Wednesday March 29 Ag News

Open House for the Lower Elkhorn River Basin Water Quality Management Plan

Landowners and residents of the Lower Elkhorn Natural Resources District (LENRD) are invited to attend an Open House to learn about the Lower Elkhorn River Basin Water Quality Management Plan (the Plan). The Plan covers the lower portion of the Elkhorn River Basin, which is the watershed that created the boundary for the LENRD. The Plan provides a single coordinated strategy to identify water quality threats and needs, prioritize watersheds and areas for improvement, and identify practices and activities appropriate to address the known deficiencies in water quality.

The Open House will be located in the Lifelong Learning Center at Northeast Community College, 601 E Benjamin Ave, Norfolk, from 7:00 to 8:00 pm on April 4, 2017. Representatives from the NRD and NDEQ will be present to discuss the intent of the Plan, key recommendations, and how the Plan will benefit the public as projects are implemented in the future.

LENRD Grant Coordinator, Kristie Olmer, said, “The biggest priority for the LENRD was to address water quality concerns for the Willow Creek Reservoir. The Plan includes specific actions that would need to take place in order to reduce the occurrence of toxic algae blooms at the lake. Other waterbodies considered a priority for additional monitoring include Maskenthine Lake, Maple Creek Lake, and Rock Creek.”

The Plan was funded through a grant received from the Nebraska Department of Environmental Quality (NDEQ) and the LENRD.

The public is encouraged to visit the LENRD’s website www.lenrd.org/water-studies for more information and to view a copy of the full draft plan. Please contact Kristie Olmer at 402-371-7313 or kolmer@lenrd.org to provide comments or input.



REDUCING COST OF PLANTING ROUNDUP READY ALFALFA
Bruce Anderson, NE Extension Forage Specialist

               Roundup Ready alfalfa seed is expensive.  But establishing a new field may not cost as much as you might think.

               With Roundup Ready alfalfa seed costing over seven dollars per pound, maybe it’s time to look for ways to reduce establishment costs.  Fortunately, the seed itself can provide much of that help.

               Research has shown that most growers can reduce seeding rates by fifteen to twenty percent compared to historical seeding rates when planting Roundup Ready alfalfa.  That means if you normally plant fifteen pounds of seed per acre, with Roundup Ready alfalfa you probably can do as well with just twelve pounds per acre.  That can lower your seed cost by more than twenty dollars per acre.

               However, there is a catch.  Isn’t there always a catch?  Fortunately, this is a pretty simple catch.  You see, in order to get good stands when using lower seeding rates of Roundup Ready alfalfa, you need to do a good job of following establishment recommendations.

               That starts with preparing a proper, firm seedbed.  Apply fertilizer and lime as needed according to soil test recommendations.  Use a correctly adjusted drill or seeder that will place the right amount of seed at the right depth.  Plant on time.  And, of course, spray Roundup before weeds and alfalfa seedlings get more than about three inches tall.

               That’s all there is to it.  If you take care of your part of this process, then the special seed coating, the excellent weed control with no crop injury that you get with Roundup, and a little cooperation from Mother Nature, will give you good stands from less seed.

               Roundup Ready alfalfa seed is expensive, but you can keep costs down by using less seed and better establishment practices.



 FORMER CALIFORNIA AG SECRETARY TO DELIVER HEUERMANN LECTURE

 Former California Secretary of Agriculture Arthur Gen "A.G." Kawamura will discuss water and global resources during the next Heuermann Lecture at the University of Nebraska-Lincoln.

The free lecture, sponsored by the Institute of Agriculture and Natural Resources, will be at 4:30 p.m. April 12 at the Nebraska Innovation Campus Conference Center, 2021 Transformation Drive.

A third-generation fruit and vegetable grower and shipper from Orange County, Kawamura was California's secretary of agriculture from 2003 to 2010. He is co-chair of Solutions from the Land, a project that is developing a sustainable roadmap for 21st century agricultural systems. He is also a national steering committee member of "25x25" a renewable energy coalition of farm, forest, conservation and environmental leaders focused on the multiple benefits and contributions that can be delivered from the agricultural and rural sectors of America.

