economic procedure that can be performed by your veterinarian. It is recommended that all bulls be checked annually, within 60 days of the start of the breeding season. The BSE system is a screening procedure that places bulls into categories of satisfactory, unsatisfactory or deferred. The BSE system is most effective in identifying bulls at the lower end of the fertility spectrum. Eliminating bulls from the breeding herd that the BSE system has determined to be less fertile (classified as unsatisfactory potential breeders) and replacing them with bulls that are classified as satisfactory potential breeders increases the likelihood of high pregnancy rates and high percentage of calves being conceived early in the breeding season.

The BSE procedure includes: General physical exam that evaluates the bull’s nutritional status (body condition), looks for structural defects and disease conditions that affect the feet and legs and would hinder the bull’s breeding performance. The bull is evaluated to determine the adequacy of their eyesight and teeth. The internal structures of the reproductive system are examined, such as the prostate, seminal vesicles, ampulla and inguinal rings to ensure normalcy. The external structures of the reproductive system such as the penis, prepuce, sheath, testicles, scrotum and epididymis are also examined for normalcy. Scrotal circumstance is measured and adequacy is determined based on established standards by age. Semen evaluation is a critical component of the BSE and includes a microscopic evaluation of the semen to determine sperm motility and the percent of morphologically normal sperm.

On a herd basis it is generally found that more than 75% of the bulls tested meet the requirements to be classified as satisfactory. The objective of the BSE is to identity those bulls that fail to meet the minimum standards. Having bulls that are unsatisfactory potential breeders in the breeding herd places the herd at risk for lower and/or delayed pregnancies. Remember that the higher percentage of calves that are conceived early in the breeding season means more profit. In multi-sire breeding pastures, generally one or two bulls will be dominate and breed more cows compared to bulls that are subordinate. If by chance the dominate bull(s) are unsatisfactory then reproductive success is placed at risk.

Since BSE does not routinely assess the sexual behavioral traits, such as libido, mating ability and social adaptability of bulls within the mating environment. It is important to observe the breeding behavior of the bulls during the breeding season to insure that the bull(s) are detecting and servicing the cows which are in estrus.

Testing for infectious diseases, such as trichomoniasis, is not routinely included in the BSE. Visit with your veterinarian to determine if testing for trichomoniais or other diseases is recommended.



CONTROLLING WINTER ANNUAL BROME WITH HERBICIDES
Bruce Anderson, NE Extension Forage Specialist

               Cheatgrass, downy brome, wild oats.  Last fall’s moisture is making these early weeds a big problem in pastures this spring.

               What can you spray to get rid of winter annual weeds like wild oats, cheatgrass, and downy brome?

               Before deciding to spray, first you must realize that seed of these grasses lasts several years in the soil.  That means you need to plan to repeat any spraying for at least a couple years.

               In pastures dominated by warm-season grasses, one option is to spray 1 pint per acre of glyphosate, like Roundup, early this spring after the weedy bromes green up but before warm-season grasses start growing.  This should solve the problem for this year and knock out other early weeds like bluegrass without harming your warm-season grasses.  Another option is to use 4 to 6 ounces of Plateau herbicide or its generics and get similar results.  And with Plateau, residual herbicide activity also will control some later emerging weeds as well.

               If your pasture is cool-season grass the job is tougher.  Both glyphosate and Plateau harm cool-season grasses.  Gramoxone is a better choice but don't spray until the weedy bromes are about to form seed heads.  Gramoxone will kill all the green top growth it comes in contact with, even your good grass.  But your good perennial grasses will start to regrow after a couple of weeks while the weedy grasses will be killed, eliminating their seed production this year.  Obviously, this is a pretty drastic choice so use it only in your worst pastures.

               Once you’ve gotten rid of the weeds, be sure to graze in ways that maintain the vigor and competitiveness of your desired grasses.

               Winter annual bromes reduce pasture quality and carrying capacity. Herbicides, and proper grazing, can control them if you use them right.



Current National Drought Summary
droughtmonitor.unl.edu

The bulk of the precipitation that occurred during the 168-hour (March 22-29) monitoring period did not fall in areas experiencing dryness (D0) or drought (D1 or worse). Some of the heaviest precipitation soaked non-drought areas of the lower Southeast and the Pacific Northwest. And, a late-season snowstorm from the central Rockies into northern Lower Michigan also fell mostly “between the drought lines.” However, some of the Southeastern rain chipped away at D0 across southern Georgia and northern Florida. And, stormy weather in the Northwest pushed far enough inland to further dent lingering drought. In contrast, breezy, mostly dry weather covered the central and southern Plains and the Southwest, leading to further expansion of D0 and D1. On the southern High Plains, a combination of weather extremes—including developing drought, hard freezes, and large temperature oscillations—led to an increase in stress on rangeland, pastures, and winter wheat.

