Wednesday November 3 Ag News

 GRAZING CORN STALKS
- Brad Schick, NE Extension Educator

Having corn stalks to graze is a great resource for livestock producers. For dry cows, it is a relatively inexpensive feed that can typically meet or come very close to meeting nutritional needs. Grazing can also help get rid of corn remaining in the field and help reduce volunteer corn the following year.

Cattle primarily consume leaf, husk, and leftover corn. The stem or stalk makes up about 48.5% of the residue by dry weight, while the leaf blade and husk make up 39.6%. Cattle will consume leaf and husk if available. That diet will consist of 52 to 55% TDN (total digestible nutrients) and 5 to 5.5% crude protein.

When thinking about how long to graze corn residue, start your calculation as follows: For every bushel of corn produced, there is 16 lbs. of dry leaf and husk available immediately after grain harvest. If your grazing plan is to remove 50% of the leaf and husk, this leaves us with about 8 lbs. of good forage, on a dry matter basis, available to graze for every bushel of corn produced. This takes into account trampling, defecation, wind, and other losses. Therefore, if the field produced 200 bu. per acre, that’s 1600 lbs. of forage grazing per acre now available. A general stalk grazing rule is there is about 30 cow days per 100 bushels of corn produced.

What about assessing how much downed corn is in a field? Cattle need to be worked up on heavy corn diets and cows shouldn’t be allowed to eat more than 10-15 lbs. per day especially right away. To know how many bushels per acre are in the field, walk 100 feet in three places in the field. Count the ears you find between two rows and divide that number in half. That’s how many bushels per acre of downed corn.

Grazing corn stalks is a great resource and done right can really add value to any operation.



UNL Agricultural Economics announces 2021 Outstanding Alumni and Service Award winners

The Department of Agricultural Economics at the University of Nebraska-Lincoln has recognized Brent A. Gloy and Boris E. Bravo-Ureta as recipients of its 2021 Outstanding Alumni Awards, and Nebraska Soybean Board, as the recipient of its 2021 Outstanding Service Award.  

The three honors are awarded annually to individuals and organizations in recognition of their significant contributions to agriculture, which align with the department’s research, teaching and outreach in agricultural production and profitability, natural resources, rural development and industrial organization.  

Gloy is currently a Trustee with the University of Nebraska Foundation and the Managing Partner of Gloy Farms in Grant Nebraska. He also serves as Partner and Co-Founder of Agricultural Economic Insights, LLC (https://aei.ag/). His specialty is in agricultural finance and agribusiness management. From 1999-2014, he served in faculty positions at Cornell University and Purdue University. He graduated from the University of Nebraska-Lincoln with a bachelor's in agricultural economics/agricultural honors in 1994 and a masters and doctorate in agricultural economics from Purdue University in 1996 and 1999, respectively.

Bravo-Ureta has been a professor of agricultural and resource economics at the University of Connecticut since 1980. He has also been a visiting professor/researcher with several institutions, including a Visiting Faculty Fellow with the Economic Growth Center of Yale University. He has served as a consultant for numerous organizations and countries. He previously served as Executive Director for the Office of International Affairs (1998-2008) and as Director of the Learning for International Development Program (2008-2019), at the University of Connecticut, in both capacities. He graduated with a bachelor's in agricultural economics/agricultural honors in 1994 and a masters, agricultural and applied economics, University of Wisconsin-River Falls in 1979.  He received his doctorate in agricultural economics from the University of Nebraska-Lincoln in 1981.

The Nebraska Soybean Board (NSB) is a private, non-profit organization that is funded through the soybean checkoff program. Led by nine volunteer soybean farmers, the NSB invests and leverages soy checkoff dollars to maximize profit opportunities for the state’s 23,000 soybean farmers. Their mission is to develop markets, educate consumers, discover new uses and research new ways to produce soybeans more efficiently and sustainably. The NSB has funded several research and education programs within the Department of Agricultural Economics, including the Commodity Trading Room, and the development of the Marketing in a New Era (MINE) program and the Agricultural Budget Calculator (ABC).

For more information about the Department of Agricultural Economics, visit:  https://agecon.unl.edu/. 



MARKETMAKER STREAMLINES NEBRASKA FOOD SYSTEM

Nebraska Extension has launched a new tool to help connect farmers with nearby grocers, restaurants owners, schools, farmers markets, processors and other components of the local food system.

The tool, Nebraska MarketMaker, is a free, searchable database that seeks to connect local producers of fruit, vegetables, meat, fish, herbs and other foods with a variety of customers. MarketMaker, a national platform, is one of America’s largest online food industry services.

Nebraska Extension educator Ben Jewell said he hopes the platform gives Nebraska producers an inroad into new markets, including schools.

“We struggle with local food sources in public schools and universities because it’s a lot of work, it takes time, and it’s a challenge,” said Jewell, a member of extension’s Regional Food Systems team. “Buyers already have established distributors, and farmers who would like to sell directly to schools don’t always know how to get started.

“Nebraska MarketMaker gives us this very seamless way to all have really high quality, up-to-date information across the state, by creating transparency and building relationships between buyers and sellers.”

