Wednesday November 02 Ag News

Federation of State Beef Councils Earmarks $940,000 for New International, National Beef Demand-Building Efforts

Facing low cattle prices and increasing supplies of beef, and with strong encouragement from its state beef council partners, the Federation of State Beef Councils at the National Cattlemen’s Beef Association will invest nearly $1 million of reserve funds in international and national beef promotions to increase demand for beef.

The Federation Executive Committee voted for this additional spending at an NCBA Executive Committee meeting Nov. 1. The $940,000 investment, from Federation reserves, will be spent in the following areas:

·         $260,000 to the U.S. Meat Export Federation for a promotion with national retail chains in Japan. The promotion is expected to move an additional 6.9 million pounds of beef;
·         $140,000 to the U.S. Meat Export Federation for regional retail promotion campaigns in Japan. The promotion could move another 2.75 million pounds of beef;
·         $200,000 to the U.S. Meat Export Federation for a Korean beef promotion with national retail and second tier discount chains. The effort is expected to incrementally move about 5.8 million pounds of beef;
·         $40,000 to the U.S. Meat Export Federation for an Asian island promotion targeting a quickly-growing tourist destination which has growth opportunities for beef; and
·         $300,000 to NCBA, for an Ibotta promotion that targets millennials in larger cities and encourages greater beef purchases in retail stores. Ibotta is a smartphone app that shares beef information with consumers, then allows them to obtain cash rebates based on their retail beef purchases.

According to Steve Hanson, a beef producer from Elsie, Neb., and chairman of the Federation of State Beef Councils, the Federation Executive Committee moved quickly to approve these additional investments. He said the Federation intends to add a spark to beef demand at a time when producers are feeling a squeeze in their own bottom lines.

“Our state beef council partners communicated to national leadership the importance of using every opportunity to use checkoff resources to build demand in the face of cattle market challenges,” Hanson said. “In both the international and national beef markets, our producer leaders identified these new investments as a chance to quickly and directly make a difference in beef demand.”



Lt. Governor, Director of Agriculture to Help Load First Shipment of Beef to Israel

On Thursday, Lt. Governor Mike Foley will visit WR Reserve in Hastings to congratulate the company on sending the first shipment of US beef to Israel in 13 years and discuss the company’s expansion plans.

The Lt. Governor will be joined by Department of Agriculture (NDA) Director Greg Ibach, Fischel Ziegelheim with WR Reserve and Dave Rippe the Executive Director of the Hastings Economic Development Corporation.

The Lt. Governor and others will deliver brief remarks before loading the first boxes of beef bound for Israel.  This event will be held between 11:00am and 11:30am on Thursday, November 3rd, at WR Reserve in Hastings, NE. 



Nebraska Beef in Europe
Governor Pete Ricketts

You’ve probably heard the slogan: “Beef. It’s what’s for dinner… in Nebraska.”  From world-class packing plants in Omaha to ranches which span as far as the eye can see throughout the Sandhills, beef is our state’s largest industry.  There are few things better than eating a (very!) rare steak at the Peppermill in Valentine or Plainsman Steakhouse in Juniata.

Increasingly, our beef isn’t just being served for dinner in Nebraska, but also around the world.  In 2006, Nebraska beef accounted for less than four percent of all beef exported from the United States.  In the first six months of 2016, Nebraska beef has risen to over 18 percent of U.S. beef exports.

These successes didn’t happen by accident.  They’ve happened because Nebraskans have worked together to grow opportunities for our quality beef products over the past decade.  Since 2005, the Nebraska Department of Agriculture (NDA) has worked in partnership with the Nebraska Beef Council on a focused effort to grow beef exports internationally.  For decades, Nebraska Governors have been leading overseas trade missions to establish new relationships and expand existing ones as well as hosting overseas diplomats and investors here in our state.

In the first two years of my administration, we have built upon this tradition.  Last year, I led overseas trade missions to the European Union (EU) and Asia.  Next week, I will be leading a trade mission to China, Hong Kong, and Macau with 80 individuals, one of the largest trade delegations the state has ever had.  Trade mission attendees include representatives from Nebraska businesses, the University of Nebraska, and farmers and ranchers.  As Nebraska’s fourth largest trading partner, China presents many opportunities because of its growing middle class.  For example, a growing middle class will demand more high quality food products.  During the trade mission, we will be promoting Nebraska’s commodities, meeting with potential investors, and working to establish new partnerships.

