THERE MAY BE better times ahead for pork producers, based on a USDA report issued last week. ........................................2
THE LESSER SNOW geese population has grown in Illinois par tially due to increased food available on untilled farm fields. ...3
MORRIS FIREFIGHTERS used equipment donated by the Grundy County Farm Bureau Young Leaders to save a man’s life. ..............8
Farm bill spending picture remains unclear — NCGA CEO Monday, April 1, 2013
BY MARTIN ROSS FarmWeek
The current budget/deficit debate leaves ag policymakers
Two sections Volume 41, No. 12
essentially “in a holding pattern,” according to National Corn Growers Association (NCGA) CEO Rick Tolman.
LAST GASP?
In an RFD-FarmWeek interview last week, Tolman acknowledged hopes of members of the House and Senate
In many years, running a picture like this on April 1 would be considered a lame attempt at an April Fools’ joke. But this year it’s reality as winter seems to be refusing to relinquish its grip on Illinois’ weather, even though the calendar says we are several days into spring. The double-digit snowfall that occurred March 24 and 25 made for a pretty scene on this Montgomery County farm near Taylor springs and other locales about the state, and it should improve much-needed soil moisture. See page 4 for more on the impact of the late-season snowstorm. (Photo by Ken Kashian)
Ag Committees to draft a new farm bill by May, but he stressed the need for further clarity in “the overall big budget picture.” Congress recently suspended the federal debt ceiling until May 19. That, according to some, delayed definitive longterm budget decisions until late summer. While the House and Senate last month agreed to separate long-term budget frameworks, Tolman said congressional leaders “keep kicking the can down the road in making some tough decisions.” House and Senate budget proposals are seemingly irreconcilable and thus essentially are “dead,” said American Farm Bureau Federation senior economist Bob Young. The ag committees need “firm numbers in an agreed-upon budget” to determine feasible program-producer support levels, Tolman argued. “I think we’re kind of two steps forward and one step back with this process,” Tolman said. “We do have some guidelines out of the Senate and the House — they’ve given some target numbers to the House and Senate Ag Committees.
“They’re very different numbers: The cuts in the House are roughly twice the size of the cuts in the Senate. But overall, in the ‘macro’ picture, we’re still in the same situation. We have to get an overall budget done and get past the deficit issues before we can start moving on the farm bill,” said Tolman. In his budget plan, House Budget Committee Chairman Paul Ryan (R-Wis.) called for re-examination of both farm program and crop insurance spending. Tolman said he was hopeful “logic will prevail” on continued crop insurance support. Crop insurance “did exactly what it was supposed to do” in the wake of last season’s drought, heading off need for a congressional “emergency bailout” for farmers, he said. Last year, the Senate approved a new “shallow loss” revenue program to protect farmers against dual price-production protections. The House Ag Committee responded to Southern grower concerns with a proposed twotier program offering either revenue or targeted price options.
would be the highest since 1936 (102 million acres) while soybean acres would be the fourth-highest on record. The planted area for all wheat for 2013 was pegged at 56.4 million acres, up 1 percent from last year. Winter wheat acres were estimated at 42 million acres, up 2 percent. “The big thing about the planting report is to see if these numbers are realized,” Basting said. “How fast the temperature warms and the ground dries out are variables the market will be keeping an eye on.” Farmers’ intentions to plant such large crops was due in large part to economics and
the expectation of profitable returns, Basting noted. He believes farmers will stick with their planting intentions, despite a weather-induced delay to the start of the season, for at least another month. “Producers maintain their (planting) intentions historically through April,” Basting said. “If we get to May 1 (and planting delays still are prevalent) they may consider some alternatives.” Rick Tolman, CEO of the National Corn Growers Association, said farmers’ response to high corn prices and low
Large stocks, plantings estimates sink crop prices
Periodicals: Time Valued
BY DANIEL GRANT FarmWeek
USDA’s grain stocks and prospective plantings reports released last week were bullish
FarmWeekNow.com
To view Darrel Good’s reaction to the plantings reports, go to FarmWeekNow.com.
