Wednesday November 08 Ag News

UNL ag land management webinar to offer updates on cash rents, farm programs, leasing

The latest trends in 2023 Nebraska county-level cash rental, ARC and PLC coverage options, and leasing considerations will be covered during the next Land Management Quarterly webinar, hosted by the University of Nebraska-Lincoln’s Center for Agricultural Profitability, at noon Central time on Nov. 20.

Offered since 2019, the quarterly webinars address common management issues for Nebraska landowners, agricultural operators, and related stakeholders interested in the latest insight on trends in real estate, managing agricultural land, and solutions for addressing challenges in the upcoming growing season.

The November webinar will cover recent findings from the 2023 USDA-National Agricultural Statistics Service county-level cash rent survey and trends in farm programs influencing operations across the state. The presentation will also include a segment on landlord-tenant communication issues related to closing out 2023 leases and review leasing considerations for 2024. The webinar will conclude with an “Ask the Experts” session, allowing participants to get live answers to their land or leasing questions.

Viewers will have the opportunity to submit land management questions for the presenters to answer during the presentation.

The webinar will be led by Jim Jansen and Allan Vyhnalek, extension faculty with the Center for Agricultural Profitability. Jansen focuses on agricultural finance, land economics, and the direction of the annual Nebraska Farm Real Estate Market Survey and Report. Vyhnalek is a farm succession and farmland management extension educator emeritus.

The webinar is free and will be recorded. Past recordings can be viewed the day after each session, along with recordings from the entire series.

Registration is free at https://cap.unl.edu/landmanagement.



WINTER FORAGE SNOW COVER
– Samantha Daniel, NE Extension Educator

While winter is still several weeks away, much of Nebraska recently received the first snowfall of the season. This is a great time to remember the benefits of snow cover to winter forages, especially alfalfa.

The most significant roles snow cover has in protecting winter forages is to provide insulation to and prevent evaporation from the soil. By trapping heat energy, snow cover limits the depth of the frost layer which protects forages from the damaging freeze-thaw cycle and mitigates winter kill. The effectiveness of this protection is dependent on how early in the season the snow cover is established. Late fall and early winter snowstorms collect and insulate the ground before too much heat is lost from the soil.

Having some stubble at the end of the growing season is a great way to catch this much-needed snow.  If a late season harvest is unavoidable, cut high to ensure snow trapping stubble can still function. In an ideal situation, this snow insulation, winter hardy variety selection, and giving forages the chance to properly winterize in the fall will keep winter kill to a minimum.

Snow is a great insulator and can help forages survive the winter. While snow may not always be a welcome sight, it can help to ensure your winter forage crop survives and thrives next season.



UNL to collaborate with tribes, women farmland owners to promote climate resilience

Husker faculty are partners in a federally funded Midwest collaboration to promote climate resilience through outreach to native tribes and women owning farmland.

The $6 million project, involving University of Nebraska–Lincoln faculty across multiple disciplines, will focus on a four-state region of Nebraska, Iowa, Missouri and Kansas. The U.S. Department of Commerce and the National Oceanic and Atmospheric Administration (NOAA) are providing funding for the initiative over five years, with participation by a wide range of organizations.

The initiative is part of NOAA’s Climate Adaptation Partnerships (CAP) network, with 13 currently funded regional teams around the country.

Engagement of all segments of society is needed to maximize the effectiveness of climate-smart strategies, the federal agencies said. This initiative will work with communities to understand their needs and how they are responding to climate stress. To enhance community resilience, the project will develop data collection and decision-making tools including environmental monitoring and vulnerability assessments.

The name of the project is Co-LEARN: A Midwestern Community of Learning for Empowerment, Climate Adaptation and Resilience for the Next Generation.

“Our project will create ‘a community of learning’ in which members learn from and adapt to each others’ needs, constraints and knowledge, leading to more climate-resilient communities,” the Co-LEARN team said in a vision statement for the project. “Through a framework of ‘learning from and adapting to,’ we will connect social and natural scientists, communities and decision-makers.”

The project, the participants said, will be one in which “all parties involved are simultaneously learners and teachers. We assume that we do not initially have all the answers, but rather that our research questions will become increasingly focused and impactful through this collaborative process.”

In addition to developing climate-smart tools for community resilience, the project will enhance the development of “a diverse workforce of future climate professionals and leaders,” the team stated.

