Thursday July 7 Ag News

Meet one of the FY17 Corn Board Candidates: Steve Ebke
   
A diligent, thoughtful leader, Steve Ebke dedicates his time and energy to the service of his fellow farmer.  Now, he wishes to contribute at an even greater level as a member of the 2017 National Corn Growers Association Corn Board.

"As a leader, I have always tried to keep a positive approach to things and to keep an open mind," said Ebke. "I am not afraid to challenge my own ways of thought or challenge others to do the same. I try and make lemonade out of lemons. NCGA gets hit with a lot of things and put into tough spots, but we have to look for common ground and ways to work together. Doing so, we can accomplish not only our goals for corn farmers, but for all of agriculture."

Ebke currently chairs NCGA's Public Policy Action Team. Previously, he chaired the Production and Stewardship Action Team and served as a member of the Grower Services Action Team and the NCGA CornPAC.
 
"I have always tried to keep an eye toward the future," Ebke said. "As someone with a young family, I see the importance of working to preserve the freedom that they have to operate while keeping an eye on trending issues and knowing farmers will always ask to be more accountable too. We must preserve and build upon the successes we already have had in agriculture. We need a stable farm economy moving forward so that those next generations can thrive."

Ebke, along with his wife Debby, farms corn, soybeans and winter wheat in southeastern Nebraska. A user of the the Field to Market Fieldprint Calculator, he has adopted a wide variety of conservation practices such as cover crops, variable rate seeding, no-till and strip-till.

The NCGA Corn Board election takes place at the July 20 Corn Congress session in Washington.



USDA Announces $49 Million Public-Private Investment to Improve Critical Wetlands in 12 States

Agriculture Secretary Tom Vilsack today announced that USDA is awarding $44.6 million through its Wetland Reserve Enhancement Partnership to support 10 wetland enhancement projects on private and tribal agricultural lands in 12 States. Recipients for each project are providing more than $4.3 million in matching funds, bringing the total investment to approximately $49 million. In total, the projects will help to protect, restore or enhance 15,000 wetland acres in critical watersheds across the United States.

"USDA is committed to protecting and enhancing our nation's wetlands, which are critical to the quality of our nation's waters, wildlife and landscapes," said Vilsack. "By collaborating with private partners at the local and regional level, USDA is able to support innovative conservations solutions and expand the amount of dedicated resources. These are high impact projects that will ensure our land and water resources are healthy now and for the next generation."

The Wetland Reserve Enhancement Partnership (WREP) was authorized by the 2014 Farm Bill and is administered by USDA's Natural Resources Conservation Service (NRCS). WREP helps States, local governments, Tribes and other organizations collaborate with NRCS to work with private and Tribal landowners to voluntarily enroll eligible land into conservation easements that protect, restore and enhance wetlands on their property. WREP is a special enrollment option under the Agricultural Conservation Easement Program (ACEP).

Wetland reserve easements enable landowners to successfully reduce impacts from flooding, recharge groundwater, enhance and protect wildlife habitat and provide outdoor recreational and educational opportunities. The voluntary nature of NRCS easement programs allows effective integration of wetland restoration on agricultural land, providing benefits to farmers and ranchers who enroll in the program, as well as benefits to the local and rural communities where the wetlands exist.

Projects announcement today bring together partners leveraging technical and financial resources to address local concerns, such as water quality and flooding. Since 2009 private landowners, tribes and entities like land trusts and conservation organizations have enrolled nearly 1.3 million acres in NRCS wetland easement programs for a total NRCS investment of $3.2 billion in financial and technical assistance.

Today's announcement includes projects in Arkansas, Indiana, Iowa, Kentucky, Louisiana, Mississippi, Missouri, Nebraska, New Hampshire, Tennessee, Washington and Wisconsin.

