NEBRASKA CROP PROGRESS AND CONDITION
For the week ending July 26, 2015, Nebraska experienced near normal temperatures throughout the State, according to the USDA’s National Agricultural Statistics Service. Portions of the southeast received up to four inches of rain, while the rest of the State generally saw totals amouting to one inch or less. The combination of warm conditions with scattered rain facilitated crop development in most areas, although locations with minimal rainfall reported dryland stress. There were 6.0 days suitable for fieldwork. Topsoil moisture supplies rated 6 percent very short, 24 short, 66 adequate, and 4 surplus. Subsoil moisture supplies rated 5 percent very short, 21 short, 71 adequate, and 3 surplus.
Field Crops Report:
Corn condition rated 1 percent very poor, 5 poor, 20 fair, 57 good, and 17 excellent. Corn silking was at 83 percent, near 82 for both last year and the five-year average. Dough was at 11 percent, behind 21 last year and 16 average.
Sorghum condition rated 0 percent very poor, 1 poor, 28 fair, 61 good, and 10 excellent. Sorghum headed was at 42 percent, ahead of 34 last year and 23 average. Sorghum coloring was at 2 percent, near 5 last year and 1 average.
Soybean condition rated 1 percent very poor, 6 poor, 21 fair, 57 good, and 15 excellent. Soybeans blooming was at 77 percent, behind 82 last year, but near 78 average. Setting pods was at 33 percent, behind 50 last year, but near 32 average.
Winter wheat condition rated 15 percent very poor, 20 poor, 32 fair, 31 good, and 2 excellent. Winter wheat harvested was 81 percent, ahead of 75 last year, but near 80 average.
Oats condition rated 2 percent very poor, 6 poor, 25 fair, 61 good, and 6 excellent. Oats mature was at 91 percent, ahead of 82 last year. Harvested was at 60 percent, ahead of 54 last year, but behind 72 average.
Alfalfa condition rated 1 percent very poor, 4 poor, 28 fair, 54 good, and 13 excellent. Alfalfa second cutting was at 80 percent, near 84 last year, but behind 85 average. Third cutting was at 23 percent, behind 33 last year, but near 21 average.
Livestock, Pasture and Range Report:
Pasture and range conditions rated 2 percent very poor, 6 poor, 22 fair, 58 good, and 12 excellent. Stock water supplies rated 2 percent very short, 9 short, 87 adequate, and 2 surplus.
Access the National publication for Crop Progress and Condition tables at:
http://usda.mannlib.cornell.edu/usda/nass/CropProg/2010s/2015/CropProg-07-27-2015.pdf.
Access the High Plains Region Climate Center for Temperature and Precipitation Maps at:
http://www.hprcc.unl.edu/maps/current/index.php?action=update_region&state=NE®ion=HPRCC.
Access the U.S. Drought Monitor at:
http://droughtmonitor.unl.edu/Home/StateDroughtMonitor.aspx?NE.
IOWA CROP PROGRESS & CONDITION REPORT
A dry start with rain near the end of the week allowed Iowa farmers 5.0 days suitable for fieldwork for the week ending July 26, 2015, according to the USDA, National Agricultural Statistics Service. Activities for the week included cutting hay, aerial fungicide application to corn, and herbicide and insecticide application to soybeans. There were reports of crop stress due to the hot, dry weather, as well as weed problems in soybeans.
Topsoil moisture levels rated 0 percent very short, 6 percent short, 78 percent adequate and 16 percent surplus. Subsoil moisture levels rated 0 percent very short, 5 percent short, 79 percent adequate and 16 percent surplus. Northwest Iowa was the driest area of the State with one-quarter rated very short to short on topsoil moisture.
Eighty-three percent of the corn crop had reached the silking stage or beyond, with 11 percent reaching the dough stage. Corn condition rated 83 percent good to excellent.
Soybeans blooming or beyond reached 78 percent. Thirty-seven percent of soybeans were setting pods, slightly ahead of average. Soybean condition rated 76 percent good to excellent this week.
Oat acreage turning color or beyond reached 96 percent, with 57 percent of the oat crop harvested for grain or seed, 5 days ahead of last year. Oat crop condition rating increased to 81 percent good
to excellent.
The first cutting of alfalfa hay neared completion, while the second cutting reached 68 percent, one day behind last year, and nearly a week behind the average. The third cutting of alfalfa hay got underway this week. Hay condition was rated at 68 percent good to excellent, while pasture condition rated 77 percent good to excellent. Livestock saw some stress during the day, but generally recovered at night.
IOWA PRELIMINARY WEATHER SUMMARY
Provided by Harry Hillaker, State Climatologist
Iowa Department of Agriculture & Land Stewardship
The past reporting week began with cooler and drier than normal weather prevailing through Thursday (23rd). However, there was rain scattered over much of the state on Monday (20th) but amounts were under one-third of an inch at all but a few locations with the early week storms. Much warmer and more humid weather was the rule on Friday (24th) and through the weekend. Thunderstorms brought rain to much of the eastern one-half of Iowa on Friday with heaviest rain in the Mason City area. Thunderstorms were also widespread across the southern one-third of the state on Saturday (25th) with rain falling over much of Iowa on Sunday (26th) morning. Weekly rain totals varied from only 0.01 inches at Davenport up to 4.89 inches at the Mason City Airport. The statewide average precipitation amount was 1.27 inches while normal for the week is 0.98 inches. This was the sixth week of the past seven to bring above normal precipitation to Iowa. However, rain totals over these past seven weeks have been slightly below normal over much of the northern one-third of Iowa with rain totals well above normal over much of the southern portion of the state. Temperatures for the week varied from a Tuesday (21st) morning low of 48 degrees at Swea City in Kossuth County to a Friday (24th) afternoon high of 97 degrees at Hawarden along the South Dakota border. Temperatures for the week as a whole averaged 0.2 degrees below normal with the weekend heat nearly cancelling out the earlier mild weather. The combination of heat and humidity pushed the heat index (what the air ‘feels like’) to 103 degrees at Sioux City on Friday and 101 degrees at Davenport and Iowa City on Saturday.
USDA Weekly Crop Progress
The overall condition of the U.S. corn crop this past week was up 1 percentage point from the previous week while soybean conditions were unchanged, according to USDA's weekly Crop Progress and Conditions report. Both crops were developing at a near-average pace.
The nation's corn crop was rated 70% in good-to-excellent condition as of Sunday, July 26, up 1 percentage point from 69% good to excellent the previous week. Corn silking was at 78%, 1 percentage point ahead of the average pace of 77%. Fourteen percent of corn was in the dough stage, slightly behind the five-year average of 17%.
Soybean conditions, at 62% good to excellent, were unchanged from the previous week. Soybeans blooming were at 71%, near the average of 72%. Soybeans setting pods were 34%, ahead of the five-year average of 31%.
Winter wheat harvest was reported at 85% completed as of Sunday, ahead of the five-year average of 80%. As for spring wheat, NASS pegged the crop at 2% harvested, 3 percentage points behind the five-year average pace but slightly ahead of last year's 1%.
Welcome to the KTIC Agriculture Information blog!!! Check back here for the latest in ag news and information, from local events to international happenings and government reports that affect your operation. Please email with suggestions! -Chad Moyer, Farm Director, KTIC Radio
Monday, July 27, 2015
Monday July 27 Ag News
Corn Disease Update: Southern Rust Confirmed in Nebraska
Tamra Jackson-Ziems, NE Extension Plant Pathologist
Southern rust has been confirmed in samples from Clay, York, and Greeley counties. These samples were from fields that had low incidence of disease at this time. The disease is likely more widespread than these counties and so scouting is necessary to determine its distribution in your fields and area.
Warm temperatures and high humidity may promote development and spread of this disease. Rust diseases produce large amounts of spores that can be easily moved by wind for long distances. The fungus can quickly cause disease during favorable conditions because most commercial dent corn hybrids have no resistance to the disease. Having a history of southern rust in corn does not have any impact on disease development now, because this pathogen does NOT overwinter in infected residue. The spores must be carried into the area on winds from diseased areas.
Southern rust has been confirmed across most of eastern Kansas and other states to our south. If the disease continues to spread and worsen in Nebraska, those fields planted later are at highest risk for disease and potentially severe yield impacts because of how early the disease is developing. However, it is important to remember that it can take anywhere from a few days to several weeks for widespread and severe southern rust to develop if it is going to do so. For that reason, we recommend scouting fields, especially those at higher risk, such as later planted fields.
A number of people have pointed out the lack of activity on the national southern corn rust ipmPIPE monitoring website, which historically tracked observations of southern rust across the country. Federal funding for this website and its affiliated southern rust monitoring projects was eliminated and so activity there by state pathologists has greatly declined during the last two years. Thus, maps on the website may not be as current as they once were and should not be strictly relied upon. Refer to reports from university plant pathologists, diagnostic laboratories, and county Extension offices for the most recent information regarding southern rust distribution.
The characteristics used for differentiating between common rust and southern rust are described and illustrated in the NebGuide, Rust Diseases of Corn in Nebraska. The simplest and most reliable way to differentiate the diseases without a microscope is to examine both leaf surfaces for spore production. Southern rust spore production is usually limited to the upper leaf surface and tends to be tan/orange in color. The most reliable method for identifying corn rust diseases is based on examination of microscopic spore characteristics. This can be done for samples submitted to the UNL Plant and Pest Diagnostic Clinic.
Farmland Continues to Moderate
Prices and demand for farmland continue to moderate in Iowa, Nebraska, South Dakota and Wyoming. The average value of farmland in Iowa and Nebraska declined during the first six months of 2015. In South Dakota and Wyoming, prices increased but at a slower rate compared to the last half of 2014.
For the first time, farmland values in eastern Kansas are included in the benchmark study that Farm Credit Services of America (FCSAmerica) conducts each January and July. The addition of eastern Kansas is the result of a strategic alliance between FCSAmerica and Frontier Farm Credit and brings the number of benchmark farms tracked by appraisers to 71.
The average change in benchmark farm values is shown below, with the number of benchmark farms by state in parenthesis:
As a whole, benchmark farms decreased in value 1.4 percent in the first half of 2015. The overall decline was driven by reduced prices for cropland. Pastureland in all five states, by comparison, increased, offsetting some of the impact of lower cropland values.
The increase in pastureland values was the result of strong livestock prices. The overall decline in cropland values reflected lower grain prices compared to previous years. Profitability on higher priced land remains top of mind for many producers, and the lower grain prices and decreased margins will continue to put pressure on land prices, as well as cash rents. A 2015 survey from Iowa State reported a one-year decline of more than 5 percent in average cash rents for Iowa cropland. Iowa’s average cash rent has dropped nearly 9 percent compared to 2013’s high of $270 an acre.
The market decline that began in late 2013 has been widely reported, and many have looked for comparisons to the farmland crisis of the 1980s. But the two periods are distinctly different, said Mark Jensen, chief risk officer at FCSAmerica. In the ‘80s, high land prices accompanied by high borrowing levels resulted in over-leveraged operations with few financial remedies. Today, Jensen said, producers face a cash-flow challenge generally tied to higher cash rents and equipment and machinery costs and increasing family living expenses.
"FCSAmerica and Frontier Farm Credit have been working with customer-owners to evaluate options specific to their operations to help manage through this cycle of lower commodity prices and tight profit margins,” Jensen said.
Other six-month benchmark farm details, by state:
Nebraska: Five of the 18 farms increased in value, while two showed no change in value.
Iowa: Two farms increased in value during the past six months and two farms showed no change in value. The 15 farms that decreased in value declined an average of 6.1 percent.
Nebraska State Fair will Host 5th Annual Best Burger Contest
The Nebraska Beef Council has announced the launch of the 5th annual Nebraska’s Best Burger contest which will include a judging event at the Nebraska State Fair.
Public online nominations for the award will be accepted from August 1st through August 20th on the Nebraska Beef Council website www.nebeef.org or through their Facebook page. On August 21st, the top five nominated restaurants will be announced and the finalists will be invited to a judging competition hosted at the Nebraska State Fair in Grand Island. The contestants will prepare their hamburgers for a panel of judges and a winner will be chosen based on the judges’ scores.
“We’re excited to include the Nebraska State Fair in the contest this year,” said Adam Wegner, Director of Marketing for the Nebraska Beef Council. “This new format allows the public to get involved and creates a fun event for the nominated restaurants.”
The contest is open to all Nebraska restaurants including past winners. Previous recipients of the award include The Cellar Bar & Grill in Kearney, The Peppermill Restaurant & Lounge in Valentine and two-time winner Stella’s Bar & Grill in Bellevue.
The final judging event will be held Friday, September 4th in the Raising Nebraska building at the Nebraska State Fair.
For a full list of rules, contest details or to submit a nomination, visit www.nebeef.org.
GROWING FALL FEEDS
Bruce Anderson, UNL Extension Forage Specialist
Summer is flying by and soon this season will be over. Today I’m going to be optimistic and assume we will get some welcome rain to grow fall forage crops.
If you’re like most folks, you can always use more pasture and winter feed. If it rains, what can you plant for quick feed?
Right now your two best choices are turnips for grazing and oats for either hay or grazing. Winter small grains like cereal rye, wheat, and triticale won’t produce much fall growth although they will provide early grazing next spring.
Oats can produce a couple tons of hay in the fall when seeded by mid-August if it receives good moisture and fertility. We usually drill about three bushels per acre in a prepared seedbed, but drilling directly into weed-free stubble of corn, beans, wheat, or other crops already harvested or hailed out works well when soil remains moist for several days in a row after seeding.
For turnips, plant just two or three pounds per acre and barely cover the tiny seeds. Add 30 to 50 pounds of oats for an even better grazing mix. Broadcasting onto bare, tilled soil often works well as does shallow drilling into weed-free crop stubble.
Oats can be ready to graze in six to eight weeks, moisture permitting, but don’t start grazing turnips until late October or November. Ease animals slowly into grazing either one to minimize respiratory or digestive problems. Oats will die following a real hard freeze, but turnips continue to grow slowly until temperature drops below twenty degrees. Even into the dead of winter, the root of the turnip remains a very desirable, and grazable, feed.
You need to look ahead to fall and winter. If late summer rains appear, be ready to capitalize using oats and turnips.
Organic Farm Tours Aug. 22 near Abie
The Nebraska Organic Crop Improvement Association is a provider and consumer of certified organic production; it is committed to environmentally sound stewardship, mentor-ship and promotion.
It will hold an organic farm Tour Aug. 22 from 1 to 8:30 p.m. It welcomes the public to the tour. The tour is for farmers who are interested in learning more about organic agriculture and sustainable farming practices. It is an opportunity for anyone who is interested in gaining knowledge about crop rotation, seed varieties , management of cover crops, fertility choices, weed control/tillage reduction, and integrating cattle into the cropping system. The farms will show what equipment they use.
The tour begins at 1:30 p.m. at the Larry Stanislav Farm: 4291 Road W, Lot 1; 2 miles north of the town of Abie. Larry will show how to use a crimper and flamer to manage weeds, reduce tillage and increase soil health from his rotation of NOP certified organic winter wheat, soybean/cover crops, and alfalfa.
At 3 p.m. at the Liz Sarno Farm, 2351 Road 43; 2 1/2 miles N. and 1/2 E. of Abie, NOP-certified grassfed Devon beef cattle operation will be discussed by Sarno, along with her pasture management and integrating of cattle into cropping systems.
At 4 p.m. at the Randy Fendrich Farm, 2390 41 St.; 3/4 mile E of Abie, there will be a demonstration of NOP organic corn variety plots and cultural practices of crop rotation using a 12 row flamer/cultivator with his soil-health building program.
At 6 p.m., a free evening meal will be served by the Fendrich Farm.
Families are welcomed. Call Wendy at 402-584-3837 to reserve meals. Or for more information Program Administrator of the Organic Crop Improvement Association NE Chapter #1 Kim Mosel @ 402-620-2701 or ociane1@yahoo.com on the tour and about organic production/certification.
Super Fair Highlights Agriculture Festivities
Nebraska’s No. 1 industry – agriculture – shines during the Lancaster County Super Fair Agriculture Awareness Day Saturday, Aug. 1.
The Nebraska Ethanol Board will be part of the new “Farm to Fork” interactive activity located in the multi-purpose arena kid’s zone from 10 a.m. to 4 p.m.
Children will receive a free Super Fair flying disc, while supplies last, when they go through the "Farm to Fork" activity. Several commodity boards and farm-related sponsors will exhibit giveaways and activities for children.
“This is a great opportunity to experience Nebraska’s ‘Golden Triangle’ in an interactive way,” said Megan Grimes, Nebraska Ethanol Board. “Every bushel of corn used for ethanol also produces more than 17 pounds of distillers grains for livestock feed. It’s a unique synergistic process that strengths ag business in our state.”
The fair’s theme days include different activities, vendors and speakers throughout the 10-day event...
Thursday, July 30: Let the Good Times Grow Day
Friday, July 31: Kids & Grandparents Day
Saturday, August 1: Agricultural Awareness Day
Sunday, August 2: Celebrating Champions Day
Monday, August 3: Lancaster County Communities Day
Tuesday, August 4: Armed Forces Appreciation Day
Wednesday, August 5: Good Ol' Days Day
Thursday, August 6: Health & Safety Day
Friday, August 7: Go Green Day
Saturday, August 8: Cultural Heritage Day
For more information on the Lancaster County Super Fair or activities scheduled, visit www.lancastereventcenter.org/super-fair.
NDA “NEBRASKA AGRICULTURE” VIDEO GARNERS NATIONAL AWARD
“Nebraska Agriculture,” a video commissioned by the Nebraska Department of Agriculture (NDA) and viewed by thousands on YouTube and at the Nebraska State Fair, recently was named a Golden ARC award winner by a national agriculture professional organization. The video took first place in the video programs division of the contest, which was coordinated by The Agricultural Relations Council.
“I want to thank the farmers and ranchers who contributed their time to be a part of the ‘Nebraska Agriculture’ video,” NDA Director Greg Ibach said. “They, along with our production partners, should be proud that the story of our state’s number one industry received such a prestigious award.”
“Nebraska Agriculture” was produced as a collaborative effort of NDA, David & Associates and the Institute of Agriculture and Natural Resources (IANR) Media at the University of Nebraska-Lincoln. It can be viewed by visiting www.nda.nebraska.gov and clicking on the video icon.
The six-minute video was released in March 2014 to promote Nebraska’s agricultural industry both domestically and internationally. The video was featured at the debut of the Raising Nebraska exhibit at the 2014 Nebraska State Fair. It continues to play in that exhibits’ Grain Bin theater. The video also has over 17,800 views on YouTube. The piece is intended to inform as well as create an emotional connection between viewers and the state’s farmers and ranchers.
Golden ARC winners were announced at The Agricultural Relations Council’s professional development meeting held in Denver, Colo., in June. The Agricultural Relations Council is a national organization dedicated to agriculture public relations professionals.
NeFU Strongly Urges Administration to Comply with RFS Levels in EISA Statute
Nebraska Farmers Union (NeFU) President John Hansen submitted comments to the U.S. Environmental Protection Agency (EPA) urging the administration to set Renewable Fuel Standard (RFS) volume obligations to the Energy Independence and Security Act (EISA) statutory levels.
“NeFU strongly believes the volume standards issued in EPA’s proposed rule for RFS target levels represent a substantial but unnecessary step backwards relative to renewable energy development. The proposed EPA production targets send negative signals that will hurt investment. The EPA delay in proposing the production targets for 2014, 2015, and 2016 will not be finalized until the end of 2015. These production targets are supposed to be done in advance of the production years. The production levels reductions themselves are unnecessarily hurtful, and the lateness of the regulations is simply inexcusable,” said Hansen. “NeFU strongly urges the administration to comply with the RFS levels already provided in the popular, bipartisan EISA statute.”
“The proposed, lower volume standards reward the oil industry for not increasing consumer choice and dragging their feet with retail blender pump deployment. The proposed EPA volume standards ignore the will of Congress. Congress mandated these production levels, and for less than good cause, EPA rolls them back. That is very concerning,” said Hansen. “EPA should hold the oil industry to the proposed targets. That would be consistent with the Administration’s support for renewable fuel development, and the need to build the consumer retail fuels infrastructure necessary to use higher-level ethanol blends.”
Hansen noted the proposed rule is inconsistent with the administration’s climate resiliency goals and policies that are needed to mitigate the threats climate change poses to family agriculture. He said the RFS is a forward looking roadmap for renewable energy that is good for the economy, the rural economy in particular, energy independence, air quality, and carbon and GHG emission reductions.
“EPA should pursue GHG emission reductions at every opportunity to try to mitigate climate change as much as possible,” said Hansen. “The RFS offers tremendous capacity to reduce GHGs by encouraging the use of transportation fuels that emit fewer GHGs than petroleum-based transportation fuels.
