Wednesday July 8 Ag News

Nebraska farm real estate values increase for first time since 2014

Nebraska agricultural land values increased by 3 percent over the last year, to a statewide average of $2,725 per acre, according to the final results of the University of Nebraska-Lincoln’s 2020 Farm Real Estate Report. This marks the first annual increase since land values in the state peaked at $3,315 per acre in 2014.

Survey participants reported that 1031 tax exchanges, non-farmer investor interest in land purchases and current interest rate levels contributed to higher market values. These forces were reported as slightly positive in impacting future land values prior to the domestic outbreak of COVID-19.

Estimated dryland cropland values in the state rose between 3 percent and 4 percent, while the values of gravity and center pivot irrigated cropland rose 1 percent and 3 percent, respectively. However, the Northwest and Southwest Districts saw declines between 2 percent and 5 percent for the two land classes.

Grazing land and hayland value estimates also rose between 2 percent and 5 percent over the last year, with slight declines in two districts. Major cow-calf pair regions, including the Northwest, North and Central Districts, led the increase in market values, with growth between 6 percent and 8 percent.

Many cash rental rates in Nebraska were set prior to the economic shocks caused by COVID-19. The survey collection period for the Nebraska Farm Real Estate Report may partially reflect these rates and not account for possible adjustments. Landlords and tenants might consider amending contracts to account for these shocks or consider the use of alternative lease arrangements.

The Nebraska Farm Real Estate Report is an annual survey conducted by the university’s Department of Agricultural Economics of land professionals including appraisers, farm and ranch managers and agricultural bankers. Results from the survey are divided by land class and agricultural statistic districts. Land values and rental rates presented in the report are averages of survey participants' responses by district. Actual land values and rental rates may vary depending upon the quality of the parcel and local market for an area.

The final report is available at agecon.unl.edu/realestate. A webinar covering the report’s findings will be held on Thursday, July 16. Registration can be completed at go.unl.edu/manage2020.



Lindsay Corp. Acquires North America's Net Irrigate

Lindsay Corporation, a leading global manufacturer and distributor of irrigation and infrastructure equipment and technology, announces the acquisition of Net Irrigate, LLC, an agriculture Internet of Things technology company that provides remote monitoring solutions for irrigation customers. Net Irrigate will join Lindsay's FieldNET brand of remote irrigation monitoring and control solutions.

The acquisition furthers the two companies' shared goals of delivering innovative real-world solutions to help growers increase water and energy efficiency and exercise more sustainable farming practices while operating and maintaining irrigation systems.

"We are excited to welcome Net Irrigate customers and employees to the Lindsay family, and eager to combine the expertise of our teams and strengths of our products," said Randy Wood, President of the Irrigation Division at Lindsay. "Net Irrigate was an early pioneer in the Industrial Internet of Things space, particularly related to remote monitoring of center pivot irrigation systems. As such, they have built a large customer base that will now have access to additional functionality and solutions with Lindsay's industry-leading FieldNET irrigation technology offering."

Founded in 2006, Net Irrigate builds customized remote monitoring devices and reporting software for large farms and government agencies associated with ground and surface water conservation. In 2010, the company released its flagship WireRat brand, which led to the reduction of copper theft on center pivots in several areas of the United States and Canada. Net Irrigate has deployed more than 10,000 monitoring devices, including its CircleScout remote irrigation management hardware and software solution, across 2,000+ agricultural enterprises.

"We believe this integration will enhance the existing Net Irrigate customer experience, and we are excited about the opportunity to bring more capabilities to Lindsay," said Eddie DeSalle, founder of Net Irrigate. "Caring for Net Irrigate customers is our top priority through this integration. They can rest assured that existing Net Irrigate products will continue to be supported and work as expected this season. We are looking forward to introducing them to the excellent FieldNET Support Team who, along with the Net Irrigate team, will ensure customers are well supported. Meanwhile, our respective teams internally are working diligently to help deliver the best possible experience, leveraging everything FieldNET has to offer."

Integration work is in the early stages, and both companies are committed to ensuring a smooth transition for Net Irrigate customers and employees.