for crop supplies and bearish for prices. Stocks in all positions nationwide as of March 1 were estimated at 5.4 billion bushels for corn, 999 million bushels for soybeans, and 1.23 billion bushels for wheat. All three estimates were well above trade expectations. Crop
prices, in response, were limit down late last week. “(The stocks estimates) are bearish for all three crops,” Brian Basting, market analyst with Advance Trading, said during a teleconference hosted by the Minneapolis Grain Exchange. “There is a much more comfortable corn carryout than the trade expected.” Stocks likely will continue to grow this fall if crop conditions allow yields to bounce back to trend levels. USDA on Thursday estimated U.S. farmers this spring will plant 97.28 million acres of corn and 77.13 million acres of beans. If realized, U.S. corn acres
FarmWeek on the web: FarmWeekNow.com
See Farm bill, page 3
See Stocks, page 3
Illinois Farm Bureau®on the web: www.ilfb.org
Quick Takes
FarmWeek Page 2 Monday, April 1, 2013
REGULATION POSTPONED — Congress’ latest continuing budget resolution (CR), which ensures funding for government operations through September, also offers farmers at least a temporary regulatory reprieve. Lawmakers via the CR postponed the Environmental Protection Agency’s Spill-Prevention, Control, and Countermeasures (SPCC) rule, which would have required operations with on-farm tanks and drums with oil-storage capacity to have spill-prevention dikes in place. The rule is delayed through Sept. 30, thanks to a measure by Sens. Mark Pryor (D-Ark.) and James Inhofe (ROkla.). If implemented, the rule would require that oil storage facilities with a capacity of more than 1,320 gallons make structural improvements to reduce the possibility of contamination from oil spills. The plan would require farmers to construct a containment facility, such as a dike or a basin, that could retain 110 percent of the fuel in the container. MINING FIRM GLOBAL HQ COMING — A mining corporation will move its global offices from Idaho to downtown Chicago, Gov. Pat Quinn and Chicago Mayor Rahm Emanuel announced last week. Currently, Coeur d’Alene Mines Corp. is based in Coeur d’Alene, Idaho. The company employs nearly 2,000 people worldwide. The largest U.S.-based gold and silver producer, Coeur expects to finish its move in the third quarter of 2013. The company will receive a state investment package administered by the Department of Commerce and Economic Opportunity. “With our diverse economy, our pool of highly skilled workers, and our world-class transportation infrastructure, Illinois has what it takes for businesses to grow,” Quinn said in a prepared statement.
JAPAN WELCOME — Seventy-five U.S. ag groups wrote President Barack Obama last week in support of Japan’s entry into Trans-Pacific Partnership (TPP) trade negotiations. The groups argued “the addition of Japan to the negotiations will exponentially increase the importance of the TPP to U.S. farmers, processors, and exporters. National Corn Growers Association CEO Rick Tolman noted Asia — represented in the negotiations along with North and South American interests — is “our biggest market area,” and said he was “really grateful” Japan decided to participate. “We don’t have quite so much to gain with raw grain — our real interest is in some of the finished products, the meat exports,” Tolman said in an RFD-FarmWeek interview. “We’re hoping to see some expansion there and some dropping of (meat) trade barriers. “One of the other things we’re also hoping for in that area is to get some synchronous approvals in biotech traits. Japan has a good system; Taiwan and Korea have good systems. China’s our challenge right now. If we can get that done, then we can have a lot smoother trade moving forward.”
