Wednesday February 6 Ag News

Private Applicators Need Certification
Larry Howard, NE Extension Educator, Cuming County

All farmers who use restricted use pesticide must have a current certification card according to the Nebraska Department of Agriculture.

Nebraska Extension is conducting the following training session which are approved for renewal or initial certification according to Nebraska Extension Educator Larry Howard of Cuming County.  Again this year, there will be a fee charged to support the cost of materials.  Producers are reminded to bring their old cards or the letter with the form at the bottom that they received from the Nebraska Department of Agriculture if they are recertifying.

Each session lasts approximately three hours and will be held in West Point at the Nielsen Community Center on Monday March 4 at 1:00 p.m. and again at 6:00 p.m.

For other local training dates, check the website at https://go.unl.edu/pest2019.

For additional information, contact the Nebraska Extension office in Cuming County at 402/372-6006.



QUARTERLY WEBINAR SERIES TO ADDRESS LAND-MANAGEMENT ISSUES

The Agricultural Land Management Quarterly webinar series debuts at 6 p.m. CST Feb. 18. The series will offer management advice and insight for Nebraska landowners, agricultural producers and others with an interest in agricultural land.

The first episode will examine recent trends in Nebraska cash rental rates and considerations for updating agricultural leases for 2019. Future episodes will address landlord-tenant communication, lease decision-making issues and seasonal lease considerations. Each webinar will conclude with an “Ask the Experts” session where participants can get answers to their land or lease questions. The webinars can be viewed at https://agecon.unl.edu/landmanagement.

Jim Jansen and Allan Vyhnalek of the University of Nebraska–Lincoln’s Department of Agricultural Economics will lead the webinars. Jansen’s work focuses on agricultural finance and land economics. He directs the annual Nebraska Farm Real Estate Market Survey and Report. Vyhnalek is a farm succession and transition extension educator.

“Land is one of Nebraska’s most critical assets,” Jansen said. “This webinar series will help those with a vested interest in land to better understand the financial and human forces reshaping the rural agricultural landscape.”

Participants are encouraged to sign up in advance and submit questions at the website above.

The webinars are free and open to the public. Recorded webinars will be made available online.

Other webinar dates are May 20, Aug. 19 and Nov. 18.

For more information, contact Jansen at 402-261-7572 or jjansen4@unl.edu.



Property Taxes, Trade, Broadband, Among Nebraska Farm Bureau 2019 Policy Priorities

The Nebraska Farm Bureau Board of Directors have set the organization’s policy priorities for 2019. Reducing Nebraska’s overreliance on property taxes, expanding markets for agricultural products, and improving broadband access across the state, are among the topics identified as organizational priorities for the year.

“There are numerous issues that impact farms and ranches. It’s important our organization focuses our time and resources on those that directly affect the ability of our members to be successful,” said Steve Nelson, Nebraska Farm Bureau president. “Whether we’re working at the state or national level, we’re working to serve members.”

Nebraska Farm Bureau’s state policy priority list includes:
    Reducing Nebraska’s overreliance on property taxes.
    Seeking a more balanced system to fund education.
    Growing Nebraska’s livestock sector and value-added agriculture.
    Expanding farm and ranch access to high quality broadband service statewide.
    Proactive engagement on both state water quality and quantity issues.
    Making sure regulations are workable for Nebraska farms and ranches.

Nebraska Farm Bureau’s national policy priority list includes:
    Expanding markets for Nebraska agricultural products through international trade.
    Reducing unnecessary regulations and working for regulatory reform.
    Defending animal agriculture production and supporting policies to enhance profitability.
    Implementation of the 2018 Farm Bill.
    Ensuring farmers and ranchers are able to meet their labor/workforce needs.
    Expanding farm and ranch access to high quality broadband service statewide.
    Promotion and expansion of markets for renewable fuels, including E15.

“Working in these areas we can help create opportunities for our farms and ranches to prosper,” said Nelson.



