Monday July 3 Crop Progress + Ag News

 Independence Day Celebration: Food Independence
Alfredo DiCostanzo, Nebraska Beef Systems Extension Educator

As I write this column, on the eve of celebrating the 247th year of Independence of the United States of America, there is good reason to share feelings of gratefulness. We live in a nation in which “We hold these Truths to be self-evident, that all Men are created equal, that they are endowed, by their Creator, with certain unalienable Rights, that among these are Life, Liberty, and the Pursuit of Happiness.”  Based on these principles, the great men that drafted the Constitution of the United States of America established the basis for an independent nation, which has become an example of self-government and prosperity to the World.

Free enterprise in the United States has permitted creativity and progress for a nation that has now grown to over 330 million people. Freedom to conduct legitimate businesses in the United States also permitted improvements in livestock production efficiency. This permits Americans to spend relatively little money on food. In 2021, the average American spent 12% of their income in purchasing food but 34% of their income on housing.

Despite what we hear about inflation effects on prices, the average American only spent 1.7% of their income to purchase meats, poultry, fish, and eggs in 2021. It is interesting to note that, although of the three major meats groups (beef, pork, and poultry) beef expenditure was the largest ($293), the difference ($70 to $90 per person) between expenditure on beef and those on the other two meats was relatively small (pork, $223; poultry, $203).  

We often hear critics of beef production using differences in production efficiency (or effects on the environment) as arguments for consuming less beef or switching to plant-based diets. Yet, when accounting for the entire production system and consumer attitudes, consumer expenditures in beef are only 1.3 to 1.4 times the expenditures in pork and poultry, respectively. This is simply a reflection of choice based on income and appetite for one meat over another: a perfect example of freedom to choose.

While I am discussing choice by consumers among the major meat groups, it may be worthwhile to consider the proportion of individuals that refrain from consuming meat:  vegetarians. According to various statistics, the proportion of vegetarians in the US is 5% of the population. This statistic is surprisingly low considering the tremendous amount of news, information and misinformation regarding meat production and the environment, human health, or quality of life for livestock.

Perhaps what consumers say is different than what consumers do. Regardless, they do recognize a good thing:  inexpensive meat, fish, and egg protein for sale in America. My hope is that they reserved a portion of their plate for a good cut of beef or hamburger on July 4th to celebrate our Independence Day.



NEBRASKA CROP PROGRESS AND CONDITION

For the week ending July 2, 2023, there were 5.0 days suitable for fieldwork, according to the USDA's National Agricultural Statistics Service. Topsoil moisture supplies rated 26% very short, 26% short, 46% adequate, and 2% surplus. Subsoil moisture supplies rated 31% very short, 37% short, 31% adequate, and 1% surplus.

Field Crops Report:
Corn condition rated 6% very poor, 11% poor, 34% fair, 37% good, and 12% excellent. Corn silking was 3%, near 1% last year, and equal to the five-year average.

Soybean condition rated 7% very poor, 15% poor, 35% fair, 33% good, and 10% excellent. Soybeans blooming was 20%, near 22% last year, and behind 27% average.

Winter wheat condition rated 8% very poor, 20% poor, 28% fair, 42% good, and 2% excellent. Winter wheat harvested was 3%, behind 19% last year and 9% average.

Sorghum condition rated 2% very poor, 7% poor, 38% fair, 47% good, and 6% excellent. Sorghum headed was 2%, near 4% last year and 6% average.

Oats condition rated 4% very poor, 11% poor, 46% fair, 35% good, and 4% excellent. Oats headed was 83%, behind 95% last year and 92% average.

Dry edible bean condition rated 0% very poor, 2% poor, 37% fair, 60% good, and 1% excellent. Dry edible beans emerged was 88%, near 92% last year.

Pasture and Range Report:
Pasture and range conditions rated 7% very poor, 15% poor, 38% fair, 38% good, and 2% excellent.



Iowa Crop Progress Report

The southern third of Iowa finally received some much-needed rain, which reduced the days suitable for fieldwork to 5.1 during the week ending July 2, 2023, according to the USDA, National Agricultural Statistics Service. Field activities included cutting hay and spraying crops. Some reports were received of farmers getting equipment ready to start the oat harvest soon.

