Wednesday September 1 Ag News

 Extension record-keeping course for farmers and ranchers set for October

The next session of “Know Your Numbers, Know Your Options,” Nebraska Extension’s four-part financial record-keeping course, will be held virtually from 6 to 8 p.m. Central time, on Oct. 6, 13, 20 and 27.

Participants are required to have an internet connection and attend each of the four workshop dates.

This course is designed to help farmers and ranchers understand their current financial position and how big decisions like large purchases, new leases or changes in production will affect their bottom line.

Participants will work through the financial statements of a case study farm, watch prerecorded videos, complete assignments and participate in video chats. Upon completion of this program, participants will have a better understanding of how financial records can be used to make decisions and be able to confidently discuss their financial position with their family, business partners, and lenders.

The course fee is $20 per person and class size is limited to 20 people. Register by Sept. 27 on the Women in Agriculture website, https://wia.unl.edu/know.

This material is based upon work supported by USDA/NIFA under Award Number 2020-70028-32728.



Cattle Compaction in Cropland: Fact or Fiction?
Daren Redfearn - NE Extension Forage Crop Residue Specialist
Mary Drewnoski - NE Beef Systems Specialist
Jay Parsons - NE Farm and Ranch Management Specialist

Many crop producers are concerned that trampling from cattle grazing corn residue negatively affects crop yields. But when grazed at proper stocking rates, small, but positive effects on crop production after grazing have been observed. Research conducted at the University of Nebraska has shown that grazing corn residue at the recommended stocking rate does not reduce corn or soybean yields in irrigated fields the following growing season.

In fact, a long-term study in eastern Nebraska at the Eastern Research and Extension Center showed two to three bushel per acre improvements for soybean production following grazed corn residue in a corn-soybean rotation. This result was the same whether cattle grazed in the fall from November through January or spring from February through April. A five-year study in western Nebraska measured corn yields from continuous corn after cattle grazing in the fall and found no negative effects on corn yields the following year.

It must be noted that minor surface compaction can result from grazing during wet weather. However, this compaction often disappears through the natural wetting and drying and freezing and thawing processes. The compaction level for restricting root growth does not carry over into the following growing season.

Grazing corn residue benefits both cattle and crop producers. Corn residue should be viewed as an economical source of winter roughage for cattle that can provide an extra source of income from corn production that does not affect next year's crop production. If you are interested in listing crop residue fields available for winter grazing and connecting with livestock producers, sign up on the Crop Residue Exchange.

The Crop Residue Exchange is made possible with funding support from Nebraska Extension, the Northern Plains Climate Hub and the University of Nebraska Institute of Agriculture and Natural Resources Beef Systems Initiative.



THE LAST CUTTING
– Brad Schick, NE Extension Educator

Has the decision been made for when the last cutting of alfalfa will happen?

September is here and so are the dry conditions in much of Nebraska. When alfalfa is cut for the last time in the fall, it affects winter survival as well as the spring regrowth. As long as it is cut at the right time, the effects won’t be bad. Alfalfa needs 500 growing degree days or approximately six weeks of uninterrupted growth in the fall to fully prepare for winter by building up nutrients in the roots. This typically means that the beginning of the six weeks of growth will be about 3 weeks before the first frost.

The last cutting can either be before the winterization process or after. If cut during, it adds more stress to the alfalfa. During stressful years for alfalfa such as drought, insect and disease pressure, or more than 4 cuttings, the risk of poorer spring regrowth increases. Newer stands, winterhardy varieties, and more disease resistant varieties can typically handle more plant stress.

Another factor to consider is how badly alfalfa hay is needed. If drought has forced the hand to cut alfalfa in less-than-ideal times, the risk of cutting during the winterization process may outweigh the cost of buying expensive hay. Weather can always throw a wrench in our plans so waiting until after the winterization process to cut again would be less risky.

Any cutting of alfalfa is a stress event for the plant. Minimizing additional stress by avoiding the winterization window will help with winter survival and vigorous spring growth.



