Tuesday June 15 Ag News

 The Economic Importance of Animal Agriculture and Perceptions of the Livestock Friendly County Designation
Becky Vogt, Survey Research Manager, Nebraska Rural Poll

Animal agriculture has and continues to play a critical role in Nebraska’s economy. Almost one-half (48%) of Nebraska farms have livestock or poultry operations.  

The 2020 Nebraska Rural Poll examined rural Nebraskans’ connection to animal agriculture and their opinions on the Livestock Friendly County designation and livestock development in the state. When looking at animal agriculture in particular, one-third of rural Nebraskans (33%) said their economic well-being is very much dependent on it, and almost another quarter (23%) said it impacts some of their economic well-being. Furthermore, most rural Nebraskans say the economic well-being of their community or county is very much dependent on the economic success of animal agriculture. Just over seven in 10 rural Nebraskans (71%) said the economic well-being of their community or county is very much dependent on animal agriculture.

While rural Nebraskans may recognize their connection to animal agriculture, they may not be as familiar with some of the agricultural policies in the state. Many rural Nebraskans reported they were not familiar with the Livestock Friendly County designation. This designation is administered by the Nebraska Department of Agriculture and adopted by many counties across the state. It is a voluntary program that helps counties and agricultural producers promote the livestock industry and further development and expansion. Nebraska currently has 50 Livestock Friendly Counties. Only four in 10 rural Nebraskans reported knowing whether their county was currently designated as a Livestock Friendly County. Just under one-third (32%) reported being familiar with the designation.

If respondents believed their community or county’s economic well-being was at least somewhat dependent on animal agriculture, they were more likely to report being familiar with the designation and knew its significance. They were also more likely to believe encouraging new livestock development is beneficial for their county and that it is important to have a predictable process for approving this development. Just over four in ten persons (42%) who reported that the economic well-being of their community or county was somewhat or very dependent on animal agriculture say they know whether or not their county is currently designated as a Livestock Friendly County, compared to 23 percent of persons who say their community or county is not at all or only a little economically dependent on animal agriculture. And, just over three-quarters (77%) of persons saying their community or county is at least somewhat economically dependent on animal agriculture agree that encouraging new livestock development is beneficial for their county, compared to 36 percent of persons who say their community or county is not very economically dependent on animal agriculture. Similarly, three-quarters (75%) of those who believe their area is economically dependent on animal agriculture agree that it is important to have a logical, predictable approval process for new livestock development in their county. Only 37 percent of persons living in areas not economically dependent on animal agriculture share this opinion.

Thus, even though many rural Nebraskans are unfamiliar with the Livestock Friendly County designation, these survey results are consistent with its goals – showing the county is open to potential livestock development and that decisions on new development are straight forward and predictable.  



Negotiation and Communications in Farm Transition and Farmland Leasing
Allan Vyhnalek, Extension Educator for Farm and Ranch Transition and Succession, UNL Agricultural Economics.

Most of what we experience as we work on farm transition and farmland leasing issues relates to negotiation. Negotiation is mostly effective clear communication. This webinar will review how we have typically been taught to negotiate, look at alternative negotiating ideas, and weave in good communications. The hour will be a good reminder to effective relationships with those you work with and include some new strategies to consider.

The webinar is Jun 24, 2021 12:00 PM in Central Time.  Register at farm.unl.edu/webinars.  



Saving Energy on Your Farm Is Focus of Upcoming Dairy Webinar

The Iowa State University Extension and Outreach dairy team monthly webinar series continues on Wednesday, June 23, from noon to 1 p.m. This program will focus on saving energy on the farm.

Join Joel Zook, from the Winneshiek Energy District, to discuss how energy-saving measures can help lower operating costs. He’ll cover common practices, from lighting to dairy equipment, to grain dryers and discuss what funding opportunities exist though the Natural Resources Conservation Service Environmental Quality Incentives Program, as well as the REAP grant opportunities and utility rebates.

Zook will also discuss how solar energy can be used on the farm and give advice on siting solar, tax incentives and payback periods.

“We’ve improved efficiency by measuring the nutrients in feed, pounds of milk and milk composition, but most of the time we just write a check to the power company to pay for electricity,” said Fred Hall, dairy specialist with ISU Extension and Outreach. “Zook will help producers understand how to identify areas where they can conserve energy and lower operating costs.”

Zook works for the Winneshiek Energy District and is the lead technical adviser working with farmers, business owners and homeowners to help plan their energy efficiency and renewable energy projects.

