Wednesday December 23 Hogs & Pigs Report + Ag News

 NEBRASKA HOG INVENTORY DOWN 4%

Nebraska inventory of all hogs and pigs on December 1, 2020, was 3.65 million head, according to the USDA's National Agricultural Statistics Service. This was down 4% from December 1, 2019, and down 4% from September 1, 2020.

Breeding hog inventory, at 430,000 head, was down 2% from December 1, 2019, but unchanged from last quarter. Market hog inventory, at 3.22 million head, was down 4% from last year, and down 4% from last quarter.

The September - November 2020 Nebraska pig crop, at 2.22 million head, was unchanged from 2019. Sows farrowed during the period totaled 190,000 head, unchanged from last year. The average pigs saved per litter was 11.70 for the September - November period, compared to 11.70 last year.

Nebraska hog producers intend to farrow 190,000 sows during the December 2020 - February 2021 quarter, unchanged from the actual farrowings during the same period a year ago. Intended farrowings for March - May 2021 are 190,000 sows, down 5% from the actual farrowings during the same period a year ago.



IOWA HOG INVENTORY REPORT

On December 1, 2020, there were 24.8 million hogs and pigs on Iowa farms, according to the latest USDA, National Agricultural Statistics Service – Hogs and Pigs report. Inventory is down 100,000 head from the previous year.

The September-November quarterly pig crop was 6.33 million head, equal to the previous quarter but 9% above last year. A total of 560,000 sows farrowed during this quarter. The average pigs saved per litter was 11.30, equal to last quarter.

As of December 1, producers planned to farrow 530,000 sows and gilts in the December 2020-February 2021 quarter and 530,000 head during the March-May 2021 quarter.



United States Hog Inventory Down 1 Percent

United States inventory of all hogs and pigs on December 1, 2020 was 77.5 million head. This was down 1 percent from December 1, 2019, and down 1 percent from September 1, 2020.   Breeding inventory, at 6.28 million head, was down 3 percent from last year, and down 1 percent from the previous quarter.  Market hog inventory, at 71.2 million head, was down 1 percent from last year, and down 1 percent from last quarter.

The September-November 2020 pig crop, at 35.0 million head, was down 1 percent from 2019. Sows farrowing during this period totaled 3.16 million head, down 1 percent from 2019. The sows farrowed during this quarter represented 50 percent of the breeding herd. The average pigs saved per litter was 11.05 for the September-November period, compared to 11.09 last year.

United States hog producers intend to have 3.12 million sows farrow during the December 2020-February 2021 quarter, up 2 percent from the actual farrowings during the same period one year earlier, and up 1 percent from the same period two years earlier. Intended farrowings for March-May 2021, at 3.12 million sows, are down 1 percent from the same period one year earlier, and down slightly from the same period two years earlier.

The total number of hogs under contract owned by operations with over 5,000 head, but raised by contractees, accounted for 48 percent of the total United States hog inventory, unchanged from the previous year.



COLD STRESS: WHY YOU NEED TO RECOGNIZE IT
UNMC, Central States Center for Agricultural Safety and Health, Omaha, NE

What is cold stress and why should farmers and ranchers be aware of its symptoms?

Cold stress occurs when skin temperature, and eventually internal body temperature, decreases during exposure to cold temperatures. Near freezing temperatures, especially when combined with increased wind speed, cause heat to leave the body. Wetness, dampness – even from body sweat – also expedites loss of body heat. When the body is unable to warm itself, serious cold-related illnesses and injuries may occur.

Anyone working outside in cold and windy conditions is at risk for cold stress. When working outside, it’s important to be aware of air temperature and wind chill factors to gauge the level of cold stress risk.

Factors that increase the risk of cold stress include:
Wetness/dampness
Improper dress
Exhaustion
Predisposing health conditions such as hypertension, hypothyroidism, and diabetes
Poor physical conditioning

The risks of cold stress include permanent tissue damage and death. Types of cold stress include trench foot, frostbite and hypothermia.

