Wednesday January 26 Ag News

 USDA Urges Producers to Submit Applications for 2021 Grazing Loss Assistance by Jan. 31

The U.S. Department of Agriculture (USDA) reminds ranchers and livestock producers they may be eligible for financial assistance through the Livestock Forage Disaster Program (LFP) for 2021 grazing losses due to a qualifying drought or fire. The deadline to apply for 2021 LFP assistance is Jan. 31, 2022.

“Severe to extreme drought conditions in Nebraska have resulted in significant economic hardships for our agricultural producers, and livestock producers are no exception,” said John Berge, state executive director for the Farm Service Agency in Nebraska. “If you suffered 2021 grazing losses, you should contact FSA as soon as possible and file your LFP application for payment. 2021 LFP information may be used to deliver upcoming disaster assistance.”

For the 2021 program year, 16 counties in Nebraska have met drought severity levels that trigger LFP eligibility. Those 16 counties include: Banner, Box Butte, Boyd, Cedar, Chase, Dakota, Dixon, Dundy, Hayes, Hitchcock, Holt, Keya Paha, Knox, Morrill, Scotts Bluff and Sioux.

More than $473.1 million has been paid, to date, to eligible livestock producers in 26 states and territories for 2021 LFP. For LFP, qualifying drought triggers are determined using the U.S. Drought Monitor. Visit the FSA LFP webpage for a list of eligible counties and grazing crops.

LFP provides payments to eligible livestock producers and contract growers who also produce forage crops for grazing and suffered losses due to a qualifying drought or fire during the normal grazing period for the county.  Eligible livestock include alpacas, beef cattle, buffalo/bison, beefalo, dairy cattle, deer, elk, emus, equine, goats, llamas, reindeer or sheep that have been or would have been grazing the eligible grazing land or pastureland during the normal grazing period.

To expedite the application process, producers are encouraged to gather and submit records documenting 2021 losses. Supporting documents may include information related to grazing leases, contract grower agreements, and more.



Find Answers for Farm Bill Decisions in Multiple Ways

Crop farmers have until March 15 to make their annual election for Price Loss Coverage or Agriculture Risk Coverage (at the individual or county levels) under the 2018 Farm Bill.

This annual decision impacts the 2022 crop year, consistent with the 2018 Farm Bill. Similar annual decisions, for the 2023 crop year, will coincide with the final year of the bill.

In order to help Iowans understand their options for 2022, Iowa State University Extension and Outreach is holding a variety of upcoming meetings, with support from the United States Department of Agriculture’s Farm Service Agency.

Meeting options include in-person and virtual events. Those who would prefer to attend a virtual learning session can visit the Ag Decision Maker Farm Bill information and resources webpage at https://www.extension.iastate.edu/agdm/info/farmbill.html.

“The key decision is between Price Loss Coverage and Agriculture Risk Coverage (county or individual),” said Gary Wright, farm management specialist with ISU Extension and Outreach. “A farmer’s choices will depend on the type of operation, where located and their price outlook.”

Wright explained that PLC payments are triggered when the marketing year average price falls below the reference prices of $3.70 per bushel for corn and $8.40 per bushel for soybeans. Whereas ARC-CO payments are triggered when actual county revenue for the crop is less than the guarantee. Wright says current USDA price projections for 2022 are $4.80 per bushel for corn and $10.50 per bushel for soybeans.

“As with the past 2018 Farm Bill workshops, these sessions will involve the use of tools taken directly from Ag Decision Maker,” Wright said. “The producers’ overall 2022 crop decisions by March 15 will want to include (a) the federal crop program election (ARC or PLC); and (b) a thorough review of their crop insurance options. These two decisions should be evaluated jointly, following consultation with their trusted crop insurance agent (in regard to annual premiums), to ensure the desired risk management steps are being fully considered.”

In-person meetings in northwest Iowa include:
    Feb. 15, 1-3 p.m. - ISU Extension and Outreach Palo Alto County office, 2008 10th St., Emmetsburg; Preregister to 712-852-2865.
    Feb. 16, 1-3 p.m. - ISU Extension and Outreach Cherokee County office, 209 Centennial Dr., Cherokee; Preregister to 712-225-6196.
    Feb. 17, 9-11 a.m. - Northwest Iowa Community College, Building A, Room 117, 603 W. Park St., Sheldon; Preregister to 712-957-5045.
    Feb. 18, 9-11 a.m. - Grace United Methodist Church, 311 2nd Ave., Spencer; Preregister to 712-262-2264.
Additional questions can be directed to Gary Wright at 712-223-1574 or gdwright@iastate.edu.

