Thursday, May 1, 2025

Thursday May 01 Ag News

 Spring 2025 Nebraska Farm Income Update

Nebraska net farm income is forecast to increase by 55% in 2025, to a record-setting $9.42 billion, according to new projections from the University of Nebraska-Lincoln and the University of Missouri.

It would be the highest nominal farm income level on record for the state and third highest after adjusting to inflation, according to the Spring 2025 Nebraska Farm Income Outlook. The report is published in collaboration between the Center for Agricultural Profitability at Nebraska and the Rural and Farm Finance Policy Analysis Center (RaFF) at Missouri.

Total farm receipts in Nebraska are projected to increase by $731 million, to $33.37 billion, as higher cash receipts from livestock and crop insurance indemnities offset the decline in cash receipts from crops. But the major driver of farm income in 2025 is expected to be the $1.58 billion increase in direct government payments, which would account for 17% of the increase in the state’s net farm income.

The projected 55% increase in Nebraska net farm income largely exceeds the projected 30% increase in U.S. net farm income projected by the University of Missouri’s Food and Agricultural Policy Research Institute and USDA’s Economic Research Service.

“Positive profit margins in livestock production and one-time government payments will support farm liquidity in calendar year 2025. Managing liquidity smartly will be key to protect farm operations from headwinds in 2026,” said Alejandro Plastina, director of RaFF.

The report indicates that its projections do not fully account for the impact of tariff announcements or other market uncertainties, noting that even small proportional changes in cash receipts or production expenses can drastically change the net farm income outlook.

Brad Lubben, an agricultural policy specialist at Nebraska, said the report’s strong projections may seem at odds with producer concerns and uncertainty over production, market and policy developments.

“Crop economics and livestock economics seem to be going in different directions at the moment, with the cattle industry helping hold up the state’s farm income prospects,” he said. “But it’s one-time government assistance payments that dominate the current financial projections, even as the outlook for what is ahead with markets and policy may be more uncertain than ever.”

Other key findings from the report include:
    Crop receipts are projected to fall by 2% in calendar year 2025, despite an increase in production levels for corn and soybeans. Crop receipts could recover in 2026, seeing a potential 2% increase.
    Corn receipts are projected $84 million lower in 2025 than in 2024.
    Soybean receipts are projected to by $86 million in 2025.
    Wheat receipts are projected to decline by 3% in 2025.
    A projected 9% decline in hay acres would trigger an 11% increase in hay prices in 2025.
    Nebraska’s cattle inventory is projected to continue declining in 2025.  However, higher prices and stable marketing could boost cattle receipts by 2%. Hog receipts are projected to decline by 1%, while broiler receipts are projected to trend upwards by more than 10% annually in 2025-2026.
    Production expenses are projected to remain steady in 2025, at $27.22 billion, as the decline in feed, pesticides, interest and fuel expenses offset higher purchased livestock, fertilizer, and rent expenses in 2025.
    Net rents to landlords are projected to increase $81 million in 2025.

The full report is available here The full report is available here https://cap.unl.edu/sites/unl.edu.ianr.agecon.center-for-ag-profitability/files/media/file/Spring_2025_Nebraska_Farm_Income_Outlook.pdf.

The Spring 2025 Farm Income Outlook is co-published by the Center for Agricultural Profitability at the University of Nebraska-Lincoln and RaFF at the University of Missouri, which provides objective policy analysis and informs decision makers on issues affecting farm and rural finances. The center collaborates with a number of states to develop farm income projections with local expertise.



Central Valley Ag launches drone spraying service  


Central Valley Ag (CVA) is taking technology to new heights with the launch of its drone spraying service, offering members a precise, efficient and field-friendly solution for fungicide and insecticide applications.

Designed to enhance agronomic productivity without compromising soil health, the drone spraying program gives farmers access to areas once difficult to treat with conventional equipment or crop dusters. The drone system can spray up to 32 feet wide and cover 45 acres per hour at 2 GPA, making it an ideal fit for pasture, hay and alfalfa acres.

