Thursday May 7 Ag News

Fischer Highlights COVID-19 Impact to Agriculture on Fox News

Today, U.S. Senator Deb Fischer (R-Neb.), a member of the Senate Agriculture Committee, appeared on America’s Newsroom on Fox News, where she outlined the severe consequences of the outbreak of COVID-19 on agriculture and called for an investigation into possible anticompetitive behavior in the beef supply chain.

“Right now, we are seeing great prices for the packers. I understand that markets cycle up and down but when you have such a discrepancy in prices compared to the family famer working on his ranch to produce that critter which is going to end up as a good steak, that needs to be looked into…We want to make sure we have a supply chain that works well for all participants—and we also want to make sure we have good protein on our shelves,” said Senator Fischer during the interview.

More information:
Senator Fischer has taken steps in recent months to protect Nebraska agriculture and ensure integrity in the beef supply chain. This week, she supported a letter written by 10 state attorneys general calling for the Department of Justice to investigate potential anticompetitive activity in the cattle industry.

Senator Fischer also wrote to Senate Judiciary Antitrust Subcommittee leadership calling for a public hearing to examine competition and claims of possible market manipulation. Consequently, Chairman Mike Lee (R-Utah) and Ranking Member Amy Klobuchar (D-Minn.) wrote their own letter to the DoJ calling for investigations into potential anticompetitive activity.



Local Startup, Presage Analytics, Develops COVID-19 Tracking Software for Meat Processing Facilities

Presage Analytics, a Lincoln, NE startup founded in 2013, announced their initial release of a COVID-19 traceability module to their software package. The software update will allow food processing facilities, including meat processors in Nebraska, to implement and track COVID-19 CDC best-practices in their facilities.

“When I saw the number of cases growing at meat processing facilities in Nebraska and neighboring states, I knew that we had to do what we could to help keep workers safe,” said Gwyn Evans, Presage Product Director.

“We work with large national food processing companies to ensure that they have the data they need to keep their production lines and workers safe,” continued Evans. “This was taking the best practices from the CDC and applying it to what we are already doing.”

Presage Analytics piloted their software five years ago in partnership with local food processing plant, SmartChicken. The software tracks microbial counts on production lines and uses predictive analysis to identify areas that need decontamination before they become a problem.

“Keeping frontline workers and consumers safe is what made this an interesting partnership with NUTech Ventures and professors at the University of Nebraska Lincoln,” said Matthew Wegener, President of Presage Analytics.

“We moved our team as quickly as possible to start coming up with solutions to help keep workers safe on production lines for our state and our community,” continued Wegener.

The Presage COVID-19 module provides expanded tracing capabilities, helping ensure worker and facility safety during the pandemic. It uses a mobile friendly interface to help facilities screen employees and visitors based on CDC guidelines. It also allows companies to track sanitation and incidents throughout the facility to map and visualize the movement of employees throughout the facility.



Nebraska Beef Council Board Meeting May 19, 2020

The Nebraska Beef Council Board of Directors will have a zoom meeting at the NBC office in Kearney located at 1319 Central Ave. on Tuesday, May 19, 2020 beginning at 12:00 p.m. CDT. The NBC Board of Directors will discuss USMEF Foreign Marketing opportunities. For more information, please contact Pam Esslinger at pam@nebeef.org 



CASNR community leaves lasting impact on Kobza

Anna Kobza, a senior animal science major in the College of Agricultural Sciences and Natural Resources, is set to graduate Saturday, May 9 during the University of Nebraska-Lincoln’s virtual ceremony.

 Kobza, like other college seniors from UNL and all across the country, saw her final semester of college interrupted by COVID-19.

“You don’t feel as connected to your surroundings when there is not as many people buzzing by you,” Kobza said. “The best part of being on East Campus is we were coming out of winter, ready for springtime blooms, the sun and socializing with friends.”

Despite the unexpected end to her CASNR career, Kobza loved her time on East Campus and is grateful she chose UNL.

