NE Extension Feedlot Webinar on Antimicrobial Resistance, June 27
Nebraska Extension is offering a new way to get information on timely beef topics in a series of hosted webinars. The webinars will be on select Wednesdays 12:30 p.m. to 1:30 p.m. CST, and will feature discussions from participants to determine educational needs on new topics, presentations by experts, and updates on current activities. The educational presentations will be recorded and posted at beef.unl.edu for later viewing.
Past webinar topics and speakers included:
• February 28 – Impact of BRD on Subsequent Performance, Dr. Clint Krehbiel
• March 28 – Heat Stress Preparedness, Terry Mader
• April 25 – Runoff Pond Monitoring Requirements, Amy Schmidt
• May 30 – Fly Control in the Feedyard, Dave Boxler
The final webinar in the series is set....
• June 27 – Antimicrobial Resistance: Is it Everywhere? Speaker: Terry Arthur
To join the webinars live visit, https://unl.zoom.us/j/801256438. To access the webinars using a telephone, dial 408-638-0968 or 646-876-9923. The meeting ID is 801-256-438.
For more information, contact Galen Erickson at 402-472-6402 or gerickson4@unl.edu.
NeBC Director's Conference Call
The Nebraska Beef Council will host a Board of Director's conference call on Friday, June 8, 2018 beginning at Noon central to discuss foreign marketing. For more information, please contact Pam Esslinger at pam@nebeef.org.
NE Jr. Beef Expo Results
June 2-3, 2018
Northeast Community College, Norfolk, NE
Kolton Rasmussen, Newman Grove, NE, received Supreme Market Animal honors. Kolton represented the Chianina breed and received $200 from the NJBE. Cassidee Stratman, West Point, NE, received Reserve Supreme Market Animal honors. Cassidee represented the Chianina breed and received $125 from the NJBE.
Congratulations to Berren Strope, O'Neill, NE, for the Supreme Overall High Percentage Breeding Female. Berren represented the Maine Anjou breed and received $200 from the NJBE. Congrats also to Abby Nelson, Valparaiso, NE, for the Reserve Supreme Overall High Percentage Breeding Female. Abby represented the Simmental breed and received $125 from the NJBE.
Congratulations to Abby Nelson, Valparaiso, NE for the Supreme Overall Low Percentage Breeding Female. Abby represented the Maine Anjou breed and received $200 from the NJBE. Congrats also to Jaclyn Frey, Albion, NE, for the Reserve Supreme Overall Low Percentage Breeding Female. Jaclyn represented the Chianina breed and received $125 from the NJBE.
Abby Nelson, Valparaiso, NE also won the Supreme Bred & Owned with the same ½ blood Simmental/Maine Anjou in the Bred & Owned Division and received a $200 check from the NJBE and Berren Strope, O’Neill, NE, won Reserve Bred & Owned and received a check for $125 at the NJBE.
Winning Supreme Sr. Showmanship was Abby Nelson, Valparaiso, NE, representing the Simmental breed. She won a $200 check from the NJBE and Reserve Supreme Sr. Showmanship honors went to Tejlor Strope, O’Neill, NE representing the Shorthorn breed. Tejlor received a $125 check from the NJBE.
Winning Supreme Jr. Showmanship was Berren Strope, O’Neill, NE, representing the Maine Anjou breed. He won a $200 check from the NJBE and Reserve Supreme Jr. Showmanship honors went to Dylan Russman, Wisner, NE representing the Charolais breed. Dylan received a $125 check from the NJBE.
Receiving the 2018 NE Jr. Beef Expo Overall Supreme Honors- Senior Division in all contests held on Saturday went to Trisha Dybdal, Newcastle, NE representing the Charolais breed. She received a jacket sponsored by Citizens State Bank, Ericson, NE.
Reserve Overall Supreme Honors -Sr. Division in all contests held on Saturday went to Abby Nelson, representing the Simmental breed. She received a jacket sponsored by G-S Livestock Productions, Greg and Susan Gehl, Ericson, NE.
Receiving the 2018 NE Jr. Beef Expo Overall Supreme Honors- Junior Division in all contests held on Saturday went to Madison Hirschman, St. Paul, NE representing the Red Angus breed. She received a jacket sponsored by Citizens State Bank, Ericson, NE.
Reserve Overall Supreme Honors -Jr. Division in all contests held on Saturday went to Dax Behmer, representing the Charolais breed. He received a jacket sponsored by G-S Livestock Productions, Greg and Susan Gehl, Ericson, NE.
Winning the $500 scholarship from the NJBE was Neleigh Gehl, Ericson, NE. Her parents are Greg and Susan Gehl, Ericson, NE.
NAYI PROMOTES LEADERSHIP, CAREER OPPORTUNITIES FOR YOUTH IN AG
The Nebraska Agricultural Youth Institute (NAYI) is a unique experience for students interested in agriculture to learn about leadership, personal growth and ag-related career opportunities. More than 200 Nebraska high school juniors and seniors will serve as delegates at this year’s 47th annual NAYI, July 9-13, in Lincoln. NAYI is sponsored in part by the Nebraska Department of Agriculture (NDA).
"NAYI is an excellent way for Nebraska's youth to explore agricultural career opportunities and increase their knowledge and passion for agriculture,” said NDA Director Steve Wellman. “NAYI is the longest running program of its kind in the nation, helping to ensure that there are enough young professionals interested in ag-related careers to meet the growing needs of agriculture in the future.”
During the five-day Institute held at the University of Nebraska-Lincoln’s East Campus, delegates participate in agriculture policy and group discussions as well as career development activities. Motivational speakers and a farm management program help delegates grow their leadership potential and strengthen their pride in Nebraska agriculture. The week also provides delegates an opportunity to network with industry leaders, top-notch speakers and ag representatives.
Since its start, NAYI has shared the importance of agriculture with nearly 6,200 youth from across the state. Delegates apply for and are selected to attend the Institute free of charge due to numerous donations from agricultural businesses, commodity groups and industry organizations.
“I thank all of our sponsors for their investment in Nebraska youth and agriculture and for their continued support of NAYI,” said Wellman. “Their generous contributions have helped make NAYI a strong foundation for the youth of Nebraska and the future of our farming, ranching and ag-related industries.
NAYI events and additional youth learning opportunities throughout the year are organized by the Nebraska Agricultural Youth Council (NAYC). NDA selects Council members who are passionate about agriculture and who want to teach young Nebraskans about the state’s leading industry. This year’s Council is comprised of 21 college-age men and women from across the state. To learn more about NAYC or NAYI, visit the NAYI website at nda.nebraska.gov/nayi/. Or, keep an eye on NAYI activities on Facebook by searching and liking the Nebraska Agricultural Youth Institute, and/or on Twitter, by following the_nayc or #NAYI18.
Formation of Nebraska Food Council leads to statewide food assessment
In Nebraska, residents spend nearly $5 billion annually on food. Approximately 90 percent of that money leaves the state, according to a 2015 Center for Rural Affairs report.
The study prompted Center staff to take a deeper look into food systems in their home state. Staff hosted a public panel and discussion alongside expert Mark Winne, a community food systems and food policy council expert. The conversation centered on what makes strong, regional food systems and how food policy councils inform the public and policymakers.
“Food and economic security in rural communities is directly related to community development,” said Sandra Renner, project specialist at Center for Rural Affairs. “We found, in many rural areas, food purchased at grocery stores is imported, and dollars spent for this food ultimately end up out of state.”
As a result of the dialogue, partners from across the state formed the Nebraska Food Council. Members include Robert Bernt, Clear Creek Organics, Spalding; Katie Jantzen, West End Farm, Plymouth; Vern Jantzen, Nebraska Farmers Union, Plymouth; Brent Lubbert, Big Muddy Urban Farm, Omaha; Shawn Koch, ASC Lockers, West Point; Denny Hogeland, KDK Meats, Bridgeport; Beth Kearnes Krause, Nebraska Food Cooperative, Julian; Nazim Khan, executive chef, Bryan Medical Center, Lincoln; Nathan Morgan, The Big Garden, Omaha; Jessica Davies, Panhandle Public Health, Hemingford; Ashley Frevert, Community Action of Nebraska, Lincoln; Chuck Francis, University of Nebraska - Lincoln, Lincoln; Vanessa Wielenga, University of Nebraska Extension, Lincoln; and Terrell McKinney, Nebraska Appleseed, Omaha.
“Members of the council hope to provide opportunities for local food system leadership to the general council membership, local councils, and members of the ad hoc committees,” said Renner. “The council focuses on issues like equitable food access, land access, capital needs for beginners, developing markets, and distribution networks.”
The partners will also concentrate on engaging underserved voices in the food system, supporting food councils across the state.
The first project is a statewide food system assessment conducted in partnership with Megan McGuffey, a Ph.D candidate studying food and farm issues at University of Nebraska - Omaha. Results will be released this fall.
For more information, or to get involved, contact Sandra Renner at sandrar@cfra.org or 402.687.2100 ext. 1009 or visit cfra.org/growing-healthy-food-systems. Upcoming workshops for local food system leaders will be posted at cfra.org/events.
The Nebraska Food Council is supported by a steering committee, Center for Rural Affairs, and Nebraskans for Peace, and is funded by a U.S. Department of Agriculture Community Food Systems planning grant.
WATER QUALITY IMPROVEMENTS TO RESULT FROM NEW RESEARCH PARTNERSHIP BETWEEN MONSANTO AND IOWA STATE UNIVERSITY
Monsanto Company, along with its subsidiary, The Climate Corporation, today announced a partnership with the Iowa State University (ISU) Department of Agronomy to create an infrastructure project designed to monitor water quality and downstream nitrate loss. The project will provide researchers with valuable information on management practices that help keep nitrogen fertilizer from entering surrounding waterways.
Monsanto and The Climate Corporation invested more than $300,000 to fund the initial installation of the infrastructure, which features a system of drainage tiles and water monitoring equipment on 30 acres of ISU research plots. The installation will be owned and operated by the University.
“We are fortunate to partner with Iowa State University on agricultural research that advances innovation to solve challenges like water quality,” said Sam Eathington, chief science officer of Monsanto and The Climate Corporation. “Insights from this research will help stakeholders across the industry better understand how modern agriculture practices and technologies drive productivity, optimize the use of key inputs and deliver sustainability benefits on the farm.”
Nitrogen is a nutrient critical for plant growth and development, and the addition of nitrogen fertilizer is a common practice in crop management. Climactic conditions such as heavy rainfall and temperature changes, combined with the natural soil processes can lead to situations where nitrogen is susceptible to loss to nearby waterways. The research conducted within this new infrastructure will produce water samples, flow information and weather data against a backdrop of different farming application practices and nitrogen use in order to better understand which practices can reduce nitrate runoff.
“Farmers are the primary benefactors of this partnership with Monsanto and The Climate Corporation,” said Dr. Kendall Lamkey, department chair of the Iowa State University Department of Agronomy. “Our goal is always to conduct research that makes their lives easier, more productive and more profitable while minimizing the impact to our natural resources.”
The ISU Department of Agronomy is currently in the process of identifying the best site for this project. Under consideration are three ISU-owned farms located between Ames and Huxley, Iowa.
GLISAN HIRED AS STATE CLIMATOLOGIST FOR THE IOWA DEPARTMENT OF AGRICULTURE AND LAND STEWARDSHIP
Iowa Secretary of Agriculture Mike Naig today announced that Dr. Justin Glisan has been hired as the new State Climatologist within the Iowa Department of Agriculture and Land Stewardship. He started on May 29, 2018. He replaces Harry Hillaker, who retired earlier this year following a 37 year career with the Department.
“The weather is always a lively topic of conversation and we are excited to have Dr. Glisan on board in this important role. The State Climatologist ensures we have comprehensive weather records for the state so we can put current weather events in the correct historical context,” Naig said.
As the State Climatologist, Dr. Glisan will compile and process Iowa climate data for current and future weather data research needs. This includes preparing the weekly weather summary for the Iowa Crop Progress and Condition Report from April 1 through Nov. 30 and the monthly Iowa weather summary.
Dr. Glisan graduated from Iowa State University in 2012 and continued as a post-doctoral atmospheric scientist until he was hired as a research atmospheric scientist by Iowa State. He’s also participated in many research projects at Iowa State University and the University of Missouri, including in-depth research on extreme precipitation and temperature extremes and their causal mechanisms.
Iowa Learning Farms Webinar on Creating Conservation Legacy through Farm Lease
An Iowa Learning Farms webinar will cover how to leave a conservation legacy by writing conservation into farm leases and how to incorporate cover crops on acres with manure application. The webinar will air Wednesday, June 20 at 12 p.m.
Sara Berges, project coordinator with the Allamakee Soil and Water Conservation District, has worked for the Allamakee SWCD for eight years coordinating different watershed and county-wide projects. Berges is currently funded through a grant with the Leopold Center that allows her to work with landowners to add conservation in farm leases by updating conservation plans. As an extension of this work, she helps producers write legacy reports that document their conservation efforts and goals for their land.
“Conservation is often left out of lease discussions, but it is vital for ensuring that the land is able to be farmed for years to come,” Berges said. “I want people to look outside the conservation box, start with a conversation, and brainstorm about what can work and why.”
Another part of the project involves helping producers figure out how to include cover crops on acres that have manure application.
“Cover crops are the biggest topic in conservation practices right now but are often not planted on acres with manure application due to timing issues,” Berges said. “This project’s focus is working with landowners and producers to figure out how to make these different things work for their operations.”
The Iowa Learning Farms webinar series takes place on the third Wednesday of the month. To watch, go to https://connect.extension.iastate.edu/ilf/ shortly before 12 p.m., June 20 and log in through the guest option. The webinar will be recorded and archived on the ILF website for watching at any time at https://www.iowalearningfarms.org/page/webinars.
U.S. Pork Producers Respond to Mexican Retaliation
Mexico today levied punitive tariffs – 10 percent effective today, escalating to 20 percent on July 5 – on unprocessed pork (not including variety meats) in retaliation for tariffs on its metal exports to the United States. Mexico’s decision follows similar retaliation in early April by China, which imposed additional 25 percent tariffs on U.S. pork, reducing live hog values by as much as $18 per animal on an annualized basis. The following statement may be attributed to Jim Heimerl, NPPC president and a pork producer from Johnstown, Ohio.
“The toll on rural America from escalating trade disputes with critically important trade partners is mounting. Mexico is U.S. pork’s largest export market, representing nearly 25 percent of all U.S. pork shipments last year. A 20 percent tariff eliminates our ability to compete effectively in Mexico. This is devastating to my family and pork producing families across the United States.
“We appreciate the variety of interests and issues the Trump administration is balancing in its trade negotiations with Mexico, China and other countries. While producers are trying to be good soldiers, we’re taking on water fast. The president has said that he would not abandon farmers. We take him at his word.”
The U.S. pork sector sustains more than 500,000 jobs across rural America. More than 110,000 of these jobs are directly tied to exports of American pork.
Farmers for Free Trade Statement on Mexican Retaliation on 232 Tariffs
Farmers for Free Trade Deputy Director Angela Hofmann released the following statement after the immediate imposition of tariffs of 10 and 20 percent on U.S. ag exports in retaliation for steel and aluminum tariffs.
“These tariffs will exact immediate and painful consequences on many American farmers. Hog, apple, potato and dairy farmers are among those suddenly facing a 10 or 20 percent tax hike on the exports they depend of for their livelihoods. Farmers need certainty and open markets to make ends meet. Right now they are getting chaos and protectionism.
“The Mexican market has been a windfall from American farmers. Over the last 25 years, American exports to Mexico have increased fivefold. Escalating trade tensions that have resulted in today’s tariffs put that growth at risk.
“These are self-inflicted wounds. Farmers deserve better.”
USDA and FDA Announce Key Step to Advance Collaborative Efforts to Streamline Produce Safety Requirements for Farmers
As part of the U.S. Department of Agriculture and the U.S. Food and Drug Administration’s ongoing effort to make the oversight of food safety stronger and more efficient, USDA and FDA today announced the alignment of the USDA Harmonized Good Agricultural Practices Audit Program (USDA H-GAP) with the requirements of the FDA Food Safety Modernization Act’s (FSMA’s) Produce Safety Rule.
The new step is part of an ongoing effort to streamline produce safety requirements for farmers. The joint announcement was made by Agriculture Secretary Sonny Perdue and FDA Commissioner Scott Gottlieb, M.D., during a visit by the Secretary to the FDA’s White Oak campus in Silver Spring, Md.
“Government should make things easier for our customers whenever possible and these important improvements help accomplish that goal,” said Secretary Perdue. “Specialty crop farmers who take advantage of a USDA Harmonized GAP audit now will have a much greater likelihood of passing a FSMA inspection as well. This means one stop at USDA helps producers meet federal regulatory requirements, deliver the safest food in the world and grow the market for American-grown food. This is an important first step. We look forward to continuing to work with FDA, other government agencies and especially our state partners to ensure proper training of auditors and inspectors, and to help producers understand changes in the audit.”
While the requirements of both programs are not identical, the relevant technical components in the FDA Produce Safety Rule are covered in the USDA H-GAP Audit Program. The aligned components include areas such as biological soil amendments; sprouts; domesticated and wild animals; worker training; health and hygiene; and equipment, tools and buildings. The alignment will help farmers by enabling them to assess their food safety practices as they prepare to comply with the Produce Safety Rule. However, the USDA audits are not a substitute for FDA or state regulatory inspections.
“We’re committed to working with USDA to pursue our shared goal of advancing food safety in a way that is efficient and helps farmers meet our regulatory standards. By working together, our two programs can advance these efforts more effectively,” said Commissioner Gottlieb. “Today’s announcement will help FDA and states better prioritize our inspectional activities by using USDA H-GAP audit information to prioritize inspectional resources and ultimately enhance our overall ability to protect public health. Inspections are key to helping to ensure that produce safety standards are being met, but they only provide a snapshot in time. Leveraging the data and work being done by USDA will provide us with more information so that we can develop a clearer understanding of the safety and vulnerabilities on produce farms as well as concentrate our oversight and resources where they are most needed.”
