Thursday July 18 Ag News

 Micro-scale observations from a feeder market
Alfredo DiCostanzo, Nebraska Beef Systems Extension Educator

Last week, I had the opportunity to be near a sale barn where sales of feeder yearlings and calves are reflecting the current interest by cattle feeders to fill yards. I also was fortunate to visit with folks who sold cattle at those sales.

The satisfaction with price trends was obvious; there was little to be disappointed about. Prices were good and, that day, over 8,000 head moved from the area to feedlots in Nebraska and other locations.

Amidst the good feeling the sale created for sellers, sale barn owners, and, hopefully, the feeders that bought cattle there, I asked myself a few questions: beyond the obvious market trends, including the attraction to feeding black cattle, what minor nuances affect market conditions and how can a cow-calf or stocker/yearling operator capture the most value from cattle they raise.

A few observations from the day and discussions with folks who bought and sold cattle there are in order.

Quality market outlets are quality market outlets and strive to retain that reputation. There is a high expectation by buyers and sale barn owners that high-quality cattle will be traded there. Thus, if a producer plans to market cattle there, they must be prepared to raise or purchase cattle of the quality buyers and sale barn owners expect.

This means that from the moment a genetic, selection or purchasing decision is made, the standards of that market outlet must be a driver of that decision. On the other hand, the wrong genetic selection or purchasing decision will cost more than the discounts it will generate such as holding or transportation costs to wait for or to seek a different date or outlet.

Although this seems obvious, it probably should be reiterated, quality cattle market outlets demand and thrive on quality cattle.

Despite this observation, even quality market outlets must sell a proportion of cattle that fit different standards whether that would be cull cows or bulls, broken-mouthed cows, off-season births, and they must accommodate the “tails” resulting from genetic dispersion (outliers resulting from well-planned mating decisions).

One might be inclined to suggest that if genetic, selection or purchasing decisions led to cattle not fitting the standards of quality for that outlet, particularly for sales labeled “special,” cattle resulting from those decisions should be sold at a less “special” time at that market or elsewhere.

Even folks who were extremely happy with the outcome of their lots commented on how they sorted off cattle from the main groups they brought to the sale. In their case, cattle they are preparing to sell in August are all black; yet they will sort off cattle that are smaller in stature or weight, those that have off-black (reddish or brown hair) coats or still carry heavier (and rough) coats.

This represents another obvious observation, and a regular recommendation found in trade magazines or extension publications, but one for which a real-life example is made. These folks understand the demands of their market and their customers. They are concerned enough with the downside of a sorting decision. On a micro-scale, the market is driving that.

This was not an isolated comment, many of the folks I spoke with shared the same message. Because many of them raise large drafts of yearlings on grass, procuring the right type of cattle is the start of their quality control program. A particular example of individuals selecting weaned, lightweight heifers stuck with me.

You may ask yourself: how does the industry come about weaned, lightweight heifers in large enough drafts for a stocker operation to purchase? The answer is: it is not easy.

If a buyer is looking for lightweight heifers, in most markets, these are the discarded small size lots from either larger or ununiform groups. Eventually, one might fill a 100-head load but there may be over 10 ranches represented.

For this case, the individual works with their order buyer to find late season-born spring heifers of uniform genetic background and size, wherever that might be.

Special yearling sales occur in mid-summer at many locations. Many locations feature high-quality cattle sales. Yet, as a seller, understanding the objectives of the sale barn you intend to sell cattle at is a priority driver in decision making.

Sale barns have well established goals and operations. Thus, it is up to you to determine for yourself the following:
· Who is purchasing cattle at that barn and when?
· What are they looking for?
· What do they discount against?
· Am I ready to perform the necessary sorting to send uniform lots of cattle desirable at that market?
· Am I ready to seek (or raise) the cattle buyers are looking for in that market?



Summit Ag ERP Tract 2 Program Meetings next Tuesday

Attention farmers and producers.  Summit Ag Insurance is teaming up with FSA to educate and inform you about a new program ERP Tract 2. If you haven’t heard about this program, make time to attend one of two sessions Tuesday July 23rd. Session one will be at 9:00 in West Point at the Neilsen Center and session two will be at the Town Hall in Lindsay at 1:00. The application process can be really confusing. Summit Ag Insurance will have representatives at the meetings to explain the process. Don’t miss this opportunity to get all the details from the experts.