“That was one of the best decisions I’ve made even, though it was the most obvious decision I made when I was a senior in high school,” she said. “I ended up loving it a lot more than I thought I would.”

The David City native grew up helping on her grandparent’s operation nearby, caring for and showing calves at the local Butler County Fair. Her interest in livestock led her to take part in the Nebraska Beef Industry Scholars program.

Kobza’s grandfather started one of the first feed yards in Nebraska, and Kobza inherited his entrepreneurial spirit, which led her to join the Engler Agribusiness Entrepreneurship Program, one of her minors at the university.

In her four years on campus, Kobza became involved with many organizations, including Block and Bridle, Nebraska Farm Bureau, and Collegiate Cattlemen, among others. But her favorite parts of her UNL experience were her animal science classes.

“Honestly I love the fact that I got to go to class every day in a barn,” Kobza said. “I was in the animal science building most of the time and walking into it, it smelled like horses and cattle. Being exposed to that every day for most of my college career was something I love.”

Kobza was in the animal science building when she learned that classes would move online for the remainder of the semester.  As she left class, she realized shes was likely walking out of the building for the last time.

“I didn’t process the situation right away, but it hit me like a rock eventually,” she said. “I had to say goodbye to a bunch of people before I wanted to. That’s the part I hated the most,” Kobza said.

Kobza says she continues to stay in touch with college friends, many of whom come from family operations in agriculture. She recently traveled to a help a friend at Schuler Red Angus in the Panhandle with branding calves and other spring work on the ranch.

“It’s fun to go help them on their operations when you get the chance and keeping in touch over text, checking in on each other. I think that is really important,” Kobza said.

As Kobza finishes her final projects of her undergraduate career she holds onto memories, lifelong friendships and the top-notch education she has gained in CASNR.

“It’s disheartening to finish your classes and finals and that’s it,” she said. “It doesn’t really feel like you finished anything. You don’t get that affirmation of knowing that you graduated, and completed it because we don’t get a chance to walk at Pinnacle Bank Arena, shake Ronnie Green’s hand or receive a diploma. It doesn’t feel real honestly, it doesn’t feel like it’s ending.”

However, Kobza’s Husker grit, professional network and passion for beef production has prepared her for the next chapter of life.

Kobza will begin her graduate education this fall at West Texas A&M, and she hopes to get her doctorate and may return to the beef state. Ultimately, she would like to work as a consulting nutritionist for beef producers.

Along with expanding her own commercial cow-calf herd and her agricultural advocacy social presence, @ag.acknowledged, Kobza continues to set goals for herself.

“I’d like to start my own company and work for myself eventually, even though it might not be right away – on a consulting business around nutrition, herd management and overall production management,” said said.

Kobza will continue to provide advice for CASNR students as she moves onto the next chapter of her education.

“Go out and do the things, even if you want to or not – you might end up liking something it’s just getting figured out what you do like in terms of career or social aspects. Put yourself out there and make the connections,” Kobza said.



IRFA Encourages Iowa Retailers to Apply for USDA Biofuel Infrastructure Program Grants to Add Higher Blends

This week USDA released guidance on the Higher Blends Infrastructure Incentive Program (HBIIP) and the Iowa Renewable Fuels Association is offering support and encouraging Iowa fuel retailers to take steps now to streamline the application process.

HBIIP is designed to provide U.S. fuel retailers with 50% cost-share grants up to $5 million to upgrade fuel infrastructure to offer higher biofuel blends. The Online Application System is expected to become available on May 15, but there are steps retailers can take today to ensure the application process is as smooth as possible. The Iowa Renewable Fuels Association (IRFA) is offering resources and assistance to help Iowa fuel retailers prepare and apply for the HBIIP grants.

“We will do everything we can to help Iowa retailers leverage this program to the greatest extent possible and we encourage all who are interested in adding biofuels to their stations to start this process now,” said IRFA Marketing Director Lisa Coffelt. “We are excited to see USDA following through on this infrastructure program, which is necessary to aid in the growth of Unleaded88 and other higher ethanol and biodiesel blends in the fuel marketplace.” 