Looking Ahead
A storm system will cross the Great Lakes region on March 29, producing a mix of rain and snow. The storm’s trailing cold front will reach the Atlantic Seaboard on March 30, but should stall across the lower Southeast. Precipitation totals associated with the storm (and its cold front) could reach 2 to 5 inches—in the form of heavy showers and locally severe thunderstorms—across the Southeast, and 1 to 2 inches along and north of the path of the low-pressure system. During the first few days of April, warm, dry weather will dominate the West, while a blast of cold air and snow showers will engulf the Great Lakes and Northeastern States. During the next 5 days, the southern Plains will remain mostly dry with rapid temperature fluctuations.

The NWS 6- to 10-day outlook for April 5 – 9 calls for the likelihood of above-normal temperatures from the Pacific Coast to the Plains, while colder-than-normal conditions will dominate the eastern U.S.—especially the Northeast. Meanwhile, near- to below-normal precipitation in many areas of the country will contrast with expectations for wetter-than-normal weather across the Great Basin and neighboring areas, as well as the Great Lakes region and the Northeastern and Mid-Atlantic States.



Iowa Beef Checkoff Updates Signed into Law by Governor Branstad

Governor Branstad signed into law changes to the Iowa Beef Checkoff on March 31. Changes to the code were a priority for the Iowa Cattlemen’s Association in 2016. The Iowa Cattlemen’s Association thanks state Representatives and Senators for their support of House File 2269.

Prior to the national beef checkoff, Iowa had its own checkoff through the Iowa Code Chapter 181. For the past few years, Iowa’s cattle industry has shown interest in increasing funding for vital needs, such as promotion of our beef industry and production research specific to Iowa, by reinstating the Iowa beef checkoff. When reviewing Chapter 181 of Iowa Code, portions of the law were outdated, confusing, and irrelevant to the state’s current beef cattle industry. Therefore, during the 2016 Iowa legislative session, the Iowa Cattlemen’s Association lobbied for amendments to Chapter 181 to better align with cattle producer’s vision for the Iowa beef checkoff.

Those amendments:
-    Provide the refund request for the state checkoff online.
-    Re-define uses for the state checkoff dollars.
        + Strike cattle feeding contests and demonstrations.
        + Add research on beef production and evaluation of Iowa beef production needs.
        + Add education materials and opportunities for consumers, producers, and youth.
-    Streamline engagement of the decision makers for the state checkoff.
-    Two additional seats on the Executive Council (the entity that determines how checkoff dollars will be spent).

The amendments were based off of a cattle producer survey administered by the Iowa Cattlemen’s Association. In late 2015, all ICA producer members received a survey to gauge interest in a state checkoff initiative. Over 900 survey results were tabulated and showed that 80% of those surveyed support reinstating the 50 cent state checkoff. Survey respondents represented all sectors of the industry and every county in Iowa.

Not only did the survey gauge interest of ICA members to reinstate the Iowa beef checkoff, but more importantly it asked members to prioritize investment resources collected through the state assessment. Survey results revealed that the national beef checkoff, due to federal code constraints, is not fully meeting the needs of the Iowa cattle industry.  Those that participated in the survey ranked the importance of the following priorities for potential state dollars/additional investments:
 -   Marketing and promoting Iowa beef and beef products.
 -   Enhancing Iowa’s beef industry Image by marketing our Iowa producer image and communicating transparency.
-    Production research focused on the state’s weather, feedstuffs, and management practices.
-    Expanding international trade relationships.
-    Providing educational opportunities to Iowa cattlemen and Iowa youth. 

ICA anticipates a referendum vote later in 2016. ICA will educate cattle producers on when, where and how the vote will take place.



Iowa Corn Shows Strength in Numbers at Day on the Hill Event

More than 100 Iowa Corn Growers Association (ICGA) members descended upon the State Capitol on Wednesday, March 30th for the second “Iowa Corn Day on the Hill” lobbying event. This delegation included ICGA Board of Directors, county leaders and student FFA members from across the state.

