South Dakota Soybean Leader—Summer 2021

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Summer Issue 2021

SOUTH DAKOTA

SOYBEAN LEADER A publication of the South Dakota Soybean Association

2021 Summer Check-In

Biologicals, soil health, and crop productivity What’s behind those soybean prices? Stockyards Ag Experience Making cover crops work in northern regions Carbon market snapshot

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soyleic.com

Missouri

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PRESIDENT’S OUTLOOK President Jordan Scott, Valley Springs First Vice President Jamie Johnson, Frankfort Second Vice President Kevin Deinert, Mount Vernon Secretary Derrick Scott, Geddes Treasurer Brent Greenway, Mitchell Directors Jon Schaeffer, Viborg Jeff Thompson, Colton Chad Schooley, Castlewood Arne Harstad, Wilmot Josh Kayser, Emery Drew Peterson, Salem Jesse King, Toronto Taylor Elverson, Sherman Industry Representatives Kari Vander Wal, South Dakota Soybean Processors Joe Schefers, Bayer Crop Science Terry Schultz, Mustang Seeds Travis Bunde, Raven Industries American Soybean Association Kevin Scott, Valley Springs Brandon Wipf, Huron Editor/Design Director Mariah Kessler, SD Soybean Communications Specialist South Dakota Soybean Leader is published four times a year by the South Dakota Soybean Association, 5000 S. Broadband Lane, Suite 100, Sioux Falls, SD 57108 Phone: 605-330-9942. For address corrections contact South Dakota Soybean Leader at 5000 S. Broadband Lane, Suite 100, Sioux Falls, SD 57108. www.sdsoybean.org | sdsa@sdsoybean.org Comments and statewide news articles should be sent to the above address. Advertising space reservations must be made by the first of the month preceding publication. In consideration of the acceptance of advertisement, the agency and the advertiser must, in respect of the contents of the advertisement, indemnify and save the publisher harmless against any expense arising from claims or actions against the publisher because of the publication of the content of the advertisement.

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ustainability. A buzzword I have heard more and more around the country and in soybean conversations. What does it mean?

Well, Webster’s definition is: 1. Capable of being sustained. 2. of, relating to, or being a method of harvesting or using a resource so that the resource is not depleted or permanently damaged, sustainable techniques, sustainable agriculture. OK… but what does that mean and how does that translate onto my farm? ‘Capable of being sustained.’ I would say that is the same thing that my dad says daily in his conversations about our farm. His line is always something like: ‘Well, I’ve been farming for about 40 years. To me, that’s being sustainable.’ To hear that from a man that has taught me 98% of what I know about farming, I have to agree. Is that the definition outside of our farm though? I’m not sure.

JORDAN SCOTT SDSA President

Sustainability seems like it has a different definition to everyone. Farmers have their own definition, state and federal government has their definition, and importers and exporters have theirs. Does it mean that you have to be planting cover crops and practicing no-till? Does it mean that you must be using the latest and greatest equipment? Does it mean that you can support your family and employees on just the farm income? What about carbon credits? If I sell them, am I still “sustainable” in the eyes of the people buying my products? Along with the American Soybean Association, we are constantly having conversations with our representatives, USDA, EPA, and FDA about these issues. This is one reason that membership in SDSA is so vital to our success. If you are unaware or think that you are a member already because you pay the checkoff, let me shed some light on that. At South Dakota Soybean, we have two separate organizations: the SD Soybean Association and the SD Soybean Checkoff. The Association does all the policy work and the Checkoff handles all the funding of projects that add value to our soybeans, like biodiesel. Checkoff funds cannot be used for policy work due to compliance, therefore a lot of our funding on the association side comes from membership. We also raise funds through some of our events like our golf tournament. If you would like to learn more about membership and see the many benefits of being a member, check out our website: www.sdsoybean.org/join. While the issues we face here at SD Soybean are always changing, one thing that stays the same is the passion that our two boards and staff have about soybeans. Every single person in our “soy family” is incredibly committed to this organization and to all South Dakota soybean farmers. Enjoy the summer, and I hope to see you all at a farm show or our golf tournament!

Paying checkoff does not automatically make you a member of SDSA. SDSA has membership dues.

Advertising Information Garrett Gross, AGE Media (605) 251-6370 | garrett@agemedia.pub www.agemedia.pub

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Summer Issue 2021

SOUTH DAKOTA

SOYBEAN LEADER A publication of the South Dakota Soybean Association

SOUTH DAKOTA SOYBEAN LEADER A publication of the South Dakota Soybean Association Summer Issue 2021 | Volume 10 Number 2

3 President’s Outlook

5 Letter from Your Checkoff Chairman

6 Market Analysis

7 Biologicals, Soil Health, and Crop Productivity

8 Soy Industry News

11 Executive Director Letter

12 What’s Behind those Strong Soybean Prices?

14 Stockyards Ag Experience

16 Making Cover Crops Work in Northern Regions

20 Health and Farming

22 Carbon Market Snapshot

24 Hungry for Truth 26 Advertorial: Mustang Seeds

27 Program Update

30 Advertorial: TSGC 32 WISHH Helps Catch New Fish & Poultry Feed Markets for Soybean Meal 34 South Dakota Soybean Portrait: Jordan and Kevin Scott 35 Video Series Highlights Consequences of Foreign Material in Soybeans 36 Hunter Roberts, South Dakota Secretary of Agriculture and Natural Resources

38 Biodiesel Hitting Hard with Health Benefits

40 Scouting for Trouble: Using Drone Imagery Can Help Locate and Possibly Identify Soybean Issues 42 Use the SD Spray Tool for Inversion Detection and Weather for Pesticide Application 43 Why Join the South Dakota Soybean Association? 4

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INVESTING CHECKOFF DOLLARS

ASA AND USB WORK IN TANDEM TO PAVE THE WAY FOR SOYBEAN PRODUCER SUCCESS By Tom Ostrem, SDSRPC Chairman

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ur name, South Dakota Soybean Research and Promotion Council (SDSRPC), encompasses what we strive to accomplish as soybean checkoff board members. Each of us is committed to helping your family be profitable growing soybeans. We are currently promoting soybean oil-based products in-state with projects including preservatives for concrete and asphalt streets and roads, dust suppressants for gravel roads, plus soybased Goodyear tires and grease pads for 5th wheel plates. SDSRPC contracts with SDSU for research in production and uses to stay ahead of the quickly changing times. One of the recent checkoff investments was in the SDSU Raven Precision Ag Center. The facility, and educational opportunities it provides, places South Dakota on the cutting edge of global food production. The South Dakota Value Added Agriculture Development Center is one example of partnering with another organization to leverage checkoff dollars for the greatest return. SDSRPC member Ardon Wek represents soybean farmers on the Value Added board. They were involved in the early business plan strategy and development of Prairie AquaTech, a South Dakota company that produces proprietary fish food made from soybeans.

SDSRPC member Heather Beaner represents soybean farmers on the North Central Soybean Research Program board, a seventeen-state organization that coordinates soybean research to eliminate redundancies in expenditures. They monitor research on SCN, gall midge, white mold, and new technologies such as CRISPER. Todd Hanten represents South Dakota farmers on the Soy Transportation Coalition, a thirteen-state partnership working to ensure a viable infrastructure path from field to market for your soybeans. Their work ranges from locks and dams to highways and bridges, county roads, even township roads. Through a global network of international offices and strong support in the U.S., the United States Soybean Export Council (USSEC) builds preference for U.S. soybeans and soybean products, advocates for the use of soy in feed, aquaculture, and human consumption, promotes the benefits of soy use through

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education, and connects industry leaders through a robust membership program. SDSRPC member Dawn Scheier represents all U.S. soybean farmers as USSEC board secretary. The United States of America Poultry and Egg Export Council promotes demand for soybeans domestically and abroad. U.S. poultry is the number TIM OSTREM one livestock consumer of SDSRPC Chairman soybean meal. SDSRPC member Mike McCranie serves on the national board for USAPEEC but not on the executive committee. Jason Frerichs represents SDSRPC on the Soybean Aquaculture Alliance. SAA funds programs and research that increase the utilization of U.S. soybeans in fish and shrimp diets through affiliations with academic and private researchers and industry leaders. The World Initiative for Soy in Human Health (WISHH) is an international organization established to catalyze human soybean consumption for impoverished populations in developing and emerging markets. SDSRPC member Craig Converse serves on the WISHH governing committee. SDSRPC member David Struck serves as a National Biodiesel Board (NBB) member, and I serve on the National Biodiesel Governing Board. NBB promotes the use of soybean oil to produce biodiesel, renewable diesel, and jet fuel. Together, our team of elected farmer volunteers serving on SDSRPC work to represent your family’s soybean interests. We actively promote the soybean industry and work with a dedicated staff in-state, across the U.S., and worldwide to increase demand for your soybeans.

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Market ANALYSIS

“WAS THAT THE HIGH?” By Tregg Cronin

The question posed in the title is one that market participants utter each year around this time. The answer to that question is usually only known several weeks or even months later when more of the marketing year has unfolded and crop size is determined. As of this writing, December corn had set at least a short-term top at $6.38 per bushel on May 7 while November soybeans put in a high of $14.61 on May 12. Seasonal tendencies can be helpful when used as a guide during times of heightened volatility like 2021 has shown itself to be.

In soybeans, it is slightly more common to see highs in May with the November contract having done so four times since 1990 if the 2021 highs hold. As with corn, the most populous months for highs are June and July at six times and five times, respectively. Highs are set between May and August just over 50% of the time, although September has also seen calendar year highs set that month four times over the last 32 years. In 2020, November soybeans rallied throughout expiration, becoming the fifth year since 1990 to set calendar year highs in the final month of trade. If December corn has indeed put in its high for the calendar year, it would be just the third time since 1990 in which that has occurred during the month of May. The other two instances were in 2018 and 2000. While May is not the most popular month to set highs, it is in a window that tends to see highs scored. June and July hold the title for most highs set since 1990 with five years each followed by March with four. Looked at collectively, December corn sets its highs between March and July about 60% of the time. Extending it one month further, December corn has made its highs between March and August almost 70% of the time since 1990.

With the way the 2020/21 marketing year has unfolded, there has been an understandable amount of trepidation by the farmer in selling next year’s crop too soon as happened last year. As the aforementioned data shows, 2020 was a bit of an anomaly when held up against over 30 years of history. Seasonal tendencies show us highs tend to be set once the crop has been planted and key developmental phases are upon us. While analogous years can provide guidance, they cannot tell the future. Sound risk management and a solid marketing plan should be utilized to take advantage of the heightened volatility and lock in what should be a profitable year for all, regardless of when highs are set.

About the Author: Tregg Cronin is a fourth-generation farmer and rancher from Gettysburg, S.D. as well as a contributing analyst to DTN-Progressive Farmer. Tregg graduated from the University of St. Thomas in St. Paul, Minn. in 2009 before working for agriculture cooperative CHS, Inc. With CHS, Tregg worked in the company’s grain marketing division as well as its commodity brokerage, CHS Hedging. In 2013, Tregg returned to Cronin Farms while also holding the title of Market Analyst with Halo Commodities out of Fargo, N.D. Tregg farms with his wife Sara and son Morgan as well as his father, uncles and cousins in what is truly a family farming operation. 6

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BIOLOGICALS, SOIL HEALTH, AND CROP PRODUCTIVITY If you have ever used biologicals on your farm and fields—or even thought about testing them out on a strip trial—you’re probably not alone. Agricultural biologicals have emerged in the past 10 to 15 years as an increasingly popular aid to promote nutrient uptake during a crop’s early growth stages, activate its natural defenses against pest pressure, and support yield objectives. These benefits have the potential, of course, to pay huge dividends at the grain elevator come harvest. But how do you know if biologicals are a worthwhile investment for your operation? And what should you consider before making that investment for your next soybean crop?

WHAT ARE AG BIOLOGICALS? Major players within the ag industry are currently racing to further develop and promote biologicals—and for good reason. Producers (and consumers) are increasingly seeking ways to nurture soil health and achieve better yields, and biologicals offer a relatively new avenue to arrive at these objectives. By definition, ag biologicals are derived from living organisms and introduced into a plant’s life cycle and the soil in which it grows. Depending on the product and its primary use, biologicals can be applied directly to the seed, in-furrow or post-emergence. Some biologicals are even applied post-harvest to aid with the decomposition of crop residue.