Fischer Helps Introduce Bipartisan Bill on Tariffs

U.S. Senator Deb Fischer (R-Neb.), a member of the Senate Agriculture Committee, today joined Senators Rob Portman (R-Ohio), Doug Jones (D-Ala.), Joni Ernst (R-Iowa), Lamar Alexander (R-Tenn.), Dianne Feinstein (D-Calif.), Kyrsten Sinema (D-Ariz.), and Todd Young (R-Ind.) to introduce the Trade Security Act. The legislation would reform Section 232 of the Trade Expansion Act of 1962 to better align the statute with its original intent as a trade remedy tool for the president and Congress to respond to genuine threats to national security. The bill makes common sense reforms that require the Department of Defense (DOD) to justify the national security basis for new tariffs under Section 232 and increase congressional oversight of this process. 

“While I support modernizing our trade agreements, agriculture producers in Nebraska and across the country continue to face uncertainty as a result of tariffs. Agriculture is the backbone of Nebraska’s economy, and we must make sure our producers and manufacturers have the market access they need to prosper. That’s why I’m pleased to join my colleagues on this bipartisan legislation that maintains the administration’s ability to use trade tools to protect national security while restoring Congress’s oversight role. This legislation would ensure that the Department of Defense justifies the national security need for any tariffs imposed under Section 232,” said Senator Fischer.

The Trade Security Act would increase the role of Congress in the Section 232 process by expanding the use of the disapproval resolution process. Currently, this remedy is only available when the Section 232 action covers oil and petroleum products. This bill would expand that process to include Section 232 actions on all products. The reformed process would only apply to future Section 232 actions.

The bill would also bifurcate the existing Section 232 process into: (1) an investigation phase, led by the Department of Defense (DOD), and (2) a remedy phase, led by the Department of Commerce. Specifically, DOD would be responsible for assessing the potential threat posed by imports of certain products and sending a report of findings to the president. If a threat is identified and the president wishes to take action, he would then direct the Secretary of Commerce, in consultation with Congress, the Secretary of Defense and the U.S. Trade Representative, to develop recommendations for how to respond to that threat. After receiving the recommendations of the Secretary of Commerce, the president would decide whether to proceed.



STUDENTS ENCOURAGED TO APPLY NOW TO ATTEND NEBRASKA AGRICULTURAL YOUTH INSTITUTE

Nebraska’s number one industry is agriculture, and the premier event for high school students to learn about agriculture is the Nebraska Agricultural Youth Institute (NAYI).

NAYI brings together high school juniors and seniors from around the state to network with agricultural leaders and professionals as well as other students interested in agriculture. During the Institute, delegates will learn more about Nebraska agriculture and agricultural careers available to them in the future.

Delegate applications for this year’s NAYI are now available on the Nebraska Department of Agriculture’s (NDA) website. Current high school juniors and seniors interested in attending this summer’s program have until April 15 to apply.

“NAYI is in its 48th year, making it the longest running agricultural youth program of its kind in the nation,” said NDA Director Steve Wellman. “With all the networking opportunities, career development sessions, and hands-on projects to improve leadership and communication skills, NAYI is a great experience for students interested in agriculture.”

The 2019 NAYI will be held at the University of Nebraska-Lincoln’s East Campus from July 8-12. This year’s the NAYI theme is “Taking Root” and will feature motivational speakers, discussions on agricultural issues and career options, a farm management game, a formal banquet and awards presentation, and a street dance.

NAYI is coordinated by the Nebraska Agricultural Youth Council (NAYC), which is comprised of 21 college-aged students selected by NDA for their passion and interest in the ag industry. The Council’s purpose is to provide young Nebraskans with a better understanding of agriculture, including agricultural opportunities available to today’s youth.

NDA selects students to attend NAYI based on their leadership skills, interests and involvement in agriculture. Applications are available online at nda.nebraska.gov/nayi. All applications must be submitted electronically. Finished applications should be emailed to: youth.council@nebraska.gov by April 15, 2019, at 11:59 p.m.

“If you know high school juniors or seniors with an interest in agriculture, encourage them to apply to NAYI before the April 15th deadline,” Wellman said. “It’s a one-of-a-kind opportunity.”



Report is first step in making Nebraska more food secure

In Nebraska, more than $4.4 billion is spent annually on food, and 90 percent of that food comes from outside the state, according to a report released today by the Center for Rural Affairs and the Nebraska Food Council.

“Biting Into Food Access: A View of Nebraska’s Food System” provides background research describing the current food system in the state, taking a look at state-level and national-level data.