Farm Bankruptcies on the Rise Amid COVID-19 Pandemic

Year-to-year farm bankruptcies increased 23 percent, according to recently released data from U.S. Courts. An American Farm Bureau Federation Market Intel report shows a total of 627 filings during the 12-month period ending March 2020, marking five consecutive years of Chapter 12 bankruptcy increases, including an accelerated rate since January.

Wisconsin was the hardest hit with 78 filings in the 12-month period, followed by Nebraska with 41 Chapter 12 filings and Iowa at 37. More than 50 percent of the Chapter 12 filings were in the 13-state Midwest region, followed by 19 percent in the Southeast.

“Each bankruptcy represents a farm in America struggling to survive or going under, which is both heartbreaking and alarming,” said American Farm Bureau President Zippy Duvall. “Even more concerning, the difficulty staying afloat is made worse by the pandemic and related shutdowns as farmers are left with fewer markets for their products and lower prices for the products they do sell.”

Currently, the increase in bankruptcies is not related to the coronavirus pandemic. That is certain to change as U.S. unemployment is projected to reach 14.5% in the second and third quarters, which will cause a decline in off-farm income. This could affect farmers’, notably small-to-medium-sized farms’, ability to service a record $425 billion in debt, because many farmers rely on off-farm income as a stabilizing force.

“Congress and the administration made an initial investment in America’s farmers and ranchers with the $19 billion Coronavirus Food Assistance Program,” said President Duvall, “but more must be done to ensure farms survive to continue providing food for America’s families during the pandemic and beyond.”

Read the Market Intel report here... https://www.fb.org/market-intel/covid-19-will-likely-push-farm-bankruptcies-higher. 



ASA Comments to EPA Support Neonicotinoid Registration

The American Soybean Association submitted comments to EPA this week in support of the registration review of three neonicotinoids commonly used by U.S. soy growers.

In the comments, ASA reiterated that it’s critical for tools like imidacloprid, clothianidin and thiamethoxam to remain available to farmers to continue the safe and affordable production of food, as insects are an enormous source of crop loss domestically and globally.

“Pesticides are only one of the tools we use to do that, but they are important. With the right products available, growers can produce more abundant and affordable products while reducing impacts to the environment,” ASA states.

ASA says the tools are valuable and sited a 2014 study finding if neonicotinoids were significantly restricted or unavailable, it would result in an annual net increase of $848 million for U.S. growers, more than $100 million of which would fall on soybean farmers.

“We rely on the Environmental Protection Agency (EPA) to thoroughly review crop protection tools for their availability, benefits, and impact on human health and the environment,” ASA states. “Any efforts to make this process duplicative and more burdensome without any demonstrated benefit to human health or the environment should be rejected.”



Fertilizer Prices Post Minimal Increases

Retail fertilizer prices remain flat compared to last month, with the average price of all eight major fertilizers moving by $3/ton or less, according to prices tracked by DTN for the third week of April 2020.

Six fertilizers were higher in price compared to last month, but none of them were up a significant amount, which DTN considers 5% or more. DAP has an average price of $410/ton, up $1; urea $385/ton, up $3; 10-34-0 $468/ton, up $2; anhydrous $492/ton, $1; UAN28 $236/ton, up $1; and UAN32 $279/ton, up $1.

The remaining two fertilizers had a slightly lower price with MAP averaging $433/ton, down $1, and potash $370/ton, down fractionally from last month.

On a price per pound of nitrogen basis, the average urea price was at $0.42/lb.N, anhydrous $0.30/lb.N, UAN28 $0.42/lb.N and UAN32 $0.44/lb.N.

Retail fertilizers are now all lower in price from a year ago. Both DAP and MAP are 18% lower, anhydrous is 17% less expensive, UAN28 and UAN32 are both 12% lower, urea is 6% less expensive, potash is 5% lower and 10-34-0 is 3% less expensive from last year at this time.