Nebraska: Nebraska’s Playa Wetlands; Working for Producers, Migratory Birds, & the Ogallala Aquifer
Lead Partner:  Nebraska Game and Parks
Proposed NRCS Investment: $3,251,300
Proposed Partner Investment: $573,750
Despite the extensive wetland drainage throughout the Rainwater Basin and Central Table Playa Wetland Complex, many historic wetlands intermittently pond water during the cropping season. As a result, these cropped wetlands are often subject to diminished profitability. Landowners and farm operators are the first to recognize when wetland conversion attempts have failed, and the need for viable economic alternatives for these acres. Restoration of these 900 acres of playa wetlands and associated upland buffer will create a win-win situation for producers, migratory birds, resident wildlife, as well as the citizens of rural communities.  These wetland restorations are also expected to address seven of Nebraska NRCS’s State Resource concern priorities, such as soil erosion and water quality.

Iowa: The Iowa-Cedar Headwaters Wetland Initiative II
Lead Partner:  Iowa Department of Natural Resources
Proposed NRCS Investment: $3,000,000
Proposed Partner Investment: $175,000
This project area is best described as where long-term wetland restoration program in the prairie potholes meets more recent efforts to assist flood-affected landowners in the Iowa and Cedar River watersheds. Through this project, partners can improve both breeding and migration habitat for migratory birds; provide improved water quality within a portion of the UpperMississippi River Basin; and can provide floodwater attenuation that benefits towns and people living in the Iowa and Cedar River watersheds. This project proposes to restore and permanently protect and restore 580 acres of prairie pothole wetlands and associated tallgrass prairie uplands under a combination of permanent NRCS WRE easements (400 acres), State of Iowa Wetland Easements and State of Iowa fee title acquisitions (180 acres). Easement enrollment will be focused within 3 project sites that encompass a set of 5 Prairie Pothole Joint Venture (PPJV) Priority Areas and 2 Ducks Unlimited Living Lakes Initiative Emphasis Areas.



Eight Iowa Women to Receive Recognition for Work in Agriculture

The shifting, growing role of women in production agriculture signaled the need for Iowa State University Extension and Outreach to create a new program focused on women. Over the last several years, the program has expanded the research-based education specifically designed for and offered to women. The Women in Agriculture program will introduce a special recognition during Farm Progress Show to showcase the lives of eight outstanding Iowa women.

The honorees were selected from applications submitted by ISU Extension and Outreach employees across the state. They demonstrate exceptional contributions to managing and working with livestock and farmland, and providing professional agricultural services.

“ISU Extension and Outreach has so many wonderful connections with inspiring women working in Iowa agriculture,” said Madeline Schultz, Women in Agriculture program manager. “The Women Impacting the Land recognition gives us a meaningful way to honor these women and share their stories.”

The women will be introduced and their stories shared at the Iowa State exhibit during Farm Progress Show  Aug. 30 – Sept.1. Several women will be on hand each day to meet visitors and talk about their experiences. A special recognition ceremony will be held at noon each day on the Iowa State speaker’s stage.

Women Impacting the Land Honorees
Cathy Ayers – Indianola
Nancy Bohl Bormann – LuVerne
Kathy Dice – Wapello
Jean Driscoll – Mechanicsville
April Hemmes – Hampton
Jenni Peters – Bellevue
Amy Petersen – Muscatine County
Julie Walters – Villisca

Videos telling the women’s stories are being posted online at www.extension.iastate.edu/womeninag.



Strong May Results for U.S. Beef, Pork Exports

U.S. red meat exports gained momentum in May with shipments of both beef and pork increasing significantly year-over-year and reaching 2016 highs, according to statistics released by USDA and compiled by the U.S. Meat Export Federation (USMEF).

May beef export volume increased 12 percent from a year ago to 99,451 metric tons (mt). Export value ($533.3 million) was 4 percent lower than a year ago but still the highest since July 2015. For January through May, export volume moved 3 percent ahead of last year’s pace at 442,627 mt, while value was down 11 percent to $2.37 billion.

Exports accounted for 14 percent of total beef production in May and 11 percent for muscle cuts only – each up about 1 percentage point from a year ago. For January through May, these ratios were 13 percent and 10 percent, respectively, steady with last year’s pace. Export value per head of fed slaughter was $264.98 in May and $249.67 for January through May – down 9 percent and 14 percent, respectively, from a year ago.

Pork exports reached 199,193 mt in May, up 8 percent from a year ago, while export value increased 3 percent to $501.7 million. Both totals were the highest since April 2015. For January through May, pork export volume was 1 percent ahead of last year’s pace at 921,838 mt, valued at $2.27 billion – down 6 percent.

