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  September 24, 2007 A Penton Media Property Volume 2, Number 13  
TABLE OF CONTENTS
Bt Corn Plus Soil Insecticides May Prove Profitable

Local Grain Basis Prices Fall Below Futures Prices

No Field Evidence Exists To Show Corn Rootworms Are Resistant To Bt

Watch For Damage And Disease When Harvesting Corn

Soybean Rust Confirmed For First Time In Kansas

It's Time To Negotiate Land Rents

President Bush Accepts U.S. Agriculture Secretary's Resignation

Trait Rates (Why Prices Are Up)

Harkin: 'Payment Limit' Fight May Go To Senate Floor

NCGA Wants You ... To Share Farm Bill Facts

Natural, Corn-based Deodorants Available

Who Do You Trust?

Note From The Corn E-Digest Editor



Key Kernel
Bt Corn Plus Soil Insecticides May Prove Profitable
Prior to last year's rise in corn prices, most entomologists discouraged using both a soil insecticide at planting and a Bt corn rootworm hybrid in the same field for corn rootworm control. However, with corn prices hovering in the $3-4/bu. range, this two-pronged control strategy may prove profitable in the short-term for some farmers, says Kevin Steffey, University of Illinois (U of I) Extension entomologist.

"Right now, with the high corn prices, I would have a hard time arguing against using both the Bt corn rootworm hybrids and a soil insecticide at planting, except obviously in Bt corn-rootworm refuge areas, which require planting a non-Bt corn rootworm hybrid," he says. "Based on root protection alone, we have generally seen soil insecticides performing every bit as well as Bt corn rootworm hybrids."

Under certain conditions, however, soil insecticides sometimes provide more root protection than Bt corn rootworm technology, notes Steffey. For example, this year's U of I "preliminary root evaluation ratings" show that soil insecticide applications protected roots just as well as Bt corn rootworm-resistant hybrids at the Monmouth location, less effectively than the transgenic corn hybrids at DeKalb, but better than two Bt corn rootworm-resistant hybrids at Urbana.

"We don't fully know yet how well Bt corn hybrids perform under certain conditions or why there have been performance differences at some locations," says Steffey. "We have received two or three reports this year of greater-than-expected root damage on Bt corn, not just at Urbana. There are instances of Bt corn failures every year, but they are still a small percentage, and we still don't know why they occur."

In fields where corn avoids lodging, Bt corn rootworm hybrids could also yield considerably better -- even with some root damage -- than non-Bt corn hybrids planted with a soil insecticide that have less root damage, notes Steffey. As a result, "most farmers won't rest easy with just the root rating information," he adds. "They want yield data. Later in the year we will be providing that yield data along with our root rating data."

Farmers who decide to use both a Bt corn rootworm-resistant hybrid and a soil insecticide at planting would be providing two modes of action that could help to ensure better overall root protection, depending on conditions, than one mode of action would provide if working alone, points out Steffey. "Using two modes of action is an insect resistance management practice that might slow the resistance to both modes," he says. "Long-term, relying on just one technology is unwise."

Still, the drawback to using this two-pronged strategy as a long-term solution, besides the extra time and expense, is that corn rootworm populations would be exposed to the same two modes of action every year. If corn rootworms were able to survive this protection, "then we have no more defenses left to use against them except growing a different crop," cautions Steffey.

For more information on U of I corn rootworm product efficacy trials in 2007, click here: www.ipm.uiuc.edu/bulletin/article.php?id=838. For information from 2006, click here: www.ipm.uiuc.edu/bulletin/article.php?id=635.

By John Pocock

Cob And Kernel
Local Grain Basis Prices Fall Below Futures Prices
High prices for grain on the boards of trade don't necessarily show up at local elevators. Farmers harvesting record yields this fall are finding cash prices well below futures prices, says Melvin Brees, University of Missouri economist.

"The price difference is not a grain market collusion; it is simply supply and demand," says Brees, grain marketing specialist at the MU Food and Agricultural Policy Research Institute (FAPRI).