(ISSN0197-6680) Vol. 41 No. 13
April 1, 2013
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 Margie Fraley (mfraley@ilfb.org) Business Production Manager Bob Standard (bstandard@ilfb.org) Advertising Sales Manager Richard Verdery (rverdery@ilfb.org) Classified sales coordinator Nan Fannin (nfannin@ilfb.org) Director of News and Communications Michael L. Orso Advertising Sales Representatives Hurst and Associates, Inc. P.O. Box 6011, Vernon Hills, IL 60061 1-800-397-8908 (advertising inquiries only) Gary White - Northern Illinois Doug McDaniel - Southern Illinois Editorial phone number: 309-557-2239 Classified advertising: 309-557-3155 Display advertising: 1-800-676-2353
PRODUCTION
Hog prices could rebound in second, third quarters Hog producers who withstood the strain of record high feed prices in the past year could see better times ahead. Ag economists last week during a teleconference hosted by the National Pork Board predicted hog prices could improve in the second and third quarters. Feed costs, meanwhile, could abate later this year if crop production rebounds from last year’s drought-induced losses. However, hog producers in the near-term still could face economic challenges. “The past three months producers have been losing anywhere from $20 to $40 per head,” said John Valivka, president of Sterling Marketing in Vale, Ore. “We anticipated larger losses, but grain prices came down and hog prices went up.” Hog prices last month weakened significantly and U.S. producers lost about $32 per head in March. “We will see some help on the grain side (in the form of increased supplies and lower prices), but that won’t be until later this year,” Valivka said. Valivka, along with Victor Aideyan, senior risk management consultant for HisGraiin Commodities in London, Ontario, and Jim Robb, director of the Livestock Marketing Information Center in Denver, predicted hog prices would rebound from about $80 per hundredweight in the first quarter this year to ranges of $81 to $86 in the second quarter and
$82 to $86 in the third quarter. The price outlook was tempered a bit last week as USDA’s March quarterly hogs and pigs report showed a modest expansion of the swine herd. All hogs and pigs in the U.S. on March 1 totaled 65.9 million, up 1 percent from last year. The breeding inventory (5.83 million head) also was up slightly from a year ago. The number of hogs and pigs in Illinois (4.65 million head) as of March 1 was unchanged from last year. “The report FarmWeekNow.com could mark a Check out Jim Robb’s analysis turning point on of the hogs and pigs report at the supply side FarmWeekNow.com. as producers are starting to expand,” Robb said. “From a price standpoint, the report was slightly bearish.” The number of sows that farrowed in the past quarter (2.88 million head) was up 1 percent from last year while the pig crop (29 million head) increased 2 percent. “Even though the breeding herd has not grown a lot, we’ve seen the herd increase through better efficiencies,” Aideyan said. The average number of pigs saved per litter from December through February was a recordhigh 10.08, compared to 9.97 last year. The larger swine inventory will put more pressure on demand to drive prices. The economists believe pork is in position to gain market share as the result of a smaller cattle herd/reduced beef supplies in the U.S.
The Farm Service Agency (FSA) has a program to help beginning farmers and/or members of socially disadvantaged groups finance agricultural enterprises. Under the designated farm loan programs, FSA can provide financing to eligible applicants through either direct or guaranteed loans. FSA defines a beginning farmer as one who: • Has not operated a farm for more than 10 years, • Will materially and substantially participate in the farm’s operation, • Agrees to participate in an FSA loan assessment, borrower training, and financial management program, and • Does not own farm acres that would be more than 30 percent of the county’s median size. Each member of an operation must meet the eligibility requirements. More information is available at the local USDA Service Center or online at {fsa.usda.gov}. A number of FSA loan programs are available to assist applicants considered to be socially disadvantaged to start or continue farming. Loans are available for operating type loans and/or to purchase or improve farms. While all qualified farmers are eligible to apply for these loan programs, FSA has provided priority funding for members of socially disadvantaged groups. If farmers or their spouses believe they would qualify as socially disadvantaged, they should contact their local FSA office for details. Another program offered through FSA is the Farm Storage Facility Loan (FSFL) program that allows farmers of eligible commodities to obtain low-interest financing to build or upgrade farm storage and handling facilities. The maximum amount for each loan is $500,000. Participants must provide a down pay-