Another naturally occurring bacterium, gluconacetobactor diazotrophicus (Gd), aims to achieve similar nitrogen-positive results as rhizobium and can be applied in-furrow or over the top. Other producers turn to biologicals for support with fighting pest pressure. This application is of particular interest to organic growers who are unable to use synthetic crop protection products. But while biologicals won’t replace chemical applications for conventional farmers, they can offer enhanced protection— particularly when resistance issues are of concern. EVALUATING THE ROI OF BIOLOGICALS

PRIMARY USES OF BIOLOGICALS IN PRODUCTION AGRICULTURE

As biologicals continue to gain widespread use in production agriculture, more and more data has become available at the university extension level. Manufacturers of biologicals are also releasing their own trial information.

Because of their role in supporting a plant’s overall growth and development, biostimulants are the most common type of biological used by soybean producers.

Schultz advises growers to evaluate this data alongside their own strip trials. “Do an 80-acre trial on your farm,” he says. “That is fairly easy and something that’s measurable. Then take a look at research trials and university trials. That would be my best advice.”

Nutrient uptake is often another primary concern of growers exploring the use of biologicals. If they’re able to assist the plant’s ability to fix atmospheric nitrogen, for example, they might be able to save on applied fertilizer costs and support improved soil health in the process. Rhizobium is one such biological that fits into the inoculant category. “When you put rhizobia bacteria on the seed treatment, it helps that legume plant produce nodules on the roots,” explains Terry Schultz, CEO of Mustang Seeds and an industry representative on the South Dakota Soybean Association Board of Directors. Those nodules then assist the plant in fixing nitrogen to support growth. This can ultimately benefit the current crop and the following year’s crop (corn, sorghum, etc.) as well. “Fortunately legumes can produce more nitrogen than the plants actually need,” says Schultz, “and then you’ll end up with a nitrogen credit the next year.”

You can also access real-world data on biologicals—not to mention other applications and agronomic practices—through the South Dakota Soybean On-Farm Research Program.1 In a year where grain markets are looking particularly healthy, this might be the perfect opportunity to explore new practices and obtain the data you need to make more informed decisions about biologicals on your operation. SOCIAL Thinking about using ag biologicals on your soybean crop? Learn more about ways producers are harnessing the potential benefits of biologicals to promote strong, healthy plants and optimal yields come harvest.

Web Resource: 1. On-Farm Research: bit.ly/sdsoybean_on-farm-research Summer Issue 2021

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Soy Industry NEWS SDSU Celebrates Campus-Wide Ag Day

Ag Day panelists, from left to right, included Jamie and Brian Johnson, Lyle Perman and Jared Knock.

SeeSoyPlant Campaign American Soybean Association launched #SeeSoyPlant series featuring videos from farms across the United States. The videos can be found on the American Soybean Association YouTube channel.

www.youtube.com/americansoybeanassoc

SOYLEIC™ high oleic trait technology is moving further into the marketplace through a new partnership between Global Processing. Inc. and the Missouri Soybean Merchandising Council. The partnership has been in development for more than a year and will serve soybean growers by increasing the accessibility of SOYLEIC™ high oleic soybeans and processing opportunities. More information is available at mosoy.org/soyleic. 8

The South Dakota State University College of Agriculture, Food and Environmental Sciences Prexy Council hosted its 11th annual campus-wide Ag Day on Thursday, April 22 in the SDSU Student Union. With the theme “Ag Proud: Sustaining the Future,” the event’s main program included a sustainability panel featuring four individuals with strong backgrounds in conservation and sustainability. Panelists included Lyle Perman of Lowry, South Dakota, Brian and Jamie Johnson of Frankfort, South Dakota, and Jared Knock of Willow Lake, South Dakota.

Shop Talks The South Dakota Soybean Association is hosting Shop Talks for producers across the state. Each event will include legislative updates, news from the checkoff, SDSA membership information, and more from featured speakers. Watch for details on our website and social media or contact our office at (605)330-9942.

Ag Day at the Washington Pavilion - June 5 The South Dakota Soybean Checkoff sponsored Ag Day at the Pavilion in Sioux Falls. Kids who stopped by the booth got to plant soybeans to take home and also learned about products that contain soybeans. The event was a wonderful opportunity to promote agriculture and connect with families from across South Dakota. Summer Issue 2021

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BioBlend Soy-Based Dust Suppressant BioBlend Renewable Resources’ EPIC EL dust suppressant is the latest industrial use product to enter the market after having received research funding from the United Soybean Board and North Dakota Soybean Council. With soy checkoff support, a North Dakota State University (NDSU) research engineer created the base chemistry that BioBlend is commercializing. BioBlend Renewable Resources began marketing EPIC EL nationwide in April 2021 after finalizing a license agreement with the NDSU Research Foundation. EPIC EL is made from soybean oil as well as glycerin, a coproduct of biodiesel production. More information can be found at ndsoybean.org.

Retirement Lorin Pankratz worked as a lobbyist for the South Dakota Soybean Association for over 10 years and recently announced his retirement. Throughout those years, Lorin advocated for farmers on a number of issues including Lorin Pankratz lobbying legislation involving rural taxation, agland valuation, landowner rights, nonmeandering waters, and farm equipment use on rural highways. He was also part of many SDSU projects including Greenhouse, Swine Unit, Raven Precision Ag Center, South Dakota Bioproducts Center. Thank you, Lorin, for all your hard work and dedication to South Dakota soybean producers.

Ag Women’s Day June 8 The South Dakota Soybean Checkoff sponsored the Ag Women’s Day event in Brookings, SD on June 8th. More than 200 people attended the event to enjoy speakers, a meal, and visit with a variety of sponsors. We hosted discussions about uses for soybeans as well as how we address issues in agriculture through our Hungry for Truth initiative. The event collected 244 lbs of food for Brookings County Food Pantry. Summer Issue 2021

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2020 U.S. Agriculture Export Yearbook The USDA’s Foreign Agricultural Service (FAS) recently released its 2020 U.S. Agricultural Export Yearbook, a statistical summary of U.S. agricultural commodity exports. The Yearbook stated that total U.S. agricultural exports in 2020 were nearly $146 billion, up almost 7 percent from 2019, and the second highest level on record (after Calendar Year 2014). The primary factor for this surge in exports was increased shipments of soybeans, corn, and pork to China. FAS stated, “Soybeans continued to be the United States’ No.1 agricultural export, increasing 38 percent to a record $25.7 billion in 2020 and accounting for nearly 18 percent of total U.S. agricultural exports. In 2020, soybean shipments to China accounted for 55 percent of total soybean exports, returning to levels prior to China’s imposition of Section 232 and 301 retaliatory tariffs, when China accounted for at least 50 percent of total bean export value since 2009.” More narrowly with respect to soybeans, the Yearbook noted that U.S. soybean exports are forecast at record levels for the marketing year ending in August (2020-2021). Soybean shipments are back on trend this year with large sales being shipped out in late 2020 and early 2021.

Enter the annual SD Soybean Yield and Quality Contest for a chance to win up to $2,000 in prizes. Rules and information to enter are available at www.sdsoybean.org. 9


W E A R E U. S. S O Y B E A N F A R M E R S

SUSTAINABILITY NEVER GOES OUT OF SEASON COVER CROPS Customers prefer U.S. soy because it’s sustainable. But demands for sustainability continue to rise. Adopting a common practice such as planting a cover crop to slow runoff and increase soil organic matter is another step forward in improving your sustainable footprint. See why sustainability never goes out of season at unitedsoybean.org.

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INVESTING CHECKOFF DOLLARS INVESTING CHECKOFF DOLLARS INVESTING CHECKOFF DOLLARS

THE DREAM CONTINUES TO BE FULFILLED By Jerry Schmitz, Executive Director of SDSA and SDSRPC

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ecades ago, a group of soybean farmers dreamed that they could somehow control their own destiny rather than being servants to the same cultural practices, production methods, and market challenges year after year. Rather than chasing after the next best miracle crop, learning about it, and investing capital in new equipment and facilities needed to produce and market it, they wanted to make the very best of a crop they were already producing. They wanted to build upon the foundation of a crop they knew could provide a profitable future. They formed a member soybean organization that initially helped farmers become familiar with soybean varieties and production methods. As the organization evolved, the farmer members realized that their dream held far more potential than first imagined and challenged themselves with forward-looking questions.

ALWAYS JUST A CLICK AWAY FROM THE LATEST SOY RELATED NEWS AND UPDATES. STAY UP TO DATE WITH US AT:

SDSOYBEAN.ORG SOY TOPICS PROGRAMS & EVENTS JERRY SCHMITZ Executive Director of SDSA and SDSRPC

NEWS & MEDIA LEGISLATION AND MUCH MORE

WHAT IF farmers themselves could propel university and private research to help local farm families be more efficient, productive, and economically sustainable? Realizing that demand is a driver of price, WHY NOT support research to create new uses to generate even greater demand for soybeans? HOW CAN farmers make sure that U.S. soybeans, soybean meal, oil, and derivatives are recognized as the most desirable choice for all possible customers, domestic and foreign, and provide a steady year-round supply of soybeans and related products so customers do not seek other more reliable alternatives? What began as a member organization with a dream evolved into two separate organizations with distinct differences and yet, a common goal of enhancing the economic viability and longevity of soybean-producing families. The American Soybean Association (ASA) and the United Soybean Board (USB). ASA, composed of twenty-six state soybean affiliates, is the member organization that initiated and fostered the dream. It is a catalyst paving the way for soybean success by engaging in domestic and international policies that affect all facets of the soybean industry. It is active in policies involving farm programs, crop insurance, trade, taxes, infrastructure, sustainability, and more. Two South Dakota farmers are seated on the ASA national board. USB, composed of soybean farmers selected from all soybean-growing states, specializes in increasing profit opportunities for U.S. soybean farmers by meeting the current needs of farmers and their customers and creating new uses and customers worldwide. Four South Dakota farmers are seated on USB. Working in tandem, USB and ASA have expanded the footprint and viability of U.S. soybean farmers. They continue to open markets worldwide and increase demand exponentially. Leveraging your checkoff dollars, USB and state soybean checkoff organizations create and promote new uses that private industry and government are clamoring for: environmentally friendly and renewable concrete and asphalt road preservatives, auto tires, motor oil, and plastics, to name a few. The synergistic partnership between ASA and USB has not only catapulted soybean demand by consumers, private industry, and governments, but those entities promote our soybeans in their advertising and programs. - - The dream those farmers had decades ago lives on, and the potential for the future is even greater now than then.

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WHAT’S BEHIND THOSE STRONG SOYBEAN PRICES? 3 INDUSTRY USES SUPPORTING DEMAND

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oybean markets have rebounded tremendously over the first half of 2021 after an extended period that was hampered by any number of factors, from international trade conflicts to African swine fever in China to economic disruptions brought on by the COVID-19 pandemic. But this spring has brought a breath of fresh air to soybean producers. “It’s just been a win-win situation on all fronts,” said Jason Frerichs, a grower in Roberts County who serves on South Dakota Soybean’s Research and Promotion Council and is a director for the United Soybean Board. “We’ve had a very strong meal market, and the oil market has gone up exponentially.” When markets are strong as they are, it’s all too easy to celebrate the moment without giving much thought to why things are the way they are. But it seems wise to use the opportunity to assess some of the source(s) of the upward trend and explore ways to sustain its momentum. INCREASED CRUSHING CAPACITY HELPS SOUTH DAKOTA GROWERS

First of all, it’s worth noting that the 2019 opening of an AGP® processing plant in Aberdeen has continued to support South Dakota producers— in addition to growers in North Dakota and western parts of Minnesota—with increased crushing capacity. “That’s made a huge impact,” said Frerichs. “It has helped significantly to have another market for our soybeans locally where they are made into oil and meal products that are then marketed further.” 12

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What is more, the fact that AGP® invested $300 million to build the new facility points to the upward demand trajectory for soybeans. And that is welcome news for producers in South Dakota.