As a progressive urban farmer, Kawamura has a lifetime of experience working within the shrinking rural and urban boundaries of southern California. He has stayed involved in policy areas of education, hunger and nutrition. Through his company, Orange County Produce, Kawamura is engaged in building an interactive urban agricultural exhibit at the Orange County Great Park in Irvine, California.

The lecture will be held in conjunction with the eighth annual Water for Food Global Conference, which will examine the work being done to ensure water for food security from local to global scales. The international conference is organized by the Robert B. Daugherty Water for Food Global Institute at the University of Nebraska.

The Heuermann Lecture series focuses on providing and sustaining enough food, natural resources and renewable energy for the world's people, along with securing the sustainability of rural communities, where the vital work of producing food and renewable energy occurs. The lectures are funded by a gift from B. Keith and Norma Heuermann of Phillips. The Heuermanns are longtime university supporters with a strong commitment to Nebraska's production agriculture, natural resources, rural areas and people. 

Lectures are streamed live at http://heuermannlectures.unl.edu and air live on campus channel 4. Lectures are archived after the event and are later broadcast on NET2.



ICON Support Return of Cool Labeling in lieu of recent Investigations into JBS

The Independent Cattlemen of Nebraska (ICON) organization has been closely watching the investigations being conducted in Brazil which have uncovered corruption in the ranks of JBS and BRF.

Brazilian authorities suspect bribery involving health inspectors in packing plants operated by the two meat-packing giants. Practices which include adding cardboard and potatoes to products and the use of acids to mask products which may be rotten so they can receive the Brazilian stamp of approval.

Several countries from around the world have banned Brazilian products and as a result, there has been a drop in exports from the South American country.

The U.S. has not proposed a ban although several consumer groups and farmers and ranchers are favoring this type of action. Newly appointed Secretary of Agriculture Sonny Purdue has commented he would not support a ban because of the backlash from the Brazilians.

ICON supports a ban prohibiting the import of products from JBS and BRF citing public health issues as being more important than trade agreements. ICON joins Nebraska Farmers Union who has the same concerns.

The questionable practices in the Brazilian packing plants also call an alarm to the possible risk of reintroducing Hoof and Mouth Disease in the U.S., which has been nonexistent in the U.S. since the 1920s.

ICON is concerned a recent decision to relax regulations on imports of fresh and frozen meat from neighboring countries south of the border close to Brazil, which claim to be free of HMD, may allow the disease into the U.S. market and cause destruction to the U.S. cattle industry.

ICON joins Nebraska Farmers Union in urging Congress to reinstate Country of Origin Labeling for the best interests of the consumer world-wide and also impose a moratorium on Brazilian imports.



Iowa Cattlemen’s Association to Hold 2nd Annual BeefMeets

Iowa cattle producers will convene at four locations across the state in June for the second annual BeefMeets. In addition to several educational sessions, a full tradeshow and opportunities for networking, cattlemen will get a chance to share policy and industry issue concerns with ICA leaders. The four BeefMeets will be held June 13 in Dubuque, June 15 in Ottumwa, June 20 in Creston and June 22 in Le Mars.

The Iowa Cattlemen’s Association is a grassroots membership organization, with a dedication to “Grow Iowa’s beef business through advocacy, leadership and education.” The organization has previously held a 3-day annual convention in Des Moines in December, but feedback from members led the association to launch the regional meetings in 2016.

“The regional format offers a lot of benefits for our members across the state. They are able to participate in the best parts of our convention without traveling a long distance or leaving their operations for several days,” says Matt Deppe, CEO of the Iowa Cattlemen’s Association.

Educational topics this year will focus on the current farm economy. Many farmers are experiencing tough times in this economic downturn, and BeefMeets are designed to help cattle producers weather the storm.

Time has been set aside at each BeefMeet for ICA districts to gather and provide input. “Our district breakouts will allow cattle producers to weigh in on topics that matter to their operations,” says ICA’s President Mike Cline. “As a grassroots organization, our policy is developed by members for members, and provides guidance for staff and leaders as we work on behalf of the industry.”

A tradeshow throughout the day and a “beef social” following the meeting will provide opportunities for networking. Registration includes a complimentary lunch. For more information or to register for BeefMeets, visit www.iacattlemen.org.



