Farm BUreau Press for March 22

MARCH 22, 2019 • VOLUME 22 • ISSUE 6

Farm Bureau Press A PEEK INSIDE

STAY IN THE KNOW ArFB’s Dairy Foods Contest will be June 5, but now is the time to plan a local contest to qualify entries in the state cook-off. Deadline for entries in the state cook-off is April 26 so plan your local contest accordingly. For more information, email bruce.tencleve@arfb.com.

Saline County farmer Damon Helton has opened a second version of his popular Olde Crow General Store. The new location on North Main in Benton, which will be called “Crows Station,” is part of an effort to revitalize the downtown area and will create a food “hub” for customers, featuring fresh produce, along with his pasture raised beef, pork and poultry and a variety of food truck offerings. Learn more at http://bit.ly/CrowsStation.

HB 1407 is now law, page 2.

New legislation for 4-H, FFA students, page 2.

State YF&R and Women’s Leadership Committee members attended AFBF’s Fusion conference March 15-19 in Milwaukee, Wisc. Pictured here are Donna Bemis (right) State Women’s Committee Chair, and Magen Allen, Vice Chair.

Rice Reps, page 3.

A PUBLICATION OF THE ARKANSAS FARM BUREAU FEDERATION

GROUNDWATER AWARENESS March 10-16 was National Groundwater Awareness Week, an annual observance to highlight the responsible development, management and use of groundwater. Hear from row-crop farmers Terry and Trent Dabbs of Stuttgart about their effors on water conservation at http://bit.ly/GroundWaterArFB.

the public about how their food originated,” Hillman said.

“And if you’re not trying to deceive the public, this will not affect you or any of the outlets who sell these products.”

Arkansas is the sixth state to pass similar legislation into law, and the only one to include rice.

HB1407 IS NOW LAW A package of food labeled “cauliflower rice” containing no actual rice will, later this year, be considered mislabeled in Arkansas and the manufacturer subject to a fine under state law.

HB1407, a bill led by state Rep. David Hillman, was signed into law March 18 by Gov. Asa Hutchinson, creating Act 501.

The bill was filed about a month ago. Almost half of states have entertained similar legislation that regulates the labeling of some food products, including foods called meat that are derived from plants or lab-grown cells of beef, pork or poultry.

“This law only affects people who want to deceive 2

NEW LEGISLATION FOR 4-H, FFA STUDENTS A recently introduced House bill would give an economic boost to young people in agriculture by allowing 4-H and FFA students aged 21 and younger to keep more of the modest income they earn. Theis would allow students to put the money toward higher education or future agricultural projects.

The Student Agriculture Protection Act of 2019 (H.R. 1770) would create a tax exemption for the first $5,000 of income students earn from projects completed through 4-H or FFA. “The long-term sustainability of agriculture depends on talented young people pursuing careers in farming and ranching, as well as related fields and food-chain professions,” said American Farm Bureau Federation President Zippy Duvall. “Student agricultural projects

A PUBLICATION OF THE ARKANSAS FARM BUREAU FEDERATION

On March 20U.S. Sen. John Boozman (center) participated in a tour in Clinton with The Nature Conservacy to see the Unpaved Roads Program projects that ArFB supports and the stream bank restoration projects. Evan Teague (second from right), Vice President of Commodity and Regulatory Affairs at ArFB, was also on the tour.

encourage interest in fields of study that will provide the next generation of farmers, ranchers, food scientists, agricultural engineers, agronomists, horticulturalists and soil scientists.”

RICE REPS High school juniors are eligible to apply for a new scholarship opportunity and win up to $7,000 toward their college education.

Arkansas Rice’s “Rice Reps” is a five-month program to help educate students about the rice industry while equipping them to act as advocates in their communities and on social media.

From May through September, reps actively participate in a program designed to teach them about rice farming and the importance of this crop at home and abroad. They are also asked to attend four different, on-site experiences during the program, to better understand the reach of rice in Arkansas.

The goal of the Rice Reps program is to encourage interest in rice promotion and to publicize the importance of the Arkansas rice industry to the state’s economy. The program seeks to educate both male and female rising seniors across the state of Arkansas with the tools and knowledge to advocate for the Arkansas rice industry. This includes the benefits and economic impact rice provides its native Arkansans and millions around the world. Participants will also receive an inside look on the production of rice during the growing season.

During the program, Rice Reps will not only attend premier industry experiences, but also seek other opportunities to learn and expand their knowledge individually. At the conclusion of the program, Rice Reps are able to submit a scholarship application showcasing their advocacy activities. Scholarship winners will be awarded and recognized at a final reception during Rice Month in September.

Interested students should apply before April 1, at https://www.arkansasrice.org/rice-reps.

Cleveland Co. FB honored Terry Sipes (center) March 19 for his upcoming retirement. Terry is the Agency Manager in Cleveland County and has worked for Farm Bureau for 40 years. Terry is pictured here with his wife Jennifer (right center) and the Cleveland Co. FB board.