ment of 15 percent with Commodity Credit Corp. (CCC) providing a loan for the remaining 85 percent of the net cost of the eligible storage facility and permanent drying and handling equipment. Additional security is required for pouredcement open-bunker silos, renewable biomass facilities, cold storage facilities, hay barns, and all loans exceeding $50,000. Loan terms of seven, 10, or 12 years are available depending on the amount of the loan. Interest rates for each term rate may be different and are based on the rate the CCC is charged when it borrows money from the U.S. Treasury Department. Farmers may choose to apply for FSFL requesting that their loan proceeds be disbursed as a partial disbursement and the remaining final disbursement. The partial disbursement will be available after a portion of the construction has been completed. The final disbursement will be made when all construction is completed. The maximum amount of the partial disbursement will be 50 percent of the approved total loan amount. Applications must be submitted to the FSA county office that maintains the farm’s records. An FSFL must be approved before any site preparation or construction can begin. The following commodities are eligible for FSFL: • Corn, grain sorghum, rice, soybeans, oats, peanuts, wheat, barley, or minor oilseeds harvested as whole grain; • Corn, grain sorghum, wheat, oats, or barley harvested as other-than-whole grain; • Lentils, small chickpeas, and dry peas; • Hay; • Renewable biomass; and • Fruit, including nuts, and vegetables — cold storage facilities. For more information, contact the FSA county office or go online to {fsa.usda.gov}.
BY DANIEL GRANT FarmWeek
FSA offering beginning farmer loans
ILLINOIS WATERS
Page 3 Monday, April 1, 2013 FarmWeek
Panama Canal seen as model for U.S. upgrades BY MARTIN ROSS FarmWeek
U.S. policymakers should look to the Panama Canal as a model for successful public-private collaboration in infrastructure improvement, according to National Corn Growers Association CEO Rick Tolman. Tolman said he is encouraged by Senate progress toward a new Waterways Resources Development Act (WRDA) and bipartisan House-Senate support for river infrastructure funding. Recent low-water issues on the Upper Mississippi that impacted grain prices and fuel oil costs and necessitated rock blasting in the channel south of St. Louis “opened some eyes,” he told FarmWeek and RFD Radio. Rick Tolman However, while Mississippi lock improvements were authorized under the initial WRDA bill in 2007, Tolman stressed that “until we get some money (for improvements) appropriated, we’re still in the same predicament.” Current river measures would address the funding issue by attempting to boost private revenues needed to match — and thus motivate — federal river spending. Midwest lawmakers support a voluntary barge fuel hike proposed by commercial river users. Bipartisan Illinois senators and congressmen have proposed public/private partnerships that would enable the U.S. Army Corps of Engineers and private entities to explore alternatives to existing project finance, planning, and construction procedures. With federal funding harder to come by, past U.S. Grains Council Chairman Wendell Shauman argues “(we) just have to look to alternative sources.” The Kirkwood farmer notes South Carolina’s Port of Charleston — one of the U.S.’ busiest container ports — plans to privately move ahead with crucial dredging to accommodate larger vessels that will be able to travel through an expanded Panama Canal. In Shauman’s view, the Panama Canal offers an ideal model for potential U.S. partnerships. Belgian, Spanish, Italian, and Panamanian companies were contracted for the expansion, which was funded in part by a publicly supported bond issue. Expansion is set for completion by spring 2015. “Here’s a project that in some ways is significantly more challenging than our locks and dams,” Tolman said. “They’re getting it done in seven, eight years. They financed it; they’re paying it off with future revenues. It’s privately contracted. It’s a great example.” The Water Infrastructure Now Public-Private Partnership Act would authorize a five-year pilot partnership program identifying previously authorized navigation, flood damage, and storm damage reduction projects. The measure requires an audit of activities by private partners and an advance independent study to determine whether proposed partnership agreements provide significant public and financial benefits.