The innovative product has performed well in previous applications and received accolades for being a safer, greener alternative to traditional sealants. It also has the added benefit of supporting producers in-state.

DIVERSIFICATION HELPS SOYBEANS WEATHER THE STORM Frerichs will tell you that ultimately, the continual expansion of new and diverse uses for soybean oil has paid off big for producers and is supporting demand across the board. “It goes to show the extreme importance of the soybean checkoff and why we want to continue building on existing uses and exploring new, cutting-edge uses that will continue to command competition in the marketplace for our soybeans,” said Frerichs. “We certainly wouldn’t have been able to weather the storm in terms of trade wars and COVID otherwise.” What are some of those new and emerging uses that are helping to fuel demand? And what will support market demand moving forward? Let’s take a closer look at three markets—diesel production, industrial applications and use in the food industry— that are driving a healthy price environment for soybeans.

Frerichs, who also runs a cow-calf operation, is also hopeful that ongoing research efforts will produce an economically viable, soy-based alternative to the plastic netting used for wrapping bales. “Right now we’re hearing about a net wrap shortage,” said Frerichs. “It’s just a real need.” SOY-BASED FOOD PRODUCTS Prices for soybean oil are also up in part because of demand for its use—along with palm, canola and sunflower oils—within the food industry. Mac Marshall, VP of Market Intelligence with the United Soybean Board and the U.S. Soybean Export Council, referred to this as a “veg oil complex” in an interview on the Market Talk podcast.2

THE PUSH FOR RENEWABLE FUELS

“You can’t really think of one vegetable oil in a vacuum; you have to think of them as an aggregated stack,” said Marshall. “There’s (supply) tightness through all four of those oils, and that has been helping buoy the complex.”

For starters, the demand for biodiesel and renewable diesel is stronger than ever. Travel for work and personal reasons declined sharply amid pandemic lockdowns, but that didn’t impact the country’s fleet of diesel-powered trucks on nearly the same level.

The 2020-2025 Dietary Guidelines3 published by USDA at the end of last year also recognized soy for its health and heart benefits, supporting continued development of food products and recipes that incorporate soy-based ingredients.

The push for green energy doesn’t seem to be going away anytime soon, either. Last fall, USDA projected that an estimated 8 billion pounds of soybean oil would be used for biodiesel during the 2020-21 fiscal year. There is increasing pressure both on the consumer side and in the political arena for alternatives fuels, and soybean producers will benefit from this continued trend. Adjacent to this demand is the emerging development of biosynthetic motor oil, comprised of 26 percent renewable content. According to the United Soybean Board, the soy-based product can be used in most modern cars, SUVs and light trucks. Preliminary field-testing of biosynthetic motor oil is returning strong results when compared to petroleum-based products. INDUSTRIAL USES ON THE RISE

This research-backed recommendation cannot be overlooked as it helps further diversify uses and demand for soybeans. HOW THE CHECKOFF PLAYS A PIVOTAL ROLE As Frerichs noted, the market demand we currently see for soybeans is aided significantly by the soybean checkoff. Its role in the research and development of new and existing uses for soybeans has been vital to strengthening its demand across multiple industries. To learn more about this important work, take a closer look at soybean uses and additional opportunities on the horizon for the South Dakota Soybean Checkoff.

WEB RESOURCES:

Petroleum isn’t just used for gasoline and motor oil; it is also a key component to asphalt and road oil as well as myriad other industrial products.

1. www.agupdate.com

“There’s so much untapped potential,” said Frerichs of the current market opportunity for soybeans, “especially as we see the shift away from petroleum.”

3. bit.ly/USDA-2020-2025-Dietary-Guidelines

2. Market Talk Podcast: bit.ly/Market-Talk-Mac-Marshall

Last fall, Sioux Falls Mayor Paul Ten Haken announced a partnership with South Dakota Soybean farmers through their Checkoff to enable the city to use soy-based asphalt sealant on its roads.1 Summer Issue 2021

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STOCKYARDS AG EXPERIENCE By Abby Bischoff, Executive Director of the Stockyards Ag Experience

Top: Guests enjoy the play kitchen at Stockyards Ag Experience.; Bottom Left: Guests pretend to haul soybeans to town as they ride in the big blue truck.; Bottom Right: Guest shops the play grocery store at Stockyards Ag Experience.

Since 2017, the Stockyards Ag Experience has been entertaining and educating Falls Park visitors about where their food comes from. Through hands-on, interactive exhibits, we tell the history of the Sioux Falls Stockyards and the future of agriculture in the region. While our upper-level covers Stockyards history, the lower level is where kids and families learn about modern farming practices while scanning food in our play grocery store and kitchen or pretending to haul soybeans to town in our big blue truck. At the beginning of the farm-to-table exhibit, we meet three producers who tell us their story and explain the crops and livestock they raise. Farmer Steve introduces himself as a farmer who focuses on row crops – including soybeans! Each of the three commodities we focus on have their own interactive area. Visitors are encouraged to use our maze puzzle to see how far soybeans travel to get to their final destination – whether in biofuels or on your kitchen table. Visitors can also see a display of soybean byproducts – edible and nonedible items. Crayons, candy bars, soy milk and a lot of other products get some help from the versatile soybean! The byproduct displays are always eye-opening learning tools. We love hearing visitors tell us things like “I never knew that about soybeans before!” 14

The soybean display also features full-color graphics with additional facts and points of interest regarding soybean production. Besides the area dedicated to soybeans, the farm-to-table exhibit shows some broader efforts that soybean producers participate in. One exhibit relevant to current consumer concern is our sustainability quiz. Guests can play an A/B quiz that informs folks on modern sustainability efforts. As consumer interest in the origins of their food increases, we aim to host those discussions right here in the Stockyards Ag Experience Museum. Everyone from the mayor of Sioux Falls to the Governor of South Dakota has taken a “ride” in our big blue grain truck. Transportation is an important part of the food chain conversation, and our farm truck absolutely gets that conversation started. Our most popular exhibit is our hands-on grocery store and kitchen. This area has visitors taking finished food products, scanning them (each item has a barcode), and learning a fact Summer Issue 2021

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about each item. Several bottles of salad dressing are a part of the kitchen display and often have soybean oil in them. If you scan the bottle of ranch in our kitchen, you learn that “Salad dressings were on the market as early as the 1920s.” Since our opening, we have shared the story of agriculture with more than 10,000 people from 49 states and 26 foreign countries. We hope you will stop by and visit us soon.

This picture shows the Play Grocery Store at Stockyards Ag Experience where guests can “shop” and “scan” the products and learn facts about how soybeans play a part in manufacturing each item.

Stockyards Ag Experience 301 E Falls Park Dr Sioux Falls, SD 57104 (605) 332-1917 stockyardsagexperience.org Guests read the board describing “Where Soybeans Go”

Display board that features soybean facts

INFORMAL DATA SUGGESTS THAT FARMERS LIKE SITTING IN THEIR FAVORITE CHAIR EVEN MORE THAN THEY LIKE BANKING ADS.

FIRSTDAKOTAAG.COM

Summer Issue 2021

SDSL

So take a load off in your favorite chair and learn about how First Dakota became the first Preferred Lender in the country with Farm Service Agency in 1999. We’ll keep working, even when your feet are up.

15


MAKING COVER CROPS WORK IN NORTHERN REGIONS By Sarah Hill, Associate Editor, No-Till Farmer

South Dakota NRCS agronomist Jason Miller shares tips on customizing a cover crop system to less-than-ideal growing conditions.

C

over crops have been slower to catch on in northern regions because there are more obstacles than in warmer climates. A shorter growing season, fewer days of sunlight, and in recent years, more moisture, have all proven challenging for northern growers who may have considered cover crops. At the 2020 National No-Till Conference, Jason Miller, an NRCS agronomist based in South Dakota, shared insights on how cover crops can be used to meet growers’ objectives, even in northern climates. Miller has been with NRCS for 30 years. He’s been working with the Dakota Lakes Research Farm near Pierre, S.D., since 1997. During his career, Miller has learned that cover crops are just one component of a soil health system, in addition to crop rotation, no-till, nutrient management and integrated pest management. According to Miller, increasing soil health and/or quality should be the main focus of any cropland system. “Restoring soil resilience is a must,” he says. “Soil resilience, increasing organic matter, improving soil biology, improving water filtration and decreasing soil compaction ultimately add more dollars in your pocket and improve crop production.” SELECTING COVER CROP SPECIES Miller suggests that growers consider multiple objectives when selecting cover crop species. “What will the following year’s cash crop be? Will it be corn, soybeans, wheat? What herbicides have been applied to this year’s cash crops and what implications do those have on what you want the cover crop to do?” he asks. “If you’re looking to produce a lot of biomass quickly, raising brassicas may be the way to go,” says Miller. “Within 30-45 days, as long as moisture and nutrients are adequate, there is a lot of growth.” “They’re excellent at nutrient scavenging,” Miller adds. “In South Dakota, we have to limit the brassicas in the mixture, especially as you go west, due to the brassicas breaking down the previous crop residue too quickly the following summer.” Previous crop residue is extremely important to the performance of the current cash crop in reducing soil water evaporation.

16

“Farmers in the eastern part of the state don’t like residue because things are wet, so they want to plant brassicas. It really doesn’t start breaking down that residue in time to help you with planting. You start seeing that residue disappear from July to September.” “Peas are an excellent cover crop,” Miller says, “but growers should be cautious not Jason Miller, NRCS Agronomist to mix species of peas that are used as a cover crop if they are also growing pulse crops for a cash crop, due to the risk of carrying over root diseases.” Miller says what you want to get out of your cover crop should drive what you put into it. “That means if you’re planning to graze it, it may make sense to add some fertilizer to get more biomass if nitrate N soil test values are low.” “If you’re just growing covers for soil health purposes, then you don’t need fertilizer. If you take off a high-yielding wheat crop with questionable protein, then you probably have a deficiency, so you’re not going to get a lot of cover crop growth out of that.” Miller says he always adds oats and flax to a cover crop cocktail because they’re friendly to soil biology and encourage mycorrhizae that help extract water from the soil profile. For fields with shallow compaction, Miller recommends using annual ryegrass, oats and other small grains. “We have cover crop species that will address surface and sub-surface compaction,” he says. “I like those with fibrous root systems, like small grains, for surface compaction. When you get into deeper compaction, that’s where the brassicas like radish and rape tend to help alleviate the sub-surface compaction.” “Providing weed control with cover crops is kind of a no-brainer,” Miller says. “Anytime we can get something green growing out there that’s going to provide some competition for weeds, it’s a positive, whether it’s germinating or growing.”

Summer Issue 2021

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PLANTING COVER CROPS

GRAZING COVER CROPS

Miller says that although the Dakota Lakes team has conducted offsite research on flying/ broadcasting coated cover crop seed, drilling has proven to be the most reliable seeding method in his experience. Other producers that Miller has worked with have been successful with aerial broadcasting cereal rye into corn during the last week of August and into the first couple weeks of September or flying cereal rye into standing soybeans.

Miller adds that covers provide good livestock grazing and forage potential and says another option is to plant a full season cover crop instead of just the cash crop plus a cover crop.

“Generally, the rule of thumb is, the smaller the seed, the shallower you plant it,” Miller says. “I’d rather it be planted just a little too deep to make sure you cut through the residue layer. So, make sure you’re adjusting your drill accordingly for the residue levels. Be conscious of that and make sure you’re getting it in the ground and not into the residue duff layer where it has a high chance of not germinating.”

“I really recommend this in western South Dakota, where we just don’t get enough moisture most years to get a viable cash crop and get a cover crop going after small grain harvest,” Miller says. “With a full season cover crop, if the grower has cattle, it’s a lot more profitable. Some big cattle operators are even doing this in eastern South Dakota.” For growers who are looking to graze brassicas, forage rape, turnips, hybrid brassicas, Miller notes that collards and kale produce a lot of leafy material.

