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CROP NEWS WEEKLY
In the August 12, 2009 Issue:
Brought to you by the editors of
Corn & Soybean Digest and Farm Industry News
 Johanns takes on climate bill
 Bins with brains
 Biodiesel a critical energy source
 House passes food safety bill
 Senate approves ag budget
 New CSP signup
 Grain storage - deadly dangers
 Soybean rust in Arkansas
 Rains cut planted acreage
 Soybeans - boost from exports

EDITOR'S NOTE

Logan Hawkes
08/12/09

While Midwest farmers seem safe for now, Southern soybean growers are beginning to see signs of Asian soybean rust cropping up in fields. The latest to be hit are growers in Mississippi and Arkansas. With a series of new tropical lows developing in the Atlantic and Caribbean, there is some concern that a major storm system could spread the rust to other areas. In the farming business, you know, you never let your guard down.

Take a few moments to catch up with the latest rust news and other issues of interest in this week's Crop News Weekly. Happy reading!

FROM OUR EDITORS

Johanns takes on climate bill

Earlier this summer, after changes to the benefit of agriculture, a climate change bill passed the House. Even with the changes, however, rumblings about the climate legislation continued.

At the time — facing questions about several provisions and the rapid vote to pass the bill — Rep. Collin Peterson, D-Minn., House Agriculture Committee chairman, predicted the Senate would provide legislation even more favorable to agriculture.

The House bill “isn’t becoming law,” he said. “I can guarantee you this will be further refined in the Senate in a way that will be beneficial to (rural states). I have no doubt about that.” - David Bennett, Farm Press Editorial Staff

FULL ARTICLE >>

Bins with brains

New automated grain-monitoring systems replace what is typically a seat-of-the-pants operation with solid science that takes the guesswork out of managing stored grain.

Companies offering automated systems say the systems can reduce drying costs, lower the risk of grain going out of condition, minimize shrink and prevent spoilage. And because the systems are automated, they reduce the labor normally required to manage natural air drying and storage. - David Hest, Farm Industry News

FULL ARTICLE >>

Biodiesel a critical energy source

A proposed federal Renewable Fuel Standard (RFS-2) uses assumptions and methodologies that excludes vegetable oil (including soybean oil), or about 70 percent of all available domestic raw material for biodiesel. Some of the assumptions regarding biodiesel and Indirect Land Use Change (ILUC) used have been shown to be false. Fortunately, the biodiesel industry and the soybean checkoff have collaborated on scientific research that is likely to help clarify some of the misinformation about biodiesel and ILUC.

The National Biodiesel Board’s (NBB) Sustainability Analysis and Awareness project, which is partially funded by the United Soybean Board (USB) and soybean checkoff, helps build on the limited body of data related to the science of attempting to measure indirect emissions.

“It is necessary to use science-based research to help ensure people are well-informed and educated regarding soy biodiesel,” says Chuck Myers, USB Chairman and a soybean farmer from Lyons, Neb. “All Americans can benefit from soy biodiesel, not just soybean farmers. Soy biodiesel remains a critical part of our renewable energy solution this country badly needs.” - Southwest Farm Press

FULL ARTICLE >>

House passes food safety bill

Aimed at enhancing U.S. food safety after a series of high-profile product warnings and recalls, on July 30, the House passed the Food Safety Enhancement Act (HR 2749) by a vote of 283 to 142. If the Senate passes a similar bill, the federal Food and Drug Administration (FDA) will have expanded oversight and powers over food safety and food processing facilities will face increased inspections.

The bill’s passage was quickly followed by separate food safety-related announcements from the USDA and FDA. With an increasingly problematic strain of E. coli (O157:H7) appearing in some ground beef, the USDA said there will now be regular testing of meat trimmings, the main suspect of contamination. Some 600 meat processing plants – where inspectors already perform tests daily -- are expected to be impacted.

Meanwhile, the FDA said stricter, mandatory standards for growing, harvesting and processing fruits and vegetables are being developed. It’s expected that the new rules will take about two years to write. - David Bennett, Farm Press Editorial Staff

FULL ARTICLE >>

Senate approves ag budget

The U.S. Senate last week overwhelmingly passed a $124.5 billion fiscal year 2010 appropriations bill for the U.S. Department of Agriculture and the Food and Drug Administration. Mandatory program spending is set at $100.8 billion, while discretionary programs equal nearly $23.7 billion.

With both the House and Senate having cleared their versions of the bills, staff members from both chambers will begin discussing proposals for a final text to be negotiated in the fall by appropriators.

Neither bill proposes statutory changes for crop programs in the Food, Conservation, and Energy Act of 2008.

FULL ARTICLE >>

New CSP signup

USDA will began continuous sign-up for the new Conservation Stewardship Program Monday, Aug. 10, with the first signup period cutoff scheduled for Sept. 30.

CSP is a voluntary program that encourages agricultural and forestry producers to maintain existing conservation activities and adopt additional ones on their operations.