He worked for several years within the ratepayer-funded utility efficiency programs, helping conduct small business audits, and has provided an Agricultural Energy Management Plan for over 50 Iowa farms.

Zook is a registered technical service provider for On-Farm Energy Audits with NRCS in Iowa and Minnesota.

No registration is required and there is no fee. For more information, contact the ISU Extension and Outreach dairy specialist in your area.
    Region 1, Fred M. Hall: fredhall@iastate.edu  or 712-737-4230.
    Region 2, Jennifer Bentley: jbentley@iastate.edu or 563-382-2949.
    Region 3, Larry Tranel: tranel@iastate.edu or 563-583-6496.

Producers, dairy consultants and industry representatives can attend the webinar at https://iastate.zoom.us/my/dairyteamfredprogram.



Northwest Iowa Research Farm Field Day Is July 7

The annual Northwest Research and Demonstration Farm field day will be held Wednesday, July 7 from 9:30 a.m. to noon at the farm, located at 6320 500th St., Sutherland.

The field day will focus on pest and weed management and nitrate reduction practices.

“We look forward to holding our field day live and in-person again this year,” said Joel DeJong, field agronomist with Iowa State University Extension and Outreach.

The program will begin with a conversation with Daniel J. Robison, endowed dean’s chair of the College of Agriculture and Life Sciences at Iowa State.

Robison will give an update on the College of Agriculture and Life Sciences, followed by topics that include:
    Corn rootworm and soybean gall midge management, led by Erin Hodgson, professor in entomology and extension specialist in entomology at Iowa State.
    Integrated weed management updates for 2021, led by Prashant Jha, ISU Extension and Outreach weed specialist.
    Edge-of-field practices for nitrate reduction, led by Matt Helmers, professor in agricultural and biosystems engineering and extension agricultural engineering specialist at Iowa State.

Attendance at the field day is free and open to the public. Registration is not needed.

A complimentary noon lunch will also be available thanks to sponsorship from Security State Bank, 5th Gen Ag, O’Brien County Ag Supply, C-S Agrow and Ken’s Feed.

For more information, contact Joel DeJong at 712-546-7835 or jldejong@iastate.edu.



New Date: Agronomy Workshop and Certified Crop Advisor Training to be Offered July 13

Carbon markets and weed management strategies in soybeans will be the featured topics at an upcoming Agronomy Workshop and Crop Advisor Training to be offered from 8:30 a.m. to noon on July 13.

The training is targeted toward farmers, certified crop advisors, agribusiness professionals and independent crop consultants. It will feature the following four sessions that participants will rotate through: carbon markets, the science of carbon markets, integrated weed management strategies in soybeans and soybean herbicide programs.

“We are excited to be offering this workshop face-to-face this year,” said Rebecca Vittetoe, field agronomist with Iowa State University Extension and Outreach. “We’ve got some in-field demonstrations that participants will be able to check out and also have a chance to visit with different experts including Chad Hart, professor in economics and extension grain markets specialist at Iowa State, and Marshall McDaniel, assistant professor in agronomy at Iowa State.”

There will be one hour of soil and water management continuing education units, one hour of crop management CEUs and two hours of pest management CEUs for certified crop advisor.

There is a $50 registration fee, which includes lunch. Pre-registration is required by July 9 and can be completed at http://www.aep.iastate.edu/serf-cca or by calling the ISU Extension and Outreach Washington County office at 319-653-4811. No walk-ins will be accepted. Class size is limited to 60 participants.

The Southeast Research and Demonstration Farm is located at 3115 Louisa-Washington Road, Crawfordsville, Iowa. To reach the farm, follow U.S. Highway 218 one and three-quarters of a mile south of Crawfordsville, then two miles east on County Road G-62, then three-quarters of a mile north. Signs will be posted near the farm.

This training is being held by ISU Extension and Outreach and the Southeast Iowa Agricultural Research Association.

For more information, contact Rebecca Vittetoe at 319-653-4811, or rka8@iastate.edu; or Virgil Schmitt at 563-263-5701 or vschmitt@iastate.edu.



NPPC Urges Congress to Address Port Bottlenecks

U.S. hog farmers are the world’s leading suppliers of high-quality, safe and affordable pork, annually shipping more than $7 billion to foreign destinations. However, recent shipping delays at U.S. international ports are disrupting exports. If not addressed soon, these disruptions could lead to serious bottlenecks for pork and other agriculture exports, National Pork Producers Council (NPPC) President Jen Sorenson testified today before a House Transportation Subcommittee.

