Monday February 28 Ag News

 SPRING PLANTING ALFALFA
– Todd Whitney, NE Extension

Alfalfa can be successfully seeded in the Spring or Fall depending on field weed pressure; moisture conditions; and timing. Once established, perennial alfalfa plants can complete well with weeds. However, first year stand establishment can be a challenge when moisture is limited; and weed pressure is high.

If herbicide resistant weeds are currently growing in fields, then light tillage may be needed to control these weeds while creating a firm seedbed for alfalfa drilling. Also, combining light tillage plus herbicide may be a best management seedbed preparation practice.

Since new alfalfa seedlings are susceptible to injury from many herbicides, it is critical to follow all chemical label instructions. Usually, the alfalfa will need at least two to four trifoliated leaves before herbicides are applied; and 2,4-D usage is not recommended.

Glyphosate-tolerant or Round-up Ready alfalfa varieties provide more flexibility for controlling weeds currently growing in fields. Initial glyphosate application should occur between alfalfa emergence and 4th trifoliate leaf alfalfa growth stages to remove non-glyphosate tolerant alfalfa seedlings and control weeds that are present.

Our UNL “Seeding Alfalfa” NebGuide G2247 lists other steps for successfully establishing new alfalfa stands. For example, alfalfa grows best at 6.8 soil pH with a pH range from 6.5 to 7.5. Seed alfalfa between Apr. 1 and May 15 in eastern & southern Nebraska; and sow seed between April 15 and May 15 in western and northern regions.

Target seeding depth is ¼ to ½ inch in the find-textured soils and ¾ inch depth in sandy soils. Seedlings placed too shallow will dry out rapidly and die due to poor roots. While seeds planted more than 1 inch deep may be unable to emerge after germinating.
 


Record Spring Crop Insurance Guarantees Form Strong Safety Net for a Volatile 2022 Growing Season

This year's spring crop insurance guarantees are some of the highest on record, keeping pace with soaring input costs to provide a solid financial backstop in a growing season shrouded in volatility and uncertainty.

The spring crop insurance guarantee for corn is $5.90 per bushel, $1.05 higher than last year and the highest since 2011. For soybeans, the guarantee set a record at $14.33, up $2.46 from last year. Spring wheat also established a record at $9.19 per bushel, increasing 41% from last year's guarantee.

The guarantees are an essential component of revenue protection crop insurance policies, the most popular subsidized insurance option among U.S. farmers. The spring guaranteed prices are computed by averaging the daily closing price of the December corn, November soybean and September spring wheat contracts throughout February. Those numbers are combined with the farm's actual production history (APH) to determine a level of revenue. Farmers can elect to insure up to 85% of that revenue, with most choosing to purchase 75%, 80% or 85% depending on what the premiums are in their area.

Farmers should also expect premiums to increase along with the higher coverage levels.

Assuming farmers make USDA's trendline yield of 181 bushels per acre, the cost of production is $4.97 per bushel. If the farmer averages 200 bushels per acre, their cost of production falls to $4.50 per acre. If they purchase an 80% revenue protection policy, they're guaranteed a price of $4.71 per bushel.

On soybeans, a trendline yield of 51.5 bpa results in a production cost of $11.65 per bushel compared to an 80% guarantee of $11.46 per bushel.

On a related note..... Farmers who have not yet enrolled in the Agriculture Risk Coverage (ARC) or Price Loss Coverage (PLC) programs for the 2022 crop year have until March 15, 2022, to sign a contract.



Farmers Union Kicks Off 120th Anniversary Convention

National Farmers Union (NFU) convenes its 120th Anniversary Convention this afternoon in Denver, Colorado, to celebrate American farm families and to set the organization’s policy positions and priorities for the coming year. More than 450 Farmers Union members from across the country are expected to gather for the annual event, which runs through March 1.

“Our annual convention is an exciting opportunity for Farmers Union members to gather together, in person, to work towards our shared goal of economic prosperity and social justice. With all the challenges we face today, our grassroots organization is needed more than ever to confront these obstacles,” said NFU President Rob Larew.”

During the three-day event, family farmers and ranchers will hear from speakers on efforts to establish competitive markets in agriculture through the Fairness for Farmers campaign. There will also be a conversation with representatives from other essential workers’ organizations and institutions, and participants will consider what Farmers Union members and their communities can learn from the shared experience of the pandemic.

