Spring AGRICULTURE Salute
The Herald â– YO U R C O M M U N I T Y N E W S PA P E R S I N C E 1 8 9 5 DUBOISCOUNTYHERALD.COM
DUBOIS COUNTY, INDIANA
FRIDAY, FEBRUARY 28, 2020 SECTION B
PAGE 2 ■ SPRING AGRICULTURE SALUTE
THE HERALD ■ FRIDAY, FEBRUARY 28, 2020
Farmer of the Year believes in doing things right By PATTI SCHROEDER Program Assistant Dubois County SWCD The Dubois County Soil and Water Conservation District presents an annual award to a Dubois County farmer who uses good soil and water conservation practices on their farm and puts extra effort into conserving natural resources. During the SWCD’s 74th annual meeting at St. Anthony Community Center on Feb. 4, Nick Stevens, Old National Bank; Alex Hohl, direct sales manager for Beck’s Hybrids; and Brenda Sermersheim, German American Bank, presented the 2020 Otto J. Bauer Outstanding Conservation Farmer of the Year to Brad and Andrea Welp with Welp’s Grain and Livestock. A lifelong farmer, Welp began farming with his father. He now owns 190 croppable acres and rents additional acreage. Along with his father, an uncle, and his wife, Andrea, he farms full time raising corn, soybeans, turkeys, cattle and hogs.
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Brad Welp, left, and Andrea Welp, award winners; Alex Hohl, direct sales manager for Beck’s Hybrids; Nick Stevens, Old National Bank; and Brenda Sermersheim, German American Bank. Welp a thoughtful management style. He believes it is “most feasible, practical, and saves money
when things are done properly.” His goal is to keep everything in working order and maintaining it
Klem honored at annual meeting By PATTI SCHROEDER Program Assistant Dubois County SWCD During the 74th Dubois County Soil and Water Conservation District’s annual meeting on Feb. 4 at St. Anthony Community Center, Charmian Klem was presented with the 2020 Friend of Conservation Award. Klem grew up on a farm near St. Henry. At age 12, her father switched to intensive grazing practices and organic farming. Because of these changes to her father’s farm, she feels that “conservation practices are in her blood.” She believes the health of the food we eat is directly associated to the health of the soil. She also believes that when people immigrated to the United States, the soil was found to be much better than the lands they had just left. “Some soils are more valuable because of the life that is in it,” she said. She believes that others should set goals of having fertile soils by using methods to improve and maintain the quality of the soil. She also believes that it is so worth it to educate yourself and go beyond traditions and conventions. She and her three children organize time for their own home invasive species clean-up and have a no-till garden using old straw as mulch. Klem and her family have participated in the Family Nature Fest, the Creek Sweep, Patoka Lake Water Plant Tour and Patoka Lake Dam Tour. She continues to support her dad’s farming operation by doing his record keeping once a week. She is in her second term as a Dubois County Council member and is a liaison for the Dubois County SWCD. Through her many years of effort with the County Wage Study, all county employees now receive appropriate compensation for their dedicated service to the residents of the county. She is a busy mother and a self-employed Independent Beauty Consultant with Mary Kay Cosmetics. She is also a small group leader for a Wednesday night Bible study group at Redemption Christian Church. Because Dubois County has many champions of conservation,
in good shape in order to pass it on to his children, Benton, 3 1/2, and Brogan, 1.
In the past, Welp has participated in several NRCS EQIP programs. He has installed WASCOBS, underground outlets and grassed waterways; used cover crops and no-tilling practices; and implemented nutrient, pest, and manure management. He believes the cover crops on his property have reduced soil erosion, built soil structure and help improve water quality. On his own, he has built several dry dams, installed tiling and removed an old barn to improve the croppable acres. In September, Welp hosted the 2019 Dubois County SWCD Soil Judging Contest. Welp recognizes one of the best reasons for being a farmer is the freedom to set your own daily schedule. Another reason is the feeling of satisfaction reaping the benefits of your own labor. The Otto J. Bauer Outstanding Conservation Farmer of the Year award is named in memory of Otto J. Bauer, who was a champion of soil and water conservation efforts in Dubois County and a member of the SWCD Board of Supervisors from 1969 to 1986.