The Produce Safety Rule, which went into effect on Jan. 26, 2016, establishes science-based minimum standards for the safe growing, harvesting, packing and holding of fruits and vegetables grown for human consumption. The rule is part of the FDA’s ongoing efforts to implement FSMA. Large farming operations were required to comply with the rule in January 2018. However, the FDA had previously announced that inspections to assess compliance with the Produce Safety Rule for produce other than sprouts would not begin until Spring 2019. Small and very small farms have additional time to comply.
The USDA Harmonized GAP Audit Program is an audit developed as part of the Produce GAP Harmonization Initiative, an industry-driven effort to develop food safety GAP standards and audit checklists for pre-harvest and post-harvest operations. The Initiative is a collaborative effort on the part of growers, shippers, produce buyers, audit organizations and government agencies, including USDA. The USDA Harmonized GAP audit, in keeping with the Initiative’s goals, is applicable to all fresh produce commodities, all sizes of on-farm operations and all regions in the United States. For more information visit: www.ams.usda.gov.
Today’s announcement builds on a formal agreement signed earlier this year outlining plans to increase interagency coordination regarding produce safety, inspections of dual-jurisdiction facilities and biotechnology activities. The FDA and USDA are committed to continuing to work collaboratively to ensure that the requirements and expectations of the USDA H-GAP Audit Program remain aligned with the FDA’s Produce Safety Rule.
Farmers who are interested in learning more about this alignment and what they can do to prepare for compliance with the Produce Safety Rule can contact their regional representative of the Produce Safety Network or find more information at www.FDA.gov.
Ag Transportation Summit to focus on linking growing U.S. ag production with expanding demand
"Connecting Growing Supply with Growing Demand" will be the theme and focus of the third Agricultural Transportation Summit conference to be conducted on July 25-26 at the Westin Crystal City Hotel in Arlington, Va.
Jointly hosted by the National Grain and Feed Association (NGFA) and Soy Transportation Coalition (STC), and sponsored in part by the U.S. Department of Agriculture's (USDA) Agricultural Marketing Service, this year's conference will occur at a particularly pivotal time as the U.S. transportation network is challenged to move increasing volumes of agricultural products and other freight.
The summit will bring together leaders from agricultural producer and commodity organizations, agribusinesses, Congress and government agencies to focus on the importance of rail, inland waterways, ports and truck transportation to the competitiveness and profitability of U.S. agriculture. Another goal of the summit is to galvanize stakeholders to proactively promote modernization of the U.S. transportation infrastructure and to develop and coordinate strategies for pursuing future enhancements. The conference will begin at 8 a.m. on Wednesday, July 25, and conclude on Thursday, July 26.
"U.S. farmers continue to demonstrate an ability to feed a growing and hungry planet," said STC Chairman Gerry Hayden, a soybean, corn, wheat and cattle producer from Calhoun, Ky. "However, to remain profitable, we must not only produce what customers demand but also be able to transport it to them in a cost effective, reliable manner. Several aspects of our transportation system are under some stress in that regard, and those challenges must be addressed for U.S. agriculture to remain competitive."
"Each of our transportation modes is facing challenges that we need to work collaboratively to address," added NGFA Chairman Eric Wilkey, president of Arizona Grain Inc., Casa Grande, Ariz. "Over the past year, the lack of predictable, reliable rail service has affected shippers and receivers adversely in several regions, leading to plant shutdowns or slowdowns in several instances. Also looming is the continued challenge of rehabilitating the locks and dams on the inland waterways system that are well beyond their 50-year life span. There also are challenges facing the motor carrier industry, whether it be the condition of our roads and bridges, costly regulatory requirements or access to drivers in a tight labor market."
NGFA and STC emphasized the importance of agricultural shippers and receivers, and agricultural producers, as well as representatives of the transportation sector, attending this year's event.
"It's important that agricultural stakeholders, transportation providers from all three modes and government come together to ensure that the U.S. transportation system remains a key competitive advantage for U.S. agriculture," NGFA and STC said.
Overview of Ag Transportation Challenges: An overview of the conditions and challenges confronting agricultural transportation will be presented by Ken Eriksen, senior vice president for energy and transportation at Informa Economics, Memphis, Tenn.
Rail Session: Key executives U.S. Class I railroads will engage in an interactive question-and-answer session on ways to ensure sufficient rail capacity is available to serve U.S. agriculture. Confirmed speakers include representatives from BNSF Railway, Union Pacific Railroad, CSX Transportation Co., Norfolk Southern Railway, Kansas City Southern Railway and the Canadian Pacific Railway. The Canadian National Railway also has been invited to participate. Surface Transportation Board Chairman Ann Begeman, whose agency is responsible for regulatory oversight of the freight rail industry, also is confirmed to address the summit on key rail policy initiatives.
Inland Waterways and Ports: The top official for the federal agency responsible for construction, operations and maintenance of the inland waterways system and ports - Assistant Secretary of the Army for Civil Works R.D. James - will headline the waterways and ports session. Other confirmed speakers include Michael Toohey, president and chief executive officer of Waterways Council Inc., which represents the barge and towboat industry. The conference also will feature a port panel consisting of Sean Duffy, executive director of the Big River Coalition, Tom Capozzi, chief sales officer for the Port of Virginia, and Mark Wilson, executive director of the Port of Kalama, Wash. The port session will be moderated by Jim Walker, director of navigation policy and legislation for the American Association of Port Authorities.
Motor Carrier Focus: A top executive officer of one of the nation's leading motor carrier companies has been invited to discuss the technology changes occurring in trucking, as well as the labor and regulatory challenges being confronted by the sector. In addition, a panel of state transportation department directors from Iowa, Michigan and North Dakota will discuss how their states are approaching transportation infrastructure needs, including highways, rural roads and bridges, and inland waterways.
Innovation Sessions: The summit also will feature two sessions on emerging technology and innovations in transportation. Sal Litrico of American Patriot Holdings LLC, Miami, Fla., will discuss a new technology for shipping containers. Another session will examine the use of block chain technology in the transportation sector, as well as a project being developed by NGFA to enable barge shippers to utilize electronic transmission of barge-trading documents, including bills of lading.
Special Workshop on Prioritizing Ag Infrastructure Projects: As an add-on to the formal program, there also will be a luncheon and special workshop conducted on July 26 from noon to 4:30 p.m. by USDA's Agricultural Marketing Service concerning a research project being conducted on how to prioritize future transportation infrastructure investment for agricultural export supply chains. Importantly, this will be the final opportunity for agricultural stakeholders to provide input on the research before the project concludes. The research is being conducted for USDA by Washington State University and Texas A&M University's Transportation Institute and AgriLife Extension.
Registration: The early bird registration fee is $295 per person until July 7. Onsite registration is $350 per person. Register and get more information online here at www.ngfa.org.
Tuesday, June 5, 2018
Monday, June 4, 2018
June 4 Crop Progress & Condition Report - NE - IA - US
NEBRASKA CROP PROGRESS AND CONDITION
For the week ending June 3, 2018, there were 5.2 days suitable for fieldwork, according to the USDA's National Agricultural Statistics Service. Topsoil moisture supplies rated 2 percent very short, 14 short, 81 adequate, and 3 surplus. Subsoil moisture supplies rated 4 percent very short, 21 short, 74 adequate, and 1 surplus.
Field Crops Report:
Corn condition rated 0 percent very poor, 1 poor, 12 fair, 78 good, and 9 excellent. Corn emerged was 92 percent, near 89 last year and 88 for the five-year average.
Soybean condition rated 0 percent very poor, 0 poor, 14 fair, 78 good, and 8 excellent. Soybeans planted was 95 percent, ahead of 89 last year and 86 average. Emerged was 77 percent, ahead of 58 both last year and average.
Winter wheat condition rated 1 percent very poor, 7 poor, 27 fair, 49 good, and 16 excellent. Winter wheat headed was 72 percent, well behind 95 last year, but near 70 average.
Sorghum planted was 81 percent, ahead of 68 last year and 69 average.
Oats condition rated 1 percent very poor, 3 poor, 26 fair, 66 good, and 4 excellent. Oats emerged was 96 percent, near 98 both last year and average. Headed was 39 percent, behind 58 last year, but ahead of 30 average.
Pasture and Range Report:
Pasture and range conditions rated 3 percent very poor, 8 poor, 32 fair, 49 good, and 8 excellent.
IOWA CROP PROGRESS & CONDITION REPORT
Warm weather with variable precipitation helped crop development across the State during the week ending June 3, 2018, according to the USDA, National Agricultural Statistics Service. Statewide there were 5.0 days suitable for fieldwork. Activities for the week included cutting and baling hay, planting and spraying.
Topsoil moisture levels rated 4 percent very short, 15 percent short, 75 percent adequate and 6 percent surplus. Subsoil moisture levels rated 4 percent very short, 15 percent short, 74 percent adequate and 7 percent surplus. Although south central Iowa subsoil moisture supplies improved slightly, over seventy percent remains short to very short.
Nearly all of the corn crop has been planted, with 91 percent of the crop emerged. Eighty-one percent of the corn crop was rated in good to excellent condition.
Soybean growers have 93 percent of the expected crop planted, 12 days ahead of the 5-year average. Seventy-two percent of soybeans have emerged, 4 days ahead of last year. The first soybean condition rating of the season came in at 0 percent very poor, 1 percent poor, 19 percent fair, 63 percent good, and 17 percent excellent.
Ninety-eight percent of the expected oat crop has emerged, with 19 percent headed, equal to the average. Eighty-two percent of the oat crop was rated in good to excellent condition.
Hay conditions improved to 69 percent rated good to excellent.
Pasture conditions also improved to 63 percent rated good to excellent. Warm temperatures and periods of rain continue to fuel pasture and hay development. Above normal temperatures caused stress for cattle.
USDA - Corn Planting Almost Completed
Corn planting was 97% complete as of Sunday, according to the USDA National Ag Statistics Service weekly Crop Progress report released Monday. Nationwide, corn planting progress jumped five percentage points last week, up from 92% the previous week. Corn emergence, at 86% nationwide as of Sunday, was slightly ahead of last year's 84% and three percentage points above of the average pace of 83%. Corn condition last week was rated 78% good to excellent, one percentage point down from the previous week's rating of 79%.
Soybean planting was estimated at 87% complete, according to NASS. That's 12 percentage points ahead of the average of 75%. 68% of soybeans were emerged, ahead of 55% last year and ahead of the average of 52%.
Winter wheat was 83% headed, behind last year's 86% and equal to the five-year average. Winter wheat condition last week was rated 37% good to excellent, down from the previous week's rating of 38%.
Spring wheat was 97% planted as of Sunday, compared the average pace of 94%. 81% of the crop was emerged, compared to the five-year average of 82%.
Cotton was 76% planted as of Sunday, compared to 62% last week, 78% last year and 76% average. Rice was 95% emerged, compared to 85% last week, 90% last year and a 91% average.
Sorghum was 61% planted as of Sunday, compared to 49% last week, 53% last year and a 54% average.
Barley was 97% planted, compared to the average pace of 95%. 82% of the crop was emerged as of Sunday, compared to an average of 83%. Oats were 98% planted, compared to 94% last week, 99% last year and a 98% average. 90% of oats were emerged, compared to 82% last week, 95% last year and an 93% average.
For the week ending June 3, 2018, there were 5.2 days suitable for fieldwork, according to the USDA's National Agricultural Statistics Service. Topsoil moisture supplies rated 2 percent very short, 14 short, 81 adequate, and 3 surplus. Subsoil moisture supplies rated 4 percent very short, 21 short, 74 adequate, and 1 surplus.
Field Crops Report:
Corn condition rated 0 percent very poor, 1 poor, 12 fair, 78 good, and 9 excellent. Corn emerged was 92 percent, near 89 last year and 88 for the five-year average.
Soybean condition rated 0 percent very poor, 0 poor, 14 fair, 78 good, and 8 excellent. Soybeans planted was 95 percent, ahead of 89 last year and 86 average. Emerged was 77 percent, ahead of 58 both last year and average.
Winter wheat condition rated 1 percent very poor, 7 poor, 27 fair, 49 good, and 16 excellent. Winter wheat headed was 72 percent, well behind 95 last year, but near 70 average.
Sorghum planted was 81 percent, ahead of 68 last year and 69 average.
Oats condition rated 1 percent very poor, 3 poor, 26 fair, 66 good, and 4 excellent. Oats emerged was 96 percent, near 98 both last year and average. Headed was 39 percent, behind 58 last year, but ahead of 30 average.
Pasture and Range Report:
Pasture and range conditions rated 3 percent very poor, 8 poor, 32 fair, 49 good, and 8 excellent.
IOWA CROP PROGRESS & CONDITION REPORT
Warm weather with variable precipitation helped crop development across the State during the week ending June 3, 2018, according to the USDA, National Agricultural Statistics Service. Statewide there were 5.0 days suitable for fieldwork. Activities for the week included cutting and baling hay, planting and spraying.
Topsoil moisture levels rated 4 percent very short, 15 percent short, 75 percent adequate and 6 percent surplus. Subsoil moisture levels rated 4 percent very short, 15 percent short, 74 percent adequate and 7 percent surplus. Although south central Iowa subsoil moisture supplies improved slightly, over seventy percent remains short to very short.
Nearly all of the corn crop has been planted, with 91 percent of the crop emerged. Eighty-one percent of the corn crop was rated in good to excellent condition.
Soybean growers have 93 percent of the expected crop planted, 12 days ahead of the 5-year average. Seventy-two percent of soybeans have emerged, 4 days ahead of last year. The first soybean condition rating of the season came in at 0 percent very poor, 1 percent poor, 19 percent fair, 63 percent good, and 17 percent excellent.
Ninety-eight percent of the expected oat crop has emerged, with 19 percent headed, equal to the average. Eighty-two percent of the oat crop was rated in good to excellent condition.
Hay conditions improved to 69 percent rated good to excellent.
Pasture conditions also improved to 63 percent rated good to excellent. Warm temperatures and periods of rain continue to fuel pasture and hay development. Above normal temperatures caused stress for cattle.
USDA - Corn Planting Almost Completed
Corn planting was 97% complete as of Sunday, according to the USDA National Ag Statistics Service weekly Crop Progress report released Monday. Nationwide, corn planting progress jumped five percentage points last week, up from 92% the previous week. Corn emergence, at 86% nationwide as of Sunday, was slightly ahead of last year's 84% and three percentage points above of the average pace of 83%. Corn condition last week was rated 78% good to excellent, one percentage point down from the previous week's rating of 79%.
Soybean planting was estimated at 87% complete, according to NASS. That's 12 percentage points ahead of the average of 75%. 68% of soybeans were emerged, ahead of 55% last year and ahead of the average of 52%.
Winter wheat was 83% headed, behind last year's 86% and equal to the five-year average. Winter wheat condition last week was rated 37% good to excellent, down from the previous week's rating of 38%.
Spring wheat was 97% planted as of Sunday, compared the average pace of 94%. 81% of the crop was emerged, compared to the five-year average of 82%.
Cotton was 76% planted as of Sunday, compared to 62% last week, 78% last year and 76% average. Rice was 95% emerged, compared to 85% last week, 90% last year and a 91% average.
Sorghum was 61% planted as of Sunday, compared to 49% last week, 53% last year and a 54% average.
Barley was 97% planted, compared to the average pace of 95%. 82% of the crop was emerged as of Sunday, compared to an average of 83%. Oats were 98% planted, compared to 94% last week, 99% last year and a 98% average. 90% of oats were emerged, compared to 82% last week, 95% last year and an 93% average.
Monday June 4 Ag News
Community Leaders Push to Unleash Nebraska Biofuels
In a letter to U.S. Department of Agriculture (USDA) Secretary Sonny Perdue, 55 community leaders from across the Midwest offered their support to combat “special interests seeking to undercut homegrown biofuels and deprive American farmers of a vital market for U.S. crops.” Among the signers were 11 public officials from Nebraska, including State Senators Williams, Hughes, Watermeier, Linehan, Brasch, Briese, Kolterman, Lowe and Friesen, Regent Paul Kenney and Geneva City Council President Eric Kamler.
The officeholders noted that farm income stands at a 12-year low, leaving “too many families struggling, concerned about foreclosure or worse.” They also cautioned that “the ripple effect of an agricultural decline won’t be limited to rural communities.”
To restore growth, they urged Secretary Perdue to act swiftly on the president’s pledge to lift outdated Environmental Protection Agency (EPA) restrictions against the summer-time sales of E15, a motor fuel containing 15 percent ethanol. Biofuels like ethanol play a central role in driving Nebraska agricultural revenues and rural manufacturing.
“The rules were drafted long before lower-cost E15 was introduced, resulting in standards that restrict E15 while permitting less eco-friendly options to be sold all year ,” wrote the community leaders. “A fix cannot come soon enough – for farmers, for biofuels producers, or for drivers who prefer to save money while supporting clean air and American jobs.”
The letter was offered in a show of support for an ongoing campaign organized by Growth Energy, America’s leading trade association of biofuel producers and supporters. Under Growth Energy’s leadership, rural advocates from across the country have urged policymakers in Washington to unleash America’s vast renewable resources to lower fuel prices, strengthen U.S.
energy security, protect the climate, and put an end to a farm crisis that threatens to put an entire generation of farmers out of business.
“Starting June 1, outdated federal regulations cut off millions of drivers from a lower-cost fuel that supports farmers and rural manufacturing,” said Growth Energy CEO Emily Skor, referring to the EPA rules on Reid Vapor Pressure (RVP) . “President Trump promised Midwest lawmakers that he would fast-track a fix, and Secretary Perdue is working with the Environmental Protection Agency on a solution, but time is running out. Farmers cannot afford to be locked out of the market for another driving season, especially when we could be holding down quickly-rising gas prices .”
In their letter, Midwest officials stressed that farming communities are counting on Secretary Perdue “to be rural America’s most powerful voice in the White House and at the table with the EPA,” where a fix has remained stalled since it was first promised by Administrator Scott Pruitt in 2017.
“E15 makes sense, it’s homegrown, renewable and cheaper. Plus it really adds value to the number one industry in our state”, said Senator Curt Friesen of Henderson, NE, who signed the letter to Secretary Perdue.
