Thursday January 26 Ag News

 Farm Credit Services of America Returns $341 Million in Cash-Back Dividends

Farm Credit Services of America (FCSAmerica) is returning $341 million of its 2022 net income to farmers and ranchers in Iowa, Nebraska, South Dakota and Wyoming. Cash-back dividend checks were mailed January 26, 2023, and will be in the hands of the customer-owners shortly.

FCSAmerica is a financial cooperative that, for the past 19 years, has shared its success through its cash-back dividend program. FCSAmerica has returned more than $2.9 billion to eligible customer-owners since 2004.

This is money that has gone into the pockets of local farmers and ranchers to invest in their operations and families and to spend in their communities.

“The benefit of our cash-back dividends grows exponentially with every investment our customer-owners make in their businesses and community,” said Mark Jensen, CEO and president of FCSAmerica. “Cash-back dividends are an important part of sharing our success with our customer-owners and supporting rural communities.”

This year’s cash-back dividend is equal to 100 basis points – or a return of 1% of a customer’s eligible daily 2022 balance with FCSAmerica. In Iowa, this equates to a 2022 payout of $124.5 million. This puts the total net income returned to Iowa farmers, ranchers and agribusinesses in the past 19 years at $1.2 billion.

The share of the 2022 cash-back dividend going to Nebraska customer-owners is $112.9 million for a 19-year total of nearly $906 million. South Dakota and Wyoming customer-owners have been mailed $56.6 million and $6.6 million, respectively, in 2022 cash-back dividends. Since 2004, FCSAmerica has returned a total of $561.5 million to South Dakota and nearly $68 million to Wyoming.

Customers whose cash-back dividends are distributed to locations outside FCSAmerica’s service territory are not included in the state-by-state totals.  

The Board of Directors for FCSAmerica also has approved a cash-back dividend to be paid from the cooperative’s 2023 net earnings, the amount of which will be determined in December.



Cuming Co Feeders Spring Events

Save the date for the Cuming County Feeders membership social Monday, February 20 at Indian Trails in Beemer.  Doors open at 6pm with a dinner & social time. Do not need to be a member to attend. And mark your calendar for the NEW banquet date, March 25th in West Point.



Schuyler Teacher Surprised with Teacher of the Year Award for Bringing Agriculture into the Classroom

The Nebraska Farm Bureau Foundation surprised Schuyler Elementary School teacher Ann Sobota with the 2023 Nebraska Agriculture in the Classroom Teacher of the Year award at a school assembly on Jan. 26.  The award is given to outstanding teachers that incorporate agriculture into their classroom through innovative ideas and lessons.

“Ann Sobota is a dedicated teacher who incorporates yearlong learning with Nebraska Agriculture in the Classroom. Her active participation makes her a great fit to be awarded for integrating agriculture into core classroom learning. The Nebraska Farm Bureau Foundation is pleased to honor her,” said Courtney Shreve, director of outreach education.

Sobota, a kindergarten teacher at Schuyler Elementary School, has been teaching for seven years. She participates in the Ag Pen Pal Program and Classroom Visits and was awarded a field trip grant for her classroom to take a trip to a dairy farm this spring.

“I’m so excited to take my students to the dairy farm this spring. This will be the first time visiting an actual dairy farm! Most of my students have never seen a dairy cow up close before and have never seen how we get milk from them,” said Sobota. “The field trip will also be a great way for my students to see the technology that goes into getting milk. It will definitely be an experience for everyone to remember for the rest of their lives.”

Sobota also participates in Nebraska Agriculture in the Classroom’s Classroom Visits. During these visits a professional educator comes into the classroom and teaches a grade-specific, hands-on lesson where students learn agriculture is their source of food, clothes, and shelter.

“My students have really loved the lesson, Apples Inside and Out. The students are super engaged and excited throughout this Nebraska agriculture lesson because they are able to put what they just learned into some real-life experiences,” said Sobota.

Sobota’s class also participated in the Ag Pen Pal program where they are paired with a Nebraska farmer to exchange letters.  Sobota’s students love looking at the pictures that they receive from their pen pal.

Sobota will receive an expense-paid trip to the National Agriculture in the Classroom Conference, an accurate agriculture book bundle featuring 12 books and corresponding literature guides, and a $250 cash prize. The conference, held June 26-29, 2023, in Orlando, FL, brings educators together from all over the United States to learn how to use agricultural concepts to effectively teach core subjects such as reading, math, science, and social studies. The conference features recognition for Teacher of the Year honorees, educational workshops, traveling workshops to agribusinesses and research facilities, and farm tours.