“Broadcasting cover crops into a cash crop stand that’s at V5-V6 usually does not go very well,” says Miller. “Most producers sacrifice weed control and small cover crop seedlings struggle to compete against weeds that have already started growing.” Miller only recommends broadcasting covers into a cash crop stand on fields with a clean weed history. “There’s not enough competition out there for the weeds. I can’t afford for weeds to go to seed.” Miller notes that the results of aerial seeding depend on the temperature during the last half of September and all of October. “If the temperature is below average, you won’t get a lot of growth,” he says. “Once it gets up, it’s all temperature driven. You have to have the moisture to get going. So, it’s extremely difficult to get a diverse mix going in a corn/ soybean rotation.” According to Miller, the best time to plant a cover crop in South Dakota is immediately after small grain harvest, because that’s when some soil moisture is most readily available due to previous crop canopy protecting the soil surface water moisture levels from evaporating during the summer heat. “If we plant a little later, we’re going to get less growth,” he says. “There’s advantages and disadvantages to this. Delaying planting allows us to get our small grain volunteer growth and kill any existing weeds before planting that cover crop.” Miller recommends a cover crop planting date of August 5 in South Dakota. “That date moves a little, a week to 10 days from year to year, depending on the temperatures later in the fall,” Miller says. “If we delay planting to the middle of August, then we cut our biomass production in half and use less water.” Craig Stehly and Jason Miller soil sampling for fertility and organic matter. Summer Issue 2021

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“Soil resilience, increasing organic matter, improving soil biology, improving water filtration, and decreasing soil compaction ultimately add more dollars in your pocket…” ~ Jason Miller

THINKING ABOUT COVER CROPS? Every field is different whether it be the soil type, crop rotation, weather or climate situation, or cropping system. Farmers considering how to integrate the use of cover crops to their fields can visit with agronomists, grazing or other specialists at USDA Natural Resources Conservation Service and our partners, the SDSU Extension and SD Voices for Soil Health Mentor Network. To find the Cover Crops Resources web page, visit www.sd.nrcs.usda.gov, then keyword search “Cover Crops.” One-on-one, in-field consultations with NRCS specialists are available for farmers, landowners, or managers as they explore options for their fields that fit their business operation. Contact your local USDA Service Center or go to bit.ly/ContactNRCSSD to find phone numbers and email addresses. On the NRCS South Dakota Cover Crops Web Page (usda.gov), you will find detailed fact sheets for various species as well as links to industry planning aids such as the: NRCS Table 1: Cover Crop - Common Species and Properties, a link to the Managing Cover Crops Profitably, 3rd Edition; Cover Crop Chart (v.1.2) of the USDA Agricultural Research Service chart; and the Excel spreadsheet Cover Crop Seeding Plan and Record. The SD NRCS Cover Crop Technical Note (Updated October 2020) is an excellent tool that serves as a guide for installing cover crops according to the practice standard found in the South Dakota (SD) Natural Resources Conservation Service (NRCS) Technical Guide. 18

“For grazing, we like to use turnips, rape, radish, rye oats, triticale, sorghum-sudan, sugar beet, sunflower, field peas and common vetch,” Miller says, adding that many of these help combat soil compaction as well because these cover crops have deeper tap roots. “This is important because walking cattle can put 48 pounds per square inch (PSI) of pressure on the soil, resulting in compaction if soils are wet,” explains Miller. “Where we’re grazing, we need to be cautious about not grazing in wet soil conditions. I prefer frozen ground.” IMPORTANCE OF CROP DIVERSITY Miller shared some data from a study done at Dakota Lakes on crop diversity that showed continuous corn results in a 190-200 per acre long-term bushel average. Rotating corn and soybeans yielded 217 bushels per acre on average. “The first corn in this corn/corn/soybean/wheat/soybean rotation yielded 256 bushels per acre,” Miller says. “The second year, corn yielded 213 bushels per acre.” When winter wheat was drilled in as a cover crop, the soybean yield increased by 7.3 bushels per acre to 63 bushels per acre in a corn-soybean rotation. “Where we didn’t have a cover crop, the soybeans yielded 55-56 bushels per acre,” Miller says. “The first year we planted a more diverse crop rotation after a longer break, we yielded 76 bushels per acre with no cover crop. The second year planting soybeans after wheat under irrigation with a big cover crop yielded 81 bushels per acre.” In an ideal world, Miller recommends planting the opposite type of cover crop to the cash crop the following year to help protect against disease and insects. “Some growers in Nebraska have had trouble with wheat stem maggot when they plant green corn into cereal rye,” Miller says. “That’s a grass going to a grass. I don’t like that. You can have a little bit in there, but not a lot.” “Wheat can easily add diversity to a crop rotation,” Miller says. “Wheat is a cool season grass. Corn is a warm season grass, and soybeans are a warm season broadleaf,” Miller says. “We’re missing cool season broadleaf, so we need some of those in there. In a corn/soybean rotation, we’re missing both the cool season grass and broadleaf.” Miller says the benefits of cover crops accrue over several years, and growers will see improvements in yields, pest management, and soil tilth if there is a strong commitment to cover crops.

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SOYBEAN COMPOSITION SOU

Oil

19% 36%

Insoluble Carbohydrates (fiber)

Meal

Soluble Carbohydrates

T H D A K O TA

CA R G O CA PAC I T Y

SOY STATS

Protein

19%

SOYBEAN TRANSPORTATION SCALE CONVERSIONS

Large Semi: 24.5 Metric Tons = 900 Bushels

S D S OY B E A N . O R G | 605.330.9942 Jumbo Hopper Car:

9%

99.79 Metric Tons = 3,666 Bushels

Ash (minerals)

4% 110-Car Shuttle Train:

Moisture

10,977 Metric Tons = 403,294 Bushels

13

%

WHERE IN THE WORLD DO SOUTH DAKOTA SOYBEANS GO? 1

#

JA PAN

2

#

NORTH A M ERICA

EAST ASIA

U.S. Mexico Canada

Panamax Freighter: 51,709 Metric Tons = 1,899,788 Bushels

China Japan Taiwan

New Panamax Freighter: 66,000 Metric Tons = 2,424,840 Bushels

C H I NA

TA I WA N

THA IL A ND

PHI LI PPI N E S

EQUIVALENT UNITS

3

#

S OU T H E AST ASIA

Philippines Thailand

4 Large Semitrucks

Average Distance Soybeans Travel (National Average)

1,110 miles by rail

5.2

860 miles by barge

110-Car Shuttle Trains

1

=

Jumbo Hopper Car

=

Panamax Freighter

1

SOUTH DAKOTA’S MEAL TICKET

SD SOYBEAN CROP

SOYBEAN PRODUCTION BUSHELS

A N I M A L AG C O N S U M P T I O N 2 019

(5-Y E A R AV E R AG E )

H A R V E S T E D 5 -Y E A R AV E R AG E S 49,840,000 Bu

7,679,232 Bu

Harvested Acres:

Turkeys

1,286,538 Bu

Bushels Harvested:

1,026,564 Bu 783,255 Bu

Layers

IN TOTAL: Livestock in South Dakota used the meal from 11,742,159 bushels of South Dakota soybeans.

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SDSL

Average Yield:

45.2 Bu/A Average Price Per Unit:

$8.63/Bu

BUSHELS HARVESTED (Millions)

5,290,000 242,616,667 Bu

Dairy Cows

50 40 30 20 10

9,000 Bu

0 1940-1944 1945-1949 1950-1954 1955-1959 1960-1964 1965-1969 1970-1974 1975-1979 1980-1984 1985-1989 1990-1994 1995-1999 2000-2004 2005-2009 2010-2014 2015-2019

Hogs

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INVESTING CHECKOFF DOLLARS

HEALTH AND FARMING By Tom Steever

I

t’s a very dangerous job.” The quote from Gregory, South Dakota physician Dr. Rich Kafka refers to farming and ranching. The primary care doctor serves a wide geographic area and sees patients with ailments and injuries unique to that occupation. It changes with the season, but unlike the practitioner who expects a winter uptick in colds and flu, the issues with which Kafka has become familiar are related to what is happening on the farm. “Starting in early February until the cows are all in the pasture, we see more livestock accidents,” says Kafka. “From there, we switch to the rigors of getting crops in the ground and the long hours that are put in.” During the busiest times of the year, he says healthcare takes a backseat to what must be done on the farm. “You just don’t convince a guy that he needs to get his cholesterol checked if he’s got corn to plant and a blue cloud is coming.” Difficulties of rural healthcare include providing emergency services. Having good emergency medical services (EMS) is challenging, says Kafka, explaining that in small communities, it is typically an all-volunteer service. “They do a great job,” he says. “There’s a tremendous commitment on their part with education and then being available for service.” Technology, according to Kafka, has been a significant factor in getting good healthcare and specialty expertise to out-of-theway locations. “We can get consultations from specialists and keep people from having to drive long distances,” says Kafka. “We do not have all specialties covered, but many specialties and follow-up are available.” Dr. Kafka says that patients might be able to see a specialist in Sioux Falls and do subsequent visits by connecting from home.

20

Many maladies, according to Dr. Kafka, can be attributed to stress connected with farming and ranching, which can result not only in physical sickness but also in depression and behavioral health issues. “There has been a significant push in the agriculture sector for farmers’ mental health and addressing the suicide crisis,” he says, adding that in those cases, “appropriate Dr. Richard Kafka intervention is absolutely crucial.” Kafka points out that behavioral health access has been enhanced by telemedical means. “With telemedicine and that technology, we can connect people to necessary counseling and/ or get consultation to help adjust medications,” he explains. A moderate amount of agriculture knowledge has been an asset for Kafka to care for farmers in the community, meaning that he can only push so hard to get a farmer in for treatment. “I tell people that taking care of folks is like fishing for big fish on light tackle,” he says. “If you pull hard, you break the line, so you sometimes have to let them swim around for a while and eventually you’ll get them to the boat.” Kafka no longer delivers babies but having practiced in Gregory for 31 years, he now works with nurses who he personally delivered and to whom he gives credit for providing meaningful healthcare to rural South Dakotans. “It shouldn’t be about me,” he concludes. “It should be about the people we’re here to serve and about the people who are doing similar work.”

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GROWING YIELDS

INCREASING PROFITABILITY

Now's the time to sign up to enter the 2021 Yield and Quality Contest. Why should you participate? You can win cash prizes of up to $2,000 plus bragging rights all year long! And your data helps us compile best management practices for today and tomorrow. Master Class

Any participant who has broken the 100 bu/a threshold (acheived a year of 100 bu/a or greater) will be automatically placed in the Master Class. Youth Class

The Youth Class is open to participants age 13-21, with entrants age 18-21 having the option of participating in the Main Class or Youth Class. Entries Are Due August 31

Talk to your seed representative or call us at 605-330-9942 for more information ENTER TODAY AT:

www.sdsoybean.org/yieldcontest

Summer Issue 2021

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INVESTING CHECKOFF DOLLARS

CARBON MARKET SNAPSHOT

Bayer

Payment amount and basis

$3 per acre for reduced tillage and $6 per acre for cover crop adoption ($9 for both)

When is payment made

Once carbon removal is quantified and verified. Typicallyfall of following year. Compensation is through Bayer PLUSRewards account and can be redeemed for cash.

Minimum acreage required

Fields must be at least 10 acres

Locations currently offered

IN, IL, IA, KS, WI, ND, SD, NE, MN, MO, MI, OH, AR, MS, LA, MD, DE

Data requirements

Use Climate Fieldvew (do not have to purchase Bayer products) to enter data. Producers input practices which are verified by satellite.

Program start date

Fall 2020

Data ownership

Bayer does not share your data with third parties except in confidence for the purposes listed by the agreement (www.cropscience.bayer.us/ privacy-statement).

Payment basis

Process based on validated practice implementation.

Can early adopters participate?

Fields with practices started before 2012 are ineligible. If practices were adopted between 2012 and 2020, field is eligible for 2021 carbon program and up to 5 years of historical payments. If practices started in 2021, eligible for carbon programonly.

Must land be owned

No, but the producer must have necessary permissions fromthe landowner to participate.

Who pays for monitoring?

Bayer pays for validation and verification costs.

Contract length

Programruns 10 years. Practices must be maintained for 10 years beyond that.

