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Logan
Hawkes
02/01/06
Crop News Weekly
It's a new month and a strange weather year,
and on top of that we're now being told Wal-Mart may be getting into the
rural farm credit business. It's a remarkable world isn't it? And did I
mention a strange one?
We're packed full of news this issue starting, appropriately, with the
weather. Sure, warmer winter temps are nice to have, but most everyone
west of the Mississippi is looking for substantial rain - however we can
get it. Also in the news, rural banking may get as easy as self
check-outs at the local Wal-Mart in the near future. Or so some would
have us believe if Wal-Mart is successful in acquiring a series of rural
banks they are seeking. That could put a new meaning to the term "direct
from the farm." Elsewhere in the news, it's your absolute last chance to
make plans for attending the Conservation & Tillage Conference and Expo
this week. Get the details below. And speaking of weather, experts are
warning of another volatile tropical season just ahead. Could our rain
finally come from here? Also this week, news about the future cost of
gas and diesel, about the increasing costs of insect control, farmer
involvement in the new farm bill, and higher value ethanol systems.
You'll find these stories and more in this issue of Crop News
Weekly. Thanks for your support.

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Global
warming or no, rainfall deficit increasing
01/30/06
The weather gods are nothing if not fickle: balmy,
sunny, 70-degree days in late December and early January, when it should
be wet, cold, and miserable? What's up with this? While California's
Napa Valley and other areas have been suffering torrential rains and
flooding, many areas across the Southwest, and even into the Hot
Springs, Ark., area have been so dry that wildfires have been an ongoing
problem. - Hembree Brandon, Farm Press Editorial Staff

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spectrum of seed and foliar-feeding insects and all major seed- and
soil-borne disease pathogens providing soybean growers with better plant
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to learn more.
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Are
you ready for a farm loan from Wal-Mart?
01/24/06
It sounds like a joke, but no one is kidding. Can you
imagine Wal-Mart as your next rural banker? Agriculture Road Warrior
Dave Kohl writes: "Guess who is in the crosshairs of Wal-Mart's future
strategic plan. Yes, banks and possibly the Farm Credit System.
Currently the FDIC is reviewing Wal-Mart's application for a bank
charter. Why would Wal-Mart want to enter banking and possibly become an
agricultural lender?" - The Corn & Soybean Digest

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Conservation Tillage
Conference & Expo
02/01/06
When considering a change in conservation strategy
such as switching to No-Till, Ridge-Till or Strip-Till, it is always
good to hear from someone who as been there.
The 2006 Conservation Tillage Conference & Expo lets you do that.
Farmers who have been using No-Till, Ridge-Till and Strip-Till for years
will be telling about their experiences, answering questions and
providing insight into what to expect.
The Conservation Tillage Conference & Expo is being held February 1-2 at
the Ramkota Hotel & Conference Center in Sioux Falls, SD. It is being
presented by Corn & Soybean Digest and Farm Industry News. Experts from
Iowa State University, the Universities of Minnesota and Nebraska and
South Dakota State University organized the program. To register to
attend, you can to http://www.tillageconference.com,
or call 1-800-722-5334. If you call, ask for the "Conservation Tillage
Conference." - The Corn & Soybean Digest

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Tropical
region remains volatile; more storms ahead
01/30/06
Don't ask Charles Wax, an assistant state
climatologist and head of Mississippi State University's geosciences
department, exactly what kind of weather Mother Nature will wield. He
doesn't have a crystal ball, after all. But he can tell you, based on
trends and cycles and cause and effect, what is likely to happen and
why. "Why was 2005 hurricane season so active? Everybody is thinking,
'Oh my, it's global warming. It's changed. Life will never be the same
thing again,'" he said during a presentation at the annual Delta Ag Expo
in Cleveland, Miss. on Jan. 18. "I can tell you with some assurance that
none of those assumptions are true." - Andrew Bell, Farm Press
Editorial Staff

