Thursday February 16 Ag News

Adding Value to the Beef Carcass

Approximately 50 percent of the meat from a beef carcass comes from the chuck and the round and is traditionally sold at the meat counter at a lower price compared to cuts from the rib or loin.

Thanks to research efforts, a percentage of the chuck (or shoulder portion) of a beef animal is now being sold for nearly double the price per pound.

"One reason the chuck traditionally sells for less is related to challenges with palatability and convenience of large roasts. Researchers set out to profile once overlooked muscles, and discovered tender cuts within the chuck, like the flat-iron steak, which consumers embraced," said Amanda Blair, Associate Professor & SDSU Extension Meat Science Specialist.

The result?

According to CattleFax, an ag industry information and analysis service, within four years of its debut in 1999, the flat iron steak increased the value of the chuck by 60 percent. In 2009, CattleFax, estimated a $50-70 per head increase in beef carcass value due to alternative fabrication of the chuck. CattleFax also predicts new cuts from the chuck, such as the Denver Cut and Delmonico Steak will add an additional $40 to $50 per head.

"Providing consumers with more beef options that fill the price void between premium steaks and ground beef helps improve carcass utilization and increase demand. The long-term goal of these efforts is to help all segments of the beef supply chain improve profitability." Blair said.



Pasture Management Session to be Held in Corning
Recent warmer temperatures, muddy field and feedlot conditions, and moderate weather conditions offer reminders that spring is on the way. Iowa State University Extension and Outreach beef specialist Joe Sellers encourages beef producers to begin thinking about their grazing plans.

“It’s time to start planning improvements to your pasture systems," Sellers said. "The Iowa cow herd is growing, and managing feed and forage resources is a key to profitability."

One early opportunity for planning is a pasture management session, "Spring Grazing – Opportunities and Management Needs," Feb. 27, 6:30 to 9 p.m. at the Corning Public Library.

Topics to be covered and presenters
-    Grazing cover crops - Erika Lundy, Iowa Beef Center program specialist
-    Double cropping corn silage and rye silage, cover crops for cattle feed - Tony Mullen, producer
-    Preventing grass tetany, spring parasite control - Chris Clark, Iowa State Uiversity Extension and Outreach beef specialist
-    Renovating, improving pastures - Sellers, Iowa State University Extension and Outreach beef specialist

The library is located at 603 9th Street. Go three blocks west of Casey’s to Benton Avenue, then turn right (north) for three blocks.

Pizza and soft drinks will be sponsored by the Southern Iowa Forage and Livestock Committee. There is no fee to attend and no prepregistration needed. For more information contact Sellers, 641-203-1270 or sellers@iastate.edu; Brian Peterson, 641-344-1026 or bckapeterson@gmail.com, or the Adams County Extension office, 641- 322-3184.



Soy Catches More Value Through Aquaculture

Casting a wider net to increase soybean meal demand is paying off. The soy checkoff, along with the Soy Aquaculture Alliance and many others, is opening doors to increase soybean use in U.S. aqua feeds.

Following years of checkoff-funded research, the Association of American Feed Control Officials recently authorized a new definition for the use of synthetic taurine in fish feeds. Approving taurine from additional sources reduces the need for fishmeal in feeds and allows for more soy protein; a change that could directly impact farmers’ bottom lines.

“Years ago, we recognized that taurine was a limiting factor to maximizing our share of a fast-growing market,” says Mike Beard, soybean farmer from Frankfort, Indiana, and director on the United Soybean Board. “This new approval opens up a significant part of the aquaculture diet for soy.”

Following this approval, farmers could start seeing added demand and the benefits it brings.

Soybean meal offers a high-quality, renewable protein source for many species of fish. This makes it an economical choice for fish feed manufacturers. The potential for increased soy-demand in this market will have a direct impact on the return farmers receive for their soybeans at the elevator.

Demand for seafood is growing at a staggering rate. Identifying this opportunity years ago ensured that farmers would be able to begin capturing their share of value right along with it.

“This is a great example of the checkoff’s commitment to maximizing soybean farmers’ profitability,” comments Beard. “We will see our efforts from this innovative investment in aquaculture pay off for years to come.”



FFA Members Across the Country to Celebrate FFA Week

Agriculture is part of our daily lives—from the food we eat to the clothes we wear. Next week, more than 649,000 FFA members will celebrate the role agriculture plays in our lives while sharing the message of agricultural education as part of National FFA Week.

National FFA Week is a time for FFA members to host a variety of activities to raise awareness about the role the National FFA Organization plays in the development of agriculture's future leaders and the importance of agricultural education.