NDA RECEIVES $500,000 GRANT FOR BEHAVIORAL HEALTH ASSISTANCE

The Nebraska Department of Agriculture (NDA) has received a one-year, $500,000 grant from USDA’s National Institute of Food and Agriculture for behavioral health assistance for people involved in the agriculture industry.

“The amount of stress experienced by many Nebraska farmers, ranchers and others involved in agriculture has increased significantly in recent years,” said NDA Director Steve Wellman. “When you factor in the flooding of 2019, followed by the pandemic, along with other financial challenges, this grant will help provide much needed support for those seeking professional counseling.”

NDA will work in partnership with Legal Aid of Nebraska to administer a behavioral assistance voucher program through the Nebraska Rural Response Hotline.

“The Rural Response Hotline has been in existence for more than 35 years and has the infrastructure in place to efficiently implement this program,” said NDA Program Administrator Karla Bahm. “In recent years, there has been a steady increase in requests from producers and others in the ag industry dealing with stressful issues.”

Funds from the grant will be expended beginning Sept. 1, 2021, through Aug. 31, 2022. Anyone wanting to make a request for a behavioral assistance voucher through this program can contact the Nebraska Rural Response Hotline at 800-464-0258.



USDA Settles a Packers and Stockyards Case against North Platte Stockyards Inc. and Kyle Layman

The U.S. Department of Agriculture (USDA) entered into a stipulation agreement with North Platte Stockyards Inc. and Kyle Layman (North Platte) of North Platte, Neb., on July 6, 2021, for violations of the Packers and Stockyards (P&S) Act. Under the terms of the stipulation agreement, North Platte waived its rights to a hearing and paid a $1,500 civil penalty.

An investigation by USDA’s Agricultural Marketing Service (AMS) revealed that between July 2020 through February 2020, North Platte had Custodial Account shortages on July 7, 2020 and Aug. 31, 2020, which were $300,172.77 and $187,145.71, respectively. North Platte failed to reimburse the Custodial Account timely for uncollected receivables which is a violation of section 312 of the Packers & Stockyards Act and section 201.42(c) of the Regulations.

A custodial account is a trust account designated for shippers’ proceeds from the sale of livestock in trust for sellers. Operating with custodial account shortages is a violation of the P&S Act and places livestock sellers at risk of not being paid timely or at all.

The P&S Act authorizes the Secretary of Agriculture to assess civil penalties up to $29,270 per violation against any person after notice and opportunity for hearing on the record. USDA may offer alleged violators the option of waiving their right to a hearing and enter into a stipulation agreement to quickly resolve alleged violations.

The P&S Act is a fair-trade practice and payment protection law that promotes fair and competitive marketing environments for the livestock, meat and poultry industries.



USDA Designates 25 Iowa Counties as Primary Natural Disaster Areas

This Secretarial natural disaster designation allows the United States Department of Agriculture (USDA) Farm Service Agency (FSA) to extend much-needed emergency credit to producers recovering from natural disasters through emergency loans. Emergency loans can be used to meet various recovery needs including the replacement of essential items such as equipment or livestock, reorganization of a farming operation or the refinance of certain debts. FSA will review the loans based on the extent of losses, security available and repayment ability.

According to the U.S. Drought Monitor, these counties suffered from a drought intensity value during the growing season of 1) D2 Drought-Severe for 8 or more consecutive weeks or 2) D3 Drought-Extreme or D4 Drought-Exceptional.