Nic McCarthy, Senior Vice President of Agronomy at CVA, said the decision to offer drone spraying was driven by a growing need for flexibility and precision in application.

"We saw an opportunity to help our members be more efficient while protecting their crops and their soil," McCarthy said. "Drone technology allows us to reach challenging areas, reduce compaction, and still deliver effective coverage. It's another way CVA is staying ahead of what our members need."

The program is led by Field Technology Specialist Dylan Frederick, who will oversee drone operations and help members understand how the technology fits into their crop management plans.

"What excites me most is how adaptable this tools is," Frederick said. "From targeting acres that traditional sprayers can't reach to minimizing water and equipment use, drone spraying brings value to our growers in a way that's efficient, sustainable, and precise."

The service features GPS-guided application, 4D imaging radar that adapts to varied terrain, and deeper canopy penetration - all handled entirely by the CVA's team to eliminate the burden of equipment ownership or logistics for members.

For more information or to enroll acres, CVA members are encouraged to contact their local Field Sales Agronomist or CVA location.



NCW – Consumer Education and Promotion Committee Announces 2025 Beef Ambassador Contest and Advocacy Training


Nebraska Cattlemen’s (NC) NCW – Consumer Education and Promotion Committee is pleased to announce the 2025 Nebraska Beef Ambassador Contest and Advocacy Training will take place in conjunction with NC’s 2025 Annual Midyear Meeting. The contest and advocacy training will take place on Wednesday, June 11 at the Farm Credit Services of America office in Kearney, Neb., beginning at 1:00 p.m. CT.

The Nebraska Beef Ambassador Contest and Beef Advocacy Training provides an opportunity for future beef industry leaders, ages fourteen to twenty-four years old, to sharpen their advocacy skills and strengthen their knowledge of the key issues facing the number one industry in Nebraska.

The Nebraska Beef Ambassador Contest requires participants to address current issues facing the beef industry with both a written response and a mock media interview. The contest is separated into two divisions, senior and collegiate. Cash prizes will be awarded, and the two first-place division

winners will receive a belt buckle. The first-place senior and collegiate winners will become official Nebraska Beef Ambassadors for a full year. They will work to educate consumers and students on the importance of beef. At the end of their one-year term, the collegiate Nebraska Beef Ambassador will be awarded a scholarship on behalf of the Nebraska Cattlemen Research and Education Foundation.

Registration and additional details can be found on the Nebraska Cattlemen website at www.nebraskacattlemen.org. For more information, please contact ncw@necattlemen.org or call (402) 450-0223.

The 2025 Nebraska Beef Ambassador Competition and Advocacy Training is sponsored by Farm Credit Services of America and Purina Animal Nutrition.



AGI Omaha Marks 3 Years Without Lost Time Incidents


Ag Growth International (AGI) celebrates a significant safety milestone at its Omaha, NE facility. The dedicated team has completed three years without any lost time incidents, highlighting their commitment to safety and excellence in manufacturing.

AGI Omaha, renowned for its mixed flow dryers and grain drying solutions, honored employees with the AGI Safety Stand Out Award during the 5th Annual One AGI Safety Week.

“Our Omaha employees have shown exceptional diligence and teamwork to achieve this milestone. Three years without lost time injuries is a remarkable feat in the manufacturing industry, where the complexity and demands of daily operations pose constant challenges,” says Paul Householder, AGI President and CEO.  

A lost time incident (LTI) refers to a non-fatal injury causing disability or missed work due to an injury. The LTI measurement is a baseline representation of a company's safety performance and the effects of those injuries on workforce productivity. 

Abdallah Alkhaleel, AGI Omaha Plant Manager, emphasized the team’s vigilance in maintaining a safe environment. “This achievement speaks volumes about their professionalism and safety culture. Safety is a repeatable and embedded practice here, and everyone knows that our goals are zero recordable incidents and lost time injuries. I am incredibly proud of our team and the example they set for the industry.”