Trench foot is a non-freezing injury of the feet caused by prolonged exposure to wet and cold conditions. This injury may occur in temperatures as high as 60 degrees (Fahrenheit) if feet are constantly wet since wet feet lose heat 25 times faster than dry feet.

Trench foot symptoms include reddening skin, tingling, pain, swelling, leg cramps, numbness, and blisters.

If trench foot injury is suspected, call 911 or seek medical assistance as soon as possible. Remove wet shoes/boots and socks. Dry the feet and avoid standing or walking. Keep affected feet elevated until medical help is available.

Frostbite occurs when skin and tissues freeze. It may lead to permanent damage to the body, including amputation in severe cases.

Risk of frostbite is increased for people with reduced blood circulation or those who aren’t dressed to withstand cold temperatures.

Symptoms of frostbite include reddened skin and development of gray-white patches in fingers, toes, nose or ear lobes. Tingling, aching, loss of feeling, hardening of the skin and blisters may occur in affected areas.

If these symptoms occur, follow these first aid guidelines:
Protect the frostbitten area by loosely wrapping a dry cloth around it. Protect the area from contact until medical help is available.
Do NOT rub the affected area. Doing so causes damage to both the skin and underlying tissue.
Do NOT apply snow or water to the affected area.
Do NOT break blisters.
Do NOT try to re-warm the frostbitten with heating pads or warm water before getting medical assistance. If a frostbitten area is rewarmed and then frozen again, tissue damage may increase. The safest practice is to allow medical professionals to rewarm the affected area.

Normal body temperature is 98.6 degrees (Fahrenheit). Prolonged exposure eventually uses up the body’s stored energy and the body may begin losing heat faster than it can warm itself. When body temperature drops to less than 95 degrees (Fahrenheit), hypothermia occurs. This condition is most likely to occur at very cold temperatures, but it may happen even at temperatures above 40 degrees (Fahrenheit) if a person becomes chilled from rain, sweat, or immersion in cold water.

Symptoms of hypothermia include:
Uncontrolled shivering
Loss of physical coordination
Confusion
Slurred speech
Slowing of heart rate/breathing
Unconsciousness
Death

Shivering indicates that the body is losing heat. While it helps the body rewarm itself, uncontrolled shivering should not be ignored. The affected person may not realize what’s happening to them since low body temperature adversely affects the brain, causing a victim to lose the ability to think clearly or move well, making hypothermia a particularly dangerous result of cold stress.

If hypothermia is suspected, follow these first aid guidelines:
Call 911 immediately in an emergency.
Move the affected person to a warm, dry area.
Remove any wet clothing and replace it with dry clothing.
Wrap the entire body (including head and neck) in layers of blankets and with a vapor barrier (i.e. tarp, garbage bag). Do not cover the victim’s face.

If medical help is more than 30 minutes away:
Unless the victim is unconscious, give warm sweetened drinks to help increase body temperature. Do not use alcoholic beverages.
Place warm bottles or hot packs in armpits, sides of chest, and groin. Call 911 for additional rewarming instructions.

Victims of hypothermia may stop breathing. In that case:
Call 911 immediately.
Treat the victim as per the hypothermia instructions here, but do not attempt to give them any fluids.
For 60 seconds check the affected person for breathing and pulse.
If after 60 seconds no breathing or pulse is detected, a trained person may initiate rescue breaths for 3 minutes.
Check again for 60 seconds to detect breathing or pulse.
If there is no breath or pulse, continue rescue breathing.
Consult the 911 operator or emergency medical services before initiating chest compressions.
Periodically reassess the person’s physical status.

To help prevent cold stress, recognize the weather and environmental conditions that may lead to cold stress. Learn about and know how to recognize symptoms of cold stress and the appropriate first aid responses.