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THE HERALD ■ FRIDAY, FEBRUARY 28, 2020
SPRING AGRICULTURE SALUTE ■ PAGE 3
Farm stress present; ways to cope needed By KEN ECK Purdue Extension-Dubois County Educator BRETZVILLE — Agriculture offers local farmers and their families unique opportunities such as having the chance to work outdoors, having self-employment, and having the ability to raise animals and crops to feed the world. Key characteristics of these same opportunities, however, can also take a toll on farmers’ health as stress develops from unavoidable aspects of the enterprise. Farming is an inherently risky business subject to many uncontrollable factors. With poor weath-
er last spring intensifying strains felt from consecutive years of record low grain prices plus fluctuating foreign tariffs straining crop markets, farmers are feeling the stress more intensely than in previous years. Symptoms of farm-related stress can vary from person to person, but usually fall into several common areas. Some emotional warning signs of stress include increased irritability over small issues, impatience, frustration, depression, angry blowups, difficulty controlling emotions, withdrawing from others, and feeling negative about oneself. In extreme cases stress can lead to loss of life due to self-harm.
The U.S. Center for Disease Control compiled 2012 suicide statistics for 17 states (Indiana was not among them), and found that almost 85 of every 100,000 farmers committed suicide in 2012. By comparison, of every 100,000 construction workers about 53 committed suicide, the second-highest rate. The same year military veterans’ suicide rates were 38 of every 100,000, according to CDC data found in a separate report. Compounding the problem for agriculture is the fact that rural medical resources aren’t necessarily keeping up. A recent poll from the American Farm Bureau Federation shows that 46% of
farmers and farmworkers said it’s difficult to access a therapist or counselor in their rural communities To assist with the issue of farm stress and good mental health, Purdue Extension and their community partners are reaching out to producers through two workshops. Each workshop will provide the tools to handle stress so that county farmers, their families, and our local communities can better cultivate a productive mindset in the face of stress common to rural areas. The first workshop will take place at the Dubois Community Park at Jasper-Dubois Road and Hwy 545, Dubois, from 5 to 7 p.m.
ET Monday, March 16. The second workshop will take place from 7 to 9 p.m. March 16 at the Dubois County 4-H Fairgrounds Clover Pavilion, 4157 S. State Road 162, Huntingburg. Each session will instruct attendees on ways to identify stress, to learn what can trigger stress, and to know helpful techniques for responding to stress. There is no charge to attend, and a meal is included with each workshop. Reservations for materials and meals are due for either of the locations by Tuesday, March 10, to the Purdue Extension office by calling 812-482-1782 or emailing duboisces@purdue.edu.
Poor forage quality spurs malnutrition concerns By BRIAN WALLHEIMER Purdue University WEST LAFAYETTE — A Purdue University Extension specialist is warning livestock owners that forage they harvested earlier this year likely has lower-than-usual nutritional quality. Without proper supplements, there could be serious consequences for their animals. “This is a very unusual year, and the quality is extremely low for this late-harvested forage,” said Keith Johnson, Purdue Extension forage specialist. “We have less energy and protein with a more mature crop. There’s a crisis potentially brewing if people don’t pay attention to quality.” Nutrition issues will be significant with cool-season grasses such as tall fescue, orchardgrass, smooth bromegrass, timothy and perennial ryegrass, as well as legumes such as alfalfa or red clover. Growers usually harvest these forages for the first time in mid- or late-May, but 2019’s particularly wet spring kept them from the fields until late June to early July. As forage crops mature, they increase fiber and lignin content, making them less digestible. Less digestible forage crops result in reduced nutrient supply to the animal. Dry matter intake potential is also compromised with high fiber content. Improper nutrition can lead to weight loss, weakness, poor lactation, poor conception or a lengthened birthing period. Proper nutrition is important for any animal, but it is especially critical during late gestation and lactation. A laboratory analysis of tall fescue harvested in late June verified significantly high fiber content. A cow, ewe, or doe in early lactation cannot consume enough of the tested hay to meet her needs because rate of passage through the digestive tract is slowed by the high fiber content. If not supplemented with other feedstuffs higher in energy and protein, these livestock will be starved of nutrients. Johnson said it’s important for livestock producers to have their forage professionally tested, and then use the results to work with a trained nutritionists to develop a nutrition plan. Nutritionists may recommend adding soybean hulls, soybean meal, corn, distillers grains, corn gluten feed or other supplements to raise nutritional quality. “It’s critical that you work with certified laboratories and trained nutritionists who have the expertise to really dial in the proper nu-
Forage Testing Association’s website should be reviewed for proper sampling methods before sending anything to a lab. Many county Purdue Extension offices have a hay probe to loan for sampling hay. Ron Lemenager, Purdue Extension beef specialist, and Nick Minton, Purdue Extension beef systems specialist, can discuss di-
etary requirements for beef cattle. Sheep and goat requirements can be provided by Mike Neary, Purdue Extension small ruminant specialist. Feed resource companies may also be able to help, too. Johnson stressed that advice should come from someone trained in developing costeffective rations that meet animal needs.
