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Logan
Hawkes
11/30/05
Crop News Weekly
Sufficiently stuffed and honestly grateful for the
great Thanksgiving weekend, it's time to head back into the news as
Christmas shoppers head to the crowded malls. And like the shoppers, we
have a lot from which to choose this week in the world of ag news.
In a nutshell, U.S. farmers are being asked to give up more than $3
billion in farm program benefits over the next five years so other
taxpayers can avoid paying the alternative minimum tax on some incomes
above $100,000. More than a few eyebrows are being raised over this one.
Also this week, Stockpiling rather than selling appears to be the
growing trend for grain producers looking to get the best deal from
their corn crop. And where have we heard this before - "Talk is Cheap"?
That is until you open your phone bill and try to puzzle through all
those mysterious add-on charges that make up a good chunk of the total
due. Now things are getting worse. Elsewhere this week, the notion of
smarter farmers and wiser ranchers using the latest technology to make
operation decisions is an admirable goal. The creators of a new
conservation planning campaign hope it will also be a practical aim.
Finally, the chairmen of the Senate Ag Committee is telling us $3
billion in cuts for agriculture program funding will help with the
federal deficit and represents agriculture's 'part' in helping with the
national problem.
You'll find these stories and a lot more featured in this week's edition
of Crop News Weekly. Happy reading.

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Reconciliation
support depends on whose ox is being....
11/28/05
U.S. farmers are being asked to give up more than $3
billion in farm program benefits over the next five years so other
taxpayers can avoid paying the alternative minimum tax on some incomes
above $100,000 a year. The budget reconciliation legislation under
consideration in Congress contains tax cuts of $70 billion between 2006
and 2010, but the alternative minimum tax reduction would account for
more than a third of the total. The House Agriculture Committee voted
24-20 on Oct. 28 to approve $3.7 billion in spending cuts in USDA's
budget over the next five years. Committee Chairman Bob Goodlatte,
R-Va., boasted that the decrease was 23 percent higher than the $3
billion required in the House-Senate Budget Resolution passed last
spring. - Forrest Laws, Farm Press Editorial Staff

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The
Road Warrior of Agriculture: Outward migration
11/28/05
The Corn & Soybean Digest
Dave Kohl writes: "At a recent agrilending
conference I was asked if the recent energy prices would end the outward
migration of people to rural areas from large metropolises. The answer
is no in most cases. To a certain degree, when gas prices are below $3,
the benefits of living in rural areas outpaced the drawbacks of energy
costs. In many cases, the cost of homes, real estate taxes and cost of
living more than overcomes the economics of travel. Some innovative
companies are allowing their employees to telecommute, or work from home
one or two days per week."

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Thiesse's
Thoughts
11/28/05
The Corn & Soybean Digest
Kent Thiesse writes: "Fueling Our Future...
Energy From The Land" is the theme of the 23rd Annual Rural Legislative
Forum on Friday, Dec. 9 from 9 a.m. to 3 p.m. at the South Central
College Conference Center, 1920 Lee Blvd., North Mankato, MN. Some key
questions that are often heard by the general public regarding bio-fuels
and renewable energy include: Why am I paying widely varying prices at
different stations for E-85? Why can't I find renewable fuel products at
more locations throughout Minnesota? If ethanol and biodiesel are such a
great deal, why do we need mandates and incentives? What about wind,
biomass, solar and other renewable energy sources?"

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Cautious
fertilization adjustment planned
11/29/05
Bobby Sollis has done the math. With fertilizer prices
the highest he's ever seen, pushing for higher wheat and corn yield
makes little sense for 2006. "The extra bushels I might get will not pay
for what it costs to make them," Sollis says. "I don't think I will lose
as much by cutting back on fertilization a little." It's a decision he's
not made lightly. He figures he's built up a little reserve in his
Grayson County, Texas, soils. "I've fertilized a long time to raise a
good corn crop, and the cost of fertilizer and fuel will kill us this
year if we don't economize." - Farm Press Editorial Staff

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Hold
everything! Low corn prices favoring storage
11/28/05
Ohio State University
Stockpiling rather than selling appears to be the
growing trend for grain producers looking to get the best deal from
their corn crop. Matt Roberts, an Ohio State University Extension
agricultural economist, says that several factors, including the
weather, transportation problems and a record harvest, are driving
producers to store more grain. "It's very profitable to store simply
because there is a great demand for storage," Roberts says. "For
producers who have on-farm storage, the more storage you do have, the
better." Impacts from Hurricane Katrina, transportation disruptions and
the second largest corn harvest on record are contributing to the
attitude of storing now and selling later. - The Corn & Soybean
Digest