Nebraska Extension began working with MarketMaker to develop a version of the platform specific to Nebraska last spring, after the COVID-19 pandemic interrupted the market for food as schools, restaurants and farmers markets temporarily closed. Nearly two years later, many farmers markets are still in question and many small farmers are scrambling to sell their product and build an online presence.

The platform gives users across the production and distribution chain the ability to create a profile describing their business, products and purchasing goals, among other things. Users can create profiles by location, business type, product, certification, product attributes and more. MarketMaker also features an interactive map with geo-located businesses, as well as an online store to find and connect with new customers while making secure sales.

Just a few months after Nebraska MarketMaker’s launch, some producers are already seeing a payoff.

“MarketMaker has allowed our bison business to grow exponentially,” said David Rhuter, owner of Rhuter Bison. “At first, we just had our website, but after creating a MarketMaker profile that appeared in searches on multiple partner sites, the phone just kept ringing. It’s been wonderful.”

Jewell said MarketMaker will facilitate Nebraska’s farm-to-school programs and food bank participation across the state. It will also provide a centralized database of producers and distributors for everyone to use from MarketMaker partners such as the Nebraska Department of Education and Buy Fresh Buy Local.

For more information, or to set up a profile or browse existing profiles, visit https://foodsystems.unl.edu/nebraska-market-maker.



Farmers Invited to Learn and Network at Cover Crop Boot Camp Nov. 30, in Ankeny

Registration is now open for Practical Farmers of Iowa’s fifth annual cover crop boot camp. The event, which is free and helps farmers learn about what works and what doesn’t when it comes to cover crops, will take place Tuesday, Nov. 30, from 9 a.m. to 4 p.m., at the FFA Enrichment Center in Ankeny, Iowa, (1055 SW Prairie Trail Parkway).

Farmers of all experience levels are encouraged to attend. Attendees will participate in four sessions (plus lunch) – all led by farmers with diverse cover crop experiences. Sessions will explore how farmers are using cover crops to reduce nitrogen and herbicide inputs, grow their own cover crop seed and integrate livestock with cover crops.

The boot camp comes at a particularly critical time for farmers, when crop inputs are in short supply and nitrogen prices are rising. Attendees will learn how skillfully integrating cover crops into their crop plan can help build a resilient farm system that’s less reliant on inputs.

“This boot camp is a perfect way for farmers of all experience levels to learn more and get questions answered about cover crops,” says Sarah Carlson, PFI’s strategic initiatives director. “It’s also a place to make connections that will help farmers be more successful. Everyone will walk away with valuable information they can take home and put to use right away.”

Registration
Pre-registration is open until Nov. 23. To sign up, visit practicalfarmers.org/cover-crop-boot-camp. Walk-in registration will be available the day of the event unless the venue is at capacity. A full agenda – including session details and speaker profiles – is also available at the above link.

Pre-Event Social & Keynote
Registered attendees are also invited to attend a pre-boot camp social on Monday, Nov. 29, starting at 4:30 p.m. at Uptown Garage Brewing Co. in Ankeny, Iowa (305 SW Walnut St.). The social includes a happy hour, complimentary dinner and keynote speech from Jen Simpson, an experienced ag media and marketing professional who is also part of PFI’s Cover Crop Business Accelerator project in partnership with the Iowa Soybean Association.

Jen’s interactive presentation, “Mounting a Strong Cover Crop Offense,” starts at 6:15 p.m. and will help participants find ways to engage in cover crop conversations with both interested farmers and naysayers, and how those conversations are key to converting new acres to cover crops.

Lodging
PFI is holding a block of rooms at the Best Western Premier in Ankeny (2502 SE Tones Drive) until Nov. 9. Call the hotel at (515) 965-5678, or book online using the group ID T38XH8W2, to access the discounted rate. Additional information about lodging can be found at practicalfarmers.org/ cover-crop-boot-camp.

COVID-19 Policy
Properly worn face masks will be required for all persons attending the boot camp and pre-boot camp activities, regardless of vaccination status, except when attendees are actively eating or drinking. For more information on our COVID-19 safety precautions, please visit practicalfarmers.org/ cover-crop-boot-camp.

CEU Credits
Certified crop advisor participants can earn one continuing education unit (CEU) for each session, for a total of 4.0 credits in the soil and water category.

The Cover Crop Boot Camp is funded by the Environmental Protection Agency and Natural Resources Conservation Service, and is made possible by the support of Agribusiness Association of Iowa; Coalition to Support Iowa’s Farmers; Iowa Agriculture Water Alliance; Iowa Corn Growers Association; Iowa Department of Agriculture and Land Stewardship; Iowa Learning Farms; Iowa Pork Producers Association; Iowa Seed Association; Iowa Seed Corn Cover Crop Initiative; Iowa Soybean Association; Iowa State University; Natural Resources Conservation Service; and Soil Health Partnership.