Impacted Area: Iowa
Triggering Disaster: Drought
Application Deadline: April 11, 2022

Primary Counties Eligible:
Black Hawk    Cerro Gordo    Greene    Humboldt    Tama
Boone    Chickasaw    Grundy    Marshall    Webster
Bremer    Fayette    Hamilton    Mitchell    Winneshiek
Butler    Floyd    Hancock    Sac    Worth
Calhoun    Franklin    Hardin    Story    Wright

Contiguous Counties Also Eligible:
Iowa:
Allamakee    Crawford    Jasper
Benton    Dallas    Kossuth
Buchanan    Delaware    Palo Alto
Buena Vista     Guthrie    Pocahontas
Carroll    Howard    Polk
Cherokee    Ida    Poweshiek
Clayton    Iowa    Winnebago
Minnesota: Fillmore, Freeborn, Houston and Mower

More Resources
On farmers.gov, the Disaster Assistance Discovery Tool, Disaster Assistance-at-a-Glance fact sheet, and Farm Loan Discovery Tool can help you determine program or loan options. To file a Notice of Loss or to ask questions about available programs, contact your local USDA Service Center.



Grain Crushings and Co-Products Production

Total corn consumed for alcohol and other uses was 502 million bushels in July 2021. Total corn consumption was up 2 percent from June 2021 and up 5 percent from July 2020. July 2021 usage included 91.4 percent for alcohol and 8.6 percent for other purposes. Corn consumed for beverage alcohol totaled 3.64 million bushels, down 2 percent from June 2021 but up 12 percent from July 2020. Corn for fuel alcohol, at 449 million bushels, was up 2 percent from June 2021 and up 6 percent from July 2020. Corn consumed in July 2021 for dry milling fuel production and wet milling fuel production was 91.3 percent and 8.7 percent, respectively.

Dry mill co-product production of distillers dried grains with solubles (DDGS) was 1.97 million tons during July 2021, up 2 percent from June 2021 and up 6 percent from July 2020. Distillers wet grains (DWG) 65 percent or more moisture was 1.12 million tons in July 2021, up 1 percent from June 2021 and up 22 percent from July 2020.

Wet mill corn gluten feed production was 304,527 tons during July 2021, up 6 percent from June 2021 but down less than 1 percent from July 2020. Wet corn gluten feed 40 to 60 percent moisture was 209,836 tons in July 2021, up 1 percent from June 2021 but down 10 percent from July 2020.



Fats and Oils: Oilseed Crushings, Production, Consumption and Stocks

Soybeans crushed for crude oil was 4.99 million tons (166 million bushels) in July 2021, compared with 4.85 million tons (162 million bushels) in June 2021 and 5.54 million tons (185 million bushels) in July 2020. Crude oil produced was 1.97 billion pounds up 3 percent from June 2021 but down 7 percent from July 2020. Soybean once refined oil production at 1.58 billion pounds during July 2021 decreased 1 percent from June 2021 and decreased 5 percent from July 2020.

Canola seeds crushed for crude oil was 145,989 tons in July 2021, compared with 163,537 tons in June 2021 and 202,711 tons in July 2020. Canola crude oil produced was 125 million pounds, down 7 percent from June 2021 and down 27 percent from July 2020. Canola once refined oil production, at 147 million pounds during July 2021, was down 6 percent from June 2021 and down 8 percent from July 2020.

Cottonseed once refined oil production, at 32.9 million pounds during July 2021, was down 18 percent from June 2021 and down 12 percent from July 2020.

Edible tallow production was 85.0 million pounds during July 2021, down 16 percent from June 2021 but up 6 percent from July 2020. Inedible tallow production was 304 million pounds during July 2021, down 1 percent from June 2021 but up 3 percent from July 2020. Technical tallow production was 108 million pounds during July 2021, up 15 percent from June 2021 but down 7 percent from July 2020. Choice white grease production, at 83.6 million pounds during July 2021, decreased 6 percent from June 2021 and decreased 15 percent from July 2020.



Weekly Ethanol Production for 8/27/2021

According to EIA data analyzed by the Renewable Fuels Association for the week ending August 27, ethanol production dropped by 28,000 barrels per day (b/d), or 3.0%, to 905,000 b/d, equivalent to 38.01 million gallons daily and the lowest level since late February. Production was 1.8% below the same week last year and 10.7% under the 2019 level. The four-week average ethanol production volume declined 2.8% to 949,000 b/d, equivalent to an annualized rate of 14.55 billion gallons (bg).

