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Logan
Hawkes
03/22/06
Crop News Weekly
It's official now - the start of the 2006
spring season. And isn't it just like old man weather, we have now gone
from a warm winter to a cool spring in the Midwest - almost overnight.
Strange weather! And that's not counting the wildfires in Texas and
Oklahoma that have turned into floods, or the deadly tornadoes in
Missouri. Southern parts of Texas have also been experiencing a heat
wave that has lasted most of the winter. It all makes you worry about
hurricane season just around the corner. Should we expect summer snows?
One thing is for certain, spring brings with it an abundance of ag news
to ponder. Let's get started.
Speaking of weather problems, in the spotlight this week, House
Appropriations Committee members voted along party lines to reject an
amendment that would have provided $3.4 billion in assistance to farmers
who experienced losses due to hurricanes, droughts or other weather
disasters in 2005. In other news, according to the American Farm Bureau
Federation's director of congressional relations, Dana Brooks, the
driving forces for the 2007 farm bill will be the budget, the WTO,
current farm conditions and politics. Meanwhile, the American Soybean
Association and 15 other farm groups are asking the Bush administration
to make sure nothing happens to water down "meaningful" market access
provisions in any Doha Development Round agreement. In other farm bill
news, agricultural commodity groups are beginning to circle their wagons
in anticipation of a new round of farm bill discussions. And as debate
begins on legislation many believe will be signed sometime in 2008,
observers acknowledge that keeping individual wagons from straying off
on their own will be more important than ever.
There's a great deal more news to cover this issue, so time to dig in.
Thanks for reading Crop News Weekly.
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House
Committee rejects disaster amendment -- again
03/20/06
House Appropriations Committee members voted along
party lines to reject an amendment that would have provided $3.4 billion
in assistance to farmers who experienced losses due to hurricanes,
droughts or other weather disasters in 2005. Rep. Marion Berry, D-Ark.,
offered the legislation as an amendment to a $92.2-billion
emergency-spending bill to fund ongoing military operations in Iraq and
Afghanistan and for hurricane-affected states on the Gulf Coast. The
Missouri Bootheel's Jo Ann Emerson was the lone Republican voting for
the amendment. - Forrest Laws, Farm Press Editorial Staff
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rotational crop flexibility the following growing season. For more
information on Axial herbicide, please visit http://www.axial-herbicide.com/.
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Purdue
Center For Crop Biosecurity set to protect
03/21/06
Purdue University has created a center that could be
vital in the national effort to protect the country's food supply
against foreign plant pests and pathogens that might be introduced
through natural means or terrorism. The existing Purdue University Plant
& Pest Diagnostic Laboratory, which is part of the new center, already
is part of the National Plant Diagnostic Network. In addition, Purdue,
along with various research organizations and the federal government
have discussions under way about establishing a national plant
biosecurity center within USDA. - The Corn & Soybean Digest
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SCN-resistant
soybeans can offer false security
03/21/06
Soybean producers who have unexplained yield losses
shouldn't dismiss soybean cyst nematode (SCN) as the possible culprit,
even if they're planting SCN-resistant varieties, a University of
Missouri researcher says. "Many farmers think the SCN problem is licked
(with resistant soybeans)," says Bob Heinz, coordinator of the MU
Nematology Laboratory. "I would think it's licked, too, if I didn't see
the high samples come in." During the 2005 season, Heinz, in cooperation
with producers and assistance from MU Extension regional agronomists,
collected 122 soil samples from 47 Missouri counties and tested them for
SCN, a parasitic roundworm that feeds on the roots of soybeans and can
cause up to 30 percent yield loss. - The Corn & Soybean Digest
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U.S.
farm groups: 'Don't weaken now'
03/16/06
The American Soybean Association and 15 other farm
groups are asking the Bush administration to make sure nothing happens
to water down "meaningful" market access provisions in any Doha
Development Round agreement. Writing to U.S. Trade Representative Rob
Portman and Agriculture Secretary Mike Johanns, ASA, the National Cotton
Council, USA Rice Federation and the other organizations said now is not
the time to be easing up on the WTO's Doha negotiators. - Forrest
Laws, Farm Press Editorial Staff
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Maintaining
safety net crucial as farm bill progresses
03/16/06
Agricultural commodity groups are beginning to circle
their wagons in anticipation of a new round of farm bill discussions.