Provided by ASA Economist Scott Gerlt

T

he following information provides a snapshot for crop producers of the carbon market landscape as of April 2021. Most of the current opportunities are for pilot projects and are not operating fully as a market at this point. Payment amounts vary and can be practice-based (with a fixed amount paid for adoption of certain conservation practices) or outcome-based (providing either a guaranteed amount per acre, or an amount based on the quantity of carbon sequestered as estimated through models or measured in soil tests). Nori suggests using 0.2 to 1.5 tonnes of annual carbon dioxide sequestration per acre as a rule of thumb for recently adopted practices such as no-till or cover crops. Before signing a contract, keep in mind the sector is in its infancy. The companies in the marketplace range from large, well-known input suppliers to start-ups. Once you sell carbon credit through one of the companies, you are often making a long-term commitment with that company. Due to the general exclusiveness, new practice requirements, and carbon market rules to ensure offsets are not counted more than once, the enrolled acres will likely be ineligible to participate elsewhere at this point, even if the original company is no longer in the carbon marketplace. If you are thinking about enrolling in one of the carbon marketplaces, consider the timing. If carbon offsets really take off in the future, the credits could be much more valuable at a later date. On the flip side, the landscape could change in a way that makes the credits in a voluntary offset market worthless. Some of the companies listed to the right purchase the credit immediately, while others allow you to hold it and sell it at a later date while also offering a floor price. The latter option allows you to participate now and potentially benefit if the markets take off. However, the credit is only good in the future if there are buyers and the company backing the credit is still around. In short, there is quite a bit of uncertainty around voluntary carbon offset markets at this point. The information to the right should help when considering options but will change as the markets evolve. If you have questions, feel free to contact ASA staff.

22

Notes

Website

bayercarbon.com Summer Issue 2021

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Ecosystem Services Market Consortium

Farmers Business Network Gradable

Indigo Ag

Depends on outcomes. Amounts are unclear.

$20 floor on carbon credit for 2019 and 2020. However, farmer can retain credit and sell later if price increases above that level.

$10 per ton floor for 2020 on first carbon crop. Potential price of $15.

Sometime after next harvest

60%of credits will be issued to the farmer over a 5 year period. The farmer can decide when to sell these. The remaining 40%are retained to cover future carbon losses and administrative fees.

None in pilot phase. To be determined for market launch.

Land O’ Lakes TruCarbon*

Soil and Water Outcomes

Nori

$20 per ton

Currently, $15 per credit fully payable to the farmer plus one unit of cryptocurrency called a NORI token in a restricted account for ten years. The token can be sold back to NORI and has a floor price.

Up to $40 per acre per year

After results verified and Indigo sells credit, payments are made in 5 installments over 5 years (50%in year 1, 20%in year 2, and 10%in years 3, 4, and 5).

Second half of 2021

As NRT’s are sold, suppliers are paid monthly. Nori currently uses first in/ first out so the oldest projects are listed first.

50%at time of signing and 50%after verification

250 acres

150 acres

None

Recommended 1,000 or more acres during pilot stage, but smaller farms may aggregate

None

U.S. regions of Corn and Soy Belt, Great Plains, Great Lakes, Pacific NW, CA, others TBD. Market launch will be national.

United States

AR, CO, GA, IL, IN, IA, KS, KY, LA, MN, MS, MO, NE, NC, ND, OH, OK, SC, SD, TN and TX

AR, IA, IL, IN, KS, KY, LA, MD, MI, MN, MS, MO, NE, OH, PA, SD, TN, TX and WI

United States

Particular counties in Iowa, Illinois and Ohio for 2021

Contact info, field boundaries, field management info and soil sampling information

Farmers share practice information with Gradable. Three years minimumof historical data are needed. FBNuses machine learning to distill to a single score.

Must use software platformto map field boundaries and submit field management information. Historical data for the past 3 to 5 years must also be added.

Historial data must be provided, including three years prior to regenerative practice adoption. Annual data must also be reported.

Must enter field boundaries, agronomic practices and production information. Must be verified by Nori-approved third party.

Must report 2 to 3 years of baseline operational data plus 2 to 3 years of proposed practice changes. Outcomes Fund staff conduct field visits, monitoring and evaluation.

2022 full launch Currently soft launch

September 2020

June 2019

January 2021

Late 2019/early 2020

2020

Producers own and have full access to their data which can be imported fromother platforms. Data not shared with 3rd parties without producer permission.

Does not sell personal data. Privacy details can be found here www. gradable.com/privacypolicy. FBNis certified Ag Data Transparent.

Farmers own their data and can have it removed when they leave. Indigo is certified Ag Data Transparent

Data belongs to grower

Nori does not own your data or sell it.

Operating entities retain the rights to use the data for purposes related to operation of the Soil and Water Outcomes Fund.

Outcomes

Process (model) based

Process with soil samples

Mixture of modeling and soil sampling

Process based model. The model has been devloped using soil samples.

Process (model) based with sampling

Practices must have been adopted within the last two years to be eligible.

No

Payments are made for carbon sequested between 2016 and 2020 only. Changes made in 2021 and beyond are not eligible at this point for credits.

Practices adopted within the past 10 years are eligible for up to 5 years of grandfathered NRT’s.

Practices must be additive to current baseline. Evaluated on a field by field basis.

No, can be owned or rented

No, but renter must sign document saying they have control of land over the five year contract period

No, but renters are required to provide an attestation of their right to market carbon on the property

No, but legal document showing renter has legal authority to sign contract must be submitted and verified by 3rd party

No, but must have decision-making power over termof contract

Soil and Water Outcomes

Working on opportunities

No, but need to rights to have assets generated

Pilot project partners incur cost of soil sampling during pilot phase.

15%of credits are retained by Gradable to cover costs

Indigo

Truterra covers the cost of the soil samples.

Enrollee is responsible for third party verification costs which could be $3,000 to $5,000 per project at the initial listing. Verification is required every 3 years and costs should decrease.

Pilot is annual. Market launch wll be 10 years and can be renewed once.

Programruns 5 years. Practices must be maintained another 5 beyond that.

5 years, renewable up to 30 years for each field.

20 years

10 years for NRTissuance

1 year with renewal

Credits for soil carbon, net GHG, water quality and water conservation. Producers responsible for implementation costs and potential programexpenses.

Practices that earn credits include no-till or reduced tillage, cover crops, diversifying crop rotation and reducing nitrogen use. Gradable can also offer farmlevel sustainability score for premiummarkets.

Practices include adding cover crops, diversifying rotation, reducing or eliminating tillage and reducing fertilizer. Land cannot have been cleared in the past 10 years.

Uses the commercialized version of the USDAgreenhouse-gas, bluebook approved model to estimate changes based on adoption of practices. No upfront soil samples required. At the end of 10 years, a final audit is conducted.

Cannot stack with government conservation payments

ecosystemservicesmarket.org

www.gradable.com/carbon

indigoag.com

nori.com

theoutcomesfund.com

Summer Issue 2021

SDSL

truterraag.com/Carbon

23


INVESTING CHECKOFF DOLLARS

Hungry for Truth is an initiative sponsored by local South Dakota farmers through the Soybean Checkoff, designed to open conversations about food between South Dakotans and the farmers who grow it. We’re putting it all on the table to have open, honest conversations about how our food is raised and its safety. Healthy eating begins on the farm where farmers raise nutritious crops by protecting them from diseases, pests, and harsh weather from planting to harvest. Healthy eating continues in your home with proper storage, handling, preparation, and cooking. Explore our site to find healthy eating and food safety tips, delicious recipes to share with your family, and meet a few local farmers along the way! Follow along with Hungry for Truth at hungryfortruthsd.com or on our social media @HungryforTruthSD.

SOY STEAK MARINADE Servings: 4 Steaks

INGREDIENTS 1/4 cup Soy Sauce 2 tablespoons Sugar 2 tablespoons Worcestershire sauce 1/4 cup Green Onion, chopped 1 clove garlic, minced 2 tablespoons Olive Oil We have the perfect soy marinade recipe for your upcoming grill out. Because of its tangy flavor, soy sauce can be used to reduce the amount of salt in a recipe or as a substitute, especially in savory foods. This is a great option for those looking for ways to reduce sodium in their diets. Soybeans are also part of a nutritious diet for livestock. The cows, pigs, and chickens making their way onto your grill eat soybean meal as part of a balanced diet. Soybeans are packed with protein and essential amino acids that help keep them healthy as they grow. 24

INSTRUCTIONS 1) Whisk together all ingredients. 2) Salt and pepper steak to taste. 3) Pour marinade over steaks. 4) Refrigerate for 2-6 hours. 5) Grill to your preferred doneness.

Summer Issue 2021

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GRILLED SWEET CORN WITH ZESTY AIOLI Prep Time: 10 minutes | Cook Time: 12-15 minutes | Servings: 6 people

Oftentimes, the simplest things are the sweetest. Grilled sweet corn is a traditional side dish that adds a fresh, sweet crunch to almost any meal. A summer cookout just isn’t the same without this warm, golden treat topped with butter and salt. If you’re looking for a recipe that kicks up the flavor a notch, we highly recommend trying this recipe for Grilled Sweet Corn with Zesty Aioli.

INSTRUCTIONS

INGREDIENTS Corn (6-8 large ears of corn) Smoked Paprika 1 Lime Extra Virgin Olive Oil Aoli 1 Large egg yolk 1 small garlic clove, finely grated 1/4 tsp kosher salt, plus more 1/2 cup good-quality extra virgin olive oil Pinch Cayenne Pepper Fresh lemon juice 2 tbsp Sriracha hot sauce Freshly ground pepper

1) In a food processor, combine egg yolk, garlic and salt. Blend until smooth. 2) With motor running, add oil until consistency begins to look like thick mayonnaise. 3) Transfer to a bowl. Season with cayenne, lemon juice, Sriracha and pepper. 4) Cover bowl and refrigerate until ready to use. 5) Pre-heat grill. 6) Place corn in a bowl of cold water for 10 minutes to help prevent burning on the grill. 7) Place unhusked corn directly on grill for about 7-8 minutes. Close lid. Rotate half-way through for even cooking. Take corn off grill and remove husks. 8) Drizzle corn with oil and place back on grill. Continue to rotate corn until golden brown on all sides. Remove corn from grill when golden brown. 9) Take aioli sauce out of fridge and brush onto all sides of corn. Sprinkle with smoked paprika and squeeze lime on corn. Enjoy!

GROWING YIELDS INCREASING PROFITABILITY

Now’s the time to sign up to enter the 2021 Yield and Quality Contest. Why should you participate? You can win cash prizes of up to $2,000 plus bragging rights all year long! And your data helps us compile best management practices for today and tomorrow.

Master Class Any participant who has broken the 100 bu/a threshold (achieved a yield of 100 bu/a or greater) will be automatically placed in the Master Class.

Youth Class The Youth Yield Class is open to participants age 13-21, with entrants age 18-21 having the option of participating in the Main Class or Youth Class.

Entries Are Due August 31 Talk to your seed representative or call us at 605-330-9942 for more information.

Summer Issue 2021

SDSL

ENTER TODAY AT: www.sdsoybean.org/yieldcontest Sponsored by

Managed by

25


GROWTH PROMPTS GROWTH

F

armers know that as their acres expand and production increases, they may need to take on additional help to make sure they can manage growth. Mustang Seeds finds itself in a similar position--adding resources to make sure customers have the products, support and customer service that has become synonymous with Mustang Seeds. Eden, South Dakota native and 2021 South Dakota State University (SDSU) graduate Mason Roerig has been hired as Mustang Seeds’ new Soybean Product Manager. The move was precipitated by Mustang Seeds’ growth. “I’m very excited about the opportunity and excited about the partnership with GDM and the new products that will be available exclusively to Mustang Seeds,” Roerig says. Dale Nelson has served as production manager for Mustang Seeds corn and soybean products. Because of growth in Mustang Seeds’ product lines and geography, Nelson will become Corn Product Manager while Roerig will focus on soybeans. “Due to our continued growth and loyal customers, we felt this will be a good long term move to continue to provide customers with the top performing soybeans and corn for their operations,” Nelson says. Product managers work with the company’s seed grower base. They line up location plots and work with district sales manager to develop a plan for future production needs. Nelson says product managers also analyze and tour plots, and work with breeders on particular desired seed characteristics. In winter, product managers also help select new varieties that will be brought to full seed production. “Being independent, we have all the traits, so that adds a little complexity to the process, whether its E3, Xtendflex or conventional varieties,” Nelson says. Roerig has experience as a crop scout for two growing seasons. He was also an agronomy sales intern, working with a team of territory managers and agronomists gaining valuable knowledge of competitor seed and seed traits. Roerig also has additional experience with a local seed company doing a variety of jobs in the field, office, and warehouse, which will be valuable to the production manager position. He will graduate with a bachelor’s degree in agronomy from SDSU in May and begin working full time immediately following graduation.

