Rural Mainstreet Economy Slows in September: Half of Bankers Expect Economic Conditions to Worsen
For the first time since March of this year, the overall Rural Mainstreet Index (RMI) sank below growth neutral for September, according to the monthly survey of bank CEOs in rural areas of a 10-state region dependent on agriculture and/or energy.
Overall: The region’s overall reading for September fell to 49.5 from August’s 50.0. The index ranges between 0 and 100, with a reading of 50.0 representing growth neutral.
“This is the weakest recorded reading since March of this year. Bankers indicated that the biggest challenge to community bank profitability over the next 12 months will be a downturn in farm income,” said Ernie Goss, PhD, Jack A. MacAllister Chair in Regional Economics at Creighton University’s Heider College of Business.
Farming and ranching land prices: The region’s farmland price index climbed to 65.4 from 60.0 in August. This was the 36th straight month that the index has advanced above 50.0. “Creighton’s survey continues to point to healthy growth in farmland prices, even as farming conditions weaken,” said Goss.
Farm equipment sales: The farm equipment-sales index for September slumped to 44.0 from August’s 46.0. “This is the fifth time in the past 12 months that the index has fallen below growth neutral. Higher borrowing costs are having a negative impact on the purchases of farm equipment,” said Goss.
Bankers were asked the greatest challenge to banking operations over the next 12 months. More than one-third of bankers, or 35.7%, named rising interest rates as the biggest challenge over the 12-month period.
Despite higher interest rates and lower farm income, only 3.5% of bank CEOs reported an increase in farm loan delinquencies.
When asked if the 2023 banking crisis that spiked in March of this year was over, almost half, or 46.4% of bankers, expect another banking crisis this year.
The region’s agriculture exports, including processed foods, fell from $19.95 billion in the first seven months of 2022 to $18.45 billion for the same period in 2023, for a 7.4% slump.
Below are the state reports:
Nebraska: The Nebraska RMI for September fell to 48.0 from 54.8 in August. The state’s farmland-price index for September advanced to 63.4 from 60.2 in August. Nebraska’s September new-hiring index declined to 48.3 from August’s 53.0. According to data from the International Trade Association, Nebraska’s agriculture exports, including processed food, fell from $2.73 billion in the first seven months of 2022 to $2.15 billion for the same period in 2023, for a decline of 21.1%.
Iowa: Iowa’s September RMI sank to 41.4 from 53.7 in August. Iowa’s farmland-price index for September expanded to 61.5 from August’s 59.9. Iowa’s new-hiring index for September dropped to 45.9 from 52.6 in August. According to data from the International Trade Association, Iowa’s agriculture exports, including processed food, fell from $3.61 billion in the first seven months of 2022 to $3.08 billion for the same period in 2023, for a decline of 14.8%.
The survey represents an early snapshot of the economy of rural agriculturally and energy-dependent portions of the nation. The Rural Mainstreet Index is a unique index covering 10 regional states, focusing on approximately 200 rural communities with an average population of 1,300. The index provides the most current real-time analysis of the rural economy. Goss and Bill McQuillan, former Chairman of the Independent Community Banks of America, created the monthly economic survey and launched it in January 2006.
Nebraska Corn Leaders Attend International Trade Missions
The Nebraska Corn Board (NCB) recently was represented by board members who attended three different international trade missions during early September. The three trade missions included visits to Vietnam, South Korea and Japan.
Jay Reiners, Chairman of the Nebraska Corn Board and farmer from Juanita attended the SE Asia U.S. Agricultural Cooperators Conference in Danang, Vietnam with the U.S. Grains Council (USGC) Sept. 12-14. Currently, USGC has 28 branches worldwide, including the Southeast Asia branch in Vietnam. The goal of the trade mission was to provide crucial information on the application of smart technologies in farming, fertilizers and irrigation, as well as training for workers in the animal feed industry. Nebraska and USGC assist in providing insight for science and technology in agriculture – to help Vietnam increase animal feed production, use fertilizer effectively and upgrade local irrigation systems. Reiners presented about sustainability methods he utilizes on his operation.
“Each trade mission provides us with a valuable opportunity to experience and meet with our cooperators from around the globe while promoting Nebraska corn and corn products,” said Jay Reiners. “While there, learning from peers across the globe and even from the States helps to build my knowledge to bring back to Nebraska.”
John Krohn, NCB District 7 Director from Albion, Neb. Joined Governor Pillen in South Korea and Japan on his trade mission from Sept. 5-12. During the 10-day journey to South Korea and Japan, the Nebraska delegation engaged in high-level meetings with government officials, key customers of Nebraska agriculture products, leaders of manufacturing companies and investors in Nebraska’s clean energy sector.