And as debate begins on legislation many believe will be signed sometime
in 2008, observers acknowledge that keeping individual wagons from
straying off on their own will be more important than ever. Observers
point out that conditions that allowed the 2002 farm bill to provide a
good safety net for agriculture no longer exist. Gone is the budget
surplus. - Ron Smith, Farm Press Editorial Staff
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Forces
driving the farm bill debate
03/17/06
According to the Dana Brooks, the driving forces for
the 2007 farm bill will be the budget, the WTO, current farm conditions
and politics. "When the 2002 farm bill was written...the United States
was in a budget surplus of $5.6 trillion over 10 years," said the
American Farm Bureau Federation's director of congressional relations.
"In 2004, we had a record deficit of $412 billion and in 2005 we were
again in deficit by over $300 billion. This does not include $70 billion
spent on hurricanes in August/September nor does it include the war in
Iraq which costs between $5 billion and $8 billion per month." -
David Bennett, Farm Press Editorial Staff
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News from the Top of the
Hill
National Hog Farmer
Packers & Stockyards Management - The Senate
Agriculture Committee held a hearing on the January 2006 audit report
that USDA's Office of Inspector General (OIG) had done on the management
and administration of the Packers and Stockyards act by USDA's Grain
Inspection, Packers and Stockyards Administration (GIPSA). OIG
"concluded that GIPSA had not established an adequate control structure
and environment that allowed the agency to oversee and manage its
investigative activities for P&SP." GIPSA Administrator James Link vowed
to implement the recommendations of the OIG. Members of the committee
asked that the agency report back to the committee within 90 days on the
agency's progress in implementing the recommendations. Also, the
committee wanted a status report on GIPSA's review of the Packers and
Stockyards Act. Previously, GIPSA had told the committee in 2003 that
the agency was reviewing the act to determine if new authority was
needed. The OIG report was at the request of Senator Tom Harkin
(D-IA).
NPPC Calls for GIPSA Reforms - The National Pork Producers
Council (NPPC) is calling on USDA to adopt reforms of the Grain
Inspection, Packers and Stockyards Administration as outlined by the
recent USDA OIG audit. NPPC said, "These reforms are critically
important for the protection of everyone involved in the livestock
market transactions." The reforms called for by NPPC include:
A policy for defining investigations, such as when and whether to
perform on-site reviews of companies or to monitor publicly available
data.
Procedures for recording data related to complaints and
investigations and for validating its accuracy and completeness.
A well-defined process for timely identifying work to be done on
investigations.
A structure for receiving, reviewing and acting on policy issues and
requests for guidance.
An internal review function to monitor and report on agency
activities.
USDA Confirms BSE Case - USDA announced a third case of BSE in
the United States. Indications are the animal was a 10 year old Santa
Gertrudis beef cow in Alabama. This would mean the cow was born prior
to the 1997 feed ban.
Federal Procurement of Biobased Products - USDA announced its
final rule designating the first six items that must receive special
consideration when federal agencies make purchases under the Federal
Biobased Products Preferred Procurement Program. According to Secretary
of Agriculture Mike Johanns, "The designation of these six biobased
items presents new economic opportunities for U.S. farmers and ranchers.
This is an historic step toward increasing the use of biobased products
by the federal government." The final rule designates six items, which
are generic groupings of biobased products. The items are: mobile
equipment hydraulic fluids; biobased roof coatings; water tank coatings;
diesel fuel additives; penetrating lubricants and; bedding, bed linens
and towels. Two of these items, water tank coatings and bedding, bed
linens, and towels, have fewer than two suppliers of the biobased
products that fall within these items. Consequently, Federal agencies
will not have to give these items preference in procurement until there
are two or more suppliers. USDA will issue a Federal Register notice
when at least two suppliers are making these items available.
Farm Bill Extension - Congressman Mac Thornberry (R-TX) has
introduced H.R. 4775, to extend the farm bill until the Doha round of
the World Trade Organization (WTO) negotiations are complete. The
National Farmers Union (NFU) at their annual convention voted to support
extending the farm bill for one year.
Malaysia FTA - The United States and Malaysia have announced they
will begin negotiating a bilateral free trade agreement. Malaysia is
the fourth largest market in Southeast Asia for U.S. agriculture. In
2005, Malaysia purchased $390 million worth of U.S. fresh and process
fruits and vegetables, wheat, soybeans and other agricultural
products.