Beef Cow Clinics to Help Iowa Producers Prepare for Successful Calving Season

What do all profitable cow-calf operations have in common? A healthy calf crop on the ground, ready to develop for market. To help Iowa cattlemen and women prepare for a successful calving season and subsequent breeding period, the Iowa Beef Center is offering four Beef Cow Clinics over two days in early December.

Each clinic is in a different Iowa location, according to Iowa State University Extension and Outreach beef specialist Erika Lundy-Woolfolk.

“Whether you’ve calved out 10 cows or 10,000 cows, there’s always a new tip or technique to learn to help you get one more calf born alive,” she said. “These clinics will feature a variety of hands-on and classroom sessions, and opportunities to share questions and experiences.”

Session topics cover essentials from conception to calving, including nutrition basics during gestation and early lactation, 2022 breeding season prep and fine-tuning your record keeping system. Beth Reynolds, beef specialist with Iowa State University Extension and Outreach, said one session is sure to spark interest.

“We anticipate attendees will enjoy the hands-on session led by clinical assistant professor Caitlyn Wiley from the Iowa State University College of Veterinary Medicine,” she said. “This session focuses on troubleshooting dystocia issues utilizing a life-size cow model.”

In another session, a local veterinarian will discuss common calving season issues and help producers learn how to correct these issues before they become problems.

Those who want to attend should register at least two days in advance of their desired location date by contacting the extension office for that area. Each clinic will be led by the extension beef specialist for that area:  Lundy-Woolfolk, southwest; Denise Schwab, northeast; Patrick Wall, southeast; and Beth Reynolds – Iowa State campus.

Following are the dates, locations, times and registration contacts for each clinic location:
Dec. 1. Johnson County Fairgrounds, Iowa City; 10 a.m. to 3 p.m.
ISU Extension and Outreach Johnson County at 319-337-2145 or email Shannon at bielicke@iastate.edu

Dec. 1. Jones County Extension/Youth Development Center, Monticello; 4:30-9:30 p.m.
ISU Extension and Outreach Jones County at 319-465-3224 or email Shawnee at oswalds@iastate.edu

Dec. 9. St. Patrick’s Parish Center, Audubon; 10 a.m. to 3 p.m.
ISU Extension and Outreach Audubon County at 712-563-4239 or email Ann at acarter@iastate.edu

Dec. 9. Hansen Ag Student Learning Center, Ames; 3-8 p.m.
ISU Extension and Outreach Story County at 515-337-1601 or email Michaela at mvandb@iastate.edu

Because the sessions are designed for individual hands-on learning, attendance is limited to 50 participants per clinic location and preregistration is required. Thanks to program sponsor Merck Animal Health, cost is $25 per person, which includes a meal.



Integrated Crop Management Conference set for December

The Integrated Crop Management Conference returns Dec. 1-2, 2021, ready to provide agribusiness and producers information and research updates on the past growing season and tools to prepare for 2022.

Now in its 32nd year, the annual event is hosted by Iowa State University Extension and Outreach and the College of Agriculture and Life Sciences at Iowa State. This year’s conference will feature 34 workshops to choose from.

A new feature this year is that conference registration includes a subscription to season two of CropsTV, opening in January 2022. Launched last winter, this virtual crop education program features 30-plus topics available for viewing on-demand and includes Certified Crop Advisor continuing education credits.

“With more than 900 attendees each year, the ICM conference is a great opportunity for farmers, industry, ag retailers, agronomists and educators to network with each other and interact with their university specialists,” said Mark Licht, conference chair and assistant professor in agronomy and cropping systems specialist with Iowa State University Extension and Outreach.

Event speakers:
    Kevin Bradley, University of Missouri, will discuss research results with dicamba.
    Justin Glisan, state climatologist of Iowa, looks at current conditions, outlooks and the science of seasonal predictability.
    Nicholas Jordan will present on “continuous living cover,” agriculture and soil health.
    Katelyn Kesheimer, from Auburn University, will share information on armyworms and IPM strategies for control.
    Nathan Kleczewski, of Growmark, talks about crop diseases and pests on the rise in 2021.
    Peter Kyveryga, Iowa Soybean Association, will discuss an interactive cover crop simulator for economic and environmental benefits.
    Anthony Martin, Iowa Soybean Association, will share information on late soybeans early–a high yielding soybean system.
    Robert Mullen, with Nutrien, will discuss current fertilizer markets in “What’s going on in the fertilizer world?”
    Dennis Todey, with the United States Department of Agriculture Midwest Climate Hub, will present on understanding and managing changing climate conditions in Midwest agriculture.

Additional highlights will include weather and crop market outlooks, Iowa farmland values, targeted spraying technologies, harvest weed seed control, recent fertilizer research trials, and weed and crop disease management updates.

The conference is approved for up to 14 continuing education credits for Certified Crop Advisors. Iowa commercial pesticide applicator recertification for 2021 is also available in categories 1A, 1B, 1C and 4.

To register, visit the ICM conference website at www.aep.iastate.edu/icm. Space is limited for the event and requires pre-registration. Early registration is $225 and ends at midnight, Nov. 19. After Nov. 19, the fee increases to $275, and registrations will be accepted, as space allows, until noon, Nov 29. No registrations will be accepted at the door.