Like other sectors of the U.S. economy, U.S. pork relies on vessel-operating common carriers to ship product overseas. The COVID-19 pandemic has exacerbated shipping issues, as the United States imported higher amounts of consumer goods, causing a backlog at the ports, explained Sorenson. The U.S. port backlog, overwhelming marine terminals and delaying ship arrivals and loading/unloading, is due to numerous factors, including congestion in and around the terminals and limited hours of operation. Additionally, Asian carriers are not shipping back as many fully loaded containers.

“Compounding the situation, carriers are failing to provide accurate notice to exporters of arrival/departure and cargo loading times, and then impose financial penalties on exporters for ‘missing’ those loading windows,” Sorenson testified. Those financial penalties, which are paid to the very carriers that are cancelling the orders, have been deemed unreasonable by the Federal Maritime Commission. “Ultimately, these additional costs are passed down the supply chain to farmers.”

All U.S. ports are experiencing shipping delays, but the West Coast is the most heavily impacted since it sends product to Asian-Pacific destinations. The Asia-Pacific region is one of U.S. pork’s top markets, due to its cultural preference for pork and recent trade agreements with China and Japan. “Shipping delays to the Asia-Pacific region are increasing costs and positioning the United States as an unreliable trading partner. If left unaddressed, this may also negatively impact future trade agreements with Southeast Asian trading partners as we seek better market access for U.S. pork,” she added.

Among recommendations to alleviate the port bottlenecks, Sorenson urged for expanded operating hours for U.S. ports, and expedited Federal Maritime Commission enforcement preventing unreasonable financial penalties for exporters.

“U.S. pork producers need Congress and the administration to work together to quickly engage and address these shipping delays, enabling hog farmers to continue to lead the way as a vibrant American farm sector that is critical to the rural and overall U.S. economy,” Sorenson concluded.



USDEC & NMPF Appreciate Congressional Oversight; Urge Continued Federal Action on Ports Issues

“The U.S. Dairy Export Council (USDEC) thanks Coast Guard & Maritime Transportation Subcommittee Chairman Salud Carbajal and Subcommittee Ranking Member Bob Gibbs for holding a House Transportation & Infrastructure (T&I) hearing today to examine the impacts of shipping container shortages and delays on supply chains critical to global food supply,” said Krysta Harden, USDEC President and CEO. “While receiving testimony and answers from Federal Maritime Commission (FMC) Chair Maffei and Commissioner Dye is a step forward in resolving the issues the U.S. dairy industry faces, we urge House T&I leadership to ensure this oversight action results in tangible action to alleviate and resolve the challenges exporters face.”

“Dairy producers throughout the country are feeling the consequences of port congestion as delays in loading U.S. dairy exports onto carriers creates a chilling effect on farm-gate milk prices,” said Jim Mulhern, National Milk Producers Federation (NMPF) President and CEO. “We thank Chairman Carbajal and Ranking Member Gibbs for holding a hearing today to identify what enforcement authority the FMC requires to resolve this crisis and ensure American dairy exports can continue unimpeded.”  

Specifically, USDEC and NMPF believe the FMC should require ocean carriers to certify that they are complying with the agency’s guidelines. Additionally, the organization urge Congress to allocate sufficient resources to the FMC to ensure complaints of carrier malpractice are prioritized and investigations are expedited to prevent shipping carriers from engaging in unfair trade practices.



USDA Opens Signup for CLEAR30, Expands Pilot to Be Nationwide

Landowners and agricultural producers currently enrolled in the Conservation Reserve Program (CRP) now have a wider opportunity to enroll in a 30-year contract through the Clean Lakes, Estuaries, And Rivers initiative, called CLEAR30. The U.S. Department of Agriculture (USDA) is expanding CLEAR30 – a water-quality focused option available through CRP – to be nationwide now.

Interested producers with CRP contracts expiring September 30, 2021, should sign up by August 6, 2021. CLEAR30 provides an opportunity for producers to receive incentives for a 30-year commitment to water quality practices on their CRP land, building on their original 10- to 15-year CRP contracts.

“We are excited to expand this option to enable more producers to take their conservation efforts to the next level,” said Zach Ducheneaux, USDA Farm Service Agency (FSA) administrator. “Offering CLEAR30 in all states enables durable maintenance of conservation investments and enhanced stewardship of the land and waterways on a larger scale.”

