Wednesday July 11 Ag News

Evnen Receives “Friend of Agriculture” Designation in Nebraska Secretary of State Race

Bob Evnen of Lincoln has been designated a “Friend of Agriculture” by Nebraska Farm Bureau-PAC (NEFB-PAC), Nebraska Farm Bureau’s political action committee. Evnen is seeking election to serve as Nebraska Secretary of State, replacing John Gale who opted to not seek re-election after having held the office since 2000.

“Bob Evnen has a long and impressive record of engagement that makes him well qualified to serve as Nebrasaka’s Secretary of State,” said Mark McHargue of Central City, chairman of NEFB-PAC and first vice president of Nebraska Farm Bureau.

Evnen is a former member of the Nebraska State Board of Education, where he was appointed by Gov. Dave Heineman in 2005 and was elected in 2008. Evnen also served for many years as a board member of Nebraska Continuing Legal Education, Inc., the education arm of the Nebraska State Bar Association. He has served in numerous leadership roles in the Nebraska Republican Party.

“The Secretary of State has many important responsibilities, including overseeing state elections. Bob Evnen will serve Nebraskans well in this important role,” said McHargue. “We are pleased to offer him our support as he seeks election as our next Secretary of State.”

Nebraska Farm Bureau’s “Friend of Agriculture” designation is given to selected candidates for public office based on their commitment to and positions on agricultural issues, qualifications, previous experience, communication abilities, and their ability to represent their district. 



Meet the FY19 NCGA Corn Board Candidates - Deb Gangwish of Nebraska

This article, which features Deb Gangwish, is part of a series profiling candidates for the 2019 Corn Board.
   
Since her childhood, Deb Gangwish found a deep love for agriculture rooted in her experiences growing up on a farm. Having gained many experiences in varied fields throughout her life such as education and the military, as well as service on NCGA’s Action Teams and leadership training, she hopes to grow her service to her fellow farmers as a member of the National Corn Growers Association Corn Board.

Gangwish decided to run for the Corn Board because when she thinks about growing corn without NCGA by her side, she sees a disaster. Knowing she sees NCGA as an integral advocate for the industry, she wants to serve and contribute. As a Corn Board member, she would strive to increase demand, be it through trade, ethanol, livestock or new uses, while also continuing NCGA’s proud tradition to act as an advocate for agriculture in the public sphere.

“I see NCGA as a highly-respected grassroots organization who, with stealth guidance from the Corn Board, is already charting the course to create and increase opportunities for corn growers. Given the importance of this mission, I wish to contribute actively to this incredible effort.”

As a member of the Corn Board, Gangwish brings a unique perspective and sees the unique experiences of board members as their greatest strength in trying circumstances. She would use her desire to truly listen to other grassroots members from across the country and empathize with their situations to help make sure all perspectives are considered in discussions.



Dates Set for Managing Farmland Drainage Workshops

Iowa State University Extension and Outreach has scheduled two workshops, focused on women landowners, to provide opportunities to discuss drainage issues that exist on their farmland. Excessive rains typically create drowned out spots in fields, which can potentially reduce productivity. Discussion typically emerges on need for drainage on these fields and how to better address these situations, as well as how improved drainage will benefit landowners, how to work with neighbors and tenants, associated costs and tax implications.

These workshops are free and will help attendees better manage farmland drainage decisions by examining different styles of drainage systems that may be installed, including a discussion on how to address drainage water quality within the Iowa Nutrient Reduction Strategy.

The first workshop will be held in Mason City on Aug. 7 at North Iowa Area Community College located at 500 College Drive. Please register by Aug. 3 for this location by calling the ISU Extension and Outreach Cerro Gordo County office at 515-423-0844 or via email at xcerrogordo@iastate.edu.

The second workshop will be held in Fort Dodge on Aug. 15 at the ISU Extension and Outreach Webster County office located at 217 South 25th Street. Please register by Aug. 13 by calling the ISU Extension and Outreach Webster County office at 515-576-2119 or email at xwebster@iastate.edu.

The Managing Farmland Drainage workshops will be taught by Kapil Arora, agricultural engineering specialist with ISU Extension and Outreach, and Kelvin Leibold, farm management specialist with ISU Extension and Outreach.

