Friday December 23 CoF, H&P, Chicken Reports + Ag News

NEBRASKA CATTLE ON FEED DOWN 5 PERCENT

Nebraska feedlots, with capacities of 1,000 or more head, contained 2.37 million cattle on feed on December 1, according to the USDA’s National Agricultural Statistics Service. This inventory was down 5 percent from last year.  Placements during November totaled 510,000 head, up 16 percent from 2015. Fed cattle marketings for the month of November totaled 445,000 head, up 16 percent from last year.  Other disappearance during November totaled 15,000 head, unchanged from last year.



IOWA CATTLE ON FEED DOWN 5 PERCENT

Cattle and calves on feed for the slaughter market in Iowa feedlots with a capacity of 1,000 or more head totaled 600,000 head on December 1, 2016, according to the latest USDA, National Agricultural Statistics Service – Cattle on Feed report. This was unchanged from November 1, 2016, but down 5 percent from December 1, 2015. Iowa feedlots with a capacity of less than 1,000 head had 510,000 head on feed, up 1 percent from last month but down 8 percent from last year. Cattle and calves on feed for the slaughter market in all Iowa feedlots totaled 1,110,000 head, up fractionally from last month but down 6 percent from last year.

Placements of cattle and calves in Iowa feedlots with a capacity of 1,000 or more head during November totaled 102,000 head, a decrease of 21 percent from last month but up 1 percent from last year. Feedlots with a capacity of less than 1,000 head placed 68,000 head, down 25 percent from last month and down 42 percent from last year. Placements for all feedlots in Iowa totaled 170,000 head, down 23 percent from last month and down 22 percent from last year.

Marketings of fed cattle from Iowa feedlots with a capacity of 1,000 or more head during November totaled 100,000 head, up 4 percent from last month but down 7 percent from last year. Feedlots with a capacity of less than 1,000 head marketed 61,000 head, up 13 percent from last month but down 8 percent from last year. Marketings for all feedlots in Iowa were 161,000 head, up 7 percent from last month but down 7 percent from last year. Other disappearance from all feedlots in Iowa totaled 4,000 head.



United States Cattle on Feed Down 1 Percent
   
Cattle and calves on feed for the slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 10.7 million head on December 1, 2016. The inventory was 1 percent below December 1, 2015.

Placements in feedlots during November totaled 1.84 million head, 15 percent above 2015. Net placements were 1.77 million head. During November, placements of cattle and calves weighing less than 600 pounds were 470,000 head, 600-699 pounds were 490,000 head, 700-799 pounds were 425,000 head, and 800 pounds and greater were 458,000 head.

Marketings of fed cattle during November totaled 1.79 million head, 17 percent above 2015.  Other disappearance totaled 69,000 head during November, 13 percent below 2015.



NEBRASKA HOG INVENTORY UP 3 PERCENT

Nebraska inventory of all hogs and pigs on December 1, 2016, was 3.40 million head, according to the USDA’s National Agricultural Statistics Service. This was up 3 percent from December 1, 2015, but down 4 percent from September 1, 2016.

Breeding hog inventory, at 415,000 head, was down 1 percent from December 1, 2015, and down 1 percent from last quarter. Market hog inventory, at 2.99 million head, was up 4 percent from last year, but down 5 percent from last quarter.

The September - November 2016 Nebraska pig crop, at 2.09 million head, was up 4 percent from 2015. Sows farrowed during the period totaled 180,000 head, unchanged from last year. The average pigs saved per litter was a record 11.60 for the September - November period, compared to 11.15 last year.

Nebraska hog producers intend to farrow 185,000 sows during the December 2016 – February 2017 quarter, up 6 percent from the actual farrowings during the same period a year ago. Intended farrowings for March – May 2017 are 185,000 sows, unchanged from the actual farrowings during the same period the previous year.