IA FARMERS, ADMINISTRATION URGE EPA ADMINISTRATOR PRUITT TO LIFT “UNNECESSARY AND RIDICULOUS” RESTRICTION ON SUMMER SALES OF E15
Iowa Secretary of Agriculture Mike Naig and Monte Shaw, executive director of the Iowa Renewable Fuels Association (IRFA), yesterday called on Environmental Protection Agency (EPA) Administrator Scott Pruitt to remove an unnecessary barrier to summer time sale of E15. E15 (a blend of 15 percent ethanol and 85 percent gasoline) has been approved for all 2001 and newer vehicles, however, current rules restrict the sale of E15 between June 1 and September 15 to flex-fuel vehicles.
At a White House meeting on global agricultural trade issues on April 12, President Trump called the restriction “unnecessary and ridiculous” and indicated his support for the year-round sale of E15. Despite this, beginning today, June 1, the EPA will require fuel retailers in Iowa to re-label their fuel pumps and limit E15 sales to only flex-fuel vehicles.
“The state of Iowa is the national leader in biofuels production. This E15 sale restriction gives consumers less choice and will force them to buy more costly fuel at the pump. I call on Administrator Pruitt to take immediate action, follow through on President Trump’s commitment and use enforcement discretion to allow uninterrupted sales of E15 to all 2001 and newer vehicles this summer,” Naig said.
Until the formal rulemaking process to remove the E15 restriction is completed, Naig and Shaw are calling on Administrator Pruitt to not enforce the E15 summer time restriction given the order by President Trump. E15 is higher octane than the most commonly used fuel, E10, and is typically priced five to ten cents less. E15 is approved for use in all 2001 and newer vehicles, which account for over 90% of fuel purchases.
“The President has ordered EPA to remove the E15 restriction,” Shaw said. “It is unclear why it is taking EPA so long to follow through on the President’s order, but until the formal rulemaking process is completed, Pruitt should take action today to ensure motorists have access to the lowest-cost fuel choice on the market for regular vehicles. In Iowa alone, consumers could save tens of millions of dollars this summer if given the option of E15,” said Shaw.
The Iowa Department of Agriculture and Land Stewardship regulates and examines all fuel pumps, commercial scales, and fuel quality, and inspects over 42,000 fuel pumps annually.
Ricketts Celebrates Dairy Month, Highlights Opportunities for Processors
On Saturday, Governor Pete Ricketts proclaimed June as Dairy Month in Nebraska during a ceremony at Omaha’s Henry Doorly Zoo. Dairy Month is celebrated in Nebraska each June to highlight the importance of Nebraska’s dairy farmers to agriculture and our state’s economy.
“Economic development and creating job opportunities is all about capitalizing on what you do best, and nobody is better at agriculture and livestock production than Nebraska,” said Governor Ricketts. “We are always looking to grow Nebraska by encouraging expansion in our agriculture industry. Attracting additional dairy processers and producers is an important part of growing Nebraska agriculture. Nebraska has a compelling story to tell prospective dairy processors and producers, and we are working together to attract more of them to our state.”
Overall cow numbers in Nebraska are up 15 percent from 2014 and farmers statewide have plans to add more than 10,000 cows in the near future. Nebraska’s dairy herd produces over 24,000 pounds of milk per cow per year, ranking it sixth in the nation in terms of productivity. Currently, Nebraska is a net exporter of milk, sending two million pounds out of the state every day.
“A processor who comes to Nebraska will have immediate access to milk produced right here, and dairy farmers will be thrilled to reduce their transportation costs in the process,” said Rod Johnson, executive director of the Nebraska State Dairy Association. “The next dairy processor to stake a claim in Nebraska is going to have the pick of the litter in terms of location and the opportunity to connect with dairy farmers. We call it the ‘First Mover’s Advantage.’”
The Grow Nebraska Dairy initiative includes representatives of the Nebraska Department of Agriculture (NDA), Nebraska Department of Economic Development, Nebraska Public Power District, the University of Nebraska, the Nebraska State Dairy Association, and the Alliance for the Future of Agriculture in Nebraska.
“We have the cows. We have dairy farmers ready to grow,” said Mat Habrock, NDA assistant director. “We have the water and the feed. We have affordable, reliable power. We have shovel-ready sites and welcoming communities. And we have a statewide commitment to growing dairy processing in Nebraska.”
To learn more about the “First Mover’s Advantage” and the potential for dairy processing in Nebraska, visit http://NebraskaMilk.com or contact Rod Johnson at rod@nebraskamilk.org or 402-853-2028.
Farm and Biofuel Coalition Demands that EPA Account for Lost Volumes Due to Secretive, Retroactive Small Refinery Exemptions
Today a coalition of biofuel and agriculture groups petitioned the U.S. Environmental Protection Agency (EPA) to change its regulations to account for lost volumes of renewable fuel resulting from the unprecedented number of retroactive small refinery exemptions from Renewable Fuel Standard (RFS) obligations recently granted by EPA. The parties on the petition are the Renewable Fuels Association (RFA), American Coalition for Ethanol (ACE), Growth Energy (Growth), National Biodiesel Board (NBB), National Corn Growers Association (NCGA), Biotechnology Industry Organization (BIO), and National Farmers Union (NFU).
This petition comes days after several ethanol and farm groups challenged three specific small refinery exemptions granted by EPA. While the lawsuit in the Tenth Circuit challenged those exemptions as wrongly decided, this petition to EPA seeks a broader, forward-looking remedy to account for the collective lost volumes caused by the unprecedented number of retroactive small refinery exemptions.
“EPA Administrator Scott Pruitt has had a fire sale on small refiner exemptions for anyone with a stamp and an envelope, making a mockery of the President’s commitment to a 15-billion-gallon RFS for conventional biofuel. This must end. We take no pleasure in having to litigate to protect the integrity of the RFS, but it appears we have no other recourse,” said RFA CEO Bob Dinneen.
The existing regulation for calculating the annual percentage of renewable fuels to be blended into transportation fuel does not provide a means to “true up” the annual standards for any retroactive small refinery exemptions, i.e., exemptions granted after the renewable volume obligations (RVOs) for that year have been finalized. As a result, any volumes covered by such exemptions are lost.
But EPA’s continued use of its regulation in the face of its recently and greatly expanded use of retroactive small refinery exemptions is now arbitrary and capricious. News reports within the last 60 days reveal a flood of more than two dozen retroactive small refinery hardship exemptions have already been granted this year.
“While our preference would be for EPA to follow the rule of law and make good on the President’s repeated promises to support the RFS, Administrator Pruitt continues to hand small refinery waivers out like trick-or-treat candy so we are left with no other choice than to ask the Court to uphold the RFS as the law of the land,” said ACE CEO Brian Jennings.
“These lost volumes are having a negative effect on the nation’s corn growers at a time when net farm income is projected to hit its lowest point in 12 years,” said NCGA President Kevin Skunes. “When EPA waives these volumes, that translates into lost demand opportunities for corn growers, who expect that EPA should implement and enforce the RFS as intended by Congress.”
“The demand destruction that we are seeing as a consequence of these small refiner waivers has got to stop,” said Roger Johnson, President NFU. “Our nation’s farm families count on the RFS to stimulate demand, and we must hold EPA accountable for its recent subversive actions to undo years of progress.”
“Because EPA issued these retroactive exemptions under the cover of night, our organizations had no choice but to take steps that we hope will bring more transparency and accountability to the small refiner exemption process,” said Donnell Rehagen, CEO, NBB. “This petition is intended to shine some light on a process that has been shrouded in darkness and secrecy, and ensure EPA adopts a process for evaluating waiver petitions that remains faithful to the spirit and intent of the law.”
“The EPA’s dramatically expanded practice of granting small refinery exemptions and failing to reallocate the obligations undermines the RFS and has already reduced volume obligations by hundreds of millions of gallons,” Growth Energy CEO Emily Skor said. “America’s farmers are the ultimate victims of the agency’s giveaways to refiners, and this abuse of power has to stop.”
“EPA’s retroactive waivers have cut more than a billion gallons from the renewable fuel obligations for 2016 and 2017, which has a devastating impact on advanced biofuels. The excess RINs from EPA’s waivers will continue to suppress demand for advanced biofuels for 2018 and 2019,” said Brent Erickson, Executive Vice President of BIO.
RFA, ACE, NBB, Growth, NCGA, BIO, and NFU also filed suit in the Court of Appeals for the District of Columbia Circuit on the same issue. However, the petitioners at the same time requested that the court stay proceedings for a period of time.
PASTURE WEED CONTROL IN SUMMER
Bruce Anderson, NE Extension Forage Specialist
Early to mid-June is a popular time to spray pasture weeds and woody plants. But, is it a smart thing to do?
Why do you spray weeds in pasture? Is it to kill plants that are poor forage – or is it just force of habit and to make the pasture look nicer?
Now I've got to admit, I often suggest using herbicides in pastures. Herbicides like Plateau in warm-season pastures or 2,4-D, Grazon, or ForeFront in any grass pasture are most popular. But the more experience I get with grazing and pasture management, the less spraying I do. In fact, anytime a pasture is sprayed, it suggests that the grazing management has not been as effective as it could be or maybe the owner just wants a quick fix.
Okay, so what am I talking about? Well, several things really. First, for pasture to be profitable, it must have high management input but controlled dollar input. And spraying costs money. Money we might save with better grazing management. Second, livestock eat many plants we call weeds. And when they do, these plants no longer are weeds. In fact, many weeds can be good feed if grazed while young and tender. Third, unpalatable weeds usually become established in pastures after grass is weakened by severe grazing, and they thrive when grazing management fails to encourage vigorous grass regrowth. And finally, unless pasture and livestock are managed to benefit both plants and animals, the weeds will be back despite your spraying.
So why spray pastures? If you graze properly but you wish to speed up the process of replacing uneaten weeds with vigorous grass, that's a very good reason. Otherwise, spraying may be simply cosmetic and a waste of money.
FY 2018 Exports Forecast Up $3.0 Billion to $142.5 Billion; Imports at $121.5 Billion
USDA Economic Research Service
Fiscal year 2018 agricultural exports are projected at $142.5 billion, up $3.0 billion from the February forecast, primarily due to expected increases in corn and cotton exports. Corn is forecast up $1.3 billion to $10.3 billion on both larger volumes and higher unit values, as weather-reduced crop prospects in South America improve U.S. export opportunities into the summer. Overall grain and feed exports are forecast at $31.2 billion, $1.5 billion higher than the February projection. Cotton exports are forecast up $800 million to $6.2 billion due to strong foreign demand. Oilseeds and products are forecast at $31.5 billion, up $400 million from increased trade of soybean products. Livestock, dairy, and poultry exports are raised by $100 million to $30.6 billion, as higher dairy exports more than offset reductions in variety meats and hides and skins; beef, pork, and poultry forecasts remain unchanged. Horticultural product exports are unchanged at $34.5 billion.
U.S. agricultural imports in fiscal year 2018 are forecast at $121.5 billion, up $3.0 billion from the February forecast. Horticultural products and the livestock, dairy, and poultry category both have significant upward adjustments. The U.S. agricultural trade surplus is unchanged at $21.0 billion.
See the complete report here....
https://www.ers.usda.gov/webdocs/publications/89164/aes-104.pdf?v=43251.
On World Milk Day, DFA Celebrates and Rejuvenates an Age-Old Classic with the Debut of Mülü
Consumers are constantly chasing and looking for the next big trend in health drinks. As each new beverage hits the market, many forget about the original health drink: milk. Recognizing some may need a reintroduction to what this wholesome beverage provides, Dairy Farmers of America (DFA) is shaking up the dairy industry and shifting milk’s status quo. On World Milk Day, June 1, say hello to DFA’s Mülü, otherwise known as milk – the original energy-packed, vitamin-rich, one-ingredient superdrink.
Milk offers eight grams of high-quality protein per every eight ounce serving, more calcium than seven cups of broccoli and five essential vitamins (A, D, B2, B12 and B3) – all without added sugar.
“Milk has been around for thousands of years, and during that time, the new and flashy has overshadowed what we know to be true,” said Monica Massey, senior vice president and chief of staff at Dairy Farmers of America. “Research shows milk provides nutrition that is an important part of a balanced diet that no other beverage can deliver. Dairy has the power to nourish the body, bring joy to your day and enhance the way we experience food.”
DFA’s Mülü campaign repackaged milk with a new, modern look and a fresh name, along with a fun and interesting marketing campaign, to give milk the attention it deserves. The Mülü campaign coincides with World Milk Day, a day recognized by the Food and Agriculture Organization (FAO) to share and celebrate the important contributions that the dairy industry adds to nutrition, sustainability, economic development and livelihoods.
In addition to online videos, social channels, billboards and a website to tease and intrigue consumers about the launch of Mülü, DFA, in Kansas City, their headquarters, took Mülü to the streets on June 1 to share the benefits of milk. Consumers had the opportunity to sample Mülü, a flashy beverage promising benefits the other superdrinks can’t. With Mülü, consumers get a second “first impression” of milk.
“Ultimately, we strive to make an impact with the Mülü campaign, hoping to pleasantly surprise consumers and reintroduce a household staple that we don’t always remember to appreciate,” said Massey. “World Milk Day and Mülü celebrates what milk has always been: a drink with incredible benefits, fit for adults and kids alike.”
As part of World Milk Day, DFA members, employees and local community partners were encouraged to raise a glass of milk to celebrate the global impact of dairy and its nutritional benefits. DFA pledged to
donate one dollar to the Great American Milk Drive, up to $10,000, for every photo posted raising a glass of milk on social media with the hashtags #RaiseAGlass, #WorldMilkDay and @dfamilk.
Check out @DrinkMulu on Instagram and Facebook to learn more about the benefits of milk. For more information, visit drinkmulu.com.
CWT Assists with 900,000 Pounds of Cheese Export Sales
Cooperatives Working Together (CWT) member cooperatives accepted offers of export assistance from CWT that helped them capture contracts to sell 892,8872 pounds (405 metric tons) of Cheddar and Monterey Jack cheese to customers in Asia and Central America. The product has been contracted for delivery in the period from June through October 2018.
CWT-assisted member cooperative 2018 export sales total 35.261 million pounds of American-type cheeses, 11.035 million pounds of butter (82% milkfat) and 10.183 million pounds of whole milk powder to 25 countries on five continents. These sales are the equivalent of 648.087 million pounds of milk on a milkfat basis. Totals have been adjusted for cancellations.
This activity reflects CWT management beginning the process of implementing the strategic plan reviewed by the CWT Committee in March. The changes will enhance the effectiveness of the program and facilitate member export opportunities.
Assisting CWT members through the Export Assistance program in the long term helps member cooperatives gain and maintain market share, thus expanding the demand for U.S. dairy products and the U.S. farm milk that produces them. This, in turn, positively affects all U.S. dairy farmers by strengthening and maintaining the value of dairy products that directly impact their milk price.
NMPF Thanks USDA for Extending Margin Protection Program Sign-up Window
The National Milk Producers Federation (NMPF) today expressed thanks to Agriculture Secretary Sonny Perdue for his department’s decision to give dairy farmers additional time to review their 2018 coverage options in the dairy Margin Protection Program (MPP).
The U.S. Department of Agriculture (USDA) said Monday it is extending the June 1 sign-up deadline to Friday, June 8. NMPF, along with key members of the U.S. Senate, had recently asked USDA to consider giving farmers additional time to enroll in, or adjust their existing coverage in, the MPP for calendar year 2018.
“We believe an extension of the sign-up period beyond the June 1 deadline will be beneficial in recruiting as many farmers as possible into the program,” said Jim Mulhern, president and CEO of NMPF. “In particular, the late spring planting in numerous dairy states, especially in the Midwest, means that many farmers have been in their fields in recent weeks and unable to sit down and make decisions about their risk management options available through USDA.”
Dairy producers must select new coverage in the MPP for 2018, even if they enrolled during the previous sign-up period last fall. Coverage choices made this spring for calendar year 2018 will be retroactive to Jan. 1, 2018. Producers can participate in either MPP or the Livestock Gross Margin program for dairy (LGM-Dairy), but not both.
NMPF also thanked members of the Senate for making a similar request to USDA to allow farmers additional time to enroll in the MPP. Sens. Tina Smith (D-MN) and Rob Portman (R-OH) spearheaded a bipartisan letter making the request on May 31, and Sens. Debbie Stabenow (D-MI) and Patrick Leahy (D-VT) advocated strongly for an extension to build on their success earlier this year in making legislative improvements to the structure of the MPP.
Mulhern also complimented USDA for planning to issue payments starting this week to farmers already enrolled in the MPP, saying that the “timely issuance of payments to producers will send an important signal to additional producers who are considering enrolling.”
USDA’s web tool allows dairy farmers to quickly and easily combine unique operation data and other variables to calculate their coverage needs based on price projections. NMPF’s Future for Dairy website also offers informative resources and tools to help farmers determine the best insurance options for their operations.
USDA Dairy Products April 2018 Production Highlights
Total cheese output (excluding cottage cheese) was 1.07 billion pounds, 0.9 percent above April 2017 but 3.7 percent below March 2018. Italian type cheese production totaled 452 million pounds, 0.8 percent above April 2017 but 6.2 percent below March 2018. American type cheese production totaled 441 million pounds, 1.4 percent above April 2017 but 0.6 percent below March 2018. Butter production was 175 million pounds, 8.3 percent above April 2017 but 3.7 percent below March 2018.
Dry milk products (comparisons in percentage with April 2017)
Nonfat dry milk, human - 166 million pounds, down 3.8 percent.
Skim milk powder - 49.3 million pounds, down 1.8 percent.
Whey products (comparisons in percentage with April 2017)
Dry whey, total - 85.3 million pounds, up 0.7 percent.
Lactose, human and animal - 93.9 million pounds, down 2.5 percent.
Whey protein concentrate, total - 40.7 million pounds, down 3.3 percent.
Frozen products (comparisons in percentage with April 2017)
Ice cream, regular (hard) - 63.6 million gallons, down 8.8 percent.
Ice cream, lowfat (total) - 39.8 million gallons, down 3.6 percent.
Sherbet (hard) - 3.65 million gallons, down 3.5 percent.