Extension offering financial record-keeping course for farmers and ranchers

The next session of “Know Your Numbers, Know Your Options,” Nebraska Extension’s four-part record-keeping course, will be held virtually from 12:30 to 2:30 p.m. Central time on Feb. 7, 14, 21 and 28.

Participants should plan on attending each of the four workshop dates. The course requires participants to have an internet connection.

This course is designed to help farmers and ranchers understand their current financial position and how big decisions like large purchases, new leases or changes in production will affect their bottom line. Participants will work through the financial statements of a case study farm, watching pre-recorded videos, completing assignments, and participating in video chats. Upon completion of this program, participants will have a better understanding of how financial records can be used to make decisions and confidently discuss their financial position with their family, business partners, and lenders.

The course fee is $20 per participant and class size is limited to 20 people. Registration will close Feb. 1 and may be completed on the Nebraska Women in Agriculture website, https://wia.unl.edu.

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



Nebraska Cattlemen Selects Priority Bills for the First Half of the 108th Legislative Session

Yesterday, during their annual Legislative Committee meeting, Nebraska Cattlemen (NC) selected three priority bills, LB783, LB242, and LB243, and took positions on eighty-nine pieces of legislation for the first half of the 108th Nebraska Unicameral legislative session

Jerry Kuenning, Chair of the NC Legislative Committee stated, “One of our most important jobs as Nebraska Cattlemen leadership is to support policies to protect Nebraska’s beef cattle producers. After a thorough review process, we have selected three priority bills, in accordance with Nebraska Cattlemen policy, that reinforce the dire need for property tax reform in our state. Property tax reform is critical for rural vitality, and we look forward to working with our state legislators to leave a better Nebraska for future generations of producers.”

LB783 brought forth by Senator Dave Murman (District 38) aims to eliminate community college districts’ ability to levy property taxes beginning in FY2026-27.

Further, Senator Tom Briese (District 41) introduced LB242 and LB243 to change existing legislation and provide additional property tax relief. LB242 seeks to change provisions of the Nebraska Property Tax Incentive Act, by removing the 5% allowable growth percentage cap and setting the Nebraska Property Tax Incentive at $1 billion for 2024. Senator Briese’s LB243 sets the minimum amount of relief granted under the Property Tax Credit Act at $700 million for 2024.

Background
Nebraska Cattlemen played a key role in the adoption of the largest tax relief package ever in the history of Nebraska, LB873, during the 107th Legislative Session. Specifically, the $205 million in property tax relief involving community colleges was a direct result of the work NC completed last winter in the Nebraska Cattlemen Taxation working group. Property tax relief remains one of Nebraska Cattlemen’s utmost priorities for the first half of the 108th legislative session.



Smith Named Trade Subcommittee Chair

Today, Rep. Adrian Smith (R-NE) was named Chairman of the Trade Subcommittee of the House Ways and Means Committee. Smith released the following statement:

“American consumers and producers are being forced to the sidelines of the global economy because of the Biden administration’s failure to put forward a proactive trade agenda. Trade has the potential to lower costs for American families, level the playing field for American products abroad, and expand opportunities for American small businesses.

“As chair of the Trade Subcommittee, I will work with my colleagues on both sides of the aisle to ensure we use every trade tool at our disposal to tackle supply chain and inflation crises, open new markets for American producers, and hold both our trading partners and bad actors accountable. We must also immediately reauthorize MTB and GSP. Considering each program’s broad, bipartisan support, there is no excuse for further delay in getting this done.

“Trade has never been more important to consumers and producers – it’s past time for our work to reflect that importance.”
 
Smith, a senior member of the Ways and Means Committee, also serves on the Health as well as Work and Welfare Subcommittees. He served as Ranking Member of the Trade Subcommittee in the 117th Congress. Additionally, he previously chaired the Subcommittee on Human Resources and was Ranking Republican on the Subcommittee on Select Revenue Measures.



Impact of Irrigation Technologies on Water Use

When investing in new irrigation technologies (e.g., cost-share programs), it is important to understand what the benefits are for both the producer and the watershed. The various components of the water cycle help explain how changes at the field scale impact water resources at the watershed scale. Consumptive use of water is a particularly important topic for making this connection; however, consumptive use tends to be a difficult concept to grasp.