Purchased by AGI in 2017, the Omaha plant has a legacy of quality craftsmanship and engineering in agricultural equipment. Since 1959, it has been a steady employer and economic contributor to the Greater Omaha community. With over 120,000 square feet of manufacturing space, AGI Omaha’s 51 employees use state-of-the-art technology to build grain dryers for farmers and commercial grain customers in North America, Europe and Mexico. In 2014, the plant produced its 1,000th mixed flow grain dryer, a screen-free technology that protects the quality and nutritional value of grain, pulses, seeds, and nuts.

Henry Palomino, AGI Vice President Global Manufacturing Supply Chain, says teamwork and dedication are required for three years of no lost time injuries: “AGI’s success is driven by its employees. The Omaha team embodies AGI’s highest priority ensuring that every employee returns home safely each day in the exact same working condition in which they arrived. It is about caring and doing the right thing for each other."

This month two of AGI’s Nebraska facilities earned stand-out safety status. Also, AGI Falls City, NE plant earned a 3-year no lost time distinction.



Awards for 95 Projects Announced to Expand E15 in Iowa


Iowa Secretary of Agriculture Mike Naig announced today that the Iowa Renewable Fuels Infrastructure Program (RFIP) Board recently approved an additional 95 applications from Iowa gas stations to support new and expanded ethanol infrastructure projects. These investments help drivers save money by providing expanded access to lower cost and cleaner burning homegrown biofuels like E15 (Unleaded 88). The cost-share grants were awarded by the RFIP Board during its quarterly meeting on April 15.  

The approved project sites are located in 38 counties and total $940,121.00 in state cost-share. A complete list of the projects approved on April 15, sorted by county, is available here https://iowaagriculture.gov/sites/default/files/2025/041525%20RFIP%20Ethanol%20Cost%20Share%20Grant%20List.pdf.  Approved projects include:
Harrison Casey's General Store 106 E ERIE ST MISSOURI VALLEY $5,120.00
Plymouth Casey's General Store 101 5TH AVE SW LE MARS $7,178.00
Pottawattamie Casey's General Store 510 23RD AVE COUNCIL BLUFFS $5,512.00
Pottawattamie Casey's General Store 1928 SHERWOOD DR COUNCIL BLUFFS $3,914.00
Pottawattamie Casey's General Store 33280 335TH ST MINDEN $3,577.00
Pottawattamie Casey's General Store 19900 VIRGINIA HILLS RD COUNCIL BLUFFS $2,793.00
Pottawattamie Casey's General Store 2711 S 24Th St COUNCIL BLUFFS $5,652.00

These are in addition to the 114 ethanol and biodiesel projects that the RFIP board awarded at the end March, which set a record for the number of projects approved in one quarter.

“Greater access to E15, also known as Unleaded 88, gives Iowa drivers more opportunities to save money. Every time an Iowan can fill up with E15 instead of E10, they save about 15 cents per gallon and that can really add up over time,” said Secretary Naig. “We set a record for E15 sales in Iowa in 2024, and as more pumps are added or upgraded, that momentum will continue to build. Biofuels deliver real savings for drivers, strengthen rural employment, expand markets for farmers, are better for the environment, and are central to the President’s goal of unleashing American energy dominance.”

The Iowa Department of Revenue announced on April 3 that Iowa E15 sales hit an all-time record in 2024, eclipsing the previous record from 2023 by 44 percent. With 256.7 million gallons of E15 sold in Iowa in 2024 at an average price discount of 15 cents per gallon compared to E10, Iowa drivers saved over $38.5 million last year by choosing E15 at the pump.

These investments are helping more Iowa gas stations come into compliance with the E15 Access Standard. Iowa is the first state to enact an E15 Access Standard, which requires most fuel retailers and gas stations to offer E15 by Jan. 1, 2026. The law was passed by the Iowa Legislature and signed by Gov. Reynolds in 2022. For those convenience stores and gas stations that need assistance coming into compliance, the Iowa Department of Agriculture and Land Stewardship can provide cost-share funding through the RFIP. Since the grant program began in 2006, the Department has invested over $61 million toward expanding renewable fuels infrastructure within Iowa. This has been matched with more than $270 million by Iowa gas stations and fuel retailers.