IOWA HOGS & PIGS RECORD HIGH 22.4 MILLION

On December 1, 2016, there were a record high 22.4 million hogs and pigs on Iowa farms, according to the latest USDA, National Agricultural Statistics Service – Hogs and Pigs report. The December 1 inventory was up 1 percent from the previous quarter and up 7 percent from the previous year.

The September-November quarterly pig crop was 6.10 million head, up 11 percent from the previous quarter and up 5 percent from last year. A total of 560,000 sows farrowed during this quarter. The average pigs saved per litter was 10.9 for the September-November quarter, just below last quarter’s record high 11.0 pigs saved per litter.

As of December 1, producers planned to farrow 520,000 sows and gilts in the December 2016-February 2017 quarter and 520,000 head during the March-May 2017 quarter.



United States Hog Inventory Up 4 Percent

United States inventory of all hogs and pigs on December 1, 2016 was 71.5 million head. This was up 4 percent from December 1, 2015, and up slightly from September 1, 2016.  Breeding inventory, at 6.09 million head, was up 1 percent from last year, and up 1 percent from the previous quarter. Market hog inventory, at 65.4 million head, was up 4 percent from last year, and up slightly from last quarter.

The September-November 2016 pig crop, at 32.3 million head, was up 5 percent from 2015. Sows farrowing during this period totaled 3.04 million head, up 4 percent from 2015. The sows farrowed during this quarter represented 51 percent of the breeding herd. The average pigs saved per litter was a record high 10.63 for the September-November period, compared to 10.53 last year. Pigs saved per litter by size of operation ranged from 8.20 for operations with 1-99 hogs and pigs to 10.70 for operations with more than 5,000 hogs and pigs.

United States hog producers intend to have 2.97 million sows farrow during the December-February 2017 quarter, up 1 percent from the actual farrowings during the same period in 2016, and up 3 percent from 2015. Intended farrowings for March-May 2017, at 3.00 million sows, are up 1 percent from 2016, and up 5 percent from 2015.

The total number of hogs under contract owned by operations with over 5,000 head, but raised by contractees, accounted for 48 percent of the total United States hog inventory, up from 46 percent last year.



NEBRASKA CHICKEN AND EGGS

All layers in Nebraska during November 2016 totaled 8.96 million, up from 6.64 million the previous year, according to the USDA's National Agricultural Statistics Service.   Nebraska egg production during November totaled 223 million eggs, up from 147 million in 2015. November egg production per 100 layers was 2,493 eggs, compared to 2,220 eggs in 2015.



IOWA CHICKEN AND EGGS

Iowa egg production during November 2016 was 1.30 billion eggs, down slightly from last month, but up 73 percent from last year, according to the latest Chickens and Eggs report from the USDA’s National Agricultural Statistics Service.

The average number of all layers on hand during November 2016 was 54.5 million, up 2 percent from last month, and up 52 percent from last year. Eggs per 100 layers for November were 2,377, down 2 percent from last month, but up 14 percent from last year.



November Egg Production Up 10 Percent

United States egg production totaled 8.53 billion during November 2016, up 10 percent from last year. Production included 7.44 billion table eggs, and 1.09 billion hatching eggs, of which 1.01 billion were broiler-type and  81.0 million were egg-type. The total number of layers during November 2016 averaged 367 million, up 7 percent from last year. November egg production per 100 layers was 2,328 eggs, up 3 percent from November 2015.
                                   
All layers in the United States on December 1, 2016 totaled 369 million, up 6 percent from last year. The 369 million layers consisted of 312 million layers producing table or market type eggs, 53.6 million layers producing broiler-type hatching eggs, and 3.49 million layers producing egg-type hatching eggs. Rate of lay per day on December 1, 2016, averaged 77.9 eggs per 100 layers, up 3 percent from December 1, 2015.

Egg-Type Chicks Hatched Down 7 Percent
Egg-type chicks hatched during November 2016 totaled 42.5 million, down 7 percent from November 2015. Eggs in incubators totaled 46.1 million on December 1, 2016, down 4 percent from a year ago.