February Ag Marketing Clubs in central Iowa with a focus on 2022 Farm Bill and crop insurance decisions:
    Feb. 14, 6:30 p.m. at the Leonard Good Community Center in Ogden, 114 SW 8th St., Ogden. Pre-registration required at 515-432-3882.
    Feb. 16, 6:30 p.m. at the Conrad American Legion, 102 E. Center St., Conrad. Pre-registration required at 319-824-6979.
    Feb. 17, 6:30 p.m. at 1st State Bank in Lynnville, 413 East Street, Lynville. Pre-registration required at 641-623-5188.
    Feb 18, 9:30 a.m., Ag Coffee, Farm Bill, Alexis Stevens, west central Iowa farm management specialist.
Additional questions can be directed to Patrick Hatting at 515-957-5790 or hatting@iastate.edu.

Webinar sessions are as follows:
    Feb. 11, noon, Ag Decision Maker Tools & Program Analysis, Alejandro Plastina, ISU Extension and Outreach.
    Feb. 15, noon, 2022 Farm Bill Decisions: Central Iowa, Patrick Hatting, ISU Extension and Outreach central Iowa farm management field specialist.
    Feb. 16, noon, 2022 Farm Bill Decisions: Northern Iowa, Kelvin Leibold, ISU Extension and Outreach north central Iowa farm management field specialist.
    Feb. 17, 2022, 11 a.m., 2022 Farm Bill Decisions: Western Iowa, Alexis Stevens and Tim Christensen, ISU Extension and Outreach west central and southwest Iowa farm management field specialists.

Ag producers and landowners are encouraged to be proactive and attend an in-person or virtual session if they have questions about their options. In-person sessions will be approximately two hours in length, with time for questions. There is no charge to attend but pre-registration is encouraged. Webinars are one hour, including time for questions. All webinars are recording for later viewing.



Report: Higher Wages, Input Costs, Supply Chain Problems Affecting Pork Prices, Not ‘Concentration’

In a report issued today, economists with Iowa State University, North Carolina State University and the National Pork Producers Council found that pork prices have risen because of strong demand for U.S. pork, higher input costs and labor shortages throughout the supply chain, not concentration in the meatpacking industry. The report’s authors, Iowa State’s Dermot Hayes, NC State’s Barry Goodwin and NPPC’s Holly Cook, also found that pork prices in the United States are still lower than in many other countries.

The pork packing industry is made up of fewer and larger plants than it was 50 years ago, but the structure of the industry has changed little in recent decades, the report stated, and concentration levels today are about 7 percent lower than they were five years ago because of new packing plants that opened from 2017 to 2020. Four of those five plants are at least partially producer-owned. In fact, more than 100 industries had a greater concentration level, according to a commonly used calculation, the report noted.

“This report shows the concentration level in the pork packing industry is not significantly higher than it was 15 years ago,” said NPPC President Jen Sorenson. “The recent increase in pork prices is driven by strong pork demand, rising input prices, higher wages and supply chain bottlenecks throughout the industry.”

The report also found no evidence that significantly higher profits are being captured at the wholesale level during this time of higher retail prices. The farm-to-wholesale price spread – which consists of packers’ costs and profits – has been shrinking while the wholesale-to-retail spread has increased over the past six months. Packer gross margins also are estimated to be within their 5-year average range, according to the report.

“Although pork prices have risen rapidly in recent months,” said Iowa State’s Hayes, “retail and carcass prices in the U.S. are still relatively low when compared with prices in other countries.”

“Americans pay less for pork, not more than consumers in most other nations,” Sorenson said. “That includes big pork-producing countries such as Canada, Denmark and Germany.”



Weekly Ethanol Production for 1/21/2022

According to EIA data analyzed by the Renewable Fuels Association for the week ending January 21, ethanol production scaled back by 17,000 barrels per day (b/d), or 1.7%, to 1.035 million b/d, equivalent to 43.47 million gallons daily. Production was 10.9% above the same week last year, which was affected by the pandemic, and 0.6% more than the same week two years ago. The four-week average ethanol production volume decreased 0.6% to 1.036 million b/d, equivalent to an annualized rate of 15.88 billion gallons (bg).