To read the entire article on corn price supply and demand concerns, click here: cornandsoybeandigest.com/corn/grain-basis-prices-fall-futures/

Source: University of Missouri
No Field Evidence Exists To Show Corn Rootworms Are Resistant To Bt
Despite some recent media reports to the contrary, corn rootworms have yet to show any resistance to Bt corn rootworm hybrids in the field, says Kevin Steffey, University of Illinois (U of I) Extension entomologist.

"We don't have any empirical evidence that western corn rootworms are becoming tolerant or resistant to Bt," emphasizes Steffey. "However, there is some scientific evidence that it takes more Bt protein to kill the variant form of the western corn rootworm in the eastern areas of Illinois around Urbana than it does to kill the 'normal' western corn rootworm that populates areas of western Illinois."

Bt corn rootworm-resistant hybrids and most soil insecticides are still the best choices for protecting roots from corn rootworm feeding, says Steffey. However, he adds that farmers who do decide to use a Bt corn rootworm-resistant hybrid must also plant a refuge area to a non-Bt corn rootworm-resistant hybrid to deter corn rootworm resistance to Bt from developing.

"The great thing about Bt corn hybrids is that they provide host plant resistance," says Steffey. "Host plant resistance is a primary recommendation for insect control -- that's the way we have defeated the Hessian fly and any number of insects in the past. The only difference is that the host plant resistance in this case is transgenic."

Farmers who see lodged corn in their fields should check stalks and roots to determine the cause. "It still may not be too late to examine lodged corn to determine if lodging was a result of stalk rot, root rot or rootworm feeding," says Steffey. "Rootworm damage is much more ragged in appearance than root rot and you can sometimes still see the scars from feeding."

For more information on managing the western corn rootworm variant, click on this pdf Web link from the U of I: ipm.uiuc.edu/fieldcrops/insects/western_corn_rootworm/wcr.pdf.

By John Pocock
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Watch For Damage And Disease When Harvesting Corn
Wet conditions and damage to corn caused by high winds or hail damage likely will increase diseases in corn both before and after harvest, says Tamra Jackson, a University of Nebraska-Lincoln (UNL) plant pathologist.

Contact with soil and crop residue exposes the ears and stalks to more pathogens than normal. This can result in ear- and stalk-rot diseases in the damaged corn. Ear rotting fungi also can cause problems during storage if good storage conditions are not maintained, adds Jackson.

"Remember, grain quality does not improve during storage," she says. "Under the best conditions, grain will maintain its quality but is more likely to decline as fungi continue to grow in the bin."

The UNL Plant and Pest Diagnostic Clinic has seen corn with Fusarium stalk rot and anthracnose stalk rot. Fusarium stalk rot often can be recognized by the presence of cottony white, pink or peach colored fungal growth around the nodes of the plants or by the presence of pink or red discoloration inside the stalk. Shiny, black lesions visible on the outside of stalks are characteristic of anthracnose stalk rot.

For more information about mycotoxin contamination and the ear rot diseases that lead to grain molds and mycotoxins consult UNL Extension NebGuide G1408, "Grain Molds and Mycotoxins in Corn," available at a local UNL Extension office or online at www.ianrpubs.unl.edu/epublic/pages/index.jsp?what=publicationD&publicationId=319.

Source: University of Nebraska Institute of Agriculture and Natural Resources
Soybean Rust Confirmed For First Time In Kansas
For the first time ever, Asian soybean rust has been confirmed in a Kansas soybean field.

Kansas State University (KSU) researchers and the Kansas Department of Agriculture (KDA) have confirmed that a leaf sample from a soybean plant collected from a sentinel plot in Montgomery County has the disease. The site where the positive sample was found is one of 20 that the U.S. Department of Agriculture, working with KDA and KSU, planted around Kansas to monitor for the disease.

"For this year, this will only be a problem in late-planted soybeans," says KSU plant pathologist Doug Jardine. "There are 300,000 to 400,000 acres of late-planted soybeans this year that are potentially in danger. This represents about 10-15% of the state´s crop."

K-State Research and Extension has developed a calculator spreadsheet to assist producers in making the decision on whether to spray. It is available on the AgManager Web page in an Excel program as "Economics of spraying soybeans" at: www.agmanager.info/crops/prodecon/production/decision/.

