ILLINOIS WILL HAVE a new budget this week, Gov. Pat Quinn believes. But the state will have to borrow money to make its pension payments. ...........................................3
A N I N D I A NA W E B S I T E known as Driftwatch allows farmers and others to register approximate locations of sensitive crops to avoid drift damage. ..........................3
EK PETROLEUM, a Moultrie County business, has retooled an abandoned service station at Sullivan with Illinois’ first “blender pumps.” ............................................4
Monday, May 24, 2010
Two sections Volume 38, No. 21
State policymakers: Climate regs cost consumers BY MARTIN ROSS FarmWeek
Policymakers from across the U.S. argue federal greenhouse regulations would hinder energy development and leave low-income Americans paying a heavy toll. Minnesota state Sen. Mike Jungbauer warned FarmWeek his Upper Midwest state is “becoming an island unto itself,” where attempts to address greenhouse gas (GHG) and other environmental issues have generated a poor business/tax climate and increased consumer costs. Piled atop state climate controls, mercury regulations, and “a ton of (other) environmental mandates” targeting utilities and manufacturers, Minnesota
faces added economic costs from regional climate partnerships and, now, revised U.S. Senate climate proposals, Jungbauer related during a Chicago global climate conference last week. He pegs the annual public cost of Minnesota’s state greenhouse reduction plan (which, like the Senate measure, shoots for an 80 percent GHG reduction over the next 40 years) at $16 billion by 2050. Jungbauer suggested federal policy would be preferable to a patchwork of state laws, “if you believe a policy should be put into place, which I don’t.” Federal GHG emissions caps and credit trading would be subject to “political pander-
ing” and “create winners and losers” in the U.S. energy economy, penalizing Illinois and other states reliant on coal and other fossil energy sources, he said. North Dakota officials have threatened to sue over the constitutionality of Minnesota regulations that impose carbon fees on electricity from out-ofstate fossil fuel-powered plants. Some 800,000 Minnesotans receive power from North Dakota. Even a state renewable electricity standard, requiring 25 percent of energy generation from wind, solar, and other sources by 2025, boosted average power rates by 9.8 percent over an initial 34-month period, Jungbauer said. He said
emissions mandates would “hurt the lowest (economic) level of society.” “Businesses understand the basics: If you don’t have cheap energy and you have high taxes, that’s a pass-through to the consumer,” he related. “Our environmental initiatives have caused (state) permitting processes to triple over most other states’. An ironsmelting company wanted to go in in northern Minnesota. It would have taken three years to get a permit in Minnesota; it took 90 days in Indiana. The company’s in Indiana.” According to Jungbauer, the U.S. Senate’s “American Power Act” would impact costs for at least 7,500 manufacturers and power plants, place “tariffs”
similar to Minnesota’s carbon fees on goods from GHG “polluting” countries, and set new low-carbon fuel standards reflecting controversial California efforts. Arizona state Sen. Pam Gorman, who has retired to run for Congress, fought regulatory proposals in her state as well as a former governor’s push to join a regional climate compact. New climate regulation “would go further to centralize power at the helm of the federal government,” she maintained. Gorman argues U.S. energy development and distribution “cannot be left to the pundits,” emphasizing “every See Climate, page 4
U of I Extension unveils multi-county partner structure Office locations are next phase BY KAY SHIPMAN FarmWeek
Periodicals: Time Valued
The local face of University of Illinois Extension will be represented by 26 multi-county groups and a single county office in Cook County. Those new groups next must determine the locations
of a main office and local prised of seven counties in Factors considered in the satellite offices, Bob Hoeft, Southeastern Illinois. mergers included partner ageninterim Extension cies, geographic director, told resources, and the potenFarmWeek. tial for Extension clients “We need to reduce to work together, accordrent costs. It (a satellite ing to Hoeft. office) will be a pretty In addition to deterconservative office,” mining the office locaHoeft said. tions within the multiLast week Extencounty groups, local sion released the reorExtension councils also ganized county strucwill propose the kind of ture (see accompanysatellite offices they will ing map). County host and the fields of Extension councils Extension educator earlier submitted expertise they want, merger proposals driHoeft said. ven in large part by $7 The university will million in budget cuts. have “some input” on Extension continues the distribution of eduto face major funding cator expertise among challenges because no the multi-county groups, state funding for the Hoeft said. For example, current fiscal year had a livestock specialist been received as of might be asked to work May 19. with a neighboring multiThe original reorcounty group so the uniganization plan called versity would not necesfor 30 multi-county sarily want two educators groups of three to five with the same expertise counties each. Howevlocated in adjacent er, the final structure Each color block represents a multi-county Extension groups, he added. group. There will be 26 such groups throughout the has 26 mergers. The After multi-county largest group is com- state and a single county office in Cook County. groups submit their FarmWeek on the web: FarmWeekNow.com
information, the university will list all the positions for unit leaders and educators. Hoeft said all unit leaders and educators “resigned” when the university issued a notice that it was not renewing all contracts. That means all educator and unit leader positions across the state are open. “Those folks can apply” for those posts, Hoeft said. Although the application process has not been finalized, applicants probably will specify the type of position they want and where they want to be located, Hoeft said. Extension employees also would list their top job priorities along with their current location. Hoeft anticipated any interviews would not be lengthy: “These are all people we know.” Local Extension councils will continue to guide the educational programs, and interest in specific programs will vary across the state. The goal is to support relevant programs which have a measurable impact on residents’ quality of life, according to Hoeft.
Illinois Farm Bureau®on the web: www.ilfb.org
FarmWeek Page 2 Monday, May 24, 2010
GOVERNMENT
Quick Takes CREDIT EXTENSION BY MEMORIAL DAY? — Chairs of House and Senate tax-writing committees have released a long-awaited tax extenders proposal, including a one-year biodiesel tax credit extension deemed crucial to an industry that has nearly ground to a halt since credit expiration in January. However, some doubts remained Friday about supporters’ ability to revive the $1-per-gallon biodiesel blenders credit by a Memorial Day target. In the Senate, retroactive extension of the credit will be tied to extension of nationwide unemployment benefits — a key congressional hot-button. However, the House is expected to vote first on the tax-and-benefits package before it moves to the Senate, and a scheduled Friday House vote was delayed until this week. “There was a lot of concern about the overall package, and I think some Democrats have cold feet about the price tag,” Illinois Farm Bureau Director of National Legislation Adam Nielsen said. Further, the Senate is expected to address supplemental funding for the U.S. war effort before taking up the extenders package, he said. 500,000TH COMBINE ROLLS OFF — John Deere Harvester Works at East Moline last week rolled the half millionth self-propelled combine off its assembly line. The owner of the combine, Greg Briggs of Cisco, received a VIP tour of the factory and had the opportunity to be the first to start his new 9870 combine. The machine will be on display at the John Deere Pavilion in Moline this summer before being delivered to Briggs in the fall. Deere began manufacturing self-propelled combines in 1947. “In the first 20 years, the harvesting capacity of John Deere self-propelled combines doubled, then it doubled again between 1980 and 2000. Within the past 10 years, we’ve seen productivity double again,” said Katie Dierker, division manager of John Deere Harvester Works. SAMPLING FOR ASIAN CARP — The U.S. Fish and Wildlife Service, Illinois Department of Natural Resources, and other participating agencies last week treated a five-mile section of the Little Calumet River in South Chicago with a fish poison to help them sample for Asian carp. That section of the river has had a high frequency of DNA detections of the invasive species. Biologists with the agencies are trying to determine the abundance and type of fish present in the area. The process was the same one used in the Chicago Sanitary and Shipping Canal in December 2009. To date, no Asian carp have been found above the electric barrier to Lake Michigan. Federal and state authorities are working to prevent the Asian carp from migrating up the Illinois River into the Great Lakes.
(ISSN0197-6680) Vol. 38 No. 21
May 24, 2010
Dedicated to improving the profitability of farming, and a higher quality of life for Illinois farmers. FarmWeek is produced by the Illinois Farm Bureau. FarmWeek is published each week, except the Mondays following Thanksgiving and Christmas, by the Illinois Agricultural Association, 1701 Towanda Avenue, P.O. Box 2901, Bloomington, IL 61701. Illinois Agricultural Association assumes no responsibility for statements by advertisers or for products or services advertised in FarmWeek. FarmWeek is published by the Illinois Agricultural Association for farm operator members. $3 from the individual membership fee of each of those members go toward the production of FarmWeek.
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STAFF Editor Dave McClelland (dmcclelland@ilfb.org) Legislative Affairs Editor Kay Shipman (kayship@ilfb.org) Agricultural Affairs Editor Martin Ross (mross@ilfb.org) Senior Commodities Editor Daniel Grant (dgrant@ilfb.org) Editorial Assistant Linda Goltz (Lgoltz@ilfb.org) Business Production Manager Bob Standard Advertising Sales Manager
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Babcock targets direct payments
Economist’s farm bill proposal would ‘retrigger’ revenue program BY MARTIN ROSS FarmWeek
A leading ag economist proposes adjusting farm revenue program triggers to improve producer protections while taking aim at direct payments. Iowa State University economist Bruce Babcock is floating the concept of an area-based revenue plan that would offer payments when actual county revenues fall below set targets and boost farm “coverage” levels. The catch: He would pay for his plan by curtailing direct producer payments. Last week, U.S. House Ag Chairman Collin Peterson (D-Minn.) reported his committee could roll out new safety net proposals as early as next month. Babcock’s plan essentially would “restructure” the average crop revenue election (ACRE) program, which bases payments on state yield triggers, Illinois Farm Bureau risk specialist Doug Yoder said. Babcock’s program would tap USDA National Agricultural Statistics Service (NASS) data to set county-based yield triggers while moving from ACRE’s national average crop year price trigger to an average of merely the first five months of the crop year. The plan aims to bring revenue protections into line with actual area losses and offer timelier payments. “Corn and bean (prices) would be averaged from September through February,” Yoder said. “If we cut if off after five months, you’d know that price at about the same time NASS releases county yield estimates in late February-early March. “That would speed payments considerably for those who need them. Right now, by waiting to determine the entire crop year price average, you don’t get paid until October, basically a year after you harvest the crop. “If it’s a down year and farmers need revenue assistance, waiting a year may not be the ideal situation,” said Yoder IFB’s new Farm Bill Task Force hopes this
summer to solicit diverse university and industry input in developing 2012 farm bill principles. Babcock proposes expanding allowable program coverage levels from a current 83 percent of base acres to 85-95 percent under countybased triggers — “considerably more coverage” than is available through ACRE, Yoder said. Farmers would use insurance to cover risks beyond program parameters. The plan would eliminate ACRE’s “double trigger,” which requires growers to sustain both state-triggered and individual FarmWeekNow.com losses to receive To view Babock’s white paper on payments. how to reform the 2012 farm bill, Babcock was go to FarmWeekNow.com. sharply critical of direct payments, calling them “money for nothing” often distributed simply for farmland ownership and arguing they “no longer have a public justification, particularly in times of exploding federal debt.” The economist also argues his program would reduce federal crop insurance costs — a current administration target — by providing more substantial base protection. At a House Ag Committee hearing last week, South Dakota Farm Bureau President Scott VanderWal suggested program supports could be reduced or eliminated in favor of an expanded “whole-farm revenue (insurance) product.” Peterson said he favors a safety net “that coordinates better with crop insurance,” arguing improved risk management is “not a question of taking one and putting it into the other.” But he is eyeing the idea of redirecting federal funds from direct payments to overall revenue protection. “The debate will be, are we willing to give up the guarantee of a direct payment for switching to a county-based program and the additional coverage?” Yoder posed.