“When we spend food dollars outside of the state, that weakens our local economy and limits local access points,” said Sandra Renner, project associate with the Center for Rural Affairs and co-author of the report. “We rely on other areas of the country, the strength of their food systems and local economies, and the availability of their natural resources to provide us with food. The idea that we are ‘feeding the world’ ignores the unsustainability of our current food system.”

The report examines demographics, food production and land use, food consumption and access, and food waste.

The final section of the report zooms in on next steps for the newly-formed Nebraska Food Council. Members of the Nebraska Food Council reviewed the research in this assessment and created an initial list of research topics, policy work, and areas of focus they would like to pursue.

“We’re looking at how to better feed our population and how to shift toward creating opportunities for more food production aimed at human consumption,” Renner said. “By addressing key issues in food, farm, small business, and community-level and institutional policy, there is potential to identify strengths, changes needed, and gaps in the food system.”

Key findings of the report include:
-    Nebraska agriculture has become more concentrated over time.
-    Very little farmland in Nebraska is used for fruit and vegetable production so these items are imported. The state lacks readily accessible vegetable and fruit processing locations.
-    Nationally, the state is first in beef and veal exports. Local communities are not always able to access Nebraska beef in local stores.
-    During the 2017 to 2018 school year, Nebraska Farm to School reported $2.7 million in total local food purchases. Products included melons, various vegetables, chicken, and milk.
-    Currently, only about 10 percent of the $4.4 billion that Nebraskans spend on food annually is expended on products grown and processed in the state.
-    1,300 Nebraska farms sell directly to consumers with sales of $5.9 million, contributing 0.04 percent of the farm product sales in the state.

For more information and to view “Biting Into Food Access: A View of Nebraska’s Food System,” visit cfra.org/publications/BitingIntoFoodAccess.



Third Explosion in a Month at ADM Plant Injures Three

An explosion and fire on January 31 at the Archer Daniels Midland soybean processing plant in Lincoln, Nebraska, resulted in the hospitalisation of three workers with non-life threatening injuries, fire officials told local media. Earlier in the month a firefighter was killed in a blaze at an ADM grain facility in Clinton, Iowa, and there was a separate explosion at an ADM corn processing plant in Decatur, Illinois.

The cause of the latest explosion and blaze is under investigation. No estimates on damages to the Lincoln facility were available.

Apart from the fatality in the Clinton incident, a second person was seriously injured in the blast at this site. There were no casualties in the Decatur incident, which involved a blast and fire in a conveyor system.

In December, an explosion at the company's Calgary plant in Canada caused no casualties.



Short Course to Focus on Dairy Beef Bull Calves

The 2019 Dairy Beef Short Course, presented by the I-29 Moo University consortium, will focus on how dairy beef bull calves should be viewed as more than a by-product of the industry. The consortium is a collaboration of extension dairy specialists from Iowa, Minnesota, Nebraska, North Dakota and South Dakota.

As dairy and beef producers continue to experience economic struggles, increasing the value of bull calves can add value for dairymen, feeders and processors. The short course is scheduled for Tuesday, March 26 in at the Denny Sanford Premier Center in Sioux Falls, South Dakota. It is held in conjunction with the Central Plains Dairy Expo.

While parking and entry to the Dairy Expo is free, there is a $20 registration fee to attend the Dairy Beef Short Course. The fee includes educational materials, refreshments and lunch. The registration deadline is March 20; registration should be made online... https://tinyurl.com/dairybeefshortcourse.

The course’s program agenda includes:
    Realizing Full Value in Holstein Steers – Daniel Schaefer, professor of animal science at the University of Wisconsin-Madison.
    Considerations for Choosing Beef Genetics To Use in Dairy Herds – Warren Rusche, extension beef feedlot management associate at South Dakota State University.
    Dairy Cattle Impact on Beef Supply and Marketing Opportunities – Brenda Boetel, professor of agricultural economics at the University of Wisconsin-River Falls.
    Enhancing the Value of Your Dairy Beef Bull Calf to Meet Health Concerns – Russ Daly, DVM, and professor and extension veterinarian at South Dakota State University.