“A critical part of our legislative success is the relationships our ICGA members have with their elected officials,” said ICGA President Bob Hemesath. “Our ‘Day on the Hill’ events facilitate those one-on-one interactions where we are able to discuss and promote ICGA priorities. It’s the dedication and engagement of our members which allows ICGA to have a strong, unified voice at the State Capitol.”

ICGA’s Day on the Hill efforts focused on the following:
-    Water Quality: long term funding for voluntary programs.
-    Support for ethanol infrastructure.
-    Support for research at Iowa State University including extension programs and livestock research.

ICGA members also took time to recognize and thank legislators for their bipartisan support of Iowa agriculture this session. “ICGA would especially like to thank all the State House and Senate members that supported the passage of the section 179 coupling bill,” said Hemesath. “We will continue to work with our state legislators and the Governor to support any and all legislation to create long-term and consistent water quality initiatives in our state.” Hemesath added, “ICGA also appreciates the support in passing the bio-based tax incentive for Iowa’s value-added agriculture industry.”

The next step in the policy development process will be the ICGA membership survey and roundtable meetings, which will be held across the state in early July. These meetings allow ICGA members to gather together and discuss policy directions for the upcoming year.

To see ICGA’s full list of state and federal priorities, please visit www.iowacorn.org/policy.



The Andersons Enters into Agreement to Sell Grain and Plant Nutrient Assets in Iowa

The Andersons, Inc. (Nasdaq: ANDE) announces it has signed an agreement to sell eight of its facilities in Iowa to MaxYield Cooperative of West Bend, Iowa.

"We have referenced performance issues in our western grain assets during several recent investor calls. We anticipate this sale will improve our prospects and provide a pathway to profitability for this area of our business," said CEO Pat Bowe. "We believe MaxYield will capably continue to serve the needs of the growers in this region and make good use of these assets in Iowa."

The Andersons acquired the eight grain and agronomy locations as a part of its 2012 acquisition from Green Plains Grain Company. The Tennessee assets acquired during that same transaction will remain a part of The Andersons. This transaction does not divest or otherwise involve the Company's ethanol facility or recently-acquired Nutra-Flo facilities in Iowa.

"We are excited about the opportunity to expand our presence in an area already served by MaxYield," stated Howard Haas, MaxYield Cooperative board chairman. "MaxYield currently has facilities in 17 rural communities and has 1,700 members, many of which will have increased access to grain, agricultural inputs and services as a result of this transaction."

MaxYield Cooperative is a member-owned, fully diversified agricultural cooperative founded in 1915 and is headquartered in West Bend, Iowa. The cooperative has 17 locations and three Cenex convenience stores in Iowa. MaxYield also provides grain origination and accounting services for two Iowa feed mills. F



Only Two Weeks Remain for Free BQA Certification!

With only two weeks remaining, the countdown continues for beef and dairy producers to become Beef Quality Assurance (BQA)-certified for free online through April 15. And, as an added bonus, anyone who becomes certified during this period is eligible to win a pair of Roper boots, courtesy of Boehringer Ingelheim Vetmedica, Inc. and the BQA program, funded by the beef checkoff.

Boehringer Ingelheim Vetmedica, Inc. will pick up the $25-$50 online training fee for every person completing BQA training through April 15. That includes anyone who works with cattle – whether it is beef or dairy. Visit www.bqa.org to take advantage of the open certification period today!



Pork Producers Could See Modest Profits in 2016

Smaller hog breeding herds and lower production costs could lead to modest profits for pork producers in 2016, Purdue University agricultural economist Chris Hurt says.

In his analysis of the U.S. Department of Agriculture's March Hogs and Pigs report, Hurt forecasts a slight slowdown in pork production after two years of expansion.

"For right now, the industry seems to have supply in alignment with pork demand such that prices cover the full cost of production," he said.

According to the USDA report, pork producers intend to reduce the number of sows farrowed by 1 percent this spring and 3 percent this summer.

"If they follow through on these intentions, then pork supplies will be smaller than previously anticipated next fall and winter," Hurt said. "Smaller anticipated supplies will likely boost price prospects."

Hurt projects live hog prices to range from $49 to $54 per hundredweight for all of 2016, about $1 higher than last year.

"Hog prices stand ready to make their normal seasonal rally into early summer," he said. "Current prices in the higher $40s are expected to move to the higher $50s or low $60s by June and July. Strong prices are expected until September when the normal seasonal pattern begins a sharp decline."

Average production costs in 2016 are expected to drop to about $50 per hundredweight, their lowest levels in nine years, due mostly to a grain surplus following two consecutive bumper crops.