Jointly Funded Project Will Look for Gaps in US Pork Industry Biosecurity

The National Pork Board (NPB) and Swine Health Information Center (SHIC) are funding a 12-month long project, with the collaboration of the National Pork Producers Council and the American Association of Swine Veterinarians, to identify gaps in U.S. pork industry national biosecurity. The goal is to prevent entry of foreign animal disease (FAD) into the country by addressing the identified biosecurity gaps. The National Swine Disease Council (NSDC) represents all of these organizations collectively and provides oversight to the project. Following a competitive proposal process, the NSDC awarded EpiX Analytics of Fort Collins, Colorado, with the project.

As the industry has witnessed the recent spread of African swine fever (ASF) in Russia, Europe, and Asia as well as the distraction of the current COVID-19 pandemic, it served as a stark reminder of protecting the U.S. pork industry from FADs. The economic repercussions of the introduction of FADs into the U.S are enormous, making it imperative to protect the industry.

“The National Pork Board supports the leadership provided by the National Swine Disease Council in making this decision to fund research designed to improve the industry’s biosecurity capabilities,” said Dave Pyburn, Chief Veterinarian with the Pork Checkoff. “The council, led by producers, is doing a great job in moving quickly to keep important work like this moving forward during this stressful time in the industry.”

In announcing the award of the funding, Dr. Paul Sundberg, SHIC executive director, stated, “This project will create a rigorous, science-and risk-based foundation for looking at the domestic pork industry. The information developed from this study will help producers to protect their industry and continue their worldwide competitiveness. We believe identification and prioritization of biosecurity gaps will not only protect the industry from ASF and other FADs, it may also improve efficiency of production by reducing the impact of endemic swine diseases.”

The project will not only identify and prioritize biosecurity gaps within the U.S. pork industry, it will provide direction for corrective or additional measures of value. In the process, EpiX Analytics will point out potential mechanisms through which FADs can be introduced, spread, and affect the domestic pork industry, employing a unique approach including:
·        A risk-based analysis considering both probability and impact
·        Building on established, peer-reviewed, and validated framework
·        Being grounded in science and evidence
·        Incorporating expertise and data from the US industry

ASF will be used as a model for other FADs due to the virus’s resiliency as well as the great concern surrounding it in the industry. Among the many areas being considered for study are foreign imports, entry of foreign travelers, domestic transportation of animals, common inputs to U.S. production, domestic market channels and others. The outcomes will include details if biosecurity gaps are identified, including data sources and uncertainty in risk estimates.

This joint project reflects the commitment of SHIC, NPB, NPPC, AASV, and the National Swine Disease Council to serve and inform U.S. pork producers. Concern over the possibility of ASF reaching the U.S. drives this study which is anticipated deliver benefits for prevention, production, and security.



Boehringer Ingelheim Awarded Contract for Vaccine Bank to Help Protect US Livestock from Foot and Mouth Disease

The U.S. Department of Agriculture (USDA) has awarded Boehringer Ingelheim a contract to help supply a vaccine bank that will protect U.S. livestock from foot-and-mouth disease.

The contract calls for Boehringer Ingelheim to create and maintain a strategic reserve of frozen vaccine antigen concentrate that the company could quickly formulate into a vaccine for foot-and-mouth disease (FMD) in the event of an outbreak in the U.S.

The National Animal Vaccine and Veterinary Countermeasures Bank, commonly known as the U.S. vaccine bank, will let the U.S. stockpile veterinary vaccines and other materials to use in the event of an outbreak of a high-impact foreign animal disease.

FMD is a highly contagious viral disease that can affect cattle, pigs, sheep, goats and other animals with divided hooves. It does not affect people. The U.S. eradicated FMD in 1929, but an outbreak could devastate the livestock industry and, consequently, our national food supply, if left unchecked.

"Boehringer Ingelheim has proudly supported the U.S. livestock industry for decades as a leader in animal vaccine technology," said Everett Hoekstra, President of Boehringer Ingelheim Animal Health USA Inc. "Infectious animal diseases can disrupt our food supply, and governments make significant investments to help prevent and prepare for such events."