Register Now for AgGateway's Mid-Year Meeting, June 12-15 in Altoona, Iowa

Registration is now open for AgGateway's Mid-Year Meeting, June 12-15 at Prairie Meadows in Altoona, Iowa, just outside of Des Moines. The meeting provides valuable insights and networking for anyone seeking to expand eConnectivity in agriculture - from seasoned AgGateway members to professionals new to the organization. The working meeting provides multiple networking opportunities, as well as many open working group sessions where teams discuss ways to advance their collaborative initiatives.

"The AgGateway teams will discuss advances in grain traceability, interoperability for precision agriculture, efficiencies for the specialty chemical sector, resources for ag retailers, and much more," said AgGateway President and CEO Wendy Smith. "We invite companies to learn and participate. There are huge benefits in the efficient and accurate exchange of information all along the agricultural supply chain."

This year's meeting also features a half-day Ag Retail eConnectivity Forum for senior retail managers and directors. The forum will present information on the value of a company's investment in eConnectivity initiatives, particularly focused on the efficiencies and competitive advantages as retailers, manufacturers and distributors move to seamless electronic data exchange.

AgGateway has again set modest registration fees to encourage maximum participation in collaborative eConnectivity projects. Registration is just $150 for both members and non-members. In addition, those who register by Friday, April 27 will be entered into a drawing to win a special VIP attendee package, including a complimentary hotel room upgrade to a suite. The special hotel rate at Prairie Meadows available until May 22 is $107/night.

More information is available on AgGateway's Mid-Year Meeting webpage, found under "Events" at www.AgGateway.org. Explore sponsorship opportunities by reviewing the sponsorship program on the event webpage or email Sponsorship@AgGateway.org. Also find the meeting on Twitter at #AgGateway.



EPA Administrator Pruitt Denies Petition to Ban Widely Used Pesticide

Today, U.S. Environmental Protection Agency (EPA) Administrator Scott Pruitt signed an order denying a petition that sought to ban chlorpyrifos, a pesticide crucial to U.S. agriculture.

Chlorpyrifos is the main ingredient in Lorsban, Dow AgroSciences' organophosphate insecticide targeting pests such as soybean aphids, spider mites and corn rootworm.

“We need to provide regulatory certainty to the thousands of American farms that rely on chlorpyrifos, while still protecting human health and the environment,” said EPA Administrator Pruitt. “By reversing the previous Administration’s steps to ban one of the most widely used pesticides in the world, we are returning to using sound science in decision-making – rather than predetermined results.”

“This is a welcome decision grounded in evidence and science,” said Sheryl Kunickis, director of the Office of Pest Management Policy at the U.S. Department of Agriculture (USDA). “It means that this important pest management tool will remain available to growers, helping to ensure an abundant and affordable food supply for this nation and the world.  This frees American farmers from significant trade disruptions that could have been caused by an unnecessary, unilateral revocation of chlorpyrifos tolerances in the United States. It is also great news for consumers, who will continue to have access to a full range of both domestic and imported fruits and vegetables. We thank our colleagues at EPA for their hard work.”

In October 2015, under the previous Administration, EPA proposed to revoke all food residue tolerances for chlorpyrifos, an active ingredient in insecticides.  This proposal was issued in response to a petition from the Natural Resources Defense Council and Pesticide Action Network North America. The October 2015 proposal largely relied on certain epidemiological study outcomes, whose application is novel and uncertain, to reach its conclusions.

The public record lays out serious scientific concerns and substantive process gaps in the proposal. Reliable data, overwhelming in both quantity and quality, contradicts the reliance on – and misapplication of – studies to establish the end points and conclusions used to rationalize the proposal.

The USDA disagrees with the methodology used by the previous Administration. Similarly, the National Association of State Departments of Agriculture also objected to EPA’s methodology. The Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) Scientific Advisory Panel (SAP) also expressed concerns with regard to EPA’s previous reliance on certain data the Agency had used to support its proposal to ban the pesticide.

The FIFRA SAP is a federal advisory committee operating in accordance with the Federal Advisory Committee Act and established under the provisions of FIFRA, as amended by the Food Quality Protection Act of 1996.  It provides scientific advice, information and recommendations to the EPA Administrator on pesticides and pesticide-related issues regarding the impact of regulatory decisions on health and the environment.