Ethanol stocks expanded by 3.7% to 24.5 million barrels, the largest reserves since early May 2020. Stocks were 3.7% higher than a year ago and 1.0% more than the same week two years ago. Inventories built across all regions except the East Coast (PADD 1), including record-high reserves in the Midwest (PADD 2).
                                                                                                              
The volume of gasoline supplied to the U.S. market, a measure of implied demand, rose 3.4% to 8.51 million b/d (130.38 bg annualized). Gasoline demand registered 8.6% higher than a year ago but 3.3% lower than the same week two years ago.

Refiner/blender net inputs of ethanol declined 1.4% to 795,000 b/d, equivalent to 12.19 bg annualized. Net inputs were 1.3% more than a year ago but 8.9% less than the same week two years ago.

Imports of ethanol arriving into the West Coast were 36,000 b/d, or 10.58 million gallons for the week. This marks the first imports in thirteen weeks. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of November 2021.)



USDA Announces Conservation Reserve Program Signups for 2022

Agricultural producers and landowners can sign up soon for the Conservation Reserve Program (CRP), a cornerstone conservation program offered by the U.S. Department of Agriculture (USDA) and a key tool in the Biden-Harris Administration effort to address climate change and achieve other natural resource benefits. The General CRP signup will run from Jan. 31 to March 11, and the Grassland CRP signup will run from April 4 to May 13.

“We highly encourage farmers, ranchers and private landowners to consider the enrollment options available through CRP,” said Zach Ducheneaux, Administrator of USDA’s Farm Service Agency (FSA). “Last year, we rolled out a better, bolder program, and we highly encourage you to consider its higher payment rates and other incentives. CRP is another way that we’re putting producers and landowners at the center of climate-smart solutions that generate revenue and benefit our planet.”

Producers and landowners enrolled 4.6 million acres into CRP signups in 2021, including 2.5 million acres in the largest Grassland CRP signup in history. There are currently 22.1 million acres enrolled, and FSA is aiming to reach the 25.5-million-acre cap statutorily set for fiscal year 2022.

CRP Signups
General CRP helps producers and landowners establish long-term, resource-conserving plant species, such as approved grasses or trees, to control soil erosion, improve water quality and enhance wildlife habitat on cropland. 

Meanwhile, Grassland CRP is a working lands program, helping landowners and operators protect grassland, including rangeland and pastureland and certain other lands, while maintaining the areas as working grazing lands. Protecting grasslands contributes positively to the economy of many regions, provides biodiversity of plant and animal populations and provides important carbon sequestration benefits to deliver lasting climate outcomes.  

Alongside these programs, producers and landowners can enroll acres in Continuous CRP under the ongoing sign up, which includes projects available through the Conservation Reserve Enhancement Program (CREP) and State Acres for Wildlife Enhancement (SAFE).  



Fertilizer Prices Rise for Most Fertilizers

Most retail fertilizer prices were slightly higher the third week of January 2022. But as was the case last week, one fertilizer was lower in price looking back a month.  Seven of the eight major fertilizers were slightly higher, although none were up a considerable amount. DTN designates a significant move as anything 5% or more.

DAP had an average price of $863 per ton compared to last month, MAP $932/ton, urea $916/ton (all-time high), 10-34-0 $800/ton, anhydrous $1,433/ton (all-time high), UAN28 $585/ton (all-time high) and UAN32 $683/ton (all-time high).

10-34-0 hit the $800/ton level for the first time in this historic rise of retail fertilizer prices. The last time it was this high was the first week of March 2012 when starter fertilizer was $807/ton.

Like last week, one fertilizer was just slightly lower in price compared to a month ago. Potash was down just slightly and had an average price of $807/ton.

On a price per pound of nitrogen basis, the average urea price was at $1.00/lb.N, anhydrous $0.87/lb.N, UAN28 $1.04/lb.N and UAN32 $1.07/lb.N.

Retail fertilizer prices compared to a year ago show all fertilizers have increased significantly, with several fertilizers having well-over 100% price increases. MAP is now 69% more expensive, 10-34-0 is 71% higher, DAP is 78% more expensive, potash is 116% higher, urea is 146% more expensive, UAN32 is 176% higher, UAN28 179% is more expensive and anhydrous is 202% higher compared to last year.