A new NebGuide addresses this need by providing a clear presentation of the topic of consumptive use in the context of irrigated crop production. In the NebGuide, guidelines are given for determining whether a new irrigation technology that may reduce water withdrawals for irrigation will also reduce consumptive use of water, resulting in more water stored in the watershed, available to other water users or for later use.

The new extension publication, “Impact of Irrigation Technologies on Water Use,” is available online at https://bit.ly/3XTOCqG.

The NebGuide was reviewed by Xin Qiao, Chuck Burr and Aaron Nygren.



Farm Bureau Reminds Nebraskans to Claim Their Property Tax Relief During Tax Season

Nebraska Farm Bureau is reminding Nebraskans to claim their property tax relief through the state’s refundable income tax credit. The refundable income tax credit is considered property tax relief as the credit is based on property taxes paid to K-12 schools and community colleges. Nebraskans who paid property taxes on real property in 2022 are eligible to claim a credit equal to 30 percent of the property taxes paid to both K-12 schools and community colleges when they file Nebraska income taxes.

“Nebraska Farm Bureau was a strong advocate for the legislation that created the refundable credit for property taxes paid to K-12 schools. We were equally strong proponents for the legislation that passed last year establishing a similar credit for property taxes paid to community colleges,” said Mark McHargue, Nebraska Farm Bureau president. “Farm Bureau is working to provide tax relief and we don’t want Nebraskans to miss out on claiming their refund, particularly when it’s worth nearly a third of the taxes they paid to schools and community colleges. Nebraska property taxpayers could see thousands of dollars in tax relief.”

To claim the credit, Nebraskans need to include Form PTC 2022 when they file their income taxes, which can be found on the Nebraska Department of Revenue website. Those who haven’t claimed the credit for property taxes paid to K-12 schools in 2020 or 2021 can still do so using the PTCX Forms. Nebraska Farm Bureau has made it easy by setting up webpage with a step-by-step video to help Nebraskans fill out the correct forms to claim the refundable income tax credit. The page can be accessed by visiting www.nefb.org/taxcredit. Nebraska Farm Bureau recommends seeking guidance from a tax professional or the Nebraska Department of Revenue for specific questions on the tax credit. More background on the credit can be found on their website.

Nebraskans can also help protect the property tax relief provided by the state by encouraging their peers serving on local government and school boards to hold the line on spending, particularly in areas where property valuations have climbed significantly, creating a windfall that allows those entities to collect more property taxes.

“Controlling spending at the local level is key to reducing property taxes and preventing erosion of the property tax relief the Legislature has provided through the tax credit for property taxes,” said McHargue. “We look forward to continuing to work with Governor Jim Pillen, the Legislature, and local elected leaders to provide property tax relief for Nebraskans.”



 FSA Reminds Producers of ARC/PLC Commodity Crop Safety Net Enrollment for 2023 Production Season
 
Nebraska USDA Farm Service Agency (FSA) is reminding producers now is the time to make elections and enroll in the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs for the 2023 crop year. The signup period is open through March 15, 2023, and producers are encouraged to begin working with their USDA county Farm Service Agency (FSA) office now to complete the process.

Producers can learn about the ARC and PLC options during a University of Nebraska-Lincoln Center for Agricultural Profitability webinar scheduled for 12:00 p.m. CT on Tuesday, Feb. 7. Cathy Anderson, production and compliance programs chief for the Nebraska Farm Service Agency, and Brad Lubben, extension policy specialist in the University of Nebraska-Lincoln’s Department of Agricultural Economics, will present and share information relevant for producers, ag professionals and ag stakeholders.

Registration for the webinar is free and can be found at cap.unl.edu/webinars.

ARC and PLC are key USDA safety-net programs that help producers weather fluctuations in either revenue or price for certain crops.

“Safety-net programs like ARC and PLC are designed to help producers mitigate some of the financial stressors associated with crop production. I encourage farmers to evaluate their program elections and enroll for the 2023 crop year,” said Nebraska FSA State Executive Director John Berge.

ARC provides income support payments on historical base acres when actual crop revenue declines below a specified guaranteed level. PLC provides income support payments on historical base acres when the effective price for a covered commodity falls below its reference price.