“This program will help the nation’s agricultural and forestry producers reach greater levels of conservation performance, which will help protect our land and water,” Agriculture Deputy Secretary Kathleen Merrigan said.

FULL ARTICLE >>

Grain storage - deadly dangers

Grain storage entrapments/deaths don’t get much attention in the media because they don’t happen often (a farmer is more likely to be in an vehicle- or farm equipment-related accident), they aren’t high profile, and there has been little university interest and no funded research into numbers/causes.

Still, says Matt Roberts, every year farmers die or narrowly escape death in grain storage bins, and more cases of deaths/entrapments are being reported at commercial grain elevators.

Roberts, an Indiana farmer who himself had a near-miss in a grain bin, undertook an extensive study of grain storage accidents while in a master’s program at Purdue University, and now does safety presentations around the country. - Hembree Brandon, Farm Press Editorial Staff

FULL ARTICLE >>

Soybean rust in Arkansas

Asian soybean rust has been found in extreme southeast Arkansas. Hard on the heels of the latest discovery in Mississippi (see Soybean rust in Mississippi), the Arkansas find is of low severity and has not necessitated a blanket recommendation for fungicide applications.

“Rust was found south of Lake Village in Chicot County around Lakeport,” said Scott Monfort, Arkansas Extension plant pathologist, shortly after the disease confirmation. “It’s very close to the Mississippi River on some R-7 soybeans — at full maturity. It isn’t unusual to find rust on mature beans. Since the field has reached maturity the rust won’t harm the crop whatsoever.”

Of the 100 leaves collected in the field, only one leaf was found to have the disease. And on that leaf “there were only a couple of pustules — less than 1 percent severity. That’s a very, very low incidence.” - David Bennett, Farm Press Editorial Staff

FULL ARTICLE >>

Rains cut planted acreage

Heavy July rains were viewed as a curse or a blessing across the Arkansas Delta, with soybean producers in the northeast citing brutal conditions since spring, while the precipitation was described as “very timely” in parts of Chicot and Desha counties in the southeast corner.

Heavy spring rains made it difficult to plant and some growers didn’t get their crops into the ground until July. Chlapecka estimated that 10 percent of the projected soybean acreage in Jackson County was not planted. Most of the soybean acreage in Jackson County has suffered some damage from being waterlogged. - Larry Fugate, Arkansas Cooperative Extension Service

FULL ARTICLE >>

Soybeans - boost from exports

In the week ending Aug. 7: Palm oil prices reached a two-month high supporting soybean prices. Export demand for vegetable oil is increasing, especially in Asia.

Our soybean crop is late and vulnerable to adverse weather. Only one-third of soybeans are setting pods. Soybean bloom is 10 percent behind average.

It is becoming increasingly apparent that soybean carryover supplies will be tight, assuming the United States has a bumper crop. Old crop ending stocks are anticipated to be the tightest since 1972. New crop soybean carryover stocks are expected to be the largest in four years. - Ray Nabors, Heartland Ag Network

FULL ARTICLE >>

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KENT THIESSE
MUCH NEEDED RAINFALL
Many areas of southern Minnesota received some much-needed rainfall this past weekend, July 31 through Aug. 2. Rainfall amounts were highly variable, with most areas receiving less than an inch total. However, many parts of the region were becoming critically dry, so any rainfall was welcome during this very important stage of crop development for the 2009 corn and soybean crop.

Many portions of Minnesota remain in a mild to moderate drought, with total 2009 rainfall 6-8 in. below normal. Extreme southern Minnesota received close to normal rainfall in July, while most other portions of southern and central Minnesota received less than 50% of the normal July rainfall.

Crop Update
Crop conditions across the Midwest vary in early August depending on planting date, impacts from the lack of rainfall in June and July, timeliness and amount of July rainfall, as well as some recent storm damage. Overall across southern Minnesota, most corn and soybeans remain good to excellent. However, very dry conditions exist in many areas, which could start to reduce 2009 yield potential. The combination of some timely rainfall with some cool temperatures during the time of corn tasseling and pollination should help the prospects for corn yields in many areas.
MORE
RICHARD BROCK
CORN CONDITIONS SLIP FURTHER, SOYBEANS STEADY
U.S. soybean conditions held steady again last week, but corn conditions declined a bit further as a significant portion of the western Corn Belt stayed dry and cool weather kept crop development behind normal.

USDA rated the U.S. corn crop 68% good/excellent as of Sunday, down from 70% a week earlier, but still above the 66% reported a year earlier.

The soybean crop was rated 67% good/excellent for the third week in a row against the year-earlier rating of 63%.

The portion of the corn crop that was silking was pegged at 76%, compared with 79% a year earlier and a five-year average of 86%. USDA said 14% of the U.S. corn crop had reached the dough stage, compared with 15% a year earlier and an average pace of 29%.
MORE
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ESCALATING FARM FAMILY LIVING COST PART II
Last time I discussed the rapid rise of family living withdrawals, particularly on farm and ranch businesses that have a grain enterprise. Now, let’s do some additional analysis drawing from the good data from Nebraska Farm Business, Inc. and the University of Nebraska, and the Minnesota Farm Business Management educational programs.

