Friday February 07 Ag News

 Nebraska Cattleman Becomes New NCBA President

Buck Wehrbein, a Nebraska cattleman, ascended to the role of NCBA president during CattleCon 2025, held this week in San Antonio, Texas. Wehrbein, with a 45-year career in the cattle feeding sector, brings decades of dedication to the industry and leadership experience to NCBA’s top leadership post.
 
The 2025 NCBA officer team, approved by the NCBA board of directors, took office at the end of this year’s convention. Gene Copenhaver of Virginia was named president-elect and Kim Brackett of Idaho was elected vice president. Skye Krebs of Oregon was elected chair of the NCBA Policy Division and Kenny Rogers of Colorado was elected policy vice chair. Nancy Jackson of Mississippi and Travis Maddock of North Dakota were elected as chair and vice chair of the NCBA Federation Division, respectively. Brad Hastings of Texas will continue to serve in the role of NCBA treasurer.
 
As president, Wehrbein sees both challenges and opportunities ahead, but he’s confident that NCBA’s unifying presence will remain critical to addressing key issues facing farmers and ranchers. He is particularly passionate about fostering opportunity for the next generation of cattle producers, recognizing their ability to drive innovation and industry progress. “They’re ahead of where we were in my time,” he noted. “They understand the issues, and they’re ready to make a difference.”
 
Wehrbein’s focus during his time as president is to advocate for profit opportunities while also strengthening the freedom to operate. Securing tax relief provisions and pushing back on regulatory overreach is also crucial during the year ahead.
 
“The tax issue is critically important for agriculture,” Wehrbein said. “A few years ago, there was talk of doing away with the deduction of expenses, and that would have been devastating. We also have to keep pushing on the Death Tax. With what land values have done, if families are forced to sell or split up land to pay taxes, it would put a lot of people out of business.”
 
For Wehrbein, leadership is guided by faith, family, and vocation. A devout Christian, he credits his faith with providing direction and strength throughout his career and in raising his family. Married to his wife Sandy for more than 52 years, Wehrbein cherishes the support of his family, including his two daughters, seven grandchildren, and ten great-grandchildren. He looks forward to the year ahead, working with NCBA members toward a stronger, more viable future.
 
“The overarching principle and aim of NCBA is to make things better for our members and create an environment where each of us focus on our farms and ranches,” Wehrbein explained. “That’s a big strength of NCBA—we’re not just big feedlots or big ranches. We’re everybody,” Wehrbein said.



Nebraska Soybean Association Elects Directors, Soy Promoter Award Presented during Annual Meeting

The Nebraska Soybean Association (NSA) conducted its annual meeting on January 22 where delegates reviewed policy resolutions, elected district directors and recognized their 2024 Soybean Promoter recipient.

Newly elected to the Nebraska Soybean Association board of directors is Scott Langemeier of Scribner to serve in District 1 and Ben Placke of St. Libory serving in District 3.  Scott and Ben will begin their first term on the board of directors. Doug Bartek, District 5 of Wahoo and Daryl Obermeyer District 6 of Brownville were re-elected for another term.  NSA thanks outgoing board members Brent Svoboda of Pender and Clint Hostler of Grand Island for their terms of service as state directors.  

Ken Boswell of Shickley was recognized with the Nebraska Soybean Promoter Award.  Boswell previously served as a director on the American Soybean Association and Nebraska Soybean Association since 2015.  Boswell termed off of the ASA board in December.  During his term on ASA, he served on the Audit, Transportation and Infrastructure, Soy Transportation Coalition and the Biodiesel committees. Ken has served as vice president and president of NSA.

Officers for 2025 include Kent Grotelueschen of Octavia, elected to a second term as president; Lucas Miller of Randolph, vice president; Wade Walters of Shickley, treasurer; and Chandra Blasé, serving as secretary. Past President Doug Bartek will serve as chairman.



Smith, Craig, Colleagues Champion American Biofuels in Letter to New EPA Administrator

Thursday, Representatives Adrian Smith (R-NE) and Angie Craig (D-MN) led nearly 30 colleagues in sending a bipartisan letter to recently confirmed Environmental Protection Agency Administrator Lee Zeldin. The letter emphasizes the important role of the American biofuels industry in maximizing energy abundance and affordability while encouraging the EPA to issue timely and science-driven guidance to fulfill the Renewable Fuels Standard (RFS). Smith and Craig are co-chairs of the Congressional Biofuels Caucus.