Additionally, a roundtable discussion will focus on Building a Carcass for the Future. The panel includes:
    Jerry Wulf, Wulf Cattle, Morris, Minnesota.
    Kent Pruismann, Rock River Feeders, Sioux Center, Iowa.
    Erik Loe, nutritional consultant for Midwest PMS, Sioux Center, Iowa.
    Duane Broek, Select Sires representative, Watertown, South Dakota.

The program will begin promptly at 10 a.m. and will conclude at 3:15 p.m. For more information, contact Fred M. Hall, dairy specialist with Iowa State University Extension and Outreach, at 712-737-4230 or fredhall@iastate.edu.



Agricultural Retailers Association Recognizes Legislators for Ag Retail Industry Support

This week the Agricultural Retailers Association (ARA) recognized Senators Chuck Grassley, R-Iowa, and Roger Wicker, R-Miss., with its 2018 Legislator of the Year award.

“We are pleased to honor two very deserving Senators this year with our Legislator of the Year award,” said ARA President and CEO Daren Coppock. “We are grateful for their dedication and continued support of the agriculture industry.”

In the presentation of the award, Sen. Grassley was recognized for his leadership as chairman of the Senate Judiciary Committee, securing a historic number of federal judicial confirmations during the 115th Congress, including two Supreme Court justices. A longtime supporter of agriculture and agriculture retail, this is the second time Sen. Grassley has been honored as ARA Legislator of the Year.

“Iowa is an agricultural powerhouse. As a leading producer of pork, corn, soybeans and eggs, agriculture anchors Iowa’s economy and helps put food on tables across America,” Sen. Grassley said. “Supporting workers and businesses that help Iowa’s farmers succeed has been a top priority during my time in the Senate. It’s an honor to receive this recognition.”

Senator Wicker was honored for his support on important industry issues, such as promoting precision agriculture and rural broadband deployment.

“With nearly 37,000 farms covering more than 10 million acres and generating more than $7 billion in economic activity, Mississippi is home to many hard-working men and women who provide critical support to our farmers and ranchers,” Sen. Wicker said. “I will continue to promote policies that help America’s agricultural producers thrive.”

ARA presents its Legislator of the Year award annually to a member, or members, of Congress who champion legislation important to the agricultural retail industry. The awards were presented during the ARA Board of Directors and Committee Meetings in Washington, D.C.



NCBA Announces Campaign for "Fake Meat Facts"

Today the National Cattlemen’s Beef Association launched a new campaign highlighting critical questions about the production of lab-grown fake meat. The Fake Meat Facts campaign will shine a spotlight on the many unknowns that the federal government must clarify before finalizing the regulatory framework for these emerging products. 

“The federal government is moving in the right direction on lab-grown fake meat oversight, but new information raises more questions than answers,” said NCBA President Jennifer Houston. “The lack of scientific consensus surrounding cell-cultured protein products became crystal clear to me when I participated in last year’s joint public meeting. NCBA will continue to push for increased transparency to ensure consumers know the facts about lab-grown fake meat production.” 

Last year, the U.S. Department of Agriculture (USDA) and Food and Drug Administration (FDA) announced a framework for regulating lab-grown fake meat. USDA will have primary oversight of food production and labeling, while the FDA will have oversight of cell collection and cell growth. However, as NCBA noted at the time, many details still need to be worked out. Additional information about the production, composition, and safety of cell-cultured protein is needed to inform the development of a comprehensive framework that protects consumers.   

“It is critical that manufacturers make samples of their cell-cultured products available for independent, objective analysis,” added NCBA Senior Director of Government Affairs Danielle Beck. “Until then, stakeholders will be forced to base their assessments on the unverified claims of manufacturing companies and fake meat activists.”



CattleFax Cow-Calf Survey Released

CattleFax has introduced its annual Cow-Calf Survey. Information requested in the survey provides participants and the rest of the industry with valuable information regarding industry benchmarks and trends.

Survey participants will receive a results summary packet, with useful information that will allow managers and owners to evaluate their own operations. Items such as cow-calf profitability, tendencies of high and low return producers, regional data, and other valuable information are included.

By completing the survey and submitting a valid email address, participants will also be entered into a drawing to win a $700 CattleFax voucher. To be entered to win a voucher and receive the full results, a valid email address must be submitted. All individual results will be confidential and remain anonymous.