“This mission is well worth the time away from the farm; after returning home I have a newfound understanding of the direct impact my corn and product can have,” said John Krohn. “While at a restaurant distribution company that was looking into purchasing U.S. products, I showed them photos of my family and operation. Their reactions to seeing photos of my farm and the face-to-face communication helped them to make a connection to where the food comes from. Creating connections versus an online search can change the entire conversation and decision. Each interaction validated NCB’s goals and mission.”
Matt Sullivan, NCB District 2 Director from Superior, Neb. and Michael Dibbern, Nebraska Corn Growers Association Vice President and farmer from, Cairo, Neb. were members of the U.S. Meat Export Federation (USMEF) Heartland Team for a trade mission to both South Korea and Japan from Sept. 10-16. They met with U.S. Embassy officials and industry representatives, explored how U.S. red meat is merchandised and learned about emerging opportunities in food service, convenience stores and e-commerce.
“After recently joining NCB as a director, I experienced first-hand from USMEF what they are doing to build demand for red meat internationally with our local product,” said Matt Sullivan. “When walking through a grocery store in Japan, I found a package of “American Beef,” with the NCB logo, connecting over 6,000 miles from where it’s grown to consumed. Culturally, consumers want to see where their meat is coming from, and the specifics of Nebraska bridge the gap. This mission provided an invaluable global look at a locally grown product.”
Each of these three trade missions have the goal to collaborate and increase demand for corn, corn-fed red meat and value-added biofuels produced in Nebraska. They expand the reach of Nebraska-grown corn worldwide, create and deepen relationships with customers and provide first-hand knowledge of the impact locally grown corn can make. As Nebraska Corn continually evaluates livestock partners, partnerships and value created, the organization focuses on international export growth and potential market exposure.
HUSKER TEAM TO ID GENETIC TOOLS TO BOOST CATTLE GROWTH EFFICIENCY
Husker scientists have begun a federally funded study to deepen the understanding of links between genetics and cattle growth efficiency. The project has significant potential to expand the range of genetic tools used by breeders.
The study will focus on cattle’s mitochondria, cell components whose biochemical activity produces most of the body’s energy for cell function.
Breeders use a variety of genetic data for their operations, but information from the mitochondrial genome of an animal is largely ignored. In this project, a five-person team of University of Nebraska–Lincoln faculty and graduate students will aim to determine how variation in cattle’s mitochondrial genomes affects overall efficiency in animal growth.
As a result, said Jessica Petersen, associate professor of animal science, “Information on mitochondrial genotype will serve as a new tool for the selection of the most energy-efficient cows.” Those cows, in turn, “will produce calves with the same desirable mitochondrial genotype.”
An increase in feed efficiency of just 1% would save the U.S. cattle sector more than $11 million a year, the researchers wrote in their grant application.
The other members of the research team are Dustin Yates, associate professor of animal science; Kristi Montooth, Susan J. Rosowski Professor of biological sciences; and graduate students Mackenzie Batt and Lauren Seier.
“This project benefits the feedlot sector, where efficiency of growth is of critical importance, as well as cow-calf operations, where feed represents the greatest expense for each cow,” the team wrote in describing the project to the U.S. Department of Agriculture, which is providing a three-year, $650,000 research grant.
Breeding has focused primarily on selecting the best bulls and their genetic characteristics, but this project points to the benefits of also understanding key genomic information from cows. Mitochondrial DNA is inherited exclusively from the mother, so cows “are the ones passing on this mitochondria that’s so important for energy production,” Petersen said. “I think we’re missing an opportunity to select for better animals.”
This project will fill that missing information gap, opening additional opportunities for improved breeding.
An animal’s mitochondrial genomic data can be collected alongside genetic data gathered through commercial genotyping of cattle. “We're hoping to show that this information can be collected and used without much additional expense” to bolster genomic evaluations for breeding selection, Petersen said.
For the three-year project, the researchers plan to analyze the genomic data using skeletal muscle samples from about 1,500 steers from the university’s West Central Research, Extension and Education Center in North Platte and the Eastern Nebraska Research, Extension and Education Center near Mead.
An advantage of using the university’s cattle, Petersen said, “is that they all have a genetic sample that’s taken when they’re born or when they’re received. So we’re already doing some genetic analyses of these animals. When they go through a feedlot, many have individual intake measures showing exactly how much they eat. We can then track how much weight they gained to get measures of efficiency.”
