Thursday May 30 Ag News

 Parsons selected as new Center for Agricultural Profitability director

Jay Parsons was selected in April as the new director of the Center for Agricultural Profitability at the University of Nebraska-Lincoln, following the retirement of Larry Van Tassell, who served as the center’s director since its inception in July 2021.

Parsons, a professor and extension farm and ranch management specialist in the Department of Agricultural Economics, joined the university as an associate professor in 2014. He also serves as Nebraska Extension’s agricultural profitability program area leader.

The Center for Agricultural Profitability (CAP) is based in the Department of Agricultural Economics. It facilitates interdisciplinary faculty research and outreach to serve agricultural producers and agribusiness professionals with educational programs and information to keep Nebraska’s farmers and ranchers financially healthy.

Parsons said he is looking forward to building on the momentum the center has achieved in the last three years by continuing to focus on reaching Nebraska’s agricultural stakeholders with information that helps keep the state’s farms and ranches on solid financial footing.

“The center is going to keep working to bring together resources from across the University of Nebraska, as well as outside agencies and other universities, to help producers and professionals who work with them to have more confidence and clarity in making the many important decisions impacting their farm or ranch business,” he said.

Parsons began his career as an assistant professor in the Department of Mathematics at Colorado State University, where he earned a Ph. D in Agricultural and Resource Economics in 2003, moving to the same department that year. Between 2009 and 2014, he served as co-director of the Western Center for Integrated Resource Management at Colorado State. In 2002, helped co-found the RightRisk Education Team, a multi-state educational effort allowing him the opportunity to work with producers and colleagues throughout North America to better understand risk and decision-making in agriculture.

“In its first three years, the Center for Agricultural Profitability has fulfilled a critical role in providing current, research-based, holistic information that helps guide producers in making important decisions for their operations,” said Mike Boehm, NU vice president and Harlan Vice Chancellor for UNL’s Institute of Agriculture and Natural Resources. “Dr. Parsons is a talented economist who understands how important resources like the ones CAP provides are and will continue to be. I am thrilled he will serve as the next director of this center.”

Parsons noted that the center’s outreach, including weekly webinars, regular in-person workshops, decision tools, frequent publications and multimedia content, has already provided a solid foundation to build on.

“CAP is still relatively new, and we see opportunities to continue confronting modern challenges that agriculture is facing, helping producers find solutions to not only be successful now, but to ensure their operations are viable for generations to come,” he said. “We will continue to meet producers where they are to equip them with new education and tools to find that success.”

Parsons teaches undergraduate and graduate courses in the Department of Agricultural Economics and conducts research in the areas of production economics, risk management, decision analysis, farm and ranch management and more. He has served on committees in the Agricultural Economics Department and the Center for Grassland Studies.

“Dr. Parsons has been a valued and active faculty member in the department for a decade now, effectively serving students on campus and ag producers and industry across the state through his extension work,” said Kate Brooks, head of the Department of Agricultural Economics. “CAP is a big part of the department and Dr. Parsons’ knowledge, skills and leadership abilities make him a great choice to lead the center going forward.”

More information about the Center for Agricultural Profitability is available on its website, https://cap.unl.edu.



Pillen Invites Nebraskans to Register for the One Nebraska Ag & Economic Development Summit

Governor Jim Pillen, the Nebraska Department of Economic Development (DED), and the Nebraska Department of Agriculture (NDA) encourage Nebraskans to register for the One Nebraska Ag & Economic Development Summit. This year’s event will take place August 7-8, 2024, at the Younes Conference Center North in Kearney.

Registration for the Summit is now open at govsummit.nebraska.gov. Troy Dannen, Athletic Director for the University of Nebraska-Lincoln, will be the keynote speaker.

“The key to our success is working together as one Nebraska to grow our state,” said Gov. Pillen.  “At this summer’s Summit, we’ll unite around a shared vision to create great opportunities for our kids and grandkids. We have the most sustainable ag supply chain on the planet, and we’re sitting on our pot of gold—the Ogallala Aquifer. The potential is sky high for Nebraska to be a hub for advanced fermentation, biomanufacturing, and production of next-generation biofuels.”