Domestic placements of egg-type pullet chicks for future hatchery supply flocks by leading breeders totaled 270 thousand during November 2016, up 24 percent from November 2015.

Broiler-Type Chicks Hatched Up 4 Percent
Broiler-type chicks hatched during November 2016 totaled 760 million, up 4 percent from November 2015. Eggs in incubators totaled 659 million on December 1, 2016, up 2 percent from a year ago.

Leading breeders placed 7.71 million broiler-type pullet chicks for future domestic hatchery supply flocks during November 2016, up 7 percent from November 2015.



INTRODUCING RANGEPASTUREFORAGES.UNL.EDU
Bruce Anderson, NE Extension Forage Specialist

               How do you find information about on-going Nebraska research, education opportunities, or management recommendations for rangeland, pastures, or forages?  Try rangepastureforages.unl.edu.

               Rangepastureforages.unl.edu is a new website recently developed to help provide guidance towards the effective production, use, and enhancement of the grassland and forage resources of Nebraska.  The site describes the many and diverse research programs undertaken by faculty at the University of Nebraska in subjects such as rangeland ecology and management, grazing, fire ecology, forage crops and pasture, bioenergy, wildlife habitat, and integrated crop-livestock systems.

               The website also describes some of the educational opportunities at the University.  In particular, it focuses on the two majors involved with grass and grazinglands, specifically the Grazing Livestock Systems Major and the Grassland Ecology and Management Major.

               One of the best features of rangepastureforages.unl.edu, in my opinion, is the extension and outreach section.  It contains nearly one hundred different Extension Circulars and NebGuides as well as over forty magazine and on-line newsletter articles written by Nebraska extension specialists to specifically answer questions related to your farm and ranch management challenges.  These articles are divided into eighteen separate categories to make it quick and easy for you to find the information most useful to your situation.

               Not only that, there is a link that allows you to listen to every one of these Hay and Forage Minutes for the past year, just in case you missed one or want to hear it again.

               Rangepastureforages.unl.edu.  That’s all one word – no spaces.  Check it out today.



Save on Gas This Holiday Season by Filling Up with Super Duper E15

Due to agreements by the Organization of Petroleum Exporting Countries (OPEC), gas prices are expected to rise this holiday season. In some Midwestern states, prices have risen as much as 28 percent from previous weeks. In Iowa, prices for unleaded gas remain around $2.21 compared to $2.08 a month ago. Before you cancel that holiday road trip to see Grandma, consider fueling up with E15, the best value, higher-octane fuel made from 15 percent ethanol and 85 percent gasoline.

Iowa corn farmers have launched a new communications campaign to educate consumers on E15, calling the fuel, ’Super Duper Unleaded’ which refers to the fact E15 contains five percentage points more ethanol than E10, also known as Super Unleaded. “Many consumers get to the pump and automatically reach for Super Unleaded because it’s the cheapest fuel, without realizing Super Duper E15 can save them even more money,” said Iowa Corn Promotion Board President Larry Klever, a farmer from Audubon. “Although E15 is the best value, many believe you must own a flex-fuel vehicle to use it, which isn’t the case. The ‘Super Duper Unleaded’ campaign is a fun and lighthearted way to let everyone know E15 is very similar to Super Unleaded — but even better. It’s ‘Super Duper.’”

E15 is the most tested fuel in history, and the U.S. Environmental Protection Agency (EPA) has approved the fuel for use in all model year 2001 and newer vehicles, including cars, light-duty trucks, medium-duty passenger vehicles (SUVs), and all flex-fuel vehicles (FFVs). This approved group of vehicles includes more than 80 percent of the cars, trucks and SUVs on the road today.

“E15 is a good thing for consumers, retailers, and the state of Iowa,” explained Klever. “Ethanol is a renewable fuel made from Iowa corn that is cleaner burning. And when you use E15 at the pump, it saves you money, supports Iowa jobs and lessens America’s dependence on foreign oil.”