FBI Omaha To Host Second Annual Agriculture Threats Symposium

American technology and innovation have made our farms, our ranches, and our food processing industry more productive and efficient than ever before. But it also makes us more vulnerable to cyber and national security threats. In today's digital world, these threat actors are targeting our food and agricultural sector more and more.
 
On August 12, 2024, the FBI Omaha field office will host its second annual Agriculture Threats Symposium. It will take place in Omaha, Nebraska. We are inviting private sector, academia, industry, and government officials from the agriculture sector to attend, as well as law enforcement partners.

The free symposium is designed to provide information on cyber and national security threats to the agriculture sector in the United States and offer resources and guidance for the sector to become resilient against these threats.

To register, please visit https://lnkd.in/g2EBshne and complete the registration process. Space is limited. Please direct any questions to AgThreatsSymposium@fbi.gov.



A-FAN to host Confined Cattle Lunch and Learn

The Alliance for the Future of Agriculture in Nebraska is hosting a Confined Cattle Lunch and Learn event on Thursday August 15th 11am to 1pm at the new Innovation Center, 2311 14th St in Columbus, NE.  This is your opportunity to lear all about confined cattle production and new beef opportunities her in Nebraska with tle Legacy Beef Co-op.  Topics for the day include:
  - Legacy Beef Coop opportunity
  - Manure benefits in a deep pit system
  - Tour of a deep pit facility
  - and a Free Lunch!

RSVP's are encouraged by August 8th and can be done through the A-FAN website www.becomeafan.org.  If you have any questions, contact email mindyr@a-fan.org or call 402-421-4472.  



USDA TO GATHER FARM CONSERVATION DATA TO LEARN TRENDS AND IMPROVE PROGRAMS AND SERVICES

The U.S. Department of Agriculture’s National Agricultural Statistics Service (NASS), in partnership with the Natural Resources Conservation Service (NRCS), is reaching out to farmers, ranchers, and agricultural landowners to gather in-depth information about the conservation practices they use. Nearly 12,000 operators nationwide will receive the 2024 Conservation Effects Assessment Project survey. Data obtained will support the third set of national and regional cropland assessments delivered by USDA’s Conservation Effects Assessment Project (CEAP), a multi-agency effort led by NRCS to quantify the effects of conservation practices across the nation’s working lands.

“The survey gives farmers the power to provide a more complete and accurate picture of the conservation practices on their lands and in their operations,” said Joe Parsons, NASS Administrator. “I urge farmers to participate if contacted, because their responses can help leaders focus on the conservation practices that most benefit both the farmer and the natural resources on which we all rely.”

CEAP Cropland Assessments quantify the environmental outcomes associated with implementation and installation of conservation practices on agricultural lands. Findings are used to guide conservation program development and support conservationists, agricultural producers, and partners in making informed management decisions backed by data and science.

Specifically, CEAP results may help:
• Evaluate the resources farmers may need in the future to further protect soil, water, and habitat.
• Shed light on techniques farmers use to conserve healthy environments.
• Improve and strengthen technical and financial programs that help landowners plan and install conservation practices on agricultural land.
• Support the conservation programs that can help producers’ profits while also protecting natural resources.

This CEAP survey is conducted through a cooperative agreement between NRCS and NASS. NRCS will couple survey results with modeling to report on trends in cropland conservation – and associated outcomes – from 2024 through 2026.

“The U.S. has more than 300 million acres of cultivated cropland that are used by farmers and other land managers to grow diverse crops for food, fuel, and livestock feed for our nation and beyond,” said NRCS Chief Terry Cosby. “CEAP delivers critically important data that we use to guide our strategic, equitable, and voluntary conservation on cropland acres nationwide. This leads to healthier ecosystems, improved conservation, and stronger management of agricultural landscapes.”

Local NASS representatives will visit farmers and agricultural landowners in August and September of 2024 to determine if their operations and properties meet the criteria to be considered eligible candidates for the survey. Eligible farmers and landowners may be contacted between November 2024 and March 2025 and asked to participate in the survey. Typical questions will discuss farm production practices; chemical, fertilizer, and manure applications; tillage; irrigation use; and installed conservation practices. NASS will provide survey data to NRCS, the agency tasked with publishing findings.