Signup deadline June 1; concerns remain As the June 1 commodity program signup deadline looms, Farm Service Agency (FSA) Illinois staff continue to help producers and local FSA offices navigate new and potentially complex program requirements. For example, statewide signup for 2010’s average crop revenue election (ACRE) program was approaching 23,000 last week, although Illinois’ initial 2009 ACRE enrollment reached 26,124. Producers enroll in ACRE for the life of the farm bill. ACRE participation is a twostep process: Initial producer program “election” and subsequent annual signup. And Illinois FSA program specialist Stan Wilson notes several counties — including Bond, Fayette, Hamilton, Henderson, Scott, and Washington — have reported new enrollments this season. That indicates a number of existing participants have not yet re-enrolled, or they may not realize they must formally reenroll each year despite their long-term commitment.
“Right now, we have 80 percent of our DCP (directcountercyclical program) farms statewide enrolled, and 87 percent of our (existing) ACRE farms enrolled, but that still leaves us with 30,000 DCP farms left to enroll and almost 4,000 ACRE farms to enroll,” Wilson told FarmWeek last week. “We’re concerned about getting those people in by that June 1 deadline. If they do not get in by that deadline, they will not be eligible for 2010 DCP or ACRE benefits and there are no latefiling provisions available.” At the same time, some confusion reportedly persists regarding program participants’ obligations in submitting CCC-927 individual or CCC-928 farm entity consent forms for disclosure of basic Internal Revenue Service (IRS) tax information to FSA. IRS will review tax data for potential use in identifying farmers who may exceed program adjusted gross income (AGI) eligibility thresholds and
provide names and taxpayer identification numbers to FSA for further inquiry without supplying tax records or specific income figures. The 927/928 forms acknowledge USDA can use information to ensure compliance with payment eligibility. While submission of a separate CCC-926 AGI certification form is required to receive program payments, CCC-927/928 submissions are strictly voluntary and are not a condition of initial program eligibility. However, after June 15, the state FSA office will notify producers who have not submitted a 927 or 928. Those who do not respond to that inquiry subsequently will be asked to provide FSA with documentation verifying their income. “If someone were to sign a 926 but not a 927, not respond to the second request, and then not respond to the request for documentation to verify income, we would determine them ineligible,” Wilson said. — Martin Ross
FarmWeek Page 3 Monday, May 24, 2010
STATE
IDOA developing Internet site linking growers, applicators BY KAY SHIPMAN FarmWeek
Illinois farmers with specialty crops and pesticide applicators who spray near them will be able to locate pesticide-sensitive fields via Internet-based maps by the 2011 crop season. The Illinois Department of Agriculture (IDOA) is developing a geographic information system (GIS) that will provide locations and contact information for pesticide-sensitive fields to licensed pesticide applicators, said Warren Goetsch, bureau chief of IDOA’s environmental programs.
‘ We ’r e t r y i n g t o figure out the best way to do it.’ — Warren Goetsch Illinois Department of Agriculture environmental programs bureau chief
The system will be similar to Indiana’s Driftwatch program that was developed by Purdue University and the Indiana State Chemist office. Michigan, Minnesota, and Wisconsin also are developing similar GIS sites, according to Goetsch. “This is like the beginning of the electrifying of America. We’re trying to figure out the best way to do it,” Goetsch told FarmWeek. “I do see a lot of advantages to the (GIS) program,” Goetsch continued. “There has to be shared responsibility. The concerned (growers) have to get their sites registered and accurately located. The (pesticide applicator) users have the responsibility to access the data
and see where the sites are.” This spring, the Illinois Senate and House passed Senate Joint Resolution 105, sponsored by Sen. David Koehler (D-Peoria), which urges IDOA to develop an Internet-based GIS to locate sensitive crops and decrease the likelihood of pesticide drift. The measure was supported by the Illinois Farm Bureau, Illinois Fertilizer and Chemical Association (IFCA), and the Illinois Agricultural Aviation Association (IAAA). Finding specialty crop fields is a challenge in Illinois, said aerial applicator Rick Reed, IAAA president. “It’s a wordof-mouth process,” Reed said. He learned an organic farm was just 12 miles from his business only because he read about the farm in a local newspaper. Jean Payne, IFCA president, said applicators sometimes have difficulty telling some specialty crops from traditionally farmed ones. “A couple of years ago, a farmer started to grow organic soybeans in the middle of a (traditional) soybean area,” she said. “None of our guys wants to damage any crops. It’s expensive,” Payne added. IDOA already has experience with a GIS site that
Megan Pressnall, external relations director with the Illinois Grape Growers and Vintners Association (IGGVA), points out a digital map that will denote the locations of registered grape vineyards. Looking on is Pat Curry, a University of Illinois Extension educator in community and economic development. IGGVA and Extension are working on a digital map of vineyards as a web-based project to reduce pesticide drift. (Photo courtesy of George Czapar, University of Illinois Extension)
locates hives of state licensed apiaries. Pesticide applicators licensed by IDOA receive a password that gives them access to the apiary site, Goetsch said. All 34,000 pesticide applicators licensed in Illinois also will learn about the new IDOA GIS specialty crop site as part of
their applicator training, he added. Another GIS site containing Illinois vineyard locations soon will be launched. George Czapar, University of Illinois Extension educator, is working with the Illinois Grape Growers and Vintners Association (IGGVA) to develop the site that was
funded by a grant from the U.S. Environment Protection Agency. To date, 51 growers have voluntarily registered information about their vineyards and used a geographic map and information program to trace locations of their vineyards, Czapar said. Any vineyard listed must be at least 1 acre in size. When the vineyard site becomes operational in the next several months, information will be available on both the IGGVA and IFCA sites, Czapar said. “The big thing is to have a better idea of where grapes are grown,” Czapar said. IGGVA is considering eventually using the vineyard site as a marketing tool to help tourists find vineyards to visit, said Megan Pressnall, IGGVA director of external relations. At some point, the vineyard information may be part of the IDOA site, according to Goetsch. Goetsch’s main focus is ensuring the accuracy of any data that will be included on IDOA’s site because users will trust that all information is correct. “My concern is quality control,” Goetsch said. “If there is an Achilles’ heel, it’s making sure the data is correct.”
Indiana website IDs special crops, notifies applicators An Indiana website, now in its third year, has helped reduce pesticide drift incidents and increased awareness of pesticide-sensitive crops, according to Leighanne Hahn of the Indiana State Chemist office. “The overall purpose of the website is to enable communication between specialty crop growers and the applicator
community,” Hahn said. “It’s all voluntary participation.” The site, known as Driftwatch, allows farmers and others to register approximate locations of sensitive crops and to supply their contact information. That information is displayed on a geographic information system (GIS) map
Quinn expects budget this week Illinois will have a new budget this week, but will take out a loan to make a payment on state employee pensions, Gov. Pat Quinn forecast last week. “We’re not going to skip a pension payment,” Quinn said during an appearance on RFD Today. The governor speculated members of the General Assembly would support borrowing money at 1 or 2 percent interest for the state’s $3.5 billion pension payment. The governor was optimistic lawmakers would finalGov. Pat Quinn ize work on the state budget before the Memorial Day deadline. “We’re making progress (on the budget). I think we’re getting close,” Quinn said. Quinn reassured schools, social agencies, and others waiting for money from the state that they will be paid. “All those payments will be made,” he said. “We have to get more rev-
enue into our government. As we get that revenue, we will pay down the bills.” However, the governor didn’t call for additional budget cuts, saying his administration already had cut billions. “You can’t cut everything out of government,” he added. Quinn said teamwork is needed to pass the budget, then criticized Republican and Democrat lawmakers for not doing more to solve the state’s financial problems. He said the legislators “are pretty much afraid to do anything.” The governor maintained his call for property tax reform, but admitted that probably wouldn’t happen until after the November election. Quinn said increasing the income tax rate from 3 percent to 4 percent would generate “adequate” revenue for this year. The economy is the No. 1 issue for people across Illinois, according to Quinn. He noted a new state initiative, Put Illinois to Work, supported by federal and state funding, had helped 2,000 people find jobs. “Jobs are No. 1,” he said. — Kay Shipman
online at {http://driftwatch. agriculture.purdue.edu/ index.html}. Licensed pesticide applicators who register with the site receive automatic electronic notices about newly registered sensitive sites in their areas. Hahn said she has heard from others how Driftwatch is serving its intended purpose. Adam Hartley, agriculture coordinator with tomato canner Red Gold Inc., reported his company’s pesticide drift claims dropped by more than 50 percent in the first year that contract growers registered their fields with Driftwatch. Red Gold, which helps sponsor the website, requires contract growers to register each tomato field. In addition to specialty crop fields, Driftwatch information includes locations of beehives, organic crops, organic livestock, nursery crops, grapes, pumpkins, and melons. Participating growers may buy Driftwatch signs with website information to mark registered locations. According to Hartley, the signs created a lot of attention from neighboring farmers. “Hopefully, this made people think a little more about what the conditions were when they
went out to spray and what was being raised in the field next to where they were spraying,” Hartley wrote to Hahn.