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Proposed
new phone charge: boon or a boondoggle?
11/28/05
Talk is cheap? Yeah, sure -- until you open your
phone bill and try to puzzle through all those mysterious add-on charges
that make up a good chunk of the total due. Now, your friends at the
Federal Communications Commission are floating a proposal to make you
pay even more (yeah, that's the agency that went ballistic over a
nanosecond of Janet Jackson cleavage during a Super Bowl halftime show,
but willy-nilly has allowed sponsors to cram more and more and more ads
into TV shows that are themselves infinitely more offensive than the
Timberlake/Jackson faux pas that 99.9 percent of viewers missed anyhow).
The controversial hike in the Universal Service Fund would hit phone
users for an estimated additional $707 million per year, with a
disproportionate share falling on rural users, lower income users, and
those who make few or no long distance calls. For some low-use
subscribers, the increase could be as much as 1,000 percent, opponents
contend. - Hembree Brandon, Farm Press Editorial Staff

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Soil
Compaction: What can you do after the fact?
11/28/05
University of Minnesota Extension Service
Minnesota has received its fair share of rain this
year. Crops are being harvested in less than ideal soil conditions. The
results are deep tracks across the low spots, or worse, the whole field.
What management strategies should you be using to alleviate these tracks
this spring? First, let's look at what causes compaction. The number one
defense against soil compaction is soil structure. It also determines
the ability of a soil to hold water, nutrients and air necessary for
plant root activity. The wetter the soil, the heavier the equipment or
the more aggressive your tillage operations the more you can damage soil
structure. - The Corn & Soybean Digest

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Campaign
urges smarter farming
11/28/05
The notion of smarter farmers and wiser ranchers using
the latest technology to make operation decisions is an admirable goal.
The creators of a new conservation planning campaign hope it will also
be a practical aim, and have broad appeal. Titled "Conservation
Planning: Smarter Farmers -- Wiser Ranchers," the campaign is designed
to educate framers and ranchers and other New Mexicans about the value
of utilizing U.S. Department of Agriculture-Natural Resources
Conservation Service (NRCS) as a partner in planning farm and ranch
conservation improvements. Throughout the campaign NRCS is offering a
free packet of information about conservation planning and the kinds of
data that can be incorporated in making those farm and ranch decisions.
- Farm Press Editorial Staff

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News from the Top of the
Hill
11/25/05
National Hog Farmer
Australian Court Rules to Continue Pork Imports
- The Australian High Court refused Australian Pork Limited's (APL)
request for special leave to appeal an earlier court ruling that allowed
the importation of pig meat into Australia. The High Court's decision
brings an end to APL's effort to stop the importation of pig meat.
Australia has been a growth market for U.S. pork exports this year.
Mandatory COOL Legislation - Senators Conrad Burns (R-MT), Max
Baucus (D-MT) and 10 other Senators have introduced legislation, S.
2038, to reinstate the deadline of September 30, 2006 for the
implementation of mandatory Country-of-Origin Labeling (COOL). This is
in response to the recent two year delay signed into law as part of the
fiscal year 2006 agriculture appropriations bill. Baucus said in a press
release, "It's time for Congress to heed the will of the people -
producers and consumers in Montana and the rest of the country want COOL
and it's time we make that happen."
Manure Not a Toxic Substance - Congressmen Ralph Hall (R-TX) and
Roy Blunt (R-MO) have introduced H.R. 4341 which would remove manure
from a classification of toxic substances under the Comprehensive
Environmental Response, Compensation, and Liability Act (CERCLA) or
Superfund. The purpose of the legislation is to make certain that farms,
ranches and other properties that apply manure will not become Superfund
sites. In introducing the legislation, Blunt said, "Some attorneys are
trying to rewrite scientific terms, like organic nutrients, calling it
hazardous waste in an effort to milk millions out of the nation's
agricultural economy. The intent of Congress, clearly, was not to place
organic nutrients in the same category as heavy metals and nuclear
waste." There are 27 other Congressional cosponsors to H.R. 4341.
Farm Bill Extension - Congressmen Collin Peterson (D-MN), ranking
member of the House Agriculture Committee, and Jim Costa (D-CA) have
introduced legislation that would extend the 2002 Farm Bill through
2008. The legislation also provides that if the President does not
submit implementing legislation on the "outcome of the Doha Round" by
January 15, 2008, there would be an additional one year extension.
Peterson said, "Extending the 2002 Farm Bill programs will allow us to
write the next Farm Bill with a full understanding of the international
trade picture to be sure that we are providing the best possible support
to American agriculture."
Crowder Nominated AG Trade Ambassador - President Bush nominated
Richard Crowder to be Chief Agriculture Trade Negotiator at USTR.
Crowder currently serves as President and CEO of the American Seed Trade
Association. He was Under Secretary of Agriculture for International
Affairs and Commodity Programs from 1989-1992. Crowder has also worked
for DEKALB Genetics Corp. and ConAgra. USTR Ambassador Rob Portman
said, "He brings to the negotiating table unique insight to the needs of
farmers and ranchers coupled with solid experience in the
government."
Congress to Return in December - Congress will return in December
to try and complete a number of issues before Christmas. Items that the
leadership would like to complete include: pension reform, extension of
tax breaks, appropriations, and budget reconciliation. The House of
Representatives returns on December 5 and the Senate on December 12.
- Scott Shearer