These long-term contracts ensure that practices remain in place for 30 years, which improves water quality through reducing sediment and nutrient runoff and helping prevent algal blooms.

About CLEAR30
CLEAR30 was created by the 2018 Farm Bill to better address water quality concerns. Originally, CLEAR30 was only available in the Great Lakes and Chesapeake Bay watersheds. Now, access is expanded to agricultural producers nationwide.

Eligible producers must have certain water quality benefitting practices currently enrolled under continuous CRP or through the Conservation Reserve Enhancement Program (CREP), under contracts that are expiring on September 30, 2021.

These long-term contracts will help ensure that conservation impacts and benefits remain in place for 30 years, reducing sediment and nutrient runoff and, ultimately, algal blooms. Conservation in riparian areas also provides important carbon sequestration benefits. Traditional CRP contracts run from 10 to 15 years.

Annual rental payments for landowners who enroll in CLEAR30 will be equal to the current Continuous CRP annual payment rate plus a 20% water quality incentive and annual rate adjustment of 27.5%.

How to Sign Up
To sign up for CLEAR30, contact your local  USDA Service Center by August 6, 2021. While USDA offices may be closed to visitors because of the pandemic, Service Center staff continue to work with agricultural producers via phone, email, and other digital tools. To conduct business, please contact your local USDA Service Center. Contact information can be found at farmers.gov/service-locator.

More Information
CLEAR30 is an option available through CRP, which is one of the world’s largest voluntary conservation programs with a long track record of preserving topsoil, sequestering carbon and reducing nitrogen runoff, as well providing healthy habitat for wildlife.

Under the Biden-Harris Administration, USDA is engaged in a whole-of-government effort to combat the climate crisis and conserve and protect our nation’s lands, biodiversity, and natural resources including our soil, air and water. As such, CLEAR30 contracts receive a water quality incentive and a climate-smart practice incentive. Through conservation practices and partnerships, USDA aims to enhance economic growth and create new streams of income for farmers, ranchers, producers, and private foresters. Successfully meeting these challenges will require USDA and our agencies to pursue a coordinated approach alongside USDA stakeholders, including state, local, and tribal governments.

USDA touches the lives of all Americans each day in so many positive ways. In the Biden-Harris Administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America.

To enroll in CLEAR30, please contact your local  USDA Service Center. For more information on CRP, visit the Conservation Reserve Program.



USDA Announces Additional Aid to Ag Producers and Businesses in Pandemic Assistance for Producers Initiative

Agriculture Secretary Tom Vilsack announced today additional aid to agricultural producers and businesses as part of the USDA Pandemic Assistance for Producers initiative. Earlier this year, Secretary Vilsack announced plans to use available pandemic assistance funds to address a number of gaps and disparities in previous rounds of aid. As part of the Pandemic Assistance initiative announced in March, USDA pledged to continue Coronavirus Food Assistance Program (CFAP) payments and to provide aid to producers and businesses left behind. Implementation of the assistance announced today will continue within 60 days to include support to timber harvesters, biofuels, dairy farmers and processors, livestock farmers and contract growers of poultry, assistance for organic cost share, and grants for PPE.

“USDA is honoring its commitment to get financial assistance to producers and critical agricultural businesses, especially those left out or underserved by previous COVID aid,” said Secretary Vilsack. “These investments through USDA Pandemic Assistance will help our food, agriculture and forestry sectors get back on track and plan for the future. Since January, USDA has provided more than $11 billion of assistance directly to producers and food and agriculture business.”

In March, USDA announced $6 billion (see Part 1) in available funds through Pandemic Assistance to support a number of new programs or to modify existing efforts. The following programming is planned for implementation within 60 days, which will continue to be focused on filling gaps in previous rounds of assistance and helping beginning, socially disadvantaged and small and medium sized producers that need support most:
    $200 million: Small, family-owned timber harvesting and hauling businesses
    $700 million: Biofuels producers
    Support for dairy farmers and processors:
    $400 million: The new Dairy Donation Program to address food insecurity and mitigate food waste and loss
    Additional pandemic payments targeted to dairy farmers that have demonstrated losses that have not been covered by previous pandemic assistance
    Approximately $580 million: Supplemental Dairy Margin Coverage for small and medium farms
    Assistance for poultry and livestock producers left out of previous rounds of pandemic assistance:
    Contract growers of poultry
    Livestock and poultry producers forced to euthanize animals during the pandemic (March 1, 2020 through December 26, 2020)
    $700 million: Pandemic Response and Safety Grants for PPE and other protective measures to help specialty crop growers, meat packers and processors, seafood industry workers, among others
    Up to $20 million: Additional organic cost share assistance, including for producers who are transitioning to organic