One of my favorite discussions to facilitate with agrilenders is the topic of a historical perspective concerning living withdrawals. Let’s go retro back to the 1980s Farm Crisis era. In 1985, the Nebraska data showed living cost at $16,748 annually, while the programs up north in Minnesota found producers withdrawing $14,600. For comparison, Cornell data from 1967 had an average slightly above $4,000 annually.

Frequently in young and beginning farm and ranch seminars this historical perspective is presented to illustrate some of the challenges in farm business transition. That is, the grandparents often have a mindset of living off $4,000 annually, while mom and dad living in the 1980s are thinking withdrawals need to be in the high teens. When their adult children demand withdrawals north of $60,000, this is a spot of contention in discussions and agreements. - Dave Kohl, Corn & Soybean Digest
MORE

ACRE WORTH ANOTHER LOOK
The Average Crop Revenue Election Program, also known as ACRE, is a tool designed to provide downside price and yield protection for U.S. crop growers. Purdue University's Chris Hurt encourages growers to evaluate the program one last time.

"If you have decided to stay out of ACRE for the 2009 crop, you need to rethink that decision," says the Purdue Extension agricultural economist. "The reason is because prices, particularly corn, have dropped so much since early July. The last three weeks have changed everything."

Hurt explains that with average Indiana crop yields, ACRE should start providing significant protection when the average U.S. farm price for corn drops below about $3.70/bu. and when the average U.S. farm price for soybeans drops below about $9/bu. - Corn & Soybean Digest
MORE

STEM BORER FOUND IN MISSOURI SOYBEAN FIELDS
Dectes stem borer, an insect that tunnels in soybean plants, is now found in significant numbers in soybean fields surveyed in 12 counties in southeast Missouri.

Some fields have 85% of the plants infested, says Kelly Tindall, entomologist at the University of Missouri (MU) Delta Research Center, Portageville, Mo.

The insect can cause mature plants to fall over, or lodge, at harvest time in the fall.

Adult stem borers, also known as longhorn beetles, started emerging in late July from overwintering burrows in the dried soybean stems left in crop fields after harvest last year. - Corn & Soybean Digest
MORE

SOYBEAN GROWERS SHOULD BE WATCHING FOR SOYBEAN LEAF DEFOLIATION
Nebraska soybean growers may be noticing soybean defoliation in their fields. The culprit is most likely grasshoppers and/or bean leaf beetles, University of Nebraska-Lincoln (UNL) specialists say.

Numerous reports have come in about grasshopper populations building along field edges and bean leaf beetle populations building in some areas of the state, mainly in the south, says Tom Hunt, UNL entomologist at the Haskell Agricultural Laboratory near Concord.

"With the bean leaf beetle populations growing, soybean growers will likely begin to notice soybean (leaf) defoliation," Hunt says. - Corn & Soybean Digest
MORE

BIOMASS PROGRAM ASSISTANCE NOW AVAILABLE TO PRODUCERS
Producers can now begin the process of applying for Collection, Harvest, Storage and Transportation (CHST) assistance if they are interested in delivering eligible biomass material to designated biomass conversion facilities. The USDA’s Biomass Crop Assistance Program (BCAP) will provide financial assistance to producers or other entities that deliver these eligible materials.

BCAP publishes a list of eligible and ineligible materials at www.fsa.usda.gov. Crop residues, such as corn stover, corn cobs, rice hulls, wheat straw and sugarcane bagasse, are eligible after the commodity crop is harvested from the plant.

Other eligible ag resources include feed grains and other agricultural commodities. However, considered ineligible are any crops eligible to receive payments, including loans, under List 8-LP par. 126 or 7-CN (Title I of the Food, Conservation, and Energy Act of 2008), or an amendment made by that title, but not limited to grains, kernels, oilseeds and other commodities, such as corn, wheat, grain sorghum, barley, oats, cotton, rice and soybeans. BCAP also lists ineligible oilseed plants, pulse crops and other products. - Lynn Grooms, Farm Industry News
MORE

ASIAN SOYBEAN RUST FOUND IN MISSISSIPPI
Thornton, Miss., is the most recent location Asian soybean rust has been discovered. In a detailed announcement about the find Tom Allen says this the earliest the rust has been found so far north. Even so, no fungicide spraying recommendations have been made.

“We’ve scouted more but found nothing else, so far,” said the assistant Extension/research professor at the Delta Research and Extension Center in Stoneville, Miss., on Saturday.

“We’ll probably be back in the area (around the latest discovery) on Monday and Tuesday, work out in concentric rings looking for more rust. Right now, though, it’s very localized — several fields next to each other.”

There are “a bunch” of late-planted soybeans in the Mid-South that could be threatened with the disease. “Arkansas, alone, has 2 million acres of late beans north of I-40.” - Delta Farm Press
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