Ethanol stocks tightened by 0.5% to an eleven-week low of 21.1 million barrels. Stocks were 1.1% above the year-ago level but 11.3% below the same week in 2019. Inventories tightened across all regions except the West Coast (PADD 5).

The volume of gasoline supplied to the U.S. market, a measure of implied demand, ticked 0.1% higher to 9.58 million b/d (146.83 bg annualized). Gasoline demand was 9.0% above a year ago and 1.1% more than the same week in 2019.

Refiner/blender net inputs of ethanol remained level with the prior week at 926,000 b/d, equivalent to 14.20 bg annualized. Net inputs were 7.5% above a year ago but 2.7% less than the same week in 2019.

Imports of ethanol arriving into the West Coast were 33,000 b/d, or 9.70 million gallons for the week. This marks the sixth time in eleven weeks that imports were logged. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of June 2021.)



Retail Fertilizer Trends - Fertilizer Price Gains Losing Steam

Retail fertilizer prices tracked by DTN for the fourth week of August 2021 show slightly higher prices once again. However, this is the second straight week that no fertilizer saw significantly higher prices, which DTN designates as 5% or greater.

All eight of the major fertilizers were slightly higher compared to last month. Potash, which cost $569/ton, had the largest change from last month, up 4% or $20/ton. The rest of the fertilizers saw 1% price increases or less. DAP had an average price of $697/ton, MAP $756/ton, urea $557/ton, 10-34-0 $632/ton, anhydrous $748/ton, UAN28 $370/ton and UAN32 $420/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.61/lb.N, anhydrous $0.46/lb.N, UAN28 $0.66/lb.N and UAN32 $0.66/lb.N.

Retail fertilizer prices compared to a year ago show all fertilizers have increased significantly. 10-34-0 is now 36% more expensive, urea is 57% higher, DAP and potash are 62% more expensive, UAN32 is 63% higher, both UAN28 and anhydrous are 69% more expensive and MAP is 74% higher compared to last year.



USDA Announces September 2021 Lending Rates for Agricultural Producers

The U.S. Department of Agriculture (USDA) announced loan interest rates for September 2021, which are effective September 1. USDA’s Farm Service Agency (FSA) loans provide important access to capital to help agricultural producers start or expand their farming operation, purchase equipment and storage structures, or meet cash flow needs.

Operating, Ownership and Emergency Loans
FSA offers farm ownership and operating loans with favorable interest rates and terms to help eligible agricultural producers, whether multi-generational, long-time or new to the industry, obtain financing needed to start, expand or maintain a family agricultural operation. FSA also offers emergency loans to help producers recover from production and physical losses due to drought, flooding, other natural disasters or quarantine.  For many loan options, FSA sets aside funding for historically underserved producers, including veterans, beginning producers, women, American Indian or Alaskan Native, Asian, Black or African American, Native Hawaiian or Pacific Islander, and Hispanic farmers and ranchers.

Interest rates for Operating and Ownership loans for September 2021 are as follows:
    Farm Operating Loans (Direct): 1.875%
    Farm Ownership Loans (Direct): 3.000%
    Farm Ownership Loans (Direct, Joint Financing): 2.500%
    Farm Ownership Loans (Down Payment): 1.500%
    Emergency Loan (Amount of Actual Loss): 2.875%

FSA also offers guaranteed loans through commercial lenders at rates set by those lenders.
You can find out which of these loans may be right for you by using our Farm Loan Discovery Tool.

Commodity and Storage Facility Loans
Additionally, FSA provides low-interest financing to producers to build or upgrade on-farm storage facilities and purchase handling equipment and loans that provide interim financing to help producers meet cash flow needs without having to sell their commodities when market prices are low.  Funds for these loans are provided through the Commodity Credit Corporation (CCC) and are administered by FSA.
    Commodity Loans (less than one year disbursed): 1.125%
    Farm Storage Facility Loans:
        Three-year loan terms: 0.375%
        Five-year loan terms: 0.750%
        Seven-year loan terms: 1.000%
        Ten-year loan terms: 1.250%
        Twelve-year loan terms: 1.375%
    Sugar Storage Facility Loans (15 years): 1.625%



RMA Makes Improvements to Whole-Farm Revenue Protection

Organic and aquaculture producers can soon benefit from updates to the U.S. Department of Agriculture’s (USDA) Whole-Farm Revenue Protection (WFRP) plan. USDA’s Risk Management Agency (RMA) is revising the plan of insurance to make it more flexible and accessible to producers beginning in crop year 2022.