“NeFU respectfully asks EPA and the Obama Administration to reverse the unnecessary step backwards the EPA proposed production targets represents. Our nation needs to move forward with more renewable energy production, not backwards, especially given the projected size of the 2015 corn crop and the painful drop in corn and grain prices. Common sense needs to prevail in this major economic and environmental regulation. The proposed EPA ethanol production standards need to be reversed.”
Fuels America Delivers Over 200k Pro-Biofuels Comments to EPA, Voices Support for RFS
Today, representatives from Fuels America and other advocates for clean, secure, American energy delivered over 200,000 comments to the EPA in support of a strong final rule under the Renewable Fuel Standard. This show of grassroots support comes on the final day of the comment period, and after widespread grassroots voices have come out in force to support the RFS. The 200,000+ comments delivered by Fuels America do not paint the full picture; tens of thousands of additional pro-biofuels comments are expected by the close of the comment period as well.
Scores of farmers and biofuels producers hosted rallies this summer in Kansas City and Washington, DC to elevate their voices, joining numerous elected officials in bipartisan calls for the EPA to protect America’s rural economies and green innovators over foreign oil profits.
“The Renewable Fuel Standard represents a promise to rural America—a promise that, when kept, helped rural economies across America make a strong comeback," said Roger Johnson, president of the National Farmers Union and one of the Fuels America members who dropped comments off at the EPA this morning. “Today’s tremendous show of support for a strong RFS shows that it is time for the EPA to stop choosing foreign oil over rural America, and start getting the RFS back on track.”
Across the nation, Americans displayed their anger over the EPA’s continuing problems putting out a strong rule under the RFS; many authored op-eds editorializing in favor of a strong rule, imploring the EPA to stand up for rural America and not cave to the oil industry. Several of the pieces are linked to below.
The widespread activism and comments, from hundreds of thousands of Americans, speak to the collective outrage toward EPA’s proposal to allow oil companies to take charge of our renewable fuel supply, and effectively permit them to block competition from cleaner, less expensive, homegrown fuel. These actions could potentially weaken a biofuels industry that has helped enhance our national security, strengthened rural economies, and improved America’s climate impact.
Erick Lutt, Director of Industrial and Environmental Policy at the Biotechnology Industry Organization, said: “Today, Americans are sending a strong signal to the EPA that its proposal to lower RVOs under the RFS is unacceptable. The EPA’s misfires and delays have pulled the rug out from the American investors and innovators who have brought the next generation of biofuels online in the U.S. The EPA is already responsible for $13.7 billion in frozen investment in advanced and cellulosic biofuels, and we’re risking sending jobs, innovation, and investment overseas. We can’t afford any more setbacks. The EPA must set RVOs consistent with Congress’ original intent in order to bring investment back to America and allow our country’s innovators to continue developing clean, secure American energy.”
NCGA to EPA: “Stay the Course” on Renewable Fuel Standard
In comments submitted to the Environmental Protection Agency (EPA) today, the National Corn Growers Association highlighted the importance of the Renewable Fuel Standard (RFS) and urged the Agency to restore the 2014-16 corn ethanol volume to statute.
In the comments, NCGA states, “The RFS has spurred growth in agriculture, increased energy diversity and decreased GHG emissions from fossil fuels through the development of renewable energy resources. We urge the Agency to stay the course and support this important piece of transformational energy policy, and we request it reconsider its proposed reduction in the 2014, 2015 and 2016 renewable volume obligations.”
In a letter accompanying NCGA’s comments, NCGA President Chip Bowling writes, “The RFS is doing exactly what it was intended to do. It is successfully driving the adoption of renewable fuel alternatives to petroleum, supporting jobs across the country, and ensuring the United States remains a global leader in developing new renewable energy sources while decreasing GHG emissions here at home. [We are asking the EPA to] provide regulatory certainty to the most successful renewable fuel program in place. The continued stability and health of the rural economy and the nation’s environmental improvements hinge upon your decision.”
TPP Must Deliver Say Beef Producers
Beef producers from five Trans-Pacific Partnership (TPP) member countries are calling for a high-quality market access deal on beef to be secured at the TPP ministerial meeting in Hawaii this month.
Negotiators and trade ministers from the 12 TPP countries will meet in Maui in late July, with the goal of reaching agreement on the outstanding issues across the TPP agenda.
The Five Nations Beef Alliance (FNBA) says it is vital that a comprehensive, trade liberalising deal be finalised.
In so doing, it would help to ensure that beef producers and their supply chain partners can reap the maximum benefits of the envisaged tariff cuts and that commercial entities can utilize the other trade-facilitating elements of the agreement as soon as possible.
After five years of negotiations, the TPP must not be allowed to drift or lose momentum at this crucial stage. There is so much to gain from trade reform – with more seamless trade rules, reduced costs and less red tape making it easier for food suppliers, such as the FNBA, to respond to growing global consumer demand.
The FNBA has consistently called for a non-discriminatory, plurilateral TPP deal that will liberalise the trade in beef products and thereby provide beef farmers, processors and exporters with new opportunities across much of the Asia-Pacific region.
The Alliance has been buoyed by positive signals from various TPP governments in recent weeks. Now is the time to convert this into action - and deliver on the vision2 of “a comprehensive, next generation regional agreement that liberalizes trade and investment and addresses new and traditional trade issues and 21st century challenges”.
The FNBA comprises the Cattle Council of Australia, Canadian Cattlemen’s Association, Confederacion Nacional de Organizaciones Ganaderas, Beef + Lamb New Zealand, and the National Cattlemen’s Beef Association. Together those organisations represent producers from countries that account for one-third of global beef production and approximately half of global beef exports.
USGC Delegates Begin Summer Annual Meeting in Montreal
More than 225 U.S. Grains Council (USGC) delegates from across the United States are set to begin meetings Monday in Montreal, Canada, to learn about emerging opportunities and competitive challenges in the global grain marketplace while setting priorities for the Council’s work to increase U.S. market share.
A highlight of the 55th Annual Board of Delegates Meeting, as the gathering is known, will be renowned speakers who will build on this year’s theme of Global Connections, Global Awareness.
Speakers’ topics will include a keynote presentation on the global coarse grains supply and demand; panels on the Trans-Pacific Partnership (TPP) and global ethanol export dynamics; and a morning of discussion on how to be better advocates for scientific advancements, including biotechnology. Delegates will also hear from Byong Ryol Min, USGC’s director in Korea, who is retiring after more than 35 years of service, and Dr. Erick Erickson, USGC’s vice president, who is retiring after more than 30 years of service.
“We have a thought-provoking meeting planned in Montreal this week,” said USGC Chairman Ron Gray. “Our goal is for attendees to leave with a greater understanding of the global grain trade and what we need to consider in our work to maintain the United States reputation as the long-term, reliable supplier of coarse grains and co-products around the world.”
In addition to general sessions, USGC Advisory Teams (A-Teams) are scheduled to meet in Montreal to review both the Council’s operation plan, known as the Unified Export Strategy (UES), and the Council’s priorities and strategies for the upcoming year. Attendees will also have the opportunity to explore Council programs in breakouts focused on key areas of demand including the global ethanol trade; the Middle East and North Africa region; and Cuba and Central America.
“We have a schedule for the Montreal meetings packed with opportunities for delegates to get updated on factors impacting global grain trade and to provide us input from their sectors that can help our global staff in their work,” Gray said. “I’m looking forward to each of these discussions and time to hear from delegates on their thoughts on how our programs are doing.”
The Council’s summer annual meeting will conclude Wednesday with the Council’s annual business meeting, at which the Board of Delegates are set to elect new officers and directors.
More about the meeting is available online at http://grains.org/news-and-events/events/55th-annual-board-delegates-meeting-0.
National FFA Organization Names 2015 American Star Finalists
The National FFA Organization has selected 16 students from throughout the United States as finalists for its 2015 top achievement awards: American Star Farmer, American Star in Agribusiness, American Star in Agricultural Placement and American Star in Agriscience.
The American Star Awards represent the best of the best among thousands of American FFA Degree recipients. Recognized are FFA members who have developed outstanding agricultural skills and competencies through supervised agricultural experience (SAE) programs; earned an American FFA Degree, the highest level of achievement the organization bestows upon a member; and met agricultural education, leadership and scholarship requirements.
The American FFA Degree recognition program is sponsored by ADM Crop Risk Service, Case IH, Elanco, Farm Credit and Syngenta as a special project of the National FFA Foundation.
The finalists include:
American Star Farmer
Dylan Kale Massa of the Liberal FFA Chapter in Missouri
Logan Peters of the Pender FFA Chapter in Nebraska
Thomas Wayne Glascock of the Pilot Point FFA Chapter in Texas
Austin Wippel of the Westfall FFA Chapter in Ohio
American Star in Agribusiness
Dakota Duane Crissman of the Bells FFA Chapter in Texas
William James Maltbie of the Burlington FFA Chapter in Oklahoma
Benjamin Neal Niendick of the Wellington-Napoleon FFA Chapter in Missouri
Dakota Siegler of the Badger FFA Chapter in Wisconsin
American Star in Agricultural Placement
Kenneth Coddington of the Montello FFA Chapter in Wisconsin
Britt Larson of the Pilot Point FFA Chapter in Texas
Jakob Edward Wilson of the Fairbanks FFA Chapter in Ohio
William Zell Woodworth of the Mineral County FFA Chapter in West Virginia
American Star in Agriscience
Jillian Ann Drake of the Fallbrook FFA Chapter in California
Gatlin Cy Squires of the Kingfisher FFA Chapter in Oklahoma
Rory Christina Tucker of the Klein FFA Chapter in Texas
Justin Zahradka of the Park River FFA Chapter in North Dakota
Each star finalist receives $2,000 from the National FFA Foundation.
A panel of judges will interview finalists and select one winner for each award at the 88th National FFA Convention & Expo, Oct. 28 -31, 2015, in Louisville, Ky. The four winners will receive an additional $2,000 and be announced at the convention and expo’s third general session, as part of the Stars Over America Pageant on Thursday, Oct. 29.
The Stars Over America is a special audiovisual presentation featuring the star award finalists funded as a special project of the National FFA Foundation.
Visit http://www.FFA.org/stars for more information about the American Star Awards.
CWT Assists with 3.2 Million Pounds of Cheese and Whole Milk Powder Export Sales
Cooperatives Working Together (CWT) has accepted 9 requests for export assistance from Michigan Milk Producers Association and Northwest Dairy Association (Darigold) who have contracts to sell 456,357 pounds (207 metric tons) of Cheddar and Monterey Jack cheese, and 2.756 million pounds (1250 metric tons) of whole milk powder to customers in Asia, Central and South America. The product has been contracted for delivery in the period from July through December 2015.
Year-to-date, CWT has assisted member cooperatives who have contracts to sell 42.348 million pounds of cheese, 30.395 million pounds of butter and 32.836 million pounds of whole milk powder to thirty one countries on five continents. The amounts of cheese, butter and whole milk powder in these sales contracts represent the equivalent of 1.314 billion pounds of milk on a milkfat basis.
Assisting CWT members through the Export Assistance program, in the long-term, helps member cooperatives gain and maintain market share, thus expanding the demand for U.S. dairy products and the U.S. farm milk that produces them. This, in turn, positively impacts all U.S. dairy farmers by strengthening and maintaining the value of dairy products that directly impact their milk price.
BASF Reports Higher Sales, Lower Net Income
Sales for BASF Group in the second quarter of 2015 grew by 3% to €19.1 billion compared with the same quarter of the previous year. Sales volumes grew by 2% compared with the second quarter of 2014. This was predominantly through a sharp increase in volumes in the Oil & Gas segment. As a consequence of the significant drop in the price of oil, prices declined overall, especially in the Chemicals and Oil & Gas segments. All segments recorded positive currency effects.
Income from operations (EBIT) before special items rose by €31 million to around €2.0 billion, largely through the significantly increased contribution from the Functional Materials & Solutions segment as well as lower expenses in Other. While earnings were only slightly down in the Chemicals segment, the other segments posted considerable declines.
Second-quarter sales in the Agricultural Solutions segment rose by 1% to €1.7 billion in a challenging market environment. Positive currency effects and higher sales prices more than offset lower sales volumes. EBIT before special items nevertheless fell by €68 million to €365 million. Aside from the decrease in volumes, this was also a result of increased fixed costs from the startup of new plants. First-half sales in the Agricultural Solutions segment grew by 8% to €3.6 billion compared with the first half of 2014, despite a slight decrease in volumes. At €939 million, EBIT before special items reached the level of the previous first half.
Red Combines 1915-2015 - The Authoritative Guide to International Harvester and Case IH Combines and Harvesting Equipment
From the creators of the award-winning book Red Tractors 1958–2013 comes a beautiful in-depth look at one of the most significant piece of farm equipment built in the 20th century. Red Combines 1915–2015 (Octane Press, Sept. 1, $75) chronicles the complete story of the machine’s impact on agriculture and society.
The 384-page coffee table book is also a tribute of the people who invented the machine that
helped shaped the farm as we know it today. Recounting the combine’s remarkable evolution, the book captures behind-the-scenes drama and clandestine encounters with rival companies, personnel and machines.
Starting with research conducted by a rogue Swedish engineer in the 1950s and continued by a group of dedicated engineers who did their work in a top-secret garage, the book details how extensive research and development allowed International Harvester (IH) to build a new machine that took the market by storm.
Red Combines 1915–2015 includes detailed accounts by a host of authors and researchers, alongside more than 300 archival images, concept drawings, sketches, and new photography depicting the machines and men at work today. The six-pound volume is the result of dozens of interviews with engineers, salespeople, and customers — all under the direction of Lee Klancher, who serves as the project’s lead author and photo editor.
A 20-year publishing veteran, Klancher has overseen the development of some of the most-respected and best-selling books in the transportation niche, including Red Tractors 1958–2013, which has sold 16,000 copies and was the recipient of a “Gold” Benjamin Franklin Award and “Bronze” Independent Book Publisher Award.
Tamra Jackson-Ziems, NE Extension Plant Pathologist
Southern rust has been confirmed in samples from Clay, York, and Greeley counties. These samples were from fields that had low incidence of disease at this time. The disease is likely more widespread than these counties and so scouting is necessary to determine its distribution in your fields and area.
Warm temperatures and high humidity may promote development and spread of this disease. Rust diseases produce large amounts of spores that can be easily moved by wind for long distances. The fungus can quickly cause disease during favorable conditions because most commercial dent corn hybrids have no resistance to the disease. Having a history of southern rust in corn does not have any impact on disease development now, because this pathogen does NOT overwinter in infected residue. The spores must be carried into the area on winds from diseased areas.
Southern rust has been confirmed across most of eastern Kansas and other states to our south. If the disease continues to spread and worsen in Nebraska, those fields planted later are at highest risk for disease and potentially severe yield impacts because of how early the disease is developing. However, it is important to remember that it can take anywhere from a few days to several weeks for widespread and severe southern rust to develop if it is going to do so. For that reason, we recommend scouting fields, especially those at higher risk, such as later planted fields.
A number of people have pointed out the lack of activity on the national southern corn rust ipmPIPE monitoring website, which historically tracked observations of southern rust across the country. Federal funding for this website and its affiliated southern rust monitoring projects was eliminated and so activity there by state pathologists has greatly declined during the last two years. Thus, maps on the website may not be as current as they once were and should not be strictly relied upon. Refer to reports from university plant pathologists, diagnostic laboratories, and county Extension offices for the most recent information regarding southern rust distribution.
The characteristics used for differentiating between common rust and southern rust are described and illustrated in the NebGuide, Rust Diseases of Corn in Nebraska. The simplest and most reliable way to differentiate the diseases without a microscope is to examine both leaf surfaces for spore production. Southern rust spore production is usually limited to the upper leaf surface and tends to be tan/orange in color. The most reliable method for identifying corn rust diseases is based on examination of microscopic spore characteristics. This can be done for samples submitted to the UNL Plant and Pest Diagnostic Clinic.
Farmland Continues to Moderate
Prices and demand for farmland continue to moderate in Iowa, Nebraska, South Dakota and Wyoming. The average value of farmland in Iowa and Nebraska declined during the first six months of 2015. In South Dakota and Wyoming, prices increased but at a slower rate compared to the last half of 2014.
For the first time, farmland values in eastern Kansas are included in the benchmark study that Farm Credit Services of America (FCSAmerica) conducts each January and July. The addition of eastern Kansas is the result of a strategic alliance between FCSAmerica and Frontier Farm Credit and brings the number of benchmark farms tracked by appraisers to 71.
The average change in benchmark farm values is shown below, with the number of benchmark farms by state in parenthesis:
As a whole, benchmark farms decreased in value 1.4 percent in the first half of 2015. The overall decline was driven by reduced prices for cropland. Pastureland in all five states, by comparison, increased, offsetting some of the impact of lower cropland values.
The increase in pastureland values was the result of strong livestock prices. The overall decline in cropland values reflected lower grain prices compared to previous years. Profitability on higher priced land remains top of mind for many producers, and the lower grain prices and decreased margins will continue to put pressure on land prices, as well as cash rents. A 2015 survey from Iowa State reported a one-year decline of more than 5 percent in average cash rents for Iowa cropland. Iowa’s average cash rent has dropped nearly 9 percent compared to 2013’s high of $270 an acre.
The market decline that began in late 2013 has been widely reported, and many have looked for comparisons to the farmland crisis of the 1980s. But the two periods are distinctly different, said Mark Jensen, chief risk officer at FCSAmerica. In the ‘80s, high land prices accompanied by high borrowing levels resulted in over-leveraged operations with few financial remedies. Today, Jensen said, producers face a cash-flow challenge generally tied to higher cash rents and equipment and machinery costs and increasing family living expenses.
"FCSAmerica and Frontier Farm Credit have been working with customer-owners to evaluate options specific to their operations to help manage through this cycle of lower commodity prices and tight profit margins,” Jensen said.
Other six-month benchmark farm details, by state:
Nebraska: Five of the 18 farms increased in value, while two showed no change in value.
Iowa: Two farms increased in value during the past six months and two farms showed no change in value. The 15 farms that decreased in value declined an average of 6.1 percent.
Nebraska State Fair will Host 5th Annual Best Burger Contest
The Nebraska Beef Council has announced the launch of the 5th annual Nebraska’s Best Burger contest which will include a judging event at the Nebraska State Fair.
Public online nominations for the award will be accepted from August 1st through August 20th on the Nebraska Beef Council website www.nebeef.org or through their Facebook page. On August 21st, the top five nominated restaurants will be announced and the finalists will be invited to a judging competition hosted at the Nebraska State Fair in Grand Island. The contestants will prepare their hamburgers for a panel of judges and a winner will be chosen based on the judges’ scores.
“We’re excited to include the Nebraska State Fair in the contest this year,” said Adam Wegner, Director of Marketing for the Nebraska Beef Council. “This new format allows the public to get involved and creates a fun event for the nominated restaurants.”
The contest is open to all Nebraska restaurants including past winners. Previous recipients of the award include The Cellar Bar & Grill in Kearney, The Peppermill Restaurant & Lounge in Valentine and two-time winner Stella’s Bar & Grill in Bellevue.
The final judging event will be held Friday, September 4th in the Raising Nebraska building at the Nebraska State Fair.
For a full list of rules, contest details or to submit a nomination, visit www.nebeef.org.
GROWING FALL FEEDS
Bruce Anderson, UNL Extension Forage Specialist
Summer is flying by and soon this season will be over. Today I’m going to be optimistic and assume we will get some welcome rain to grow fall forage crops.
If you’re like most folks, you can always use more pasture and winter feed. If it rains, what can you plant for quick feed?
Right now your two best choices are turnips for grazing and oats for either hay or grazing. Winter small grains like cereal rye, wheat, and triticale won’t produce much fall growth although they will provide early grazing next spring.
Oats can produce a couple tons of hay in the fall when seeded by mid-August if it receives good moisture and fertility. We usually drill about three bushels per acre in a prepared seedbed, but drilling directly into weed-free stubble of corn, beans, wheat, or other crops already harvested or hailed out works well when soil remains moist for several days in a row after seeding.
For turnips, plant just two or three pounds per acre and barely cover the tiny seeds. Add 30 to 50 pounds of oats for an even better grazing mix. Broadcasting onto bare, tilled soil often works well as does shallow drilling into weed-free crop stubble.
Oats can be ready to graze in six to eight weeks, moisture permitting, but don’t start grazing turnips until late October or November. Ease animals slowly into grazing either one to minimize respiratory or digestive problems. Oats will die following a real hard freeze, but turnips continue to grow slowly until temperature drops below twenty degrees. Even into the dead of winter, the root of the turnip remains a very desirable, and grazable, feed.
You need to look ahead to fall and winter. If late summer rains appear, be ready to capitalize using oats and turnips.
Organic Farm Tours Aug. 22 near Abie
The Nebraska Organic Crop Improvement Association is a provider and consumer of certified organic production; it is committed to environmentally sound stewardship, mentor-ship and promotion.