For registration questions, contact ANR Program Services at anr@iastate.edu or 515-294-6429.



Certified Angus Beef brand sales topped 1.2 billion pounds in fiscal year 2021

Growth happens in small increments. When it comes to measuring success for Certified Angus Beef (CAB), it’s measured one pound at a time.

The second highest sales year on record, global sales totaled 1.215 billion pounds to end fiscal year 2021. Up 3.4% or 40 million pounds from 2020, this is the sixth consecutive year the brand surpassed one billion pounds of sales across 54 countries.

"This brand was built one pound at a time, one partner at a time, and we value them all, because it takes a community to move this brand forward and to make it work for everybody," says John Stika, Certified Angus Beef president.

Fed cattle supply meets high consumer demand with a record-setting, 36.8% of all Angus cattle identified for the brand, meeting CAB specifications.

Better Beef, Better Cattle
Both beef demand and Certified Angus Beef ® brand acceptance rates are at all-time highs, creating a formula for record-setting improvements.

"There are a lot of exciting and optimistic things when we look at the success and progress our partners have had this year," Stika says. "Demand doesn’t solve all the problems we currently have in the beef industry, but it does underpin the foundation of success and recovery that many are experiencing in their business right now."

Growth in demand requires more Angus cattle raised to the highest standards and cattlemen met the challenge. A record 36.8% of all Angus-influenced cattle met the brand’s 10 specifications in fiscal year 2021. That’s more than 5.9 million black cattle earning an average of $50 per head from CAB grid premiums. Each year, packers pay producers nearly $92 million for brand-qualifying cattle, or $1.7 million per week.

"This year proved that cattle producers are as focused as ever on meeting consumer expectations," says Bruce Cobb, executive vice president of production, for the brand. "Through 2020, acceptance rates for the brand established new record benchmarks and that momentum carried through 2021 as producers continued to increase the production of certified carcasses."

Farmers and ranchers are focused on high-quality Angus genetics now more than ever.

Bringing Home the Beef
It’s an entire community across the supply chain that moves CAB forward.

A stabilizing anchor for brand sales, retail proved extremely steady sales year-round. Shoppers looked for quality in the grocery store and kept cooking at home, even as pandemic mandates lifted.

Licensed partners held on to most of last year’s record-setting 602 million pounds, closing 2021 at 600 million pounds of sales.

"As we saw the foodservice and hospitality sector begin to open up, we were hoping the pent-up demand we had heard so much about would materialize. And it has," Stika says. "Demand is strong for high-quality beef."

Finishing the year up 13.3%, domestic foodservice brand partners recovered 43% of the 100 million pounds forfeited during the pandemic.

Canada and Japan remain at the top of international sales, playing a large role in the 7.8% year-over-year increase. The next four largest markets — South Korea, Mexico, Taiwan and Hong Kong — grew by an average of 10.6% last year, helping reclaim international business.

"We have continued to be extremely optimistic and believe that sales outside of the U.S. will only continue to grow and become healthier moving forward," Stika says.

Value-added-product sales grew 23.5% in 2021, setting a record of 38.3 million pounds. Smoked brisket, fajita meat and fresh corned beef were a few of the top sellers as people looked for labor- and cost-saving solutions. Celebrating seven record months during the fiscal year, July took the top spot with four million pounds of value-added products sold.

Adding to the record-setting year, Certified Angus Beef ® brand Prime sales reached 37.3 million pounds for the first time, a 14.8% increase in 2021.

"Prime is a progressive growth opportunity as we continue to see quality resonate with more and more consumers domestically and around the globe," Stika says.
 
Looking forward to 2022, he says he expects the brand to only get better, one pound at a time.



Weekly Ethanol Production for 10/29/2021

According to EIA data analyzed by the Renewable Fuels Association for the week ending October 29, ethanol production edged higher by 2,000 barrels per day (b/d), or 0.1%, to 1.107 million b/d. This is equivalent to 46.49 million gallons daily and falls just shy of the record high set in Dec. 2017. Production was 15.2% above the same week last year, which was affected by the pandemic, and 9.2% above the same week in 2019. The four-week average ethanol production volume increased 3.0% to 1.085 million b/d, equivalent to an annualized rate of 16.63 billion gallons (bg).

Ethanol stocks grew 1.0% to 20.1 million barrels. Stocks were 2.3% above the year-ago level but 8.0% lower than the same week in 2019. Inventories built across all regions except the East Coast (PADD 1) and West Coast (PADD 5).

The volume of gasoline supplied to the U.S. market, a measure of implied demand, rose 1.9% to 9.50 million b/d (145.70 bg annualized). Gasoline demand was 14.0% above a year ago and 3.9% higher than the same week in 2019.

Refiner/blender net inputs of ethanol declined 1.2% to 902,000 b/d, equivalent to 13.83 bg annualized. Net inputs were 7.9% above a year ago but 1.6% less than the same week in 2019.

There were zero imports of ethanol recorded after 36,000 b/d hit the books the prior week. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of August 2021.)