The project will benefit by drawing lessons from relevant genomic study elsewhere in the Institute of Agriculture and Natural Resources — in this case, genomic analyses, or assays, Montooth has done of fruit flies.
“We are taking what Dr. Montooth has learned from those assays, and we're applying it to beef cattle,” Petersen said. “That is a little bit of a challenge. When they do a fruit fly assay, they grind up the whole fruit fly, and they can study it.” In this cattle-focused study, by contrast, “We’re studying with a little piece of muscle, and we’re actually finding we have to dilute our sample down quite a bit, because mitochondrion in muscle of cattle are very active.”
This USDA-funded mitochondrial study has a logical and promising follow-up, Petersen said. “The next step is figuring out how the mitochondrial genome interacts with proteins with the nuclear genome” also located inside cattle cells. Once those findings are complete, “That gives us a whole other tool to select for animals that have those better symbiotic genomes.”
Those improved genomes, she said, will work together to make the animal even better.
This research is supported by the intramural research program of the U.S. Department of Agriculture, National Institute of Food and Agriculture, Agriculture and Food Research Initiative, Accession No. 1030256.
Engler entrepreneurship program accepting scholarship applications beginning Oct. 1
Students passionate about becoming an entrepreneur and learning how to pursue their purpose through entrepreneurship can now apply for scholarships to the Engler Agribusiness Entrepreneurship Program at the University of Nebraska-Lincoln for the 2024-2025 academic year. Incoming and current College of Agricultural Sciences and Natural Resources students are eligible to apply, but must have prior FFA or 4-H experience.
Scholarships are awarded annually to Engler Agribusiness Entrepreneurship students ranging from $1,000 to $5,000 with eligibility to reapply for three years according to Tom Field, director of the program. The Engler program awards approximately 80 scholarships annually. Over $2 million has been invested in students over the lifetime of the program.
To apply, students must complete an application and series of essay questions at https://englerjourney.com. Applications are due by midnight on Jan. 15, 2024.
The Engler Agribusiness Entrepreneurship Program is a unique opportunity at Nebraska designed to empower enterprise builders. Approximately 200 students at the university are pursuing development of their entrepreneurial skills and capacity in the program. Participation in the program is not restricted to scholarship recipients.
The Engler program began in 2010 with a $20 million gift over 10 years from the Paul F. and Virginia J. Engler Foundation. The mission of the program is to embolden people on the courageous pursuit of their purpose through the art and practice of entrepreneurship. The program offers an academic minor while serving as an intersection in which students from a diverse array of majors and business interests can come together in pursuit of the American Dream. For more information about the program, visit https://englerjourney.com.
CONTROLLING WITNER ANNUAL BROMES
– Jerry Volesky, NE Extension Educator
Was cheatgrass, sometimes called downy brome, or wild oats abundant in your pastures this spring? Although difficult, they can be controlled and your pasture revitalized.
Winter annual bromes often invade thin or overgrazed pastures in fall and early spring. Livestock dislike grazing them after they become mature and over time they can take over and make large patches in a pasture.
Research by the University of Nebraska evaluated herbicides for controlling cheatgrass. Products containing rimsulfuron and imazapic (Plateau®) can provide good control of cheatgrass from a single application, but control can vary widely from year to year depending on when the application is made, maturity of cheatgrass plants, and the weather patterns. A one-time management operation, utilizing grazing, mowing, or a non-residual herbicide, like rimsulfuron or imazapic, usually does not have a lasting impact on the cheatgrass in the seedbank. To reduce the seedbank, control needs to be close to 100%, and repeated over several years.
Rejuvra™ is a new rangeland herbicide product from Bayer that works differently from existing cheatgrass herbicides. Rejuvra™ has limited activity on emerged plants and only controls seedlings as they germinate, so it is best to apply Rejuvra™ in early fall before seeds germinate. This herbicide can provide control up to two years post application.
For warm-season grass pastures, there is another option. You can use glyphosate herbicides after top growth of these grasses has gone dormant due to a hard freeze or two. This can kill emerged annual brome seedlings or other cool-season species without harming the desirable grasses. With any herbicide, always read and follow label directions.
With these herbicide options and proper grazing management, your pastures can develop thicker stands of the more desirable grasses.
