Friday 27th January 2012

Nebraska farmers can donate grain to help Japanese

A new program allows Nebraska farmers to donate bushels of corn or any grain to the Red Cross and directly help those impacted by the earthquake and tsunami in Japan.

The program was developed by the Nebraska Corn Growers Association (NeCGA), Aurora Cooperative and the American Red Cross.  NeCGA’s Mat Habrock says the idea came from John Willoughby, a farmer from Wood River.

“Recognizing that Japan has traditionally been the largest customer, for not only U.S. corn, but several other ag products,” Habrock says, “and in a time of need, we decided we wanted to find a way to help our neighbors in Japan and the Pacific as they recover from the terrible earthquake, and tsunami that followed.”

AUDIO: Mat Habrock (2 min MP3)

Donations of grain are being accepted at Aurora Cooperative locations in Keene, Sedan, and Aurora West in Nebraska beginning this Friday, April 1st—and at all other Aurora Coop locations beginning April 2nd.  Donations will continue to be accepted through July 30th

Aurora Coop’s Dawn Caldwell says she’s hoping for a strong response from farmers.

“Just today we started getting the word out to farmers—and already we’re hearing some pretty positive numbers,” Caldwell says, “and I think (there are) some farmers kind of encouraging one another to give more than another one—or creating their own little contests within it.  So I think it can turn out to be a really good and really positive amendment.”

Caldwell says when farmers deliver grain to one of Aurora Coop’s 19 locations, they can designate the entire load or a percentage of the load to relief efforts.  They will get a receipt for their contributions and 100 percent of the dollars from the sale of that grain will go to the Red Cross.    

AUDIO: Dawn Caldwell (3 min MP3)

U.S. poultry industry meetings in May

Several key meetings for the poultry industry are coming up in May.

On May 3rd and 4th, in Oxford, Alabama, a Poultry Wastewater Operator Training Program will be held. Sponsored by the US Poultry and Egg Association, the course will introduce students to regulations governing poultry plant effluents and the proper treatment before discharging them. It’s geared toward operators and supervisors involved in poultry wastewater treatment for two years or less.

The National Breeders Roundtable will be held May 4th and 5th in St. Louis, bringing breeder specialists and geneticists from the poultry industry, government and universities to discuss the latest breeding research and developments.

Then, May 11th and 12th, the 2011 Poultry Processor Workshop will be held in downtown Atlanta. Topics to be covered include the impact of grain markets on yield, bird weights and line efficiency; animal welfare; employee retention; energy efficiency, new processing technology and an FSIS update.

For more information on any of these meetings go online to http://www.poultryegg.org/

ADM to expand grain storage in MO & IL

Archer Daniels Midland Company is planning to triple storage capacity at two of its grain-elevators in northeast Missouri and improve storage and efficiency at its barge-loading terminal in western Illinois. ADM, based in Decatur, Illinois, says the projects will expand capacity by nearly One-Million-700-Thousand bushels, enhance corn drying capabilities and reduce truck unloading times.

ADM officials say the expansion, at facilities in Center and Novelty, Missouri and in Quincy, Illinois, will meet the needs of local farmers and their increased production.

Crops received will help supply ADM’s soybean processing facilities in Quincy and in Mexico, Missouri and their barge loading terminals in Quincy and St. Louis. Once permits are issued, construction can begin this spring with the expansion completed by this year’s harvest season.

ADM operates more than 190 elevators in the U.S. with a total storage capacity of more than 420 Million bushels.

Vilsack discusses feed availability concerns

Secretary of Agricutlure Tom Vilsack was the keynote speaker at the St. Louis Agribusiness Club on Monday.  At the conclusion of his prepared remarks, Vilsack took questions from the audience.  One question he fielded from an audience member included this inquiry:  “Mr. Secretary, the livestock industry continues to be the largest consumer of corn in the U.S.  The dairy farmers I represent, the hog farmers and cattleman would like to know: If we have a shortage in the U.S. corn crop this summer, what is USDA prepared to do to help the U.S. livestock industry?”