Martha Durr, professor in the School of Natural Resources and the former Nebraska state climatologist, has been the project’s principal investigator at UNL. Rezaul Mahmood, professor in the School of Natural Resources and director of the High Plains Regional Climate Center, took on that role in November.

The other participating UNL faculty are climatologist Mike Hayes, professor in the School of Natural Resources; Lisa PytlikZillig, research associate professor, and Kurt Mantonya, research manager, with the University of Nebraska Public Policy Center; Tirthankar Roy, assistant professor, and Aemal Khattak, professor, in Civil and Environmental Engineering.

The University of Iowa will provide the lead role overseeing the four-state project, of which UNL will receive about $822,000 over the five-year period.

Nebraska institutions participating in the initiative include the Nebraska State Climate Office, High Plains Regional Climate Center, Public Policy Center, Nebraska Indian Community College, Santee Sioux Office of Environmental Protection and the Center for Rural Affairs.



Spooky Season for Cattle Producers Often Follows Halloween

Halloween is behind us, but for many in production agriculture, catching up on end-of-year business transactions and attempting to do some enterprise analysis is the real spooky season. Whether it’s simply from doing the task or from looking at the lump sums of line items like feed costs, the scare factor varies by individual. For people who prefer being out with the cows rather than in the office, it’s rarely a relished experience.

Iowa Beef Center extension program specialist Beth Reynolds said this year's income and expense numbers will mean different things to different people.

"In 2023 the cattle market has been hot, and a higher-than-average income is expected,” she said. “On the flip side, expense increases quickly balance the equation.”

Farmers are accustomed to completing basic financial tasks at the end of the year such as an income statement, balance sheet, cash flow statement, updated inventory to reflect accurate livestock numbers, feed on hand, and grain in the bin. However, because 2023 has been so unique, here are a few year-end business tasks to benefit every operation.

Make an appointment with a tax accountant. Even if you haven’t utilized an in-person meeting with your accountant in the past, unique years like 2023 make the meeting time well spent. Options such as strategies for best claiming depreciation, income averaging, prepaying expenses, and IRA contributions, can help farmers make sound financial decisions.

"Often, we hear stories where people opt to buy equipment, etc. 'for tax reasons,' but a discussion with an accountant can help identify if and when those decisions are in the operation’s best interest long term," Reynolds said.

The Center for Agricultural Law and Taxation has many Farm Tax Resources including an Interactive Schedule F and information on Iowa’s new tax laws impacting retired farmers. Also, Chapters 9 and 10 of the Estate and Succession Planning for the Farm workbook contains farm tax resources.

Incorporate enterprise analysis. An enterprise level look allows you to see which aspect of the operation is paying for your labor and which might be losing money.

The commercial herd, seedstock herd, feedlot, hay production, crop production, etc., can each be viewed as individual enterprises with their own financial reports. One Iowa Beef Center educational opportunity designed to help producers better understand methods to do this is Cattle in the Green, a multi-session, in-person course. Talk to your extension office if interested in bringing the course to your area.

Prioritize spending. Extra income often leads to increased spending. When making those decisions, be sure to identify needs and wants, and calculate a return on investment for each option. When comparing the returns, be sure to include potential bank CD rates and interest saving early debt payments.

Finally, after all (or even some) of the above actions are completed, be sure to back up your information. Although the technological world has many advantages in business management, things happen.

"Whether you work through your business plan on the computer or with pen and paper, get the information copied and saved in a secondary location," she said. "After completing dreaded paperwork tasks, the last thing you want is to go through the tedious process again."



Sen. Tim Scott Lays Out Clear, Complete Biofuels Vision

Of the presidential candidates campaigning in Iowa for the Republican nomination, Sen. Tim Scott is the first to take a positive position on all eight topics vital to the future of Iowa farmers and biofuels producers.

“IRFA members thank Sen. Scott for taking the time to travel across Iowa, tour a biofuels plant, and talk with farmers,” stated Iowa Renewable Fuels Association Vice President Brad Wilson, the president/general manager of the Western Iowa Energy biodiesel plant. “Scott clearly understands the importance of biofuels for the future of agriculture and rural America.”

“Iowa’s soybean growers and biodiesel producers appreciate Sen. Scott’s expressed support for federal policy priorities that are crucial to continued growth of our markets,” said Grant Kimberley, Senior Director of Market Development for Iowa Soybean Association and Executive Director of the Iowa Biodiesel Board. “We applaud Sen. Scott for taking the lead in recognizing the contribution our industry makes to Iowa’s economic health and to the incomes of farm families across the state. The biodiesel/soybean industry adds 13 percent the net market value of Iowa and the United States soybeans and supports opportunities for over 7,200 Iowa workers and voters.”