Three $700 vouchers will be given away. The credit can be used for any CattleFax memberships, registration fees for education seminars (Corporate College and Risk Management Seminar), and/or registration fees for the annual Outlook and Strategies session. To be considered in the drawing, participants must complete the entire survey and submit a valid email address. Winners will be selected by a random number generator and will be contacted via email after the survey closes.

The survey can be accessed by going to cattlefax.com and selecting the About tab at the top of the page, then clicking on “2018 Cow-Calf Survey” on the sidebar. The deadline to complete the survey is Feb. 28, 2019.



Fertilizer Prices Move Slightly Higher

Retail fertilizer prices are once again higher, according to prices tracked by DTN for the last week of January, 2019. This marks the third-consecutive week all eight of the major fertilizers have been higher. While prices are higher compared to last month, none were up a significant amount, which DTN considers a price move of 5% or more.

DAP had an average price of $513/ton, up $5/ton; MAP $536/ton, up $3/ton; potash $384/ton, up $3/ton; urea $407/ton, up fractionally; 10-34-0 $468/ton, up $8/ton; anhydrous $585/ton, up $14/ton; UAN28 $271/ton, up $4/ton; and UAN32 $313/ton, up $9/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.44/lb.N, anhydrous $0.36/lb.N, UAN28 $0.48/lb.N and UAN32 $0.49/lb.N.

All eight of the major fertilizers are now higher compared to last year. MAP is 9% more expensive, both DAP and potash are 12% higher, 10-34-0 is 13% more expensive, urea is 15% higher, both anhydrous and UAN28 are 19% more expensive and UAN32 is now 20% higher compared to last year.



EPA and Army Announce Public Hearing on Proposed New “Waters of the United States” Definition

Following President Trump’s directive to provide certainty to American farmers and landowners so that the economy can continue to expand while waters are protected, the U.S. Environmental Protection Agency (EPA) and the Department of the Army (Army) are moving to the next steps in proposing a new definition of the “Waters of the United States.” EPA and the Army will hold a public hearing on the proposed new “Waters of the United States” definition in Kansas City with sessions on February 27 and 28, 2019. All persons wanting to speak are encouraged to register in advance. EPA and the Army will also hold an informational webcast on February 14, 2019.

Public Hearing Logistics: The Wednesday session of the public hearing will convene at 4:00 pm (local time) and will conclude no later than 8:00 pm. The Thursday session will convene at 9:00 am and will conclude no later than 12:00 pm. 

The public hearing will be held in the Wyandotte Ballroom of the Reardon Convention Center, 520 Minnesota Avenue, Kansas City, Kansas 66101. Those interested in speaking at the hearing can register for a three-minute speaking slot. The last day to pre-register to speak at the hearing is February 21, 2019. On February 26, 2019, the agencies will post a general agenda for the hearing on the EPA website at https://www.epa.gov/wotus-rule/proposed-revised-definition-wotus-public-hearing. It will list pre-registered speakers in approximate order. Registration for the public hearing is available through the EPA website. Additionally, requests to speak will be taken the day of the hearing at the hearing registration desk, pending availability, and a sign language interpreter will be available for the hearing.

Webinar Logistics: EPA and the Army will also hold a public webcast to explain the key elements of the proposed "Revised Definition of Waters of the United States" on February 14, 2019, at 3:30 pm EST. A copy of the entire webcast will be made available afterwards. Webinar registration is limited to 2,000 attendees so interested parties are encouraged to view with colleagues. Registration is available at https://attendee.gotowebinar.com/register/1548544876509260301.

Background:
On December 11, 2018, EPA and the Army signed a proposed rule providing a clear, understandable, and implementable definition of “waters of the United States” that clarifies federal authority under the Clean Water Act while respecting the role of states and tribes in managing their own land and water resources. The agencies have submitted the proposed rule to the Office of the Federal Register for publication.

Oral statements and supporting information presented at the public hearing will be considered with the same weight as written statements and supporting information submitted during the public comment period. The agencies will take comments on the proposal for 60 days after publication of the proposed rule in the Federal Register. Comments can be submitted online at https://www.regulations.gov. Please follow the instructions for submitting comments to Docket ID No. EPA-HQ-OW-2018-0149.

More information about the public hearing, informational webcast, and the proposed rulemaking, including the pre-publication version of the Federal Register notice, are available at: https://www.epa.gov/wotus-rule/step-two-revise.