USDA Appointments - Ellen Terpstra has been appointed Deputy
Under Secretary for Farm and Foreign Agricultural Services. Terpstra has
been serving as the administrator of the Foreign Agricultural Service.
Michael W. Yost of Murdock, Minnesota has been appointed administrator
of the Foreign Agricultural Service (FAS). Yost is past Chairman of the
American Soybean Association and the American Oilseed Coalition.
22 Congressional Districts Collect Over Half of Farm Payments -
The debate over farm subsidies will be a major issue during
consideration of the 2007 farm bill. One of the interesting studies by
the Environmental Working Group is that only 22 of the 435 congressional
districts collected over half of all farm subsidies during the past 10
years. The study also found that 47 districts received 70 percent of the
farm bill payments during the same period. Secretary of Agriculture Mike
Johanns continues to remind Congress and the public that 3 percent of
farms receive 30 percent of the support and 92 percent of commodity
program payments go to five crops. The top 22 Congressional districts in
order of farm payments are: North Dakota - At Large, Kansas - 1,
Nebraska - 3, South Dakota - At Large, Arkansas - 1, Minnesota - 7, Iowa
- 4, Iowa - 5, Texas - 19, Montana - At Large, Minnesota - 1,
Mississippi - 2, Texas - 13, Oklahoma - 3, Nebraska - 1, Illinois - 15,
Illinois - 19, Colorado - 18, California - 2, Georgia - 2, Louisiana -
5, Illinois - 18, Iowa - 1, Missouri - 8, and Iowa - 3.
Congressional Retirements - Congressman Bill Thomas (R-CA),
chairman of the House Ways and Means Committee, announced that he would
be retiring from Congress at the end of the year. Congressman Bill
Jenkins (R-TN), a member of the House Agriculture Committee, has
announced he will not seek re-election. This makes a total of 26
Congressmen who are either retiring or running for higher office. -
Scott Shearer
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Bird flu
has implications for U.S. agriculture
03/14/06
The implications of a worldwide avian influenza (bird
flu) pandemic are real and of dire concern to people worldwide. Some of
the connections between agriculture are real and some are as fictional
as a dime store novel. Avian influenza (AI) or bird flu is primarily
just that -- a disease of birds. In rare cases the virus has spread to
humans and in a few cases -- the 1918 flu pandemic, the 1957 Hong Cong
Flu Epidemic and the 1962 Asian Flu Epidemic, it spread rapidly among
humans. Bird flu occurs when any of 16 known hemagluttinin (HA) and nine
neuraminidase (NA) proteins interact and cause changes in the cellular
structure of the avian influenza gene. - Roy Roberson, Farm Press
Editorial Staff
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Thiesse's
Thoughts: National Ag Week
03/14/06
National Ag Week is being celebrated March 19-25 all
across the U.S., and Monday, March 20, has been designated as National
Ag Day. It's a good time to reflect on all the traditions and
advancements that help make the U.S. agriculture industry second to
none. U.S. consumers spend about 10 percent of their disposable income
annually on food. By comparison, consumers in France spend 18 percent;
consumers in Germany spend 21 percent; consumers in Japan spend 26
percent; and consumers in Mexico spend 33 percent. - Kent Thiesse,
The Corn & Soybean Digest
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Renewable
fuels should be part of real energy policy
03/15/06
What this country needs is not, as Woodrow Wilson's
Vice President Thomas Marshall suggested, "a good 5-cent cigar," but a
real energy policy that includes a strong commitment to renewable fuels,
according to Jeff Dahlberg, research director, National Sorghum
Producers, Lubbock, Texas. Dahlberg discussed energy and its effects on
the future of agriculture with Farm Press during the North American
Grain Congress, a joint meeting of NGSP and the National Association of
Wheat Growers (NAWG) held recently in San Antonio, Texas. "Energy is one
of the few domestic markets that offers a positive for farmers,"
Dahlberg said. - Ron Smith, Farm Press Editorial Staff
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2006
to present more challenges to farmers
03/15/06
Net cash farm income is expected to decline by $18
billion or nearly 22 percent in 2006 because of higher crop stocks,
lower crop prices and a modest decline in livestock and livestock
product receipts compared with 2005. But it could be worse considering
the problems faced by U.S. farmers and the U.S. economy as a whole in
late 2005, says USDA Chief Economist Keith Collins. Collins was one of
the leadoff speakers at USDA's annual Agricultural Outlook Forum in
Arlington, Va. - Forrest Laws, Farm Press Editorial Staff
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ASA
voting delegates set policy direction
03/14/06
Soybean producers gathered in Anaheim, CA, to review
and revise the policy direction of the American Soybean Association
(ASA). Soybean producers from 133 production areas across the U.S.