National FFA Week always runs Saturday to Saturday and encompasses Feb. 22, George Washington's birthday. This year, the week kicks off on Feb. 18 and culminates on Feb. 25.

The National FFA Board of Directors designated the weeklong tradition, which began in 1948, in recognition of Washington's legacy as an agriculturist and farmer. A group of young farmers founded FFA in 1928, influencing generations that agriculture is more than planting and harvesting — it involves science, business and more. The organization’s mission is to prepare future generations for the challenges of feeding a growing population.

Today, FFA continues to help the next generation rise up to meet new agricultural challenges by helping members develop their own unique talents and explore their interests in a broad range of career pathways. Members progress to enjoy careers as biologists, chemists, veterinarians, engineers and entrepreneurs.

FFA chapters use National FFA Week to share agriculture with their fellow students as well as their communities. Chapters also give back to their communities through service projects and recruit students to become FFA members.

During this week, the six national officers will visit chapters across the country. Western Region Vice President Trey Elizondo will visit Tennessee; Ashley Willits, eastern region vice president, will visit New Mexico; Valerie Earley, central region vice president, will visit New Hampshire; DeShawn Blanding, southern region vice president, will visit North Dakota; Victoria Harris, national secretary, will visit Idaho; and National FFA President David Townsend will visit Alaska.

National FFA Week is also a time for alumni and sponsors to advocate for agricultural education and FFA. On Tuesday, Feb. 21, the National FFA Foundation will celebrate Give FFA Day, a daylong campaign that will encourage the public to support the various needs impacting FFA members. Every gift will count toward achieving the FFA mission of premier leadership, personal growth and career success through agricultural education. If interested in giving, one can visit ffa.org/giveffaday or text “Grow” to 27722 to make a $10 gift to National FFA.

Sponsored by Tractor Supply Company, National FFA Week will be featured on social media as well. Follow the #FFAweek hashtag on Facebook, Twitter and Instagram and don’t miss @NationalFFA Facebook, Twitter, Instagram and Snapchat posts, including posts from the National FFA Officer Team while on the road.

The National FFA Organization provides leadership, personal growth and career success training through agricultural education to 649,355 student members who belong to one of 7,859 local FFA chapters throughout the U.S., Puerto Rico and the U.S. Virgin Islands. The organization is also supported by 225,891 alumni members in 1,934 alumni chapters throughout the U.S.



AMS Extends Comment Period for Proposed Rule and Draft Guidance

The U.S. Department of Agriculture’s (USDA) Agricultural Marketing Service (AMS) is extending the comment period for the Sunset 2017 Amendments to the National List proposed rule by 30 days to April 19, 2017 and the comment period for the draft guidance on Calculating the Percentage of Organic Ingredients in Multi-Ingredient Products by 60 days to April 7, 2017.   More information at www.ams.usda.gov. 



Cuba: An Untapped Opportunity for U.S. Soy
American Soybean Association

Trade is the lifeblood of the American soybean industry, and as we move into 2017, Cuba is an exciting, untapped opportunity.

While the major foreign markets for U.S. soy—China, Mexico, Japan, Germany—remain unchanged, Cuba, with its close proximity to major U.S. ports, importation of more than 80 percent of its food and emerging economic potential, represents a growth market for American soybeans… if we can get the policy right.

That process begins with continuing efforts to remove the economic embargo that stands in the way of trade between our two countries.

American companies have been able to sell in Cuba for several decades now, and as recently as 2008, U.S. farm exports to Cuba totaled almost $700 million, however those sales totaled less than $200 million just two years ago and has since slipped to less than 10 percent of the nearly $2 billion market that Cuba represents. This loss is due almost entirely to the continued trade embargo, which would require Congressional actions to overcome.

Chief among the embargo roadblocks is the Cuban buyers’ access to credit. Currently, as the U.S. maintains its provision requiring Cuban purchasers to pay cash in advance or use a third-party institution, our farmers are placed at a serious disadvantage behind foreign competitors that can extend credit.

Looking to remedy this roadblock, ASA supports a bill from Rep. Rick Crawford and Sens. John Boozman and Heidi Heitkamp to remove the cash-in-advance provision. At the executive level, the Obama Administration took significant strides to normalize relations between our two nations, which included the reopening of the U.S. Embassy in Havana and the removal of restrictions on the use of checkoff funds to market American products in Cuba.

In a time of distressed markets and lower prices, we need to explore more trade, not less, and while Cuba will never be the largest foreign market for U.S. soy, we support the expansion of trade with the island nation as it nonetheless represents a valuable market for our products.