Exports accounted for 28 percent of total pork production in May and 24 percent for muscle cuts only – up slightly from a year ago. For January through May, these ratios were 25 percent and 21 percent, respectively, which was steady with last year. Export value per head slaughtered was $54.66 in May (down 2 percent from a year ago) and $47.44 for January through May (down 8 percent).

Japan, Korea, Mexico drive beef export growth
May beef exports to Japan were the largest since September 2014 at 23,158 mt, up 29 percent from a year ago, while value climbed 22 percent to $130.1 million. For January through May, exports were 8 percent higher in volume (96,480 mt) and down 2 percent in value ($552.8 million).

Exports to South Korea reached 15,471 mt in May, up 59 percent from a year ago and the largest in more than five years. Through the first five months of 2016, exports to Korea totaled 61,062 mt (up 26 percent from a year ago) valued at $359.7 million (up 5 percent).

“With domestic beef supplies being very tight in both Japan and Korea, our spring marketing campaigns have focused on presenting U.S. beef as a high-quality, reasonably priced alternative,” said USMEF President and CEO Philip Seng. “For example, USMEF-Japan’s training and support programs highlighting new merchandising techniques and cooking styles, including ‘Thick Cut American Beef’ and ‘American BBQ’ have greatly expanded sales of U.S. beef in regional supermarket chains, displacing domestic product as well as foreign competition. These regional retailers continue to work with USMEF in adding more beef cuts and utilizing new merchandising ideas, which is helping the U.S. industry win back market share in Japan.”

Despite the continued weakness of the peso, beef exports to Mexico gained momentum in May, increasing 33 percent from a year ago in volume (22,363 mt) and 13 percent in value ($90.4 million). Through May, 2016 exports to Mexico totaled 91,813 mt (up 1 percent) valued at $399.3 million (down 11 percent).

“From a price standpoint, the Mexican beef market is certainly one of our most challenging,” Seng said. “But with U.S. beef prices moderating in recent months, this creates excellent opportunities to win back customers – especially by promoting economically priced alternative cuts, which add quality and variety to restaurant menus and have also gained traction in the retail sector.”

China’s demand for U.S. pork remained strong through May; momentum also builds in other key markets
May pork exports to China/Hong Kong were the largest since 2011 and the third-largest on record at 58,007 mt, up 85 percent from a year ago, while value climbed 87 percent to $111.1 million. Through May, 2016 exports to China/Hong Kong totaled 234,526 mt (up 80 percent from a year ago) valued at $441.7 million (up 61 percent).

“The U.S. industry, as well as the other major pork exporters, has certainly benefited from the shortfall in China’s domestic production,” Seng noted. “However, falling hog prices in China suggest that demand for imported pork could begin to cool, so it was vitally important that exports to other key markets also gained momentum in May. USMEF is redoubling efforts to educate processors and other end users in China on the attributes of U.S. pork, so they fully understand the value U.S. pork delivers even after China’s domestic production rebounds.”

Although outpaced by China/Hong Kong in May, Mexico usually ranks as the leading volume destination for U.S. pork. May exports to Mexico were the largest in six months at 57,050, up 7 percent from a year ago, while value increased 10 percent to $104.7 million. For January through May, exports still trailed last year’s record pace by 7 percent in volume (270,410 mt) and 9 percent in value ($460.6 million).

Other markets in which U.S. pork posted strong performances in May included Australia, the Philippines and Honduras. These results pushed January-May exports to Australia to 26,985 mt, up 12 percent from a year ago, while value was down 7 percent to $72.6 million. In the Philippines, exports were still down 2 percent in volume (12,541 mt) through May, but value increased 5 percent to $26.6 million. Exports to Honduras surged to 10,618 mt, up 27 percent from the same period last year, while value increased 7 percent to $19 million.

January-May exports to Japan were down 15 percent from a year ago in volume (159,983 mt) and dipped 13 percent in value ($611.5 million). The decline was in frozen exports (59,399 mt, down 42 percent), while exports of chilled U.S. pork to Japan (89,592 mt, up 16 percent) are on a record pace in 2016.