In addition to the trade missions I personally lead, my agencies also spearhead additional missions throughout the year.  Just a couple of weeks ago, Nebraska Agriculture Director Greg Ibach returned from a trip to the European Union where he followed up on our trade mission from last year, and promoted Nebraska beef.  He was joined by representatives from the Nebraska Beef Council, Greater Omaha Packing Company, and the University of Nebraska.  During visits to England, Germany, France, and Spain, the delegation promoted Nebraska commodities as well as signed agreements with businesses and organizations to feature and promote beef from Nebraska.

Continued commitment to developing trade opportunities has resulted in a huge increase in market share for Nebraska beef in the European Union.  In 2005, the U.S. exported $36.3 million worth of beef to the EU, and Nebraska’s share of the market was only five percent valued at $1.8 million.  In 2015, the U.S. exported $315.4 million worth of beef to the EU, and Nebraska’s market share grew to 45.2 percent valued at $142.7 million.

Continued success will require continued commitment.  As I travel to China next week, I look forward to sharing with you some of the success stories about the trade mission, and to highlight some of the individuals and companies that will be joining us to promote Nebraska.  If you have thoughts you would like to share about Nebraska’s trade relationships or partnerships, I hope you’ll write me at pete.ricketts@nebraska.gov or call my office at 402-471-2244.  Working together, we can continue to grow Nebraska!



2016 Silver Eagle Award Honors Doug Gibson

Nebraska Farm Bureau has selected former Chief Administrator Doug Gibson of Lincoln, as the 2016 recipient of its highest honor, the Silver Eagle Award. The award will be presented to Gibson on Dec. 6 at the 2016 Nebraska Farm Bureau Convention in Kearney.

Doug Gibson had a 39-year career at Farm Bureau, with 11 years working in public relations at the Wyoming Farm Bureau and the next 28-years in Nebraska as the Chief Administrator of Nebraska Farm Bureau.

“Doug has been a strong advocate for Nebraska farmers and ranchers and has always been very humble, working behind the scenes at Nebraska Farm Bureau, and never taking credit for many of his accomplishments,” Steve Nelson, president of the Nebraska Farm Bureau said Nov. 1.

One of the most important successes Doug undertook was how to find ag friendly candidates for elected positions. “Doug created and promoted the Nebraska Farm Bureau Federation Political Action Committee (NFBF-PAC), something that still exists today. It is extremely important to find people to run for office who understand the importance of agriculture and have an appreciation for the role farmers and ranchers play in not just providing food, but also in supporting our local, state and national economies,” Nelson said.

During his tenure as chief administrator, membership in the organization more than doubled. He elevated policy work in the areas of water, taxes and western issues and promoted the organization as being on the leading edge of technology, Nelson said.

Gibson was instrumental in establishing Farm Bureau leaders as spokesmen for agriculture. He worked hard to offer agriculture news to statewide reporters, making Nebraska Farm Bureau the go-to place for important agricultural issues. Agriculture and certainly Nebraska Farm Bureau is stronger because of Gibson’s vision. He is an eternal optimist and would always say “to win on issues, we must be as passionate as our opponents. We cannot expect different results from only doing the same things,” Nelson quoted.

“Doug is extremely worthy of receiving Nebraska Farm Bureau’s highest honor, the Silver Eagle Award. We thank him for his service to Nebraska Farm Bureau and elevating Nebraska agriculture and the farmers and ranchers who make up our Nebraska Farm Bureau family,” Nelson said.

Doug has been known for his volunteer work in agriculture outside of Farm Bureau. That included past service on the Nebraska 4-H Foundation, Nebraska Vocational Agriculture Foundation and the Nebraska Agricultural Leadership Council boards of directors. He also served on the NEBRASKAland Foundation board as secretary and was originally appointed to bring someone with an agricultural perspective to that organization. Since retirement he has served as the secretary of Agriculture Builders of Nebraska.

He is a Pine Bluffs, Wyoming native who earned a journalism degree from the University of Wyoming. He served in the U.S. Army for three years, including one in Vietnam. Doug and his wife, Margaret -- a farm girl from Wyoming's Big Horn Basin -- have three sons, Joel, Colin, and Ian, as well as five grandchildren. 