AUDIO: Tom Vilsack (2:30 MP3)

FarmPolicy.com and AgWired.com contributed to this report.

Tuesday midday cash livestock markets

The fed cattle trade could develop relatively early this week given tight feedlot supplies, excellent packer margins and smaller live inventories owned by processors.  This week’s show lists are generally smaller with Kansas the only state showing a few more cattle. No bids have been reported and asking prices are around 120.00 plus in the South and 195.00 in the North.

Choice boxed beef is .81 higher at 187.23, and select is up .17 at 185.55.

Feeder cattle receipts at the Joplin Regional Stockyards totaled 6,000 head on Monday. Compared to last week feeder steers sold steady to 4.00 higher, and heifers were steady to 5.00 higher. Feeder steers medium and large 1 weighing 500 to 600 pounds traded from 137.00 to 167.00, 7 to 8 weights from 124.00 to 136.50. Heifers weighing 500 to 600 pounds brought 127.00 to 143.00 and 7 to 8 weights from 116.50 to 122.00.

Barrows and gilts in the Iowa/Minnesota direct trade are up 1.26 and the West is 1.77 higher with both at 86.55 on a carcass basis. Eastern hog prices are not reported due to confidentiality. The Missouri direct base carcass meat price is steady to 1.00 higher from 78.00 to 79.00. At the terminals on a live basis barrows and gilts are steady to 1.00 higher from 56.50 to 59.00.

The pork carcass value opened the week with decent strength, helped by some cleanup ham trade linked to the Easter holiday next month. Packers have plenty of incentive to keep their oars in the water.

Finding the right risk management tool

When it comes to risk management tools, Cory Winstead, Risk Management Specialist for AgriVisor says there are several available and farmers are putting them work in their operations, the question is, how do we decide what’s best for me.

Audio: Cory Winstead, AgriVisor (3:00 MP3)

Corn growers -vs- food processors

Corn grower organizations are firing back in the food-versus-fuel dispute. The National Corn Growers Association president Bart Schott taking issue with statements from Nestlé’s chairman last week who said the use of corn for ethanol was not only wrong but dangerous. Schott fired “It is scandalous, ludicrous and highly irresponsible for the chairman of a global conglomerate that tripled its profits last year to talk about higher corn prices forcing millions into starvation.” The corn grower adds, “Perhaps if Nestle is so concerned about food prices, its board will consider putting more of their $35.7 billion in 2010 profits back into poor communities. Just their profits alone represent more than half the entire farm value of the 2010 U.S. corn crop.” Schott says it is time food processing companies justify their price increases and explain to hungry families why they have less to eat so company shareholders can make more money.

The American Corn Growers Foundation chair, Gale Lush also blasting food processing companies and their associations along with the petroleum industry, environmental groups, big livestock feeding entities and others for conducting corn and ethanol misinformation campaigns at members of Congress and consumers. Lush pointed out that one-third of every bushel of corn going into ethanol production comes out as animal feed. “Instead of attacking ethanol and corn growers, members of Congress and industry leaders, environmentalists, and yes, consumers, should be supporting corn farmers for holding down gas prices, creating jobs and building the nation’s economy. Why not thank farmers for helping feed the world, while fueling our great nation and reducing our dependence on oil regimes that are affiliated with terrorists?”

Secretary Vilsack touts Korea Free Trade

The U.S. Secretary of Agriculture says there’s no place better than St. Louis to tout the South Korea Free Trade Agreement currently awaiting congressional action. Secretary Tom Vilsack tells Brownfield that three-quarters of the U.S. corn and soybean crop grows within 500 miles of the Gateway Arch.

“It’s important for us to basically convey the message of how significant the Korean Free Trade Agreement will be for expanding exports and expanding farm income opportunities,” said Secretary Vilsack, during an interview with Brownfield Monday.

