Thursday April 13 Ag News

Nebraska Land Values Update
JD Maxson, Farmers National Company Assistant Area Sales Manager

Land values for the first half of 2017 in Nebraska have remained relatively flat. Overall, the land market has softened due to weak grain and livestock commodity markets. But, I anticipate high quality land in sought-after locations to continue to be in demand.

A farm with Class I and II soils, good access, water, and a level to gently rolling topography has and will continue to get the attention of local neighboring farms and investors. Typically, this type of farm offers high yields and excellent productivity, which translates to bottom line profits and above average return-on-investment. In comparison, an average to medium quality farm with any tract needing improvements such as gravity irrigation to pivot, which is a combination farm with Class III and above soils and may need cedar tree removal, is being discounted by as much as 25 to 30 percent.

Inflation could be on the horizon with the recent one-fourth of a percent hike in interest rates. However, land is a hard asset and can be leveraged against inflation versus other paper investments.

Still, since fall of 2016, top quality land in Nebraska continues to hold its value, while medium and low quality land has trended lower. Hard grass and meadow acres, as well as soft grazing acres, are also trending lower. High quality farms are selling best through the auction process and sell within days if priced for the market, while medium and low quality farms are moving better with private treaties, but sit on the marketplace for longer periods of time.  

Unfortunately, we have seen a few forced sales due to farmers’ financial constraints. Lenders have been meeting with the producers, but we certainly could see an 80-acre farm or short-quarter come on the market to generate operating capital.

Active sellers include absentee land owners, farmers/owner-operators, and trusts. In the last few months, buyers have been investors.

1031 money has had a huge impact recently. High quality farms are holding value, while medium and low quality farms with issues like access, soil and water, along with a low percentage of tillable acres or land that needs improvements, are taking a hit of 25 to 35 percent.
　


Nebraska to Dedicate $111M Cargill Cooked Meat Plant

Nebraska Governor Pete Ricketts will be among the dignitaries present to dedicate Cargill's $111 million cooked meats facility in Columbus, Neb., on April 20 at 10:45 a.m. Announced in late 2015, the project to convert Cargill's fresh ground beef plant to a cooked meats operation adds capabilities the company previously did not have, provides new and existing customers with an expanded portfolio of protein offerings and nearly doubles employment at the facility.

This invitation-only dedication will include community civic and business leaders, state and federal legislators, Cargill employees, customers, construction contractors and other key stakeholders associated with the Columbus plant conversion project. Lunch follows the dedication, featuring a trendy Taco Bell food truck adorned with eye-catching graphics that will be serving Crunchy Tacos and Nacho Cheese Doritos Locos Tacos containing cooked seasoned ground beef produced at Cargill's Columbus facility.

"The newest and best equipment and technologies to produce cooked ground beef, sausage, hot dogs and other products have been incorporated into our Columbus facility, underscoring our commitment to invest in, and grow, our protein business by better meeting our customers' needs and expectations," said Brian Sikes, corporate vice president for Wichita-based Cargill Protein. "We take a great deal of pride in knowing this facility, located in America's heartland, will help us achieve our goal to nourish people in a safe, responsible and sustainable way."

"Taco Bell shares the same growth mindset as Cargill, and is proud to be a part of the dedication of this massive state-of-the-art project," said Brian Niccol, CEO, Taco Bell Corp. "Investment in this facility not only provides the scale needed to deliver our customers great tasting tacos and burritos, but it also is creating much needed jobs, employee training and economic benefits for the community."

In addition to the facility's new capabilities, employment will nearly double, from approximately 240 prior to the conversion to around 460. Some workers displaced when the conversion began have been rehired due to training they received in the interim. Cargill collaborated with Central Community College and the Platte Valley Literacy Association, both in Columbus, and the Nebraska Department of Labor, in an innovative public-private partnership to craft an adult education program financed by a $465,000 state grant.

The 36-week curriculum was facilitated by Central Community College under the auspices of the Nebraska Department of Labor Columbus Works Training Program and attracted 49 displaced Cargill employees, in addition to more than 100 people retained at the facility. Five-hour, daily, weekday classes included English as a second language, writing, mathematics and computer skills. More than half of the 106 participants moved up one class level within the first two months.

