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  March 26, 2009 A Penton Media Property Volume 4, Number 7  
TABLE OF CONTENTS
5 Proven Ways To Increase Soybean Yields

Bean-Yield Basics

2009 Soybean Price Outlook

The Soybean Road Less Traveled

Soybean Farmers Protest In Argentina

Poor Convergence Performance Of CBOT Soybean Futures Contracts

One And Done Corn/Soybean Planting

Outstanding Soybean Seed Quality

Take Part In Corn & Soybean Digest Quick Poll

Want A CSD Editor To Visit Your Farm?

Obama Budget Breaks Contract With Farmers, Say Senators

Biodiesel Powers Railway

Readers Respond To Print or Video Question



Top Bean News
5 Proven Ways To Increase Soybean Yields
Ever since Kip Cullers, Purdy, MO, shocked the world of agriculture with a 139.39-bu./acre soybean yield in 2006, others have wondered how they might replicate the feat, or at least come close to it. Yet, the average U.S. soybean grower reaped only about 40 bu./acre last year, according to USDA.

Clearly, most soybean growers could benefit by taking a look at what Cullers does to boost bean yields and consider what they could do similarly on their own farms, says Greg Luce, Pioneer agronomist. “Kip has a handful of things that he does uniquely to increase yields,” says Luce. “The biggies are the frequency of irrigation, solid fertility levels, a well-drained soil base, good genetics and the way he protects the crop with fungicides and insecticides.”

For average farmers to have a chance at boosting yields anywhere nearly as high as Cullers does, they would need to have the following, says Luce:
  1. Irrigation. “There are a lot of people who irrigate soybeans in different parts of the Midwest, but they don’t obtain the yields that Kip does,” explains Luce. “Most soybean growers who use irrigation typically avoid watering until pod-fill time or will water only when conditions turn very dry. In comparison, Kip waters very frequently at a very low volume (less than 1/3 in. or less) with high-speed-motor pivots. The objective is to cool the plant canopy during a hot day to lower the heat stress on the plant.”
  2. Fertile soils. “Kip’s soils are very productive, but they are not naturally high in organic matter,” says Luce. “Over time, Kip has built up a very good fertility base on his fields with the application of poultry litter. In most of the Midwest, it’s very common for growers to overlook the need for fertility on soybeans compared to corn. For instance, potassium is a very big requirement for soybeans to yield well, but many growers fail to supply it adequately ahead of planting.”
  3. Good drainage. “Kip’s soils drain very well and don’t easily become oversaturated,” notes Luce. “That’s especially important with irrigation, but it can also be important on dryland acres too, depending on annual rainfall levels.”
  4. Excellent varieties. In addition to the ability to yield well, “Kip’s soybeans need to be resistant to diseases like white mold, because he irrigates so frequently,” says Luce. “They also need to be able to stand well, because they grow so tall and are heavy with a high number of pods/plant.”
  5. Fungicide/insecticide applications. “Kip uses effective seed treatments at planting and timely foliar applications when needed throughout the growing season,” says Luce. “He is very attentive to the crop and knowledgeable on how to protect it.”
Reducing plant stress is key to maximizing soybean yields on Cullers’ farm, emphasizes Luce. “Minimizing plant stress helps Kip to greatly increase the number of pods/plant,” he says. “Typically, on non-irrigated soybeans in the Midwest, 60-70% of the flowers on a soybean plant never form a pod. On Kip’s farm, the percentage of flower and early pod abortion is much lower.”

For more information from Pioneer about Kip Cullers’ soybean yields, click here: www.pioneer.com. For more information on soybean production from the Corn & Soybean Digest, click here: cornandsoybeandigest.com/soybeans/.

By John Pocock

Bean Briefs
Bean-Yield Basics
Farmers who want to boost their yields to rival Kip Cullers’ record levels would do well to take a close look at their own soybeans first, says Emerson Nafziger, University of Illinois (U of I) Extension agronomist.

For example, most soybean growers know their plant populations at planting and their yields at harvest, but not a lot of details in between. Some information that could be useful when trying to determine how to boost yields in successive years would be final stand counts, average pods/plant, seeds/pod, seeds/acre and seeds/bu.

According to Nafziger, the typical Corn Belt average for soybean production might be:
  • 100,000 productive plants/acre (higher populations will increase the number of non-productive plants)
  • 30 pods/plant
  • 2.5 seeds per pod
  • 7.5 million seeds/acre
  • 165,000 seeds/bu. and
  • 45 bu/acre yields.
“Keeping everything else the same but increasing the pod number/plant from 30 to 40 would raise yields from average to good – from 45 to 60 bu./acre,” says Nafziger. “Raising any of the other yield components within the same set of weather conditions is more difficult, because those yield components tend to change to counteract changes in another component. For example, fewer seeds set usually results in larger seeds. In the end, yield reflects the number of seeds retained on the plant, and filled successfully, by a complete crop canopy working well to the end.