"This means that this year's outlook is for an average profit of about $6 per head compared to an estimated $3 per head of loss for 2015," Hurt said. He expects producers to lose about $9 per head in the first quarter of the year and $6 per head in the last quarter. However, those losses should be offset by what Hurt expects to be profits of $21 per head in the second quarter and $18 per head in the third quarter.

He cautioned, however, that feed prices could increase "if weather should turn harmful to the growing U.S. crops."



USDA Grain Crushings and Co-Products Production

Total corn consumed for alcohol and other uses was 470.2 million bushels in February 2016. Total corn consumption was down 4 percent from January 2016 but up 7 percent from February 2015. February 2016 usage included 91.4 percent for alcohol and 8.6 percent for other purposes. Corn for beverage alcohol totaled 2.70 million bushels, down 21 percent from January 2016 but up slightly from February 2015. Corn for fuel alcohol, at 420.8 million bushels, was down 5 percent from January 2016 but up 7 percent from February 2015. Corn consumed in February 2016 for dry milling fuel production and wet milling fuel production was 89.7 percent and 10.3 percent respectively.

Dry mill co-product production of distillers dried grains with solubles (DDGS) was 1.80 million tons during February 2016, down 4 percent from January 2016 but up 11 percent from February 2015. Distillers wet grains (DWG) 65 percent or more moisture was 1.25 million tons in February 2016, down 5 percent from January 2016 and down 2 percent from February 2015.

Wet mill corn gluten feed production was 312.0 thousand tons during February 2016, down 3 percent from January 2016 but up 10 percent from February 2015. Wet corn gluten feed 40 to 60 percent moisture was 277.4 thousand tons in February 2016, down 5 percent from January 2016 but up 1 percent from February 2015.



USDA Fats and Oils: Oilseed Crushings, Production, Consumption and Stocks

Soybeans crushed for crude oil was 4.64 million tons in February 2016, compared to 4.81 million tons in January 2016 and 5.01 million tons in December 2015. Crude oil produced was 1.80 billion pounds down 4 percent from January 2016 and down 7 percent from December 2015. Soybean once refined oil production at 1.31 billion pounds during February 2016 increased 6 percent from January 2016 but decreased 7 percent from December 2015.

Canola seeds crushed for crude oil was 137.6 thousand tons in February 2016, compared to 148.4 thousand tons in January 2016 and 165.8 thousand tons in December 2015. Canola crude oil produced was 114.4 million pounds down 9 percent from January 2016 and down 16 percent from December 2015. Canola once refined oil production at 116.1 million pounds during February 2016 was down 6 percent from January 2016 but up 20 percent from December 2015. Cottonseeds crushed for crude oil was 125.6 thousand tons in February 2016, compared to 131.6 thousand tons in January 2016 and 149.6 thousand tons in December 2015. Cottonseed crude oil produced was 38.4 million pounds, down 7 percent from January 2016 and down 18 percent from December 2015. Cottonseed once refined oil production at 44.0 million pounds during February 2016 was down 3 percent from January 2016 and down 19 percent from December 2015.

Edible tallow production was 77.3 million pounds during February 2016, down 13 percent from January 2016 and down 2 percent from December 2015. Inedible tallow production was 281.3 million pounds during February 2016, up 2 percent from January 2016 but down 2 percent from December 2015. Technical tallow production was 118.1 million pounds during February 2016, up 30 percent from January 2016 and up 25 percent from December 2015. Choice white grease production at 111.9 million pounds during February 2016 decreased slightly from January 2016 and decreased 5 percent from December 2015.



USDA Announces Commodity Credit Corporation Lending Rates for April 2016

The U.S. Department of Agriculture's Commodity Credit Corporation (CCC) today announced interest rates for April 2016. The CCC borrowing rate-based charge for April is 0.625 percent, up from 0.500 percent in March.

The interest rate for crop year commodity loans less than one year disbursed during April is 1.625 percent, up from 1.500 percent in March.

Interest rates for Farm Storage Facility Loans approved for April are as follows, 1.625 percent with seven-year loan terms, unchanged from 1.625 percent in March; 1.875 percent with 10-year loan terms, unchanged from 1.875 percent in March and; 2.000 percent with 12-year loan terms, unchanged from 2.000 percent in March.



BA Exchange Raises Argentine Soy View to 60 MMT

Excellent weather and good early yields prompted the Buenos Aires Cereals Exchange to raise its Argentine soybean crop view by two million metric tons to 60 mmt.