participated in this annual process that guides the ASA as it pursues
future initiatives to improve U.S. soybean farmer profitability. The
voting delegates session was held in conjunction with the 10th
anniversary of the Commodity Classic Convention and Trade Show. - The
Corn & Soybean Digest
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Start
honing those marketing skills, just in case
03/14/06
The confluence of WTO issues and budget-cutting in
Washington could end up exposing growers to more price risk in the
future, creating a bigger role for grower price risk management.
Although it's still uncertain as to when the next farm bill will be
written, some pieces of it seem apparent already. "I would wager a bet
that it's going to be leaner, poorer and probably more de-coupled from
production to make it more WTO compliant," said John Robinson, Extension
economist, Texas A&M University. Elton Robinson, Farm Press Editorial
Staff
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USDA
crop forecasts studied
03/14/06
While USDA crop production forecasts have performed
reasonably well over a 36-year period, there is room for improvement,
according to two University of Illinois professors in a recent study.
"USDA may want to consider expanding the scope of the subjective yield
surveys it uses in making the forecasts in order to incorporate a wider
range of market and industry participants," says Darrel Good, a
professor in the Department of Agricultural and Consumer Economics, who
co-authored the study with Scott Irwin, who is the Laurence J. Norton
Professor of Agricultural Marketing in the department. However, the
bigger problem Good and Irwin found is the apparent continuing
misunderstanding of USDA's motives, methods and procedures used to
arrive at the production forecast for U.S. corn and soybean crops. -
The Corn & Soybean Digest
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Purdue
Field Guide An Agronomic Best-seller
03/14/06
A popular Purdue University agronomic reference book
is flying off the shelves this winter. Farmers who act quickly still can
ensure a copy lands in their mailboxes. Sales of the 18th annual Corn
and Soybean Field Guide are up from 2005, says Corey Gerber, director of
Purdue's Crop Diagnostic Training and Research Center and field guide
project coordinator. "Already this year we've sold 20,000 books, which
leaves us with about 1,000 books at Purdue's Media Distribution Center,"
Gerber says. The little yellow book, commonly called the "pocket guide,"
provides a wealth of management advice and information on raising corn
and soybeans. The nearly full-color guide is 293 pages. - The Corn &
Soybean Digest
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Not
your Daddy's farm
03/14/06
While the number of farmers, the jobs in agriculture
and agriculturally related industries, and the number of counties and
communities that rely on agriculture have all declined, the future of
U.S. agriculture remains bright. But today's farming and ranching
operations will need new financial solutions to take advantage of forces
re-shaping U.S. and world agriculture, according to a report by the Farm
Credit Council, the national association representing the interests of
the institutions of the Farm Credit System. - Elton Robinson, Farm
Press Editorial Staff
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Soybean
checkoff tunes in to customer needs
03/14/06
Nowadays, there's more to exporting than simply
sending out a product. The soybean checkoff brings the U.S. soybean
farmer and buyer together by understanding customer demands and meeting
those needs. While the U.S. remains the leading producer and exporter of
soybeans, staying No. 1 means continuing to give customers what they
want. The United Soybean Board (USB) and soybean checkoff work with the
United States Soybean Export Council (USSEC) to build customer
preference for U.S. soybeans across the globe. - Farm Presss
Editorial Staff
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Apt
questions on turning 56
03/15/06
Ron Smith writes: I found myself in a
contemplative mood again recently and began to analyze who I have become
in a mere 56 years. I reached several conclusions. I am not a
particularly bad person. I rarely beat my wife. In fact, she recently
pointed out to me that there is no one on God's good earth who is
remotely afraid of me. Not my children. Not my friends. Not any enemies
if there be such. And certainly not my wife. She admitted this while
laughing, somewhat rudely I thought... - Farm Press Editorial
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Sign Up for
MarketMaxx
03/22/06
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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