Information provided to NASS and analyzed by NRCS is kept confidential, as required by federal law. The agencies only publish data in aggregate form, ensuring that no individual respondent or operation can be identified.

The data from this survey will be published as a report on the CEAP Cropland Assessments webpage at nrcs.usda.gov/ceap/croplands. If you have questions about the survey, please contact us at (888) 424-7828 or visit nass.usda.gov/go/ceap.



Iowa Corn Announces Election Results for Board of Directors

Today Iowa Corn announced the Board of Directors election results for the Iowa Corn Growers Association® (ICGA) and Iowa Corn Promotion Board® (ICPB).

Those elected as ICGA directors will continue to bring grassroots policy issues forward and be the collective voice for over 7,000 corn-farmer members lobbying on agricultural issues at the state and federal level. These individuals include:
District 2: Rusty Olson
District 3: Elliot Henderson
District 5: Will Cannon*
District 7: Adam Bierbaum*
*For those re-elected

Since 1978, Iowa corn farmers have elected their peers to serve on the Iowa Corn Promotion Board to oversee the investment of funds generated by the Iowa corn checkoff. ICPB directors will continue to promote a thriving Iowa corn industry through research into new and value-added corn uses, domestic and foreign market development and providing education about corn and corn products. These individuals include:
District 2: Jerry Maier
District 4: Ryan Steffensen*
District 8: Jerod Flaherty*
District 9: Paul Gieselman*
*For those re-elected

Both ICGA and ICPB are tasked with creating opportunities for long-term Iowa corn grower profitability. Elected directors will begin to serve their districts on September 1, 2024.

The Iowa Corn Promotion Board (ICPB) works to develop and defend markets, fund research, and provide education about corn and corn products. The Iowa Corn Growers Association (ICGA) is a 7,000-member strong grassroots-driven organization, headquartered in Johnston, Iowa, serving members across the state, and lobbying on agricultural issues on behalf of its farmer members to create opportunities for long-term Iowa corn grower profitability. For more information, visit iowacorn.org.  



Anhydrous, UAN32 Lead Prices Lower for All 8 Fertilizers

Average retail prices for all eight major fertilizers continued to be lower than last month during the second week of July 2024, according to sellers surveyed by DTN.

Though prices for all fertilizers were down, just two fertilizers saw sizable price declines, which DTN designates as anything 5% or more. Both anhydrous and UAN32 were 6% lower compared to a month earlier. Anhydrous has an average price of $696 per ton, while UAN32 was priced at $378 per ton.

Prices for the remaining six fertilizers were down just slightly from a month ago. DAP had an average price of $758 per ton, MAP $822/ton, potash $504/ton, urea $507/ton, 10-34-0 $642/ton and UAN28 $339/ton.

On a price per pound of nitrogen basis, the average urea price was at $0.55/lb.N, anhydrous $0.42/lb.N, UAN28 $0.61/lb.N and UAN32 $0.59/lb.N.

All fertilizer prices are now lower compared to one year ago. MAP is 1% lower, anhydrous is 5% less expensive, DAP is 7% lower, 10-34-0 is 12% less expensive, UAN28 is 14% lower, urea is 17% lower, potash is 18% less expensive and UAN32 is 19% lower in price compared to a year prior.



Weekly Ethanol Production for 7/12/2024

According to EIA data analyzed by the Renewable Fuels Association for the week ending July 12, ethanol production ballooned 4.9% to 1.11 million b/d, equivalent to 46.45 million gallons daily and fractionally below the all-time high. Output was 3.4% more than the same week last year and 8.9% above the five-year average for the week. The four-week average ethanol production rate increased 1.1% to 1.07 million b/d, which is equivalent to an annualized rate of 16.40 billion gallons (bg).

Ethanol stocks declined 1.9% to a 6-week low of 23.2 million barrels. Stocks were even with the same week last year but 2.7% above the five-year average. Inventories declined across all regions except the Rocky Mountains (PADD 4).

The volume of gasoline supplied to the U.S. market, a measure of implied demand, tumbled 6.5% to an 11-week low of 8.78 million b/d (135.01 bg annualized). Demand was 0.8% less than a year ago and 2.2% below the five-year average.

Refiner/blender net inputs of ethanol followed gasoline demand, slumping 4.0% to a 16-week low of 885,000 b/d, equivalent to 13.60 bg annualized. Net inputs were 1.3% less than year-ago levels and 1.1% below the five-year average.