BACON INTRODUCES BILL TO FUND YOUTH AGRICULTURAL PROGRAMS
Rep. Don Bacon (NE-02), as well as the co-chairs of the Congressional FFA Caucus, Rep. Tracy Mann (KS-01) and Rep. Jimmy Panetta, (CA-19) along with co-sponsors Rep Williams (GA-5), Rep. Caraveo (CO-8), and Rep. Fitzpatrick (PA-1), Rep. Sorensen (IL-17), and Rep. Bishop (GA-2) introduced the Youth Lead Act on National Teach Ag Day. Future farmers of America (FFA), 4-H, and the Scouts are preeminent youth leadership organizations in the United States, with approximately 8.4 million youth taking part. Participation in these organizations helps children make lifelong friendships, learn leadership and life skills, practice commitment, and achieve goals. Investing in our children is an investment in our future, and the Youth lead Act allows the Secretary of Agriculture to provide grants that support these organizations. The grant program allows maximum flexibility and authorizes $5 million annually from 2024 to 2028 to account for inflation.
“Every year I meet with youth involved in FFA, 4-H, and Scouts,” said Bacon. “They are always impressive and have cultivated a strong work ethic, valuable skills, and a spirit of teamwork. Ensuring that our youth are able to participate in these organizations helps to secure our future not just in agriculture, but in every industry they participate in.”
“The young people who have committed themselves to agriculture are willingly bearing the burden of not only feeding, fueling, and clothing the world, but also maintaining America’s food security,” said Mann. “Young people are the best ambassadors for America, and we all stand to learn a great deal from their commitment, passion, and hard work. This legislation is the perfect example of how the Farm Bill works to invest in the next generation, and I am proud to support it.”
“Youth organizations like FFA, 4-H Council, and Scouting help our young people develop into the leaders and citizens needed for the future of our nation,” said Panetta. “By expanding federal funding for these programs, we can advance their exceptional work in providing youth with the skills that they need to excel in their career endeavors and make a positive impact on their community and country. We have a responsibility to instill in the next generation a sense of service and discovery, and I’m proud to co-lead this effort to invest in that future.”
US Department of Energy Invests to Expand CO2 Transportation Pipelines and Networks
This week the US Department of Energy (DOE) announced an additional $27 million in funding to support the transport of carbon dioxide (CO2) captured from industrial facilities to permanent geologic storage locations. The latest funding brings the total to almost $400 million since January 2021.
“With almost 100 projects nationwide, there are many reasons why three carbon capture and storage (CCS) projects are being developed in Iowa,” stated IRFA Executive Director Monte Shaw. “First and foremost, the largest domestic and export markets for ethanol require low-carbon fuels. In addition, many countries – including the United States – are trying to reduce CO2 levels in the atmosphere. These goals cannot be met without CCS.”
Brad Crabtree, DOE Assistant Secretary of Fossil Energy and Carbon Management stated: “The United States will need to capture and permanently store significant quantities of carbon dioxide emissions in the coming decades to reach the Biden Administration's decarbonization goals. Meeting this challenge requires a substantial scale-up of our transport infrastructure that will not only support our growing carbon management industry but will serve to protect our communities and create good, high-wage jobs across the country.”
“Ironically there are so-called environmental groups in Iowa who oppose CCS,” stated Shaw. “They claim to want to address CO2 but oppose one of key tools to do so. They claim to want to promote electric vehicles, but they oppose mining for the necessary battery minerals in the US. They claim to support sustainable aviation fuel (SAF), but they oppose CCS, the key to unlocking the SAF market for farm feedstocks. This is counter to President Biden’s recent call for agriculture to supply 95 percent of SAF feedstocks. It’s hard to take seriously groups who talk so often out of both sides of their mouths. It’s clear they are more interested in destroying Iowa agriculture than in improving the environment.”
Fuel the Iowa Corn Cy-Hawk Series Rivalry at the Pump with the Unleaded 88 Winning Drive
Iowa Corn is proud to partner with Kwik Star on a rivalry at the pump in celebration of the Iowa Corn Cy-Hawk Series™. From now until April 30, 2024, when customers fuel up at any Kwik Star with a minimum purchase of 8 gallons of Unleaded 88, they will be eligible to win prizes provided by Hawkeye Sports Properties, Cyclone Sports Properties, Iowa Corn and Kwik Star.
“By partnering with Kwik Star to promote Unleaded 88, we can fuel consumers' excitement about the Iowa Corn Cy-Hawk Series and the opportunity to save money, earn rewards and support local corn growers,” said Stan Nelson, the Iowa Corn Promotion Board President, and a farmer from Des Moines County.
Iowa Corn takes pride in sponsoring the Iowa Corn Cy-Hawk Series™ to celebrate a great tradition, a great rivalry, and great farmers across the state, and now consumers can be a part of the fun. With newly designed Iowa Corn Cy-Hawk Series pumps at Kwik Star stations across the state, consumers enjoy fueling up while cheering for their favorite team.
