Friday December 15 Ag News

Nebraska’s Pork Producers Donate Hams for the Holiday

The holidays aren’t always a time of abundance for everyone.  So in the spirit of giving, Nebraska’s pork producers have donated approximately 1400 pounds of boneless hams to 11 different organizations in Lincoln and Omaha that serve those in need.

The effort is part of the National Pork Board’s annual #Hams Across America campaign that encourages farmers and those involved in the pork industry to show appreciation for friends, family, neighbors and community through the gift of ham and other pork products.  Nearly 30,000 hams and other pork products were distributed coast to coast in 2016.

The hams were distributed at the L Street Sam’s Club in Omaha on Friday, December 15 from 1 p.m. – 3 p.m. About 160 hams were distributed to 11 organizations.  Omaha organizations receiving the donations included: Siena Francis House, Holy Family, Mount Sinai Outreach, MCC Outreach, Freeway Ministries, Open Door Mission, Salvation Army North Kare Kitchen, Cross Roads Connection and Salvation Army Men’s Center. Lincoln locations included the People’s City Mission and Matt Talbot Kitchen & Outreach.

The National Pork Board’s marketing trailer was on hand, as well as members and staff of the Nebraska Pork Producers Association including President Russ Vering of Howells and NePPA Domestic Marketing Director Jane Stone.



2018 NEBRASKA FARM CUSTOM RATE SURVEY

Nebraska custom operators are invited to take part in the 2018 Nebraska Farm Custom Rate Survey.

Every other year, the University of Nebraska-Lincoln Department of Agricultural Economics surveys farmers and ranchers regarding rates they charge for custom operations.

The Nebraska Farm Custom Rate Survey report is one of Nebraska Extension’s most-requested publications. Many Nebraska farmers and ranchers inquire about prevailing rates paid for certain kinds of custom farm machine operations. The 2016 report is available online at http://farm.unl.edu/customrates.

Part one of the survey asks about spring and summer operations such as tillage, planting and haying. The second part surveys operators providing machine hire services typically done in the fall, including grain harvest, hauling, cutting ensilage, hauling livestock and other miscellaneous operations. Results for the 2018 survey will be published mid-2018.

Custom operators who would like be a part of the survey can visit http://farm.unl.edu/customrates or send their contact information to Glennis McClure at gmcclure3@unl.edu or via mail to the Department of Agricultural Economics, P.O. Box 830922, Lincoln, NE 68583-0922

For more information, contact Glennis McClure, farm and ranch management analyst in the Department of Agricultural Economics at 402-472-0661 or gmcclure3@unl.edu.



HIGH QUALITY HAY STILL BRINGS TOP DOLLAR
Bruce Anderson, NE Extension Forage Specialist

               Market gurus say to make profits you must buy low and sell high.  What market gives you that opportunity today?  The stock market?  No, it's the hay market!

               High rainfall in many areas produced high yields of both grass and alfalfa hay this year.  Add to that the high carryover from last year plus lots of crop residues available and you get an abundance of forage for this winter. And when winter forage is abundant, hay prices go down.

               All this rain also led to some poor hay making weather which has resulted in a shortage of really high quality alfalfa.  As a result, some alfalfa growers in Nebraska are receiving well over 150 dollars per ton for superior quality dairy hay.

               But why should you care?  You don't have any extra alfalfa.  You plan to use all your hay for your own cattle.

               Well, just think about this.  Suppose someone offered you over 100 dollars per ton for your better alfalfa, like that last cutting this fall.  Could you find other hay nearby that you could make work for your animals that would only cost you 60 or 70 dollars?  If you can, maybe you can sell high, buy low, and pocket the profits.

               So, how do you find these buyers?  You could post notices at truck stops, place ads in newspapers and magazines, or set up a sign by your driveway.  But, there are more effective ways to contact buyers.  One is to place your hay on a computer listing in the dairy states.  Maybe an even better way is to work with hay dealers or become a member of a marketing group, like the Nebraska Alfalfa Marketing Association, to take advantage of all their market connections.

               You may need some luck and do some work to be able to buy low and sell high.  Smart operators look for these opportunities.



FORECAST: SLOW GROWTH IN FARM INCOME WON'T STALL NEBRASKA ECONOMY

While weak farm income continues to be a soft spot for the state economy, Nebraska can expect growth through 2020 in several key sectors, according to the latest long-term economic forecast produced by the Nebraska Business Forecast Council and the University of Nebraska-Lincoln's Bureau of Business Research.