RISK ASSESSMENT WORKSHOP FOR DAIRY PRODUCERS DECEMBER 8 & 9 IN LINCOLN

The University of Nebraska-Lincoln Extension, in association with Virginia Cooperative Extension, Southern Extension Risk Management Education, and USDA, is pleased to announce its risk assessment workshop from 9 a.m. to 3:30 p.m., Dec. 8 and 9, 2016, at Mussehl Hall, University of Nebraska-Lincoln–East Campus, in Lincoln, Neb.

Special guest speaker is Virginia Tech. Dairy Management Extension Specialist Dr. Gonzalo Ferreira.

This workshop is designed for dairy owners, managers, and financial personnel, to get hands-on analysis and real-time decision-making exercises as it pertains to making better business decisions. The format of the workshop will include a host of introductory presentations on various subjects, peer farmers group discussions, and presentations of resulting decisions.

“The Risk Assessment Workshop is a great opportunity for new producers and the young leaders on the dairy farm to learn about budgeting, cash flow analysis, calculating cost per hundred weight, and determining the cost to run their dairy,” Kim Clark, UNL Dairy Extension Educator, said.

“The workshop will provide hands-on training, and participants will leave with spreadsheets and information to use on their farm immediately as they make financial decisions.”

Topics to discuss include:
1.     Developing Dairy Business Strategic Plans
2.     The Importance and Analysis of Balance Sheets
3.     Cash-flow and Budgeting in the Dairy Enterprise
4.     Break-even Cost and Sensitivity
5.     Transition Planning
6.     Importance of Key Financial Indicators in the Dairy Business
7.     Analysis of Investments
8.     Analysis of Different Production Systems:
     a.      Confinement vs. Grazing
     b.     Conventional vs. Organic
9.     Analysis of Investment for Purchasing Milk Commission Base
10.  Analysis of the Expansion Process

You are encouraged to bring your laptop, but one can be provided, if indicated at time of registration.

You may register online at http://dairy.unl.edu/risk-management-workshop-dairy-producers-0.

Space is limited to 30 participants. Registration deadline is Dec. 4. A $50 registration fee per person includes refreshments, meals, and materials. Please note that evening meals and hotel arrangements are on your own.

For more information, contact Kim Clark at 402-472-6065 or email kimclark@unl.edu. We look forward to seeing you at the Risk Assessment Workshop in December.



Nebraska Farmers Union 103rd Annual Convention Agenda Highlights Announced
Ramada Inn, Columbus, December 9-10th
“Stewards of the Future” is the theme for the 103rd annual Nebraska Farmers Union (NeFU) state convention.  John Hansen, NeFU President said, “We are back in Columbus for the first time since 1989.  We hope this location will encourage more of our northeast and eastern Nebraska members to attend.  In addition to our delegates and members electing our officers, selecting our delegates to the NFU Convention, and setting our policy, this year’s state convention is focused on how prepare for the future of family farm and ranch agriculture.  Like most good stewards, we want to leave our organization and family farm agriculture better than we found it.”

Hansen said this year’s convention “Brings some of the top state, regional, and national USDA officials to Columbus as we look for opportunities to support our efforts increase the resiliency of our soils, ways to deal with a changing climate, enhance our rural communities, and support our farmers and ranchers with available farm programs, especially during this time of great financial stress in agriculture.  We will have experts in cover crops, UAV’s (Unmanned Aerial Vehicles), renewable energy, and state policy issues including property tax relief.

Friday morning highlights include:
·         Dwight Lane, Manager of KTIC Radio West Point;
·         Maxine Moul, State Director of USDA Rural Development
·         Noon luncheon Keynote speaker will be Dr. Jerry Hatfield, USDA National Laboratory Director for Agriculture and the Environment and Director of the USDA Midwest Climate Hub:  “Soil is the Foundation of Climate Resilient Agriculture”.   Also speaking at noon will be Jeff Downing, General Manager of the Midwest Agency, LLP;
 
Friday afternoon speakers include:
·         Larry Mitchell, USDA GIPSA Administration on Market Reform Issues
·         Dan Steinkruger, Executive Director, USDA Nebraska Farm Service Agency
·         Nebraska State FSA Committee Panel Discussion
·         Richard Ferguson, UNL Department of Agronomy on Unmanned Aerial Vehicle’s ag potential.