Signers of the letter include: Reps. Mark Alford (R-MO), Don Bacon (R-NE), James Baird (R-IN), Mike Bost (R-IL), Nikki Budzinski (D-IL), Sharice Davids (D-KS), Ron Estes (R-KS), Randy Feenstra (R-IA), Brad Finstad (R-MN), Michelle Fischbach (R-MN), Mike Flood (R-NE), Sam Graves (R-MO), Ashley Hinson (R-IA), Dusty Johnson (R-SD), Marcy Kaptur (D-OH), Robin Kelly (D-IL), Darin LaHood (R-IL), Kristen McDonald Rivet (D-IL), Mark Messmer (R-IN), Max Miller (R-OH), Mariannette Miller-Meeks (R-IA), Zachary Nunn (R-IA), Mark Pocan (D-WI), Derek Schmidt (R-KS), Eric Sorensen (D-IL), and Derrick Van Orden (R-WI).

Key excerpts from the letter:

Steady growth in U.S. biofuel production means more American fuel in the marketplace and lower prices at the pump for hardworking families who have spent years suffering under high inflation.Homegrown fuels serve as a bulwark against price manipulation by foreign, state-owned oil exporters. They also promise to play a central role in fulfilling our vision for strengthening the farm economy, supporting domestic processing, and revitalizing rural communities. Ethanol contributed more than $54 billion to U.S. gross domestic product (GDP) in 2023, accounting for 28 percent of U.S. farming GDP while sustaining over 394,000 jobs. Similarly, the U.S. biodiesel and renewable diesel industry, with plants and markets across the country, supports 75,200 U.S. jobs and pays $3.6 billion in annual wages. Bio-based diesel drives more than $23.2 billion in annual economic activity.
...
Under your leadership, we request the EPA put the RFS back on track by providing a path for growth for all biofuels and rejecting proposals to undermine the statute and destabilize the market.
...
Additionally, EPA must eliminate decades-old regulatory barriers to growth so all retailers in all 50 states can offer E15 year-round if they so choose. E15 lowers gas prices for consumers, creates new markets for our farmers and helps reduce our energy dependence from foreign countries. To account for innovation in technology, feedstocks, fuel utilization, and carbon sequestration, EPA must ensure timely administrative actions which encourage growth in the industry.

The letter is supported by numerous stakeholder organizations, including Renewable Fuels Nebraska, Nebraska Corn Growers Association, Growth Energy, Renewable Fuels Association, Clean Fuels Alliance America, National Corn Growers Association, American Soybean Association, ADM, Bayer, Darling Ingredients, POET, Green Plains, Renew Kansas, Iowa Renewable Fuels, and Iowa Corn Growers.



IRFA to House Speaker, Senate Majority Leader: Time to Fix Year-Round E15 Now

Thursday the Iowa Renewable Fuels Association (IRFA) sent a letter signed by 2025 Iowa Renewable Fuels Summit attendees to U.S. House Speaker Mike Johnson and U.S. Senate Majority Leader John Thune, calling for an immediate fix for year-round E15.

“The time is now, E15 is the near-term demand driver that American agriculture needs at this crucial time,” said IRFA Executive Director Monte Shaw. “Maybe it was the frustration of being so close to having an E15 fix in the recent continuing resolution, only to have it snatched away in the last second that has exhausted Iowans’ patience. No more Iowa nice; we’ve been patient for a decade and we are done waiting.”

E15 saves consumers 15 to 20 cents per gallon at the pump. It has the ability to create demand for 5 to 7 billion gallons of additional ethanol over the next several years. Today, it is difficult to sell E15 during the summer months due to an unnecessarily restrictive federal regulation that treats E15 differently than other fuels. The federal legislation would remove the restriction and treat E10 and E15 the same.

The text of the letter stated: “Allowing year-round E15 not only increases consumer choice with lower cost, cleaner-burning options at the pump, it also supports U.S. farmers struggling with low agriculture prices. President Trump started the effort to guarantee year-round E15 in 2019 in Council Bluffs, Iowa. Let’s work together to finish what President Trump started to enhance our energy dominance by growing American-made biofuels!”



Principals Modernize Iowa Nutrient Reduction Strategy to Incorporate New Insights, Science and Technology

The Iowa Department of Agriculture and Land Stewardship, Iowa Department of Natural Resources (DNR) and Iowa State University (ISU) introduced updates to Iowa’s Nutrient Reduction Strategy (INRS) today. The three Principals modernized the INRS – the state’s soil health and water quality framework – to reflect new research, practices, partnerships and funding that have emerged since the strategy was finalized in 2013.

“We’ve learned valuable lessons working alongside farmers and landowners to implement conservation practices, and that’s helping accelerate and scale-up adoption. The strategy must reflect real-world scenarios, challenges and work that’s happening in priority watersheds,” said Iowa Secretary of Agriculture Mike Naig. “The document will continue to evolve with new research and technology, but we’re unwavering in our commitment to working alongside our public and private partners to achieve the goals outlined in Iowa’s Nutrient Reduction Strategy.”