Nitrogen Fertilizer Prices Close in on All-Time Highs as UAN32 Breaks Record

The retail fertilizer price spike continues, with seven of the eight major fertilizers tracked by DTN posting significant gains and one setting a new record. UAN32 cost an average of $522 per ton in the fourth week of October, the highest in DTN's 13 years of gathering bids.

While the nitrogen fertilizer increased 18% in price from the previous month, it wasn't the largest price jump seen in the data this week. That honor goes to anhydrous, which climbed 26% from last month to $982/ton. It's nearing prices last seen in November 2008.

Urea, at $751/ton, increased 21% in price from last month. Like other nitrogen fertilizers facing supply crunches this year, it's closing in on its historical highs. According to DTN data, urea's highest retail price was $770/ton in the week of May 21, 2012.

The average retail price of UAN28 increased 18% from last month to $458/ton. The only higher price in DTN's database is $482/ton the week of Nov. 3, 2008.

The average retail price of potash increased 13% from the previous month to $731/ton, the highest since July 2009.

Phosphate prices also increased, with DAP up 12% at $812/ton and MAP up 9% at 873/ton.

The only fertilizer that didn't post a significant price increase, which DTN considers a change of 5% or more, was 10-34-0. Its price was 4% higher than last month at $663/ton.

All nitrogen fertilizers are now more than double in price what they were a year ago, with anhydrous up 131%, UAN28 119%, and urea and UAN32 110%. Potash is 120% higher, MAP is now 83% more expensive, DAP costs 81% more and 10-34-0 is up 46%.



NCGA Applauds New Agreement to Lift E.U. Tariffs on U.S. Corn

On the sidelines of the Group of 20 Summit this past weekend, European Union officials and the Biden administration brokered a deal that will ease tariffs on E.U. steel and aluminum imports into the U.S. while eliminating retaliatory duties from the E.U. on several U.S. goods, including U.S. Corn.  

“This is an important step for America’s corn farmers and a step toward restoring our trading relationship with the European Union,” said National Corn Growers Association President Chris Edgington. “We were dragged into a trade dispute that did not involve us, and we are highly appreciative of the Biden administration for this development.”  

In May of this year, the Biden administration announced the start of discussions with the E.U. to address global steel and aluminum excess capacity, which originally prompted the U.S. to apply tariffs on European steel and aluminum imports under the authority of Section 232. This action was met by the E.U. imposing retaliatory tariffs on U.S. imports, including a 25% tariff on U.S. corn. Under the new deal, the U.S. agreed to provide a duty-free quota for European steel and aluminum while keeping the Section 232 tariffs in place for any steel or aluminum shipped in excess of the quota, maintaining a minimum level of protection for American-made steel and aluminum.

“As farmers, we feed and fuel the world,” said Edgington. “When our crops are used as a bargaining chip, everyone loses.”



ASA & NBB Express Concerns Over Supply Chain (But Not Soy Oil)

As the House Agriculture Committee hearing on The Immediate Challenges to Our Nation’s Food Supply Chain convenes Nov. 3, producers, processors, and users of soy are expressing their concerns over recent issues ranging from labor shortages to shipping woes. They’re also expressing what they’re not concerned about: soy oil supplies.

Food industry groups have waged claims that there’s a crunch on the supply of soy oil available when soy is crushed—and that foodservice cannot get enough edible oil for cooking because, those groups say, oil is being diverted to biodiesel and a burgeoning renewable diesel market.

American Soybean Association CEO Stephen Censky, in a recent editorial, was clear: There is no cause for alarm; 86 million acres of soy are currently being harvested—and a projected record 4.4 billion bushels. Likewise, processors are gearing up to process more soy and assure adequate soy oil is available for food, feed and fuel: At least seven new oilseed processing plants are under development, and soybean oil production by the domestic processing industry is projected by USDA to reach a record level this year—on top of a 26% growth in supply over the last 10 years. In short, Censky said, the markets are responding to the new demands.

The National Biodiesel Board agrees, stating that new demand is sending the right market signals to both soybean farmers and soybean crushers, leading to increased value for farmers, processors and rural economies, which in turn leads to more protein for livestock production and oil for food manufacturers.

Both NBB and ASA also have concerns that pinning inflationary pressures impacting the food and agriculture sector across all cost categories on renewable fuels expansion could affect support of the Renewable Fuel Standard.

Donnell Rehagen, CEO of the National Biodiesel Board said, “Biodiesel and renewable diesel production consistently support 13% of the value of every U.S. soybean bushel. Sustainable growth in our industry is also supporting new investments in domestic soybean crush capacity, which will translate into additional value for U.S. farmers and rural economies. A misguided attack on the Renewable Fuel Standard will simply undercut a valuable, stable market for the record harvest that soybean growers are achieving this year.”

In 2020, biodiesel production added close to $6 billion in U.S. farmers’ return on soybeans. And, biodiesel does not solely support farmers: The industry has a $17 billion economic impact and supports 65,000 American jobs.