“The primary focus of our promotional efforts in Japan is on chilled cuts, which is where the U.S. industry can derive the strongest returns in this highly competitive market,” Seng explained. “We are particularly focused on educating retailers, who are focused on quality, about the positive attributes of chilled U.S. pork versus the competition. USMEF’s spring promotional campaigns involved thousands of retail outlets, from both national and regional chains, and in many cases sales of U.S. chilled pork more than doubled as a result.”

Pork exports to Korea were down significantly from last year’s large totals, with January-May volume dropping 35 percent to 62,078 mt and value down 44 percent to $158.9 million. But U.S. pork has actually gained market share in Korea this year, with imports from all suppliers slowing as Korea’s domestic pork production rebounds from outbreaks of foot-and-mouth disease and porcine epidemic diarrhea virus.

Lamb exports lower in May, but volume still ahead of last year
U.S. lamb exports in May were sharply lower than a year ago in volume (558 mt, down 38 percent), though value fell just 7 percent to $1.6 million. Through the first five months of 2016, lamb export volume increased 5 percent from a year ago to 3,873 mt, while value was down 8 percent to $7.6 million. Exports to Bermuda continued to perform well in May and U.S. lamb posted its first exports to Taiwan since 2003, following reopening of the market in late April.



Fischer Supports Biotech Compromise

This evening, U.S. Senator Deb Fischer (R-Neb.) supported legislation that will reduce costs and provide certainty for farmers, ranchers, food companies, and consumers in Nebraska. Introduced by Senate Agriculture Committee Chairman Pat Roberts (R-Kan.) and Ranking Member Debbie Stabenow (D-Mich.), the bill was the product of a bipartisan compromise. It would replace the Vermont state labeling law that went into effect on July 1. The bill passed the Senate by a vote of 63 to 30.

Senator Fischer released the following statement:
“When I visit with my friends and neighbors, our farmers and ranchers, they tell me they support this agreement because it accomplishes three important goals. First, the bill recognizes the scientific consensus that biotechnology is safe. Second, under this agreement, consumers will know what’s in the food they are eating. Third, producers in the United States, and especially in Nebraska, will have the certainty they need to continue to provide safe, high quality, and affordable food to hungry people around the world.”

Steve Nelson, President of Nebraska Farm Bureau Federation, released the following statement in support of the legislation:
“The science surrounding the safety and environmental benefits of GMO products is clear, and this legislation ensures that Nebraska’s farmers and ranchers will be able to take advantage of the many continued advances made in agricultural technology. While we continue to oppose the mandatory nature of this bill, the potential costs to consumers, farmers and ranchers of a state-by-state patchwork of unnecessary GMO labeling laws should not be allowed to stand. We appreciate Sen. Fischer’s support of this bill and hope it will move quickly through the House so that the president may sign it before Vermont’s needless labeling law inflicts any more damage on our nation’s agricultural economy.”

Senator Fischer is a strong supporter of biotechnology as it allows agriculture producers in Nebraska, and across the country, to supply safe and affordable food to consumers around the world.

Last month, more than 100 Nobel laureates published a letter speaking to the benefits of biotechnology and how this safe breakthrough in innovation is helping to feed people all over the world. Their letter, which was reported by The Washington Post last week, notes:
“The scientific consensus is that gene editing in a laboratory is not more hazardous than modifications through traditional breeding, and that engineered plants potentially have environmental or health benefits, such as cutting down on the need for pesticides. A report by the National Academies of Sciences, Engineering and Medicine, released in May, said there is no substantiated evidence that GMO crops have sickened people or harmed the environment, but also cautioned that such crops are relatively new and that it is premature to make broad generalizations, positive or negative, about their safety.”

As of July 1, 2016, harmful and misleading mandatory labeling of biotechnology went into effect by default due to a Vermont state law. The bipartisan legislation approved by the Senate today would replace the Vermont law. The bill also includes key preemption language that would prevent a patchwork of state-by-state biotech labeling laws. Such a patchwork would be damaging to agriculture producers and consumers as it would create uncertainty and drive up food costs.

The Roberts-Stabenow compromise also establishes a National Uniform Standard through the U.S. Department of Agriculture for any food that uses or may contain biotechnology.