"This is the most exciting and rewarding training program I've been involved with," said Doug Pauley, director of training and development at Central Community College, in a March 2016 Columbus Telegram article. Pauley added, "This was a way to keep those workers in the community and help them grow personally and professionally."

Sikes echoed Pauley's sentiment, "To better ensure that we continue to grow our protein business, it is important to Cargill that we invest in those who work for us, as well as those who are directly impacted by the business decisions we make. Investing in people and communities is part of Cargill's DNA dating back to the founding of the company more than 150 years ago. We know that we prosper only when the communities where we have a presence thrive, which is the philosophy we embrace."

"I am thrilled to not only celebrate the completion of the tremendous investment Cargill has made in the Columbus community, but also the success of a thoughtful public-private partnership that has helped retain, develop and engage our local workforce," said Governor Ricketts. "This is a great example of the opportunities we can create for Nebraskans through collaboration and creativity across multiple organizations."

As a result of the conversion project, the size of Cargill's Columbus cooked meats facility was expanded nearly 50 percent, to 160,000 square feet. It complements the company's other protein further processing capabilities at facilities in Nebraska, City, Neb.; Timberville, Va.; Albert Lea, Minn.; Waco and Fort Worth, Texas; and Nashville, Tenn. In addition to its Columbus and Nebraska City facilities, Cargill operates a large-scale beef harvest and processing facility at Schuyler, Neb., employing approximately 2,200 people. Cargill employs approximately 4,000 Nebraskans at 17 locations throughout the state.



OPTIONS FOR FERTILIZING PASTURES
Bruce Anderson, NE Extension Forage Specialist

               Is nitrogen fertilizer too expensive for pasture?  It might be unless your fertilizer applications and grazing are managed well.  Stick around and I’ll describe some efficiency tips.

               After adding a hundred, sixty, or even just forty pounds of nitrogen per acre to your pastures in past years, did your grass grow really nice in April and May?  Then did it get stemmy in June with cows trampling and laying on more of it than eating it?  And by August was most of the grass brown or dead, much of it matted down, with the only green material so short that cows could barely get any of it?

               If this describes your pastures, do something a little different this year.  For starters, don’t fertilize all your pasture right away.  You’re stimulating more spring growth than your cows can eat, so only fertilize half or three-quarters of your pasture now.  Be sure, though, that the unfertilized area is fenced off from the rest of the pasture.

               Now, go ahead and have your cows graze pretty much like you normally do, but be sure to finish grazing the unfertilized area sometime in mid-May.  Then check the weather and soil moisture.  If you think there will be enough moisture for some good regrowth, then fertilize this previously unfertilized area.  Let it regrow for six weeks or longer and you should have some really good regrowth available for grazing in July or August.

               What if it’s dry in mid-May with poor prospects for regrowth?  In that case, save your money and don’t apply any more fertilizer.  You still will have produced about as much pasture growth as if you had fertilized everything to begin with, but at less cost.

               If your pastures often grow too fast in spring yet run out in summer every year, change fertilizer timing.  You’ll get more grass when you want it or maybe save some money.



KAWAMURA: 'SUCCESSFUL AGRICULTURE SUSTAINS CIVILIZATION'

A.G. Kawamura wants to start a new dialogue about agriculture. The former California secretary of agriculture said it's time for everyone to recognize that the clock is ticking and that people need to become more resilient when it comes to water and food security.

"When you live in a state of abundance, consumers tend to think food is a right," he said. "Food is not a right; food is a privilege."

Today's abundance has led to some groups challenging the agricultural industry on issues such as water restrictions, Kawamura said during the final Heuermann Lecture of the 2016-17 season April 12 at Nebraska Innovation Campus. This conflict has made the already difficult task of feeding the world even more complex.

Kawamura shared examples of how the view of agriculture has evolved throughout history. For instance, in 1948 Israel's food and water supply was limited, which caused the country to unite to focus on critical systems needed to survive. While the United States is not facing such extremes today, Kawamura said he thinks it's time to rally around a common goal of water and food security like Israel did.

"Successful agriculture sustains civilization," he said. "We don't have to talk about what kind of agriculture it is, as long as it's successful. That should be our focus right now."

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 to develop 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 contributions that can be derived from America's agricultural and rural sectors.