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“It will be exciting to learn from Dale and to make a smooth transition,” Roerig says. “I’m looking forward to corresponding with growers, managing products and developing new products in the best way possible. I couldn’t ask for a better time to get involved because of Mustang Seeds’ growth and the partnership with GDM.” With growth in soybeans and corn, Nelson says it became hard to manage both and give each crop the full attention that it takes.

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“We’re expanding into Wisconsin, Minnesota and farther into North Dakota, too,” Nelson explains. “Geographic expansion and volume growth are really driving this decision.” Because personal connection to Mustang Seeds customers and growers is important, Nelson says the transition from one product manager to two will happen slowly. “We want this process to be seamless. We’ll both be working, but I’ll help and guide Mason,” Nelson says. “We feel we have a unique relationship with our customers and our growers, and we want to keep that going in the future.”

To learn more about what Mustang Seeds has to offer, visit www.mustangseeds.com.

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PROGRAM UPDATE By Farm Service Agency

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he U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) helps America’s farmers, ranchers, and forest landowners invest in, improve, and expand their agricultural operations. FSA programs also assist producers in recovering from the impacts of natural disasters and market fluctuations. The Agency’s roots trace back to the Great Depression when the Farm Security Administration was established. Although the name and mission have changed over the years, FSA remains committed to America’s farmers and ranchers. FSA supports U.S. ag producers through farm commodity programs, disaster assistance programs, conservation programs, and various types of loans. Farm commodity and disaster assistance programs ensure producers have a strong safety net in place in case of natural disasters, market fluctuations, or downturns. The Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs provide income support to farmers from substantial drops in crop prices or revenues and are vital safety nets for most American farms. When natural disasters strike, USDA is here to help with technical and financial assistance to help producers recover. The Livestock Indemnity Program and Emergency Assistance for Livestock, Honeybee, and Farm-raised Fish Program, reimburses producers for a portion of the value of livestock, poultry, and other animals that died as a result of a qualifying natural disaster event or for loss of grazing acres, feed, and forage. Livestock producers in counties experiencing extreme drought may also be eligible for assistance through the Livestock Forage Disaster Program for loss of grazed forage. The Tree Assistance Program provides cost-share assistance to rehabilitate and replant trees, vines, or shrubs loss experienced by orchards and nurseries. The Emergency Conservation Program and Emergency Forest Restoration Program can assist landowners and forest stewards with financial and technical assistance to restore damaged farmland or forests. Producers with crops that are not covered by Federal crop insurance can protect their crops ahead of a disaster by enrolling in the Noninsured Crop Disaster Assistance Program. This program provides financial assistance to producers of noninsurable crops when low yields, loss of inventory, or prevented planting occur due to natural disasters, including excessive wind and qualifying drought (includes native grass for grazing). Summer Issue 2021

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USDA is committed to delivering financial assistance to agricultural producers who have been impacted by COVID-19 market disruptions. The USDA Pandemic Assistance for Producers initiative includes the Coronavirus Food Assistance Program, which provides financial assistance to producers of agricultural commodities marketed in 2020. FSA farm loans are available for producers who want to get started in production agriculture or make investments in existing operations but are unable to obtain credit from private lenders. FSA offers a diverse portfolio of Direct and Guaranteed Ownership and Operating loans and provides loans to help producers recover from the impacts of natural disasters. These loan programs offer access to funding for a wide range of producer needs, from securing land to financing the purchase of equipment. Farm Storage Facility Loans provide low-interest financing to producers to build or upgrade storage facilities and to purchase portable structures, equipment, and storage and handling trucks. Additionally, Marketing Assistance Loans help producers meet cash flow needs without having to sell their commodities when market prices are low. These loans enable producers to delay selling their commodity until more favorable market conditions emerge. FSA conservation programs give landowners the tools and resources to protect environmentally sensitive land and restore grasslands and forests—leading to cleaner water and air, healthier soil, and enhanced wildlife habitat. The Conservation Reserve Program, one of the largest private-lands conservation programs in the U.S., helps producers conserve natural resources. This is accomplished by removing environmentally sensitive land from agricultural production and planting species that will improve environmental health and quality, in exchange for a yearly rental payment. Since its inception, FSA has facilitated programs that have been locally led through county committees, which enable input from farmers on delivery of the agency’s critical programs. County committees are composed of farmers and ranchers elected by fellow producers in the community. Nominations are accepted for specific areas of the county each summer and voting takes place in the fall. Check with your local FSA office to learn if your area will have an election this year. To learn more about FSA programs, contact your local USDA Service Center or visit online at fsa.usda.gov. 27


W E A R E U. S. S O Y B E A N F A R M E R S

SUSTAINABILITY NEVER GOES OUT OF SEASON D E C I S I O N FA R M I N G Customers prefer U.S. soy because it’s sustainable. But demands for sustainability continue to rise. Making informed management decisions by using data from all aspects of your operation helps minimize inputs and maximize yields. Adopting this practice is another step forward in improving your sustainable footprint. See why sustainability never goes out of season at unitedsoybean.org.

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S t U o R p S Super

beAn ChecKofF Y o S a t o k a D H t U e So sPonSored by tH

Meet Sprout, the mascot for the Super Sprouts educational program. Super Sprouts aims to provide at home educational activities for children of all ages. Sprout’s goal is to ensure everyone knows about the Superpowers of soybeans?

HelP SpRoUt get bacK to tHe barN!

WanT more fun? tRy tHis at home!

Please have adult supervison.

WACKY, ONE-PAN, SOYBEAN CAKE INGREDIENTS: • 1 1/2 cups flour • 1 cup sugar • 3 tablespoons cocoa • 1 teaspoon baking powder • 1 teaspoon baking soda • 1/2 teaspoon salt • 1/3 cup soybean (veg) oil • 1 teaspoon white vinegar • 1 cup warm water

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INSTRUCTIONS: 1. Preheat oven to 350 degrees. 2. In an ungreased 8-inch square pan, combine flour, sugar, cocoa, baking powder, baking soda and salt; mix thoroughly. 3. Level off and make 3 holes in mixture; pour oil in one, vinegar into second and vanilla into the third hole. Pour warm water over all; mix thoroughly with a fork. 4. Bake for 30 minutes or until tester inserted into center comes out clean.

Did yOu kNow even cake can conTaIn soY? 29


TSGC HELPS FARMERS PRESERVE THE VALUE OF THEIR GRAIN ASSETS By Bob Fitch, AGE Media & Promotion Writer

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ri-States Grain Conditioning Inc. is one of the most well-known suppliers of grain temperature monitoring equipment in the world. Headquartered in Spirit Lake, Iowa, the team at Tri-States Grain Conditioning (TSGC) makes service and high-quality products their highest priorities, while providing lifetime free tech support. TSGC has an extensive network of contractors representing their products and services nationwide and in over 40 countries. “Grain temperature monitoring is critical,” says Daniel Winkowitsch, CEO of TSGC. “When grain goes out of condition, regardless of the cause, there is always an unusual change in temperature. Excessive moisture, high temperature, and poor grain condition from insects or damaged kernels are generally considered the most important factors that lead to problems with stored grain. When any product goes bad, it gives off heat. So, a spike in temperature is the main indicator that there is a need for seeds or grain to be aerated or moved. A good grain manager will watch the trending temperature and check out changes.” Winkowitsch says monitoring the temperature of grain (watching for changing trends) on a regular basis gives farmers the best chance to make a correction in order to preserve good quality in grain. Also, using TSGC’s grain monitoring systems helps farmers better know when to turn off the fans, thereby cutting utility expenses significantly.

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“For pennies per bushel, temperature monitoring systems can be installed to monitor changes in grain that need to be attended to,” Winkowitsch says. As part of its innovative grain systems, TSGC offers farmers and grain managers the ability to remotely monitor grain on their phones. The more advanced systems can monitor grain temperature, moisture, and volume, plus how long it has been stored. “We want to provide growers with the best tools to keep their grain and seed in great condition until it is time to sell,” he says. “Our reliable remote monitoring systems for grain bins, tanks or silos detect even the slightest changes in grain condition, so that you can take action in time to preserve your assets.” Running fans excessively can cause grain to lose too much moisture. If it becomes overdried, it becomes lighter and not as valuable.

Daniel Winkowitsch, CEO of Tri-States Grain Conditioning, and his wife, Luisa

they are a family-owned business with Midwestern values. Founded in 1982, the business was sold to the Winkowitsch family in 2008 and has grown extensively under their watch. Dan spent a good share of his adult years as a missionary through Avant Ministries Ecuador, where he worked with the Quichua-speaking people, descendants of the Incas. His wife, Luisa, is originally from Bogota, Colombia. She has a background in banking and runs the financial side of the company, while Dan focuses on sales, service, and growth. While business is important, family and faith come first. Daniel and Luisa have two adult children, Natasha and Juan; and one grade-schooler, Sophi. “Sophi is our special needs girl, being diagnosed with autism from age 3,” Winkowitsch says. “She is non-verbal and needs a lot of attention. We call her the most painful blessing that God has ever given us.” Luisa says Daniel works because he likes it but preaches because it is his first love. Dan says, “I say yes to filling the pulpit for any church that calls when I have an opening on my calendar. My goal is to encourage believers to know Christ better and follow Him, and if we can laugh a bit while we learn, all the better! There are plenty of tears to be shed in this life.”

For more information about TSGC’s products and services, call 712-336-0199, email TSGC@TSGCinc.com or see their website www.TSGCinc.com

While TSGC sells, installs and services clients world-wide, 30

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ENLIST POWER OF PION3ER. ®

What makes Pioneer® brand Enlist E3® soybeans different? Our knowledge of them. We’ve conducted hundreds of on-farm trials of Enlist E3 soybeans. Contact your local Pioneer sales representative to learn which variety works best for your operation. Pioneer.com/DefeatWeeds Varieties with Enlist E3® technology (E3): The transgenic soybean event in Enlist E3® soybeans is jointly developed and owned by Corteva Agriscience and M.S. Technologies L.L.C. The Enlist weed control system is owned and developed by Dow AgroSciences LLC. Enlist Duo® and Enlist One® herbicides are not registered for sale or use in all states or counties. Contact your state pesticide regulatory agency to determine if a product is registered for sale or use in your area. Enlist Duo and Enlist One herbicides are the only 2,4-D products authorized for use in Enlist crops. Always read and follow label directions. Consult Enlist herbicide labels for weed species controlled.

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The transgenic soybean event in Enlist E3® soybeans is jointly developed and owned by Dow AgroSciences LLC and M.S. Technologies L.L.C. Pioneer® brand products are provided subject to the terms and conditions of purchase which are part of the labeling and purchase documents. TM ® SM Trademarks and service marks of Corteva Agriscience and its affiliated companies.© 2021 Corteva. 21D-1286

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INVESTING CHECKOFF DOLLARS

The poultry industry in much of sub-Saharan Africa is restricted in its ability to grow due to high feed costs, and poor farm management practices. WISHH’s USDA funded-project found that the country of Ghana’s national yearly per capita consumption increased to 235 in 2020. As a comparison, U.S. annual per-person consumption of eggs and egg products was 293 in 2019, according to USDA.