The One Nebraska Summit convenes economic developers and industry leaders in agriculture and business to discuss how to best grow Nebraska. This year, breakout sessions will cover talent attraction, the emerging bioeconomy, housing and childcare solutions, stewardship of water resources, manufacturing, and much more.

“Nebraska is rapidly shifting from commodities-based to value-added agriculture,” said NDA Director Sherry Vinton. “With our abundance of land and water, and strengths in ag tech and research, we’re leading the way in the nation’s new bioeconomy. At the upcoming Summit, we’ll explore the tremendous opportunities we have to multiply the value of our crops and livestock to grow our state’s top industry.”

UNL Athletic Director Troy Dannen is scheduled to provide remarks during lunch. Dannen is a leading voice in collegiate athletics with extensive experience as an athletic director and deep ties to the Midwest and Big Ten. He was announced as Nebraska’s Director of Athletics on March 20, 2024. Prior to coming to Nebraska, Dannen served as Director of Athletics at the University of Washington. Previously, he was AD at Tulane, and before that led athletics at his alma mater, the University of Northern Iowa. Dannen has Midwestern roots, having grown up on a farm just outside Marshalltown, Iowa.

“We’re revolutionizing our approach to economic development in Nebraska,” said DED Director K.C. Belitz. “We’re now competing for people, not only jobs. It’s critical that we retain more of our grads and recruit top talent to the state. At the same time, we’re redoubling our efforts to encourage homegrown entrepreneurship by supporting the businesses that give so much to our communities. It’s crucial that Nebraska’s leaders understand where we’re going and how we intend to get there. I encourage you to join us for the 2024 Summit in Kearney.”

The 2024 Summit officially kicks off on Wednesday night, August 7th, with a reception and banquet hosted by the Nebraska Diplomats. The evening event includes an awards ceremony to honor leaders, businesses, and communities who have made key contributions to the state’s economic success over the previous year.

Thursday, August 8th, is the primary day of the Summit. It features opening and closing remarks from Gov. Pillen, a keynote from Troy Dannen, and a full slate of breakout sessions—each led by a panel of subject matter experts.

To register for the Diplomats Banquet and Summit, visit govsummit.nebraska.gov. A full Summit agenda is also available through the website. For questions, contact Lori Shaal at lori.shaal@nebraska.gov or 402-890-4624.



Cash Rent Rates for Iowa Cropland Remain Unchanged for 2024

Cash rent for Iowa farm ground is mostly unchanged from 2023, according to the latest land rent survey from Iowa State University Extension and Outreach https://www.extension.iastate.edu/agdm/wholefarm/html/c2-10.html.

The average rent is $279 per acre of corn and soybeans and is the first time rates have not increased in five years. In 2019, the statewide average declined to $219 per acre, a $3 decrease over the previous year. Recently emerged corn.

“Despite the increase in land values and farm operating costs, cash rents remained about the same as last year,” said Alejandro Plastina, associate professor in economics and extension economist at Iowa State University.

Plastina attributes the flat rental rate to the tight profit margins farmers are facing for growing crops.

“From December 2022 to December of 2023, we’ve seen the rate of return to farmers decline from about 10% to 2%,” he said. “Unless we see an increase in commodity prices, I expect rents will stay the same or decrease.”

The survey also includes rent for hay and pastureland, as well as oat production. The state average for established alfalfa is $200 per acre, followed by $145 for grass hay and $198 per acre for oats. Pastureland ranges from $95 per acre for highly productive pasture, to $60 per acre for low-productivity pasture.

Cash Rents by District - $$/acre
District 1 (NW) - 2023 $302 - 2024 $304
District 4 (WC) - 2023 $298 - 2024 $297
District 7(SW) - 2023 $265 - 2024 $263

The complete survey and historical comparisons are available in the May edition of Ag Decision Maker https://www.extension.iastate.edu/agdm/homepage.html. The survey includes nearly 1,300 responses from farm operators, landowners, professional farm managers and realtors, ag lenders and other professionals, representing 1.7 million cash-rented acres in Iowa.