Ethanol exports were estimated at 70,000 b/d (2.9 million gallons/day), 61.5% less than the prior week and a low for the year. There were zero imports of ethanol recorded for the 43rd consecutive week.



Clean Fuel Tax Credits Out of Reach for Many Farmers

Sustainable aviation fuel and clean fuel production tax credits have the potential to benefit farmers while lowering America’s carbon emissions, but shortcomings in the provisions could put the benefits out of reach for many farmers in the U.S.

Four groups, including the American Farm Bureau Federation, American Soybean Association, National Corn Growers Association and National Farmers Union, today sent a letter to Treasury Secretary Janet Yellen and U.S. Office of Management and Budget Director Shalanda Young, asking them to ensure the Clean Fuel Production Credit (45Z) works for U.S. farmers.

The letter states, “As farmers, we are growing the feedstocks necessary for clean fuel production, such as corn, soybeans and other biomass. The 45Z tax credit has the potential to be a game-changer for our industry, offering a valuable incentive for the production and use of biofuels that will lower carbon emissions. However, without clear domestic feedstock requirements, the benefits of this policy are at risk of being diverted from American farmers.”

Currently, there is no requirement that feedstocks be grown domestically, which means foreign feedstock producers can take advantage of the clean fuel production credit. This goes against the broader goal of supporting U.S. agriculture and rural communities, and will lead to market distortions.

Additionally, the bundling of climate-smart agriculture practices and cumbersome reporting requirements in the sustainable aviation fuel guidance will exclude a large number of farmers from benefitting from the SAF credit. “The implementation of no-till farming, cover cropping and enhanced efficiency fertilizers requires significant upfront investments in both time and resources. Without a greater incentive, many farmers may simply be unable to implement these bundled practices based on economic limitations alone,” the groups write. “Moreover, even if geography allows farmers to comply with the CSA (climate-smart agriculture) requirements, the cumbersome reporting requirements will dissuade even the most sophisticated farming businesses from participating. Additional options for compliance must be considered that would give farmers the ability to comply with CSA requirements without running afoul of the Internal Revenue Service.”

The groups are asking the administration to create a domestic feedstock requirement for the clean fuel production tax credit and to broaden eligibility for the sustainable aviation fuel credit while addressing the unworkable paperwork requirement.



Clean Fuels Notifies EPA of Intent to Sue Over 2026 RFS Rule Delay
 
Today, Clean Fuels Alliance America delivered a formal notice of intent to sue the Environmental Protection Agency for its failure to issue timely 2026 Renewable Fuel Standards. By statute, EPA is required to finalize volumes 14 months before the start of the compliance year; for 2026, that deadline would come at the end of October this year. On June 28, the White House Office of Management and Budget released the Spring 2024 Unified Agenda of Regulatory and Deregulatory Actions, setting out a timeline for EPA to propose the 2026 RFS volumes by March 2025 and finalize the rule by December 2025.

“EPA’s failure to timely issue the 2026 RFS volumes compounds another issue: EPA set the volumes for 2023 through 2025 too low,” Clean Fuels states in the letter.

The letter continues, “As explained in Clean Fuels’ petition for reconsideration of the 2024 and 2025 volumes, EPA set biomass-based diesel and advanced volumes for those years significantly below what the industry can achieve. The result has been a crash in RIN prices, shuttered production facilities, and cancellations of planned facility expansions. While EPA can and should reconsider and revise its 2024 and 2025 volumes, it should at a minimum set a timely 2026 volume.”

Kurt Kovarik, Vice President of Federal Affairs for Clean Fuels Alliance America, added, “Members of both the U.S. House and Senate have urged EPA to issue timely 2026 RFS volumes to mitigate the damage from the agency’s miscalculation of volumes for 2023, 2024 and 2025. Stakeholder organizations earlier this year asked EPA to ensure it met the deadline for the 2026 rule. The biodiesel, renewable diesel, and SAF industry needs EPA to get the program back on track to support our growth.

“Clean Fuels provided EPA a great deal of data on our growth to support our petition to revise the 2024 and 2025 RFS volumes for biomass-based diesel and advanced biofuels. There isn’t any practical reason that would prevent the agency from meeting the legal deadline for the 2026 RFS rule.”



