Thursday September 5 Ag News

Ricketts Begins Vietnam Trade Mission, Promotes Nebraska in Hanoi

This week, Governor Pete Ricketts is leading a trade mission to Vietnam and Japan to promote Nebraska’s quality ag products and to pitch Nebraska as a top destination for international investment.

The Governor and trade delegation began the mission today in Hanoi, Vietnam where they will meet with government officials, promote Nebraska beef and other ag products, and encourage Vietnamese businesses to invest in Nebraska.  Delegates on the mission include representatives from the Department of Agriculture (NDA), Department of Economic Development (DED), University of Nebraska, Nebraska Farm Bureau, major state and national commodity organizations, and ag businesses.

The day’s agenda included meetings with the Ministry of Agriculture, Ministry of Foreign Affairs, and Ministry of Industry & Trade where Governor Ricketts and NDA Director Steve Wellman urged officials to work with the United States to expand trade and open new markets for Nebraska’s ag products.

The Governor and delegation concluded their day by hosting a business forum and dinner for representatives from Vietnamese companies.  At the events, Governor Ricketts highlighted Nebraska’s pro-growth climate, hardworking people, and central location.  Listeners also heard presentations from the U.S. Embassy in Vietnam, NDA, and DED.

This is Governor Ricketts’ fourth trade mission to Asia in the last five years.



NDA CONGRATULATES 2019 ELITE SHOWMAN COMPETITORS

The Nebraska State Fair ended on a high note with one of the biggest livestock competitions of the season. 4-H and FFA champions from around the state came together to represent their counties and participate in the 14th annual Nebraska Elite Showman competition this weekend. The Nebraska Department of Agriculture (NDA) and the Nebraska Rural Radio Association coordinate this event in cooperation with the Nebraska State Fair.

“I’m pleased that NDA and our partners are able to coordinate and sponsor events like the Elite Showman Competition to reward 4-H and FFA students for their hard work and dedication to Nebraska agriculture,” said NDA Director Steve Wellman. “Congratulations to the winners and to all of the participants for making this year’s Elite Showman Competition so exceptional.”

Elite Showmen competitors must be between 14-18 years of age and enrolled in 4-H or FFA. Counties are able to select only one student to represent them to compete at the Elite Showman competition at the State Fair. Agricultural business and organizations generously contribute to the contest in order for the winners to receive prize money along with their statewide recognition.

In this year’s Nebraska Elite Showman Competition, 34 participants represented their counties. Competitors are scored on beef, swine, sheep and goat showmanship, as well as interview skills and knowledge via a written test. Along with first, second and third place overall winners, winners are selected for each division. The top overall Elite Showman receives $2,000, the second place finisher receives $1,000 and the third place overall winner receives $500. Division winners are awarded $300 each. All other competitors receive a $50 prize.

The 2019 overall winners were:
1st place overall: Abby Scholz from Phelps County
2nd place overall: Creighton Hirschfeld from York County
3rd place overall: Chase DeVries from Adams County

The 2019 Elite Showman division winners were:
Swine Showmanship: Trevor Kirchhoff from Buffalo County
Sheep Showmanship: Abby Scholz from Phelps County
Beef Showmanship: Carly Rains from Saline County
Goat Showmanship: Creighton Hirschfeld from York County
Written Test: Jace Russman from Dawson County
Interview: Abby Scholz from Phelps County

Other participants (and their counties) included: Carson Maricle (Boone), Camden Humphrey (Clay), Abigail Lutjelusche (Colfax), Katie Jo Utech (Dakota), Katelyn Pehrson (Dixon),Taylor Gregory (Dodge), Breanna Wilkinson (Douglas-Sarpy), Reid Richards (Fillmore), Conner Snyder (Frontier), Carter Holtmeier (Gage), Gracie Pinckney (Garfield), Alexis Tenski (Greeley), Sydney May (Hamilton), Ethan Uhlir (Howard), Brooklen Bear (Jefferson), Matthew Bruns (Lincoln), Fallon Wells (Merrick), James Wetovick (Nance), Bailey Boitnott (Otoe), Wynn Cannon (Polk), Tyler Uhri (Richardson), Lauren Kavan (Saunders), Abigayle Warm (Seward), Evan Tuma (Sherman), Alanna Fangmeier (Thayer), Alli Nielsen (Washington), Jamie Janke (Wayne), Kacey Allen (Webster).