The survey also provides rates for nine regions of the state, as well as individual counties. Six of the nine regions saw an increase, with the largest per-acre values reported in northwest ($304) and northeast ($309) Iowa, while the lowest reported values were in the south central district ($231).

Plastina reminds Iowans that the survey is meant to be one resource in the land rent discussion, and that each land rent contract should be decided by reviewing multiple sources of information, including the unique features of each farm.



Good biosecurity practices can help keep HPAI out of Iowa herds

Avian influenza (HPAI) has been confirmed in dairy cattle in nine states to date. Yet, so far, there are no confirmed positive herds in Iowa. This specific virus has been found in wild birds which was the primary source of the virus in the Texas panhandle area. However, movement of dairy cattle is the most likely source of subsequent spread to other geographical areas.

Iowa State University extension beef veterinarian Grant Dewell said it is believed that the virus is transmitted from cow to cow during milking. As of now, beef cattle have not been identified with the disease, and this is most likely due to the mammary gland being the primary involved tissue.

"Clinical signs of affected cows are reduced appetite and milk production and thickened discolored milk," he said. "If you suspect HPAI in your cow herd, contact your veterinarian for appropriate diagnosis and testing."

There is no specific therapy for infected cattle, and most will recover on their own. Supportive care can be beneficial. There is no vaccine for HPAI in the U.S.

"The virus has been transmitted to cats and, in two cases, a dairy worker, but transmission to humans is considered a low health risk," he said. "General personal protection such as gloves, coveralls, and eye protection are recommended."

Dewell said good biosecurity practices should be implemented by beef producers to protect their herds.

"If possible, minimize access of wild birds to cattle, and do not utilize unpasteurized colostrum or milk from dairy farms in your beef herds," he said. "Isolate new animals for at least 21 days from your herd."



Mostly Lower Fertilizer Prices Continue

According to retail fertilizer prices tracked by DTN for the third week of May 2024, prices continue mostly lower. This was the third week in a row that most fertilizer prices were lower compared to last month. As has been the case for two weeks in a row now, just one fertilizer changed an ample amount in either direction. DTN designates a significant move as anything 5% or more.

Urea was 5% lower in price compared to last month. The nitrogen fertilizer had an average price of $555/ton. Five other fertilizers were slightly less expensive compared to last month. MAP had an average price of $829/ton, potash $509/ton, anhydrous $781/ton, UAN28 $359/ton and UAN32 $418/ton.

Two fertilizers were slightly higher in price compared to last month, but neither was up a substantial amount. DAP had an average price of $783/ton and 10-34-0 was at $642/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.60/lb.N, anhydrous $0.48/lb.N, UAN28 $0.64/lb.N and UAN32 $0.65/lb.N.

All fertilizers are lower compared to one year ago. MAP is 1% lower, anhydrous is 2% less expensive, DAP is 6% lower, urea is 11% less expensive, 10-34-0 is 13% lower, UAN28 is 14% less expensive, UAN32 is 18% lower and potash is 19% lower compared to a year prior.



China Bans JBS Beef From US Plant

China has banned beef imports from JBS's Swift Beef Company plant in Greeley, Colorado, effective on May 27, 2024, after U.S. officials found traces of the feed additive ractopamine in meat from the plant set for export to China, according to information from USDA's Food Safety and Inspection Service.

China also blocked meat and poultry imports from the Cool Port Oakland in Oakland, California. The cold storage facility is used for holding perishables including food and medicine.

According to the USDA-FSIS website, the Greeley, Colorado, plant is the only JBS plant involved in the ban.



Rising Cutout Value and Fewer COF
David P. Anderson, Extension Economist, Texas A&M AgriLife Extension Service

The wholesale beef market, as measured by the Choice beef cutout, has jumped more than $16 per cwt in the last two weeks. Most of the cutout’s underlying primal cuts (the rib, loin, chuck, round, and brisket) have increased in value. Weekly beef production has dipped from six weeks of above a year ago production.