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PAGE 4 ■ SPRING AGRICULTURE SALUTE
THE HERALD ■ FRIDAY, FEBRUARY 28, 2020
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Jerry Raynor, state conservationist, left; Emily Finch, CWI invasive species specialist; Judi Brown, Dubois County SWCD director; Brenda Sermersheim, Dubois County SWCD board chair; Melissa Ruschau, Dubois County SWCD project technician; Patti Schroeder, Dubois County SWCD program assistant; and Justin Bary, Dubois County SWCD resource specialist.
SWCD receives awards at annual conference By JUDI BROWN SWCD Director The Dubois County Soil and Water Conservation District (SWCD) received two awards at the SWCD Annual Conference in Indianapolis. Brenda Sermersheim, chair of the SWCD, was named 2019 Supervisor of the Year and the SWCD was awarded the NRCS State Earth Team Volunteer Award. The Indiana Association of Soil and Water Conservation Districts presents the Supervisor of the Year award to honor exemplary Soil and Water Conservation District leaders (supervisors) for service and leadership in the protection and enhancement of Indiana’s soil and water resources. There are five supervisors in each of the 92 Soil and Water Conservation Districts in Indiana. Sermersheim has served as a supervisor since 2008, the first and only woman to do so in Dubois County. She has been chair for the SWCD since 2012. Sermersheim is vice president of agriculture and commercial banking for German American Bank. As an advocate for the SWCD, Sermersheim guides the supervisors to implement policy and set the goals for the SWCD staff. The SWCD works with landowners in the county to coordinate assistance from many sources and find solutions to conserve land, water, forests, wildlife and related natural resources. As the SWCD staff works to achieve the goals set by the su-
pervisors, they receive assistance from many volunteers for projects that include the VUJC Land Stewardship Initiative, the Dubois County Invasive Species Awareness Coalition and the Four Rivers Forestry Committee. The Dubois County Soil and Water Conservation District was presented the Indiana State Earth Team Volunteer of the Year award for the use of volunteers to achieve the mission of the SWCD. This award is presented to an individual volunteer or group that has gone above and beyond in helping USDA Natural Resources Conservation Service (NRCS) reach their goal of “helping people help the land.” The Earth Team Volunteer Program was established in 1981 when Congress passed legislation allowing the NRCS to use volunteers in all its programs. This honor was awarded to Dubois County SWCD for its commitment to assisting the Jasper Service Center with innovative forestry, invasive species and cropland projects throughout the county. In 2019, Dubois County SWCD logged 575 hours, saving NRCS more than $14,600. One of the major projects of the SWCD is its partnership with Vincennes University Jasper, called the VUJC Land Stewardship Ini-
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tiative (LSI). Innovative farming practices are used on the crop land, and tours and open houses are offered to share the accomplishments with the public. The LSI project has been championed by Alan Smock since 2012. Smock is a former SWCD supervisor and volunteers many hours annually for the project. Smock works with a steering committee and agriculture committee to keep the project moving forward. Both Smock and various committee members donated time toward the project. Another of the groups that supports the SWCD’s goals is the Four Rivers Forestry Committee. The Forestry Committee is made up of forest owners, government employees, forestry and wildlife management professionals and consultant foresters, all working together to improve the county’s forest re-
source. SWCD Director Judi Brown coordinates the activities of the Forestry Committee, which in 2019 included a Landowner Chainsaw Training Course, Family Nature Fest, Breakfast with a Forester and a display at the Patoka River Refuge Appreciation Day. A third group supported by the SWCD that greatly benefits Dubois County is the Invasive Species Awareness Coalition (ISAC). ISAC is largely comprised of volunteers working together with SWCD, Purdue Extension and Dubois County staff to educate about the threat of invasive species in Dubois County. In 2018, the SWCD received funding through a Clean Water Indiana grant to hire Emily Finch, an invasive species specialist. Finch and ISAC also have had a very successful program year,
which includes displays at the Jasper Home Expo, Memorial Hospital and Health Care Center’s Earth Day Fair, the Dubois County 4-H Fair and the Ferdinand Folk Fest. In addition to this outreach, ISAC hosted a spring presentation — Planting Native to Attract Birds. Another 2019 event was a training session for Dubois County park employees to teach them to identify invasive plants and proper methods to eradicate the plants. ISAC worked with Purdue Extension Forester Ron Rathfon to host a two-day invasive species training for landowners, and ISAC members also volunteered at Ron Rathfon’s two-day tree identification course. Working together, the SWCD supervisors, staff and volunteers have made the SWCD an award winning organization.