Cattlemen Applaud Re-establishment of Congressional Beef Caucus

At a Capitol Hill news conference today, the National Cattlemen’s Beef Association (NCBA) applauded the re-establishment of the bipartisan Congressional Beef Caucus. The Beef Caucus will organize and educate Members of Congress and their staff on policy issues that impact America’s cattle and beef producers.

The Congressional Beef Caucus will be co-chaired by U.S. Reps. Henry Cuellar (D-28th District, Texas) and Kevin Yoder (R-3rd District, Kansas,) who joined NCBA at today’s news conference. The Beef Caucus currently stands 35 Members of Congress strong, hailing from 21 different states.

“On behalf of America’s cattlemen and women, I want to thank Congressmen Cuellar, Yoder, and every other Member who has already joined the Congressional Beef Caucus – and I’d encourage every other Member of Congress to join today,” said NCBA President Craig Uden, a fourth-generation cattleman from Nebraska. “From trade to taxes, and from federal lands to the farm bill, there are many issues that affect our ability to help provide the world’s safest and most abundant food supply. The Beef Caucus will help us highlight those issues on Capitol Hill so lawmakers know how those policies affect cattle producers back home in their districts.”

The announcement of the re-establishment of the Beef Caucus comes as hundreds of livestock producers storm Capitol Hill this week as part of NCBA’s and the Public Lands Council’s annual Legislative Conferences. The conferences kicked off on Tuesday, highlighted by a luncheon meeting with U.S. Interior Secretary Ryan Zinke. Today, NCBA members will fan out across Capitol Hill to talk with their Senators and Congressmen, and tomorrow will huddle with a variety of officials from the executive branch.



R-CALF USA Praises Bipartisan Beef Checkoff Reform Legislation

Bipartisan legislation was reintroduced in the U.S. Senate to reform the most prominent government subsidy program in the U.S. cattle industry - the national beef checkoff program, which generates about $80 million annually from government-mandated producer assessments that many cattle producers refer to as "the cattle tax." Senators Mike Lee (R-Utah) and Cory Booker (D-N.J.) introduced the Opportunities for Fairness in Farming Act, S. 741. Also reintroduced today was the Voluntary Checkoff Act, S. 740, by Senator Lee.

The two bills were previously introduced during Congress' last session, but their introduction occurred too late during the election year to be properly considered. This year's early reintroduction will ensure the measures are considered by the full Congress.

R-CALF USA CEO Bill Bullard said his group welcomes both bills because they both impart accountability and transparency to the beef checkoff program. He said approximately one-half of the current cattle tax, about $40 million dollars, flows to the National Cattlemen's Beef Association (NCBA), a lobbying group that represents some of the world's largest multinational meatpackers along with some cattle producers.

"Cross-subsidized by the current beef checkoff program, the NCBA lobbies against cattle-producer initiative on the basis that it does not want the government involved in the cattle industry. Yet, the NCBA is the single-largest benefactor of the $80 million government-mandated cattle tax that funds government speech.

"The bipartisan bill, S. 741, will end that conflict of interest by prohibiting lobbying groups from contracting with the program," said Bullard adding, "However, we think the best solution is the voluntary bill, S. 740, that allows producers to vote freely with their pocketbooks regarding whether they are individually satisfied with the checkoff's performance."

The national board for the beef checkoff program functions as a microcosm of the cattle industry by expanding and contracting depending on the size of the U.S. cattle herd and the quantity of imported cattle and beef. Earlier this year the U.S. Department of Agriculture initiated a rulemaking to reapportion the board by reducing the number of board seats for the domestic cattle industry by two and increasing the number of seats for importers by one.

"This outcome isn't what U.S. cattle producers bargained for when the checkoff was first started in the late 80s," Bullard concluded.



 Cargill reports fiscal 2017 third-quarter results

Cargill today reported financial results for the fiscal 2017 third quarter and nine months ended Feb. 28, 2017. Key measures include:
-    Adjusted operating earnings were $715 million in the third quarter, up 50 percent from $476 million in the year-ago period. Nine-month earnings totaled $2.58 billion, a 55 percent increase over last year’s $1.66 billion. 
-    Net earnings for the quarter on a U.S. GAAP basis were $650 million, up 42 percent from last year’s $459 million. Nine-month net earnings were $2.49 billion, a 5 percent increase year-on-year. In the prior-year period, Cargill realized large gains from business divestitures, which are excluded from adjusted operating earnings.
-    Third-quarter revenues rose 8 percent to $27.3 billion, for year-to-date revenues of $81.4 billion.

