Tuesday November 04 Ag News - '24 NE Farm Income Slumps - AG Defends Carbon Capture Tax Credits - NeCGA on USMCA - NASS Data Coming Out in Nov - and more!

 2024 Net Farm Income Slumps 

The USDA Economic Research Service (ERS) reported net farm income in Nebraska for 2024 was $5.94 billion, a decline of $3.4 billion from 2023’s record-setting $9.3 billion. Though down, last year’s income was still the sixth-highest on record in nominal terms. Last year’s drop, -36%, continues a pattern since 2010 of sizable swings from year-to-year. The average change in net farm income since then in absolute terms was 39%. Farm income is an example of the escalating volatility in agriculture, intensifying the complications producers face in managing their operations. Nationally, net farm income declined 20% last year. 

The ERS’s September forecast predicted U.S. net farm income would surge 41% this year. Positive returns for livestock producers and the one-time emergency government assistance distributed earlier this year fuel the surge. Forecasts by economists at the Universities of Nebraska and Missouri last spring projected Nebraska net farm income could exceed $9 billion like it did in 2023. Again, livestock returns and government assistance figured heavily in the forecast. Updated estimates should be forthcoming this fall. Given deteriorating conditions in the farm economy, it’s hard to imagine updated projections will remain that high. Then again, no one imagined it would exceed $9 billion two years ago either. 



Attorney General Hilgers Fights to Protect Tax Credits for Ethanol Producers Under Trump’s One Big Beautiful Bill

Nebraska Attorney General Mike Hilgers Monday, joined by Iowa Attorney General Brenna Bird, asked the U.S. Environmental Protection Agency (EPA) to preserve a long-standing rule that helps ethanol producers earn clean-energy tax credits for capturing and storing carbon. 

EPA recently proposed to eliminate key parts of its national greenhouse-gas reporting system to cut bureaucratic red tape and unleash American energy. Attorney General Hilgers supports EPA’s deregulatory efforts but pointed out the potential unintended consequences the repeal would have for ethanol producers. EPA’s proposal would end the carbon-capture verification system, which allows the federal government to confirm that ethanol producers are safely storing carbon dioxide underground. Without the verification system, ethanol plants could lose access to billions of dollars in clean-fuel incentives expanded under President Trump’s One Big Beautiful Bill.

“Ethanol is an important part of the state and country’s future,” said Attorney General Hilgers. “The Subpart RR reporting program is a small part of the greenhouse gas rules, but would have a major impact on ethanol producers in Nebraska. I am pleased to team with General Brenna Bird in Iowa in submitting this comment outlining the impact of this reporting framework on our producers.”

The joint comment asks the EPA to keep the existing carbon-capture reporting rule in place or allow ethanol producers to opt in voluntarily. That approach, the Attorneys General explain, would cut unnecessary red tape while ensuring the federal government can still confirm that captured carbon is stored safely and permanently underground.



Registration Now Open for 2025 Nebraska Cattlemen Annual Convention and Trade Show

Registration is now available for the 2025 Nebraska Cattlemen Annual Convention and Trade Show. This year’s event will take place at Younes Conference Center South in Kearney, Neb. from Dec. 10-12.

Nebraska Cattlemen Executive Vice President Laura Field stated, "From international trade deals to animal health threats and important tax changes, there is no shortage of topics impacting the beef cattle industry. We hope producers will join us in Kearney as industry leaders provide educational updates and members participate in the grassroots policy process."

Beef cattle producers will have the opportunity to learn about a wide range of topics including New World Screwworm updates, international trade deals, federal tax updates, and much more. Further, this year's trade show is expected to have more than 60 vendors in attendance for members to visit with.

In addition to policy meetings and the trade show, the annual NC Awards Banquet will honor this year’s Hall of Fame, Industry Service and Friend of the Foundation award recipients on Thursday evening.

The final day of Convention will kick off with a market outlook presentation by Jeff Stolle, Nebraska Cattlemen’s vice president of marketing. Convention will conclude with the Annual Business Meeting, where members will vote on policy and elect the 2026 Nebraska Cattlemen leadership.

To read the full 2025 Annual Convention and Trade Show schedule and to register, please visit www.nebraskacattlemen.org/convention-trade-show. Early registration will be available through Friday, Dec. 5.