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, he is engaged in building an interactive urban agricultural exhibit at the Orange County Great Park in Irvine, California.

"It's time for a global reset button," Kawamura said. "We're in a new age of agriculture. The pace of new knowledge and new thinking that is taking place is unbelievable.”

The current agricultural renaissance is essential to feeding a booming world population, Kawamura said. He is a supporter of the food, energy and water nexus and said he believes it is key for a resilient and sustainable future.

"Food, energy and water cannot be looked at as silos," he said. "They have to be looked at with the idea that we're going to create resilience.”

In addition to new technologies and new ways of thinking, education is a critical part of a successful future, Kawamura said. He said it's incumbent on those in agriculture to lead the way in educating the public about the challenges and goals facing the world, such as feeding a projected population of 9 billion by 2050.

"We need to produce excitement and enthusiasm globally about these goals to get everybody from around the world involved in this outcome we call the future," he said.

The lecture was held in conjunction with the eighth annual Water for Food Global Conference, which examined the work being done to ensure water and food security from local to global scales.

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. They are archived after the event and later air on NET2 World.



ICA BeefMeets Education Focused on Surviving Tough Times

We’ve all heard the saying, “Tough times never last, but tough people do.” Many farmers are experiencing tough times in this economic downturn, and the second annual Iowa Cattlemen’s Association BeefMeets are designed to help cattle producers weather the storm.

Today’s low commodity prices are a new experience for many young producers, but there are many in the cattle industry in Iowa who have lived through -- and survived -- tough times in the past. A panel of cattle producers, “tough people” who have experienced other economic downturns in the industry, will share how they lived through crisis and adapted in order to stay in the business they love. They will share their experiences at each of the four meetings in June.

Dr. Nevil Speer of AgriClear will give an ag outlook presentation, helping attendees understand how factors like weather, markets and international trade may affect their businesses in the coming months. Farm Credit Services of America representatives will provide financial management tips to improve profits and increase producers’ chances of success.

A session on Family Farm Dynamics will focus on techniques to help family members work together better, especially in times of hardship. As new generations enter or exit the operation, family relationships and the farm business become more complicated. Add financial stress to the equation and it may be a recipe for disaster. Rena Striegel with Transition Point Business Advisors will provide advice for these situations and more.

As water quality continues to be a concern in Iowa, ICA Grazing Advisor, Linda Shumate, and Karl Dallefeld, Prairie Creek Seed, will offer producers information on maximizing the economic potential of cover crops through grazing.

Also, the Iowa Beef Industry Council will be providing an update on the new Iowa State Beef Checkoff collection and programs. BeefMeets attendees can learn more about how the $1 per-head national Beef Checkoff Program and the new $0.50 per-head Iowa State Beef Checkoff are important demand drivers for the beef industry.

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.

BeefMeets will be held June 13 in Dubuque, June 15 in Ottumwa, June 20 in Creston and June 22 in Le Mars. Registration is $25 for Iowa Cattlemen’s Association members. The day-long events begin with registration at 8:30a.m. and end following a “beef social” at 4:00p.m.

Visit www.iacattlemen.org or call 515-296-2266 for more information and registration options.



Iowa Pork Producers set to launch 2017 tenderloin contest

The Iowa Pork Producers Association is ready to find out who consumers think has Iowa's Best Breaded Pork Tenderloin in 2017.

IPPA will launch the 15th annual contest on April 19 and give consumers the opportunity to nominate their favorite tenderloin restaurant, café or pub. Nominations can be submitted at www.iowapork.org or by using the form in the May issue of the Iowa Pork Producer magazine. The nomination process closes on June 7. Nominations are limited to one per household.

Any café, restaurant or tavern that serves hand-breaded or battered pork tenderloins is eligible to be nominated. An establishment must be open year-round to win, but seasonal restaurants can make the top five. The top five restaurants with the most nominations from each of the eight IPPA districts will be judged. The IPPA Restaurant and Foodservice Committee reserves the right to add additional restaurants to the judging process as it sees fit. Restaurant owners and operators are prohibited from nominating their own establishment.