“We had strong results this quarter across our segments, evidence that we are on the right path forward,” said David MacLennan, Cargill’s chairman and chief executive officer. He cited gains in food ingredients, animal protein and industrials, as well as the progress of teams around the company to bring customers the full benefits of what Cargill has to offer. “All 150,000 people who work here are focused on executing at a high level as we serve our markets in an integrated way. We are eager to keep pursuing the opportunities that we are seeing.”
Segment results

With strong improvement over last year, the Food Ingredients & Applications segment was the largest contributor to adjusted operating earnings in the third quarter, with gains in sweeteners globally and plant-based bio-industrials in North America. A favorable product mix in salts for food applications also boosted results in North America, as did seasonal sales volume in deicing products. Cocoa and chocolate earnings rose on the strength of the European business, supported by origination in West Africa. The segment’s Asia-based business rebounded from a challenging year-ago period, lifted by good performance in corn-based starches and sweeteners in China and edible oils in India.

Earnings in Animal Nutrition & Protein rose significantly, lifted by strong performance in animal protein against a weak comparative period. Although below the earnings pace set in the first half, the North American protein business continued to benefit from renewed consumer demand for beef, which pulled more boxed beef and case-ready volume through its supply chain. It also realized steady foodservice demand for egg products. The poultry business gave protein results an additional boost, with higher cooked chicken exports out of Southeast Asia and improved processing yields and fresh chicken sales in Europe. Elsewhere in the segment, third-quarter earnings in global animal nutrition were below the year-ago level. Despite good performance in bulk feeds and premix products in India, Vietnam and other countries, sales volume softened due to competitive pressure in China and Russia, an avian influenza outbreak in Korea, and disruptive or unseasonable weather in other countries.

Origination & Processing earnings slightly lagged last year’s third quarter. The North America-based business remained a large contributor to segment earnings, thanks to steady grain export volumes; oilseed crush volume decreased late in the period as South America approached harvest season. Performance in South America trailed the prior year as the business dealt with reduced farmer selling and slowed processing in Argentina due to excess rain, as well as decreased corn exports out of Brazil due to last year’s drought. In contrast, segment earnings rose substantially in Asia Pacific, boosted by soybean crush activities in China, and grain origination and trading in Australia.

Cargill agreed to sell its 40 percent share in Allied Mills Australia, a flour milling joint venture, to Pacific Equity Partners, a Sydney-based private equity firm with investments in the bakery sector. With regulatory approvals in Australia received, the sale is expected to close early in the fourth quarter. Cargill remains committed to the food and agriculture sector in Australia, where it has played an important role since 1967.

Industrial & Financial Services put up a strong third quarter against a weak comparative period. Ocean transportation earnings rose sharply, aided by better market conditions in ocean freight, as well as in the mining and steel industries. Returns from asset management activities added to the segment’s improved performance. The energy businesses also contributed to the rebound.

Early in the fourth quarter, Cargill agreed to sell its petroleum trading business to Australia’s Macquarie Group, a global financial services provider based in Sydney. Pending regulatory review, the sale is expected to be completed in the first quarter of Cargill’s fiscal 2018.



Ethanol Stockpiles at 1-Year High

U.S. ethanol stockpiles increased last week alongside a ramp up in plant production, with total inventories surging by about 700,000 barrels (bbl), or 2.9%, to better-than-one-year high of 23.3 million bbl after falling for three prior weeks, the Energy Information Administration said Wednesday, March 29.

The EIA's Weekly Petroleum Status Report for the week-ended March 24 shows domestic fuel ethanol inventories were 200,000 bbl higher year-on-year. Supplies are at the highest level since March 4, 2016, when 23.307 million bbl of ethanol were in storage.

Domestic plant production climbed 20,000 barrels per day (bpd), or 1.0%, to 1.054 million bpd last week, the highest since the week-ended Feb. 3, while 62,000 bpd, or 6.3%, higher than a year earlier. For the four weeks ended last week, fuel ethanol production averaged 1.041 million bpd, up 50,000 bpd, or 4.8%.