Surfacing New Uses for Corn Critical to Long-Term Viability of Farmers

Increasing demand for corn and corn farmer profitability is key to the National Corn Growers Association's mission, and this was clearly evident at the recent meeting of NCGA's Corn Productivity & Quality Action Team (CPQAT).

Farmer team members from across the U.S. discussed several potential avenues for finding new uses for corn to drive demand.  Potential areas of focus are new food uses for corn, new plant-based chemicals from corn and more specifically using corn as a feedstock to replace chemicals currently manufactured from petroleum.

"Developing new uses for corn is nothing novel. It has always been important. Within the last 20 years, fuel ethanol went from being a new use for corn to our second largest market.  And look at the impact that has had on farmer profitability," said, Larry Hoffmann, chairman of the CPQAT and a farmer from Wheatland, North Dakota. "But trying to keep corn use ahead of our growing productive capacity is a never-ending challenge. We are currently exploring the concept of an open innovation contest as a way to engage researchers to drive corn use."

Open Innovation focuses on uncovering new ideas or new applications of corn.  This process allows us to look beyond our normal research networks and find new applications.  Projects uncovered through the open innovation process may be eligible for financial support or other in-kind activities to accelerate them through the research phase and into commercial production.



Tyson Plants Continue Operation on “Day Without Immigrants”

(AP) - Tyson plants were operating as normal on Thursday despite a national call for a “Day Without Immigrants”.  Gary Mickelson, Senior Director of Public Relations at Tyson Foods said, “Absenteeism was higher than normal, but operations were continuing” at their packing plants.

Immigrant labor is an important part of agriculture in the Midwest and Plains states where they help make up the workforce of meat packing plants, feedlots, and elsewhere.

Immigrants around the country had been staying home from work and school Thursday, hoping to demonstrate their importance to America’s economy and its way of life. The boycott was aimed squarely at President Donald Trump’s efforts to crack down on immigration.



The Andersons Report Higher Net Income

The Andersons, Inc. reported fourth quarter 2016 net income attributable to $10.1 million, or $0.36 per diluted share. This represents a $5.1 million improvement over the adjusted net income of $5.0 million, or $0.18 per diluted share, in the same period of the prior year.

Fourth Quarter Highlights
-    The Rail Group delivered another solid performance even as utilization rates dropped throughout the period.
-    Ethanol margins were strong during the quarter, though they have fallen off sharply in recent weeks. The Group had a strong finish to a good year. DDG prices were negatively impacted by Chinese tariffs and quality discounts due to vomitoxin in the Eastern Corn Belt.
-    The Grain Group increased pretax income by $3.1 million or 32 percent over adjusted fourth quarter 2015 results as crop production improved in the Eastern Corn Belt. Overall group performance improved, even as Grain Group affiliates underperformed.
-    Growers remained hesitant to buy ahead of the 2017 spring planting season as the market searched for a stable floor on nutrient prices, causing a reduction in sales volumes in the fourth quarter.
-    The Retail Group recorded a $6.5 million pretax asset impairment charge when the Company announced in January that it will be exiting the business in mid-2017.

For the full year, the company reported net income attributable to The Andersons of $11.6 million or $0.41 per diluted share compared to a net of $13.1 million or $0.46 per diluted share in 2015.

Year 2016 Highlights
-    Rail Group leads the way with $32.4 million of pretax income for the year
-    Ethanol Group delivers $24.7 million of pretax income
-    Grain Group continued its rebound with pretax income of $12.9 million in the quarter after a good harvest in the Eastern Corn Belt, but loses $15.7 million for the year
-    Plant Nutrient Group ends the year higher, with pretax income of $14.2 million including charges related to shutting down a cob facility
-    Retail Group records a pretax $6.5 million asset impairment charge after Company announces its intent to exit the business, driving a full-year pretax loss of $8.8 million

"While we are disappointed with 2016's overall results, we took several steps throughout the year, and especially during the fourth quarter, to improve future earnings opportunities," said CEO Pat Bowe. "We addressed underperforming assets in our portfolio by selling underperforming Grain Group locations, closing a cob processing facility to optimize our supply chain and manufacturing footprint, and recently announcing the closure of our Retail Group."

Bowe adds that the company has already exceeded its initial cost reduction target and identified more than $10 million in run-rate cost savings and other performance improvement opportunities earlier than previously announced.



DuPont™ FeXapan™ Herbicide Plus VaporGrip™ Technology Receives EPA Registration

DuPont Crop Protection announced today it has received federal approval from the U.S. Environmental Protection Agency (EPA) for use of DuPont™ FeXapan™ herbicide plus VaporGrip™ Technology on Roundup Ready 2 Xtend® soybeans and cotton. The new herbicide is part of a complete weed-control solution that may be applied in-crop over soybean and cotton varieties carrying traits that provide tolerance to dicamba and glyphosate herbicides.