U.S. Secretary of Agriculture Tom Vilsack will virtually headline the general session on Tuesday. Senator Jon Tester of Montana will provide live remarks on Sunday evening, and Colorado Governor Jared Polis and Colorado Agricultural Commissioner Kate Greenberg will speak on Monday afternoon.

Outside of the general sessions, attendees will have the choice of several breakout sessions that include exploring NFU’s history of fighting for fair markets, engaging the next generation of agriculture leaders, addressing confusion on the carbon markets, and discussing the potential of biofuels.

These conversations will set the stage for the organization’s annual line-by-line policy review during the final day and a half of the convention.  

“Farmers Union members will determine the direction of our organization and will emphasize issues that Congress and the administration ought to address in the year ahead,” Larew explained. “The policies we adopt this week will be influential in Washington, D.C., because lawmakers know that NFU’s policies are representative of the collective interests and concerns of America’s farm and ranch families.”  

In addition to debating and voting on NFU’s policy book, delegates to the convention will elect the organization’s vice president. Two candidates – current NFU Vice President Patty Edelburg of Wisconsin and Jeff Kippley of South Dakota – have thrown their hats into the ring and will have an opportunity to present their platform. NFU President Rob Larew is running unopposed for re-election.

General session and panel discussions will be live streamed on NFU’s Facebook page at facebook.com/nationalfarmersunion. More information on convention programming can be found at nfu.org/convention. Follow along using the hashtag #NFU2022.



Johnson, Arends Awarded Farmers Union’s Highest Honor

National Farmers Union (NFU) yesterday presented its highest honor, the Meritorious Service Award, to two longtime stewards of the organization, who have dedicated their careers to strengthening family farm agriculture.  Former NFU president Roger Johnson and retired long-time NFU staff members Sue Arends, were awarded with the Meritorious Service Award to Farmers Union and to American Agriculture.

“Roger and Sue spent their lives and careers bettering life for American farm and ranch families and their communities,” said NFU President Rob Larew. “It is important to celebrate champions for family farmers and rural communities and to honor these individuals in particular for their service. I am proud to recognize their contributions with our organization’s highest honor, the Meritorious Service Award.”

Roger and Sue join past recipients of the Meritorious Service Award, including former Members of Congress and a former United States President, who have made particularly noteworthy contributions to family agriculture, humanity, and Farmers Union at the state and national levels.

Roger Johnson – Meritorious Service Award to Farmers Union and to American Agriculture
Roger Johnson provided National Farmers Union with strong and stable leadership during his tenure as president from 2009 to 2020. His leadership began in Farmers Union as a Torchbearer and he brought his philosophical commitment to the ideals of Farmers Union with him through other endeavors, including service as North Dakota’s commissioner of agriculture. Roger’s care for rural communities and agricultural professions has been evident throughout his life.

As president of National Farmers Union, Roger Johnson shepherded the organization through a variety of changes that ultimately put it on more solid financial footings and strengthened the Farmers Union brand. As a third-generation family farmer from Turtle Lake, N.D., and having graduated from North Dakota State University with a degree in agricultural economics, Roger’s broad and deep knowledge of the practicalities of farming and of agricultural policies and programs was a great asset to the organization in its legislative, educational, and cooperative work; he was uniquely well-versed in his advocacy for family farmers, their livelihoods, and their rural communities. Roger also prioritized Farmers Union’s commitment to the international community of farmers through NFU’s work with the World Farmers Organization.

Sue Arends – Meritorious Service Award to Farmers Union and to American Agriculture
Sue Arends has had a lifetime of involvement in Farmers Union and has demonstrated a deep commitment to the organization’s values, members, and board of directors. Sue grew up in a Farmers Union family in North Dakota, then spent the early part of her career with Rocky Mountain Farmers Union. She was hired by National Farmers Union in 1987, where she spent the remainder of her professional career until her retirement in 2019. In her work with Farmers Union colleagues and NFU’s board of directors, Sue provided not only an extensive knowledge of the organization and a careful watch over critical records, but also a warm and welcoming presence for newcomers and old friends alike.

Sue’s meticulous recordkeeping in her work at Farmers Union gave confidence to the organization’s leadership and members that the organization was operating in a legal and transparent manner. Sue provided crucial guidance during transitional periods in the National Farmers Union office and demonstrated over and over the importance of building relationships with Farmers Union members and colleagues so the organization could continue its important work. Again, Sue’s recordkeeping was invaluable in ensuring that the business of NFU’s annual convention was conducted appropriately.