Topsoil moisture condition rated 17 percent very short, 38 percent short, 44 percent adequate and 1 percent surplus. Subsoil moisture condition rated 21 percent very short, 40 percent short, 38 percent adequate and 1 percent surplus.

Reports of corn starting to silk were received, hitting 4 percent this week. Corn condition rating improved to 61 percent good to excellent.

Twenty-five percent of soybeans were blooming, 5 days ahead of last year and 2 days ahead of the 5-year average. There were reports of soybeans starting to set pods. Soybean condition rose to 53 percent good to excellent.

Forty-three percent oats were turning color, 1 week ahead of last year and 5 days ahead of normal. Oat condition increased to 50 percent good to excellent.

The State’s second cutting of alfalfa hay reached 35 percent complete, 8 days ahead of last year and 6 days ahead of the average. Hay condition improved slightly to 33 percent good to excellent.

Pasture condition rated 24 percent good to excellent. Livestock producers continued to supplement with hay as pasture conditions remained comparable to the previous week.



USDA: Corn Condition Up Only 1 Point Following Rains; Soy Condition Down 1 Point

U.S. corn and soybean conditions barely budged last week despite widespread rains, according to USDA NASS' weekly Crop Progress report released Monday.

The nation's corn crop was rated 51% in good-to-excellent condition, up just 1 percentage point from 50% the previous week. Soybeans were rated 50% in good-to-excellent condition, down 1 percentage point from 51% the previous week.

Corn was 8% silking. Soybeans were 24% blooming and 4% setting pods.

Winter wheat was 37% harvested. U.S. winter wheat condition was rated 40% good to excellent, unchanged from the previous week.



UNL Extension Partners with USDA Organic Transition Program

Nebraska Extension Educator Katja Koehler-Cole and UNL Department of Agronomy and Horticulture Professor of Practice Christian Stephenson recently received $135,000 from the United States Department of Agriculture (USDA) Transitioning to Organic Partnership Program (TOPP). This program is intended to support Nebraska producers who want to transition to organic agriculture by providing them with educational resources, technical assistance, mentoring and community support. It further promotes workforce training and organic market development across the agriculture and food supply chain.

Koehler-Cole and Stephenson are one of several TOPP partners in Nebraska, all of which serve varying roles. The UNL team will focus on teaching, extension and research efforts, providing science-based, locally appropriate knowledge. Stephenson has begun developing an organic agriculture course that will be taught online and will include interviews with organic producers, certifiers and other stakeholders. In collaboration with a social scientist, he will survey producers on motivations and limitations in the implementation of organic practices. A survey of consumers to elicit what drives buying behavior is also planned. Koehler-Cole is working on a producer guide and website, housing information on all things organic in the state. A workshop for prospective and transitioning organic farmers will be held later this year.

TOPP is a collaborative effort among many partners in the Great Plains region and is part of USDA’s Organic Transition Initiative. It is administered by the USDA Agricultural Marketing Service (AMS) National Organic Program (NOP). Its goal is to increase the number of organic farmers and meet constantly rising consumer demands for organic foods. TOPP is focusing on the transition period that farmers must go through to become certified organic, a requirement to receive organic price premiums on their products.



Free Farm and Ag Law Clinics Set for July

Free legal and financial clinics are being offered for farmers and ranchers across the state in July. The clinics are one-on-one in-person meetings with an agricultural law attorney and an agricultural financial counselor. These are not group sessions, and they are confidential.

The attorney and financial advisor specialize in legal and financial issues related to farming and ranching, including financial and business planning, transition planning, farm loan programs, debtor/creditor law, debt structure and cash flow, agricultural disaster programs, and other relevant matters. Here is an opportunity to obtain an independent, outside perspective on issues that may be affecting your farm or ranch.

Clinic Dates
    Monday, July 10 — Fairbury
    Wednesday, July 12 — Norfolk
    Thursday, July 20 — Valentine

To sign up for a free clinic or to get more information, call the Nebraska Farm Hotline at 1-800-464-0258.