E15 is currently offered in 23 states, including 70 stations in Iowa. E15 has a higher-octane content, which means more power. It also burns cooler and cleaner, reducing carbon emissions and engine wear. NASCAR has traveled more than six million miles on E15, starting with the 2011 racing season, and NASCAR drivers and mechanics give the fuel high marks for power and durability. The combination of performance and lower price make E15 a great value.

Go to www.iowacorn.org/superduper for a chance to win $50 in American Ethanol, to learn more about E15 and the benefits of ethanol and to locate local retailers near you.



NORTHEY REVIEWS KEY ISSUES FACING IOWA AGRICULTURE IN 2016

 Iowa Secretary of Agriculture Bill Northey today highlighted some of the top ag issues in Iowa in 2016.

“Iowa farmers saw record production for both corn and soybeans again in 2016, however low prices are making profitability a real challenge on both the crop and livestock side.  Despite the economic challenges, farmers are by nature optimistic and we continue to see investments in the future and new and innovative technologies that will allow them to be even more productive while also reducing environmental impact,” Northey said.

Record Production, Economic Challenges
Much of Iowa had a nearly ideal growing season that saw Iowa farmers produce record corn and soybean crops again this year.

Iowa corn production is forecast at 2.69 billion bushels according to the latest USDA, National Agricultural Statistics Service Crop Production report. This surpasses last year’s record of 2.51 billion bushels. The statewide average yield is expected to be a record setting 199.0 bushels per acre, 7.0 bushels per acre higher than the previous record that was set last year.

Soybean production is forecast at 561 million bushels for Iowa. If realized, this will be the largest crop on record, 6.80 million bushels above last year’s record high. The statewide yield forecast is 59.0 bushels per acre, 2.5 bushels more than the previous record set last year.

However, the significant drop in crop prices over the past few years has made it a very challenging time on the farm economically as in many cases current prices are below the cost of production for farmers.  Average statewide corn prices fell from $3.37 to $3.008 from November 2015 to Nov. 2016.  Statewide average soybean prices have recovered somewhat from $8.14 to $9.25 from Nov. 2015 to Nov. 2016, but in many cases are still below the cost of production.

It has also been a challenging year economically for Iowa livestock farmers.  Cattle prices have continued to fall and were at $101 per hundred weight in October, down from $128 per hundred weight last year and $161 two years ago.   Hog prices are also down from $55.50 in Oct. 2015 to $41.70 in Oct. 2016.

Iowa egg production has recovered from the devastating highly pathogenic avian influenza outbreak that resulted in the depopulation of more than 30 million Iowa laying hens last year.  Iowa egg production in October 2016 was 1.30 billion eggs, up 3 percent from last month, and up 71 percent from last year, according to the latest Chickens and Eggs report from the USDA’s National Agricultural Statistics Service. The average number of all layers on hand during October 2016 was 53.7 million, up 1 percent from last month, and up 55 percent from last year.  However, egg prices have fallen dramatically, from $1.26 per dozen in October of 2015 to just $.21 per dozen in October of this year.

The tighter margins seen on the farm are starting to ripple through the economy.  Land prices are down 5.9 percent over the past year.  There have been several announcements of layoffs and mergers by manufactures, machinery providers, seed companies, and other business that serve the agriculture industry.

Despite the challenges, opportunities remain.  In general, exports remain strong.  Agricultural exports account for 10% of the U.S. exports and supports nearly one million jobs across the country.

To help continue to grow exports, Northey participated in trade missions with the Iowa Economic Development Authority and USDA to the Dominican Republic, Costa Rica, Ukraine and Romania.

Iowa Water Quality Initiative
The Iowa Department of Agriculture and Land Stewardship is continuing to expand efforts to work with all Iowans to make water quality improvements.

Earlier this year Northey announced that 1,900 farmers committed $3.8 million in cost share funds to install nutrient reduction practices in 97 counties in Iowa.  Eligible practices include cover crops, no-till or strip till, or using a nitrification inhibitor when applying fall fertilizer. Participants include 900 first-time participants and more than 1,000 past users that are trying cover crops again and receive a reduced cost share rate.