Kevin Scott, soy grower from Valley Springs, South Dakota, and American Soybean Association president said, “There is currently not a soy oil supply shortage, nor is one envisioned by year-end, but there are in fact very real supply chain challenges impacting U.S. agriculture. We greatly appreciate the committee’s attention to these genuine issues and how to address them. Likewise, we hope the administration will demonstrate the commitment to biofuels and the RFS it has pledged despite these shortage rumors.”

The chief executive officers of more than a dozen agriculture groups recently identified the key supply issues affecting agriculture and related industries. Those concerns include labor, barge shipments, ports and shipping containers, trucking and rail freight, fertilizer, chemical inputs, energy, equipment and parts, and water availability. Read their full letter filed Oct. 18 with the Department of Transportation for submission to the White House Supply Chain Task Force.

Soybeans and all agricultural commodities rely on a multimodal network to move product to market. As such, a strong supply chain built on reliable infrastructure systems represents the largest advantage for American soybean farmers over competitors in Brazil and Argentina. Recent supply chain challenges related to transportation and infrastructure, input supply, and labor continue to negatively impact soybean growers and the agricultural industry as a whole.



Dairy CEO Says Supply Chain Crisis Could Permanently Harm U.S. Agriculture

The current supply chain crisis could cause “irreparable harm” to agriculture, Mike Durkin, President and CEO of Leprino Foods, said in testimony prepared for a U.S. House Agriculture Committee hearing today about how supply chain issues are affecting export markets for Leprino and the U.S. dairy industry. The U.S. Dairy Export Council (USDEC) and National Milk Producers Federation (NMPF) voiced strong support for Durkin’s call for U.S. government action to more effectively tackle the shipping crisis and its effects on dairy farmers and manufacturers.

“The supply chain challenges have significantly impacted our business, and we don’t expect them to ease anytime soon. I’m here to talk about a critical component of this disruption that has not received much attention – exports,” Durkin said. “This export crisis may well result in irreparable harm to American agriculture as customers around the world are questioning the U.S. dairy industry’s reliability as a supplier.”

Durkin called on Congress to act on ocean shipping legislation, address critical transport-industry labor shortages, increase port hours of operation, and take other steps to help American agriculture producers reach their foreign markets effectively.

Leprino Foods, the largest purchaser of milk in the United States, is a family-owned, privately held company with 4,500 employees and facilities in Colorado, California, New Mexico, Michigan, Pennsylvania and New York. It supports over 1,000 dairy farms and is the largest producer of mozzarella cheese as well as a leading supplier of dairy nutrition products. Leprino exports 26% of its milk equivalent volume to 55 countries.

Across the industry, approximately one day’s worth of U.S. milk production each week goes to exports, which results in about $6.5 billion in U.S. dairy products being exported to over 133 countries.

“The strain of shipping challenges is taking a heavy toll on dairy exporters, which is why it was so important that the House Agriculture Committee heard today from companies such as Leprino Foods that are doing everything possible to hang onto foreign customers yet are still bearing the brunt of this problem,” said Krysta Harden, president and CEO of USDEC. “Dairy exporters are working hard to get American-made product to foreign customers in a reliable and affordable way, but the present situation can’t be sustained long-term. We need Congress and the Administration to move swiftly to improve the efficiency and fairness of supply chains.”

“Dairy depends on exports, a vital part of the total demand for the milk produced every day by America’s hard-working dairy farmers” said Jim Mulhern, president and CEO of NMPF. “We risk damaging foreign market relationships and long-term customers if we cannot better assure efficient export flows. Leprino Foods provided some important recommendations to Congress to address the supply chain challenges. We hope both they and the Administration act quickly to provide relief.”



2021 Farm Service Agency County Committee Elections Underway

The U.S. Department of Agriculture (USDA) will begin mailing ballots this week for the Farm Service Agency (FSA) county and urban county committee elections to all eligible agricultural producers and private landowners across the country. Elections are occurring in certain Local Administrative Areas (LAA) for these committee members who make important decisions about how federal farm programs are administered locally. To be counted, producers and landowners must return ballots to their local FSA county office or be postmarked by Dec. 6, 2021. 

“Now is your opportunity to elect fellow farmers and ranchers in your community to serve on the local county committee,” said FSA Administrator Zach Ducheneaux. “These committees are a critical piece to the work we do by providing knowledge and judgment as decisions are made about the services we provide. Your voice and vote matters.”  

Producers must participate or cooperate in an FSA program to be eligible to vote in the county committee election. A cooperating producer is someone who has provided information about their farming or ranching operation but may not have applied or received FSA program benefits. Also, for County Committee elections, producers who are not of legal voting age, but supervise and conduct the farming operations of an entire farm, are eligible to vote. 

Producers can find out if their LAA is up for election and if they are eligible to vote by contacting their local FSA county office. Eligible voters who do not receive a ballot in the mail can request one from their local FSA county office. To find your local USDA Service Center, visit farmers.gov/service-locator. Visit fsa.usda.gov/elections for more information. 



September DMC Margin Is Large Improvement Over August
NMPF Newsletter

The September margin for the Dairy Margin Coverage program rose by $1.68/cwt from a month earlier to $6.93/cwt. The jump was driven by a mostly corn price-driven $0.98/cwt drop in the feed cost formula and an $0.80/cwt increase in the all-milk price, to $18.40/cwt.

