NEBRASKA CROP PRODUCTION REPORT
Based on November 1 conditions, Nebraska's 2019 corn crop is forecast at 1.77 billion bushels, down 1 percent from last year's production, according to the USDA's National Agricultural Statistics Service. Area to be harvested for grain, at 9.75 million acres, is up 5 percent from a year ago. Yield is forecast at 182 bushels per acre, down 10 bushels from last year.
Soybean production is forecast at 282 million bushels, down 13 percent from last year. Area for harvest, at 4.95 million acres, is 11 percent below 2018. Yield is forecast at 57 bushels per acre, down 1 bushel from last year.
Sorghum production is forecast at 13.7 million bushels, down 14 percent from last year. Area for harvest, at 140,000 acres, is 18 percent below 2018. Yield is forecast at 98 bushels per acre, up 4 bushels from last year.
IOWA CROP PRODUCTION ESTIMATES UPDATE
Iowa corn production is forecast at 2.52 billion bushels according to the latest USDA, National Agricultural Statistics Service – Crop Production report. Based on conditions as of November 1, yields are expected to average 192 bushels per acre, unchanged from the October 1 forecast but down 4 bushels per acre from last year. Corn planted acreage is estimated at 13.5 million acres. An estimated 13.1 million of the acres planted will be harvested for grain.
Soybean production is forecast at 484 million bushels. The yield is forecast at 53.0 bushels per acre, unchanged from the October forecast but 3.0 bushels per acre lower than 2018. Soybean planted acreage is estimated at 9.20 million acres with 9.13 million acres to be harvested.
The forecasts in this report are based on November 1 conditions and do not reflect weather effects since that time. The next corn and soybean production estimates will be published in the Crop Production – Annual Summary report which will be released January 10, 2020.
Corn Production Down 1 Percent from October Forecast
Soybean Production Down Slightly
Corn production for grain is forecast at 13.7 billion bushels, down 1 percent from the previous forecast and down 5 percent from last year. Based on conditions as of November 1, yields are expected to average 167.0 bushels per harvested acre, down 1.4 bushels from the previous forecast and down 9.4 bushels from 2018. Area harvested for grain is forecast at 81.8 million acres, unchanged from the previous forecast but up slightly from 2018.
Soybean production for beans is forecast at 3.55 billion bushels, down slightly from the previous forecast and down 20 percent from last year. Based on conditions as of November 1, yields are expected to average 46.9 bushels per acre, unchanged from the previous forecast but down 3.7 bushels from 2018. Area harvested for beans in the United States is forecast at 75.6 million acres, unchanged from the previous forecast but down 14 percent from 2018.
USDA World Ag Supply and Demand Update, November 8, 2019
COARSE GRAINS: This month’s 2019/20 U.S. corn outlook is for lower production, reduced use, and smaller ending stocks. Corn production is forecast at 13.661 billion bushels, down 118 million from last month on a 1.4-bushel reduction in yield to 167.0 bushels per acre. Feed and residual use is down 25 million bushels based on a smaller crop and higher expected prices. Exports are reduced reflecting the slow pace of early-season sales and shipments. Corn used for ethanol is down 25 million bushels based on September data from the Grain Crushings and Co-Products Production report and weekly ethanol production data as reported by the Energy Information Administration for the month of October. With supply falling more than use, corn ending stocks are lowered 18 million bushels from last month. The season-average corn price received by producers is raised 5 cents to $3.85 per bushelbased on observed prices to date.
Global coarse grain production for 2019/20 is forecast 1.8 million tons lower to 1,394.9 million. This month’s 2019/ 20 foreign coarse grain outlook is for larger production, increased trade, and lower stocks relative to last month. Foreign corn production is forecast higher as increases for several African countries, as well as Russia and Turkey, more than offset declines for Mexico, Ukraine, and the EU. For Mexico, production is lowered as area for summer season corn is expected to be the lowest on record. Yield forecasts for Russia and Ukraine are raised and lowered, respectively, based on observed harvest results to date.
Corn exports are raised for Brazil and Russia, with reductions for the United States and Mexico. For 2018/19, corn exports for Brazil are raised for the local marketing year beginning March 2019, based on shipments observed through October. For 2019/20, corn imports are raised for Vietnam, Colombia, Japan, and South Korea. Partly offsetting, are reductions for Iran, Egypt, Malaysia, and Turkey. Foreign corn ending stocks are lower relative to last month, with declines for Brazil, Iran, Mexico, China, and Argentina that are partly offset by small increases for several African countries. Global corn ending stocks, at 296.0 million tons, are down 6.6 million.
OILSEEDS: The U.S. soybean outlook is for slightly lower production, reduced crush, and higher ending stocks. Soybean production is forecast at 3.55 billion bushels, down less than 1 million on fractionally lower yields and unchanged harvested area. Soybean crush is reduced 15 million bushels to 2.11 billion on lower-than expected early-season crush and reduced soybean meal export prospects. With reduced crush, soybean ending stocks are projected at 475 million bushels, up 15 million.
The U.S. season-average soybean price for 2019/20 is forecast at $9.00 per bushel, unchanged from last month. The soybean meal price forecast is also unchanged at $325.00 per short ton. The soybean oil price is forecast at $0.31 per pound, up $0.01 from last month on sharply higher reported prices through October.
The foreign oilseed supply and demand forecasts for 2019/20 include lower production, crush, and stocks, compared with last month. Foreign production is forecast at 463.6 million tons, down 3.4 million on lower soybean, cottonseed, sunflowerseed, and rapeseed production. Soybean production for India is reduced 2.0 million tons to 9.0 million on lower yields resulting from excessive late-season rainfall. Soybean production is also reduced for Canada on lower yields. Other production changes include lower sunflowerseed production for Argentina and lower rapeseed production for Australia and the European Union. Foreign soybean crush changes for 2019/20 include reductions for India, China, and Canada. Foreign soybean ending stocks for 2019/20 are reduced with lower projections for Argentina, Canada, and India only partly offset with higher forecasts for Brazil and Egypt.
WHEAT: The outlook for 2019/20 U.S. wheat this month is for smaller supplies, reduced domestic use, and lower stocks. Wheat supplies are decreased 42 million bushels, based on updated production estimates for the States resurveyed following the NASS Small Grains Summary, issued September 30. Adjustments to production in these States, where significant acreage remained unharvested in early September, lowers production estimates for Hard Red Spring wheat, White wheat, and Durum with most reductions occurring in North Dakota and Montana. Estimated seed use is reduced 7 million bushels to 61 million, reflecting a projected 2020/21 all wheat planted acreage of 45.0 million. Food use is lowered 5 million bushels to 955 million, primarily based on the NASS Flour Milling Products report, issued November 1. Projected 2019/20 wheat stocks are reduced 30 million bushels to 1,014 million. The season-average farm price is reduced $0.10 per bushel to $4.60, based on NASS prices reported to date and expectations for cash and futures prices the remainder of the 2019/20 marketing year.
The global outlook for wheat this month is for higher supplies, increased exports, fractionally greater consumption, and higher ending stocks. Supplies are raised with increased production forecasts for the EU, Russia, and Ukraine more than offsetting reductions for Argentina and Australia. EU and Russia production forecasts are raised to 153.0 and 74.0 million tons, respectively, on updated harvest results. Australia’s production is lowered to 17.2 million tons on further damage from the continent’s severe drought and is now forecast lower than last year’s drought-affected crop. Argentina’s production is reduced to 20.0 million tons on dry conditions but remains record large. World exports are raised by 1.0 million tons to 180.7 million on increases for the EU, Russia, and Ukraine more than offsetting reductions for Argentina and Australia. Global consumption is nearly unchanged at 755.2 million tons, which is 3 percent greater than last year. With global supplies rising more than consumption, 2019/20 ending stocks are raised to a record 288.3 million tons with China comprising 51 percent of the total.
LIVESTOCK, POULTRY, AND DAIRY: The forecast for 2019 total red meat and poultry production is raised from last month on higher beef, pork, broiler, and turkey production. Beef production is raised from the previous month on higher expected slaughter of both fed and non-fed cattle. The pork production forecast is raised on both higher hog slaughter and slightly higher carcass weights. The broiler production forecast is raised as hatchery data points to larger supplies of birds available for slaughter in the fourth quarter. Turkey production is raised on higher-than-expected third-quarter production and higher expected supplies of birds in the fourth quarter. Egg production is reduced on lower reported hatching egg production in the third quarter which more than offsets higher-than-expected table egg production. However, no change is made to the fourth-quarter production forecast.
For 2020, the total red meat and poultry forecast is increased from last month as higher broiler and turkey production more than offsets a lower beef production forecast. The pork production forecast is unchanged. Broiler and turkey production forecasts are raised as the increase in production late this year is forecast to carry into late 2020. The beef production forecast is reduced on a slower expected pace of gains in carcass weights. A slightly slower pace of feedlot marketings also contributes to the reduced production forecast. The 2020 egg production forecast is unchanged from the previous month.
Beef and pork trade for 2019 are adjusted to reflect third-quarter reported data; the forecasts for the fourth-quarter 2019 and for 2020 are unchanged from last month. The 2019 broiler export forecast is lowered as weaker-than-expected third quarter exports further dampen expectations for shipments in the fourth quarter; no change is made to the 2020 forecast. Turkey export forecasts for 2019 and 2020 are unchanged.
The cattle price forecast is raised for fourth-quarter 2019 based on recent data; no change is made to the 2020 forecast. The 2019 and 2020 hog price forecasts are reduced on current price weakness. The 2019 broiler price forecast is raised from the previous month on current prices. The price strength is carried into early 2020, but increased production in the later part of 2020 is expected to pressure prices; the 2020 annual price forecast is unchanged. The 2019 and 2020 turkey price forecasts are unchanged from the previous month. The egg price forecast for 2019 is increased on current price strength, but the 2020 forecast is unchanged.
The milk production forecasts for 2019 and 2020 are raised from the previous month as stronger growth in milk per cow more than offsets a slower expected recovery in the cow inventory. The 2019 fat basis import forecast is raised on recent trade data; the 2020 import forecast is unchanged. The fat basis export forecast for 2020 is lowered as higher domestic cheese prices are expected to affect the competitiveness of U.S. cheese in international markets. The skim-solids basis import forecast for 2019 is reduced on lower imports of milk protein products. The 2020 forecast is unchanged. The 2019 skim-solids basis export forecast is raised on stronger sales of nonfat/skim milk powder (NDM/SMP). The 2020 forecast is unchanged as weak exports of cheese and whey products offset higher expected NDM/SMP sales.
Cheese and nonfat dry milk (NDM) price forecasts for both 2019 and 2020 are raised from last month on strength in demand. For both 2019 and 2020, butter and whey prices are lowered on current price weakness which is expected to carry into 2020. The 2019 Class III and Class IV price forecasts are raised as the higher cheese price more than offsets the lower whey price. The 2019 Class IV price is raised as the higher NDM price more than offsets a weaker butter price, but for 2020, the lower butter price outweighs the higher NDM price and the Class IV price is reduced. The 2019 all milk price forecast is raised to $18.60 per cwt; the 2020 all milk price is forecast unchanged at $18.85 per cwt.
Drier, Colder Weather Now, but Storms Likely in Late November
Al Dutcher - Associate Nebraska State Climatologist
Harvest activity across the state has made great strides over the past two weeks due to a lack of significant moisture chasing producers out of their fields. Nebraska Agricultural Statistics Service reported that 60% of the corn crop had been harvested as of Sunday, Nov. 3, an increase of 16 percentage points from the previous week. The soybean harvest is virtually complete at 94%.
Our saving grace during the month of October revolves around two major storm systems that dropped significant snow and rain accumulations to our north, south, and east. The first storm blanketed the Dakota’s with up to two feet of snow the second weekend of October. The second major event occurred the final weekend of October and brought widespread snow to the front range of the Rockies before heading northeast and slamming the central and eastern Corn Belt with heavy rain and wet snow.
In east central and southeast Nebraska, the first measurable snowfall for most locations occurred 14 days later than last year. However, looking at Figure 1, it is apparent that October 2019 has delivered more cold air into the region than we experienced in 2018. Whether this means anything is certainly up in the air, but it does indicate that cold air following fronts this fall are stronger at this point of the season than we experienced last fall.
Over the next two weeks, numerical weather models are in good agreement with each other and point to a drier- and colder-than-normal pattern for Nebraska. It appears this period will be dominated by an upper air trough over the eastern half of the country, with ridging over the southwest, southern Great Basin, and the Southern Rockies. Any precipitation events that occur will originate from the northwest, usually the source of fast-moving systems with dry snow, high winds, and cold temperatures.
As we enter this weekend, a beautiful fall day is in store for Saturday, as temperatures should reach the low 60s south to upper 50s north. A very strong cold front moves through the state on Sunday, bringing high winds, clouds, and possibly a brief snow flurry to light snow. Accumulating snowfall will likely be confined to the Dakota’s and Minnesota. This Arctic air looks to hold through the middle of next week, with Monday and Tuesday set to see highs in just the 20s and 30s. Temperatures may briefly move into the 40s Wednesday, before another cold front brings temperatures back into the 30s on Thursday.
By next Friday, weather models indicate that temperature will begin to moderate and approach the 50s due to the western U.S. upper air ridge pushing eastward. Another surge of Arctic air is forecast to move into Nebraska a week from Sunday (Nov. 17), but it is presently not expected to push as far south or last as long as next week’s event. By Tuesday, November 19, the western U.S. ridge expands eastward in response to a strong storm system entering the west coast of United States.
This system will need to be watched closely as there are signs that a stormy pattern will develop for the western U.S. during the final two weeks of November. If the models are correct, this heavy precipitation event should bring an end to the significant wildfire threat across the northern two-thirds of California. It usually takes about a week for upper air troughs to move from the west coast into the central U.S, so the last full week of November could be stormy across the central High Plains if the models have the correct interpretation of the jet stream pattern.
Bottom line, precipitation will be minimal to non-existent for most of the state over the next two weeks, but temperatures will be well below normal for most of this period. Arctic air usually means a dry air mass, so if corn moisture can continue to decrease under these conditions, much of the remaining corn across the state stands a decent chance of being harvested before inclement weather arrives.
What is certain is that with next week’s cold temperatures, soil surfaces in the Dakota’s, Minnesota, and Wisconsin will likely freeze, which could help support combines where fields have been too muddy to harvest. The biggest question for these producers will be if the ground remains frozen or thaws out after warmer air arrives across the region the third full week of this month.
End-of-Season Issues Focus of Ag Land Management Webinar Nov. 18
Nebraska Extension’s final Agricultural Land Management Quarterly webinar of the year will focus on end-of-season topics, including county-level cash rental rates, closing out 2019 leases while preparing for 2020, and resources for flood-related prevented plant acreage.
The free session is open to everyone and will be held live on Monday, Nov. 18, 6:30 p.m., at https://agecon.unl.edu/landmanagement. The recorded webinar will be archived there, along with past sessions.
Jim Jansen, an agricultural economist, and Allan Vyhnalek, a farm and ranch succession specialist, will lead the webinar. Both are Extension educators in the University of Nebraska-Lincoln’s Department of Agricultural Economics.
They will provide an overview of the 2019 Cash Rental Rate Survey, conducted by the USDA National Agricultural Statistics Service, and discuss prevented planting considerations for Farm Service Agency programs and crop insurance. The importance of landlord/tenant communication during the winter months and tips for leasing also will be discussed.
There will be time for participants to ask questions at the end of the session. Questions also may be submitted in advance at https://agecon.unl.edu/landmanagement.
The Agricultural Land Management Quarterly webinar series offers management advice and insight for Nebraska landowners, agricultural producers, and others with an interest in agricultural land.
The next Agricultural Land Management Quarterly webinar will be Monday, Feb. 17, 2020.
HEALTHY SOILS TASK FORCE TO MEET
Keith Berns, chair, has scheduled a meeting of the Healthy Soils Task Force for Tuesday, November 19, 2019. The meeting will begin at 1:00 p.m. at the Nebraska Department of Agriculture, 301 Centennial Mall South, 4th Floor, Lincoln, NE 68509.
Task Force members will be discussing next steps in developing a healthy soils initiative and action plan for the state of Nebraska.
For an agenda and more details, call the Nebraska Department of Agriculture at (402) 471-2341 or visit https://nda.nebraska.gov/healthysoils/index.html.
Applications Available for the 2020 Corn and Soy Ambassador Program
The Nebraska Corn Growers Association and the Nebraska Soybean Association are pleased to announce that applications are now open for the 2020 Corn and Soy Ambassador Program. The Corn and Soy Ambassador Program is a yearlong program for college students who are interested in learning more about the industry and becoming better advocates for agriculture. Each year up to 10 students are selected to participate in the program.
Throughout the year, students will take part in three seminars and a summer tour. The first meeting covers state and federal policies affecting the corn and soybean industries. The second meeting will focus on the role of checkoff programs in promoting corn and soybeans. The final meeting gives the students a glimpse of advocacy and leadership opportunities after they graduate. Meetings will take place in the Lincoln, NE area. The summer agribusiness industry tour will include different areas of the industry including, manufacturing, production, and processing. These stops will hopefully give students more insight into potential jobs and internships in the industry.
During the program, students are also asked to spend time promoting the state’s corn and soybean grower associations and checkoffs at promotional events such as Husker Harvest Day and Soybean Management Field Days. Following the completion of the program students will be recognized at the annual meetings of the corn and soybean associations, and each will be presented a $500 scholarship to help them with school expenses. Funding for portions of the program is provided by the Nebraska Corn Board and Nebraska Soybean Board.
“The Corn and Soy Ambassador Program is a great way for college students to get an introduction to the agricultural industry. Past ambassadors have gone on to internships and jobs from connections made during this program. It is important to the association that we support programs like this,” said Kelly Brunkhorst, Executive Director of the Nebraska Corn Growers Association (NeCGA).
Applications for the Corn and Soy Ambassador Program can be found on the Nebraska Corn Growers Association website, necga.org. Applications are due by 5 PM on Friday, November 22, 2019.
Statement on Local Television Programming Bill
Steve Nelson, President, NE Farm Bureau
“We greatly appreciate Sen. Deb Fischer and Congressman Adrian Smith for their work to introduce the “Western Expanded In-State Television Access Act” in the U.S. Senate and in the House of Representatives. This important legislation would ensure that satellite television subscribers in 16 of Nebraska’s western counties would have the ability to access in-state broadcast programming. No matter where you live in our state, you should have the ability to access broadcast coverage of local news, weather, and information on what’s happening at the State Capitol. This bill would address a long-standing issue for many Nebraskans.”
Fuel for Performance | Sports Nutrition Videos
The Iowa Beef Industry Council (IBIC) has teamed up with a certified sports dietitian to produce eight sports nutrition video tips. The purpose of the videos is to provide athletes and those individuals interested in improving training and physical activity performance with credible information from an expert in the field of sports nutrition.
Ellen Davis, RD, CSSD, LD, is a board-certified specialist in sports dietetics (CSSD) and a registered dietitian at Hy-Vee. As a former athlete, Ellen discovered the value of treating food as fuel. Her role at Hy-Vee is to help athletes and individuals develop realistic fueling plans to assist in achieving their personal wellness and athletic goals.