“Iowa State University is committed to the Iowa Nutrient Reduction Strategy and to providing scientific leadership to ensure its long-term success. Our faculty, staff and students have enabled this important initiative through our land grant university missions, and we continue to do so. This includes generating relevant new water quality research, developing new technologies to support INRS implementation and studying the performance of existing conservation practices,” said Daniel J. Robison, Endowed Dean’s Chair of the Iowa State University College of Agriculture and Life Sciences. “We are also actively involved in efforts to understand and accelerate the rate of practice adoption and track activities and practice implementation associated with the INRS. In these ways and others, the university and the College of Agriculture and Life Sciences seek to serve landowners and farmers in Iowa and beyond, and all our communities, through science, technology development and extension.”

“We appreciate the hard work of communities and industries across the state who made critical upgrades that led to significant reduction of nitrogen and phosphorus entering Iowa’s waterways,” said Kayla Lyon, Director of the Iowa Department of Natural Resources. “These advancements reflect the dedication of local governments, engineers, and environmental partners to implement innovative technologies and practices that benefit our water systems and the broader health of our environment and communities. While there is still much to do, the strides we’ve made so far are a testament to what we can accomplish when we work together.”

Key Updates
The INRS was last revised in 2017. The 2025 version includes the following updates:
    Nonpoint source – recommends a three-year extended rotation to reduce nitrogen loss.
    Point source – list of affected facilities is now posted on the INRS website so it can be updated regularly.
    Measurement – evolved from a static annual report to an online dashboard updated quarterly.  
    Clarified partner roles – Iowa Water Resources Coordinating Council (WRCC) and 19 state and federal agencies are now listed as collaborators and advisors.
    Nutrient credit trading – Iowa Nutrient Reduction Exchange, established in 2019, is listed as the formal framework for the voluntary nutrient credit trading program.

New Implementation Strategies
Conservation practices will continue to be deployed in watersheds identified in the original INRS. The updated document outlines new implementation strategies the INRS Principals and their public and private partners are using to maximize funding and impact while accelerating practice adoption.

    The Batch and Build process, which began in 2020, streamlines the development process for landowners by building a group of practices at the same time instead of working with individual landowners. The state has completed five “batches” to date and is expanding this process to include new geographies and partners.  

    The Department has led or partnered on 23 Regional Conservation Partnership Projects (RCPP) since 2015. These projects have been awarded over $142 million in financial and technical assistance from the United States Department of Agriculture (USDA) Natural Resources Conservation Service (NRCS).

    Established and expanded partnerships with Conservation Agronomists, Iowa Agriculture Water Alliance, Iowa Nutrient Research Center, and many others, play vital roles in research, outreach and engagement, technical support and project funding.  

    Edge-of-field practices like saturated buffers and multi-purpose oxbows were listed as approved nutrient-reduction strategies after the original strategy was developed.  

    The Iowa Department of Agriculture and Land Stewardship’s cover crop insurance discount program provides financial incentives in partnership with USDA’s Risk Management Agency (RMA) to reduce farmers and landowners’ costs to add cover crops to production acres. This program has served as a model for RMA and several other states.

    New crop production technologies, like biologics, reduce the need for synthetic fertilizer applications, and precision ag tools like variable rate technology and Y-drop nozzles to fine-tune fertilizer management.

    The Iowa Nitrogen Initiative developed the N-FACT precision ag tool to help farmers optimize nitrogen application rates based on their operations and the unique needs of each acre. 

    A cooperative agreement with ISU College of Agriculture and Life Science will increase monitoring of installed edge-of-field practices. This data will enhance current understanding of practice efficacy and inform future implementation efforts. 

The revised INRS is now available online at nutrientstrategy.iastate.edu.



Anti-Pipeline Rhetoric Today at Iowa Capitol is Example of Wrong Policy, Wrong Time

During a sparsely attended anti-pipeline protest at the Iowa Capitol Thursday, a number of bills were introduced that would destroy Iowa farmers’ ability to compete in growing, low carbon biofuels markets in the U.S. and around the world. Iowa Renewable Fuels Association Executive Director Monte Shaw made the following statement:

“This muddle of bills is a slap in the face to the supermajority of Iowa landowners who support carbon capture pipelines. At a time when farm income has declined by $90 billion, we should be helping Iowa farmers access new and growing markets, not choking off their ability to participate. These actions represent wrong policy at the wrong time.”



Farm Sector Profits Forecast To Increase in 2025
USDA Economic Research Service

Net farm income, a broad measure of profits, is forecast at $180.1 billion for calendar year 2025, an increase of $41.0 billion (29.5 percent) relative to 2024 in nominal (not adjusted for inflation) dollars. This follows a forecast decrease for 2024 of $8.2 billion (5.6 percent) from 2023 to $139.1 billion. After adjusting for inflation, net farm income is forecast to increase by $37.7 billion (26.4 percent) in 2025 relative to 2024. With this expected increase, 2025 net farm income would be 44.8 percent above its 20-year average (2004–23) of $124.4 billion but 8.9 percent below 2022’s record high in inflation-adjusted dollars.

