CROP NEWS WEEKLY Penton Media June 17, 2009 Volume 9, Issue 23 If you want to view this on the web go to: http://enews.penton.com/enews/cropnewsweekly/v/331 EDITOR'S NOTE Logan Hawkes 06/17/09 Happy Father's Day! In a post-modern world it's good to know that family values still hold a high place among farm families. Much in this world has changed, and often for the good instead of the bad. For instance, no farmer in his right mind wants to hitch up the horses to plow the fields. We enjoy enormous benefits from agricultural research and development, and no one wants to return to the days before the modern technologies that make farming more productive and profitable. Yet some things should never change. And the values of America's agricultural community remain some of the highest in the land. Farming is more than a tradition - it's a way of life. And in spite of the long, hard hours required to get the job done, the core principles of the family unit remain largely unchanged through the generations, and for this, I believe, we should be thankful. That's my speech in honor of Father's Day. It's just an opinion and may not be worth much to many. But it's my way of wishing all the Dad's in the farming world a happy and rewarding Father's Day. Now -- let's get to the week's news and issues below. FROM OUR EDITORS --Asian soy rust slow to develop Nearly a week after Asian soybean rust was located in south Louisiana and Alabama soybeans, the fungal disease hadn't been found elsewhere. It was not from lack of looking, though. "We've continued to scout and make (leaf) collections, but nothing has been found since the St. Martin Parish outbreak," said Clayton Hollier, LSU AgCenter plant pathologist on June 12. Having already found rust in south Louisiana kudzu, "my associate looked at several fields that Blaine Viator -- a consultant that has helped us out a lot with rust monitoring -- has maintained. She found rust in two of Viator's sentinel plots." - David Bennett, Farm Press Editorial Staff To view the full article go to: http://deltafarmpress.com/soybeans/soy-rust-0616/ --Late planting/soybean production Soybean growers are full-speed ahead with planting, however, the wet spring has put many of them behind schedule. According to the U.S. Department of Agriculture Weekly Weather Crop Bulletin, 48 percent of Kentucky soybeans were planted as of June 7. This is well behind the five-year average of 71 percent. Soybeans planted after June 15 are considered late and could cause yield loss. Producers currently planting need a final stand count of 100,000 plants per acre. This number should increase to 140,000 plants per acre for soybeans planted after June 15 and 160,000 plants per acre for double-crop soybeans to help offset yield losses, said Chad Lee, grain crops Extension specialist with the University of Kentucky College of Agriculture. - Katie Pratt, University of Kentucky To view the full article go to: http://southeastfarmpress.com/soybeans/late-soybeans-0615/ --Aerial applicators warn of delays Forget the fanciful "24." Americans should know that the nation's farmers -- their livelihoods and yields in the balance -- really do face frequent, ticking time-bomb situations. Pests are capable of incredibly quick proliferation and fields often need immediate pesticide applications and can't wait; the spraying needed to be done yesterday. So what happens if that application can't be made? That is a serious concern following a January decision by a three-member panel of the U.S. Sixth Circuit Court of Appeals. Since the ruling, farmer and ag-chemical advocacy groups have been in full voice warning that U.S. agriculture is under threat. - David Bennett, Farm Press Editorial Staff To view the full article go to: http://deltafarmpress.com/legislative/aerial-applicators-0615/ --Heritage Foundation releases study The Heritage Foundation's Center for Data Analysis released an economic study on Tuesday regarding the impact a cap-and-trade system would have on the agriculture community. The study maintains that cap-and-trade is "an energy tax in disguise" that will cause farm income to drop dramatically because of higher operating costs. It further argues that people living on fixed incomes and struggling in tough economic times can expect higher food prices as the result of this policy. - Corn & Soybean Digest To view the full article go to: http://cornandsoybeandigest.com/ag-issues/washington-policy/0610-cop-and-trade-impact-farmers/ --Windbreak assays to be conducted The Dust Bowl may be long gone, but wind continues to erode an average 1.3 tons of topsoil each year from every one of Kansas' 1.8 million acres of cropland. That's well beyond tolerable limits, according to the USDA's Natural Resource Conservation Service. "Clearly, windbreaks continue to have important roles to play in the Great Plains. They can affect everything from crop yields to rural home comfort. Given what people like you and I can see from the road, however, this living resource has long been in a decline, perhaps for up to six decades," said Bob Atchison, rural forestry coordinator for the Kansas Forest Service (KFS). To view the full article go to: http://southwestfarmpress.com/news/windbreak-kansas-0612/ --World grain stocks decline USDA expects world feed grains to decline 23 million tons. Stock markets continue to assert a major influence over grain, oilseed and fiber market prices. Planting delays for grain crops are expected to reduce yields. Soybean potential has yet to be assessed with planting unfinished. World food production must double before 2030 to keep up with demand. Fuel consumption is expected to exceed drilling capacity before that time. USDA anticipated pork exports to increase substantially. This will increase feed grain demand. It takes about 10 pounds of grain to produce 1 pound of pork. - Ray Nabors To view the full article go to: http://deltafarmpress.com/markets/grain-stocks-0615/ --Markets up following slow start Market opportunities for the 2009 corn crop and the 2009-2010 wheat harvest depend on factors as close to home as how much it rains in Iowa, as far off as how long it stays dry in Australia and as varied as how high or how low crude oil futures will move. Blake Bennett, Texas AgriLife Extension economist, says overestimates of the 2009 wheat crop have moved prices up in recent weeks. Trouble with the Southwest winter wheat crop and problems with spring wheat planting support a price increase. Texas and Oklahoma wheat production will be down as much as 50 percent from 2008. Kansas farmers are not as hard hit, but are still not expecting a bin buster, Bennett said during the North Texas Small Grains Field Day in Leonard, Texas. - Ron Smith, Farm Press Editorial Staff To view the full article go to: http://southwestfarmpress.com/grains/grain-markets-0610/ --Crop rotation improves success Crop rotation and cover crops enhance the effectiveness of no-till cropping systems by reducing disease and weed pressure, improving soil moisture holding capacity and increasing soil organic matter content. "It's hard to think about no-till without crop rotation," said Oklahoma State University graduate student Silvano Abreu at the No-Till Oklahoma Conference in Oklahoma City earlier this year. "I have not seen no-till success without rotation," he said. "Rotation promotes healthy soil and makes it more productive." He said wheat after wheat in no-till systems promotes weed and disease pressure. "Rotation to corn or milo breaks that cycle. Rotation helps manage weeds such as shattercane." - Ron Smith, Farm Press Editorial Staff To view the full article go to: http://southwestfarmpress.com/grains/crop-rotation-0612/ KENT THIESSE ---------------------------------------- AGRICULTURE AND ENVIRONMENT Climate Change Bill Moves Forward One of President Obama's goals as he entered the U.S. presidency a few months ago was to address "global warming" and concerns over world climate change. The U.S. House Energy and Commerce Committee, chaired by Congressman Henry Waxman (D-CA), passed a somewhat controversial American Clean Energy and Security Act of 2009 (HR-2454) in late May. House Speaker Nancy Pelosi (D-CA) is encouraging other U.S. House Committees to review this legislation, offer suggested amendments, and to move it forward for passage in the next few weeks. HR-2454, as it currently is written, would cap carbon emissions at 17% below 2005 levels by 2020, 42% below by 2030 and 83% below by 2050. The bill also creates a so-called cap and trade system, through which a company or business could purchase carbon allowances (credits) from other businesses and industries that reduced carbon emissions through their normal operations. The legislation also calls for 15% of electrical energy in the U.S. to come from renewable sources by 2020, including wind, solar, biomass and geothermal. There was very little mention of agriculture or the agriculture industry in the version