NBB Applauds Commerce Decision to Maintain Duties on Argentine Biodiesel

The National Biodiesel Board (NBB) today welcomed the Department of Commerce's final determination in its "changed circumstances review" of antidumping duty (AD) and countervailing duty (CVD) orders on imports of Argentine biodiesel. Commerce determined that there are no "changed circumstances" that would warrant changes in U.S. duty rates. As a result, the rates on biodiesel imports from Argentina will remain at their current levels.

Kurt Kovarik, NBB's VP of Federal Affairs, said, "NBB's Fair Trade Coalition fought hard for this outcome, and we certainly appreciate Secretary Wilbur Ross and the Trump administration for supporting U.S. biodiesel producers at a critical moment. We are grateful for their consistent willingness to listen to the U.S. biodiesel industry. The Department of Commerce took the time necessary to fully evaluate the status of Argentina's export tax regime and make the right decision.

"Also critical to this outcome is the support and leadership of Senators Chuck Grassley and Maria Cantwell along with Representative Darren LaHood. We greatly appreciate their steadfast support for the U.S. biodiesel industry and America's soybean farmers. U.S. biodiesel producers appreciate their help in amplifying the industry’s push for fair trade conditions."

-    In January 2018, following a lengthy investigation that found U.S. biodiesel producers were harmed by unfair trade practices, Commerce finalized antidumping and countervailing duty rates on Argentine biodiesel imports. The combined AD and CVD rates range from 132.72% to 157.86%.

-    In November 2018, Commerce granted Argentina's request for a "changed circumstances" review, based on that government's alleged changes in its export tax regime.

-    In July 2019, Commerce issued a preliminary decision that would have virtually eliminated CVD rates for Argentina's biodiesel producers, while maintaining AD rates.

-    Today, Commerce is issuing its final determination, maintaining both AD and CVD rates. The final determination will be published in the Federal Register at a later date.



Ernst, Smith, Bipartisan Senators Reject Legality of Waiving the RFS, Call on Administration to Protect Biofuels

U.S. Senators Joni Ernst (R-IA), a relentless advocate for Iowa’s biofuels community, and Tina Smith (D-MN) are leading a bipartisan effort with Chuck Grassley (R-IA), and Debbie Stabenow (D-MI) in urging the Trump Administration to uphold the Renewable Fuel Standard (RFS) and reject requests for the RFS to be waived.

In a bipartisan letter to the president, Ernst and her colleagues explain the importance of upholding the RFS, especially during COVID-19 which has already caused harm to the biofuels community, and the detrimental impacts a waiver would have on employment, farmers, food security, fuel prices, and the environment.

In a letter to President Trump, Ernst and her colleagues write, “Waiving the RFS would cause further harm to the U.S. economy, especially our most vulnerable rural communities. It would also exacerbate the effects experienced by the biofuel sector as a result of COVID-19, causing far-reaching detrimental impacts on employment, farmers, food security, fuel prices, and the environment. The resiliency of America’s renewable fuel industry has already suffered as a result of the EPA’s drastic expansion of the small refinery waiver program in recent years.”

Further, the senators reject the legality of the waivers, “Recent requests for a waiver of the RFS are unjustified and clearly do not satisfy the rigorous requirements necessary for EPA consideration. RFS waivers can only be granted by EPA if there is a demonstration of ‘severe harm’ to the economy or environment of a state, region or the United States that is directly caused by the RFS. None of these standards are met today and the following reasons clearly demonstrate the case for rejecting the waiver requests…” 

“Corn farmers appreciate Senators Ernst, Smith, Grassley and Stabenow leading this effort in support of farmers and the RFS,” said Kevin Ross, Iowa farmer and president of the National Corn Growers Association (NCGA). “We need to maintain markets, not take them away. With the significant shut down of ethanol production already reducing corn demand and impacting corn prices, unjustified requests to undermine the RFS would bring more economic harm to agriculture. Corn farmers thank the Senators for sending a clear message to reject attempts to waive RFS requirements and make a difficult situation worse.”