It will hold an organic farm Tour Aug. 22 from 1 to 8:30 p.m. It welcomes the public to the tour. The tour is for farmers who are interested in learning more about organic agriculture and sustainable farming practices. It is an opportunity for anyone who is interested in gaining knowledge about crop rotation, seed varieties , management of cover crops, fertility choices, weed control/tillage reduction, and integrating cattle into the cropping system. The farms will show what equipment they use.
The tour begins at 1:30 p.m. at the Larry Stanislav Farm: 4291 Road W, Lot 1; 2 miles north of the town of Abie. Larry will show how to use a crimper and flamer to manage weeds, reduce tillage and increase soil health from his rotation of NOP certified organic winter wheat, soybean/cover crops, and alfalfa.
At 3 p.m. at the Liz Sarno Farm, 2351 Road 43; 2 1/2 miles N. and 1/2 E. of Abie, NOP-certified grassfed Devon beef cattle operation will be discussed by Sarno, along with her pasture management and integrating of cattle into cropping systems.
At 4 p.m. at the Randy Fendrich Farm, 2390 41 St.; 3/4 mile E of Abie, there will be a demonstration of NOP organic corn variety plots and cultural practices of crop rotation using a 12 row flamer/cultivator with his soil-health building program.
At 6 p.m., a free evening meal will be served by the Fendrich Farm.
Families are welcomed. Call Wendy at 402-584-3837 to reserve meals. Or for more information Program Administrator of the Organic Crop Improvement Association NE Chapter #1 Kim Mosel @ 402-620-2701 or ociane1@yahoo.com on the tour and about organic production/certification.
Super Fair Highlights Agriculture Festivities
Nebraska’s No. 1 industry – agriculture – shines during the Lancaster County Super Fair Agriculture Awareness Day Saturday, Aug. 1.
The Nebraska Ethanol Board will be part of the new “Farm to Fork” interactive activity located in the multi-purpose arena kid’s zone from 10 a.m. to 4 p.m.
Children will receive a free Super Fair flying disc, while supplies last, when they go through the "Farm to Fork" activity. Several commodity boards and farm-related sponsors will exhibit giveaways and activities for children.
“This is a great opportunity to experience Nebraska’s ‘Golden Triangle’ in an interactive way,” said Megan Grimes, Nebraska Ethanol Board. “Every bushel of corn used for ethanol also produces more than 17 pounds of distillers grains for livestock feed. It’s a unique synergistic process that strengths ag business in our state.”
The fair’s theme days include different activities, vendors and speakers throughout the 10-day event...
Thursday, July 30: Let the Good Times Grow Day
Friday, July 31: Kids & Grandparents Day
Saturday, August 1: Agricultural Awareness Day
Sunday, August 2: Celebrating Champions Day
Monday, August 3: Lancaster County Communities Day
Tuesday, August 4: Armed Forces Appreciation Day
Wednesday, August 5: Good Ol' Days Day
Thursday, August 6: Health & Safety Day
Friday, August 7: Go Green Day
Saturday, August 8: Cultural Heritage Day
For more information on the Lancaster County Super Fair or activities scheduled, visit www.lancastereventcenter.org/super-fair.
NDA “NEBRASKA AGRICULTURE” VIDEO GARNERS NATIONAL AWARD
“Nebraska Agriculture,” a video commissioned by the Nebraska Department of Agriculture (NDA) and viewed by thousands on YouTube and at the Nebraska State Fair, recently was named a Golden ARC award winner by a national agriculture professional organization. The video took first place in the video programs division of the contest, which was coordinated by The Agricultural Relations Council.
“I want to thank the farmers and ranchers who contributed their time to be a part of the ‘Nebraska Agriculture’ video,” NDA Director Greg Ibach said. “They, along with our production partners, should be proud that the story of our state’s number one industry received such a prestigious award.”
“Nebraska Agriculture” was produced as a collaborative effort of NDA, David & Associates and the Institute of Agriculture and Natural Resources (IANR) Media at the University of Nebraska-Lincoln. It can be viewed by visiting www.nda.nebraska.gov and clicking on the video icon.
The six-minute video was released in March 2014 to promote Nebraska’s agricultural industry both domestically and internationally. The video was featured at the debut of the Raising Nebraska exhibit at the 2014 Nebraska State Fair. It continues to play in that exhibits’ Grain Bin theater. The video also has over 17,800 views on YouTube. The piece is intended to inform as well as create an emotional connection between viewers and the state’s farmers and ranchers.
Golden ARC winners were announced at The Agricultural Relations Council’s professional development meeting held in Denver, Colo., in June. The Agricultural Relations Council is a national organization dedicated to agriculture public relations professionals.
NeFU Strongly Urges Administration to Comply with RFS Levels in EISA Statute
Nebraska Farmers Union (NeFU) President John Hansen submitted comments to the U.S. Environmental Protection Agency (EPA) urging the administration to set Renewable Fuel Standard (RFS) volume obligations to the Energy Independence and Security Act (EISA) statutory levels.
“NeFU strongly believes the volume standards issued in EPA’s proposed rule for RFS target levels represent a substantial but unnecessary step backwards relative to renewable energy development. The proposed EPA production targets send negative signals that will hurt investment. The EPA delay in proposing the production targets for 2014, 2015, and 2016 will not be finalized until the end of 2015. These production targets are supposed to be done in advance of the production years. The production levels reductions themselves are unnecessarily hurtful, and the lateness of the regulations is simply inexcusable,” said Hansen. “NeFU strongly urges the administration to comply with the RFS levels already provided in the popular, bipartisan EISA statute.”
“The proposed, lower volume standards reward the oil industry for not increasing consumer choice and dragging their feet with retail blender pump deployment. The proposed EPA volume standards ignore the will of Congress. Congress mandated these production levels, and for less than good cause, EPA rolls them back. That is very concerning,” said Hansen. “EPA should hold the oil industry to the proposed targets. That would be consistent with the Administration’s support for renewable fuel development, and the need to build the consumer retail fuels infrastructure necessary to use higher-level ethanol blends.”
Hansen noted the proposed rule is inconsistent with the administration’s climate resiliency goals and policies that are needed to mitigate the threats climate change poses to family agriculture. He said the RFS is a forward looking roadmap for renewable energy that is good for the economy, the rural economy in particular, energy independence, air quality, and carbon and GHG emission reductions.
“EPA should pursue GHG emission reductions at every opportunity to try to mitigate climate change as much as possible,” said Hansen. “The RFS offers tremendous capacity to reduce GHGs by encouraging the use of transportation fuels that emit fewer GHGs than petroleum-based transportation fuels.
“NeFU respectfully asks EPA and the Obama Administration to reverse the unnecessary step backwards the EPA proposed production targets represents. Our nation needs to move forward with more renewable energy production, not backwards, especially given the projected size of the 2015 corn crop and the painful drop in corn and grain prices. Common sense needs to prevail in this major economic and environmental regulation. The proposed EPA ethanol production standards need to be reversed.”
Fuels America Delivers Over 200k Pro-Biofuels Comments to EPA, Voices Support for RFS
Today, representatives from Fuels America and other advocates for clean, secure, American energy delivered over 200,000 comments to the EPA in support of a strong final rule under the Renewable Fuel Standard. This show of grassroots support comes on the final day of the comment period, and after widespread grassroots voices have come out in force to support the RFS. The 200,000+ comments delivered by Fuels America do not paint the full picture; tens of thousands of additional pro-biofuels comments are expected by the close of the comment period as well.
Scores of farmers and biofuels producers hosted rallies this summer in Kansas City and Washington, DC to elevate their voices, joining numerous elected officials in bipartisan calls for the EPA to protect America’s rural economies and green innovators over foreign oil profits.
“The Renewable Fuel Standard represents a promise to rural America—a promise that, when kept, helped rural economies across America make a strong comeback," said Roger Johnson, president of the National Farmers Union and one of the Fuels America members who dropped comments off at the EPA this morning. “Today’s tremendous show of support for a strong RFS shows that it is time for the EPA to stop choosing foreign oil over rural America, and start getting the RFS back on track.”
Across the nation, Americans displayed their anger over the EPA’s continuing problems putting out a strong rule under the RFS; many authored op-eds editorializing in favor of a strong rule, imploring the EPA to stand up for rural America and not cave to the oil industry. Several of the pieces are linked to below.
The widespread activism and comments, from hundreds of thousands of Americans, speak to the collective outrage toward EPA’s proposal to allow oil companies to take charge of our renewable fuel supply, and effectively permit them to block competition from cleaner, less expensive, homegrown fuel. These actions could potentially weaken a biofuels industry that has helped enhance our national security, strengthened rural economies, and improved America’s climate impact.
Erick Lutt, Director of Industrial and Environmental Policy at the Biotechnology Industry Organization, said: “Today, Americans are sending a strong signal to the EPA that its proposal to lower RVOs under the RFS is unacceptable. The EPA’s misfires and delays have pulled the rug out from the American investors and innovators who have brought the next generation of biofuels online in the U.S. The EPA is already responsible for $13.7 billion in frozen investment in advanced and cellulosic biofuels, and we’re risking sending jobs, innovation, and investment overseas. We can’t afford any more setbacks. The EPA must set RVOs consistent with Congress’ original intent in order to bring investment back to America and allow our country’s innovators to continue developing clean, secure American energy.”
NCGA to EPA: “Stay the Course” on Renewable Fuel Standard
In comments submitted to the Environmental Protection Agency (EPA) today, the National Corn Growers Association highlighted the importance of the Renewable Fuel Standard (RFS) and urged the Agency to restore the 2014-16 corn ethanol volume to statute.
In the comments, NCGA states, “The RFS has spurred growth in agriculture, increased energy diversity and decreased GHG emissions from fossil fuels through the development of renewable energy resources. We urge the Agency to stay the course and support this important piece of transformational energy policy, and we request it reconsider its proposed reduction in the 2014, 2015 and 2016 renewable volume obligations.”
In a letter accompanying NCGA’s comments, NCGA President Chip Bowling writes, “The RFS is doing exactly what it was intended to do. It is successfully driving the adoption of renewable fuel alternatives to petroleum, supporting jobs across the country, and ensuring the United States remains a global leader in developing new renewable energy sources while decreasing GHG emissions here at home. [We are asking the EPA to] provide regulatory certainty to the most successful renewable fuel program in place. The continued stability and health of the rural economy and the nation’s environmental improvements hinge upon your decision.”
TPP Must Deliver Say Beef Producers
Beef producers from five Trans-Pacific Partnership (TPP) member countries are calling for a high-quality market access deal on beef to be secured at the TPP ministerial meeting in Hawaii this month.
Negotiators and trade ministers from the 12 TPP countries will meet in Maui in late July, with the goal of reaching agreement on the outstanding issues across the TPP agenda.
The Five Nations Beef Alliance (FNBA) says it is vital that a comprehensive, trade liberalising deal be finalised.
In so doing, it would help to ensure that beef producers and their supply chain partners can reap the maximum benefits of the envisaged tariff cuts and that commercial entities can utilize the other trade-facilitating elements of the agreement as soon as possible.
After five years of negotiations, the TPP must not be allowed to drift or lose momentum at this crucial stage. There is so much to gain from trade reform – with more seamless trade rules, reduced costs and less red tape making it easier for food suppliers, such as the FNBA, to respond to growing global consumer demand.
The FNBA has consistently called for a non-discriminatory, plurilateral TPP deal that will liberalise the trade in beef products and thereby provide beef farmers, processors and exporters with new opportunities across much of the Asia-Pacific region.
The Alliance has been buoyed by positive signals from various TPP governments in recent weeks. Now is the time to convert this into action - and deliver on the vision2 of “a comprehensive, next generation regional agreement that liberalizes trade and investment and addresses new and traditional trade issues and 21st century challenges”.
The FNBA comprises the Cattle Council of Australia, Canadian Cattlemen’s Association, Confederacion Nacional de Organizaciones Ganaderas, Beef + Lamb New Zealand, and the National Cattlemen’s Beef Association. Together those organisations represent producers from countries that account for one-third of global beef production and approximately half of global beef exports.
USGC Delegates Begin Summer Annual Meeting in Montreal
More than 225 U.S. Grains Council (USGC) delegates from across the United States are set to begin meetings Monday in Montreal, Canada, to learn about emerging opportunities and competitive challenges in the global grain marketplace while setting priorities for the Council’s work to increase U.S. market share.
A highlight of the 55th Annual Board of Delegates Meeting, as the gathering is known, will be renowned speakers who will build on this year’s theme of Global Connections, Global Awareness.
Speakers’ topics will include a keynote presentation on the global coarse grains supply and demand; panels on the Trans-Pacific Partnership (TPP) and global ethanol export dynamics; and a morning of discussion on how to be better advocates for scientific advancements, including biotechnology. Delegates will also hear from Byong Ryol Min, USGC’s director in Korea, who is retiring after more than 35 years of service, and Dr. Erick Erickson, USGC’s vice president, who is retiring after more than 30 years of service.
“We have a thought-provoking meeting planned in Montreal this week,” said USGC Chairman Ron Gray. “Our goal is for attendees to leave with a greater understanding of the global grain trade and what we need to consider in our work to maintain the United States reputation as the long-term, reliable supplier of coarse grains and co-products around the world.”
In addition to general sessions, USGC Advisory Teams (A-Teams) are scheduled to meet in Montreal to review both the Council’s operation plan, known as the Unified Export Strategy (UES), and the Council’s priorities and strategies for the upcoming year. Attendees will also have the opportunity to explore Council programs in breakouts focused on key areas of demand including the global ethanol trade; the Middle East and North Africa region; and Cuba and Central America.
“We have a schedule for the Montreal meetings packed with opportunities for delegates to get updated on factors impacting global grain trade and to provide us input from their sectors that can help our global staff in their work,” Gray said. “I’m looking forward to each of these discussions and time to hear from delegates on their thoughts on how our programs are doing.”
The Council’s summer annual meeting will conclude Wednesday with the Council’s annual business meeting, at which the Board of Delegates are set to elect new officers and directors.
More about the meeting is available online at http://grains.org/news-and-events/events/55th-annual-board-delegates-meeting-0.
National FFA Organization Names 2015 American Star Finalists
The National FFA Organization has selected 16 students from throughout the United States as finalists for its 2015 top achievement awards: American Star Farmer, American Star in Agribusiness, American Star in Agricultural Placement and American Star in Agriscience.
The American Star Awards represent the best of the best among thousands of American FFA Degree recipients. Recognized are FFA members who have developed outstanding agricultural skills and competencies through supervised agricultural experience (SAE) programs; earned an American FFA Degree, the highest level of achievement the organization bestows upon a member; and met agricultural education, leadership and scholarship requirements.
The American FFA Degree recognition program is sponsored by ADM Crop Risk Service, Case IH, Elanco, Farm Credit and Syngenta as a special project of the National FFA Foundation.
The finalists include:
American Star Farmer
Dylan Kale Massa of the Liberal FFA Chapter in Missouri
Logan Peters of the Pender FFA Chapter in Nebraska
Thomas Wayne Glascock of the Pilot Point FFA Chapter in Texas
Austin Wippel of the Westfall FFA Chapter in Ohio
American Star in Agribusiness
Dakota Duane Crissman of the Bells FFA Chapter in Texas
William James Maltbie of the Burlington FFA Chapter in Oklahoma
Benjamin Neal Niendick of the Wellington-Napoleon FFA Chapter in Missouri
Dakota Siegler of the Badger FFA Chapter in Wisconsin
American Star in Agricultural Placement
Kenneth Coddington of the Montello FFA Chapter in Wisconsin
Britt Larson of the Pilot Point FFA Chapter in Texas
Jakob Edward Wilson of the Fairbanks FFA Chapter in Ohio
William Zell Woodworth of the Mineral County FFA Chapter in West Virginia
American Star in Agriscience
Jillian Ann Drake of the Fallbrook FFA Chapter in California
Gatlin Cy Squires of the Kingfisher FFA Chapter in Oklahoma
Rory Christina Tucker of the Klein FFA Chapter in Texas
Justin Zahradka of the Park River FFA Chapter in North Dakota
Each star finalist receives $2,000 from the National FFA Foundation.
A panel of judges will interview finalists and select one winner for each award at the 88th National FFA Convention & Expo, Oct. 28 -31, 2015, in Louisville, Ky. The four winners will receive an additional $2,000 and be announced at the convention and expo’s third general session, as part of the Stars Over America Pageant on Thursday, Oct. 29.
The Stars Over America is a special audiovisual presentation featuring the star award finalists funded as a special project of the National FFA Foundation.
Visit http://www.FFA.org/stars for more information about the American Star Awards.
CWT Assists with 3.2 Million Pounds of Cheese and Whole Milk Powder Export Sales
Cooperatives Working Together (CWT) has accepted 9 requests for export assistance from Michigan Milk Producers Association and Northwest Dairy Association (Darigold) who have contracts to sell 456,357 pounds (207 metric tons) of Cheddar and Monterey Jack cheese, and 2.756 million pounds (1250 metric tons) of whole milk powder to customers in Asia, Central and South America. The product has been contracted for delivery in the period from July through December 2015.
Year-to-date, CWT has assisted member cooperatives who have contracts to sell 42.348 million pounds of cheese, 30.395 million pounds of butter and 32.836 million pounds of whole milk powder to thirty one countries on five continents. The amounts of cheese, butter and whole milk powder in these sales contracts represent the equivalent of 1.314 billion pounds of milk on a milkfat basis.
Assisting CWT members through the Export Assistance program, in the long-term, helps member cooperatives gain and maintain market share, thus expanding the demand for U.S. dairy products and the U.S. farm milk that produces them. This, in turn, positively impacts all U.S. dairy farmers by strengthening and maintaining the value of dairy products that directly impact their milk price.
BASF Reports Higher Sales, Lower Net Income
Sales for BASF Group in the second quarter of 2015 grew by 3% to €19.1 billion compared with the same quarter of the previous year. Sales volumes grew by 2% compared with the second quarter of 2014. This was predominantly through a sharp increase in volumes in the Oil & Gas segment. As a consequence of the significant drop in the price of oil, prices declined overall, especially in the Chemicals and Oil & Gas segments. All segments recorded positive currency effects.
Income from operations (EBIT) before special items rose by €31 million to around €2.0 billion, largely through the significantly increased contribution from the Functional Materials & Solutions segment as well as lower expenses in Other. While earnings were only slightly down in the Chemicals segment, the other segments posted considerable declines.
Second-quarter sales in the Agricultural Solutions segment rose by 1% to €1.7 billion in a challenging market environment. Positive currency effects and higher sales prices more than offset lower sales volumes. EBIT before special items nevertheless fell by €68 million to €365 million. Aside from the decrease in volumes, this was also a result of increased fixed costs from the startup of new plants. First-half sales in the Agricultural Solutions segment grew by 8% to €3.6 billion compared with the first half of 2014, despite a slight decrease in volumes. At €939 million, EBIT before special items reached the level of the previous first half.
Red Combines 1915-2015 - The Authoritative Guide to International Harvester and Case IH Combines and Harvesting Equipment
From the creators of the award-winning book Red Tractors 1958–2013 comes a beautiful in-depth look at one of the most significant piece of farm equipment built in the 20th century. Red Combines 1915–2015 (Octane Press, Sept. 1, $75) chronicles the complete story of the machine’s impact on agriculture and society.
The 384-page coffee table book is also a tribute of the people who invented the machine that
helped shaped the farm as we know it today. Recounting the combine’s remarkable evolution, the book captures behind-the-scenes drama and clandestine encounters with rival companies, personnel and machines.
Starting with research conducted by a rogue Swedish engineer in the 1950s and continued by a group of dedicated engineers who did their work in a top-secret garage, the book details how extensive research and development allowed International Harvester (IH) to build a new machine that took the market by storm.
Red Combines 1915–2015 includes detailed accounts by a host of authors and researchers, alongside more than 300 archival images, concept drawings, sketches, and new photography depicting the machines and men at work today. The six-pound volume is the result of dozens of interviews with engineers, salespeople, and customers — all under the direction of Lee Klancher, who serves as the project’s lead author and photo editor.
A 20-year publishing veteran, Klancher has overseen the development of some of the most-respected and best-selling books in the transportation niche, including Red Tractors 1958–2013, which has sold 16,000 copies and was the recipient of a “Gold” Benjamin Franklin Award and “Bronze” Independent Book Publisher Award.
Saturday, July 25, 2015
Friday July 24 Cattle on Feed + Ag News
NEBRASKA CATTLE ON FEED UP 2 PERCENT
Nebraska feedlots, with capacities of 1,000 or more head, contained 2.28 million cattle on feed on July 1, according to the USDA’s National Agricultural Statistics Service. This inventory was up 2 percent from last year. This is the highest July 1 inventory since the data series began in 1994. Placements during June totaled 375,000 head, down 3 percent from 2014. Fed cattle marketings for the month of June totaled 480,000 head, down 4 percent from last year. Other disappearance during June totaled 15,000 head, down 10,000 from last year.