Growing numbers of jobs in construction, agricultural processing and health care should offset weak growth in farm income, said Eric Thompson, an economist and director of the Bureau of Business Research.

Although annual farm income will remain significantly below the peaks seen in the early years of the decade, it is expected to rise slightly through 2020.

"Consequently, farm income should not detract from Nebraska economic growth, which should mirror stronger U.S. economic growth," he said. "Nebraska should match U.S. job growth and see particularly strong growth in services, construction, retail trade and agricultural processing."

The report is a first look at the prognosis for Nebraska's economic growth into 2020.

Thompson and his fellow economists anticipate that Nebraska will add about 35,000 non-farm jobs from 2017 to 2020, the majority in the services sector. At an average annual increase of a little over 1 percent, Nebraska's total employment would reach 1.06 million in 2020. Non-farm personal income should grow at a rate of about 4 percent a year, exceeding projected inflation rates ranging from 1.6 percent in 2020 to 1.8 percent in 2018.

The services sector represents 39 percent of Nebraska jobs as of 2017. It includes Nebraska's largest employer, health care. Thompson said a combination of population growth, income growth and Nebraska's aging demographics should contribute to health care growing by about 1.5 percent per year through 2020, although restructuring of hospital systems will limit how much the sector will grow.

The forecast also predicts more jobs in other parts of the services sector. Professional and business services, as well as entertainment and hospitality jobs, should increase, fueled by more commercial activity and expansion of technology companies. Higher incomes and lower fuel prices should encourage people to spend more money on leisure activities, spurring growth in hospitality-related industries. Overall, Thompson predicted that Nebraska would add about 20,000 services jobs by 2020.

Construction, agricultural processing and retail trade also will be areas of job growth.

In fact, one factor hampering Nebraska economic growth continues to be a shortage of workers, more than a shortage of jobs. Manufacturers and the trucking industry face a shortage of workers with the skills needed for their jobs. Despite worker shortages, hourly wage growth will remain modest because of a highly competitive business environment, Thompson reported.

Construction continues to benefit from the State Legislature's decisions several years ago to dedicate more state tax revenue to road-building. In addition, more home construction is anticipated for Omaha, Lincoln and some smaller cities that have promoted housing development. The construction sector is expected to add 4,000 jobs over the next three years, with annual increases ranging from 2.5 percent to 3 percent.

Agricultural processing, such as a chicken processing plant planned for the Fremont area, is expected to add jobs in non-durable goods manufacturing. However, weak demand for farm machinery and equipment will hamper growth in durable goods manufacturing.

Retail sales are expected to grow, but probably won't produce an equivalent number of jobs because of the surge in online sales and labor-saving strategies such as self checkouts and supply chain management efficiencies.

Little growth is expected in the transportation industry. The rail sector remains under pressure because the electric utility industry's shift away from coal-fired plants has reduced demand for coal hauling, while the trucking industry faces a shortage of long-haul drivers.

The information industry has seen substantial increases in labor productivity – which is good for the economy, but bad for job growth. The expansion of technology companies and increasing access to high-speed internet will support about 100 new jobs per year.

State and local government, another major employer in Nebraska, will see little growth through 2020. That's partly because the workers who were hired during significant government expansions in the 1960s and 1970s are now reaching retirement age and improved productivity means some retirees will not need to be replaced.

Farm income, which dropped 49 percent from 2013 to 2016, began to stabilize and recover in 2017. It is predicted to exceed $4.2 billion in 2018, a nearly 6 percent increase from 2017, but is expected to grow little more in 2019 and 2020.

Along with Thompson, other members of the Nebraska Business Forecast Council are John Austin, retired from the Bureau of Business Research; David Dearmont, Nebraska Department of Economic Development; Phil Baker, Nebraska Department of Labor; Ken Lemke and Scott Loseke, Nebraska Public Power District; Brad Lubben, University of Nebraska-Lincoln Department of Agricultural Economics; and David Rosenbaum, University of Nebraska-Lincoln Department of Economics and Bureau of Business Research. 

To read the full Business in Nebraska December 2017 long-term economic forecast, visit http://www.bbr.unl.edu.



 A Time of Gratitude
Joan Ruskamp, Cattlemen's Beef Board Vice-Chair

On the heels of Thanksgiving and with Christmas just on the horizon, many of us are thinking about lists and what we are grateful for. Family, friends and good health are at the top of my gratitude list. And beef producers like my husband Steve and I would also include the Beef Checkoff Program to that list.  Why? Let’s look at just one of the many ways the $1-per-head checkoff makes a difference in our lives.

