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Logan
Hawkes
02/20/08
Crop News Weekly
Cold, wintry weather continues to grip much of
the Midwest appearing to be no closer to the spring season than the farm
bill is to becoming a law. Still, and eventually we believe, both will
come to a conclusion -- sooner or later. In the interim, Chairman of the
House Agriculture Committee, Collin Peterson, D-Minnesota, has drafted a
new "compromise" version of the bill that he argues may meet with White
House approval. But so far, little support has been offered from the
Senate, farm groups or the White House. Meanwhile, the chairman and
ranking member of the Senate Agriculture Committee say they don't buy
arguments that more than $6 billion has to be cut from the 2008 farm
bill so that it can pass muster with the Bush administration. Sen. Tom
Harkin, D-Iowa, chairman, and Saxby Chambliss, R-Ga., the ranking
member, issued a statement saying they want to provide $12.3 billion in
"above-baseline" spending for commodity, conservation, energy, nutrition
and rural development programs in the 2008 farm bill. The proposal came
two days after Peterson's limited spending bill. In other news, farmers
continue to see the cost of doing business climb. Fertilizer prices are
at record highs. Fuel and pesticide costs are also up, along with land
rents and other expenses. In the past couple of months, farmers have
been planning for their 2008 crops, and some have had what might best be
described as sticker shock. Also this week, soybeans reached an all-time
price high the night of Feb. 14 with July 2008 soybean futures selling
for $14.08 on the CBOT's electronic platform. Corn equaled its all-time
price high, hitting $5.45 for July 2009 futures, also on the CBOT's
electronic platform.
You'll find these stories and more in this issue of Crop News
Weekly. Happy reading.

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Corn,
soybean, wheat prices hit all-time highs
Soybeans reached an all-time price high the night of
Feb. 14 with July 2008 soybean futures selling for $14.08 on the CBOT's
electronic platform. Corn equaled its all-time price high, hitting $5.45
for July 2009 futures, also on the CBOT's electronic platform. According
to CBOT, May beans finished up 39 1/2 at $13.86 1/2, 1/2 off the high
and 39 3/4 up from the low. November beans closed up at 34 1/2 at $13.05
1/2--32 1/2 up from the low and 2 off the high. - The Corn & Soybean
Digest

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Researchers
move closer to curbing pests' appetite
Scientists at Kansas State University (K-State) have
discovered that the salivary glands of a tiny insect may hold a key to
developing pest resistance in plants. A team of K-State researchers
found that by using technology to silence a gene in the salivary glands
of pea aphids, the insect's lifespan was cut by more than 50%. "What we
found is that when we silenced the most abundant transcript (gene), the
aphids died in a few days," says K-State Professor of Entomology John
Reese. - The Corn & Soybean Digest

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Corn
and soybean growers share on-farm research
Corn and soybean growers are invited to attend the
Nebraska Soybean and Feed Grains Profitability Project (NSFGPP) on-farm
research update March 11 at the University of Nebraska-Lincoln's (UNL)
Agricultural Research and Development Center near Mead. The 9 a.m. to 3
p.m. program will be at the August N. Christenson Research and Education
Building. Producers will obtain valuable crop-production-related
information from on-farm research projects conducted on Nebraska farms
by Nebraska farmers. - The Corn & Soybean Digest

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Production
costs continue to climb
Farmers continue to see the cost of doing business
climb. Fertilizer prices are at record highs. Fuel and pesticide costs
are also up, along with land rents and other expenses. In the past
couple of months, farmers have been planning for their 2008 crops, and
some have had what might best be described as sticker shock. Prices for
potash, phosphorus and nitrogen are high now and aren't likely to drop.
Some have locked in prices while others are waiting, hoping for lower
prices. However, any real downturn in costs seems unlikely. - Laura
Skillman, University of Kentucky

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Harkin,
Chambliss counter Peterson farm bill proposal
The chairman and ranking member of the Senate
Agriculture Committee say they don't buy arguments that more than $6
billion has to be cut from the 2008 farm bill so that it can pass muster
with the Bush administration. Sen. Tom Harkin, D-Iowa, chairman, and
Saxby Chambliss, R-Ga., the ranking member, issued a statement saying
they want to provide $12.3 billion in "above-baseline" spending for
commodity, conservation, energy, nutrition and rural development
programs in the 2008 farm bill. The proposal came two days after House
Agriculture Committee Chairman Collin Peterson and ranking member Bob
Goodlatte offered to limit spending in the new farm bill to $6 billion
above baseline to win White House support for the legislation. -
Forrest Laws, Farm Press Editorial Staff

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Performance. As shown in research trials and field tests conducted
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For more information on Quadris fungicide, please visit www.quadrissoybeans.com.
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Peterson
farm bill proposal limits new funding
House Agriculture Committee Chairman Collin Peterson
said he and the committee's ranking member have developed a farm bill
with only $6 billion in new spending that President Bush will sign.
Peterson, D-Minn., and Rep. Bob Goodlatte, R-Va., said the new approach
is needed so a House-Senate committee can complete a farm bill
conference report, have it pass both houses of Congress and be signed by
the president before an extension of the current farm law expires March
15. But major farm organizations say the Peterson-Goodlatte proposal is
"seriously under-funded," and contains provisions supported by the
administration that were previously rejected by the House and Senate
agriculture committees. - Forrest Laws, Farm Press Editorial
Staff