Growers can access information about fungicides currently registered for use in Kansas from the Kansas Department of Agriculture Web site at www.ksda.gov/pesticides_fertilizer/content/288. For photos and further information on the disease´s symptoms, click on this University of Missouri pdf Web link:
www.extension.missouri.edu/explorepdf/agguides/crops/g04442.pdf

Additional information on soybean rust can also be found on the Plant
Management Network´s Soybean Rust Information Center at
www.plantmanagementnetwork.org/infocenter/topic/soybeanrust/.

Source: Kansas State University and the Kansas Dept. of Agriculture
It's Time To Negotiate Land Rents
Fall is generally when many land rent negotiations take place. Landowner and tenant alike often find this task a bit daunting.

In Minnesota, there is no statute that sets a specific time for notification to the tenant regarding a change. A good rule of thumb is to write any of those types of provisions into the rental contract. Provisions might include a final date by which the landowner will notify the tenant if there will be a change of tenants.

Other provisions might include rent payment dates, plow-back provisions if there is a change in tenants and reimbursement for crop inputs if the tenant or landowner requests a change of tenants after inputs have been applied. A written rental contract is needed. If there is no written contract or the contract has no specific date, common sense would dictate that the landowner notify the tenant of a change by the end of harvest at the latest. Notification should also be in written form.

A second issue this past year is flexible lease contracts. FSA states that if a landowner utilizes a flexible lease based upon the tenant's yield and price received, the landowner is eligible for a portion of the commodity payments. This can be troublesome for both landowner and tenant.

However, there is a way around this rule and a form of flexible lease can be utilized. For the yield portion of the lease, tenant and landowner can use a yield such as the average National Agricultural Statistical Service (NASS) yield for the county where the land is located. For price, they can use the average price at the local elevator over a given period of time. As long as neither the contract yield nor the contract price are tied directly to the tenant's actual yield or price, FSA will accept the lease as being a cash contract. Note that this is the ruling under the current farm bill. The drafting of a new farm bill may change this, so be aware of rental provisions in any new legislation.

FSA also requires that all contract information, including land rent contracts, be completed and submitted to the FSA office by Sept. 30. If the deadline is not met, the tenant will not receive FSA payments. Tenants may want to set an earlier deadline to ensure all forms are in on time.

Aside from all the rules and deadlines, mutual respect and good communication go a long way in land rent negotiations. Tenants need to take care of the land that the landowner has loved all these years. That means keeping the fertility up and the weeds down. Tenants need to pay rent on time and in the event of a good year -- perhaps a gift of some sort to the landowner is in order.

Tenants may also want to share how input costs have changed over the past three years. Some tenants do this by way of a newsletter to their landowners. Landowners need to look not at how much rent they can get but rather at the character of their tenant and the nature of that relationship. Considerations include: does the tenant pay the rent on time, take care of the land, send a present when they have a good year and share some of the challenges being faced regarding crop production?

University of Minnesota Extension has a publication, "Cropland Rental Rates for Minnesota Counties," dated June 2007. It's available to review in pdf format at www.cffm.umn.edu/Publications/pubs/FarmMgtTopics/RentalRates.pdf.

By Gary A. Hachfeld, University of Minnesota Extension
President Bush Accepts U.S. Agriculture Secretary's Resignation
President George Bush accepted the resignation of U.S. Agriculture Secretary Mike Johanns last week and named Deputy Agriculture Secretary Chuck Conner as acting secretary.

News reports are predicting that Johanns will soon announce his intention to run for the U.S. Senate from his home state of Nebraska. To read the presidents remarks on accepting Johanns' resignation, click here: www.usda.gov/wps/portal/!ut/p/_s.7_0_A/7_0_1OB?contentidonly=true&contentid=2007/09/0256.xml. To learn more about Mr. Conner, who grew up on an Indiana farm, click here: www.usda.gov/wps/portal/!ut/p/_s.7_0_A/7_0_1OB?contentidonly=true&contentid=bios_conner_new.xml.