IOWA CATTLE ON FEED
Cattle and calves on feed for slaughter market in Iowa for all feedlots totaled 1,205,000 on July 1, 2015, according to the latest USDA, National Agricultural Statistics Service – Cattle on Feed report. The inventory is down4 percent from June 1, 2015, but up 5 percent from July 1, 2014. Feedlots with a capacity greater than 1,000 head had 640,000 head on feed, down 2 percent from last month but up 3 percent from last year. Feedlots with a capacity less than 1,000 head had 565,000 head on feed, down 7 percent from last month but up 7 percent from last year.
Placements during June totaled 116,000 head, an increase of 6 percent from last month and up 23 percent from last year. Feedlots with a capacity greater than 1,000 head placed 67,000 head, up 3 percent from last month and up 24 percent from last year. Feedlots with a capacity less than 1,000 head placed 49,000 head. This is up11 percent from last month and up 23 percent from last year.
Marketings for June were 166,000 head, up 35 percent from last month and up 19 percent from last year. Feedlots with a capacity greater than 1,000 head marketed 76,000 head, up 3 percent from last month and up 9 percent from last year. Feedlots with a capacity less than 1,000 head marketed 90,000 head, up 84 percent from last month and up 29 percent from last year. Other disappearance totaled 5,000 head.
United States Cattle on Feed Up 2 Percent
Cattle and calves on feed for the slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 10.2 million head on July 1, 2015. The inventory was 2 percent above July 1, 2014. The inventory included 6.91 million steers and steer calves, up 7 percent from the previous year. This group accounted for 67 percent of the total inventory. Heifers and heifer calves accounted for 3.33 million head, down 7 percent from 2014. July 1, 2015 heifers and heifer calves inventory is the lowest percent of total July inventory since the series began in 1996.
By State (1,000 hd, % of July 1 '14)
Colorado .......: 830 98
Iowa .............: 640 103
Kansas ..........: 1,940 102
Nebraska ......: 2,280 102
Texas ............: 2,480 100
Placements in feedlots during June totaled 1.48 million, 1 percent above 2014. Net placements were 1.41 million head. During June, placements of cattle and calves weighing less than 600 pounds were 350,000, 600-699 pounds were 250,000, 700-799 pounds were 336,000, and 800 pounds and greater were 545,000.
By State (1,000 hd, % of June '14)
Colorado .......: 80 84
Iowa .............: 67 124
Kansas ..........: 335 106
Nebraska ......: 375 97
Texas ............: 375 101
Marketings of fed cattle during June totaled 1.75 million, 5 percent below 2014. Marketings are the lowest for June since the series began in 1996. Other disappearance totaled 69,000 during June, 8 percent below 2014.
By State (1,000 hd, % of June '14)
Colorado .......: 125 83
Iowa .............: 76 109
Kansas ..........: 400 95
Nebraska ......: 480 96
Texas ............: 385 92
United States All Cattle on Feed Up 2 Percent
Cattle and calves on feed for the slaughter market in the United States for all feedlots totaled 12.1 million head on July 1, 2015. The inventory was up 2 percent from the July 1, 2014 total of 11.9 million head. Cattle on feed in feedlots with capacity of 1,000 or more head accounted for 85 percent of the total cattle on feed on July 1, 2015, up slightly from the previous year.
July 1 Cattle Inventory Up 2 Percent
All cattle and calves in the United States as of July 1, 2015, totaled 98.4 million head, 2 percent above the 96.3 million on July 1, 2014. The last time all cattle and calves inventory for July 1 increased was 2006.
All cows and heifers that have calved, at 39.8 million, were up 2 percent from July 1, 2014.
* Beef cows, at 30.5 million, were up 3 percent from July 1, 2014.
* Milk cows, at 9.30 million, were up 1 percent from July 1, 2014.
Other class estimates on July 1, 2015 and the percent change from July 1,2014, are as follows:
* All heifers 500 pounds and over, 15.9 million, up 2 percent.
* Beef replacement heifers, 4.90 million, up 7 percent.
* Milk replacement heifers, 4.20 million, up 2 percent.
* Other heifers, 6.80 million, down 1 percent.
* Steers, weighing 500 pounds and over, 14.1 million, up 3 percent.
* Bulls, weighing 500 pounds and over, 1.90 million, unchanged.
* Calves under 500 pounds, 26.7 million, up 2 percent.
The 2015 calf crop is expected to be 34.3 million, up 1 percent from 2014. Calves born during the first half of the year are estimated at 24.8 million, up 1 percent from the previous year.
Cattle and calves on feed for the slaughter market in the United States for all feedlots totaled 12.1 million head on July 1, 2015. The inventory was up 2 percent from the July 1, 2014 total of 11.9 million head. Cattle on feed in feedlots with capacity of 1,000 or more head accounted for 85 percent of the total cattle on feed on July 1, 2015, up slightly from the previous year.
Ricketts, Reynolds Hold Last Chance Rally to Support the Renewable Fuel Standard
Today, Nebraska Governor Pete Ricketts and Iowa Lt. Governor Kim Reynolds joined Nebraska Farm Bureau President Steve Nelson and Novozymes General Manager Kyle Nixon at the company’s enzyme plant in Blair, Nebraska to express the potential economic impact on Nebraska and Iowa of the pending EPA proposal to slash billions of gallons from America’s Renewable Fuel Standard (RFS). If enacted, it would threaten thousands of jobs and the billions of dollars of investments by ethanol producers and technology providers in Nebraska and Iowa.
“Agriculture is Nebraska’s number one industry, and ethanol is one of the key agricultural growth industries that have added billions in revenue and thousands of jobs over the past decade to our state,” said Nebraska Governor Pete Ricketts. “These efforts were undertaken in expectation that such efforts would meet the commitment of this nation to renewable fuels established by the Renewable Fuel Standard. Nebraskans have cause for concern because the EPA’s proposal to slash billions of gallons of biofuels from the RFS has the potential to negatively impact the future growth of our state. The RFS is an achievable and ambitious target and must be maintained.”
According to a 2015 economic analysis by Fuels America, the RFS is driving $184 billion in economic activity and more than 850,000 jobs with $46 billion in wages across America. This is the result of years of investment by the biofuel sector to bring clean, low carbon renewable fuels to market. This activity creates a ripple effect as supplier firms and employees re-spend throughout the economy. The local impact for Nebraska is $11.1 billion and nearly 40,000 jobs. Likewise, the impact for Iowa is $19.3 billion and 73,000 jobs.
“A robust Renewable Fuel Standard creates quality careers, increases family incomes, reduces our dependence on foreign oil, provides sustainable renewable energy, and fosters growth in the biofuels and agricultural industries,” said Iowa Lt. Governor Kim Reynolds. “Those of us in America’s Heartland know the importance of a strong Renewable Fuels Standard and we hope as more supportive comments arrive before the July 27th deadline, the EPA will reverse course and partner with us to continue growing America’s renewable energy sector through a strong Renewable Fuel Standard.”
Today, the United States creates 14 billion gallons of home-grown biofuels for our cars, trucks and our growing military needs—more than we import from Saudi Arabia. The group that will likely feel the impact of this proposal the most is America’s farmers.
“EPA’s decision to not follow the intent of Congress when it developed the RFS2 in 2007 is highly disappointing to all of agriculture,” said Steve Nelson, President of the Nebraska Farm Bureau. “Renewable fuels, more specifically corn based ethanol, has been a tremendous success story for the nation as a whole as well as to Nebraska’s rural economy. The RFS has reduced our country’s dependence on foreign crude oil, reduced air pollution, increased farm incomes and has provided good paying jobs within rural America. EPA’s proposal is a step in the wrong direction and ignores the benefits ethanol and biofuels have provided.”
Novozymes has played a leading role in the development of the existing biofuels industry and the growing advanced biofuels industry. Enzymes from its Blair, Nebraska plant allow agricultural products like corn starch and corn stover to be converted into conventional and advanced biofuels. The enzyme plant has helped realize two of the Obama Administration’s key goals for renewable energy: creating short-term construction and long-term professional jobs, and helping move the U.S. away from foreign oil and towards homegrown renewable fuel, energizing the economy and increasing domestic security.
“The RFS is not just a policy it’s how we live our lives. Today Novozymes has 127 full time employees in Nebraska and Iowa—jobs that were created in large part, due to the RFS,” said Kyle Nixon, Novozymes General Manager. “We care deeply for our communities and want to see benefits like jobs, worker training and tax revenues continue to grow.”
APPROACHING THE EPA COMMENT DEADLINE ON JULY 27TH
Many groups have rallied their members to voice their concerns in support of the RFS and encourage the public to join the effort in support of biofuels. Some of the activities to date include:
· Bipartisan letter signed by 37 senators including Iowa senators Chuck Grassley and Joni Ernst and Nebraska senator Deb Fischer urging the agency to set strong biofuel volume requirements for 2014 and beyond
· Letter to EPA Administrator Gina McCarthy signed by Iowa Governor Terry Branstad and Lieutenant Governor Kim Reynolds
· Letter to EPA Administrator Gina McCarthy signed by Nebraska Governor Pete Ricketts
· Letter to EPA Administrator Gina McCarthy signed by Nebraska Senator Ben Sasse
· Testimony at the EPA’s recent field hearing and participation in a Rally for Rural America in Kansas City by Iowa Governor Terry Branstad and Nebraska Energy Office Director David Bracht (on behalf of Governor Ricketts)
· All group members filing written comments to the EPA
· Fuels America online petition (nearly 200,000 signatures)
Dakota County is Nebraska’s Newest Livestock Friendly County
Today, Governor Pete Ricketts today announced Dakota County as Nebraska’s newest Livestock Friendly County (LFC), designated through a program administered by the Nebraska Department of Agriculture (NDA).
“Dakota County officials have shown their strong commitment to rural economic development and agriculture,” said Gov. Ricketts. “By pursuing a Livestock Friendly County designation, Dakota County has shown their dedication to the livestock industry and the vital role it plays in their local economy.”
The LFC program was created by the Legislature in 2003 to recognize counties that nurture and support the livestock industry. Agriculture is Nebraska’s number one industry, with on-farm receipts of over $24 billion in 2014. Livestock receipts are over half of that total. Counties that are officially designated as Livestock Friendly Counties can use the designation to encourage growth in existing livestock operations and to attract new businesses. Dakota County is home to many livestock and poultry operations, as well as meat processing facilities, the Governor said.
“The Livestock Friendly County program helps acknowledge the positive economic impact that a viable livestock industry has on communities across our state,” said NDA Assistant Director Bobbie Kriz-Wickham. “A strong livestock industry has a significant role as a marketplace for local grain production and uses local businesses for equipment, supplies, and professional services.”
With the addition of Dakota County, there are now 30 counties designated as Livestock Friendly through the state program.
Counties wishing to apply for the LFC designation must hold a public hearing and the county board must pass a resolution to apply for the designation. Then a completed application must be submitted to NDA. Local producers or groups can encourage county officials to apply.
Additional information about the Livestock Friendly County program is available on the NDA website at www.nda.nebraska.gov or by calling 800-422-6692.
Upper Big Blue NRD Board Fills Vacant Director Seat
The Upper Big Blue NRD Board of Directors have selected Paul Bethune of York to fill the seat vacated by long-time board member Steve Buller who retired from the board in May 2015. Paul Bethune represents Sub-District 8. There were three other applicants who expressed interest in filling the seat. They were Roberta (Bobbi) Janda, Jim Schneider, and Greg Staehr. The board selected Bethune by majority vote through an open roll-call. Bethune was then given the oath of office administered by John Turnbull, NRD General Manager. Bethune will be completing the rest of Buller’s term which will expire in January 2017.
Bethune stated in his letter for board consideration that he has been employed with his family business, Bethune Construction, LLC, since 2000. He is a 1996 graduate of the University of Nebraska receiving a B.S. in Natural Resources. He wrote: “I am an outdoorsman. I hunt, fish, and camp as much as time allows. I am interested in water quality and quantity, fish and wildlife habitat, recreation, flood control, and soil and water conservation. I am a member of the local Pheasants Forever. I am a den leader for Cub Scout Pack 173. I have also coached Little League baseball in the past.”
On behalf of the Upper Big Blue NRD Board of Directors and staff we wish to welcome Paul Bethune as a new board member.
Public Hearings Scheduled at the Upper Big Blue NRD Regarding the FY2016 Budget and Tax Request
The Upper Big Blue NRD Board of Directors have scheduled a Public Hearing for the FY2016 Budget on Thursday, August 20, 2015 at 7:30 p.m., and a Special Public Hearing for the FY2016 Tax Request for Thursday, September 17, 2015 at 7:30 p.m.
Both of these hearings will be conducted at the Upper Big Blue Natural Resources District office building located at 105 N. Lincoln Avenue, York, Nebraska. The proposed budget for FY2016 continues to include safety measures for protecting District citizens and enhancing the delivery of quality services. The public is welcome and encouraged to attend these Public Hearings.
The Upper Big Blue Natural Resources District (NRD) protects lives, property and the future of this area through a wide-range of stewardship, management and educational programs—from flood control to groundwater monitoring, from irrigation management to outdoor recreation and more. Activities and projects of the Upper Big Blue NRD are reviewed and approved by a locally elected Board of Directors. The Upper Big Blue NRD is one of 23 Natural Resources Districts across the state. For more information, visit www.upperbigblue.org or call (402) 362-6601.
RISKS WITH PREVENTED PLANTINGS
Bruce Anderson, Nebraska Extension Forage Specialist
I’ve received a number of calls recently about forage options on prevented planting acres. And frankly, the questions and plans being made have me worried.
Persistent rain this spring kept many farmers from getting all their crops planted. As a result, the prevented planting provision of many crop insurance policies has been activated.
One option for prevented planting acres is to plant a cover crop. If this cover crop is harvested or grazed before November 1, only a 35 percent payment is received. However, if haying or grazing is delayed until after November 1, the full insurance payment can be made.
The idea of receiving a full payment and still harvesting a crop after November 1 looks attractive. I know several producers who are planting a summer annual grass like sorghum-sudangrass with plans to cut, bale, and sell it as hay after November 1.
While this might work out well, I think farmers without their own livestock available to use this forage are taking a big risk.
One big problem is simply getting this feed dry enough to bale. Summer annual grasses are difficult to dry in the best of conditions. The only way it is likely to dry in November is if a hard freeze kills the plants and they dry while still standing.
Which brings us to another problem – lodging. Tall grasses are prone to lodging during the fall, especially after freezing. So it may not even be possible to mechanically harvest the crop. Then, the residue left on the soil by the lodged crop could interfere with planting next spring.
And finally, even if the crop is baled, finding a buyer could be difficult, especially in an area with plentiful cornstalks.
So think about risks when planting prevented planting acres.
Valmont Announces Second Quarter Results
Valmont Industries, Inc., a leading global provider of engineered products and services for infrastructure and mechanized irrigation equipment for agriculture, reported second quarter sales of $682.1 million compared with $842.6 million for the same period of 2014. Second quarter 2015 operating income was $54.0 million ($68.3 million before restructuring charges), versus $104.8 million in 2014. Second quarter net income was $27.9 million versus $64.0 million in 2014, or $1.19 per diluted share compared to $2.38 in 2014. Excluding the effects of restructuring, second quarter earnings per diluted share were $1.61. (See Reg. G table on last page).
For the first six months of 2015, sales were $1,352.5 million versus $1,594.3 million in 2014. Valmont's first-half net earnings were $58.6 million, or $2.47 per diluted share, compared with 2014 first-half net earnings of $120.0 million, or $4.46 per diluted share. Excluding the effects of restructuring, six-month earnings per diluted share were $2.89.
House Agriculture Committee Holds USDA Oversight Hearing
On Wednesday, USDA Secretary Vilsack testified before the House Agriculture Committee during an oversight hearing of Department activities. Members of the Committee covered a range of topics in their questions, including discussion of the rule to establish conservation compliance requirements for crop insurance eligibility, the status of submission of AD-1026 forms, and the Department's "actively engaged" proposed rule, among several other topics.
With respect to conservation compliance, there was a discussion about the relationship of the EPA's Waters of the US rule and compliance requirements. Vilsack discussed how these are two separate issues, but also indicated that there may be some dis-clarity in how wetlands identified under the Clean Water Act may or may not be also identified as a wetland by NRCS.
The actively engaged rule was also a topic of interest for several members of the Committee. Vilsack discussed the Department’s intention to develop a rule that follows the Farm Bill requirement to update its rules for determining farm program eligibility, while also ensuring that family farms wouldn't be affected.
SPCC Reform Bill Introduced
This week Representative Crawford (R-AR) introduced H.R. 3129, the Farmers Undertake Environmental Land Stewardship (FUELS) Act, to increase the exemptions levels for farm compliance under the Spill Prevention Control and Countermeasure (SPCC) regulation. The bill requires the Environmental Protection Agency (EPA) to set the level of on-farm above ground storage capacity exemption for a single container at less than 10,000 gallons and self-certification at less than 42,000 gallons aggregate storage if there is no history of a spill. Last year the Water Resources Reform and Development Act (WRRDA) included provisions to increase the exemption level from 1,320 gallons to between 2,500 and 6,000 gallons pending a study from EPA. Late last month, EPA released the required study and determined that the lower level storage capacity of 2,500 gallons is the appropriate level. EPA must take action to update their regulation and information on their website to reflect the recent changes.
NASS Begins Gathering Conservation Data Nationwide
The USDA's National Agricultural Statistics Service is contacting farmers and ranchers from now through August as part of a national survey of conservation practices.
During the first phase of the National Resources Inventory – Conservation Effects Assessment Project (CEAP), NASS will contact approximately 24,000 farmers and ranchers nationwide to determine if their operations and properties meet eligibility criteria to participate in the survey. Farmers and ranchers deemed eligible may be contacted from October 2015 through February 2016 and asked to participate in the survey, part of a two-year project. The same survey process and schedule will be followed later in 2016 with a different set of producers.
"The survey gives farmers and ranchers the power to provide a more complete and accurate picture of the conservation practices they choose to use on their lands and in their operations," said NASS Administrator Joseph T. Reilly. "If contacted, I urge farmers and ranchers to participate; their responses can help leaders focus on the conservation practices that most benefit both the farmer and the natural resources on which we all rely."
CEAP's purpose is to measure the environmental benefits associated with implementation and installation of conservation practices on cultivated and non-cultivated agricultural lands, according to USDA's Natural Resources Conservation Service, the lead agency for the project. NASS conducts the survey for CEAP under a cooperative agreement with NRCS.
China Culled 20% of Hog Herd
China has culled 20% of its hog herd in the last 18 months, forcing prices higher and boosting hog producers' profit margins.
That could lead Chinese producers to begin expanding herds. But with consumption declining far less than production, more imports are needed to fill the gap, according to the third-quarter pork report from Rabobank Food and Agribusiness Research and Advisory.
That may be good news for U.S. pork producers in the last half of 2015 and into 2016.
"After a challenging start to 2015, U.S. hog prices and producer profitability have improved immensely during Q2, helping to bring the outlook for the year much closer to the 'black' than three months ago," the report stated. Rebounding supplies may be able to fill a portion of China's anticipated demand.
The size of China's sow herd imploded by close to 22% between October of 2013 and March of 2015. Total liquidation over those six quarters equaled 11 million head, nearly twice the size of the entire U.S. breeding herd as of June 1.
The combination of China's cut in domestic production and projections for surging growth in China's per capita pork consumption over the next decade could be a great opportunity for global exporters, the report stated.
Groups Praise Senate Finance Committee Leaders for Demanding that Canada Accept More Dairy Imports
The National Milk Producers Federation (NMPF) and U.S. Dairy Export Council (USDEC) today praised the Senate Finance Committee’s bipartisan leadership for urging Canada to allow more trade in agricultural products, including dairy, as an outcome of the negotiations over the Trans-Pacific Partnership. If Canada is not willing to allow more dairy trade as a result of the TPP, it risks being left out of the agreement, according to the Senate members.
In a letter to Gary Doer, Canada’s ambassador to the United States, Committee Chairman Orrin Hatch (R-UT) and senior Democrat Ron Wyden (D-OR) said Canada’s ability to “commit to significant and commercially meaningful market access for all remaining agricultural products, including dairy, will have a significant impact on Congress’ view of the final agreement. In fact, our support for a final TPP agreement that includes Canada is contingent on Canada’s ability to meet the TPP’s high standards.”
The letter from Hatch and Wyden echoed a similar appeal last week by 21 members of the House of Representatives led by Representatives Reid Ribble (R-WI) and Ron Kind (D-WI), as well as Ways and Means Chairman Paul Ryan (R-WI) and Agriculture Committee Chairman Mike Conaway (R-TX). That letter also went to Canada’s ambassador to the U.S.
The letter comes at a pivotal time, as negotiators from across the Pacific are currently meeting in Hawaii to finalize key issues in the TPP talks, including agricultural trade.