Budget
Continued from page 1 NCGA pushed for farm bill passage in 2012 knowing Congressional Budget Office (CBO) ag spending projections “would be worse in 2013,” Tolman said. Young noted the CBO looked at “what market conditions are today vs. what they were last year,” and focused largely on nutrition (food stamp) spending. CBO’s newest budget baseline projections would trim prospective commodity spending by a relatively minor $800,000 million over 10 years. But it also downgraded the potential budget savings offered by 2012 Senate/House farm bill proposals by about $9 billion, Young told FarmWeek. As a result, Senate Ag Committee Chairman
A flock of lesser snow geese fill the sky. The migratory birds’ population has grown in Illinois partially due to increased food available on untilled farm fields. (Photo by Randy Smith, Illinois Department of Natural Resources)
Migrating snow geese population swells in state BY KAY SHIPMAN FarmWeek
Huge flocks of lesser snow geese that frequented many areas of Illinois this winter have flown north to arctic nesting grounds, but their return in large numbers is expected. Conservation tillage in the state contributed to the increased geese populations, said a wetlands specialist at the Illinois Department of Natural Resources (IDNR). This year, the birds’ mid-February migration was delayed by continued snowcover to the north. Large flocks stayed in Illinois through midMarch, said Randy Smith, IDNR’s wetland program manager. Flocks numbering 100,000 were common on Fulton County’s Emiquon National Wildlife Refuge, he said. Over the last 30 years, the geese population migrating through Illinois has grown, coinciding with increased use of conservation tillage, Smith said. He pointed to the “big shift away from fall tillage” as key adding that grain remaining on the surface becomes food for wildlife, including the migrating geese.
Stocks
Continued from page 1 supplies, caused in part by the drought, will help rebuild demand. But that likely will weigh on prices.
Debbie Stabenow (D-Mich.), whose committee proposed $23 billion in farm bill cuts last year, now likely must address that “$9 billion problem,” as well, the economist suggested. CBO revisions could limit either the range of new farm bill programs or the pool of money available for each individual program. Midwest and Southern commodity groups thus are working together to sort out key farm bill issues, Tolman reported. “Ultimately, we have the same issues at stake,” he said. “It doesn’t make any sense for us to be divided and conquered. I think everyone knows we can do the crop insurance program, and if we start there, that’s a base we can all build on.”
Snow geese in a winter wheat field will feed by pulling up the young plants. “They can decimate a winter wheat field,” Smith said. Snow geese tend to congregate on large, open bodies of water, such as wetlands and lakes. Over the last 20 years, they have expanded their migratory range eastward and have been spotted as far east as Indiana, according to Smith. However, most farmers across Illinois do not face crop depredation by snow geese. “It’s slim odds unless you farm near their concentration points,” Smith said. He advised farmers and landowners to allow hunting on their property as the most effective way to reduce crop damage. “If the geese are hunted in a field, they typically won’t return to that field,” Smith said. The U.S. liberalized snow goose hunting regulations in 1999 after exploding geese populations began damaging tundra nesting grounds, Smith said. “Our efforts have slowed the (population) growth a bit. We only harvest 1 percent of the population and are not causing a negative impact,” he added.
“We’re at a very critical point,” Tolman told the RFD Radio Network. “We need to rebuild stocks. We’ve had demand destruction. “If we have normal
weather and trend-line yields, we will have more production than we can use this year,” he continued. “There likely will be a bigger carryover, which will be bearish for prices.”