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News from the Top of the
Hill
01/27/06
National Hog Farmer
Japan Closes Market to U.S. Beef - Japan
suspended U.S. beef imports after it was discovered that a veal shipment
from Atlantic Veal & Lamb, Brooklyn, New York contained vertebral column
which is prohibited under the agreement that reopened the market between
the United States and Japan. Secretary of Agriculture Mike Johanns has
sent three top USDA officials, Dr. J.B. Penn, Dr. Charles Lambert, and
Dr. Curt Mann, to Japan this week to discuss the case and to explain
what actions USDA is taking to ensure this does not happen in the
future. The Japanese are waiting the results of an investigation that is
being conducted by USDA's Office of Inspector General and Food Safety
Inspection Service.
Johanns Holds Meeting for U.S. Beef Companies - Secretary Johanns met
this week with executives from companies that participate in USDA's Beef
Export Verification Program. Johanns reiterated the steps that USDA was
taking in the Japanese case:
USDA would submit a report to the government of Japan on USDA's
investigation, actions, and the consequences for failure to comply with
our requirements.
The plant in question has been delisted for export of beef products
into Japan.
USDA will require a second FSIS signature on our BEV export
certificates.
USDA inspections will be a part of the BEV program.
FSIS will hold a conference call with district managers to reaffirm
requirements on all countries with which we have a Bovine Export
Verification program.
USDA will have a conference call with District Offices and Offices
of International Affairs to reaffirm requirements of all countries
relative to the BEV program.
FSIS inspectors will review procedures and ensure compliance in
plants approved to ship to Japan
No additional plants will be listed under the BEV programs until the
proper procedures are in place.
A USDA team will be dispatched to Japan to work with the Japanese
government to review all shipments that are there to ensure
compliance.
FSIS will conduct an investigation of the plant in question.
Further training of FSIS inspectors on BEV requirements and a
required signed validation that they have successfully completed the
training.
Also speaking to the executives were Barry Carpenter, USDA Agricultural
Marketing Service, and Karen Stuck, Food Safety and Inspection Service,
to review a plant's quality control responsibilities and review of
country requirements and export certification process. Taiwan
Reopens for U.S. Beef - Taiwan will resume trade with the United
States for boneless beef from animals under 30 months of age. The U.S.
exported over $56 million worth of boneless beef to Taiwan in 2003.
Canada Confirms BSE Case - The Canadian Food Inspection Agency
(CFIA) confirmed an other case of BSE. The case was a six-year old
cross-bred cow in Alberta, Canada. According to CFIA, no part of the
animal entered the human food chain or animal feed system. Secretary of
Agriculture Mike Johanns stated that he did not anticipate any change in
the "status of beef or live cattle imports to the U.S. from Canada under
our established agreement." The National Cattlemen's Beef Association
(NCBA) said, they did "not expect this case to affect the beef trade
status between the United States and Canada or other countries. We
believe the United States should continue to engage in trade that is
consistent with the international standards outlined by the World
Organization for Animal Health (OIE), and we expect countries that trade
with us to do the same." The National Farmers Union (NFU) however called
for the Canadian border to be closed. NFU asked Secretary Johanns to
"suspend all imports of Canadian cattle immediately, until we can be
assured that Canada has its problem under control, and it can meet U.S.
meat inspection standards." Japan has indicated that this latest case
will not affect Canada's beef exports to Japan.
Calls for Hearings on Packers & Stockyards - A bipartisan group
of twelve Senators led by Senator Tom Harkin (D-IS) has called for the
Senate Agriculture Committee to hold hearings on USDA's failure to
enforce the Packers and Stockyards Act. This is the result of a USDA
Office of Inspector General's audit report that found that USDA's Grain
Inspection, Packers and Stockyards Administration (GIPSA) management
"prevented employees from conducting investigations into complaints of
anti-competitive market behavior and covered up the lack of enforcement
by inflating the reported number of investigations conducted." The
report found that there have been no anticompetitive complaints filed by
GIPSA since 1999. Records were incomplete in over half of the
investigations that GIPSA claimed to be active. GIPSA did not refer
competition complaints to the USDA General Counsel for prosecution
between November 2002 and February 2005. The audit report was requested
by Harkin in April 2005.
Farm Bill Hearings - The House Agriculture Committee announced
the first two farm bill field hearings. The hearings will be held on
February 6 in Fayetteville, N.C. and on February 7 in Auburn, AL. These
are the first in a series of hearings the committee will conduct this
year to review the 2002 farm bill. The committee wants to hear from
farmers, ranchers, agribusiness, and government officials. The hearings
are to give producers the opportunity to tell the committee what parts
of the 2002 farm bill are working and what changes need to be made when
Congress begins writing the new farm bill next year.
Next Week - President Bush will deliver his State of the Union
address next week. This will give an indication of the priorities the
administration will have for the year. The following week, the President
will send to Congress his proposed budget for fiscal year 2007. -
Scott Shearer

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Time
to evaluate pricing 2006 wheat
01/26/06
On Jan. 4, the Kansas City Board of Trade July wheat
contract price of $3.85 matched the contract high that had been set on
Oct. 12, 2005. Using a five-year average basis of 34 cents, the market
was projecting a June wheat price of $3.51 ($3.85 -- 34 cents). The
winter wheat crop is normally made in March, April and May. If moisture
is below average during the spring, June wheat prices will average above
$3.51. If moisture is above average, wheat prices will be below $3.45.
- Kim Anderson, Farm Press Editorial Staff