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Harkin
says president needs to bend a little
The clock is ticking, says Sen. Tom Harkin, and the
Bush administration needs to show a little more flexibility if it wants
farmers to have a new farm bill by the time the extension of the current
law expires on March 15.
Harkin, D-Iowa, the chairman of the Senate Agriculture Committee, says
he believes enacting a new farm bill by that date remains possible, but
only if the White House relaxes its objections to what it calls tax
increases and congressional leaders term 'loopholes'. "The
administration has said it wants to work with Congress on a bipartisan
basis to pass a farm bill the president can sign," Harkin told
reporters. "I take them at their word, but, if an overwhelming majority
of the Congress says we ought to close those loopholes to get some
funding, I think the president is going to have to bend on this." -
Forrest Laws, Farm Press Editorial Staff

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Soybean
rust forum to feature national, regional experts
Soybean farmers will have an opportunity to learn what
experts think Asian soybean rust could do this year and learn about
tactics to manage the disease by attending the Soybean Rust Forum 2008
on March 4 at Brinkley, Ark. "Climatologist Scott Isard from Penn State
University is coming to discuss how environment affects movement and
spread of the disease," said Scott Monfort, associate professor/plant
pathologist with the University of Arkansas Cooperative Extension
Service. Other speakers include Clayton Hollier, an Extension plant
pathologist from Louisiana State University Ag Center; Monfort; Cliff
Coker, Arkansas Extension plant pathologist at Monticello; and Jeremy
Ross, Arkansas Extension soybean agronomist. - Lamar James, Arkansas
Extension Specialist

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Machinery,
energy issues highlight Farm & Gin Show
A chance to kick the tires of two hot new cotton
pickers and seminars on marketing and energy are among the highlights of
the 56th annual Mid-South Farm & Gin Show, to be held Feb. 29-March 1 at
the Cook Convention Center in downtown Memphis. "Our show offers growers
an opportunity to get a handle on how the 2008 season is shaping up and
to see firsthand a broad array of products and services that span more
than 400 exhibits and over 200,000 square feet of floor space," says Tim
Price, executive vice president of the Southern Cotton Ginners
Association and Foundation and show manager. The event, the largest
indoor farm show in the South, is co-sponsored by Delta Farm Press.

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Why are
Democrats so eager to cave on farm bill fight?
What's the rush? Some months ago, a farm bill analyst
said in these pages that Congress had plenty of time to write a new farm
bill; that all the scurrying around by House Agriculture Committee
members was too much, too soon. That turned out to be another case of an
expert not knowing what he was talking about. The House Agriculture
Committee completed its work a few months later, reporting a bill the
House passed in late July. The Senate Agriculture Committee dithered for
months, finally voting out a bill the full Senate didn't OK until Dec.
17. Now Rep. Collin Peterson, D-Minn., the chief architect of the House
farm bill, is trying to get the process rolling again, releasing a new
proposal that seems to have won at least tacit approval from the Bush
administration. - Forrest Laws, Farm Press Editorial Staff

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Surging
foreign demand, weak dollar spur U.S. exports
Surging foreign demand, a weak U.S. dollar and
unprecedented growth in the global economy are the driving forces behind
increasing rates of U.S. agricultural exports, according to Mike Dwyer,
chief economist with the Foreign Agricultural Service at the USDA. Dwyer
spoke in front of U.S. Grains Council members at the Council's 5th
International Marketing Conference and 48th Annual Membership meeting in
San Antonio, Texas. "People have money in their pockets and the ability
to buy despite growing prices," he said in regards to the growing middle
class in countries such as China, Southeast Asia and India. The rising
income of citizens in many of these markets goes hand in hand with the
increasing U.S. agricultural exports. "People in other countries use
their rising incomes to improve the quality of their diets. When
consumers prosper, so do you," he said, addressing the grains producers
in the audience.

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US
appeals WTO Final Compliance Panel Report
A criticism frequently brought by farmers of our Trade
Representatives is that they don't stand their ground to defend American
Agriculture. That's not the case this week from reading a statement from
Gretchen Hamel, USTR spokeswoman, regarding the appeal of the WTO Final
Compliance Panel Report in United States-Subsidies on Upland Cotton. On
Tuesday of this week the United States filed its appeal in the WTO
dispute brought by Brazil alleging that the United States had not
implemented earlier WTO findings against U.S. agricultural support
measures, including support for cotton farmers. Ms. Hamel said in her
statement that, "The appeal is from the report of a compliance panel
that found that certain changes made by the United States to its cotton
programs were insufficient to bring the challenged measures - certain
support payments under the 2002 farm bill and export credit guarantees -
into conformity with U.S. WTO obligations." - Roger Haldenby, Plains
Cotton Growers Inc.

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