WEATHER
FarmWeek Page 4 Monday, April 1, 2013
Late-season snowstorm a mixed blessing for farmers BY DANIEL GRANT FarmWeek
The spring snowstorm that pounded the Midwest last week helped the soil moisture situation. Some locations in Central Illinois, including Springfield and Taylorville, received 18plus inches of snow Sunday and Monday, March 24-25. But the late-season snow and below-average temperatures in recent weeks likely will keep farmers from beginning fieldwork any time soon. “A month ago, a large part of the state was behind on snowfall,” said Jim Angel, state climatologist with the Illinois State Water Survey. “Now most locations have caught back up or gone over.” Last week’s storm dumped anywhere from 6 to 18-plus inches of snow on the state, mostly in Central Illinois and south. Other locations that were hit hard included Sherman (17.1 inches), Winchester (14.2 inches), Decatur (13 inches), and Jacksonville (12.2 inches). The late snowstorm was surprising — many farmers last year at this time were planting corn. But it actually wasn’t that unusual, according to Angel. “It obviously is possible to get a late-March snowstorm that produces sizable amounts,” Angel said. “There is a lot of moisture
in the air this time of year.” And the moisture fell as snow rather than rain in much of Illinois last week due to unseasonably cold temperatures. The average temperature statewide, as of March 27, was near the freezing mark at 32.5 degrees. That’s 7 degrees below average and 14.5 degrees below the average temperature last March, Angel reported. “It’s a big contrast from last year when we already were up into the 60s and 70s on our way to the warmest March on record,” he said. This year the average temperature for March, with four days left in the month, was on pace to be the fifth-coldest on record, although a warming
trend during the weekend was expected to boost the final average temperature for the month. Precipitation for the month, again as of March 27, averaged 2.75 inches, about one-third of an inch above normal. Illinois, thanks to the soggy stretch, no longer has any locations in drought, according to the U.S. drought monitor. There is, however, some abnormal dryness in Northern Illinois. “There’s been a nice recovery (of soil moisture) throughout the state,” Angel said. Topsoil moisture as of the first of last week in the state was rated 11 percent surplus, 81 percent adequate, and just 8 percent short or very short.
The calendar turned to April today (Monday), but field conditions for now are about the same as those in February and March — cold and wet. Topsoil temperatures around the state last week averaged between 31 and 37 degrees compared to about 60 degrees at the same time last year. FarmWeek Cropwatchers from around the state last week predicted planting likely won’t start for weeks. “Ideally, you like to plant corn between April 15 and April 30,” said Steve Ayers, a Cropwatcher from Champaign Coun-
ty, where a foot of snow fell last week. “That’s unrealistic at this stage, except for maybe toward the end of the month. “Right now, the ground is just saturated,” he continued. “It’s the total opposite from a year ago.” There were no reports of planting activity last week. A year ago, farmers in Illinois planted 5 percent of the corn crop in March and as of April 16, 41 percent of the corn crop was in the ground compared to the average of 6 percent. Ryan Frieders, a Cropwatcher from DuPage County, said it
No early start to planting season this year will take a week of dry weather and 70-degree temperatures to warm and dry the soil enough to begin fieldwork. Unfortunately, the 8- to 14day forecast last week called for below-average temperatures to linger. “The soil temperature is a concern,” said Frieders, who prefers to plant into soil that is at least 50 degrees. “The only benefit is we shouldn’t lose much nitrogen.” Frieders noted the soil moisture definitely was welcome. Parts of Northern Illinois, which were in drought last month, have improved. “We still have snow piles and the temperature is cool,” he said last week. “But I’m not complaining about the snow or moisture at all. It definitely will help in the long run.” Dean Shields, a Cropwatcher from Jackson County, said it could take at least a week to 10 days of warm, dry weather before farmers could begin
fieldwork in his area. “It’s going to be a late start for us,” Shields said. “Hardly anything has been done in the fields (including nitrogen applications on wheat). “The wheat looked good over the winter, but with the lack of nitrogen, it’s getting a little pale,” he noted. The Illinois wheat crop as of the first of last week was rated 65 percent good to excellent, 26 percent fair, and 9 percent poor. Shields wasn’t sure what to expect going forward. “Last year was the worst drought I experienced in my 40 years of farming and the year before that was the worst flood,” he said. “I’m wondering what’s going to happen this year.” Farmers during the wet spring of 2011 planted just 10 percent of the corn crop by April 25, 17 percent below average. Cropwatchers will begin filing their reports in FarmWeek on May 6. — Daniel Grant
Farmers have another chance to complete ag census GETTING PUMPED UP ON
BIODIESEL
ADDS VALUE
TO YOUR SOYBEAN CROP.