As the economy continues to gain strength after the Biden Administration’s historic vaccination and economic relief efforts, USDA is working with producers and agricultural businesses to ensure they have the resources and tools to thrive in 2021 and beyond. The funding associated with USDA Pandemic Assistance is meant to serve as a bridge from disruptions associated with the pandemic to longer-term investments to help build back a better food system. Through USDA’s Build Back Better initiative, USDA has already announced $5 billion in a mix of loans, grants and innovative financing to make meaningful investments to build a food system that is more resilient against shocks, delivers greater value to growers and workers, and offers consumers an affordable selection of healthy food produced and sourced locally and regionally by farmers and processors from diverse backgrounds.

“We have more work to do to build back a better food system, strengthen our supply chains, and make sure American agriculture gives our farming and ranching families every opportunity to earn a good living,” said Secretary Vilsack. “As the economy continues to bounce back, USDA will ensure American agriculture is ready to seize the moment.”

As USDA looks to long-term solutions to build back a better food system, the Department is committed to delivering financial assistance to farmers, ranchers, and agricultural producers and businesses who have been impacted by COVID-19 market disruptions.

Since USDA rolled out the Pandemic Assistance initiative in March, the Department has announced approximately $6.8 billion in assistance (Part II and III) to producers and agriculture entities through the following programs:
    $6.295 billion: Coronavirus Food Assistance Program (CFAP) payments to farmers, ranchers and producers (March 24th)
    $35 million: Value Added Producer Grants (March 5th)
    $169.9 million: Specialty Crop Block Grants (April 13th)
    $75 million: Gus Schumacher Nutrition Incentive Program (April 13th)
    $37.5 million: Beginning Farmer and Rancher Development Program (April 13th)
    $80 million: Payments to Domestic Users of Cotton (April 13th)
    $92.2 million: Local Agriculture Market Program (May 5th)
    Approximately $20 Million: Pandemic Cover Crop Program (June 1st)



ACE Reaction to USDA Plans to Distribute Pandemic Assistance

The U.S. Department of Agriculture (USDA) Secretary Tom Vilsack announced more details surrounding the USDA Pandemic Assistance for Producers initiative, which was announced in March and dedicates $6 billion in unspent pandemic relief for a variety of producers, including renewable fuels.  Of the $6 billion in available funds, $700 million is designated for biofuel producers, and is planned for implementation within 60 days. American Coalition for Ethanol (ACE) CEO Brian Jennings issued the statement below following the announcement:

“While we sought a higher level of funding to offset the damage done to ethanol producers from the unprecedented global pandemic, we appreciate that USDA is going to make some funds available yet this summer. The fact that the aid won’t address the full impacts and need reinforces our belief that USDA should not allow a disproportionate amount of funds to go to large conglomerates at the expense of farmer-owned and smaller ethanol producers. We have engaged USDA on ways to ensure equitable treatment for farmer-owned and small ethanol producers and look forward to the specifics on how USDA intends to distribute funds.”



Judge Halts Program That Forgives Debt For Black Farmers

A federal judge in Wisconsin ordered a temporary stop to the $4 billion federal loan relief program for farmers of color after a group of white farmers filed a legal challenge crying discrimination.

Judge William Griesbach issued a temporary restraining order last Thursday blocking the U.S. Department of Agriculture from moving forward with the relief payments.

The program would pay up to 120% of direct or guaranteed farm loan balances for American Indian, Hispanic, Asian American, Pacific Islander and Black farmers. The program was part of President Joe Biden’s $1.9 trillion COVID-19 relief plan.

The program is also being fought by several large banking groups who complained that by giving the money to minority and Black farmers and allowing them to pay down their debts early, the banks are losing out on interest income they were expecting to receive.



Republican Ag Committee Leadership Announces Release of Study Confirming Devastating Impact of Inheritance Tax Code Changes on Family Farmers and Ranchers
 
The Republican leaders of the agriculture committees in Congress are highlighting a new study that confirms Democrats' proposed changes to taxes on inherited property will have a devastating impact on the next generation of family farmers and ranchers.