Reaching Beyond Our Shores
We are truly grateful the checkoff has a focus on developing a global marketplace for U.S. beef. Checkoff dollars invested in international markets have increased from 10.7 percent of the budget in 2008 to nearly 18 percent of the budget in 2017. That growth has happened because exports represent the largest opportunity for us to build beef demand; 95 percent of the global populations lives outside U.S. borders.

I am also grateful for the added value that selling underutilized cuts to foreign markets brings to the beef carcass. We export cuts like liver, tongue and tripe – items we don’t often eat here in the U.S. but are very popular overseas. Because of that, beef producers are receiving more than $250-per-head in value due to increased global exports of U.S. beef in key markets like Japan, Mexico, Canada and South Korea.

One thing we do here on our own farm to promote beef is host tours of our feedlot. This past summer we hosted a group of young men from Israel. The Israelis were very interested in how cattle were finished here as the market had just reopened to U.S. beef in Israel.

While we toured the feedlot, an order buyer for the packing plant that sends beef to Israel came to look at cattle we had on the show list. The Israelis were able to ask questions about how the plant handled the cattle to meet their specifications. This tour gave us a unique opportunity to open up our farm to international guests who could then relay the accurate beef story back to their own country. And it was all made possible by the relationships the checkoff has forged between producers and consumers. 

Impacting My Farm and Yours
Beef producers are used to facing challenges like weather and markets, but additional burdens have been placed on us as beef has become a target for negative messages around issues such as heart disease and cancer. How were farmers and ranchers going to join the conversation unless they had the research to promote the safety of beef and educate consumers about its nutritional value?

The Beef Checkoff Program has been the answer to the beef community’s need for scientific, unbiased information to defend our industry against these attacks.

Right now, beef is showing up in health magazines as a good choice for those seeking to live healthy lifestyles. The positive story of the beef lifecycle is circulating through more and more discussions about sustainability. The ability to tell the great story of beef and the amazing people who produce it is possible because of the framework put in place by our checkoff program.

The checkoff offers something we all value – relationships. It truly is a family of producers focused on building beef demand so more people can live healthier lives. And, by working together across our beef community, the checkoff has been able to show our sustainability efforts.

I am grateful for the hundreds of producers, staff and contractors who work very hard to increase the demand for beef at home and around the world. Our relationships with each other can be our strength, and as we celebrate this time of year, I will add that to my gratitude list. I wish you all a blessed holiday season!



Large Scale Trials Reveal Secrets About Adaptation of Modern Corn Hybrids

Tis’ the season many corn farmers finalize their seed decisions for the coming season. Armed with past year’s weather and field conditions data and information from seed companies, university extension, and others, they weigh their options in making their seed selections. One consideration often outweighs all others in this decision-making process: yield.

Thanks to selective corn breeding techniques and modern production practices, we have achieved remarkable productivity in last 100 years. But, has the last century of hybridization to increase yields changed the corn plant’s ability to adjust to new or stressful situations? This is the question that University of Wisconsin Professor of Agronomy Natalia de Leon along with her student Joe Gage, and colleagues at several institutions hoped to answer. In a recently published paper in Nature Communications, they detail study results which suggests that by intensively breeding for yield, corn breeders have limited the pool of possibilities for future North American corn hybrids, thus creating a smaller universe of available hybrids adaptable in responding to stresses like drought or pests.

To study this, they turned to the Genomes to Fields (G2F) initiative, which houses the largest dataset of corn genotype, environment and phenotype data that has ever been made publicly available to researchers at universities and agencies such as the U.S. Department of Agriculture (USDA). This program, funded in part by the Iowa Corn Promotion Board and the National Corn Growers Association, leverages the mapping of the corn genome to identify key corn genetic traits that impact yield and the plant’s ability to respond to environmental conditions.

“This represents the first published paper using the Genomes to Field dataset,” said Pete Brecht, a farmer from Central City who chairs Iowa Corn’s Research and Business Development Committee. “If scientists can predict how corn traits perform under certain environmental stresses, this will enable them to better design hybrids in the future. We know this is just the beginning for the applications of this phenotype database.”