ilsoy.org
Farmers who did not respond to the 2012 Census of Agriculture have another chance. USDA recently mailed additional census forms to farmers who didn’t respond the first time. USDA will follow up with phone calls or personal visits to farmers who do not respond by April 5. The census is required by law, and farmers who do not respond could face a small fine. The original deadline to submit census forms was Feb. 4. “Information from the Census of Agriculture helps USDA monitor trends and better understand the needs of agriculture,” said Ag Secretary Tom Vilsack. Information provided in the census, which is conducted every five years, is confidential. More information about the census is available online at {agcensus.usda.gov} or by calling 888-424-7828. About 1.4 million farmers returned their census forms to USDA before the deadline. Another survey, the Ag Resource Management Survey (ARMS), mailed out recently by the National Association of State Departments of Agriculture (NASDA), asks farmers for information similar to that requested on the census. The ag census is mandatory, but the ARMS survey is voluntary. However, farmers who fill out and return the ARMS survey will fulfill their ag census obligations, according to NASDA — Daniel Grant
NATURAL RESOURCES
Page 5 Monday, April 1, 2013 FarmWeek
Southern Illinois farmers harvest nutrient stewardship National 4R award winners
source at the right rate and right time with the right placement. The Scates families are BY KAY SHIPMAN willing to try new and differFarmWeek ent practices that are susThe Scates families of tainable, said Mike Wilson, a Shawneetown harvested certified crop adviser with their largest-ever irrigated Wabash Valley Service Co. crop yields during last year’s He nominated the Scateses drought. for the award. Nutrient management “The biggest thing that played a critical role, said they want is sustainability — John Scates, who received a to conserve water and mainnational award on the famitain soil health,� said Willies’ behalf. son, who won the InternaIllinois is home to two of tional Certified Crop Adviser Award last year. “As expensive “As expensive as ground as ground is, we is, we thought, ‘Why not thought, ‘Why improve what we’ve got not improve and do better?’ � what we’ve got and do better?’ � Scates said. — John Scates He noted the National 4R award winner farms’ yields from Shawneetown have improved over the last three years since four farmers honored the 12 families began using nationwide for nutrient nutrient stewardship. stewardship. In addition to Over two years, cover Scates, Alan Madison of crops helped the soil retain Walnut also won a 4R advomoisture and nutrients. cate award from The FertilScates credited former Uniizer Institute. versity of Illinois Extension The 4R program involves specialist Mike Plummer for his cover crop advice. using the right fertilizer
IDNR to receive federal user-generated funds
The Illinois Department of Natural Resources (IDNR) will receive millions in excise tax revenue generated by sportsmen, according to the U.S. Fish and Wildlife Service (USFW). Nationwide, more than $882.4 million was to be distributed among state and territorial fish and wildlife agencies for wildlife and fish conservation and recreation projects. As a result of the sequester, the total has been reduced by 5.1 percent or about $39.2 million. Pre-sequestration, USFW reported Illinois was to have received $11.18 million in wildlife restoration and $7.228 in sport fish restoration funding. Details on sequester reductions were not available. The funding comes from excise taxes generated from the sale of firearms, ammunition, archery equipment, fishing equipment, tackle, and electric outboard motors.