The short videos feature optimal nutrition and practical tips to fuel for recovery and performance, including the importance of beef’s role in providing a complete protein and nine essential nutrients. The video tips focus on food ideas, that showcase snacks and meals for optimal nutrition, including a recipe demonstration for beef breakfast egg muffins and beef jerky trail mix. Davis covers topics including the importance of protein for building and repairing muscles, when and what to eat before and after training and pre-workout fueling foods.
To view the sports nutrition video tips, click here... https://www.youtube.com/playlist?list=PLZqH7nl5gdoGZTRxpDatYPVlLoOGVaMbA.
Free 'Recipes' Tell Farmers How to Start Growing Cover Crops
Farmers who want to start growing cover crops can turn to "recipes" on the Midwest Cover Crops Council website.
Free downloadable PDFs tell how and why to add cover crops into a corn-soybean rotation, says Charles Ellis, University of Missouri Extension field specialist in agricultural engineering. Ellis serves on the council's advisory board.
The site has recipes for Missouri, Illinois, Indiana, Iowa, Michigan, Minnesota, Nebraska and North Dakota. Download the publications at mccc.msu.edu/getting-started/cover-crop-recipes.
"Planting a cover crop ahead of a soybean cash crop is often the easiest way to introduce cover crops into your rotation," Ellis says.
One of the Missouri recipes, MU Extension publication MX81, looks at cereal rye, which proves to be a good choice before soybean because typical fall conditions in Missouri provide a suitable planting window for that cover crop, he says. But Ellis discourages cereal rye before corn for beginning cover crop growers because it requires changes in corn nitrogen management and other adjustments.
Instead, the council suggests a two-way mix of oats and radishes for spring termination or a two-way mix of oats and crimson clover for better erosion control and living roots in the spring before corn. MU Extension publication MX82(opens in new window) details how to do this.
The cover crop recipe guides tell how to plan for cover crops, choose corn and soybean hybrids, and purchase seed. They also explain crop sensitivity to selected hybrids and effects of residual herbicides. The simple three-page guides tell what field work must be done in fall and spring for best results and provide details such as seeding rates and nutrient applications.
In addition to step-by-step suggestions, the guides offer links to resources. Ellis and Rob Myers, MU adjunct associate professor of plant sciences, and other MU faculty and MCCC council members contributed to the guides.
Revolutionary IVF Process to be Showcased at Cattlemen’s College in San Antonio Feb. 5
A live look at innovative in vitro fertilization (IVF) technology will be on display when the 27th Cattlemen’s College is held in San Antonio, Texas, Feb. 4-5, immediately prior to the 2020 Cattle Industry Convention & NCBA Trade Show. Cattlemen’s College is conducted by the National Cattlemen’s Beef Association producer education team and sponsored by Zoetis.
Called “Taking the Mystery Out of IVF,” the session will use ultrasound-assisted technology to collect eggs from a cow without the use of ovary stimulating hormones. The presentation will be conducted by Michael Bishop, Ph.D., director of strategy for Vytelle, and Bruno Sanches, DVM, Vytelle chief operating officer.
“With Cattlemen’s College we’re always in search of innovative, interactive ways of providing education that’s both captivating and helpful to cattle producers,” said Josh White, NCBA executive director of producer education. “This session really fits that bill, as it takes a process that’s three decades old and modernizes it to give cattlemen and women a chance to see beef cattle reproduction in a new light.”
The session is just one of 18 that will be offered during the College, in six flights. The topics cover Building and Protecting Your Business, Let’s Talk Bulls, Maintaining a Healthy Herd, Trends in Genetic Selection, Here’s the Beef, and Practical Nutrition Management. Sessions are taught by experts in their respective cattle and beef fields.
Cattlemen’s College kicks off the “Deep in the Heart” Cattle Industry Convention & NCBA Trade Show Feb. 5-7, featuring many of the annual elements cattle producers have come to love and some new and unique ones they have come to expect – including other educational opportunities on the NCBA Trade Show floor. There will be a Learning Lounge with “lightning sessions” where attendees can gather educational tips, a Stockmanship and Stewardship demonstration arena and surprising new events, such as a Drone Drive, Chutes & Scales Showdown and Table Talks, where producers can interact with others in roundtable discussions.
In addition, meetings of NCBA, the Cattlemen’s Beef Promotion and Research Board, American National CattleWomen, CattleFax and the National Cattlemen’s Foundation will be held, and there will be motivational speakers, music and entertainment, fellowship, CattleFax Outlook presentation, industry awards, an NCBA Invitational PBR Bull Riding event and much more.
Registration for both the Cattlemen’s College and 2020 Cattle Industry Convention & NCBA Trade Show is now open, and prices will go up in December, so make your preparations soon. Information about registration and the programs can be found at https://convention.ncba.org.
NGFA urges STB to improve proposed rule designed to correct egregious rail carrier charges
The National Grain and Feed Association (NGFA) on Nov. 6 submitted a detailed 22-page statement to the federal Surface Transportation Board (STB) urging that it make significant changes to its Oct. 7 proposed policy statement that is designed to encourage Class I rail carriers to amend their demurrage and accessorial practices and charges to make them commercial fair, as well as reciprocal if they are the cause of delays that trigger such charges.
While commending the agency for developing the draft policy statement and conducting an exhaustive May 22-23 public hearing that demonstrated rail carriers’ egregious demurrage and accessorial practices, the NGFA said its “strong preference” was that the STB utilize its statutory authority and precedent to determine proactively that specific railroad practices are unlawful and direct that they amend their tariffs accordingly. The NGFA’s preferred approach would allow rail customers to submit “show-cause” filings or petitions to the STB calling on the agency to declare that a given carrier had not complied and order that the railroad take corrective action. NGFA said “this would be a much more accessible, cost-effective and timely approach than the STB issuing general policy guidelines” to be fleshed out only through formal complaint proceedings.
“The NGFA is disappointed by the (STB’s) proposal not to establish bright-line rules to govern the commercial fairness, commercial achievability and reciprocity of rail carriers’ demurrage and accessorial tariffs,” the statement read. “As has been amply demonstrated, the Class I railroads have little interest or incentive to be forthcoming or altruistic in amending their demurrage and accessorial policies voluntarily to conform with even the best principles and guidance developed by the agency….[T]here is very little prospect that the current situation will improve in any demonstrable way unless significant improvements are made to the (STB’s) proposed approach.”
If the STB retains its current proposed approach of issuing policy guidelines, the NGFA urged that it make the following specific improvements:
• Propose rules or otherwise adopt a streamlined and abbreviated procedural schedule for resolving demurrage and accessorial complaints brought by shippers and receivers so that a decision is rendered in no more than 45 days, with a separate 15-day timeline for deciding disputes involving incorrect invoicing and dispute-resolution tariff terms, conditions and practices.
• Establish an advisory committee to provide input to the STB on implementing the agency’s general principles on demurrage and accessorial practices. Such an advisory committee would help enable continued monitoring of changes made by railroads to their demurrage and accessorial rules, practices and charges that may warrant modification or updating of the STB’s general principles.
The NGFA also recommended that the STB make significant refinements of its proposed policy guidance to address railroad practices that are not commercially fair, reciprocal or achievable by agricultural facilities. These improvements are outlined here.
The NGFA’s statement was supported by four other national agricultural organizations: the Agricultural Retailers Association, National Oilseed Processors Association, North American Millers’ Association and Pet Food Institute.
Growth Energy Participates in USDA Trade Mission to West Africa
Last week, Growth Energy Senior Vice President of Global Markets Craig Willis participated in a U.S. Department of Agriculture (USDA) trade mission to West Africa, led by USDA Deputy Secretary of Agriculture Stephen Censky. Willis was joined on the trade mission by representatives from Growth Energy member companies Archer Daniels Midland, Green Plains Inc., and Marquis Energy.
From October 28-31, the trade delegation met in Ghana and Nigeria with commodity groups and buyer delegations from Côte d’Ivoire, The Gambia, Nigeria, and Senegal, including Nigeria Cassava Growers Association National President Segun Andewumi. These meetings gave the group greater insight into the countries’ market dynamics and the potential for ethanol-blended fuel in the region.
Following the trade mission, Willis stressed the value of these opportunities to meet one-on-one and advocate for the economic and environmental benefits of ethanol for these nations.
“These trips are so important because they are the beginning of long relationships,” Willis said. “During these initial meetings, you get to hear first-hand where the bottlenecks are and the regulatory barriers they’re facing for ethanol to come to Nigeria and Ghana. We now have an opportunity to take back what we’ve learned from experts in these countries and work to figure out how to open these markets and bring ethanol to these two countries.”
According to a recent report by USDA, both Ghana and Nigeria have seen growth in their ethanol usage over the past five years, despite not yet employing it for fuel use. In 2018, the U.S. accounted for nearly 48 percent of Nigeria’s ethanol imports – 21 million gallons – and the agency expects that number to grow as Nigeria’s auto fleet expands. Ghana’s imports of U.S. ethanol for non-fuel use have also increased dramatically since 2014, from $19,000 to over $5.5 million. As the country seeks to meet its Paris Agreement commitments, phase out toxic additives in its fuel, and reduce dependence on foreign oil, ethanol has the potential to help Ghana achieve its goals.
Welcome to the KTIC Agriculture Information blog!!! Check back here for the latest in ag news and information, from local events to international happenings and government reports that affect your operation. Please email with suggestions! -Chad Moyer, Farm Director, KTIC Radio
Friday, November 8, 2019
Thursday, November 7, 2019
Thursday November 7 Ag News
Nebraska Cattle Confinement Symposium Set for Dec. 16-17 in Kearney
Nebraska farmers who may be interested in expanding or diversifying their operations are invited to the two-day Nebraska Cattle Confinement Symposium scheduled for Monday and Tuesday December 16 and 17 at the Younes Conference Center in Kearney.
The event will run from 1:00 to 7:00 p.m. Monday and from 7:30 a.m. to 2:00 p.m. Tuesday. Tickets are $55 each, but early bird tickets are available for $35 for those who register online prior to December 1 at cattleconfinement.com.
The symposium is sponsored by the Alliance for the Future of Agriculture in Nebraska (AFAN), Nebraska Cattlemen, Central Confinement Service of Columbus, Neb., and Accu-Steel, Inc. of Audobon, Iowa.
Topics to be discussed by producer and supplier experts include facility design and ventilation considerations; financing a new facility; trends in cattle markets; confinements and vet protocols; and managing nutrition in confinement operations. In addition, two sessions will provide virtual barn tours and producer panel discussions. The symposium will conclude December 17 with the Cattlemen’s Lunch featuring guest speaker Matt Rush, “inspirational speak and farm boy.” For agenda details, go to cattleconfinement.com.
“Many area farmers are considering diversifying their operations because of the trend in declining row crop income amid surplus foodstuffs, as well as the increasing cost of land ownership,” says Will Keech, AFAN director of livestock development. “Others are looking for ways to strengthen their operations so younger family members will be able to run the farm into the future. The purpose of this symposium is to provide farmers with key information and insight they need to decide whether to add a cattle confinement component to their operation.”
Midwest Senators Submit Comments on EPA’s Supplemental Rule on RFS Deal
Today, U.S. Senators Deb Fischer (R-Neb.), Chuck Grassley (R-Iowa), Joni Ernst (R-Iowa), John Thune (R-S.D.), Mike Rounds (R-S.D.), Roy Blunt (R-Mo.), and Mike Braun (R-Ind.), each submitted comments to the Federal Register regarding the Environmental Protection Agency’s (EPA) supplemental rule on the Renewable Fuel Standard (RFS). In individual letters to EPA Administrator Wheeler, the senators expressed concerns about the way the agency plans to calculate the reallocation of biofuel gallons lost due to exemptions for oil refineries.
“Just this week, the CEO of a major oil refinery bragged that small refinery exemptions were ‘a real cash flow that [they] get every year.’ This is at the expense of farmers and biofuel producers. The EPA’s proposed rule fails to ensure that 15 billion gallons of conventional ethanol are actually blended into our nation’s fuel supply. In my letter, I called on Administrator Wheeler to fulfill the president’s commitment and provide certainty for rural America,” said Senator Fischer, a member of the Senate Agriculture Committee.
“As the number one producer of corn, ethanol, biodiesel and cellulosic ethanol, the renewable fuels industry is an important sector of Iowa’s economy. It generates nearly $5 billion of Iowa’s GDP, over $2.4 billion in household incomes and supports 47,000 jobs across Iowa. President Trump made a commitment to Iowa and other biofuels producing states, and I look forward to seeing this promise fulfilled. The EPA shouldn’t undercut President Trump’s support of the Renewable Fuels Standard. I urge EPA to adjust the proposed supplemental rule to account for actual waived gallons using hard data from past practice to provide certainty to the marketplace,” said Senator Grassley.
“Plain and simple, if the market for biofuels does not trust EPA to implement the proposal President Trump negotiated, the market will not make investments in biofuels – a dangerous spiral for Iowa farmers and producers which will only lead to more plants closed and jobs lost in the heartland. It is time again for EPA to get this policy right, respect the President’s intent, and uphold the law as it was written. This means providing certainty that EPA will ensure that 15 billion gallons of ethanol will be blended each year,” said Senator Joni Ernst, member of the Environment and Public Works Committee.
“While I appreciate the administration’s commitment to restore integrity to the RFS and provide that at least 15 billion gallons of conventional biofuels are blended into the fuel supply, the proposed supplemental rule unfortunately lacks safeguards that will assure its intent. As you know, resolution of this matter is of critical importance to agriculture stakeholders in South Dakota and across the country, and I urge EPA to reconsider the incorporation of language to make certain that all gallons waived by SREs will be accounted for in final RVOs.” said Senator Thune.
“We’re grateful to President Trump for his commitment to assuring 15 billion gallons of ethanol is blended into our fuel supply annually,” said Senator Rounds. “However, the EPA’s proposed rule fails to honor the agreement which the president directed them to formalize. Taking steps to fully restore the integrity of the RFS will honor the agreement as Congress intended.”
“Missouri farm families have faced a number of challenges over the past year, from catastrophic flooding to market uncertainty and now the EPA’s failure to uphold its commitments to the biofuels industry,” said Senator Blunt. “Renewable energy policies like the RFS have helped diversify our nation’s fuel supply while creating and sustaining jobs, strengthening local economies, and lowering gas prices. I urge the administration to produce a final rule that addresses the concerns my colleagues and I have raised and supports America’s biofuels producers.”
“The state of Indiana is the fifth largest ethanol producing state in the country,” said U.S. Senator Mike Braun. “I urge the EPA to implement the agreement in a way that provides certainty to Hoosier farmers and refiners.”
On November 4th, over 60 corn, soybean, and biofuel groups wrote a letter stating that the EPA’s supplemental rule would not accurately account for small refinery exemptions and would hurt farm economies and biofuel plants in rural America.
RFA Thanks Senators for Standing Up for Renewable Fuel Standard
The Renewable Fuels Association today thanked a group of Senators representing Midwest states for their comments to the Environmental Protection Agency supporting the Renewable Fuel Standard. The Senators—Deb Fischer (R-Neb.), Chuck Grassley (R-Iowa), Joni Ernst (R-Iowa), John Thune (R-S.D.), Mike Rounds (R-S.D.), Roy Blunt (R-Mo.), and Mike Braun (R-Ind.)—each submitted comments regarding the EPA’s supplemental rule on the RFS and individual letters to EPA Administrator Andrew Wheeler, in which they expressed concerns about the way the agency would calculate the reallocation of renewable fuel gallons lost due to exemptions for oil refineries.
RFA President and CEO Geoff Cooper made the following statement:
“Farmers, ethanol producers and consumers across the country are grateful to these Senators who are standing up for the integrity of the Renewable Fuels Standard. The RFS has been a tremendous success, lowering consumer gasoline costs, providing a critical value-added market for farmers, and reducing carbon emissions from liquid transportation fuels. But then EPA began to systematically undermine the benefits of the program with unprecedented and unnecessary small refinery exemptions (SREs) that have eroded biofuel demand and sacrificed the energy, environmental, and consumer benefits of the program. It’s time for the EPA to simply follow the law. Fifteen billion gallons is supposed to mean at least 15 billion gallons. That’s what the President intended when he directed EPA to fix the SRE problem a month ago. The only path to restore credibility to this process is for the EPA to project SREs based on the actual exemptions granted in the past three years. Anything else is a broken promise that will kill more jobs and keep plants shuttered. We are proud to have these Senators on our side, and we thank them for their leadership.”
ACE commends Senators for calling on EPA to uphold RFS deal, urges others to make their voice heard
Today, the American Coalition for Ethanol (ACE) thanks Midwest Senators Deb Fischer (R-Neb.), Chuck Grassley (R-Iowa), Joni Ernst (R-Iowa), John Thune (R-S.D.), Mike Rounds (R-S.D.), Roy Blunt (R-Mo.), and Mike Braun (R-Ind.), for submitting comments to the Environmental Protection Agency (EPA) supplemental rule to the Renewable Fuel Standard (RFS). ACE CEO Brian Jennings issued the following statement:
“ACE members, farmers and renewable fuel producers value the ongoing leadership of these Senators to help get the RFS back on track by following the rule of law. These key U.S. Senators and other elected leaders had a deal with President Trump that ensured at least 15 billion gallons of ethanol blending under the RFS beginning in 2020. The deal was based on the promise that EPA would account for the three-year rolling average of actual gallons waived through Small Refinery Exemptions (SREs) from 2016 to 2018. A deal is a deal. We expect EPA to account for actual gallons waived through SREs from 2016 to 2018 to ensure at least 15 billion gallons of ethanol blending beginning in 2020. We’re grateful for these Senators working to see this deal through, and this serves as a reminder that all ethanol advocates should use this comment period as an opportunity to make their voice heard on how this rulemaking personally impacts you, your business, and your community.”
Non-Traditional Students in Rural Nebraska Receive Scholarships
The Nebraska Farm Bureau Foundation awarded the Nebraska Rural Radio Foundation Scholarship in Honor of Max & Eric Brown to Caitlin Pittman of Gering, Wendy McKain of Trenton, and Samantha Rife of Stratton.
The scholarship awards non-traditional college students living in Nebraska’s rural communities. Recipients show a demonstrated commitment to the future of the agriculture industry and rural communities.
McKain lives near Trenton in Southwest Nebraska. In addition to the small farming and cattle business she runs with her husband, McKain works as a clerk for the village of Trenton. She is enrolled in Mid Plains Community College in McCook and taking courses to become an Emergency Medical Technician (EMT) volunteer. McKain’s goal is to provide EMT services to her small rural community which is experiencing a lack of responders.
Pittman is a Certified Nursing Assistant at Regional West Medical Center in Scottsbluff. She was recently accepted into the University of Nebraska Medical Center Nursing Program and began her program in August. Pittman plans to continue her education, bridging a registered nurse to paramedic program to better serve her rural Nebraska Community. Pittman and her family currently reside in Gering.
Rife is a deputy clerk in the village of Trenton. Rife and her husband own a small cattle operation and grow alfalfa in Stratton. She will take classes at Mid Plains Community College to become an EMT. EMTs in her area are aging and becoming fewer and fewer, so it in imperative that volunteers fill this gap.
“Access to emergency care is a real need in rural Nebraska,” said Megahn Schafer, executive director of the Nebraska Farm Bureau Foundation. “These three recipients will contribute to a higher quality of life in their communities, and their efforts align perfectly with the generous vision of the Nebraska Rural Radio Foundation Scholarship in Honor of Max & Eric Brown.”