There are also currently 45 existing demonstration projects located across the state to help implement and demonstrate water quality practices through the initiative.  This includes 16 targeted watershed projects, 7 projects focused on expanding the use and innovative delivery of water quality practices and 22 urban water quality demonstration projects.  More than 100 organizations are participating in these projects.  These partners will provide $19.31 million dollars to go with over $12 million in state funding going to these projects.

Nearly $350 million in state and federal funds have been directed to programs with water quality benefits in Iowa last year. This total does not include the cost share amount that farmers pay to match state and federal programs and funds spent to build practices built without government assistance.

More information about the initiative can be found at www.CleanWaterIowa.org.

Fueling our Future
Through the “Fueling our Future 100” initiative, Iowa Gov. Terry Branstad, Lt. Gov. Kim Reynolds and Northey have announced that 217 blender pumps and 18 underground storage tanks will be installed at 70 sites by 17 companies to provide consumers with access to higher blends of ethanol.

The funding for the projects is from a $5 million competitive grant from the United States Department of Agriculture (USDA) Biofuel Infrastructure Partnership (BIP) program Iowa received to support the initiative.  All funds must be matched by non-federal funds, including up to $2.5 million from the Iowa Renewable Fuels Infrastructure program.  The fueling sites applying for assistance will also be required to provide a minimum of $2.5 million.

“Thanks to the investments made by the state, the federal government and by these companies, customers will have greater access to higher blends of renewable fuels. This will increase consumer choice at the pump and allow them to increase the amount of clean burning, homegrown renewable fuels they use,” Northey said.  “The ‘Fueling our Future 100’ initiative, along with the EPA’s recent announcement of the RFS levels for next year, is good news for customers, the renewable fuels industry and our energy independence.”

Northey’s 99 county tour turns 10
In November, Northey completed his 10th 99 county tour of Iowa.  Northey has visited each of Iowa’s 99 counties every year since taking office in 2007.

“Visiting each county every year has been enjoyable and invaluable for me to better understand the diversity and scale of Iowa agriculture and also the passion and commitment of our state’s farmers.  Getting out to our rural communities; visiting farms, businesses, schools and community meetings; and listening to a wide variety of Iowans is important for all elected officials as we seek to serve the people of our great state,” Northey said.



November 2016 USDA Cold Storage Highlights

Total red meat supplies on November 30, 2016 in freezers were down 8 percent from the previous month and down 4 percent from last year. Total pounds of beef in freezers were down slightly from the previous month but up 4 percent from last year. Frozen pork supplies were down 13 percent from the previous month and down 7 percent from last year. Stocks of pork bellies were down 8 percent from last month and down 54 percent from last year.

Total frozen poultry supplies on November 30, 2016 were down 13 percent from the previous month and down 4 percent from a year ago. Total stocks of chicken were up 2 percent from the previous month but down 10 percent from last year. Total pounds of turkey in freezers were down 40 percent from last month but up 25 percent from November 30, 2015.

Total natural cheese stocks in refrigerated warehouses on November 30, 2016 were down 3 percent from the previous month but up 3 percent from November 30, 2015.  Butter stocks were down 29 percent from last month but up 21 percent from a year ago.

Total frozen fruit stocks were down 4 percent from last month but up 17 percent from a year ago.  Total frozen vegetable stocks were down 2 percent from last month but up 4 percent from a year ago.



Production Growth, Overseas Competition Demands Transportation Investment

In the aftermath of another historic soybean harvest, U.S. farmers continue to demonstrate their ability to respond to growing demand from domestic and international customers. However, this increased production requires a corresponding increase in transportation capacity to ensure the industry, and the individual farmer, remain profitable.  A recent study funded by the soybean checkoff offers warning that future production increases, along with infrastructure improvements by South American competitors, could suppress the profitability of the U.S. soybean industry.

