OCTOBER 9, 2020 • VOLUME 23 • ISSUE 20
Farm Bureau Press A PEEK INSIDE
MEAT PROCESSING GRANT A SUCCESS: STATE INSPECTION NEEDED
Arkansas Farm Bureau officials say the strong response to a $5 million grant program for expanding and upgrading Arkansas meat processing facilities highlights the need for reviving a state meat inspection program. Last month, the General Assembly allocated funds from the federal CARES Act to create the grant program, which generated 45 applications requesting more than $30 million in funds. The grant program is designed to increase meat packing capacity in Arkansas in order to provide Arkansas families, restaurants and schools with more highquality, locally produced protein products. The program will be administered through the Arkansas Department of Agriculture.
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A review committee consisting of Arkansas Farm Bureau, the Arkansas Department of Agriculture, Arkansas Cattlemen’s Association, the Livestock Marketing Association, Arkansas Hunters Feeding the Hungry, the University of Arkansas Division of Agriculture, and the United States Department of Agriculture evaluated the applications and made the award selections. The Department received 45 applications requesting a total of more than $30 million in grant funding. The 15 grantees selected will receive 79.7 percent of the amount requested up to a cap of $500,000 per application. Jessica Burkham, Arkansas Farm Bureau director of policy development and legislative research, explained that a state inspection program will provide flexibility and boost economic development in rural communities where livestock production is prominent and help ensure access to high-quality local products for Arkansas consumers. The following 15 facilities were selected for funding: A&C Meat Company, Hot Springs; B&R Meat Processing, Winslow; CR Custom Meat Processing, Bismarck; Cypress Valley Meat Company, Pottsville; Deaton Slaughterhouse, Caddo Gap; JACO Meats, Hope; JD Custom Meat Processing, Greenwood; Key’s Family Butcher Shop, Van Buren; Miller’s Quality Processors of Arkansas, Dardanelle; Natural State Processing, Clinton; Ramsey’s Red River Smokehouse, Judsonia; Ride Runners Processing, Jonesboro; T&A Womack
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ArFB HIRES JENNY HIGGS
Women’s Leadership | The Independence County Farm Bureau Women’s Leadership Committee has been hard at work with Ag in the Classroom activities. Helen Williams, Jeannie Wagoner, and Carolyn Hubbell recently made deliveries of Ag Readers, rice samples and peanut butter for the backpack programs at local schools in the county.
Arkansas Farm Bureau has hired Jenny Higgs as digital production specialist. Higgs will work with the public relations team to produce videos, podcasts, graphics and social media content that highlights the importance of Arkansas agriculture. Higgs, of Conway, was previously special events coordinator at the Arkansas Foodbank, where she oversaw major fundraising events and produced photos, videos and social media content to promote the organization and its mission. Higgs earned a bachelor’s degree from the University of Arkansas and a master’s degree in sports management from California State University, Long Beach. After earning her masters, Higgs worked for a number of well-known organizations in California, such as the Tiger Woods Foundation, the U.S. Soccer Federation and Discovery Communications. She also played a key role in the Special Olympics World Games held in Los Angeles in 2015.
Board of Directors Award | Betty and John Carter received the first Board of Directors award in 2020 for their commitment and dedication for 20 plus years to Sharp County Farm Bureau. Betty serves as vice president and John has previously served as past vice president. Both have chaired multiple committees and have attended many meetings and conventions. Ken Billiot, Sharp County president, presented the award.
“I came back to Arkansas because I wanted to be closer to family and because I missed the people and natural beauty of our state,” said Higgs. “My grandfather grew up on a farm, so it’s exciting to have an opportunity to help tell the stories of Arkansas farmers and ranchers.”
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Benton Co. Farm Family | During Benton County Farm Bureau Policy Development meeting Johnny Gunsaulis (left), county extension agent, presented Benton Farm Family of the Year Jim & Lisa Singleton with a plaque. The Policy Development meeting was held at Bill and Delia Haaks Farm in an outdoor setting. 2
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COLLEGIATE YF&R RECEIVES AFBF MINI GRANT The University of Arkansas Monticello (UAM) was once again awarded a $500 Collegiate Farm Bureau Mini Grant. They previously won in 2017 and used the grant to attend the AFBF Convention in 2018. Collegiate Farm Bureau chapters across the nation compete for this grant. The program is designed to aid in chapter recruitment, leadership development, community service, outreach, officer development, purchase of educational materials and/or registration costs for conferences. Since development of the program in 2017, more than thirty mini-grants have been awarded.
Friend of Farm Bureau | Susan Anglin was awarded The Friend of Farm Bureau Award Sept. 17 for her dedication to agriculture in Benton County. Susan has served 25 years as an Agriculture advocate.
UAM is planning to use the grant to develop a Collegiate Farm Bureau recruitment video that can be utilized for membership recruitment, state promotion of Collegiate Farm Bureau, and building mutually beneficial relationships with county Farm Bureau. It will also provide an effective alternative for normal student interactions with county farm Bureau boards that COVID travel restrictions limit in fall 2020. “The UAM Collegiate Farm Bureau greatly appreciates the American Farm Bureau Young Farmers and Ranchers group providing this opportunity. We are constantly seeking ways to build relationships and provide support with our local county farm Bureaus, the Arkansas Farm Bureau state organization, and the entire agricultural community. The 2020 pandemic situation provides unexpected challenges, but also unique opportunities that we definitely want to seize through innovative actions,” said Chase Garner, president of the UAM Collegiate Farm Bureau.
