Wisconsin Farm Bureau endorses Dairy Security Act

Leadership of the National Milk Producers Federation was at World Dairy Expo Wednesday promoting the Dairy Security Act of 2011 introduced by Congressman Collin Peterson based upon the Foundation for the Future Plan. There are some changes to the plan they first introduced a couple of years ago including a move to make participation in the supply management provision in the plan optional. Chris Galen is with NMPF.

AUDIO:Galen gives the details of the plan

Also attending the news conference on Wednesday were Wisconsin Farm Bureau president Bill Bruins along with Dave Daniels from Kenosha County who serves on the American Farm Bureau Federation dairy committee. Bruins says with the changes made to the plan, the Wisconsin Farm Bureau endorses the legislation and promises a “full court press” on the state’s Congressional delegation to get it passed. Daniels says AFBF is also taking a look at the bill.

AUDIO:Bruins and Daniels talk about their organization’s support

Let’s talk contour drainage/irrigation

One of the newer companies at World Dairy Expo is AGREM. The company designs contour drainage systems for fields which can also be used for subterranean irrigation. Dr. Jeremy Meiners talks about what makes the design unique, and effective.

AUDIO:Meiners explains the concept

The need for more organic dairies

Even through the economic downturn, the demand for organic products continued to increase. Joe Klein with Organic Valley Coop says they can’t keep up with the demand for dairy and need more producers.

AUDIO:Klein talks about the status of the market

Alltech keeps looking ahead

One of the most innovative companies you will ever run across is Alltech. The company is constantly developing new ideas and concepts not only with fermentation but in utilization of the products and services they develop. That “big picture” philosophy is demonstrated this year by a model farm at World Dairy Expo which shows how Alltech’s processes can be fully utilized. Juan Gomez heads up the project.

AUDIO:Gomez describes the vision

Summer heat means challenges ahead

One of the biggest challenges when feeding high-producing dairy cows is to keep a consistent ration going into that cow and the bacteria in the rumen operating at peak efficiency. Dr. Bill Zimmer with Bio-Vet says the heat we experienced this summer will likely have some longer term ramifications.

AUDIO:Zimmer talks about the challenges facing your cows

Encapsulation the core for Balchem

Founded in 1967, Balchem has specialized encapsulating nutrients and trace elements. The company features four products in their animal nutrition line designed to pass through the rumen and get to where it can be better utilized. Kim Keesey explains the reasoning behind the products.

AUDIO: Keesey talks about the products

Explaining the Dairy Security Act of 2011

Leadership of the National Milk Producers Federation was at World Dairy Expo Wednesday promoting the Dairy Security Act of 2011 introduced by Congressman Collin Peterson based upon the Foundation for the Future Plan. There are some changes to the plan they first introduced a couple of years ago including a move to make participation in the supply management provision in the plan optional.  Chris Galen us vice president of communications with the National Milk Producers Federation.

AUDIO: Galen talks about the plan 3:00 mp3

ACE says RFS bill would undo gains

The head of the American Coalition for Ethanol (ACE) says the proposed legislation announced today to reduce the Renewable Fuels Standard as it pertains to ethanol is a case of “twisted logic.”

Brian Jennings tells Brownfield if the proposed RFS Flexibility Act – sponsored by Congressmen Goodlatte of Virginia and Costa of California – were to go into effect, it would set the country back decades.

The bill, supported by the major livestock and poultry groups, would tie the amount of corn ethanol produced to U.S. corn supplies, using the corn stocks-to-use ratio.

“Frankly, using this logic,” says Jennings, “If the stocks-to-use ratio were much greater and we had a huge surplus of corn at the end of the year maybe we ought to increase the Renewable Fuels Standard so we could make more corn ethanol. I don’t think the opponents of ethanol would want that but that’s the logic they’re applying to this in trying to reduce the RFS.”