These workshops will be held from 1-3 p.m. in the same location as the Farmland Leasing Workshop conducted earlier that day. Lunch will be served at 12:30 p.m. at no cost for those registered for this drainage workshop. Both workshops are the same, so interested participants only need to attend one of them.



 CHS reports net income of $229.3 million for the third quarter of fiscal 2018

CHS Inc., the nation's leading farmer-owned cooperative and a global energy, grains and foods company, today reported net income of $229.3 million for the third quarter of its 2018 fiscal year (three-month period ended May 31, 2018), compared to a net loss of $45.2 million for the same time period a year ago.

Consolidated revenues for the third quarter of fiscal 2018 were $9.0 billion, up from $8.6 billion for the third quarter of fiscal 2017. Pretax income was $289.4 million for the third quarter of fiscal 2018, compared to a loss of $209.2 million for the same period the prior fiscal year.

"Thanks to the hard work of many throughout CHS, we've made great strides this year in strengthening relationships, optimizing operations and improving results from our core businesses," said CHS President and CEO Jay Debertin. "The steps we've taken will better position us to navigate the inevitable cycles in agriculture and energy. I am proud of our team and their dedication and commitment to operating with excellence."

For the first nine months of fiscal 2018 (Sept. 1, 2017, through May 31, 2018), CHS reported net income of $576.1 million compared with earnings of $178.5 million for the same period in fiscal 2017. Revenues for the first nine months of fiscal 2018 were $23.9 billion, on par with the same time period the prior fiscal year.

Results for the quarter were attributed to:
-    Higher operating margins in the company's Ag and Energy segments compared to prior years, primarily driven by higher margins in feed and farm supplies, crop nutrients, processing and food ingredients and refined fuels
-    Higher volumes in the Ag segment compared to the same quarter prior year were driven by feed and farm supplies, and processing and food ingredients.
-    Sales of certain assets and businesses within the Energy segment and Corporate and Other, resulting in cash proceeds that were used to eliminate the need for incremental long-term debt and reduce existing debt.
-    The impact of reserve and impairment charges recorded in the third quarter of fiscal 2017 that did not reoccur in the current fiscal year, as well as the recovery of certain reserve and impairment charges during fiscal 2018, primarily in our Ag segment.

"We're on the right path, and the cooperative system's strengths and capabilities were evident during the compressed spring season," said Debertin. "We will continue to focus on meeting the needs of farmers and rural communities, leveraging our strong supply chain to help improve profitability for our owners."

For the third quarter of fiscal 2018, reporting segment results include:

Energy
-    Energy generated pretax income of $95.4 million during the third fiscal quarter compared to a loss of $9.3 million during the same period last year.
-    The $104.7 million increase reflects improved margins in the refined fuels business, and gains associated with the sale of the Council Bluffs pipeline and refined fuels terminal in Council Bluffs, Iowa, and 34 Zip Trip stores located in the Pacific Northwest.

Ag
-    The Ag segment, which includes domestic and global grain marketing and crop nutrients, renewable fuels, local retail operations, and processing and food ingredients businesses, generated pretax income of $111.4 million for the quarter ending May 31, 2018. That compares to a loss of $221.2 million for the same period the previous fiscal year.
-    In addition to the non-reoccurrence of significant reserve and impairment charges recorded in the third quarter of fiscal 2017, the $332.6 million increase was also the result of increased volumes and margins in feed and farm supplies, processing and food ingredients and retail operations. This increase was partially offset by reduced crop nutrients volumes resulting from the compressed planting season across the U.S. Midwest. Crop nutrient margins were also higher versus prior year.

Nitrogen Production
-    This segment, comprised of the company's investment in CF Industries Nitrogen, LLC (CF Nitrogen), generated pretax income of $18.8 million during the quarter ending May 31, 2018, compared to $8.7 million during the same period in fiscal 2017.
-    The $10.1 million increase in earnings was primarily due to improved urea prices and margins.

Corporate and Other
-    This category is primarily comprised of the company's wheat milling joint venture (Ardent Mills), its investment in Ventura Foods, LLC (Ventura Foods), and its financing and hedging operations. Prior to its sale on May 4, 2018, the company's insurance subsidiary was also included within Corporate and Other. The combined businesses generated pretax income of $63.8 million in the third quarter compared to $12.6 million for the same period of fiscal 2017.
-    The $51.2 million increase was due to a gain on the sale of CHS Insurance which was partially offset by lower Ventura Foods earnings and reduced interest revenue from the company's finance business.