With cost-share funding available, the Department welcomes grant applications to assist more fuel stations in improving and upgrading infrastructure. Applications are available at iowaagriculture.gov/IRFIP, and will be considered by the RFIP Board at the upcoming quarterly meeting scheduled for June 4. The deadline to submit applications for this next quarter is May 9.



Weekly Ethanol Production for 4/25/2025


According to EIA data analyzed by the Renewable Fuels Association for the week ending April 25, ethanol production climbed 0.7% to 1.04 million b/d, equivalent to 43.68 million gallons daily. Output was 5.4% higher than the same week last year and 6.4% above the three-year average for the week. Still, the four-week average ethanol production rate decreased 0.5% to 1.03 million b/d, equivalent to an annualized rate of 15.79 billion gallons (bg).

Ethanol stocks ticked down 0.4% to a 15-week low of 25.4 million barrels. Stocks were 0.4% less than the same week last year but 4.7% above the three-year average. Inventories thinned across all regions except the Midwest (PADD 2) and Gulf Coast (PADD 3).

The volume of gasoline supplied to the U.S. market, a measure of implied demand, pared back 3.4% to 9.10 million b/d (139.85 bg annualized). Yet, demand was 5.6% more than a year ago and 4.6% above the three-year average.

Refiner/blender net inputs of ethanol eased 1.4% to 908,000 b/d, equivalent to 13.96 bg annualized. Net inputs were 0.3% less than year-ago levels but 0.3% above the three-year average.

Ethanol exports bounded 88.0% to an estimated 141,000 b/d (5.9 million gallons/day). It has been more than a year since EIA indicated ethanol was imported.



UAN28, UAN32 Lead Major Fertilizer Prices Increase

Average retail prices for all eight major fertilizers continued to be higher than last month during the last full week of April 2025, according to sellers surveyed by DTN.

Two fertilizers had a substantial price increase compared to the prior month. DTN designates a significant move as anything 5% or more. The average retail price of UAN28 was 6% higher compared to last month at $381 per ton. And UAN32 was 6% more expensive than last month with an average retail price of $449 per ton. The remaining six fertilizers had slightly higher prices. DAP had an average price of $784 per ton, MAP $821/ton, potash $468/ton, urea $579/ton, 10-34-0 $656/ton and anhydrous $781/ton.

On a price per pound of nitrogen basis, the average urea price was $0.63/lb.N, anhydrous $0.48/lb.N, UAN28 $0.68/lb.N and UAN32 $0.70/lb.N.

Four fertilizers are now higher in price compared to one year earlier. DAP is 1% higher, 10-34-0 is 2% more expensive, UAN28 is 5% higher and UAN32 is 7% higher looking back to last year. The remaining four fertilizers are lower. Both MAP and urea are 1% less expensive, anhydrous is 2% lower and potash is 9% lower compared to last year.



United States and Mexico Reach Agreement to Resume Eradication Efforts on New World Screwworm


U.S. Secretary of Agriculture Brooke Rollins announced Wednesday that Mexico has committed to eliminate restrictions on USDA aircraft, and waive customs duties on eradication equipment aiding in the response to the spread of New World Screwworm (NWS). Due to this agreement the ports will remain open to livestock imports, however if at any time these terms are not upheld, port closure will be revisited. This agreement follows Secretary Rollins’ letter to Mexico Secretary of Agriculture Julio Antonio Berdegue Sacristan on Saturday pushing for a resolution of the restrictions.

“I am happy to share Mexico has continued to partner in emergency efforts to eradicate the New World Screwworm. This pest is a devastating threat to both of our economies, and I am pleased to work together with Mexico in good faith to protect the livelihoods of our ranchers and producers who would have been hurt by this pest,” said Secretary Rollins. “At USDA we are working every day to keep pests and disease from harming our agricultural industry. I thank our frontline USDA staff and their counterparts in Mexico for their work to ensure the screwworm does not harm our livestock industry.”

