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Logan
Hawkes
01/02/08
Crop News Weekly
Welcome to the New Year, and the hope for all
things good and wonderful in your life. Have you broken your New Year
resolutions yet? Here's to hoping you haven't, and furthermore, that you
will hold fast to your self-promises for the year, to the standards for
which you stand, and for the collective good of you, your family, and
all of humankind. Yes - I realize those are rather lofty ideas. But you
can't reach the moon if your only aiming for the top of the barn.
As the new year starts there's a lot of anticipation in the air over
issues related to agriculture, not the least of which is U.S. farm
legislation. Also of concern are global markets and international trade,
continuing weather related conditions, and the price of eggs in China -
the last of which, in addition to being an euphemistic expression,
actually does have an impact on the ag industry. This week, farm groups
are urging Congress to 'get behind the ball' and resolve farm bill
differences. Also in the news, a recent study released by the commercial
banking industry's lobbying groups fails to identify the growing capital
needs of the nation's renewable fuels producers, focusing instead on
downplaying the farmer-owned Farm Credit System's role in the growth of
U.S. ethanol. Elsewhere, Floyd Gaibler, USDA undersecretary, Farm and
Foreign Agriculture Services, says agriculture has enjoyed an
unprecedented period of prosperity over the past five years, a trend he
says he expects will continue. And if you don't think agriculture is
important to the world, did you know if current population trends
continue, the world will face the challenge in the next 10-15 years of
feeding another China, or about another one billion people.
Get the full skinny on these stories and more in this issue of Crop
News Weekly. Happy New Year, and happy reading.
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Farm
groups urge quick farm bill resolution
House and Senate Agriculture Committee leaders should
convene a conference committee as quickly as possible to complete a farm
bill conference report by late January or early February, farm groups
have said. The groups, which include American Farm Bureau Federation,
commodity organizations and several crop insurance associations, wrote
Chairmen Collin Peterson, D-Minn., and Tom Harkin, D-Iowa, and ranking
members Bob Goodlatte, R-Va., and Saxby Chambliss, R-Ga., urging them to
name the conference committee members quickly. "As you know, this is the
time of year when farm and ranch families, along with their lenders,
need to make serious financial decisions for the upcoming crop year,"
the groups said. "Some farm families actually expect to head into the
fields in just two months and, of course, fall-planted crops are already
in the ground. - Forrest Laws, Farm Press Editorial Staff
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Farm
Credit is vital to meeting biofuels goals
A recent study released by the commercial banking
industry's lobbying groups fails to identify the growing capital needs
of the nation's renewable fuels producers, focusing instead on
downplaying the farmer-owned Farm Credit System's role in the growth of
U.S. ethanol. In fact, the banker study confirms that commercial banks
alone are unlikely to provide the financial resources needed to meet
U.S. biofuels goals outlined in the new energy bill. Under the energy
bill, the biofuels industry must grow dramatically to meet the minimum
renewable fuels standard of at least 36 billion gallons of biofuels
within 15 years. Most of the new production must be "advanced biofuels"
such as cellulosic ethanol that is still being developed and will
require even larger capital investments to produce than corn-based
ethanol.
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Economic
data good for U.S. agriculture
Floyd Gaibler, USDA undersecretary, Farm and Foreign
Agriculture Services, says agriculture has enjoyed an unprecedented
period of prosperity over the past five years. "Virtually all
agricultural sectors have prospered," Gaibler said during an address at
the recent USA Rice Outlook Conference in Orlando. He said estimates
indicate record cash receipts for the fifth straight year. Net farm
income, based on USDA Nov. 29 estimates, is set at $87.5 billion, up
$20.9 billion form the February 2007 figure and up $28.5 billion from
2006. Estimated crop and livestock values are also set at record highs,
$148.5 billion for crops and $140 billion for livestock. Prospects look
good for 2008, as well, Gaibler said, in spite of rising production
costs, estimated to increase for the fifth straight year. - Ron
Smith, Farm Press Editorial Staff
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Collecting
cobs to maximize profit
Imagine leaving $30/acre or more in the field when you
harvest corn. That's about how much the cobs are worth when harvested as
a "second crop" in the same harvesting pass. Ty and Jay Stukenholtz,
Nebraska City, NE, have designed and are now building a combine-mounted
system to capture this bonus crop. And by the way, nothing is towed,
which would slow down grain harvest. - David Howe, The Corn & Soybean
Digest
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World
population trends favor farming and farmers
If current population trends continue, our world will
face the challenge in the next 10-15 years of feeding another China, or
about another one billion people. Most of that growth will not be in the
U.S., but provides an ideal market for U.S. farmers. Speaking at the
recent Southern Crop Production Association's annual meeting in
Savannah, Ga., John Chrosniak says these dramatic population changes
constitute megatrends in economics that provide some permanent trends
that offer some exciting challenges for U.S. growers. - Roy Roberson,
Farm Press Editorial Staff
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U.S.