The Friday evening banquet keynote speaker will be NFU Historian Tom Giessel who will remind us of the value and need for farm organizations, especially in times of financial crisis.

Saturday morning highlights will include:
·         A “Big Red Worms, LLC Project Report” from Jeremiah Picard and John Hansen.
·         Del Ficke, Green Acres Cover Crops Dryland Research Manager will speak on “Uncovering the Upside Potential and Uses for Cover Crops.”
·         A panel of State Senators will discuss issues likely to be in play in the 2017 Legislature.

The Saturday noon Luncheon will feature Zack Clark, NFU Government Affairs Representative who will provide a National Farmers Union issues report and President Hansen’s State of the Union presentation.

Registration costs are $35 and begin at 8:00 a.m. Friday and Saturday mornings.  Convention begins at 9:00 a.m. Friday and 8:30 a.m. Saturday.  As always, all members and the public is always welcome.  More information is available at:  www.nebraskafarmersunion.org or call (402) 476-8815.  



Iowa Corn Hosts Korean Ethanol Importers

A U.S. Grains Council (USGC) trade team from South Korea including ten oil and ethanol industry representatives visited the offices of Iowa Corn today after touring the POET ethanol plant in Emmetsburg this morning. The team, arranged in conjunction with the U.S. embassy in Seoul, is in the United States to learn more about ethanol production and its use as they work to develop a plan to begin blending ethanol in their county’s fuel nationwide.

U.S. ethanol exports to Korea increased from 55 million gallons over two years to a record 60 million gallons in 2015. Korea now accounts for 7 percent of all U.S. ethanol exports per the U.S. Department of Agriculture’s Foreign Agricultural Service (USDA’s FAS) figures, which is remarkable considering it was barely on the radar as export destination for the U.S. in 2013.

According to the FAS, more than 90 percent of these shipments in 2015 were intended for fuel use, a significant change from previous years when more non-fuel ethanol for industrial uses was shipped mostly from Brazil. South Korea has not yet set an ethanol blending program, but there is interest to do so given its high dependency on crude oil imports and interest to reduce greenhouse gas emissions. The country consumes about 3 billion gallons of gasoline per year. A roadmap has been set by the Ministry of Environment to begin distributing E3 and E10 in selected cities this year, and E10 nationwide by 2035.

“While Korea’s current fuel requirements don’t specifically call for the use of ethanol, we believe that through market development programs such as trade teams and in country engagement, we can develop Korean interest for U.S. ethanol and create demand for it as a fuel source,” said USGC Director in Korea Haksoo Kim.

Another key factor in the development of the South Korean market is their building of infrastructure to begin distilling imported fuel-grade ethanol into their own higher non-fuel ethanol. This type of ethanol, used to make industrial solvents, is typically higher priced and requires additional processing. This move would put Korean ethanol distillers in the driver’s seat allowing them to refine only the amount of high-quality ethanol they need while selling the rest to other countries in the regional, maximizing their profits. As the lowest priced source of ethanol in the world, the U.S. stands poised to gain this additional market share. 

Korea is just one market in which the U.S. ethanol industry partners are engaged. Programs are also ongoing in Mexico, China, India, Japan, Peru and the Philippines, with more to come in 2017.



U.S. Meat Export Federation Celebrates 40th Anniversary

U.S. Meat Export Federation members are gathered in Carlsbad, California, this week to mark the organization's 40th anniversary and conduct its annual strategic planning conference.

USMEF President and CEO Philip Seng notes that while these are very difficult times for producers, USMEF members remain focused on how red meat exports can help ensure a brighter future for U.S. agriculture.

Seng adds that transportation issues are also a key focus of this week’s conference, which includes an address by James McKenna, president and CEO of the Pacific Maritime Association.

McKenna will discuss the measures being taken to keep U.S. West Coast ports efficient and competitive, as well as current shipping issues of concern to exporters, such as the recent bankruptcy filing by Hanjin Shipping.



Innovative, Creative County Farm Bureau Programs Honored

Thirty-four county Farm Bureaus nationwide were recognized by the American Farm Bureau Federation for innovative program ideas in this year’s County Activities of Excellence Awards program. The winners will be highlighted during AFBF’s 98th Annual Convention and IDEAg Trade Show, Jan. 6-11, 2017, in Phoenix.