NDA ANNOUNCES WINNERS IN ANNUAL POULTRY PHOTO CONTEST

The Nebraska Department of Agriculture (NDA) announced the winners of its annual Poultry Photo Contest during a special celebration at the Nebraska State Fair in Grand Island. The contest was open to Nebraska 4-H and FFA members from around the state.

“NDA’s annual poultry photo contest is a great way to highlight the state’s diverse poultry populations, especially as the poultry industry in Nebraska continues to grow,” said NDA Director Steve Wellman. “We appreciate these talented 4-H and FFA members and the time they spent capturing the perfect photos for our contest. A big thank you to everyone who participated.”

NDA will use the winning photos online and in printed materials about the importance of biosecurity so backyard poultry owners have the information they need to keep their flocks healthy.

Congratulations to the following youth who submitted winning photos: Zac Arens of Crofton; Payton Catlin of Ogallala; Abigail Gorecki of Ravenna; Nathan Gorecki of Ravenna; Makennen Havlat of Seward; Sydney Havlat of Seward; Elisa Oberg of Farnam; Janae Oberg of Farnam; Jon Oberg of Farnam; Onyx Smith of Kearney; Elizabeth Wortmann of Crofton; and Sophia Wortmann of Crofton. NDA staff members from around the state judged the entries, looking at originality, composition and photography skills.

NDA’s poultry contest was funded through a grant from the USDA Animal and Plant Health Inspection Service, Veterinary Service.

The winning photographs can be viewed on the NDA website at www.nda.nebraska.gov/animal/avian.



July Pork Exports Reach New Heights; Beef and Lamb Exports also Strong

U.S. pork exports were record-large in July while beef exports were relatively steady with last year's strong results, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF).

July pork exports surged to 233,242 metric tons (mt), up 32% year-over-year and topping the previous record from April 2018. Export value was $623.3 million, up 34% and breaking the previous high reached in November 2017. These results pushed January-July exports 2% ahead of last year's pace at 1.48 million mt while value was down 2% at $3.77 billion.

Pork export value averaged $58.92 per head slaughtered in July, up 22% from a year ago and the highest in five years. January-July export value averaged $51.33 per head, down 5% from the same period last year. July exports accounted for 29.3% of total U.S. pork production (up from 24.7% a year ago and the highest since April 2018) and 25.9% for muscle cuts only (up from 21.7% and the highest ratio in five years). For January through July, exports accounted for 26.3% of total pork production and 22.9% for muscle cuts (down from 27% and 23.3%, respectively, a year ago).

Beef exports increased 1% year-over-year in July to 117,842 mt. Export value ($720.4 million) was down slightly from a year ago but still the seventh-highest monthly total on record. January-July beef exports were down 2% from a year ago in volume (766,607 mt) while export value ($4.75 billion) was slightly below last year's record pace.

Beef export value per head of fed slaughter averaged $308.47 in July, down 7% from a year ago, while January-July export value averaged $311.51 per head, down 2%. July exports accounted for 14.4% of total U.S. beef production and 11.8% for muscle cuts only, down from 15.1% and 12.9%, respectively, last year. For the first seven months of the year, exports accounted for 14.1% of total beef production and 11.6% for muscle cuts — each down one-half percentage point from a year ago.

Momentum builds for U.S. pork in Mexico and China; Japan results steady
Since Mexico lifted its 20% retaliatory duty on U.S. pork in late May, exports have rebounded significantly. In July, exports to Mexico reached 67,161 mt, up 19% from a year ago, while value surged 38% to $126.7 million. January-July results still trail last year by 12% in volume (411,944 mt) and 14% in value ($700.7 million), but exports to Mexico are well-positioned for a strong second half of 2019.