"The tenderloin contest is always a lot of fun for us because Iowans love their tenderloins and our producers across the state love the buzz and the opportunity to share their passion," said Kelsey Sutter, IPPA marketing and program director. "So many restaurants and small town dives serve tenderloins and we love hearing from Iowans who think their favorite may be the state's best. We encourage tenderloin lovers everywhere to submit their nomination."

New this year is a specially designed poster that can be downloaded by restaurants from the Iowa Pork website to print off and display to help encourage nominations from their customers.

One person who nominates the winning restaurant will be entered in a drawing to win $100. The winning restaurant will receive $500, a plaque to display in the establishment and statewide publicity.

A total of 385 restaurants, cafes and other establishments received 1,982 nominations in last year's contest won by Nick's in Des Moines. A total of 40 restaurants were judged on the quality of the pork, taste, physical characteristics and eating experience.

Iowa pork industry representatives will judge the tenderloins and IPPA will announce the winner during National Pork Month in October.

The contest recognizes Iowa dining establishments that have pork as a regular menu feature in support of Iowa's nation-leading pork industry.



May CattleFax Webinar to Address Expectations for Cow-Calf Producers

Have the lows been established for the cattle industry? With the magnitude of the breaks and rallies that we have experienced across the entire cattle industry thus far that question is on everyone’s mind. An upcoming free CattleFax webinar will address that question as well as provide an outlook for the cow-calf and entire beef industry for 2017.

The CattleFax Trends+ Cow-Calf Webinar will be May 24, 2017, at 5:30 p.m. MT. To participate in the webinar and access program details, producers and industry leaders simply need to register online at https://www.cattlefax.com/#!/about. 

One of the most aggressive U.S. beef cowherd expansions in the last four decades has increased beef supplies and caused cow-calf profitability to be reduced back toward long term levels. As profits have narrowed well-informed producers can maintain healthy margins by adjusting production, marketing and risk management plans with increasing supplies in mind.

CattleFax analysts will discuss a variety of topics in the one-hour session, including:
-    Cattle and feedstuff market projections for the next 12 to 18 months;
-    Calf market outlook through summer and fall of 2017; and
-    Analysis of a recent Cow-Calf Survey conducted by CattleFax.

The Trends+ webinar series informs cattle producers about current market conditions and provides providing decision-friendly advice regarding management decisions. The analysis and strategies shared through the webinar series has reached more than 4,000 producers, and sponsorship from Elanco Animal Health is making the seminar free for all attendees.




Soy Growers Participate In Agribusiness Trade Mission to Egypt

The U.S. Soybean Export Council (USSEC) participated in the U.S. – Middle East/North Africa (MENA) Agribusiness Trade Mission that took place in Cairo, Egypt. USSEC CEO Jim Sutter, USSEC Chairman/ American Soybean Association (ASA) Director Jim Miller (Belden, NE) and USSEC Acting ASC Regional Lead Pam Helmsing and USSEC Regional Consultant – MENA Mousa Wakileh, traveled to Cairo and Alexandria to meet with soy industry leaders from Egyptian animal, aquaculture, feed and soy processing industries.

After the opening session on the first day, USSEC’s team participated in a soy industry roundtable meeting with 12 attendees, including the largest soybean crushing industry, feed millers, poultry producers and aquaculture representatives in Cairo to review recent joint programs and to discuss opportunities for future collaboration. Along with feed formulation and the proper valuation of U.S. soy amino acids’ profile, the group discussed ongoing poultry disease issues limiting profitability in the local industry. USSEC is sponsoring poultry disease training in Egypt and at the University of Florida with one of world’s leading experts and plans to continue the training in the coming years.

Alexandria is home to major soy industry activity in Egypt and meetings were held at two expanding facilities on day two. Alex Seeds showed its new crushing and soy oil bottling facility, which expands their crush facility to 5,000 tons per day, and Cargill displayed its crushing plant that is expanding to 6,000 tons per day.

A soy industry lunch to discuss the Egyptian market concluded the visit to the soy crushing plants. Lunch attendees included Mark Slupek, Foreign Agricultural Services (FAS) deputy administrator; Darrell Upshaw, program manager; Ron Verdonk, regional agricultural minister counselor; J. Bret Tate, agricultural attaché; and Ahmed Wally, U.S. Department of Agriculture (USDA) – FAS agricultural specialist; and two of the largest local traders and crushers.