Frozen yogurt (total) - 5.57 million gallons, down 12.8 percent.
Bayer Drops Monsanto Name, Easing Reputational Headache
Bayer's decision to drop the Monsanto name following its $66 billion takeover of the U.S. agro-chemical giant should help it leave behind some of the reputational concerns associated with the brand. Monsanto has drawn criticism from environmental activists for its promotion of genetically-modified organisms and its pursuit of legal action against farmers who break rules associated with its products. Bayer CEO Werner Baumann says he plans to improve stakeholder engagement and listen to the company's critics. "Agriculture is too important to allow ideological differences to bring progress to a standstill," he says.
DowDuPont's Seed Business Plays Catch-Up
DowDuPont's crop-seed business is rebounding from a cold, wet spring that kept farmers out of the fields, and postponed DowDuPont's seed sales, driving a 39% decline in 1Q profits from the company's agriculture unit. "The shift has happened," CEO Ed Breen tells investors at a Bernstein conference. He points to USDA data released Wednesday showing that US corn farmers now have 92% of this year's crop in the ground, two percentage points ahead of the five-year average. Breen reiterates confidence in DowDuPont's projection for a big rebound in its agriculture business in 2Q.
Trump Voters in Midwest States Losing Faith in Administration's Commitment to Renewable Fuels
New polling shows that voters across three Midwestern states are disappointed with Trump Administration decisions they view as broken promises of support for local agriculture and renewable fuels industries.
In a survey of voters in Iowa, Missouri and Minnesota, respondents overwhelmingly say they support federal policies to encourage growth in biodiesel and renewable fuels use. Their support cut across party lines, with more than two-thirds of Republicans and nearly three-quarters of Independents saying they support U.S. efforts to boost the expansion of the biodiesel industry. In total, 73 percent of voters agreed.
In the 2016 election, then-candidate Donald Trump’s performance in the three states surveyed demonstrated strong support for his public statements that he would support the Renewable Fuel Standard (RFS), which requires minimal volumes of biodiesel and other advanced biofuels be included in the nation’s transportation fuels portfolio.
A substantial majority of voters in these Midwestern states, including 63 percent of Independents, say EPA Administrator Scott Pruitt’s efforts to lower demand for biofuels does not reflect the President’s promise to support renewable fuels and the RFS.
National Biodiesel Board (NBB) Vice President of Federal Affairs Kurt Kovarik said the response from Iowa, Missouri and Minnesota accurately represents the opinion of America’s Heartland, which propelled President Trump to the White House. NBB sponsored the survey.
In one such instance of his promises, then-candidate Trump addressed the Iowa Renewable Fuels Summit in January 2016: “The RFS… is an important tool in the mission to achieve energy independence for the United States. I will do all that is in my power as president to achieve that goal.”
More than 80 percent of Republican voters in the survey said it was important to them that President Trump keep his promise to defend the RFS.
“When candidate Trump promised he would be their defender in Washington, DC, farming communities turned out to the polls in big numbers for him in November of 2016,” Kovarik said. “To be frank, rural voters haven’t seen that similar support reciprocated from EPA Administrator Pruitt and that’s reflected in the survey.”
After years of steady growth in the biodiesel industry, President Trump’s administration changed gears for 2018. For the first time, the biomass-based diesel category volumes of the RFS remained flat at 2.1 billion gallons. The advanced biofuels category, for which biodiesel also qualifies, was reduced.
Beyond the lack of growth in the RFS, President Trump’s EPA has provided numerous exemptions for refiners, including one of the largest in the U.S., that excuse them from fulfilling their obligations to blend biofuels at their facilities. There are also reported discussions in the White House of other measures that would have a damaging effect on the RFS, including allowing exported biofuels to generate credits toward refiners’ obligations under the RFS.
Additionally, Farmers have seen the commodity prices of their crops plummet as a result of trade fights with China and just saw the new Farm Bill fail in Congress.
“Midwestern voters are desperate to see some positive signal from President Trump and Congress,” Kovarik said. “Income from farming has plummeted more than 50 percent. It’s at its lowest point in a dozen years. Zero growth again in the RFS from the Trump Administration would only make it worse.”
Around 50 percent of biodiesel is produced from soybean oil, a byproduct of processing the beans for protein in food products. This system has provided another source of income for soybean farmers and the added value means they’re able to make the protein available at lower prices.
Additionally, biodiesel is made from recycled cooking oil and waste fats.
Other conclusions from the survey include:
- Sixty-seven percent of conservative voters surveyed in Iowa, Minnesota and Missouri support higher biodiesel volumes under the RFS.
- More than 55 percent of Independent voters in Iowa, the top biodiesel producing state in the country, support higher biodiesel volumes under the RFS. President Trump in 2016 was the first Republican to top 50 percent in a presidential election in nearly 30 years.
The survey was conducted by Moore Information with funding from the National Biodiesel Board. Moore Information is a leading national opinion research and strategic analysis firm, serving a wide spectrum of clients in politics, government, and corporate and public affairs. The survey was comprised of 1660 total randomly selected registered voters (Iowa 510, Minnesota 580, Missouri 570).
Final Day of World Meat Congress Focuses on Consumer Trends, Production Technology
The 2018 World Meat Congress concluded Friday with sessions focused on consumer trends and education, as well as an in-depth look at cutting-edge technologies reshaping meat production around the world. The 22nd World Meat Congress was held in Dallas May 31 and June 1. Hosted by the U.S. Meat Export Federation (USMEF) and the International Meat Secretariat (IMS), the event drew about 700 participants from more than 40 countries.
Friday’s keynote speaker was best-selling author Jeff Fromm, whose books include Marketing to Millennials, Millennials with Kids and Marketing to Gen Z. Fromm is also a partner at Barkley, a company that assists with establishment and enhancement of brands and helps businesses identify emerging consumer trends.
Fromm told the audience that food has become more than just a category of products consumers buy and enjoy – it is also a means of expression.
“How many of you used to have fashion as the thing that drove you, as a young person, to sort of express yourself?” he asked. “Today’s modern consumer expresses themselves through food. Discretionary purchases on food have increased at a dramatic rate, at a time when discretionary purchases on fashion haven’t. So they are trading ‘category: fashion’ for ‘category: food’ as a way to express themselves.”
Fromm said farmers and ranchers, and those in meat processing and merchandising, absolutely must better connect with consumers by sharing details of the story behind their products.
“Today’s consumer is a ‘pro-sumer,’ which means they are going to co-create their story and it’s about ‘Brand Me,’” Fromm explained. “And the reality is, that consumer has a lot of expectations. They expect to have a seat at the table. And if you’ve heard in the past that it’s just about being transparent, our research suggests that’s going to get you a ‘C’ on your report card. In ‘Tomorrowland,’ you’re going to have to offer proof that the story you are living is real – which is a step beyond transparency.”
Following Fromm’s address, World Meat Congress attendees learned about new tools to improve food safety, the value of gene editing to the world’s food production systems and the impact of blockchain technology in a panel discussion titled, “On the Cutting Edge: What’s New in the Red Meat Supply Chain?”
Dr. Gary Smith, a visiting professor in the animal science departments at Texas A&M University and Colorado State University, moderated the panel of scientists deeply involved in cutting-edge research into technologies that are quickly changing how meat and other foods are being produced, managed and delivered.
The panel featured Gary Rodrigue, blockchain food trust leader for the IBM Corporation; Dr. Martin Wiedmann, Gellert family professor in food safety at Cornell University; and Dr. Alison Van Eenennaam, cooperative extension specialist for animal genomics and biotechnology at the University of California-Davis.
Blockchain technology is a tool that presents tremendous opportunities for innovation and more trustworthy global business transactions. While the term “blockchain” is often confused with cryptocurrency, Rodrigue explained that the blockchain technology he was focusing on is quite different, and that it “is going to change every aspect of your business – it’s going to change how supply chains are managed.”
Wiedmann, whose academic program is to develop and communicate the scientific knowledge needed to prevent and control foodborne and zoonotic diseases caused by bacteria, explained the value of genome sequencing and other scientific tools used to monitor and trace incidents such as outbreaks of listeria or salmonella. He also shared other aspects of his research, which is focused on developing a better understanding of the pathogenesis, ecology, evolution and transmission of bacterial foodborne diseases.
Van Eenennaam, whose program at UC-Davis focuses on research and education around the use of animal genomics and biotechnology in livestock production systems, explained the value of gene editing. For example, research is underway to utilize gene editing to prevent such diseases as African swine fever in hogs and tuberculosis in cattle.
“What better way to approach dealing with disease than through genetic improvement?” she noted.
In a session titled, “Societal Norms and Implications for the Industry,” panelists focused on the fact that consumers are growing more informed and demanding about the specific food production practices and attributes of the products they buy. They noted that the meat industry and other food industry sectors must strive to find ways of meeting these growing expectations while also delivering affordable, sustainable food supplies.
Moderated by Mary Ann Binnie, manager of nutrition and industry relations for the Canadian Pork Council, the panel featured Lisa Watson, social responsibility officer at the Innovative Center for U.S. Dairy, Justin Ransom, Ph.D., senior director of sustainable food strategy for Tyson Foods, and Roxi Beck, consumer engagement director at the Center for Food Integrity. Beck is also vice president of Look East, a public relations agency focused on growing trust in products, processes, people and brands in the food and agriculture industry.
IMS Secretary General Hsin Huang assembled a panel of industry experts to illustrate the critical issues on which IMS advocates for the global meat industry. IMS engages with international and intergovernmental organizations to promote a fact-based and science-based approach to public policy and establishment of international standards.
The panel featured Dr. Bernard Vallat, president of the French Federation of Charcutiers, Caterers and Meat Processors (FICT), who discussed key issues related to animal welfare, antibiotic use in animals and antibiotic resistance. Jurgen Preugschas, director of the Western Hog Exchange, focused on sustainable livestock production practices, and Shalene McNeill, Ph.D., R.D., executive director for human nutrition research at the National Cattlemen’s Beef Association offered her thoughts on dietary guidelines and the importance of educating key audiences about the nutritional value of red meat and its role in a balanced diet.
The day’s final panel focused on the consumer of tomorrow, and what the red meat industry must do to properly identify and address the desires and expectations of future generations. Moderated by Mick Sloyan, pork strategy director with the Agriculture and Horticulture Development Board of the United Kingdom, the panel featured Melissa Brewer, director of communications for Certified Angus Beef ®, who explained the history behind the company’s brand and how it thrives on authenticity and a proven track record of meeting customers’ quality expectations. Michael Uetz, managing principal of Midan Marketing, a full-service marketing firm dedicated to serving meat industry clients, focused on demographic trends and explained that meat consumers are segmented – ranging from “voracious carnivores” to “wavering budgeteers” to “selective foodies.” Pol Moragas, deputy secretary general of Spain’s Business Federation of Meats and Meat Industries (FECIC), discussed industry research that underscores the importance of developing and maintaining consumer loyalty – an ever more daunting challenge as he foresees the future.
“From my very humble viewpoint, the consumer of the future is hyper-influenceable and not at all loyal,” he cautioned.
Speaking for IMS, Huang saw the 22nd World Meat Congress as a valuable, insightful experience for all participants.
“We are coming from different production systems and different animal species, but we all are facing similar challenges,” he said. “So this meeting was a great opportunity to come together to network and to address these challenges. USMEF did tremendous work in pulling together a great lineup of speakers, and Dallas was a wonderful location for the event.”
At the closing ceremony, IMS President Guillaume Roué and USMEF CEO Emeritus Philip Seng thanked attendees for their participation and support and introduced pork industry leader Pedro Tabaras, president of Granjas Carroll de Mexico. In an IMS tradition, Seng “passed the IMS flag” to Tabaras, who invited the audience to take part in the next World Meat Congress, which will be held in Cancun in 2020.
In a letter to U.S. Department of Agriculture (USDA) Secretary Sonny Perdue, 55 community leaders from across the Midwest offered their support to combat “special interests seeking to undercut homegrown biofuels and deprive American farmers of a vital market for U.S. crops.” Among the signers were 11 public officials from Nebraska, including State Senators Williams, Hughes, Watermeier, Linehan, Brasch, Briese, Kolterman, Lowe and Friesen, Regent Paul Kenney and Geneva City Council President Eric Kamler.
The officeholders noted that farm income stands at a 12-year low, leaving “too many families struggling, concerned about foreclosure or worse.” They also cautioned that “the ripple effect of an agricultural decline won’t be limited to rural communities.”
To restore growth, they urged Secretary Perdue to act swiftly on the president’s pledge to lift outdated Environmental Protection Agency (EPA) restrictions against the summer-time sales of E15, a motor fuel containing 15 percent ethanol. Biofuels like ethanol play a central role in driving Nebraska agricultural revenues and rural manufacturing.
“The rules were drafted long before lower-cost E15 was introduced, resulting in standards that restrict E15 while permitting less eco-friendly options to be sold all year ,” wrote the community leaders. “A fix cannot come soon enough – for farmers, for biofuels producers, or for drivers who prefer to save money while supporting clean air and American jobs.”
The letter was offered in a show of support for an ongoing campaign organized by Growth Energy, America’s leading trade association of biofuel producers and supporters. Under Growth Energy’s leadership, rural advocates from across the country have urged policymakers in Washington to unleash America’s vast renewable resources to lower fuel prices, strengthen U.S.
energy security, protect the climate, and put an end to a farm crisis that threatens to put an entire generation of farmers out of business.
“Starting June 1, outdated federal regulations cut off millions of drivers from a lower-cost fuel that supports farmers and rural manufacturing,” said Growth Energy CEO Emily Skor, referring to the EPA rules on Reid Vapor Pressure (RVP) . “President Trump promised Midwest lawmakers that he would fast-track a fix, and Secretary Perdue is working with the Environmental Protection Agency on a solution, but time is running out. Farmers cannot afford to be locked out of the market for another driving season, especially when we could be holding down quickly-rising gas prices .”
In their letter, Midwest officials stressed that farming communities are counting on Secretary Perdue “to be rural America’s most powerful voice in the White House and at the table with the EPA,” where a fix has remained stalled since it was first promised by Administrator Scott Pruitt in 2017.
“E15 makes sense, it’s homegrown, renewable and cheaper. Plus it really adds value to the number one industry in our state”, said Senator Curt Friesen of Henderson, NE, who signed the letter to Secretary Perdue.
IA FARMERS, ADMINISTRATION URGE EPA ADMINISTRATOR PRUITT TO LIFT “UNNECESSARY AND RIDICULOUS” RESTRICTION ON SUMMER SALES OF E15
Iowa Secretary of Agriculture Mike Naig and Monte Shaw, executive director of the Iowa Renewable Fuels Association (IRFA), yesterday called on Environmental Protection Agency (EPA) Administrator Scott Pruitt to remove an unnecessary barrier to summer time sale of E15. E15 (a blend of 15 percent ethanol and 85 percent gasoline) has been approved for all 2001 and newer vehicles, however, current rules restrict the sale of E15 between June 1 and September 15 to flex-fuel vehicles.
At a White House meeting on global agricultural trade issues on April 12, President Trump called the restriction “unnecessary and ridiculous” and indicated his support for the year-round sale of E15. Despite this, beginning today, June 1, the EPA will require fuel retailers in Iowa to re-label their fuel pumps and limit E15 sales to only flex-fuel vehicles.
“The state of Iowa is the national leader in biofuels production. This E15 sale restriction gives consumers less choice and will force them to buy more costly fuel at the pump. I call on Administrator Pruitt to take immediate action, follow through on President Trump’s commitment and use enforcement discretion to allow uninterrupted sales of E15 to all 2001 and newer vehicles this summer,” Naig said.
Until the formal rulemaking process to remove the E15 restriction is completed, Naig and Shaw are calling on Administrator Pruitt to not enforce the E15 summer time restriction given the order by President Trump. E15 is higher octane than the most commonly used fuel, E10, and is typically priced five to ten cents less. E15 is approved for use in all 2001 and newer vehicles, which account for over 90% of fuel purchases.
“The President has ordered EPA to remove the E15 restriction,” Shaw said. “It is unclear why it is taking EPA so long to follow through on the President’s order, but until the formal rulemaking process is completed, Pruitt should take action today to ensure motorists have access to the lowest-cost fuel choice on the market for regular vehicles. In Iowa alone, consumers could save tens of millions of dollars this summer if given the option of E15,” said Shaw.
The Iowa Department of Agriculture and Land Stewardship regulates and examines all fuel pumps, commercial scales, and fuel quality, and inspects over 42,000 fuel pumps annually.
Ricketts Celebrates Dairy Month, Highlights Opportunities for Processors
On Saturday, Governor Pete Ricketts proclaimed June as Dairy Month in Nebraska during a ceremony at Omaha’s Henry Doorly Zoo. Dairy Month is celebrated in Nebraska each June to highlight the importance of Nebraska’s dairy farmers to agriculture and our state’s economy.
“Economic development and creating job opportunities is all about capitalizing on what you do best, and nobody is better at agriculture and livestock production than Nebraska,” said Governor Ricketts. “We are always looking to grow Nebraska by encouraging expansion in our agriculture industry. Attracting additional dairy processers and producers is an important part of growing Nebraska agriculture. Nebraska has a compelling story to tell prospective dairy processors and producers, and we are working together to attract more of them to our state.”
Overall cow numbers in Nebraska are up 15 percent from 2014 and farmers statewide have plans to add more than 10,000 cows in the near future. Nebraska’s dairy herd produces over 24,000 pounds of milk per cow per year, ranking it sixth in the nation in terms of productivity. Currently, Nebraska is a net exporter of milk, sending two million pounds out of the state every day.
“A processor who comes to Nebraska will have immediate access to milk produced right here, and dairy farmers will be thrilled to reduce their transportation costs in the process,” said Rod Johnson, executive director of the Nebraska State Dairy Association. “The next dairy processor to stake a claim in Nebraska is going to have the pick of the litter in terms of location and the opportunity to connect with dairy farmers. We call it the ‘First Mover’s Advantage.’”
The Grow Nebraska Dairy initiative includes representatives of the Nebraska Department of Agriculture (NDA), Nebraska Department of Economic Development, Nebraska Public Power District, the University of Nebraska, the Nebraska State Dairy Association, and the Alliance for the Future of Agriculture in Nebraska.