Net cash farm income is forecast at $193.7 billion for 2025, an increase of $34.5 billion (21.7 percent) relative to 2024 (not adjusted for inflation). From 2023 to 2024, net cash farm income is forecast to have remained relatively stable, increasing by $2.4 billion (1.6 percent) in nominal dollars but falling $1.4 billion (0.9 percent) after adjusting for inflation. When adjusted for inflation, 2025 net cash farm income is forecast to increase by $30.6 billion (18.8 percent) from 2024. If the forecast is realized, net cash farm income in 2025 would be 30.9 percent above its 2004–23 average of $148.0 billion but 15.2 percent below 2022’s record high. Net cash farm income encompasses cash receipts from farming as well as cash farm-related income (including Federal Government payments) minus cash expenses. It does not include noncash items (including changes in inventories, economic depreciation, and gross imputed rental income of operator dwellings) reflected in the net farm income measure.

Cash receipts from the sale of agricultural commodities are forecast to decrease by $1.8 billion (0.3 percent) in nominal terms from 2024 to $515.0 billion in 2025. Total crop receipts are expected to decrease by $5.6 billion (2.3 percent) from 2024, led by lower receipts for soybeans and corn. In contrast, total animal/animal product receipts are expected to increase by $3.8 billion (1.4 percent), following increases in receipts for hogs, milk, and broilers.

Direct Government payments are forecast to rise by $33.1 billion (354.5 percent) from 2024 to $42.4 billion in 2025. This increase is expected largely because of supplemental and ad hoc disaster assistance to farmers and ranchers from the American Relief Act of 2025. Total production expenses, including operator dwelling expenses, are forecast to decrease by $2.5 billion (0.6 percent) to $450.4 billion in 2025. Feed, fertilizer (including lime and soil conditioners), and pesticide expenses are expected to see the largest dollar declines in 2025.

The average net cash farm income for farm businesses is forecast to increase 11.4 percent from 2024 to $128,900 per farm in 2025 in nominal terms. Farm businesses are farms with annual gross cash farm income (GCFI)—annual income before expenses—of at least $350,000 or operations with less than $350,000 in annual GCFI but that report farming as the operator's primary occupation. All nine USDA, Economic Research Service (ERS) Farm Resource Regions are expected to see average net cash farm income rise in 2025 relative to 2024, with farm businesses located in the Prairie Gateway region expected to see the largest increase. When grouped by commodity specialization, farm businesses specializing in animal/animal products are forecast to see higher average net cash farm income in 2025 while the outlook for those specializing in crops is mixed.

On the farm sector balance sheet, equity is expected to increase by $156.8 billion (4.3 percent) from 2024 to $3.83 trillion in 2025 in nominal terms. Farm sector assets are forecast to increase by $176.6 billion (4.2 percent) to $4.40 trillion in 2025 following an expected increase in the value of farm real estate assets. Farm sector debt is forecast to increase by $19.8 billion (3.7 percent) to $561.8 billion in 2025. Debt-to-asset levels for the sector are forecast to improve slightly from 12.84 percent in 2024 to 12.78 percent in 2025. Working capital is forecast to increase 3.9 percent in 2025 relative to 2024.

Median Income of Farm Operator Households Forecast To Increase in 2024 and 2025
Median total farm household income is forecast at $100,840 in 2024, a 2.9 percent (0.4 percent after inflation) increase from 2023. It is forecast to reach $106,276 in 2025 with an increase of 5.4 percent (3.0 percent after inflation) relative to 2024.

Farm households typically receive income from farm and off-farm sources. Median farm income earned by farm households is forecast at -$651 in 2024 and is expected to reach -$328 in 2025. This follows a small forecast increase in farm income from 2023 to 2024. Many farm households primarily rely on off-farm income. Median off-farm income is forecast at $82,777 in 2024 after increasing 3.6 percent (1.1 percent after inflation) from 2023. In 2025 it is forecast to increase further by 3.3 percent (1.0 percent after inflation) to $85,528. Since farm and off-farm income are not distributed identically for every farm, median total income will generally not equal the sum of median off-farm and median farm income.



U.S. Pork Exports Record-Large in 2024; Beef Export Value Trends Higher

Exports of U.S. pork eclipsed previous highs in both volume and value in 2024, according to year-end data released by USDA and compiled by the U.S. Meat Export Federation (USMEF). Beef export value climbed 5% from 2023 despite a slight decrease in volume, as unit export values were record high. Lamb exports trended higher than a year ago in both volume and value.