FarmWeekNow.com Visit FarmWeekNow.com to view the Indiana Driftwatch website and see how aerial sprayers can protect specialty crops.
Hahn added: “The point is that people see the sign and then go to the website and learn it’s a sensitive crop.” Farm chemical applicators aren’t the only ones who have used the information. Pesticide applicators with state and county highway departments, railroad companies, and the state’s natural resources department also use the information, according to Hahn. As Driftwatch has evolved, new features, such as the signs and automatic notification, were added. Purdue University Extension specialists are developing peer-reviewed, one-page fact sheets about pesticide-sensitive crops that will be available on the website in the future, according to Hahn. — Kay Shipman
FarmWeek Page 4 Monday, May 24, 2010
MARKETS
China accepts first U.S. pork since 2009 BY DANIEL GRANT FarmWeek
U.S. pork producers, who still are attempting to recover from nearly two years of losses, can now start shipping their products to China. The Chinese this month announced they will accept shipments of U.S. pork that was produced on or after May 1. The Asian nation closed its market to U.S. pork in April 2009 because of concerns about the H1N1 outbreak in humans, which initially was mislabeled “swine flu.” The U.S. and China in March agreed to reopen the
Chinese market to U.S. pork, but China didn’t make it official until this month. “If we can continue to export more product overBrent Scholl seas, it will be a positive for us,” said Brent Scholl, president of the Illinois Pork Producers Association and a pork producer from Polo. The value of total pork exports in March edged up 1 percent compared to the same
Obesity battle opportunity for promoting new oils? Nutritional awareness and improvements in product fat and carb profiles in recent years have driven the food market and challenged soy producers and processors. Now, they’re just what the doctor, the White House, and even new health care reforms have ordered. As part of First Lady Michelle Obama’s campaign against childhood obesity, major food manufacturers including Kellogg’s, Pepsi, Coke, Kraft, General Mills, and ConAgra pledged last week to trim calories in their foods by a cumulative 1.5 trillion over the next five years. An important component in making the snacks kids love healthier is the oil used to bake or fry them. Monsanto food specialists Rick Wilkes and Philippe Ballet are on the forefront of efforts to keep soy oil in the dietary derby. Last week, Monsanto announced U.S. Food and Drug Administration (FDA) support for use of oil from the company’s anticipated Vistive Gold soybeans as “generally recognized as safe” (GRAS). GRAS status enables food companies to test oil produced from the beans, which have been produced through a mix of breeding and biotechnology. Monsanto is in the “pre-launch” phase with Vistive Gold, awaiting federal and key global regulatory approvals and engaged in what food business development director Ballet called “aggressive demand creation” — educating food companies on the potential benefits of forthcoming oils. The company’s earlier product, Vistive Low-Lin, offered reduced trans-fat content and improved shelf-life in oil. Vistive Gold provides even greater oil stability while significantly reducing saturated fats. According to Monsanto food applications director Wilkes, that is the new consumer “hot point.” Monsanto is armed with oil samples for food manufacturers and restaurants and “fry studies” focusing on french fries and chicken. Use of Vistive Gold oil reduced saturated fat content in fries by about 70 percent and in chicken by 30-33 percent. “We’re not claiming we’re going to make french fries healthy,” Ballet told FarmWeek. “We’re claiming we’re going to make french fries healthier. “It’s not just about trans fats any more — today, if you don’t have a solution for trans fats, you’re not even in the game. What we’re hearing from the industry is that the battle in coming years will focus on reducing saturated fats.” New oils should help companies and restaurants better manage their kitchens and production facilities. Wilkes noted many low trans-fat alternatives are high in polyunsaturated fats, resulting in heavier “grease buildup” — a problem the more stable Vistive Gold oil should address. — Martin Ross
Climate Continued from page 1 single consumer good is made with energy.” Illinois Fertilizer and Chemical Association Director Jean Payne fears diversion of natural gas to generate electricity with reduced emissions ultimately could drive natural gas dependant fertilizer production offshore. “If you have to import all your fertilizer from overseas, you’ve given up your food security,” Payne told FarmWeek.
time last year and it was 18 percent ahead of the value of pork exports in March 2008, the U.S. Meat Export Federation reported. And now U.S. producers can ship pork to China/Hong Kong, which in 2008 was the U.S.’ third-best export market, valued at $690 million. However, U.S. producers probably won’t see an immediate bounce in hog prices. In fact, the market in recent weeks has been pressured by fallout from the financial crisis in Europe, according to Ron Plain, ag economist at the University of Missouri.
“The China announcement won’t make much of a difference short-term (as the Chinese currently have a good supply of pork and Ron Plain low prices), but longer term it is very good news,” Plain said. Plain predicted hog prices this month would remain in the low $80s on a carcass basis before sliding this summer or fall. “It looks like May likely will
be the high-price month of the year,” Plain said. “But we’re still expecting a much better situation than last year.” Pork producers recently entered their third month of profitable prices after nearly two years of losses, according to Scholl. Hog prices a week ago were about 35 percent higher compared to the previous year. “It’s been a positive actually making money. It’s very helpful for morale,” Scholl added. “But I think (with market uncertainty) a lot of producers should look further out and lock in (profitable) prices.”
State’s first blender pump offers consumer choice BY MARTIN ROSS FarmWeek
Major automakers have pledged to roll out more ethanol-friendly “flex-fuel” vehicles (FFVs), while federal officials are considering boosting allowable ethanol gasoline blends. At the same time, the market and policy implications of the Gulf oil spill have added a key element of uncertainty to near-term petroleum price projections. In Jon England’s view, it’s a good time for greater fuel flexibility. England is a partner in EK Petroleum, a Moultrie County business that’s retooled an abandoned service station at Sullivan with Illinois’ first “blender pumps.” England joined Friday with the Illinois Corn Growers Association (ICGA), state officials, and lawmakers to dedicate two retail pumps that enable motorists to “dial up” a variety of ethanol blends. Each two-sided pump offers both regular unleaded gas blended with 10 percent ethanol (which can be used in any vehicle) plus a flexfuel option that dispenses E85, E50, or E30 for E85-capable FFVs by blending “straight” unleaded with E85 from a second tank. The pumps are the first of a projected 20 installations to be funded across the state. The improvement was made possible through a $20,000 American Lung Association grant funded by the Illinois Corn Marketing Board and the Illinois Department of Commerce and Economic Opportunity. Given the roughly $45,000 cost of two pumps, the grant was a key motivator for England. “Most stations, there’s just one spot where you can get E85,” England told FarmWeek. “At our pumps, you can get any product on either side at any time. In essence, I could have four vehicles filling up with E85 at the same time. “My parents owned this oil company for well over 20 years, and there never has been an E85 choice available in the whole county. When I saw a $20,000 grant was available, we ended up purchasing a blighted property — a gas station that had been abandoned in the financial crisis. “I used to haul to that gas station when it was open, and I knew the history of the tanks and the lines. We did our homework.” E85 currently saves consumers 40-60 cents per gallon over unleaded E10, and even E30 offers a 6-10-cent savings, England said. While he sees little to no difference in everyday, shortrun mileage between E85 and E10, he cites data indicating FFVs gain per-gallon mileage with
E30 or other “mid-level” blends on longer hauls and in some models. Thus, blend choice can help maximize both travel costs and fuel efficiency. ICGA President Tim Lenz notes “we’re always striving for more flex-fuel vehicles,” and feels the benefits of custom fueling could boost FFV appeal. Today, only FFVs can be fueled with blends above E10, but the U.S. Environmental Protection Agency is eyeing a request to boost standard blends to as high as E15. Blender pumps could meet new blend levels with “a simple calibration that can be done in less than an hour,” England said. Corn and renewable fuel interests support an initial E12 “blend wall” until E15 testing is completed, over a proposed two-tiered system allowing E15 use only in vehicles produced since 2001. The latter would “add to the (public) confusion” about ethanol and engine performance, Lenz held. “If the testing shows E12 would work (in older vehicles) in the interim, we’d sure be in favor of it,” Lenz told FarmWeek. “We are hoping there isn’t a model year break. We don’t really see the science behind that.”
Illinois Corn Marketing Board Director Leon Corzine puts E85 fuel in a vehicle Friday at the grand opening of E-K Petro Mart in Sullivan. (Photo by Tricia Braid Terry, ICMB communications director)
FarmWeek Page 5 Monday, May 24, 2010
LIVESTOCK
MBA graduates seek to debunk ag misconceptions BY DANIEL GRANT FarmWeek
Mike and Lynn Martz, DeKalb County Farm Bureau members who own and operate a custom cattle feedlot in Maple Park just west of the Chicago suburbs, are used to dealing with the public. They live near the most heavily populated area of the state and they often give tours of their operation, which has been at the same location since 1965. Three generations of the Martz family currently are involved in the feedlot operation. However, in the past when it came to dealing with tough questions from consumers about beef production, Mike Martz admitted he didn’t always have the best answers. To get those answers, Mike and Lynn enrolled in the Beef Checkoff ’s relatively new Masters of Beef Advocacy (MBA) program managed by the National Cattlemen’s Beef Association (NCBA). “We felt we needed to be
Lynn and Mike Martz discuss issues related to the beef industry during some down time on their custom feedlot near Maple Park. The DeKalb County Farm Bureau members wanted to do a better job of engaging consumers to explain agriculture and food production practices so they enrolled in and recently graduated from the Beef Checkoff’s Masters of Beef Advocacy (MBA) program.
more educated about the issues and how to explain ourselves,� Mike told FarmWeek. “We’ve got to tell our story.� They took classes and were tested through the MBA program on modern beef produc-
tion, animal care, beef safety, nutrition, environmental stewardship, and the Beef Checkoff. And after graduating from the MBA program, Mike and Lynn now feel they have the training and resources to debunk misconceptions and answer tough questions about the ag industry. That includes
questions that may arise when an alleged animal cruelty video becomes public. “We have to speak out and explain ourselves,� Lynn said. “We’re getting more and more generations removed from the farm. In the past, I think we (in the ag industry) assumed when misinformation came out, people knew the real story. But that’s not the case anymore.� A number of beef producers and others involved in the industry apparently felt the same need to learn how to do a better job of engaging and educating consumers about food production. A reported 254 people graduated from the MBA program in April, a single-month record for the program established in March 2009. “We are facing tough accusations from critics about modern food production, and we have no choice but to take our story directly to consumers,� said Daren Williams, executive director of communications for NCBA. “That’s what graduates of the MBA program are doing every day.�
And it’s not just farmers who are involved in the MBA program and defending the beef industry. Amanda Bunting of Bloomington had never been on a farm before she enrolled at Illinois State University (ISU) in Normal. But the animal sciences major, who will be a senior this fall, discovered a passion for working with farm animals and recently completed the MBA program. “I love animals and (after three years in the ISU program) I realized I really like to work with livestock,� Bunting said. She enrolled in the MBA program at the recommendation of Paul Walker, professor of animal sciences at ISU. “It was nice to learn ways to counter claims (about food production) and support the beef industry,� Bunting said of the MBA program. “I highly recommend it.� More information about the MBA program is available by contacting Williams at 303850-3346 or by e-mail at dwilliams@beef.org.