Source: USDA
Trait Rates (Why Prices Are Up)
Producers have ever-increasing options when it comes to buying seed in 2008, but those new traits are expected to come with a higher price tag.

Corn and soybean seed prices are expected to increase once again for 2008, fueled by an increase in the costs of royalties for genetics and technology (traits), as well as strong underlying commodity prices.

How much prices will increase has yet to be determined, as seed companies and technology providers finalize pricing schedules, but early indications are that fees on some traits could see a big jump.

The sharp increase in the price for underlying commodities -- corn and soybeans -- also means that seed companies are competing for seed acreage. "Costs are going up," says Chuck Lee, head of Syngenta's corn product line. "There is a significant increase in the costs of planting crops, it costs more to register products worldwide, and there are more regulatory approval costs."

To read the rest of this article on seed costs, click here: farmindustrynews.com/seed/trait-rates-prices/.

By Mark Moore
Harkin: 'Payment Limit' Fight May Go To Senate Floor
Senate Agriculture Committee members appear to be at loggerheads on new payment limit language in the 2007 Farm Bill, a situation that could mean any new rules would be debated on the Senate floor.

Committee Chairman Tom Harkin reportedly has told fellow Iowa Sen. Charles Grassley he will include Grassley's payment limitation legislation in the chairman's mark he presents to the committee in October.

The legislation, which has been introduced in previous years by Grassley and Sen. Byron Dorgan, D-ND, would bar any farmer and his spouse from receiving more than a total of $250,000 in direct, counter-cyclical and marketing loan gains or loan deficiency payments per year.

To read the full article on payment limit possibilities, click here: deltafarmpress.com/news/070921-Harkin-FB/.

By Forrest Laws, Farm Press Editorial Staff
NCGA Wants You ... To Share Farm Bill Facts
The National Corn Growers Association wants help contacting lawmakers and the media about farm bill legislation and other issues currently being decided in Congress. To learn more about farm bill legislation and what you can do to help move the best legislation forward, click here: www.ncga.com/growersresources/sharefacts/FarmBill.asp.

Source: NCGA

Off The Cob
Natural, Corn-based Deodorants Available
The DuPont Tate & Lyle Bio Products joint venture recently announced that it is providing its innovative Zemea product to Terra Naturals Inc., a personal care company that has developed a line of natural deodorants that are corn-based and aluminum- and petroleum-free.

Zemea is a 100% renewably sourced ingredient made from corn sugar. The Terra Naturals GREEN line includes deodorant sticks, sprays and roll-ons for men, women, teens and sport uses. These products offer odor elimination with a non-sticky residue. The GREEN line products are free of petroleum-based chemicals, free of synthetic parabens and aluminum and use only plant-derived ingredients.

Under the branded GREEN line of products, the deodorants are distributed through United Natural Foods in the U.S. and Purity Life in Canada and also are available at the Terra Naturals Web site, www.terranaturals.com.

Source: DuPont
Who Do You Trust?
The editors of The Corn And Soybean Digest (CSD) would like to know who you rely upon for trustworthy farming advice. Do you call on an independent crop consultant, a university expert, another farmer or a farm management consultant to improve your bottom line?

If you have relied on someone consistently as a mentor to help you be more profitable or to help provide clarity in making farm management decisions, please tell CSD their name, how they've helped you and how CSD can contact them (and you). Who knows, they could end up being recognized in a future issue of the magazine.

Please send your nominations via email to csd@csdigest.com or mail to Editor, The Corn And Soybean Digest, 7900 International Drive, Ste. 300, Minneapolis, MN 55425.

Note From The Corn E-Digest Editor
I recently received a question from one Corn E-Digest reader about the pros and cons of using anhydrous ammonia vs. 28% nitrogen and from another reader about tips on baling corn stalks for cattle feed. Look for advice on those questions in next week's Corn E-Digest. If you have any other ideas on what you'd like to see covered in a future issue of the Corn E-Digest, or if you have concerns or questions about this issue, please write me (John Pocock) at: jpocock@csdigest.com.

As always, thanks for your readership.


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