of HR-2454 that is currently being debated in Congress. However, U.S. House Ag Committee Chair Collin Peterson (D-MN), and other Midwestern congressmen, would like to see the role of agriculture more clearly defined in the climate change legislation, before it brought to a vote in the U.S. House. http://cornandsoybeandigest.com/kentthiesse/0616-Climate-Change-Bill-Moves-Forward/ ---------------------------------------- RICHARD BROCK ---------------------------------------- CME EXPANDS ELECTRONIC GRAIN FUTURES HOURS CME Group announced on Friday that electronic trading hours for CBOT grains, oilseeds and ethanol futures contracts will be expanded in the morning by one hour and 15 minutes, until 7:15 a.m., beginning July 1. The new electronic trading hours will run from 6 p.m. to 7:15 a.m. CDT time Sunday through Friday for futures and options on futures for full -- and mini-size where offered ---- corn, wheat, soybeans, soymeal, soyoil, rice, oats and ethanol contracts. Daytime electronic and open outcry hours will remain from 9:30 a.m. to 1:15 p.m. weekdays. http://cornandsoybeandigest.com/richardbrock/0609-CME-expands-grain-hours/ ---------------------------------------- AUDIO/VIDEO FEATURES ---------------------------------------- WIDEST PLANTER ON THE MARKET Take a look at the widest planter on the market: the John Deere DB-120. Also featured: cab comfort, new tractors and a four-seater RTV. Catch it all in the latest video from Farm Industry News. http://cornandsoybeandigest.com/tv/0213-nfms-highlights/ CORN CONCERNS IN A WET YEAR Regardless where you farm, sooner or later chances are good you'll need to deal with a new corn crop and a very wet year. Needless to say, such a condition is problematic for growers. Roger Elmore, Extension corn agronomist-Iowa State University, offers some sound advice on the subject. - CSD LIVE, Corn & Soybean Digest http://cornandsoybeandigest.com/tv/0619_corn_concern/ PLUGFEST - TESTING DIFFERENT BRANDS OF ELECTRONICS Engineers from farm equipment manufacturing companies gather to test ISOBUS equipment from implements on display terminals found in tractors. Find out the results. http://farmindustrynews.com/tv/. ---------------------------------------- MORE MAGAZINE HIGHLIGHTS ---------------------------------------- HOW LENDERS CONTRIBUTE TO AN ECONOMIC CRISIS Many agriculturalists are watching for signs of the next crisis in agriculture. For the most part, the regulated banks and Farm Credit System, while showing some signs of credit deterioration, are still solvent and positioned to do business with qualified borrowers. However, some of the shadow banks and lending entities are still experiencing financial stress in their portfolios. Let's examine some of the ways that lenders can get into trouble. One of the first that comes to mind is the overreliance or a false sense of security built on increasing real estate values. Some borrowers are extremely upset to find they are being rejected for a loan despite having millions of dollars of equity on the balance sheet. The bottom line is that cash flow and earned business profits repay debt. Too many loans have been made with repayment dependent upon capital gains from the sale of real estate; asset sales tied to the sale of collateral works when land values are ascending. However, when the opposite occurs -- no secondary source of repayment combined with high-maintenance living withdrawals -- it is a recipe for disaster. - Dave Kohl, Corn & Soybean Digest http://cornandsoybeandigest.com/davidkohl/0616-Lenders-Contribute-Economic-Crisis/ QUICK POLL QUESTION This week's poll question: Have you had glyphosate resistance problems to the extent that you have to spray with another chemistry to finish the job? * YES * NO Log on now to the Corn & Soybean Digest and take our quick poll. We would all like to know your answer! (And check the current results while you're there) http://cornandsoybeandigest.com/ BIODIESEL BLEND PERFORMS AS WELL AS ULTRA-LOW SULFUR FUEL Those worried about a performance drop-off going from standard diesel fuel to the more environmentally friendly B20 biodiesel blend can ease their minds. A new Purdue University study shows that there is almost no statistical performance difference in semitrailer trucks using B20, a 20% blend of biodiesel, and No. 2 ultra-low sulfur diesel, the current standard. "In terms of performance, reliability and maintenance costs, it was basically a wash," says John Lumkes, the assistant