“Soybean crops fill seeds rapidly (with lags at the start and at the finish), typically for an average of about 30-35 days,” adds Nafziger. “We have measured daily yield increases as high as 4 bu./acre per day. Kip Cullers seems to have found a way to put lots of seed on plants, but he also keeps them filling at consistently higher rates and for longer than normal. Our hope is that we can move yields in that direction, starting first with increased seed numbers.”

For more information on increasing soybean yields from U of I’s Nafziger, click here: agronomyday.cropsci.illinois.edu.

By John Pocock
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2009 Soybean Price Outlook
The rebound in soybean futures prices and the continuation of a strong basis is giving producers an opportunity to price a portion of the unsold 2008 crop, says Darrel Good, a University of Illinois Extension marketing specialist.

“Decisions for the 2009 crop are more difficult,” notes Good. “November futures are slightly above the spring price guarantee for crop revenue insurance, so there is some downside risk for unpriced new crop soybeans. That risk is small for the insured portion of the crop, but greater for the uninsured portion.

“The real dilemma surrounding the pricing of the 2009 crop, however, is associated with determining value in a rapidly changing economic environment,” he adds.

Is economic recovery and demand strength imminent? Is the economy headed for a period of rapid inflation, and how would that influence soybean prices?

“Such uncertainty favors a marketing strategy of frequent, small sales,” advises Good. “There is more than a year left to sell the 2009 crop.”

Good's comments result from a review of recent soybean prices. Soybean futures contracts for the 2008 crop sunk to contract lows in early December 2008, and the average spot cash price in central Illinois dropped under $8/bu. Prices rallied sharply into early January 2009, with the central Illinois cash price moving above $10. Prices collapsed again in early March with the cash price dropping to about $8.35, but rebounded sharply last week with the central Illinois spot cash bid ending the week at $9.38.

“Much of last week's rally in prices was associated with higher energy prices, a rally in financial markets, and a weaker U.S. dollar,” he says. “These markets, in turn, were influenced by U.S. monetary policy that ignited expectations of an upcoming period of rapid inflation in the U.S. economy.

“Developments within the soybean complex also continue to be somewhat supportive for soybean prices,” he adds.

To read more about Good’s soybean price outlook, click here: www.aces.uiuc.edu/news/stories/news4715.html.

Source: University of Illinois Extension
The Soybean Road Less Traveled
While many farms grew more acres, Chambers Farms grew new markets. Norm Chambers hasn't grown conventional soybeans since 1988. That's when he sent his first 20-ton container of food-grade soybeans overseas to discerning Japanese buyers.

More than 125 years after his forefathers first settled his Corwith, IA, homestead, he and son Jonathan also market their own Laura brand edible soybeans to the health-conscious domestic market.

Chambers first developed contacts in Taiwan, Korea, Singapore and Japan as an American Soybean Association (ASA) director involved in trade development. “When the Japanese delegation was in the U.S., I invited them to see our farm,” Chambers says. “They value the personal business relationship, and seeing where and how their food is grown.

“Fortunately, we had a Japanese foreign exchange student, Chiaki Terada, living with us who helped me write Japanese e-mails and learn a new culture,” he says. His first container of edible soybeans was marketed under the Fairview Farms brand and was well received.

Over time, orders grew steadily to 250 containers a year. These days, Chambers Farms averages about 50 containers annually due to increased price pressure from other exporters selling to the Japanese market. He sees no value in selling below a price that justifies his efforts.

Recently, a shortage of edible soybeans has surfaced, so things may swing back the other way. To read more about Chambers and his efforts to market food-grade soybean, click here: cornandsoybeandigest.com/marketing/0301-chambers-farms-grew-markets/.

By Susan Winsor
Soybean Farmers Protest In Argentina
Unrest in Argentina is again threatening to disrupt the marketing of farm commodities, most notably soybeans and soybean meal. Many farmers are refusing to sell grain or livestock because the government refuses to lower the levy on soy exports. This battle was fought a year ago and resulted in a slowdown for Argentine exports and may have cost that country market share. Argentina is the No. 1 soybean meal exporter in the world.

“Production is falling because we've got dismal agricultural policies and things are going to get worse from now on,” says Eduardo Buzzi, president of the Argentine Agrarian Federation. “Prices have fallen but they wouldn't be so bad if it wasn't for the scourge of these export taxes,” he adds.