Pork Checkoff Announces #RealPigFarming Student Social Forces

The Pork Checkoff has selected 12 college students to represent the #RealPigFarming Student Social Forces team this year. Candidates were selected based on their involvement in the pork industry and their strong communication skills. The team will be active from July through December. 

“Social media is ingrained in young people’s lives,” said Claire Masker, communications director for the Pork Checkoff. “It’s an easy tool for them to use in sharing their insights and inspiration about an industry that they are so proud to be a part of. With so many diverse social media channels available to them, they each have an opportunity to share their passion for pig farming with their followers.”
 
The 2018 class of Social Forces include:
Abbie Greer - The Ohio State Agricultural Technical Institute
Caitlyn Wileman - Iowa State University
Haley Fischer - Northwest Missouri State University
Jenna Siegel - Lincoln Land Community College
Logan Fullerton - University of Missouri
Mackenzie Wille - Oregon State University
Madeline McGarry - Iowa State University
Mati Abner - Texas A&M University
Meghan Clancy - Texas A&M University
Shelby Veum - Iowa State University
Wade Hutchens - Illinois State University
Whitney Whitaker - Kansas State University

“Consumers continue to have questions about how pigs are raised, and pig farmers know the answers better than anyone else,” said Masker. “The Pork Checkoff’s social media outreach program helps real farmers share their real stories with consumers through #RealPigFarming.”

The hashtag (#) before RealPigFarming helps people search social media posts with the same phrase, making it easier for them to follow conversations.

"I am excited for the opportunity to bridge the disconnect between pig farmers and consumers by proactively enagaging in conversation about modern pork production practices,”said Madeline McGarry, newly selected member of the #RealPigFarming Student Social Forces and a student at Iowa State University.

“The social forces team will be encouraged to use #RealPigFarming as advocates for the pork industry,” Masker said. “While serving on this team, the students will be able to improve their communications skills and expand their professional network within the industry.”



Fertilizer Prices Still a Tad Higher

Retail fertilizer prices continue to be mostly higher, albeit marginally, according to prices tracked by DTN for the first week of July 2018.

Seven of the eight major fertilizers were higher compared to last month, but none were up a significant amount. DAP had an average price of $485/ton, potash $354/ton, urea $366/ton, 10-34-0 $443/ton, anhydrous $505/ton, UAN28 $242/ton and UAN32 $279/ton.

One fertilizer, MAP, was unchanged from the month prior. The phosphorus fertilizer had an average price of $504/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.40/lb.N, anhydrous $0.31/lb.N, UAN28 $0.43/lb.N and UAN32 $0.44/lb.N.

All eight of the major fertilizers are now higher compared to last year with prices shifting higher in recent months. 10-34-0 is 2% higher, UAN28% is 3% more expensive, UAN32 is up 4%, potash gained 5%, MAP is 8% higher, anhydrous is 9% more expensive, DAP is 11% higher and urea is 12% more expensive compared to last year.



Soy Growers Disappointed in Additional Tariffs, Continue to Seek Export Stability with Largest Customer

The American Soybean Association today expressed extreme disappointment in USTR’s announcement that an additional $200 billion in tariffs will be imposed on Chinese goods. The new list of goods will be subject to a 10 percent tariff. This action worsens the trade dispute between the U.S. and China, which have already initiated plans to impose $50 billion in tariffs on each other’s products.

“While trade tensions with U.S. soy’s largest customer continue to escalate, soy growers from across 30 states are in Washington, talking with the members of the Administration and Congress, urging them to rescind these tariffs and bring a sense of stability and certainty back to farmers who depend on trade,” said ASA President and Iowa soybean farmer John Heisdorffer.

“The announcement of additional tariffs on China is a move in the opposite direction. We’re focused on increasing trade opportunities and keeping the robust and growing Chinese market we have worked for decades to secure. Our message to the administration and lawmakers remains the same: these tariffs needlessly hurt soy growers and rural communities.”

The American Soybean Association continues to encourage the Administration to find a non-tariff solution to address its concerns with China, while also utilizing soy as the largest agricultural export to help reduce our nation’s trade deficit with China.