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'Team
effort' preserved payment limit language
11/23/05
Barring any unforeseen developments, U.S. farmers will
receive their 2006 farm program payments under the same rules that have
been in effect since President Bush signed the current farm bill in May
2002. Some growers may not realize that new regulations that would have
cut the maximum direct, counter-cyclical and marketing loan gain payment
amounts in half could have been in effect next year if a gaggle of
Midwestern senators and environmental organizations had had their way.
When the Senate began voting on Amendment 2359 to the Budget Deficit
Reduction and Reconciliation Act of 2005 on Nov. 3, opponents of the
group thought they had enough votes to defeat the proposal to place a
"hard" $250,000 cap on farm payments. But, in Washington, you never
count on anything until all the votes have been counted. - Farm Press
Editorial Staff

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Brandon:
Deficit reduction and agriculture
11/23/05
Agreeing to $3 billion in cuts for agriculture program
funding in order to achieve a reduction in the mushrooming federal
deficit "was not easy and not something I wanted to do," says Sen. Saxby
Chambliss, R-Ga. "But, agriculture has always stepped up to the plate
and been willing to do its fair share to reduce the federal budget
deficit," the chairman of the Senate Agriculture Committee told members
of the Southern Crop Production Association at their annual conference.
The deficit reduction package reduces spending on farm commodity
programs by about $1.7 billion, he noted, while still protecting the
structure of the 2002 farm bill. - Hembreee Brandon, Farm Press
Editorial Staff

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House
approves Deficit Reduction Act, cuts ag spending
11/23/05
The House of Representatives approved legislation that
would reduce total mandatory spending by $49.99 billion during fiscal
years 2006/2010. The Deficit Reduction Act of 2005 includes cuts of $3.7
billion in agriculture programs. Passage of the bill on a party line
vote of 217-215 sets up a conference with Senate members, whose version
of the legislation reduces mandatory spending by $35 billion, including
cuts of $3.014 billion over the five years. The conference will be
scheduled after the House and Senate return from their Thanksgiving
recess. - Farm Press Editorial Staff

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Congressmen,
farm groups want OFAC language
11/23/05
A large group of senators, representatives and farm
and trade organizations has called on a House-Senate Conference
Committee to prohibit the use of fiscal year 2006 funding to enforce the
Treasury Department's payment-in-advance rule for cash agricultural
sales to Cuba. The request by seven senators, 42 House members and 55
farm organizations is setting up a potential confrontation with the
White House, which has threatened to veto legislation that contains the
Cuba agricultural trade language sought by the letter writers. -
Forrest Laws, Farm Press Editorial Staff

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Conservation Tillage Conference &
Expo
11/30/05
The Corn & Soybean Digest
Mark your calendars for the 2006 Conservation Tillage
Conference and Expo scheduled Feb. 1-2 at the Ramkota Hotel and
Conference Center in Sioux Falls, SD. The conference will focus on using
conservation tillage to boost Return On Investment and will feature
speakers from Iowa State University, University of Minnesota, University
of Nebraska, South Dakota State University and many top conservation
farmers.
Ademir Calegari, a soil scientist from the Agriculture Research
Institute in Parana, Brazil, will also be speaking at the conference.
Brazil is a leading adopter of no-till, and Calegari will provide a
fresh perspective on this method. Other topics include new technology,
soil and fertility and prepping for cost-share. In addition to the
speakers, the conference features a tradeshow where growers can see some
of the latest conservation technology.

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