Last week President Christina Fernandez offered to share $1.8 billion of the soy tax with provincial and municipal governments each year. But this move just infuriated farm organizations more because it was seen as an attempt to buy public support. The situation is now being described as a “climate of hate” between those involved in agriculture and the Argentine government.

Editor’s note: Richard Brock, Corn & Soybean Digest's marketing editor, is president of Brock Associates, a farm market advisory firm, and publisher of The Brock Report. To read more articles from Richard Brock, click here: cornandsoybeandigest.com/richardbrock/.

Source: Brock Associates
Poor Convergence Performance Of CBOT Soybean Futures Contracts
Poor convergence performance of CBOT corn, soybean, and wheat futures contracts since late 2005 has been a major source of concern to market participants, regulators and elected representatives at the state and national levels. After careful review of available evidence, it appears that recent storage rate changes for CBOT corn and soybean contracts were sufficient to address convergence problems in these two markets.

The corn and soybean delivery system is functionally sound at the present time, because it is located within substantial commercial flows of the commodities. Nonetheless, convergence performance for these two markets should continue to be closely monitored, particularly in light of the downward trend in corn and soybean shipments on the Illinois River.

To read more CBOT grain commodity futures performance, click on the following PDF Web link: www.farmdoc.uiuc.edu/marketing/morr/morr_09-02/MORR_09-02.pdf.

By Scott Irwin, Philip Garcia, Darrel Good and Eugene Kunda, University of Illinois
One And Done Corn/Soybean Planting
Jeff Pape watches input costs like a hawk, pouring over every nickel spent on his Dyersville, IA, no-till operation. That's what drove him to figure out a way to cut back on not just tillage, but fertilizer applications and planting, too.

“I was looking for a way to get fertilizer and planting down to one pass,” says Pape, who farms 650 acres of his own ground and custom farms 1,400 acres – half to soybeans, half to corn. Pape uses a 12-row, 30-in. planter, then later lowers interplant units for 15-in. soybean rows.

Five years ago he traded his Kinze 3600 planter for a new Kinze 3650 with liquid tanks and started modifying it to solve his one-pass dilemma. “I changed to IH depth wheels for compaction reasons, then added John Deere nitrogen (N) coulters with depth wheels,” Pape explains. “Then I put on Keeton seed firmers, Martin trash whippers and spiked closing wheels, followed by drag chains that smooth out the soil. I get excellent seed placement and seed-to-soil contact.”

To read more about Pape’s one-pass planting system, click here: cornandsoybeandigest.com/equipment/0301-pape-modified-planter/.

By Greg Lamp
Outstanding Soybean Seed Quality
The quality of the soybean seed we are about to plant in the coming weeks is outstanding, in sharp contrast to the quality of the seed we planted in 2008. Poor germination and vigor for a lot of seed last year resulted in a significant amount of seed withheld or removed from the seed sale pipeline.

This, coupled with extreme demand due to high soybean prices, resulted in a shortage of good quality seed to be planted last year for many varieties. Or so we thought. A common theme last year was, “We planted 9 seeds/ft. of row and we got 12 up.”

Seed size last year as a whole was extremely small. Seed size varies from variety to variety due to genetics and from year to year due to the environmental conditions in seed production fields. Soybean seed size can vary from less than 2,000 seeds/lb. for large-seeded varieties to greater than 4,000 seeds for small-seeded varieties.

Seed size, averaged across all varieties, is typically around 2,900 seeds/lb. Last year average seed size was around 3,400 seeds/lb.

Extremely small seed size last year resulted in planters dropping a lot of doubles (i.e., dropping two seeds rather than one) because planter plate cells picked up two seeds rather than one.

This resulted in some higher-than-desired plant populations and, coupled with later-than-desired planting, some lodging in fields. Late planting in late April through early May can result in excessive growth and lodging potential, especially under irrigated conditions and when planting on silt loam or light-textured soils.

Seed shortages last year also resulted in planting more seed than desired in a lot of cases due to the risks of stand failures and knowing there was very little seed available for replanting.

The above-mentioned scenarios — poor quality seed, seed shortages, and small seed — will not be the case for this year’s soybean crop.

To read more about soybean seed quality this spring, click here: deltafarmpress.com/soybeans/Soy-Seed-0325/.

By Trey Koger, Delta Research and Extension Center

Off The Stem
Take Part In Corn & Soybean Digest Quick Poll
If you haven't already done so, please take part in an anonymous Corn & Soybean Digest (CSD) quick poll. The most recently posted question is: What’s your machinery+labor cost/acre?

Answer the question and view quick poll results on CSD's home page at: www.cornandsoybeandigest.com/. (The poll question is just to the right of the “What’s New” top section of the Web site.)