“Presidential candidate Tim Scott acknowledging the benefits of ethanol and the areas in which we can improve market access, is only the tip of the iceberg,” said Iowa Corn Growers Association President Jolene Riessen. “Ethanol provides Iowans with an avenue of economic growth and impact nationwide and as corn farmers, we want to know our next president has our back when it comes to this sustainable, homegrown fuel option.”

Just as Iowa is home to first-in-the-nation caucuses, it is also the leading state in biofuel production. In 2022, Iowa produced 4.5 billion gallons of ethanol and 349 million gallons of biodiesel. Those production levels accounted for nearly $7.2 billion of Iowa’s gross domestic product, generated $3.5 billion of income for Iowa households and supported more than 57,000 jobs throughout the Iowa economy.

Currently, all Republican candidates who are actively campaigning in Iowa support a growing role for biofuels and a permanent national year-round E15 fix, while opposing laws and regulations that directly or indirectly mandate electric vehicle (EV) purchases. Information on all eight priority issues can be found at: www.biofuelsvision.com.

“While Sen. Scott deserves due credit for being first, there is plenty of time for other candidates to join him in supporting pro-biofuels positions that enhance American energy security and support good paying Iowa jobs,” said Wilson.



Nikki Haley Courts Iowa Farmers with New Coalition

In a strategic move to secure the support of Iowa's influential agricultural sector, Republican presidential candidate Nikki Haley has established a new coalition named "Farmers for Nikki." The group, headed by former American Soybean Association president Ray Gaesser, intends to mobilize farmers and rural Iowans to caucus for Haley in the 2024 Republican caucuses.

Haley has emphasized her experience as a former ambassador to the United Nations and governor of South Carolina, underlining her unwavering support for Iowa's agricultural industries. She has championed stronger trade deals with China, increased ethanol production, and achieving "energy independence" through domestic oil and ethanol production.

Haley's efforts to court Iowa farmers come amidst an intensifying rivalry with Florida Gov. Ron DeSantis, who recently received the endorsement of Iowa Gov. Kim Reynolds. The two candidates have clashed over the issue of Chinese businesses owning American land, with DeSantis criticizing Haley's record of recruiting Chinese companies to South Carolina.

These challenges, Haley remains a formidable contender in the Republican primary, tied with DeSantis with 16% support among likely Republican caucusgoers in Iowa. However, former President Donald Trump maintains a significant lead in the race, with 43% support.

As the 2024 election approaches, Haley's efforts to secure support from Iowa farmers could prove crucial in determining her success in the Republican primary.



Google, INREC to Support “Batch and Build” Water Quality Projects led by the Iowa Department of Agriculture and Land Stewardship

Iowa Secretary of Agriculture Mike Naig announced today that Google, through a grant to the Iowa Nutrient Research and Education Council (INREC), will provide $150,000 in funding to support ongoing Iowa Department of Agriculture and Land Stewardship-led “batch and build” water quality projects that are in progress across Iowa.

Iowa’s innovative “batch and build” model modernizes the project management process by installing batches of conservation practices on multiple farms at once, therefore allowing a faster acceleration of water quality progress. Because of this efficient and cost-effective model, which is used to install edge-of-field practices such as bioreactors and saturated buffers that filter and denitrify water before it enters our waterways, Iowa is setting records for conservation implementation.  

The Iowa Department of Agriculture and Land Stewardship currently has eight “batch and build” projects in motion, with several more in planning phases. The funding will provide financial support to alleviate bottlenecks, encourage practice adoption and fill in gaps not covered by state or federal funding.

“It takes many great public and private partners to accelerate our statewide water quality progress, and we are thankful to Google and INREC for their support as well as the more than 350 other committed urban and rural partners,” said Iowa Secretary of Agriculture Mike Naig. “Many existing and potential partners are taking note of the water quality momentum that is building in Iowa, and this progress wouldn’t be possible without the record levels of conservation work implemented by Iowa farmers and landowners.”

"Iowa farmers have been some of Iowa’s earliest innovators, and we are proud to support INREC in their work to create groundbreaking models for the adoption of edge-of-field practices,” said Dan Harbeke, Regional Head of Public Policy and External Affairs at Google. “These practices can provide long-lasting impact with nitrate reduction and remove some of the barriers landowners face when working to increase their sustainable farming initiatives.”