The CAE program acknowledges and shares successful county Farm Bureau programs and activities. The awards are based on county Farm Bureau membership. Counties compete for recognition in five different groups. Those groups are county Farm Bureaus with membership of less than 1,000 members, 1,001-3,000 members, 3,001-5,000 members, more than 5,001 members, and for collaborative multi-county activities regardless of membership size.

This year’s CAE award winners come from 11 states: California, Illinois, Kansas, Kentucky, Michigan, Nebraska, New York, Ohio, Pennsylvania, Texas and Virginia. 

Among the winners recognized in the 5,001+ Members category was the Antique Tractor & Car Show, Lancaster County, Nebraska. 

“It’s a pleasure to recognize the outstanding efforts of grassroots Farm Bureau members who join at the county level,” said AFBF President Zippy Duvall. “Members are the heart and soul of Farm Bureau. It’s encouraging to see the creative ways they reach out in their communities to share information about today’s food and farming.”



Fertilizer Prices Continue to Slump

Average retail prices for most fertilizers continued to fall in the final week of October, according to fertilizer retailers surveyed by DTN. Seven of the eight of the major fertilizers slipped 3% or less compared to a month earlier, but all remain significantly lower than a year ago.

On a national average basis, anhydrous settled at $472 per ton, 10-34-0 at $452 per ton, UAN32 at $262 per ton, MAP $451 per ton, DAP at $436/ton, potash at $313/ton, urea at $317/ton and UAN28 at $224/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.34/lb.N, anhydrous $0.29/lb.N, UAN28 $0.40/lb.N and UAN32 $0.41/lb.N.

Retail fertilizers remain lower compared to a year earlier. All fertilizers are double digits lower.

Both DAP and MAP are now down 20%, 10-34-0 has dropped by 23%, while UAN32 is down 21%. Urea is 22% less expensive, UAN28 is 23% less expensive, anhydrous is 26% lower and potash is 27% less expensive compared to the previous year.



Substantial Seasonal Beef Price Weakness Through Fall
Stephen R Koontz, Ag & Resource Econ., Colorado State University

We are a little better than halfway through getting this fall's calf crop marketed and the seasonal weakness in prices has been an eye-opener.  I have spoken to producers that sold calves in October who received close to zero basis for 4-5 weight animals.  This was $15-25/cwt weaker than expected.  A review of USDA AMS price reported for feeder cattle revealed these sales were small loads, in smaller regional Colorado markets, and were not all that common - but neither were these transactions unique occurrences.  There were more than a few very cheap calves changing hands this fall and not just in Colorado.  (And after listening to a fair bit of how bad all those buyers were I was able to determine these specific animals had minimal to no value-added services.  Vaccinations pay.)

There appear to be a number of producers that have delayed marketing.  Inexpensive, and lower quality, hay is relatively plentiful.  And the mild fall weather has further encouraged this activity.  The light feedlot placements seen in this month's USDA Cattle on Feed report was not all that surprising to me after the fact.  There are some clear economic incentives to do something else with feeder cattle - and calves especially - this fall other than take them to market.  While some the traditional marketing activities may have been delayed this fall, I am anticipating this will result in higher than normal placements for the remainder of this year and into next.

While calves, feeder cattle, and fed cattle have all seen very weak prices this fall the lower prices in the downstream beef product prices are translating into very effective product movement.  Strong packer and retailer margins are encouraging that.  Packers may make money in almost every month this year offsetting a terrible 2015.  And while I have read newspaper stories that downstream firms are not liking cheaper food product costs, I cannot believe that's the situation when the retailer looks at the beef in the meat case.  Saturday slaughter volumes have been substantial most of this year and well into fall compared to last and the prior five years.  And while cold storage volume of beef did increase sharply in September, that volume is similar to prior year and reasonable with the volume of beef being processed.  The market moves into lower prices I believe have over done it - similar to the extent the market over reacted during the expansion years of 2013-14 - and these lower prices are what it takes to move the volume of beef we have along with the higher volumes of other proteins.  The third quarter retail beef demand index - found on K-State's AgManager.info website - shows a better than 5% decline relative to the prior year but a modest softening relative to the prior quarter.  This decline in demand does help explain the much lower beef product prices.  In the context of doing cattle market outlook, I have spoken most of this year that worst was over and there would not be more of the same from 2014-15 seen in 2016.  The fall has not played out in any reassuring way.