The Obama Administration estimates that the Korea pact alone is worth an extra $1.9 billion in agriculture business on top of the $5.3 billion worth already done with that nation.

“When we get to $7.2 billion of ag exports with Korea we will basically surpass the cumulative total of the previous nine free trade agreements in terms of ag trade,” says Secretary Vilsack, “so it’s a huge opportunity for us to expand markets.”

The Agriculture Secretary says 60 percent of the tariffs levied on U.S. agricultural products will disappear when the agreement takes effect and another 40 percent will come off eventually.

Vilsack warns, however, that linking the Korea deal with the yet-to-be-completed free trade agreements with Colombia and Panama, as some currently favor, may delay finalization of the Korea FTA.

“You basically empower negotiators in Colombia to be far tougher with us than they would otherwise be because they would recognize that it’s not just their agreement, but now the Korean Free Trade Agreement that’s linked to the passage and ultimate negotiation of their agreement,” says Secretary Vilsack.

While in St. Louis the Agriculture Secretary also helped cut the ribbon on an agriculture statistics facility that consolidates operations of 40 field offices.

AUDIO: Secretary Tom Vilsack (6 min. MP3)

Cash cheese turns on two unfilled bids

Cash cheese markets turning around on a couple of unfilled bids on Monday. Barrels on the Chicago Mercantile Exchange increased 1.25 cents to close at $1.6525 while blocks gained 7.25 cents to close at $1.70. Near-month Class III futures continued to surge, April gained 25 cents taking the contract over the $17 mark, May gained 22 cents and June added 14 cents. July held steady.

Dairy Market News reports the milk season is winding down in New Zealand and the country is just not going to make up for the loss of production from drought earlier in the season. Handlers are now recalculating estimates putting production more in line with last season. Australia has had way more moisture than needed this year and while production for the season should be about steady with last year, speculation is it will take a couple of years to see the full effect of the flooding especially in Victoria. As the season winds down in Oceania, much of the manufactured dairy product stock has been committed. Milk product prices are edging lower, the most recent auction prices had anhydrous milk fat down 4.5 percent, skim milk powder down 4.6 percent, whole milk powder dropped 11.4 percent. Japan is a major customer for New Zealand and Australia, reports are sales have slowed since the earthquake and tsunami but continued. Traders say it is too early to really tell what impact it is going to have.

Cooperatives Working Together (CWT) accepted three requests for export assistance from Darigold, Foremost Farms, and United Dairymen of Arizona to sell a total of 235 metric tons (518,086 pounds) of Cheddar and Monterey Jack cheese to customers in Asia and the Middle East. The product will be delivered March through June.

In 2011, CWT has assisted members in making export sales of Cheddar, Monterey Jack, and Gouda cheese totaling 8,874 metric tons (19.6 million pounds) to 16 countries on three continents.

Lower seeding rate OK for beans, says IL-U

The high cost of a bag of soybeans is causing farmers to lower seeding rates and a soybean Extension Specialist says that’s okay.

Vince Davis with the University of Illinois says putting more soybean seeds into an acre of farmland doesn’t guarantee a higher yield.

Davis says the ultimate goal is 100-thousand uniformly spaced plants per acre once they’re established.

“Growers should calculate, basically, back from that based on the type of planter they have, the planting system, their seedbed preparations and the germination rate of the seed that they’re using.”

Davis says if a grower is doing a good job of seedbed preparation, then maximizing the economics of soybean production might come at a seeding rate somewhere between 130 and 150-thousand to the acre.

“Some seed treatments, the value will increase, as you want to reduce that seed rate a little bit. And, historically, we’ve used untreated seed but we’ve also been planting at 170- to 200,000 seeds per acre.”

Davis says if you lose some of those to seedlings to disease it doesn’t have the impact it would to lose those seedlings if you’re only starting with 120-thousand plants to begin with.