As a result, production is seen nearing the record 60.8 mmt registered last year.

As a whole, yields across central parts of the grain belt will be a bit lower than the records set last year but remain above historical averages.

In the north of the country, as well as in the key provinces of Buenos Aires and La Pampa, yields will be higher than last year.

Dry conditions allowed soybean harvesting to move forward swiftly across the central agricultural regions last week. Area harvested rose 6.6 percentage points to 7.6% complete, marginally ahead of last year, said the exchange.

Average yields so far are around 56 bushels per acre.

As is habitual, harvesting has begun first in the north. In the northern nucleus region, fieldwork is 22.4% complete with average yields of 58 bpa registered.

Corn is also looking in good shape with the exchange forecasting a crop of 25 mmt. With the harvest progressing in Cordoba, Buenos Aires, Entre Rios and Santa Fe, yields are stabilizing at high levels.

As of Thursday, harvesting was 12.9% complete with average yields of 139 bpa.



MONSANTO ENCOURAGES FARMERS, AGRICULTURE STAKEHOLDERS AND CONSUMERS TO VOICE SUPPORT FOR NEW TECHNOLOGIES

Today, the Environmental Protection Agency (EPA) announced a 30-day public comment period regarding the in-crop use of dicamba herbicide with Bollgard II® XtendFlex™ cotton and Roundup Ready 2 Xtend™ soybeans. This action represents another critical milestone toward farmers gaining access to new dicamba weed-management tools.

A limited commercial introduction of Bollgard II XtendFlex Cotton took place in 2015 with commercial launch in 2016. Monsanto announced its commercialization plans for Roundup Ready 2 Xtend soybeans in February. Monsanto’s Asgrow®, Channel® and regional brands, along with Corn States licensees, expect to introduce more than 70 soybean products across eight maturity groups with agronomic traits including resistance to nematodes and phytophthora root rot. Roundup Ready 2 Xtend soybeans are broadly licensed to more than 100 seed brands.

At present, it is a violation of federal and state law to make an in-crop application of any dicamba herbicide product on Roundup Ready 2 Xtend soybeans or Bollgard II XtendFlex cotton as no dicamba product is currently approved for those uses.

Dicamba has a decades-long history of safe and effective use in the U.S. and 25 other countries in corn, wheat, fallow and pasture land, conservation tillage acres, as well as homeowner uses. Following final approvals, farmers will be able to use dicamba in-crop with soybeans tolerant to dicamba and glyphosate and with cotton tolerant to dicamba, glyphosate and glufosinate.

“Stakeholder comments will really make a difference,” said Kim Magin, Monsanto’s Director of Industry Affairs. “Supportive letters are important for regulators to understand the various perspectives from farmers and agricultural stakeholders.”

In December 2014, the U.S. Department of Agriculture (USDA) concluded a thorough assessment of Monsanto’s Roundup Ready 2 Xtend soybeans and Bollgard II XtendFlex cotton and authorized those crops for unrestricted commercial planting. Before reaching its decision, the USDA considered nearly 5,000 comments submitted by farmers, academic and scientific experts and other key stakeholders. An overwhelming majority of those who provided feedback during the public comment period voiced support for the trait technology.

The EPA is now accepting public comments. Monsanto has provided a tool, which can be found at RoundupReadyPLUS.com/supportdicamba, to aid stakeholders in writing and submitting a comment.



AgriBank Pays Quarterly Preferred Stock Dividend

AgriBank today paid a quarterly cash dividend of $1.7188 per share on its 6.875 percent non-cumulative perpetual class A preferred stock to holders of record as of March 1, 2016.

AgriBank issued $250 million of preferred stock on Oct. 29, 2013 to provide the Bank and the 15-state Farm Credit District it serves with long-term access to high-quality capital, helping ensure the District is well-positioned to meet the long-term growth and credit needs of farmer and rancher customers.

AgriBank is one of the largest banks within the national Farm Credit System, with nearly $100 billion in total assets. Under the Farm Credit System's cooperative structure, AgriBank is primarily owned by 17 affiliated Farm Credit Associations. The AgriBank District covers America's Midwest, a 15-state area stretching from Wyoming to Ohio and Minnesota to Arkansas. With about half of the nation’s cropland located in the AgriBank District, and nearly 100 years of experience, the Bank and its Association owners have significant expertise in providing financial products and services for rural communities and agriculture.