Friday 27th January 2012

USDA raises 2011 U.S. corn acreage estimate

USDA has, surprisingly, increased its planted area estimate for corn. Most analysts expected a decrease following a late start to planting and widespread flooding in some key U.S. growing areas. The average guess was 90.776 million acres, compared to 92.178 million in March and the 2010 total of 88.192 million acres.

USDA pegs corn acreage at 92.282 million acres, up around 400,000 from the March 31 estimate, 5% above last year and the second highest since 1944. Harvested acreage is seen at 84.888 million acres, 4% above 2010.

Soybeans are estimated at 75.208 million acres, down more than a million from USDA’s last guess and 3% below a year ago. Prior to the report, analysts saw beans around 76.476 million acres, compared to the March 31 guess of 76.609 million and the 2010 total of 77.404 million acres. Harvested area for beans is projected at 74.258 million acres, also 3% below 2010.

Spring wheat acreage is estimated at 13.627 million acres, roughly 800,000 less than the previous estimate and 1% lower than last year. The average estimate was 13.324 million acres, compared to the prior guess of 14.427 million acres and the 2010 total of 13.698 million.

All wheat acreage came out at 56.433 million acres, compared to 53.603 million a year ago, with harvested area at 47.174 million acres, compared to 47.637 million last year. Winter wheat was pegged at 41.108 million acres, compared to 37.335 million in 2010, while harvested area is seen at 32.307 million acres, compared to 31.749 million a year ago.

The numbers look bearish for corn futures and neutral to supportive for soybeans.

Selected crops by state:

[Read more...]

Promoting responsible animal husbandry

Commentary.

For those of you who do not like the smell of wood shavings, sawdust, cows, pigs, sheep and rabbits, you are missing out on one of my favorite things about the county fair. The olfactory nerves get a pretty good work-out if you walk through the livestock barns and wander over to the arena where the team penning competition is underway. Take a stroll through the carnival with its array of cotton candy, corn dog, and popcorn stands, and finally take your seat in the grandstand where exhaust from the “tough trucks competition” hangs low in the air.

Ah, the smells of summertime!

Another favorite event of mine at the county fair is the livestock showmanship competition. Although the showmanship competition class usually occurs after each respective livestock species competition is complete, a good judge is at work throughout the day, looking to see which exhibitors possess the appearance and behavior of true showmen.

Being a good showman is presenting an animal in a manner that will develop the most favorable impression on the judge. Even if your show heifer is a bit too flat patterned, pinched in her heart or cut up in her flank, you can still be recognized as the best showman. Not every child can have Grand Champion, and somebody has to come in last in class. Showmanship teaches a child to take responsibility, win graciously, and lose with dignity.

Showing cattle or any other species for that matter, usually looks pretty easy if you’re standing outside the show ring at the state fair. The early fairs and preview shows, however, are sometimes more like a rodeo than a cattle show. Green kids and greener calves need time together to learn to trust one another. Halter breaking an animal and training it to walk, stop and “set up” takes a lot of time and patience.

How many times have you walked through the livestock barns at the county fair and found a steer or heifer lying down in the stalls with a lean and lanky adolescent boy stretched out on top of his bovine charge? Although that sort of behavior isn’t going to win him any prizes as a showman, it tells me that he knows how to build trust with the animal and has the heart of a stockman.

Last week, CNN’s Eatocracy ran a feature piece with Chef Kelly Liken who likes to purchase meat animals from local 4-Hers and encouraged others to do the same. Her support of the program that teaches young people to raise and sell livestock touched off a firestorm of debate between those who support the program for promoting responsible animal husbandry and those who believe 4-H “desensitizes youngsters into having no emotional attachments to animals raised for food.”

The immediate and contentious responses triggered by this feature are yet another example of the need for each of us to make a conscious effort to educate our non-farm neighbors about what really happens on our farms, and why. More importantly, do the right thing on your farm every day and teach your children the same.

Looking to explain Foundation for the Future

About a year ago, the National Milk Producers Federation put forth their Foundation for the Future Plan, an outline for what they would like to see for dairy policy in the next farm bill. NMPF president and CEO Jerry Kozak says they are conducting Summer Grassroots Meetings around the country over the next couple of months to explain the program.

AUDIO: Kozak talks about the plan 3:00 mp3

The meetings will be July 12th in Olympia, Washington, July 13th in Visalia, California, July 18th in Lubbock, Texas, July 20th in Alexandria, Minnesota, July 21st in Dubuque, Iowa, July 26th in Lansing, Michigan, July 27th in Green Bay and July 28th in Stevens Point, Wisconsin. August meetings will be Harrisburg, Pennsylvania (8/8), Syracuse, New York (8/10) Ocala, Florida (8/12) and Nashville, Tennessee (8/22)

$5 million grant to research climate change challenges

Farmers make difficult decisions every day to ensure an abundant food supply for a growing population.  Purdue University hopes that a recent $5 million grant to develop support tools will help corn and soybean producers make those decisions a little easier.  Purdue President France A. Cordova says the project will provide producers with the technologies they need to adopt practices to adapt to climatic shifts.

Associate professor, Linda Prokopy, will lead researchers in the multi-year project.  Prokopy says the first step will predict the affect different climates have on corn and soybean growth through twelve states.  The second step focuses on the best way to deliver the information to the producers. 