“We are excited to be partnered with Iowa Corn and the Cy-Hawk series. We support our local corn growers, and this promotion will be a great way to educate our guests about unleaded 88,” said Teresa Clark, Kwik Star Partnership Marketing Manager. “We look forward to having guests fill up at their team pump and have a chance to win some great prizes along the way. It’s always a winning drive with Unleaded 88.”
The Iowa Corn Cy-Hawk Series is more than a game, it’s a tribute to the hardworking student athletes who inspire us with the work they do on and off the field and is an opportunity to showcase Iowa’s hardworking farmers who produce the more than 4,000 corn products that fuel our economy – including Unleaded 88.
Quarterly Sweepstakes Prizes: (10/15, 12/15 & 3/15)
When you fuel up with eight gallons or more of Unleaded 88 with Kwik Rewards, you’ll be automatically entered to win quarterly prize packs including a Kwik Star gift card, Hawkeyes of Cyclones team store gift card, grocery gift card or Iowa Corn merch.
Grand Prize Giveaway: (5/1)
Participants will also earn a shot at the grand-prize package worth over $4000, including free fuel for a year from KS, team store gift card & 2 tickets to the 2024 Cy-Hawk football came, a Grizzly cooler and a grocery gift card.
For full rules of the Sweepstakes, please visit kwiktrip.com/winningdrive.
Commercial Red Meat Production Down 3 Percent from Last Year
Commercial red meat production for the United States totaled 4.67 billion pounds in August, down 3 percent from the 4.83 billion pounds produced in August 2022.
Beef production, at 2.36 billion pounds, was 6 percent below the previous year. Cattle slaughter totaled 2.89 million head, down 6 percent from August 2022. The average live weight was up 3 pounds from the previous year, at 1,351 pounds.
Veal production totaled 4.2 million pounds, 9 percent below August a year ago. Calf slaughter totaled 26,600 head, down 22 percent from August 2022. The average live weight was up 31 pounds from last year, at 273 pounds.
Pork production totaled 2.29 billion pounds, down slightly from the previous year. Hog slaughter totaled 11.1 million head, up 1 percent from August 2022. The average live weight was down 4 pounds from the previous year, at 278 pounds.
Lamb and mutton production, at 10.5 million pounds, was down 10 percent from August 2022. Sheep slaughter totaled 183,800 head, 1 percent above last year. The average live weight was 113 pounds, down 14 pounds from August a year ago.
By State (million lbs - % of Aug '22)
Nebraska .......: 661.2 93
Iowa ..............: 764.7 107
Kansas ...........: 513.9 93
January to August 2023 commercial red meat production was 36.1 billion pounds, down 2 percent from 2022. Accumulated beef production was down 4 percent from last year, veal was down 11 percent, pork was up 1 percent from last year, and lamb and mutton production was down 2 percent.
USDA Awards Over $15 Million in Funding to Expand Market Opportunities for U.S. Agricultural Producers
The U.S. Department of Agriculture’s (USDA) Agricultural Marketing Service (AMS) today announced it is awarding over $15 million for 22 grant projects to promote the maple syrup industry and to strengthen and explore new market opportunities for U.S. food and agricultural products. The funding is being awarded through the Acer Access and Development Program (Acer), the Federal State Marketing Improvement Program (FSMIP), and the Micro-Grants for Food Security Program (MGFSP).
“USDA’s investment in these grant programs will not only benefit local and regional producers, but also improve access to locally sourced food for underserved communities,” said USDA Under Secretary for Marketing and Regulatory Programs Jenny Lester Moffitt. “We look forward to seeing the positive impacts these projects will have on the U.S. food and agricultural industry.”
Through the Acer program, AMS is awarding $6.4 million to fund 13 projects. Acer supports projects that expand consumer awareness of the maple syrup industry and provide valuable resources to maple syrup producers. This year’s funds are being distributed to nine projects aimed at improving consumer knowledge, awareness, and understanding of the maple syrup industry and its products and four projects to increase market opportunities for the domestic maple syrup industry. Acer funding is authorized by the 2018 Farm Bill.
AMS is awarding $1.1 million to five projects through FSMIP to explore new market opportunities for U.S. food and agricultural products and to encourage research and innovation aimed at improving marketing system efficiency and performance. The program supports state departments of agriculture, state agricultural experiment stations, and other appropriate state agencies. FSMIP is funded by the Agricultural Marketing Act of 1946.