The bill provides food manufacturers with three options for biotechnology labeling: text on package, a symbol, or an electronic link. Livestock and most meat products are exempted from mandatory disclosure.



NMPF Statement on Senate Passage of Roberts-Stabenow Biotech Food Labeling Legislation
Jim Mulhern, President and Chief Executive Officer:

“We are pleased the Senate has approved the Roberts-Stabenow food biotechnology labeling measure, which will help preserve the ability of farmers to use safe, proven agricultural biotechnology tools while providing consumers more information about their food.

“This compromise measure will help resolve the marketplace confusion that has already erupted as a result of the Vermont law, with thousands of products set to disappear from store shelves because companies no long wish to do business in that state.

“We want to thank the Senate for their efforts to pass this legislation because the country needs a national approach on this issue, not a patchwork quilt of state differing laws. In particular, we commend the efforts of Sens. Pat Roberts (R-KS) and Debbie Stabenow (D-MI) of the Senate Agriculture Committee, who negotiated the final measure.

“We now hope the U.S. House of Representatives will quickly take up and pass the Senate bill next week. Vermont’s problematic labeling law will continue to do damage along the food supply chain until both houses of Congress band together and send a bill to President Obama’s desk. Time is of the utmost importance.”



Senate Comes Through to Heed Consumers’ Loud Calls for a National GMO Labeling Standard

Tonight, the Senate passed the GMO labeling agreement put forth by Senate Agriculture Committee Chairman Pat Roberts and Ranking Member Debbie Stabenow, by a vote of 63 to 30. Following the cloture vote on Wednesday, which passed 65-32, the bill needed a simply majority to pass in the Senate.

NAWG supports the Senate’s actions in passing this agreement, which it sees as a necessary step forward in making safe and affordable food accessible to American consumers. The bill allows for a variety of labeling options that are meant to help inform consumers and will preempt the state-by-state patchwork that Vermont's law alongside other potential future state laws could cause. It is crucial that technology which has been proven to be safe for human consumption is utilized to assure food security and access to sustainably-produced food.

“We are very pleased with the Senate’s progress on this bill,” said NAWG President Gordon Stoner. “This bill represents a great step in achieving public acceptance of a reliable, safe technology. It is imperative that we provide useful and clear information to consumers that will help them see the benefit of technologies that supply safe, sustainably-produced food to American consumers.”

NAWG applauds the Senate’s actions, and encourages the House to consider and pass the bill as soon as possible.




NCGA Thanks Senate, Urges Quick House Action on GMO Labeling

The National Corn Growers Association praised the U.S. Senate for its vote today passing the Roberts-Stabenow agreement. Now NCGA urges the House to quickly take up and pass this important legislation.

"Today, our representatives in the Senate took an important step toward bringing consistency to the marketplace,' said NCGA President Chip Bowling, a farmer from Maryland. "The Roberts-Stabenow agreement ensures consumers have the access to product information they deserve without stigmatizing this safe, proven technology that America's farmers value. Now, we urge the House to build upon the Senate's work today by quickly taking up and passing this legislation."

NCGA, working with partners across the value chain, has pushed for a solution to this issue for more than two years now as a member of the Coalition for Safe Affordable Food.



ASA Urges House to Pass GMO Labeling Package

Following Senate passage of a bill to set a national standard for the labeling of foods containing GMO ingredients, American Soybean Association (ASA) President Richard Wilkins, a soybean farmer from Greenwood, Del., congratulated the Senate and called on the House to take up and quickly pass the measure. In a statement, Wilkins thanked Senate Agriculture Committee Chairman Pat Roberts and Ranking Member Debbie Stabenow for their work on the bill and urged the House to act as soon as possible to provide certainty in the marketplace for the nation’s farmers and consumers:

“Tonight’s vote in the Senate has been a long time in the making, and we greatly appreciate the work by Chairman Roberts and Ranking Member Stabenow. We believe that the bill they have crafted provides consumers the information they need without stigmatizing a safe and sustainable food technology, and we encourage the House to move quickly to approve this carefully crafted compromise. There is too much at stake in the marketplace to let the consequences of the Vermont law linger any longer.