The project is funded by the Agriculture and Food Research Initiative and will include information from nine other universities.  (Michigan State, University of Illinois, University of Minnesota, University of Wisconsin, Iowa State, University of Missouri, University of Nebraska, University of Michigan and South Dakota State University).

Wisconsin Dairy Business Innovation Center

The future of Wisconsin’s Dairy Business Innovation Center is up in the air, funding for the not-for-profit organization has come from earmarks in the federal budget but Congress has placed a two-year ban on earmarks.

Administered through the Wisconsin Department of Agriculture, the DBIC provides business, technical and marketing support for startups and expansions in the dairy industry. Since its beginning in 2004, 43 new dairy processing plants have started and 92 plants have expanded in the state.

DBIC chair Dan Carter tells the Wisconsin State Journal they will try to raise funds and perhaps create an endowment to keep it going…the annual budget is around $500,000.

$83.9 million for farmworker programs

The U.S. Department of Labor has announced $83,941,360 in grants through the National Farmworker Jobs Program to combat the chronic unemployment and underemployment experienced by migrant and seasonal farmworkers.

$78.2 million will go to 52 organizations to provide training, employment and support services for farmworkers and their families. The program also offers services such as child care, health care and transportation assistance.

Another $5.7 million will go to 16 organizations to provide temporary or permanent housing assistance.

The grants cover a two-year period but are funded on an annual basis. These grants are for July 1, 2011, through June 30, 2012. Second year allocations will depend upon the availability of funds and compliance by the grant recipients.

Grant recipients are: [Read more...]

Illinois ag leader keeping close eye on budgets

Lean budget times have state ag department leaders keeping an eye on partnerships and what the federal government is doing.

Illinois Ag Department Director Tom Jennings – who attended the recent annual conference of Midwest agriculture departments – says they’re keeping a close eye on federal budget cuts and the next Farm Bill.

“Those cuts may impact us from various angles. First and foremost would be meat inspection in the food safety arena,” says Jennings. “So, you know, we inspect some 115 Million pounds of meat here in the state of Illinois. And then, as well, ag inspection and those types of consumer protection oriented programs.

Jennings says exactly where the cuts will occur, in animal health, farm payments, ethanol subsidies, state directors have to stay on their toes. Above all, he tells Brownfield, “we’ve got to make sure our food products are safe and the best in the world.”

On the state level, Illinois agriculture has been dealing with cuts in general revenue funding,”We have actually been allowed to increase fees on registrants and licensees to supplant those cuts so we are going to maintain our core regulatory programs here.”

And, Jennings says the state is working in partnership with federal agencies, such as the FDA on the new food safety act, leveraging as much help as they can by working cooperatively.

AUDIO: Tom Jennings (9:00 mp3)

Good third-quarter for Monsanto

It was a very good third quarter at Monsanto. The St Louis-based agricultural supply company says strength in seeds and traits in the U.S. and Latin America combined to push total net sales for the quarter to $3.59 billion compared to $2.96 billion the same quarter last year. Gross profit was $1.955 billion compared to $1.387 billion a year ago. Net income for the third quarter jumped 77 percent to $680 million or $1.26 diluted earnings per share compared to $384 million or 70-cents DES for the third quarter of last year.

For the quarter, global seeds and traits sales increased 12 percent to $2.65 billion. The ag productivity unit which includes Roundup saw sales increase 57 percent to $943 million.

Year-to-date, Monsanto’s net sales are $9.5 billion up 1 billion from the same nine months a year ago. Year-to-date net income is $1.7 billion or $3.14 DES compared to $1.25 billion and $2.27 DES last year.

The company raised its projected earnings per share for the year to range between $2.84 to $2.88. Up from the $2.72 to $2.82 previously projected.

Read more here:

Cattlemen’s Beef Board’s Ramey resigns

The Cattlemen’s Beef Board CEO Tom Ramey has resigned. The Board’s Executive Committee Chairman Wesley Grau says Ramey’s resignation was reluctantly accepted after Ramey’s more than 17 years of service to the beef checkoff.

Ramey was at the heart of controversy between the National Cattlemen’s Beef Association and the Cattlemen’s Beef Board. Ramey was disciplined by the Board’s Executive Committee for eavesdropping on conference calls organized by the National Cattlemen’s Beef Association.

Ramey served earlier as the Board’s chief financial officer and, most recently, as chief executive officer.

The Board’s Executive Committee has asked Polly Ruhland to act as interim CEO.

Michigan dairy owners fined $2.7 million

The owners of a Michigan dairy farm will pay $2.7 million in fines and could get up to 6 years in jail for knowingly hiring illegal immigrants. Johannes and Anthonia Verhaar, owners of Aquila Farms at Bad Axe, Michigan pled guilty in U.S. District Court to employing 78 different illegal immigrants between 2000 and 2007. The Verhaars reportedly encouraged illegal immigrants to work on the 2,500-cow farm in Michigan’s thumb.

The Verhaars had been warned not to hire unregistered workers after two raids on the farm in 2007. Reports are they used fraudulent Social Security numbers for employees identified by Immigration and Customs Enforcement officials as illegals. Charges were filed against the couple last October following another raid by state and federal authorities. Sentencing is scheduled for October 5th.

The Verhaars are citizens of the Netherlands and have temporary work visas for the United States.