Additional cold stress prevention steps:
Know how to select proper clothing for cold, wet, and windy conditions.
Regularly monitor your and/or coworker’s physical conditions.
Schedule frequent short breaks in warm, dry areas to allow the body to warm up.
As much as possible, schedule work activities during the warmest part of the day.
Use the buddy system and work in pairs.
Provide warm, sweet beverages to assist the body in generating heat. Avoid alcoholic beverages, which expedite loss of body heat.
When appropriate, use radiant heaters in the work area.

Anytime you work outside, stay aware of temperature changes and wind chill advisories and warnings. Always monitor your physical condition while working in a cold environment and dress appropriately. Stay dry in cold conditions because moisture or dampness causes increased loss of body heat. Keep extra clothing handy in case of the need to shed wet clothes. Learn as much as you can about the best safety practices and implement them.



Lower Elkhorn NRD approves contract to complete work on the Willow Creek dam near Pierce

Phase 1 of the Willow Creek Dam High Artesian Pressure Mitigation Project was approved at the December meeting of the Lower Elkhorn Natural Resources District (LENRD) Board of Directors.  The board authorized an agreement with HDR Engineering for the project design to mitigate the high artesian pressures at the dam, with a cost not to exceed $50,032.  Phase 1 of the project will primarily involve the installation of wells and pump tests to mitigate the artesian pressures.  LENRD Projects Manager, Curt Becker, said, “This project is another example of the continued effort of the LENRD to partner with agencies in securing available funding.  The district is always looking for grant opportunities to maximize the use of our local tax dollars.”  The total estimated project cost is $307,970.00 with $170,000 coming from the High Hazard Potential Dam (HHPD) grant through the Federal Emergency Management Agency.

The board also approved the 2020 Crop Damage Agreement and payment for the Norman and Agnes Herian land, near the Willow Creek reservoir, in the amount of $6,672.73.

LENRD Assistant Manager, Brian Bruckner, updated the board on the Standard Variance applications that were approved last month.  An error during processing caused the total score for one of the applications from the NON 10/50 area to rank incorrectly.  Upon correction of the error, the corrected total score increased it to be within the range for approval.  The board amended the motions from the November board meeting to reflect the corrected number of 2676.77 new groundwater irrigated acres.

In other action, the board accepted a bid from Precision IT for audio/video equipment for the board room in the amount of $6,905.

The board also approved the service agreement with the University of Nebraska-Lincoln, for the research project - Visualizing and Assessing Nitrogen Contamination in Northeastern Nebraska, with a contract amount not to exceed $40,216.

In other business, the board accepted the marketing proposal from Hollman Media to assist with a media campaign dealing with the perception of the NRD and to bring public awareness of nitrate use and contamination.  This will be a month-to-month contract, not to exceed the amount of $1,867.50 per month and a one-time fee for website development of $3,180.

The board voted to approve the Dividend Resolution for the Nebraska Association of Resources Districts (NARD), regarding the use of the NARD Risk Pool to purchase an office building for the NARD.

The board also authorized the general manager to sign an Interlocal Agreement with the City of Norfolk to perform an east drainage study, not to exceed the 50% cost-share amount of $18,825.95.

The LENRD board & staff meet each month to develop and implement management plans to protect our natural resources for the future.  The next LENRD board meeting will be Thursday, January 28th at 7:30 p.m.  



USDA Clears Santa’s Reindeer for Entry into the United States

The U.S. Department of Agriculture’s (USDA) Animal and Plant Health Inspection Service (APHIS) today issued a movement permit to Mr. S. Nicholas Claus of the North Pole, a broker with Worldwide Gifts, Unlimited. The permit will allow reindeer to enter and exit the United States between the hours of 7 p.m. December 24, 2020 and 7 a.m. December 25, 2020, through or over any U.S. border port.

“This is a holiday season like no other. But as I told my grandkids, Santa has immunity to COVID, so he and his reindeer will circle the globe as planned,” said USDA Marketing and Regulatory Programs Under Secretary Greg Ibach. “We are all looking forward to Mr. Claus’ special brand of Christmas cheer, this year more than ever. To help ensure a smooth trip, USDA worked with Worldwide Gifts Unlimited to issue this permit in advance and waived all applicable fees.”