New World Screwworm (NWS) is a deadly parasitic fly that infests warm-blooded animals, causing severe wounds and complications that can lead to death.



Gene-edited pigs approved for US market


Pigs produced to be resistant to one of the world’s most costly livestock diseases, using technology developed by the Roslin Institute, have been approved for sale to US consumers.

The US Food and Drug Administration has approved the use of a gene-editing technology that makes pigs resistant to Porcine Reproductive and Respiratory Syndrome (PRRS) for the US food supply chain.

This landmark approval for animal genetics company Genus, following years of development, helps meet the challenge of a disease that is endemic to most pig-producing regions.

The infection, which causes fever, respiratory distress, and premature births, costs industry approximately $2.5 billion each year in lost revenue in the US and Europe alone.

The approval follows years of close collaboration with the FDA and is a significant step on the pathway to commercialisation of gene-edited pigs in the US, and other international markets.

Technology development
Researchers at the University of Edinburgh’s Roslin Institute focused their efforts on the CD163 gene in pigs. This gene produces a receptor on the surface of cells, which the PRRS virus uses to cause infection.

Experts removed a small section of this gene, focusing on the section of the receptor that the virus attaches to, leaving the rest of the molecule intact.

Supported by Edinburgh Innovations (EI), the University of Edinburgh’s commercialisation service, the team collaborated with Genus, who also licensed novel technologies from other institutions, to produce pigs with the specific DNA change.

The resulting pigs do not become infected with the virus, and the animals show no signs that the change in their DNA has had any other impact on their health or wellbeing.



NGFA, other leading agricultural groups urging Congressional action on Surface Transportation Reauthorization

The National Grain and Feed Association (NGFA) has joined with 38 other leading agricultural organizations in a unified call to Congress to prioritize the reauthorization of the nation’s surface transportation programs. In a letter sent today, the groups emphasized the critical role that a modern, efficient, and well-funded transportation system plays in supporting U.S. agriculture and rural economies.

“A strong transportation network is essential to the success of American agriculture,” said NGFA President and CEO Mike Seyfert. “From farm inputs to grain exports, every link in the supply chain depends on reliable roads, bridges, and trucking policies that reflect today’s realities. We’re urging Congress to act decisively to keep rural America moving forward.”

Key priorities outlined in the letter include:
    On-time reauthorization: Congress must reauthorize surface transportation programs before the current law expires in September 2026 to avoid funding disruptions and project delays.

    Sustainable funding: The coalition supports equitable, long-term funding solutions for the Highway Trust Fund that include all vehicle types—gasoline, diesel, electric, and alternative fuels.

    First- and last-mile connectivity: Increased investment is needed in local roads and bridges that connect farms and agribusinesses to major highways, rail lines, and waterways.

    Truck weight modernization: The group urges Congress to authorize a pilot program allowing six-axle trucks up to 91,000 lbs. on interstate highways and to establish a 10 percent axle weight variance for dry bulk haulers.

    Trucking flexibility: Proposed reforms include streamlining Commercial Driver’s License (CDL) requirements and expanding hours-of-service exemptions for agricultural haulers.

    Protecting access to vehicles: The coalition opposes efforts to eliminate internal combustion engine vehicle sales and supports maintaining current motor carrier insurance requirements to prevent unnecessarily high insurance premiums and freight rates and holding motor carriers and freight buyers harmless from excessive litigation costs.

    Streamlined project delivery: The letter advocates for simplifying environmental review processes and expanding rural access to federal infrastructure funds without undue regulatory burdens.

“These commonsense reforms will enhance transportation efficiency, reduce costs, and improve safety across the agricultural supply chain,” Seyfert added. “Congress has an opportunity to deliver a bipartisan win for farmers, agribusinesses, and consumers alike.”

The letter was signed by a broad coalition of agricultural stakeholders, including the Agricultural Retailers Association, American Farm Bureau Federation, National Corn Growers Association, National Cattlemen’s Beef Association, USA Rice, and The Fertilizer Institute, among others.




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