Record pork exports to FTA partners underscore importance of duty-free access
December pork exports totaled 267,132 metric tons (mt), slightly below last year’s large volume, while value increased 1% to $771.8 million. These results pushed the full-year volume to 3.03 million mt, up 4% from a year ago and topping the previous high (2.98 million mt) reached in 2020. Export value totaled $8.63 billion, up 6% from the previous record set in 2023.

“Market diversification has been a key goal of the U.S. pork industry for many years, and the resulting broad-based growth has never been more evident than in 2024,” said USMEF President and CEO Dan Halstrom. “While exports to Mexico were record-large for the fourth consecutive year, U.S. pork’s footprint expanded greatly in the Western Hemisphere and made gains in the Asia-Pacific, which bolstered global export totals and pushed export value per head slaughtered to a new high of more than $66.”

In addition to Mexico, pork exports achieved annual volume and value records in Central America, Colombia, New Zealand, Malaysia and several Caribbean markets. Value records were reached in South Korea, Australia and the Dominican Republic.

Beef exports post strong finish, with annual records in Caribbean and Central America
December beef exports totaled 110,171 mt, up 1.5% from a year ago, while value climbed 4% to $897.6 million – the highest since July. For the full year, beef exports were 1.29 million mt, down 0.5% year-over-year, while value increased 5% to $10.45 billion.

“Considering the formidable headwinds in the large Asian markets – especially in the first half of the year – and the challenges on the supply side, beef exports exceeded expectations in 2024,” Halstrom said. “The economic climate in Asia has shown modest improvement and in the meantime, demand for U.S. beef strengthened in other regions, including double-digit growth in Mexico. The U.S. beef industry continues to export a steady percentage of production at higher prices, as evidenced by export value per head of fed slaughter reaching $415. U.S. beef always sells at a premium internationally, and the strong U.S. dollar contributed to further increases in pricing in local currencies. So the 2024 results confirm that global demand is extremely resilient.”

Market diversification also paid dividends for beef exports, which achieved annual volume and value records in a number of emerging markets, including the Dominican Republic, Guatemala, Honduras, Panama, the Leeward-Windward Islands, Netherlands Antilles, Turks and Caicos, Cuba, Guyana, Singapore and Morocco. Value records were reached in the Bahamas, Bermuda, Qatar, Jordan and Bahrain.

Led by Caribbean and Mexico, U.S. lamb exports trend higher
Exports of U.S. lamb totaled 2,723 mt in 2024, up 16% year-over-year, while export value climbed 14% to $14.3 million. For lamb muscle cuts, exports totaled 2,003 mt valued at $11.8 million, each down slightly from 2023. The Caribbean and Mexico are the two largest destinations for U.S. lamb muscle cuts, and exports to the Caribbean were up 14% to 976 mt, valued at $7.1 million (up 13%), fueled in part by a doubling of shipments to the Bahamas. Exports to Mexico were the highest since 2019 at 759 mt, up 21% year-over-year as a wider range of cuts – including shoulder and flap meat – gained traction in Mexico’s foodservice sector. Export value to Mexico jumped 20% to $2.4 million.



USDA Applauds Mexico’s Action Towards Resolving USMCA Dispute on GE Corn

The U.S. Department of Agriculture (USDA) today released the following statement commending Mexico’s action to declare ineffective measures concerning genetically engineered (GE) corn that the United States successfully challenged in the USMCA dispute. Today’s action safeguards approximately $5.6 billion in U.S. corn exports to Mexico. USDA, in coordination with USTR, will continue to monitor Mexico’s compliance with its USMCA commitments.

“Mexico’s action declaring ineffective these GE corn measures is a major victory for U.S. farmers and a testament to President Trump’s decisive leadership on trade. Prompted by President Trump’s leadership and a USMCA panel ruling, Mexico’s action in response to the United States’ successful challenge in the USMCA litigation protects billions of dollars in U.S. exports,” said Kailee Buller, Chief of Staff of the U.S. Department of Agriculture. “The Trump Administration will continue to stand up for U.S. farmers and producers, including tackling countries’ unjustified barriers to products of agricultural biotechnology.”



Statement by Mark McHargue, President, Regarding Mexico Repealing GM Corn Ban

“Mexico’s announced repeal of their unlawful ban on genetically modified (GM) corn coming from the United States is a substantial win for Nebraska’s corn farmers. As one of the nation’s leading corn producing states, Nebraska farmers were in the direct line of fire on this proposed ban. Mexico also remains Nebraska’s largest total export customer, importing $284 million or 93% of Nebraska’s total corn exports. As we approach the required review of the U.S., Mexico, Canada Agreement (USMCA) in 2026, it is imperative our trading partners adhere to any and all signed agreements.”