CF Industries and POET to Demonstrate the Use of Low-Carbon Fertilizer in Corn Production to Reduce Carbon Intensity of Ethanol

CF Industries Holdings, Inc. (NYSE: CF), a leading global manufacturer of hydrogen and nitrogen products and the world’s largest producer of ammonia, and POET LLC, the world’s largest producer of biofuel and a global leader in sustainable bioproducts, today announced a collaboration to pilot the use of low-carbon ammonia fertilizer to reduce the carbon intensity of corn production and ethanol. Demand for ethanol with a lower carbon intensity is expected to increase significantly to meet low-carbon fuel standards.

Ammonia is commonly used as a direct application fertilizer for U.S. corn production, but the conventional ammonia production process is emissions intensive. As a result, ammonia production is a significant contributor to the lifecycle carbon intensity of corn production and thus ethanol production. Producing ethanol with corn grown using low-carbon ammonia can reduce the carbon intensity of ethanol up to 10 percent. The companies are targeting the fall of 2024 for the first applications of low-carbon ammonia with subsequent applications in spring of 2025, to produce a first crop to be harvested in the fall of 2025.

“We are pleased to collaborate with POET on this important step forward in developing a low-carbon ethanol value chain that links low-carbon fertilizers to farmers to ethanol production,” said Bert Frost, executive vice president, sales, supply chain and market development, CF Industries. “Fertilizers manufactured with a lower carbon intensity provide a quantifiable and certifiable method of decarbonizing bioethanol inputs. We look forward to demonstrating these benefits not just for ethanol production but for corn growers as well.”

“At POET, we have always striven to bring new value to our producers and our partnership with CF Industries continues this mission,” said Christian McIlvain, President of POET Grain. “We want to prepare and educate our corn producers on the realities of the impact of the carbon in their grain. This initiative not only gives producers a low-carbon ammonia option but also provides the opportunity to educate them on their farm’s carbon score and what that could mean for their grain value.”

The companies intend to jointly develop a low-carbon fertilizer supply chain to track, validate and certify carbon intensity reduction originating from low-carbon ammonia manufacturing at CF Industries’ Donaldsonville Complex in Louisiana, through ethanol production at POET’s locations in Bingham Lake, MN, Emmetsburg, IA, Fairmont, NE and North Manchester, IN. This includes implementing supply plans with fertilizer retailers serving farms that supply corn to these POET bioprocessing plants and developing monetization opportunities for farmers who use this low-carbon fertilizer. Producers can reach out to their local POET grain merchandiser for more information.

For the demonstration project’s fall 2024 and spring 2025 low-carbon ammonia applications, the companies will leverage green ammonia produced at CF Industries’ Donaldsonville Complex. Green ammonia refers to ammonia produced with hydrogen sourced from an electrolysis-based production process that produces no carbon dioxide emissions but is otherwise identical to commodity ammonia. CF Industries recently completed installation of a 20MW electrolyzer at its Donaldsonville Complex. Start-up of the electrolyzer is imminent and the Company intends to purchase renewable energy certificates to pair with the start-up to enable green ammonia production. CF Industries will have additional low-carbon ammonia at the Donaldsonville Complex beginning in 2025 when a large-scale carbon capture and sequestration project at the facility commences.



Taranis Transforms Agronomic Decision Making with Groundbreaking Ag Assistant

Taranis, the global leader in crop intelligence, announces the launch of the industry’s first AI-powered agronomic engine, Ag Assistant™. Using multimodal AI, Ag Assistant promises to revolutionize service and management opportunities for ag retailers and the growers they serve by providing unprecedented timeliness and accuracy in addressing in-season threats. The advancement introduces a new approach to AI-powered farm management.

Jason Minton, Chief Commercial Officer for Taranis, explains, “Ag Assistant is the culmination of years of data collection, analysis and development. Our GenAI model was trained on a growing library of more than 500 million leaf-level data points, collected exclusively by Taranis, along with relevant, vetted industry information. Ag Assistant will enhance the speed, accuracy and quality of service agronomists can provide growers.”