Background:
This letter builds on Ernst’s efforts to support Iowa’s biofuels community during COVID-19. Last month, Ernst called for the U.S. Department of Agriculture (USDA) to provide additional funds to the biofuels industry through the Commodity Credit Corporation (CCC), which was bolstered by the bipartisan Phase 3 relief package she helped passed.



Growth Energy Applauds Senator Letter Rejecting Attack on U.S. Biofuels

Growth Energy CEO Emily Skor thanked 24 senators, who sent a letter calling on President Trump to reject oil-backed efforts to eliminate the biofuels industry under the Renewable Fuel Standard (RFS). Led by U.S. Senators Joni Ernst (R-Iowa), Tina Smith (D-Minn.), Chuck Grassley (R-Iowa), and Debbie Stabenow (D-Mich.), the senators wrote that waiving the RFS would “exacerbate the effects experienced by the biofuel sector as a result of COVID-19, causing far-reaching detrimental impacts on employment, farmers, food security, fuel prices, and the environment.” 
 
“We’re grateful to our champions who are standing shoulder to shoulder with rural communities confronting a wave of biofuel plant closures, farm bankruptcies, and demand destruction amid the COVID-19 pandemic,” said Growth Energy CEO Emily Skor. “The oil industry’s transparent attempts to capitalize on the current health crisis to steal markets from farmers and biofuel producers threatens to dash hopes of an economic recovery in America’s farm belt.  Our lawmakers and governors have made it clear that any move to further weaken biofuel markets is a non-starter, and we urge the administration to swiftly reject oil-backed attacks on the RFS.
 
“Now, more than ever, we need leaders to stand up for rural America and deliver the urgent relief our industry needs to protect biofuel jobs and their vital role in the agricultural supply chain – from producing animal feed for livestock operations to carbon dioxide for meatpackers and municipal water treatment.”
 
The senators also debunked false claims that complying with the RFS negatively impacts refiners and warned President Trump that “Removing biofuels from gasoline and diesel will also lead to an increase of greenhouse gas emissions, particulate matter, and toxins – causing degradation to our air quality.” Their message echoes concerns raised earlier this month by five U.S. governors, who wrote that “Using this global pandemic as an excuse to undercut the RFS is not just illegal; it would also sever the economic lifeline that renewable fuels provide for farmers, workers and rural communities across the Midwest.”



NBB Thanks 24 Senators for Opposing RFS Waiver

Today, Sens. Joni Ernst (R-IA), Tina Smith (D-MN), Chuck Grassley (R-IA), Debbie Stabenow (D-MI), and 20 additional senators sent a letter to EPA Administrator Andrew Wheeler urging him to immediately reject petitions for a general waiver of the 2020 Renewable Fuel Standard. The National Biodiesel Board (NBB) thanks the Senators for supporting biodiesel producers and echoes their conclusion that waiving the RFS will cause unnecessary harm to the rural economy.

Kurt Kovarik, NBB's VP of Federal Affairs, said, "America's biodiesel producers appreciate the strong leadership of Senators Ernst, Smith, Grassley and Stabenow in opposing efforts to undermine the Renewable Fuel Standard. Biodiesel and renewable diesel producers are an important part of the nation's critical agriculture infrastructure, which is already experiencing painful effects of the national economic crisis. Maintaining a strong RFS will be important to the rural economy's recovery.

"An RFS waiver would simply prevent biofuel producers, farmers and other agricultural sectors from fully sharing in any economic recovery this year. RFS requirements do not contribute to the crisis, because they are set as percentages that rise and fall in direct proportion with transportation fuel demand."



RFA Thanks Senators for Letter to President Defending Renewable Fuel Standard

The Renewable Fuels Association today thanked a bipartisan group of 24 U.S. senators, led by Sens. Tina Smith, Joni Ernst, Debbie Stabenow and Chuck Grassley, for sending a letter to President Trump that strongly urges him to uphold the Renewable Fuel Standard and reject oil industry efforts to waive renewable fuel blending obligations.