So what to the technicals say?  Down trends remain in place for the nearby and next deferred live cattle and feeder cattle contracts.  The technicals remain long-term bearish.  All markets have rallied sharply through the last two weeks of October.  But that was following the larger sharp moves down through the end of September and first half of October.  Retracements are to be expected.  The sharp down moves broke support planes and are bearish signals in addition to the down trend.  I am looking forward to - in some future ITCM release - being able to talk about support being established in live and feeder cattle markets either in charts for specific contract or in the longer term weekly charts.



Groups Urge Court To Nix Waters of the U.S. Rule

The National Pork Producers Council yesterday joined dozens of other agricultural organizations, businesses and municipalities in asking a federal court to throw out a Clean Water Act rule that would give the government broad jurisdiction over land and water.

The Waters of the United States (WOTUS) rule, which took effect Aug. 28, 2015, was proposed in April 2014 by the U.S. Environmental Protection Agency and the U.S. Army Corps of Engineers to clarify the agencies’ authority over various waters. That jurisdiction – based on several U.S. Supreme Court decisions – had included “navigable” waters and waters with a significant hydrologic connection to navigable waters. But the regulation broadened that to include, among other water bodies, upstream waters and intermittent and ephemeral streams such as the kind farmers use for drainage and irrigation. It also covered lands adjacent to such waters.

The U.S. Court of Appeals for the 6th Circuit in Cincinnati last October issued a stay on implementation of the regulation until disposition of numerous lawsuits against it. Those suits were consolidated in the 6th Circuit, where NPPC and the other groups now are arguing that: the agencies promulgated the WOTUS rule without following federal rulemaking procedures; the regulation is arbitrary and capricious or contrary to law; and the agencies exceeded their authority under the Clean Water Act and the U.S. Constitution.

“The WOTUS rule is vague, overbroad and fails to let regulated parties know when their conduct violates the law,” said NPPC President John Weber, a pork producer from Dysart, Iowa. “We all want clean water, but this regulation is just a big land grab that promotes growth in the size of government and allows activists to extort and micromanage all kinds of farming and business activities.”

While it could be more than several months before the court renders a decision in the case, in issuing the stay last October, it found there was a substantial likelihood that in writing the WOTUS rule EPA and the Corps of Engineers failed to comply with the Supreme Court’s instructions in previous Clean Water Act cases and that the agencies’ actions in the rulemaking process were “facially suspect.”

On the latter point, the groups in their brief to the court said EPA and the Corps of Engineers failed to reopen the public comment period after making fundamental changes to the proposed rule and withheld until after the comment period closed the scientific report on which the rule rested. The agencies also refused to conduct required economic and environmental analyses, engaged in a propaganda campaign to promote the rule and rebuke its critics and illegally lobbied against congressional efforts to stop implementation of the rule.



Government and Industry Groups Ask Court to Overturn EPA Water Rule

The American Farm Bureau Federation, along with dozens of agricultural, business and municipal entities, today asked a federal court to vacate the EPA's and the U.S. Army Corps of Engineers' "Waters of the United States" rule. The brief filed in the U.S. Court of Appeals for the Sixth Circuit lays out in detail the substance of the groups' allegations. It follows a year of litigation over which court had jurisdiction to hear challenges to the expansive and unlawful rule.

The coalition's brief explains how EPA flouted important procedural safeguards designed to ensure a fair and thoughtful rulemaking process. EPA tactics included withholding key documents until after the public comment period had closed, ignoring and ridiculing critical public comments and issuing illegal "covert propaganda" in an effort to generate superficial public support for the rule.

"EPA set out to achieve a predetermined outcome and then manipulated the public notice-and-comment process to achieve that outcome," AFBF General Counsel Ellen Steen said. "It treated the rulemaking process like a game to be won instead of a deliberative process for developing lawful and reasonable regulations."

The brief also explains how the rule violates the limits of the Clean Water Act and the Constitution. Petitioners show how the rule relies on vague definitions that allow agency enforcers to regulate land features that look nothing like "navigable waters" and provides no fair notice to the public of what features are covered. In determining whether a low area where rainwater flows across a field is a "tributary," the brief explains: "Regulators can reach any outcome they please, and regulated entities cannot know the outcome until they are already exposed to criminal liability, including crushing fines." The brief asks that the rule be struck in its entirety.