Dr. de Leon and her colleagues collected data from a massive G2F field trial including more than 850 unique corn hybrids at 21 locations across North America. This included more than 12,000 field plots where researchers measured traits like yield and plant height while recording weather conditions. They found that the regions of the corn genome that have undergone a high degree of selection -- for example, gene regions that contribute to high yield -- were associated with a reduced capacity of corn to respond to variable environments than genomic regions that weren't directly acted on by breeders.

This indicates that corn breeders must develop new hybrids that acclimate to new locations or changing conditions in the same area. Both types of variation rely on a pool of possibilities, the combination from which breeders can choose. For the individual plant, those possibilities depend on its genome. Yet the loss of adaptability seems to be the inherent tradeoff for highly productive corn in the universe of possible traits within the corn genome.

“This leads us to believe that when creating new hybrids in the long-term, we must strike the right balance between the two,” said Iowa Corn Technology Commercialization Manager David Ertl, who contributed to the study. “We hope this knowledge will assist seed companies in commercializing improved corn hybrids that consider both resiliency and yield.”



NMPF Statement on Tax Reform Legislation
Jim Mulhern, President and CEO, National Milk Producers Federation

“National Milk has worked closely with House and Senate members on the tax reform conference package to achieve a positive outcome for dairy farmers and their cooperatives, and we’re pleased that conferees have completed work on a package that should provide important relief. The final compromise to address the loss of the Section 199 deduction will help protect farmer-owned businesses from a major tax increase at a time when America’s farm sector is struggling with low commodity prices and reduced incomes.

“America’s dairy farmers, who overwhelmingly rely on cooperatives to market their milk, appreciate the determined efforts by Sens. John Hoeven (R-ND) and John Thune (R-SD), as well as multiple House members, including Agriculture Committee Chairman Mike Conaway (R-TX), to seek a fair and reasonable solution to this challenge. Their efforts will help prevent a higher tax bill for cooperatives and avert the loss of economic activity in rural communities that these businesses help generate. We’re also grateful for the numerous senators on both sides of the aisle who elevated this issue during the debate.

“At issue is the loss of the benefit that both farmers and cooperative businesses enjoy from the Section 199 deduction, also known as the Domestic Production Activities Deduction (DPAD). This important provision of the tax code applies to proceeds from agricultural products marketed through cooperatives, making the Section 199 an important means of reducing taxation for farmers and cooperatives alike. Cooperatives pass the vast majority of the benefit – nearly $2 billion nationwide – directly to their farmer owners, then reinvest the remainder in infrastructure improvements for the marketing and processing of food products.

“The final tax package released on Friday repeals the DPAD, but the legislation allows cooperative members to claim a new 20-percent deduction on payments from a farmer cooperative. Cooperatives would also be able to claim the 20-percent deduction on gross income less payments to patrons, limited to the greater of 50 percent of wages or 25 percent of wages plus 2.5 percent of the cooperative’s investment in property. This favorable treatment for gross income will help minimize any potential increase in the tax burden on farmer-owned cooperatives.

“NMPF believes that this provision, plus components of the bill that increase exemption levels from the federal estate tax, enhance depreciation and expensing opportunities for producers, and preserve farmers’ ability to deduct interest expenses, should help farmers and cooperatives alike. The fix offered by Sens. Hoeven and Thune recognizes that farmer cooperatives play an indispensable role in our nation’s economy and need to be treated fairly in the final tax legislation.”



NPPC Applauds Withdraw Of Organic Rule

Listening to the farmers it would have affected, Agriculture Sec. Sonny Perdue today announced that his agency will withdraw a proposed organic rule for livestock and poultry, a move hailed by the National Pork Producers Council.

The Obama-era regulation - the Organic Livestock and Poultry Practices rule - would have incorporated into the National Organic Program welfare standards that were not based on science and that were outside the scope of the Organic Food Production Act of 1990. The act limited consideration of livestock as organic to feeding and medication practices.

"We'd like to thank Sec. Perdue and the Trump administration for listening to our concerns with the rule and recognizing the serious challenges it would have presented our producers," said NPPC President Ken Maschhoff, a pork producer from Carlyle, Ill.

NPPC raised a number of problems with the regulation, including animal and public health concerns and the fact that animal production practices have nothing to do with the basic concept of “organic." NPPC also cited the complexity the standards would have added to the organic certification process, creating significant barriers to existing and new organic producers.

In withdrawing the rule, the U.S. Department of Agriculture determined the regulation exceeded the agency's authority - something NPPC pointed out in comments on the rule - and that it would have had a greater economic impact on farmers than originally estimated.