A visit to the new office building of the Wadi Group was conducted to talk to CEO and president of Wadi Holdings Tony Freiji and his team about their business and their views on issues facing the industry in Egypt. The visit to Egypt concluded with a soy industry dinner with 25 attendees, including Mr. Verdonk and the largest soybean crushers, feed millers, and poultry producers.

It is clear after speaking with mission participants and Egyptian industry representatives that there is optimism in the air and an expectation of even better days ahead. USSEC looks forward to a continued relationship and working together with the Egyptian animal, aquaculture, feed, and soy processing industries on various marketing initiatives and programs. Egypt has long been the largest market for U.S. Soy in the MENA region, and USSEC programs have supported strong growth in the Egyptian crushing, extrusion, poultry nutrition and diseases, dairy, and aquaculture industries.



FDA Delays GMO Measures
(Nat'l Sorghum Prod. newsletter)

The Food and Drug Administration has extended the public comment period on a set of biotechnology regulatory proposals issued by the Obama administration.

The first of the measure solicits comment on FDA regulation of food derived from gene-edited plants. The second measure deals with animal gene-editing. The June 19 extension aligns the FDA with a third proposal from the USDA to reevaluate its regulations for genetically engineered plants.

Decisions to move forward with reforms to federal biotech regulations will not be made until the political appointees are in place at USDA, FDA and EPA, a process which will presumably take months. There is a consensus that an update of the regulatory process is needed, however, there are appreciable differences of opinion on how.



2016/2017 Exports of Feed Grains In All Forms Up 33 Percent Year-On-Year

U.S. exports of feed grains in all forms increased 33 percent year-over-year in the first six months of the 2016/2017 marketing year, according to recently published trade data from the U.S. Department of Agriculture (USDA) and analysis by the U.S. Grains Council (USGC).

That data showed the United States exported more than 56.6 million metric tons of feed grains in all forms - a calculation that measures grain products in corn equivalent - from September 2016 to February 2017, compared to 42.5 million tons during the same time the prior marketing year.
Click here to view a larger version of this chart.

Leading the increase, exports of U.S. corn increased 71 percent year-on-year during the first half of the marketing year to 27.8 million tons (1.09 billion bushels) compared to 16.3 million tons (641.7 million bushels) the year prior. Exports as of February 2016 represented 58 percent of last marketing year’s total volume.

In addition, exports of U.S. meat produced with feed grains, including beef, pork and poultry, increased from 9.9 million tons (389.7 million bushels) to 11.5 million tons (452.7 million bushels) in corn equivalent year-over-year, an increase of 15 percent.

U.S. ethanol exports during 2016/2017 as of February 2017 also increased substantially during the first six months of the marketing year, reaching 82 percent of the total volume for 2015/2016 at 711 million gallons (6.45 million tons or 253.9 million bushels in corn equivalent). That volume represents a 66 percent increase year-over-year, up from last marketing year’s 428 million gallons (3.88 million tons or 152.7 million bushels in corn equivalent) during the same time frame.

U.S. exports of distiller’s dried grains with solubles (DDGS) also increased slightly at 3 percent year-over-year despite trade disruptions in two major markets, China and Vietnam. U.S. DDGS exports totaled 5.9 million tons in the first six months of the 2016/2017 marketing year, compared to 5.7 million tons the prior year.

While overall feed grain exports increased, exports of both sorghum and barley declined in the first six months of the 2016/2017 marketing year. U.S. sorghum exports decreased year-on-year from 5 million tons (196.8 million bushels) to 3.4 million tons (133.9 million bushels). Smaller purchases by China drove the sharp decline. U.S. barley exports decreased year-over-year from nearly 143,000 tons (6.57 million bushels) to about 41,000 tons (1.88 million bushels) due to a decline in U.S. exports to Mexico.

The Council’s programs and activities aim to ramp up U.S. feed grain exports in the remaining months of the 2016/2017 marketing year and reach a third-straight year of 100 million tons of exports of U.S. feed grains in all forms.



U.S. biodiesel industry testifies to ITC on illegal trading at hearing

Today the U.S. Commerce Department announced that it is formally initiating antidumping and countervailing duty investigations of biodiesel imports from Argentina and Indonesia. This decision follows a petition that was filed with the U.S. Department of Commerce and the U.S. International Trade Commission on behalf of the National Biodiesel Board Fair Trade Coalition, which is made up of the National Biodiesel Board and U.S. biodiesel producers.