The resulting $2.58/cwt September DMC payment for $9.50/cwt coverage will be the ninth consecutive such payment well in excess of $2/cwt this year, with the nine-month average totaling $3.08/cwt. When USDA eventually tops up the payments for this year and last with the full dairy-quality alfalfa price figured into the feed cost calculation, the 2021 average payment for the first nine months will be $3.31/cwt.

USDA is expected to pair the announced regulation on the alfalfa price change with that for the separate Supplemental DMC program.

USDA reported that, as of Oct. 25, the 19,029 operations enrolled in this year’s DMC program are expected to receive $981,249,096 in payments, for an average of $51,566 per enrolled operation, based on previously announced margins. This represents payments for January through August and does not include the eventual top-up payments from the alfalfa price change. The dairy futures continue to indicate that there will be at least another DMC payment for $9.50/cwt coverage during the final three months of the year.

CWT-Assisted Dairy Export Sales Through October Reach 1.2 Billion Pounds
CWT member cooperatives secured 35 contracts in October adding 650,000 pounds of American-type cheeses, 628,000 pounds of butter, 20 million pounds of whole milk powder and 926,000 pounds of cream cheese to CWT-assisted sales in 2021. These products will go customers in Asia, Middle East-North Africa, Europe, Central America, Caribbean and South America, and will be shipped from October 2021 through March 2022.

CWT-assisted 2021 dairy product sales contracts year-to-date total 38.3 million pounds of American-type cheese, 13.3 million pounds of butter, 6.1 million pounds of anhydrous milkfat, 11.3 million pounds of cream cheese and 44 million pounds of whole milk powder. This brings the total milk equivalent for the year to 1.228 billion pounds on a milkfat basis.



U.S., EU Launch Collaboration Platform on Agriculture

European Union Commissioner for Agriculture Janusz Wojciechowski and United States Secretary of Agriculture Secretary Tom Vilsack today issued the following statement on a newly created transatlantic collaboration platform on agriculture designed to take on the global challenges of sustainability and climate change.

“International collaboration to confront climate change and foster sustainability is paramount to mitigating the harsh and difficult future that awaits us as a global society. Climate change is already affecting the livelihoods of our farmers in deep and profound ways, from extreme weather volatility, to severe drought, to flooding, to wildfires and other catastrophic events that threaten our towns, cities and communities. We must rise to the challenge.

“Today we begin a new chapter in EU-U.S. collaboration with a new platform for the U.S. Department of Agriculture and the EU Directorate General for Agriculture and Rural Development to exchange knowledge and information, and to promote mutual understanding and trust, as we work together to address global challenges and achieve common goals.

“We are reaffirming our mutual commitment to sustainable and climate-smart agricultural production, recognizing that we are both engaged in multiple, effective ways to achieve mutually desired outcomes.

“We believe that, science and innovation will bring about a more sustainable agriculture. We must work together to devise systems and solutions that are good for agricultural producers, good for consumers, good for businesses, good for our communities, and good for our planet. This includes fair and open markets at the local, regional, and international levels that bolster food security and sustainable food systems.

 “The European Union and the United States are committed globally to enhanced and sustainable production, alleviating poverty and hunger, protecting our environment, and confronting climate change. This transformational initiative provides a platform for us to work cooperatively towards these goals.”



The Andersons, Inc. Reports Third Quarter Results; Best Q3 since 2014

The Andersons, Inc. (Nasdaq: ANDE) announces financial results for the third quarter ended September 30, 2021.

Third Quarter Highlights:
    Company reported net income attributable to The Andersons from continuing operations of $13.9 million, or $0.41 per diluted share, and adjusted net income from continuing operations of $5.2 million, or $0.15 per diluted share
    Adjusted EBITDA from continuing operations was $56.3 million for the quarter, an increase of $9.3 million, or 20%, year over year; trailing twelve month adjusted EBITDA from continuing operations of $294.0 million
    Trade reported all-time record earnings with pretax income of $42.0 million and adjusted pretax income of $27.6 million on continued merchandising opportunities and strong elevation margins
    Completed strategic sale of Rail leasing assets and used proceeds to reduce debt

"I'm pleased with our third quarter, particularly the record results of our Trade Group business. We benefited from outstanding execution by our team, strong demand, and relatively low grain stocks - including growth in new markets, such as renewable diesel and supply chain extensions with our new Swiss trading office. We continue to identify opportunities in these volatile markets and remain focused on an anticipated large 2021 harvest. Harvest in the corn belt is progressing and we are pleased that storage income has returned to the wheat and corn markets," said President and CEO Pat Bowe.

"Ethanol margins have strengthened through the fall maintenance season and U.S. stocks are low at this time. We are focused on risk management and effective hedging and continue to see strong returns from co-products, particularly distillers' corn oil," added Bowe. "We anticipate strong fourth quarter margins in Ethanol. Plant Nutrient followed up a great first half with a third quarter loss, which was in line with our expectations for this seasonal business. Fertilizer prices and farm income both remain high. We continue to receive good support from our suppliers in this time of tight stocks. Our teams are executing well and remain focused on customer needs and operational excellence."