The agency is awarding $7.6 million to agricultural agencies in Alaska, Commonwealth of the Northern Mariana Islands, Guam, and Hawaii through the MGFSP. The program funds projects that increase the quantity and quality of locally grown food through small-scale gardening, herding, and livestock operations. The recipients will subaward funding to projects that support communities that have significant levels of food insecurity and import significant quantities of food. MGFSP is funded through the 2018 Farm Bill.
AMS supports U.S. food and agricultural product market opportunities, while increasing consumer access to fresh, healthy foods through applied research, technical services, and congressionally funded grants. To learn more about AMS’s investments in enhancing and strengthening agricultural systems, visit www.ams.usda.gov/grants.
Council’s CSAP Receives Highest Benchmarked Equivalence Against SAI Platform’s Farm Sustainability Assessment
During Climate Week this week, the U.S. Grains Council’s Corn Sustainability Assurance Protocol (CSAP) Version 1.1 for the first time achieved Gold Level Equivalence against The Sustainable Agriculture Initiative Platform’s (SAI Platform) Farm Sustainability Assessment 3.0 – the highest possible equivalence level.
The CSAP is a farmer-led initiative that highlights the strong institutional sustainability foundations underpinning U.S. agriculture, as well as the traditional and innovative techniques that U.S. corn producers are adopting on a daily basis. The 1.1 version of the CSAP incorporates new language, further expanding the assurances of the sustainability of U.S. corn production across the various impact categories assessed in the benchmarking process.
“U.S. corn production has always been anchored to the strong foundations of the U.S. agricultural system, which includes numerous incentives for producers to implement conservation practices, as well as strict and enforceable regulations that ensure natural resources are protected and preserved,” said U.S. Grains Council President and CEO Ryan LeGrand. “The Corn Sustainability Assurance Protocol captures the full scope of these assurances in corn production, and we are now glad to see them recognized through the achievement of gold-level equivalency with SAI Platform’s Farm Sustainability Assessment.”
The SAI Platform’s Farm Sustainability Assessment is a globally recognized framework and toolset aimed at promoting the continuous improvement of on farm sustainability practices. Over 100 programs across five continents have been benchmarked against the Farm Sustainability Assessment. This helps the agriculture industry advance the cause of sustainability for farmers, agribusiness, and consumers by creating alignment and a common understanding of sustainability.
This benchmark will support Council agricultural business members and their clients, who use the CSAP and the Sustainable Corn Exports (SCE) web platform to produce records of sustainability for U.S. corn and other corn-product exports that international trading partners and end-users are requesting.
“Achieving FSA Gold Level Equivalency is very valuable and important for the CSAP and our industry. The enhanced version allows us to incorporate new language that showcases and strengthens the assurances our producers are already committed to in terms of the impacts associated with their activities,” said Andrew Brandt, USGC director of trade policy. “This means that international buyers of corn and corn-products will now have a much more robust tool to address sustainable sourcing requirements within global supply chains.”
“USGC’s CSAP offers immense value and opportunity for promoting sustainability amongst US corn growers. I would like to congratulate USGC on achieving the highest level of equivalence against the FSA. This firmly underlines their level of ambition in the pursuit of a more sustainable and responsible future for farming”, said Joe Iveson, FSA Manager.
SAI Platform’s Farm Sustainability Assessment 3.0 is a global reference framework which empowers farmers and the broader agricultural value chain to demonstrate sustainability and identify opportunities for continuous improvement, ensuring alignment with the objectives of the Farm Sustainability Assessment.
Learn more about the CSAP and the SCE platform by visiting: https://www.sustainablecornexports.org/
NCGA CEO Pushes Back Against EPA Advisory Board’s Negative Assertions about Ethanol
The CEO of the National Corn Growers Association today pushed back against commentary made by a science advisory board to the U.S. Environmental Protection Agency that questioned the effectiveness of ethanol in lowering greenhouse gas emissions. The NCGA leader's comments were made during a public meeting held by the SAB.
“There is no shortage of studies on the environmental benefits of corn ethanol,” NCGA CEO Neil Caskey told the advisory board members. “The Department of Energy’s Argonne National Laboratory, for example, has conducted extensive research on the matter and concluded that corn ethanol has reduced greenhouse gas emissions in the U.S. by 544 million metric tons from 2005- 2019, and that the feedstock’s carbon intensity is 44% lower than that of petroleum gasoline.”
The testimony comes after the SAB provided commentary to the EPA administrator raising doubts about the effectiveness of ethanol.