Covered commodities include barley, canola, large and small chickpeas, corn, crambe, flaxseed, grain sorghum, lentils, mustard seed, oats, peanuts, dry peas, rapeseed, long grain rice, medium and short grain rice, safflower seed, seed cotton, sesame, soybeans, sunflower seed and wheat.

Producers can elect coverage and enroll in ARC-County or PLC on a crop-by-crop basis, or ARC-Individual for the entire farm, for the 2023 crop year. Although election changes for 2023 are optional, enrollment (signed contract) is required for each year of the program. If a producer has a multi-year contract on the farm, it will be necessary to sign a new contract for the farm by the March 15th deadline if a 2023 election change is desired.

If an election is not submitted by the deadline of March 15, 2023, the election defaults to the current election for crops on the farm from the prior crop year.

All program participants are encouraged to review their previous program elections, Berge said.



Christie Wiebbecke Selected as Senior Director of Research for the Iowa Soybean Association's Research Center for Farming Innovation
 
The Iowa Soybean Association (ISA) welcomes Christie Wiebbecke, Ph.D., as the senior director of research for ISA’s Research Center for Farming Innovation (RCFI). After nearly two decades in research and development with an emphasis in soybean breeding, Christie assumes leadership of the nationally recognized research team.
 
“I am thrilled to join ISA’s RCFI serving Iowa farmers,” says Wiebbecke. “After spending most of my career focused on genetics and varietal selection, I am excited to champion on-farm research and implementation efforts of the RCFI team enhancing the capabilities of Iowa soybean operations to improve productivity, profitability, and sustainability.”
 
An Iowa native, Wiebbecke received her Bachelor of Science in Agronomy from Iowa State University and Master of Arts in Education: Curriculum and Instruction from Chapman University. She holds a Doctor of Philosophy in Plant Breeding from Iowa State University.
 
Wiebbecke began her career as a teacher, sharing her passion for learning, science and agriculture with students. She then channeled her efforts on research and development, focusing on soybean breeding for more than 16 years, including a decade spent as a soybean breeder developing new varieties for farmers. Most recently, Christie served as a soybean technical product manager with Corn States—Bayer’s commercial licensing organization.
 
“We are so excited to have Christie join the ISA team as she assumes overall leadership of our research and conservation programs and projects,” says Kirk Leeds, ISA CEO. “ISA continues to provide real world answers and solutions to the research challenges that Iowa’s soybean farmers are facing. Christie will lead a team focused on using the best information possible to help farmers improve agronomic performance while enhancing and expanding conservation practices.”
 
Wiebbecke was named to the position following the May 2023 retirement of Ed Anderson, Ph.D., who will continue to serve soybean farmers in a contractual role as executive director of the North Central Soybean Research Program.
 
To get involved with ISA research, visit iasoybeans.com.



Iowa Cattlemen’s Association to offer free, educational programs

The Iowa Cattlemen’s Association will host three educational programs during the month of February. Tanner Lawton, ICA member services manager said each program will include a meal, educational sessions, a trade show, and an industry update from the Iowa Cattlemen’s Association and Iowa Beef Industry Council.

“We felt it was important to bring more educational opportunities to your backyard this year. Each forum will feature guest speakers talking about a variety of industry topics and a trade show with vendors ready to share their newest products and technologies to help make your operation more efficient and profitable,” he said.

On Feb. 7, in Guthrie Center, Iowa, Dr. Lee Schulz, Iowa State University Livestock Economist, will provide attendees with a Cattle Market Outlook while Randie Culbertson, Cow-Calf Specialist at Iowa State University, will discuss practices and preparations to consider implementing this year.

In Cascade, Iowa, on Feb. 8, Stockguard will discuss the importance of preparing and protecting your operation from declines in market practices for financial stability. Carl Babler will also provide a Cattle Market Outlook update.

The final Cattle Producer Forum in February will be held on Feb. 23 in Royal, Iowa. Attendees can count on a Cattle Market Outlook update from Zach Tindall with Producers Livestock.

All events begin at 5 p.m.

Producers can register to attend by calling 515-296-2266. Registration is not required, but appreciated. Walk-ins are welcome. Non-members are encouraged to attend for $20.

February 7, 2023
Guthrie Co. Fairgrounds
Community Building
408 W State St., Guthrie Center, IA

February 8, 2023
Legion Hall
301 Jackson St. NE, Cascade, IA

February 23, 2023
The Great Hall of Royal
300 1st Ave., Royal, IA

If you can’t make it in February, there are three other opportunities during March. More details for these forums will be available soon.