“Transportation infrastructure gives U.S. farmers a significant competitive advantage over our international competitors, but without investment, we won’t enjoy that advantage for long,” said Mark Seib, a soybean farmer from Poseyville, Indiana, and director on the United Soybean Board. “We need to focus on investing in our infrastructure now to position ourselves for a competitive and profitable future.”

The study, “Farm to Market – A Soybean’s Journey,” is an expansion of the original 2012 report that highlights how soybeans are transported to domestic and international customers.  In addition to documenting the volume of total U.S. soybeans transported across the various modes, the report provides transportation profiles of 26 individual states – an expansion from the 17 states featured in the 2012 study.  The 26 states profiled account for 97 percent of soybeans transported in the country.  The research was funded by the soybean checkoff and performed by Informa Economics.

Some of the key findings of the study include:
-    Rail carloadings of soybeans will increase 20 percent to approximately 240,000 rail cars by the year 2023.  Barge loadings will increase 32 percent to over 21,000.
-    China, the leading international customer for U.S. soybeans, will continue to import larger volumes. China’s annual soybean net imports increased by 24 million metric tons (882 million bushels) from 2006 through 2010.  From 2010 through 2023, Chinese soybean net imports are expected to increase an additional 74 million metric tons (2.7 billion bushels) to 126 million metric tons (4.6 billion bushels).
-    Soybean production in Brazil, the second leading producer worldwide, is expected to exceed 129 million metric tons (4.7 billion bushels) by 2023, up from 87 million metric tons (3.2 billion bushels) in 2013.
-    Exports of soybeans from Brazil will expand to exceed 74 million metric tons (2.7 billion bushels) in 2023 from 45 million metric tons (1.7 billion bushels) in 2013.
-    Infrastructure improvements in Brazil are estimated to reduce freight costs between 20 and 30 percent or $40 per metric ton.  Such an improvement would result in Brazil’s inland transportation costs to be nearly equivalent to those in the U.S.

Lower transportation costs have historically served as one of the key sources of competitive advantage for the U.S. soybean industry.  While many previously planned infrastructure investments in Brazil have not come to fruition, if even a percentage of such investments are realized, the competitiveness of the U.S. soybean industry will be diminished.

“While it is very difficult to establish a precise forecast for our industry in a very uncertain and turbulent marketplace, it is important to scan the horizon to better understand the potential future demands on our transportation system as well as the efforts by our competitors to improve their efficiency,” explains Mike Steenhoek, executive director of the Soy Transportation Coalition.  “The time to plan for infrastructure improvements is before you experience the bottleneck, not after it.  Keeping our finger on the pulse of how soybeans get from the farm to our ultimate customers is essential as we promote a transportation system that helps farmers remain profitable.”

In addition to providing a forecast for future production and transportation demand, the report provides data in the following areas:
-    Status and outlook for the livestock industry – both nationally and in the 26 featured states
-    Rail transportation: Number of carloadings; Average distance moved; Leading origination and destination areas; Capacity
-    Barge transportation: Percentages moved by various rivers; Commodities transported; Average distances moved per commodity; Capacity per barge
-    Overview of current and future state of infrastructure development in Brazil
-    Storage capacity – both nationally and in the 26 featured states

“Great nations, as well as great industries, continue to invest in themselves,” explains Steenhoek.  “Investing in infrastructure should not be an isolated incident.  It needs to be perpetual.  By issuing this report, it is our hope that we will increase attention and focus on the importance of investing in our economy and industry to enable us to remain competitive in the 21st century.”

The STC Farm to Market Analysis provides vital information to shape and support the American Soybean Association’s (ASA) ongoing efforts to educate policymakers on the importance of increasing investment in our nation’s transportation infrastructure. Soybean exports provide a significant and positive contribution to our trade balance and transportation is key. ASA supports increased funding for infrastructure, particularly for the ageing and decaying inland waterways infrastructure. Lower transportation costs have historically served as one of the key sources of competitive advantage for the U.S. soybean industry.

The full results of the study can be accessed at www.soytransportation.org or www.unitedsoybean.org.