"Initiation of these investigations validates the allegations in our petition, and we look forward to working with the U.S. government agencies during the course of the next year to enforce America's trade laws," said Anne Steckel, NBB Vice President of Federal Affairs in response to this announcement.

Today the National Biodiesel Board and US biodiesel producers also provided testimony to the International Trade Commission, explaining that Argentine and Indonesian companies are violating trade laws by flooding the U.S. market with dumped and subsidized biodiesel, and how those imports are injuring American manufacturers and workers.

“Make no mistake, 2016 should have been a banner year for U.S. biodiesel producers with demand growth, stable feedstock prices, and regulatory certainty that should have led to profitability and reinvestment in their businesses, but unfortunately that didn’t happen,” said Steckel. “Instead, dumped and subsidized biodiesel from Argentina and Indonesia entered the United States in record volumes, capturing greater market share at the expense of U.S. producers. The loss of market share has left the domestic industry with substantial unused capacity and the artificially low prices these imports are sold at leave American biodiesel unable to get a fair return for their product.”

Because of illegal trade activities, biodiesel imports from Argentina and Indonesia surged by 464 percent from 2014 to 2016. That growth has taken 18.3 percentage points of market share from U.S. manufacturers.

“Negative margins within our industry due to low-priced imports have had a major impact on our company, with a disproportionately greater impact on smaller producers,” said Robert Morton, co-founder of Newport Biodiesel, a small biodiesel producer from Rhode Island. “We have halted several plant modification projects as a result of reduced working capital, even for modest projects. Because of this, Newport Biodiesel is being limited in its ability to be a productive US green energy company in what is otherwise a growing market.”

The adverse impact of dumped and subsidized imports is not limited to America's small biodiesel producers.

“When we see biodiesel from Argentina selling at a discount to the market price of soyoil, the main input into biodiesel, we know we are facing dumped pricing,” said Paul Soanes, CEO and President of Renewable Biofuels (RBF). “The United States is a key market for these exporters, and without a remedy, these unfairly traded imports are likely to continue unabated. That is a further threat to our business.”

According to the Commerce Department's notice of initiation, there is evidence that dumping margins could be as high as 26.54 percent for Argentina and 28.11 percent for Indonesia. Commerce's notice of initiation also undertakes to investigate subsidies based on numerous government programs in those countries.

Today’s staff conference is an important step in the administrative process. The Commission is expected to make its preliminary decision and vote on May 5, 2017. Following that, the next key step will be when the U.S. Department of Commerce announces its preliminary determinations regarding the estimated rates of subsidization and dumping -- expected on or about August 22, 2017 and October 20, 2017, respectively.



Dairy, Ag Groups Urge President Trump to Act Immediately to Halt Canada’s Continued Disregard of Trade Obligations

The U.S. dairy sector and state agriculture officials today urged President Donald Trump to take immediate action against Canada’s repeated and escalating disregard for its trade obligations under the North American Free Trade Agreement (NAFTA). Most recently, Canada implemented a new national pricing policy that blatantly blocks American dairy exports and will enable significant dumping of Canadian dairy products onto the world market. As a result, dozens of dairy farmers in the Midwest recently learned they must find new customers for their milk by May 1, which will cause considerable economic hardship and possibly force them to go out of business.

In a joint letter sent today to President Trump, the International Dairy Foods Association (IDFA), the National Milk Producers Federation (NMPF), the U.S. Dairy Export Council (USDEC) and the National Association of State Departments of Agriculture (NASDA) urged the administration to tell Canadian Prime Minister Justin Trudeau to halt the new pricing policy and restore imports of the blocked U.S. products, specifically ultra-filtered milk. They also asked President Trump to direct U.S. agencies to “examine a full range of tools that could be used immediately to impress upon Canada in a concrete way the importance of dependable two-way trade.”

“U.S. dairy exports support approximately 110,000 jobs across America, many of which are in farming and food manufacturing, as well as in supporting rural manufacturing and skilled farm service workers,” the organizations said in the letter. “However, for trade to yield its full potential and provide the maximum impact possible in supporting American jobs, our trading partners must hold up their end of the bargain as well.”