Representative Glenn 'GT' Thompson, Ranking Member, House Committee on Agriculture, and Senator John Boozman, Ranking Member, Senate Committee on Agriculture, Nutrition, and Forestry, requested the Agricultural and Food Policy Center (AFPC) at Texas A&M University to analyze two pieces of legislation introduced in the Senate that would change the tax liabilities of family members when farm and ranch estates are passed from generation to generation.  

AFPC’s study confirms that if enacted, the two bills analyzed—the Sensible Taxation and Equity Promotion (STEP) Act, which proposes to eliminate stepped-up basis upon death of the owner and the For the 99.5 Percent Act, which would decrease the estate tax exemption—would have a devastating impact on the hardworking families that own and operate farms and ranches.

The STEP Act’s proposed changes to stepped-up basis mirror proposals discussed by the Biden administration. If it were to be implemented, 92 of AFPC’s 94 representative farms would be impacted with an average additional tax liability of more than $720,000 per farm. Together, the two bills would raise taxes an average of $1.4 million on 98 percent of AFPC’s representative farms.

“The livelihoods of American farmers are on the chopping block with proposed changes to stepped-up basis and the estate tax. Many Democrats love to talk about taxing the richest of the rich, but in reality, their proposals would hurt Main Street far more than Wall Street, said Thompson. "The economic harm that will inevitably fall onto on our farmers, ranchers, and producers is too great a burden to gamble with, even with proposed carve-outs and exemptions. The report released today from the Agricultural and Food Policy Center underscores what the industry has known for years—new taxes on farmers are more than just an annoyance, they’re a generational threat to farm families."

“The data speaks for itself and should give pause to anyone considering this approach as an option to pay for new additional federal spending. If changes of these magnitude are pursued, as some have discussed, the economic harm it will cause will have a lasting impact on rural America,” Boozman said.

AFPC maintains a database of 94 representative farms in 30 different states. That data, in conjunction with a farm-level policy simulation model, allows AFPC to analyze policy changes on farms and ranches across the country.



NCBA Welcomes New Study Highlighting the Negative Impacts of Transfer Taxes

Today, the Texas A&M Agricultural and Food Policy Center released a report quantifying the negative impact imposing new transfer taxes will have on U.S. cattle and beef producers. The conclusions of the study support NCBA’s position on tax policy for rural America that creates a viable business climate for family-owned businesses, including farms and ranches.
 
This study, requested by Ranking Member of the Senate Committee on Agriculture, Nutrition, and Forestry John Boozman and Ranking Member of the House Committee on Agriculture GT Thompson, reveals the significant impact two proposed bills would have on long-standing provisions in the tax code. The STEP Act would eliminate stepped-up basis at the time of death of an owner. The 99.5% Act would, most notably, decrease the estate tax exemption from the current $11.7 million per individual and $23.4 million per couple to $3.5 million per individual and $7 million per couple. The study proves that, because of their unique structure, family-owned businesses are particularly susceptible to changes in the tax code. In fact, if both bills were implemented 98% of the representative farms used in the study would have seen an average tax increase of $1.4 million.
 
“This study supports what NCBA has long advocated for—tax policy for rural America that encourages generational transfer, instead of acting as a barrier for the next generation of agriculturists to contribute to a safe, reliable and abundant food supply chain. From the results of the study, it is clear that these proposed bills would have significant and, in some cases, devastating effects on family-owned businesses,” said Senior Executive Director of Government Affairs Danielle Beck. “We appreciate Senator Boozman and Representative Thompson taking action to preserve sound tax policies and ultimately supporting the businesses that are the backbone of rural economies across the United States.”  
With more than 40% of farmland expected to transition in the next two decades, Congress must prioritize policies that support land transfers to the next generation of farmers and ranchers. When doing this, it is imperative that lawmakers take into consideration the complexity of the implications of taxes on family-owned businesses. In the case of farms and ranches, the United States Department of Agriculture (USDA) reports that 91% of assets are illiquid. This means that to pay off tax liabilities at the time of an owner’s death, surviving family members may be forced to sell of land, farm equipment and sometimes parts of the operation. If farmland is lost, and therefore transitioned out of production, the environmental benefits that come along with the deliberate stewardship done by farmers and ranchers will be lost as well.