“We have the cows. We have dairy farmers ready to grow,” said Mat Habrock, NDA assistant director. “We have the water and the feed. We have affordable, reliable power. We have shovel-ready sites and welcoming communities. And we have a statewide commitment to growing dairy processing in Nebraska.”
To learn more about the “First Mover’s Advantage” and the potential for dairy processing in Nebraska, visit http://NebraskaMilk.com or contact Rod Johnson at rod@nebraskamilk.org or 402-853-2028.
Farm and Biofuel Coalition Demands that EPA Account for Lost Volumes Due to Secretive, Retroactive Small Refinery Exemptions
Today a coalition of biofuel and agriculture groups petitioned the U.S. Environmental Protection Agency (EPA) to change its regulations to account for lost volumes of renewable fuel resulting from the unprecedented number of retroactive small refinery exemptions from Renewable Fuel Standard (RFS) obligations recently granted by EPA. The parties on the petition are the Renewable Fuels Association (RFA), American Coalition for Ethanol (ACE), Growth Energy (Growth), National Biodiesel Board (NBB), National Corn Growers Association (NCGA), Biotechnology Industry Organization (BIO), and National Farmers Union (NFU).
This petition comes days after several ethanol and farm groups challenged three specific small refinery exemptions granted by EPA. While the lawsuit in the Tenth Circuit challenged those exemptions as wrongly decided, this petition to EPA seeks a broader, forward-looking remedy to account for the collective lost volumes caused by the unprecedented number of retroactive small refinery exemptions.
“EPA Administrator Scott Pruitt has had a fire sale on small refiner exemptions for anyone with a stamp and an envelope, making a mockery of the President’s commitment to a 15-billion-gallon RFS for conventional biofuel. This must end. We take no pleasure in having to litigate to protect the integrity of the RFS, but it appears we have no other recourse,” said RFA CEO Bob Dinneen.
The existing regulation for calculating the annual percentage of renewable fuels to be blended into transportation fuel does not provide a means to “true up” the annual standards for any retroactive small refinery exemptions, i.e., exemptions granted after the renewable volume obligations (RVOs) for that year have been finalized. As a result, any volumes covered by such exemptions are lost.
But EPA’s continued use of its regulation in the face of its recently and greatly expanded use of retroactive small refinery exemptions is now arbitrary and capricious. News reports within the last 60 days reveal a flood of more than two dozen retroactive small refinery hardship exemptions have already been granted this year.
“While our preference would be for EPA to follow the rule of law and make good on the President’s repeated promises to support the RFS, Administrator Pruitt continues to hand small refinery waivers out like trick-or-treat candy so we are left with no other choice than to ask the Court to uphold the RFS as the law of the land,” said ACE CEO Brian Jennings.
“These lost volumes are having a negative effect on the nation’s corn growers at a time when net farm income is projected to hit its lowest point in 12 years,” said NCGA President Kevin Skunes. “When EPA waives these volumes, that translates into lost demand opportunities for corn growers, who expect that EPA should implement and enforce the RFS as intended by Congress.”
“The demand destruction that we are seeing as a consequence of these small refiner waivers has got to stop,” said Roger Johnson, President NFU. “Our nation’s farm families count on the RFS to stimulate demand, and we must hold EPA accountable for its recent subversive actions to undo years of progress.”
“Because EPA issued these retroactive exemptions under the cover of night, our organizations had no choice but to take steps that we hope will bring more transparency and accountability to the small refiner exemption process,” said Donnell Rehagen, CEO, NBB. “This petition is intended to shine some light on a process that has been shrouded in darkness and secrecy, and ensure EPA adopts a process for evaluating waiver petitions that remains faithful to the spirit and intent of the law.”
“The EPA’s dramatically expanded practice of granting small refinery exemptions and failing to reallocate the obligations undermines the RFS and has already reduced volume obligations by hundreds of millions of gallons,” Growth Energy CEO Emily Skor said. “America’s farmers are the ultimate victims of the agency’s giveaways to refiners, and this abuse of power has to stop.”
“EPA’s retroactive waivers have cut more than a billion gallons from the renewable fuel obligations for 2016 and 2017, which has a devastating impact on advanced biofuels. The excess RINs from EPA’s waivers will continue to suppress demand for advanced biofuels for 2018 and 2019,” said Brent Erickson, Executive Vice President of BIO.
RFA, ACE, NBB, Growth, NCGA, BIO, and NFU also filed suit in the Court of Appeals for the District of Columbia Circuit on the same issue. However, the petitioners at the same time requested that the court stay proceedings for a period of time.
PASTURE WEED CONTROL IN SUMMER
Bruce Anderson, NE Extension Forage Specialist
Early to mid-June is a popular time to spray pasture weeds and woody plants. But, is it a smart thing to do?
Why do you spray weeds in pasture? Is it to kill plants that are poor forage – or is it just force of habit and to make the pasture look nicer?
Now I've got to admit, I often suggest using herbicides in pastures. Herbicides like Plateau in warm-season pastures or 2,4-D, Grazon, or ForeFront in any grass pasture are most popular. But the more experience I get with grazing and pasture management, the less spraying I do. In fact, anytime a pasture is sprayed, it suggests that the grazing management has not been as effective as it could be or maybe the owner just wants a quick fix.
Okay, so what am I talking about? Well, several things really. First, for pasture to be profitable, it must have high management input but controlled dollar input. And spraying costs money. Money we might save with better grazing management. Second, livestock eat many plants we call weeds. And when they do, these plants no longer are weeds. In fact, many weeds can be good feed if grazed while young and tender. Third, unpalatable weeds usually become established in pastures after grass is weakened by severe grazing, and they thrive when grazing management fails to encourage vigorous grass regrowth. And finally, unless pasture and livestock are managed to benefit both plants and animals, the weeds will be back despite your spraying.
So why spray pastures? If you graze properly but you wish to speed up the process of replacing uneaten weeds with vigorous grass, that's a very good reason. Otherwise, spraying may be simply cosmetic and a waste of money.
FY 2018 Exports Forecast Up $3.0 Billion to $142.5 Billion; Imports at $121.5 Billion
USDA Economic Research Service
Fiscal year 2018 agricultural exports are projected at $142.5 billion, up $3.0 billion from the February forecast, primarily due to expected increases in corn and cotton exports. Corn is forecast up $1.3 billion to $10.3 billion on both larger volumes and higher unit values, as weather-reduced crop prospects in South America improve U.S. export opportunities into the summer. Overall grain and feed exports are forecast at $31.2 billion, $1.5 billion higher than the February projection. Cotton exports are forecast up $800 million to $6.2 billion due to strong foreign demand. Oilseeds and products are forecast at $31.5 billion, up $400 million from increased trade of soybean products. Livestock, dairy, and poultry exports are raised by $100 million to $30.6 billion, as higher dairy exports more than offset reductions in variety meats and hides and skins; beef, pork, and poultry forecasts remain unchanged. Horticultural product exports are unchanged at $34.5 billion.
U.S. agricultural imports in fiscal year 2018 are forecast at $121.5 billion, up $3.0 billion from the February forecast. Horticultural products and the livestock, dairy, and poultry category both have significant upward adjustments. The U.S. agricultural trade surplus is unchanged at $21.0 billion.
See the complete report here....
https://www.ers.usda.gov/webdocs/publications/89164/aes-104.pdf?v=43251.
On World Milk Day, DFA Celebrates and Rejuvenates an Age-Old Classic with the Debut of Mülü
Consumers are constantly chasing and looking for the next big trend in health drinks. As each new beverage hits the market, many forget about the original health drink: milk. Recognizing some may need a reintroduction to what this wholesome beverage provides, Dairy Farmers of America (DFA) is shaking up the dairy industry and shifting milk’s status quo. On World Milk Day, June 1, say hello to DFA’s Mülü, otherwise known as milk – the original energy-packed, vitamin-rich, one-ingredient superdrink.
Milk offers eight grams of high-quality protein per every eight ounce serving, more calcium than seven cups of broccoli and five essential vitamins (A, D, B2, B12 and B3) – all without added sugar.
“Milk has been around for thousands of years, and during that time, the new and flashy has overshadowed what we know to be true,” said Monica Massey, senior vice president and chief of staff at Dairy Farmers of America. “Research shows milk provides nutrition that is an important part of a balanced diet that no other beverage can deliver. Dairy has the power to nourish the body, bring joy to your day and enhance the way we experience food.”
DFA’s Mülü campaign repackaged milk with a new, modern look and a fresh name, along with a fun and interesting marketing campaign, to give milk the attention it deserves. The Mülü campaign coincides with World Milk Day, a day recognized by the Food and Agriculture Organization (FAO) to share and celebrate the important contributions that the dairy industry adds to nutrition, sustainability, economic development and livelihoods.
In addition to online videos, social channels, billboards and a website to tease and intrigue consumers about the launch of Mülü, DFA, in Kansas City, their headquarters, took Mülü to the streets on June 1 to share the benefits of milk. Consumers had the opportunity to sample Mülü, a flashy beverage promising benefits the other superdrinks can’t. With Mülü, consumers get a second “first impression” of milk.
“Ultimately, we strive to make an impact with the Mülü campaign, hoping to pleasantly surprise consumers and reintroduce a household staple that we don’t always remember to appreciate,” said Massey. “World Milk Day and Mülü celebrates what milk has always been: a drink with incredible benefits, fit for adults and kids alike.”
As part of World Milk Day, DFA members, employees and local community partners were encouraged to raise a glass of milk to celebrate the global impact of dairy and its nutritional benefits. DFA pledged to
donate one dollar to the Great American Milk Drive, up to $10,000, for every photo posted raising a glass of milk on social media with the hashtags #RaiseAGlass, #WorldMilkDay and @dfamilk.
Check out @DrinkMulu on Instagram and Facebook to learn more about the benefits of milk. For more information, visit drinkmulu.com.
CWT Assists with 900,000 Pounds of Cheese Export Sales
Cooperatives Working Together (CWT) member cooperatives accepted offers of export assistance from CWT that helped them capture contracts to sell 892,8872 pounds (405 metric tons) of Cheddar and Monterey Jack cheese to customers in Asia and Central America. The product has been contracted for delivery in the period from June through October 2018.
CWT-assisted member cooperative 2018 export sales total 35.261 million pounds of American-type cheeses, 11.035 million pounds of butter (82% milkfat) and 10.183 million pounds of whole milk powder to 25 countries on five continents. These sales are the equivalent of 648.087 million pounds of milk on a milkfat basis. Totals have been adjusted for cancellations.
This activity reflects CWT management beginning the process of implementing the strategic plan reviewed by the CWT Committee in March. The changes will enhance the effectiveness of the program and facilitate member export opportunities.
Assisting CWT members through the Export Assistance program in the long term helps member cooperatives gain and maintain market share, thus expanding the demand for U.S. dairy products and the U.S. farm milk that produces them. This, in turn, positively affects all U.S. dairy farmers by strengthening and maintaining the value of dairy products that directly impact their milk price.
NMPF Thanks USDA for Extending Margin Protection Program Sign-up Window
The National Milk Producers Federation (NMPF) today expressed thanks to Agriculture Secretary Sonny Perdue for his department’s decision to give dairy farmers additional time to review their 2018 coverage options in the dairy Margin Protection Program (MPP).
The U.S. Department of Agriculture (USDA) said Monday it is extending the June 1 sign-up deadline to Friday, June 8. NMPF, along with key members of the U.S. Senate, had recently asked USDA to consider giving farmers additional time to enroll in, or adjust their existing coverage in, the MPP for calendar year 2018.
“We believe an extension of the sign-up period beyond the June 1 deadline will be beneficial in recruiting as many farmers as possible into the program,” said Jim Mulhern, president and CEO of NMPF. “In particular, the late spring planting in numerous dairy states, especially in the Midwest, means that many farmers have been in their fields in recent weeks and unable to sit down and make decisions about their risk management options available through USDA.”
Dairy producers must select new coverage in the MPP for 2018, even if they enrolled during the previous sign-up period last fall. Coverage choices made this spring for calendar year 2018 will be retroactive to Jan. 1, 2018. Producers can participate in either MPP or the Livestock Gross Margin program for dairy (LGM-Dairy), but not both.
NMPF also thanked members of the Senate for making a similar request to USDA to allow farmers additional time to enroll in the MPP. Sens. Tina Smith (D-MN) and Rob Portman (R-OH) spearheaded a bipartisan letter making the request on May 31, and Sens. Debbie Stabenow (D-MI) and Patrick Leahy (D-VT) advocated strongly for an extension to build on their success earlier this year in making legislative improvements to the structure of the MPP.
Mulhern also complimented USDA for planning to issue payments starting this week to farmers already enrolled in the MPP, saying that the “timely issuance of payments to producers will send an important signal to additional producers who are considering enrolling.”
USDA’s web tool allows dairy farmers to quickly and easily combine unique operation data and other variables to calculate their coverage needs based on price projections. NMPF’s Future for Dairy website also offers informative resources and tools to help farmers determine the best insurance options for their operations.
USDA Dairy Products April 2018 Production Highlights
Total cheese output (excluding cottage cheese) was 1.07 billion pounds, 0.9 percent above April 2017 but 3.7 percent below March 2018. Italian type cheese production totaled 452 million pounds, 0.8 percent above April 2017 but 6.2 percent below March 2018. American type cheese production totaled 441 million pounds, 1.4 percent above April 2017 but 0.6 percent below March 2018. Butter production was 175 million pounds, 8.3 percent above April 2017 but 3.7 percent below March 2018.
Dry milk products (comparisons in percentage with April 2017)
Nonfat dry milk, human - 166 million pounds, down 3.8 percent.
Skim milk powder - 49.3 million pounds, down 1.8 percent.
Whey products (comparisons in percentage with April 2017)
Dry whey, total - 85.3 million pounds, up 0.7 percent.
Lactose, human and animal - 93.9 million pounds, down 2.5 percent.
Whey protein concentrate, total - 40.7 million pounds, down 3.3 percent.
Frozen products (comparisons in percentage with April 2017)
Ice cream, regular (hard) - 63.6 million gallons, down 8.8 percent.
Ice cream, lowfat (total) - 39.8 million gallons, down 3.6 percent.
Sherbet (hard) - 3.65 million gallons, down 3.5 percent.
Frozen yogurt (total) - 5.57 million gallons, down 12.8 percent.
Bayer Drops Monsanto Name, Easing Reputational Headache
Bayer's decision to drop the Monsanto name following its $66 billion takeover of the U.S. agro-chemical giant should help it leave behind some of the reputational concerns associated with the brand. Monsanto has drawn criticism from environmental activists for its promotion of genetically-modified organisms and its pursuit of legal action against farmers who break rules associated with its products. Bayer CEO Werner Baumann says he plans to improve stakeholder engagement and listen to the company's critics. "Agriculture is too important to allow ideological differences to bring progress to a standstill," he says.
DowDuPont's Seed Business Plays Catch-Up
DowDuPont's crop-seed business is rebounding from a cold, wet spring that kept farmers out of the fields, and postponed DowDuPont's seed sales, driving a 39% decline in 1Q profits from the company's agriculture unit. "The shift has happened," CEO Ed Breen tells investors at a Bernstein conference. He points to USDA data released Wednesday showing that US corn farmers now have 92% of this year's crop in the ground, two percentage points ahead of the five-year average. Breen reiterates confidence in DowDuPont's projection for a big rebound in its agriculture business in 2Q.
Trump Voters in Midwest States Losing Faith in Administration's Commitment to Renewable Fuels
New polling shows that voters across three Midwestern states are disappointed with Trump Administration decisions they view as broken promises of support for local agriculture and renewable fuels industries.
In a survey of voters in Iowa, Missouri and Minnesota, respondents overwhelmingly say they support federal policies to encourage growth in biodiesel and renewable fuels use. Their support cut across party lines, with more than two-thirds of Republicans and nearly three-quarters of Independents saying they support U.S. efforts to boost the expansion of the biodiesel industry. In total, 73 percent of voters agreed.
In the 2016 election, then-candidate Donald Trump’s performance in the three states surveyed demonstrated strong support for his public statements that he would support the Renewable Fuel Standard (RFS), which requires minimal volumes of biodiesel and other advanced biofuels be included in the nation’s transportation fuels portfolio.
A substantial majority of voters in these Midwestern states, including 63 percent of Independents, say EPA Administrator Scott Pruitt’s efforts to lower demand for biofuels does not reflect the President’s promise to support renewable fuels and the RFS.
National Biodiesel Board (NBB) Vice President of Federal Affairs Kurt Kovarik said the response from Iowa, Missouri and Minnesota accurately represents the opinion of America’s Heartland, which propelled President Trump to the White House. NBB sponsored the survey.
In one such instance of his promises, then-candidate Trump addressed the Iowa Renewable Fuels Summit in January 2016: “The RFS… is an important tool in the mission to achieve energy independence for the United States. I will do all that is in my power as president to achieve that goal.”
More than 80 percent of Republican voters in the survey said it was important to them that President Trump keep his promise to defend the RFS.
“When candidate Trump promised he would be their defender in Washington, DC, farming communities turned out to the polls in big numbers for him in November of 2016,” Kovarik said. “To be frank, rural voters haven’t seen that similar support reciprocated from EPA Administrator Pruitt and that’s reflected in the survey.”
After years of steady growth in the biodiesel industry, President Trump’s administration changed gears for 2018. For the first time, the biomass-based diesel category volumes of the RFS remained flat at 2.1 billion gallons. The advanced biofuels category, for which biodiesel also qualifies, was reduced.
Beyond the lack of growth in the RFS, President Trump’s EPA has provided numerous exemptions for refiners, including one of the largest in the U.S., that excuse them from fulfilling their obligations to blend biofuels at their facilities. There are also reported discussions in the White House of other measures that would have a damaging effect on the RFS, including allowing exported biofuels to generate credits toward refiners’ obligations under the RFS.
Additionally, Farmers have seen the commodity prices of their crops plummet as a result of trade fights with China and just saw the new Farm Bill fail in Congress.