"USMEF anticipated a rebound in Mexico once duty-free status was restored for U.S. pork," said USMEF President and CEO Dan Halstrom. "But I want to emphasize that we did not take this recovery for granted. While those retaliatory duties were in place, USMEF ramped up our outreach with processors and other major buyers in Mexico and worked closely with them to keep product moving south, and with the duties removed we're seeing the results of these efforts. Now ratification of the U.S.-Mexico-Canada Agreement is critical to ensure long-term duty-free access to this key market."

Although held back by China's retaliatory duties on U.S. pork, exports to China/Hong Kong contributed mightily to the July volume and value records. Exports to the region were a record 68,657 mt in July, more than tripling from a year ago, while value climbed 173% to a record $152.5 million. For January through July, exports to China/Hong Kong were up 23% in volume (292,666 mt) and 3% in value ($580.3 million). China's hog prices soared to record levels in August, and retail pork and poultry prices are also trending sharply higher as China's African swine fever-related hog shortage intensifies.

In leading value market Japan, where no new duties have been imposed but U.S. pork faces higher tariff rates than its competitors, July exports were steady with last year at 31,019 mt, while value was up 5% to $133.2 million. Through July, exports to Japan were down 3% in volume (222,300 mt) and 4% in value ($906.7 million). The White House recently announced an agreement in principle with Japan that is expected to bring tariffs on U.S. pork and beef in line with competitors' rates, but the agreement still must be finalized and the timeline for implementation is not yet known.

Other January-July highlights for U.S. pork include:
    Led by strong results in mainstay market Colombia and exceptional growth in Chile and Peru, exports to South America climbed 30% above last year's record pace in volume (95,152 mt) and 32% higher in value ($237.3 million).
    Australia and New Zealand continue to shine as important destinations for hams and other pork muscle cuts used for further processing. Exports to Oceania are on a record pace as volume increased 41% from a year ago to 69,978 mt, while value was up 32% to $192.5 million.
    Despite facing higher tariffs since April due to a safeguard threshold, pork exports to Panama increased 41% from a year ago to 8,245 mt, while value was up 33% to $20.5 million. This helped push exports to Central America 15% above last year's record pace in volume (52,820 mt) and 17% higher in value ($127.5 million). In addition to Panama, exports trended higher year-over-year to Costa Rica, Guatemala, Nicaragua and Honduras.
    Exports to Canada remained above year-ago levels in July, even after Canadian pork lost access to its top export destination — China — in late June. Through July, exports to Canada were up 11% from a year ago to 124,017, while value increased 8% to $454.1 million.

Another record month for U.S. beef in Korea
South Korea continues to be the growth pacesetter for U.S. beef exports, as July volume reached 25,104 mt (up 6% from a year ago). This included 24,192 mt of beef muscle cuts, also up 6% and setting a new monthly volume record. Export value was $181.3 million, up 7% from a year ago and breaking the record set the previous month. For January through July, beef exports to Korea climbed 11% in volume (151,983 mt) while export value ($1.1 billion) exceeded last year's record pace by 14%.

"The Korean market is a remarkable success story and a blueprint for what U.S. beef can achieve when consumers are not shouldering such a heavy tariff burden," Halstrom said. "With the duty rate now less than half of its pre-FTA level, U.S. beef is enjoyed by more Korean consumers than ever, and in a wider variety of venues. This will also happen in Japan when duty rates come down, but on an even larger scale."

Though Korea is gaining, Japan remains the largest volume and value destination for U.S. beef. July exports slipped 2% from a year ago to 31,213 mt, with value down 4% to $188.4 million. Through the first seven months of the year, exports to Japan were 1% below last years' pace in both volume (189,052 mt) and value ($1.2 billion). Strong variety meat exports (especially tongues and skirts) have helped offset a slowdown in U.S. chilled beef exports to Japan. Through July, variety meat volume was up 30% from a year ago to 38,249 mt, valued at $228.8 million (up 21%). Although U.S. beef pays higher tariffs than competitors for variety meat, the rate for U.S. tongues and skirts is 12.8% compared to a 38.5% tariff on U.S. muscle cuts. Competitors pay 5.7% and 26.6%, respectively.