WISHH HELPS CATCH NEW FISH & POULTRY FEED MARKETS FOR SOYBEAN MEAL South Dakota soybean growers are helping African fish and chickens get a taste for quality feeds made with soybean meal. “Exploring and expanding diverse new markets is an important step to create demand for South Dakota soybeans,” says Dawn Scheier who serves on the American Soybean Association’s World Initiative for Soy in Human Health Program Committee (ASA/WISHH). “Aquaculture is just one of those new feed markets that WISHH is developing in Asia as well as Africa.” Yet, there are no easy shortcuts to trailblaze trade, especially in developing and emerging economies. Market diversification, including partnerships with African food and feed entrepreneurs, is more important than ever so WISHH is hard at work in developing countries. Visionary soybean growers founded WISHH 20 years ago when they recognized that fast-growing populations and economies in Africa would require more protein. Aquaculture and poultry feeds are a top priority for WISHH’s 2021 focus in West Africa. In aquaculture, WISHH is leading a feasibility study of a new fish feed mill to supply several of the French-speaking countries in West Africa. The aquaculture industry, like the poultry industry in much of sub-Saharan Africa, 32

is restricted in its ability to grow due to high feed costs and poor farm management practices. WISHH is working to address these limitations and build additional markets for U.S. soy. Using USDA Agricultural Trade Promotion funding, WISHH commissioned an African aquaculture expert to evaluate the regional demand for fish feed, analyze distribution channels, and assess the region’s ability to develop into a significant aquaculture producer. The study started in April and completion is expected in September. A WISHH strategic partner will then use study results to make feed mill investment decisions that will boost the aquaculture industry in the region. WISHH is also mentoring this company’s staff on business management and more by having them participate in WISHH’s USB-funded Mobilizing Entrepreneurs to Expand U.S. Soy Utilization in Developing and Emerging Markets Initiative. WISHH’s West African poultry development work includes cooperation with the third-largest poultry producer in Senegal. The company’s CEO believes that vertical integration is key to Summer Issue 2021

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Soybean meal is the

NO. 1 PROTEIN SOURCE used in aquaculture worldwide. Source USSEC

Fish provided about

3.3 BILLION PEOPLE WISHH is currently working in 10 countries in sub-Saharan Africa shown in orange. WISHH has previous activities in countries shown in yellow.

their future success, because it will allow them to increase the scale and profitability of their operation as well as better control feed quality and the health of the birds. ASA/WISHH and the U.S. Soybean Export Council (USSEC) execute a coordinated strategy to create new export markets for U.S. soy. In tandem, USSEC and ASA/WISHH partner for progress on the four phases of U.S. soy commercial market sector development: developing, emerging, expansion, and mature. WISHH’s USDA-funded work in Ghana with Kansas State University (KSU) prepared KSU to take a leadership role in Nigeria through USSEC’s Soy Excellence Center that utilized USDA ATP resources. “U.S. soybean growers receive value and efficiency for their investments through this coordinated strategy,” says Dawn Scheier, who serves on both the WISHH Program Committee and USSEC board.

with almost 20 PERCENT of their average per capita intake of animal protein. In 2017, fish accounted for about 17 percent of total animal protein, and 7 percent of all proteins, consumed globally. Source: The FAO State of the World’s Fisheries and Aquaculture (SOFIA) 2020 report

527% RISE in global aquaculture production from 1990 to 2018. Source: The FAO State of the World’s Fisheries and Aquaculture (SOFIA) 2020 report

World aquaculture production attained another all-time-record high of

114.5 MILLION TONS in live weight in 2018, with a total farmgate sale value of USD 263.6 billion (the price of the product available at the farm, excluding any separately billed transport or delivery charge.) WISHH is working directly with fish farmers on feeds that use soybean meal as well as leading a feasibility study of a new fish feed mill to supply several of the French-speaking countries in West Africa.

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Source: The FAO State of the World’s Fisheries and Aquaculture (SOFIA) 2020 report

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SOUTH DAKOTA SOYBEAN PORTRAIT: JORDAN AND KEVIN SCOTT

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ost days, the biggest disagreement between Jordan Scott and his dad, Kevin, centers on baseball. Kevin, a fan of the Minnesota Twins, is bewildered by son Jordan’s rooting for the Cubs. One step into the younger Scott’s man cave at his Valley Springs, South Dakota home place makes obvious his loyalty to Chicago’s North Siders. What counts though is what the two have in common.

What both are enjoying is the current strength in soybean prices. “The market’s great,” says Kevin, breaking into a grin. “The checkoff is doing its job.” He points out the good that has come from the U.S. Soybean Export Council’s work to improve exports and from checkoff-funded research. “That means there are a lot of new uses going on with soy oil, so the demand is strong there.”

When asked what it is like farming with his son, Kevin’s response is immediate. “Oh, nothing better,” says Kevin, about working side by side with his younger farming partner. “It gives you a reason to continue to improve your operation knowing that somebody else will be there to take it over later. And that’s a good thing.”

“I see it every day with the checkoff focusing on marketing and the association focusing on policy, both making a difference,” says Jordan. “The funds are being used in a good way and actually bringing value back to the farm.”

“Dad and I get along most days,” says Jordan Scott with a chuckle. “We’re in the same field a lot of the time or right across the road from each other, and that’s pretty neat.” Another notable commonality is that Jordan is president of the South Dakota Soybean Association (SDSA), while Kevin presides over the American Soybean Association (ASA). “It’s certainly a humbling experience,” says Kevin, referring to his service as ASA president. “During this year of COVID, it’s been a little bit more difficult to enjoy it like you would have in the past, but I’ve stayed home a lot more, and that’s not a bad thing.” In a typical year, says Kevin, the ASA president would be away from the farm for 175 days. “I was prepared for that, because I’ve got Jordan here at the farm; he can handle that when I’m gone.” It appears Jordan will get his turn at bat. The respite from ASA-related travel is ending. “We’re just now starting our board meetings again, getting back together,” says Kevin. “March was our first [in-person] board meeting and we’re going to go again in July.” 34

For Kevin, the decision on this life path could have easily resulted in a career off the farm. “When I was going to college, farming was the last thing I wanted to do,” he says. While at South Dakota State University, however, Kevin developed a crush on grade schoolmate and family friend Jannell Gage, whose father needed a hired hand on his farm. “Bingo,” he says, about fate intervening, “Two weeks after we graduated, we were married, and I started farming; that was the only thing I wanted to do after that.” The family has done extensive legacy planning with an eye toward an eventual transition and beyond. “Every decision we make now is based on the next generation,” says Jordan. “Everything I’m doing today, I have my son in mind, and I can see now that my dad did the same for me.” Jordan’s great-greatgrandfather seemed to be thinking along those lines when the farm was established in 1886. “I’ve been very fortunate and have been able to continue on with the legacy that they started many years ago,” says Kevin. “We’re kind of hoping that the next generation will be here too, and the following generation after that.”

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VIDEO SERIES HIGHLIGHTS CONSEQUENCES OF FOREIGN MATERIAL IN SOYBEANS

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orthern Soy Marketing (NSM), the tri-state partnership between the North Dakota, South Dakota, and Minnesota soybean councils, has invested in an educational video series on the potential consequences of delivery of soybeans with high levels of foreign material (FM) to local elevators, as well as larger downstream effects on soybean exports to China. Seth Naeve, Debalin Sarangi, and David Nicolai from the University of Minnesota Extension developed the videos for NSM. Beginning in 2018, Chinese officials began rejecting shipments of soybeans from the U.S. that contain more than 1% FM and contain weed seed listed on their prohibited species list.  During trade disputes between China and the U.S., the few shipments of soybeans from the U.S. to China were not overly scrutinized. As soybean exports to China increase, however, China will return to its No. 1 position in soybean trade with the U.S., and increased volume likely will lead to increased inspections.

Overview

FM, including weed seed, corn, and wheat, found in shipments could cause significant hardship for exporters. In order to reduce their risk, it is expected that exporters will push these narrow restrictions onto their suppliers moving forward. Local elevators are likely to impose stringent dockages on incoming loads. Utilizing a systems approach to enable farmers to minimize FM and weed seed in their soybeans provides multiple avenues for returns to farmers. Primarily, reduced FM and weed seed in grain will ensure competitiveness in the global market, supporting pricing. Also, managing herbicide-resistant weeds in-season through harvest enables farmers to reduce weed seed entering the weed-seed bank. This is the first and most critical piece of managing these difficult and costly weeds.

Pre-plant decisions

NSM’s videos provide an overview of this important issue as well as basic information for farmers to manage herbicide-resistant weeds and to keep weed seeds out of their soybeans.

Scan this QR code to view the videos or visit soyquality.com/farmer-resources

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Postemergence weed control

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Hunter Roberts and his family

SERVING SOUTH DAKOTA’S PRODUCERS AS THE DEPARTMENT OF AGRICULTURE AND NATURAL RESOURCES By Hunter Roberts, Secretary of Agriculture and Natural Resources and Ex-Officio member of the South Dakota Soybean Research and Promotion Council

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n April 19, 2021, the South Dakota Department of Agriculture (SDDA) and the Department of Environment and Natural Resources (DENR) officially began serving South Dakota as the Department of Agriculture and Natural Resources (DANR). Our mission is to protect and preserve South Dakota’s agriculture, environment, and natural resources through effective regulatory services, natural resource conservation, and financial and technical assistance. I look forward to working with you to support producers and protect our natural resources. In South Dakota, our family farms have been here for generations. I am proud to be a fifth-generation farmer and rancher and look forward to passing the tradition on to my children and grandchildren. As a producer, I know that

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unnecessary or overreaching regulations can create roadblocks to success. Together, as DANR, we are working to streamline the state’s agricultural and environmental services while maintaining common sense regulations that work for South Dakota. By having our agricultural Hunter Roberts and environmental experts in the same department, I am confident we will achieve the best outcomes for our state. As I talk with South Dakotans about the merger, the most Summer Issue 2021

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frequently asked question I hear is, “how can DANR meet the needs of agriculture, South Dakota’s number one industry, and still effectively protect our environment and natural resources.” My response is that agricultural success and natural resource protection are not and cannot be mutually exclusive – they must work together to succeed long term. For example, each year we see ag chemical spills in South Dakota. These spills cost producers time and money and impact our environment, so it is important to get them cleaned up as quickly as possible. In the past, both SDDA and DENR would respond to ag chem spills, and often the responsible party would be subject to clean up, disposal, and reporting requirements from both departments. This was redundant, confusing, and time consuming. As DANR, we will eliminate these redundancies, and our ag and environmental experts, now housed in one department, will provide unified direction to the responsible party so they can focus on cleaning up the spill and meeting the regulatory requirements. This is a win-win for our producers and the environment and is a direct result of the merger. In addition, DANR is working with a diverse group of partners from across the state on the Riparian Buffer Initiative. All South Dakotans have a vested interest in protecting our water resources – it’s not just a natural resource issue; it’s not just an ag issue; it’s an issue for everyone. We need to work together to implement practical and effective solutions. That is why I am excited about the South Dakota Riparian Buffer Initiative. Riparian buffers have a proven record of improving water quality and providing valuable habitat, stabilizing stream banks, adding forage for livestock, and reducing production costs on marginal crop lands. Riparian buffers are an excellent conservation practice. They just aren’t currently used enough to move the “water quality” needle in our impaired watersheds. It’s time for a change, which is why we’re incentivizing development of riparian buffers. Through the Initiative, we will establish more than 3,000 acres of new riparian buffers across the state making measurable water quality improvements in South Dakota’s impaired watersheds. However, we will not mandate participation. Producers know best how to manage their land – what they need are common sense options allowing them flexibility to effectively manage their resources for the next generation. As we move forward as DANR, I am grateful to live, work, and raise my family in South Dakota. We truly understand the value of freedom, the rewards of hard work, and the beauty of our natural resources. I look forward to working with you to build a South Dakota with a prosperous economy, diverse agricultural opportunities, clean air, clean water, and healthy families.