“Farmers and ranchers conserve nearly 900 million acres of crop and rangeland in the United States. The vital work done by cattle and beef producers to deliver an array of environmental benefits such as restoring wildlife habitat, sequestering carbon, and protecting and improving water quality, depends on their ability to stay in business. Federal tax policy that facilitates generational transfer and allows the next generation of producers to build upon the environmental and economic benefits of today’s farmers and ranchers is just as important for fifth-generation producers as it is for first-generation, veteran, and minority community producers who are breaking into and establishing a foothold in the industry,” said Beck.



U.S. Drought Conditions Top of Mind with Organic Corn and Soybean Markets

The organic corn, soy and wheat markets are not immune from the moderate to exceptional drought impacting much of the U.S. growing region. Mercaris notes that while rain is very much needed, there is a silver lining from all the dry weather when it comes to planting.

“Mercaris estimates that organic corn planting progress is up 16 percent year-over-year as of May 30 and organic soybeans are up 24 percent in the same time frame,” says Megan Thomas, economist for Mercaris. “The dry weather has really helped planting move ahead for both organic corn and organic soy in 2021, compared to the cool, wet spring U.S. farmers saw in 2020.”

The Dakotas saw the biggest shift in year over year planting progress, with North Dakota’s organic corn planting going from 26 percent a year ago to 73 percent this year and organic soybeans shifting from 12 percent in 2020 to 65 percent this year. South Dakota’s corn and soybean planting shifted from 72 percent to 93 percent and 44 percent to 86 percent, respectively.

“The extreme drought in the Dakotas and parts of the Midwest is something we are keeping a close eye on moving forward,” adds Thomas. “These weather conditions could have a significant impact on fall harvest, prices and imports for corn and soybeans, as well as an uncertain impact on planting and harvesting organic wheat.”



U.S. Dairy Urges Further Work to Address EU Ag Barriers as Trade Relations Improve

As the United States and the European Union (EU) announced a five-year detente in aircraft case tariffs today, the U.S. Dairy Export Council (USDEC) and National Milk Producers Federation (NMPF) welcomed the break-through while also urging that further steps be taken by the EU to ensure that food and agricultural trade is not upended in the months to come.  

“The bilateral commitment announced at the U.S.-EU Leaders Summit to resolve the aircraft disputes can help to normalize trade in sectors that have been harmed by retaliatory tariffs, but more work remains to get U.S.-EU trade relations on the right path,” said Krysta Harden, USDEC President and CEO. “The U.S. needs a holistic approach to Europe’s continued attempts to disrupt international trade so that our exporters have a dependable and more reasonable playing field on which to compete.”

"U.S. exporters continually have to chase new mandates by the European Union to retain our current access, even when there are no safety concerns with American dairy products," said Jim Mulhern, NMPF President and CEO. "Too often dairy trade with the EU is a one-way street. The EU’s frequent approach to import requirements is to mandate prescriptive procedures that U.S. dairy exporters need to make time-consuming changes in order to conform just to retain access to that market for our safe products. The products we export today are entirely safe; new EU mandates that would seek to force the U.S. to change our regulatory system match theirs would do nothing to enhance that.”

NMPF and USDEC noted that the U.S. has the safest food supply in the world and was the first dairy industry globally to achieve international certification for its animal care program. EU efforts to impose their own process-focused regulations on their trading partners run counter to the EU’s international commitments and appear designed simply to layer added cost and complications upon imported products to discourage trade. From geographical indications to overly prescriptive health certificates, the EU’s approach to managing trade has been to hamper competition rather than to let it flourish. To continue to move transatlantic trade relations forward, the EU’s underlying approach to agricultural trade must change.

Members of Congress are also calling for the EU to take steps to help advance transatlantic trade relations by addressing looming new EU import requirements that threaten to upend trade in the coming months. Yesterday, Representatives Ron Kind (D-WI), Jackie Walorski (R-IN), Jim Costa (D-CA), and John Katko (R-NY) wrote to the EU’s Ambassador to the U.S. Stavros Lambrinidis, calling on the EU to delay implementation of new and excessive dairy certification requirements until U.S. and EU negotiators can reach a mutually agreed solution.  



NK Seeds releases first-ever Field Forged Series™ of top-performing corn and soybeans

As commodity prices heat up, the race is on for corn and soybean growers to maximize yields and return on investment potential. Enter the first-ever Field Forged Series™ from NK Seeds. Now available for the 2022 growing season from retailers across the U.S., this combination of proven performers and elite newcomers represents the best in seed innovation from Syngenta Seeds' leading research and development engine.