Amanda Bunting, an animal sciences major at Illinois State University, completes lab work at the Ropp Agricultural Building on the ISU campus in Normal. Bunting of Bloomington had never been on a farm before attending college but discovered a passion for working with livestock while at ISU. She recently graduated from the Beef Checkoff’s Masters of Beef Advocacy program. (Photos by Ken Kashian)
U.S. cattle inventory drops; prices soften amid anxieties USDA on Friday reported the inventory of cattle and calves on feed in the U.S. as of May 1 (10.5 million head) declined 3 percent compared to the same time last year. However, cattle prices that were in triple digits on a cash basis earlier this month slipped last week to the $96 to $98 range amid concerns about the ongoing European financial crisis and the troubled U.S. economy. “There is a lot of uncertainty about meat demand moving forward,� said Ron Plain, ag economist at the University of Missouri. “I think a lot of it hinges on the economy,� he continued. “The stock market has been like a yo-yo on a very long string and U.S. hog and cattle futures have seen a lot of spillover from that.� Livestock prices also could be affected by a weakening euro and a stronger dollar. “The U.S. dollar actually has gotten stronger as people flee the euro,� the economist said. “That isn’t good news for meat exports.� On the bright side, U.S. beef exports for the first quarter this year were up 11 percent in volume compared to last year, the U.S. Meat Export Federation reported. Meanwhile, fundamentals still support the cattle market, according to the CME Group’s Daily Livestock Report. “While there is a bit of weakness in cash markets, nothing has changed in the domestic and export markets to justify the kinds of declines� experienced last week in livestock futures, authors of the report noted. — Daniel Grant
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FarmWeek Page 6 Monday, May 24, 2010
CROPWATCHERS Bernie Walsh, Durand, Winnebago County: We had generally good planting and growing conditions here in Northern Illinois last week. Most fields were drying out very nicely after heavy rain two weeks ago, but low spots near the Pecatonica River were still wet, with water still standing in several fields. Many are finishing up bean planting, mowing hay, spraying (when it was not too windy), and some growers were starting to sidedress nitrogen. We did not have any rain last week until Thursday night and Friday morning. It was only 0.1 to 0.2 of an inch of rain, but that should help soften up some crusted fields, left by the heavy rains of two weeks ago. Pete Tekampe, Grayslake, Lake County: Another wet Friday in Lake County. Got about 0.3 of an inch of rain overnight Thursday. Most of the ponds receded even with the cool temperatures. Thursday was the first day in the 70s. This week they are calling for the mid- to upper 80s and no rain. Corn is looking yellow, but seems to have all germinated. There are a lot of grounds that will need to be replanted once it dries up. The earlyplanted beans got a big boost with the shower. Corn is 99 percent planted and beans are about 70 percent planted. No hay has been cut and the winter wheat and spring grains look great. Leroy Getz, Savanna, Carroll County: Light rain Thursday night was hardly measurable, giving us a total for the week of less than 0.1 of an inch. The cold weather of last week is still affecting the growth of the crops. There may be a few areas that were drowned out on the river bottoms that will need replanting. Beans are now emerging. Some bean fields need a softening rain to break up the crust. Hay harvest is starting. We have baled five fields so far. Warm and dry days this week will move that harvest along. Ron Frieders, Waterman, DeKalb County: Thursday was the first day a few people tried to get some fieldwork done. Some tried and quit because of wet conditions. A few found spots that were dry enough to go, but rain late in the afternoon shut everything down again. There are still lots of ponds and wet spots. By now, I would have expected the fields to be dried out. The corn seems to have survived, except for the very wet spots. I thought from the look of things last week, we would lose more acres. If it dries out soon, we will be replanting wet holes. Soybeans are trying to emerge. The ground is very hard after being pounded down with 5 inches of rain just after planting. It’s been too wet to rotary hoe, and the rain might be the best chance the beans have to get out through the hard crust.
Ken Reinhardt, Seaton, Mercer County: A few tenths of rain Monday (May 17) and Thursday afternoon limited fieldwork again. Some work got done on areas that received 4 inches the week before, but not where closer to 8 inches fell. The damage from the biggest rain is the worst many have ever seen. Crops planted in May are struggling to emerge. Ninety-degree temperatures will make a heck of a crust, so there will be soybean replanting decisions, along with replanting drowned-out corn. Ron Moore, Roseville, Warren County: What a difference a month makes. One month ago we were finished with corn and waiting to plant beans because it was too early. We have been watching it rain off and on for the last three weeks. We had 4 inches of rain in the last week. It was raining Friday morning and more is forecast for this week. There is as much water on the fields now as we had last year. I did not think that we could have three wet springs in a row. It appears we can. There are still lots of beans to plant in this area and maybe even a few acres of corn. I am not sure what the markets are watching, but it is not the weather. Jacob
Streitmatter, Princeville, Peoria County: Another week has passed and the crops have not made any progress. The ground was getting fit, but it rained again Thursday, which was sort of needed on some ground. My last planted corn is not up yet, and it’s been more than two weeks. Some of the first-planted corn is starting to turn a little greener, but most of it is yellow. I’m ready for some warmer weather, which was in store for the weekend and this week. Hopefully, this week will allow me to finish soybeans and let the corn turn green.
Tim Green, Wyoming, Stark County: Woke up Friday morning to another 0.4 of an inch of rain. We really didn’t need it, but some of us who have beans planted appreciated it to help the beans come through. I think we are about half done, maybe a little less, with bean planting in Stark County. Corn is coming up and it seems to be growing out of the frost and water damage. It is looking a little better. Needs warm weather. It is looking a little yellow yet and not real even, but I guess we will take what we can get.
Larry Hummel, Dixon, Lee County: Thursday’s showers will help keep some rotary hoes in the shed where they belong. Last week’s 3 inch pounding of rain caused some crusting on fields that are trying to emerge now. A nice soaking rain is just what they need to push through the surface. Corn and beans that were up before the big rain have excellent stands and are starting to green back up with the warm weather at the end of the week. I have even had some time to get my desk organized after the spring pile up.
Ron Haase, Gilman, Iroquois County: Last week nothing was done in the fields because of the wet soils. As of May 17, we had received 0.95 to 1.35 inches of rain. Then Thursday it started to lightly rain and there was still light rain as I checked the rain gauges Friday morning. We had from 0.2 to 0.35 of an inch of rain before I made this report. Corn development is anywhere from V1 to the V4 growth stage. Most corn is in the V2 to V3 growth stage. Soybean fields have been slow to emerge due to the cool soil temperatures. There are soybean fields that still have not been planted as well. When the soil is dry, we plan to begin sidedressing nitrogen. Local closing prices for May 20: nearby corn, $3.38; new-crop corn, $3.42; nearby soybeans, $9.28; new-crop soybeans, $8.66. The due date for the birth of our third son is Thursday.
Joe Zumwalt, Warsaw, Hancock County: It continues to be wet in Western Illinois. Very little work has been done since mid April. The forecast for this coming week does look promising, however. Early corn looks extremely good, while the later-planted fields will have to be replanted. I know of just a few soybeans in the ground. Most are still in a cool dry place ... the bag in the shed! Whenever it does dry out, we will be busy planting and replanting, spraying, mowing hay, and sidedressing. It is shaping up to be a very busy June.
Brian Schaumburg, Chenoa, McLean County: Little fieldwork or crop progress occurred last week due to another 1 to 2 inches of rain and cool temperatures. Some spraying was accomplished, but little else due to wet fields. Corn development is at the V1 to V4 stage and soybeans are VE to V1 with 25 percent still to plant. Take a moment to reflect on the service and sacrifice of our soldiers and veterans as Memorial Day approaches. Corn, $3.32; fall corn, $3.34; soybeans, $9.19; fall soybeans, $8.65; wheat, $3.80.
Mark Kerber, Chatsworth, Livingston County: Hopefully, warmer and drier weather is on the way. Two more rain events kept us wet last week. Producers are concerned about emergence of soybeans in their saturated soils. My neighbor says that beans don’t like to have their feet wet. I told him most of the soybeans don’t even have feet yet. There will be a lot of field activity when we do transition into summer weather. Nitrogen will need to be sidedressed, soybean planting finished, roads mowed, and maybe some rotary hoeing. We bought a new 40-foot rotary hoe and are hoping it stays in the shed for many years. The hay guys also will be busy with dry weather coming. Crude oil has crashed from its recent high levels due to the European currency collapse. Is it time to book our fall fuel needs? Don’t forget to report your acres and prove your yields for the ACRE program. Markets are drifting lower. There is still a lot of old-crop corn around. Where would prices be without ethanol plants, but it is still a battle to promote it. At least ethanol doesn’t spill into the Gulf. Steve Ayers, Champaign, Champaign County: A hazy, misty Friday morning over the prairie. Not much to report other than the strong 1 inch of rain last Monday (May 17) and 0.3 of an inch as of Friday morning. However, the forecast is favorable with heat (90 degrees) and dryness starting during the weekend with a two-week stretch of dry weather. Average corn height is 4.1 inches and the corn planted in early April is V6 and 8 inches tall. Corn planted April 21 is V2 or V3. Corn is 92 percent emerged and some corn is pale. Soybeans are 65 percent with 19 percent emerged. We will finish drilling beans this week. No reports of pest or disease problems so far. Let’s be careful out there. Wilfred Dittmer, Quincy, Adams County: Mark another week off the calendar with machinery still parked and fields still wet and soggy after 1 inch of rain on May 17 and another 0.25 of an inch Thursday. But at least we had no strong storms last week. Some corn looks good, some is spotty, and other fields still have plants trying to emerge. Still only a very few beans in the ground. When we all thought it may be a normal year, it is turning out to be almost a carbon copy of the last couple years. Have a safe week. Carrie Winkelmann, Menard County: Most fieldwork was at a standstill last week because of wet conditions. We received a total of 2.6 inches of rain with 2.17 Monday, May 17. The earliest corn we have planted is at stage V5 and looks remarkably well for the cold and wet weather conditions we have had since it was planted. Beans are starting to emerge on area farms. Tom Ritter, Blue Mound, Macon County: Rain on Thursday and Friday meant two weeks since we have had any activity in the field due to muddy fields. Crops continue to grow with corn approaching one foot tall. It is lacking some color and needing the warm temperatures and bright sunshine forecast for this week. Soybeans are more than 60 percent planted in this area. Because of the time delay and moisture, most of those have emerged and have adequate stands. Farmers need to do some spraying, but the number of days with wind and wet conditions has limited their ability to get in and perform that task. Overall, we are off to a decent start, and farmers are pleased that we are so far ahead of where we were at this time last year. Doug Uphoff, Shelbyville, Shelby County: Not much to report other than it was wet again. We had 2.3 inches of rain since we finished planting corn and planted a few soybeans. Corn is at a standstill. It is still hovering around V2 and some is getting close to V3 stage. A lot of farmers have been hauling grain to the market. The fuel market and the grain market have been going down. Hopefully, we will be back in the field this week.