“These improvements to the Whole-Farm Revenue Protection program will make it a better risk management tool for producers,” said RMA Acting Administrator Richard Flournoy. “USDA is committed to equity in program delivery, and this includes specialty crop, organic, and aquaculture producers, who will benefit from these enhancements to WFRP.”

Changes to WFRP include:
    Increasing expansion limits for organic producers to the higher of $500,000 or 35 percent. Previously, small and medium size organic operations were held to the same 35 percent limit to expansion as conventional practice producers.
    Increasing the limit of insurance for aquaculture producers to $8.5 million. Previously aquaculture producers were held to a $2 million cap on expected revenue, this change allows more aquaculture producers to participate in the program.
    Allowing a producer to report acreage as certified organic, or as acreage in transition to organic, when the producer has requested an organic certification by the acreage reporting date. This allows organic producers more flexibility when reporting certified acreage.
    Providing flexibility to report a partial yield history for producers lacking records by inserting zero yields for missing years. Previously, missing a year of records would cause the commodity’s expected value to be zero, meaning past revenue from the commodity would contribute nothing to the insurance guarantee.

WFRP provides a risk management safety net for all commodities on the farm under one insurance policy and is available in all counties nationwide. Producers purchased more than 2,000 policies to protect $2.26 billion in liabilities in 2020.

This insurance plan is tailored for any farm with up to $8.5 million in insured revenue, including farms with specialty or organic commodities (both crops and livestock), or those marketing to local, regional, farm-identity preserved, specialty, or direct markets.



NMPF Joins Agricultural Leaders in Urging Farmers and Rural Communities to Get Vaccinated

NMPF and several of its member cooperatives are among the more than 30 state and national agricultural organizations representing farm, commodity and agribusiness communities that have joined together to promote vaccination among farmers and other rural Americans, sending an open letter to association members to add another voice to the call to get vaccinated.

“With a presence in all 50 states, dairy farmers know well the impacts vaccinations have on communities and how important it is for businesses and the economy to move beyond the COVID-19 pandemic,” said Jim Mulhern, president and CEO of the National Milk Producers Federation. “We’re proud of dairy’s leadership in the agricultural community on this crucial issue and pledge to do what we can to help make our communities safe.”

NMPF Chairman Randy Mooney, along with Zippy Duvall, president of the American Farm Bureau Federation, co-bylined an editorial published in the Des Moines Register last week to share a message about the important connection between agriculture, science, and health.

“The key to defeating coronavirus, like it was for polio, measles, and other diseases that left their mark across the countryside, is the vaccine,” the two wrote. “Success will only be achieved one decision — and one person — at a time.”

The effort is in response to the continued challenge of the COVID-19 Delta variant cases increasing precipitously among the unvaccinated populations across the country. Many rural communities have been hit hard by the Delta variant, which has stressed healthcare systems and threatens to greatly impact those we depend on for a safe food system. Agricultural leaders in the letter are asking farmers to protect their health and their communities by getting vaccinated saying, “Farmers make science-based decisions every day to protect their farms and their communities - they should make these same decisions to protect their health as well."



National Sorghum Foundation, BASF Open Joint Scholarship Application

The National Sorghum Foundation (NSF) and BASF are now accepting applications for a joint scholarship that will be awarded January 2022, providing $2,500 for tuition for the 2021-2022 academic year.

“The National Sorghum Foundation and BASF have worked together for years to support students who are passionate about the sorghum industry and excel in academics, leadership and service,” NSF Chairman Larry Lambright said. “We are always excited to provide deserving students with the financial support necessary to help them succeed.”