“We’re grateful not only for the work of Senate Agriculture Committee leadership, but for the leadership on this issue on the House side as well. The House did its job on its voluntary bill almost a year ago and, while the Senate bill isn’t perfect, it’s the best legislation that can become law. A perfect bill that can’t pass won’t accomplish anything for the nation’s farmers or the nation’s consumers. We appreciate the efforts of Chairman Conaway, Ranking Member Peterson and Congressmen Pompeo and Butterfield, and we hope to count on their support for the bill as it moves to the House.”



USTR/USDA on Reopening of Saudi Arabia to U.S. Beef

Ambassador Michael Froman and Secretary of Agriculture Tom Vilsack released the following statement upon the decision by Saudi Arabia on June 28, 2016 to reopen its market to U.S. beef:

"We are pleased that Saudi Arabia and the United States have reached an agreement to reopen the Saudi Arabia market to U.S. beef and beef products following a four year ban due to an atypical case of bovine spongiform encephalopathy in the United States in 2012.

"Saudi Arabia will allow imports of beef and beef products from U.S. cattle less than 30 months of age, with access expanded to include products from U.S. cattle under 48 months after a phase-in period.  Products eligible for export include bone-in and de-boned beef, offal, ground and processed beef.

 "USDA's Agricultural Marketing Service is developing a program to certify U.S. beef to Saudi Arabia's import requirements to address the specific conditions in that market and will publish details as soon as they are available.  The AMS Program should be announced in the next few weeks.

“This agreement is yet another example of the Obama Administration’s commitment to addressing barriers blocking U.S. exports. Reopening Saudi Arabia’s market will create additional export opportunities for American ranchers. The United States exported over $31 million of U.S. beef and beef products in 2011, prior to the ban.  Saudi Arabia consumers will now have the opportunity to enjoy high quality American beef.”



EIA: Ethanol Stocks, Blender Inputs Up

Ethanol inventories increased last week while production fell, with blender inputs also rising to a fresh record high, according to data released Thursday by the Energy Information Administration.

The data showed total inventories rose 400,000 barrels (bbl), or 1.8%, to 21.6 million bbl for the week-ended July 1, with a year-over-year surplus at 1.7 million bbl, or 8.6%.

Plant production decreased 19,000 barrels per day (bpd), or 2.0%, to 984,000 bpd while down 3,000 bpd, or 0.3%, year over year.

Blender inputs, a proxy for ethanol demand, increased by 6,000 bpd, or 0.6%, to a 957,000 bpd fresh record high for the week, while up 53,000 bpd, or 5.9%, year over year.



Southeast Asia Promotions Take Advantage Of Logistics, Prices for U.S. Corn, DDGS

The cities of Jakarta, Kuala Lumpur, Hanoi, Ho Chi Minh City and Bangkok all played host to seminars targeting feed formulators and regional importers over the last two weeks, part of roadshows put on by the U.S. Grains Council's office in Kuala Lumpur, Malaysia.

Robust feed demand growth and import arbitrages have lead Southeast Asia to become a major destination for both corn and distiller's dried grains with solubles (DDGS) in recent years. Collectively, the region’s DDGS imports through May are up 74 percent according to U.S. Department of Agriculture (USDA) data and have overtaken Mexico as the second largest importer of the corn based ethanol co-product.

Building on this momentum, the Council invited DDGS nutritionist Dr. Gerald Shurson of the University of Minnesota to the region to help formulators push DDGS inclusion to the maximum limits, given favorable economics.

“In Vietnam, we’ve learned that major feed companies and integrators are using DDGS up to 20 percent in poultry diets, but only 10 percent in swine diets. This is surprising because in the U.S., 20 percent diet inclusion rates are common for swine, with 5 to 9 percent inclusion rates for broilers,” Shurson said.

Vietnam is the third largest market for DDGS with a rapidly-developing feed industry. Opportunity for higher inclusion rations, particularly on the swine side - the meat of choice for the Vietnamese - presents an exciting challenge for USGC stakeholders.