NMPF and USDEC said the Senate letter reinforces the message that a vital element to achieving a balanced outcome in the TPP negotiations is increased access to that country’s dairy market. The two groups want significant increases in access to the Canadian and Japanese dairy markets, as well as ultimately a balance between these sizable new export gains and any new access to our market granted for New Zealand dairy farmers.
“Senators Hatch and Wyden are to be commended for adding their strong voices to the demand that Canada get serious about meeting this agreement’s market access obligations,” said NMPF President and CEO Jim Mulhern. “Canada’s highly protected dairy market is one of the final issues in the TPP, and so far its negotiators have refused to live up to their commitment to satisfactorily address it.”
“We fully agree with this clear Congressional message that if Canada is looking for a pass on the type of tough decisions that all other TPP countries are being asked to make, it is better to move TPP ahead without them,” added USDEC President Tom Suber. “Our dairy industry is willing to do its part, but Canada needs to do the same if it wants to be part of this agreement.”
Nebraska feedlots, with capacities of 1,000 or more head, contained 2.28 million cattle on feed on July 1, according to the USDA’s National Agricultural Statistics Service. This inventory was up 2 percent from last year. This is the highest July 1 inventory since the data series began in 1994. Placements during June totaled 375,000 head, down 3 percent from 2014. Fed cattle marketings for the month of June totaled 480,000 head, down 4 percent from last year. Other disappearance during June totaled 15,000 head, down 10,000 from last year.
IOWA CATTLE ON FEED
Cattle and calves on feed for slaughter market in Iowa for all feedlots totaled 1,205,000 on July 1, 2015, according to the latest USDA, National Agricultural Statistics Service – Cattle on Feed report. The inventory is down4 percent from June 1, 2015, but up 5 percent from July 1, 2014. Feedlots with a capacity greater than 1,000 head had 640,000 head on feed, down 2 percent from last month but up 3 percent from last year. Feedlots with a capacity less than 1,000 head had 565,000 head on feed, down 7 percent from last month but up 7 percent from last year.
Placements during June totaled 116,000 head, an increase of 6 percent from last month and up 23 percent from last year. Feedlots with a capacity greater than 1,000 head placed 67,000 head, up 3 percent from last month and up 24 percent from last year. Feedlots with a capacity less than 1,000 head placed 49,000 head. This is up11 percent from last month and up 23 percent from last year.
Marketings for June were 166,000 head, up 35 percent from last month and up 19 percent from last year. Feedlots with a capacity greater than 1,000 head marketed 76,000 head, up 3 percent from last month and up 9 percent from last year. Feedlots with a capacity less than 1,000 head marketed 90,000 head, up 84 percent from last month and up 29 percent from last year. Other disappearance totaled 5,000 head.
United States Cattle on Feed Up 2 Percent
Cattle and calves on feed for the slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 10.2 million head on July 1, 2015. The inventory was 2 percent above July 1, 2014. The inventory included 6.91 million steers and steer calves, up 7 percent from the previous year. This group accounted for 67 percent of the total inventory. Heifers and heifer calves accounted for 3.33 million head, down 7 percent from 2014. July 1, 2015 heifers and heifer calves inventory is the lowest percent of total July inventory since the series began in 1996.
By State (1,000 hd, % of July 1 '14)
Colorado .......: 830 98
Iowa .............: 640 103
Kansas ..........: 1,940 102
Nebraska ......: 2,280 102
Texas ............: 2,480 100
Placements in feedlots during June totaled 1.48 million, 1 percent above 2014. Net placements were 1.41 million head. During June, placements of cattle and calves weighing less than 600 pounds were 350,000, 600-699 pounds were 250,000, 700-799 pounds were 336,000, and 800 pounds and greater were 545,000.
By State (1,000 hd, % of June '14)
Colorado .......: 80 84
Iowa .............: 67 124
Kansas ..........: 335 106
Nebraska ......: 375 97
Texas ............: 375 101
Marketings of fed cattle during June totaled 1.75 million, 5 percent below 2014. Marketings are the lowest for June since the series began in 1996. Other disappearance totaled 69,000 during June, 8 percent below 2014.
By State (1,000 hd, % of June '14)
Colorado .......: 125 83
Iowa .............: 76 109
Kansas ..........: 400 95
Nebraska ......: 480 96
Texas ............: 385 92
United States All Cattle on Feed Up 2 Percent
Cattle and calves on feed for the slaughter market in the United States for all feedlots totaled 12.1 million head on July 1, 2015. The inventory was up 2 percent from the July 1, 2014 total of 11.9 million head. Cattle on feed in feedlots with capacity of 1,000 or more head accounted for 85 percent of the total cattle on feed on July 1, 2015, up slightly from the previous year.
July 1 Cattle Inventory Up 2 Percent
All cattle and calves in the United States as of July 1, 2015, totaled 98.4 million head, 2 percent above the 96.3 million on July 1, 2014. The last time all cattle and calves inventory for July 1 increased was 2006.
All cows and heifers that have calved, at 39.8 million, were up 2 percent from July 1, 2014.
* Beef cows, at 30.5 million, were up 3 percent from July 1, 2014.
* Milk cows, at 9.30 million, were up 1 percent from July 1, 2014.
Other class estimates on July 1, 2015 and the percent change from July 1,2014, are as follows:
* All heifers 500 pounds and over, 15.9 million, up 2 percent.
* Beef replacement heifers, 4.90 million, up 7 percent.
* Milk replacement heifers, 4.20 million, up 2 percent.
* Other heifers, 6.80 million, down 1 percent.
* Steers, weighing 500 pounds and over, 14.1 million, up 3 percent.
* Bulls, weighing 500 pounds and over, 1.90 million, unchanged.
* Calves under 500 pounds, 26.7 million, up 2 percent.
The 2015 calf crop is expected to be 34.3 million, up 1 percent from 2014. Calves born during the first half of the year are estimated at 24.8 million, up 1 percent from the previous year.
Cattle and calves on feed for the slaughter market in the United States for all feedlots totaled 12.1 million head on July 1, 2015. The inventory was up 2 percent from the July 1, 2014 total of 11.9 million head. Cattle on feed in feedlots with capacity of 1,000 or more head accounted for 85 percent of the total cattle on feed on July 1, 2015, up slightly from the previous year.
Ricketts, Reynolds Hold Last Chance Rally to Support the Renewable Fuel Standard
Today, Nebraska Governor Pete Ricketts and Iowa Lt. Governor Kim Reynolds joined Nebraska Farm Bureau President Steve Nelson and Novozymes General Manager Kyle Nixon at the company’s enzyme plant in Blair, Nebraska to express the potential economic impact on Nebraska and Iowa of the pending EPA proposal to slash billions of gallons from America’s Renewable Fuel Standard (RFS). If enacted, it would threaten thousands of jobs and the billions of dollars of investments by ethanol producers and technology providers in Nebraska and Iowa.
“Agriculture is Nebraska’s number one industry, and ethanol is one of the key agricultural growth industries that have added billions in revenue and thousands of jobs over the past decade to our state,” said Nebraska Governor Pete Ricketts. “These efforts were undertaken in expectation that such efforts would meet the commitment of this nation to renewable fuels established by the Renewable Fuel Standard. Nebraskans have cause for concern because the EPA’s proposal to slash billions of gallons of biofuels from the RFS has the potential to negatively impact the future growth of our state. The RFS is an achievable and ambitious target and must be maintained.”
According to a 2015 economic analysis by Fuels America, the RFS is driving $184 billion in economic activity and more than 850,000 jobs with $46 billion in wages across America. This is the result of years of investment by the biofuel sector to bring clean, low carbon renewable fuels to market. This activity creates a ripple effect as supplier firms and employees re-spend throughout the economy. The local impact for Nebraska is $11.1 billion and nearly 40,000 jobs. Likewise, the impact for Iowa is $19.3 billion and 73,000 jobs.
“A robust Renewable Fuel Standard creates quality careers, increases family incomes, reduces our dependence on foreign oil, provides sustainable renewable energy, and fosters growth in the biofuels and agricultural industries,” said Iowa Lt. Governor Kim Reynolds. “Those of us in America’s Heartland know the importance of a strong Renewable Fuels Standard and we hope as more supportive comments arrive before the July 27th deadline, the EPA will reverse course and partner with us to continue growing America’s renewable energy sector through a strong Renewable Fuel Standard.”
Today, the United States creates 14 billion gallons of home-grown biofuels for our cars, trucks and our growing military needs—more than we import from Saudi Arabia. The group that will likely feel the impact of this proposal the most is America’s farmers.
“EPA’s decision to not follow the intent of Congress when it developed the RFS2 in 2007 is highly disappointing to all of agriculture,” said Steve Nelson, President of the Nebraska Farm Bureau. “Renewable fuels, more specifically corn based ethanol, has been a tremendous success story for the nation as a whole as well as to Nebraska’s rural economy. The RFS has reduced our country’s dependence on foreign crude oil, reduced air pollution, increased farm incomes and has provided good paying jobs within rural America. EPA’s proposal is a step in the wrong direction and ignores the benefits ethanol and biofuels have provided.”
Novozymes has played a leading role in the development of the existing biofuels industry and the growing advanced biofuels industry. Enzymes from its Blair, Nebraska plant allow agricultural products like corn starch and corn stover to be converted into conventional and advanced biofuels. The enzyme plant has helped realize two of the Obama Administration’s key goals for renewable energy: creating short-term construction and long-term professional jobs, and helping move the U.S. away from foreign oil and towards homegrown renewable fuel, energizing the economy and increasing domestic security.
“The RFS is not just a policy it’s how we live our lives. Today Novozymes has 127 full time employees in Nebraska and Iowa—jobs that were created in large part, due to the RFS,” said Kyle Nixon, Novozymes General Manager. “We care deeply for our communities and want to see benefits like jobs, worker training and tax revenues continue to grow.”
APPROACHING THE EPA COMMENT DEADLINE ON JULY 27TH
Many groups have rallied their members to voice their concerns in support of the RFS and encourage the public to join the effort in support of biofuels. Some of the activities to date include:
· Bipartisan letter signed by 37 senators including Iowa senators Chuck Grassley and Joni Ernst and Nebraska senator Deb Fischer urging the agency to set strong biofuel volume requirements for 2014 and beyond
· Letter to EPA Administrator Gina McCarthy signed by Iowa Governor Terry Branstad and Lieutenant Governor Kim Reynolds
· Letter to EPA Administrator Gina McCarthy signed by Nebraska Governor Pete Ricketts
· Letter to EPA Administrator Gina McCarthy signed by Nebraska Senator Ben Sasse
· Testimony at the EPA’s recent field hearing and participation in a Rally for Rural America in Kansas City by Iowa Governor Terry Branstad and Nebraska Energy Office Director David Bracht (on behalf of Governor Ricketts)
· All group members filing written comments to the EPA
· Fuels America online petition (nearly 200,000 signatures)
Dakota County is Nebraska’s Newest Livestock Friendly County
Today, Governor Pete Ricketts today announced Dakota County as Nebraska’s newest Livestock Friendly County (LFC), designated through a program administered by the Nebraska Department of Agriculture (NDA).
“Dakota County officials have shown their strong commitment to rural economic development and agriculture,” said Gov. Ricketts. “By pursuing a Livestock Friendly County designation, Dakota County has shown their dedication to the livestock industry and the vital role it plays in their local economy.”
The LFC program was created by the Legislature in 2003 to recognize counties that nurture and support the livestock industry. Agriculture is Nebraska’s number one industry, with on-farm receipts of over $24 billion in 2014. Livestock receipts are over half of that total. Counties that are officially designated as Livestock Friendly Counties can use the designation to encourage growth in existing livestock operations and to attract new businesses. Dakota County is home to many livestock and poultry operations, as well as meat processing facilities, the Governor said.
“The Livestock Friendly County program helps acknowledge the positive economic impact that a viable livestock industry has on communities across our state,” said NDA Assistant Director Bobbie Kriz-Wickham. “A strong livestock industry has a significant role as a marketplace for local grain production and uses local businesses for equipment, supplies, and professional services.”
With the addition of Dakota County, there are now 30 counties designated as Livestock Friendly through the state program.
Counties wishing to apply for the LFC designation must hold a public hearing and the county board must pass a resolution to apply for the designation. Then a completed application must be submitted to NDA. Local producers or groups can encourage county officials to apply.
Additional information about the Livestock Friendly County program is available on the NDA website at www.nda.nebraska.gov or by calling 800-422-6692.
Upper Big Blue NRD Board Fills Vacant Director Seat
The Upper Big Blue NRD Board of Directors have selected Paul Bethune of York to fill the seat vacated by long-time board member Steve Buller who retired from the board in May 2015. Paul Bethune represents Sub-District 8. There were three other applicants who expressed interest in filling the seat. They were Roberta (Bobbi) Janda, Jim Schneider, and Greg Staehr. The board selected Bethune by majority vote through an open roll-call. Bethune was then given the oath of office administered by John Turnbull, NRD General Manager. Bethune will be completing the rest of Buller’s term which will expire in January 2017.
Bethune stated in his letter for board consideration that he has been employed with his family business, Bethune Construction, LLC, since 2000. He is a 1996 graduate of the University of Nebraska receiving a B.S. in Natural Resources. He wrote: “I am an outdoorsman. I hunt, fish, and camp as much as time allows. I am interested in water quality and quantity, fish and wildlife habitat, recreation, flood control, and soil and water conservation. I am a member of the local Pheasants Forever. I am a den leader for Cub Scout Pack 173. I have also coached Little League baseball in the past.”
On behalf of the Upper Big Blue NRD Board of Directors and staff we wish to welcome Paul Bethune as a new board member.
Public Hearings Scheduled at the Upper Big Blue NRD Regarding the FY2016 Budget and Tax Request
The Upper Big Blue NRD Board of Directors have scheduled a Public Hearing for the FY2016 Budget on Thursday, August 20, 2015 at 7:30 p.m., and a Special Public Hearing for the FY2016 Tax Request for Thursday, September 17, 2015 at 7:30 p.m.
Both of these hearings will be conducted at the Upper Big Blue Natural Resources District office building located at 105 N. Lincoln Avenue, York, Nebraska. The proposed budget for FY2016 continues to include safety measures for protecting District citizens and enhancing the delivery of quality services. The public is welcome and encouraged to attend these Public Hearings.
The Upper Big Blue Natural Resources District (NRD) protects lives, property and the future of this area through a wide-range of stewardship, management and educational programs—from flood control to groundwater monitoring, from irrigation management to outdoor recreation and more. Activities and projects of the Upper Big Blue NRD are reviewed and approved by a locally elected Board of Directors. The Upper Big Blue NRD is one of 23 Natural Resources Districts across the state. For more information, visit www.upperbigblue.org or call (402) 362-6601.
RISKS WITH PREVENTED PLANTINGS
Bruce Anderson, Nebraska Extension Forage Specialist
I’ve received a number of calls recently about forage options on prevented planting acres. And frankly, the questions and plans being made have me worried.
Persistent rain this spring kept many farmers from getting all their crops planted. As a result, the prevented planting provision of many crop insurance policies has been activated.
One option for prevented planting acres is to plant a cover crop. If this cover crop is harvested or grazed before November 1, only a 35 percent payment is received. However, if haying or grazing is delayed until after November 1, the full insurance payment can be made.
The idea of receiving a full payment and still harvesting a crop after November 1 looks attractive. I know several producers who are planting a summer annual grass like sorghum-sudangrass with plans to cut, bale, and sell it as hay after November 1.
While this might work out well, I think farmers without their own livestock available to use this forage are taking a big risk.
One big problem is simply getting this feed dry enough to bale. Summer annual grasses are difficult to dry in the best of conditions. The only way it is likely to dry in November is if a hard freeze kills the plants and they dry while still standing.
Which brings us to another problem – lodging. Tall grasses are prone to lodging during the fall, especially after freezing. So it may not even be possible to mechanically harvest the crop. Then, the residue left on the soil by the lodged crop could interfere with planting next spring.
And finally, even if the crop is baled, finding a buyer could be difficult, especially in an area with plentiful cornstalks.
So think about risks when planting prevented planting acres.
Valmont Announces Second Quarter Results
Valmont Industries, Inc., a leading global provider of engineered products and services for infrastructure and mechanized irrigation equipment for agriculture, reported second quarter sales of $682.1 million compared with $842.6 million for the same period of 2014. Second quarter 2015 operating income was $54.0 million ($68.3 million before restructuring charges), versus $104.8 million in 2014. Second quarter net income was $27.9 million versus $64.0 million in 2014, or $1.19 per diluted share compared to $2.38 in 2014. Excluding the effects of restructuring, second quarter earnings per diluted share were $1.61. (See Reg. G table on last page).
For the first six months of 2015, sales were $1,352.5 million versus $1,594.3 million in 2014. Valmont's first-half net earnings were $58.6 million, or $2.47 per diluted share, compared with 2014 first-half net earnings of $120.0 million, or $4.46 per diluted share. Excluding the effects of restructuring, six-month earnings per diluted share were $2.89.
House Agriculture Committee Holds USDA Oversight Hearing
On Wednesday, USDA Secretary Vilsack testified before the House Agriculture Committee during an oversight hearing of Department activities. Members of the Committee covered a range of topics in their questions, including discussion of the rule to establish conservation compliance requirements for crop insurance eligibility, the status of submission of AD-1026 forms, and the Department's "actively engaged" proposed rule, among several other topics.
With respect to conservation compliance, there was a discussion about the relationship of the EPA's Waters of the US rule and compliance requirements. Vilsack discussed how these are two separate issues, but also indicated that there may be some dis-clarity in how wetlands identified under the Clean Water Act may or may not be also identified as a wetland by NRCS.
The actively engaged rule was also a topic of interest for several members of the Committee. Vilsack discussed the Department’s intention to develop a rule that follows the Farm Bill requirement to update its rules for determining farm program eligibility, while also ensuring that family farms wouldn't be affected.
SPCC Reform Bill Introduced
This week Representative Crawford (R-AR) introduced H.R. 3129, the Farmers Undertake Environmental Land Stewardship (FUELS) Act, to increase the exemptions levels for farm compliance under the Spill Prevention Control and Countermeasure (SPCC) regulation. The bill requires the Environmental Protection Agency (EPA) to set the level of on-farm above ground storage capacity exemption for a single container at less than 10,000 gallons and self-certification at less than 42,000 gallons aggregate storage if there is no history of a spill. Last year the Water Resources Reform and Development Act (WRRDA) included provisions to increase the exemption level from 1,320 gallons to between 2,500 and 6,000 gallons pending a study from EPA. Late last month, EPA released the required study and determined that the lower level storage capacity of 2,500 gallons is the appropriate level. EPA must take action to update their regulation and information on their website to reflect the recent changes.
NASS Begins Gathering Conservation Data Nationwide
The USDA's National Agricultural Statistics Service is contacting farmers and ranchers from now through August as part of a national survey of conservation practices.
During the first phase of the National Resources Inventory – Conservation Effects Assessment Project (CEAP), NASS will contact approximately 24,000 farmers and ranchers nationwide to determine if their operations and properties meet eligibility criteria to participate in the survey. Farmers and ranchers deemed eligible may be contacted from October 2015 through February 2016 and asked to participate in the survey, part of a two-year project. The same survey process and schedule will be followed later in 2016 with a different set of producers.
"The survey gives farmers and ranchers the power to provide a more complete and accurate picture of the conservation practices they choose to use on their lands and in their operations," said NASS Administrator Joseph T. Reilly. "If contacted, I urge farmers and ranchers to participate; their responses can help leaders focus on the conservation practices that most benefit both the farmer and the natural resources on which we all rely."
CEAP's purpose is to measure the environmental benefits associated with implementation and installation of conservation practices on cultivated and non-cultivated agricultural lands, according to USDA's Natural Resources Conservation Service, the lead agency for the project. NASS conducts the survey for CEAP under a cooperative agreement with NRCS.
China Culled 20% of Hog Herd
China has culled 20% of its hog herd in the last 18 months, forcing prices higher and boosting hog producers' profit margins.
That could lead Chinese producers to begin expanding herds. But with consumption declining far less than production, more imports are needed to fill the gap, according to the third-quarter pork report from Rabobank Food and Agribusiness Research and Advisory.
That may be good news for U.S. pork producers in the last half of 2015 and into 2016.
"After a challenging start to 2015, U.S. hog prices and producer profitability have improved immensely during Q2, helping to bring the outlook for the year much closer to the 'black' than three months ago," the report stated. Rebounding supplies may be able to fill a portion of China's anticipated demand.
The size of China's sow herd imploded by close to 22% between October of 2013 and March of 2015. Total liquidation over those six quarters equaled 11 million head, nearly twice the size of the entire U.S. breeding herd as of June 1.
The combination of China's cut in domestic production and projections for surging growth in China's per capita pork consumption over the next decade could be a great opportunity for global exporters, the report stated.