Farm Bureau to USDA: New Regulations Must Protect Both Farmland and Wetland

As the Agriculture Department moves forward with Highly Erodible Land and Wetland Conservation regulations, the department must ensure its new Interim Rule balances the benefits for both farmland and wetland, as Congress intended, according to the American Farm Bureau Federation. As it was written, the Interim Rule makes program participation much more difficult and fails to give famers the opportunity they should have to participate in the process.

“Because conservation compliance programs operate fundamentally as regulatory programs they should operate with all the duties and rights that such a regulatory program entails. Equally important, all guidance, policy and interim rules must match up with the statute,” Farm Bureau wrote in comments submitted to USDA on Tuesday.

For too long USDA had been making regulatory determinations based primarily on guidance and policy that was not put through the required public process—an error that Farm Bureau said permeates the wetland identification and appeals processes. “USDA holds all the cards, leaving farmers without the necessary tools to protect their property and due process rights,” the group wrote.

In keeping with the statute, USDA must recognize that prior-converted cropland is not only not farmed wetland, it is no longer wetland and should never be treated as wetland under the Food Security Act or any rule implementing the Food Security Act.

Also at odds with the law is the department’s newly added discretion in determining that a decades-old map is of insufficient quality to uphold a certified determination.

“Determinations certified prior to USDA’s adoption of new mapping conventions should be exempt from invalidation due to changes that only new imaging technology can detect. To that end, USDA’s regulations should expressly recognize that pre-1990 certifications are valid unless the producer raises the issue that they were never provided with appeal rights after passage of the 1990 farm bill (and thus, were not able to appeal the determination to become certified),” Farm Bureau said.

In the Interim Rule USDA has added several terms and definitions that expand the farmland wetland category by making it easier for USDA to designate land as a farmed wetland. This substantively changes what land qualifies as prior-converted cropland or commenced-conversion wetlands under the statutory exemptions, which is harmful to farmers who have relied on prior interpretations.

The group also took issue with USDA’s failure to implement the minimal effect exemption provisions as lawmakers directed. “Congress exempted farmers from ineligibility if the impacts of the wetland conversion were minimal to the wetlands in the area,” the group noted.

The statute also provides that “the Secretary shall exempt a person and does not require that a landowner first request such a determination; rather, such determination must automatically accompany any determination regarding eligibility.” Lastly, the statute requires the Secretary to “identify by regulation categorical minimal effect exemptions on a regional basis.” Unfortunately, USDA has violated the statute by failing to implement this provision to the detriment of farmers and ranchers nationwide.



New Study: RFS2 Has Reduced GHG Emissions By 600 Million Metric Tons, Beating EPA Expectations

A new study released today finds that the expanded Renewable Fuel Standard (RFS2) has been a tremendous success in reducing greenhouse gas (GHG) emissions, with nearly 600 million metric tons of GHG reduction since 2007. Actual GHG reductions under the RFS2 have far surpassed the Environmental Protection Agency’s (EPA) original expectations of 422 million metric tons, according to the study. The analysis was conducted by Life Cycle Associates, a California-based scientific consulting firm, and commissioned by the Renewable Fuels Foundation (RFF).

The findings, which come as two House committees hold climate change hearings this morning, highlight the important role that ethanol and other biofuels can play in efforts to fight climate change and reduce GHG emissions.

“The RFS2 has resulted in significant GHG reductions, with cumulative CO2 savings of 600 million metric tonnes over the period of implementation,” according to the study. “The GHG reductions are due to the greater than expected savings from ethanol and other biofuels. These emissions savings occur even though cellulosic biofuels have not met the RFS2 production targets. Biofuels have achieved and exceeded the GHG reductions estimated by EPA.”

As outlined in the report, the larger-than-expected GHG reductions are due to:
-    The adoption of technology improvements in the production of corn-based ethanol, resulting in far greater GHG reductions than originally estimated by EPA;
-    The GHG emissions of petroleum are higher than the baseline estimates originally projected by EPA; and
-    Advanced biofuels like biodiesel, renewable diesel, and renewable natural gas have contributed additional GHG reductions, even though actual cellulosic biofuel production has been lower than initially projected.