THE HERALD ■ FRIDAY, FEBRUARY 28, 2020
SPRING AGRICULTURE SALUTE ■ PAGE 5
Land Stewardship Initiative experiences growth By MELISSA RUSCHAU SWCD Program Technician 2019 was a year of growth in new directions for the Land Stewardship Initiative — a 50acre farm on the campus of Vincennes University Jasper. Like all farmers in general, this was a stressful year for farming. The heavy spring rains prevented planting in the fields until May 25 and continued rain made additional fieldwork difficult to plan and implement. In April, two French drains (a gravel-filled trench directing water to an underground perforated tile) and three lines of tile were added to Field 5 to help with drainage. Also, a French drain was added into an existing tile line in Field 7 and began functioning properly almost immediately, eliminating cuts in the field caused by rainfall. For the first time in the history of the project, the team experimented with planting green in one field. This means that the cover crops were still alive and growing at the time of planting. In fact, the standing Cereal Rye was 54 inches tall. The planter had no problems driving through the vegetation and placing seed down at the proper depth. After planting, the cover crops were flattened down using a roller crimper. This created a mat of biomass over an inch thick to help retain moisture in the soil, prevent erosion and reduce weed pressure. The abundance of rain in the spring caused corn county wide to appear lime green in color and LSI was no exception. Low-lying areas of the fields and natural seeps decreased or eliminated patches of corn. An aerial application of fungicide was flown on with a helicopter in August. The 11 species of cover crops in Field 6 all grew throughout the summer and fall. Each species added its own color of bloom to mix. The deep roots of several of the species should create good channels for this year’s crop growth. The decaying plant matter will add to the Soil Organic Matter and the nitrogen fixed by clovers and beans (legumes) will be available to the 2020 cash crop. Despite the delay in planting, harvest still occurred in early October, making 2019 the second highest average yield over all fields combined since the project began. Field 7, which was planted green, had an average of 10 bushel an acre higher than the other fields. This is a positive success for planting into growing cover crops
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The Land Stewardship Initiative is a a partnership with Vincennes University Jasper and is an important education tool for the Dubois County Soil and Water Conservation District. which requires slightly different management techniques. Gaps exist in the harvest data and weeds such as cocklebur and morning glory created challenges in small areas in the fields. Overall, it should be noted that the harvest was better than anticipated given the challenges of 2019. In addition, outreach involvement was strengthened with new audiences. In May, more than 100 students from Fifth Street Elementary School in Jasper visited VUJ for a science field trip day. The Land Stewardship Initiative introduced the students to the concepts of soil health with the Slake Test. They also learned about soil horizons using a soil probe to compare forest soils to grassed lawn soils. In October, freshmen from all four Dubois County high schools went on a Tour of Opportunities day. The students explored and toured local businesses, learned about career opportunities in various fields and had hands-on experiences. Fifty-five students chose
the agriculture career track and toured VUJ learning about different career opportunities within the agriculture field. The annual fall workshop for local farmers included a tour of the property with Travis Gogel, with NRCS, to discover the attributes of the summer cover crops growing in Field 6. Rob Bruner, with Purdue Extension, spoke about how the climate and dramatic weather events are changing and will continue to influence the way farmers farm. He then demonstrated how to use drones to spot issues in fields such as weeds or nutrient deficiencies. Dr. Shalamar Armstrong, a professor at Purdue University, West Lafayette, shared his research on how the adoption of cover crop can reduce nutrient loss on a watershed level. If you would like to learn more