NGFA encourages STB to establish pro-competition conditions for CP-KCS rail merger

In comments submitted to the Surface Transportation Board (STB) on Feb. 28, the National Grain and Feed Association (NGFA) encouraged the STB to ensure competitive opportunities for rail shippers continue under the merger of Canadian Pacific Railway and Kansas City Southern Railway.

“The NGFA generally does not oppose the merger of CP and KCS, but the Board should be proactive in conditioning any approval of the merger with conditions that strictly hold the railroads to their commitments concerning competition and service, and to generally preserve and encourage additional rail-to-rail competition…,” the comments stated.

STB announced it had accepted the merger application for consideration in November 2021.

CP and KCS serve separate regions, so their proposed merger would not pose the same problem as past major railroad mergers, which reduced shippers’ options from two Class I railroads to one, or three railroads to two, NGFA noted.

“However, despite the efforts of the STB to preserve rail-to-rail competition when evaluating and conditioning the approval of prior mergers between Class I railroads, the consolidation of the rail industry into essentially two rail duopolies in the Western and Eastern United States has resulted in the overall diminishment of rail-to-rail competition systemwide,” NGFA noted.

Therefore, the Board should practice “proactive vigilance” when it comes to imposing meaningful conditions on the merger designed to maintain competitive opportunities for rail shippers. Several areas in which the Board could do so include:
(1) establishing or directing the railways to establish reasonable terms for the continued use of existing gateways post-merger;
(2) clarifying that parties may challenge the reasonableness of Rule 11 rates established by the merged railroad at its interchanges with other railroads;    
(3) conditioning merger approval on the applicants agreeing to enter into reciprocal switching arrangements at certain locations; and
(4) enabling rail shippers and other customers of the merged railroad to seek payment of money damages for service failures that result from the railways failing to adhere to their representations concerning service levels post-merger.   

The Board also should maintain oversight over the implementation of the merger transaction for at least five years, consistent with prior merger proceedings, NGFA noted.



USDA Amends the National List for Organic Handling, Crops, and Livestock

The Organic Foods Production Act created the National List of Allowed and Prohibited Substances (National List) as a tool for managing the substances used in organic production over time. In general, natural substances are allowed in organics and synthetic substances are prohibited. The National List identifies the limited exceptions to these general rules. The National List also identifies nonagricultural and nonorganic agricultural substances (ingredients) that may be used in organic handling. Changes to the National List require a National Organic Standards Board (NOSB) recommendation and USDA rulemaking, a process that provides multiple opportunities for public comment.

Today, USDA published a final rule in the Federal Register amending the National List for substances scheduled to sunset in 2022, based on NOSB recommendations and public input.
National List Amendments: 2022 Sunsets final rule

This final rule addresses recommendations from previous NOSB public meetings to remove:
    One substance currently allowed in organic crop production (Vitamin B1).
    One substance currently allowed in organic livestock production (procaine).
    14 nonorganic ingredients (including eight nonorganic colors) currently allowed in organic handling. See the linked notice below for details.

 Based on public comment, this rule also renews the allowance for:  
    Sucrose octanoate esters for use in organic crops, and livestock production.
    Oxytocin for use in organic livestock production.  

This final rule is effective March 30, 2022.



Statistics Canada Reports 2021 Farm Cash Receipts

Statistics Canada reported total farm cash receipts for 2021 at a record $81.920 billion, up $9.896 billion or 13.7% from the previous year and higher for an 11th consecutive year. Statistics Canada reports a 9.2% increase in crop receipts, a 13.4% increase in livestock receipts and a 71.8% increase in direct payments which reached $5.9 billion, largely crop insurance payments.

Total crop receipts are shown at a record $46.049 billion, reported higher for a seventh consecutive year. As a percentage of total receipts, crop receipts make up 56.2% of total receipts, down from 58.5% achieved in 2020, which was the highest percentage seen in data going back to 1970.

At the same time, crop receipts include vegetables, fruit, cannabis, Christmas trees and various other crops. When cash receipts are totaled for all major or principal field crops, 2021 receipts total $32.269 billion, a record level that accounts for 70.1% of total crop receipts, up 1 percentage point from 2020.