INREC strategically brings together farm and commodity organizations, fertilizer and crop production companies, agricultural retailers, and crop advisers in a formal organization to help lead the environmental efforts of agriculture in Iowa. Non-profit members include Agribusiness Association of Iowa, Iowa Certified Crop Advisors, Iowa Corn Promotion Board, Iowa Farm Bureau Federation and Iowa Pork Producers Association.

“INREC greatly appreciates this generous grant from Google that supports one of our top goals, which is to facilitate accelerated nutrient reduction practice adoption via technology, partnerships, and innovation,” said Roger Zylstra, a farmer from Jasper County and chair of the INREC Board of Directors.

The latest grant from Google, which has called Iowa home since breaking ground in 2007, builds upon previous support for water quality efforts in Iowa. At the 2022 Iowa State Fair, Google presented INREC with a $250,000 grant for water quality efforts. Earlier this year, Google.org hosted a design sprint to help faculty and staff at Iowa State University and other stakeholders develop a decision support tool to help farmers manage nutrients and maximize profitability.



Iowa Pork adds Lovett to "Purchase Moore Hamann Bacon" NIL initiative with Cyclone players
    
The Iowa Pork Producers Association’s viral “Purchase Moore Hamann Bacon” marketing initiative with Iowa State football players is adding another new member: Linebacker Zach Lovett.

This follows the introduction of Linebacker Alec Cook into the promotion last week. Through an NIL (name, image, likeness) deal, Lovett and Cook join fellow Cyclones Myles Purchase, Tyler Moore, Tommy Hamann, and Caleb Bacon, encouraging Iowans to purchase pork products, cook more ham and bacon, and of course to love it!

A new 30 second video featuring all six players launched on Wednesday. Alec Cook made his debut in the campaign in a 30 second video last week. The videos and photos of the players will be used in ads on social media.

The Iowa Pork Producers’ original social media post featuring a photo of Purchase, Moore, Hamann and Bacon, with several pounds of ham and bacon, has received more than 2.6 million views on X and the initiative quickly garnered statewide and national media attention. It continues to be an extremely popular and successful promotion for the pork industry.

“This year has been a very challenging one for pork producers and we’re grateful that this promotion came along at a good time to put smiles on a lot of peoples’ faces, including Iowa’s hard-working pig farmers,” said Iowa Pork Producers Association President Trish Cook. “We’re also helping to fight food insecurity with donations of pork to several food pantries, in the players’ names. The players have been fantastic to work with and we’re glad to support them through this NIL agreement.”

In conjunction with the “Purchase Moore Hamann Bacon” initiative, the Iowa Pork Producers Association is donating $10,000 worth of pork to the players’ food pantries of choice. That equals more than 13,300 servings of pork. The breakdown for food pantries is as follows:
·      $2,000 worth of pork to the Food Bank of the Rockies, in the name of Miles Purchase.
·      $2,000 worth of pork to DMARC in Des Moines, in the name of Tyler Moore.
·      $2,000 worth of pork to Interfaith Outreach & Community Partners in Plymouth, MN, in the name of Tommy Hamann.
·      $2,000 worth of pork to the Lake Mills Food Shelf in Lake Mills, IA, in the name of Caleb Bacon.
·      $1,000 worth of pork to the Food Bank for the Heartland in Omaha, in the name of Alec Cook.
·      $1,000 worth of pork to a food pantry yet to be determined in the name of Zach Lovett.

“I just want to say thank you the Iowa Pork Producers for giving me the chance to join my teammates and use our last names in a fun way to promote the pork industry,” said Lovett, a redshirt sophomore from Melbourne, FL. “We hope everybody purchases more ham and bacon. And loves it.”

Nearly one in 10 jobs in the state of Iowa are connected to the pork industry. There are 5,418 pig farms in Iowa and 94% of them are family owned.



Annual Dairy Goat Management Seminar Dec. 9 near Sioux Center

The Iowa State University Extension and Outreach Dairy Team will host its annual Dairy Goat Management Seminar on Saturday, Dec. 9 at the Dordt College Agriculture Stewardship Center, 700 7th St. NE, Sioux Center. The event will begin with registration at 9 a.m. and the program runs from 9:30 a.m. to 3:15 p.m.

This year’s focus is on milk quality and functional type animals.