NCGA Encouraged by Mexico’s Actions on Genetically Modified Corn

The National Corn Growers Association expressed optimism Thursday after Mexico rescinded portions of a decree that banned genetically modified corn.

The development is an outgrowth of corn grower advocacy that led to a dispute panel that ruled in late December last year that Mexico had violated its commitments under the United States-Mexico-Canada Agreement when it banned the imports.

“We are encouraged by today’s development and pleased by the impact of corn grower advocacy,” said Illinois farmer and NCGA President Kenneth Hartman Jr . “Mexico must comply with the report and eliminate all measures that ban or restrict the trade of genetically modified corn.”

The settlement process is still ongoing, Hartman noted.

Mexican President Andrés Manuel López Obrador first set off alarms in the Corn Belt in December 2020 when he initiated a decree to ban genetically modified corn by the end of 2024. At the time, NCGA began outreach to the Trump administration to head off the ban. Those efforts continued with the Biden administration as well as with members of Congress and Mexican officials.

The organization’s leaders argued that the ban would significantly harm growers and rural communities, especially because Mexico is the number one export destination for U.S. corn.

NCGA’s efforts intensified in 2023 when the Mexican president issued a decree banning genetically modified white corn, effective the following day. NCGA and state corn grower groups responded by pushing USTR to file a dispute settlement under USMCA, which it eventually did.



Farm Bureau Applauds Mexico for Rescinding Corn Import Ban

American Farm Bureau Federation President Zippy Duvall commented today on Mexico’s decision to formally repeal a ban on biotech corn imports from the United States.

“Farm Bureau applauds Mexico’s President Claudia Sheinbaum for repealing her country’s ban on biotech corn imports from America. Her predecessor’s attempt to limit trade between the two countries was a clear violation of the USMCA trade agreement, which was recently confirmed by a USMCA panel decision.

“A ban would have hurt hard-working families on both sides of the border. America’s farmers are dedicated to growing safe and affordable food, and they look forward to continued access to an important trading partner.”



NFU Champions Passage of the American Beef Labeling Act

National Farmers Union (NFU) Thursday announced support of the American Beef Labeling Act (ABLA), introduced by Senators John Thune (R-S.D.) and Cory Booker (D-N.J.). This legislation codifies mandatory country-of-origin labeling (MCOOL) for beef sold in the U.S., distinguishing American-produced products in grocery stores. We urge additional cosponsors to endorse the bill and support its swift passage.

“America’s family farmers and ranchers produce the best agricultural products in the world, and consumers have the right to know where their products come from,” said NFU President Rob Larew. “I’m very grateful to Senators Thune and Booker for listening to Farmers Union members across the country who have been calling for mandatory country-of-origin labeling legislation for decades. The passage of the American Beef Labeling Act will help create greater transparency for consumers and a more competitive market for cattle farmers and ranchers."

Specifically, the ABLA will give American cattle farmers and ranchers more power in production and marketing by including package labeling indicating that their product has been born, raised, slaughtered, and packaged entirely in the U.S. This allows small and mid-size producers to occupy a larger market share and receive a greater share of the consumer’s food dollar.

NFU has advocated for decades for mandatory country-of-origin labeling to level the playing field and give family farmers and ranchers a chance against growing anti-competitive business practices by large corporations.



CattleFax Forecasts Continued Strong Demand and High Price Outlook for Cattle Producers

The popular CattleFax Outlook Seminar, held as part of CattleCon 2025 in San Antonio, Texas, shared expert market and weather analysis today.

The U.S. beef industry is poised for another year of strong market performance, driven by tight cattle supplies and robust consumer demand. As the beef cowherd enters a stabilization phase following years of contraction, the resulting supply constraints have shifted market leverage decisively in favor of cattle producers.

Weather conditions will remain a critical factor influencing grazing availability, herd expansion and cattle prices. Meteorologist Matt Makens said La Niña this winter brings rather volatile weather changes across North America with the majority of weather extremes affecting those in the Central to Eastern U.S. For Mexico and the Southwestern U.S., producers will see drought acreage increase as it has nationwide since June.

“Drought will likely increase across the Western U.S. this spring and into the Pacific Northwest, Northern Plains, and Canadian Prairies through this summer. To watch will be the North American monsoon and how much drought relief it can provide to Mexico, the Southwest, and parts of the Plains,” he said. “Current data show the monsoon is likely to produce more moisture this year than last. A strong enough monsoon can decrease precipitation across the central Corn Belt, watch July closely. Late in the year, the focus turns to the development of La Niña or El Niño.”