USDA Begins National Project to Quantify Effects of Ag Conservation

The U.S. Department of Agriculture (USDA) National Agricultural Statistics Service (NASS) is contacting 16,300 farmers and ranchers now through March to take part in a national survey that will more accurately measure the environmental benefits associated with implementation and installation of conservation practices on agricultural land. The results of the National Resources Inventory Conservation Effects Assessment Project (NRI-CEAP) survey will help further develop the science-based solutions for managing the agricultural landscape to improve environmental quality.

“The survey gives farmers and ranchers the power to provide a more complete and accurate picture of the conservation practices on their operations,” said NASS Administrator Hubert Hamer. “If contacted, I encourage farmers and ranchers to participate. Their collective responses can directly benefit themselves and all producers by helping leaders focus on what producers need to install conservation practices that are best for their operations environmentally and financially.”

The results of the survey will demonstrate the work of America’s farmers to conserve natural resources while producing the food, fuel and fiber the world requires, participating farmers and ranchers support our cause for continued science-based conservation programs that protect natural resources while supporting farm-related jobs. Survey results will guide USDA conservation policy and program development and help conservationists, farmers and ranchers more efficiently and effectively conserve natural resources.

In addition to helping determine the effectiveness of existing conservation practices, NRI-CEAP analysis provides estimates of resources farmers may need to further protect the soil, water and related resources. Additional information about CEAP is available at the Conservation Effects Assessment Project survey web page.

NASS conducts the NRI-CEAP survey under a cooperative agreement with Natural Resources Conservation Service (NRCS). NRI-CEAP results help determine not only the effectiveness of existing conservation practices but also what resources farmers may need to further protect the soil, water and related resources in selected watersheds and to document on-farm conservation accomplishments.

For example, a recent CEAP report for the Western Lake Erie Basin shows voluntary conservation is making significant headway in reducing nutrient and sediment loss from farms and that there is opportunity to improve conservation management across the basin with no single conservation solution meeting the needs of every field and farm. That report informed the development of the new Western Lake Erie Basin Initiative, which helps support farmers’ efforts to improve water quality in the region.

NASS safeguards the privacy of all respondents, ensuring that no individual operation or producer can be identified, as required by Federal law. Participants’ responses cannot be used for the purposes of taxation, investigation or regulation (Title 7, U.S. Code, and CIPSEA, Public Law 107-347).




 Land O’Lakes, Inc. Announces 2016 Third Quarter Results Farmer-owned cooperative reports year-to-date net earnings up 31 percent over 2015

Land O’Lakes, Inc. today announced third quarter financial results, reporting quarterly net earnings of $8 million on sales of $2.8 billion for the period ending September 30, 2016. Year-to-date net sales totaled just under $10 billion with net earnings of $246 million, 31 percent above year-to-date results for the same period in 2015.

“Despite a continued challenging environment, our core businesses exceeded expectations by delivering strong year-over-year growth and performance,” stated Chris Policinski, Land O’Lakes, Inc. president and CEO. “Our farmer-owned business has a unique perspective on the entire food chain, from farm to fork. This view, coupled with a strong balance sheet, enabled our current business units to thrive despite a tough landscape, and prompted the creation of our new sustainability business unit. Now, more than ever, we can deliver meaningful products and sustainability solutions for the farmer, customers, consumers and partners.”

During the third quarter, Land O’Lakes, Inc. announced the formation of a new business unit Land O’Lakes SUSTAIN. SUSTAIN will focus on helping to ensure sustainable crop production by delivering insights, products and services, enhancing sustainability within the Dairy Foods and Feed businesses and partnering with other entities (including government) to improve efficiency and collaboration on conservation and sustainability programs.

The Animal Feed portfolio continued its strong performance during 2016, particularly within Nutra Blend, Milk Replacer and the Lifestyle segment, driven by strong margins and growth in most business segments.

Third quarter results for Dairy Foods, including the LAND O LAKES brand, benefitted from continued strong volumes in Foodservice. Overall performance was up year-over-year due in part to less volatile milk powder markets.

Results in Crop Inputs continue to reflect the addition of United Suppliers, Inc.’s seed and crop protection business. In the third quarter, the business saw strong performance in the midst of a compressed and competitive environment driven by seed volumes in corn, alfalfa and in vended products.