Veterinary officials ensured the reindeer met all entry requirements before issuing the permit. It was noted on the health certificate that one reindeer, Rudolph, has a minor physical anomaly. The veterinarian indicated that Rudolph’s red nose, while bright, was normal for him and not a concern.

The reindeer will arrive pulling a wooden sleigh with jingling bells attached, filled with brightly wrapped gifts. Port personnel, who will wear appropriate personal protective equipment and follow all COVID safety rules, will clean and disinfect the runners and underside of the sleigh at the time of entry. They will also conduct a short visual inspection of the reindeer. Mr. Claus will disinfect his boots and thoroughly wash his hands. These measures are intended to prevent the entry of any livestock diseases the team may encounter during deliveries to farms around the world prior to entering the United States.

Mr. Claus also provided an advance list of what port personnel should expect upon their arrival. This includes a variety of food items, all of which come from approved locations and none of which pose a threat to U.S. animal or plant health.

“It’s important that Worldwide Gifts, Unlimited take all the right steps and precautions to protect against the potential introduction of pests and diseases,” explained Mr. Claus. “I appreciate USDA’s assistance every year as we gear up for our big night.”

Whether you see the smiles, joy, and wonder on children’s faces this Christmas morning in person or on video chat, enjoy the moment. Happy holidays from USDA!



PASTURE FERTILITY: pH, Potassium, & Sulfur
– Ben Beckman, NE Extension Educator
 
After we receive soil tests back from the lab, the next step is developing a plan for pasture fertility.  The past few weeks we’ve looked at the Bray/Mehlich and Olsen tests for phosphorus.  This week, let’s focus on pH, potassium, and sulfur
 
pH can play a big role in plant health and nutrient availability.  A majority of forage crops grow best with a pH around 6.0. Mixtures heavy in legumes tend to prefer a bit higher pH around 6.5.  An application of lime is the tried and true route to raise pH.  As with fertility, native plants can often handle pH ranges outside of recommendation, so evaluate before taking action.
 
Typically soils in Nebraska have relatively high naturally occurring levels of potassium, but if soil tests show you are low, fertilization can boost yield and improve plant health, especially for legumes.  Mixed pastures with legume and grasses require higher potassium fertilization to keep the legumes healthy and competitive with the grasses, increasing their longevity in the stand. For irrigated pastures,
 •           4-40 ppm apply 90 lb. K/acre for grass pastures or 120 lb. K/acre for grass-legume
•           41-75 ppm apply 60 lb. K/acre for grass pastures or 80 lb. K/acre for grass-legume
•           76-125 ppm apply 30 lb. K/acre for grass pastures or 40 lb. K/acre for grass-legume
•           Over 125 ppm tests don’t require additional fertilization
 
The last nutrient to look at is sulfur.  In irrigated, light textured soils with low organic matter, sulfur may be limiting.  Irrigation water can actually be a good indicator of sulfur availability.  Water under 6 ppm needs fertilization.  Fertilization can then be done at a rate of 30-40 lbs. per year or 100 lb. before seeding once every three years.
 
If you have additional questions, the NebGuide G1977: Fertilizing Grass Pastures and Hayland is a great resource, and as always, for additional help or information, contact your local extension office.



Scoular spearheads effort among Omaha corporations to provide $400 bonuses to 115 teachers

More than 100 Omaha teachers who primarily serve at-risk students will each receive a $400 bonus thanks to a corporate giving initiative organized by Scoular to recognize educators’ critical role during the pandemic.

Along with Scoular, Omaha companies Buildertrend and Home Instead, an anonymous corporate donor, as well as an anonymous individual donor, donated a total of $50,000 to provide the year-end bonuses. The bonuses will support 115 teachers who work for one of three organizations: the Omaha Street School, the NorthStar Foundation and the CUES School System. CUES assists Sacred Heart, All Saints and Holy Name Catholic Schools.