“Midwestern voters are desperate to see some positive signal from President Trump and Congress,” Kovarik said. “Income from farming has plummeted more than 50 percent. It’s at its lowest point in a dozen years. Zero growth again in the RFS from the Trump Administration would only make it worse.”
Around 50 percent of biodiesel is produced from soybean oil, a byproduct of processing the beans for protein in food products. This system has provided another source of income for soybean farmers and the added value means they’re able to make the protein available at lower prices.
Additionally, biodiesel is made from recycled cooking oil and waste fats.
Other conclusions from the survey include:
- Sixty-seven percent of conservative voters surveyed in Iowa, Minnesota and Missouri support higher biodiesel volumes under the RFS.
- More than 55 percent of Independent voters in Iowa, the top biodiesel producing state in the country, support higher biodiesel volumes under the RFS. President Trump in 2016 was the first Republican to top 50 percent in a presidential election in nearly 30 years.
The survey was conducted by Moore Information with funding from the National Biodiesel Board. Moore Information is a leading national opinion research and strategic analysis firm, serving a wide spectrum of clients in politics, government, and corporate and public affairs. The survey was comprised of 1660 total randomly selected registered voters (Iowa 510, Minnesota 580, Missouri 570).
Final Day of World Meat Congress Focuses on Consumer Trends, Production Technology
The 2018 World Meat Congress concluded Friday with sessions focused on consumer trends and education, as well as an in-depth look at cutting-edge technologies reshaping meat production around the world. The 22nd World Meat Congress was held in Dallas May 31 and June 1. Hosted by the U.S. Meat Export Federation (USMEF) and the International Meat Secretariat (IMS), the event drew about 700 participants from more than 40 countries.
Friday’s keynote speaker was best-selling author Jeff Fromm, whose books include Marketing to Millennials, Millennials with Kids and Marketing to Gen Z. Fromm is also a partner at Barkley, a company that assists with establishment and enhancement of brands and helps businesses identify emerging consumer trends.
Fromm told the audience that food has become more than just a category of products consumers buy and enjoy – it is also a means of expression.
“How many of you used to have fashion as the thing that drove you, as a young person, to sort of express yourself?” he asked. “Today’s modern consumer expresses themselves through food. Discretionary purchases on food have increased at a dramatic rate, at a time when discretionary purchases on fashion haven’t. So they are trading ‘category: fashion’ for ‘category: food’ as a way to express themselves.”
Fromm said farmers and ranchers, and those in meat processing and merchandising, absolutely must better connect with consumers by sharing details of the story behind their products.
“Today’s consumer is a ‘pro-sumer,’ which means they are going to co-create their story and it’s about ‘Brand Me,’” Fromm explained. “And the reality is, that consumer has a lot of expectations. They expect to have a seat at the table. And if you’ve heard in the past that it’s just about being transparent, our research suggests that’s going to get you a ‘C’ on your report card. In ‘Tomorrowland,’ you’re going to have to offer proof that the story you are living is real – which is a step beyond transparency.”
Following Fromm’s address, World Meat Congress attendees learned about new tools to improve food safety, the value of gene editing to the world’s food production systems and the impact of blockchain technology in a panel discussion titled, “On the Cutting Edge: What’s New in the Red Meat Supply Chain?”
Dr. Gary Smith, a visiting professor in the animal science departments at Texas A&M University and Colorado State University, moderated the panel of scientists deeply involved in cutting-edge research into technologies that are quickly changing how meat and other foods are being produced, managed and delivered.
The panel featured Gary Rodrigue, blockchain food trust leader for the IBM Corporation; Dr. Martin Wiedmann, Gellert family professor in food safety at Cornell University; and Dr. Alison Van Eenennaam, cooperative extension specialist for animal genomics and biotechnology at the University of California-Davis.
Blockchain technology is a tool that presents tremendous opportunities for innovation and more trustworthy global business transactions. While the term “blockchain” is often confused with cryptocurrency, Rodrigue explained that the blockchain technology he was focusing on is quite different, and that it “is going to change every aspect of your business – it’s going to change how supply chains are managed.”
Wiedmann, whose academic program is to develop and communicate the scientific knowledge needed to prevent and control foodborne and zoonotic diseases caused by bacteria, explained the value of genome sequencing and other scientific tools used to monitor and trace incidents such as outbreaks of listeria or salmonella. He also shared other aspects of his research, which is focused on developing a better understanding of the pathogenesis, ecology, evolution and transmission of bacterial foodborne diseases.
Van Eenennaam, whose program at UC-Davis focuses on research and education around the use of animal genomics and biotechnology in livestock production systems, explained the value of gene editing. For example, research is underway to utilize gene editing to prevent such diseases as African swine fever in hogs and tuberculosis in cattle.
“What better way to approach dealing with disease than through genetic improvement?” she noted.
In a session titled, “Societal Norms and Implications for the Industry,” panelists focused on the fact that consumers are growing more informed and demanding about the specific food production practices and attributes of the products they buy. They noted that the meat industry and other food industry sectors must strive to find ways of meeting these growing expectations while also delivering affordable, sustainable food supplies.
Moderated by Mary Ann Binnie, manager of nutrition and industry relations for the Canadian Pork Council, the panel featured Lisa Watson, social responsibility officer at the Innovative Center for U.S. Dairy, Justin Ransom, Ph.D., senior director of sustainable food strategy for Tyson Foods, and Roxi Beck, consumer engagement director at the Center for Food Integrity. Beck is also vice president of Look East, a public relations agency focused on growing trust in products, processes, people and brands in the food and agriculture industry.
IMS Secretary General Hsin Huang assembled a panel of industry experts to illustrate the critical issues on which IMS advocates for the global meat industry. IMS engages with international and intergovernmental organizations to promote a fact-based and science-based approach to public policy and establishment of international standards.
The panel featured Dr. Bernard Vallat, president of the French Federation of Charcutiers, Caterers and Meat Processors (FICT), who discussed key issues related to animal welfare, antibiotic use in animals and antibiotic resistance. Jurgen Preugschas, director of the Western Hog Exchange, focused on sustainable livestock production practices, and Shalene McNeill, Ph.D., R.D., executive director for human nutrition research at the National Cattlemen’s Beef Association offered her thoughts on dietary guidelines and the importance of educating key audiences about the nutritional value of red meat and its role in a balanced diet.
The day’s final panel focused on the consumer of tomorrow, and what the red meat industry must do to properly identify and address the desires and expectations of future generations. Moderated by Mick Sloyan, pork strategy director with the Agriculture and Horticulture Development Board of the United Kingdom, the panel featured Melissa Brewer, director of communications for Certified Angus Beef ®, who explained the history behind the company’s brand and how it thrives on authenticity and a proven track record of meeting customers’ quality expectations. Michael Uetz, managing principal of Midan Marketing, a full-service marketing firm dedicated to serving meat industry clients, focused on demographic trends and explained that meat consumers are segmented – ranging from “voracious carnivores” to “wavering budgeteers” to “selective foodies.” Pol Moragas, deputy secretary general of Spain’s Business Federation of Meats and Meat Industries (FECIC), discussed industry research that underscores the importance of developing and maintaining consumer loyalty – an ever more daunting challenge as he foresees the future.
“From my very humble viewpoint, the consumer of the future is hyper-influenceable and not at all loyal,” he cautioned.
Speaking for IMS, Huang saw the 22nd World Meat Congress as a valuable, insightful experience for all participants.
“We are coming from different production systems and different animal species, but we all are facing similar challenges,” he said. “So this meeting was a great opportunity to come together to network and to address these challenges. USMEF did tremendous work in pulling together a great lineup of speakers, and Dallas was a wonderful location for the event.”
At the closing ceremony, IMS President Guillaume Roué and USMEF CEO Emeritus Philip Seng thanked attendees for their participation and support and introduced pork industry leader Pedro Tabaras, president of Granjas Carroll de Mexico. In an IMS tradition, Seng “passed the IMS flag” to Tabaras, who invited the audience to take part in the next World Meat Congress, which will be held in Cancun in 2020.
Friday, June 1, 2018
Friday June 1 Ag News
Nebraska Farm Bureau to Hold Agriculture Issue Listening Sessions
The Nebraska Farm Bureau will hold a series of listening sessions across the state in June. The sessions are open to the public and will provide farmers and ranchers with the opportunity to share their thoughts on issues impacting their operations.
“Nebraska Farm Bureau was founded by farmers and ranchers who understood the importance of working together to solve problems that were impacting their livelihoods and their communities. These listening sessions will give farmers and ranchers the chance to talk about issues of concern directly with Nebraska Farm Bureau leadership and staff so we can continue to work together to address issues,” said Steve Nelson, Nebraska Farm Bureau president.
Listening sessions are scheduled for:
Mon., June 25 – Ainsworth
City of Ainsworth Conference Center
606 East 4th Street
Ainsworth, NE 69210
Tues., June 26 – Gering
Legacy of the Plains Museum
2930 Old Oregon Trail
Gering, NE 69341
Wed., June 27 – Hastings
Adams County Fair Grounds
Community Service Building
947 South Baltimore Ave.
Hastings, NE 68901
Thu., June 28 – West Point
Nielsen Community Center
200 Anna Stalp Ave.
West Point, NE 68788
All listening sessions will begin with a social at 6 p.m. local time, to be followed by a meal and program at 6:45 p.m. Those interested can RSVP by texting NEFB to 52886. RSVPs are appreciated, but walk-ins are welcome.
Iowa Corn Reaches Iowans with “Farmers Care About the Water We Share” Message
Iowa corn farmers know the importance of our state’s water, it’s one of our shared resources vital to growing their crops. That’s why Iowa Corn farmer-leaders want all Iowans to know what farmers are doing to be sure the water our families drink is as pure as it can be. What better way to reach Iowans with this message than engaging people at some of Iowa’s most popular summertime attractions. Iowa Corn launched the “Farmers Care About the Water We Share” effort at this past Tuesday’s Iowa Cubs baseball game where farmers and their families greeted fans with free water bottles, having conversations and directing them to the new iowacorn.org/H20 website.
“It was great to be able to visit with people about why I care about water quality and leaving the farm in better shape for my kids,” said Michael Fritch, a farmer from Mitchellville, Iowa. “We need to continue to all work together to protect our state’s water.”
Look for farmers at future events around the metro including:
- Big Creek Lake on Saturday, June 2
- Iowa Speedway in Newton for the Iowa Corn 300 on July 8
- Iowa State Fair including Iowa Corn day on August 17
- Iowa Corn Cy-Hawk Series on September 8th with kickoff at 4:00 P.M. in Kinnick Stadium
The new webpage includes a video from Iowa Nice Guy talking about how Iowans can help protect Iowa’s water quality, why farmers care about the water we share, and tips on what we all can do to improve our state’s water. Want to know more, go to iowacorn.org/H20.
USDA Reopens Application Period for Producers Recovering from Cattle Loss, Other Disasters
The U.S. Department of Agriculture (USDA) will begin accepting disaster assistance program applications on June 4 from agricultural producers who suffered livestock, honeybees, farm-raised fish and other losses due to natural disasters.
USDA’s Farm Service Agency (FSA) is reopening the application period for two disaster assistance programs in response to statutory changes made by Congress earlier this year.
“When disasters hit, help is as close as your USDA service center,” said Bill Northey, Under Secretary for Farm Production and Conservation. “After any catastrophic event, an eligible producer can walk into any one of our local offices and apply for help.”
Beginning June 4, FSA will accept new applications for losses for calendar year 2017 or 2018 filed under the Livestock Indemnity Program (LIP) or Emergency Assistance for Livestock, Honeybees, and Farm-raised Fish Program (ELAP). Producers who already submitted applications and received decisions on their applications for these years do not need to file again, but they can reapply if they have additional losses or their application was disapproved because it was filed late.
In February, Congress passed the Bipartisan Budget Act of 2018, which made several changes to these two disaster programs, including:
- Removing ELAP’s $20 million fiscal year funding cap, enabling FSA to pay producers’ 2017 applications in full and their 2018 applications as soon as they are approved.
- Removing the per-person and legal entity annual program payment limitation of $125,000 for LIP for 2017 and future years. (The income limitation applies as it did before, meaning producers with an adjusted gross income of more than $900,000 are not eligible.)
- Changing LIP to allow producers to receive a payment for injured livestock that are sold for a reduced price due to an eligible event. Previously, the program only covered financial loss for livestock death above normal mortality.
Producers interested in LIP or ELAP should contact their local USDA service center. To apply, producers will need to provide verifiable and reliable production records and other information about their operation.
Drought, wildfires and other disasters continue to impact farmers and ranchers, and LIP and ELAP are two of many programs available through USDA to help producers recover. Learn more at https://www.usda.gov/disaster.
USDA Resumes Continuous Conservation Reserve Program Enrollment
As part of a 33-year effort to protect sensitive lands and improve water quality and wildlife habitat on private lands, the U.S. Department of Agriculture (USDA) will resume accepting applications for the voluntary Conservation Reserve Program (CRP). Eligible farmers, ranchers, and private landowners can sign up at their local Farm Service Agency (FSA) office between June 4 and Aug. 17, 2018.
“The Conservation Reserve Program is an important component of the suite of voluntary conservation programs USDA makes available to agricultural producers, benefiting both the land and wildlife. On the road, I often hear firsthand how popular CRP is for our recreational sector; hunters, fishermen, conservationists and bird watchers,” U.S. Secretary of Agriculture Sonny Perdue said. “CRP also is a powerful tool to encourage agricultural producers to set aside unproductive, marginal lands that should not be farmed to reduce soil erosion, improve water quality, provide habitat for wildlife and boost soil health.”
FSA stopped accepting applications last fall for the CRP continuous signup (excluding applications for the Conservation Reserve Enhancement Program (CREP) and CRP grasslands). This pause allowed USDA to review available acres and avoid exceeding the 24 million-acre CRP cap set by the 2014 Farm Bill. New limited practice availability and short sign up period helps ensure that landowners with the most sensitive acreage will enroll in the program and avoid unintended competition with new and beginning farmers seeking leases. CRP enrollment currently is about 22.7 million acres.
2018 Signup for CRP
For this year’s signup, limited priority practices are available for continuous enrollment. They include grassed waterways, filter strips, riparian buffers, wetland restoration and others. To view a full list of practices, please visit the CRP Continuous Enrollment Period page.
FSA will use updated soil rental rates to make annual rental payments, reflecting current values. It will not offer incentive payments as part of the new signup.
USDA will not open a general signup this year, however, a one-year extension will be offered to existing CRP participants with expiring CRP contracts of 14 years or less. Producers eligible for an extension will receive a letter with more information.
CRP Grasslands
Additionally, FSA established new ranking criteria for CRP Grasslands. To guarantee all CRP grasslands offers are treated equally, applicants who previously applied will be asked to reapply using the new ranking criteria. Producers with pending applications will receive a letter providing the options.
About CRP
In return for enrolling land in CRP, USDA, through FSA on behalf of the Commodity Credit Corporation (CCC), provides participants with annual rental payments and cost-share assistance. Landowners enter into contracts that last between 10 and 15 years. CRP pays producers who remove sensitive lands from production and plant certain grasses, shrubs and trees that improve water quality, prevent soil erosion and increase wildlife habitat.
Signed into law by President Reagan in 1985, CRP is one of the largest private-lands conservation programs in the United States. Thanks to voluntary participation by farmers, ranchers and private landowners, CRP has improved water quality, reduced soil erosion and increased habitat for endangered and threatened species.
The new changes to CRP do not impact the Conservation Reserve Enhancement Program, a related program offered by CCC and state partners.
Producers wanting to apply for the CRP continuous signup or CRP grasslands should contact their USDA service center. To locate your local FSA office, visit www.farmers.gov. More information on CRP can be found at www.fsa.usda.gov/crp.
Farm Organizations Look for Negotiations with China to Achieve Durable Market Access
Eighteen U.S. agricultural organizations sent a letter to President Trump on May 31, 2018, expressing hope that he will “prioritize negotiations with China to resolve many longstanding obstacles to U.S. agricultural exports while avoiding mutually destructive tariffs.”
The organizations agree that there are certainly major problems in the U.S. trade relationship with China, and they stated that the Trump Administration has “rightfully identified many unfair trading practices by China that harm the U.S. economy.” The groups want to see a “major recalibration of our trade relationship with China” that would result in U.S. producers “receiving the full benefits of China’s accession to the World Trade Organization.”
Instead of seeing tariffs imposed, the groups support “establishing normal commercial relations with China based on predictability, transparency, and market openness.” These organizations hope that there will be serious, productive, substantive negotiations that will result in “durable market access” for U.S. producers and “policymaking transparency” by Chinese authorities.
“The reputation of U.S. agriculture as a reliable supplier to the world is critical to the future of the industry,” the groups wrote. “We strongly encourage negotiations leading to open and predictable trade, particularly in cooperation with other countries in the region that share our concerns about China’s mercantilist policies.”
The following organizations signed the letter to President Trump:
American Farm Bureau Federation
American Soybean Association
National Association of Wheat Growers
National Barley Growers Association
National Corn Growers Association
National Council of Farmer Cooperatives
National Sorghum Producers
National Sunflower Association
United Fresh Produce Association
U.S. Canola Association
U.S. Dry Bean Council
U.S. Grains Council
U.S. Soybean Export Council
U.S. Wheat Associates
USA Dry Pea & Lentil Council
USA Poultry & Egg Export Council
USA Rice Federation
Western Growers
Grain Crushings and Co-Products Production
Total corn consumed for alcohol and other uses was 498 million bushels in April 2018. Total corn consumption was down 5 percent from March 2018 but up 2 percent from April 2017. April 2018 usage included 91.2 percent for alcohol and 8.8 percent for other purposes. Corn consumed for beverage alcohol totaled 3.10 million bushels, up 14 percent from March 2018 and up 4 percent from April 2017. Corn for fuel alcohol, at 445 million bushels, was down 6 percent from March 2018 but up 3 percent from April 2017. Corn consumed in April 2018 for dry milling fuel production and wet milling fuel production was 91.1 percent and 8.9 percent respectively.