"When Vietnamese DDGS users are pressed for reasons why they are not using higher dietary inclusion rates for swine, they have responded it is because they don’t have confidence in the energy and digestible amino acid values for use in feed formulation," Shurson said. "We've worked to address these topics in seminars and site visits sharing the latest information and nutritional approaches to deal with variability in crude fat content and color."

The roadshows also focused on promoting U.S.-origin corn, as logistics and prices are unusually favorable for U.S.-origin loadings. Typically, the United States suffers from unfavorable freight spreads compared with South America, but historically low freight rates have marginalized that advantage and FOB-to-FOB values now favor the U.S. This dynamic and logistics backlogs in South America have buyers looking once again to the United States to supply their corn needs.

Despite the favorable economics, Southeast Asian buyers have developed a strong preference for South American corn, which has permeated into a "required discount" for U.S. origin corn. The Council's programs in the region are focused on changing the behavior of Southeast Asia importers so they include the U.S. in their supply pipelines when economics indicate. The Council is doing this by aggressively promoting its annual corn quality reports in addition to nutritional servicing by respected academics like Shurson.

"My ultimate goal is for DDGS to become a ubiquitous component of all SEA feed formulations and U.S. corn to be the origin of first resort,” said Kevin Roepke, regional director for the U.S. Grains Council. "Given our strong promotional programs, we should see a surge of U.S.-origin shipments to the region to finish out old crop, followed by a turning point for sales into the region with the high-quality new crop."



Brazil Cuts 2015-16 Corn Production Forecast

Brazilian crop agency Conab slashed its forecast for total corn production in the 2015-2016 season as dry weather in several states hit productivity.

Brazilian farmers will produce 69.1 million metric tons of corn in the season, Conab said Thursday in its monthly crop report. This is compared with its forecast of 76.2 million tons in the June report and is down 18.3% from 2014-15 production of 84.7 million tons.

Brazil's mild winter permits farmers to grow two corn crops per year, and production from both harvests will decline, Conab said. The second corn harvest is still in its early stages.

The agency maintained its forecast for the country's 2015-2016 soybean crop at 95.6 million metric tons. The soy harvest is almost complete.



Pelleting, Extrusion Increase Digestible Energy for Pigs
Scientists at the University of Illinois using co-products from the ethanol and human food industries are helping shed light on ways processing high-fiber animal feed ingredients can enhance pigs' utilization of the nutrients and energy they contain. The co-products from these industries typically contain more fiber than the standard corn-soybean meal diet.

"It is possible that the benefits of extrusion and pelleting are greater in high-fiber diets than in low-fiber diets. We set out to test that hypothesis, says Hans H. Stein, professor of animal sciences at Illinois."

Stein and his team tested effects of extrusion, pelleting, or extrusion and pelleting: using a low-fiber diet based on corn and soybean meal; a medium-fiber diet containing corn, soybean meal, and 25 percent distillers dried grains with solubles (DDGS); and a high-fiber diet containing corn, soybean meal, 25 percent DDGS, and 20 percent soybean hulls.

Each diet was divided into four batches. One batch was fed in meal form, one was pelleted at 85 degrees C, one was extruded at 115 degrees C, and the fourth was extruded at 115 degrees C and then pelleted at 85 degrees C. "Regardless of the concentration of fiber in the diet, pelleting, extrusion, and pelleting plus extrusion increased the digestibility of indispensable amino acids relative to feeding in meal form," Stein says. "For most indispensable amino acids, extrusion or extrusion combined with pelleting provided a greater increase than pelleting alone. There was no interaction between processing techniques and fiber level."

Pelleting of low-fiber diets increased digestible energy by 1.9 percent and metabolizable energy by 2.1 percent. Extrusion did not increase digestible energy or metabolizable energy of the low-fiber diet. Combining extrusion with pelleting did not increase digestible energy or metabolizable energy compared with pelleting alone.

For the medium-fiber diets, pelleting increased digestible energy by 1.9 percent and metabolizable by 2.2 percent. Extrusion increased digestible by 2.3 percent and metabolizable energy by 2.7 percent. The combination of pelleting and extrusion did not increase digestible energy or metabolizable energy in these diets.

Pelleting did not increase digestible energy or metabolizable of the high-fiber diets. Extrusion increased digestible energy by 2.0 percent and metabolizable by 2.9 percent. The combination of extrusion and pelleting increased digestible energy by 2.9 percent and metabolizable energy by 3.7 percent.