We might think about the cutout value in the context of USDA’s Cattle on Feed report released on Friday, May 24th. For the first time in eight months, the total number of Cattle on Feed declined below last year’s level. The 11.5 million Cattle on Feed were the fewest since September 2023. The number of Cattle on Feed has been elevated in recent months by placing more heifers, placing available feeder cattle earlier, and placing more cattle from Mexico.

Compared to last year, when holidays and weekends occurred this Spring, there were two fewer slaughter days in March and two more days in April. This large swing in slaughter days has not happened since the mid-1990s. The two extra days in April meant feed yard marketings were more than 10 percent larger than in April last year. Almost six percent fewer cattle were placed in April and placements were the fewest since 2020.

The combination of large marketings and light placement numbers pulled down Cattle on Feed below a year ago. There remain more Cattle on Feed for longer than 90 and 120 days than a year ago so that should keep dressed weights high. But, overall, the trend of more Cattle on Feed has likely been broken for a long time.

Remember that the Cattle on Feed report is backward-looking. It contains marketings and placements in April and the number of Cattle on Feed on May 1. In the ensuing couple of weeks prices, including the cutout, fed cattle, and calves have jumped higher. Whether that increase in cutout value reflects some packer cutback in processing to try to boost prices, or some Memorial Day summer bump in buying, or fewer Cattle on Feed, or a combination of all three (most likely) the result is higher wholesale beef prices. Fewer Cattle on Feed promises to cut beef supplies that have been larger than last year over the last eight weeks. Tighter supplies will work to boost prices for calves, feeders, and feds.



Mike VanMaanen Elected President of Livestock Marketing Association

Mike VanMaanen married into a family of Livestock Marketing Association members in the 1980s, but never dreamed he’d one day lead the organization. Even though he immediately recognized the benefits of membership, he thought he was too busy to get involved or since his niche market wasn’t nationally known, he didn’t have a place. Soon enough, VanMaanen learned he was wrong on both accounts, and May 17, he was elected president.

VanMaanen, who grew up on a corn, soybean and hog farm in Iowa, attended Missouri Western State University, where he graduated with degrees in agricultural economics and agronomy. It was there he met Lori Angell, a third-generation livestock marketer. The two married soon after graduation and joined her family’s auction market business in Columbia, Missouri, and bought into it in 1990. In 2000, the couple, along with two of her cousins, took over Eastern Missouri Commission Co., in Bowling Green. Last year, they became sole owners.

The World Livestock Auctioneer Championship was VanMaanen’s gateway to Livestock Marketing Association leadership, first serving as a judge in the Parsons, Kansas, qualifier in the fall of 2009 and at the finals in Oklahoma City the following summer. He joined the association’s government and industry affairs committee in 2014 and the board of directors in 2016. During his tenure on the board, he also chaired the membership services committee for two years. He said his time on the board has had many highlights, and he looks forward to what’s to come.

“I’ve had the opportunity to testify in front of the House Committee on Transportation, I worked alongside many others to get Dealer Statutory Trust signed into law and was a part of the producer profitability initiative we launched last fall,” VanMaanen said. “I’m extremely proud of the work LMA has done and look forward to continuing it.”

VanMaanen will take over the reins from Mark Barnett during the association’s annual convention in June. First up on his agenda? Having deep discussions with members and staff about how to protect the livestock auction market sector.

“We’re going to take a look at what it takes not only for the larger markets to survive, but what it takes for those small markets that are so important in their rural communities, to keep them alive and going,” VanMaanen said.

But the conversation won’t just be about markets. He said Livestock Marketing Association members will continue to push their producer profitability initiative, aimed at bringing the entire industry together for a common goal.

“By supporting America’s farmers and ranchers, we are supporting the future of livestock marketing, too,” VanMaanen said. “We know producer profitability is industry sustainability.”

The incoming president said he hopes all members will take the opportunity to get more involved this year, whether that means attending the convention, participating in the D.C. Fly-In, joining a committee — or even just staying in touch with their region executive officer.

“I think when people start getting involved, they find it really rewarding,” he said. “And you don’t have to be a big operator — I’m a good example of that. You just have to want to pitch in and do some work to improve your livelihood. If you can stay active and participate in conversations, we’d love to have you.”