Scoular spearheaded the project because the company values stewardship and supporting the communities in which its employees work and live, with particular recognition for the impact of the pandemic, said Megan Belcher, Senior Vice President and General Counsel and a Scoular Foundation Trustee.

“Teachers are crucial in helping our communities and families to navigate the pandemic successfully. Scoular employees recognize and appreciate the complexities educators face during the current disruption and want to extend our deep gratitude to them for lifting up youth and their caregivers during these unprecedented times. This type of giving is also a core pillar of our growing sustainability program as we continue to expand our deep history of community engagement,” Belcher said.



Improve Farm Profitability with Precision Conservation

How to improve farm profitability with the use of precision conservation will be the topic of the Iowa Learning Farms webinar on Wednesday, Jan. 6, 2021, at noon.

Precision agricultural technology can inform many management decisions on the farm, including identifying underperforming acres. In these low-yielding acres, conservation can improve profitability and result in increased return on investment.

During this webinar, Josh Divan, precision ag and conservation specialist at Iowa Pheasants Forever, will discuss how precision conservation can increase profitability, improve wildlife habitat, build soil health, increase water quality and improve resiliency.

“By looking at your farm data through a profitability lens, you can better understand where you have financial risk in your farm operation. Developing a plan that minimizes that risk, while simultaneously increasing your profitability is the goal of precision conservation,” said Divan.

Divan works with farmers and their precision ag data to identify unprofitable acres within their operation and then helps them understand how laser-focused conservation programs on those “red” acres can improve their bottom line.
Webinar access instructions

To participate in the live webinar, shortly before 12 p.m. CST on Jan. 6:
    Click this URL, or type this web address into your internet browser: https://iastate.zoom.us/j/364284172.
    Or, go to https://iastate.zoom.us/join and enter meeting ID: 364 284 172.
    Or, join from a dial-in phone line: Dial +1 312 626 6799 or +1 646 876 9923; Meeting ID 364 284 172.

The webinar also will be recorded and archived on the ILF website, so that it can be watched at any time. Archived webinars are available at https://www.iowalearningfarms.org/page/webinars.

A Certified Crop Adviser board-approved continuing education unit has been applied for, for those who are able to participate in the live webinar. Information about how to apply to receive the unit (if approved) will be provided at the end of the live webinar.



Anti-Meat Group Shows True Colors

Today, the head of an anti-meat extremist group posed as the CEO of a major pork producer during a national television interview, making outrageous and false claims about the U.S. pork industry and challenges it faced during the COVID-19 pandemic. The following statement may be attributed to National Pork Producers Council (NPPC) President Howard “AV” Roth:

“Taking advantage of this black swan event to drive an anti-meat, anti-livestock agriculture agenda is reprehensible. These radical extremist groups who typically work shrouded in secrecy and false identities – frequently while breaking the law – are only able to propagate their false narrative by hoodwinking journalists and posing as credible sources. Meanwhile, despite enormous challenges this year, hundreds of thousands of committed farmers and others employed in the pork production industry remain dedicated to keeping Americans and consumers around the world supplied with affordable, nutritious protein.

“The COVID-19 pandemic has caused record numbers of Americans to be food insecure. U.S. pork producers are proud to help feed those in need and these extremist groups should be ashamed of their stunts. Apparently there is no low for their actions.”



Record Low Veal and Lamb and Mutton Production for November

Commercial red meat production for the United States totaled 4.68 billion pounds in November, down 1 percent from the 4.74 billion pounds produced in November 2019.

Production by State  (mil .lbs - % Nov '19)
Nebraska ..............:        674.0             91       
Iowa .....................:        760.4             99       
Kansas ..................:        508.3            120       

Beef production, at 2.26 billion pounds, was 1 percent below the previous year. Cattle slaughter totaled 2.70 million head, down 3 percent from November 2019. The average live weight was up 13 pounds from the previous year, at 1,388 pounds.