Clay Co. Scholarship | Clay County Farm Bureau President Jeremy Wiedeman (left) recently presented the county’s annual scholarship to Cooper Harris (center). Clay County FB agency manager Cliff Gifford attended the presentation. The scholarship ($500 per semester) is awarded each year to a graduating senior from one of the three Clay County high schools. Cooper is enrolled at Arkansas State University in Jonesboro, majoring in Agriculture Business.
MEAT PROCESSING GRANT
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Farms, Pleasant Plains; Tilton’s Processing, Harrison; and 4-M Butcher Barn, Gilham. Arkansas currently has three USDA-inspected meat processing facilities, enabling product from those facilities to be sold to the general public. Arkansas has more than 50 custom slaughter facilities, though retail products from these processors are not USDA inspected and are ineligible for sale to consumers. The COVID-19 epidemic exposed food supply chain weaknesses. Beef, pork and poultry products were among those food items that were limited in stores for a time. The grant program will enable meat processors to build new facilities or upgrade existing infrastructure to state food safety standards and support the demand for locally produced protein.
Leadership Award | Doug Miller (right), agency manager, was awarded by Benton County Farm Bureau Board of director’s as the first recipient of the Benton County Farm Bureau President’s Leadership Award. Miller has been with Farm Bureau 33 years and has served as agency manager for 10 years.
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MARKET NEWS as of October 7, 2020 Contact Brandy Carroll 501-228-1268 brandy.carroll@arfb.com
Cattle December cattle futures continue to show strength but have not been able to overcome resistance at the August high of $114.02. Cash trade has yet to develop this week, so futures aren’t finding direction from market fundamentals. Feeders have lost ground in recent days. So far, the November contract has found support just below $137. Cattle producers are eligible for the new CFAP 2 program, with payments made on the highest owned inventory of eligible livestock, excluding breeding stock, on a date selected by the producer from April 16 through Aug. 31, multiplied by the payment rate of $55/head. Hogs Hog futures gapped higher on Tuesday on strength from continued gains in the CME cash index. The most active December contract is consolidating after charting a major bearish reversal in mid-September. The good news is that follow-through selling has been limited so far. Key support is at $61.25, and then a chart gap between $60.55 and $59.97. Nearby resistance is around $62.63. A move above that level could signal a retest of resistance at the high of $67.10. Hog producers are eligible for the new CFAP 2 program, with payments made on the highest owned inventory of eligible livestock, excluding breeding stock, on a date selected by the producer from April 16 through Aug. 31, multiplied by the payment rate of $23/head. Contract producers who do not share in the price risk of production are not eligible. 4
Dairy Dairy (cow’s milk) production is covered under CFAP 2 as a price loss commodity. Payments will be based upon actual milk production from April 1–Aug. 31 multiplied by the payment of $1.20 per cwt, and estimated milk production from Sept. 1–Dec. 31 based upon the average daily production from April 1-Aug. 31, multiplied by 122, multiplied by a payment rate of $1.20 per cwt. Rice Rice futures surged to new highs on Monday. Buying interest above that high of $12.76 for November appears to be limited for the time being. Hurricane Delta is approaching the Louisiana coast and is expected to move through the Delta region over the weekend. As of Sunday, the crop was 71% harvested nationwide compared with 5-year average of 78%. Arkansas was at 70% harvested, compared with 5-year average of 86%. Farmers have had decent harvest weather this week, but there is potential for the coming hurricane to damage the crop that remains in the field. Rice was included in the new CFAP 2 program as a flat rate crop after being left out of the first CFAP. Eligible acres of rice will be multiplied by a rate of $15 per acre. Cotton December cotton has rallied in recent days but is still struggling to overcome resistance just below 67 cents. Support is building just above 64.50 cents, and the market is consolidating within that range. Hurricane Delta is expected to make landfall on the Louisiana coast and then move through the Delta region. As of Sunday, only 17% of the crop nationwide had been harvested, compared with 5-year average of 20%. Arkansas is much further behind, with only 13% of cotton acres harvested, compared with a 5-year average of 29%. The possibility for heavy wind and rain on the cotton crop is not good news for farmers, but has given prices a boost. Upland cotton is
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included in CFAP 2 as a price trigger commodity. Payments based on the price trigger will be the greater of: 1) the eligible acres multiplied by a payment rate of $15/acre; or 2) the eligible acres multiplied by a nationwide upland cotton marketing percentage (46%), multiplied by the upland cotton payment rate ($0.08), and then by the producer’s weighted APH yield. Soybeans Soybean futures continue to see strength. Last week’s stocks report showed soybeans in all positions down 42% from the previous year. Planting delays in Brazil are also support. Nationwide, the crop is 38% harvested, well ahead of 5-year average of 28%. Arkansas, however, is 27% harvested compared with a 5-year average of 42%. Hurricane Delta could cause additional delays and crop damage. Soybeans are included in CFAP 2 as a price trigger commodity. Payments based on the price trigger will be the greater of: 1) the eligible acres multiplied by a payment rate of $15/ acre; or 2) the eligible acres multiplied by a nationwide soybean marketing percentage (54%), multiplied by the soybean payment rate ($0.58/bu), and then by the producer’s weighted APH yield. Corn Corn surged to new 7-month highs on Tuesday. Strong export demand, technical strength and further gains in crude oil futures are all supporting the market. The upside could be limited by harvest pressure as traders work to get a better handle on the size of the crop. Corn is included in CFAP 2 as a price trigger commodity. The nationwide corn marketing percentage is 40%, and the payment rate is $0.58/bushel.
EDITOR Ashley Wallace ashley.wallace@arfb.com