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CROP NEWS WEEKLY
In the July 15, 2009 Issue:
Brought to you by the editors of
Corn & Soybean Digest and Farm Industry News
 USDA: Ample crop supplies
 Gray leaf spot building in corn
 Herbicide shortages frustrating
 Problems implementing farm bill
 Applicators concerned with delays
 Fescue toxicosis breakthrough
 Climate patterns predict corn yields
 Bait lures honey bee threat
 EPA challenged on land use

EDITOR'S NOTE

Logan Hawkes
07/15/09

We're halfway through the month of July and growing conditions range from too dry to too wet, depending on where you farm. However, most producers across the Midwest are reporting overall conditions are good for this time of the growing season.

This week read about USDA's latest report that indicates world supply and demand projections for major crops generally points to abundant crop supplies for the year ahead. Also this week, some parts of Kansas have had recurring problems with gray leaf spot in corn. And at this point in the season, things continue to get more complicated. The weather delays have caused a lot of planting and spraying to be done much later than normal, resulting in all sorts of problems with adjacent crops. Read about these stories and more in this week's issue of Crop News Weekly.

FROM OUR EDITORS

USDA: Ample crop supplies

The July 10 USDA monthly report of U.S. and world supply and demand projections for major crops contained a number of changes from a month ago, but generally points to abundant crop supplies for the year ahead, says Darrel Good, a University of Illinois Extension economist.

“For soybeans, the USDA increased its projection of both the domestic crush and exports during the current year by 10 million bushels,” says Good.

Those increases were offset by an increase in the projection of imports and a smaller projection of residual use of soybeans. Year-ending stocks are still projected at 110 million bushels, he says. - Corn & Soybean Digest

FULL ARTICLE >>

Gray leaf spot building in corn

Some parts of Kansas have had recurring problems with gray leaf spot in corn and this year is no exception, according to Doug Jardine, a Kansas State University Research and Extension plant pathologist.

"Recent surveying has indicated that it will be a very good year for gray leaf spot in many of the areas where it has traditionally been a problem," says Jardine. "In the Kansas River Valley, for instance, gray leaf spot has already reached the ear leaf minus two in some continuous-corn fields where the tassel was just beginning to exert itself. On the other hand, southeast Kansas appears to be free of the disease at this time."

Jardine says scouting of fields should be done prior to any fungicide applications. Many of the new hybrids have improved tolerance to gray leaf spot and may not require a fungicide application. - Corn & Soybean Digest

FULL ARTICLE >>

Herbicide shortages frustrating

At this point in the season, things continue to get more complicated. The weather delays have caused a lot of planting and spraying to be done much later than normal, resulting in all sorts of problems with adjacent crops.

A couple of articles ago I wrote that it is often not what you want to recommend but rather what you can get the applicator to put out. With rice, cotton, corn and soybeans all emerged together, most applicators are extremely skittish — rightfully so.

There is perhaps a bigger challenge on the later planted rice now. It may not be so much what you could get put out but what you can find! I am hearing about shortages and spot shortages and these are very frustrating. - Ford L. Baldwin, Practical Weed Consultants, LLC.

FULL ARTICLE >>

Problems implementing farm bill

The writing and passage of the 2008 farm bill was hardly a smooth ride. So perhaps it shouldn’t be a surprise the bill’s implementation has been more of the same.

In late June, over a year after the legislation passed, the House Subcommittee on General Farm Commodities and Risk Management was told that key farm bill provisions aren’t yet in place. Other provisions — especially one calling for the Internal Revenue Service to be involved in farm program eligibility oversight — are on farm advocacy groups’ collective radar screen. - David Bennett, Farm Press

FULL ARTICLE >>

Applicators concerned with 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

FULL ARTICLE >>

Fescue toxicosis breakthrough

New research from Agricultural Research Service (ARS) scientists and their university colleagues is shedding light on the relationship between chemical compounds and fescue toxicosis — a disease that affects grazing animals and costs the U.S. cattle industry an estimated $600 million annually.