Veal production totaled 4.8 million pounds, 20 percent below November a year ago. Calf slaughter totaled 35,000 head, down 25 percent from November 2019. The average live weight was up 14 pounds from last year, at 241 pounds.

Pork production totaled 2.41 billion pounds, down 1 percent from the previous year. Hog slaughter totaled 11.0 million head, down 3 percent from November 2019. The average live weight was up 6 pounds from the previous year, at 294 pounds.

Lamb and mutton production, at 10.6 million pounds, was down 6 percent from November 2019. Sheep slaughter totaled 180,400 head, slightly below last year. The average live weight was 118 pounds, down 7 pounds from November a year ago.

January to November 2020 commercial red meat production was 50.8 billion pounds, up 1 percent from 2019. Accumulated beef production was down slightly from last year, veal was down 14 percent, pork was up 2 percent from last year, and lamb and mutton production was down 8 percent.



Retail MAP, Potash, Anhydrous Prices Jump 5%

Retail fertilizer prices were higher across the board for the third week of December 2020. It's the second week in a row that all eight major fertilizers were higher than the previous month.  

Three fertilizers were up a significant amount, which DTN designates as 5% or more. MAP, potash and anhydrous were all 7% more expensive compared to the prior month. MAP had an average price of $522/ton, up $34; potash $360/ton, up $24; and anhydrous $450/ton, up $28.

The remaining five fertilizers were all just slightly higher in price compared to the prior month. DAP had an average price of $466/ton, up $11; urea $361/ton, up $3; 10-34-0 $463/ton, up $8; UAN28 $210/ton, up $3; and UAN32 $253/ton, up $4.

On a price per pound of nitrogen basis, the average urea price was at $0.39/lb.N, anhydrous $0.27/lb.N, UAN28 $0.38/lb.N and UAN32 $0.39/lb.N.

Retail fertilizer prices continue to be mostly lower in price from a year ago but there are a couple exceptions. DAP is 5% higher while MAP is 14% more expensive compared to last year.

10-34-0 is 1% less expensive, urea is 4% lower, potash is 5% less expensive, anhydrous is 8% lower, UAN32 is 9% less expensive and UAN28 is 12% lower from last year at this time.



Weekly Ethanol Production for 12/18/2020

According to EIA data analyzed by the Renewable Fuels Association for the week ending December 18, ethanol production expanded 2.0%, or 18,000 barrels per day (b/d), to 976,000 b/d—equivalent to 40.99 million gallons daily. Production remained 9.9% below the same week last year. The four-week average ethanol production rate ticked 0.4% lower to 974,000 b/d, equivalent to an annualized rate of 14.93 billion gallons (bg).

Ethanol stocks grew 1.0% to a 30-week high of 23.2 million barrels, which was 7.9% above a year-ago. Inventories built across all regions except the Gulf Coast (PADD 3) and Rocky Mountains (PADD 4).

The volume of gasoline supplied to the U.S. market, a measure of implied demand, lifted 0.6% to 8.02 million b/d (122.98 bg annualized). Gasoline demand was 13.8% less than a year ago.

Refiner/blender net inputs of ethanol remained flat at 802,000 b/d, equivalent to 12.29 bg annualized. This was 14.5% below the year-earlier level as a result of the continuing effects of the COVID-19 pandemic.

There were zero imports of ethanol recorded for the week. However, imports have been logged fifteen of the past 22 weeks. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of October 2020.)



RFA Marks Four Decades of Industry Leadership Association to Celebrate 40th Anniversary Throughout 2021
    
Forty years ago this month, a small group of innovative farmers and like-minded business leaders came together to officially found the Renewable Fuels Association. The overarching goal of the new trade group was as admirable as it was ambitious: grow production and demand for ethanol, a relatively unknown renewable fuel that was cleaner-burning, homegrown, and environmentally friendly.

Four decades later, the U.S. ethanol industry has grown into a thriving and dynamic renewable energy powerhouse, and RFA continues to build upon the vision, leadership, and ingenuity of its founders.