"As a global leader in the storage and management of FMD vaccine banks, with FMD expertise dating back more than 70 years, Boehringer Ingelheim constantly monitors emerging disease threats," said Steve Boren, Vice President of the U.S. Livestock Business at Boehringer Ingelheim Animal Health.

Veterinarians, researchers and livestock leaders have long worried about the possibility of an outbreak of foot-and-mouth disease in the United States. Congress set aside money in the 2018 Farm Bill for the vaccine bank and other measures to guard against foreign animal disease outbreaks.

The USDA's Animal and Plant Health Inspection Service is responsible for overseeing the National Animal Vaccine and Veterinary Countermeasures Bank.



NPPC Applauds USDA for First Significant FMD Vaccine Bank Purchase

The establishment of a robust Foot-and-Mouth Disease (FMD) vaccine bank—a top, long-term priority for the National Pork Producers Council (NPPC)—came closer to reality today as the United States Department of Agriculture (USDA) announced its first significant vaccine purchase. NPPC was instrumental in advocating for establishment of the FMD vaccine bank as part of the 2018 Farm Bill.

Currently, the USDA, which has prescribed vaccination for dealing with an FMD outbreak, does not have access to enough vaccine should an outbreak occur. FMD is an infectious viral disease that affects cloven-hooved animals, including cattle, pigs and sheep; it is not a food safety or human health threat. The disease is endemic in many parts of the world and would have widespread, long-term fallout for livestock and crop agriculture, including the immediate loss of export markets.

“Today’s announcement is momentous, representing years of NPPC advocacy to ensure U.S. agriculture is protected should we have an FMD outbreak,” said NPPC President Howard “AV” Roth, a hog farmer from Wauzeka, Wisconsin. “While U.S. pork producers and other farmers face significant challenges and uncertainty due to the COVID-19 pandemic, a solution to FMD preparedness is in our grasp. We thank USDA and especially Under Secretary for Marketing and Regulatory Programs Greg Ibach for proceeding with such an important effort and look forward to continuing to work with the agency to ensure the FMD vaccine bank is adequately stocked.”

The 2018 Farm Bill provided $150 million in mandatory funding over the next five years for the FMD vaccine bank, the National Animal Health Laboratory Network and the National Animal Disease Preparedness Program.

According to Iowa State University research, an FMD outbreak would result in $128 billion in losses for the beef and pork sectors, $44 billion and $25 billion, respectively, to the corn and soybean farmers, and job losses of more than 1.5 million across U.S. agriculture over 10 years.



NCBA Welcomes Forward Progress On FMD Vaccine Bank

The National Cattlemen’s Beef Association's (NCBA) today released the following statement in response to the United States Department of Agriculture (USDA) securing contracts worth $27.1 million to provide foot-and-mouth disease (FMD) vaccines for the National Animal Vaccine and Veterinary Countermeasures Bank (NAVVCB) that was created in the 2018 Farm Bill at the request of NCBA:

"We are pleased to see USDA is moving forward with creating a supply of FMD vaccines in the NAVVCB to ensure ranchers and farmers have timely access to a critical tool in the fight against foreign animal diseases, such as FMD. This is a promising first step forward to begin the work authorized in the 2018 Farm Bill; but, more action is needed to strengthen this newly created vaccine bank," said NCBA Executive Director of Government Affairs, Allison Rivera. "NCBA will continue to work with USDA, Congress, and other stakeholders to secure future funding, making certain that the entire cattle industry is better prepared for a possible outbreak of FMD.”

NAVVCB is one component of a three-part program established by the 2018 Farm Bill to comprehensively support animal disease prevention and management. This new program adds to the nation’s level of protection against this devastating disease. In the event of an outbreak, animal health officials would decide when, where, and how to use the available vaccine based on the circumstances of the outbreak. NCBA and other members of the animal agriculture community strongly lobbied Congress to include the formation of the NAVVCB in the Farm Bill to provide additional vaccine for use in livestock disease outbreaks, such as FMD.