Groups Praise Senate Finance Committee Leaders for Demanding that Canada Accept More Dairy Imports
The National Milk Producers Federation (NMPF) and U.S. Dairy Export Council (USDEC) today praised the Senate Finance Committee’s bipartisan leadership for urging Canada to allow more trade in agricultural products, including dairy, as an outcome of the negotiations over the Trans-Pacific Partnership. If Canada is not willing to allow more dairy trade as a result of the TPP, it risks being left out of the agreement, according to the Senate members.
In a letter to Gary Doer, Canada’s ambassador to the United States, Committee Chairman Orrin Hatch (R-UT) and senior Democrat Ron Wyden (D-OR) said Canada’s ability to “commit to significant and commercially meaningful market access for all remaining agricultural products, including dairy, will have a significant impact on Congress’ view of the final agreement. In fact, our support for a final TPP agreement that includes Canada is contingent on Canada’s ability to meet the TPP’s high standards.”
The letter from Hatch and Wyden echoed a similar appeal last week by 21 members of the House of Representatives led by Representatives Reid Ribble (R-WI) and Ron Kind (D-WI), as well as Ways and Means Chairman Paul Ryan (R-WI) and Agriculture Committee Chairman Mike Conaway (R-TX). That letter also went to Canada’s ambassador to the U.S.
The letter comes at a pivotal time, as negotiators from across the Pacific are currently meeting in Hawaii to finalize key issues in the TPP talks, including agricultural trade.
NMPF and USDEC said the Senate letter reinforces the message that a vital element to achieving a balanced outcome in the TPP negotiations is increased access to that country’s dairy market. The two groups want significant increases in access to the Canadian and Japanese dairy markets, as well as ultimately a balance between these sizable new export gains and any new access to our market granted for New Zealand dairy farmers.
“Senators Hatch and Wyden are to be commended for adding their strong voices to the demand that Canada get serious about meeting this agreement’s market access obligations,” said NMPF President and CEO Jim Mulhern. “Canada’s highly protected dairy market is one of the final issues in the TPP, and so far its negotiators have refused to live up to their commitment to satisfactorily address it.”
“We fully agree with this clear Congressional message that if Canada is looking for a pass on the type of tough decisions that all other TPP countries are being asked to make, it is better to move TPP ahead without them,” added USDEC President Tom Suber. “Our dairy industry is willing to do its part, but Canada needs to do the same if it wants to be part of this agreement.”
Friday, July 24, 2015
Thursday July 23 Ag News
Tool Developed at UNL Helps Farmers Improve Irrigation Efficiency
Soybean growers who are striving to maximize water use efficiency can turn to an online resource developed by researchers at the University of Nebraska–Lincoln (UNL). The SoyWater tool processes information about soil, precipitation and soybean variety to provide farmers with recommendations for the timing and amount of water applications.
UNL Professor Emeritus of Agronomy and Horticulture Jim Specht spearheaded the effort to develop SoyWater with research funding provided by the Nebraska Soybean Board. During his 40-year career, Specht has studied how soybeans respond to water. He sees SoyWater as a way to put that research into practice for farmers.
“SoyWater allows farmers to apply the right amount of water just-in-time, so you don’t over irrigate,” said Specht.
Specht recently explained how SoyWater works while installing soil water sensors at a research plot on UNL’s East Campus. The sensors measure moisture content at varying depths in the soil. Farmers can use similar sensors to accurately measure the amount of water available to their growing soybean crop at various locations in their fields. This data, combined with information about the type of soil and the way the specific variety of soybean uses water, is processed by SoyWater to aid farmers in scheduling irrigation.
Nebraska has more irrigated acres than any other state, and the SoyWater tool contributes to more sustainable farming operations by avoiding unnecessary irrigation. “By eliminating a single one-inch irrigation event with a 200-acre pivot, a farmer could save more than 5 million gallons of water,” said Specht. “You’re using the aquifer in a more conservative, sustainable way.” He says SoyWater can also help farmers manage disease, control pests more effectively and reduce irrigation costs.
“The less water you can use to get the same yields, the more profit in the bank,” said Specht. “You maximize yields and get more bang for your irrigation buck.”
Nearly half of Nebraska’s soybean acres are irrigated. Victor Bohuslavsky, executive director of the Nebraska Soybean Board, says SoyWater is a useful tool for soybean growers. “If farmers can more accurately know when to irrigate, they can reduce energy use and conserve water resources,” said Bohuslavsky. “That can make their operations more sustainable and profitable.”
To learn more about the SoyWater online tool, visit SoyWater.unl.edu.
UNL Extension Hosts Project SENSE Field Days
PROJECT SENSE (Sensors for Efficient Nitrogen Use and Stewardship of the Environment) focuses on improving the efficiency of nitrogen fertilizer use. Nebraska Extension is working directly with producers in conducting research trials on their own fields. PROJECT SENSE is a collaborative effort between the University of Nebraska-Lincoln, the Nebraska Corn Board, nd five Natural Resources Districts (NRDs) in Nebraska, and producers participating in the Nebraska On-Farm Research Network.
Growers in attendance will see a live demonstration of a group applicator outfitted with crop canopy
sensors, and how they can improve nitrogen use efficiency. Strategies which direct crop nitrogen status at early growth stages are a promising way to improve nitrogen fertilizer efficiency and improve groundwater nitrate levels. Stops include:
July 28 - Platte County Fairgrounds - Columbus - 6:00 p.m.
July 29 - Loup River Inn - Fullerton - 6:00 p.m.
Aug 6 - Ken Seim Farm - Chapman - 10:00 a.m.
Aug 20 - York County Fairgrounds - York - 6:00 p.m.
Aug 24 - Thayer County Fairgrounds - Deshler - 6:00 p.m.
The 6 p.m. programs start with a meal/supper and the 10 a.m. demo day will conclude with a noon lunch. Please preregister 2 days in advance of each demo day for meal planning purposes. To preregister, call 402-624-8000 or e-mail christina.franklin@unl.edu.
Nebraska Extension Mobile Science Lab to be at the Dodge County Fair
The Nebraska Extension Mobile Science Lab, a classroom on wheels, will be at the 2015 Dodge County Fair on July 30th! We are inviting area educators and producers to visit and learn more about how to connect with this valuable resource. The lab can be arranged to visit your school, FFA Chapter, organization, or community event. Hope to see you there!
Presentation Times:
4-5:00 p.m. FFA Chapters and Teachers (4-12 grade)
5-6:00 p.m. Ag Producers and Adults
6-7:00 p.m. Elementary Aged Youth (Make solar bead bracelets or key chains)
7-8:00 p.m. Middle and High School Aged Youth
Trailer Staff
Racheal Slattery - Nebraska Extension Assistant (ARDC) - Southeast Research & Extension Center
Nathan Mueller - Nebraska Extension Educator (Dodge County)
Bev Grueber - North Bend Central Elementary Teacher
Jeremiah Schutz - USDA-NRCS Resource Conservationist
Their Mission:
- Youth participating in science and agricultural literacy education will increase in the Southeast District.
- Youth with limited options will have opportunity to engage in science and agricultural literacy.
- Youth enrollment in science majors at NU campuses will increase.
- Teachers of students in grades 4-12 will enhance their knowledge, skills, and confidence to teach inquiry-based science.
- Youth and adult learners will benefit from collaborative science education efforts among Nebraska Extension, public institutions, and private industry.
Analysts Predict Cattle Inventory Report Will Show 2% Uptick in Size of US Herd
Analysts predict a cattle inventory report Friday will show that lush pasture and grass conditions across the central U.S. contributed to the decision by many farmers to rebuild herds in the past year, resulting in a nearly 2% uptick in the size of the nation's herd.
Despite the fact that prices for both light-weight and market-ready cattle have fallen from all-time peaks, industry watchers forecast the semi-annual U.S. cattle inventory report -- scheduled for release on Friday at 3:00 p.m. EST (2000 GMT) -- to show producers continue to aggressively expand, rather than quickly selling livestock to feedyard operators. With the value of cattle in all weight classes historically high and forage relatively inexpensive, analysts believe producers continued to have incentive to grow their operations.
Analysts and economists participating in The Wall Street Journal cattle inventory survey expect government data to show the U.S. herd as of July 1 is up 1.7% from the same time in 2014, a dramatic reversal for an industry that contracted for nearly a decade due to prolonged drought and consolidation.
The nation's herd at the start of the month will have consisted of around 97.664 million cattle and calves, according to the average prediction of three analysts and economists for the U.S. Department of Agriculture's report. Estimates ranged from 1.2% to 2.2% above the supply as of July 1, 2014.
The average estimate for calves born as of July 1 is about 34.37 million head, representing an increase of 1.4% from 2014.
Analysts predict there has already been a 2.3% increase in the number of cows and heifers that have given birth compared with last year, with a 2.8% increase in beef cows that have calved, with signs pointing to a continuation of that trend in the months ahead.
While the number of young animals roaming pastures has likely grown, because it takes around 18 months for cattle to grow to market-weight, industry watchers say it could be months before the crop of calves born in the past year to be sold to beef packers.
"Really expansion of the cattle herd has just gotten started in earnest," said Scot Miller, owner of commodity brokerage Scot Miller & Associates. "We're going to see larger numbers on feed to some degree, but that is still a ways down the road."
Market analysts expect the agency to report the number of beef heifers, or females, being retained to replace cows in order to breed new calves up a staggering 5.1% from last year, reflecting the continued efforts to hold productive animals on the farm for breeding. Those heifers remaining on the farm are expected to contribute to an increase in supplies of cattle and beef when they calve in the years ahead.
Record High Pork Production for June
Commercial red meat production for the United States totaled 4.02 billion pounds in June, up 5 percent from the 3.82 billion pounds produced in June 2014.
Beef production, at 2.00 billion pounds, was 3 percent below the previous year. Cattle slaughter totaled 2.47 million head, down 5 percent from June 2014. The average live weight was up 25 pounds from the previous year, at 1,332 pounds.
Veal production totaled 7.0 million pounds, 7 percent below June a year ago. Calf slaughter totaled 35,200 head, down 22 percent from June 2014. The average live weight was up 52 pounds from last year, at 336 pounds.
Pork production totaled 2.00 billion pounds, up 15 percent from the previous year. Hog slaughter totaled 9.43 million head, up 16 percent from June 2014. The average live weight was down 3 pounds from the previous year, at 282 pounds.
Lamb and mutton production, at 13.4 million pounds, was up slightly from June 2014. Sheep slaughter totaled 193,900 head, slightly above last year. The average live weight was 139 pounds, up 1 pound from June a year ago.
By State Prod. (million lbs. - % of June '14)
Nebraska .........: 602.0 97
Iowa ................: 581.3 114
Kansas .............: 432.4 96
January to June 2015 commercial red meat production was 23.7 billion pounds, up 1 percent from 2014. Accumulated beef production was down 4 percent from last year, veal was down 20 percent, pork was up 7 percent from last year, and lamb and mutton production was down 4 percent.
Science Committee Once Again Ignores Data, Science
Today the Committee on Science, Space and Technology, Subcommittees on Energy and Oversight will hold a hearing on the Environmental Protection Agency (EPA) and the Renewable Fuel Standard (RFS). Historically, this committee has held biased, one-sided hearings by refusing to invite ethanol stakeholders – only critics. Today’s hearing will be no different. In response, Tom Buis, CEO of Growth Energy, released the following statement:
“Holding a hearing on the RFS without any biofuels stakeholders is unacceptable and defeats the very purpose of what this congressional committee is tasked to accomplish. Inviting only vocal critics of the RFS and refusing to invite a single producer or stakeholder in the ethanol industry to testify fails to provide this committee with the appropriate and necessary information to make decisions backed by facts and data. If this is not a classic example of political theatre, I don’t know what is.”
Smith Votes to Streamline Food Labeling Laws
Congressman Adrian Smith (R-NE) issued the following statement after voting in favor of H.R. 1599, the Safe and Accurate Food Labeling Act, to create uniform national standards for voluntary labeling of non-genetically engineered food products.
“The world population now exceeds seven billion people, and this number is expected to swell to nine billion by 2050,” Smith said. “Biotechnology, including genetically modified crops, allows farmers to produce higher yields while reducing the use of pesticides and conserving our natural resources, such as land and water.
“Despite the clear benefits of biotechnology, states have started adopting labeling laws with varying standards and definitions. To comply with a patchwork of state laws, farmers would have to implement costly crop segregation procedures, buy new equipment, and alter distribution chains. New costs would be passed onto consumers, with the biggest burdens falling on those who could afford it least. Today’s legislation passed by the House creates a uniform, science-based labeling standard for food which empowers both consumers and agriculture producers.”
Regarding the House Passage of GMO Labeling Bill H.R. 1599
Steve Nelson, Nebraska Farm Bureau President
“We are very pleased that the House has passed the Safe and Accurate Food Labeling Act of 2015 (H.R.1599). We also want to thank all three of Nebraska’s House members; Congressman Jeff Fortenberry (NE-1), Congressman Brad Ashford (NE-2) and Congressman Adrian Smith (NE-3) for their strong support and leadership throughout this process. This important bill now moves to the Senate where we hope it will be met with swift approval.”
“Bringing a greater clarity to food labeling, H.R. 1599 empowers consumers by continuing to require warning labels for foods that may have adverse effects on the public. But it also strengthens confidence in the safety of GMOs by creating a national GMO labeling uniformity. It strengthens the GMO approval process and provides consistent information to consumers about ‘non-GMO,’ ‘GMO’ and ‘natural’ food labels.”
“This bill is a step in the right direction offering a solution for anti-GMO initiatives which misleads consumers, creates fear about the food they eat, ignores science and weakens the public’s understanding of the food farmers and ranchers produce. H.R. 1599 restores reason to discussions surrounding GMOs. We look forward to this bill becoming law in the very near future.”
ASA Praises House Passage of Safe and Accurate Food Labeling Act
The American Soybean Association (ASA) welcomes a vote today from the House of Representatives to approve H.R. 1599, the Safe and Accurate Food Labeling Act, which would establish a national, voluntary framework for the labeling of foods either containing or not containing genetically engineered ingredients.
“The passage of the Safe and Accurate Food Labeling Act is a significant victory for the freedom of soybean farmers to make the most of the broad range of advances that biotechnology provides for our industry,” said Wade Cowan, ASA President and a soybean farmer from Brownfield, Texas. “Congressmen Pompeo and Butterfield as well as Chairman Conaway and Ranking Member Peterson have each worked tirelessly alongside farmers and industry to ensure that our ability to make the most of this technology, which has been unanimously proven safe, isn’t infringed upon. We send them our most sincere thanks, and look forward to working with our partners in the Senate to advance this legislation to the President.”
The legislation would require developers of genetically engineered plants to obtain FDA safety clearance on all new plant varieties before those foods are introduced into commerce; uphold FDA’s authority to specify special labeling if it finds a health or safety risk is posed by such a variety; create a legal framework governing the use of label claims regarding either the absence or presence of GMOs in a food product; require FDA to define the term ‘natural’ on food labels.
“The bill accomplishes much, including the prevention of a state-by-state patchwork of conflicting labeling laws that would drive up grocery costs,” added Cowan. “Additionally, the bill empowers and guides those companies who wish to label and market their products as GMO-free to do so by through a USDA-accredited certification process. ASA believes this approach, which would label a select subset of products marketed at a premium, makes far more sense than labeling the vast majority of common, everyday products in the grocery store. What it also avoids is the inevitable demonization of these products based on debunked science and willful misinformation. With the advent and advance of modern biotechnology, farmers have made massive strides toward addressing the significant challenge that lies ahead of us—to feed a global population of nearly 10 billion by 2050. We simply can’t meet that challenge if we allow our technology to be stigmatized based on false safety claims.”
ASA’s focus now shifts to the Senate, where a companion bill from Sen. John Hoeven of North Dakota awaits markup in the Agriculture Committee.
NCGA Applauds House Passage of Safe and Accurate Food Labeling Act
The National Corn Growers Association today praised the U.S. House of Representatives for passage of the Safe and Accurate Food Labeling Act. This important legislation will create a consumer-friendly, science-based labeling standard for foods made with genetically modified organisms, as well as for GMO-free foods.
"Bipartisan support for this legislation, evident on the floor during today's House vote, continues to grow" said NCGA Trade Policy and Biotechnology Action Team chair John Linder, a farmer from Ohio. "We applaud the House for tackling this critical issue head on, and now urge the Senate to act as soon as possible"
Introduced by Reps. Mike Pompeo, R-Kan., and G.K. Butterfield, D-N.C., a group of 106 Democrats and Republicans have cosponsored the Safe and Accurate Food Labeling Act. This legislation sets a uniform, common-sense national standard for labeling foods with GMOs and for GMO-free foods.
"We must pass federal legislation this year to avoid realization of the threat of an unworkable patchwork of state GMO labeling mandates which will drive up costs for farmers and consumers alike," Linder said. "With Vermont's state labeling law is set to take effect next July, the looming impacts of this situation increase the urgency of the need for Congress to act on a national labeling law."
NAWG Praises House Passage of Safe and Accurate Food Labeling Act, Looks Forward to Senate Action
NAWG praises members of the United States House of Representatives for passing the Safe and Accurate Food Labeling Act by a 275-150 vote today and establishing a uniform, science-based, voluntary food labeling standard.
“The bipartisan efforts showcased today reflects the support from American consumers and farmers toward a consistent and transparent food label that is founded in science,” said NAWG President, Brett Blankenship, wheat grower from Washtucna, Wash. “The Safe and Accurate Food Labeling Act provides a clear, common-sense labeling standard that eliminates the current state-by-state unworkable patchwork. We commend the House for passing this standardized labeling rule and we encourage the Senate to move on this legislation in the same bipartisan, supportive fashion.”
The Safe and Accurate Food Labeling Act, which was first introduced in March by Congressmen Mike Pompeo (R-KS) and G.K. Butterfield (D-NC), attracted 106 cosponsors from both sides of the aisle. The bill mandates a uniform, national food label that is scientifically based and it creates a consumer-friendly GMO-free certification program. It also allows the Food and Drug Administration (FDA) and the U.S. Department of Agriculture (USDA) to continue working together on food labeling decisions.
NMPF Hails House Passage of Voluntary GMO Food Labeling Bill
The National Milk Producers Federation today thanked the House of Representatives for passing legislation establishing a voluntary, national standard for labeling foods with genetically modified ingredients.
NMPF said the House bill, known as the Safe and Accurate Food Labeling Act, protects consumer choice while it creates a uniform, science-based labeling standard for foods made with GM ingredients. The organization pledged to work with the Senate to pass a similar bill to ensure that the final legislation meets the needs of America’s dairy farmers.
“Today’s bipartisan vote demonstrates the broad support for voluntarily labeling foods with GM ingredients,” said NMPF President and CEO Jim Mulhern. “A patchwork of state-by-state labeling requirements is simply not an option, as testimony at several congressional hearings clearly showed.”
Last year, Vermont became the first state in the nation to enact a mandatory GMO labeling bill, raising the specter of similar measures in states across the country. The Safe and Accurate Food Labeling Act would pre-empt the Vermont bill, which is scheduled to go into effect next year.
The House bill also creates a voluntary non-GM labeling program modeled after the National Organic Program. It gives shoppers options without forcing the food industry to comply with slightly different requirements in each state.
“This important legislation gives consumers the information they want in a consistent and factual way,” said Mulhern. “It also reaffirms the authority of federal regulators over food safety and labeling, and prevents the creeping development of dozens of different state food labeling laws.”
House passage of the legislation, by a margin of 275-150, came two days after more than 475 organizations from all 50 states issued a letter supporting the bill.
Genetically modified food ingredients have been proven safe by nearly 2,000 studies from the leading scientific bodies worldwide. Included are the World Health Organization and the American Medical Association. Up to 80 percent of the food available in the United States contains genetically modified ingredients.
Roberts Files Amendment to Repeal Mandatory Country of Origin Labeling to Avoid Billions in Retaliation
U.S. Senator Pat Roberts, R-Kan., Chairman of the Senate Committee on Agriculture, Nutrition and Forestry, today filed an amendment to repeal mandatory country of origin labeling (COOL) requirements for beef, pork and chicken – required by Canada and Mexico to prevent billions of dollars in retaliatory tariffs on the U.S. economy.
“As I’ve said before, whether you support or oppose COOL, the fact is retaliation is coming,” said Roberts.
“We need to protect the U.S. economy from potentially $3 billion in tariffs. Canada and Mexico have repeatedly stated that Congress can prevent retaliation and protect our vast exports by simply taking up the House-passed repeal bill, and I am offering an amendment to do just that.
“We can continue to discuss voluntary labeling programs similar to those already in the marketplace – once COOL is repealed.”
The U.S. Senate has debated COOL for nearly three decades. In what continues to be a divisive issue, Chairman Roberts has attempted to find a workable solution for all stakeholders that will also meet U.S. commitments to trading partners. However, the fact remains that Canada and Mexico have won their case at the World Trade Organization four times and soon will have the ability to impose potentially $3 billion in retaliatory tariffs on U.S. exports every year.