Fescue toxicosis is a major problem for producers whose herds graze on tall fescue. A major forage grass in many states, tall fescue can cause toxicosis in cattle and other ruminants if it's infected with endophytic fungus. The disease causes lameness and reduced production efficiency, and can even be fatal if infected animals are subjected to stressful situations, such as extreme heat or long-distance transport. - Laura McGinnis, United States Department of Agriculture

FULL ARTICLE >>

Climate patterns predict corn yields

New mathematical models developed by Agricultural Research Service scientists and colleagues could eventually help farmers use climate patterns to predict corn yields.

Farmers could use this information, which indicates yield cycles of about two years, to adjust their production practices. For instance, crops grown in low-yield years may require less fertilizer.

These adjustments, in turn, could reduce the flow of excess nitrate from crop fertilizers into the surrounding watershed, which may help control hypoxia downstream in the Gulf of Mexico.

FULL ARTICLE >>

Bait lures honey bee threat

Varroa mites could literally be walking into a trap – thanks to a new attractant developed by Agricultural Research Service (ARS) scientists in Gainesville, Fla.

The 1/16-inch long parasite, Varroa destructor, is a top pest of honey bees nationwide, hindering the beneficial insects' ability to pollinate almonds, blueberries, apples, zucchini, and many other flowering crops.

At the ARS Chemistry Research Unit in Gainesville, research leader Peter Teal and colleagues are testing a bait-and-kill approach using sticky boards and natural chemical attractants called semiochemicals.

FULL ARTICLE >>

EPA challenged on land use

If the situation wasn’t so serious, it would almost be funny.

The U.S. economy, by any measurement, is in a heckuva mess. The country has lost 6 million non-farm jobs since 2007. On top of that, gasoline prices have begun moving up again as oil companies take advantage of increased summer driving.

So someone at the Environmental Protection Agency has decided this country’s energy future should be held hostage to Brazilian subsistence farmers who might want to whack down a few more acres of Amazon rainforest. Farm and alternative fuel representatives tried to make nice with EPA during two days of hearings on its Proposed Rule for Changes to Renewable Fuel Standard Program June 8 and 9. But their frustration with the agency’s fixation on “indirect land use change” showed through at times. - Forrest Laws, Farm Press Editorial Staff

FULL ARTICLE >>

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AUDIO/VIDEO FEATURES
BACK TO SCHOOL WITH ED USSET
“Back to School with Ed Usset” is a new feature of Corn & Soybean Digest, in cooperation with Ed Usset and the Center for Farm Financial Management. Ed’s challenging and authentic quiz questions are designed to test your grain marketing knowledge, and will help you learn while having fun! Ed Usset is the author of “Grain Marketing is Simple, It’s Just Not Easy,” and is a grain marketing specialist at the University of Minnesota. - Corn & Soybean Digest
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TRACTOR TRENDS AT JOHN DEERE
Electronics has taken tractor market by storm as farmers precisely track crops and inputs, repors John Deere product marketing manager Don Worner. - FINTV, Farm Industry News
Watch the video here

BLACK SEA TRADE MISSION REPORT
Corn & Soybean Digest Editor Greg Lamp travels with a group of Iowa, Nebraska, Minnesota and South Dakota soybean farmers to Hungary and Turkey to explore trade opportunities with Black Sea and Mediterranean markets. The goal was to build relationships and establish potential sales and supply lines to that part of the world, particularly for U.S. soybean meal. In these videos are some of the key players involved in the process. - Corn & Soybean Digest
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RICHARD BROCK
CORN PLANTINGS FAR ABOVE EXPECTATIONS
Tuesday’s annual USDA Crop Acreage Report held a major bearish surprise for the corn market as USDA pegged 2009 corn plantings more than 2 million acres above producers’ March planting intentions and nearly 3 million acres above the average of trade expectations.

The acreage report also held bearish news for the wheat market, but appeared moderately supportive for soybean prices.

USDA pegged U.S. corn plantings at 87.035 million acres vs. planting intentions of 84.986 million acres and prereport estimates that averaged 84.158 million acres in a range from 82.474 to 86 million acres. Last year producers planted 85.982 million acres.
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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)
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HALFTIME REPORT: AGRICULTURE
Wow! The year 2009 is just flying by with schools, conferences, farm work and events at the dairy creamery. At each of my stops on the road, inquiring minds are interested in the state of the economy from an agricultural and general economy standpoint. Well here is the halftime report for agriculture.