Dry mill co-product production of distillers dried grains with solubles (DDGS) was 1.83 million tons during April 2018, down 6 percent from March 2018 but up 5 percent from April 2017. Distillers wet grains (DWG) 65 percent or more moisture was 1.39 million tons in April 2018, down 1 percent from March 2018 but up 7 percent from April 2017.
Wet mill corn gluten feed production was 305 thousand tons during April 2018, down 5 percent from March 2018 and down 12 percent from April 2017. Wet corn gluten feed 40 to 60 percent moisture was 255 thousand tons in April 2018, down 8 percent from March 2018 and down 10 percent from April 2017.
Fats and Oils: Oilseed Crushings, Production, Consumption and Stocks
Soybeans crushed for crude oil was 5.15 million tons (172 million bushels) in April 2018, compared to 5.47 million tons (182 million bushels) in March 2018 and 4.51 million tons (150 million bushels) in April 2017. Crude oil produced was 1.96 billion pounds down 5 percent from March 2018 but up 13 percent from April 2017. Soybean once refined oil production at 1.44 billion pounds during April 2018 decreased 1 percent from March 2018 but increased 10 percent from April 2017.
Canola seeds crushed for crude oil was 152 thousand tons in April 2018, compared to 164 thousand tons in March 2018 and 164 thousand tons in April 2017. Canola crude oil produced was 131 million pounds down 6 percent from March 2018 and down 7 percent from April 2017. Canola once refined oil production at 109 million pounds during April 2018 was down 10 percent from March 2018 and down 14 percent from April 2017. Cottonseed once refined oil production at 40.3 million pounds during April 2018 was down 17 percent from March 2018 and down 16 percent from April 2017.
Edible tallow production was 82.6 million pounds during April 2018, down 5 percent from March 2018 but up 14 percent from April 2017. Inedible tallow production was 305 million pounds during April 2018, down 11 percent from March 2018 but up 5 percent from April 2017. Technical tallow production was 92.8 million pounds during April 2018, down 7 percent from March 2018 but up 3 percent from April 2017. Choice white grease production at 104 million pounds during April 2018 decreased 5 percent from March 2018 but increased 3 percent from April 2017.
Day One of World Meat Congress Features Ag Ministers, Trade Policy Experts, Leading Economic Analysts
On a day filled with breaking trade news, World Meat Congress attendees heard from U.S. Agriculture Secretary Sonny Perdue and his counterparts from Canada and Argentina, along with leading experts in the areas of trade policy and economic analysis. The 22nd World Meat Congress is being held in Dallas May 31 and June 1, hosted by the U.S. Meat Export Federation (USMEF) and the International Meat Secretariat.
Perdue delivered Thursday’s keynote address, reminding the audience of the millions of consumers who benefit from agricultural innovation, advancement and trade.
“There are many businesses out there that you could be involved in, but just think about the noble cause of feeding people,” Perdue said. “Canada, the U.S., Mexico and other nations will compete, as we should, but hopefully we can do that in a wholesome and healthy fashion. Competition is good because it drives all of us to be better, and we want to be better for mankind.”
Canadian Minister of Agriculture and Agri-Food Lawrence MacAulay emphasized that the red meat industry is a critical economic engine for Canada and many other countries represented at the World Meat Congress.
“The red meat sector is vital to our economies,” he said. “In Canada the red meat industry is our largest food-manufacturing sector. It is one of the largest employers in the Canadian food industry, and it drives over $8 billion in agriculture and agri-food exports.”
MacAulay explained that the industry faces a daunting task of meeting rapidly growing demand for red meat, while also protecting land, air and water resources and reducing its environmental footprint.
“The good news is, I firmly believe that we are up to the challenge,” he said. “I firmly believe that we can supply the growing demand for meat in the 21st century in a sustainable way, because our industry has a track record to prove it.”
Argentine Minister of Agro-industry Luis Miguel Etchevehere noted that his nation knows all too well the negative impact protectionism imposes on agricultural producers, and reversing this damage is a priority for President Mauricio Macri, who was elected in 2015 on a pro-trade agenda.
“I come from a country where a former government prohibited the exportation of beef because of a demagogic policy aimed at having very cheap beef for many years,” Etchevehere explained. “That produced a 12 million head reduction in our beef cattle stock, and it was a very big mistake. When President Macri arrived, he did the opposite. He opened the economy and we continue to work on opening markets, because we know that we must have access to enough markets for our industry to reach its full potential.”
When Perdue and MacAulay met with reporters following the World Meat Congress general session, NAFTA was naturally the lead topic.
“I just visited with Minister MacAulay and we both acknowledged that we have too much in common to allow trade disruptions to divide us,” Perdue said. “I’m hopeful that we can get back to the business of talking about how we can resolve this issue and do right and feed everyone. NAFTA has been generally good for agriculture in most aspects. But we need to make sure that we have equivalency in food safety, sanitary and phytosanitary issues, and then let our producers compete.”
“What we want to see happen is, I think, what most American farmers want,” said MacAulay. “I’ve had the opportunity to be in this country quite a number of times and I’ve never met anybody, practically, who’s not saying that NAFTA is vitally important to the agricultural sector. So representing agriculture in my country it would be pretty wise for me to make sure that I promote NAFTA and make sure that we come up with a deal that’s even better.”
Kenneth Smith, chief NAFTA negotiator for the Mexican Ministry of Economy, was also a featured speaker at the World Meat Congress. Smith participated in a panel discussion on the future direction of the global trading system. The panel also included Ken Isley, administrator of the USDA Foreign Agricultural Service and Jesus Zorrilla, agriculture minister-counsellor at the European Union delegation to the United States. The panel was moderated by Darci Vetter, former chief agricultural negotiator for the Office of the U.S. Trade Representative.
Meeting with reporters covering the World Meat Congress, Smith emphasized that Mexico will not be rushed into revising NAFTA, despite concerns about Mexico’s upcoming presidential election and the mid-term U.S. elections this fall.
“We will negotiate as long as it takes, and we will not rush into closure if the substance is not there,” Smith said. “The substance must guide the negotiation, so regardless of the political process in Mexico or the (U.S.) elections in November, we will continue negotiating and we will close only when Mexican priorities have been addressed and we can come back to our country and say we have an upgraded NAFTA.”
While NAFTA promised to be a hot topic at the World Meat Congress, the discussion intensified after the Trump administration announced that beginning June 1, steel and aluminum imports from Canada, Mexico and the European Union will be subject to higher tariffs. Both Mexico and Canada announced their intention to impose countermeasures. A statement from USMEF President and CEO Dan Halstrom is available online.
In the panel discussion, Vetter asked Zorrilla to explain how the EU’s entry into new trade agreements has advanced the competitiveness of its meat sector.
“Only two years ago, the trade priority of the European Union was a trade agreement with the U.S.,” Zorrilla explained. “But now we are in discussions with Indonesia and we have signed an agreement with Vietnam. In addition to Korea (where the EU has a free trade agreement in place) and Japan (an economic partnership agreement that has been reached but not yet ratified), we are also in discussions with the Philippines, so in that region we see great opportunity. Also in our agreements with more competitive meat-producing countries like Canada and Mexico, we will partially open our market and that will bring competition. It will increase cooperation and we will have very solid relations with those countries.”
Building on earlier comments from Perdue, Isley reiterated the United States’ commitment to science-based meat trade.
“It’s our belief that we need to apply sanitary and phytosanitary standards that are risk-based, that are scientifically based and that are uniformly applied,” he said. “Given those circumstances, we feel very confident that U.S. agriculture, our farmers and ranchers, can compete very favorably in the global marketplace with our abundance of products that are safe, nutritious and in demand throughout the world.”
Markets that pose definite challenges but also provide great opportunities for red meat exporters were the focus of the panel discussion titled, “A World of Change: Factors Affecting Red Meat Trade.” USMEF Economist Erin Borror served as moderator for the presentation, which opened with a broad look backward and forward at world meat production, consumer demand and trade. Timely topics such as obstacles in trade negotiations and the effects of potential trade wars were a big part of the discussion.
Experts from China, Mexico and Russia each offered insights into the factors that are expected to fuel the world’s red meat industry in the near future.
Amy Xu, general manager of the import division for China National Cereals, Oils and Foodstuffs Corporation (COFCO), Pablo Sherwell, head of RaboResearch Food and Agribusiness - North America, and Daniil Khotko, a leading industry analyst for IKAR, a company that monitors and forecasts Russia's agricultural commodity markets, made up the panel.
They were joined by Michael Drury, chief economist for McVean Trading and Investments, who has extensively studied China and the effect its economic growth has on the rest of the world.
“The goal of the panel is to try to really hit on areas that are fast-changing and less understood,” said Borror. “It was an opportunity to bring experts from these markets and hear what’s happening on the ground – things that may not be readily accessible via data. It’s a chance to learn from inside the market as to what is driving economic growth and demand for red meat.”
China’s speedy rise as a dominant import market and the fierce competition to meet its growing demand drew strong interest from World Meat Congress attendees.
Xu explained that China's domestic pork production is rebounding. Pork import opportunities still exist, although questions remain as to the extent that future growth in pork consumption will create a need for more imports. The country’s growing demand for imported beef is expected to continue, Xu said, but she noted that Chinese consumers remain price-driven.
“Opportunities do exist for high-end beef cuts, because a segment of the population is able and willing to pay the price,” Xu said. “U.S. beef is on the high end of the price scale, but there is great interest in U.S. beef.”
Challenges faced in Russia include questions about the expansion of domestic pork production, whether the country’s limited pork exports will achieve a major growth cycle and what effect this might have on Russian consumers who are sensitive to pricing. Russia’s beef industry is already hampered by price issues.
Still, Russian livestock producers have an eye on the global market. In the foreseeable future, Khotko feels Russia is more likely to become a competitor than a customer of U.S. pork and beef.
Borror pointed out that Mexico's domestic beef and pork sectors have attracted significant investment, but production growth may be offset by growing consumption, especially when it comes to pork.
“Mexican consumers have a much more positive view of pork than they did 20 years ago, and they are learning to eat pork in new ways,” said Sherwell. “Also, economic growth in Mexico has changed people’s diets. We’ve seen more protein put into their diets and consumption rates have climbed.”
Drury focused his remarks on three key factors: complacency, especially with regard to a coming recession; volatility; and the speed at which change occurs, particularly in China. He highlighted that we live in a global economy, largely fueled by multinational companies, and offered insights on how future political shifts could have implications for international trade. Drury also noted that he doesn’t see the Trump administration changing its approach to trade.
The World Meat Congress concludes Friday with panel discussions on the latest in red meat production technologies, the impact of consumer demands and societal norms on food production practices and preparing for tomorrow’s consumer. Friday’s keynote speaker is best-selling author Jeff Fromm, whose books include Marketing to Millennials, Millennials with Kids and Marketing to Gen Z. For more details, visit www.2018wmc.com.
NCGA Calls for Year-Round E15
Consumers across the country will lose access to the option of E15 today, just as families plan to hit the road on summer vacation and gas prices are on the rise. Despite President Trump’s repeated commitment to year-round E15, an outdated regulatory barrier still limits the ability of fuel retailers to offer ethanol blends greater than 10 percent in most of the country from June 1 to September 15.
The National Corn Growers Association is urging the Environmental Protection Agency to expeditiously take steps to remove this barrier and allow for year-round sales of ethanol blends greater than 10 percent, such as E15.
“E15 is typically more affordable at the pump and is better for the environment,” said NCGA President Kevin Skunes. “There is no good reason to limit access to E15 in the summer, which is an especially busy time for families making more stops to refuel.”
Federal law and regulations limit the amount of evaporative emissions from vehicle fuel, which is measured by its Reid Vapor Pressure (RVP). Fuels blended with up to 10 percent ethanol have a one-pound RVP waiver because ethanol-blended fuels reduce tailpipe emissions. To date, EPA has declined to grant a similar waiver to E15, even though research shows E15 produces the same or fewer evaporative emissions as E10. E15 is currently sold at more than 1300 stations in 29 states.
At a May 8 White House meeting, President Trump reaffirmed his commitment to providing RVP parity for E15 and allowing consumers to have more choice at the pump year-round. The Environmental Protection Agency (EPA), however, has yet to announce the necessary regulatory steps to make this a reality. NCGA believes EPA should address the RVP regulatory barrier separately and should not combine the agreed-upon RVP fix with proposals damaging to our export markets such as offering biofuels credits on ethanol exports.
USDA Announces Commodity Credit Corporation Lending Rates for June 2018
The U.S. Department of Agriculture’s (USDA) Commodity Credit Corporation today announced interest rates for June 2018. The Commodity Credit Corporation borrowing rate-based charge for June is 2.250 percent, up from 2.125 percent in May.
The interest rate for crop year commodity loans less than one year disbursed during June is 3.250 percent, up from 3.125 percent in May.
Interest rates for Farm Storage Facility Loans approved for June are as follows, 2.625 percent with three-year loan terms, up from 2.500 percent in May; 2.875 percent with five-year loan terms, up from 2.625 percent in May; 3.000 percent with seven-year loan terms, up from 2.750 percent in May; 3.000 percent with 10-year loan terms, up from 2.875 percent in May and; 3.000 percent with 12-year loan terms, up from 2.875 percent in May.
The Nebraska Farm Bureau will hold a series of listening sessions across the state in June. The sessions are open to the public and will provide farmers and ranchers with the opportunity to share their thoughts on issues impacting their operations.
“Nebraska Farm Bureau was founded by farmers and ranchers who understood the importance of working together to solve problems that were impacting their livelihoods and their communities. These listening sessions will give farmers and ranchers the chance to talk about issues of concern directly with Nebraska Farm Bureau leadership and staff so we can continue to work together to address issues,” said Steve Nelson, Nebraska Farm Bureau president.
Listening sessions are scheduled for:
Mon., June 25 – Ainsworth
City of Ainsworth Conference Center
606 East 4th Street
Ainsworth, NE 69210
Tues., June 26 – Gering
Legacy of the Plains Museum
2930 Old Oregon Trail
Gering, NE 69341
Wed., June 27 – Hastings
Adams County Fair Grounds
Community Service Building
947 South Baltimore Ave.
Hastings, NE 68901
Thu., June 28 – West Point
Nielsen Community Center
200 Anna Stalp Ave.
West Point, NE 68788
All listening sessions will begin with a social at 6 p.m. local time, to be followed by a meal and program at 6:45 p.m. Those interested can RSVP by texting NEFB to 52886. RSVPs are appreciated, but walk-ins are welcome.
Iowa Corn Reaches Iowans with “Farmers Care About the Water We Share” Message
Iowa corn farmers know the importance of our state’s water, it’s one of our shared resources vital to growing their crops. That’s why Iowa Corn farmer-leaders want all Iowans to know what farmers are doing to be sure the water our families drink is as pure as it can be. What better way to reach Iowans with this message than engaging people at some of Iowa’s most popular summertime attractions. Iowa Corn launched the “Farmers Care About the Water We Share” effort at this past Tuesday’s Iowa Cubs baseball game where farmers and their families greeted fans with free water bottles, having conversations and directing them to the new iowacorn.org/H20 website.
“It was great to be able to visit with people about why I care about water quality and leaving the farm in better shape for my kids,” said Michael Fritch, a farmer from Mitchellville, Iowa. “We need to continue to all work together to protect our state’s water.”
Look for farmers at future events around the metro including:
- Big Creek Lake on Saturday, June 2
- Iowa Speedway in Newton for the Iowa Corn 300 on July 8
- Iowa State Fair including Iowa Corn day on August 17
- Iowa Corn Cy-Hawk Series on September 8th with kickoff at 4:00 P.M. in Kinnick Stadium
The new webpage includes a video from Iowa Nice Guy talking about how Iowans can help protect Iowa’s water quality, why farmers care about the water we share, and tips on what we all can do to improve our state’s water. Want to know more, go to iowacorn.org/H20.
USDA Reopens Application Period for Producers Recovering from Cattle Loss, Other Disasters
The U.S. Department of Agriculture (USDA) will begin accepting disaster assistance program applications on June 4 from agricultural producers who suffered livestock, honeybees, farm-raised fish and other losses due to natural disasters.
USDA’s Farm Service Agency (FSA) is reopening the application period for two disaster assistance programs in response to statutory changes made by Congress earlier this year.
“When disasters hit, help is as close as your USDA service center,” said Bill Northey, Under Secretary for Farm Production and Conservation. “After any catastrophic event, an eligible producer can walk into any one of our local offices and apply for help.”
Beginning June 4, FSA will accept new applications for losses for calendar year 2017 or 2018 filed under the Livestock Indemnity Program (LIP) or Emergency Assistance for Livestock, Honeybees, and Farm-raised Fish Program (ELAP). Producers who already submitted applications and received decisions on their applications for these years do not need to file again, but they can reapply if they have additional losses or their application was disapproved because it was filed late.
In February, Congress passed the Bipartisan Budget Act of 2018, which made several changes to these two disaster programs, including:
- Removing ELAP’s $20 million fiscal year funding cap, enabling FSA to pay producers’ 2017 applications in full and their 2018 applications as soon as they are approved.
- Removing the per-person and legal entity annual program payment limitation of $125,000 for LIP for 2017 and future years. (The income limitation applies as it did before, meaning producers with an adjusted gross income of more than $900,000 are not eligible.)
- Changing LIP to allow producers to receive a payment for injured livestock that are sold for a reduced price due to an eligible event. Previously, the program only covered financial loss for livestock death above normal mortality.
Producers interested in LIP or ELAP should contact their local USDA service center. To apply, producers will need to provide verifiable and reliable production records and other information about their operation.
Drought, wildfires and other disasters continue to impact farmers and ranchers, and LIP and ELAP are two of many programs available through USDA to help producers recover. Learn more at https://www.usda.gov/disaster.
USDA Resumes Continuous Conservation Reserve Program Enrollment
As part of a 33-year effort to protect sensitive lands and improve water quality and wildlife habitat on private lands, the U.S. Department of Agriculture (USDA) will resume accepting applications for the voluntary Conservation Reserve Program (CRP). Eligible farmers, ranchers, and private landowners can sign up at their local Farm Service Agency (FSA) office between June 4 and Aug. 17, 2018.