Other January-July highlights for U.S. beef include:
    Mexico is the third-largest market for U.S. beef exports and the largest destination for U.S. beef variety meat. Though export volume was modestly lower through July (135,337 mt, down 2%), value increased 6% to $635 million. This included 52,389 mt of beef variety meat, down 8% from a year ago. But U.S. variety meat items are commanding better prices, as export value increased 6% to $138.2 million. Tripe export value, for example, increased 25% to $57.3 million despite a 3% decline in volume (21,696 mt).
    Exports to Taiwan were 13% percent above last year's record pace in volume (36,601 mt) and 9% higher in value ($324.6 million). The United States dominates Taiwan's chilled beef imports with 72% market share.
    Indonesia is 2019's leading destination for U.S. beef in the ASEAN region, with exports climbing 55% to 12,071 mt and value up 23% to $43.9 million. With solid growth in the Philippines and steady volumes to Vietnam, exports to the region increased 24% to 31,725 mt, valued at $154.8 million (up 9%).
    Exports to the Dominican Republic are on a record pace, increasing 49% from a year ago to 5,305 mt, while value was up 37% to $42.7 million.
    Despite a 37% tariff (which increased to 47% on Sept. 1), July beef exports to China were the largest (903 mt) since the market reopened in 2017. Through July, exports were up 15% from a year ago in volume (4,749 mt) and 4% in value ($37.8 million), though the U.S. still accounts for less than 1% of China's booming beef imports.

Lamb variety meats push July exports higher
Strong variety meat demand in Mexico and the Caribbean pushed July exports of U.S. lamb 36% higher year-over-year in volume (1,650 mt), while value increased 11% to $2.4 million — the highest since February. For January through July, lamb exports were 41% above last year's pace at 9,433 mt, while value increased 16% to $15.6 million. Muscle cut exports were lower than a year ago in volume (1,290 mt, down 16%) but edged 2% higher in value to $8.6 million. Markets showing promising muscle cut growth include the Dominican Republic, Trinidad and Tobago, Panama and Guatemala.



Weekly Ethanol Production for 8/30/2019

According to EIA data analyzed by the Renewable Fuels Association for the week ending Aug. 30, ethanol production averaged 1.013 million barrels per day (b/d)— equivalent to 42.55 million gallons daily. Output fell by 25,000 b/d, or 2.4%, from the previous week and was 6.8% below the same week last year. The four-week average ethanol production rate declined by 0.7% to 1.030 million b/d, equivalent to an annualized rate of 15.79 billion gallons.

Ethanol stocks rebounded to 23.8 million barrels ahead of the holiday weekend, increasing 3.6% to the highest level in three weeks. Stocks rose in coastal regions but declined in the Midwest (PADD 2).

Imports of ethanol into the West Coast were 26,000 b/d, or 7.64 million gallons for the week. This was the second straight week and the third time in five weeks that ethanol was imported. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of July 2019.)

The volume of gasoline supplied receded to 9.471 million b/d (397.8 million gallons per day, or 145.19 bg annualized), down 4.3% from the near-record level the previous week. Refiner/blender net inputs of ethanol eased 0.3% to 952,000 b/d, equivalent to 14.59 bg annualized.

Expressed as a percentage of daily gasoline demand, daily ethanol production rebounded to 10.70%.



USMCA MUST BE AT THE TOP OF FALL CONGRESSIONAL AGENDA
NCGA

Congress returns to Washington next week and passage of the new U.S.-Mexico-Canada Agreement (USMCA) should be at the top of their agenda.

Farmers have taken the opportunity to share this message with lawmakers at local events during the August break and are eager to see the working group process bear fruit so the agreement can move forward for consideration.

USMCA will solidify a $4.56 billion export market and provide some certainty for farmers weathering a perfect storm of challenges. Ratifying USMCA will also instill confidence in other nations that the U.S. is a reliable partner and supplier, ensuring U.S. agriculture remains competitive for generations to come.