“With Iowa being the number three dairy goat state in the nation, dairy goat production is an important industry for our state, and especially northwest Iowa,” said Fred Hall, dairy specialist with ISU Extension and Outreach. “We are very pleased to continue this educational opportunity with a lineup of quality speakers and presenters to provide producers with practical take-home information.”

The program will cover the following topics:
-    Using antibiotics without compromising milk safety, by Michelle Buckley, ISU College of Veterinary Medicine
-    Mastitis identification and management, by Fauna Smith, UC-Davis College of Veterinary Medicine
-    Setting goals: VCPRs and milk quality, by Fauna Smith, UC-Davis College of Veterinary Medicine
-    Dairy Goat Profit Analysis, by Larry Tranel, ISU Extension and Outreach
-    Hands-on lab focused on improving milk quality: Functional type assessment, milk hygiene and equipment maintenance, and milk quality assessment tools, by Danni Louie, American Dairy Goat Association linear appraiser; Fauna Smith, UC-Davis College of Veterinary Medicine; and Michelle Buckley, ISU College of Veterinary Medicine.

There is no registration fee to attend the program, but registration is required online at https://go.iastate.edu/2023DAIRYGOAT or by calling the ISU Extension and Outreach Sioux County office at 712-737-4230. The deadline to register is Dec. 6 at 12 noon.

A complimentary lunch will be provided thanks to sponsorship from Saputo and Big Gain.

Questions can be emailed to dairygoatextension@iastate.edu or call Fred at 712-737-4230.

This work is supported by the USDA National Institute of Food and Agriculture, Agricultural and Food Research Initiative Competitive Program, Antimicrobial Resistance number: 2020-04197.



Anhydrous Leads Major Fertilizer Prices Higher

Retail fertilizer prices continue to be mostly higher, according to prices tracked by DTN for the last week of October 2023.

Six of the eight major fertilizers were higher compared to last month. DTN designates a significant move as anything 5% or more.

The only fertilizer with a considerably higher move was once again anhydrous, which was 5% higher compared to last month. The nitrogen fertilizer had an average price of $826 per ton.

Five other fertilizers were just slightly higher looking back a month. DAP had an average price of $713/ton, MAP $801/ton, 10-34-0 $611/ton, UAN28 $358/ton and UAN32 $415/ton.

MAP was back above the $800/ton level for the first time since the third week of July 2023. The price 15 weeks ago was $812/ton.

Two fertilizers were just slightly lower in price compared to last month. Potash had an average price of $508/ton while urea was at $573/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.62/lb.N, anhydrous $0.50/lb.N, UAN28 $0.64/lb.N and UAN32 $0.65/lb.N.

All fertilizers are now lower by double digits compared to one year ago: MAP by 18%, 10-34-0 by 20%, DAP by 23%, urea by 31%, both UAN28 and UAN32 by 39%, potash by 41% and anhydrous is 42% cheaper.



CHS Reports Strong Fiscal Year 2023 Earnings

CHS Inc., the nation's leading agribusiness cooperative, today reported net income of $1.9 billion for the fiscal year ended Aug. 31, 2023, compared to $1.7 billion for fiscal year 2022.

Key drivers for fiscal year 2023 financial results include:
    Consolidated revenues of $45.6 billion for fiscal year 2023 compared to $47.8 billion for fiscal year 2022.
    Our Energy segment delivered strong earnings, reflecting continued favorable market conditions in our refined fuels business.
    In our Ag segment, robust meal and oil demand contributed to higher earnings in our soybean and canola processing business.
    Our equity method investments performed well, particularly CF Nitrogen and Ventura Foods.

"The support of our member cooperatives and farmer-owners, dedication of our employees, exceptional operational performance and favorable market conditions enabled us to achieve the strongest earnings in our history during fiscal year 2023," said Jay Debertin, president and CEO of CHS Inc. "As a result, CHS intends to return $730 million in cash patronage and equity redemptions to our member cooperatives and farmer-owners in fiscal year 2024, demonstrating our commitment to sharing profits with the producers, local cooperatives and rural businesses that work with us to help feed people around the world.

"Our shared success showcases the unique power of the cooperative system to keep adapting and advancing through the uncertainties that can come with agriculture. We will continue to collaborate, innovate and invest to meet the growing global demand for agricultural products," Debertin added. "A diversified portfolio, coupled with strategic investments in supply chain capabilities and emerging market opportunities, positions CHS to create a better company for the future and to maximize value for our owners and customers."