The amendment was offered to the Developing a Reliable and Innovative Vision for the Economy (DRIVE) Act, commonly known as the highway bill. Co-sponsors include Sens. John Cornyn, R-Texas; Lamar Alexander, R-Tenn.; John Boozman, R-Ark.; Richard Burr, R-N.C.; Tom Cotton, R-Ark.; Cory Gardner, R-Colo.; David Perdue, R-Ga., James Risch, R-Idaho; Ben Sasse, R-Neb.; and Thom Tillis, R-N.C.
Chairman Roberts has opposed COOL from its inception. The Senate Agriculture Committee in June held a hearing on COOL and trade retaliation.
Roberts Introduces Bill To Repeal Meat Labeling; Canada, Mexico Reject Voluntary Approach
Legislation introduced today by Senate Agriculture Committee Chairman Pat Roberts, R-Kan., would repeal country of origin labeling requirements for beef, pork and poultry and stave off trade retaliation from Canada and Mexico, a move hailed by the National Pork Producers Council.
The U.S. Country of Origin Labeling (COOL) law requires meat to be labeled with the country where the animal from which it was derived was born, raised and harvested. (It also applies to fish, shellfish, fresh and frozen fruits and vegetables and certain nuts.)
The World Trade Organization (WTO) in May rejected an appeal by the United States of the international trade body’s October 2014 ruling that the COOL provisions on beef and pork discriminate against Canadian and Mexican animals that are sent to the United States to be fed out and processed. The WTO decision will allow punitive tariffs to be put on U.S. goods going into Canada and Mexico, which are asking for a combined $3.1 billion in retaliation. A WTO arbitrator now is determining the level of retaliation.
“We’re grateful that Chairman Roberts recognizes that repeal of COOL meat labeling is the only move left, with retaliation from Canada and Mexico imminent,” said NPPC President Dr. Ron Prestage, a veterinarian and pork producer from Camden, S.C. “The United States had its day in court, and it lost. We’re in the sentencing phase now, and without repeal, a sentence of up to $3 billion soon will be imposed on our exports.”
According to Iowa State University economist Dermot Hayes, the average U.S. pork producer is expected to lose $10 per hog beginning later this year and into next year. Based on Hayes’s estimates, Prestage said retaliation from Canada and Mexico against U.S. pork likely would double pork producer losses. “Retaliation would be devastating and undoubtedly would cause financial ruin for some pork producers,” he said.
A measure also introduced today by Senate Agriculture Committee Ranking Member Debbie Stabenow, D-Mich., would repeal mandatory meat labeling and replace it with a voluntary labeling program.
But because Stabenow’s bill – like the existing law – calls for labels to provide information on where animals are born, raised and slaughtered, it still would necessitate segregation of Canadian and Mexican livestock, leading to discrimination against them – a violation of international trade rules.
Canada issued a statement today rejecting Stabenow’s voluntary approach and said it would continue to pursue retaliation. “The only acceptable outcome remains for the United States to repeal COOL,” said Canadian Agriculture Minister Gerry Ritz and International Trade Minister Ed Fast.
“While we appreciate Sen. Stabenow’s efforts, we can’t support her bill because it would continue key features of a labeling regime that’s already been found to violate WTO rules,” NPPC’s Prestage said. “More importantly, it doesn’t satisfy Canada and Mexico, so it won’t stop retaliation, and we can’t afford to have our products restricted, through tariffs, to two of our top three markets.
“We don’t like it, Congress doesn’t like it, but the reality is that after four losses at the WTO, Canada and Mexico hold the cards.”
Although the United States could seek a WTO ruling on voluntary labeling or any other legislative proposal to which Canada and Mexico object, that process could take as long as two years, and Canada and Mexico likely would continue retaliating pending a decision. The current WTO arbitration panel will not review any new U.S. COOL proposal but only will determine the level of retaliation.
(When the European Union in a WTO case on beef hormones said it was in compliance and asked the United States to drop its retaliation, the United States refused to lift the retaliation. The EU’s only recourse was to file a WTO action to prove its compliance. The United States would find itself in a similar situation if it claimed a new COOL proposal brings it into WTO compliance.)
The House in June passed on a 300-131 vote legislation repealing the COOL meat labeling provisions.
Stabenow’s Solution Guarantees Trade War with Canada and Mexico
Senator Stabenow (D-Mich.) introduced legislation today that fails to fix mandatory Country-of-Origin labeling, driving the United States even closer to the forthcoming trade war with Canada and Mexico. With four decisions against the law, the World Trade Organization will soon allow Canada and Mexico to impose over $3 billion worth of retaliatory tariffs annually on an array of U.S. commodities. Philip Ellis, National Cattlemen’s Beef Association president, said Senator Stabenow’s amendment does not address all the issues with the program, and therefore is not a viable solution.
“The ten-year cost of COOL is over $8 billion according to the USDA, and we are now facing retaliation by two of our largest trading partners for violating our international trade obligations,” said Ellis, a rancher from Chugwater, Wyo. “The Canadian and Mexican governments have already stated a voluntary label does not fix the issue and they will pursue retaliation. Our country is about to be heavily taxed on commodities ranging from wine, to apples and even jewelry and furniture, because we have not held up our end of our trade deals. Instead of providing a fix, Senator Stabenow is perpetuating the problem and forcing us to face retaliation.”
Overseen by USDA’S Agricultural Marketing Service, mandatory Country-of-Origin labeling is a marketing program, separate from any food safety regulations, which intended to drive demand for U.S. beef. However, unlike industry-led efforts, the government-mandated program failed to increase demand for U.S beef and is leaving cattle producers, packers and retailers bearing the cost of a failed experiment. Canada and Mexico account for over $1 billion each in U.S. beef purchases – money that goes directly into the pockets of America’s producers. To lose access to these two countries due to tariffs levied because of COOL could cost U.S. cattle producers $115 to $120 per animal sold.
In June, the House of Representatives overwhelmingly voted 300 to 131 to fully repeal COOL for beef, pork and chicken. Senate Agriculture Committee Chairman, Pat Roberts (R-Kansas) is leading the effort in the Senate to fully repeal COOL, having introduced an amendment today that brings the U.S. back into compliance.
“Labeling can be a valuable marketing tool, but it’s not the role of the government to market our product, and frankly, they do a poor job of it,” said Ellis. “We greatly appreciate the support of Senator Roberts to repeal this program that has been burdensome to cattle producers for over a decade. The beef industry has many successful labeling programs already in place that consumers know, are willing to pay for, and that drive demand for U.S. beef. It is unfathomable that some are calling a program that forces our country into a trade war, and has a negative return-on-investment in the millions, a success worth keeping.”
The World Trade Organization has made its final decision regarding COOL. Senator Stabenow’s bill does not address Canada and Mexico’s concerns. The only way to fix this issue is full repeal of COOL, and NCBA stands firmly behind Chairman Roberts, urging support of his amendment.
NFU Calls Senate Bi-Partisan COOL Compromise “Only Viable Path Forward for Food Labeling”
National Farmers Union (NFU) President Roger Johnson called the introduction of today’s bipartisan compromise on Country-of-Origin Labeling (COOL) the only path forward for food labeling and thanked Senators Stabenow, D-Michigan, Hoeven, R- North Dakota, and the other bill cosponsors for their hard work in fighting for a national policy on clear and honest food labeling for consumers and family farmers.
“This is the only politically viable means of preventing Congress from completely stripping away a clear national label for livestock born, raised, and slaughtered in the U.S. by developing a clear, strong, and honest “made in the USA” label that consumers can ask for and trust,” said Johnson. “This compromise maintains integrity of the ‘Made in the USA’ brand and will prevent the packers from deliberately deceiving consumers as they have in the past,” he noted.
The Senate bill was introduced on the heels of the recent passage of the bill in the House of Representatives that completely repeals COOL for meat and poultry and a series of World Trade Organization (WTO) decisions that could eventually allow Canada and Mexico to retaliate against the U.S. if we fail to change the law.
“It’s a sad state of affairs that the WTO has stripped us of our sovereign right to label our food, but that is the reality of the current world we live in,” noted Johnson.
Johnson noted that it wasn’t easy for NFU to accept the loss of mandatory labeling, which it has pushed for over two decades, but also acknowledged that consumers and farmers will at least be left with a labeling option that has integrity. He also noted disappointment that Congress went beyond the scope of the WTO dispute and included repeal of mandatory labeling for chicken, ground beef and ground pork.
“Clearly, the loss of mandatory labeling, especially for food not included in the dispute, was a bitter pill to swallow, but this is truly the only path forward for those of us fighting for consumers who want to know where their food comes from and for America’s family farmers who are proud to provide it.”
Biodiesel Credit for Producers Eyed
The Senate Finance Committee voted 23-3 to approve a measure containing a retroactive 2015 and 2016 biodiesel tax credit, but the credit would now go to producers not blenders.
The measure includes a new amendment to the tax extenders package for the biodiesel tax credit that was offered by Senator Chuck Grassley, R-Iowa.
The change turns the $1 gallon credit into a subsidy for production instead of seeking to create demand incentive by paying the credit to blenders.
"[T]his change is contrary to the original intent of the biodiesel tax credit, which was to promote the use of biodiesel in the marketplace and ultimately reduce our dependence on fossil fuels," the National Association of Convenience Stores said in a news release Thursday.
NACS, an international trade group representing retailers and suppliers, said the change would also affect how retailers are able to meet the Renewable Fuel Standard.
"In fact, EPA has indicated in its recently proposed 2014-2016 volume obligation that the biodiesel blender's credit helped increase demand for biodiesel, enabling EPA to propose a larger biofuel obligation," said NACS.
NCGA Seeks Growers to Lead the Way on Action Teams, Committees
The National Corn Growers Association reminds growers that it is seeking applications from members interested in working on an NCGA action team or committee in the 2016 fiscal year, which begins Oct. 1. This service provides growers an opportunity to play an active role in shaping the future of their industry and to become a part of the national agricultural leadership community.
"As a grassroots organization, NCGA relies on its members to step forward and take an active role in developing the policies that will lead our industry forward," said NCGA First Vice President Rob Elliott. "We have opportunities this year in all of the areas the organization touches, thus allowing members to take their involvement to the next level while exploring in great depth the areas which interest them the most. I encourage those interested to apply prior to the August 14 deadline to ensure consideration."
Positions are available on all teams and committees: CornPAC, Ethanol Committee, Grower Services Action Team, Production and Stewardship Action Team, Public Policy Action Team, Research and Business Development Action Team and Trade Policy and Biotechnology Action Team. Positions are also available on the Corn Board standing committees, which are the Bylaws Committee and Nominating Committee.
Qualified applicants must be a NCGA member or prospective member and/or contribute to their state checkoff program, if applicable. Ideal candidates have interest or expertise in a particular area relevant to the team focus.
Action teams and committees are composed of up to 14 voting members representing a cross-section of corn production. The teams may utilize staff, growers and industry members to serve as resources, as determined by the action team or committee chair.
Duties of the action teams and committees include:
- Conducting an annual planning process regarding the work and results of the team.
- Defining programs to be implemented by the action team and implementing them with evaluation measurement for each program.
- Seeking necessary information and expertise to advise the team.
- Advising the Corn Board on policy positions or requesting action of the Corn Board.
- Keeping the Corn Board informed of all obligations and contractual relationships entered into and seeking Corn Board approval for contracts or obligations that are out of the ordinary, such as those that are multi-year obligations.
- Working through the Corn Board on public policy actions or positions.
Deadline for receipt of applications in the state corn association offices, where applicable, is August 14. State offices will then coordinate applications and submit directly to NCGA by August 19. Interested parties can contact Kathy Baker at the NCGA office with questions, at (636) 733-9004.
Soybean growers who are striving to maximize water use efficiency can turn to an online resource developed by researchers at the University of Nebraska–Lincoln (UNL). The SoyWater tool processes information about soil, precipitation and soybean variety to provide farmers with recommendations for the timing and amount of water applications.
UNL Professor Emeritus of Agronomy and Horticulture Jim Specht spearheaded the effort to develop SoyWater with research funding provided by the Nebraska Soybean Board. During his 40-year career, Specht has studied how soybeans respond to water. He sees SoyWater as a way to put that research into practice for farmers.
“SoyWater allows farmers to apply the right amount of water just-in-time, so you don’t over irrigate,” said Specht.
Specht recently explained how SoyWater works while installing soil water sensors at a research plot on UNL’s East Campus. The sensors measure moisture content at varying depths in the soil. Farmers can use similar sensors to accurately measure the amount of water available to their growing soybean crop at various locations in their fields. This data, combined with information about the type of soil and the way the specific variety of soybean uses water, is processed by SoyWater to aid farmers in scheduling irrigation.
Nebraska has more irrigated acres than any other state, and the SoyWater tool contributes to more sustainable farming operations by avoiding unnecessary irrigation. “By eliminating a single one-inch irrigation event with a 200-acre pivot, a farmer could save more than 5 million gallons of water,” said Specht. “You’re using the aquifer in a more conservative, sustainable way.” He says SoyWater can also help farmers manage disease, control pests more effectively and reduce irrigation costs.
“The less water you can use to get the same yields, the more profit in the bank,” said Specht. “You maximize yields and get more bang for your irrigation buck.”
Nearly half of Nebraska’s soybean acres are irrigated. Victor Bohuslavsky, executive director of the Nebraska Soybean Board, says SoyWater is a useful tool for soybean growers. “If farmers can more accurately know when to irrigate, they can reduce energy use and conserve water resources,” said Bohuslavsky. “That can make their operations more sustainable and profitable.”
To learn more about the SoyWater online tool, visit SoyWater.unl.edu.
UNL Extension Hosts Project SENSE Field Days
PROJECT SENSE (Sensors for Efficient Nitrogen Use and Stewardship of the Environment) focuses on improving the efficiency of nitrogen fertilizer use. Nebraska Extension is working directly with producers in conducting research trials on their own fields. PROJECT SENSE is a collaborative effort between the University of Nebraska-Lincoln, the Nebraska Corn Board, nd five Natural Resources Districts (NRDs) in Nebraska, and producers participating in the Nebraska On-Farm Research Network.
Growers in attendance will see a live demonstration of a group applicator outfitted with crop canopy
sensors, and how they can improve nitrogen use efficiency. Strategies which direct crop nitrogen status at early growth stages are a promising way to improve nitrogen fertilizer efficiency and improve groundwater nitrate levels. Stops include:
July 28 - Platte County Fairgrounds - Columbus - 6:00 p.m.
July 29 - Loup River Inn - Fullerton - 6:00 p.m.
Aug 6 - Ken Seim Farm - Chapman - 10:00 a.m.
Aug 20 - York County Fairgrounds - York - 6:00 p.m.
Aug 24 - Thayer County Fairgrounds - Deshler - 6:00 p.m.
The 6 p.m. programs start with a meal/supper and the 10 a.m. demo day will conclude with a noon lunch. Please preregister 2 days in advance of each demo day for meal planning purposes. To preregister, call 402-624-8000 or e-mail christina.franklin@unl.edu.
Nebraska Extension Mobile Science Lab to be at the Dodge County Fair
The Nebraska Extension Mobile Science Lab, a classroom on wheels, will be at the 2015 Dodge County Fair on July 30th! We are inviting area educators and producers to visit and learn more about how to connect with this valuable resource. The lab can be arranged to visit your school, FFA Chapter, organization, or community event. Hope to see you there!
Presentation Times:
4-5:00 p.m. FFA Chapters and Teachers (4-12 grade)
5-6:00 p.m. Ag Producers and Adults
6-7:00 p.m. Elementary Aged Youth (Make solar bead bracelets or key chains)
7-8:00 p.m. Middle and High School Aged Youth
Trailer Staff
Racheal Slattery - Nebraska Extension Assistant (ARDC) - Southeast Research & Extension Center
Nathan Mueller - Nebraska Extension Educator (Dodge County)
Bev Grueber - North Bend Central Elementary Teacher
Jeremiah Schutz - USDA-NRCS Resource Conservationist
Their Mission:
- Youth participating in science and agricultural literacy education will increase in the Southeast District.
- Youth with limited options will have opportunity to engage in science and agricultural literacy.
- Youth enrollment in science majors at NU campuses will increase.
- Teachers of students in grades 4-12 will enhance their knowledge, skills, and confidence to teach inquiry-based science.
- Youth and adult learners will benefit from collaborative science education efforts among Nebraska Extension, public institutions, and private industry.
Analysts Predict Cattle Inventory Report Will Show 2% Uptick in Size of US Herd
Analysts predict a cattle inventory report Friday will show that lush pasture and grass conditions across the central U.S. contributed to the decision by many farmers to rebuild herds in the past year, resulting in a nearly 2% uptick in the size of the nation's herd.
Despite the fact that prices for both light-weight and market-ready cattle have fallen from all-time peaks, industry watchers forecast the semi-annual U.S. cattle inventory report -- scheduled for release on Friday at 3:00 p.m. EST (2000 GMT) -- to show producers continue to aggressively expand, rather than quickly selling livestock to feedyard operators. With the value of cattle in all weight classes historically high and forage relatively inexpensive, analysts believe producers continued to have incentive to grow their operations.
Analysts and economists participating in The Wall Street Journal cattle inventory survey expect government data to show the U.S. herd as of July 1 is up 1.7% from the same time in 2014, a dramatic reversal for an industry that contracted for nearly a decade due to prolonged drought and consolidation.
The nation's herd at the start of the month will have consisted of around 97.664 million cattle and calves, according to the average prediction of three analysts and economists for the U.S. Department of Agriculture's report. Estimates ranged from 1.2% to 2.2% above the supply as of July 1, 2014.
The average estimate for calves born as of July 1 is about 34.37 million head, representing an increase of 1.4% from 2014.
Analysts predict there has already been a 2.3% increase in the number of cows and heifers that have given birth compared with last year, with a 2.8% increase in beef cows that have calved, with signs pointing to a continuation of that trend in the months ahead.
While the number of young animals roaming pastures has likely grown, because it takes around 18 months for cattle to grow to market-weight, industry watchers say it could be months before the crop of calves born in the past year to be sold to beef packers.
"Really expansion of the cattle herd has just gotten started in earnest," said Scot Miller, owner of commodity brokerage Scot Miller & Associates. "We're going to see larger numbers on feed to some degree, but that is still a ways down the road."
Market analysts expect the agency to report the number of beef heifers, or females, being retained to replace cows in order to breed new calves up a staggering 5.1% from last year, reflecting the continued efforts to hold productive animals on the farm for breeding. Those heifers remaining on the farm are expected to contribute to an increase in supplies of cattle and beef when they calve in the years ahead.
Record High Pork Production for June
Commercial red meat production for the United States totaled 4.02 billion pounds in June, up 5 percent from the 3.82 billion pounds produced in June 2014.
Beef production, at 2.00 billion pounds, was 3 percent below the previous year. Cattle slaughter totaled 2.47 million head, down 5 percent from June 2014. The average live weight was up 25 pounds from the previous year, at 1,332 pounds.
Veal production totaled 7.0 million pounds, 7 percent below June a year ago. Calf slaughter totaled 35,200 head, down 22 percent from June 2014. The average live weight was up 52 pounds from last year, at 336 pounds.
Pork production totaled 2.00 billion pounds, up 15 percent from the previous year. Hog slaughter totaled 9.43 million head, up 16 percent from June 2014. The average live weight was down 3 pounds from the previous year, at 282 pounds.
Lamb and mutton production, at 13.4 million pounds, was up slightly from June 2014. Sheep slaughter totaled 193,900 head, slightly above last year. The average live weight was 139 pounds, up 1 pound from June a year ago.
By State Prod. (million lbs. - % of June '14)
Nebraska .........: 602.0 97
Iowa ................: 581.3 114
Kansas .............: 432.4 96
January to June 2015 commercial red meat production was 23.7 billion pounds, up 1 percent from 2014. Accumulated beef production was down 4 percent from last year, veal was down 20 percent, pork was up 7 percent from last year, and lamb and mutton production was down 4 percent.
Science Committee Once Again Ignores Data, Science
Today the Committee on Science, Space and Technology, Subcommittees on Energy and Oversight will hold a hearing on the Environmental Protection Agency (EPA) and the Renewable Fuel Standard (RFS). Historically, this committee has held biased, one-sided hearings by refusing to invite ethanol stakeholders – only critics. Today’s hearing will be no different. In response, Tom Buis, CEO of Growth Energy, released the following statement:
“Holding a hearing on the RFS without any biofuels stakeholders is unacceptable and defeats the very purpose of what this congressional committee is tasked to accomplish. Inviting only vocal critics of the RFS and refusing to invite a single producer or stakeholder in the ethanol industry to testify fails to provide this committee with the appropriate and necessary information to make decisions backed by facts and data. If this is not a classic example of political theatre, I don’t know what is.”