Shifting the discussion to an outlook on the economy, energy and feed grains, Troy Bockelmann, CattleFax director of protein and grain analysis, noted that inflation eased in 2024, ending the year at 2.9%, a significant drop from the 9% peak in 2022 but still above the Federal Reserve’s 2% target. To address this, the Fed cut interest rates three times in the latter half of the year, bringing the Prime bank loan rate to 7.5%.

The labor market remained strong, with unemployment briefly rising midyear before falling to 4.1% as job creation outpaced expectations. Combined with solid consumer spending and wage growth, the U.S. economy is expected to see healthy GDP growth of 2 to 2.5% in 2025.

“The Federal Reserve’s rate cuts helped stabilize inflation and support economic growth, but we’re still above target,” Bockelmann said. “Despite economic headwinds, consumer confidence and spending have remained resilient. However, lingering inflation and potential trade uncertainties may limit the extent of further interest rate cuts this year and inflation remains a key factor to watch in 2025.”

CattleFax shared that National Dec. 1 on-farm hay stocks were up 6.3% from a year-ago at 81.5 million tons with hay prices averaging $175/ton in 2024. Corn stocks-to-use at just over 10% and should support the spot market towards $5.00/bu. with a yearly average spot future price of $4.40/bu. expected.

“An increase in corn supply for the new crop year is expected as smaller beginning stocks are offset by larger production levels due to corn regaining acres from soybeans. Stocks-to-use have the potential to be above 13 percent which implies a price range of $3.75 to $5.15/bu. for the 2025 market year,” Bockelmann said. “There is a strong correlation between corn stocks-to-use and hay, and we expect hay prices to follow corn and trend a bit higher in the coming year.

On the energy front, he noted, for 2025, not much will change. Average crude oil prices are expected to be near steady with 2024 though risk remains for a reduced U.S. market share of global product due to potential trade policy impacts. He also expects ethanol production to continue to stay strong.

Kevin Good, vice president of market analysis at CattleFax, reported that U.S. beef cow herd is expected to see the cycle low to start 2025 at 28 million head, 150,000 head below last year and 3.5 million head from the 2019 cycle highs.

“We expect cow and bull slaughter to continue declining in 2025, with overall numbers down by about 300,000 head to 5.9 million head total. Feeder cattle and calf supplies outside of feedyards will also shrink by roughly 150,000 head, while cattle on feed inventories are starting the year slightly below 2024 levels at 11.9 million head,” he said. “With a tighter feeder cattle supply, placement pace will be more constrained, leading to a projected 700,000-head drop in commercial fed slaughter to 24.9 million. After modest growth in 2024, beef production is expected to decline by about 600 million pounds to 26.3 billion in 2025, ultimately reducing net beef supply per person by 0.8 pounds.”

Beef prices continued their upward trend in 2024, averaging $8.01/lb., the second-highest demand level in history. While demand may ease slightly in 2025, retail prices are still expected to rise to an average of $8.25/lb. Wholesale prices will follow suit, with the cutout price projected to reach $320/cwt.

“Retail and wholesale margins are historically thin, making strong consumer demand essential to maintaining higher price levels,” said Good. “While opportunities for further leverage gains are limited, the market remains favorable for producers.”

Inflation remained moderate in 2024, but high consumer debt, elevated interest rates, and competition from more affordable protein options could impact purchasing decisions. However, foodservice demand showed resilience, ending the year stronger as same-store sales and customer traffic improved.

“Despite economic pressures, consumers continue to pay premiums for higher-quality beef,” Good added. “Choice grade or better remains in high demand, reinforcing the strength of the premium beef market.”

Turning to global protein demand, Good noted that the outlook for animal proteins remains strong, although U.S. beef exports are projected to decline by 5% in 2025 due to reduced production and higher prices. Conversely, U.S. beef imports are expected to grow as lean beef supplies tighten.

“The global outlook is currently an interesting scenario as trade policy developments, including potential tariffs, could pose risks to international markets. While growth is expected this year, it may be limited to global competition supply constraints and an uncertain tariff environment,” Good said.

Mike Murphy, CattleFax chief operating officer, forecasted the average 2025 fed steer price at $198/cwt., up $12/cwt. from 2024. All cattle classes are expected to trade higher, and prices are expected to continue to trend upward. The 800-lb. steer price is expected to average $270/cwt., and the 550-lb. steer price is expected to average $340/cwt. Utility cows are expected to average $140-/cwt., with bred cows at an average of $3,200/cwt.

“While the cyclical upswing in cattle prices is expected to persist, the industry must prepare for market volatility and potential risks. Producers are encouraged to adopt risk management strategies and closely monitor developments in trade policy, drought conditions, and consumer demand,” Murphy said.

2025 USDA All-Fresh Retail Beef prices are expected to average $8.25/pound and, which will continue the balancing act for retail between high prices and reduced supply. Murphy noted that the key is to avoid setting prices too high, especially in light of competition from more affordable proteins.
 