The inaugural Field Forged Series lineup features 26 total hybrids, including 10 new NK® corn hybrids and 4 new Enogen® corn hybrids, and 20 new NK soybean varieties, each carefully evaluated and hand-selected for top performance.

"This is a big moment for NK, but an even bigger one for farmers," said Quinn Showalter, NK head of sales. "This isn't just another product launch. The introduction of our first Field Forged Series is the culmination of many years of research and development, testing and working alongside farmers to deliver meaningful innovations for their fields."

With challenges in agriculture constantly evolving, Syngenta Seeds is accelerating innovation to keep farms running, structuring the organization's entire R&D process around the farmer. The company's innovations include the Stalk Crusher, a unique sensor-based technology that's delivering better-standing hybrids, and investments in trait introgression that are empowering breeders to pair the newest traits with the strongest genetics, faster than ever.

In NK corn, Syngenta Seeds R&D has powered a portfolio of hybrids that reflect both yield and agronomic excellence. Each Field Forged hybrid had to meet a number of strict requirements to be included in the launch class, including strong root rot resistance, stalk strength, tolerance of critical diseases and broad adaptation.

"Our standards were high. To join the Field Forged Series, these NK hybrids had to outperform key competitors in their areas of adaptation not just once, but repeatedly across multiple years," said Joe Bollman, NK corn product manager. "They're proven winners."

The new NK hybrids also offer industry-leading trait choice, with Agrisure Duracade®, Agrisure Viptera® and Agrisure Artesian® traits to help farmers meet a variety of needs in their fields. Similarly, the lineup of Field Forged soybean varieties features a diverse selection of the latest in-demand traits, including both proprietary Enlist E3® soybean and proprietary XtendFlex® soybean varieties.

"The days of one-size-fits-all soybeans are long gone. That doesn't mean we can't help keep management relatively simple," said Eric Miller, NK soybean product manager. "With our Field Forged soybeans, farmers can manage their fields with the traits they prefer while still benefiting from the powerful, proven NK genetics they've come to expect."

All varieties in the Field Forged Series launch class have shown consistently outstanding yield performance in variable environments, offer resistance to Soybean Cyst Nematodes, and provide strong resistance to Phytophthora root rot through one or more genes.



Rising Food Prices Spotlight US Near-total Dependence on Foreign Potash, a Critical Crop Nutrient

Michigan Potash & Salt Company, LLC (MPSC) today announced the strategic importance of developing the U.S. Potash Project in response to the United States' 96% reliance on foreign imports. Potash is a required nutrient for healthy crops and currently faces global supply disruptions causing rapidly rising prices. Potash is so important it was added to the critical minerals list by the U.S. Department of Interior in 2018, declaring it a critical commodity for our country's economy and national food security. Relying on Belarus, Russia, and Canada for our potash needs puts the country in a precarious position.

[Michigan resource deemed critical for US food security creates union jobs and strengthens our agricultural infrastructure]

Potash prices have doubled in the past year, putting pressure on American farmers and a spotlight on food security

"Farmers cannot get the supply they need," said Ward Forquer, Vice President of Potash Distribution.

"One of the world's largest Canadian producers has materially reduced its supply while the pending sanctions on Belarus may further threaten the global food supply chain," said Theodore Pagano, Founder and CEO of the Michigan Potash & Salt Company. "Potash prices have doubled in the past year, putting pressure on American farmers and a spotlight on national food security."  Belarussian tension continues to spiral following the forced-landing of a civilian passenger plane. China, Belarus and Russia supply over half the potash needed to grow the World's food.

Fortunately, Central Michigan sits atop one of the highest-grade potash deposits in the world. "The time is right and the time is now to break ground on the U.S. Potash Project to benefit the American People for many generations," said Pagano.

The new manufacturing facility will be located near Evart, Michigan, in the heart of the American corn belt and will be the United States' first new potash development in over 30 years.  The facility will employ skilled union labor and create 300 union construction jobs.  Jeff Kummer, the company's COO, added "Once commissioned, the U.S. Potash Project will mark one of the largest union-supported infrastructure projects in the country.  It will revitalize the local economy, decrease American reliance on foreign potash imports and bring a "Made in America" product to market."    

The company is in the final stages of placing the capital necessary to move the U.S. Project forward.  "Taking a proactive stance is prudent when it comes to our national food security," says Pagano.