farmers dominate world corn exports
As ethanol plants continue to spring up, many wonder
what this will do to corn and soybean exports and the U.S. position of
exports in the world. A legitimate question -- and the trends are
changing. The tables here reveal an extremely interesting story. On the
positive side, the dominance of U.S. producers in the corn export market
continues to be strong. Exports worldwide have been growing. -
Richard Brock, The Corn & Soybean Digest
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Energy
prices, not ethanol, driving food costs higher
Consumers may have paid a little more for their
holiday meals this Christmas, but it's unlikely farmers should have to
shoulder the blame for the higher prices, farm organizations say. The
American Farm Bureau Federation says the traditional holiday meal might
cost $4 more this year, but a look at the facts shows it's more likely
energy prices -- including the price at the pump -- not ethanol
prices that are fueling the rise at the grocery store. Heated
discussions on food prices and supplies have stridden in lockstep with
debate of the energy bill Congress recently passed and President Bush
signed just before Christmas. The bill sets a quota for 36 billion
gallons of biofuels and 15 billion gallons from corn-based ethanol by
2022.
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Combest:
Farmers come up short in trade deals
U.S. farmers and ranchers typically get the short end
of the stick in international trade deals as negotiators give priority
to other segments of the economy over agriculture's interests, says
former House ag committee chairman Larry Combest. "One willing to cut a
deal the quickest is usually willing to give up the most," Combest said.
Speaking at the annual USA Rice Outlook Conference recently in Orlando,
Combest said the agricultural industry and trade representatives should
take a closer look at trade agreements. "We live in a global economy."
he said. "But our negotiators should first consider producers in the
United States before they consider producers in other countries." He
said negotiators should not abandon sound trade practices that give U.S.
producers a level playing field. - Ron Smith, Farm Press Editorial
Staff
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Summer
heat could cut soybean seed supply
Mid-South farmers already know that late-summer heat
and drought hurt their soybean yields. Now, concerns about soybean seed
availability for next year are surfacing. In Arkansas, the germination
average of soybean seed tested so far by the Arkansas State Plant Board
is in the low 80s. "That isn't great," says Mary Smith, director of the
Plant Board Seed Division. "We don't do cold tests. We do accelerated
aging tests and those were averaging in the 60s. Of course, the current
numbers are an average. There are some very good beans available and
others that probably aren't sellable." For comparison, last year's seed
quality was very good -- in the low 90s for germ and in the low 80s
for accelerated aging. - David Bennett, Farm Press Editorial
Staff
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Protecting
wildlife habitat and helping landowners
Arkansas originally had an estimated 9.8 million acres
of wetlands, primarily in what is known as the Delta. Today, fewer than
1 million acres of forested wetlands remain in the Arkansas Delta. The
region once teemed with waterfowl, deer, bear, turkey and many other
species of wildlife associated with wetland habitat. Remnants of the
habitats still exist and some of the species are still abundant. Cypress
trees with their red-tinged fall leaves, buttonbush, or buck-brush
swamps, and towering oaks still impress and are often found in remote
and inhospitable places, further enhancing their allure.
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Cotton
plays vital role in Kansas farm crop mix
Dryland cotton fits well into a wheat, milo, soybean
and occasional corn crop rotation on Rick and Derek Totten's Sumner
County, Kansas, farm. "We get too much rain to make really good wheat
(consistently)," says Derek, who farms some 4,500 acres with his father.
"And we get too little rain to make really good row crops. But cotton
fits about as well as anything if we get rain when we need it." Rick
started growing cotton in 1998 and says dryland yields range from 450 to
900 pounds per acre. - Ron Smith, Farm Press Editorial Staff
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Be
prudent about improvements
Does the cropland you rent need tiling, limestone,
conservation structures or other long-term improvements? If you're
thinking about making improvements at your own expense, the experts
advise: Put it in writing. "Memories fade. Paper doesn't," says Donald
Uchtmann, who specializes in agricultural law at the University of
Illinois. Tenants need a written agreement that spells out how they will
be reimbursed for improvements if they have to quit farming the land
before the end of the asset's useful life. - Liz Morrison, The Corn &
Soybean Digest
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Check out the latest corn and soybean market advice from
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