March 1, 2023
Washington Co. Extension Office
2223 250th St., Washington, IA

March 21, 2023
Keystone Turner Hall
91 2nd Ave., Keystone, IA

March 28, 2023
Newton Fore Seasons
6232 Hwy S74 S, Newton, IA



Iowa Leopold Conservation Award Seeks Nominees

Are you a farmer or forestland owner who is improving soil health, water quality, and wildlife habitat on your working land? Apply for the 2023 Iowa Leopold Conservation Award®.

Sand County Foundation and national sponsor American Farmland Trust present the Leopold Conservation Award to farmers, ranchers, and forestland owners in 25 states for extraordinary achievement in voluntary conservation. In Iowa, the award is presented with state partners: Conservation Districts of Iowa, Farmers National Company, and Practical Farmers of Iowa.

Given in honor of renowned conservation Aldo Leopold, the award recognizes landowners who inspire others with their dedication to land, water, and wildlife habitat management on private, working land. In his influential 1949 book, “A Sand County Almanac”, Leopold called for an ethical relationship between people and the land they own and manage.

Nominations may be submitted on behalf of a landowner, or landowners may nominate themselves. The application can be found at www.sandcountyfoundation.org/ApplyLCA.

The application deadline is July 1, 2023. Applications can be emailed to Award@sandcountyfoundation.org. Applications will be reviewed by an independent panel of agricultural and conservation leaders.   

The recipient receives $10,000, and their conservation success story will be featured in a video and in other outreach. The recipient will be announced at The Big Soil Health Event in December. Last year’s inaugural recipient of the award was Pinhook Farm of Clarinda.

“It’s critical we continue to recognize and life up the Iowa farmers and ranchers who are prioritizing conservation on their working lands,” said Sally Worley, Practical Farmers of Iowa Executive Director. “PFI is proud to support the Iowa Leopold Conservation Award and its commitment to conservation in agriculture.”

“The landowner plays a critical role in the conservation of America’s farmland resources. Sustainable practices not only benefit the local environment and community, but also improves the quality and value of the land as an asset for the current owner, and future generations,” said Clayton Becker, Farmers National Company President. “This is why Farmers National Company is honored to sponsor this prestigious award recognizing hard work and a commitment to conservation.”

“The conservation ethic inspired by Aldo Leopold is very strong in Iowa. He was born and raised in Iowa where he learned to love the land. That same land is now loved and preserved by many other great conservationists,” said John Whitaker, Conservation Districts of Iowa Executive Director.

“Recipients of this award are examples of how Aldo Leopold’s land ethic is alive and well today. Their dedication to conservation shows how individuals can improve the health of the land while producing food and fiber,” said Kevin McAleese, Sand County Foundation President and CEO.

“As the national sponsor for Sand County Foundation’s Leopold Conservation Award, American Farmland Trust celebrates the hard work and dedication of farmers, ranchers and forestland owners,” said John Piotti, AFT President and CEO. “At AFT we believe that conservation in agriculture requires a focus on the land, the practices and the people and this award recognizes the integral role of all three.”

The Iowa Leopold Conservation Award is made possible through the generous support of American Farmland Trust, Conservation Districts of Iowa, Farmers National Company, Practical Farmers of Iowa, Sand County Foundation, Soil Regen, USDA Natural Resources Conservation Service, Nancy and Marc DeLong, Iowa Corn, Iowa Agriculture Water Alliance, and Iowa Farmers Union.   



Summit Panel Will Explore Ethanol Markets Beyond Vehicles

When most people think of ethanol use, they think of cars, SUVs and other light-duty vehicles. However, interest in cleaner, greener and cheaper alternatives to fossil fuels is opening up new markets. The Iowa Renewable Fuels Summit has brought together a panel of experts to share their work to unlock these alternative uses for ethanol.

The Beyond Vehicles: New Opportunities for Ethanol panel will include:  
    Lindsay Fitzgerald, Vice President of Government Relations for Gevo, Inc, a company working to produce sustainable aviation fuel (SAF) from ethanol.
    Dr. BJ Johnson, CEO and Co-Founder of ClearFlame Engine Technologies, whose advances are unlocking heavy-duty engines for ethanol.
    John Rosenfeld, Vice President Commercial/Strategic for Proteum Energy, who is working on an ethanol-to-hydrogen pathway.
    Moderator: Grant Menke, Deputy Secretary of Agriculture of the Iowa Department of Agriculture and former Vice President of Market Development for the Iowa Corn Promotion Board.