NRDs Now Taking Orders for Spring Tree Seedlings

Nebraska’s Natural Resources Districts (NRDs) are now accepting orders for conservation tree seedlings for spring planting. By ordering early, you can secure your preferred species and make a lasting contribution to the environment.

Since 1972, Nebraska’s NRDs have partnered with landowners to plant over 102 million trees statewide. At approximately $1.20 per seedling, and with cost-share programs available in many districts, these conservation trees provide immense benefits to people, wildlife, and the environment. They offer shade, shelter homes, reduce soil erosion, protect crops and livestock, support wildlife by providing food and cover, buffer noise, and add beauty to the landscape.

“The NRD Conservation Tree Program is about more than just trees—it’s about protecting our natural resources like soil, water, and wildlife,” said Martin Graff, Nebraska Association of Resources Districts president. “Every tree seedling planted helps prevent soil erosion, shields crops and livestock, filters water and acts as a natural defense against harsh weather.”

As windbreaks mature, NRD foresters recommend landowners consider rehabilitating old windbreaks or planning new plantings. The NRD Conservation Tree Program provides an affordable way for landowners to safeguard their property. NRD staff and foresters collaborate with landowners to choose the best tree species, create planting plans, and, in many cases, even handle the planting.

A notable collaboration in tree planting began in December 2021 when Lincoln-based Executive Travel launched its ETGreen campaign, pledging to plant 1 million trees in partnership with Nebraska’s NRDs. The campaign funded nearly 207,000 trees between 2022 and 2025, and Executive Travel has committed another $50,000 for tree planting in 2026. This partnership offsets seedling costs for Nebraska landowners while supporting Executive Travel’s long-term tree planting goal. Learn more about ETGreen: https://vimeo.com/648711812

NRD tree programs offer various services such as planting assistance, weed barrier installation, weed control, and drip irrigation. Popular tree species sell out quickly, so don’t miss the opportunity to order early for the best selection. To learn more about cost-share options or to place an order, contact your local NRD or visit www.nrdnet.org and click on “Find Your NRD.”

For more information on the NRD Conservation Tree Program, visit www.nrdtrees.org. 



NeCGA Submits Comments on USMCA  

The Nebraska Corn Growers Association (NeCGA) and Nebraska Corn Board jointly submitted comments on the renewal of the United States- Mexico-Canada Agreement (USMCA), outlining the importance of the agreement and continued cooperation among all three countries. Mexico and Canada are the top trading partners for the U.S. in many goods and services, including corn and ethanol. As key request of the comments is the request for a full 16-year extension of the agreement, entered into in 2020. 

Additionally, last week, a letter signed by 124 organizations representing the American food and agricultural value chain, including the National Corn Growers Association and NeCGA, filed a letter voicing support for a full 16-year renewal of the United States- Mexico-Canada Agreement in the public consultation process for the 2026 Joint Review of the USMCA. 



Registration for 2026 Iowa Renewable Fuels Summit is Open: "Renewable Fuels At Work"

Registration is Open for the 2026 Iowa Renewable Fuels Summit: Renewable Fuels At Work. Hosted by the Iowa Renewable Fuels Association (IRFA), the event is where producers and supporters from across the U.S. converge to network and learn about the latest in renewable fuels.

“Renewable fuels are hard at work helping to solve many challenges- from farm prices, to reducing emissions, and boosting energy security,” said IRFA Marketing Director Lisa Coffelt. “From foreign trade to domestic policy, we will cover the big questions everyone is asking as we try to peek into the future of the role renewable fuels play in promoting U.S. energy independence.”

The Iowa Renewable Fuels Summit is the Midwest’s largest biofuels policy conference and will be held on February 5, 2026, at the Prairie Meadows Event Center in Altoona, Iowa. The Summit is free to attend and open to the public, but registration is required.

In addition to the exclusive speakers program, the Summit is the 2nd largest biofuels trade show uniquely situated in the heart of the Midwest.

Visit iowarenewablefuelssummit.org to register and learn more.