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PAGE 6 ■ SPRING AGRICULTURE SALUTE
THE HERALD ■ FRIDAY, FEBRUARY 28, 2020
Sermersheim receives Supervisor of the Year Award By JUDI BROWN SWCD Director Brenda Sermersheim, chair of the Dubois County Soil and Water Conservation District (SWCD), was named 2019 Supervisor of the Year. She received the award at the Indiana SWCD Annual Conference award banquet at the Indianapolis Marriot Downtown on Jan. 14. The Indiana Association of Soil and Water Conservation Districts presents the award to honor exemplary Soil and Water Conservation District leaders (supervisors) for service and leadership in the protection and enhancement of Indiana’s soil and water resources. Indiana Prairie Farmer Magazine sponsors the award and Tom Beckman, editor, made the presentation. There are five supervisors in each of the 92 Soil and Water Conservation Districts in Indiana. Sermersheim has served as a supervisor since 2008, the first and only woman to do so in Dubois County. She has been chair for the SWCD since 2012. Sermersheim is vice president of agriculture and commercial banking for German American Bank. As an advocate for the SWCD, Sermersheim guides the supervisors to implement policy and set the goals for the SWCD staff. The SWCD works with landowners in the county to coordinate as-
sistance from many sources and find solutions to conserve land, water, forests, wildlife and related natural resources. She has been instrumental in working with the Dubois County officials and increasing the Dubois County staff to eight members and, under her leadership, the part-time technical and clerical support positions were upgraded by the county to full time to better serve the area. Sermersheim was raised on a family farm in Perry County and resides in rural St. Anthony with her husband, Roger Sermersheim. His family adopted conservation practices, including no-till, at least 40 years ago. Both farms are good examples of sound conservation practices, including grassed waterways, water and sediment control basins and 100% no-till farming practices. When learning of Sermersheim’s selection for this award, Roger Sermersheim said, “Brenda does nothing half way. If she is involved in something, she gives 100% effort.” Sermersheim serves on the Purdue Extension-Dubois County Agricultural and Natural Resources Advisory Committee and the Dubois County High School Agricultural Advisory Board, serving the four high school agricultural programs. She is a member of the St. Anthony 800 Club and St. Anthony Catholic Church. Sermersheim is a former member
Brenda Sermersheim, chair of the Dubois County Soil and Water Conservation District, and Tom Beckman, editor of Indiana Prairie Farmer Magazine. COURTESY PHOTO
and president of the Kiwanis Club of Holland, former treasurer for the Dubois County 4-H Council
and formerly served on the selection committee for Dubois County Habitat for Humanity. Sermer-
sheim was recognized twice as a Dubois County Athena Leadership Award finalist.
Farmers unsure of farm bill program options By KEN ECK Purdue Extension-Dubois County Educator The latest Purdue Center for Commercial Agriculture Ag Economic Barometer finds that the majority of Indiana farmers don’t know which U.S. Farm Bill crop safety net program they will commit to. Local producers have until March 16 to sign up for either the 2018 USDA’s Price Loss Coverage program or the Ag Risk Coverage program. Producers were surveyed by Purdue University’s Jim Mintert on how they plan to enroll for the 2019 and 2020 cropping season. “Almost six out of 10 respondents said that they were uncertain as to what they were going to do, so that was probably the biggest take away because time is running short to get those appointments made and get into your FSA office and get signed up for the program,” Mintert states. Mintert feels that for those already enrolled, their selection has usually moved away from their 2014 Farm Bill program choices. “Under the 2014 Farm Bill, the vast majority of people chose the ARC-County program,” he says.