In the letter, the dairy and ag groups noted that this issue highlights the importance of gaining prompt approval of President Trump’s nominees for Secretary of Agriculture and U.S. Trade Representative.

“We appreciate your administration’s work to date on this issue and ask you to send a very clear message that Canada should be one of America’s most reliable trading partners, but in the case of dairy it has consistently chosen to pursue a disturbing and harmful path,” they said. “We stand ready to support your efforts to address this urgent dairy issue.”

Holding Canada to its dairy trade agreements has remained a strong focus for NMPF, USDEC, NASDA and IDFA over the last year. Earlier this year, a group of 17 dairy companies representing dairy farmers and processors from all over the United States asked governors in 25 states to urge Canadian policymakers to halt the national implementation of the milk pricing system. NMPF, USDEC, IDFA and NASDA also raised the matter with Trump in January before he assumed office.



DFA AND VANGUARD RENEWABLES ANNOUNCE STRATEGIC ALLIANCE

Dairy Farmers of America (DFA), a national farmer-owned dairy cooperative, and Vanguard Renewables, a Massachusetts-based renewable energy developer, announce a strategic partnership to help bring anaerobic digestion technology to more farms across the country.

While waste management and environmental sustainability are top priorities for dairy farmers today, renewable energy methods, like anaerobic digesters that convert manure to energy, are not broadly used on American dairy farms. These systems often require major capital expense to implement as well as significant expertise and time commitment to manage. For these reasons, among others, farmers have been reluctant to invest in the technology, despite the benefits.

“Dairy farmers have always been great stewards of the land. But, like any business, farmers must continue to innovate and evolve,” said David Darr, president of farm services at DFA. “With this partnership, we hope to make anaerobic digestion more available to more farmers, which is not only good for the environment, but will also help our farmer families run their businesses more efficiently, and that’s a win-win.”

With the alliance, DFA and Vanguard Renewables will collaborate to develop resilient business models using anaerobic digestion systems. Working with farmers, government agencies, dairy processors and retailer customers, the partners will build business cases for innovative systems. For those business models that meet financial thresholds, Vanguard Renewables will provide capital investment for anaerobic digestion systems on DFA member farms. Vanguard also will help oversee and monitor the on-site operation of the digester on DFA member farms. This extremely valuable expertise will allow farmers to remain focused on the core operational aspects of running their farms and not get distracted by the digester, while gaining added income from dairy operations.

“Truth is, anaerobic digesters are extremely complex systems and could easily become a full-time job for a farmer to manage,” said John Hanselman, Executive Chairman at Vanguard Renewables. “We want to help farms by streamlining the development process and by providing professional operation. DFA is the perfect partner to make anaerobic digestion accessible as a mainstream technology on dairy farms across the country, addressing DFA member needs in a sustainable economy.”

Vanguard Farm Powered anaerobic digestion systems are currently operating on two DFA member farms, with the goal of adding more soon with this new DFA/Vanguard alliance.

Since 2011, brothers and DFA members Randy and Brian Jordan from Jordan Dairy Farm have been operating an anaerobic digester that combines manure and organic food waste and then puts electricity back into the utility grid.

“We are absolutely seeing the benefit of having an anaerobic digester from Vanguard Renewables on our farm,” said Randy Jordan. “Before the partnership, our monthly electric costs were more than $2,400. Now, we’re receiving low-cost energy, hot water and heat, replacing oil and propane, and natural fertilizer, which increases our hay yields. This is absolutely a partnership that will help sustain our farm for future generations.”

For more information about the alliance, visit www.dfaenergy.com. 



Proactive Steps to Prevent Persistently Infected Animals

A herd infected with bovine viral diarrhea virus (BVDV) via the presence of persistently infected (PI) animals will never be as productive as it could be. BVDV exposure can drag down performance in cattle herds not only by reducing milk production and reproductive efficiency, but also by suppressing herd immunity and making animals more susceptible to other diseases. A three-part approach to controlling BVDV can help prevent and eliminate persistently infected (PI) animals in the herd.

There's a specific window of time when the dam can become infected with BVDV and can produce a persistently infected (PI) calf. If the unborn fetus is exposed to the BVDV during the first 120 days of gestation, a calf may be born persistently infected with BVDV.