Source: Corn & Soybean Digest
Want A CSD Editor To Visit Your Farm?
When it’s time to get out to the field with your newest crop production innovation, Corn & Soybean Digest (CSD) editors would like to be right there with you to see what new or different ideas took shape during the winter. If you or someone you know has built or modified machinery, we’d like to hear from you.

No idea is too big or too small. We’re interested in machinery that’s been built from scratch, or several pieces of equipment that have been torn down and re-assembled as a single unit, or simple modifications to existing equipment. It’s always interesting to see anhydrous ammonia applicators, planters, sprayers and tillage tools that farmers have constructed to help them farm better, bigger or more efficiently.

Also, we’re interested in any cost-cutting ideas that you’ve been doing to stay profitable. For example, have you been involved in any machinery sharing ventures, group input buying clubs or innovative marketing channels?

We can’t promise that we’ll get to every farm, but we promise to try. If you have an idea you’d like to share, please send an e-mail to CSD@csdigest.com or call Managing Editor Susan Winsor at (952) 851-4662, or click on the following link to enter your project: insidepenton.com/research/sg/csd09shopproject.htm.

Source: Corn & Soybean Digest Editors

Soy Pod Extra
Obama Budget Breaks Contract With Farmers, Say Senators
When the Obama administration’s fiscal 2010 budget proposals reach Congress, the agricultural portion will likely face a wall of bipartisan opposition.

Two senators – one from each party – have written a letter to Senate Budget Committee Chairman Kent Conrad asking him to oppose any farm program spending cuts or other attempts to reopen the 2008 Farm Bill.

The letter, drafted by Arkansas Democrat Blanche Lincoln and Kansas Republican Pat Roberts, was signed by four Democrats and 11 Republicans representing states as diverse as Montana and Mississippi.

“The farm bill is a completely paid for, bipartisan product representing two years of negotiations and tremendous sacrifice on the part of production agriculture,” said Lincoln. “That agreement is not even one year old as the administration proposes reopening those portions that affect producers.”

Lincoln said she and other signers of the letter are willing to work to pass a “responsible budget that cuts the deficit” without cutting direct payments or making drastic changes in safety net programs such as crop insurance.

To read more about efforts to preserve the 2008 Farm Bill from the administration’s proposed changes, click here: deltafarmpress.com/legislative/budget-contract-0324/.

By Forrest Laws, Farm Press Editorial Staff
Biodiesel Powers Railway
The world's first mountain-climbing cog railway has added a B20-powered diesel to its fleet of steam engines. Operated since 1869, the historic Mt. Washington (N.H.) Cog Railway ascends the 6,288-ft. mountain, with a 20-37% grade.

The railway recently added a 12.5L six-cylinder JD Power Tech 6125H B20-compatible diesel engine to its fleet of seven locomotives, according to Diesel Progress magazine. Rising coal prices prompted the historic railroad to add the Tier 2 engine to its fleet of six coal-fired steam engines. The engine is rated 450 hp. At 2,100 rpm, it has a maximum output power of 950 hp.

Of the railroad's three in-season daily 6-mile roundtrips up Mt. Washington, one is B20-powered and the other two are coal-fired steam engines. More than 80,000 passengers ride the railway annually, which climbs New England's tallest mountain. When the railway's builder first presented his idea of building a railroad up the steep peak to the New Hampshire Legislature in the 1850s, they said that he “might as well build a railway to the moon.”

Source: Corn & Soybean Digest

Note From The Editor
Readers Respond To Print or Video Question
In the March 12 issue of the Soybean E-Digest, I asked readers to comment about the recent use of video links in the newsletter. The response was split almost equally between those who liked the video links and wanted to see more of them and those who didn’t.

The following two comments represent several others who wanted to see more video links used in the newsletter:

“I like your newsletter – articles are brief, but I know where I can get more information,” writes Jerry Osterholt. “Adding more video links would be great.”

Terry Stump, a reader from York, PA, agrees. “Videos certainly liven up the newsletters a lot,” he writes.

Those who are against using more video links in the newsletter cite slow internet connection as the main reason video links don’t work well for them.

Based on these reader comments, I will keep the newsletter more print-focused for the sake of subscribers who struggle with slow internet service, but I will try to include at least one video link every issue or so for subscribers who do like them.

As always, you're welcome to write to me if you have concerns or questions about this newsletter or have ideas on topics you’d like to see me write about for future issues. When writing, please let me know your name, where you farm, what your comment is and whether or not I have permission to use your comment in a future Soybean E-Digest newsletter. You can contact me (John Pocock) at: john.pocock@penton.com.

I look forward to hearing from you. Thanks for your readership, think safety – and farm on!


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