Fiscal Year 2023 Business Segment Results

Energy
Pretax earnings of $1.1 billion represent a $458.9 million increase versus the prior year and reflect:
-    A significant increase in our refined fuels income due to higher refining margins and favorable pricing of heavy Canadian crude oil — partially offset by the impact of decreased production volumes at our Montana refinery due to major planned maintenance
-    Higher margins in our propane business attributed to favorable market conditions

Ag
Pretax earnings of $411.8 million represent a $245.8 million decrease versus the prior year and reflect:
-    Decreased margins for wholesale and retail agronomy products, which experienced market-driven price declines compared to historically high prices in the previous year
-    Lower margins for ethanol as market prices declined
-    Negative impact of mark-to-market adjustments on grain and oilseeds
-    Margin increases in our oilseed processing business, bolstered by strong meal and oil demand

Nitrogen Production
Pretax earnings of $260.8 million represent a $217.2 million decrease versus the prior year due to lower equity income from our CF Nitrogen investment attributed to decreased market prices of urea and UAN.

Corporate and Other
Pretax earnings of $259.8 million represent a $201.9 million increase versus the prior year and reflect, among other factors, increased equity income from our Ventura Foods joint venture, which experienced more favorable market conditions for edible oils, and increased interest income.



September Pork Exports Fairly Steady; Beef Exports Trend Lower

September exports of U.S. pork were down slightly from a year ago but maintained a robust pace, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF). Beef exports continued to struggle compared to last year’s record totals but showed increasing strength in Western Hemisphere markets.

Another outstanding month for Mexico bolsters September pork exports
Pork exports totaled 221,140 metric tons (mt) in September, down less than 1% from a year ago, while export value fell 4% to $643.7 million. September export value to Mexico increased 18% year-over-year to $207.6 million, the third highest month on record. Exports also increased strongly to Central America and Australia and trended higher to the Caribbean, Taiwan, New Zealand, Vietnam and Malaysia.

For the first three quarters of 2023, pork exports increased 9% year-over-year to 2.13 million mt and climbed 7% in value to just under $6 billion, led by record-large shipments to leading market Mexico.

“Pork exports achieving another $200 million month in Mexico is fantastic,” said USMEF President and CEO Dan Halstrom, “But the good news doesn’t end there, as growth in regions such as Central America, the Caribbean and Oceania helped offset lower shipments to China and Japan.”

Beef exports struggling in Asia, climbing in Western Hemisphere
September beef exports totaled 98,757 mt, down 15% from a year ago and the lowest of 2023, while value fell 12% to $795.5 million. Exports were lower across the board to major Asian destinations but gained momentum in Mexico, Canada, Central America, Colombia and Africa.

For January through September, beef exports were 13% below last year’s record pace in volume (980,100 mt) and down 18% in value ($7.49 billion).

“U.S. beef continues to face tough sledding in our Asian markets, where weakness in major currencies persist and consumer confidence remains guarded,” Halstrom said. “In the past few weeks we have seen several Asian trading partners step up efforts to stimulate their economies and ease pressure on consumers. In the meantime, bright spots for U.S. beef continue to emerge in the Western Hemisphere, led by strong demand in Mexico.”

September lamb exports higher to Caribbean but lower overall
September exports of U.S. lamb totaled 245 mt, down 9% from a year ago, while export value fell 11% to $1.17 million. Exports trended higher to the Caribbean, including increases to Trinidad and Tobago, the Bahamas, the Dominican Republic and the Leeward-Windward Islands, but were lower to Mexico and Canada. For January through September, lamb exports were down 5% to 1,872 mt, valued at $9.5 million (down 10%).



USDA Announces Progress to Further Competition in Agriculture, Level Playing Field for Farmers

Agriculture Secretary Tom Vilsack today announced progress on the U.S. Department of Agriculture’s (USDA) comprehensive approach to address the many, complex competition issues in agricultural markets and create a fairer playing field for small- and mid-size farmers. In support of these efforts, USDA has finalized the first in a series of rules under the Packers and Stockyards Act, which is aimed at helping contract poultry growers compete more effectively and better understand the terms of their agreements with major processing companies.