Randy Blach, CattleFax chief executive officer, concluded the session with an overall positive outlook, and noted that strong margins in the cow-calf sector have set the stage for cowherd expansion to begin, with heifer retention likely back near a more normal pace, relative to minimal retention in recent years. Drought and pasture conditions are now the key factors influencing the rate of expansion with a slower herd rebuild anticipated compared to the last cycle. This more measured expansion pace implies a positive outlook for producer returns over the next several years. Strong consumer demand also remains a bright spot for the industry.

“We have to remember where we came from,” Blach said. “Continued improvements in quality and meeting consumer expectations with a safe, nutritious product and a consistently good eating experience have had tremendous impacts on moving the needle for this industry. We’re moving in the right direction, and we need to keep paying attention to that signal.”



Biological Seed Treatment Offers a Proactive Solution to the Rising Threat of Red Crown Rot in Midwest Soybeans

Soybean growers in the Midwest face a new challenge with Red Crown Rot (RCR), a yield-threatening disease that is on the rise. With no effective in-season treatments currently available, growers are facing increasing difficulties in managing this emerging issue.

Red Crown Rot, caused by the fungus Calonectria ilicicola, infects soybean seedlings within the first three weeks after germination. The disease spreads primarily through infected soil and crop residue, leading to yield losses ranging from 10% to 80% in severely affected fields, depending on environmental conditions.

Originally confirmed in U.S. peanut production in the 1960s, Red Crown Rot was first detected in soybean crops in the southern U.S. during the 1970s. The disease has now been identified in 11 soybean-producing states, including Illinois, Indiana, Iowa, Kentucky, Missouri and Ohio.

To help growers address this issue, CeraMax®, a biological seed treatment developed by Ceradis Crop Protection B.V., will be available in 2025 under a Section 2(ee) label for the suppression of Red Crown Rot in soybeans.

States where CeraMax Section 2(ee) labeling applies are Arkansas, Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, Tennessee, West Virginia, and Wisconsin.

“Red Crown Rot is emerging as a serious problem for soybean growers. Because no rescue treatments exist, proactive management is critical this season,” said Lon Kreger, North America Marketing and Sales Leader with Ceradis. “CeraMax provides a unique biological approach to the problem, offering growers an effective and proven tool to protect their crops before and after planting.”

How CeraMax Works
CeraMax contains the active ingredient Natamycin, a biological molecule produced by soil bacteria that prevents soil-borne fungal diseases from attacking plant roots.

By stimulating the defensive capabilities of the treated seed at planting and germination, CeraMax activates key defensive pathways before fungal infection occurs. This early activation allows the seed and plant to utilize its genetic resistance by “priming” plant physiology, enabling it to defend against disease before it takes hold.

“Growers need to be vigilant because Red Crown Rot is not a disease that can be eliminated once it establishes in a field,” Kreger emphasizes. “With no in-season foliar solutions available to reverse plant damage or yield loss, the best defense is a seed treatment like CeraMax.”

Recognizing the Signs of Red Crown Rot
One of the biggest challenges in managing Red Crown Rot is its frequent misdiagnosis as Sudden Death Syndrome (SDS).

Bob Joehl, Seed Protection Specialist (CPAg/CCA) for Direct Enterprises Inc., stresses the importance of recognizing the signs and symptoms of Red Crown Rot.

“The first thing growers should know is that Red Crown Rot thrives in warmer soils, whereas Sudden Death Syndrome prefers cooler, wet soil conditions,” says Joehl.

While both diseases infect seedlings at planting and have similar leaf foliage expressions, Joehl recommends inspecting the stems of plants closely for accurate identification of specific disease characteristics.

“What sets Red Crown Rot apart is the red discoloration from the red crown balls at the base of the stem at ground level,” he explains. “Plants with Sudden Death Syndrome will display a gray color expression inside the stem on the vascular bundles with the inner core being white.”

Risk Prevention Strategies
Looking ahead, both Kreger and Joehl anticipate increased Red Crown Rot pressure across Midwestern soybean-producing states this season.

“Stringent principals in disease management should be a top-of-mind priority for protecting soybean yields,” Kreger advises. “Growers should take preventative measures in areas with known Red Crown Rot pressure, including crop rotation, strategic timing for soybean planting, and using a proven seed treatment.”

Since its market introduction in 2019, CeraMax has consistently provided effective protection against Sudden Death Syndrome and, more recently, Red Crown Rot under the Section 2(ee) label recommendation for disease suppression.

“For growers who have already been impacted by Red Crown Rot or Sudden Death Syndrome, as well as those concerned about potential spread, CeraMax is a leading biological solution for safeguarding their soybeans,” says Kreger.