“The Conservation Reserve Program is an important component of the suite of voluntary conservation programs USDA makes available to agricultural producers, benefiting both the land and wildlife. On the road, I often hear firsthand how popular CRP is for our recreational sector; hunters, fishermen, conservationists and bird watchers,” U.S. Secretary of Agriculture Sonny Perdue said. “CRP also is a powerful tool to encourage agricultural producers to set aside unproductive, marginal lands that should not be farmed to reduce soil erosion, improve water quality, provide habitat for wildlife and boost soil health.”
FSA stopped accepting applications last fall for the CRP continuous signup (excluding applications for the Conservation Reserve Enhancement Program (CREP) and CRP grasslands). This pause allowed USDA to review available acres and avoid exceeding the 24 million-acre CRP cap set by the 2014 Farm Bill. New limited practice availability and short sign up period helps ensure that landowners with the most sensitive acreage will enroll in the program and avoid unintended competition with new and beginning farmers seeking leases. CRP enrollment currently is about 22.7 million acres.
2018 Signup for CRP
For this year’s signup, limited priority practices are available for continuous enrollment. They include grassed waterways, filter strips, riparian buffers, wetland restoration and others. To view a full list of practices, please visit the CRP Continuous Enrollment Period page.
FSA will use updated soil rental rates to make annual rental payments, reflecting current values. It will not offer incentive payments as part of the new signup.
USDA will not open a general signup this year, however, a one-year extension will be offered to existing CRP participants with expiring CRP contracts of 14 years or less. Producers eligible for an extension will receive a letter with more information.
CRP Grasslands
Additionally, FSA established new ranking criteria for CRP Grasslands. To guarantee all CRP grasslands offers are treated equally, applicants who previously applied will be asked to reapply using the new ranking criteria. Producers with pending applications will receive a letter providing the options.
About CRP
In return for enrolling land in CRP, USDA, through FSA on behalf of the Commodity Credit Corporation (CCC), provides participants with annual rental payments and cost-share assistance. Landowners enter into contracts that last between 10 and 15 years. CRP pays producers who remove sensitive lands from production and plant certain grasses, shrubs and trees that improve water quality, prevent soil erosion and increase wildlife habitat.
Signed into law by President Reagan in 1985, CRP is one of the largest private-lands conservation programs in the United States. Thanks to voluntary participation by farmers, ranchers and private landowners, CRP has improved water quality, reduced soil erosion and increased habitat for endangered and threatened species.
The new changes to CRP do not impact the Conservation Reserve Enhancement Program, a related program offered by CCC and state partners.
Producers wanting to apply for the CRP continuous signup or CRP grasslands should contact their USDA service center. To locate your local FSA office, visit www.farmers.gov. More information on CRP can be found at www.fsa.usda.gov/crp.
Farm Organizations Look for Negotiations with China to Achieve Durable Market Access
Eighteen U.S. agricultural organizations sent a letter to President Trump on May 31, 2018, expressing hope that he will “prioritize negotiations with China to resolve many longstanding obstacles to U.S. agricultural exports while avoiding mutually destructive tariffs.”
The organizations agree that there are certainly major problems in the U.S. trade relationship with China, and they stated that the Trump Administration has “rightfully identified many unfair trading practices by China that harm the U.S. economy.” The groups want to see a “major recalibration of our trade relationship with China” that would result in U.S. producers “receiving the full benefits of China’s accession to the World Trade Organization.”
Instead of seeing tariffs imposed, the groups support “establishing normal commercial relations with China based on predictability, transparency, and market openness.” These organizations hope that there will be serious, productive, substantive negotiations that will result in “durable market access” for U.S. producers and “policymaking transparency” by Chinese authorities.
“The reputation of U.S. agriculture as a reliable supplier to the world is critical to the future of the industry,” the groups wrote. “We strongly encourage negotiations leading to open and predictable trade, particularly in cooperation with other countries in the region that share our concerns about China’s mercantilist policies.”
The following organizations signed the letter to President Trump:
American Farm Bureau Federation
American Soybean Association
National Association of Wheat Growers
National Barley Growers Association
National Corn Growers Association
National Council of Farmer Cooperatives
National Sorghum Producers
National Sunflower Association
United Fresh Produce Association
U.S. Canola Association
U.S. Dry Bean Council
U.S. Grains Council
U.S. Soybean Export Council
U.S. Wheat Associates
USA Dry Pea & Lentil Council
USA Poultry & Egg Export Council
USA Rice Federation
Western Growers
Grain Crushings and Co-Products Production
Total corn consumed for alcohol and other uses was 498 million bushels in April 2018. Total corn consumption was down 5 percent from March 2018 but up 2 percent from April 2017. April 2018 usage included 91.2 percent for alcohol and 8.8 percent for other purposes. Corn consumed for beverage alcohol totaled 3.10 million bushels, up 14 percent from March 2018 and up 4 percent from April 2017. Corn for fuel alcohol, at 445 million bushels, was down 6 percent from March 2018 but up 3 percent from April 2017. Corn consumed in April 2018 for dry milling fuel production and wet milling fuel production was 91.1 percent and 8.9 percent respectively.
Dry mill co-product production of distillers dried grains with solubles (DDGS) was 1.83 million tons during April 2018, down 6 percent from March 2018 but up 5 percent from April 2017. Distillers wet grains (DWG) 65 percent or more moisture was 1.39 million tons in April 2018, down 1 percent from March 2018 but up 7 percent from April 2017.
Wet mill corn gluten feed production was 305 thousand tons during April 2018, down 5 percent from March 2018 and down 12 percent from April 2017. Wet corn gluten feed 40 to 60 percent moisture was 255 thousand tons in April 2018, down 8 percent from March 2018 and down 10 percent from April 2017.
Fats and Oils: Oilseed Crushings, Production, Consumption and Stocks
Soybeans crushed for crude oil was 5.15 million tons (172 million bushels) in April 2018, compared to 5.47 million tons (182 million bushels) in March 2018 and 4.51 million tons (150 million bushels) in April 2017. Crude oil produced was 1.96 billion pounds down 5 percent from March 2018 but up 13 percent from April 2017. Soybean once refined oil production at 1.44 billion pounds during April 2018 decreased 1 percent from March 2018 but increased 10 percent from April 2017.
Canola seeds crushed for crude oil was 152 thousand tons in April 2018, compared to 164 thousand tons in March 2018 and 164 thousand tons in April 2017. Canola crude oil produced was 131 million pounds down 6 percent from March 2018 and down 7 percent from April 2017. Canola once refined oil production at 109 million pounds during April 2018 was down 10 percent from March 2018 and down 14 percent from April 2017. Cottonseed once refined oil production at 40.3 million pounds during April 2018 was down 17 percent from March 2018 and down 16 percent from April 2017.
Edible tallow production was 82.6 million pounds during April 2018, down 5 percent from March 2018 but up 14 percent from April 2017. Inedible tallow production was 305 million pounds during April 2018, down 11 percent from March 2018 but up 5 percent from April 2017. Technical tallow production was 92.8 million pounds during April 2018, down 7 percent from March 2018 but up 3 percent from April 2017. Choice white grease production at 104 million pounds during April 2018 decreased 5 percent from March 2018 but increased 3 percent from April 2017.
Day One of World Meat Congress Features Ag Ministers, Trade Policy Experts, Leading Economic Analysts
On a day filled with breaking trade news, World Meat Congress attendees heard from U.S. Agriculture Secretary Sonny Perdue and his counterparts from Canada and Argentina, along with leading experts in the areas of trade policy and economic analysis. The 22nd World Meat Congress is being held in Dallas May 31 and June 1, hosted by the U.S. Meat Export Federation (USMEF) and the International Meat Secretariat.
Perdue delivered Thursday’s keynote address, reminding the audience of the millions of consumers who benefit from agricultural innovation, advancement and trade.
“There are many businesses out there that you could be involved in, but just think about the noble cause of feeding people,” Perdue said. “Canada, the U.S., Mexico and other nations will compete, as we should, but hopefully we can do that in a wholesome and healthy fashion. Competition is good because it drives all of us to be better, and we want to be better for mankind.”
Canadian Minister of Agriculture and Agri-Food Lawrence MacAulay emphasized that the red meat industry is a critical economic engine for Canada and many other countries represented at the World Meat Congress.
“The red meat sector is vital to our economies,” he said. “In Canada the red meat industry is our largest food-manufacturing sector. It is one of the largest employers in the Canadian food industry, and it drives over $8 billion in agriculture and agri-food exports.”
MacAulay explained that the industry faces a daunting task of meeting rapidly growing demand for red meat, while also protecting land, air and water resources and reducing its environmental footprint.
“The good news is, I firmly believe that we are up to the challenge,” he said. “I firmly believe that we can supply the growing demand for meat in the 21st century in a sustainable way, because our industry has a track record to prove it.”
Argentine Minister of Agro-industry Luis Miguel Etchevehere noted that his nation knows all too well the negative impact protectionism imposes on agricultural producers, and reversing this damage is a priority for President Mauricio Macri, who was elected in 2015 on a pro-trade agenda.
“I come from a country where a former government prohibited the exportation of beef because of a demagogic policy aimed at having very cheap beef for many years,” Etchevehere explained. “That produced a 12 million head reduction in our beef cattle stock, and it was a very big mistake. When President Macri arrived, he did the opposite. He opened the economy and we continue to work on opening markets, because we know that we must have access to enough markets for our industry to reach its full potential.”
When Perdue and MacAulay met with reporters following the World Meat Congress general session, NAFTA was naturally the lead topic.
“I just visited with Minister MacAulay and we both acknowledged that we have too much in common to allow trade disruptions to divide us,” Perdue said. “I’m hopeful that we can get back to the business of talking about how we can resolve this issue and do right and feed everyone. NAFTA has been generally good for agriculture in most aspects. But we need to make sure that we have equivalency in food safety, sanitary and phytosanitary issues, and then let our producers compete.”
“What we want to see happen is, I think, what most American farmers want,” said MacAulay. “I’ve had the opportunity to be in this country quite a number of times and I’ve never met anybody, practically, who’s not saying that NAFTA is vitally important to the agricultural sector. So representing agriculture in my country it would be pretty wise for me to make sure that I promote NAFTA and make sure that we come up with a deal that’s even better.”
Kenneth Smith, chief NAFTA negotiator for the Mexican Ministry of Economy, was also a featured speaker at the World Meat Congress. Smith participated in a panel discussion on the future direction of the global trading system. The panel also included Ken Isley, administrator of the USDA Foreign Agricultural Service and Jesus Zorrilla, agriculture minister-counsellor at the European Union delegation to the United States. The panel was moderated by Darci Vetter, former chief agricultural negotiator for the Office of the U.S. Trade Representative.
Meeting with reporters covering the World Meat Congress, Smith emphasized that Mexico will not be rushed into revising NAFTA, despite concerns about Mexico’s upcoming presidential election and the mid-term U.S. elections this fall.
“We will negotiate as long as it takes, and we will not rush into closure if the substance is not there,” Smith said. “The substance must guide the negotiation, so regardless of the political process in Mexico or the (U.S.) elections in November, we will continue negotiating and we will close only when Mexican priorities have been addressed and we can come back to our country and say we have an upgraded NAFTA.”
While NAFTA promised to be a hot topic at the World Meat Congress, the discussion intensified after the Trump administration announced that beginning June 1, steel and aluminum imports from Canada, Mexico and the European Union will be subject to higher tariffs. Both Mexico and Canada announced their intention to impose countermeasures. A statement from USMEF President and CEO Dan Halstrom is available online.
In the panel discussion, Vetter asked Zorrilla to explain how the EU’s entry into new trade agreements has advanced the competitiveness of its meat sector.
“Only two years ago, the trade priority of the European Union was a trade agreement with the U.S.,” Zorrilla explained. “But now we are in discussions with Indonesia and we have signed an agreement with Vietnam. In addition to Korea (where the EU has a free trade agreement in place) and Japan (an economic partnership agreement that has been reached but not yet ratified), we are also in discussions with the Philippines, so in that region we see great opportunity. Also in our agreements with more competitive meat-producing countries like Canada and Mexico, we will partially open our market and that will bring competition. It will increase cooperation and we will have very solid relations with those countries.”
Building on earlier comments from Perdue, Isley reiterated the United States’ commitment to science-based meat trade.
“It’s our belief that we need to apply sanitary and phytosanitary standards that are risk-based, that are scientifically based and that are uniformly applied,” he said. “Given those circumstances, we feel very confident that U.S. agriculture, our farmers and ranchers, can compete very favorably in the global marketplace with our abundance of products that are safe, nutritious and in demand throughout the world.”
Markets that pose definite challenges but also provide great opportunities for red meat exporters were the focus of the panel discussion titled, “A World of Change: Factors Affecting Red Meat Trade.” USMEF Economist Erin Borror served as moderator for the presentation, which opened with a broad look backward and forward at world meat production, consumer demand and trade. Timely topics such as obstacles in trade negotiations and the effects of potential trade wars were a big part of the discussion.
Experts from China, Mexico and Russia each offered insights into the factors that are expected to fuel the world’s red meat industry in the near future.
Amy Xu, general manager of the import division for China National Cereals, Oils and Foodstuffs Corporation (COFCO), Pablo Sherwell, head of RaboResearch Food and Agribusiness - North America, and Daniil Khotko, a leading industry analyst for IKAR, a company that monitors and forecasts Russia's agricultural commodity markets, made up the panel.
They were joined by Michael Drury, chief economist for McVean Trading and Investments, who has extensively studied China and the effect its economic growth has on the rest of the world.
“The goal of the panel is to try to really hit on areas that are fast-changing and less understood,” said Borror. “It was an opportunity to bring experts from these markets and hear what’s happening on the ground – things that may not be readily accessible via data. It’s a chance to learn from inside the market as to what is driving economic growth and demand for red meat.”
China’s speedy rise as a dominant import market and the fierce competition to meet its growing demand drew strong interest from World Meat Congress attendees.
Xu explained that China's domestic pork production is rebounding. Pork import opportunities still exist, although questions remain as to the extent that future growth in pork consumption will create a need for more imports. The country’s growing demand for imported beef is expected to continue, Xu said, but she noted that Chinese consumers remain price-driven.
“Opportunities do exist for high-end beef cuts, because a segment of the population is able and willing to pay the price,” Xu said. “U.S. beef is on the high end of the price scale, but there is great interest in U.S. beef.”
Challenges faced in Russia include questions about the expansion of domestic pork production, whether the country’s limited pork exports will achieve a major growth cycle and what effect this might have on Russian consumers who are sensitive to pricing. Russia’s beef industry is already hampered by price issues.
Still, Russian livestock producers have an eye on the global market. In the foreseeable future, Khotko feels Russia is more likely to become a competitor than a customer of U.S. pork and beef.
Borror pointed out that Mexico's domestic beef and pork sectors have attracted significant investment, but production growth may be offset by growing consumption, especially when it comes to pork.
“Mexican consumers have a much more positive view of pork than they did 20 years ago, and they are learning to eat pork in new ways,” said Sherwell. “Also, economic growth in Mexico has changed people’s diets. We’ve seen more protein put into their diets and consumption rates have climbed.”
Drury focused his remarks on three key factors: complacency, especially with regard to a coming recession; volatility; and the speed at which change occurs, particularly in China. He highlighted that we live in a global economy, largely fueled by multinational companies, and offered insights on how future political shifts could have implications for international trade. Drury also noted that he doesn’t see the Trump administration changing its approach to trade.
The World Meat Congress concludes Friday with panel discussions on the latest in red meat production technologies, the impact of consumer demands and societal norms on food production practices and preparing for tomorrow’s consumer. Friday’s keynote speaker is best-selling author Jeff Fromm, whose books include Marketing to Millennials, Millennials with Kids and Marketing to Gen Z. For more details, visit www.2018wmc.com.
NCGA Calls for Year-Round E15
Consumers across the country will lose access to the option of E15 today, just as families plan to hit the road on summer vacation and gas prices are on the rise. Despite President Trump’s repeated commitment to year-round E15, an outdated regulatory barrier still limits the ability of fuel retailers to offer ethanol blends greater than 10 percent in most of the country from June 1 to September 15.
The National Corn Growers Association is urging the Environmental Protection Agency to expeditiously take steps to remove this barrier and allow for year-round sales of ethanol blends greater than 10 percent, such as E15.
“E15 is typically more affordable at the pump and is better for the environment,” said NCGA President Kevin Skunes. “There is no good reason to limit access to E15 in the summer, which is an especially busy time for families making more stops to refuel.”
Federal law and regulations limit the amount of evaporative emissions from vehicle fuel, which is measured by its Reid Vapor Pressure (RVP). Fuels blended with up to 10 percent ethanol have a one-pound RVP waiver because ethanol-blended fuels reduce tailpipe emissions. To date, EPA has declined to grant a similar waiver to E15, even though research shows E15 produces the same or fewer evaporative emissions as E10. E15 is currently sold at more than 1300 stations in 29 states.
At a May 8 White House meeting, President Trump reaffirmed his commitment to providing RVP parity for E15 and allowing consumers to have more choice at the pump year-round. The Environmental Protection Agency (EPA), however, has yet to announce the necessary regulatory steps to make this a reality. NCGA believes EPA should address the RVP regulatory barrier separately and should not combine the agreed-upon RVP fix with proposals damaging to our export markets such as offering biofuels credits on ethanol exports.
USDA Announces Commodity Credit Corporation Lending Rates for June 2018
The U.S. Department of Agriculture’s (USDA) Commodity Credit Corporation today announced interest rates for June 2018. The Commodity Credit Corporation borrowing rate-based charge for June is 2.250 percent, up from 2.125 percent in May.
The interest rate for crop year commodity loans less than one year disbursed during June is 3.250 percent, up from 3.125 percent in May.
Interest rates for Farm Storage Facility Loans approved for June are as follows, 2.625 percent with three-year loan terms, up from 2.500 percent in May; 2.875 percent with five-year loan terms, up from 2.625 percent in May; 3.000 percent with seven-year loan terms, up from 2.750 percent in May; 3.000 percent with 10-year loan terms, up from 2.875 percent in May and; 3.000 percent with 12-year loan terms, up from 2.875 percent in May.
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