Funding for this work is provided by the Nebraska Department of Agriculture and Legal Aid of Nebraska.



The Essentials of Hybrid Breeding workshop set for Aug. 9-10

Blaine Johnson, agronomy and horticulture professor of practice, will be leading a workshop Aug. 9-10 titled Hybrid Breeding: The Essentials. This two-day event will take place in the Goodding Learning Center, 280 Plant Sciences Hall on the University of Nebraska–Lincoln’s East Campus.

This workshop is designed to provide a view of the structure and essential components of a hybrid breeding program and to define basic hybrid breeding terminology. Time will be spent in the University of Nebraska–Lincoln maize breeding nursery where participants will see how the described components translate into actual breeding materials contained in a plant breeding nursery. This workshop has a strong industry perspective, based upon the maize breeding model.

Workshop leaders include Johnson and Lorena Dumbá, intern for hybrid breeding and teaching in the Department of Agronomy and Horticulture.

More information and registration available at https://go.unl.edu/60qy.



Flame Weeding Workshop on Aug. 15 at ENREEC
Stevan Knezevic - Extension Weed Management Specialist

Propane-fueled flame weeding is used in organic farming and interest in it is increasing among conventional producers due to increased weed resistance to herbicides and the costs of GMO crop seed.

A full-day flame weeding workshop will be held Tuesday, Aug. 15 at the University of Nebraska–Lincoln’s Eastern Nebraska Research, Extension and Education Center near Mead, Nebraska. University teams led by Stevan Knezevic, professor of agronomy and horticulture and extension weed management specialist, and George Gogos, professor of mechanical and material engineering, will present data from 10 years of research that resulted in 20 scientific publications, 100 abstracts and the development of new flaming equipment.

Attendees will learn how to do proper flaming to control over 10 major Midwestern weeds in seven agronomic crops — field corn, sweet corn, popcorn, soybean, sorghum, sunflower and wheat.

The workshop includes presentations and/or demonstrations on:
-    Propane doses for weed control and crop tolerance data,
-    Research on winter annual weed control with flaming,
-    Four-row commercial type flamers with hoods for broadcast and banded flaming (demonstrations), and
-    Inter-row cultivation and intra-row flaming combined in a single operation.

In addition, several local organic farmers will share about their experiences with flame weeding.

The cost is $150 per registration (includes lunch and one Flame Weeding Manual) and $10 for a spouse/co-work's meal. Please register online by Tuesday, Aug. 8. Directions to the site, accommodation information, and a video about the university’s flame-weeding research are available online https://agronomy.unl.edu/flame-weeding-workshop.

Partial scholarships may be available to certified organic farmers from Nebraska. For more information, contact Stevan Knezevic at 402-584-3808.



Grain Crushings and Co-Products Production

Total corn consumed for alcohol and other uses was 492 million bushels in May 2023. Total corn consumption was up 6 percent from April 2023 but down 2 percent from May 2022. May 2023 usage included 91.6 percent for alcohol and 8.4 percent for other purposes. Corn consumed for beverage alcohol totaled 5.15 million bushels, down 19 percent from April 2023 but up 11 percent from May 2022. Corn for fuel alcohol, at 438 million bushels, was up 6 percent from April 2023 but down 2 percent from May 2022. Corn consumed in May 2023 for dry milling fuel production and wet milling fuel production was 92.6 percent and 7.4 percent, respectively.

Dry mill co-product production of distillers dried grains with solubles (DDGS) was 1.70 million tons during May 2023, up 5 percent from April 2023 but down 10 percent from May 2022. Distillers wet grains (DWG) 65 percent or more moisture was 1.32 million tons in May 2023, up 1 percent from April 2023 but down 1 percent from May 2022.

Wet mill corn gluten feed production was 264,606 tons during May 2023, down 2 percent from April 2023 and down 10 percent from May 2022. Wet corn gluten feed 40 to 60 percent moisture was 193,092 tons in May 2023, down 1 percent from April 2023 and down 6 percent from May 2022.