Page 7 Monday, May 24, 2010 FarmWeek
CROPWATCHERS Todd Easton, Charleston, Coles County: Planting progress was minimal across the county last week. A few planters and toolbars got started back up last Friday (May 14) joined by several more on Saturday until light mid-afternoon rain halted progress once again. Sunday and Monday (May 15-16) brought more precipitation accumulating to about 1.5 inches. That was followed by more light rain on Thursday just as fields had started graying off on top. The corn crop is looking pretty good, approaching the V4 stage in some of the earlier plantings. But it would still be better off if some steady warmth would show up. Soybeans that were planted in the beginning of the first big push a couple of weeks ago are just emerging and look to have good stands. Until next week, keep thinking dry weather thoughts (short term), and maybe we can still wrap up this planting season before June. Jimmy Ayers, Rochester, Sangamon County: It was overcast and wet most of the week. We’ve had 2.5 inches of rain at our place. The tallest corn I have seen is about a foot over your boot top. The beans are trying to come through in lots of fields. They are off to a slow start. Cool and wet wasn’t the best thing for them. Several farmers haven’t started planting beans and feel pretty good about that. Some are done, and they feel pretty good about that. There wasn’t any hay cut last week. A few guys have been trying to mow roadsides. The west side of the county had up to four inches of rain and there was quite a bit of flooding. They cracked the dams open on Lake Springfield and flooded bottoms from Springfield down to Chandlerville. Quite a bit of rain came through the west side of Sangamon County. Rick Corners, Centralia, Jefferson County: Another week of playing mumbly peg. We had a couple of rains last week — no gully washers, but it sure was wet. I had to go to St. Louis Thursday and 9 percent of the corn may be planted in that area, but some of that is going to have to be done over. Man, they have had the rain over that way. No wonder the river is over flood stage.
Ted Kuebrich, Jerseyville, Jersey County: It was a very wet and cool week in Jersey County. We received a little more than 2.5 inches of rain. The Illinois River is out of its banks in the Nutwood area. The flood stage of the river is 425 and the reading on Thursday was 430. Some of the cornfields that have not been sprayed are getting grassy. With the cool, wet weather, the beans are not growing very fast. The early-planted corn is now reaching the nitrogen and starting to turn a darker green. Prices at Jersey County Grain, Hardin: May 2010 corn, $3.52; fall delivery 2010 corn, $3.37; May 2010 beans, $9.45; fall delivery 2010 beans, $8.79; July wheat, $4.26. Dan Meinhart, Montrose, Jasper County: We had the fourth wet week in a row with little or no field action. The ground is totally saturated. With any little shower we have standing water in the fields. Only half the corn is planted, and the verdict is still out on how much of that corn will have to be replanted. If it keeps on raining, we will be in the same situation we were in the last two years. The forecast is for drier and warmer weather this week. Hopefully, that weather pattern will last long enough that we can complete corn planting and replanting. Bob Biehl, Belleville, St. Clair County: Rain all week. Another 2-plus inches of rain. Cornfields are struggling in the low areas, even more so in the later-planted corn that can’t take all the water. Corn planted after the 5th or 6th of May will need some replant in the low areas. It is supposed to be very warm in the next few days, which should help dry things out. Looks like we will be planting beans, spraying corn, and sidedressing nitrogen all at the same time again. Kevin Raber, Browns, Wabash County: Fieldwork was limited this past week. I did see a few people in the field and I was able to spray for a day, but I left some tracks in places. The corn needs warmer and drier weather. Its color isn’t good and there is a lot of unevenness across the field. Soybeans that were planted before the wet spell seem to be emerging better than I thought.
Dean Shields, Murphysboro, Jackson County: Our weather was hit and miss last week with the showers going around us and coming through for a few tenths. Then on Thursday evening we got 0.8 of an inch, which put us on hold for awhile. We still have the river giving us some problems. It had reached 36 foot on the Chester scale, which is pretty high. It closed Route 3 that runs through Jackson County. All the river bottom area and all of the low ground, as we call it, is still flooded. It has been that way all spring now. Corn is coming along pretty well and a lot of sidedressing is going on. There is a lot of yellow corn in different places. Bean planting is going pretty well on days we can get out there. Some places are still too wet for that and other places are dry enough to keep going. I’ve seen one field of milo that is up. It looks like a good stand. The wheat crop is continuing to grow and heads are out. It doesn’t look too bad. With all this rain, we usually get diseases, but I can’t see that yet and it is still dark green. So, maybe the wheat crop will be halfway decent this year. There are not that many acres this year. Ken Taake, Ullin, Pulaski County: We had another wet weekend. We had 0.25 of an inch on Sunday (May 16). Some areas in the county had up to an 1 inch. On Monday afternoon (May 17) we had another 0.25 of an inch. Then early Thursday morning and during the day Thursday, we had a little more than 1 inch, so we are pretty wet again. Main activities are sidedressing corn, replanting corn, and spraying soybean burndown. Soybean planting is progressing slowly. I would guess 20 percent of the soybeans in our area is about all that is planted. After a rapid start, things have slowed down considerably. I guess we are still considerably ahead of where we were last year at this time. Last year turned out pretty well, so we are always optimistic. Please remember to be careful during this busy season.
Reports received Friday morning. Expanded crop and weather information available at www.ilfb.org
Warmer days ahead
Another cool, wet week stymies fieldwork
BY DANIEL GRANT FarmWeek
Fieldwork was limited again last week as cool, wet conditions engulfed much of the state. Temperatures in the 50s and 60s and rainfall were common last week. The temperature from May 10 to 17 averaged just 58.1 degrees, 4 degrees below normal, the National Agricultural Statistics Service Illinois field office reported. Meanwhile, rainfall for the first half of the month totaled anywhere from 3 to 4 inches to the south and 4 to 5 inches in portions of Central and Northern Illinois to 7 to 8-plus inches in Western Illinois near the Mississippi River. Another 1 to 2-plus inches of rain was expected from a system that moved through Illinois on Thursday and Friday. “Little fieldwork or crop progress occurred last week
due to another 1 to 2 inches of rain and cool temperatures,” said Brian Schaumburg, a FarmWeek Cropwatcher from McLean County. Tom Ritter, a Cropwatcher from Macon County, on Friday reported fields in his area were muddy and no fieldwork had been done the past two weeks. Planting progress, although stalled last week, remained ahead of schedule as 96 percent of corn and 42 percent of beans were in the ground
statewide as of the first of last week. That compares to the five-year averages of 76 percent and 36 percent, respec-
FarmWeekNow.com It was a rainy week. Check out Cropwatchers for the latest crop updates at FarmWeekNow.com.
tively. However, many cornfields last week still were pale in color, field ponds were scattered throughout the state, and
some farmers reported some replanting will occur when the fields dry out. Emerson Nafziger, University of Illinois Extension agronomist, noted weather patterns the rest of the growing season will have more impact on yields than temperatures during May. “In fact, growth is usually fairly slow during early vegetative stages,” he said. That could change this week, though, as a warming trend was predicted to begin Saturday and
last through the week. “We’ll probably see highs around 90 or more,” said Brad Churchill, meteorologist with the National Weather Service. “We’re definitely in a transition from the cool, cloudy, and wet conditions we’ve seen through (Friday) to the start of a warming trend.” Churchill predicted rainfall won’t be as heavy this week. But the return of heat and humidity this week could create isolated, pop-up showers, he added.
Broom Orchard to host Horticultural Field Day The Illinois State Horticultural Society (ISHS) 2010 Horticultural Field Day will be June 10 at the Broom Orchard, Carlinville. The early registration deadline is June 8. Third-generation fruit growers Jeff and Lisa Broom have an orchard with 50 acres of 22 apple varieties, 20 acres of eight peach varieties, six acres of pumpkins, and one acre of strawberries. They also grow nectarines, plums, and pears. For i n f o r m a t i o n o n t h e o r ch a r d , g o t o
{ w w w. b r o o m o r c h a r d . c o m } . F i e l d t o u r s p e a ke r s i n c l u d e, Je f f Broom of Broom Orchard; Mohammad Babadoost, Rick Weinzierl, Mosbah Kushad, and Elizabeth Wahle, all of the University of Illinois; and Alan Walters and Bradley Taylor, both of Southern Illinois University (SIU). Registration will begin at 8 a.m. The tours will run from 8:45 a.m. to noon. The advance registration fee is $25 per person and
includes lunch. There is no charge for children. Registration at the door is $30. The 2010 Horticultural Field Day is sponsored by ISHS, the U of I, SIU, and the Illinois Specialty Growers Association. To register, call Don Naylor, ISHS executive secretary, at 309-828-8929 or email ilsthortsoc@yahoo.com. Advance registrations may be mailed along with the fee to: ISHS, 15962 Old Orchard Road, Bloomington, Ill., 61705.