The SAB is comprised of experts representing a range of fields who make regular recommendations to EPA leaders. Caskey recently sent a letter to the EPA administrator challenging the commentary.
Caskey also responded to assertions by the SAB that the production of ethanol impacts land use, noting that the data show that as corn production has risen, land used to grow corn has not.
“American farmers planted an estimated 94.1 million acres of corn in 2023, which falls short of the more than 100 million acres corn farmers planted a century ago,” Caskey noted. “In the past decade, U.S. corn production has been over six times the production of the 1930s with fewer corn acres.”
The testimony is the latest in a series of actions NCGA has taken to defend and promote ethanol. The organization has also been encouraging the Biden administration to take the necessary steps to ensure that the aviation sector is able to use the important biofuel.
Growth Energy Urges EPA Science Advisory Board to Withdraw Anti-Ethanol Commentary
Growth Energy, the nation's largest biofuels trade association, defended the Renewable Fuel Standard (RFS) and its contributions to climate progress today at a hearing hosted by the U.S. Environmental Protection Agency (EPA) and its Science Advisory Board (SAB).
The hearing focused on a draft commentary SAB released last month that relied on cherry-picked data to arrive at the inaccurate conclusion that ethanol makes little or no contribution to reducing greenhouse gas (GHG) emissions. In his testimony at the hearing, Growth Energy Senior Vice President of Regulatory Affairs Chris Bliley pointed to numerous studies that demonstrated the emissions benefits of ethanol, and urged SAB to ultimately withdraw its original draft.
"Years of peer-reviewed research from scientists at the U.S. Department of Energy’s Argonne National Lab, the U.S. Department of Agriculture, Environmental Health and Engineering have all concluded that today’s ethanol reduces greenhouse gas emissions by nearly 50% compared to gasoline," said Bliley. "Studies claiming otherwise consistently ignore hard data in favor of questionable assumptions and outdated projections about land use."
RFA: EPA Science Advisory Board Report on Corn Ethanol Ignored Best Available Science
In testimony today before the U.S. Environmental Protection Agency’s Science Advisory Board (SAB), Renewable Fuels Association President and CEO Geoff Cooper challenged the SAB’s recent flawed commentary on the climate impacts of corn ethanol and the Renewable Fuel Standard (RFS). Specifically, Cooper urged the SAB to review EPA’s own analysis showing a significant reduction in cropland since the RFS was enacted and Argonne National Laboratory’s extensive research demonstrating ethanol’s significant carbon savings.
“We adamantly disagree with the SAB’s assertion that ‘the best available science’ suggests there are ‘minimal climate benefits’ associated with using corn ethanol in place of gasoline,” Cooper said. “Indeed, the best available science shows just the opposite. Extensive research conducted by government laboratories, major universities, state and federal agencies, NGOs, and private lifecycle analysis experts all demonstrates that corn ethanol is 40-50 percent less carbon intensive than petroleum on a full lifecycle basis—including emissions from hypothetical land use change scenarios.”
Argonne’s latest work, Cooper said, found that average corn ethanol reduces GHG emissions by 44 percent compared to gasoline. The Argonne researchers noted that corn ethanol “can play a critical role in the U.S. desire for deep decarbonization of its economy.”
And while the SAB questioned cropland expansion, suggesting the “facts are difficult to pin down,” Cooper noted that In 2010, EPA began quantifying U.S. agricultural cropland every year to determine whether any expansion has occurred beyond 2007 levels as a result of the RFS. “EPA’s assessments clearly show a steep downward trend in the amount of land dedicated to crops since 2007,” Cooper said. “U.S. cropland continues to shrink—not expand. This fact is incontrovertible.”
Cooper concluded by calling on the SAB to supplement its commentary after conducting a much more expansive and inclusive examination of the science on corn ethanol’s carbon footprint and said that the board should specifically consider recent lifecycle analyses from DOE, USDA, state air agencies, academia, and other sources to evaluate what is really happening in today’s corn ethanol industry.
Workshop Highlights U.S. Corn, Co-Products, Storage Techniques
The U.S. Grains Council hosted a workshop in the Kingdom of Saudi Arabia (KSA) last week to showcase the benefits and opportunities of using U.S. corn co-products in feed diets. More than 45 participants attended the event, including importers, nutritionists, plant managers and company owners.
To showcase the benefits and opportunities of using U.S. corn co-products in feed diets, the U.S. Grains Council (USGC) gathered with feed millers and grains buyers in the Kingdom of Saudi Arabia (KSA) in early September.