professor of agricultural and biological engineering who led the study. "The only differences are environmental and economic." - Corn & Soybean Digest http://cornandsoybeandigest.com/biofuels/news/0609-ultra-low-sulfur-fuel/ INTERACTIVE SOYBEAN EXHIBIT UNVEILED AT CHICAGO'S LINCOLN PARK ZOO Now, children in the Chicago area have a hands-on opportunity to learn more about soybeans in a new exhibit at the Farm-in-the-Zoo Presented by John Deere. Soybeans: Growing Food, Growing World was unveiled to key officials during a ribbon cutting at Lincoln Park Zoo in Chicago. As part of the festivities, Colleen Callahan, an award-winning broadcast journalist who specializes in agriculture, served as emcee and introduced members of the Illinois Soybean Association (ISA) and United Soybean Board (USB). Developed and funded by the ISA and USB, Soybeans: Growing Food, Growing World is the most extensive interactive soybean exhibit in the nation. Through special effects and multiple buttons/cranks, the exhibit offers children a unique opportunity to learn what soybeans look like, where they come from, how they're produced and what various countries use them. - Corn & Soybean Digest http://cornandsoybeandigest.com/soybeans/news/0611-interactive-soybean-exhibit/ JUNE 10 WASDE REPORT HIGHLIGHTS Corn production for 2009-2010 is projected at 11.9 billion bushels, down 155 million from last month's projection. The national average yield is projected at 153.4 bu./acre, 2 bu. lower as continued planting delays through late May reduce yield prospects, especially for the eastern Corn Belt. Early planting in the western Corn Belt and improved crop conditions from last year at this time are expected to partly offset the poor start to this year's crop in other parts of the country. Corn supplies are projected at 13.6 million bushels, down 190 million bushels from 2008-2009. The 2009-2010 marketing-year average farm price is projected at $3.90-4.70/bu., up 20_ on both ends of the range. This compares with $4.10-4.30/bu. for 2008-2009. Soybean exports for 2008-2009 are raised to a record 1.25 billion bushels reflecting record sales and increased projected imports for China and reduced soybean exports from Argentina. Projected soybean exports for Argentina for 2008-2009 are reduced 2 million tons to 5.4 million, the lowest in nine years. Soybean ending stocks for 2008-2009 are projected at 110 million bushels, down 20 million from last month. - Corn & Soybean Digest http://cornandsoybeandigest.com/corn/news/0610-WASDE-report-highlights/ FINANCIAL ASSISTANCE FOR PRODUCING BIOMASS I just signed up to receive e-mail updates on the progress of the Biomass Crop Assistance Program (BCAP). If you want to see how USDA is moving along with BCAP, sign up at www.fsa.usda/gov/energy. For techies, you can even follow Farm Service Agency (FSA) programs now at Twitter. USDA recently proposed two alternatives for implementing BCAP. While the survey deadline is now past, you may still want to make your voice heard at your county FSA office. http://FarmEnergy.org will be publishing results later this month. The reason you might want to contact USDA is that in USDA's Alternative A -- Targeted Implementation of BCAP, government payments would be limited to provide some risk mitigation for growing crops while Alternative B -- Broad Implementation of BCAP would allow payments to completely replace lost potential income from non-BCAP crops. - Lynn Grooms, Farm Industry News http://blog.farmindustrynews.com/biofuellines/ ---------------------------------------- ABOUT THIS NEWSLETTER You are subscribed to this newsletter as #email# To subscribe to this newsletter go to: http://subscribe.cropnewsweekly.com/?tc=NLSUB To unsubscribe from this newsletter go to: http://subscribe.cropnewsweekly.com/?tc=NLSUB&cid=#message_id#&lid=#list_id#&email=#email# For information on advertising in Crop News Weekly, please contact: Roger Randall at mailto:roger.randall@penton.com For questions concerning delivery of this newsletter, please contact our Customer Service Department at: US Toll Free: 866-505-7173 International: 847-763-9504 or mailto:cropnewsweekly@pbinews.com To get this newsletter in a different format (Text or HTML), or to change your e-mail address, please go to your profile page here: http://subscribe.cropnewsweekly.com/?tc=NLSUB&email=#email# Penton Media | 249 W. 17th Street | New York, NY 10011 Copyright 2009, Penton Media. 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