Marubeni to Spin Off Gavilon Grain

Marubeni Corporation has announced that today, its Board of Directors has resolved that Marubeni will transfer the grain business of Gavilon Agriculture Investment, Inc. (“Gavilon”) to Viterra Limited (“Viterra”), following a reorganization of Gavilon’s structure. Currently, Gavilon is a subsidiary of Marubeni America Corporation (“MAC”), a 100% subsidiary of Marubeni, and its main businesses are the handling of grain and ingredients and fertilizer wholesaling in the United States.

The transfer is subject to closing conditions and the required regulatory approvals, and is expected to
close during the fiscal year ending March 31, 2023.

Marubeni is looking to further accelerate the growth of its grain business and agri-input (agricultural chemicals and fertilizers) business. As part of this, Marubeni will transfer the shares of Gavilon to Viterra after conducting an internal business reorganization involving the following three steps:
1. Eight of the grain elevators held and operated by Gavilon in the northern United States will be transferred to Columbia Grain International, LLC (“CGI”), a subsidiary of Marubeni.
2. Part of the equity interest of a JV grain export terminal business on the US West Coast (or Pacific Northwest, hereafter “PNW”) that is held by Gavilon will also be transferred to CGI*
3. Gavilon’s fertilizer business will be transferred to MAC.
 
During re-evaluations of its grain business strategies and goals, Marubeni deliberated on the significance of holding on to Gavilon’s grain business. Under the circumstances of the uptrend in the grain supply industry and Gavilon’s good outcomes recently, Marubeni recognized an opportunity to transfer Gavilon’s grain business on appropriate terms, and decided to conduct the transfer as it assessed it would be able to maximize its own consolidated asset value.

Marubeni is looking to enhance the ability of its grain business to meet demand for grain in Asian market especially Japan, a focus area for the business. To achieve this, Marubeni will work to further strengthen its grain business’s trade flow based on its grain handling operations in the northwest United States, and exportation from the PNW as its two major strengths. Moreover, in response to heightened consumer awareness and concern over health and environmental issues, Marubeni is concentrating on reinforcing the handling of specialty crops, as well as developing its processing and downstream businesses. Marubeni has positioned the eight grain elevators in the northern United States, and equity interest in the JV grain export terminal business in the PNW that are to be transferred to CGI, as the focal points within the abovementioned strategy.

Marubeni aims to further strengthen the presence of its fertilizer business within the domestic agri-input market in the United States. Under this strategy, Gavilon’s fertilizer business and Helena Agri-Enterprises, LLC (a subsidiary of Marubeni that operates an the agri-input retail business) will individually strive to expand the transaction volume and sales regions. Marubeni will also be pursuing the expansion of its agri-input business outside the United States by drawing on the expertise of human resources and knowhow accumulated in the United States over the years.



Bayer’s Grants4Ag Program Awards Funding for 21 New Crop Science Research Proposals

Bayer today announced its 2022 cohort of Grants4Ag grant recipients who were chosen to receive awards ranging from 5,000 to 15,000 Euros to help them complete research on challenges facing agriculture. 21 proposals make up this year’s Grants4Ag awardees with research goals including reducing agriculture’s carbon footprint, understanding social factors that influence innovation adoption, and improving the drought tolerance of plants in the face of more frequent extreme weather events.

“Bayer is the leader in agriculture research and development, but it’s very clear that given the complexity of the challenges farmers face around the world, we can’t solve every problem on our own,” said Phil Taylor, Open Innovation Lead for Bayer’s Crop Science Division. “We were thrilled at the quality of this year’s submissions and we’re looking forward to working with each of the grant recipients.”

As part of Bayer’s Open4Ag initiative Bayer’s Grants4Ag awardees retain all intellectual property rights to their research, and in addition to financial support successful researchers will also be paired with one of Bayer’s own scientists to provide project guidance as their research progresses. Through this commitment to partnership, and with support from innovation partnering platform Halo, Bayer received more than 350 proposals from researchers around the world during a five-week submission window this past fall.

Among the award winners is Jonathan Claussen from Iowa State University
Project: Biosensors for measuring agricultural inputs enabled by nanotechnology

Tell us about your research.
My research focuses on the fabrication of nanomaterials and nanostructured devices for a wide variety of applications including biosensors, energy harvesters, and cellular interface materials. My laboratory specializes in developing flexible and disposable graphene-based biosensors developed from inkjet and aerosol printing as well as through laser writing. These circuits are functionalized with biorecognition agents such as enzymes, aptamers, and ionophores for the selective detection of pesticides, fertilizers, performance biomarkers (e.g., lactate, glucose, and electrolytes), cancer biomarkers, and foodborne pathogens. We have also demonstrated how such circuits can be used to promote stem cell differentiation and to create thermoelectric energy harvesters.