The Council’s event welcomed more than 45 KSA participants, including importers, nutritionists, plant managers and company owners. Speakers, comprising Nutritionist Consultant Dr. Alvaro Garcia; storage expert, Dr. Dirk Maier from Iowa State University; an agricultural specialist from CME group, as well as U.S. members and suppliers, covered supply and demand of coarse grains and corn co-products; shipping and logistics; distiller’s dried grains with solubles (DDGS) manufacturing practices; DDGS use in broilers and layers rations; DDGS as a replacement for alfalfa hay; and grain storage management.
“The workshop aimed to highlight U.S. corn and corn co-products, added value in the feed formula and the good management and best grain storage practices in KSA,” said Ramy H. Taieb, USGC regional director for EMEA. “This was the second conference organized by the Council in the Kingdom, which provided additional exposure to Saudi traders, allowing poultry, aquaculture and dairy farmers to get to know the Council and increase their awareness of the benefits of using DDGS in their rations.”
The Council also had the opportunity to meet with different customers in Dammam, hold storage training sessions, highlight the benefits of best storage practices and update procedures and processes for grains in hot and humid climates.
Importers of U.S. corn in the region face significant challenges in maintaining quality during storage due to harsh weather conditions, lack of training and technical support and limited investment in appropriate equipment. By hosting workshops like this, the Council is working to address these issues and open the door for increased exports of U.S. corn and corn co-products in the region.
The Council has been active in KSA for more than 30 years and has worked to help develop the dairy, poultry and aqua industries. More recently, the Council’s efforts in KSA have focused on marketing opportunities for corn, sorghum and corn co-products while educating end-users on where to buy them and how to use them.
“The Council’s MEA office will continue supporting the growth of the feed industry in the Kingdom to meet the rising food demand and to help feed millers improve production efficiency and reduce the cost of production,” Taieb said.
USDA Invests Nearly a Half Billion Dollars in the Food for Progress and McGovern Dole Programs to Strengthen Global Food Security Using US Commodities
Agriculture Secretary Tom Vilsack today announced the United States is investing $455 million to strengthen global food security and international capacity-building efforts. The investment will utilize more than 375,000 metric tons of U.S. commodities.
The commodities in the Food for Progress program will be sold in local and regional markets and proceeds will help strengthen short- and long-term food security through development of agricultural value chains and trade-promoting activities. Prior to investing in a project, USDA conducts numerous analyses to ensure that local production and markets will not be impacted, and U.S. commercial interests will not be affected. The commodities in the McGovern-Dole program will go directly to hungry school children to help address hunger and promote education.
“USDA’s McGovern-Dole International Food for Education and Child Nutrition Program has been a pillar global school feeding program for more than two decades, benefitting over 31 million children and families in 48 countries, providing more than 5.5 billion school meals, and supporting programs through U.S.-donated commodities and technical and financial support,” said Vilsack. “Today, on behalf of the Biden Administration, USDA is reaffirming its commitment to strengthening global food security by awarding $230 million in new school feeding projects through the McGovern-Dole Program.”
With the FY2024 funding, the McGovern-Dole Program will remain the largest donor to global school feeding programs, supporting national programs in low- and middle-income countries. This year, the Program will include projects in Cameroon, Haiti, Mozambique, Nepal, Nicaragua, Sri Lanka, and Togo.
“USDA will also award $225 million in international development projects under the Food for Progress Program to help improve agricultural productivity and expand trade of agricultural products,” added Vilsack. “Food for Progress projects play a critical role in helping combat food insecurity by helping boost production capacity and expand global climate-smart agriculture adaptation.”
This year’s Food for Progress Program will invest in projects in Bangladesh, Cote d’Ivoire, The Gambia, Lesotho, Mauritania, Nepal, and Togo.
As renowned food security programs in the international community, USDA works continuously to monitor and ensure the success of the programs, all while balancing funding allocations with current global nutrition needs.
Last year, for example, Burundi became the newest participant in both the McGovern-Dole and the Food for Progress Programs. With McGovern-Dole investment, more than 6,000 metric tons of U.S. commodities and 2,000 metric tons of locally produced commodities will provide daily school meals and literacy programming for more than 80,000 children.
And with funding through the Food for Progress Program, the Burundi Better Coffee Initiative is working holistically across the supply chain to address food security challenges by improving incomes and resilience for 60,000 farming households.
USDA’s Foreign Agricultural Service administers both the Food for Progress and McGovern-Dole programs. FY 2024 allocation tables will be published when available. For more information on the programs, visit fas.usda.gov/topics/food-security.
Friday, September 22, 2023
Thursday September 21 Ag News
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