“While ethanol is poised to remain the premier low carbon fuel for light-duty vehicles for decades to come, emerging market opportunities highlight exciting growth opportunities that could boost the farm economy,” stated Iowa Renewable Fuels Association (IRFA) Executive Director Monte Shaw. “These experts will shed some light on their technologies specifically and on the exciting future of new ethanol uses in general.”

The Iowa Renewable Fuels Summit is taking place on February 7 at the Community Choice Convention Center at the Iowa Events Center. Attendance is free and open to the public, but registration is required. To register to attend and learn more, visit IowaRenewableFuelsSummit.org.



First-of-Its-Kind Research Identifies $400 Million in Unrealized Soybean Value

In some instances, two heads are better than one. For a new multi-regional research effort, five organizations put their heads together to achieve full genetic yield potential of the soybean. A new partnership, the first of its kind in more than 40 years, aims to increase soybean flower and pod retention. This unrealized value could bring $50 per acre or $400 million in economic return for U.S. soybean farmers.

The collaborative focus will test how heat and drought impact flower bud retention. Flower production dictates the final pod number and, ultimately, yield in soybeans. The Atlantic Soybean Council, Mid-South Soybean Board, North Central Soybean Research Program, Southern Soybean Research Program and United Soybean Board all agree this is a priority issue impacting the entire industry.

“Farmer-leaders across the major soybean regions came together and asked: ‘What roadblocks do we face, and how can we combine research dollars to make the most impact?’” said Suzanne Shirbroun, president of the North Central Soybean Research Program and Iowa farmer. “While we all farm differently across the country, we also share common challenges. Together we can focus on one large-scale research objective to reduce a major deterrent that limits productivity.”

Although flower retention is a leading cause of soybean yield loss in the U.S., no organized effort exists to address it. Farmers experience about 30% of flower loss under favorable conditions and up to 80% under drought and heat stress.

Texas Tech University, in collaboration with Kansas State University, the University of Missouri and the University of Tennessee, will lead the research on this national effort. At the helm, Principal Investigator Krishna Jagadish at Texas Tech University will compile data from dryland, irrigated, severe drought and heat stress growing conditions. In total, 250 diverse genotypes with publicly available whole genome resequencing data will be assessed over the span of this three-year farmer investment.

“The collaboration and alignment of research priorities among our farmers enable advancement of groundbreaking collaboration by regional soybean research groups,” said Keenan McRoberts, Ph.D., United Soybean Board vice president of strategic alignment. “This partnership and the resulting collaborative investment could improve the future of soybean production. It has the potential to strengthen soybean resiliency, increase productivity and bring economic returns back to the farm.”

Understanding the genetic diversity of flower loss opens the door to untapped yield potential in soybeans. The novel phenotyping system, which detects expressions of the various genotypes, will:
    Capture genetic variation across cultivars.
    Identify molecular switches to enhance flower and pod retention.
    Help develop advanced breeding lines. Ultimately, the goal is to increase flower and pod retention by 20% to 30%. That in turn could enhance yields by 10% to 15%.

“Partnering on research of this magnitude is especially important as we continue to experience challenging weather events,” said Shirbroun. “This is one example of how we can invest checkoff dollars collectively that benefits soybean farmers across 30-plus states.”



 Exports Buoy Dairy as Inflation Erodes Domestic Demand

Retail dairy product price inflation continued to affect domestic commercial use of milk during the September–November period, even as inflation itself rose more slowly than in previous months. U.S. dairy exports that are on track to set a new calendar-year record as a percent of U.S. milk solids production, at about 18 percent, helped buttress prices against the domestic-use decline. The national average milk price continues its gradual decline from the all-time high it achieved in May, while still remaining at historically high levels. Stocks of butter and cheese continue to drop, but so do their prices as well.

Price-feed cost margins under the Dairy Margin Coverage (DMC) program remained well above the $9.50/cwt maximum coverage level in November, but forecasts indicate the margin will soon drop below this level for well into the summer.

VIEW FULL REPORT https://www.nmpf.org/exports-buoy-dairy-as-inflation-erodes-domestic-demand/.  