FarmWeek Page 8 Monday, May 24, 2010
GOVERNMENT
Former agency analyst stresses need to ‘rein in EPA’ BY MARTIN ROSS FarmWeek
When U.S. Environmental Protection Agency (EPA) senior analyst Alan Carlin last year challenged EPA’s mandate to regulate greenhouse gases (GHGs), the 38-year agency veteran found himself reassigned to another project. Now, after retiring from the EPA following publicity regarding his concerns, Carlin fears the administration’s “reinterpretation of the Clean Air Act,” which kicked off recently with new auto industry rules, “will create future problems for EPA.” Co-author of a rejected 2009 report skeptical of EPA’s then-proposed GHG endangerment finding, he sees the Clean Air Act as “a much less than ideal means for addressing greenhouse gases.” Carlin agrees there is need to “rein in EPA,” but with President Obama “committed to the world’s ‘warmist’ effort,” he fears climate policy will be driven by “very clear political agendas.”
“EPA plays an extremely important role in the current effort by the warmists to determine how the world pro-
appear to explain most of the available (climate) data.” A few months after his superiors informed him his
‘The administration has deter mined what the science is. Nothing is going to stop the current administration from using bad science if it persists in doing so.’ — Alan Carlin retired U.S. Environmental Protection Agency analyst
duces energy,” Carlin said at a Chicago international climate change conference sponsored by the Heartland Institute. “The administration has determined what the science is. Nothing is going stop the current administration from using bad science if it persists in doing so.” Carlin’s report advised EPA against hastily approving new regulations “based on a scientific hypothesis that does not
comments “do not help the legal or policy case for this (endangerment) decision,“ word of the report was released by the media. Amid global political pressures, the administration appears committed “to change public and possibly congressional behavior regardless of the consequences,” he said. Even if the administration’s “high-risk but pivotal climate gamble” pays off through
©2010 GROWMARK, Inc. A11430_6x8_aod
legislation or EPA regulation, Carlin doubts consensus can be reached on a new international carbon emissions treaty, as “amply illustrated” by the stalemate at the December Copenhagen climate summit. He is uncertain even united global efforts could achieve the slight stabilization in temperatures sought through GHG regulations, emphasizing “climate models are extremely inaccurate.” Carlin said he was not optimistic Congress would approve a current measure to strike EPA’s greenhouse regulatory authority. But in the long term, he urges policy efforts to “insu-
late EPA from direct control by the administration” and remove budget and other incentives driving EPA managers and analysts “to follow what the administration wants.” Further, he seeks more independent EPA analysis of regulatory issues, rather than reliance on outside, possibly biased assessments. Carlin also calls for elimination of a new National Oceanic and Atmospheric Climate Service created to advise the public on changing climate conditions. “The last thing we need is for the federal government to speak with one voice on climate science,” he said.
Singer: Climate ‘skeptics’ finding place in debate Princeton-trained physicist and University of Virginia professor emeritus of environmental science S. Fred Singer sees one important thing policymakers can do to address climate change: “Don’t do anything.” That raises eyebrows within the scientific community, especially coming from a former U.S. Environmental Protection Agency policy deputy. But Singer argues S. Fred Singer a little scientific skepticism is needed to bring some fresh air into current discussions of greenhouse gas (GHG) impacts. Singer helped spearhead the Nongovernmental International Panel on Climate Change (NIPCC) as a “counterweight” to the United Nations-sponsored Intergovernmental Panel on Climate Change (IPCC) largely responsible for current climate policy debate. NIPCC members are “equally qualified” and use the same peer-reviewed data upon which IPCC conclusions are based, “except we don’t apply a bias to our evaluation,” Singer said. In a 2004 FarmWeek interview, he cited a “split in the scientific community” between researchers who rely on “observational evidence” of climate cycles and conditions, and those who use computerbased “theoretical planet models” to project climate change. At a Chicago climate conference last week, climatologist
Patrick Michaels, author of the Association of American Geographers’ 2004 climate “paper of the year,” warned “it’s become harder to publish anything that argues the world is not coming to an end.” But Singer believes the continued lack of scientific consensus over climate is “finally becoming clear to everyone, including the media and the public.” “The so-called skeptics, sometimes referred to as the ‘deniers,’ are finally gaining recognition and respectability,” Singer told FarmWeek “It’s about time. “It takes courage for politicians to not do something — they always feel they have to do something. Sometimes, the best thing to do is to do nothing.” He sees attempts to regulate atmospheric carbon dioxide (CO2) as “almost criminal,” given the importance of CO2 as “plant food.” CO2 “is not an environmental toxin,” stressed Minnesota State Sen. Mike Jungbauer, a “bioremediation” specialist and member of the National Conference of State Legislatures’ standing committee on agriculture and energy. Jungbauer notes “we need a certain amount of carbon dioxide,” and warned policydirected GHG reductions would virtually eliminate “urban forestry” and other initiatives deemed important to climate management. “Without CO2, there wouldn’t be any agriculture, there wouldn’t be any animals, and there wouldn’t be any humans,” Singer emphasized. — Martin Ross
FarmWeek Page 9 Monday, May 24, 2010
FROM THE COUNTIES
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UREAU — Farm Bureau, Bureau County Pork Producers Association, and the Bureau County Cattleman’s Association are sponsoring the Agriculture Service Award to honor individuals who have given leadership and service to agriculture and farmers. Nomination forms are available at the Farm Bureau office. Deadline to return the form is Friday, June 4. Call the Farm Bureau office for more information. ARROLL — Farm Bureau will sponsor a Stroke Detection Plus screening from 9 a.m. to 4:30 p.m. Tuesday, June 22, in the Naaman Diehl auditorium. The cost for four screenings will be $90. Call 877-732-8258 for an appointment or more information. FFINGHAM — The Prime Timers will sponsor a bus trip Tuesday, June 15, to the St. Louis Science Center. Grandchildren would enjoy this trip. Cost is $32 for members and $37 for non-members and includes bus, admission to the Science Center, IMAX Theater show, and a box lunch. Reservations and money are due to the Farm Bureau office by June 1. Call the Farm Bureau office at 217-342-2103 for more information. ANCOCK — The Carthage Farmers’ Market opening day is today (Monday) from 2:30 to 5:30 p.m. and each Monday following through mid-October. It will be held at the Hancock County courthouse lawn. Vendor space is based on a first-come, first-served basis. No cream pies, eggs, used furniture, or clothing may be sold. Cost for vendors is $5 per week or $75 for the season. Call Dave Ard at the Hancock County Farm Service Agency office at 217-3457-2188, ext. 110,
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for more information. • Farm Bureau has discounted theme park tickets to Six Flags, Great America, Gurnee; Six Flags, St. Louis, Eureka, Mo.; Silver Dollar City, Branson, Mo.; Raging Rivers, Grafton; and Adventureland, Des Moines, Iowa. Call the Farm Bureau office at 217-357-3141 for more information. ASALLE — The Marketing Committee will sponsor a trip Thursday, July 22, to the Quad Cities. The group will tour the John Deere Harvest Works and Pavilion and gift shop, take part in the Deere home tours, visit the Quad City Botanical Center, and have dinner on the Celebration Belle boat. Cost is $85 for members and $95 for nonmembers if paid by July 1. After July 1, the cost is an additional $5. Call the Farm Bureau office at 815-4330371 or visit the website at {www.lasallecfb.org} for reservations or more information. • The annual LaSalle County Farm Bureau Foundation Ag in the Classroom Golf outing and benefit cochaired by Dennis McKinnon of the 1985 SuperBowl champion Chicago Bears and Linda Chapa LaVia (DAurora) will be Friday, June 25, at Senica’s Oak Ridge Golf Course, LaSalle. Call the Farm Bureau office at 815-433-0371 for reservations or more information. EE — The Marketing Committee will sponsor a bus trip Tuesday, June 29, to the Quad Cities to tour John Deere Harvester, John Deere Pavilion, and the John Deere Homes. Cost is $35, which includes bus, admission to tours, and lunch. Registration and money are due to the Farm Bureau office by Monday, June 7. Reservations are on a first-come, first-served basis. Call the Farm Bureau office at 815-857-3531 for
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more information. ACON — Farm Bureau has Macon County Fair tickets available. Discounted tractor pull tickets are $10 and demolition derby tickets are $5. Events are highlighted on the website {www.maconcounty fair.com}. ADISON — The Young Farmers Committee will sponsor a cardio pulmonary resuscitation class at 6:30 p.m. Wednesday, June 2, at the Farm Bureau auditorium. Cost is $3. Participants will receive a two-year certification. Call the Farm Bureau office at 618-656-5191 for reservations or more information. • Farm Bureau will sponsor “mouse races” Saturday, June 5, at Digger’s Dugout, Worden. Tickets are $20 and include beverages, music, and the races. All proceeds will benefit local Agriculture in the Classroom activities. ARSHALL-PUTNAM — The “Crops for College” annual tractor drive will be at 7:30 a.m. Sunday, June 13, at Johnson Grove Park, Lacon. Country Financial crop insurance agent Steve Jameson will sponsor the event. It will be held in conjunction with the Marshall-Putnam Antique Association Show.
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Cost is $30 and includes lunch. All proceeds will benefit the “Crops for College” scholarship. Call the Farm Bureau office at 309364-2501 or e-mail mpfb@mchsi. com for more information. EORIA — A summer market outlook meeting will be at 6:30 p.m. Tuesday, June 22, at the Farm Bureau Park, south of Kickapoo. Raber’s will serve a ribeye sandwich dinner. Andy Shissler, Roach Ag Marketing, will be the speaker. Tickets are $5 and may be purchased from the directors or at the Farm Bureau office. • Farm Bureau will sponsor a bus trip Thursday, June 24, to Heartland Dairy in northeastern Missouri. Participants will tour the community campus, cheese building, creamery, Christian school, milking carousel, and the goat farm. Cost is $40. Call the Farm Bureau office at 686-7070 by June 17 for reservations or more information. ANGAMON — The Young Leader Committee will sponsor its annual Farm Safety Day Camp Friday, June 25, at the New Berlin fairgrounds. Fire, chemical, outdoor, grain bin, and power take off safety and health habits will be the
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stations. The camp is for children 5 to 10 years of age. Children who register by June 7 will receive a free T-shirt and be entered to win a door prize. Call Katie at 753-5239 or e-mail her a ksmithenry@sangamonfb.org for reserva tions or more information. • The Women’s Committee will sponsor a bus trip Thursday, June 10, to Carlinville. Participants will tour a Sears home, which is open only for this specialty tour. Cost is $25 for members and $35 for non-members. Call the Farm Bureau office at 753-5200 for reservations or more information. CHUYLER — Farm Bureau and Schuyler Senior Citizens will sponsor a defensive driving course for those 50 years or older from 2 to 6 p.m. June 17-18, at the Senior Citizens Building, Rushville. Cost is $12 for AARP members and $14 for non-members. Bring membership card to the class. Call 322-6430 or 3224353 for reservations or more information.