A Celebration Of 'People, Progress, Pride' brings Iowa farmers to Des Moines for 2019 Iowa Farm Bureau Annual Meeting
A harsh and lingering winter, springtime floods, market swings and trade roadblocks all hit Iowa farmers in 2019, making this year more challenging than any other in recent memory. Yet Iowans know it is the nature of Iowa farmers to weather the slings and arrows of hard times and persevere. Getting through hard times takes ‘People, Progress and Pride,’ which is the theme for the 2019 Iowa Farm Bureau Federation’s (IFBF) Annual Meeting, Dec. 3-4. This will be the 101st gathering of members for the state’s oldest and largest general farm organization.
IFBF’s Annual Meeting officially kicks off Tuesday, Dec. 3, at the Community Choice Credit Union Convention Center in downtown Des Moines with educational seminars on crucial topics, such as Farm Family Stress Management and Communication, how to ensure crop fertility while improving the environment and what’s impacting the farm community now and in the future. Awards for outstanding leadership at the county Farm Bureau level will be showcased during a special luncheon.
Young Iowa farmers will put their communication skills to task as they compete Tuesday afternoon for the title of 2019 Discussion Meet champion, the winner of which will advance to the national Discussion Meet competition held in Austin, Texas during the American Farm Bureau Federation (AFBF) convention in January 2020. On Dec. 3, three young farmers will also be recognized for their exemplary leadership both within agriculture and their local communities. An energetic night of entertainment by The Jerseys wraps up the evening.
On Wednesday, IFBF members will honor the year’s hard work and accomplishments as President Craig Hill takes the stage around 9 a.m., followed by nationally-recognized author, Chris Norton, with the keynote address. “We are looking forward to this young man’s inspirational message. He’s got quite a story; as former Luther College football star, we all remember when he received a devastating spinal cord injury during a game. He was told by doctors he’d never walk again. Yet, with the support of his fiancé, family and friends, he not only walked across the stage to get his college degree, he walked his new bride down the aisle. Today, Norton and his wife, Emily, are parents to five adopted children and he travels the globe, speaking about the importance of perseverance and the importance of a life dedicated to helping others. His book, speeches and life continue to inspire all who meet him. We are lucky to have him join us this year,” says Hill.
Educational seminars on day two include opportunities in livestock and non-traditional crops, led by Iowa Farm Bureau members who raise fruits and vegetables to sell direct to consumers as well as a hemp grower from Oregon. There will also be an update from Iowa State University researchers, the Iowa Department of Natural Resources and the Iowa Department of Agriculture on the progress being made with Iowa’s Nutrient Reduction Strategy and what future steps are needed as farmers continue to take on the challenge of improving water quality.
For more information, a detailed agenda or to register to attend the 2019 IFBF Annual Meeting, check out www.iowafarmbureau.com/annualmeeting.
NPPC Launches 'Pork O' Clock' Campaign to Highlight Importance of USMCA Agreement
Today, the National Pork Producers Council (NPPC) launched a dynamic new campaign, "It's Pork O' Clock Somewhere," to highlight the importance and benefits of the U.S.-Mexico-Canada (USMCA) trade agreement. The campaign focuses on pork and the many ways it's enjoyed across North America.
"Ratification of USMCA is the top priority for U.S. pork producers and there is no better way to highlight its importance than a campaign that illustrates how pork is enjoyed across United States, Canada and Mexico," said David Herring, NPPC president and a pork producer in Lillington, N.C. "A USMCA agreement provides much-needed market certainty for U.S. pork producers, ensuring zero-duty market access to two of our largest export markets."
Last year, more than 40 percent of U.S. pork exported went to Canada and Mexico. The campaign thanks lawmakers for making USMCA ratification this year a priority and highlights the history behind pork-related dishes in the United States, Mexico and Canada.
For example, tacos al pastor from Mexico have origins in the Lebanese method of cooking meat on a spit, referred to as shawarma. The tacos are a staple in Mexico City, where taco shops and stands line the streets. Last year, the United States sent more than 770,000 tons—worth $1.3 billion—of pork to Mexico.
To learn more about NPPC's campaign, visit www.porkoclock.org.
AG-AUTO-ETHANOL WORK GROUP ANNUAL FORUM FOCUSES ON HIGH-OCTANE LOW-CARBON FUEL
The Ag-Auto-Ethanol Work Group Annual Forum, held in Detroit, Michigan, took a deep dive into environmental issues, future engine technologies and the potential cost-benefit of high-octane low-carbon fuels at the pump. Representatives from state and national corn growers’ associations, government entities, automakers, the ethanol industry, and researchers were all in attendance.
“NCGA and state corn grower associations continue to educate members of Congress and their staffs on the fuel-efficiency benefits of high-octane fuel, along with the benefits of higher blends of ethanol,” NCGA Renewable Fuels Public Policy Director Kathy Bergren told attendees. “Higher blends of ethanol lower carbon emissions, reduce aromatic emissions and improve air quality and support rural economies.”
“This forum is an opportunity to bring together a cross-section of groups which span the entire value chain to talk about the future and provide updates on current research and initiatives,” said NCGA Renewable Fuels Director Mark Palmer. “The collaboration and partnership with these groups continue to be important for the transition to high-octane low-carbon liquid transportation fuels.”
Bergren, Palmer and Julie Busse, NCGA senior communications manager, all attended the meeting and presented updates on current NCGA projects around high-octane low-carbon fuels and infrastructure.
Nebraska farmer and NCGA Chairman Lynn Chrisp also attended the meeting, along with representatives from state corn grower organizations including: Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Missouri, Nebraska, and Ohio.
EPA Seeks Nominations for the Farm, Ranch, and Rural Communities Federal Advisory Committee
Today, U.S. Environmental Protection Agency (EPA) Administrator Andrew Wheeler is announcing a solicitation for 20-30 nominees to serve on the Farm, Ranch, and Rural Communities Committee (FRRCC). Established in 2008, the FRRCC provides independent policy advice, information, and recommendations to EPA’s Administrator on a range of environmental issues and policies that are of importance to agriculture and rural communities.
“One of our key priorities at EPA is to strengthen and solidify our relationship with agricultural stakeholders and rural communities by ensuring the agency is well informed on how its decisions impact rural America,” said EPA Administrator Andrew Wheeler. “Recruiting full membership of the Farm, Ranch, and Rural Communities Committee is the perfect opportunity to engage with those in our agriculture community, and I look forward to receiving the committee’s valuable input on important matters before the EPA in the very near future.”
To build a broad and balanced representation of perspectives for the FRRCC, members will be selected from a variety of relevant sectors. Members may represent allied industries and stakeholders including farm groups, rural suppliers, marketers, processors, academia/researchers; state, local, and tribal government; and nongovernmental organizations. In selecting committee members, EPA will consider qualifications such as: whether candidates are actively engaged in farming, hold leadership positions in ag-related organizations, possess a demonstrated ability to examine and analyze complicated environmental issues with objectivity and integrity, have experience working on issues where building consensus is necessary, and are able to volunteer several hours per month to the committee’s activities.
The previous Charter for the FRRCC was scheduled to expire and therefore was renewed in 2018; however, the committee currently has no members. EPA is specifically seeking 20-30 members for 2-3 year terms, and the Committee expects to meet approximately twice a year.
Applications must include a résumé or curriculum vitae and a statement of interest, and must be received by EPA by December 31, 2019. Letters of support and recommendation will be accepted but are not mandatory.
Full details about qualifications and how to apply will be published in the Federal Register Notice, which will be posted once available on the committee’s website at: www.epa.gov/faca/frrcc.
Animal Agriculture Alliance announces new board representatives and leadership
Today, the Animal Agriculture Alliance announced a new chair-elect and six new board representatives. The Alliance’s full board of directors, which includes representatives from all segments of animal agriculture, is listed on its website at: https://animalagalliance.org/about/board.
The Alliance welcomed Sarah Novak, vice president of membership and public relations at American Feed Industry Association, as its new board chairperson in May. AFIA was a founding member of the Alliance and has held a seat on the board since 1987. Novak has represented AFIA on the board since 2008 and since stepping into her new role has exceeded expectations in helping the Alliance team reach its strategic plan goals. “Sarah is always ready with new contacts or opportunities to ensure we have everything we need to connect, engage and protect animal agriculture,” said Hannah Thompson-Weeman, Alliance vice president of communications.
At its fall meeting earlier this week, the Alliance board accepted the nomination of Christina Lood, senior director of external communications at Zoetis, to be chair-elect. Lood will take the reins from Novak in May 2021. “Christina is one of our most engaged board members, so we believe she is the perfect fit for our next chairperson,” said Kay Johnson Smith, Alliance president and CEO.
The board also welcomed a new member at the fall meeting, with National Corn Growers Association (NCGA) joining the board, represented by Mike Lefever, a Colorado corn grower. NCGA has been an Alliance member since 2015. Also, several companies and associations have new board representatives:
Alltech, represented by Rachel Weber, beef marketing coordinator
American National CattleWomen, Inc., represented by Reba Mazak, vice president
Charleston|Orwig, represented by Lyle Orwig, chairman
Merck Animal Health, represented by Jessica Meisinger, consumer affairs accounts manager
United Soybean Board, represented by Larry Marek, director
Nebraska farmers who may be interested in expanding or diversifying their operations are invited to the two-day Nebraska Cattle Confinement Symposium scheduled for Monday and Tuesday December 16 and 17 at the Younes Conference Center in Kearney.
The event will run from 1:00 to 7:00 p.m. Monday and from 7:30 a.m. to 2:00 p.m. Tuesday. Tickets are $55 each, but early bird tickets are available for $35 for those who register online prior to December 1 at cattleconfinement.com.
The symposium is sponsored by the Alliance for the Future of Agriculture in Nebraska (AFAN), Nebraska Cattlemen, Central Confinement Service of Columbus, Neb., and Accu-Steel, Inc. of Audobon, Iowa.
Topics to be discussed by producer and supplier experts include facility design and ventilation considerations; financing a new facility; trends in cattle markets; confinements and vet protocols; and managing nutrition in confinement operations. In addition, two sessions will provide virtual barn tours and producer panel discussions. The symposium will conclude December 17 with the Cattlemen’s Lunch featuring guest speaker Matt Rush, “inspirational speak and farm boy.” For agenda details, go to cattleconfinement.com.
“Many area farmers are considering diversifying their operations because of the trend in declining row crop income amid surplus foodstuffs, as well as the increasing cost of land ownership,” says Will Keech, AFAN director of livestock development. “Others are looking for ways to strengthen their operations so younger family members will be able to run the farm into the future. The purpose of this symposium is to provide farmers with key information and insight they need to decide whether to add a cattle confinement component to their operation.”
Midwest Senators Submit Comments on EPA’s Supplemental Rule on RFS Deal
Today, U.S. Senators Deb Fischer (R-Neb.), Chuck Grassley (R-Iowa), Joni Ernst (R-Iowa), John Thune (R-S.D.), Mike Rounds (R-S.D.), Roy Blunt (R-Mo.), and Mike Braun (R-Ind.), each submitted comments to the Federal Register regarding the Environmental Protection Agency’s (EPA) supplemental rule on the Renewable Fuel Standard (RFS). In individual letters to EPA Administrator Wheeler, the senators expressed concerns about the way the agency plans to calculate the reallocation of biofuel gallons lost due to exemptions for oil refineries.
“Just this week, the CEO of a major oil refinery bragged that small refinery exemptions were ‘a real cash flow that [they] get every year.’ This is at the expense of farmers and biofuel producers. The EPA’s proposed rule fails to ensure that 15 billion gallons of conventional ethanol are actually blended into our nation’s fuel supply. In my letter, I called on Administrator Wheeler to fulfill the president’s commitment and provide certainty for rural America,” said Senator Fischer, a member of the Senate Agriculture Committee.
“As the number one producer of corn, ethanol, biodiesel and cellulosic ethanol, the renewable fuels industry is an important sector of Iowa’s economy. It generates nearly $5 billion of Iowa’s GDP, over $2.4 billion in household incomes and supports 47,000 jobs across Iowa. President Trump made a commitment to Iowa and other biofuels producing states, and I look forward to seeing this promise fulfilled. The EPA shouldn’t undercut President Trump’s support of the Renewable Fuels Standard. I urge EPA to adjust the proposed supplemental rule to account for actual waived gallons using hard data from past practice to provide certainty to the marketplace,” said Senator Grassley.
“Plain and simple, if the market for biofuels does not trust EPA to implement the proposal President Trump negotiated, the market will not make investments in biofuels – a dangerous spiral for Iowa farmers and producers which will only lead to more plants closed and jobs lost in the heartland. It is time again for EPA to get this policy right, respect the President’s intent, and uphold the law as it was written. This means providing certainty that EPA will ensure that 15 billion gallons of ethanol will be blended each year,” said Senator Joni Ernst, member of the Environment and Public Works Committee.
“While I appreciate the administration’s commitment to restore integrity to the RFS and provide that at least 15 billion gallons of conventional biofuels are blended into the fuel supply, the proposed supplemental rule unfortunately lacks safeguards that will assure its intent. As you know, resolution of this matter is of critical importance to agriculture stakeholders in South Dakota and across the country, and I urge EPA to reconsider the incorporation of language to make certain that all gallons waived by SREs will be accounted for in final RVOs.” said Senator Thune.
“We’re grateful to President Trump for his commitment to assuring 15 billion gallons of ethanol is blended into our fuel supply annually,” said Senator Rounds. “However, the EPA’s proposed rule fails to honor the agreement which the president directed them to formalize. Taking steps to fully restore the integrity of the RFS will honor the agreement as Congress intended.”
“Missouri farm families have faced a number of challenges over the past year, from catastrophic flooding to market uncertainty and now the EPA’s failure to uphold its commitments to the biofuels industry,” said Senator Blunt. “Renewable energy policies like the RFS have helped diversify our nation’s fuel supply while creating and sustaining jobs, strengthening local economies, and lowering gas prices. I urge the administration to produce a final rule that addresses the concerns my colleagues and I have raised and supports America’s biofuels producers.”
“The state of Indiana is the fifth largest ethanol producing state in the country,” said U.S. Senator Mike Braun. “I urge the EPA to implement the agreement in a way that provides certainty to Hoosier farmers and refiners.”
On November 4th, over 60 corn, soybean, and biofuel groups wrote a letter stating that the EPA’s supplemental rule would not accurately account for small refinery exemptions and would hurt farm economies and biofuel plants in rural America.
RFA Thanks Senators for Standing Up for Renewable Fuel Standard
The Renewable Fuels Association today thanked a group of Senators representing Midwest states for their comments to the Environmental Protection Agency supporting the Renewable Fuel Standard. The Senators—Deb Fischer (R-Neb.), Chuck Grassley (R-Iowa), Joni Ernst (R-Iowa), John Thune (R-S.D.), Mike Rounds (R-S.D.), Roy Blunt (R-Mo.), and Mike Braun (R-Ind.)—each submitted comments regarding the EPA’s supplemental rule on the RFS and individual letters to EPA Administrator Andrew Wheeler, in which they expressed concerns about the way the agency would calculate the reallocation of renewable fuel gallons lost due to exemptions for oil refineries.
RFA President and CEO Geoff Cooper made the following statement:
“Farmers, ethanol producers and consumers across the country are grateful to these Senators who are standing up for the integrity of the Renewable Fuels Standard. The RFS has been a tremendous success, lowering consumer gasoline costs, providing a critical value-added market for farmers, and reducing carbon emissions from liquid transportation fuels. But then EPA began to systematically undermine the benefits of the program with unprecedented and unnecessary small refinery exemptions (SREs) that have eroded biofuel demand and sacrificed the energy, environmental, and consumer benefits of the program. It’s time for the EPA to simply follow the law. Fifteen billion gallons is supposed to mean at least 15 billion gallons. That’s what the President intended when he directed EPA to fix the SRE problem a month ago. The only path to restore credibility to this process is for the EPA to project SREs based on the actual exemptions granted in the past three years. Anything else is a broken promise that will kill more jobs and keep plants shuttered. We are proud to have these Senators on our side, and we thank them for their leadership.”
ACE commends Senators for calling on EPA to uphold RFS deal, urges others to make their voice heard
Today, the American Coalition for Ethanol (ACE) thanks Midwest Senators Deb Fischer (R-Neb.), Chuck Grassley (R-Iowa), Joni Ernst (R-Iowa), John Thune (R-S.D.), Mike Rounds (R-S.D.), Roy Blunt (R-Mo.), and Mike Braun (R-Ind.), for submitting comments to the Environmental Protection Agency (EPA) supplemental rule to the Renewable Fuel Standard (RFS). ACE CEO Brian Jennings issued the following statement:
“ACE members, farmers and renewable fuel producers value the ongoing leadership of these Senators to help get the RFS back on track by following the rule of law. These key U.S. Senators and other elected leaders had a deal with President Trump that ensured at least 15 billion gallons of ethanol blending under the RFS beginning in 2020. The deal was based on the promise that EPA would account for the three-year rolling average of actual gallons waived through Small Refinery Exemptions (SREs) from 2016 to 2018. A deal is a deal. We expect EPA to account for actual gallons waived through SREs from 2016 to 2018 to ensure at least 15 billion gallons of ethanol blending beginning in 2020. We’re grateful for these Senators working to see this deal through, and this serves as a reminder that all ethanol advocates should use this comment period as an opportunity to make their voice heard on how this rulemaking personally impacts you, your business, and your community.”
Non-Traditional Students in Rural Nebraska Receive Scholarships
The Nebraska Farm Bureau Foundation awarded the Nebraska Rural Radio Foundation Scholarship in Honor of Max & Eric Brown to Caitlin Pittman of Gering, Wendy McKain of Trenton, and Samantha Rife of Stratton.
The scholarship awards non-traditional college students living in Nebraska’s rural communities. Recipients show a demonstrated commitment to the future of the agriculture industry and rural communities.
McKain lives near Trenton in Southwest Nebraska. In addition to the small farming and cattle business she runs with her husband, McKain works as a clerk for the village of Trenton. She is enrolled in Mid Plains Community College in McCook and taking courses to become an Emergency Medical Technician (EMT) volunteer. McKain’s goal is to provide EMT services to her small rural community which is experiencing a lack of responders.
Pittman is a Certified Nursing Assistant at Regional West Medical Center in Scottsbluff. She was recently accepted into the University of Nebraska Medical Center Nursing Program and began her program in August. Pittman plans to continue her education, bridging a registered nurse to paramedic program to better serve her rural Nebraska Community. Pittman and her family currently reside in Gering.
Rife is a deputy clerk in the village of Trenton. Rife and her husband own a small cattle operation and grow alfalfa in Stratton. She will take classes at Mid Plains Community College to become an EMT. EMTs in her area are aging and becoming fewer and fewer, so it in imperative that volunteers fill this gap.
“Access to emergency care is a real need in rural Nebraska,” said Megahn Schafer, executive director of the Nebraska Farm Bureau Foundation. “These three recipients will contribute to a higher quality of life in their communities, and their efforts align perfectly with the generous vision of the Nebraska Rural Radio Foundation Scholarship in Honor of Max & Eric Brown.”