Jennings says he doesn’t believe the bill itself is a real threat to the ethanol industry but is an attempt to discredit ethanol, “Well, I think some of the opponents of ethanol, frankly, smell blood in the water or they think they smell blood in the water. They know that the tax credit, the Volumetric Excise Tax Credit is going away at the end of the year and I think they would like to kick ethanol when ethanol is down,” but, Jennings says those opponents will face some stiff resistance because, “There’s strong bipartisan support for the RFS in Congress.”

He adds that the EPA already has a lot of flexibility to adjust the Renewable Fuels Standard.

Livestock and poultry groups support the bill, saying the RFS is partly to blame for more of the tight corn supply going to ethanol production, thus, raising the cost of corn for feed – causing layoffs and other economic hardships for producers.

AUDIO: Brian Jennings (5:00 mp3)

RFS bill ties ethanol production to corn supplies

Bill ties ethanol production to corn supplies

The leading beef, pork and poultry groups support legislation introduced today to rewrite legislation for the Renewable Fuels Standard.

Congressman Bob Goodlatte, a Republican from Virginia, sponsors the bill with Representative Jim Costa, a Democrat from California, that would tie the amount of corn ethanol production required under the RFS to U.S. corn supplies.

Representative Goodlatte says things need to change, “I’m a strong supporter of renewable fuels when they compete fairly in the marketplace. But, the current policy is unfair and is causing unintended and negative consequences for American consumers, livestock farmers and food manufacturers.”

The Renewable Fuels Association – on behalf of other renewable fuels groups – says that would be a bad move and may lead to higher prices at the pump. The National Corn Growers Association leadership is urging members of congress to oppose the Renewable Fuels Standard Flexibility Act, adding that “the U.S. ethanol industry is an integral part of job creation and economic opportunity throughout rural America.”

However, the livestock and poultry groups say their bottom line is severely hurt by the high costs of corn that they partly blame on the RFS coupled with low corn stocks.

R.C. Hunt – president elect of the National Pork Producers Council – is a producer in Wilson, North Carolina. He says what livestock producers are most concerned about is if there were a widespread drought – the corn crop would shrink further. And, after ethanol production, Hunt says, they’d have to split what’s left.

“That is a problem. I can’t just stop feeding my animals and neither can the other producers that surround us.”

Even considering the co-product of distillers dried grains, Goodlatte says ethanol still consumes nearly 30% of the corn supply. In a statement, the RFA says there is enough corn to meet all needs and extended an invitation to the sponsors of the bill to -quote -”discuss the facts.”

 AUDIO: Conference call with Rep Goodlatte and others (37:00 mp3)

ACE says RFS bill would undo gains

Grains and oilseeds see solid bounce

Soybeans were higher on technical buying, short covering and spillover from corn and crude oil. There was no real fresh news and beans were due for at least some kind of a bounce after the recent losses. That said – the fundamentals remain bearish and the trade’s focused on harvest, which pulled contracts down from the session highs. Soybean meal and oil were higher, following beans, with meal outgaining oil on product spread adjustments. USDA’s weekly export sales report is out Thursday at 7:30 AM Central. Soybeans are placed at 600,000 to 850,000 tons, meal is seen at 75,000 to 200,000 tons, and oil is pegged at 5,000 to 15,000 tons.

Corn was higher on short covering, commercial buying and oversold signals, along with the more stable outside market trade. Corn was due for a bounce, setting the stage with Tuesday’s lower but still above support close. Corn’s also watching the harvest with yields ranging from better than expected to as bad as anticipated. Ethanol futures were higher. According to Dow Jones Newswires, Taiwan passed on a tender for 60,000 tons of corn, citing high prices. Weekly U.S. corn sales are estimated at 600,000 to 1.3 million tons.

The wheat complex was higher on short covering and technical buying. Fundamentals remain bearish, so trade was pretty much path of least resistance type activity. Chicago’s trying to keep up with corn, Kansas City is waiting for forecasted rainfall in the Southern Plains, and Minneapolis is on the lookout for new hard red spring demand. European wheat was higher on oversold signals. Weekly U.S. wheat sales are expected to be between 300,000 and 650,000 tons.