“We applaud these senators for fighting to protect the livelihood of American farmers and the 350,000 jobs supported by the U.S. ethanol industry," said RFA President and CEO Geoff Cooper. "We join these leaders in asking the administration to stand up for the Renewable Fuel Standard, which has promoted energy diversity, strengthened the heartland’s economy, reduced emissions, and lowered consumer fuel costs for a decade and a half. These senators recognize that recent waiver requests are nothing more than a shameless attempt by oil refiners to seize on a global public health crisis to advance their long-standing political agenda. Now is not the time to abandon this vital policy, especially when so many jobs are on the line in the midst of an unprecedented economic crisis. We are truly grateful that these senators understand that.”

Cooper noted that, as of Wednesday, roughly half of the ethanol industry’s production capacity remained offline, and nearly three-quarters of the nation’s ethanol plants were fully idled or had greatly reduced output rates.

“Ethanol plant closures don’t just affect our nation’s fuel supply; they also affect the supply of other critical products made by the industry, such as high-protein feed for livestock and poultry producers and captured carbon dioxide, which is an important product for food and beverage processing and other industries. Shutting down, or even slowing down, our diverse product line has significant ripple effects throughout the entire U.S. economy.”

In a letter to U.S. Environmental Protection Agency Administrator Andrew Wheeler last month, RFA similarly pointed out that these RFS waiver requests are completely unjustified and do not satisfy statutory requirements.



ASI Completes Secure Sheep & Wool Supply Plan

The American Sheep Industry Association has completed the development of the Secure Sheep and Wool Supply Plan for Business Continuity in a Foot and Mouth Disease Outbreak. ASI worked with the Center for Food Security and Public Health at the Iowa State University College of Veterinary Medicine to develop this plan.

The sheep industry is a diverse industry producing quality meat and wool products under a variety of management and environmental conditions. The Secure Sheep and Wool Supply Plan focuses on business continuity in the event of a FMD outbreak. FMD is the most highly contagious disease of livestock and affects domestic cloven-hoofed animals (cattle, swine, sheep and goats) and many wild animals (deer, bison, pronghorn antelope and feral swine). FMD is not a food safety or public health concern.

Having the Secure Sheep and Wool Supply Plan in place prior to an FMD outbreak is critical for food security and animal health and well-being. The Secure Sheep and Wool Supply Plan will facilitate the safe movement of sheep and wool with no evidence of disease from farms in an FMD control area to harvest channels or to other farms. The Secure Sheep and Wool Supply Plan will enhance coordination and communication between all parties, speed up a successful FMD response, and support continuity of operations for sheep producers and associated industries.

"The industry is pleased to have completed this plan with the assistance of the Iowa State's Center for Food Security and Public Health and the volunteers that served on the stakeholder group," said ASI President Benny Cox of Texas. "ASI funded this project because it is important for our producers to have a plan to follow to ensure the economic viability of the American sheep and wool industry during an FMD outbreak."

The poultry, beef, milk and pork industries have worked collaboratively with the U.S. Department of Agriculture, state animal health officials and academia to develop business continuity plans for their industries. The Secure Sheep and Wool Supply Plan is consistent with USDA's FMD response goals and other Secure Food Supply Plans to maintain business continuity for sheep and wool producers (whose animals are not infected with FMD) and processors and to provide a safe, continuous supply of lamb, mutton and wool for consumers.

More information on current the Secure Sheep and Wool Supply Plan visit  https://securesheepwool.org/.



Corteva Reports Q1 Net Sales Up 16 Percent

Corteva, Inc., Wednesday reported financial results for the quarter ended March 31, 2020.

First quarter 2020 reported net sales were $4.0 billion, up 16% versus the year-ago period, with double-digit organic sales growth in every region.

Seed sales rose 25% on a reported basis and 27% on an organic basis primarily due to increased corn deliveries in North America, coupled with strong sunflower and corn sales in Europe.

Crop protection sales improved 5% on a reported basis and 10% on an organic basis due to increased demand for new products globally, including Arylex and Enlist herbicides.

The company continues to monitor near-term operating conditions with a focus on business continuity -- and maintains strong liquidity via commercial paper markets and $8 billion in credit facilities, cash and cash equivalents.