NMPF Praises USDA for FMD Preparedness with Initial Vaccine Purchase

The National Milk Producers Federation praised the U.S. Department of Agriculture for taking a critical step in modernizing Foot and Mouth Disease (FMD) preparedness for U.S. dairy farmers through its initial purchase of $27.1 million in foot-and-mouth disease vaccine for the National Animal Vaccine and Veterinary Countermeasures Bank.

The initial purchase culminates a multi-year effort by NMPF and other livestock organizations working with USDA to update U.S. preparedness for a Foot and Mouth Disease outbreak.

“NMPF appreciates the leadership shown by Congress in including FMD preparedness in the 2018 Farm Bill and USDA in moving forward with implementation,” said Jim Mulhern, president and CEO of NMPF. “A modernized vaccine bank signals appropriate vigilance against a threat that, while not a present danger, is always a potential risk.”

The U.S. has not had an FMD outbreak since 1929. Still, recent foreign animal disease outbreaks in the U.S. of avian influenza and porcine epidemic diarrhea has focused attention on the importance of preparedness for other diseases, including FMD, for which outbreaks would have profound effects on international trade and animal health. 

NMPF’s Board of Directors in 2014 endorsed a set of FMD priorities for the U.S. dairy industry, including modernizing the FMD vaccine bank, which enabled NMPF to advocate for dedicated funding in the 2018 Farm Bill. This first purchase agreement for FMD vaccine is part of a multi-year USDA commitment to modernize the FMD vaccine bank.



AFBF President Zippy Duvall Tests Positive for COVID-19

The head of the American Farm Bureau has tested positive for the coronavirus and declined an invitation to the White House as a result. A spokeswoman for the AFBF told U.S. News and World Report that Zippy Duvall was remaining home at his farm in Georgia and "feeling strong and in good spirits."

Duvall had been slated to attend a White House dinner Wednesday evening with the president of Mexico, Andres Manuel López Obrador.

Duvall's diagnosis comes as the White House has scaled up restrictions to prevent President Trump from contracting the coronavirus, and those who meet with the president are regularly tested for the virus.

More than 3 million Americans have been infected with the coronavirus since the pandemic began earlier this year, and the country is still seeing rates of new coronavirus infections increase in many states.



Cattle Industry Launches Petition Calling for Beef Checkoff Referendum

To celebrate their independence, several individual ranchers and farm and ranch groups, including R-CALF USA, formally launched a national petition drive on July 2, just days before the nation celebrated Independence Day. The petition requests a nationwide referendum on the termination of the Beef Promotion and Research Order, commonly known as the Beef Checkoff Program.

With approval from the U.S. Department of Agriculture (USDA), the petition was launched electronically and is now available for electronic signatures at  https://form.jotform.com/201785981248062.

The petition calls on the Secretary of Agriculture to conduct a referendum for an up or down vote on the termination of the Beef Checkoff Program. Current law provides authority to the Secretary to conduct a referendum if requested by at least 10 percent of the number of cattle producers in the United States.

The petition states that at least 88,269 eligible U.S. cattle producers are needed to sign the petition.

Eligible cattle producers can sign the petition from now until July 1, 2021, the date that the time period to collect signatures expires.

Only eligible cattle producers may sign the petition and they are defined as:
    Any cattle producer regardless of age who has owned, sold or purchased cattle from July 2, 2020 - July 1, 2021 is eligible to sign the petition.
    Any person younger than 18 years of age must have a parent or guardian co-sign the petition.
    A person who signs the petition on behalf of a corporation or other entity must be authorized to do so. No proxy signature is permitted.
    Any individual member of a group, who is an eligible person separate from the group, may request a referendum separately.

The individual ranchers and farm and ranch groups that launched the petition include the South Dakota Livestock Markets Association, 25 individual livestock auction yards, 8 county, state, and national cattle associations, including R-CALF USA, 1 general farm organization, 3 individual ranchers, and 1 individual. Their names and information are included on the original notice to the USDA that the petition has been launched pursuant to current law.