The withdraw notice, which will be published in the Federal Register next week, is subject to a public comment period.



USDA to Rescind Organic Livestock and Poultry Rules to Detriment of Family Organic Producers and Consumers, NFU Says

The U.S. Department of Agriculture (USDA) announced today its intent to withdraw the Organic Livestock and Poultry Practices (OLPP) final rule. The rule was finalized in January 2017, but placed on hold when the new administration took office.

National Farmers Union (NFU) supports the OLPP rule’s intent, as it would improve the consistency and integrity of organic livestock practices and labeling. NFU Senior Vice President of Public Policy and Communications Rob Larew issued the following statement in response to the announcement:

“This is a very disappointing decision by USDA, both for American family farmers and for consumers. Currently, we have too much inconsistency in how organic certifiers apply animal welfare standards to farming and ranching operations. This, in turn, endangers the organic label’s integrity and leads to consumer confusion. The OLPP rule would have helped mitigate these concerns by standardizing organic livestock and poultry practices for the voluntary National Organic Program.

“We urge USDA to find a solution that provides certainty to family organic producers and integrity to the organic label. Family farmers, ranchers, and consumers all benefit from thorough, accurate and consistent food labeling.”



DEFENSE FUNDING LAW INCLUDES FMD PROVISION

President Trump this week signed the fiscal 2018 National Defense Authorization Act (NDAA), the military spending bill, which includes a provision strongly supported by the National Pork Producers Council. Introduced by U.S. Senator Joni Ernst, R-Iowa, chairwoman of the Senate Armed Services Subcommittee on Emerging Threats and Capabilities, the provision recognizes the risk of Foot-and-Mouth Disease (FMD) to our food security and our national security. NPPC has asked Congress for language in the next Farm Bill establishing and funding an FMD vaccine bank to address an FMD outbreak, which would have a devastating impact on U.S. agriculture and the U.S. economy.



STATES SUE MASSACHUSETTS OVER BAN ON OUT-OF-STATE MEAT, EGGS

Led by the state of Indiana, the attorneys general for 13 states this week filed a lawsuit against Massachusetts over its ban on the sale of out-of-state meat and eggs from animals raised in certain housing. Massachusetts voters in November 2016 approved a ballot initiative that banned certain housing for pigs, egg-laying hens and veal calves. The AGs are asking the U.S. Supreme Court to rule that the ban on the sale of meat and eggs from animals raised in housing systems prohibited by the state, which is set to take effect in 2022, violates the U.S. Constitution and the Commerce Clause’s original goal of preventing states from enacting barriers to interstate commerce and regulating commercial activities that take place beyond their borders.

The lawsuit, filed directly with the high court based on its original jurisdiction over disputes between states, follows a similar suit recently filed by 13 states - led by the attorney general of Missouri - challenging a similar law restricting access to retail markets in California. NPPC fought both the Massachusetts and California initiatives and now is supporting the “No Regulation Without Representation Act of 2017” (H.R. 2887), legislation introduced by Rep. Jim Sensenbrenner, R-Wis., that would prohibit states from imposing regulatory burdens on businesses, including pork operations, not physically present in the state. Earlier this year, NPPC CEO Neil Dierks testified on the bill before a House Judiciary subcommittee, saying: “Several states – most with little pork production – have banned gestation stalls, either through ballot initiatives or legislation. That was their prerogative, however ill-advised or uninformed their motives were. What NPPC and pork producers object to is one state adopting a law or regulation that dictates the practices of the other 49 states.”



ACE CEO releases statement on RFS meetings at the White House

The American Coalition for Ethanol (ACE) CEO Brian Jennings released the following statement in response to meetings at the White House over the Renewable Fuel Standard (RFS).

Background: Senator Ted Cruz (R-Texas) has placed a “hold” on the nomination of Iowa Agriculture Secretary Bill Northey to be USDA Undersecretary of Farm Production and Conservation as leverage to demand that President Trump and “corn state” Senators agree to negotiate a so-called “win-win” solution to reforming the RFS.  Senator Cruz allegedly is concerned about the prices that certain refiners are paying for Renewable Identification Number (RIN) credits under the RFS.  During a meeting with Senator Cruz and others last week, President Trump reiterated his commitment to upholding the RFS.  Another White House meeting took place Wednesday among staff for Republican Senators, EPA, and others.