In addition to Taranis’ ever-expanding proprietary agronomic data library, Ag Assistant also captures, analyzes and contextualizes information from weather maps, machinery data, university research, crop input companies, and other peer-reviewed, credible sources. The Taranis multimodal Ag GenAI model then cross-references and applies all gathered information to the detected threat(s) in the grower’s field. Culminating is a report that categorizes and summarizes all identified threats, providing the agronomist with a recommendation for remedy. This solution is delivered to the Taranis platform, where both the agronomic advisor and enrolled grower are alerted to management opportunities in hours rather than days.

“Taranis is at the forefront of AI application in agriculture, taking GenAI to the field to help address the numerous circumstances and performance indicators of field and crop health,” says Minton. “Ag Assistant pulls in many factors that contribute to the success of a crop: hybrid, nutrients, weed pressure – even the likelihood of herbicide resistance, weather patterns, present and emerging diseases…the list is long and intertwined. An agronomist could spend all day, every day, trying to analyze this information from one field that was likely scouted in spots rather than its entirety. Ag Assistant analyzes that near-infinite list of field health influencers, scouts every acre at a leaf level, and provides a detailed recommendation for field health improvement so agronomists can focus on what’s important: providing the services that help growers reach their yield and profitability goals.”

“Imagine a scenario in which Ag Assistant identifies a widespread specific weed threat, indicating that the prescribed weed management program did not work,” Minton adds. “Rather than an agronomist spending hours and days during the growing season manually walking and scouting fields, reviewing seed hybrid information, weather history and forecast, herbicide label information, and identified weed control, Ag Assistant will immediately generate a detailed, expert-level agronomy report to the agronomist that analyzes those factors and more to provide a targeted control recommendation for the specific field and farm in question.”

Ag Assistant takes agricultural retail service to the next level with detailed reporting not only in-season but as a comprehensive growing season overview that can help shape future management decisions. Empowering the agronomist, the actionable reports drive product recommendations, nutrient management opportunities and input decisions in real time and for the next crop cycle.

Taranis Chief Executive Officer Opher Flohr says the goal is to dramatically improve the farm management paradigm.

“Profitability has never been more difficult to achieve in production agriculture than it is today. The widening inverse relationship between input costs and commodity prices requires growers to micromanage every aspect of their operation to be profitable. Ag Assistant streamlines the precision of which retailers and growers operate to a degree that has never before been possible by providing the efficiency, intuitiveness and accuracy they need to respond to threats and make input and farm management decisions.”



Study finds lice causing significant harm to poultry
 
Lice have been found feeding on the skin and blood of free-range chickens, which are infected at much higher rates than caged flocks. This finding could have implications for states like California, where all egg production is cage-free.

Previously, lice were not known to be significant poultry pests. However, a UC Riverside study published in the journal Parasites & Vectors shows for the first time that they are.

“We didn’t expect to find skin lesions associated with chicken body lice, but we did. This has not, to my knowledge, been documented before,” said UCR entomologist and lead study author Amy Murillo.

Murillo studies pests of poultry and other livestock. To help detect mite infestations in chickens, Murillo previously led a team of entomologists, computer scientists, and poultry scientists in creating a new insect detection sensor. These sensors, worn on the birds’ backs, have been dubbed “Fitbits for chickens.”

The Fitbits translate the birds’ behaviors into algorithms that can be recognized by computers. For this study, the sensors were used to monitor activity at three points in time — during a period where cage-free chickens were not infested with lice, during a growing infestation, and during a full-blown infestation.

The clearest signal of a lice infestation was an increase in preening behaviors, as the birds clean their feathers with their beaks. While preening is generally considered positive, too much of it could disrupt other healthy chicken behaviors.

“We found such a significant increase in infected flocks it makes us think they’re spending time preening when they might have been doing other things, like resting, eating, sleeping, or laying eggs,” Murillo said.

A major increase in preening was detected even when the lice infestation was relatively small. “Just a few lice and you see a dramatic change in what the chicken is doing,” Murillo said. “I don’t know if you can measure itchiness or irritation, but they’re spending significant amounts of time trying to get the lice off.”

Lice tend to live in places on the body, both in humans and in chickens, that make it harder for hosts to remove them. Chicken body lice tend to go under the wings, a place with a warmer than average skin temperature that is harder for birds to reach. The lesions the researchers found there were actively bleeding.