A Celebration Of 'People, Progress, Pride' brings Iowa farmers to Des Moines for 2019 Iowa Farm Bureau Annual Meeting
A harsh and lingering winter, springtime floods, market swings and trade roadblocks all hit Iowa farmers in 2019, making this year more challenging than any other in recent memory. Yet Iowans know it is the nature of Iowa farmers to weather the slings and arrows of hard times and persevere. Getting through hard times takes ‘People, Progress and Pride,’ which is the theme for the 2019 Iowa Farm Bureau Federation’s (IFBF) Annual Meeting, Dec. 3-4. This will be the 101st gathering of members for the state’s oldest and largest general farm organization.
IFBF’s Annual Meeting officially kicks off Tuesday, Dec. 3, at the Community Choice Credit Union Convention Center in downtown Des Moines with educational seminars on crucial topics, such as Farm Family Stress Management and Communication, how to ensure crop fertility while improving the environment and what’s impacting the farm community now and in the future. Awards for outstanding leadership at the county Farm Bureau level will be showcased during a special luncheon.
Young Iowa farmers will put their communication skills to task as they compete Tuesday afternoon for the title of 2019 Discussion Meet champion, the winner of which will advance to the national Discussion Meet competition held in Austin, Texas during the American Farm Bureau Federation (AFBF) convention in January 2020. On Dec. 3, three young farmers will also be recognized for their exemplary leadership both within agriculture and their local communities. An energetic night of entertainment by The Jerseys wraps up the evening.
On Wednesday, IFBF members will honor the year’s hard work and accomplishments as President Craig Hill takes the stage around 9 a.m., followed by nationally-recognized author, Chris Norton, with the keynote address. “We are looking forward to this young man’s inspirational message. He’s got quite a story; as former Luther College football star, we all remember when he received a devastating spinal cord injury during a game. He was told by doctors he’d never walk again. Yet, with the support of his fiancé, family and friends, he not only walked across the stage to get his college degree, he walked his new bride down the aisle. Today, Norton and his wife, Emily, are parents to five adopted children and he travels the globe, speaking about the importance of perseverance and the importance of a life dedicated to helping others. His book, speeches and life continue to inspire all who meet him. We are lucky to have him join us this year,” says Hill.
Educational seminars on day two include opportunities in livestock and non-traditional crops, led by Iowa Farm Bureau members who raise fruits and vegetables to sell direct to consumers as well as a hemp grower from Oregon. There will also be an update from Iowa State University researchers, the Iowa Department of Natural Resources and the Iowa Department of Agriculture on the progress being made with Iowa’s Nutrient Reduction Strategy and what future steps are needed as farmers continue to take on the challenge of improving water quality.
For more information, a detailed agenda or to register to attend the 2019 IFBF Annual Meeting, check out www.iowafarmbureau.com/annualmeeting.
NPPC Launches 'Pork O' Clock' Campaign to Highlight Importance of USMCA Agreement
Today, the National Pork Producers Council (NPPC) launched a dynamic new campaign, "It's Pork O' Clock Somewhere," to highlight the importance and benefits of the U.S.-Mexico-Canada (USMCA) trade agreement. The campaign focuses on pork and the many ways it's enjoyed across North America.
"Ratification of USMCA is the top priority for U.S. pork producers and there is no better way to highlight its importance than a campaign that illustrates how pork is enjoyed across United States, Canada and Mexico," said David Herring, NPPC president and a pork producer in Lillington, N.C. "A USMCA agreement provides much-needed market certainty for U.S. pork producers, ensuring zero-duty market access to two of our largest export markets."
Last year, more than 40 percent of U.S. pork exported went to Canada and Mexico. The campaign thanks lawmakers for making USMCA ratification this year a priority and highlights the history behind pork-related dishes in the United States, Mexico and Canada.
For example, tacos al pastor from Mexico have origins in the Lebanese method of cooking meat on a spit, referred to as shawarma. The tacos are a staple in Mexico City, where taco shops and stands line the streets. Last year, the United States sent more than 770,000 tons—worth $1.3 billion—of pork to Mexico.
To learn more about NPPC's campaign, visit www.porkoclock.org.
AG-AUTO-ETHANOL WORK GROUP ANNUAL FORUM FOCUSES ON HIGH-OCTANE LOW-CARBON FUEL
The Ag-Auto-Ethanol Work Group Annual Forum, held in Detroit, Michigan, took a deep dive into environmental issues, future engine technologies and the potential cost-benefit of high-octane low-carbon fuels at the pump. Representatives from state and national corn growers’ associations, government entities, automakers, the ethanol industry, and researchers were all in attendance.
“NCGA and state corn grower associations continue to educate members of Congress and their staffs on the fuel-efficiency benefits of high-octane fuel, along with the benefits of higher blends of ethanol,” NCGA Renewable Fuels Public Policy Director Kathy Bergren told attendees. “Higher blends of ethanol lower carbon emissions, reduce aromatic emissions and improve air quality and support rural economies.”
“This forum is an opportunity to bring together a cross-section of groups which span the entire value chain to talk about the future and provide updates on current research and initiatives,” said NCGA Renewable Fuels Director Mark Palmer. “The collaboration and partnership with these groups continue to be important for the transition to high-octane low-carbon liquid transportation fuels.”
Bergren, Palmer and Julie Busse, NCGA senior communications manager, all attended the meeting and presented updates on current NCGA projects around high-octane low-carbon fuels and infrastructure.
Nebraska farmer and NCGA Chairman Lynn Chrisp also attended the meeting, along with representatives from state corn grower organizations including: Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Missouri, Nebraska, and Ohio.
EPA Seeks Nominations for the Farm, Ranch, and Rural Communities Federal Advisory Committee
Today, U.S. Environmental Protection Agency (EPA) Administrator Andrew Wheeler is announcing a solicitation for 20-30 nominees to serve on the Farm, Ranch, and Rural Communities Committee (FRRCC). Established in 2008, the FRRCC provides independent policy advice, information, and recommendations to EPA’s Administrator on a range of environmental issues and policies that are of importance to agriculture and rural communities.
“One of our key priorities at EPA is to strengthen and solidify our relationship with agricultural stakeholders and rural communities by ensuring the agency is well informed on how its decisions impact rural America,” said EPA Administrator Andrew Wheeler. “Recruiting full membership of the Farm, Ranch, and Rural Communities Committee is the perfect opportunity to engage with those in our agriculture community, and I look forward to receiving the committee’s valuable input on important matters before the EPA in the very near future.”
To build a broad and balanced representation of perspectives for the FRRCC, members will be selected from a variety of relevant sectors. Members may represent allied industries and stakeholders including farm groups, rural suppliers, marketers, processors, academia/researchers; state, local, and tribal government; and nongovernmental organizations. In selecting committee members, EPA will consider qualifications such as: whether candidates are actively engaged in farming, hold leadership positions in ag-related organizations, possess a demonstrated ability to examine and analyze complicated environmental issues with objectivity and integrity, have experience working on issues where building consensus is necessary, and are able to volunteer several hours per month to the committee’s activities.
The previous Charter for the FRRCC was scheduled to expire and therefore was renewed in 2018; however, the committee currently has no members. EPA is specifically seeking 20-30 members for 2-3 year terms, and the Committee expects to meet approximately twice a year.
Applications must include a résumé or curriculum vitae and a statement of interest, and must be received by EPA by December 31, 2019. Letters of support and recommendation will be accepted but are not mandatory.
Full details about qualifications and how to apply will be published in the Federal Register Notice, which will be posted once available on the committee’s website at: www.epa.gov/faca/frrcc.
Animal Agriculture Alliance announces new board representatives and leadership
Today, the Animal Agriculture Alliance announced a new chair-elect and six new board representatives. The Alliance’s full board of directors, which includes representatives from all segments of animal agriculture, is listed on its website at: https://animalagalliance.org/about/board.
The Alliance welcomed Sarah Novak, vice president of membership and public relations at American Feed Industry Association, as its new board chairperson in May. AFIA was a founding member of the Alliance and has held a seat on the board since 1987. Novak has represented AFIA on the board since 2008 and since stepping into her new role has exceeded expectations in helping the Alliance team reach its strategic plan goals. “Sarah is always ready with new contacts or opportunities to ensure we have everything we need to connect, engage and protect animal agriculture,” said Hannah Thompson-Weeman, Alliance vice president of communications.
At its fall meeting earlier this week, the Alliance board accepted the nomination of Christina Lood, senior director of external communications at Zoetis, to be chair-elect. Lood will take the reins from Novak in May 2021. “Christina is one of our most engaged board members, so we believe she is the perfect fit for our next chairperson,” said Kay Johnson Smith, Alliance president and CEO.
The board also welcomed a new member at the fall meeting, with National Corn Growers Association (NCGA) joining the board, represented by Mike Lefever, a Colorado corn grower. NCGA has been an Alliance member since 2015. Also, several companies and associations have new board representatives:
Alltech, represented by Rachel Weber, beef marketing coordinator
American National CattleWomen, Inc., represented by Reba Mazak, vice president
Charleston|Orwig, represented by Lyle Orwig, chairman
Merck Animal Health, represented by Jessica Meisinger, consumer affairs accounts manager
United Soybean Board, represented by Larry Marek, director
Wednesday, November 6, 2019
Wednesday November 6 Ag News
2019 NeFB Silver Eagle Award Honors Dr. Terry Klopfenstein, Pioneer in Beef Nutrition
Nebraska Farm Bureau has selected Dr. Terry Klopfenstein, Emeritus Professor at the University of Nebraska-Lincoln (UNL), as the 2019 recipient of, its highest honor, the Silver Eagle Award. The award will be presented to Klopfenstein on Dec. 10 at the 2019 Nebraska Farm Bureau Annual Convention in Kearney.
“Terry Klopfenstein, Ph.D., was a pioneer in using corn byproducts from the ethanol and sweetener industries to supplement cattle feeding,” said Steve Nelson president of the Nebraska Farm Bureau. “Dr. Klopfenstein’s research laid the groundwork for distillers’ grains to become a key feedstock that has greatly lowered the cost of production for Nebraska's beef producers and is now labeled as a co-product of the ethanol industry.”
Dr. Klopfenstein was raised on his family’s farm in Ohio and worked around animals and cattle throughout his childhood. He began his tenure at the University of Nebraska in 1965 after completing his bachelor's, master's, and doctorate degrees from Ohio State University. Dr. Klopfenstein held the University of Nebraska Wagner Professorship from 1989 to 2007. He mentored hundreds of graduate students in his 47-year career at the UNL, many of whom are recognized as excellent nutritionists. He takes pride in his work with students.
“Klopfenstein’s mother was a teacher who began her career when she was 18 years old. Growing up, his father taught him the importance of higher education because he never had the chance to further his education during the Great Depression. Terry instilled the same motivation for knowledge in his students, making them a priority in his career. Because of the need for well-trained feedlot managers, the Feedlot Management Internship was initiated in 1988 and 174 students have completed the program. His love of teaching has extended well beyond the classroom. Widely known for his research, Klopfenstein has authored 247 referred articles, 484 abstracts, and 507 technical publications,” Nelson said.
Klopfenstein has received multiple honors including the Federation of Animal Science Societies (FASS), American Feed Industry Association (AFIA), New Frontiers in Animal Nutrition Award, USDA Secretary of Agriculture Honor Award, USDA Superior Service Award, and the Morrison Award from the American Society of Animal Science, American Society of Animal Science Distinguished Teacher Award. He also was inducted into the Ohio State Animal Science and College of Ag Hall of Fame and the Nebraska Hall of Ag Achievement. Klopfenstein has been active with many industry organizations, including serving as president for the Federation of Animal Science Societies and the American Society of Animal Science
“Terry has been passionate, dedicated, determined, and devoted to improving beef nutrition in the agriculture industry. He has demonstrated outstanding leadership, provided exemplary service to Nebraska agriculture; his years of accomplishments makes him more than qualified to receive Nebraska Farm Bureau’s highest honor, the Silver Eagle Award. We thank him for his service to agriculture students and the farmers and ranchers of Nebraska,” Nelson said.
Terry and his wife Nancy live in Lincoln and have eight children, 25 grandchildren, and 15 great grandchildren. He has been a Lancaster County Farm Bureau member for 31 years and for many years continues to assist Nancy with writing letters to elementary school students about what life is like on the farm and ranch as a part of the Nebraska Farm Bureau Foundation Ag Pen Pal Program.
Norfolk firm commits to Northeast’s Nexus project
A Norfolk area firm with a strong commitment to service in the community has pledged $50,000 to the Nexus agriculture campaign at Northeast Community College.
Jared Faltys of McMill CPAs & Advisors said the firm is pleased to strengthen the community through giving back.
“Donating to the Nexus project is just one way that we do this. Giving back to clients and communities is firmly rooted in company culture,” Faltys said. “Every one of our employees receives encouragement and support to participate in professional, charitable, and nonprofit associations. Our professionals donate their time and expertise, too, often as advisory or board members.”
McMill team members volunteer with more than 15 local organizations, and host a summer camp each year to help young students learn about business and finances.
Dr. Tracy Kruse, associate vice president of development and external affairs and executive director of the Northeast Foundation, thanked McMill CPAs & Advisors for the generous gift.
“This firm has a history of supporting the community,” Kruse said. “We are so pleased that they are including the Nexus project at Northeast in their philanthropy.”
The Nexus project is a capital campaign to raise money to update aging agriculture facilities at Northeast Community College.
“Agriculture is one of the industries that McMill CPAs & Advisors specializes in,” Faltys said, “and creating a new generation of students who are passionate in agriculture encourages growth in the industry and in northeast Nebraska. We know Northeast Community College produces quality graduates for our area as many of our team members are alums. We are excited to be a small part of creating the next generation of early adopters and leaders in agriculture.”
Kruse said, “Agriculture is the bedrock of Nebraska’s economy. One out of every two jobs in this region is tied to agriculture. For businesses in this area to be successful, having a strong agricultural economy is vital.”
Funding for the $23 million Agriculture & Water Center for Excellence project is currently being solicited to enhance and expand the agriculture facilities at Northeast Community College. In addition to the College’s commitment of $10 million, Northeast is seeking at least $13 million in private funds to begin the initial phase of construction, which includes a new veterinary technology clinic and classrooms, a new farm site with a large animal handling facility, other farm structures for livestock operations, and a farm office and storage. The new facilities will be located near the Chuck Pohlman Ag Complex on E. Benjamin Ave. in Norfolk.
In August, the Acklie Charitable Foundation (ACF) announced a $5 million lead gift to the Nexus project. ACF was founded by the late Duane Acklie and Phyllis Acklie, both Madison County natives and graduates of Norfolk Junior College, a predecessor institution of Northeast Community College.
For more information on the Nexus Campaign, contact Kruse, at tracyk@northeast.edu, or call (402) 844-7056. Online donations may be made through the website agwaternexus.com. Checks may be mailed to: Nexus Campaign, Northeast Community College Foundation, P.O. Box 469, Norfolk, NE 68702-0469.
NA-BA 2019 Ag Update
You're invited to this year's annual Ag Update sponsored by the Nebraska Agri-Business Association. There are a total of 13 speakers with five on the first day and eight on the second day.
Ag Update is at the Holiday Inn Southwest in Lincoln and will start with registration at 12:30 pm on Thursday, December 5, 2019, continuing all day Friday, December 6, 2019 with registration beginning at 8:00 am.
The speakers and topics for Thursday are:
Conor Ward - 2018 Farm Bill and Program Update (PD .25)
Jeremiah Schultz - EQIP Source Water Protection Initiative (PD .25)
Nathan Mueller - Winter Wheat Works Initiative (CM 1)
Katja Koehler-Cole - Cover Crops and Soil Health (CM 1)
Keith Berns - Carbonomics (CM 1)
The speakers and topics for Friday are:
Thomas Hunt - Our Newest Nebraska Insect Pest: The Soybean Gall Midge (PM 1)
Tim Pearson - Drone Technology and Imagery (CM 1)
Robert Wright - Crop Insect Pest Update (PM 1)
Mike Zwingman - Metrics of Nutrient Use Efficiency (NM 1)
Al Dutcher - Climate Update (SW 1)
Tamra Jackson Ziems - Headlines in Corn and Soybean Diseases (PM 1)
Rich Russel - Management of Soil Health for the Future (NM 1)
James MacDonald - Nebraska Integrated Beef Systems Initiative (SW 1)
Your registration includes rolls & coffee and lunch on Friday. Please contact Sarah Skirry at sskirry@na-ba.com or (402) 476-1528, if you have any questions, or check out their web site at www.na-ba.com. They hope to see you in Lincoln at this year's Ag Update!
National Pork Board Study Defines China’s Growing Need For Protein
A new report from the National Pork Board digs into the growing short- and long-term protein needs facing China and how U.S. pork can position itself to meet that demand. The new report, Pork 2040: China Market Assessment, also reveals the impact that African swine fever (ASF) is having on both China’s short- and long-term protein needs and how the Chinese pork industry and supply chain will change as a result.
The research study was conducted by Gira, a global research firm, using Pork Checkoff dollars and funds from the U.S. Department of Agriculture Foreign Agricultural Services Emerging Markets Program (EMP). It outlines critical insights that exporters of U.S. pork can use now to position themselves for long-term success in the Chinese market.
“Pork is a critical part of the Chinese diet with per capita consumption nearing 88 pounds* per person per year,” said Norman Bessac, vice president of international marketing for the Checkoff. “This report will help exporters position U.S. pork as the supplier of choice, thereby building value for all U.S. pork producers.”
According to the report, pork consumption in China peaked in 2014 and will continue to see a slow decline as the Chinese population grows to its highest level in 2030. As the availability of other proteins – specifically fish, chicken and beef – increases along with increased disposable income, consumers will look to diversify center-of-the-plate protein options.
According to the research, U.S. pork is poised to help fill the urgent short-term protein needs that ASF is creating in China due to the decrease in China’s domestic pig population. However, by 2025 Chinese pork production will have rebounded, and farms will have had time to rebuild and become more modern. The report outlines key steps that pork exporters can take now to increase exports to China in the short-term and defines a strategy to meet long-term demands. A few highlights from the report include:
Short-term – With the current ASF outbreak, the U.S. export industry will need to work hard to capitalize on the potential market share it can garner. The demand in the short term will be for pork cuts, variety meats and carcasses. Exporters also should use the benefit of time to build loyalty with both Chinese processors and consumers.
Long-term – As 2025 approaches and Chinese domestic production rebounds, Chinese pork will replace most of the import growth seen during the ASF outbreak. However, U.S. exporters can use these next five years to build customer relationships, value around their products and to differentiate themselves as a preferred supplier in the long-term.
“The Pork Checkoff is committed to adding value for pork producers,” said David Newman, a pig farmer representing Arkansas and president of the National Pork Board. “One of the ways to build value is to expand U.S. pork exports in developed and emerging markets. This market research and future studies will help key decision-makers to define and develop these markets.”
The Pork Board has also created a free marketing toolkit, which includes ideas that U.S. pork exporters can use to build their business in China. The full report is available at pork.to/international. The Pork Checkoff collaborated with the U.S. Meat Export Federation and the National Pork Producers Council on the Pork 2040 study.
September Beef Export Volume Steady with 2018; Pork Exports Higher Year-over-Year
September exports of U.S. beef were steady with last year in volume but export value trended lower, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF). Pork exports were above year-ago levels in September but pulled back from the large totals posted in June, July and August.
September beef exports totaled 109,799 metric tons (mt), essentially even with last year, valued at $661.3 million (down 4%). Through the first three quarters of the year, beef exports were 2% below last year's record pace in both volume (991,325 mt) and value ($6.1 billion).