USDA's National Agricultural Statistics Service (NASS) will release key data in November  

Issued October 31, 2025, by the Agricultural Statistics Board of the U.S. Department of Agriculture (USDA) National Agricultural Statistics Service. 
    Milk Production - November 10, 2025 (previously scheduled for October 22, 2025)
    Crop Production - November 14, 2025 (previously scheduled for November 10, 2025)
    Cattle on Feed - November 21, 2025 (as previously scheduled)
    Milk Production - November 21, 2025 (as previously scheduled)
    The World Agricultural Outlook Board will release the World Agricultural Supply and Demand Estimates (WASDE) in conjunction with the Crop Production release on November 14th.



NPPC Statement on China Tariff Reduction
 
National Pork Producers Council President and Ohio pork producer Duane Stateler released the following statement on behalf of the pork industry in response to the White House fact sheet on the latest U.S.-China trade relations.
 
“In a win for U.S. agriculture and America’s pork producers, China has suspended its retaliatory tariffs set in March. We are very pleased to see the Trump administration answer the widespread call of agriculture, including persistent requests from the National Pork Producers Council, to negotiate for tariff removal and allow business with China to return to a more market-driven norm unburdened by these costly taxes.”
 
In March, China placed a 57% retaliatory tariff on U.S. pork exports. Tariffs will be reduced by 10%. U.S. pork exports to China in the first seven months of the year were down 13%, largely due to these retaliatory tariffs.



National Sorghum Producers welcomes China sorghum announcement, calls for lasting trade commitments

The National Sorghum Producers commends President Donald Trump, his administration—including the Office of the U.S. Trade Representative, the U.S. Department of Agriculture, the U.S. Department of Commerce and the U.S. Department of the Treasury—and congressional leaders following the President’s announcement that China has authorized the resumption of purchases of U.S. sorghum.

“The President’s meeting with President Xi, and sorghum being named, reflects sorghum’s importance to trade with China,” said Tim Lust, CEO of National Sorghum Producers. “Exports are vital to our industry, and today’s progress opens the door; however, we encourage the administration to finalize minimum purchase agreements with China of at least five million metric tons per year, reflecting the historical average of U.S. sorghum exports to the country. This will ensure consistent, reliable demand that provides long-term certainty for American sorghum growers.”

“We’re encouraged by this progress and look forward to seeing it translate into significant commercial sales in the days ahead," said Amy France, chair of National Sorghum Producers and a farmer from Scott City, Kansas. "True success will come when we see shipments moving and grain flowing again from U.S. farms to our customers in China.”

The announcement marks a critical milestone in restoring trade flows and expanding global demand for U.S. sorghum. NSP urges the administration to continue building on this progress by pursuing concrete, enforceable trade commitments that provide lasting market access and real stability for U.S. sorghum producers.



Reflecting on the Bigger Picture
Will Secor, Extension Livestock Economist, University of Georgia

After a couple of wild weeks in cattle markets, let’s take a step back to review the bigger picture. The supply side remains tight with limited opportunities to expand in the short run. Cull cows from the dairy sector may offset some of the reduction beef cull cows on tighter dairy margins. However, this offset is partial. Additionally, dressed weight increases may be topping out. In September, year-over-year increases in cattle dressed weights ranged from 1.5-2.1 percent. In contrast, dressed weights in January saw year-over-year increases of around 3.2-5.3 percent. Lastly, changes in beef imports are limited and likely more complementary to existing beef supplies, as imports are often lean beef being blended for ground beef.

Long run supply fundamentals appear to be shifting. The industry is approaching a low in cattle inventory and will likely slowly (emphasis on slowly) build from here. The dynamics depend on the opportunity cost of retaining heifers, interest rates, pasture and range availability and conditions, future market expectations, and a host of other factors. Any rebuilding that does occur, even now, will take years to have its full effect.

On the demand side, data suggests the U.S. consumer still wants beef. BLS inflation data indicates that beef prices increased one percent month-over-month in September. Cutout values are also up again. Cutout values for the week-ending October 31 were the highest since mid-September.

While market participant psychology may have shifted over the last two weeks, the market fundamentals remain mostly the same. That’s not to say market behavior is unimportant. Clearly, it is for both futures and cash markets. However, the bigger picture remains relatively unchanged – tight supplies and strong demand are resulting in strong prices that are expected to continue until one of those starts to change in a material way. Given the dynamics of beef cattle supply and demand, those changes may take some time to develop.