Net refiner and blender inputs of ethanol, a gauge for demand, fell by 4,000 bpd to 911,000 bpd during the week-ended March 24. On a year-over-year basis, refiner and blender inputs were up 21,000 bpd, or 2.4%, last week. For the four-week period ended March 24, blending demand was up 22,000 bpd, or 2.5%, to 903,000 bpd.



State of Georgia Confirmed First Case of H7 Avian Flu

The Georgia Department of Agriculture said that a flock of chickens at a commercial poultry breeding operation in Chattooga County has tested positive for H7, a presumptive low pathogenic avian influenza (LPAI). This marks the state's first case of the avian influenza in domestic poultry. Avian influenza does not pose a risk to the food supply, and no affected animals entered the food chain. The risk of human infection with avian influenza during poultry outbreaks is very low, according to the GDA.

The virus was identified during routine pre-sale screening for the commercial facility and was confirmed as H7 avian influenza by the USDA National Veterinary Services Laboratory (NVSL) in Ames, Iowa. As a precaution, the affected flock has been destroyed. Officials are testing and monitoring other flocks within the surveillance area, and no other flocks have tested positive or experienced any clinical signs, according to the state release.

"Poultry is the top sector of our number one industry, agriculture, and we are committed to protecting the livelihoods of the many farm families that are dependent on it," Georgia Ag Commissioner Gary Black said. "In order to successfully do that, it is imperative that we continue our efforts of extensive biosecurity."

The announcement follows similar confirmations from Alabama, Kentucky and Tennessee in recent weeks. The Tennessee case involved the more lethal avian flu's HPA1 strain, which is known to be deadly to domesticated poultry such as chickens, turkeys, guineas, quail and peafowls. Officials, however, stressed that the HPA1 avian flu posed no risk to the food supply and very low chance of human infection.



NFU Urges Trump Administration to Oppose Dow-DuPont Merger

Following European Union approval of the proposed merger between Dow Chemical Co. and DuPont Co., National Farmers Union (NFU) is calling on the Trump Administration to block the deal. The merger, if approved by the U.S. Justice Department, would create the largest biotechnology and seed firm in the U.S.

“The reduction in competition that would be wrought by a Dow-DuPont merger will result in less innovation, higher prices, and less choice for farmers,” said NFU President Roger Johnson in a letter to President Trump. “Given the damaging and lasting effects this merger will have on family farmers and rural America, we urge you to oppose this merger,” he said.

Johnson noted that the Dow-DuPont merger occurs amidst a massive wave of consolidation in the agricultural inputs sector. The combination of the two companies, coupled with the concurrently proposed mergers of Bayer-Monsanto and ChemChina-Syngenta, threatens to limit major players in the agrichemical and seed sectors to just four companies.

And that is bad news for farmers who rely on competitive pricing for their inputs.

“The merger of Dow and DuPont, the 4th and 5th largest firms, would give the resulting company about 41% of the market for corn seeds and 38% of the market for soybean seeds,” said Johnson. “If the Dow-DuPont and Bayer-Monsanto mergers were both approved, there would effectively be a duopoly in the corn and soybean seed markets.”

Johnson noted that the merger would limit choice in the marketplace for farmers. As Dow and DuPont look to leverage any efficiencies from the merger, there will be reductions in seed portfolios.

He also noted that the merger will likely diminish innovation competition, as the elimination of direct competition from one another will reduce the incentive to develop new products.

“Dow and DuPont biotechnology pipelines contain overlapping input and output traits in development for corn, soybeans, and cotton, as well as crop protection,” said Johnson. “Innovation is key to farmers and ranchers’ ability to increase crop production and improve crop quality. Without standalone competition between Dow and DuPont incentivizing innovation, farmers’ profits and consumers’ access to affordable food are at risk.”

While Dow and DuPont agreed to sell some of their key research and development assets, mergers in this consolidated of an environment are difficult, if not impossible, to remedy, he concluded.

“It is highly likely that many of those assets will be purchased by companies among the Big 6.  Therefore, any reallocation of share within the large incumbents through divestitures would only result in a game of market concentration ‘musical chairs.’”