Soy Growers Urge Vice President-elect to Nominate Ag Experts to CFTC

The American Soybean Association (ASA) and other ag organizations earlier this week urged Vice President-elect Mike Pence to quickly fill the Commodity Futures Trading Commission (CFTC) vacancies with individuals well versed in agriculture commodity markets and issues.

In a letter, industry groups pointed to the opportunity of President-elect Donald Trump to make nominations for the vacancies existing since 2014-15.

“As you know, with the passage of the Dodd-Frank Act, the CFTC has taken on much more responsibility for overseeing financial markets than in the past. This has led to a makeup of the Commission that largely reflects backgrounds and experience in the financial sector,” the letter states. “Historically, however, there have always been Commissioners who understood agricultural futures markets, as well as the policy issues that impact the agricultural sector.”

The groups said the industry appreciates the efforts of the sitting commissioners to learn the industry, but representation is vital for the ag futures markets.

“We respectfully request that President-Elect Trump, with the consent of the U.S. Senate, ensures the CFTC has at least one Commissioner with a background in, and familiarity with, issues important to production agriculture and agribusiness. We appreciate your consideration,” the group states in the letter.



Lenders expect financial stress to worsen for farmers, ranchers

According to a recent study of lenders, financial stress on farmers is expected to continue for some time.

“Our research indicates a continued deterioration in agricultural credit conditions,” said Allen Featherstone, head of the Kansas State University Department of Agricultural Economics.

The 2016 Fall Agricultural Lender Survey by the Kansas State University Department of Agricultural Economics and the University of Georgia studies the expectations of lenders in regard to interest rates, spread over cost of funds, farm-loan volume, nonperforming loans and land values as indicators of the overall health of the farm finance sector.

According to the twice-a-year study, more than 50 percent of land values are decreasing within the areas covered by participating lenders. These values are set to continue to decrease over the short- and long term and are affecting credit limits for landowners and producers. Non-performing loans are also on the rise for all loan types, and expectations show the number of these loans will continue to increase in this stressed financial market.

The survey indicates the decreased liquidity in production operations has increased demand for farm loans and, in particular, operating loans in attempts to bridge the gap of the current fiscal downturn. Making matters worse, interest rates on those loans are expected to increase and continue to rise over time.

These problems aren’t isolated to just one crop. They are spreading into every aspect of farming. “Both the livestock sectors and the crop sectors are struggling meeting cash-flow issues,” said Featherstone.



25 Congressional Members Question Plant-Based "Milk" Label

(AP) -- Got milk? Twenty-five bipartisan members of Congress say if it's from soybeans, almond or rice, it should not be labeled as milk.

Democratic Vermont Rep. Peter Welch and Republican Idaho Rep. Mike Simpson, leading the charge against "fake milk," signed a letter along with other Congressional members, asking the U.S. Food and Drug Administration to investigate and take action against manufacturers of "milk" that doesn't come from cows.

They want the FDA to require plant-based products to adopt a more appropriate name, other than milk, which they say is deceptive.

"We strongly believe that the use of the term 'milk' by manufacturers of plant-based products is misleading to consumers, harmful to the dairy industry and a violation of milk's standard of identity," the letter states.

Dairy farmers are struggling with "deep cuts in income" following a 40-percent drop in milk prices since 2014, the members of Congress say. The forecast is for prices to remain low. In recent years, the sale of plant-based products, often labeled as milk, has jumped in recent years, the letter states.

They say milk has a clear standard of identity: "obtained by the complete milking of one or more healthy cows," among other qualities.

"While consumers are entitled to choose imitation products, it is misleading and illegal for manufacturers of these items to profit from the 'milk' name," the letter states. "These products should be allowed on the market only when accurately labeled."

The Soyfoods Association of North America said the term "soymilk" has been used on products for over 100 years. It asked the FDA in 1997 to recognize the one-word name "soymilk" but that the FDA has not made a decision on the petition.

The FDA said Friday that it had received the Dec. 16 letter and planned to respond directly to lawmakers.