“This time around there’s more interest in the PLC program — 23% of the respondents said they plan to sign up for PLC.” Current decisions for corn, soybeans, and other crops are not as straight forward as during the previous 2014 Farm Bill program enrollments, adds Mintert. “Our analysis would suggest a lot of people are probably going to want to look at the PLC program for corn, but probably look at the ARC-County program for soybeans,” he states. “The fact that you might want to choose different programs depending on the commodity complicates things. In addition, the ARC-Individual program will look attractive to farmers who had prevented planting acres.” Producers still wanting additional information for selecting their USDA farm programs can get additional information at the Purdue Center for Commercial Ag at: https://ag.purdue. edu/commercialag/home/farmbill-2020-resources/ , at the University of Illinois’ 2018 Farm Bill “What If ” Tool at: https:// ag.purdue.edu/commercialag/ home/resource/2020/01/2018farm-bill-what-if-tool/, or though their local USDA Farm Service Agency office.
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THE HERALD ■ FRIDAY, FEBRUARY 28, 2020
SPRING AGRICULTURE SALUTE ■ PAGE 7
Farmland: Is this end of downward trend? By LARRY DEBOER Purdue University Just after the new year Indiana’s Department of Local Government Finance announced the new base rate for farmland assessment. It was $1,280 per acre. The base rate is the starting point for setting the taxable value of farmland for the property tax, to be used for tax bills next year. The number was down considerably, from $1,560 for taxes this year. That should make for a sizable drop in property tax bills for farmland owners in 2021. It’s the fifth straight year that the base rate has dropped. It was $2,050 for taxes in 2016. That’s a 38% decline in five years. But this rate probably marks the end of the downward trend. The base rate is likely to stabilize in the neighborhood of $1,300 during the next few years. Here’s why. That $2,050 base rate in 2016 was the peak of a long upward trend. The base rate was $880 per acre for taxes in 2007 and 2008. Then the DLGF began trending,
Farm recovery helps Deere By LAURA YIN WP News Service Machinery giant Deere & Co. delivered an unexpected increase in earnings and maintained its annual outlook as early signs of stabilization in the U.S. farm sector offset a slowdown in construction. Shares jumped. “Farmer confidence, though still subdued, has improved due in part to hopes for a relaxation of trade tensions and higher agricultural exports,” Chief Executive Officer John May said in a statement accompanying its fiscal first quarter results. While the CEO didn’t mention the coronavirus in the statement, his comments may help ease concerns about how much the outbreak will delay China’s return to U.S. agricultural markets as laid out in the phase one trade deal. The tit-for-tat tariff spat with China made American farmers cautious on replacing large equipment, Deere’s top moneymaker. Shares, down 4.3% this year, rose as much as 10% before the start of regular trading Friday. Investors will be looking for more detail on the company’s prospects for this year in light of coronavirus on a conference call scheduled for 10 a.m. in New York. Deere maintained its fiscal 2020 guidance, forecasting a range of $2.7 billion to $3.1 billion. That compares with the $2.9 billion average analyst estimate. The company’s cautiously optimistic view on agriculture was supported by government crop projections released Friday. The U.S. Department of Agriculture expects American soybean stockpiles to sink to pre-trade war levels as China comes back into the market. Still, fundamentals for American farming remain challenged with increasing competition from South America and the Black Sea region compounded by a strong dollar. Two of Deere’s peers issued disappointing 2020 outlooks. A survey released Thursday indicated that more than half of U.S. farmers said they planned to spend less on capital equipment this year.