USDA also announced updates on several other efforts the department has undertaken as part of President Biden’s historic Executive Order on Promoting Competition in America’s Economy, a key pillar of Bidenomics. These include a notice to seed companies clarifying expectations that they share clear and meaningful information to farmers about the seed varietals they are purchasing; clarifying the domestic origin requirements a farmer must fulfill to sell meat products to meet USDA’s food purchases for nutrition assistance programs; and creating a new, senior- level career position to formalize and enhance implementation of key competition policy priorities across the Department.

“From day one, President Biden has been committed to a robust and effective set of Packers and Stockyards regulations that will bring better transparency and more fairness to America’s producers and growers,” said Agriculture Secretary Tom Vilsack. “This rule and the other actions we are announcing today bring transparency and accountability to transactional relationships across the poultry industry, seed industry and federal procurement, and they are critical steps in USDA’s competition and farmer fairness agenda. They are also a powerful complement to the many other steps USDA is taking, from investing $1 billion in our supply chains to enhancing our labeling regulations — to create a fairer marketplace so more producers have the tools for success.”

Secretary Vilsack is making this announcement as officials from the Administration are traveling the country as part of the Investing in Rural America Event Series to highlight how the Biden-Harris Administration’s investments are bringing new revenue to farms, increased economic development in rural towns and communities, and more opportunity throughout the country.

Transparency in Poultry Grower Contracting and Tournaments Final Rule
The rule, requires Live Poultry Dealers —typically large processing companies -- to give critical information about terms of their agreements to the poultry growers with whom they contract to raise birds. The final rule requires a “Live Poultry Dealer Disclosure Document” that provides growers with information they need to have a better understanding of realistic outcomes they can expect before making important financial decisions, such as capital-intensive facility improvements or taking out loans. In particular, the rule requires that dealers disclose earnings for growers by quintile, establish minimum flock placements, and explain variable costs growers may incur and how companies handle certain important circumstances such as sick flocks and natural disasters. It also establishes an accountability and governance framework that must be certified by the poultry company’s CEO.

“It's high time that poultry growers get the benefit of robust transparency—upfront and ongoing—to clean up the broiler chicken market of deceptive practices,” said USDA Senior Advisor for Fair and Competitive Markets Andy Green. “This Poultry Transparency Rule in particular lays down a powerful marker that USDA stands on the side of market integrity and fairness for farmers and is a vital example of the more than 72 actions kickstarted by the historic Biden-Harris Executive Order on Promoting Competition in America’s Economy.”

The rule separately requires dealers provide tournament-specific disclosures of inputs to poultry growers who are paid using a poultry grower ranking system and requires that companies also show the distribution of inputs, housing specifications, and any feed disruptions for all the growers in the tournament, at the time of payment. The names of the growers will not be disclosed to protect their privacy. Under the final rule, Live Poultry Dealers that slaughter fewer than 2 million live pounds of broilers weekly or 104 million pounds annually are exempt from these requirements, provided they do not require additional capital investments.

This rule is part of a suite of Packers and Stockyards Act rules proposed by USDA to enhance transparency, stop discrimination, and support market fairness in a range of circumstances. The final rule will be published in the Federal Register. A preview of the rule is available on the Agricultural Marketing Service website.

Competition and Innovation in Seeds
USDA continues to deliver on its commitments to promote fair competition and innovation in seeds. This week, the Agricultural Marketing Service (AMS), the agency leading the Farmer Seed Liaison initiative, issued multiple letters to seed companies reiterating their obligation to comply with the Federal Seed Act’s varietal labeling requirements for agricultural and vegetable seed shipped in interstate commerce and highlighting the importance of establishing best practices under the March 6 Notice to Trade. As part of this effort, AMS is holding seed companies accountable to the best interests of their farmer stakeholders by requesting they examine how they are complying with the Federal Seed Act and USDA’s Notice to Trade in providing variety transparency to farmers at the point of sale, disclosing the variety to growers usually at the time of purchase and no later than the commencement of shipment. USDA recognizes the variety of seed farmers are purchasing under different brand names is important to them and enables a more competitive, innovative seed landscape.

Updated Domestic Origin Requirements for USDA Purchases of Meat Products
AMS is clarifying that meat products must be from animals that are born, raised, and slaughtered in the U.S. to meet the domestic origin requirements for purposes of USDA purchasing. AMS procures food products of domestic origin for use in nutrition assistance programs and regularly evaluates the effectiveness of its food purchase programs. Upon review, the guidelines for procuring beef, pork, lamb, and bison products were not as clear as other commodities. Last year, AMS purchased $800 million worth of meat products. This clarification to the domestic origin requirement will ensure U.S. producers enjoy reap the full benefit of USDA purchase programs and recipients of nutrition assistance programs benefit from domestically-produced meat products.