Oilseed Crushings, Production, Consumption and Stocks
Soybeans crushed for crude oil was 5.68 million tons (189 million bushels) in May 2023, compared with 5.61 million tons (187 million bushels) in April 2023 and 5.43 million tons (181 million bushels) in May 2022. Crude oil produced was 2.23 billion pounds down less than 1 percent from April 2023 but up 3 percent from May 2022. Soybean once refined oil production at 1.84 billion pounds during May 2023 increased 10 percent from April 2023 and increased 5 percent from May 2022.



NFU Releases 2023 Farmer’s Share of Fourth of July Food Dollar

Friday, National Farmers Union (NFU) released the 2023 numbers of the Farmer’s Share of the food dollar for several items typically served at a Fourth of July cookout.  

“Year after year we’re seeing a troubling trend of farmers earning less and less of the dollars that Americans spend at the grocery store,” said NFU President Rob Larew. “Whether it’s the highly consolidated meatpacking industry, or harmful mergers in the grocery sector, farmers and consumers are being squeezed out of their hard-earned money.”

Last year, the United States Department of Agriculture (USDA) announced that the farmer’s share of the food dollar had reached a historic low at just 14.5 cents of every dollar spent.  

President Larew added, “It doesn’t have to be this way. Through our Fairness for Farmers campaign, we’re fighting for a 2023 Farm Bill that creates fairer and more competitive markets that benefit farmers and consumers.”

Included in the 2023 Fourth of July Farmer’s Share numbers are:
    8ct Hamburger Buns: Retail price, $3.49. Farmer’s Share, $0.10
    2lbs Ground Beef: Retail price, $11.07. Farmer’s Share, $3.42
    1lb Tomatoes: Retail price, $2.00. Farmer’s Share, $0.42
    1lb Lettuce: Retail price, $2.79. Farmer’s Share, $0.76
    Party Size Potato Chips: Retail price, $5.99. Farmer’s Share, $0.29
    2l Soda: Retail price, $1.19. Farmer’s Share, $0.09

Data for this publication was sourced from USDA NASS, and other industry sources.



NCGA Urges Farmers to Voice Their Concerns to EPA Regarding Agency’s Multi-Pollutant Emissions Standards Proposal

The National Corn Growers Association (NCGA) is urging farmers to submit comments to the Environmental Protection Agency regarding a new proposal on multi-pollutant emissions standards.
 
The call-to-action was launched after EPA first announced the proposal in April. The comment period deadline closes on July 5.The new standards would effectively force automakers to produce electric vehicles at an increasingly rapid rate to comply with the stringent proposed rule.
 
NCGA leaders believe with this one-size-fits-all approach, EPA ignores other low-carbon solutions, like ethanol. If left unchanged, this rulemaking has the potential to remove hundreds of millions of bushels of domestic corn demand from the market each year.

NCGA encourages all members and advocates to let EPA know that ethanol is a low-carbon solution to emissions reduction that is readily available.



ARA Applauds the Reliable Rail Service Act Introduction

Agricultural Retailers Association (ARA) President & CEO Daren Coppock released the following statement applauding the introduction of Senator Tammy Baldwin's Reliable Rail Service Act:

“ARA appreciates Senator Baldwin and Roger Marshall for leading legislative efforts to address the continuous rail service problems faced by our industry, which has caused supply chain disruptions and negatively impacted other shippers within the agricultural industry.

"Congress needs to tackle head on the significant cost increases and service disruptions that harm the businesses of our ag retailer members and their farmer customers who rely on freight rail transportation to deliver the critical crop input products to feed and fuel our nation.

"This proposal will provide some needed clarity to the common carrier obligation, improve the Surface Transportation Board’s (STB) oversight authority, and help ensure railroads provide reliable service at reasonable rates for shippers, which will ultimately benefit consumers.”



USDA Announces July 2023 Lending Rates for Agricultural Producers

The U.S. Department of Agriculture (USDA) announced loan interest rates for July 2023, which are effective July 3, 2023. USDA’s Farm Service Agency (FSA) loans provide important access to capital to help agricultural producers start or expand their farming operation, purchase equipment and storage structures or meet cash flow needs.