"Lastly, I want to comment on the sale of our Rail leasing business that was announced on August 16," stated Bowe. "This strategic sale allowed us to strengthen our balance sheet and focus on investing in our core agriculture businesses. We completed the acquisition of Capstone Commodities on October 1 which helps to expand our supply chain presence to southwestern U.S. dairy customers. We continue to evaluate organic growth projects in grain, renewable fuels, and fertilizer as well as potential acquisitions and investments, with the goal of growing our ag supply chain and renewable fuels businesses while reducing our carbon footprint."



Applegate Farms, LLC Introduces the DO GOOD DOG Hot Dog, the First Nationally Available Hot Dog Sourced from Verified Regenerative U.S. Grasslands
Press Release

Applegate Farms, LLC, the nation's leading natural and organic meat brand, today announced the launch of the DO GOOD DOG™ hot dog, the first nationally available hot dog made with beef raised on verified regenerative U.S. grasslands. Beef for the DO GOOD DOG™ hot dog comes from SunFed Ranch® in Northern California and boasts the Savory Institute's Land to Market Seal, the world's first regenerative sourcing verification.

The DO GOOD DOG™ hot dog is Applegate's latest evolution of the humble hot dog and is an essential part of driving forward the company's mission: Changing The Meat We Eat®.  Applegate reimagined the hot dog more than 15 years ago with APPLEGATE ORGANICS ® THE GREAT ORGANIC HOT DOG™ hot dog, made with just four simple ingredients, 100% grass-fed beef, water, salt and spices.  With the introduction of the DO GOOD DOG™ hot dog, the company has bold ambitions to take regenerative agriculture from niche to norm.

Until now, regeneratively sourced beef has mostly been available at farmers markets or high-end restaurants. Applegate's size and experience scaling specialized supply chains in the meat category aims to make regenerative agriculture familiar and accessible in the mass market. According to the Savory Institute, the cattle that supply the beef for the DO GOOD DOG™ hot dog are part of a system that is contributing to the regeneration of up to 260,000 acres of U.S. grasslands, making it one of the largest verified systems for regeneratively-sourced beef.

"It's fashionable to argue that the only way to fight climate change is to eliminate meat. In fact, the opposite is true," said John Ghingo, President of Applegate. "Animals have a vital role to play in restoring soil health, sequestering carbon and safeguarding the land against drought, wildfires, erosion and other devastating results of climate change. Our mission is to scale regenerative practices beyond small farms and niche markets. It's the only way to make a big enough impact."

With two out of three U.S. adults saying they eat meat frequently1 and cattle consistently spotlighted for their negative impact on the environment, there's a need to shift the way meat is produced to both meet demand and improve the planet. Applegate is starting with beef, where the evidence of positive animal impact is most clear, but the company is also at work to develop evidence-based regenerative practices for non-grazing animals and plans to grow its regeneratively-sourced product line to pork and poultry.

Applegate's commitment to support and market regeneratively sourced beef has helped SunFed Ranch double its grass fed cattle production, according to Matt Byrne, co-founder of SunFed Ranch, diverting cattle out of the commodity feedlot system and accelerating environmental benefits to its ranchlands. SunFed Ranch, which manages more than 1.5 million acres of U.S. grasslands both directly and through its ranching partners, is committed, across all on-ranch operations, to being 100% carbon neutral, from production to product, by 2024 and fully carbon negative by the end of 2027.

"We are thrilled to join Applegate in taking a leadership position to make regenerative, 100% grass fed beef that is better for the planet and healthier for families more widely available," said Byrne. "Applegate's commitment accelerates our shared mission to move the beef industry away from the commodity, corn-based feedlot system as we continue to scale one of the largest pastured cattle ranching environments in the country.  We're proud to partner with Applegate on this innovative product and facilitate the regeneration of the land we are fortunate enough to have in our care."

Applegate's contribution to regenerating U.S. grasslands and healthy soil is being measured by the Savory Institute, a pioneer in regenerative agriculture. Baseline measurements of soil health, biodiversity, water retention and other ecosystem services were taken in Spring 2021 and will be revisited annually to assess progress. This is a hallmark of the Land to Market seal, which does not set standards, but measures outcomes, ensuring that a ranch is making continuous improvements to the land.

"While Land to Market verifies outcomes rather than practices, we find that those that implement Holistic Management and planned grazing double their likelihood of improving land health. We are big believers in the old adage that what gets measured gets managed and that measurement is actually a function of optimization," said Chris Kerston, chief commercial officer of the Land to Market Program at the Savory Institute. "By working closely with SunFed Ranch and Applegate, we can quantify environmental improvement and the ranchers can optimize their management to maximize those results ongoingly. This approach has the adaptability and scalability to drive the entire global meat industry forward."

The new DO GOOD DOG™ hot dog is available now at select major retailers and on Amazon with an SRP of $6.99. It is gluten free, a good source of protein2 and contains no added sugar.