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“From the counties” items are submitted by county Farm Bureau managers. If you have an event or activity open to all members, contact your county Farm Bureau manager.
Students get taste of farm life
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BY CARLA MUDD
More than 200 first graders from the local Hancock County elementary schools participated in the seventh annual Hancock County Farm Bureau (HCFB) “Down on the Farm” program held recently at the Hancock County Extension Center. Students had the opportunity to visit seven different stations. The day’s highlights included a skit, hayrack ride, petting zoo, equipment tour, moo moo masks, homemade butter, cow milking, farm safety, and ice cream sandwiches. Prairie Farms Dairy donated 200 cartons of milk. A.C. McCartney and Martin and Sullivan’s John Deere provided the machinery for the tour. Matthew Starr, the HCFB Young Leader chairman said, “We feel it is important for us to share our heritage and
our way of life with the younger generations who may not have the opportunity to experience farm life. “We want to provide a positive educational experience for children of all ages.
We try and work together to make this program as fun as we possibly can.” More than 20 Farm Bureau members donated their time and energy in making this annual event a success. Carla Mudd is manager of Hancock County Farm Bureau. She can be reached at 217-3573141.
First graders from Hancock County elementary schools line up for a chance to crawl into a combine during the Hancock County Farm Bureau “Down on the Farm” program. (Photo courtesy of Hancock County Farm Bureau)
FarmWeek Page 10 Monday, May 24, 2010
PROFITABILITY
‘Hurricanes of all kinds’ bear watching BY CHARLIE LABELLE
The hurricane season begins June 1 and ends Nov. 30. Knowing full well the volatility that hurricanes can cause, another “European Hurricane” has been consuming the news headCharlie LaBelle lines lately. All the uproar has been caused by the “PIIGS”: Portugal, Italy, Ireland, Greece, and Spain. The debt amassed by these
nations is staggering, and the European Union (EU) and the International Monetary Fund are trying to wrestle with a bailout solution for these countries, starting with Greece. The world markets have become global markets, all interconnected in finances as well as commodities. The first week of May brought us to new highs in NYMEX heating oil and RBOB gasoline contracts and revisited $87 on the crude oil contract, but then plummeted the rest of the week. The EU Commission and
International Monetary Fund pledged a loan package of euro750 billion ($975 billion) after the euro plunged amid investor concerns that a debt crisis in Greece could spread to other European countries. So far, the markets have calmed down. Now on to the hurricanes. The Colorado State University forecast team predicts 15 named storms will form in the Atlantic basin between June 1 and Nov. 30 with eight expected to be hurricanes and four developing into major hurricanes. These predictions are
very similar from one year to the next. They say that El Nino will dissipate by summer’s end. In 2005, Katrina and Rita hit New Orleans and Houston, respectively, and caused the U.S. Midwest supply of fuel to be shut off, as Gulf Coast refiners and oil-producing platforms were shut down, some for long periods of time. The threat of hurricanes should not be taken lightly, but customers should not expect prices to skyrocket just because a hurricane hits the U.S. Gulf Coast. Most hurricane seasons are
uneventful for the oil producers, just short-term disruptions, even though the Gulf Coast areas may experience flooding and severe wind damage. Complicating the situation is the BP oil platform explosion and spill, which may be exacerbated by any hurricane winds that could cause delays in the shipping channels. In summary, keep a watchful eye on “hurricanes of all kinds.” Charlie LaBelle is GROWMARK’s senior energy analyst. His e-mail address is clabelle@growmark.com.
Seasonal spike in fuel prices may not materialize BY DANIEL GRANT FarmWeek
Consumers accustomed to a hike in fuel prices about this time of year, particularly around Memorial Day weekend, may catch a break. Gasoline and diesel fuel prices in coming weeks are expected to remain fairly stable. In fact, prices at the pump possibly could decline if current market trends continue, according to Jackie McKinnis, GROWMARK energy analyst. “I don’t see a big market spike coming our way,” said McKinnis, who believes gas prices in coming weeks should remain at or below the $3 per gallon mark. The nationwide average
price of regular gasoline from May 10 to May 17 actually declined from $2.90 to $2.86 per gallon while the average price of diesel fuel dipped from $3.12 to $3.09 per gallon, according to the Energy Information Administration (EIA). EIA, in its short-term energy outlook, reported the price of regular gasoline from April to May of 2005 to 2009 increased by an average of 18 cents. This year, EIA predicted just a 7-cent increase during the April-May timeframe. “We might see a gas price spike, but not in the traditional sense,” McKinnis said. Fuel prices typically increase in May due in part to a switch to summer blends and the
M A R K E T FA C T S
Feeder pig prices reported to USDA*
Weight 10 lbs. 40 lbs. 50 lbs. Receipts
Range Per Head Weighted Ave. Price $35.10-$47.00 $39.17 $56.00-$75.00 $64.94 n/a n/a This Week Last Week 22,419 18,732 *Eastern Corn Belt prices picked up at seller’s farm
Eastern Corn Belt direct hogs (plant delivered) Carcass Live
(Prices $ per hundredweight) This week Prev. week $81.22 $83.30 $60.10 $61.64
Change -2.08 -1.54
USDA five-state area slaughter cattle price Steers Heifers
This week $95.75 $95.52
(Thursday’s price) Prv. week Change $99.97 -4.22 $99.12 -3.60
CME feeder cattle index — 600-800 Lbs. This is a composite price of feeder cattle transactions in 27 states. (Prices $ per hundredweight) This week Prev. week Change 111.03 112.55 -1.52
Lamb prices Confirmed lamb and sheep sales This week 603 Last week 910 Last year 637 Wooled Slaughter Lambs: Choice and prime 2-3: 90-110 lb., $118. Good and choice 1-2: 60-90 lbs., $130. Slaughter Ewes: Utility and good 1-3: $43-$45. Cull and utility 1-2: $40-$43.
Export inspections (Million bushels)
Week ending Soybeans Wheat Corn 05-13-10 8.5 12.6 38.5 05-06-10 6.6 23.3 38.3 Last year 16.3 15.1 31.3 Season total 1319.6 810.3 1237.7 Previous season total 1051.5 947.4 1188.5 USDA projected total 1420 825 1900 Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.
start of the peak driving season, according to EIA. But this year pressure from outside markets and ample stocks of crude oil (see graphic) have kept prices in check. The price of crude oil last week dipped to a seven-month low of about $67 per barrel. Meanwhile, the value of the euro this month dipped to a four-year low and in the process took oil prices with it, according to McKinnis. “We could go lower at an unusual time of year,” the analyst said of fuel prices. Elsewhere, the oil spill in the Gulf of Mexico has not caused oil prices to rise. “We’re plenty supplied right now,” McKinnis added. “That product (lost in the spill) is not needed” to meet current demand.
Consumers probably won’t be dancing in the streets about the price of fuel any time soon, though. Average prices
last week still were up 55 cents per gallon for gas and 86 cents per gallon for diesel compared to a year ago.
Grain shipments continue to flow down Mississippi River into Gulf The massive oil spill in the Gulf of Mexico Mississippi River and have cleaning stations on as of last week had not interrupted the flow of stand-by. A test run of one of the cleaning stagrain from the Mississippi River into the Gulf. tions this month was a success, according to In fact, a transportation report issued by port authorities. USDA earlier “There this month haven’t been any estimated trafvessels that fic of ocean‘We’re not expecting oil i n t h e s h i p - required cleangoing grain ing,” Bonura ping channels.’ vessels in a 10said. “But we’re day stretch ready to address after the oil any situation — Chris Bonura that pops up.” spill actually Port of New Orleans could be 13 The USDA percent higher transportation than the same report noted it’s time last year. still possible “Current heavy oil contaprojections look good in the Port of New Ore- mination could cause future delays or close ports. leans,” Chris Bonura, spokesman for the port, But, for now, the continued flow of grain told FarmWeek. “We’re not expecting oil in the through the Gulf is good news for U.S. farmers. shipping channels.” More than half of all grain exported from the There were no shipping delays or cancellaU.S. passes through the Gulf. tions due to the spill as of the middle of last The news last week wasn’t as good for fisherweek, Bonura reported. men in the Gulf region, though. The National If the situation changes, the maritime indus- Oceanic and Atmospheric Administration try and Coast Guard have refined the cleaning expanded the area closed to fishing due to the protocol for vessels entering and exiting the oil spill. — Daniel Grant
FarmWeek Page 11 Monday, May 24, 2010
PROFITABILITY Corn Strategy
C A S H S T R AT E G I S T
‘Risk aversion’ operative phrase Since the beginning of May, the operative words in the investment community have been “risk aversion.” This not only has undermined the price of grain but was notable in most other commodities, with the exception of gold. And even gold started to succumb to the flight from risky assets over the last week because its price has gotten so high. Over this time, crude oil prices have dropped $22 per barrel. The Dow Jones Industrial Average has dropped 11 percent, including the shocking 1,000point one-day drop in the midst of the decline. Other world equity markets have had similar, if not worse, experiences. The factor behind the recent decline is the same one that has dogged world markets this year — the uncertainty in the European Union (EU) and the impact on foreign exchange trading. The fiscal debt issue surrounding a few European coun-
Basis charts
tries (the PIIGS group — Portugal, Ireland, Italy, Greece, and Spain) has been an escalating issue since the beginning of the year. Even though the International Monetary Fund and European finance ministers worked out a package to support Greece and other countries, there is doubt whether key ingredients will get implemented to allow money to flow to Greece and others. The recent riots in Greece highlight those doubts. At the same time, the quality of the government debt has been downgraded, forcing the borrowing costs even higher. The fiscal difficulties have sparked an exodus of money out of the EU, dropping the euro’s value nearly 20 percent so far this year. As long as there is no solution to the situation, there’s a threat problems will escalate in other countries, continuing the exodus of money out of the EU and causing the euro to decline even more. Other currencies have strengthened in the wake of European problems, including the dollar. But because of ongoing economic uncertainty and fiscal problems in other countries, the U.S. included, gold has been one of the main beneficiaries of these changing investment flows. Of recent though, it appears money has started to move out of it, probably because its price has gotten so high. Maybe the bigger issue here is the investment community’s growing skepticism about the euro as a viable currency. Until that changes, the euro might remain weak (dollar strong), keeping investors from putting money in riskier assets, commodities included. AgriVisor endorses crop insurance by
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Cents per bu.