Can you explain that to a non-scientist?
My research focuses on creating new materials with extremely small nanoscale dimensions, that is materials that are 100,000 times smaller than the width of a human hair. We create many of these nanomaterials by chemically breaking up graphite that is found in your pencil into very tiny nanosized flakes called graphene. We then take these flakes, formulate them into an ink, and print them in a machine that is similar to an office ink jet printer. The printed circuits are flexible and durable. We convert these circuits into sensors that can monitor pesticides, fertilizers, sweet analytes like lactate, glucose, and electrolytes, cancer biomarkers, and foodborne pathogens by attaching distinct bioreceptors to the graphene. We also use graphene and other nanomaterials to help stem cells transform into nerve cells as well as to create devices that can convert heat waste into electricity.

“Bayer’s Grants4Ag program is an amazing opportunity for my research, and I was very pleased to have been chosen as a grant recipient,” says Amy Lemay of Brock University. “Grants4Ag offers not only financial support, but also provides access to leading scientists at Bayer and mentorship opportunities that will help me to understand challenges and tactics that can further develop my research.”




ADM Reports Outstanding Results: Fourth Quarter Earnings per Share of $1.38, $1.50 on an Adjusted Basis; Full Year 2021 EPS of $4.79, $5.19 on an Adjusted Basis
    Full-year 2021 net earnings of $2.7 billion; adjusted net earnings of $2.9 billion
    Full-year 2021 segment operating profit up 34%, 38% on an adjusted basis
    2021 ROIC meets 10% objective
    Announcing 8% increase in quarterly dividend
    Great momentum driving optimism for strong 2022

ADM today reported financial results for the quarter and year ended December 31, 2021.

“Our record results reflect the continued success of our growth strategy and our culture of innovation and execution, which enabled our global team to successfully navigate through supply chain challenges while capitalizing on favorable demand dynamics to deliver an outstanding year,” said Chairman and CEO Juan Luciano.

“Just as importantly, we’re advancing our productivity and innovation actions to accelerate earnings growth,” Luciano continued. “We’ve positioned our portfolio to align with the enduring trends of food security, health and well-being, and sustainability. As we enter 2022, we’re well situated to capitalize on strong crush margins, driven by good demand for meal and for vegetable oil as a feedstock for renewable green diesel; a continuing healthy ethanol market, supported by increased domestic and export demand and better clarity of the regulatory landscape; and our robust Nutrition sales pipeline, as well as the accretion of our recent acquisitions in that business.

“Our excellent performance in the fourth quarter and throughout 2021 gives us great momentum going into the new year. We’re confident in our strategic plan continuing to deliver, which is why we’re pleased to announce an 8% increase in our quarterly dividend. I’m proud of our team, grateful for their efforts, and optimistic for another very strong performance in 2022 as we progress towards our strategic plan’s next earnings milestone of $6.00-$7.00 per share.”

Quarterly Results of Operations
Ag Services & Oilseeds results were largely in line with the prior year’s extremely strong quarter.
    Ag Services executed well to deliver strong results, just slightly off the outstanding fourth quarter of 2020, when the U.S. experienced exceptionally high export margins. Global Trade was substantially higher year over year, driven by solid risk management and improved results in global ocean freight.
    Crushing executed well in a continued solid demand environment for both soybean meal and vegetable oil. Results were lower year over year, driven by approximately $250 million of net negative timing impacts, versus negative $125 million in the prior-year quarter, as well as lower results in EMEAI versus a very strong Q4 2020. The majority of the negative timing effects are expected to reverse in the first half of 2022.
    Refined Products and Other results were substantially higher than the prior-year period, driven by strong volumes and margins in North America for refined oils, and improved margins in North America and EMEAI for biodiesel, more than offsetting weaker South American results due to the reduced biodiesel mandate.
    Equity earnings from Wilmar were higher versus the fourth quarter of 2020.