R-CALF USA Checkoff Committee Chair Vaughn Meyer urges every eligible cattle producer to sign the petition and to circulate it to as many other eligible cattle producers as possible.

"This is the first step in reclaiming cattle producers' independence from the government mandated beef checkoff program that has been taxing our industry to fund the government's speech for over 30 years," Meyer said.



Weekly Ethanol Production for 7/3/2020

According to EIA data analyzed by the Renewable Fuels Association for the week ending July 3, ethanol production increased 1.6%, or 14,000 barrels per day (b/d), to 914,000 b/d—equivalent to 38.39 million gallons daily. Production remains tempered due to COVID-19 disruptions, coming in 12.7% below the same week in 2019. The four-week average ethanol production rate rose 2.2% to 887,000 b/d, equivalent to an annualized rate of 13.60 billion gallons.

Ethanol stocks bounced higher for the first time in eleven weeks, expanding 2.3% to 20.6 million barrels and 10.4% below year-ago volumes. Inventories grew across all regions except the East Coast (PADD 1).

The volume of gasoline supplied to the U.S. market, a measure of implied demand, grew 2.4% to 8.766 million b/d (134.38 bg annualized). Gasoline demand was 10.1% lower than a year ago.

Refiner/blender net inputs of ethanol improved, up 2.5% to 850,000 b/d, equivalent to 13.03 bg annualized and 9.9% below the year-earlier level.

Imports of ethanol arriving into the West Coast were 36,000 b/d, or 10.58 million gallons for the week. This marks the first imports since the start of March, or seventeen weeks. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of May 2020.)



Congress Urges U.S. Government to Secure Greater Dairy Access in Japan by Swiftly Pursuing Phase Two Agreement

Members of Congress representing dairy districts from across the country joined together today to send a letter to U.S. Trade Representative Robert Lighthizer and U.S. Secretary of Agriculture Sonny Perdue asking them to work together to build upon the successes secured in a Phase One agreement with Japan and swiftly pursue a Phase Two agreement that addresses any remaining gaps and inequalities in market access and establishes robust commitments on nontariff issues that can significant impact dairy trade.

This bipartisan letter was led by Reps. Ron Kind (D-WI), Lloyd Smucker (R-PA), Josh Harder (D-CA) and Roger Marshall (R-KS). They were joined by numerous House colleagues, amounting to 51 in total, writing, in part:

“Given the fact that our domestic market is a top destination for Japanese exports, Japan must ensure that the terms of trade offered to the United States are better than those offered to other, less valuable, markets. We wholeheartedly endorse Ambassador Lighthizer’s assessment during his testimony before the House Ways and Means Committee in June 2019: ‘You cannot treat your best customer worse than you treat people from all these other countries in Europe and all the other TPP countries.’”

“America’s dairy industry is ready to meet Japan’s growing demand for wholesome dairy products. However, in order to fully secure necessary market access, the U.S. must act swiftly to break down the remaining trade barriers that have left our producers at a disadvantage in this important dairy market. America’s dairy farmers applaud the leadership and engagement of Congressmen Kind, Smucker, Harder and Marshall and their colleagues as they advocate for America’s dairy industry in a fully comprehensive agreement with Japan,” said Jim Mulhern, president and CEO of NMPF.

“Congress has made their message clear: A comprehensive agreement with Japan is needed to secure additional opportunities for U.S. dairy and progress should resume on its pursuit,” said Tom Vilsack, president and CEO of USDEC. “The Japanese market is too valuable to America’s dairy farmers and processors to let trade negotiations continue to idle. We appreciate this bipartisan coalition for their robust support of securing additional tariff concessions, science-based sanitary and phytosanitary measures, and enforceable commitments to protect common cheese names.”

A 2019 U.S. Dairy Export Council study underscored the importance of a strong comprehensive trade agreement with Japan, finding that if the U.S. were given the same market access as our competitors, we could roughly double our share of the dairy market.