Beef export value per head of fed slaughter averaged $318.54 in September, up significantly from the previous month but still 5% below last year. The January-September average was down 3% to $310.77. September exports accounted for 14.6% of total U.S. beef production and 11.9% for muscle cuts only, down from 14.8% and 12.4%, respectively, last year. Through the first three quarters of the year, exports accounted for 14.3% of total beef production and 11.6% for muscle cuts, down from 14.6% and 12.1%, respectively, in 2018.
September pork exports increased 13% from a year ago in both volume (202,248 mt) and value ($532.2 million). These results pushed January-September export volume 5% ahead of last year's pace at 1.9 million mt, while value increased 2% to $4.89 billion.
Pork export value averaged $49.98 per head slaughtered in September, up 3% from a year ago. For January through September, the per-head average was down 2% to $51.50. September exports accounted for 25.1% of total U.S. pork production, slightly higher than a year ago, and 21.7% for muscle cuts only (down slightly). January-September exports accounted for 26.3% of total pork production and 22.8% for muscle cuts, both up slightly from a year ago.
"While red meat exports face obstacles in some key markets, global demand dynamics are strong and we see opportunities for significant growth in the fourth quarter and into 2020," said USMEF President and CEO Dan Halstrom. "Progress is being made on market access improvements and this makes for a very positive outlook going forward."
Beef export trend to Japan highlights need for tariff relief
Beef exports to leading market Japan continue to reflect the tariff rate gap between U.S. beef and its competitors. September exports were 14% below last year in both volume (24,041 mt) and value ($148.3 million). For the first three quarters of the year, exports to Japan were 4% below last year's pace in volume (241,739 mt) and 5% lower in value ($1.51 billion). The decline was steeper for beef muscle cuts, which were down 10% in volume to 192,676 mt, valued at $1.22 billion (down 9%). Beef variety meat exports to Japan (mainly tongues and skirts) have been a bright spot in 2019, increasing 26% in volume (49,063 mt) and 15% in value ($290.8 million). While these items also face higher tariffs compared to competitors' products, the rate is 12.8% versus 38.5% for U.S. muscle cuts.
"Japan is still delivering excellent value for U.S. beef producers, but tariff relief cannot come soon enough," Halstrom explained, referring to the recently signed U.S.-Japan trade agreement, which is being discussed and considered for approval by the Japanese Parliament. "With a level playing field, the U.S. beef industry will move a wider range of products to our loyal customers in Japan and will definitely capitalize on emerging growth opportunities."
Beef exports to South Korea continue to build on last year's record performance, as September exports climbed 11% from a year ago in volume (21,267 mt) and 6% in value ($151.6 million). For January through September, exports reached 195,557 mt (up 8%) valued at $1.36 billion (up 10%). Korea surpassed Japan as the top value market for U.S. beef muscle cuts, reaching $1.36 billion through September (up 10% year-over-year). Muscle cut volume to Korea increased 9% to 185,288 mt. Korean customs data (January through October) indicate U.S. beef accounts for 56% of Korea's beef imports this year, up from 53% last year.
Fueled by strong demand for variety meat, September beef exports to Mexico were slightly above last year in volume (19,464 mt) and 2% higher in value ($91.2 million). Through the first three quarters of the year, exports to Mexico reached 175,992 mt, down 1% from a year ago, while value increased 5% to $820.7 million. Mexico is the leading destination for beef variety meat, and September was an especially strong month, as variety meat exports climbed 26% from a year ago in volume (9,018 mt) and 51% in value ($26.4 million). While January-September variety meat exports were steady year-over-year in volume (71,522 mt), value jumped 16% to $192.5 million.
January-September highlights for U.S. beef include:
- Beef exports to Taiwan remain well ahead of last year's record pace, climbing 10% in volume (47,868 mt) and 6% in value ($427.3 million). In just nine months, exports to Taiwan have already surpassed all full-year totals posted before 2018.
- Led by impressive growth in Indonesia, beef exports to the ASEAN region were 31% ahead of last year's pace in volume (44,481 mt) and 15% higher in value ($214.5 million). Exports to Indonesia soared 74% in volume (16,984 mt) and were 42% higher in value ($60.5 million). Demand for beef variety meat increased at an even more rapid pace in Indonesia, jumping 83% in volume (9,207 mt) and 78% in value ($18.4 million).
- Strong September results in Central America pushed beef exports 8% above last year's pace in volume (11,351 mt) and 13% higher in value ($64.6 million), led by strong growth in Guatemala and Panama.
- Although volume slowed in September, beef exports to the Dominican Republic remained on a record pace, increasing 39% from a year ago in volume (6,594 mt) and 32% in value ($53.2 million).
Rebuilding effort continues for U.S. pork in Mexico; exports to China/Hong Kong moderate
Since Mexico removed its 20% retaliatory duty on U.S. pork in late May, exports have rebounded significantly but not yet to the record-large, pre-tariff levels posted in 2017 and early 2018. September exports to Mexico were down 1% year-over-year in volume (56,467 mt), but value increased 7% to $97.6 million. Through the first three quarters of the year, exports were down 10% in volume (529,776 mt) and 9% in value ($919.4 million).
"Although the U.S. industry has made rebuilding pork demand in Mexico a top priority, there is definitely a lingering effect from the retaliatory duties, which were in place for nearly a full year," Halstrom said. "While it is a great relief to once again move pork to Mexico duty-free, ratification of the U.S.-Mexico-Canada Agreement would certainly help the psychology of the market and bolster our major customers' confidence in the U.S. supply chain."
Although dramatically higher than a year ago, September pork exports to China/Hong Kong pulled back from the large totals posted over the previous two months as China's domestic pork supplies felt increasing pressure from African swine fever (ASF). September volume was 51,192 mt, up 158% from a year ago, while value increased 123% to $115.6 million. For January through September, exports to China/Hong Kong were up 47% in volume (407,514 mt) and 25% in value ($833.5 million).
"Obviously we are anxious to learn the details of the phase 1 agreement between the U.S. and China and hopeful that it removes obstacles for U.S. pork," Halstrom said. "Exports to China/Hong Kong are improving, but certainly not to the level that could be achieved if U.S. pork returned to normal tariff levels and if the U.S.-China agreement addresses non-tariff barriers as well."
The U.S. pork industry stands to benefit significantly from the U.S.-Japan trade agreement, which will bring tariffs on U.S. pork in line with those imposed on major competitors such as Canada and the European Union. Japan remains the leading value destination for U.S. pork, but September volume was down 8% to 27,812 mt and value fell 5% to $116.2 million. Through September, exports to Japan trailed last year's pace by 6% in both volume (278,352 mt) and value ($1.14 billion).
January-September highlights for U.S. pork include:
- While September exports slowed to mainstay market Colombia and to the region as a whole, pork exports to South America were still 24% above last year's record pace in volume (114,535 mt) and 26% higher in value ($287.9 million). Chile has been South America's growth pacesetter in 2019, with exports climbing 60% in volume (33,992 mt) and 53% in value ($97.6 million). The U.S. is now Chile's largest pork supplier and opportunities continue to expand as more Chilean pork is exported to China.
- A strong September performance pushed pork exports to Central America 16% above last year's record pace in volume (67,982 mt) and 19% higher in value ($165.1 million). Exports trended higher to Honduras, the largest Central American destination for U.S. pork, and Guatemala, Panama, Costa Rica and Nicaragua have achieved excellent growth in 2019.
- Exports to Oceania continue to reach new heights, climbing 37% from a year ago in volume (85,557 mt) and 33% in value ($243 million), with impressive growth in both Australia and New Zealand.
- While ASF has impacted pork production in Southeast Asia, especially in Vietnam but more recently spreading into the Philippines, lower domestic prices have affected the ASEAN region's demand for imports. U.S. shipments to the ASEAN dropped sharply in September and through the third quarter trailed last year's pace by 15% in volume (41,905 mt) and 23% in value ($95 million). However, pork and hog prices have started to trend higher in Vietnam, and the European Union's pork exports to Vietnam were record-large in August, suggesting potential for larger U.S. exports in coming months.
September lamb exports trend higher
Exports of U.S. lamb increased 22% year-over-year in September to 1,435 mt, while value improved 9% to $1.77 million. Through the first three quarters of the year, exports were 31% above last year's pace at 12,061 mt, while value increased 13% to $19.3 million. Lamb muscle cut exports were 9% lower than a year ago in volume (1,652 mt) but increased 2% in value ($10.2 million). Markets showing promising muscle cut growth included the Dominican Republic, Panama and Guatemala.
CHS Reports Fiscal Year 2019 Net Income of $829.9 Million
CHS Inc., the nation’s leading agribusiness cooperative, today reported net income of $829.9 million for the fiscal year ended Aug. 31, 2019. The results reflect an increase of $54.0 million -- or 7 percent -- compared to fiscal year 2018.
Key financial drivers for fiscal year 2019 include:
• Consolidated revenues of $31.9 billion for fiscal year 2019 compared to $32.7 billion for fiscal year 2018.
• Net income of $829.9 million for fiscal year 2019 compared to $775.9 million for fiscal year 2018.
• Improved market conditions in our refined fuels business, primarily driven by favorable purchasing of Canadian crude oil.
• Increased equity earnings from investments, including a $53.5 million increase related to CF Nitrogen. In addition, the CF Nitrogen investment distributed $186.5 million of cash to CHS Inc. in fiscal year 2019.
• Acquisition of the remaining 75 percent interest in West Central Distribution, LLC, that was not previously owned by CHS.
• Pressure on the volumes and margins of grain and agronomy products, including increased costs of operations due to ongoing weather- and trade-related issues.
• A combination of recoveries on previously recorded reserves, impairment charges and gain contingencies, which more than offset additional reserves and impairment charges taken during the year.
“We are pleased with our results on behalf of our owners in fiscal year 2019. We focused on our priorities, built on our strategies, continued to improve our control environment and leveraged the strength of our supply chain to deliver value to the farmers and co-ops that own us,” said Jay Debertin, president and CEO of CHS Inc. “Improving customer experience and innovations led to better results including increased diesel production at our refinery in McPherson, Kansas. Our acquisition of the remaining 75 percent interest in West Central Distribution that we previously didn’t own expanded our distribution channels and grew market access in agronomy.
“When flooding made major riverways impassable, we leveraged our supply chain to reposition fertilizer to ensure our cooperatives and customers had the crop nutrients they needed for spring planting,” he said. “We identified new markets for our owners’ grain to help them navigate the difficult trade situation. And we began construction on a fertilizer storage facility in North Dakota and a grain shuttle loader in Minnesota. In each of these, the driving force was to be our customers’ first choice.
“We know the headwinds agriculture faced in fiscal year 2019 have carried over to fiscal year 2020, and CHS feels those same challenges. No one, however, feels them more and understands the impact more than the farmers and cooperatives that own us,” Debertin continued. “We remain focused on delivering value to our owners and creating connections to empower agriculture. And we’re committed to continuing to raise our owners' voices to policymakers and elected officials and identifying opportunities to continue to build our business, leveraging our supply chain and helping our owners navigate fluctuating markets.”
Fiscal Year 2019 Business Segment Results
Energy
Pretax earnings of $618.2 million represent a $166.1 million increase versus the prior year and reflect:
• Improved market conditions in our refined fuels business driven primarily by favorable pricing on heavy Canadian crude oil, which is processed by our refineries in Laurel, Montana, and McPherson, Kansas.
• Positive resolution of a gain contingency.
• The increase was partially offset by gains associated with the sale of the Council Bluffs pipeline and terminal and 34 Zip Trip stores located in the Pacific Northwest during fiscal year 2018 that did not recur during fiscal year 2019.
Ag
Pretax earnings of $43.0 million represent a $31.3 million decrease versus prior year and reflect:
• Poor weather conditions - including flooding during the spring of 2019 that prevented and delayed planting of crops - and ongoing global trade issues between the United States and foreign trading partners resulted in generally decreased margins and volumes across most of our Ag segment.
• The decrease was partially offset by gains associated with fiscal year 2019 acquisition of the remaining 75 percent interest in West Central Distribution that CHS previously did not own.
• The net positive impact of recoveries on previously recorded reserves and impairment charges more than offset additional impairment charges taken during fiscal year 2019.
Nitrogen Production
Pretax earnings of $72.9 million represent a $34.1 million increase versus prior year and reflect:
• Improved market pricing of urea and UAN, which are produced and sold by CF Nitrogen, of which CHS has partial ownership.
Corporate and Other
Pretax earnings of $81.5 million represent a $24.5 million decrease versus prior year and reflect:
• A gain from the sale of CHS Insurance during fiscal year 2018 that did not recur in fiscal year 2019.
• The decrease was partially offset by higher earnings from our investment in Ventura Foods, LLC, and from our financing business.
Weekly Ethanol Production for 11/1/2019
According to EIA data analyzed by the Renewable Fuels Association for the week ending Nov. 1, ethanol production expanded for the sixth consecutive week, up 10,000 b/d or 1.0% to 1.014 million barrels per day (b/d)—equivalent to 42.59 million gallons daily. Conversely, production was 5.1% below the same week a year ago and 4.1% below the level two years ago. The four-week average ethanol production rate increased 1.2% to 996,000 b/d, equivalent to an annualized rate of 15.27 billion gallons.
Ethanol stocks popped up 3.7% to 21.9 million barrels following two weeks of declining volumes. However, inventories were 5.5% lower than the same week last year. Stocks built across all regions (PADDs).
There were zero imports of ethanol recorded after 53,000 b/d hit the books the prior week. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of September 2019.)
The volume of gasoline supplied to the U.S. market dropped 6.5% to 9.145 million b/d (384.1 million gallons per day, or 140.19 bg annualized). Refiner/ blender net inputs of ethanol narrowed, down 2.0% to 917,000 b/d—equivalent to 14.06 bg annualized.
Expressed as a percentage of daily gasoline demand, daily ethanol production increased to 11.09%.
NBB Applauds House Democrat Letter Pleading for Action on Tax Extenders
Today, Reps. Abby Finkenauer (D-IA), Kendra Horn (D-OK), and 38 other Democratic members of the House of Representatives sent a letter to Speaker Nancy Pelosi (D-CA) and Ways and Means Committee Chairman Richard Neal (D-MA), urging them to make extension of expired tax incentives an urgent legislative priority before the end of the year. On behalf of its member companies, the National Biodiesel Board (NBB) thanked the Democratic Representatives, especially the freshman members, and emphasized that renewing the biodiesel tax credits before the end of the year is crucial to reviving production, reopening production facilities, and saving jobs.
"Extending the biodiesel, alternative fuel vehicle refueling property, and second-generation biofuel producer tax credits are especially important to the regions we represent," the Representatives write. "Participants up and down the supply chain are experiencing hardship as a result of this lengthy lapse in the credits."
NBB Vice President of Federal Affairs Kurt Kovarik added, "The biodiesel industry thanks Representatives Finkenauer and Horn for leading the effort and drawing attention to the economic situation facing advanced biofuel producers. We thank the many other Democrats who represent biodiesel producing states for insisting that their leaders make this a legislative priority before the end of the year.
"Nine biodiesel producers – in Alabama, Connecticut, Georgia, Iowa, Michigan and Texas – have been forced to close, cut production, and lay off workers. That's because blenders count on Congress to renew the tax credit and demand a discount on the price of biodiesel. As a result, producers have taken a loss for nearly two years now. The entire industry needs Congress to act before the end of the year and renew expired tax extenders."
In addition to Reps. Finkenauer and Horn, NBB thanked Reps. Cindy Axne (D-IA), Anthony Brindisi (D-NY), Cheri Bustos (D-IL), Sean Casten (D-IL), David Cicilline (D-RI), Emanuel Cleaver (D-MO), J. Luis Correa (D-CA), Joe Courtney (D-CT), T.J. Cox (D-CT), Angie Craig (D-MN), Peter DeFazio (D-OR), Rosa DeLauro (D-CT), Bill Foster (D-IL), Tulsi Gabbard (D-HI), Ruben Gallego (D-AZ), John Garamendi (D-CA), Josh Gottheimer (D-NJ), Jahana Hayes (D-CT), Jim Himes (D-CT), Robin Kelly (D-IL), Derek Kilmer (D-WA), Ann Kuster (D-NH), Jim Langevin (D-RI), Rick Larsen (D-WA), Dave Loebsack (D-IA), Ben Ray Luján (D-NM), Ben McAdams (D-UT), Tom O'Halleran (D-AZ), Chris Pappas (D-NH), Collin Peterson (D-MN), Max Rose (D-NY), Lucille Roybal-Allard (D-CA), Bobby Rush (D-IL), Jan Schakowsky (D-IL), Haley Stevens (D-MI), Bennie Thompson (D-MS-), Paul Tonko (D-NY), and Frederica Wilson (D-FL).
Seven Fertilizers Report Price Drops
Prices dropped for seven of eight fertilizers tracked by DTN in the first week of November, as prices continued their downward trend of the past few months.
DAP continued to lead the way in price declines since last month, this time dropping $12 per ton to $464. DAP is now 8% less expensive than one year ago. Anhydrous showed an $8 per ton drop in price to $503, down only fractionally from one year ago.
Four fertilizers tracked by DTN showed $2 drops in price including MAP at $472. MAP has seen the largest price drop during the past year, down 11% from one year ago.
Urea fell from $404 to $402 per ton and is down 1% from a year ago. UAN28 dropped $2 to $251 and is 3% less expensive than one year ago. 10-34-0 recorded a $2 drop to $468, and is 2% less expensive than one year ago. Potash reported the smallest price drop of $1 to $383. Potash is down %5 from one year ago.
The price of UAN32 reported the only increase in this update from $289 to $291 per ton. However, UAN32 is 2% less expensive than a year ago.
Researchers address challenges in livestock pain mitigation
A pig or a cow can’t tell someone when its injured or in pain, but researchers are identifying ways to measure not only when an animal is in pain, but also what measures can be taken to help alleviate that pain. Abbie Viscardi, a research assistant professor in the anatomy and physiology department at Kansas State University, focuses primarily on validating non-invasive tools for pain assessment and pain alleviation of food animals on-farm to improve animal welfare. She shared her work at the 2019 U.S. Animal Health Association annual meeting, held last week in Providence, R.I.
Pain is defined as an “unpleasant sensory and emotional experience associated with actual or potential tissue damage, or described in terms of such damage.” Viscardi’s emphasis is on the sensory experience of pain, which results in changes to an animal’s behavior and physiology. The emotional experience of pain is difficult to measure with present technology.
Sources of pain for animals can include castration, tail docking, dehorning/disbudding or branding. Pain can also be associated with production or natural interaction between animals, including lameness, abrasion, the process of giving birth, or infectious diseases.
Challenges in pain management
A number of factors create challenges in terms of pain management for farm animals:
- Pain is difficult to recognize and some animals have instinctive mechanisms that inhibit their ability to exhibit pain
- Time delay between drug administration and onset of activity would slow down processing procedures or lead to inadequate analgesia at the time of a painful procedure
- Drug administration (routes and frequency) can be difficult on-farm
- Cost of drugs can be prohibitive
- Meat and milk withholding periods are often necessary
- Only one analgesic is approved for use by FDA in the U.S. to alleviate pain
The last factor is particularly important because at the present time, just one analgesic is approved for pain, and it is labeled to address pain associated with foot rot in cattle. The Food and Drug Administration states, “We [FDA] recommend that this indication be based on the control of clinical signs of pain associated with a disease. We encourage the use of validated methods of pain assessment in the target species.” In other words, the FDA wants researchers to determine effective ways to assess pain before it will recommend products to deal with it.