American Dairy Coalition announces 2023 federal policy priorities, action plan

American Dairy Coalition, a grassroots dairy farmer-led organization with diverse geographic representation, announced federal policy priorities and an action plan for 2023.
 
“Our ongoing efforts have been focused on raising awareness of short- and long-term challenges, collaborating with experts to understand these challenges, proposing practical solutions, and engaging dairy farmers to have a strong independent producer voice at the table on issues of dairy markets and policy,” said Laurie Fischer, ADC CEO.
 
Milk Pricing
 One key short-term priority is to see the Class I milk price ‘mover’ returned to its previous ‘higher of’ formula in the 2023 Farm Bill.
 
“The 2018 Farm Bill made the change away from the ‘higher of’ to a ‘simple average’ with a 74-cent adjuster without hearings and without producer referendum. We want to see an equally quick path to change it back,” said Fischer. “We understand this change was intended to be revenue-neutral, but producers ended up being harmed by how it affected their milk checks and risk management strategies, especially during periods of market stress and volatility when they have the most risk to manage.”
 
For the long-term, ADC seeks a national Farm Bill hearing on the sustainability of Federal Milk Marketing Orders (FMMO).
 
“The systemic issues of declining fluid milk sales and declining FMMO participation create instability and uncertainty for dairy farmers. The FMMO system is the only structure for price discovery, market transparency, payment oversight, and other services in an increasingly less competitive, less transparent, and globally significant dairy market, where farmers have fewer milk buyer options and more demands being placed on their farm business practices,” Fischer said.
 
Nutrition Innovation
 Declining Class I fluid milk sales and declining overall FMMO participation have accelerated during the decade since 2012, when federal nutrition policies removed whole and 2% milk options from schools and other nutrition programs.
 
Class I fluid milk sales are what the FMMO system is based on, and Class I milk processors are the only ones required to be regulated by the FMMO.
 
“In our webinars and discussions with experts, we see Class I sales are now below 20% of total U.S. milk production. This decline and the Class I pricing change together create conditions for massive de-pooling of milk,” Fischer pointed out, citing data showing federal and state milk marketing order participation fell from a high of 85 to 95% prior to 2012, to 60% in 2021.
 
“Fluid milk has been under attack. We want to see federal policies prioritize nutrient density and release the vice-grip of fat restrictions while restoring truth and integrity in the labeling of milk and dairy products vs. non-dairy alternatives so consumers are able to make informed choices for themselves and their families,” she said.
 
ADC supports restoring whole milk in federal nutrition programs like National School Lunch and Breakfast Programs and WIC. This includes exempting nutrient-dense foods like whole milk from the fat limits the Dietary Guidelines impose on nutrition programs and dairy checkoff promotions.
 
“We believe pilot programs to get whole white and whole chocolate milk options back into schools would empower children to make healthy choices, to choose milk they will enjoy and therefore benefit from, and improve the next generation performance of the fluid milk category,” she said.
 
Conservation and Climate
“Cows are also under attack, and ADC is standing up for them as dairy farmers face increased public and private scrutiny of methane emissions. In today’s ‘net-zero’ world -- with the complications of climate targets and data tracking -- it is critical that public and private policies reflect the truth: Cows are not cars,” said Fischer.
 
“An enormous error is being made in calculating the global warming potential of cow belches using a calculation that greatly overstates their impact. Cow biology is part of a natural cycle that has been going on since the beginning of time. If we don’t get this fundamental methane calculation correct -- using GWP-star instead of GWP100 -- farmers will find themselves constantly trying to make up for the natural biology of their cows, even though this belched methane is not new. It is continually recycled through the air, plants, cattle, and the nutrient-dense milk and dairy foods they produce,” Fischer notes.
 
This methane, this carbon equivalent, is short-lived, not long-lived. It is existing carbon that is recycled, not previously sequestered carbon being extracted.
 
“Cattle truly are recyclers and upcyclers, and dairy farmers are essential food producers that are closest to nature as the bottom rung of the vital food production ladder. It is essential that sustainability initiatives be voluntary and incentive-based, not punitive. It’s essential that farmer access to capital and markets not hinge on climate targets, that farmers get credit for what they are already doing, that they be recognized as leaders and have the ability to retain control and ownership of their data and achievements as part of their own farm’s footprint -- no matter how those credits may be counted within or outside of the supply chain,” Fischer added.
 