ASA Returns to Roots on Aug. 4 to Celebrate 100 Years of Advocating for Soy Growers

July 8, 2020. St. Louis, Mo. The American Soybean Association (ASA) will celebrate a century of soybean advocacy this summer with a return to the site where it all began.

ASA was formed when brothers Taylor, Noah and Finis Fouts hosted the first Corn Belt Soybean Field Day at their Soyland Farms operation in Camden, Indiana on Sept. 3, 1920. The event drew nearly 1,000 farmers and their families from six states, who were interested in discovering more about this emerging new commodity called soybeans. The National Soybean Growers’ Association—later renamed the American Soybean Association—was formed that very day.

On Tuesday, Aug. 4, 2020, from 10 a.m. to 2 p.m., ASA, with special support from the Indiana Soybean Alliance, will host a 100th anniversary celebration and historical marker dedication at its birthplace on Fouts Soyland Farm in Camden.

The event kicks off at 10 a.m. with self-guided tours, including heirloom soybean plots and historic Fouts family machinery. Attendees can also see ASA history displays and pick up a complimentary copy of the commemorative history book, American Soybean Association: Our First Soy Century 1920–2020.

ASA Director and 100th Anniversary Host Kendell Culp (IN) will open the historical marker ceremony at 11 a.m., followed by a welcome from Elisha Modisett Kemp of the Fouts family. ASA President Bill Gordon (MN) and Past President Alan Kemper (IN) will provide remarks before Indiana Gov. Eric Holcomb unveils the historical marker.

After lunch, a special anniversary program hosted at noon by Master of Ceremonies Max Armstrong will feature a lineup of notable speakers including:
    Ray Gaesser (IA), ASA Past President and 100th Anniversary Host
    David Rodibaugh, Chair, Indiana Soybean Alliance
    Karen Plaut, Dean, College of Agriculture, Purdue University
    Keynote Speaker: Steve Censky, Deputy Secretary, USDA

Attendees will also have the opportunity to see a video history of Fouts Family and Soyland Farm, in addition to a special musical performance of Growing Soybeans to Get Along, a song written by Taylor Fouts and sung at the first soybean event in 1920.

The event is free of charge; however, attendance is capped at 180, so those interested must register. Click here for registration and hotel information. For those who cannot make it in person, the event will also be livestreamed. View the full event schedule here.

For more information on the 100th anniversary of the American Soybean Association, visit ASA100Years.com.



Bayer Agrees to Settlement Delay

Bayer AG is scrapping a $1.25 billion proposal for resolving future lawsuits over whether its Roundup weedkiller causes cancer, highlighting the difficulty of settling litigation over a product still on the market.

The snag doesn't affect deals worth up to $9.6 billion that Bayer reached with lawyers representing tens of thousands of plaintiffs who blame Roundup for making them sick. It does, however, call into question how the German conglomerate will ever fully put to rest the Roundup liabilities it inherited when it purchased seed and pesticide maker Monsanto Co. in 2018.

Bayer had asked a federal judge in San Francisco to approve a unique type of class action that would dictate how people can sue the company in the future over claims that Roundup causes non-Hodgkin lymphoma. The proposed class action depended on the creation of a panel of scientists that would definitively conclude whether Roundup and its active ingredient, glyphosate, are carcinogens.

U.S. District Judge Vince Chhabria said this week he was skeptical that a science panel could fairly replace judges and juries in the case, and that he was unlikely to sign off on the idea. "Although the court is not aware of any Plan B, it would be surprising if none existed given the stakes involved and the novelty of Plan A," the judge wrote after expressing his concerns.

Bayer and plaintiffs' lawyers said Wednesday they will work on refining the idea and bring it back to the judge.

Bayer plans to continue selling Roundup with no change to its label for use in commercial farming and everyday gardening. But doing so makes it difficult for the company to fully contain lawsuits filed over Roundup's safety since people who use the product today could get sick years from now and try to blame Bayer.

The Environmental Protection Agency and other regulators have said glyphosate doesn't cause cancer. Three California juries, meanwhile, have concluded that Roundup caused plaintiffs' illnesses and awarded large verdicts.