"If the pregnant cow doesn't have adequate protection herself, the BVDV can reach the calf fetus," said Dr. Mark van der List, senior professional services veterinarian at Boehringer Ingelheim. "The immune system of the fetus is developing during this time frame and recognizes the virus as 'self' or part of its own body and so doesn't try to eliminate the virus. These PI animals therefore generate and shed enormous amounts of BVDV, which can infect unprotected herd mates."

Steps to Reduce PI Risk

Biosecurity
Biosecurity is a critical step in preventing PI calves. The goal is to minimize the possibility of pregnant cows encountering the virus. One of the main sources of virus exposure is from PI cattle that are shedding the virus through bodily secretions every day, all day. PI calves must be identified and removed from the herd. If new animals are being introduced into the herd, confirm they are not PI. Avoid mixing cows together from outside the herd for at least 30 days in case they have a transient infection of BVDV.

Removal of PI animals and continuous herd monitoring for new PI animals
Removing PI animals from the herd is key. There are different methods to identify PI animals including ear skin notches, blood samples and milk samples. Samples can often be pooled and then progressively broken down to find the individually infected animals. Once PI animals are removed, constant monitoring is recommended to detect any new PI animals. The presence of BVDV usually indicates the presence of PI animals. On dairy operations, bulk tank milk can be routinely checked for the presence of BVDV as a monitoring measure. In calves, ear notching at birth is also a good management practice. Your veterinarian can have tissue samples from dead calves and aborted fetuses checked for the presence of BVDV.

"The spread of BVDV ultimately depends on the underlying immunity of the herd," said Dr. van der List. "If the herd has zero protection, then it can spread very rapidly. However, if a good vaccine and biosecurity program are in place, PI animals have been removed and the herd is being monitored, there will be minimal risk of BVDV."

Vaccination
Producers should work with their veterinarian to develop a good vaccination program using products that are labeled correctly and backed by solid research. Effective immunization of the herd minimizes the chance of development of PI calves, thus protecting the herd.

Proper vaccine handling is critical to effectively immunize the herd. Make sure the vaccine doesn’t get overheated or exposed to sunlight, and be sure to properly store it in a refrigerator that maintains the desired temperature range.

Vaccines should also be administered at the appropriate time to ensure maximum protection during the critical first 120 days of pregnancy. Generally, vaccination right before breeding maximizes the protection against PI calf development.

Work with your veterinarians to develop a comprehensive BVDV control plan to that will protect your herd.



BASF and farmers partner to help the monarch butterfly

Farmers are poised to be heroes in the life of the monarch butterfly, which has begun its yearly migration in the face of a dwindling habitat. Tools from the BASF Living Acres Monarch Challenge will help farmers build the habitat monarchs need to make their way north with a vital sidekick: milkweed.

“Milkweed is critical to the monarch throughout its lifecycle, but can be difficult to grow,” said Laura Vance, Biology Project Leader, BASF. “The Living Acres Monarch Challenge is a program that helps farmers create more milkweed habitat alongside their production acres to increase the monarch population.”

The first 500 farmers to join the Monarch Challenge at www.MonarchChallenge.com will receive 18 butterfly milkweed (Asclepias tuberosa) seedlings, a hose, gloves and a guide book to help them create this important habitat.* Planting milkweed seedlings is one of the easiest ways to start a habitat that will sustain itself for years to come.

As Vance explained, milkweed is critical for monarchs. “The leaves are the only food source for monarch caterpillars. It is where the adults lay their eggs and the blossoms provide food for migrating adults.”

Monarch Challenge participants are encouraged to share their milkweed planting success throughout the year by posting pictures to Facebook, Instagram and Twitter using #MonarchChallenge.

BASF developed its biodiversity program, Living Acres, in 2015 with the initial goal of helping to restore the monarch population. Through Living Acres, BASF researches the most efficient way to grow milkweed alongside high production agriculture. The Monarch Challenge represents the next step in sharing best practices on milkweed development with farmers to help support the monarch butterfly.

Farmers can use their growing skills to become monarch butterfly heroes by joining the Monarch Challenge on the BASF Living Acres Facebook page or by visiting www.monarchchallenge.com.