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

Interest rates for Operating and Ownership loans for July 2023 are as follows:   
    Farm Operating Loans(Direct): 4.500%
    Farm Ownership Loans(Direct): 4.875%  
    Farm Ownership Loans(Direct, Joint Financing): 2.875%
    Farm Ownership Loans(Down Payment): 1.500%
    Emergency Loan(Amount of Actual Loss): 3.750%   

FSA also offers guaranteed loans through commercial lenders at rates set by those lenders.   

To access an interactive online, step-by-step guide through the farm loan process, visit the Loan Assistance Tool on farmers.gov.  

Commodity and Storage Facility Loans
Additionally, FSA provides low-interest financing to producers to build or upgrade on-farm storage facilities and purchase handling equipment and loans that provide interim financing to help producers meet cash flow needs without having to sell their commodities when market prices are low.  Funds for these loans are provided through the Commodity Credit Corporation (CCC) and are administered by FSA.   
    Commodity Loans(less than one year disbursed): 6.125%
    Farm Storage Facility Loans:  
        o Three-year loan terms: 4.125%
        o Five-year loan terms: 3.875%
        o Seven-year loan terms: 3.750%
        o Ten-year loan terms: 3.750%
        o Twelve-year loan terms: 3.750%
    Sugar Storage Facility Loans(15 years): 4.000%

Simplified Direct Loan Application  
FSA developed a new, simplified direct loan application for producers seeking a direct farm loan. The new application, reduced from 29 to 13 pages, provides improved customer experience for producers applying for loans and enables them to complete a more streamlined application. Producers now also have the option to complete an electronic fillable form or a traditional paper application for submission to their local FSA service center.

Disaster Support
FSA also reminds rural communities, farmers and ranchers, families and small businesses affected by the past year’s winter storms, drought, hurricanes and other natural disasters, that USDA has programs that provide assistance. USDA staff in the regional, state and county offices are prepared to deliver a variety of program flexibilities and other assistance to agricultural producers and impacted communities. Many programs are available without an official disaster designation, including several risk management and disaster recovery options.

Inflation Reduction Act Assistance for Distressed Producers  
On Aug. 16, 2022, President Biden signed the Inflation Reduction Act (IRA) into law. It is a historic, once-in-a-generation investment and opportunity for the agricultural communities that USDA serves. Section 22006 of the IRA provided $3.1 billion for USDA to provide relief for distressed borrowers with certain FSA direct and guaranteed loans and to expedite assistance for those whose agricultural operations are at financial risk. In October 2022, USDA provided approximately $800 million in initial IRA assistance to more than 11,000 delinquent direct and guaranteed borrowers and approximately 2,100 borrowers who had their farms liquidated and still had remaining debt. On May 1, 2023, FSA announced that nearly $130 million in additional, automatic financial assistance had been obligated for qualifying farm loan program borrowers facing financial risk. This assistance included:  
    Assistance to direct loan borrowers who were past due on a qualifying direct loan as of Sept. 30, 2022, but by fewer than 60 days, and remained delinquent on that loan as of March 27, 2023.
    Assistance to borrowers who restructured a qualifying direct loan after Feb. 28, 2020, through primary loan servicing available through FSA.
    Assistance to borrowers whose interest owed on their qualifying direct loan debt exceeded the principal owed (on a loan-by-loan basis). 

Since payments began in October 2022, USDA has provided $1.14 billion to 20,506 financially distressed direct and guaranteed FSA loan borrowers.

In May 2023, FSA began accepting and reviewing individual requests for assistance if they took certain extraordinary measures to avoid delinquency on their direct FSA loans, such as taking on or refinancing more debt, selling property, or cashing out retirement or college savings accounts. On May 19, USDA mailed a letter to all FSA direct loan borrowers detailing eligibility and how to request extraordinary measures assistance.

Also in May, FSA started accepting and reviewing individual distressed borrower assistance requests from direct loan borrowers who missed a recent installment or are unable to make their next scheduled installment. All FSA borrowers should have received a letter detailing the process for seeking this type of assistance even before they become delinquent. As the letter details, borrowers who are within two months of their next installment may seek a cashflow analysis from FSA to determine their eligibility..    

For more information producers can contact their local USDA Service Center or visit farmers.gov/inflation-reduction-investments/assistance.