ONE LESS THING TO WORRY ABOUT. Herbicide-resistant weeds cost soybean farmers time and money, impacting profitability. Fortunately, your state soybean checkoff is on the job with research projects to help you adopt the best management practices to preserve crop-protection technologies and enhance the overall sustainability of your U.S. soy crop. Visit: soybeanresearchinfo.com

Funded by the soybean checkoff

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BIODIESEL HITTING HARD WITH HEALTH BENEFITS Provided by National Biodiesel Board

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sing B100 biodiesel as a replacement in heavy-duty modes of transportation can reduce cancer risk associated with hydrocarbon particulate emissions by 45% in transportation and 86% in home heating. Those are two of the key takeaways from a recently released biodiesel health benefits study by Trinity Consultants. The study examined the community health impacts biodiesel can make immediately in 13 communities currently exposed to high levels of diesel particulate pollution. The list of benefits ranges from reductions in premature deaths and asthma attacks to financial advantages with reduced medical costs and health care burdens. “The markets where biodiesel can make the biggest impact happen to also be the ones that are the hardest to decarbonize,” says Tim Ostrem from Centerville, SD and chairman of the SD Soybean Research and Promotion Council. “With both coasts focusing on reducing carbon, biodiesel can make an immediate difference in the heavy-duty transportation sector with vehicles such as tractor-trailers, as well as the home heating oil market through Bioheat® fuel, a drop-in replacement in that sector.”

Biodiesel can help reduce pollution in many urban areas of the country today. For those living in the urban areas in the study,

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better air quality can result in longer lives, lessened asthma symptoms, fewer restricted activity days and fewer sick days. “This study verifies what the biodiesel industry has known for years: biodiesel’s impacts on the environment and the economy extend into further health and financial benefits,” says Donnell Rehagen, CEO of the National Biodiesel Board. “The greatest thing about biodiesel is that it can start making a difference right away as a drop-in solution within the existing infrastructure. As the most tested of all renewable fuels, biodiesel is a proven and reliable source of energy.” The biodiesel industry set a goal to double biodiesel demand by 2030, raising production to a total of 6 billion gallons. Decarbonization efforts play a major role in delivering on that much-needed oil market for soybean farmers. Today, biodiesel is the second largest user of soybean oil, behind food uses. “Those of us in rural America don’t always have the same challenges with air qualities our peers in the urban areas do,” adds Ostrem. “But, as farmers, we have an important role to play that can help them lessen their challenges, while also building a greater market for our versatile soybean oil.”

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ALWAYS HERE. ALWAYS CARING. For over 100 years, De Smet Farm Mutual has been helping to protect what we all love about South Dakota. In good times and bad, we have remained committed to serving the families, farmers, and ranchers in this great state — providing the most progressive insurance policies and offering bundled plans that save you money and give you peace of mind. While it may take some time to recognize our new look, you can have confidence that the values our company was founded on are stronger than ever.

FARM & RANCH

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SIGN UP FOR A FREE HITCH PIN! Scan the QR Code or visit the website below, submit the online form and watch your mailbox! www.DeSmetFarmMutual.com/soybean

(605) 854-3337 | www.DeSmetFarmMutual.com Summer Issue 2021

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INVESTING CHECKOFF DOLLARS

Drone images taken on August 7 (Mid growing season)

SCOUTING FOR TROUBLE:

USING DRONE IMAGERY CAN HELP LOCATE AND POSSIBLY IDENTIFY SOYBEAN ISSUES By Carol Brown

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nmanned aerial vehicles (UAVs), or drones, are now used for many things—from searching for missing livestock to delivering a package —and now crop scouting in South Dakota soybean fields can be added to the list. David Clay, a distinguished soil science professor at South Dakota State University, is using UAVs in his research funded by the South Dakota Soybean Research and Promotion Council. “Last year, we monitored about 60 fields three times a year for soybean farmers across the state,” says Clay. “We use the information collected from the drone to demonstrate how this technology can help a farmer scout their field to find problem areas. In the past, our UAV images did a good job of identifying where problem areas were but not what the problem was.” With the newly purchased sensor, this season Clay hopes the higher quality scans from the drone can tell him more about what those plant stressors are. They will be flying the drone in fields with known problems and using those collected images to verify similar problems at other sites. “We want to look at the sensor information where we know what the problems are to see specific spectral imagery bands and learn whether those spectral bands hold across a number of sites,” Clay says. Learning to identify and understand spectral images can help improve crop scouting immensely in the future. Clay is expecting these images can tell them more about particular field stressors. In addition to this enhanced drone work, they will continue to scout private fields for issues of concern for farmers. Clay’s graduate students visit the farms, fly the drone over the field of interest, collect images, and analyze the data — three times per season. They look for things such as places where an herbicide

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did not perform, plant disease symptoms, or in-field research plot comparisons. “The drone can hone in on the field location where the issues are, making field scouting more efficient,” says Clay. “We show the data to the farmer and also compare the images to their yield monitor so they can see how the drone image data can help them in the future.”

Different bands provide different information about the stress that the plant is experiencing. Healthy plants have high reflectance of near infrared light. Unhealthy plants have low reflectance.

Clay sees that when using drone images, crop scouting will become easier, especially for those producers with large fields. The UAV can fly the entire field much quicker than it can be walked, so problems can be spotted sooner, which makes for better, more accurate management decisions as well as precision applications, saving the farmer time and money. For more information about Clay’s research, visit sdsoybean.org. For information about the research project, go to the National Soybean Checkoff Research Database. WEB RESOURCE: David Clay research on UAV usage; soybeanresearchdata.com/Project.aspx?id=54153 Summer Issue 2021

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Johnson Farms Field Day July 7th, 2021 Frankfort, SD Starts 9:30 a.m.

Tour Johnson Farms, 2019 SD Leopold Conservation Award and 2020 NCBA Region 7 Environmental Stewardship Award winning operation! Topics and Demonstrations: • New tree planting in pasture strips • Calving pasture with covers and water layout • Beans in rye with grazing and rotation history • Grass (CRP) waterways • Alfalfa/grass seeding with oats nurse crop along with CRP • Corn and soybeans seeded into wheat stubble with 2020 manure application • Wheat field with forage barley in saline areas followed by cover crop • Rainfall and wind simulators • No-till gardening • Opportunity for conversation, questions, and comments by a few speakers/sponsors

FREE ADMISSION

Coffee and rolls served in the morning. Lunch served on the farm. Please RSVP at tinyurl.com/JohnsonTour2021 for meal

counts and to receive directions to the farm. Persons requiring special accommodations or materials in an alternate format or language please contact Cindy Zenk at 605-280-4190 or sdsoilhealth@gmail.com two days prior to the event. The USDA is an equal opportunity provider, employer and lender.

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USDA-NRCS SD photos


INVESTING CHECKOFF DOLLARS

USE THE SD SPRAY TOOL FOR INVERSION DETECTION AND WEATHER FOR PESTICIDE APPLICATION Written collaboratively by Laura Edwards and Nathan Edwards.

May is a busy month as fieldwork progresses and pesticide applications are a critical component for the management of most farm operations. Weeds, insects, and diseases are all best treated early in their development before there is significant damage or yield loss. The SD Mesonet Spray Tool provides real-time weather data for pesticide applicators. This dedicated website for pesticide applicators uses the SD Mesonet weather data, which is updated every five minutes. In 2018, the network of weather stations was augmented with additional thermometers specifically for measuring temperature inversions. This information, in addition to wind speed and direction, temperature, humidity, and an abbreviated weather forecast, are all posted on the Spray Tool website. The website is designed for both desktop and mobile devices. Temperature inversions are dangerous for pesticide applicators, as inversions trap droplets in the atmosphere. The droplets can remain airborne for several hours, perhaps as much as 12 or more during overnight hours. Then, there is a risk of drift and damage to neighboring areas when the air or wind moves the droplets away from the intended target area. Pesticide application during an inversion should be avoided. Some pesticide labels strictly forbid application during an inversion. The Spray Tool can inform an applicator if there is an inversion present or not but can also provide much of the other required weather information for record keeping. As of the 2019

spray season, the SD Department of Agriculture will accept SD Mesonet data as one of a few acceptable sources for weather record keeping. For applicators who are spraying over-the-top formulations of dicamba in soybeans, the Spray Tool will also provide an estimate of boom-height wind speed. This uses the wind speed measurement at 10’ height, and an EPA calculation to estimate 40” wind speed for the boom height. To use the Spray Tool for inversion detection and wind speed, there are three colors to indicate levels of risk. Similar to a stoplight, green, yellow, and red colors indicate an increasing level of risk or unfavorable conditions for pesticide application. INVERSION COLOR CODES For inversions, the color codes are described below: The reported strength of inversion is the temperature (°F) of the air at 10 ft minus the temperature of the air at 40 in. Inversion Detected (Red) ● ● ● ●

Positive number Cooler air under warmer air Occurs most often at night and in the first and last hours of daylight Unsuitable for spraying

No Inversion, Marginal (Yellow) ● ● ● ●

Zero No detectable temperature difference Can occur anytime, but often during the first two and last two hours of daylight Marginal for spraying

Inversion Not Detected (Green) ● ● ● ●

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Negative number Warmer air under cooler air Rarely at night and the first and last hours of daylight Preferred for spraying

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WIND SPEED COLOR CODES For wind speed, the color codes are described here: Wind Speed Wind direction, speed, and gust (mph) are measured at the agricultural weather standard of 10 feet. Label restrictions for wind speeds vary, so check your label. COLOR

WIND SPEED

Red Calm Yellow

2 mph

Green

3 to 10 mph

Yellow

11 to 15 mph

Red

16+ mph

40-in (Boom Height) Speed Wind speed at a height of 40 inches is calculated from 10-foot wind speed using EPA methods. This should only be used for labels that specify a boom height wind (i.e., XtendiMax, FeXapan, Engenia). Color

Wind Speed

Red

Calm to 2 mph

Green

3 to 10 mph

Red

11+ mph

The SD Mesonet Spray Tool is funded in part by SD Soybean Research and Promotion Council.

Web Link for More Product Details: climate.sdstate.edu/tools/spray Originally published on extension.sdstate.edu in December 2020.

WHY JOIN THE SOUTH DAKOTA SOYBEAN ASSOCIATION? Membership in the South Dakota Soybean Association (SDSA) has been incredibly invaluable to me from not only a professional standpoint but from a personal one as well. As a director on the SDSA board of directors, I have seen firsthand how we can help the farming community. From local county government up to national issues, SDSA has been instrumental in working to help farmers continue to help feed the world. My time and membership with SDSA have given me newfound leadership opportunities that have helped me grow personally to advocate for the South Dakota farmer effectively. Professional leadership training has molded me to help effectively communicate and act on issues that arise in the political landscape. Before my time with SDSA, I could not imagine myself where I am today. A farmer from the small town of Mt. Vernon, I now have meetings with elected officials from all levels of government— something I did not see myself doing a short time ago. Now more than ever, our voice needs to be heard with ever-changing issues and policy. SDSA is that voice, and my membership with them ensures that my concerns are listened to and conveyed to the appropriate leaders. Kevin Deinert, Second Vice President

The South Dakota Soybean Association (SDSA) represents member producers of all sizes, giving them all a strong voice in the formation of legislation and public policy that affects long-term profitability of soybean producers and the industry as a whole. SDSA is funded in part by voluntary membership dues. SDSA is different from the SD Soybean Checkoff because SDSA has the ability to advocate on behalf of legislation. By law, checkoff dollars cannot be used for advocacy. SDSA is governed by a board of directors elected by members. Our board includes representatives from seven districts plus at-large representatives. SDSA’s goal is to be highly responsive to our members, advocating for them in all levels of government.

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Thinking about becoming a member? Visit sdsoybean.org to find information on member benefits, areas of advocacy, board of directors, industry partners, and more. 43


AUGUST 17–19, 2021 | MITCHELL, SD

CREATING CONNECTIONS IN AG FOR 25 YEARS

WE’RE HOLDING DAKOTAFEST IN PERSON THIS YEAR! Come see the best in South Dakota ag, including: ◾ ◾

400+ exhibits with the latest equipment Seed demonstration plots

◾ ◾

Livestock tent with speakers, experts, & chute demonstrations Raise Em' Rank Mini-Bullriding Competition

Visit Dakotafest.com for $7 tickets. Use promo code SDLEADER at checkout for an additional $2 off.

Arrive early each day to get a FREE pair of work gloves!* SPONSORED BY

MUSTANG SEEDS *While supplies last

Dakotafest.com

#Dakotafest21

2021 DAKOTAFEST SPONSORS

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