Hindgut fermentation was not increased in pigs fed extruded, pelleted, or extruded and pelleted diets. Instead, the increase in digestible energy and metabolizable energy appeared to be attributable to increased digestibility of amino acids and starch.

Stein concludes, "These data indicate that energy utilization may be improved by pelleting or extrusion or by a combination of the two, but the response seems to be greater for extrusion in diets that are relatively high in fiber."

The research is supported by funding from the National Pork Board, Des Moines, Iowa, and by Buehler AG, Uzwil, Switzerland.

"Effects of pelleting, extrusion, or extrusion and pelleting on energy and nutrient digestibility in diets containing different levels of fiber and fed to growing pigs," is published in the Journal of Animal Science. Oscar Rojas, formerly of the University of Illinois and now of Devenish Nutrition, and Ester Vinyeta of Buehler AG are co-authors.



Chandler Goule Starts at NAWG

New National Assoc. of Wheat Growers CEO Chandler Goule began his tenure at NAWG this week, with July 5 as his first day. Since finishing at National Farmers Union, where he was Senior Vice President of Programs, Chandler took a well-deserved vacation before diving in at NAWG to start his work in developing and maintaining industry relations, acting as Executive Director of the National Wheat Foundation, and leading NAWG’s advocacy for wheat growers. The NAWG office and board are excited to start working with Chandler and are glad to welcome him to the team.

House Deals With Cuba Amendments to Financial Services Appropriations Bill
This week, the House of Representatives considered the FY 2017 Financial Services Appropriations bill. Consideration was scheduled for earlier in June but was delayed due to the Democratic-Republican conflict over gun control regulations. During consideration this week, there was an amendment from Rep. Rick Crawford (R-AR) that was made in order that would lift the current financing restrictions which prohibit the United States from financing agricultural product sales to Cuba. Cuba is a very relevant target market for the wheat industry, with an average of 30 million bushels imported annually, making the country the largest market in the Caribbean for wheat.

During consideration, Rep. Crawford pulled the amendment from floor consideration after an informal agreement was reached whereby the primary opponents of expanding trade with Cuba in the House would work with Rep. Crawford and other proponents on finding a path forward for authorizing legislation that would ease the financing restrictions.

NAWG is highly supportive of efforts to liberalize trade with Cuba, and believes that doing so will allow the United States to take advantage of our ideal geographical location to Cuba. Moving forward, NAWG will continue to work with other members of the U.S. Ag Coalition for Cuba and our champions on the Hill, to move the needle on the Cuba trade relations debate.



MONSANTO AND DUPONT SIGN DICAMBA SUPPLY AGREEMENT

Monsanto Company (NYSE: MON) and DuPont (NYSE: DD) today announced a multi-year dicamba supply agreement for the U.S. and Canada. Terms of the agreement were not disclosed.

“This agreement represents continued commitment to the Roundup Ready® Xtend Crop System,” said Mike Frank, Monsanto vice president, chief commercial officer. “Low-volatility dicamba formulations with VaporGrip™ Technology are designed to give soybean farmers additional tools to control glyphosate-resistant and tough-to-control broadleaf weeds.”

“For several years, DuPont has been testing a solutions-based approach to optimizing weed control using this novel soybean trait and dicamba formulation technology,” said Tim Glenn, president, DuPont Crop Protection. “We are seeing excellent results in improved control of weed populations, including those resistant to a number of herbicide modes of action. This advance will help farmers manage weed competition while improving crop safety as they work to increase production to meet global food demand.”

DuPont will sell its new herbicide as DuPont™ FeXapan™ herbicide plus VaporGrip™ Technology.

Since 1967, dicamba has helped farmers manage broadleaf weeds, which are a key pest in agricultural operations around the world, limiting crop access to nutrients, sunlight and water. Various dicamba formulations have been developed over time to help reduce potential volatilization while delivering improved weed control and greater application flexibility. Dicamba has a decades-long history of effective use in the U.S. and 25 other countries in corn, wheat, fallow and pasture land; on conservation tillage acres; and for residential lawn care.