At this time, there are not many strategies for mitigating chicken lice. Few insecticides are allowed to be used on poultry, and it is difficult to apply pesticides to cage-free birds. However, Murillo and her colleagues have gotten promising results with food-grade diatomaceous earth, a powdery substance made from the fossilized remains of aquatic organisms.

“When chickens get it into their feathers, it disrupts the waxy exoskeleton of the lice,” Murillo said. “In other words, the diatomaceous earth makes it so the insects can’t prevent water loss. Then they dry out and die.”

Given the possibility that excessive preening may interfere with egg laying, Murillo would like to conduct a follow-up study. “Lice were not previously looked at as serious pests. Now that there’s evidence the lice impact the birds, I’d like to measure the economic impact of infestations,” she said.

California’s Proposition 12, passed by voters in 2018, bans the sale of eggs from hens kept in cages. The law aims to reduce animal suffering by setting minimum space requirements for farm animals. However, the absence of cages alone does not guarantee chicken health and happiness.

Murillo is not sure why birds with open air access are infested with lice at higher rates than caged chickens. As there is a gap in the literature regarding the origins of chicken lice infestations, she would also like to make this the focus of future research.

“From an animal behavior and wholistic standpoint, the birds definitely benefit from being cage free. They have more space and get to perform more natural behaviors,” Murillo said. “But from a disease standpoint, it is worse.”



Innovative Cheese, Butter and Yogurt Products Fueling Dairy Market Growth

U.S. consumers are drinking less milk with each passing year, but overall dairy sales are on a multiyear winning streak. Cheese, butter and yogurt are fueling category growth, along with new dairy-based products designed to capitalize on convenience, health and snacking trends.

Data from market research firm Circana shows the refrigerated dairy aisle has been the largest category in retail grocery over the last year with $76 billion in sales. Over the last three years, dairy retail sales have notched a growth rate of 15.4% or $10.1 billion.

According to a new report from CoBank’s Knowledge Exchange, the outlook for retail dairy sales remains strong with additional room for growth as consumer preferences and purchasing behaviors evolve. Cheese and butter have even more upside potential, and dairy products tailored to meet consumers’ growing desires for healthy, protein-rich snack products have emerged as a new growth opportunity.

“Dairy products have a diversity of applications and innovative dairy processors are leveraging that to their advantage,” said Corey Geiger, lead dairy economist with CoBank. “The healthy snacking category is a growing megatrend that dairy products can capitalize on with a host of conveniently packaged solutions from low-fat cheeses and specialty yogurts to functional dairy drinks.”

Cheese continues to anchor the dairy category, with annual sales climbing. Per capita cheese consumption in the U.S. has doubled over the last 20 years, reaching 40 pounds in 2022. That’s still well short of per capita consumption in many European countries, indicating there is ample room for growth. Innovation in the cheese sector is being driven by expanded flavor varieties to reach more consumers as U.S. demographics shift. Hispanic-style cheese has been the fastest growing category over the last several years.

Butter has enjoyed a renaissance in the U.S. with per capita consumption climbing 43% over the last 25 years. While American butter brands have traditionally featured 80% butterfat, European-style butter with 83% butterfat has steadily gained global market share. U.S. consumers have been stepping up their purchases of butter with 83% butterfat and domestic manufacturers have been retooling production lines to better serve the U.S. market.

Yogurt has moved from being a morning meal to becoming an anytime snack or healthy dessert choice. Per capita consumption in the U.S. has grown 142% over 25 years, with Greek yogurt pacing category growth. Yogurt brands are also capturing new sales as consumers step-up use of weight-loss drugs. Danone attributes a jump in demand for its high-protein, low-calorie yogurts, at least in part, to consumers under treatment with those drugs or just trying to manage their weight or wellbeing.

Most U.S. consumers view dairy products as food staples, which has fueled sales of private label products. Private label sales are outpacing premium brands in 10 of the 15 dairy categories tracked by Circana. Store brand options making considerable inroads include yogurt, cream cheese and cream.

CoBank food and beverage economist Billy Roberts said consumer concerns around highly processed foods and preference for clean labels are areas where traditional dairy products can resonate, particularly with younger demographic groups.

“One of the things we’ve learned from following the plant-based food sector is that long ingredient legends are an obstacle for many younger, health-conscious consumers,” said Roberts. “Dairy products are generally perceived as having clean labels with few ingredients. Dairy brands can capitalize on that with the right product mix and marketing.”