“Obviously, animals can’t self-report so we look at assessment tools,” Viscardi said. These include behavior, facial grimace analysis, plasma cortisol, infrared thermography, algometery (pressure tolerance at the surgical site), and pressure-mat analysis, among others.
Products are being tested for their efficacy and potential use for pain mitigation. In addition, there is the possibility that pain can be eliminated through immune-castration and genetic selection (sexed semen).
“We can look at behaviors associated with a painful event,” Viscardi said. “We can measure activity levels and monitor how often they’re eating. It’s as simple as setting a camera up and observing behavior but it’s also labor intensive and can be subjective.”
Some studies have shown pain management options in livestock are effective, but others have been inconclusive. Viscardi said it’s difficult to give a recommendation to producers or veterinarians when researchers aren’t in agreement on whether or not a drug is effective.
Progress is being made, however. The Pain Mitigation Assessment Protocol Working Group is working to establish a research protocol to reliably evaluate efficacy of pain mitigation interventions in nursing male piglets during castration. This partnership with FDA, the National Pork Board and the American Association of Swine Veterinarians is a good first step to finding viable solutions for pain mitigation.
The Trump Administration Continues To Streamline And Modernize EPA
Today, the U.S. Environmental Protection Agency (EPA) is proposing to streamline and modernize the review of permits by the agency’s Environmental Appeals Board (EAB) while providing more flexibility to regulated parties, states and tribes, and the public. Under this proposal, interested parties would be empowered to choose the option for resolving a permit dispute that is best suited to their needs.
The Agency’s proposal aims to facilitate speedy resolution of permit disputes—either through alternative dispute resolution, a hearing before the Board, or more timely judicial review. EPA proposes several additional reforms designed to streamline the current administrative appeal process and to provide appropriate checks and balances on how the EAB exercises its delegated authority. The Agency is seeking broad input through the public comment process on these proposed changes.
“Under President Trump’s leadership, we have made the Agency more accountable to the public and with this proposal we are continuing to build on that success,” said EPA Administrator Andrew Wheeler. “The Agency now works more collaboratively with the states and tribes than it did 27 years ago and the EAB’s new role will reflect this reality.”
The proposal’s key elements are designed to simplify the review process, expedite permitting, and allow parties who would like to challenge EPA’s permits in court to do so more quickly. The proposal builds on the Board’s successful voluntary Alternative Dispute Resolution (ADR) program that, to date, has resolved over 90 percent of cases that have gone through the program without litigation. The EAB’s ADR program promotes faster resolution of issues and more creative, satisfying and enduring solutions. The proposal provides parties challenging EPA’s permits with options to resolve their disputes, including ADR or a traditional appeal before Board. All parties would have a voice, and if they do not unanimously agree on the path forward, the permit becomes final and can be challenged in federal court without going through additional administrative process within the EPA.
The proposal also seeks to clarify the scope and standard of EAB review; remove a provision authorizing participation in appeals by amicus curiae; and eliminate the EAB’s authority to review Regional permit decisions on its own initiative in the absence of an appeal brought by an interested party. EPA also includes new deadlines for EAB action and other provisions to promote internal efficiency.
Finally, EPA also proposes to set twelve-year terms for EAB Judges in lieu of the indefinite terms currently in place; a new process to identify which EAB opinions will be considered precedential; and a new mechanism by which the Administrator, through the General Counsel, can issue a dispositive legal interpretation in any matter pending before the EAB.
These EAB reforms are in line with the Trump Administration’s efforts to reform and modernize EPA which include:
- A directive to end the controversial “sue and settle” practice which removes the ability of third party groups to circumvent the regulatory process and require the Agency to engage in actions without public comment.
- Reforming EPA’s science advisory committees, to ensure independence, geographic diversity, integrity.
- Implementing EPA’s Lean Management Systems and creating the Office of Continuous Improvement which measures progress made on 400 metrics and provides accountability to the public.
- Realigning the Agency’s regional offices to ensure clarity and consistency in the Agency’s functions from Headquarters to the local level.
- EPA also took steps to modernize and clear out our FOIA backlog. The steps the Trump Administration has taken will bring EPA into compliance with federal law and continue to be responsive to the public despite a 400% increase in FOIA requests since January 2017.
BACKGROUND:
The EAB was created in 1992 to hear administrative appeals. At that time, the number of EPA-issued permits was increasing. Over the past 27 years, the Board’s role in permit appeals has changed as more states and tribes assumed permitting authority under EPA’s statutes. This has dramatically reduced the number of EPA-issued permits and, in turn, the number of permits appealed to the EAB.
Nutritionists: Plant-Based Meat’s Health Halo a Nothingburger
Today the nonprofit Center for Consumer Freedom placed a full-page ad in The New York Times showcasing quotes from nutrition and medical professionals on plant-based meat’s healthiness—or lack thereof. At a time when 76% of Americans think “plant-based” foods are healthy, CCF is pointing to experts who urge caution about fake meat.
Companies that manufacture meat analogues are trying to latch on to clean eating trends by calling their products “plant-based.” In reality, these ultra-processed products, which can have dozens of ingredients, don’t grown on vines—they’re made in factories. As one dietitian puts it, “It’s not like you’re eating vegetables.” The National Institutes of Health recently found ultra-processed foods cause weight gain.
The ad, which can be found here, is the latest addition in CCF’s campaign to raise awareness of what’s in “plant-based meat.” Additional information, such as blogs and an ingredient comparison tool, can be found at CleanFoodFacts.com. Additional ads have run in The New York Times, USA Today, The Wall Street Journal, and the New York Post.
CCF managing director Will Coggin commented: “The fake meat industry has tried to play down the ultra-processing of these products by comparing them to yogurt or apple pie. But there’s a big difference between homemade baked goods and Frankenfoods created in labs.”
Western Hemisphere Ag Leaders Support Science-Based Standards
U.S. Department of Agriculture Under Secretary for Trade and Foreign Agricultural Affairs Ted McKinney issued the following statement Tuesday following the Inter-American Board of Agriculture's endorsement last week of a resolution emphasizing the need for science-based agricultural regulations to facilitate global agricultural trade.
"We have an opportunity to support the agricultural producers in the Western Hemisphere -- and across the world -- by committing to science-based standards and policies that ensure the quality and safety of our food while also facilitating international trade. I'm pleased that we've come together as neighbors across the hemisphere in support of this resolution, which lays a foundation for continued cooperation that will benefit agriculture in the Americas and beyond.
"This resolution addresses pesticide maximum residue levels, or MRLs, which are too often used as a barrier to trade. We heard firsthand this week how missing and misaligned pesticide MRLs can harm farmer livelihoods, contribute to food waste, and decrease food security. On the other hand, transparent and predictable establishment and adoption of MRLs helps farmers access the full range of tools and technologies they need to combat pests and allows them to engage in international trade.
"The United States is pleased to join with our IABA partners in endorsing this resolution supporting collaborative actions to reduce the impact of non-tariff barriers on trade, with particular emphasis on the agricultural exports of developing countries."
The IABA is the governing board of the Inter-American Institute for Cooperation on Agriculture (IICA), which is comprised of 34 Western Hemisphere countries committed to achieving agricultural development and rural well-being through international technical cooperation.
NMPF Highlights Dairy’s Resilience, Honors Farmer Leaders at Annual Meeting
National Milk Producers Federation President and CEO Jim Mulhern highlighted the resilience of U.S. dairy farmers in a challenging economic and policy environment, pledging that dairy would speak with one voice on crucial issues in remarks at NMPF’s joint annual meeting with the United Dairy Industry Association and the National Dairy Promotion and Research Board.
“Resilience against hardship has always been a fact of life in dairy,” Mulhern said. “We know that if we embrace change while holding true to our values, we will win.”
NMPF’s portion of the conference was highlighted by bylaws changes that bolster its position as the premier organization for U.S. dairy farmers. The biggest U.S. dairy-farmer group also honored longtime leaders who have helped build today’s industry.
At its annual meeting in New Orleans, the organization added the chairman of its Small Cooperative Caucus, Jimmy Kerr of Cooperative Milk Producers Association based in Blackstone, Virginia, to its now 15-member Executive Committee, ensuring that cooperatives of all sizes have a voice in the organization’s thought-leadership body. The Executive Committee, that was formed earlier this year, enhances the geographic and size diversity the organization needs in its governance structure.
“NMPF represents a broader range of dairy farmers and interests than any other industry organization,” Mulhern said. “Committing to diverse leadership makes our united voice is the strongest it can be. Brighter times lie ahead for dairy, and we are ready to advance in a wide range of areas that serve all of our members.”
The meeting, NMPF’s main policy conference of the year, featured discussions of the state of the dairy industry and economy, with remarks from the organization’s chairman, Missouri dairy farmer Randy Mooney, and presentations from NMPF staff on issues ranging from immigration to the fight against inappropriate labeling of plant-based products. It also named new members to its Board of Directors, including:
James Jacquier, Agri-Mark Inc.
Harold Howrigan, Dairy Farmers of America, Inc.
David Kyle, Foremost Farms USA
Joey Fernandes, Land O’Lakes
Sonia Fabian, Lone Star Milk Producers.
NMPF also recognized four dairy leaders with “Honorary Director for Life” designations for their service to NMPF and the broader dairy community:
Adrian Boer, Northwest Dairy Association
Cornell Kasbergen, Land O’Lakes
Neal Rea, Agri-Mark
George Rohrer, Dairy Farmers of America.
Raven Industries Acquires Smart Ag
Raven Industries, Inc., Sioux Falls, S.D., announced that it has acquired Smart Ag Inc., a technology company that develops autonomous farming solutions for agriculture. This acquisition is part of Raven Autonomy, the company's strategic growth platform to become the industry leader in autonomous agriculture solutions, announced earlier this week. Complementing the company's Applied Technology division, a leading technology provider in the precision agriculture industry, this acquisition will be integrated into the division's business and technology portfolio with the intent to create autonomous solutions for the precision ag market.
"The acquisition of Smart Ag is part of a bold, company-wide strategy for Raven," commented Dan Rykhus, Raven Industries president and CEO. "It is a key investment in Raven Autonomy, one of our two strategic growth platforms. Autonomy in agriculture is the future of farming, and this acquisition, coupled with our existing precision agriculture solutions, solidifies our position as a technology leader within this market."
As part of Raven Autonomy, the company plans to deliver autonomous solutions for agriculture that will enable both its OEM partners and ag retailers to be successful. Now more than ever, OEMs need to deliver premier precision ag solutions in order to compete. Raven Autonomy will deliver on this great challenge; its technology will enable large-scale ag retailers to augment their operations, allocate resources smartly and reduce labor dependency. Along with the company's recent agreement to acquire majority ownership in DOT Technology Corp., the acquisition of Smart Ag brings perception and path planning capabilities to the company's leading technologies in precision ag operations.
Smart Ag, headquartered in Ames, Iowa, was founded in 2015 to solve the growing labor crisis in production agriculture. Today, Smart Ag is offering aftermarket retrofit kits to automate farm equipment as well as a platform to connect, manage and safely operate autonomous agricultural machinery. Smart Ag's technology stack is easy to use and modular for scalability. In addition to its proven, proprietary technology, Smart Ag brings an established dealer network and a skilled development team to Raven.
Wilbur-Ellis Nutrition acquires assets of Rangen, Inc., significantly expanding in aquaculture, livestock nutrition sectors
Wilbur-Ellis Nutrition, LLC, an industry leader in the delivery of nutrients to the livestock, pet food and aquaculture industries, today announced the acquisition of the assets of Rangen, Inc., a privately held, 90-plus year-old aquaculture and general feed production company with production facilities in Buhl, Idaho, and Angleton, Texas.
"We're excited to welcome another well-established business with a strong industry presence to Wilbur-Ellis Nutrition," said Andrew Loder, President of the Nutrition division of Wilbur-Ellis, a leading international marketer and distributor of agricultural products, animal nutrients, and specialty chemicals and ingredients.
"Rangen is a strategic fit for Nutrition. It significantly expands our aquaculture business, immediately giving Wilbur-Ellis a nationwide platform from which to expand in one of the fastest-growing markets in the global feed industry," Loder said. "The acquisition also benefits the Company's livestock, pet and companion animal offerings by expanding our branded and custom-formulated feed options. We have been very impressed by the focus of Rangen employees on innovation, and their laser focus on helping customers succeed."
The aquaculture business includes the production of high-quality feed for fish – including trout, salmon and shrimp – which helps to meet growing consumer demand for healthy foods that are high in protein. Aquaculture also is environmentally sustainable, since feed is converted to fish production far more efficiently than other species, significantly reducing the resources required.
Rangen employs approximately 80 full-time employees at its headquarters and plant operations. The acquisition includes two plants in Buhl, Idaho, which manufacture aquaculture and general feed products, as well as an aquaculture feed plant in Angleton, Texas.
Rangen employees will join Wilbur-Ellis, continuing in their roles at their current locations. "Our Nutrition division has been an industry leader for nearly a century," said Wilbur-Ellis President and Chief Executive Officer John Buckley. "Through our diverse product lines, excellent service and innovation, we have positioned ourselves to be the provider of choice for customers and suppliers. As Rangen becomes a trusted brand of Wilbur-Ellis, we're taking the next step in growing the Nutrition business with value-added products and services in diversified end markets."
Rangen was founded in 1925, with its aquaculture division established in 1950. Rangen President Chris Rangen noted: "Throughout our history, a major advantage has been the experience, knowledge and customer commitment of Rangen employees. As this business becomes part of Wilbur-Ellis, I know these same strengths will propel the business to even greater growth. That's good for employees and the customers they serve."
Loder added: "We're extremely pleased to welcome Rangen employees to Wilbur-Ellis. We're a family-owned company that is about to celebrate our 100th anniversary. But as proud as we are of our history, we're focused on the future – and an organization like Rangen and its team will help us maintain our deep commitment to safety and deliver on our ambitious growth, value and innovation goals. With our combined strengths, we will achieve our vision of being the innovative leader in the marketing and distribution of animal nutrients."
Nebraska Farm Bureau has selected Dr. Terry Klopfenstein, Emeritus Professor at the University of Nebraska-Lincoln (UNL), as the 2019 recipient of, its highest honor, the Silver Eagle Award. The award will be presented to Klopfenstein on Dec. 10 at the 2019 Nebraska Farm Bureau Annual Convention in Kearney.
“Terry Klopfenstein, Ph.D., was a pioneer in using corn byproducts from the ethanol and sweetener industries to supplement cattle feeding,” said Steve Nelson president of the Nebraska Farm Bureau. “Dr. Klopfenstein’s research laid the groundwork for distillers’ grains to become a key feedstock that has greatly lowered the cost of production for Nebraska's beef producers and is now labeled as a co-product of the ethanol industry.”
Dr. Klopfenstein was raised on his family’s farm in Ohio and worked around animals and cattle throughout his childhood. He began his tenure at the University of Nebraska in 1965 after completing his bachelor's, master's, and doctorate degrees from Ohio State University. Dr. Klopfenstein held the University of Nebraska Wagner Professorship from 1989 to 2007. He mentored hundreds of graduate students in his 47-year career at the UNL, many of whom are recognized as excellent nutritionists. He takes pride in his work with students.
“Klopfenstein’s mother was a teacher who began her career when she was 18 years old. Growing up, his father taught him the importance of higher education because he never had the chance to further his education during the Great Depression. Terry instilled the same motivation for knowledge in his students, making them a priority in his career. Because of the need for well-trained feedlot managers, the Feedlot Management Internship was initiated in 1988 and 174 students have completed the program. His love of teaching has extended well beyond the classroom. Widely known for his research, Klopfenstein has authored 247 referred articles, 484 abstracts, and 507 technical publications,” Nelson said.
Klopfenstein has received multiple honors including the Federation of Animal Science Societies (FASS), American Feed Industry Association (AFIA), New Frontiers in Animal Nutrition Award, USDA Secretary of Agriculture Honor Award, USDA Superior Service Award, and the Morrison Award from the American Society of Animal Science, American Society of Animal Science Distinguished Teacher Award. He also was inducted into the Ohio State Animal Science and College of Ag Hall of Fame and the Nebraska Hall of Ag Achievement. Klopfenstein has been active with many industry organizations, including serving as president for the Federation of Animal Science Societies and the American Society of Animal Science
“Terry has been passionate, dedicated, determined, and devoted to improving beef nutrition in the agriculture industry. He has demonstrated outstanding leadership, provided exemplary service to Nebraska agriculture; his years of accomplishments makes him more than qualified to receive Nebraska Farm Bureau’s highest honor, the Silver Eagle Award. We thank him for his service to agriculture students and the farmers and ranchers of Nebraska,” Nelson said.
Terry and his wife Nancy live in Lincoln and have eight children, 25 grandchildren, and 15 great grandchildren. He has been a Lancaster County Farm Bureau member for 31 years and for many years continues to assist Nancy with writing letters to elementary school students about what life is like on the farm and ranch as a part of the Nebraska Farm Bureau Foundation Ag Pen Pal Program.
Norfolk firm commits to Northeast’s Nexus project
A Norfolk area firm with a strong commitment to service in the community has pledged $50,000 to the Nexus agriculture campaign at Northeast Community College.
Jared Faltys of McMill CPAs & Advisors said the firm is pleased to strengthen the community through giving back.
“Donating to the Nexus project is just one way that we do this. Giving back to clients and communities is firmly rooted in company culture,” Faltys said. “Every one of our employees receives encouragement and support to participate in professional, charitable, and nonprofit associations. Our professionals donate their time and expertise, too, often as advisory or board members.”
McMill team members volunteer with more than 15 local organizations, and host a summer camp each year to help young students learn about business and finances.
Dr. Tracy Kruse, associate vice president of development and external affairs and executive director of the Northeast Foundation, thanked McMill CPAs & Advisors for the generous gift.
“This firm has a history of supporting the community,” Kruse said. “We are so pleased that they are including the Nexus project at Northeast in their philanthropy.”
The Nexus project is a capital campaign to raise money to update aging agriculture facilities at Northeast Community College.
“Agriculture is one of the industries that McMill CPAs & Advisors specializes in,” Faltys said, “and creating a new generation of students who are passionate in agriculture encourages growth in the industry and in northeast Nebraska. We know Northeast Community College produces quality graduates for our area as many of our team members are alums. We are excited to be a small part of creating the next generation of early adopters and leaders in agriculture.”
Kruse said, “Agriculture is the bedrock of Nebraska’s economy. One out of every two jobs in this region is tied to agriculture. For businesses in this area to be successful, having a strong agricultural economy is vital.”
Funding for the $23 million Agriculture & Water Center for Excellence project is currently being solicited to enhance and expand the agriculture facilities at Northeast Community College. In addition to the College’s commitment of $10 million, Northeast is seeking at least $13 million in private funds to begin the initial phase of construction, which includes a new veterinary technology clinic and classrooms, a new farm site with a large animal handling facility, other farm structures for livestock operations, and a farm office and storage. The new facilities will be located near the Chuck Pohlman Ag Complex on E. Benjamin Ave. in Norfolk.
In August, the Acklie Charitable Foundation (ACF) announced a $5 million lead gift to the Nexus project. ACF was founded by the late Duane Acklie and Phyllis Acklie, both Madison County natives and graduates of Norfolk Junior College, a predecessor institution of Northeast Community College.