2009 crop: Even with the end-of-week short covering rally, the primary trend remains down. Cycle counts still point to a 40-week cycle bottom in June. July futures have potential to drop between $3.34 and $3.40. Use rallies to wrap up oldcrop sales. 2010 crop: Use rallies above $3.80 on December futures for catch-up sales. Even though we expect a lower trend into early summer, there should be one or two opportunities to add sales during the summer. Fundamentals: Not only does Chinese business continue, but sales to other countries on the recent weekly report were good, too. Weekly sales, 1,593,100 metric tons (62.7 million bushels), were among the largest of the year. Current forecasts for warmer, drier weather look conducive for crop development. Outside markets remain the biggest day-to-day influence.
Soybean Strategy 2009 crop: Outside factors are guiding the day-today trading in soybeans. Even though there’s still some old-crop Chinese soybean business occurring, it doesn’t look like ending stocks are going to get significantly tighter. Use rallies to get old-crop sales wrapped up. 2010 crop: The slowdown in planting has been a little supportive, but weather forecasts suggest that is about to change. Prices may slip in the short term, but there should be sales opportunities after the June price cycle lows. Hold off sales for now, unless something sparks a November rebound to $9.40. Fundamentals: Rain has slowed the planting pace that existed in early May, but forecasts for what’s ahead will allow planting to accelerate again. We still expect this year’s crop to get planted in a timely manner. China has been shifting some old-crop export business from South
America to the U.S., but we don’t expect it to be large enough to boost this year’s exports over current forecasts.
Wheat Strategy 2009 crop: The trend in wheat has shifted lower following the brief consolidation. The first level of support on the July comes at $4.60. The seasonal trend and the 40-week cycle count still point to a June or July low. Old-crop sales should be complete. Use rallies for catch- up sales. 2010 crop: Chicago July
futures reached our $5.15 target recently, boosting newcrop sales to 40 percent. If you price wheat at harvest, sales should be up to 60 percent. Use rallies for catch-up sales. Fundamentals: The decline in the euro, 20 percent since the end of last year, could have profound implications for our wheat export business. Algeria recently bought wheat from France to capitalize on the decline in the euro. This has the potential to hamper already lagging U.S. wheat export business.
FarmWeek Page 12 Monday, May 24, 2010
PERSPECTIVES
Economic impacts of immigration issues
Memorial Day Remembrance
Fr e e d o m i s n o t f r e e “Freedom is not free” writes William W. “Bill” Smith of Quincy, whenever he signs his book, A Moment in Time. Bill speaks with considerable authority on the subject of freedom, having spent two and a half years in a North Korean prisoner of war (POW) camp. He survived the ordeal, but nearly half of those who were captured with him in the early months of the Korean War did not. Smith was captured on MARK DEPUE Nov. 2, 1950, near Unsan, North Korea, when Chinese guest columnist forces sprang a surprise attack on the lead elements of advancing United Nations troops. It heralded a dramatic change in the war. The brass had long insisted the Chinese would not intervene despite their threats to the contrary. Douglas MacArthur, fresh off his triumph at Inchon, boasted the troops would be home by Christmas. The action at Unsan proved MacArthur and his intelligence experts to be tragically wrong. Over the next two years, Smith endured the worst of what man can inflict on his fellow man: A forced march north where stragglers were summarily executed; severe beatings; being hung by his wrists from a rafter; Russian Roulette; water torture; sleep deprivation; standing on ice for hours on end; long stretches of solitary confinement; and “the hole.” Scores of POWs died of malnutrition and disease during their first winter on the Yalu River. When a prisoner died, the living kept the body for several days — it meant another handful of cracked corn for those still alive — then when the stench became too much, they dragged their dead comrade across the ice of the Yalu River into Manchuria and buried him in a shallow grave. Daily indoctrination sessions, conducted by Chinese officers speaking impeccable English, started in 1951. Day after day, all day long, the prisoners gathered for these lectures and learned about the evils of capitalism and American imperialism. The message was incessant, with endless variations on one simple theme — the superiority of Communism as a political and economic system. Group confessions and self-criticism sessions were part of the regimen, with extra food for those who collaborated. Smith’s captors sought to exploit every weakness they could find. “If God is so good,” they once taunted Smith, “why is he leaving you here?” “He’s watching you!” Smith heard himself answer.
“God knows, they would go berserk.” After another incident, he was court-martialed and sentenced to “life at hard labor.” In the summer of 1952, Smith was labeled a “reactionary,” (an especially uncooperative prisoner) and moved to a new camp with other reactionaries. A year later, he was exchanged with other sick and wounded prisoners in Operation Little Switch, weighing only 82 pounds. He spent the next two years in a series of military hospitals, slowly regaining his strength while battling a host of physical and psychological afflictions. Perhaps the real measure of Bill’s character was revealed after being released from the hospital in 1955. It happened while he visited a fellow POW buddy in Bluefield, W. Va. That’s where he met 19year-old Charlotte Yost. She had just experienced a painful breakup from her fiancé of two years. “On Sunday night I went to bed and I prayed that God would send me somebody to love, and someone who would love me,” recalls Charlotte. “On Monday morning Bill knocked on the front door lost, looking for his friend.” She had no doubt that this handsome young man was the answer to her prayers, and Bill, for his part, was equally smitten. The relationship moved quickly, but something troubled Bill. He finally decided to lay it all on the line — actually laying a thick folder containing his medical records on Charlotte’s lap. “Read these,” he told her, “and if you feel like you can go on from here with me after what you read, we’ll go on, and if you don’t, then I’ll walk away.” She scoured the documents then made her decision. “I took him on faith, and I took him on love, and I love him just the way he was, and I love him just the way he is.” The two were married within weeks. Some 53 years later Charlotte helped Bill write about his years as a POW, motivated by their desire to explain to their granddaughters why they couldn’t jump on grandpa’s bed to wake him up. Bill Smith spent his time in hell, and understands freedom in a way that most of us can never comprehend. He credits Charlotte with saving his life. “Freedom is not free,” he tells anyone who will listen. “Be watchful of those who would take it.” Mark DePue is the director of oral history at the Abraham Lincoln Presidential Library, Springfield. Readers may listen to the Smiths’ entire story, and those of many other veterans, online at {http://www.alplm.org/oral_history/projects.html}.
It is well known that many, if not most, of the illegal immigrants journey to the U.S. in search of economic opportunity for themselves and often to provide for their families. We accommodate their needs by offering employment opportunities. We are the society that wants cheap tomatoes, cheap service, and cheap inputs for our consumer needs. It is not the grower, the builder, or the restaurateur who knowingly or unknowingly employs undocumented immigrants who is solely to blame. Employers know full well that they cannot legally employ undocumented WILLIAM workers. Often they resort to the ficLANDSEA tion that they are not employees, but independent contractors. The employer behavior, whatever its form, is a competitive necessity in an economy where the other suppliers are using low-cost illegallabor inputs. Society not only countenances this, we encourage it for our own economic benefit. If we refused to purchase goods and services manufactured with low-cost illegal labor, the market for that labor would dry up and most undocumented workers would no longer be motivated to come to the U.S. This volunteer solution is clearly not visible — we collectively have decided otherwise. A workable solution to the immigration “problem” must in some fashion be predicated upon society’s forced acceptance of higher living costs — or a willingness to send even more “good American jobs” overseas. A properly designed guest worker program can accomplish this. Such a guest worker program should be created along with meaningful control of our borders. Knowing employment of undocumented workers should be a criminal offence as should knowing acceptance of such employment. Payment of less than a living wage to guest workers also should be a crime. Current illegal immigrant/workers might be given an opportunity to sign up for worker status in exchange for the privilege of staying in the United States. Others should face a valid threat of exclusion. We will be better for it. Lawful immigration will be more likely to prevail. A careful economic analysis will reveal the potential for a net reduction in societal costs. Very likely some consumer products and services will increase in cost by modest percentages. Societal overhead costs — border control, medical care, schooling, etc. — certainly will decline, or be borne more equitably by the guest worker beneficiaries. To continue the current practice of importing and employing illegal, cheap labor without any meaningful controls ultimately will cost our society much more than a managed guest worker program — and much more than any perceived consumer savings based on cheap labor inputs.
William Landsea, a Christian County Farm Bureau member, is a consulting economist in south Florida and an associate finance professor emeritus with the University of Miami. His email address is Wlandsea@aol.com.
LETTERS TO THE EDITOR Block’s illegal alien comments misleading Editor: I find Mr. Block’s proposal to provide amnesty for illegal aliens providing they “sign up” in six months for permanent status to be most misleading. When he states that “This does not give them citizenship or necessarily the many benefits that our legal citizens are entitled to receive,“ I
wonder who he is kidding. Once legal status is confirmed, he knows very well that they will be granted access to all welfare entitlements. Under the new health legislation, all legal residents, regardless of immigration status, will be able to access this system. If you do not believe that other “rights” will be extend-
ed to the 12 million to 20 million “legalized” illegal aliens in this nation, then I have a whole bunch of stuff I want to sell you. He further opines that these illegals will not be sent home because so many broke the law we as a nation will not do anything about it. He may be right, particularly under an Obama administration.
And he comments about who is going to do all that work of slaughtering hogs and roofing houses. I had a home built five years ago — no foreign labor was used. I remember when meatpacking jobs were good jobs and the packers did not recruit in Mexico. My suggestion is for Mr. Block to go to Beardstown, Ill., (where there is a packing
plant) and look around instead of being a policy adviser of a Washington, D.C., law firm and providing more elitist talk about “jobs Americans are too lazy to do.” H2A visas (unskilled labor) are already unlimited. Of course, employers and employees actually have to follow the law. Frank Goudy, Cuba