U.S. Tractor, Combine Sales Up During June

According to the Association of Equipment Manufacturer's monthly "Flash Report," the sale of all tractors in the U.S. in June 2018, were up 12% compared to the same month last year.

For the six months in 2018, a total of 123,316 tractors were sold which compares to 115,767 sold thru June 2017 representing a 7% increase for the year.

Two-wheel drive smaller tractors (under 40 HP) were up 15% from last year, while 40 & under 100 HP were up 4%. Sales of 2-wheel drive 100+ HP were up 16%, while 4-wheel drive tractors were up 23%.

Combine sales were up 4% for the month.

For the year, two-wheel drive smaller tractors (under 40 HP) are up 8% from last year, while 40 & under 100 HP are up 3%. Sales of 2-wheel drive 100+ HP are ip 2%, while 4-wheel drive tractors are up 5%.

Sales of combines for the year total 2,011 compared to 1,669 in 2017, a 21% increase.



Dairy Industry Welcomes U.S. Government Work Supporting Breastfeeding, Complementary Dairy Products for Children Around the World

Three national organizations representing dairy farmers and dairy foods companies said that the current and past administrations, as well as the dairy industry, strongly support long-standing recommendations stressing the importance of breastfeeding, while emphasizing the beneficial role that milk and other dairy products play in the healthy diets of young children. Recent news reports on this spring’s World Health Assembly (WHA) have mischaracterized U.S. government actions as anti-breastfeeding and harmful to the health of young children.

U.S. actions at the 2018 assembly, which is the annual meeting of the World Health Organization’s (WHO) governing body, reflect a continuation of the positions the Obama Administration took at the 2016 WHA. The WHO’s 2016 guidance on foods for young children discouraged the consumption of milk by young children up to age 3, in contrast to long-standing U.S. and international nutrition guidance on the benefits of milk and dairy products as complementary foods for toddlers.

The final 2018 WHA resolution mentioned in several press reports received the endorsement of the U.S. government and emphasized that the support for breastfeeding was unanimous among WHO member countries. The approved resolution said, “Reaffirming also that breastfeeding is critical for child survival, nutrition and development, and maternal health” and “Affirming that the protection, promotion and support of breastfeeding contributes substantially to the achievement of the Sustainable Development Goals on nutrition and health, and is a core element of quality health care.”

Missing from the public narrative is that the United States worked collaboratively with other countries to address earlier language that would have discouraged the consumption of dairy products by young children and threatened to abandon transparent, inclusive consultations with experts and industry in the development of broader nutrition programs.

The National Milk Producers Federation (NMPF), the U.S. Dairy Export Council (USDEC) and the International Dairy Foods Association (IDFA) today expressed appreciation to U.S. administration officials for their work to ensure that WHO declarations support breastfeeding, while not discouraging the consumption of milk, yogurt and other dairy products by toddlers. The organizations also affirmed their support for the American Academy of Pediatrics' (AAP) recommendation that infants be breastfed — if possible — until age 1.

“We strongly supported the work of both the current and previous administrations to foster an approach within the WHO that both promotes breastfeeding and recognizes that dairy foods also play an important role in the nutrition of young children past the infant stage,” said Jim Mulhern, president and CEO of NMPF.

“America’s dairy farmers continue to be staunch supporters of the AAP’s recommendations on breastfeeding and agree with the administration’s continuation of bipartisan efforts initiated in 2016 to ensure that global guidance best supports solid nutrition outcomes for young children,” said Tom Vilsack, president and CEO of USDEC. “We remain committed to working with parents, health care providers, governments, the World Health Organization and all stakeholders to ensure children have the best nutrition, including from dairy products. This is a bipartisan priority and one our industry shares."

“The proposed changes to the WHA resolution were counter to the American Heart Association’s and the U.S. Department of Agriculture’s recommendations that 2-3 year olds should get at least 2-3 servings (2-3 cups) of milk per day by labeling ALL milk products as ‘breast milk substitutes’ for this age group,” said Michael Dykes, D.V.M., IDFA president and CEO.  “IDFA strongly disagrees with this ‘one-size-fits-all’ directive as it may not be appropriate and improperly diminishes the positive health benefits of dairy for young children.”