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Credit
for carbon
01/25/06
The Iowa Farm Bureau Federation continues to support
carbon credits by expanding a pilot program to national markets. Farmers
in Iowa, Kansas and Nebraska have enrolled 330,000 acres in the carbon
credit program that pays farmers to reduce carbon through no-till
conservation practices. Companies buy the carbon credits to offset
emissions. For example, the University of Iowa purchased carbon credits
in this program to offset emissions from its power plant, which is
gearing up for a biomass plant to burn oat hulls from Quaker Oats. -
Farm Industry News

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Yield
loss to insects up slightly, so is cost of control
01/26/06
There was good news and bad news regarding the impact
of insects on the 2005 cotton crop. The good news is that for the last
five years, yield losses to insects have trended much lower. The bad
news is that the cost of controlling the pests is trending upwards.
According to Michael Williams, Extension entomologist at Mississippi
State University, overall yield loss to insects in 2005 was up slightly
from 2004, at 4.57 percent, completing a five-year trend toward lower
losses. - Elton Robinson, Farm Press Editorial Staff

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Budget
more money for gas and diesel in 2006
01/25/06
Barring another major disruption, gasoline and diesel
prices are expected to hold steady in 2006, according to a University of
Nebraska-Lincoln ag economist. However, producers are being urged to
budget more money for gasoline and diesel expenses as world demand for
energy grows faster than crude oil is being produced. Unleaded fuel
soared to more than $3/gallon in many parts of the U.S. in 2005, and
diesel to around $2.75 in many areas. Prices have dropped, but hay
producers shouldn't expect big price declines in 2006. - eHay
Weekly

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Farm
Bureau delegates support extension of farm bill
01/25/06
American Farm Bureau Federation delegates are asking
Congress to extend the provisions of the 2002 farm bill until a new
World Trade Organization agreement is reached that "increases foreign
market access for U.S. farmers and ranchers." Delegates attending the
AFBF's annual meeting in Nashville, Tenn., on Jan. 11, said they do not
want to change U.S. farm programs until the current Doha Round of WTO
negotiations is completed. And they said they wanted to make sure that
agreement provides greater market access to U.S. farm products. -
Forrest Laws, Farm Press Editorial Staff

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Farmers
must get involved in farm bill debate
01/24/06
Bob Stallman says U.S. farmers have a choice: They can
pay attention to writing the next farm bill now or they can pay in blood
sweat and tears for trying to fend off farm legislation they don't want
later. Stallman, a farmer from Texas who serves as president of the
American Farm Bureau Federation, says that if his fellow growers don't
become deeply involved in the next farm bill debate someone else is
likely to do it for them. - Farm Press Editorial Staff

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Family
farm demands hands-on management
01/24/06
Fred Wyatt believes in hands-on farming. His hands.
You can find him in the fall sitting at the controls of a big, green,
eight-row cotton harvester, harvesting all 5,000 acres of his crop near
Hollister, Okla. This is a family farm, he'll tell you. He and his
son-in-law, Justin Waldroop, along with their wives, do the work. That
the Wyatts are harvesting such a large acreage of cotton this year and
making excellent yields is a dramatic success story in itself. They had
abandoned the crop. - Vic Schoonover, Farm Press Editorial
Staff

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Renessen
to test higher-value ethanol system
01/24/06
Renessen LLC, a biotechnology company, has announced
plans for a pilot plant to test a unique technology system in which new
biotech corn hybrids with increased energy and nutrient levels will be
combined with a novel dry corn separation technique designed for ethanol
facilities. The new system represents a step change in the agriculture
and biofuels industries and has the potential to increase the
profitability of corn growers, ethanol producers, and swine and poultry
producers. - The Corn & Soybean Digest

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Sign Up For
MarketMaxx
02/01/06
Sign up and play The Corn And Soybean Digest's fantasy
grain game called MarketMaxx. It's easy, fun and hopefully you'll learn
a little more about how to market the corn and beans your raise. It's
easy to sign-up. Just log on to http://www.marketmaxx.net and
register at the top left and begin trading your fictitious 100,000 bu.
of corn and 50,000 bu. of soybeans. If you're a winner at the end of the
game on October 31 you could take home the grand prize of a year's use
of a Massey Ferguson tractor or combine. Or, win additional prizes such
as a computer system from Syngenta Crop Protection, customized rugged
mobile computers from Grayhill Custom Mobile Solutions or a high-speed
satellite Internet service from Agristar Global Networks. - The Corn
& Soybean Digest

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Check out the latest corn and soybean market advice from
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