Growers will be able to use FeXapan™ in 2017 to control herbicide-resistant weeds, including kochia, marestail and amaranth species, as part of a complete weed-control program that includes preemergence and postemergence herbicide applications with multiple herbicide modes of action, as well as crop rotation and cultural practices that manage weed growth and weed seed production.

“There is a critical need among growers to find effective solutions for controlling herbicide-resistant weeds and protecting soybean yield,” said James Hay, business director, North America, DuPont Crop Protection. “We’re pleased to introduce a complete solution for success that includes FeXapan™ herbicide plus VaporGrip™ Technology and high-yielding genetics with the Roundup Ready 2 Xtend® trait to address those concerns while making best long-term use of crop production technologies. FeXapan™ is a strong addition to the innovative DuPont portfolio of weed-, disease- and insect-control solutions.”

When used with Pioneer® brand soybeans with the Roundup Ready 2 Xtend® trait, FeXapan™ will provide a cost-effective option for managing weeds. The integrated seed and herbicide program is designed to work together to increase efficiency and protect yield.

FeXapan™ employs a new formulation of dicamba that offers a significant reduction in volatility potential compared with conventional dicamba herbicides, which helps minimize off-target movement when used according to label guidelines.

For a list of approved tank-mix partners for FeXapan™ and state registrations, visit FeXapan.dupont.com.

As with any crop protection product, growers and applicators should follow best practices to avoid off-target contact when using FeXapan™. DuPont has developed stewardship training to promote best management practices for FeXapan™ use and extended product life. For details, see FeXapan.dupont.com.

“Growers know their success depends on technology that improves productivity. Our goal is to collaborate with growers to understand their challenges and to respond with solutions that will help feed the growing world population,” added Hay.

FeXapan™ is included in the TruChoice® rewards program, offering local agronomy expertise and individualized crop protection solutions to maximize economic return on every acre.



 Massey Ferguson Advances Technology in 8700 Series High Horsepower Tractors

Massey Ferguson®, a global brand of AGCO Corporation (NYSE:AGCO), introduces a new control terminal and more advanced technology to 8700 Series high horsepower tractors. The advancements in technology include Massey Ferguson’s new Datatronic™ 5 terminal, AGCO’s common electronic architecture and full integration of on-board precision technologies. This combination provides producers with the tools and flexibility they need to improve the accuracy and efficiency of their crop production practices. 

“As our customers seek ways to cover more ground in less time and to manage inputs more precisely, we are equipping our tractors with the tools and technology they need to make their work as easy and efficient as possible,” says Eric Zimmerman, marketing manager, High Horsepower Tractors at AGCO. “The advancements now available in Massey Ferguson 8700 Series high horsepower tractors are a comprehensive offering, designed to fit the needs of any operation.”

The all new Datatronic 5 Control Center Display (CCD) terminal is fast, straightforward and easy to use with a more convenient approach to machine and implement control. It features a powerful, easy-to-read, 9-inch, touch-screen terminal with a simplified menu and enhanced, flexible navigation solutions. Easy-to-recognize icons bring the user a consistent experience across all menu functions used to control the tractor, implement and on-board technology.

The Datatronic 5 is equipped with 4GB of memory and 1GB of RAM. It also provides video input for one camera; four CAN inputs; one USB input; an Ethernet port and is Bluetooth capable. The 8700 Series tractors also feature AGCO’s common electronic architecture, to help ensure the tractors and on-board technology are compatible with a wide range of implements across multiple brands, so producers may use their choice of implements best suited to their farm. In addition, these tractors now provide full integration of on-board precision technologies, including AgControl® section and variable rate control, as well as TaskDoc® Pro wireless data transfer. As part of AGCO’s open approach to precision agriculture, Fuse®, customers will be able to choose either the NovAtel SMART6-L™ or Trimble® AG-382 receiver to best match their existing base station and coverage needs.

This comprehensive technology offering helps producers take full advantage of today’s latest production technologies, improving productivity and efficiency while reducing operator fatigue, implement overlap and over-application of inputs.

Other enhancements operators will appreciate are LED work lights; additional direct rear linkage controls; an in-cab toolbox; a cup holder in the console; reduced noise from the front wiper; rear window wash; lighting for the entry steps and a lockable cap on the DEF tank.

Massey Ferguson 8700 Series tractors with these new features made their debut in Louisville at the 2017 National Farm Machinery Show. The Series includes five models rated from 240 to 340 horsepower, all engineered to provide responsive power with lower fuel consumption.