Since NAFTA, U.S. ag exports have tripled to Canada and quintupled to Mexico. Mexico is now the top buyer of U.S. corn, purchasing 25 percent of corn exports. For more information on what these markets mean to your state - https://www.fas.usda.gov/usmca-benefits-states

Congress has a lot to do and they need to hear from you. If you haven’t done so already, ask your elected representatives to take that next step and ask leadership to schedule a vote.



Animal Agriculture Alliance prepares students to be advocates for agriculture

College students are gearing up for the Animal Agriculture Alliance’s annual College Aggies Online (CAO) Scholarship Competition which kicks off September 16. This year’s students and collegiate clubs are competing for more than $21,000 in scholarships and a chance to win a trip to the Alliance’s 2020 Stakeholders Summit. For more information or to sign up, visit https://collegeaggies.animalagalliance.org.

CAO connects college students from across the country who are interested in promoting agriculture. Individual division participants receive training from experts and engage with their peers on social media by posting information about current and emerging issues facing farmers and ranchers and telling personal stories. In the club competition, students are challenged to host events on their campus to talk about modern agriculture with their peers. Events include “Scary Food Myths” where students hand out candy with myths and facts about food and agriculture; “Undeniably Dairy” where students host a booth on their concourse about dairy farming; and “Newbies on the Farm” where students invite their peers who have never visited a farm to tour a local operation. Last year, students reached 2 million people on social media and more than 13,000 people at club events.

“College Aggies Online is an opportunity for college students who are passionate about agriculture to learn how to communicate about the industry from some of the best agriculture advocates out there,” said Casey Kinler, Alliance communications manager. “This year we doubled the number of mentors available to the students and made sure to include farmers and ranchers who are active on social media.”

Mentors for the 2019 competition include:
    Chloe Carson, Manager of Digital Communications, National Pork Producers Council
    Lukas Fricke, Hog Farmer, ChorChek Inc.
    Don Schindler, Senior Vice President of Digital Innovations, Dairy Management Inc.
    Rebecca Hilby, Dairy Farmer, Hilby Family Farm
    Cara Harbstreet, MS, RD, LD, Street Smart Nutrition
    Marissa Hake, DVM, Veterinarian, Midwest Veal, LLC/Strauss Feeds
    Beth Breeding, Vice President of Communications and Marketing, National Turkey Federation
    Jennifer Osterholt, Strategic Marketing Consultant and Farmer, Osterholt Marketing & Communications, LLC
    Virginia Beckett, Director of Issues Response and Monitoring, National Cattlemen’s Beef Association
    Elizabeth Barber, Vice President of Corporate Development, The F.L. Emmert Company
    Lauren Arbogast, Chicken Farmer, Paint The Town Ag
    Karoline Rose, Leader, KRose Company
    Michelle Jones, Grain Farmer, Big Sky Farmher
    Allison Devitre, Regulatory Scientific Affairs, Bayer Crop Science
    Jessica Peters, Dairy Farmer, Spruce Row Farm
    Michelle Miller, Sheep and Cattle Farmer, Farm Babe, LLC

CAO would not be possible without the generous support of our sponsors. 2019 sponsors include: Dairy Management Inc., Seaboard Foods, National Pork Industry Foundation, CHS Foundation, National Turkey Federation, Bayer, Cooper Family Foundation, National Corn Growers Association, Vivayic, Alltech, Biotechnology Innovation Organization, Ohio Poultry Association, Domino’s Pizza Inc., Culver's Franchising System, Pennsylvania Beef Council and National Chicken Council.



 DAIRY FARMERS OF AMERICA ADVANCING TECHNOLOGIES ON FARMS AND INNOVATIVE PRODUCTS FOR THE DAIRY CASE

Dairy Farmers of America (DFA), a national cooperative owned by family farmers across the U.S., is beginning to recruit startups for its 2020 Accelerator program, which helps mentor and grow companies in the areas of ag technology and dairy food products.

For the 2020 program, DFA is seeking early stage food product companies that are dairy-focused or dairy-based. On the ag tech front, DFA is looking for companies with ag-tech applications related to any portion of the dairy value chain, including but not limited to product testing, data management, herd health and management, supply chain optimization, sustainability and traceability.