Smith Votes to Streamline Food Labeling Laws
Congressman Adrian Smith (R-NE) issued the following statement after voting in favor of H.R. 1599, the Safe and Accurate Food Labeling Act, to create uniform national standards for voluntary labeling of non-genetically engineered food products.
“The world population now exceeds seven billion people, and this number is expected to swell to nine billion by 2050,” Smith said. “Biotechnology, including genetically modified crops, allows farmers to produce higher yields while reducing the use of pesticides and conserving our natural resources, such as land and water.
“Despite the clear benefits of biotechnology, states have started adopting labeling laws with varying standards and definitions. To comply with a patchwork of state laws, farmers would have to implement costly crop segregation procedures, buy new equipment, and alter distribution chains. New costs would be passed onto consumers, with the biggest burdens falling on those who could afford it least. Today’s legislation passed by the House creates a uniform, science-based labeling standard for food which empowers both consumers and agriculture producers.”
Regarding the House Passage of GMO Labeling Bill H.R. 1599
Steve Nelson, Nebraska Farm Bureau President
“We are very pleased that the House has passed the Safe and Accurate Food Labeling Act of 2015 (H.R.1599). We also want to thank all three of Nebraska’s House members; Congressman Jeff Fortenberry (NE-1), Congressman Brad Ashford (NE-2) and Congressman Adrian Smith (NE-3) for their strong support and leadership throughout this process. This important bill now moves to the Senate where we hope it will be met with swift approval.”
“Bringing a greater clarity to food labeling, H.R. 1599 empowers consumers by continuing to require warning labels for foods that may have adverse effects on the public. But it also strengthens confidence in the safety of GMOs by creating a national GMO labeling uniformity. It strengthens the GMO approval process and provides consistent information to consumers about ‘non-GMO,’ ‘GMO’ and ‘natural’ food labels.”
“This bill is a step in the right direction offering a solution for anti-GMO initiatives which misleads consumers, creates fear about the food they eat, ignores science and weakens the public’s understanding of the food farmers and ranchers produce. H.R. 1599 restores reason to discussions surrounding GMOs. We look forward to this bill becoming law in the very near future.”
ASA Praises House Passage of Safe and Accurate Food Labeling Act
The American Soybean Association (ASA) welcomes a vote today from the House of Representatives to approve H.R. 1599, the Safe and Accurate Food Labeling Act, which would establish a national, voluntary framework for the labeling of foods either containing or not containing genetically engineered ingredients.
“The passage of the Safe and Accurate Food Labeling Act is a significant victory for the freedom of soybean farmers to make the most of the broad range of advances that biotechnology provides for our industry,” said Wade Cowan, ASA President and a soybean farmer from Brownfield, Texas. “Congressmen Pompeo and Butterfield as well as Chairman Conaway and Ranking Member Peterson have each worked tirelessly alongside farmers and industry to ensure that our ability to make the most of this technology, which has been unanimously proven safe, isn’t infringed upon. We send them our most sincere thanks, and look forward to working with our partners in the Senate to advance this legislation to the President.”
The legislation would require developers of genetically engineered plants to obtain FDA safety clearance on all new plant varieties before those foods are introduced into commerce; uphold FDA’s authority to specify special labeling if it finds a health or safety risk is posed by such a variety; create a legal framework governing the use of label claims regarding either the absence or presence of GMOs in a food product; require FDA to define the term ‘natural’ on food labels.
“The bill accomplishes much, including the prevention of a state-by-state patchwork of conflicting labeling laws that would drive up grocery costs,” added Cowan. “Additionally, the bill empowers and guides those companies who wish to label and market their products as GMO-free to do so by through a USDA-accredited certification process. ASA believes this approach, which would label a select subset of products marketed at a premium, makes far more sense than labeling the vast majority of common, everyday products in the grocery store. What it also avoids is the inevitable demonization of these products based on debunked science and willful misinformation. With the advent and advance of modern biotechnology, farmers have made massive strides toward addressing the significant challenge that lies ahead of us—to feed a global population of nearly 10 billion by 2050. We simply can’t meet that challenge if we allow our technology to be stigmatized based on false safety claims.”
ASA’s focus now shifts to the Senate, where a companion bill from Sen. John Hoeven of North Dakota awaits markup in the Agriculture Committee.
NCGA Applauds House Passage of Safe and Accurate Food Labeling Act
The National Corn Growers Association today praised the U.S. House of Representatives for passage of the Safe and Accurate Food Labeling Act. This important legislation will create a consumer-friendly, science-based labeling standard for foods made with genetically modified organisms, as well as for GMO-free foods.
"Bipartisan support for this legislation, evident on the floor during today's House vote, continues to grow" said NCGA Trade Policy and Biotechnology Action Team chair John Linder, a farmer from Ohio. "We applaud the House for tackling this critical issue head on, and now urge the Senate to act as soon as possible"
Introduced by Reps. Mike Pompeo, R-Kan., and G.K. Butterfield, D-N.C., a group of 106 Democrats and Republicans have cosponsored the Safe and Accurate Food Labeling Act. This legislation sets a uniform, common-sense national standard for labeling foods with GMOs and for GMO-free foods.
"We must pass federal legislation this year to avoid realization of the threat of an unworkable patchwork of state GMO labeling mandates which will drive up costs for farmers and consumers alike," Linder said. "With Vermont's state labeling law is set to take effect next July, the looming impacts of this situation increase the urgency of the need for Congress to act on a national labeling law."
NAWG Praises House Passage of Safe and Accurate Food Labeling Act, Looks Forward to Senate Action
NAWG praises members of the United States House of Representatives for passing the Safe and Accurate Food Labeling Act by a 275-150 vote today and establishing a uniform, science-based, voluntary food labeling standard.
“The bipartisan efforts showcased today reflects the support from American consumers and farmers toward a consistent and transparent food label that is founded in science,” said NAWG President, Brett Blankenship, wheat grower from Washtucna, Wash. “The Safe and Accurate Food Labeling Act provides a clear, common-sense labeling standard that eliminates the current state-by-state unworkable patchwork. We commend the House for passing this standardized labeling rule and we encourage the Senate to move on this legislation in the same bipartisan, supportive fashion.”
The Safe and Accurate Food Labeling Act, which was first introduced in March by Congressmen Mike Pompeo (R-KS) and G.K. Butterfield (D-NC), attracted 106 cosponsors from both sides of the aisle. The bill mandates a uniform, national food label that is scientifically based and it creates a consumer-friendly GMO-free certification program. It also allows the Food and Drug Administration (FDA) and the U.S. Department of Agriculture (USDA) to continue working together on food labeling decisions.
NMPF Hails House Passage of Voluntary GMO Food Labeling Bill
The National Milk Producers Federation today thanked the House of Representatives for passing legislation establishing a voluntary, national standard for labeling foods with genetically modified ingredients.
NMPF said the House bill, known as the Safe and Accurate Food Labeling Act, protects consumer choice while it creates a uniform, science-based labeling standard for foods made with GM ingredients. The organization pledged to work with the Senate to pass a similar bill to ensure that the final legislation meets the needs of America’s dairy farmers.
“Today’s bipartisan vote demonstrates the broad support for voluntarily labeling foods with GM ingredients,” said NMPF President and CEO Jim Mulhern. “A patchwork of state-by-state labeling requirements is simply not an option, as testimony at several congressional hearings clearly showed.”
Last year, Vermont became the first state in the nation to enact a mandatory GMO labeling bill, raising the specter of similar measures in states across the country. The Safe and Accurate Food Labeling Act would pre-empt the Vermont bill, which is scheduled to go into effect next year.
The House bill also creates a voluntary non-GM labeling program modeled after the National Organic Program. It gives shoppers options without forcing the food industry to comply with slightly different requirements in each state.
“This important legislation gives consumers the information they want in a consistent and factual way,” said Mulhern. “It also reaffirms the authority of federal regulators over food safety and labeling, and prevents the creeping development of dozens of different state food labeling laws.”
House passage of the legislation, by a margin of 275-150, came two days after more than 475 organizations from all 50 states issued a letter supporting the bill.
Genetically modified food ingredients have been proven safe by nearly 2,000 studies from the leading scientific bodies worldwide. Included are the World Health Organization and the American Medical Association. Up to 80 percent of the food available in the United States contains genetically modified ingredients.
Roberts Files Amendment to Repeal Mandatory Country of Origin Labeling to Avoid Billions in Retaliation
U.S. Senator Pat Roberts, R-Kan., Chairman of the Senate Committee on Agriculture, Nutrition and Forestry, today filed an amendment to repeal mandatory country of origin labeling (COOL) requirements for beef, pork and chicken – required by Canada and Mexico to prevent billions of dollars in retaliatory tariffs on the U.S. economy.
“As I’ve said before, whether you support or oppose COOL, the fact is retaliation is coming,” said Roberts.
“We need to protect the U.S. economy from potentially $3 billion in tariffs. Canada and Mexico have repeatedly stated that Congress can prevent retaliation and protect our vast exports by simply taking up the House-passed repeal bill, and I am offering an amendment to do just that.
“We can continue to discuss voluntary labeling programs similar to those already in the marketplace – once COOL is repealed.”
The U.S. Senate has debated COOL for nearly three decades. In what continues to be a divisive issue, Chairman Roberts has attempted to find a workable solution for all stakeholders that will also meet U.S. commitments to trading partners. However, the fact remains that Canada and Mexico have won their case at the World Trade Organization four times and soon will have the ability to impose potentially $3 billion in retaliatory tariffs on U.S. exports every year.
The amendment was offered to the Developing a Reliable and Innovative Vision for the Economy (DRIVE) Act, commonly known as the highway bill. Co-sponsors include Sens. John Cornyn, R-Texas; Lamar Alexander, R-Tenn.; John Boozman, R-Ark.; Richard Burr, R-N.C.; Tom Cotton, R-Ark.; Cory Gardner, R-Colo.; David Perdue, R-Ga., James Risch, R-Idaho; Ben Sasse, R-Neb.; and Thom Tillis, R-N.C.
Chairman Roberts has opposed COOL from its inception. The Senate Agriculture Committee in June held a hearing on COOL and trade retaliation.
Roberts Introduces Bill To Repeal Meat Labeling; Canada, Mexico Reject Voluntary Approach
Legislation introduced today by Senate Agriculture Committee Chairman Pat Roberts, R-Kan., would repeal country of origin labeling requirements for beef, pork and poultry and stave off trade retaliation from Canada and Mexico, a move hailed by the National Pork Producers Council.
The U.S. Country of Origin Labeling (COOL) law requires meat to be labeled with the country where the animal from which it was derived was born, raised and harvested. (It also applies to fish, shellfish, fresh and frozen fruits and vegetables and certain nuts.)
The World Trade Organization (WTO) in May rejected an appeal by the United States of the international trade body’s October 2014 ruling that the COOL provisions on beef and pork discriminate against Canadian and Mexican animals that are sent to the United States to be fed out and processed. The WTO decision will allow punitive tariffs to be put on U.S. goods going into Canada and Mexico, which are asking for a combined $3.1 billion in retaliation. A WTO arbitrator now is determining the level of retaliation.
“We’re grateful that Chairman Roberts recognizes that repeal of COOL meat labeling is the only move left, with retaliation from Canada and Mexico imminent,” said NPPC President Dr. Ron Prestage, a veterinarian and pork producer from Camden, S.C. “The United States had its day in court, and it lost. We’re in the sentencing phase now, and without repeal, a sentence of up to $3 billion soon will be imposed on our exports.”
According to Iowa State University economist Dermot Hayes, the average U.S. pork producer is expected to lose $10 per hog beginning later this year and into next year. Based on Hayes’s estimates, Prestage said retaliation from Canada and Mexico against U.S. pork likely would double pork producer losses. “Retaliation would be devastating and undoubtedly would cause financial ruin for some pork producers,” he said.
A measure also introduced today by Senate Agriculture Committee Ranking Member Debbie Stabenow, D-Mich., would repeal mandatory meat labeling and replace it with a voluntary labeling program.
But because Stabenow’s bill – like the existing law – calls for labels to provide information on where animals are born, raised and slaughtered, it still would necessitate segregation of Canadian and Mexican livestock, leading to discrimination against them – a violation of international trade rules.
Canada issued a statement today rejecting Stabenow’s voluntary approach and said it would continue to pursue retaliation. “The only acceptable outcome remains for the United States to repeal COOL,” said Canadian Agriculture Minister Gerry Ritz and International Trade Minister Ed Fast.
“While we appreciate Sen. Stabenow’s efforts, we can’t support her bill because it would continue key features of a labeling regime that’s already been found to violate WTO rules,” NPPC’s Prestage said. “More importantly, it doesn’t satisfy Canada and Mexico, so it won’t stop retaliation, and we can’t afford to have our products restricted, through tariffs, to two of our top three markets.
“We don’t like it, Congress doesn’t like it, but the reality is that after four losses at the WTO, Canada and Mexico hold the cards.”
Although the United States could seek a WTO ruling on voluntary labeling or any other legislative proposal to which Canada and Mexico object, that process could take as long as two years, and Canada and Mexico likely would continue retaliating pending a decision. The current WTO arbitration panel will not review any new U.S. COOL proposal but only will determine the level of retaliation.
(When the European Union in a WTO case on beef hormones said it was in compliance and asked the United States to drop its retaliation, the United States refused to lift the retaliation. The EU’s only recourse was to file a WTO action to prove its compliance. The United States would find itself in a similar situation if it claimed a new COOL proposal brings it into WTO compliance.)
The House in June passed on a 300-131 vote legislation repealing the COOL meat labeling provisions.
Stabenow’s Solution Guarantees Trade War with Canada and Mexico
Senator Stabenow (D-Mich.) introduced legislation today that fails to fix mandatory Country-of-Origin labeling, driving the United States even closer to the forthcoming trade war with Canada and Mexico. With four decisions against the law, the World Trade Organization will soon allow Canada and Mexico to impose over $3 billion worth of retaliatory tariffs annually on an array of U.S. commodities. Philip Ellis, National Cattlemen’s Beef Association president, said Senator Stabenow’s amendment does not address all the issues with the program, and therefore is not a viable solution.
“The ten-year cost of COOL is over $8 billion according to the USDA, and we are now facing retaliation by two of our largest trading partners for violating our international trade obligations,” said Ellis, a rancher from Chugwater, Wyo. “The Canadian and Mexican governments have already stated a voluntary label does not fix the issue and they will pursue retaliation. Our country is about to be heavily taxed on commodities ranging from wine, to apples and even jewelry and furniture, because we have not held up our end of our trade deals. Instead of providing a fix, Senator Stabenow is perpetuating the problem and forcing us to face retaliation.”
Overseen by USDA’S Agricultural Marketing Service, mandatory Country-of-Origin labeling is a marketing program, separate from any food safety regulations, which intended to drive demand for U.S. beef. However, unlike industry-led efforts, the government-mandated program failed to increase demand for U.S beef and is leaving cattle producers, packers and retailers bearing the cost of a failed experiment. Canada and Mexico account for over $1 billion each in U.S. beef purchases – money that goes directly into the pockets of America’s producers. To lose access to these two countries due to tariffs levied because of COOL could cost U.S. cattle producers $115 to $120 per animal sold.
In June, the House of Representatives overwhelmingly voted 300 to 131 to fully repeal COOL for beef, pork and chicken. Senate Agriculture Committee Chairman, Pat Roberts (R-Kansas) is leading the effort in the Senate to fully repeal COOL, having introduced an amendment today that brings the U.S. back into compliance.
“Labeling can be a valuable marketing tool, but it’s not the role of the government to market our product, and frankly, they do a poor job of it,” said Ellis. “We greatly appreciate the support of Senator Roberts to repeal this program that has been burdensome to cattle producers for over a decade. The beef industry has many successful labeling programs already in place that consumers know, are willing to pay for, and that drive demand for U.S. beef. It is unfathomable that some are calling a program that forces our country into a trade war, and has a negative return-on-investment in the millions, a success worth keeping.”
The World Trade Organization has made its final decision regarding COOL. Senator Stabenow’s bill does not address Canada and Mexico’s concerns. The only way to fix this issue is full repeal of COOL, and NCBA stands firmly behind Chairman Roberts, urging support of his amendment.
NFU Calls Senate Bi-Partisan COOL Compromise “Only Viable Path Forward for Food Labeling”
National Farmers Union (NFU) President Roger Johnson called the introduction of today’s bipartisan compromise on Country-of-Origin Labeling (COOL) the only path forward for food labeling and thanked Senators Stabenow, D-Michigan, Hoeven, R- North Dakota, and the other bill cosponsors for their hard work in fighting for a national policy on clear and honest food labeling for consumers and family farmers.
“This is the only politically viable means of preventing Congress from completely stripping away a clear national label for livestock born, raised, and slaughtered in the U.S. by developing a clear, strong, and honest “made in the USA” label that consumers can ask for and trust,” said Johnson. “This compromise maintains integrity of the ‘Made in the USA’ brand and will prevent the packers from deliberately deceiving consumers as they have in the past,” he noted.
The Senate bill was introduced on the heels of the recent passage of the bill in the House of Representatives that completely repeals COOL for meat and poultry and a series of World Trade Organization (WTO) decisions that could eventually allow Canada and Mexico to retaliate against the U.S. if we fail to change the law.
“It’s a sad state of affairs that the WTO has stripped us of our sovereign right to label our food, but that is the reality of the current world we live in,” noted Johnson.
Johnson noted that it wasn’t easy for NFU to accept the loss of mandatory labeling, which it has pushed for over two decades, but also acknowledged that consumers and farmers will at least be left with a labeling option that has integrity. He also noted disappointment that Congress went beyond the scope of the WTO dispute and included repeal of mandatory labeling for chicken, ground beef and ground pork.
“Clearly, the loss of mandatory labeling, especially for food not included in the dispute, was a bitter pill to swallow, but this is truly the only path forward for those of us fighting for consumers who want to know where their food comes from and for America’s family farmers who are proud to provide it.”
Biodiesel Credit for Producers Eyed
The Senate Finance Committee voted 23-3 to approve a measure containing a retroactive 2015 and 2016 biodiesel tax credit, but the credit would now go to producers not blenders.
The measure includes a new amendment to the tax extenders package for the biodiesel tax credit that was offered by Senator Chuck Grassley, R-Iowa.
The change turns the $1 gallon credit into a subsidy for production instead of seeking to create demand incentive by paying the credit to blenders.
"[T]his change is contrary to the original intent of the biodiesel tax credit, which was to promote the use of biodiesel in the marketplace and ultimately reduce our dependence on fossil fuels," the National Association of Convenience Stores said in a news release Thursday.
NACS, an international trade group representing retailers and suppliers, said the change would also affect how retailers are able to meet the Renewable Fuel Standard.
"In fact, EPA has indicated in its recently proposed 2014-2016 volume obligation that the biodiesel blender's credit helped increase demand for biodiesel, enabling EPA to propose a larger biofuel obligation," said NACS.
NCGA Seeks Growers to Lead the Way on Action Teams, Committees
The National Corn Growers Association reminds growers that it is seeking applications from members interested in working on an NCGA action team or committee in the 2016 fiscal year, which begins Oct. 1. This service provides growers an opportunity to play an active role in shaping the future of their industry and to become a part of the national agricultural leadership community.
"As a grassroots organization, NCGA relies on its members to step forward and take an active role in developing the policies that will lead our industry forward," said NCGA First Vice President Rob Elliott. "We have opportunities this year in all of the areas the organization touches, thus allowing members to take their involvement to the next level while exploring in great depth the areas which interest them the most. I encourage those interested to apply prior to the August 14 deadline to ensure consideration."
Positions are available on all teams and committees: CornPAC, Ethanol Committee, Grower Services Action Team, Production and Stewardship Action Team, Public Policy Action Team, Research and Business Development Action Team and Trade Policy and Biotechnology Action Team. Positions are also available on the Corn Board standing committees, which are the Bylaws Committee and Nominating Committee.
Qualified applicants must be a NCGA member or prospective member and/or contribute to their state checkoff program, if applicable. Ideal candidates have interest or expertise in a particular area relevant to the team focus.
Action teams and committees are composed of up to 14 voting members representing a cross-section of corn production. The teams may utilize staff, growers and industry members to serve as resources, as determined by the action team or committee chair.
Duties of the action teams and committees include:
- Conducting an annual planning process regarding the work and results of the team.
- Defining programs to be implemented by the action team and implementing them with evaluation measurement for each program.
- Seeking necessary information and expertise to advise the team.
- Advising the Corn Board on policy positions or requesting action of the Corn Board.
- Keeping the Corn Board informed of all obligations and contractual relationships entered into and seeking Corn Board approval for contracts or obligations that are out of the ordinary, such as those that are multi-year obligations.
- Working through the Corn Board on public policy actions or positions.
Deadline for receipt of applications in the state corn association offices, where applicable, is August 14. State offices will then coordinate applications and submit directly to NCGA by August 19. Interested parties can contact Kathy Baker at the NCGA office with questions, at (636) 733-9004.
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