Carbohydrate Solutions results more than doubled year over year.
    Starches and Sweeteners, including ethanol production from our wet mills, was lower versus the fourth quarter of 2020, driven by higher input costs, including energy costs in EMEAI, as well as lower wheat milling volumes, partially offset by continued strong ethanol margins.
    Vantage Corn Processors results were substantially higher year over year, driven by historically strong industry ethanol margins as a result of strong demand relative to supply, as well as increased sales volumes due to production at the two dry mills that were idle in the previous-year period.

Nutrition had another extremely strong quarter, with revenue growth of 19% and operating profits 26% higher than the prior-year period; full-year operating profits were up 20% versus 2020.
    Human Nutrition results were substantially higher year over year, with strength across the business. Flavors continued its growth trajectory, driven primarily by improved product mix in EMEAI and continued strong performance from North America, partially offset by weaker APAC results. In Specialty Ingredients, overall profits were in line with the year-ago period as strong demand for plant-based proteins offset the impact of one-time insurance proceeds in the fourth quarter of 2020. Health & Wellness was higher versus the prior-year quarter, as the business continued to deliver growing profits in bioactives and fermentation.
    Animal Nutrition profits were much higher than the fourth quarter of 2020, driven primarily by continued strength in amino acids.

Other Business results were substantially higher, driven primarily by higher Captive Insurance underwriting results as the prior-year quarter included larger intra-company insurance settlements.

Dividend
ADM’s Board of Directors has declared a cash dividend of 40.0 cents per share on the company’s common stock, an 8.1% increase from last quarter’s dividend of 37.0 cents per share. The dividend is payable on March 1, 2022, to shareholders of record on Feb. 8, 2022. As of Dec. 31, 2021, there were 559,551,590 shares of ADM common stock outstanding.



Anaplasmosis Continues to Beset Global Cattle Ranching Industry as Rising Costs of Feed, Medicated Minerals and Disease-Testing Adds to Burden

As costs for medicated minerals, feed, and anaplasmosis testing continues to rise, University Products LLC underscored that the price for its widely effective anaplasmosis vaccine has remained unchanged for the last seven years. University Products is the maker and distributor of the only killed bovine anaplasmosis vaccine successfully deployed for over two decades. Developed by Gene Luther, D.V.M., Ph.D., the vaccine is already used in multiple U.S. states, Puerto Rico, and abroad.

"We've known for decades what kind of devastating effects anaplasmosis causes for the cattle industry," said Dr. Gene Luther. "The USDA studied this issue a few years ago, calling it 'a major obstacle to profitable beef production in the U.S.,' while conservatively estimating that anaplasmosis epidemics cost U.S. ranchers around $400 per animal – hundreds of millions in revenue lost each year. And that cost has only increased with inflation, while hay and feed prices have also dramatically increased – over 100% in some U.S. states – due to recent drought and supply chain issues. Regular consumers are already seeing price increases at the grocery store. So a rampant anaplasmosis outbreak at this point would be devastating. And with this disease, it's never of matter of if – but when. Anaplasmosis is a persistent annual problem."

Anaplasmosis is a blood disease carried by parasites (primarily ticks) that infects red blood cells, causing severe anemia and death. Traditional treatments for anaplasmosis have involved rigorous testing, tetracycline drugs in medicated feed, intensive supportive care including rest and close access to food and water, with blood transfusions for severe cases.

But these treatments are time-consuming, expensive, rarely cost effective, and have only varying degrees of success. Most importantly, tetracycline drugs do not eradicate the anaplasmosis organism, but instead, simply stop the disease from progressing in a single animal. So herds continue to spread the disease year after year, ensuring that rising treatment costs for ranchers becomes a regrettable seasonal fact.

"I recently called multiple ranchers and testing facilities, just to get a read on the current situation," said Dr. Luther. "Ranchers almost universally report that costs for medicated feed – the traditional treatment for anaplasmosis – and the anaplasmosis tests themselves have risen significantly. The range is falling between $13.50 to $18 per test, per animal, with multiple testing needed throughout the season. The price for our vaccine is comparable – depending on stockyard prices, you can vaccinate a herd of 100 cattle for the same cost of losing one cow to this disease. And vaccination is far more effective over the long term than mere testing and tetracycline mitigation."

The University Products vaccine does not prevent infection, but when properly used, significantly reduces clinical signs in at-risk animals. The vaccine requires only two doses in the first year with one annual booster each year thereafter, and is safe to use in any stage of bovine pregnancy.

"Now is the time to get a handle on this problem before spring and summer arrives – before vector season," Dr. Luther said. "We can't stress that enough."