“For the food vertical, we’re looking to find companies that are doing new and interesting things with dairy as the main component,” says Doug Dresslaer, Director of Innovation at DFA. “With ag tech, our goal is to identify companies with applications or technologies that can help us improve processes or reduce margins to ultimately enhance productivity on our members’ farms.”

Ag tech categories of particular interest to DFA include dairy ERP systems, drone technologies, robotics and automation technologies for the farm, sensor technologies in agronomy, digester efficiency and new technology in animal health around mastitis.

A 90-Day Program with a Focus on the Long-Term
The DFA Accelerator is a 90-day immersive program, with a combination of on-site meetings and virtual programs to provide training, growth opportunities and mentorship. Most startup participants typically spend about four weeks in Kansas City, where DFA is headquartered.

Throughout the program, startups have numerous opportunities to meet with a variety of DFA executives and other relevant investors and industry leaders. Participants also receive guidance and advice on business development, product development, marketing and other key aspects of startup growth.

Dresslaer adds, “Ultimately, we’re looking for companies where we see long-term potential, as the end goal is to hopefully help and partner with them in some way.”

Additional details and applications are available at DFA Accelerator. The 2020 DFA Accelerator program will begin on March 30, 2020.



Syngenta introduces new soybean seed treatment for superior Sudden Death Syndrome protection

Syngenta announced today its newest seed treatment, Saltro® fungicide, has received registration by the U.S. Environmental Protection Agency (EPA). Formulated to deliver superior protection against Sudden Death Syndrome (SDS) and nematodes without causing plant stress, Saltro will be available for the 2020 growing season. Saltro contains Adepidyn® fungicide, an extremely powerful SDHI mode of action, which outperforms older chemistries and provides higher potential yield.

“For the first time ever, growers will have a seed treatment option for protecting their soybeans against SDS and nematodes that doesn’t cause additional stress on the plant and enables soybeans to reach their full genetic potential,” said Dale Ireland, Ph.D., technical product lead for Syngenta Seedcare. “With Saltro, we’ve seen a statistically significant yield increase of 3 bu/A over the current standard in heavy SDS environments1. It’s definitely an upgrade for SDS protection.”

Saltro also delivers robust activity across a broad spectrum of nematode species, including Soybean Cyst Nematode (SCN) – the No. 1 yield-robbing pest in soybeans and a major contributor to SDS infection.

“SDS and SCN are large concerns for soybean growers,” said Ireland. “Severe SDS infection can cause up to 50% yield loss2, and SCN has cost about $1.5 billion in U.S. yield loss3. Since Saltro provides protection against both, it will complement SDS- and SCN-resistant varieties to help soybeans maximize their yield potential.”

Beyond the SDS and nematode protection Saltro provides, growers can also look forward to their soybeans having better stands, healthier leaves and more robust early-season root mass development.

“With earlier planting programs and erratic weather, the last thing a grower needs at the beginning of the season is additional stress on their soybeans from their seed treatment,” said Paul Oklesh, product lead for Syngenta Seedcare. “Growers have come to expect that they have to give up early-season plant health in order to get SDS protection, but with Saltro, that’s no longer true. Saltro provides superior SDS protection without the stress, ensuring soybeans are not only getting a new standard of SDS protection, but also a strong start upon emergence.”

Although soybeans can outgrow the side effects from early-season aboveground stress, they may not fully recover from the lower yield potential caused by belowground stress affecting the roots.

“Whether it is caused by disease, nematodes or their choice of seed treatment, growers never want fewer roots in their crop,” said Ireland. “Everyone wants to establish a robust early root system that maximizes the genetic potential of the soybean plant. Saltro does a much better job of allowing soybeans to do just that.”

With powerful SDS protection and the additional benefits of healthier root mass, better plant stands and quicker speed to canopy, Saltro demonstrates Syngenta’s commitment to accelerating innovation to address the increasing challenges for growers. Syngenta invests in technologies to bring about lasting change for sustainable agriculture, and Saltro is the latest new technology that can change the way growers protect their soybeans and improve their yield potential.