Farmers Edge and National Sorghum Producers Join Forces to Empower Growers for Climate-Smart Commodities Grant

Farmers Edge™, a pure-play digital ag company, and the National Sorghum Producers (NSP) are excited to announce a new strategic partnership aimed at enhancing sustainable farming practices for sorghum growers. This strategic partnership will support growers participating in NSP’s Partnerships for Climate-Smart Commodities (PCSC) grant program funded by the U.S. Department of Agriculture. Together, Farmers Edge and NSP will help growers seamlessly integrate advanced technology solutions for capturing essential on-farm data, including Carbon Intensity (CI) scoring, thus contributing to broader environmental goals.

Using FarmCommand®, Farmers Edge’s end-to-end platform, growers can make more informed management decisions, monitor and improve their CI scores, and easily work with NSP to extract and export data verifying their environmental impact. With this data, growers have an opportunity to monetize their sustainability initiatives, solidifying sorghum as a climate-smart commodity and supporting their farms’ long-term financial viability.

“We're proud to partner with the National Sorghum Producers," said Vibhore Arora, CEO of Farmers Edge. "Through our customized technology solutions, we're committed to supporting NSP in simplifying sustainability reporting and assisting their growers in accessing new revenue streams for climate-smart farming practices."

"We are excited to collaborate with Farmers Edge to bring innovative solutions to sorghum farmers," NSP PCSC program Managing Director Matt Durler said. "This partnership underscores NSP’s commitment to driving sustainable agriculture forward and ensuring our growers have the resources they need to thrive in a rapidly changing environment."

Through this partnership, NSP is focused on increasing value for their members. Selecting Farmers Edge as a technology partner supports a pivotal data collection process for the climate-smart commodities-funded project, creating a pathway for all practices to be quantified, tracked, and monetized and enables broader farmer participation in climate-smart inset programs moving forward.



Announcing Fortiva: The next evolution of ingredients for the future of animal health

Fortiva is committed to advancing foundational ingredients for the future of animal health. The brand offers the swine, poultry, dairy and cattle industries a curated portfolio of non-medicated feed additives designed to work with an animal’s physiology to support animal resilience and customers’ operations.

“At Fortiva, we’re striving to build a better understanding of animal physiology and the mode of action for each technology so that every molecule in our products can have an impact on our customers’ animal productivity, help improve business efficiency and help deliver a strong return on their feed investment,” says Stacie Crowder, Ph.D., director of additive sales and technical innovation with Fortiva.

Fortiva, formerly PMI Additives, combines proven feed technologies, such as Ambitine®, FloMatrix® and Vitacy® FeedLock® with a commitment to proactively seek out new ingredients to help solve the industry’s biggest challenges, now and into the future. The company is also launching several new technologies within the monogastric and ruminant spaces, including Fortiva™ Amulet™, a unique feed technology designed to support gut health during times of stress for dairy calves and transition cows.

With a focus on optimizing gut health, pre and probiotics, phytogenics, rumen modifiers and more, Fortiva™ products help address the most challenging issues across all industry segments.

Reframing the role of feed additives
Feed additives have been a growing market in the livestock industry for decades, as reduced margins, pressure from government regulations and increased focus on sustainability have resulted in the need to do more with less to help ensure producers and businesses remain profitable.

“Every single ingredient in the ration must pull its weight and make a measurable difference in reaching producers’ production and business goals,” says Crowder. “Our aim is to help producers harness the transformative power of additive technology by working together to build solutions that drive animal resilience and push the boundaries of what’s possible.”

Fortiva’s innovation team, led by Crowder, works collaboratively with large integrators, producers, veterinarians, independent nutritionists, co-ops, dealers and feed manufacturers to identify issues and share the effects and impacts of how each ingredient can be applied to solve their unique business challenges and tackle the industry’s toughest issues.

“Collaborating with producers to make technology work for real-world challenges is what drives innovation,” says Crowder. “Together, we can make animals and producers’ businesses more resilient in the face of future challenges.”

For more information about the Fortiva™ brand and product line, visit fortivaimpact.com.