For more information on the Nexus Campaign, contact Kruse, at tracyk@northeast.edu, or call (402) 844-7056. Online donations may be made through the website agwaternexus.com. Checks may be mailed to: Nexus Campaign, Northeast Community College Foundation, P.O. Box 469, Norfolk, NE 68702-0469.
NA-BA 2019 Ag Update
You're invited to this year's annual Ag Update sponsored by the Nebraska Agri-Business Association. There are a total of 13 speakers with five on the first day and eight on the second day.
Ag Update is at the Holiday Inn Southwest in Lincoln and will start with registration at 12:30 pm on Thursday, December 5, 2019, continuing all day Friday, December 6, 2019 with registration beginning at 8:00 am.
The speakers and topics for Thursday are:
Conor Ward - 2018 Farm Bill and Program Update (PD .25)
Jeremiah Schultz - EQIP Source Water Protection Initiative (PD .25)
Nathan Mueller - Winter Wheat Works Initiative (CM 1)
Katja Koehler-Cole - Cover Crops and Soil Health (CM 1)
Keith Berns - Carbonomics (CM 1)
The speakers and topics for Friday are:
Thomas Hunt - Our Newest Nebraska Insect Pest: The Soybean Gall Midge (PM 1)
Tim Pearson - Drone Technology and Imagery (CM 1)
Robert Wright - Crop Insect Pest Update (PM 1)
Mike Zwingman - Metrics of Nutrient Use Efficiency (NM 1)
Al Dutcher - Climate Update (SW 1)
Tamra Jackson Ziems - Headlines in Corn and Soybean Diseases (PM 1)
Rich Russel - Management of Soil Health for the Future (NM 1)
James MacDonald - Nebraska Integrated Beef Systems Initiative (SW 1)
Your registration includes rolls & coffee and lunch on Friday. Please contact Sarah Skirry at sskirry@na-ba.com or (402) 476-1528, if you have any questions, or check out their web site at www.na-ba.com. They hope to see you in Lincoln at this year's Ag Update!
National Pork Board Study Defines China’s Growing Need For Protein
A new report from the National Pork Board digs into the growing short- and long-term protein needs facing China and how U.S. pork can position itself to meet that demand. The new report, Pork 2040: China Market Assessment, also reveals the impact that African swine fever (ASF) is having on both China’s short- and long-term protein needs and how the Chinese pork industry and supply chain will change as a result.
The research study was conducted by Gira, a global research firm, using Pork Checkoff dollars and funds from the U.S. Department of Agriculture Foreign Agricultural Services Emerging Markets Program (EMP). It outlines critical insights that exporters of U.S. pork can use now to position themselves for long-term success in the Chinese market.
“Pork is a critical part of the Chinese diet with per capita consumption nearing 88 pounds* per person per year,” said Norman Bessac, vice president of international marketing for the Checkoff. “This report will help exporters position U.S. pork as the supplier of choice, thereby building value for all U.S. pork producers.”
According to the report, pork consumption in China peaked in 2014 and will continue to see a slow decline as the Chinese population grows to its highest level in 2030. As the availability of other proteins – specifically fish, chicken and beef – increases along with increased disposable income, consumers will look to diversify center-of-the-plate protein options.
According to the research, U.S. pork is poised to help fill the urgent short-term protein needs that ASF is creating in China due to the decrease in China’s domestic pig population. However, by 2025 Chinese pork production will have rebounded, and farms will have had time to rebuild and become more modern. The report outlines key steps that pork exporters can take now to increase exports to China in the short-term and defines a strategy to meet long-term demands. A few highlights from the report include:
Short-term – With the current ASF outbreak, the U.S. export industry will need to work hard to capitalize on the potential market share it can garner. The demand in the short term will be for pork cuts, variety meats and carcasses. Exporters also should use the benefit of time to build loyalty with both Chinese processors and consumers.
Long-term – As 2025 approaches and Chinese domestic production rebounds, Chinese pork will replace most of the import growth seen during the ASF outbreak. However, U.S. exporters can use these next five years to build customer relationships, value around their products and to differentiate themselves as a preferred supplier in the long-term.
“The Pork Checkoff is committed to adding value for pork producers,” said David Newman, a pig farmer representing Arkansas and president of the National Pork Board. “One of the ways to build value is to expand U.S. pork exports in developed and emerging markets. This market research and future studies will help key decision-makers to define and develop these markets.”
The Pork Board has also created a free marketing toolkit, which includes ideas that U.S. pork exporters can use to build their business in China. The full report is available at pork.to/international. The Pork Checkoff collaborated with the U.S. Meat Export Federation and the National Pork Producers Council on the Pork 2040 study.
September Beef Export Volume Steady with 2018; Pork Exports Higher Year-over-Year
September exports of U.S. beef were steady with last year in volume but export value trended lower, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF). Pork exports were above year-ago levels in September but pulled back from the large totals posted in June, July and August.
September beef exports totaled 109,799 metric tons (mt), essentially even with last year, valued at $661.3 million (down 4%). Through the first three quarters of the year, beef exports were 2% below last year's record pace in both volume (991,325 mt) and value ($6.1 billion).
Beef export value per head of fed slaughter averaged $318.54 in September, up significantly from the previous month but still 5% below last year. The January-September average was down 3% to $310.77. September exports accounted for 14.6% of total U.S. beef production and 11.9% for muscle cuts only, down from 14.8% and 12.4%, respectively, last year. Through the first three quarters of the year, exports accounted for 14.3% of total beef production and 11.6% for muscle cuts, down from 14.6% and 12.1%, respectively, in 2018.
September pork exports increased 13% from a year ago in both volume (202,248 mt) and value ($532.2 million). These results pushed January-September export volume 5% ahead of last year's pace at 1.9 million mt, while value increased 2% to $4.89 billion.
Pork export value averaged $49.98 per head slaughtered in September, up 3% from a year ago. For January through September, the per-head average was down 2% to $51.50. September exports accounted for 25.1% of total U.S. pork production, slightly higher than a year ago, and 21.7% for muscle cuts only (down slightly). January-September exports accounted for 26.3% of total pork production and 22.8% for muscle cuts, both up slightly from a year ago.
"While red meat exports face obstacles in some key markets, global demand dynamics are strong and we see opportunities for significant growth in the fourth quarter and into 2020," said USMEF President and CEO Dan Halstrom. "Progress is being made on market access improvements and this makes for a very positive outlook going forward."
Beef export trend to Japan highlights need for tariff relief
Beef exports to leading market Japan continue to reflect the tariff rate gap between U.S. beef and its competitors. September exports were 14% below last year in both volume (24,041 mt) and value ($148.3 million). For the first three quarters of the year, exports to Japan were 4% below last year's pace in volume (241,739 mt) and 5% lower in value ($1.51 billion). The decline was steeper for beef muscle cuts, which were down 10% in volume to 192,676 mt, valued at $1.22 billion (down 9%). Beef variety meat exports to Japan (mainly tongues and skirts) have been a bright spot in 2019, increasing 26% in volume (49,063 mt) and 15% in value ($290.8 million). While these items also face higher tariffs compared to competitors' products, the rate is 12.8% versus 38.5% for U.S. muscle cuts.
"Japan is still delivering excellent value for U.S. beef producers, but tariff relief cannot come soon enough," Halstrom explained, referring to the recently signed U.S.-Japan trade agreement, which is being discussed and considered for approval by the Japanese Parliament. "With a level playing field, the U.S. beef industry will move a wider range of products to our loyal customers in Japan and will definitely capitalize on emerging growth opportunities."
Beef exports to South Korea continue to build on last year's record performance, as September exports climbed 11% from a year ago in volume (21,267 mt) and 6% in value ($151.6 million). For January through September, exports reached 195,557 mt (up 8%) valued at $1.36 billion (up 10%). Korea surpassed Japan as the top value market for U.S. beef muscle cuts, reaching $1.36 billion through September (up 10% year-over-year). Muscle cut volume to Korea increased 9% to 185,288 mt. Korean customs data (January through October) indicate U.S. beef accounts for 56% of Korea's beef imports this year, up from 53% last year.
Fueled by strong demand for variety meat, September beef exports to Mexico were slightly above last year in volume (19,464 mt) and 2% higher in value ($91.2 million). Through the first three quarters of the year, exports to Mexico reached 175,992 mt, down 1% from a year ago, while value increased 5% to $820.7 million. Mexico is the leading destination for beef variety meat, and September was an especially strong month, as variety meat exports climbed 26% from a year ago in volume (9,018 mt) and 51% in value ($26.4 million). While January-September variety meat exports were steady year-over-year in volume (71,522 mt), value jumped 16% to $192.5 million.
January-September highlights for U.S. beef include:
- Beef exports to Taiwan remain well ahead of last year's record pace, climbing 10% in volume (47,868 mt) and 6% in value ($427.3 million). In just nine months, exports to Taiwan have already surpassed all full-year totals posted before 2018.
- Led by impressive growth in Indonesia, beef exports to the ASEAN region were 31% ahead of last year's pace in volume (44,481 mt) and 15% higher in value ($214.5 million). Exports to Indonesia soared 74% in volume (16,984 mt) and were 42% higher in value ($60.5 million). Demand for beef variety meat increased at an even more rapid pace in Indonesia, jumping 83% in volume (9,207 mt) and 78% in value ($18.4 million).
- Strong September results in Central America pushed beef exports 8% above last year's pace in volume (11,351 mt) and 13% higher in value ($64.6 million), led by strong growth in Guatemala and Panama.
- Although volume slowed in September, beef exports to the Dominican Republic remained on a record pace, increasing 39% from a year ago in volume (6,594 mt) and 32% in value ($53.2 million).
Rebuilding effort continues for U.S. pork in Mexico; exports to China/Hong Kong moderate
Since Mexico removed its 20% retaliatory duty on U.S. pork in late May, exports have rebounded significantly but not yet to the record-large, pre-tariff levels posted in 2017 and early 2018. September exports to Mexico were down 1% year-over-year in volume (56,467 mt), but value increased 7% to $97.6 million. Through the first three quarters of the year, exports were down 10% in volume (529,776 mt) and 9% in value ($919.4 million).
"Although the U.S. industry has made rebuilding pork demand in Mexico a top priority, there is definitely a lingering effect from the retaliatory duties, which were in place for nearly a full year," Halstrom said. "While it is a great relief to once again move pork to Mexico duty-free, ratification of the U.S.-Mexico-Canada Agreement would certainly help the psychology of the market and bolster our major customers' confidence in the U.S. supply chain."
Although dramatically higher than a year ago, September pork exports to China/Hong Kong pulled back from the large totals posted over the previous two months as China's domestic pork supplies felt increasing pressure from African swine fever (ASF). September volume was 51,192 mt, up 158% from a year ago, while value increased 123% to $115.6 million. For January through September, exports to China/Hong Kong were up 47% in volume (407,514 mt) and 25% in value ($833.5 million).
"Obviously we are anxious to learn the details of the phase 1 agreement between the U.S. and China and hopeful that it removes obstacles for U.S. pork," Halstrom said. "Exports to China/Hong Kong are improving, but certainly not to the level that could be achieved if U.S. pork returned to normal tariff levels and if the U.S.-China agreement addresses non-tariff barriers as well."
The U.S. pork industry stands to benefit significantly from the U.S.-Japan trade agreement, which will bring tariffs on U.S. pork in line with those imposed on major competitors such as Canada and the European Union. Japan remains the leading value destination for U.S. pork, but September volume was down 8% to 27,812 mt and value fell 5% to $116.2 million. Through September, exports to Japan trailed last year's pace by 6% in both volume (278,352 mt) and value ($1.14 billion).
January-September highlights for U.S. pork include:
- While September exports slowed to mainstay market Colombia and to the region as a whole, pork exports to South America were still 24% above last year's record pace in volume (114,535 mt) and 26% higher in value ($287.9 million). Chile has been South America's growth pacesetter in 2019, with exports climbing 60% in volume (33,992 mt) and 53% in value ($97.6 million). The U.S. is now Chile's largest pork supplier and opportunities continue to expand as more Chilean pork is exported to China.
- A strong September performance pushed pork exports to Central America 16% above last year's record pace in volume (67,982 mt) and 19% higher in value ($165.1 million). Exports trended higher to Honduras, the largest Central American destination for U.S. pork, and Guatemala, Panama, Costa Rica and Nicaragua have achieved excellent growth in 2019.
- Exports to Oceania continue to reach new heights, climbing 37% from a year ago in volume (85,557 mt) and 33% in value ($243 million), with impressive growth in both Australia and New Zealand.
- While ASF has impacted pork production in Southeast Asia, especially in Vietnam but more recently spreading into the Philippines, lower domestic prices have affected the ASEAN region's demand for imports. U.S. shipments to the ASEAN dropped sharply in September and through the third quarter trailed last year's pace by 15% in volume (41,905 mt) and 23% in value ($95 million). However, pork and hog prices have started to trend higher in Vietnam, and the European Union's pork exports to Vietnam were record-large in August, suggesting potential for larger U.S. exports in coming months.
September lamb exports trend higher
Exports of U.S. lamb increased 22% year-over-year in September to 1,435 mt, while value improved 9% to $1.77 million. Through the first three quarters of the year, exports were 31% above last year's pace at 12,061 mt, while value increased 13% to $19.3 million. Lamb muscle cut exports were 9% lower than a year ago in volume (1,652 mt) but increased 2% in value ($10.2 million). Markets showing promising muscle cut growth included the Dominican Republic, Panama and Guatemala.
CHS Reports Fiscal Year 2019 Net Income of $829.9 Million
CHS Inc., the nation’s leading agribusiness cooperative, today reported net income of $829.9 million for the fiscal year ended Aug. 31, 2019. The results reflect an increase of $54.0 million -- or 7 percent -- compared to fiscal year 2018.
Key financial drivers for fiscal year 2019 include:
• Consolidated revenues of $31.9 billion for fiscal year 2019 compared to $32.7 billion for fiscal year 2018.
• Net income of $829.9 million for fiscal year 2019 compared to $775.9 million for fiscal year 2018.
• Improved market conditions in our refined fuels business, primarily driven by favorable purchasing of Canadian crude oil.
• Increased equity earnings from investments, including a $53.5 million increase related to CF Nitrogen. In addition, the CF Nitrogen investment distributed $186.5 million of cash to CHS Inc. in fiscal year 2019.
• Acquisition of the remaining 75 percent interest in West Central Distribution, LLC, that was not previously owned by CHS.
• Pressure on the volumes and margins of grain and agronomy products, including increased costs of operations due to ongoing weather- and trade-related issues.
• A combination of recoveries on previously recorded reserves, impairment charges and gain contingencies, which more than offset additional reserves and impairment charges taken during the year.
“We are pleased with our results on behalf of our owners in fiscal year 2019. We focused on our priorities, built on our strategies, continued to improve our control environment and leveraged the strength of our supply chain to deliver value to the farmers and co-ops that own us,” said Jay Debertin, president and CEO of CHS Inc. “Improving customer experience and innovations led to better results including increased diesel production at our refinery in McPherson, Kansas. Our acquisition of the remaining 75 percent interest in West Central Distribution that we previously didn’t own expanded our distribution channels and grew market access in agronomy.
“When flooding made major riverways impassable, we leveraged our supply chain to reposition fertilizer to ensure our cooperatives and customers had the crop nutrients they needed for spring planting,” he said. “We identified new markets for our owners’ grain to help them navigate the difficult trade situation. And we began construction on a fertilizer storage facility in North Dakota and a grain shuttle loader in Minnesota. In each of these, the driving force was to be our customers’ first choice.
“We know the headwinds agriculture faced in fiscal year 2019 have carried over to fiscal year 2020, and CHS feels those same challenges. No one, however, feels them more and understands the impact more than the farmers and cooperatives that own us,” Debertin continued. “We remain focused on delivering value to our owners and creating connections to empower agriculture. And we’re committed to continuing to raise our owners' voices to policymakers and elected officials and identifying opportunities to continue to build our business, leveraging our supply chain and helping our owners navigate fluctuating markets.”
Fiscal Year 2019 Business Segment Results
Energy
Pretax earnings of $618.2 million represent a $166.1 million increase versus the prior year and reflect:
• Improved market conditions in our refined fuels business driven primarily by favorable pricing on heavy Canadian crude oil, which is processed by our refineries in Laurel, Montana, and McPherson, Kansas.
• Positive resolution of a gain contingency.
• The increase was partially offset by gains associated with the sale of the Council Bluffs pipeline and terminal and 34 Zip Trip stores located in the Pacific Northwest during fiscal year 2018 that did not recur during fiscal year 2019.
Ag
Pretax earnings of $43.0 million represent a $31.3 million decrease versus prior year and reflect:
• Poor weather conditions - including flooding during the spring of 2019 that prevented and delayed planting of crops - and ongoing global trade issues between the United States and foreign trading partners resulted in generally decreased margins and volumes across most of our Ag segment.
• The decrease was partially offset by gains associated with fiscal year 2019 acquisition of the remaining 75 percent interest in West Central Distribution that CHS previously did not own.
• The net positive impact of recoveries on previously recorded reserves and impairment charges more than offset additional impairment charges taken during fiscal year 2019.
Nitrogen Production
Pretax earnings of $72.9 million represent a $34.1 million increase versus prior year and reflect:
• Improved market pricing of urea and UAN, which are produced and sold by CF Nitrogen, of which CHS has partial ownership.
Corporate and Other
Pretax earnings of $81.5 million represent a $24.5 million decrease versus prior year and reflect:
• A gain from the sale of CHS Insurance during fiscal year 2018 that did not recur in fiscal year 2019.
• The decrease was partially offset by higher earnings from our investment in Ventura Foods, LLC, and from our financing business.
Weekly Ethanol Production for 11/1/2019
According to EIA data analyzed by the Renewable Fuels Association for the week ending Nov. 1, ethanol production expanded for the sixth consecutive week, up 10,000 b/d or 1.0% to 1.014 million barrels per day (b/d)—equivalent to 42.59 million gallons daily. Conversely, production was 5.1% below the same week a year ago and 4.1% below the level two years ago. The four-week average ethanol production rate increased 1.2% to 996,000 b/d, equivalent to an annualized rate of 15.27 billion gallons.
Ethanol stocks popped up 3.7% to 21.9 million barrels following two weeks of declining volumes. However, inventories were 5.5% lower than the same week last year. Stocks built across all regions (PADDs).
There were zero imports of ethanol recorded after 53,000 b/d hit the books the prior week. (Weekly export data for ethanol is not reported simultaneously; the latest export data is as of September 2019.)
The volume of gasoline supplied to the U.S. market dropped 6.5% to 9.145 million b/d (384.1 million gallons per day, or 140.19 bg annualized). Refiner/ blender net inputs of ethanol narrowed, down 2.0% to 917,000 b/d—equivalent to 14.06 bg annualized.
Expressed as a percentage of daily gasoline demand, daily ethanol production increased to 11.09%.
NBB Applauds House Democrat Letter Pleading for Action on Tax Extenders
Today, Reps. Abby Finkenauer (D-IA), Kendra Horn (D-OK), and 38 other Democratic members of the House of Representatives sent a letter to Speaker Nancy Pelosi (D-CA) and Ways and Means Committee Chairman Richard Neal (D-MA), urging them to make extension of expired tax incentives an urgent legislative priority before the end of the year. On behalf of its member companies, the National Biodiesel Board (NBB) thanked the Democratic Representatives, especially the freshman members, and emphasized that renewing the biodiesel tax credits before the end of the year is crucial to reviving production, reopening production facilities, and saving jobs.