which means adjusting property assessments for changes in property values, year after year. Farmland assessments are based on a formula which takes account of commodity prices, rents, yields, costs and interest rates. As trending began, corn and bean prices went up and interest rates went down. Since prices are in the numerator of the formula, and interest rates are in the denominator, both changes caused increases in the base rate. The base rate rose 133% from 2007 to 2016. Agricultural property taxes increased by about 68% during that period, at a time when total property taxes declined as a result of tax reforms and the new constitutional tax caps. Of course, actual farmland selling prices were rising, and farm income was high during most of those years. The property tax is a tax on the value of property, after all, and property is valuable in part because of the income it generates. Taxes were up, but farm incomes were up too. According to the U.S. Department
of Agriculture, net farm income nationwide increased 116% from 2006 to 2013. But there was a quirk in the base rate formula—a four-year lag between the latest data used in the calculation and the year taxes were collected. Commodity prices dropped in 2014, farm incomes were cut in half, but the base rate kept rising. It was expected to rise to about $3,000 per acre for taxes in 2018. So the General Assembly froze the base rate in 2015 and 2016, then revised the formula. It reduced the four-year lag to two years (the shortest lag that the data allow), and limited the effect of low interest rates. The base rate stopped rising, and began to fall. The base rate calculation uses the most recent six years of data, dropping the highest valued year and averaging the remaining five. Each year the latest available data on prices, rents, costs, yields and interest rates are added to the calculation, and the oldest year’s numbers are dropped. Since 2016, that means old years
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with high corn and bean prices were dropped, and years with lower prices were added. Drop a high value and add a low value, and the resulting average will decrease. The base rate has trended downward. The base rate for taxes this year uses data from 2013 through 2018. The just-announced base rate for taxes next year drops the numbers from 2013, and adds the numbers for 2019. For 2021, the oldest prices in the calculation are from 2014. In addition, the 2014 value is the highest of six, so it’s not included in the average. Prices fell in 2014. They were
low in 2015. For the first time, all the data in the formula are from low price years. Unless commodity prices rise, the base rate should remain near $1,300 per acre. The years of data we drop and the years we add will have similar low prices for corn and beans. Of course, variations in yields, rents, costs and interest rates will cause variations in the base rate. But those changes are just as likely to be increases as decreases, and they should be comparatively small. Most likely, the downward trend in farmland assessments is over.
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PAGE 8 ■ SPRING AGRICULTURE SALUTE
THE HERALD ■ FRIDAY, FEBRUARY 28, 2020
‘Post-chemical world’ takes shape By LYDIA MULVANY and SUSAN DECKER WP News Service Agribusiness is increasingly turning to natural and sustainable alternatives to chemicals as consumers rebuff genetically modified foods and concerns grow over Big Ag’s role in climate change. At the heart of the trend are innovations that harness beneficial microorganisms in the soil, including seed-coatings of naturally occurring bacteria and fungi that can do the same work as traditional chemicals, from warding off pests to helping plants flourish, according to a global patent study by research firm GreyB Services. “Both entrepreneurs and investors are saying, ‘Hey, the writing is on the wall, we’re entering a post-chemical world,’” said Rob LeClerc, chief executive officer of AgFunder, an online venture-capital platform. “The seed companies who have billions in market cap are like ‘We need to do something,’ and everyone recognizes the opportunity.” Much of the handwringing over farm chemicals stems from the recent fate of glyphosate, the most ubiquitous weedkiller ever. Regulators around the world are tightening up rules around using the chemical, including Europe and Mexico. Meanwhile, thousands of lawsuits that could result in billions of dollars in penalties are pending against Bayer AG over whether its glyphosate-containing product, Roundup, caused cancer. Bayer insists it’s safe, and some government agencies such as the U.S. Environmental Protection Agency say it isn’t likely to cause cancer in humans. The global fertilizer and pesticide market is around $240 billion, and grows 2% to 3% a year, according to Ben Belldegrun, a managing partner at Pontifax AgTech, a company that invests in food and agriculture technology. While so-called biologicals including biofertilizers, biopesticides and biostimulants are just 2% of that market, those have been growing closer to 15% a year for the past five years, Belldegrun said. Pressure for less chemical-intensive farming methods is coming from retailers like Walmart, non-governmental organizations and consumers, who are throwing more dollars toward organic and other niche foods with environmental or animal welfare claims. As population increases worldwide, the demand for agricultural products is projected to grow 15% over the next decade with no change in the amount of land available for farming, according to a joint report by the Organization for Economic Cooperation and Development and the United
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Nations’ Food and Agriculture Organization. “There’s a growing world population and how are we going to feed all of these people?” asked Craig Forney, assistant director for licensing and business development at Iowa State University in Ames, Iowa. “At the same time, we want to protect the environment. We need to use land better and use the resources better.” Patents give owners the exclusive right to an invention, and can indicate both where research funding is being spent and where companies or universities expect to generate revenue in the future. Companies like BASF, Bayer and Syngenta have patents on products using naturally-occurring microbes to help crops flourish even when there is low water availability, according to GreyB’s analysis. The microbes can act as catalysts to encourage growth. Biological-based fungicides and insecticides can also help reduce crop damage from insects, slugs and fungi.
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