Using the latest available data and modeling tools, the study found that the conventional ethanol consumed in 2018 reduced GHG emissions by 43 percent compared to petroleum, even when hypothetical “land use change” are included. That compares to EPA’s initial projections that conventional ethanol would achieve only a 20 percent GHG reduction versus petroleum.

“As this study demonstrates, renewable fuels like ethanol are an incredibly effective tool for reducing GHG emissions,” said Geoff Cooper, President and CEO of the Renewable Fuels Association (RFA). “And with renewable fuels, we don’t need to cross our fingers and wait for the development and commercialization of a new technology. Ethanol is available here and now to help our nation decarbonize our transportation fuels in a cost effective manner. As the new Congress turns its focus to climate change and efforts to reduce GHG emissions, we encourage lawmakers to recognize and build upon the incredible success of the RFS.”

The 600 million metric tons of GHG reduction achieved under the RFS is equivalent to the GHG savings that would result from removing roughly half of the nation’s automobiles from the road for a full year or shutting down 154 coal-fired power plants for a year, according to EPA.

Life Cycle Associates Managing Director Stefan Unnasch will be presenting this report on Tuesday, Feb. 12 at RFA’s National Ethanol Conference in Orlando.



USDA Deputy Secretary to Address RFA's National Ethanol Conference

The Renewable Fuels Association is pleased to announce U.S. Department of Agriculture Deputy Secretary Stephen Censky will serve as a keynote speaker on the final day of the 24th annual National Ethanol Conference next week in Orlando.

Deputy Secretary Censky will round out an impressive line-up of speakers when he addresses attendees on Wednesday, Feb. 13 at 9:30am ET.

“We appreciate Deputy Secretary Censky joining us at the National Ethanol Conference,” said RFA President and CEO Geoff Cooper. “The industry meets at a critical time. Ethanol producers have been severely challenged by EPA’s abuse of small refiner exemptions under the Renewable Fuel Standard, while also facing growing protectionism abroad that has limited growth in export markets. Fortunately, the U.S. Department of Agriculture, and Deputy Secretary Censky in particular, has been an effective voice and determined advocate for farmers and renewable fuel producers. USDA and Deputy Secretary Censky played a key role in the Administration’s decision to allow the year-round use of E15 and promoting ethanol in countless countries around the globe. I look forward to thanking the Deputy Secretary for his steadfast support, and our attendees will no doubt enjoy hearing his thoughts on the opportunities that lie ahead, particularly in light of President Trump’s continued strong commitment to farmers and the renewable fuels industry," he added.

The NEC, scheduled from Feb. 11-13, is the most widely attended executive level conference for the ethanol industry. For more information or to register, visit: www.NationalEthanolConference.com. 



Weekly Ethanol Production for 2/1/2019

 According to EIA data analyzed by the Renewable Fuels Association, ethanol production fell to 967,000 barrels per day (b/d), or 40.6 million gallons per day, which was down 45,000 b/d (4.4%) from the previous week. This was the lowest weekly production level since October 2017. The four-week average ethanol production rate declined to 1.015 million b/d, the lowest since April 2018, equivalent to an annualized rate of 15.56 billion gallons. Weekly production was 8.5% lower than the level a year ago, while the four-week average was 3.8% lower.

Stocks of ethanol receded to 23.9 million barrels. Stocks were relatively steady in most regions but fell in the Gulf Coast, reversing an increase the previous week.

There were no imports for the twelfth week in a row. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of November 2018.)

Average weekly gasoline supplied to the market fell back to 9.073 million b/d (381.1 million gallons per day), equivalent to 139.09 billion gallons annualized, after surging the prior week. Still, the four-week average and year-to-date average remain more than 1% above year-ago levels. Refiner/blender net inputs of ethanol increased 2.0% to 887,000 b/d—equivalent to 13.60 billion gallons annualized. Ethanol blending remains higher on a weekly (2.2%) and four-week-average (2.7%) basis than year-ago levels. Still, net inputs of ethanol have accounted for less than 10% of gasoline product supplied for four of the last five weeks.

Expressed as a percentage of daily gasoline demand, daily ethanol production ticked up to 10.66%.