There is no doubt that U.S. livestock industries are suffering. The hog industry is mired in a long-term economic slump. The media hype related to the swine flu, officially called H1N1, was devastating to many. A producer on my banking school panel indicated his swine buildings are vacant because the current economic environment would further hinder farm performance and deplete working capital.
The grains sector across the country is facing weather, input cost and bottom-line margin issues. Land values in many areas of the country are softening with more properties on the market and evidence of “no sales” at public auctions. Lenders are becoming more conservative in underwriting standards related to collateral and cash flow. Some bank failures are starting to occur in farming and rural areas. - Dave Kohl, Corn & Soybean Digest
MORE

SOY TRANSPORTATION COALITION PUBLISHES SEMI WEIGHT ANALYSIS
The Soy Transportation Coalition (STC) recently published, “Heavier Semis: A Good Idea?” – a study analyzing the likely results of expanding semi weight limits over the federal highway system.

The study compares and contrasts the potential impact of the current 80,000-lb., five-axle semi configuration and an expanded 97,000-lb., six-axle configuration on three areas: motorist safety, infrastructure integrity and cost savings and efficiency gains for the soybean industry. The goal of the study is to highlight whether expanding semi weight limits is a viable and common sense approach for enhancing transportation capacity and mitigating highway congestion.

Dean Campbell, a soybean producer from Coulterville, IL, and chair of the STC argues, "All of us in this country desire to have a strong, healthy economy. However, we have failed to provide a strong, healthy transportation system to enable our economy – particularly our rural economy – to thrive. We need to find ways to increase the efficiency of all modes of transportation while not endangering fellow motorists or causing added stress on the existing infrastructure. The Soy Transportation Coalition's analysis on semi weight limits assists in this effort." - Corn & Soybean Digest
MORE

IS YOUR AUTO TECHNICIAN UP TO DATE ON ETHANOL?
Today, I received an e-mail from the Renewable Fuels Association announcing the publication of the newest in the ongoing series of “Changes in Gasoline” manuals. Published by the Renewable Fuels Foundation, the “Changes in Gasoline” manuals focus on the auto technician’s areas of interest and address current topics.

But, “Changes in Gasoline IV” is worth a look even if you’re not an auto technician. And, if you’re a grower whose corn is going into ethanol production, you may be really interested in what the manual has to say about fuel economy. The publication’s quick reference guide notes that the addition of ethanol will usually result in a fuel economy loss of just 2-3%, which has been confirmed by numerous tests. The manual discusses the fuel economy issue at more depth as well.

A lot of consumers have dismissed ethanol because their mechanics say it hurts vehicle performance. This manual points out that over the last couple of decades, there have been numerous compositional changes in gasoline other than just ethanol. “Many of those changes have not been brought to the attention of the technician. This results in a perception that the major difference in today’s gasoline is ethanol content when, in fact, many other changes have also taken place.” - Lyn Grooms, Farm Industry News
MORE

HERBICIDE DIVERSITY NEEDED
Using a diverse herbicide application strategy may increase production costs, but a five-year Purdue University study shows the practice will drastically reduce weeds and seeds that are resistant to a popular herbicide.

Excess usage of glyphosate-resistant crops has led to weeds, such as marestail, that also are resistant to glyphosate, the herbicide used in Roundup. Bill Johnson, a Purdue associate professor of weed science, says changing management practices can almost eliminate resistant marestail and its viable seeds in the soil.

"Another herbicide application is expensive, and it means more trips across the field," Johnson says. "But we can reduce the population and density of resistant weeds, which increases the crop yield potential." - Corn & Soybean Digest MORE

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Test Your Grain Marketing Knowledge
“Back to School with Ed Usset" is a new feature of Corn & Soybean Digest, in cooperation with Ed Usset and the University of Minnesota Center for Farm Financial Management. Ed’s challenging and authentic quiz questions are designed to test your grain marketing knowledge, and will help you learn while having fun! Come back every week for a new question.

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