Scholarship applicants must be the child or grandchild of a National Sorghum Producers member and be pursuing an undergraduate or graduate degree in an agriculturally-related curriculum. Applications must be postmarked by December 1, 2021. More information about scholarship criteria and application forms can be found online at SorghumGrowers.com/foundation-scholarships/.




Animal Agriculture Alliance advocacy scholarship competition kicks off September 13

The Animal Agriculture Alliance’s annual College Aggies Online (CAO) scholarship competition kicks off in less than two weeks on September 13. Undergraduates, graduate students and collegiate clubs are competing for more than $20,000 in scholarships throughout the nine-week program.

Help us spread the word about College Aggies Online! If you refer a friend to sign up for the 2021 CAO scholarship competition and they list your name as the person who recommended them when they sign up for the competition, you’ll both be entered in a drawing to win a $100 gift card! Each referral will count as one entry and there is no limit on the number of entries for referrers. We will give away two $100 gift cards during the CAO kickoff event - one drawing for referrers and one drawing for those who were referred. All signups with a referral listed made through September 12 will be entered. Clubs and classes have the special opportunity to win one of ten $100 Domino’s gift cards by being one of the first to sign up. For more information or to sign up, visit https://collegeaggies.animalagalliance.org.

CAO connects college students who are interested in promoting agriculture and gives them the skills they need to effectively engage with key audiences online and on campus. Individual participants receive training from experts and engage with their peers on social media by posting information about current and emerging issues facing farmers and ranchers and telling personal stories. Club participants are challenged to host events virtually or on their campus to talk about modern agriculture with their peers. Events include “Scary Food Myths” where students hand out candy with myths and facts about food and agriculture; “Undeniably Dairy” where students host a booth on their concourse about dairy farming; and “Newbies on the Farm” where students invite their peers to tour a local farm. Last year, students reached 4.6 million people on social media and at club events.

“The College Aggies Online program is the ultimate resume-building ‘ag-vocacy’ program for collegiate students and clubs looking to grow their consumer engagement skills,” said Emily Solis, Alliance communications specialist. “As a former participant, I was able to grow my communication skills through the program and find new ways to advocate for agriculture while networking and engaging with students and mentors that I’m still connected with to this day.”

Mentors for the 2021 competition include:
    Don Schindler, Senior Vice President, Digital Innovations, Dairy Management Inc.
    Rebecca Hilby, Wisconsin Dairy Farmer
    Jenell Eck, Maryland Chicken, Grain and Beef Farmer, Thompson Ag Consulting
    Casey Kinler, Director, Membership and Marketing, Animal Agriculture Alliance
    Lexi Marek, Iowa Pig Farmer, Pig Improvement Company
    Liz Wilder, Idaho Sheep Farmer, Idaho Wool Growers Association
    Chandler Mulvaney, Director of Grassroots Advocacy and Spokesperson Development, National Cattlemen’s Beef Association
    Natalie Kovarik, Nebraska Cattle Rancher
    Beth Breeding, Vice President of Communications and Marketing, National Turkey Federation
    Emily Shaw, Founder and Personal Trainer, Dairy Girl Fitness
    Alexander Strauch, DVM, Poultry Veterinarian
    Kylie Epperson, Missouri Pig and Grain Farmer
    Joe Proudman, Associate Director for Communications, CLEAR Center at University of California, Davis
    Brandi Buzzard Frobose, Kansas Cattle Rancher, Red Angus Association of America

CAO would not be possible without the generous support of our sponsors. 2021 sponsors include: Dairy Management Inc., CHS Foundation, Iowa Pork Producers Association, National Corn Growers Association, Institute for Feed Education and Research, Domino’s Pizza Inc., Ohio Poultry Association, and Culver’s Franchising System. To become a sponsor of this year’s program, contact Casey Kinler, Director, Membership and Marketing, at ckinler@animalagalliance.org.