“ACE members are grateful President Trump has reiterated his support for upholding the RFS as the law of the land, and we’re especially grateful key U.S. Senators have reaffirmed that Senator Cruz does not seem to have a genuine ‘win-win’ solution to put on the table.  Let’s cut to the chase.  These antics from Senator Cruz aren’t about RIN prices or Bill Northey’s nomination to USDA, Cruz is trying to limit ethanol’s market share on behalf of Big Oil.

“If Senator Cruz or refiners truly want to take pressure off RIN prices, there is a viable ‘win-win’ solution on the table that doesn’t involve dismantling the RFS. The solution is to update the antiquated Reid vapor pressure (RVP) limit which restricts the availability of E15.  The quickest way to reduce RIN prices is to increase the supply of RINs.  The quickest way to increase the supply of RINs is to blend more ethanol.  The quickest way to blend more ethanol is to provide RVP relief for E15.  Senator Cruz should cosponsor S. 517 (the Consumer and Fuel Retailer Choice Act) or join us in calling on EPA to address this matter.

“It should be noted that EPA Administrator Scott Pruitt has said that refiners are not significantly harmed by RIN prices because they are able to recover RIN costs through the prices they receive for refined products. The RFS is the law of the land and refiners are bound to comply with it.  Refiners and Senators who represent oil states have mischaracterized recent actions by EPA as “wins” for ethanol when in reality the administration has simply upheld and defended the law of the land.”



Cage-Free Egg Pledges Yielding to Market Reality

Food company commitments recently pushed cage-free egg production to new heights, but U.S. egg markets are returning to more normal production growth, producer profitability and specialty egg premiums, according to a new report from CoBank’s Knowledge Exchange Division.

“The avian flu outbreak in 2015 caused egg prices to climb and incentivized egg producers to boost output. Coincidentally, 229 major food companies pledged to use cage-free eggs by 2025 just as egg prices went into freefall,” said Trevor Amen, CoBank animal protein economist. “Since then, cage-free production has surged amidst a surplus of inexpensive, conventionally produced eggs.”

This oversupply has depressed demand for higher priced cage-free eggs, a condition that’s expected to last for the next several months as the conventional supply draws down.

Meanwhile, total table egg production is expected to return to historical growth patterns as low egg prices encourage producers to pare back production and profitability returns to normal levels.

“This will allow the price premium for cage-free eggs to recover to historical averages and help facilitate the transition in the coming years as a reduction in cage-free egg production brings supply into alignment with true demand,” said Amen.
 
Cautious Conversion
To fully meet food company pledges to market all or a significant portion of their eggs as cage-free, about 223 million layers, or nearly three quarters of the entire layer flock, would need to meet the criteria.

It will cost the industry about $10 billion to fully make the transition to meet the cage-free pledges, with most of that expense coming in the form of remodeling existing layer houses or the construction of new facilities. The current overabundance of conventional eggs makes this investment difficult in the near term, the report points out.

However, the egg market is expected to strengthen, providing an economic incentive to respond to market forces. Robust egg exports are helping to reduce domestic egg supplies and are anticipated to support wholesale values in 2018.

The rebalancing of the market will allow the cage-free transition to be driven by fundamental consumer demand rather than pledges made by retailers and food manufacturers, Amen said.

“As a result, large egg producers are taking a more cautious approach to cage-free expansion by focusing on long-term growth potential and market premium expectations,” Amen said.



ACE sends letter urging extension of cellulosic biofuel, biodiesel tax credits

The American Coalition for Ethanol (ACE) CEO Brian Jennings sent a letter today to Chairman of the Committee on Ways and Means Kevin Brady and Chairman of the Committee on Finance Orrin Hatch urging the Conference Committee to extend the Cellulosic Biofuel Tax Credit and Biodiesel Tax Credit as part of the Tax Cuts and Jobs Act. Excerpts from the letter are below.

“Extension of these provisions is critically important and consistent with the stated purposes of the tax bill of ‘growing our economy, bringing jobs back to our local communities, increasing paychecks for our workers, and making sure Americans are able to keep more of the money they earn.’”

“The nation’s biofuel sector generates $184.5 billion in annual output, supports 852,000 jobs, pays $46 billion in wages, remits $14.5 billion in taxes, and saves taxpayers about $10 billion per year by reducing the need for farm program payments.” 

“One of the most important things the Conference Committee could do to support the existing biofuel sector and help spur its continued growth would be to extend the Cellulosic Biofuel Tax Credit and Biodiesel Tax Credit in the final bill.”