Through various publications and activities, RFA will celebrate its 40th anniversary all year long in 2021. The association will look back on the milestones of an industry that grew from just a handful of small plants in a few Corn Belt states to more than 200 sophisticated, high-tech biorefineries nationwide. Today’s ethanol industry supports almost 350,000 jobs and contributes more than $40 billion to the nation’s economy each year, a far cry from its humble beginnings.

“It’s no mistake that RFA has been nicknamed ‘the voice of the ethanol industry.’ In many ways, the story of RFA is the story of the ethanol industry itself,” said RFA President and CEO Geoff Cooper. “For 40 years, RFA has provided the strategy, expertise, and guidance needed to grow the market for cleaner, greener renewable fuels and make the dreams of our founders into a reality. In 2021, we look forward to celebrating four decades of unrivaled leadership and loyal service to our nation’s ethanol producers and the farmers who helped build this industry from the ground up.”

“It’s a pleasure and privilege to lead an organization that is, itself, a respected leader in the ag and energy fields, as well as among policymakers in Washington,” said RFA Chairperson Jeanne McCaherty, CEO of Guardian Energy in Minnesota. “With experience and a reputation honed over four decades of service, RFA continues to lead the way and guide the industry through these uncertain and unsettling times. I am proud of our members and staff for their exemplary dedication and look forward to celebrating this important milestone with them.”

The year-long anniversary celebration will provide an important history lesson on renewable fuels and the Renewable Fuels Association, with articles and digital media spotlighting the evolution of the industry and the essential role renewable fuels play in our everyday lives. Since 1980, when RFA got its start, U.S. ethanol production has grown nearly 16,000 percent, from about 100 million gallons to the record high of 16.1 billion in 2018. Over the course of those years, RFA has been the key to the industry’s success. Whether it is achieving groundbreaking legislative victories, providing crucial technical and scientific expertise, educating consumers, or serving as a trusted resource for media, the RFA has truly been ‘the voice of the industry’ for 40 years—and will continue to perform that crucial service for decades to come.



December 2020 Dairy Market Report Now Available

2020 continues to bring turbulent headwinds to dairy demand, which the industry has survived with heightened government support and robust export markets. Total domestic commercial use of dairy products posted a small gain during the August–October period, despite the pandemic’s renewed assault on food-service sales. Continued government purchases of dairy products through the Food Box, Section 32 and other programs added significantly to total sales during the period, strengthening milk and dairy product prices. Export growth remains striking, with year-to-date volumes showing a record portion of U.S. milk solids production going abroad.

The U.S. average all-milk price reported by USDA rose $2.30 per cwt from a month before to hit $20.20 per cwt in October. The monthly cheese price reached $2.45 per pound in November, a gain of 16 cents a pound from a month earlier, providing an indication that November’s all-milk price will top October’s.

Forecasts for 2021 are less certain than usual, with divergence between futures markets and government projections based largely on differing demand assumptions related to the course of the pandemic.

See the full report here:  https://www.nmpf.org/wp-content/uploads/2020/12/Dairy-Market-Report-Dec.-2020.pdf.  



NCGA Recognizes Long-Serving Agriculture Committee Leaders

As the 117th Congress comes to a close, the National Corn Growers Association (NCGA) is recognizing the tenure of Senate Agriculture Committee Chairman Pat Roberts, R-Kan., House Agriculture Committee Chairman Collin Peterson, D-Minn., and House Agriculture Committee Ranking Member Mike Conaway, R-Texas. The three leaders will not be returning to elected office next Congress, taking a combined 86 years of experience and institutional knowledge of the legislative process with them.

Roberts was first elected to the U.S. House of Representatives in 1980, representing Kansas’ “Big First” District for 16 years. He served as Chairman of the House Agriculture Committee from 1995-1997 where he oversaw passage of the 1996 Farm Bill. In 1996, he was elected to the U.S. Senate. He became Senate Agriculture Committee Chairman in 2015 and served as Ranking Member from 2011-2013. Roberts is the first member of Congress to have chaired both the House and Senate Agriculture Committees, and also the first member of Congress to write and pass a Farm Bill in both chambers.

