Crop News Weekly: Buy American!

As Washington continues to deal with the troubled economy and the woes of Wall Street and the broader financial community, farmers are preparing for an uncertain year ahead. It's difficult to pretend that it's 'business as usual' down on the farm when so many major distractions fill the six o'clock news each day. But as Will Rogers once said, "A farmer has to remain optimistic or he wouldn't still be a farmer." It may be little consolation but, and quoting Mr. Rogers again, "You've got to do more than just live in the country to be a farmer."

In this day and time you've got to do a lot more. As planting season approaches, and in spite of all the bad news on the TV and radio, we know the government is not working on a way for farmers to buy seed or fertilizer or pay off the farm. So, and as usual, the burden of surviving and making the farm operation work for another year rests solely on the shoulders of those that are dedicated to the industry. And that means you and I. Here's hoping we're up to the task - again.

We're full of issues and news this week that will help you stay on top of all the recent developments within our industry, so let's get started. Happy reading.

By a vote of 65-31, the U.S. Senate rejected an amendment offered by Sen. John McCain, R-Ariz., that would have stripped the requirement to buy American for all spending covered by the stimulus package now being considered by Congress.

Led by Sen. Byron Dorgan, D-N.D., the Senate previously included language mandating that all the iron, steel, and manufactured goods purchased in the public works portion of the stimulus bill be made in the United States unless an existing U.S. international obligation would open the bidding to foreign-made goods. - American Manufacturing Trade Action Coalition

For weeks, every economist worth his salt has been saying Congress needed to be bold in crafting the stimulus package needed to revitalize the economy.

So what did a supposedly bipartisan group of senators do when the stimulus bill came to the floor? They began whacking away at it to bring the legislation down to less than bold proportions.

As this issue went to press, the senators were trying to agree on spending provisions “that truly help stimulate the economy,” as Sen. Susan Collins, R-Maine, said. Collins, Democrat Ben Nelson of Nebraska and others reportedly were planning $90 billion in cuts.

As they met, the U.S. Bureau of Labor Statistics announced the country lost another 598,000 jobs in January, 207,000 of them in the manufacturing sector. Those losses bring the total for the period since January 2008 to 3.5 million and unemployment to 7.5 percent. - Forrest Laws, Farm Press Editorial Staff

Since mid-2008, Trey Koger has noticed a serious uptick of growers interested in conventional soybeans. That interest seems to be due mainly to three things, said the Mississippi Extension soybean specialist, who spoke at the recent Tri-State Soybean Forum in Oak Grove, La.

“First, over the last decade, there has been a steady increase in the price of Roundup Ready seed. Last fall, there was a significant price increase — more than what was experienced in the past. Some prices cited were 30 to 40 percent higher.”

Added to the mix is also the increased cost of glyphosate. In some situations, there is also concern for glyphosate-resistant weeds.

“Those three factors have turned some farmers’ interest back to conventional soybeans.” - David Bennett, Farm Press Editorial Staff

Missouri Gov. Jay Nixon unveiled his plan to balance the state’s budget and maintain funding for several key initiatives during his first State of the State address in late January. Nixon specifically mentioned Missouri’s renewable fuels industry among the budget priorities listed in his proposed budget.

“We know that within Missouri’s own agricultural capacity lies a possible solution to our nation’s energy crisis,” Nixon said. “Missouri must remain on the leading edge of efforts to develop the renewable energy sources of our future. That’s why my budget provides full funding for ethanol and biofuels.” - Missouri Soybean Association

On May 21, 2008, seven soybean futures contracts were traded at the Board of Trade in Chicago. Nothing unusual about that unless you consider those contracts called for delivery of soybeans in November 2011. The seeds that will produce those soybeans will not be planted for another three years!

That spring day effectively marked the beginning of the 2011 soybean marketing season, a season that will extend to August 2012, four years and three months after it began.

Every one of those trading days will present a pricing opportunity to a producer. The purpose of the futures market after all is to allow producers and end users to lay off risk. The longer the season, the more chances a producer has to secure a good price. - Steven H. Scott, Scott & Associates Agricultural Marketing, Inc.

Sometimes you have to dig deep to find hidden treasure. That´s the case when testing agricultural soils for levels of valuable plant-available nitrogen, a Kansas State University agronomist said.

Using a profile nitrogen test, taken to a depth of 24 inches, to verify nitrogen credits can provide valuable information to producers, said Dorivar Ruiz Diaz, K-State Research and Extension nutrient management specialist.

"Most producers are unaware of the amount of nitrogen that may be present in their soils from the previous season," Ruiz Diaz said. "Plant available nitrogen can be present in the soil from fertilizer carryover, previous manure applications, or legume plowdowns."

USDA officials erred when they wrote the new interim final rule for payment limits and should rescind it before it “adversely affects producers and farm operations from coast to coast,” a group of senators said.

That charge — contained in a letter written to Agriculture Secretary Tom Vilsack — is likely to draw a hearty amen from farmers who have expressed dismay over the new actively engaged language in the rule.

The letter was written by Saxby Chambliss, ranking member, Blanche Lincoln, chairman of the Subcommittee on Production, Income Protection and Price Support, and 21 other members of the Senate Committee on Agriculture, Nutrition and Forestry and farm-state representatives. - Forrest Laws, Farm Press Editorial Staff

The U.S. Department of Agriculture (USDA) will release new 10-year agricultural projections Feb. 12 at 12:00 noon EST.

"USDA Agricultural Projections to 2018" will be released on the Office of the Chief Economist Web site at http://www.usda.gov/oce. USDA publishes the projections each year in February.

The report will be available in printed form Feb. 26-27 at the USDA's 2009 Agricultural Outlook Forum in Arlington, Va. (Conference details found at: www.usda.gov/oce/forum). Copies also can be ordered from the National Technical Information Service at http://www.ntis.gov or 1-800-999-6779. Request document OCE-2009-1.

advertisement

EDITOR'S NOTE

advertisement

FROM OUR EDITORS

advertisement

advertisement

advertisement

advertisement