Establishing a Chief Competition Officer at USDA
USDA has created a new, senior- level career position at the Agricultural Marketing Service to support its multiple efforts to address the many, complex competition challenges in the agricultural sector. Located in the AMS’s Administrator’s Office, the new AMS Chief Competition Officer will formalize and enhance implementation of key competition policy priorities at AMS and support efforts across the Department, including Packers & Stockyards Act enforcement, seed transparency and competition, partnerships with State Attorneys General. The Senior Executive Service position will work closely with the current Biden-Harris USDA’s leadership on competition policy and will also serve as a career liaison to other federal agencies working to tackle competition issues using a whole-of-government approach.



BEEF CHECKOFF-FUNDED EDUCATOR PROGRAM HELPS CULTIVATE NEW GENERATION OF INFORMED CONSUMERS
Patty Wood, LaMonte, Missouri - Member, Cattlemen’s Beef Board and Member, Consumer Trust Committee

My husband Pat and I own and operate a cow-calf operation and produce diversified row crops near LaMonte, Missouri. However, as much as I enjoy farming, my true passion is education. I was a teacher for 32 years, working in pre-K and elementary classrooms and assisting students as a library media specialist and technology coordinator.

Now, as a member of the Cattlemen’s Beef Board and the Consumer Trust Committee, I’m finding new ways to enjoy “teachable moments” – spontaneous opportunities to answer questions and engage producers and consumers in conversations about the Beef Checkoff –and the programs it funds to drive beef demand. One program that particularly resonates with me as a former educator is managed by the American Farm Bureau Foundation for Agriculture (AFBFA), a contractor to the Beef Checkoff.

AFBFA brings agriculture back into the classroom with its “On The Farm” STEM (Science, Technology, Engineering and Math) program. This program shares the realities of farm life and food production through a variety of resources along with in-person teacher farm and ranch tours. STEM educators get an annual, immersive professional development experience that combines food and agriculture with science education. Then, they take what they’ve learned back to their students, exponentially broadening the program’s reach.

Why does this program matter? Because far fewer schoolchildren today are exposed to agriculture, they often don’t understand where their food comes from. I used to experience that every fall, when I’d bring corn stalks with ears attached to my classroom for a door display. Many students – even in an agriculture-rich state like Missouri – wanted to know how I “made that corn” because it didn’t look like the corn that was a part of last Sunday’s dinner. I was able to explain why field corn looks different from sweet corn and how beef producers harvest and use it. However, in urban areas, teachers usually don’t have an agricultural background, which is why sharing the farming experience with them is so important.

The twelfth and most recent On The Farm in-person tour took place in June, when 29 teachers and school administrators from across the country representing 70,000 students traveled to Colorado for an event hosted by the Colorado Beef Council. Participants visited with experts from across the cattle industry to better understand how to integrate animal agriculture into their STEM classrooms back home.

Day One included learning about elements of cattle feed. Attendees also began developing their own lesson plans centered around the involvement of STEM in the beef cattle life cycle. On Day Two, attendees toured Colorado State University’s AgNext research facility to learn about methane measurement and how researchers observe and research cannulated cows. In addition to the in-person tours, this program included two pre-tour webinars that led up to the multi-day, in-the-field, immersive experience, one post-tour webinar and a structured professional development community. Previous On The Farm STEM tours have taken place in Portland (OR), Oklahoma City, Los Angeles, Nashville, Minneapolis, Fort Worth, Philadelphia, Syracuse (NY), Kansas City and Boston, providing different agricultural perspectives from around the country.

AFBFA’s efforts go beyond the On The Farm tours. They work with teachers across the country to integrate Checkoff-funded elementary, middle and high school beef curriculums into their lesson plans in multiple ways, like offering free resources, virtual workshops and so much more. By offering these well-rounded, immersive programs, the Beef Checkoff is giving hundreds of educators the knowledge and tools to effectively introduce students to beef production and the care and commitment beef producers dedicate to their herds.

Connecting agriculture with science helps these STEM educators foster a new generation of consumers who are better informed about beef and beef production. That’s incredibly important in today’s world where so much misinformation about agriculture and beef production exists. As a producer and an educator, I want consumers to better understand agriculture’s remarkable impact on us all – and the Beef Checkoff is helping make that happen.