Throughout his career, Roberts successfully advocated to ensure that farmers and ranchers had the risk management tools needed to advance American agriculture and fought barriers to trade and regulations that threaten producers’ competitiveness.

Peterson was first elected to the U.S. House of Representatives from the Seventh Congressional District of Minnesota in 1990. Since 2019, he has served as Chairman of the House Agriculture Committee, a role he previously held from 2007-2011, overseeing passage of the 2008 Farm Bill. Peterson served as House Agriculture Committee Ranking Member from 2011-2019 and 2005-2007.

Peterson has been an advocate for farmers and small business owners, a strong proponent of conservation programs and a leader in promoting the use and production of biofuels.

Conaway was first elected to the U.S. House of Representatives in 2004, representing Texas’ 11th Congressional District. Conaway served as House Agriculture Committee Chairman from 2015-2019, overseeing passage of the 2018 Farm Bill. Since 2019, he has served as House Agriculture Committee Ranking Member.

Conaway has been a vocal advocate for production agriculture, while protecting American taxpayer dollars and fixing ineffective and flawed programs.

The three Chairmen, along with former House Agriculture Committee Chairman Frank Lucas, R-Okla., recently met to commemorate the 200th anniversary of the House Agriculture Committee, reflecting on their time leading the Committee.

NCGA is immensely grateful for the outgoing Chairmen’s commitment to America’s farmers and rural communities. The organization thanks them for their steadfast support and wishes them, their families, and staff the best in their future endeavors.



Part 1 of 4: Delving Into Ranch Group’s First Ever Cattle Producers’ Long-Range Plan

Last week R-CALF USA launched the first-ever “Cattle Industry Long Range Plan” completed by its 13-member board of directors who themselves are working cattle farmers and ranchers from across the United States directly impacted by market conditions pervading the entire U.S. cattle industry.

The plan fundamentally resets the live cattle industry’s role in the United States’ multi-segmented beef supply chain.  

“For decades live cattle producers subscribed to the theory that by exclusively focusing on building demand for beef harvested in the U.S., primarily by increasing beef exports, the competitive forces in the marketplace would properly allocate to them their competitive share of increased revenues,” said R-CALF USA CEO Bill Bullard.

But Bullard said recent market events, particularly those that occurred in 2018, proved that theory false.

In 2018, the U.S. Department of Agriculture reported the nation’s four largest packers, “Tyson, JBS, Cargill, and National all reported record earnings citing strong beef demand, export demand, and availability of cattle as factors in making the year profitable.”

Indeed, the U.S. Meat Export Federation announced that beef exports “shattered” previous records in 2018, hitting all-time highs in both quantity and value. And, in late 2018 the Beef Checkoff Program’s Cattlemen’s Beef Board and the National Cattlemen’s Beef Association jointly announced that “beef demand is indeed strong,” with the 2018 retail demand index rising 15% above the level in January 2012.

“These indisputably favorable factors should have caused U.S. cattle producers to share in the packers’ increased revenues,” Bullard said adding, “But the opposite occurred: the 2018 price that U.S. cattle producers received for their fed cattle was over $4 per cwt lower than they were in 2017, and they fell even lower in 2019.”

R-CALF USA President Gerald Schreiber said it was this and other real-world shocks to their understanding of the marketplace that prompted the Board to draft a long-range plan that fundamentally shifts emphasis toward building demand specifically for their U.S. born and raised cattle, along with increasing demand for beef derived exclusively from their cattle that are born, raised, and harvested in the United States.

“The future of our U.S. cattle industry will depend on how well we, as actual working cattle producers, can work together to strengthen the cattle industry’s segment of the very profitable beef supply chain,” Schreiber said, adding “our new plan identifies the specific steps we must take to make that happen.”