American Dairy Coalition is ready to collaborate on these and other priorities so that all sectors of the dairy industry can successfully manage their businesses producing vital milk and dairy foods and getting them from farm to table in a hungry, dynamic changing world.



National FFA Organization Selected to Participate in the Advancing Racial Equity Community of Practice Initiative

The National FFA Organization is excited to announce its participation in a new community of practice with other nonprofit organizations focused on advancing racial equity. Over the next six months, leaders in the National FFA Organization will work with The Bridgespan Group to strengthen their approach to advancing racial equity internally and externally. The Advancing Racial Equity Community of Practice, led by The Bridgespan Group, is funded by the Walmart Foundation.

“We believe FFA and agricultural education is a place for all,” said Scott Stump, CEO of the National FFA Organization. “By partnering with other nonprofits through this initiative, we can expand our capacity to seek and promote inclusion and diversity in our membership, leadership, and staff to reflect the belief of the FFA in the value of all human beings.”

 The National FFA Organization is participating in the cohort alongside nine organizations: American Red Cross, Center for the Future of Arizona, Education Design Lab, Goodwill Industries International, National Voluntary Organizations Active in Disaster (VOAD), Team Rubicon, The Recycling Partnership, Winrock International, and World Wildlife Fund.  

The Walmart Foundation is providing philanthropic funding to the National FFA Organization. The funding will assist in supporting the National FFA Organization to collaborate with others to share best practices and learnings on their work to prioritize equity.

“We can make a greater impact when we come together to support each other’s journeys to advance racial equity,” said Kirstie Sims, Senior Director, Walmart.org Center for Racial Equity. “We heard from many nonprofit organizations we work with, at varying sizes and points in their racial equity journey, that they wanted to learn and share best practices, knowledge and challenges with others. The Bridgespan Group’s leadership of the Advancing Racial Equity Community of Practice provides that space.”    



Growth Energy Applauds DOE Investment in Biofuels Projects

Emily Skor, CEO of Growth Energy issued the following statement in response to the U.S. Department of Energy's announcement that it would allocate $118 million to expand the production of biofuels:

“The funds awarded today by the DOE will undoubtedly accelerate the innovations taking place at U.S. ethanol plants, opening new opportunities for low-cost, low-carbon energy. As the president has said, we simply can't get to net-zero by 2050 without biofuels. Today's announcement shows that DOE remains committed to that mission. We're excited to see new technologies scaled up with these funds, particularly the work underway at Marquis, Inc., a Growth Energy member slated to receive $8 million for a project that combines CO2 with low-carbon hydrogen to create a new production stream of extra-low-carbon ethanol, slashing emissions by at least 70% or more compared to petroleum-based alternatives.
 
Growth Energy applauds the Biden administration for delivering another powerful demonstration of ethanol’s role in our clean energy future."



USDA Issues First National Hemp Report

The U.S. Department of Agriculture’s (USDA) Agricultural Marketing Service (AMS) announced today the issuance of the first edition of the new weekly National Hemp Report (pdf). The free and publicly available National Hemp Report (https://www.ams.usda.gov/mnreports/fvhemp.pdf) provides unbiased, timely, and accurate data to help industry stakeholders make business decisions.

The National Hemp Report contains retail advertised prices of hemp products nationally and by region, along with volumes and cost, insurance, and freight (CIF) values of hemp imports into the United States. The report will be issued every Wednesday.

“USDA has recognized the hemp industry’s need for timely market information,” said Under Secretary for Marketing and Regulatory Programs Jenny Lester Moffitt. “The National Hemp Report will equip stakeholders with weekly price and volume information to help guide smart business decisions.”

Retail advertised prices for hemp are currently available as part of the National Retail Report-Specialty Crops. This new report will be the first-time movement volumes or CIF values of hemp commodities will be published by USDA Market News. It is also the first Market News report dedicated solely to this new commodity group. The National Hemp Report will expand in the future to include additional market information pending ongoing industry engagement.

The National Hemp Report, along with other Market News reports and data, is available on the AMS Specialty Crops Market News web page. You can reach the report through the Hemp Production webpage. You can also subscribe to receive the report through the USDA Economics, Statistics and Market Information System (ESMIS). Additionally, the National Hemp Report is available on My Market News and through the USDA Market News App. The free app is available in both iOS and Android versions and may be downloaded through the Apple and Google Play stores.