A PUBLICATION OF THE ARKANSAS FARM BUREAU FEDERATION

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MARKET NEWS as of March 21, 2019 Contact Brandy Carroll 501-228-1268 brandy.carroll@arfb.com

Feeding the Economy Study American Farm Bureau Federation released the recent Feeding the Economy study, cosponsored with other agriculture organizations, to measure the direct and indirect impact of U.S. food and agricultural industries on various economic factors in each state.

The study found that, in Arkansas, there are 239,000 direct agricultureand food-related jobs, which include commodity production, farming, manufacturing, wholesale and retail.

That means 18 percent of all jobs in Arkansas are direct agriculture and food-related jobs, and that 8 percent of the entire population of the state of Arkansas works in a direct agriculture or food-related job.

Across the U.S., there are 22.8 million jobs, representing approximately 15 percent of all U.S. employment, and total wages of $729 billion, and generating an economic output of $2.1 trillion.

To see the entire article, visit http://bit.ly/FeedingEconomy.

Market Information Rice futures have rallied in recent days, with May managing to close above resistance at the key $11 level. The next upside objective is found on the weekly continuation chart at $11.11. The weekly export report gave the market a boost, coming in at a net 94,300 metric 4

tons. That’s especially positive after last week’s report that showed net cancellations of 18,200 metric tons.

Weather has resulted in the midsouth crop getting off to a late start.

NOAA released their long-range weather outlook, and much of the central and southern U.S., including the Mississippi Delta, remains under threat of flooding through May. Cotton futures are trending solidly higher after funding support at the January low of 72.2 cents. On Thursday, December broke through resistance at 75 cents, which could signal further gains are possible.

Support came in the form of the NOAA 30-90-day weather forecast, which showed the Mississippi Delta and much of the southern U.S., representing about 25 percent of the U.S. cotton crop, is under threat of flooding through May. West Texas accounts for about 40 percent of all cotton grown in the U.S. each year, and they have received muchneeded moisture recently. Cotton export sales were lackluster this week at 125,000 bales for 2018-19 delivery and 32,800 for 2019-20.

This market will need a signed trade agreement between the U.S. and China in order to see long-term upside potential. There is currently no meeting planned between President Trump and President Xi Jinping, and this week, President Trump said tariffs could continue until the U.S. is satisfied China is complying with the agreement.

Add corn futures to the list of commodities that got a boost from the NOAA long-range weather outlook. The threat of flooding throughout many central and southern states could significantly reduce the number of corn acres planted. Futures reacted accordingly, posting sharp gains. May was unable to move above resistance at $3.77, while December was capped at

A PUBLICATION OF THE ARKANSAS FARM BUREAU FEDERATION

resistance at the $4 level. Weekly export sales didn’t provide much support, coming in at 855,900 metric tons for 2018-19.

Soybean futures, on the other hand, had a more tempered reaction to the NOAA forecast. Flooding in the spring could result in acres moving out of rice, cotton, and, most importantly, corn; and moving into soybeans. With current production projections, soybeans are already looking at increasing ending stocks from 438 million bushels in 2017-18 to 900 million bushels in 2018-19.

Increased acres will likely make the balance sheet look even worse. July futures are building on support just above $9, while November has support at $9.23 1/4. It is unlikely that the U.S. and China will sign a trade agreement before late April at best, and with the U.S. waiting until it is satisfied China is complying with the agreement before lifting sanctions, it may be months yet before exports start moving.

Hog futures have charted an impressive rally over the past two weeks, exploding upward to set new contract highs by a large margin. The market is being driven by African swine fever in China and ideas that it will have positive impacts on U.S. pork exports.

Cattle futures are seeing carryover support from hog futures, with the April contract challenging resistance at the contract high of $130.45. Flooding in the mid-west has impacted marketings and bids are higher as packers are enjoying solid margins.

EDITOR Maddison Stewart Stone maddison.stone@arfb.com

FARMERS’ DAY AT THE ARKANSAS STATE CAPITOL More than 100 Arkansas farmers and ranchers visited the Arkansas State Capitol March 12 to share their concerns with legislators and to attend the signing of proclamations declaring March 10-16 as Arkansas Agriculture Week and March 12 as Farmers’ Day. See coverage from the day at http://bit.ly/FarmersDay19.

Pictured left to right: Gov. Asa Hutchinson, ArFB President Randy Veach and Secretary of Agriculture Wes Ward.

ArFB Vice President Rich Hillman (left) with Gov. Asa Hutchinson.

Sen. Bruce Maloch with President Veach and state board member Gene Pharr.

Gov. Hutchinson

MORE FROM FARMERS’ DAY Rep. Deann Vaught (center) with President Veach (right) and Vice President Hillman.

Cross County Farm Bureau.

President Randy Veach

Bob Staton of Yell County.

Mason Sickle (right) of Prairie County and his daughter Maci Grace with Sen. Jonathan Dismang.

State board member Jon Carroll of Monroe County.