"Extending the biodiesel, alternative fuel vehicle refueling property, and second-generation biofuel producer tax credits are especially important to the regions we represent," the Representatives write. "Participants up and down the supply chain are experiencing hardship as a result of this lengthy lapse in the credits."
NBB Vice President of Federal Affairs Kurt Kovarik added, "The biodiesel industry thanks Representatives Finkenauer and Horn for leading the effort and drawing attention to the economic situation facing advanced biofuel producers. We thank the many other Democrats who represent biodiesel producing states for insisting that their leaders make this a legislative priority before the end of the year.
"Nine biodiesel producers – in Alabama, Connecticut, Georgia, Iowa, Michigan and Texas – have been forced to close, cut production, and lay off workers. That's because blenders count on Congress to renew the tax credit and demand a discount on the price of biodiesel. As a result, producers have taken a loss for nearly two years now. The entire industry needs Congress to act before the end of the year and renew expired tax extenders."
In addition to Reps. Finkenauer and Horn, NBB thanked Reps. Cindy Axne (D-IA), Anthony Brindisi (D-NY), Cheri Bustos (D-IL), Sean Casten (D-IL), David Cicilline (D-RI), Emanuel Cleaver (D-MO), J. Luis Correa (D-CA), Joe Courtney (D-CT), T.J. Cox (D-CT), Angie Craig (D-MN), Peter DeFazio (D-OR), Rosa DeLauro (D-CT), Bill Foster (D-IL), Tulsi Gabbard (D-HI), Ruben Gallego (D-AZ), John Garamendi (D-CA), Josh Gottheimer (D-NJ), Jahana Hayes (D-CT), Jim Himes (D-CT), Robin Kelly (D-IL), Derek Kilmer (D-WA), Ann Kuster (D-NH), Jim Langevin (D-RI), Rick Larsen (D-WA), Dave Loebsack (D-IA), Ben Ray Luján (D-NM), Ben McAdams (D-UT), Tom O'Halleran (D-AZ), Chris Pappas (D-NH), Collin Peterson (D-MN), Max Rose (D-NY), Lucille Roybal-Allard (D-CA), Bobby Rush (D-IL), Jan Schakowsky (D-IL), Haley Stevens (D-MI), Bennie Thompson (D-MS-), Paul Tonko (D-NY), and Frederica Wilson (D-FL).
Seven Fertilizers Report Price Drops
Prices dropped for seven of eight fertilizers tracked by DTN in the first week of November, as prices continued their downward trend of the past few months.
DAP continued to lead the way in price declines since last month, this time dropping $12 per ton to $464. DAP is now 8% less expensive than one year ago. Anhydrous showed an $8 per ton drop in price to $503, down only fractionally from one year ago.
Four fertilizers tracked by DTN showed $2 drops in price including MAP at $472. MAP has seen the largest price drop during the past year, down 11% from one year ago.
Urea fell from $404 to $402 per ton and is down 1% from a year ago. UAN28 dropped $2 to $251 and is 3% less expensive than one year ago. 10-34-0 recorded a $2 drop to $468, and is 2% less expensive than one year ago. Potash reported the smallest price drop of $1 to $383. Potash is down %5 from one year ago.
The price of UAN32 reported the only increase in this update from $289 to $291 per ton. However, UAN32 is 2% less expensive than a year ago.
Researchers address challenges in livestock pain mitigation
A pig or a cow can’t tell someone when its injured or in pain, but researchers are identifying ways to measure not only when an animal is in pain, but also what measures can be taken to help alleviate that pain. Abbie Viscardi, a research assistant professor in the anatomy and physiology department at Kansas State University, focuses primarily on validating non-invasive tools for pain assessment and pain alleviation of food animals on-farm to improve animal welfare. She shared her work at the 2019 U.S. Animal Health Association annual meeting, held last week in Providence, R.I.
Pain is defined as an “unpleasant sensory and emotional experience associated with actual or potential tissue damage, or described in terms of such damage.” Viscardi’s emphasis is on the sensory experience of pain, which results in changes to an animal’s behavior and physiology. The emotional experience of pain is difficult to measure with present technology.
Sources of pain for animals can include castration, tail docking, dehorning/disbudding or branding. Pain can also be associated with production or natural interaction between animals, including lameness, abrasion, the process of giving birth, or infectious diseases.
Challenges in pain management
A number of factors create challenges in terms of pain management for farm animals:
- Pain is difficult to recognize and some animals have instinctive mechanisms that inhibit their ability to exhibit pain
- Time delay between drug administration and onset of activity would slow down processing procedures or lead to inadequate analgesia at the time of a painful procedure
- Drug administration (routes and frequency) can be difficult on-farm
- Cost of drugs can be prohibitive
- Meat and milk withholding periods are often necessary
- Only one analgesic is approved for use by FDA in the U.S. to alleviate pain
The last factor is particularly important because at the present time, just one analgesic is approved for pain, and it is labeled to address pain associated with foot rot in cattle. The Food and Drug Administration states, “We [FDA] recommend that this indication be based on the control of clinical signs of pain associated with a disease. We encourage the use of validated methods of pain assessment in the target species.” In other words, the FDA wants researchers to determine effective ways to assess pain before it will recommend products to deal with it.
“Obviously, animals can’t self-report so we look at assessment tools,” Viscardi said. These include behavior, facial grimace analysis, plasma cortisol, infrared thermography, algometery (pressure tolerance at the surgical site), and pressure-mat analysis, among others.
Products are being tested for their efficacy and potential use for pain mitigation. In addition, there is the possibility that pain can be eliminated through immune-castration and genetic selection (sexed semen).
“We can look at behaviors associated with a painful event,” Viscardi said. “We can measure activity levels and monitor how often they’re eating. It’s as simple as setting a camera up and observing behavior but it’s also labor intensive and can be subjective.”
Some studies have shown pain management options in livestock are effective, but others have been inconclusive. Viscardi said it’s difficult to give a recommendation to producers or veterinarians when researchers aren’t in agreement on whether or not a drug is effective.
Progress is being made, however. The Pain Mitigation Assessment Protocol Working Group is working to establish a research protocol to reliably evaluate efficacy of pain mitigation interventions in nursing male piglets during castration. This partnership with FDA, the National Pork Board and the American Association of Swine Veterinarians is a good first step to finding viable solutions for pain mitigation.
The Trump Administration Continues To Streamline And Modernize EPA
Today, the U.S. Environmental Protection Agency (EPA) is proposing to streamline and modernize the review of permits by the agency’s Environmental Appeals Board (EAB) while providing more flexibility to regulated parties, states and tribes, and the public. Under this proposal, interested parties would be empowered to choose the option for resolving a permit dispute that is best suited to their needs.
The Agency’s proposal aims to facilitate speedy resolution of permit disputes—either through alternative dispute resolution, a hearing before the Board, or more timely judicial review. EPA proposes several additional reforms designed to streamline the current administrative appeal process and to provide appropriate checks and balances on how the EAB exercises its delegated authority. The Agency is seeking broad input through the public comment process on these proposed changes.
“Under President Trump’s leadership, we have made the Agency more accountable to the public and with this proposal we are continuing to build on that success,” said EPA Administrator Andrew Wheeler. “The Agency now works more collaboratively with the states and tribes than it did 27 years ago and the EAB’s new role will reflect this reality.”
The proposal’s key elements are designed to simplify the review process, expedite permitting, and allow parties who would like to challenge EPA’s permits in court to do so more quickly. The proposal builds on the Board’s successful voluntary Alternative Dispute Resolution (ADR) program that, to date, has resolved over 90 percent of cases that have gone through the program without litigation. The EAB’s ADR program promotes faster resolution of issues and more creative, satisfying and enduring solutions. The proposal provides parties challenging EPA’s permits with options to resolve their disputes, including ADR or a traditional appeal before Board. All parties would have a voice, and if they do not unanimously agree on the path forward, the permit becomes final and can be challenged in federal court without going through additional administrative process within the EPA.
The proposal also seeks to clarify the scope and standard of EAB review; remove a provision authorizing participation in appeals by amicus curiae; and eliminate the EAB’s authority to review Regional permit decisions on its own initiative in the absence of an appeal brought by an interested party. EPA also includes new deadlines for EAB action and other provisions to promote internal efficiency.
Finally, EPA also proposes to set twelve-year terms for EAB Judges in lieu of the indefinite terms currently in place; a new process to identify which EAB opinions will be considered precedential; and a new mechanism by which the Administrator, through the General Counsel, can issue a dispositive legal interpretation in any matter pending before the EAB.
These EAB reforms are in line with the Trump Administration’s efforts to reform and modernize EPA which include:
- A directive to end the controversial “sue and settle” practice which removes the ability of third party groups to circumvent the regulatory process and require the Agency to engage in actions without public comment.
- Reforming EPA’s science advisory committees, to ensure independence, geographic diversity, integrity.
- Implementing EPA’s Lean Management Systems and creating the Office of Continuous Improvement which measures progress made on 400 metrics and provides accountability to the public.
- Realigning the Agency’s regional offices to ensure clarity and consistency in the Agency’s functions from Headquarters to the local level.
- EPA also took steps to modernize and clear out our FOIA backlog. The steps the Trump Administration has taken will bring EPA into compliance with federal law and continue to be responsive to the public despite a 400% increase in FOIA requests since January 2017.
BACKGROUND:
The EAB was created in 1992 to hear administrative appeals. At that time, the number of EPA-issued permits was increasing. Over the past 27 years, the Board’s role in permit appeals has changed as more states and tribes assumed permitting authority under EPA’s statutes. This has dramatically reduced the number of EPA-issued permits and, in turn, the number of permits appealed to the EAB.
Nutritionists: Plant-Based Meat’s Health Halo a Nothingburger
Today the nonprofit Center for Consumer Freedom placed a full-page ad in The New York Times showcasing quotes from nutrition and medical professionals on plant-based meat’s healthiness—or lack thereof. At a time when 76% of Americans think “plant-based” foods are healthy, CCF is pointing to experts who urge caution about fake meat.
Companies that manufacture meat analogues are trying to latch on to clean eating trends by calling their products “plant-based.” In reality, these ultra-processed products, which can have dozens of ingredients, don’t grown on vines—they’re made in factories. As one dietitian puts it, “It’s not like you’re eating vegetables.” The National Institutes of Health recently found ultra-processed foods cause weight gain.
The ad, which can be found here, is the latest addition in CCF’s campaign to raise awareness of what’s in “plant-based meat.” Additional information, such as blogs and an ingredient comparison tool, can be found at CleanFoodFacts.com. Additional ads have run in The New York Times, USA Today, The Wall Street Journal, and the New York Post.
CCF managing director Will Coggin commented: “The fake meat industry has tried to play down the ultra-processing of these products by comparing them to yogurt or apple pie. But there’s a big difference between homemade baked goods and Frankenfoods created in labs.”
Western Hemisphere Ag Leaders Support Science-Based Standards
U.S. Department of Agriculture Under Secretary for Trade and Foreign Agricultural Affairs Ted McKinney issued the following statement Tuesday following the Inter-American Board of Agriculture's endorsement last week of a resolution emphasizing the need for science-based agricultural regulations to facilitate global agricultural trade.
"We have an opportunity to support the agricultural producers in the Western Hemisphere -- and across the world -- by committing to science-based standards and policies that ensure the quality and safety of our food while also facilitating international trade. I'm pleased that we've come together as neighbors across the hemisphere in support of this resolution, which lays a foundation for continued cooperation that will benefit agriculture in the Americas and beyond.
"This resolution addresses pesticide maximum residue levels, or MRLs, which are too often used as a barrier to trade. We heard firsthand this week how missing and misaligned pesticide MRLs can harm farmer livelihoods, contribute to food waste, and decrease food security. On the other hand, transparent and predictable establishment and adoption of MRLs helps farmers access the full range of tools and technologies they need to combat pests and allows them to engage in international trade.
"The United States is pleased to join with our IABA partners in endorsing this resolution supporting collaborative actions to reduce the impact of non-tariff barriers on trade, with particular emphasis on the agricultural exports of developing countries."
The IABA is the governing board of the Inter-American Institute for Cooperation on Agriculture (IICA), which is comprised of 34 Western Hemisphere countries committed to achieving agricultural development and rural well-being through international technical cooperation.
NMPF Highlights Dairy’s Resilience, Honors Farmer Leaders at Annual Meeting
National Milk Producers Federation President and CEO Jim Mulhern highlighted the resilience of U.S. dairy farmers in a challenging economic and policy environment, pledging that dairy would speak with one voice on crucial issues in remarks at NMPF’s joint annual meeting with the United Dairy Industry Association and the National Dairy Promotion and Research Board.
“Resilience against hardship has always been a fact of life in dairy,” Mulhern said. “We know that if we embrace change while holding true to our values, we will win.”
NMPF’s portion of the conference was highlighted by bylaws changes that bolster its position as the premier organization for U.S. dairy farmers. The biggest U.S. dairy-farmer group also honored longtime leaders who have helped build today’s industry.
At its annual meeting in New Orleans, the organization added the chairman of its Small Cooperative Caucus, Jimmy Kerr of Cooperative Milk Producers Association based in Blackstone, Virginia, to its now 15-member Executive Committee, ensuring that cooperatives of all sizes have a voice in the organization’s thought-leadership body. The Executive Committee, that was formed earlier this year, enhances the geographic and size diversity the organization needs in its governance structure.
“NMPF represents a broader range of dairy farmers and interests than any other industry organization,” Mulhern said. “Committing to diverse leadership makes our united voice is the strongest it can be. Brighter times lie ahead for dairy, and we are ready to advance in a wide range of areas that serve all of our members.”
The meeting, NMPF’s main policy conference of the year, featured discussions of the state of the dairy industry and economy, with remarks from the organization’s chairman, Missouri dairy farmer Randy Mooney, and presentations from NMPF staff on issues ranging from immigration to the fight against inappropriate labeling of plant-based products. It also named new members to its Board of Directors, including:
James Jacquier, Agri-Mark Inc.
Harold Howrigan, Dairy Farmers of America, Inc.
David Kyle, Foremost Farms USA
Joey Fernandes, Land O’Lakes
Sonia Fabian, Lone Star Milk Producers.
NMPF also recognized four dairy leaders with “Honorary Director for Life” designations for their service to NMPF and the broader dairy community:
Adrian Boer, Northwest Dairy Association
Cornell Kasbergen, Land O’Lakes
Neal Rea, Agri-Mark
George Rohrer, Dairy Farmers of America.
Raven Industries Acquires Smart Ag
Raven Industries, Inc., Sioux Falls, S.D., announced that it has acquired Smart Ag Inc., a technology company that develops autonomous farming solutions for agriculture. This acquisition is part of Raven Autonomy, the company's strategic growth platform to become the industry leader in autonomous agriculture solutions, announced earlier this week. Complementing the company's Applied Technology division, a leading technology provider in the precision agriculture industry, this acquisition will be integrated into the division's business and technology portfolio with the intent to create autonomous solutions for the precision ag market.
"The acquisition of Smart Ag is part of a bold, company-wide strategy for Raven," commented Dan Rykhus, Raven Industries president and CEO. "It is a key investment in Raven Autonomy, one of our two strategic growth platforms. Autonomy in agriculture is the future of farming, and this acquisition, coupled with our existing precision agriculture solutions, solidifies our position as a technology leader within this market."
As part of Raven Autonomy, the company plans to deliver autonomous solutions for agriculture that will enable both its OEM partners and ag retailers to be successful. Now more than ever, OEMs need to deliver premier precision ag solutions in order to compete. Raven Autonomy will deliver on this great challenge; its technology will enable large-scale ag retailers to augment their operations, allocate resources smartly and reduce labor dependency. Along with the company's recent agreement to acquire majority ownership in DOT Technology Corp., the acquisition of Smart Ag brings perception and path planning capabilities to the company's leading technologies in precision ag operations.
Smart Ag, headquartered in Ames, Iowa, was founded in 2015 to solve the growing labor crisis in production agriculture. Today, Smart Ag is offering aftermarket retrofit kits to automate farm equipment as well as a platform to connect, manage and safely operate autonomous agricultural machinery. Smart Ag's technology stack is easy to use and modular for scalability. In addition to its proven, proprietary technology, Smart Ag brings an established dealer network and a skilled development team to Raven.
Wilbur-Ellis Nutrition acquires assets of Rangen, Inc., significantly expanding in aquaculture, livestock nutrition sectors
Wilbur-Ellis Nutrition, LLC, an industry leader in the delivery of nutrients to the livestock, pet food and aquaculture industries, today announced the acquisition of the assets of Rangen, Inc., a privately held, 90-plus year-old aquaculture and general feed production company with production facilities in Buhl, Idaho, and Angleton, Texas.
"We're excited to welcome another well-established business with a strong industry presence to Wilbur-Ellis Nutrition," said Andrew Loder, President of the Nutrition division of Wilbur-Ellis, a leading international marketer and distributor of agricultural products, animal nutrients, and specialty chemicals and ingredients.
"Rangen is a strategic fit for Nutrition. It significantly expands our aquaculture business, immediately giving Wilbur-Ellis a nationwide platform from which to expand in one of the fastest-growing markets in the global feed industry," Loder said. "The acquisition also benefits the Company's livestock, pet and companion animal offerings by expanding our branded and custom-formulated feed options. We have been very impressed by the focus of Rangen employees on innovation, and their laser focus on helping customers succeed."
The aquaculture business includes the production of high-quality feed for fish – including trout, salmon and shrimp – which helps to meet growing consumer demand for healthy foods that are high in protein. Aquaculture also is environmentally sustainable, since feed is converted to fish production far more efficiently than other species, significantly reducing the resources required.
Rangen employs approximately 80 full-time employees at its headquarters and plant operations. The acquisition includes two plants in Buhl, Idaho, which manufacture aquaculture and general feed products, as well as an aquaculture feed plant in Angleton, Texas.
Rangen employees will join Wilbur-Ellis, continuing in their roles at their current locations. "Our Nutrition division has been an industry leader for nearly a century," said Wilbur-Ellis President and Chief Executive Officer John Buckley. "Through our diverse product lines, excellent service and innovation, we have positioned ourselves to be the provider of choice for customers and suppliers. As Rangen becomes a trusted brand of Wilbur-Ellis, we're taking the next step in growing the Nutrition business with value-added products and services in diversified end markets."
Rangen was founded in 1925, with its aquaculture division established in 1950. Rangen President Chris Rangen noted: "Throughout our history, a major advantage has been the experience, knowledge and customer commitment of Rangen employees. As this business becomes part of Wilbur-Ellis, I know these same strengths will propel the business to even greater growth. That's good for employees and the customers they serve."
Loder added: "We're extremely pleased to welcome Rangen employees to Wilbur-Ellis. We're a family-owned company that is about to celebrate our 100th anniversary. But as proud as we are of our history, we're focused on the future – and an organization like Rangen and its team will help us maintain our deep commitment to safety and deliver on our ambitious growth, value and innovation goals. With our combined strengths, we will achieve our vision of being the innovative leader in the marketing and distribution of animal nutrients."
Subscribe to:
Posts (Atom)