Strong Global Demand for U.S. Ethanol and DDGS Continues into November
Ann Lewis, Research Analyst, Renewable Fuels Association
   
U.S. ethanol exports through November 2018 reached 1.56 billion gallons, up 31% from the same period a year earlier and already a calendar-year record. Exports remained robust in November although volumes for the month decreased 16% to 147.9 million gallons (mg), according to government data released this morning and analyzed by the Renewable Fuels Association (RFA). In a departure from recent trends, sales were heavily concentrated in just three countries accounting for nearly three-fourths of all U.S. ethanol shipments in November. Brazil imported 51.2 mg, representing 35% of total U.S. export sales. While this was 3.2 mg lower (-6%) than October volumes, it was enough to secure Brazil’s position as the top U.S. ethanol customer for a second straight month. Canada decreased its imports of American ethanol by 8% to 28.4 mg, the lowest volume in seven months but still 19% of total ethanol shipments in November. Volumes exported to India were a solid 28.1 mg (19% of U.S. ethanol exports), slipping just 3% from a record offtake in October. Mexico imported a record 4.8 mg, up 144% for the month.

The Netherlands (8.2 mg, down 21%), South Korea (6.2 mg, down 20%), and Spain (4.3 mg, up 156% to a 13-month high) were other top markets. Notably, after purchasing 6.2 mg in U.S. imports in October, the Peruvian market essentially disappeared with the implementation of countervailing duties on U.S. ethanol by their government in November.

November exports of undenatured fuel ethanol were 90.5 mg, an increase of 10.9 mg (14%). Brazil purchased 51.2 mg (up 10 mg or 23%), representing 57% of our undenatured export market while exports to India at 14.6 mg were down 10 mg (41%). Expanded volumes were shipped to the Netherlands (8.2 mg, up 7 mg), Mexico (4.8 mg), Spain (4.3 mg), and South Korea (2.8 mg) in November while the Philippines (2.4 mg) cut imports in half.

American producers shipped 41.0 mg of denatured fuel ethanol in November, down 55% from the October record (91.4 mg) and the smallest volume in ten months. Most of the global export market contraction can be attributed to quiet trading in six major markets (Brazil, the Netherlands, the United Arab Emirates, Peru, Oman, and the Philippines) that were responsible for cumulative imports of over 46 mg in October. Canada captured two-thirds of our denatured fuel export market with 25.7 mg of product, despite a 9% decrease from prior month sales. India’s November purchases were up 70% for a 13-month high of 7.5 mg, accounting for 18% of our denatured fuel ethanol market. Other top customers were Colombia (2.6 mg), South Korea (2.5 mg), and Jamaica (2.2 mg).

November sales of American denatured non-fuel ethanol skyrocketed to a record 12.3 mg, up from 2.5 mg in October. India re-entered the market to purchase 6.0 mg (48% of total sales), Nigeria also stepped back in with 3.6 mg (29% share) in sales, and 2.6 mg crossed into Canada (up 8%). November U.S. exports of undenatured non-fuel product more than doubled to 4.1 mg. The majority of product shipped to Saudi Arabia (1.7 mg), Japan (1.3 mg), and South Korea (0.9 mg).

The United States imported 9.9 mg of undenatured ethanol from Brazil in November. Total year-to-date U.S. ethanol imports stand at 66.9 mg—essentially all sourced from Brazil. This is 13% behind last year at this time.

November exports of U.S. dried distillers grains with solubles (DDGS)—the main animal feed co-product generated by dry mill ethanol plants—were 1.017 million metric tons (million mt). While shipments tapered slightly (-0.2%), November was the sixth straight month that global demand breached 1 million mt. Mexico purchased 174,465 mt (up 9%) to capture 17% of the market. U.S. shippers sent 166,008 mt of DDGS to Vietnam, up 47% and the largest volume in nearly two years. Shipments of 97,600 (up 1%) entered Indonesia to set a new monthly record. U.S. DDGS export volumes to some key markets contracted, although demand remained robust: Thailand (79,603 mt, -14%), South Korea (71,699 mt, -12%), Canada (51,787 mt, -18%), and the United Kingdom (48,598 mt, -33%). Year-to-date U.S. DDGS exports are 10.99 million mt, implying an annualized total of 11.99 million mt. If realized, U.S. distillers grains exports would capture the second-largest annual volume on record.