Boaters also contribute through fuel taxes on motorboats and small engines. USFW’s wildlife and sport fish restoration program reimburses up to 75 percent of the cost of each eligible project while state agencies contribute at least 25 percent, generally using revenue from hunting and fishing licenses. — Kay Shipman
Wilson and felScates viewed low Wabash Valley nutrient managecrop specialist Jeff ment as far ming’s Staley helped the future: “We’re tryScates families ing to figure out develop plans for how to do it efficiently ... We up to four nitrogen don’t want to applications: prethrow out extra plant, during plantdollars, and we ing, side dress, and don’t want to top dress with a work ourselves to high-clearance A high-clearance spreader applies ammonium sulfate as a death. spreader. “We’re trying to Scates explained split-application of nitrogen to a field of standing corn in take care of the the four-application Southern Illinois. The Scates families had this rig do similar program gives the applications as part of their award-winning nutrient man- land. We’re going in the right direcfarmers flexibility agement program. (Photo courtesy Joel Gardner with tion,â€? he concludWabash Valley Service Co.) to not only adjust ed. nitrogen rates durthe nation’s second highest ing the growing season but no-till irrigated sorghum FarmWeek will profile also to decide whether more yield of 210.97, despite the award winner Alan Madison in a future issue. nitrogen is needed based on drought conditions. the growing season and crop conditions. “They could just stop (applying nitrogen),â€? WilThe Scates families of Shawneetown won a national son said. “They didn’t have award for their nutrient stewardship practices. A few of as much extra nitrogen out their practices are listed below: there (in the field) and they • Multiple nitrogen applications: Depending on the saved money, too.â€? crop’s condition, the growing season, and other factors, The Scateses can point to up to four nitrogen applications will be made in one their winning 2012 crop growing season. yields as proof that the sys• Prescription cover crops: Different cover crops tem works. are planted for specific purposes, such as improving The Scates farms harvestorganic matter, decreasing soil compaction, or increased the state’s top no-till ing soil moisture. irrigated corn yield of • Covering nutrient needs: Nutrient management 291.35 bushels per acre, the plans include micronutrients as well as macronutrients state’s third highest irrigated corn yield of 294.97, and needed by the crop. — Kay Shipman
Winning combination
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Correction
A one-act play about an elderly farm couple facing questions about the future of their farmland, “What Will Be Your Legacy?� will be performed at 6:30 p.m. Friday and Saturday at St. Matthew Church, Urbana. Incorrect information on the dates of those performances was submitted to FarmWeek and appeared in the March 25 issue. Register online at {thelandconnection.org/play}.
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RURAL HEALTH
FarmWeek Page 6 Monday, April 1, 2013
IFB nurse practitioner scholarships available BY MARTIN ROSS FarmWeek
Stephanie Barnes sees a future in which she can serve at the vanguard of rural wellness — where she and other nurse practitioners (NPs) are the reinforcements, helping ensure quality primary care for medically underserved communities.
Nurse Practitioner Scholarship — in her words, “a godsend” that’s enabled her to focus on her studies rather than overtime to pay for classes. Under the scholarship program, Barnes must serve for two years in an approved rural community following graduation from a three-year master’s program, tentatively in Decem-
Illinois Farm Bureau helps fill the gap in rural medical ser vices through its Rural Illinois Medical Student Assistance Program and Rural Nurse Practitioner Scholarship Program.
As a registered nurse logging 40 hours a week at Canton’s Graham Hospital and a student at Peoria’s OSF-St. Francis College of Nursing, Barnes has found making that future happen to be a challenge. However, her commitment to the farm community and Illinois Farm Bureau’s financial support have bolstered her vision. Last fall, the 2005 Lewistown High School graduate was awarded an IFB Rural
ber 2015. For Barnes, that goes without saying. “I’ve been a Fulton County girl my whole life — I’ve grown up on a farm outside Lewistown, a very, very small community,” she told FarmWeek. “My family’s here, I love it here. I’m not leaving here. Basically, my plan is just to provide good family health care, preventative care, with a focus on health and wellness in the rural area where, a lot of
times, there’s a very large gap in primary health care.” Deadline for 2013 scholarship applications is May 1; five $4,000 scholarships (two semester installments of $2,000) will be awarded. The program, launched in 1992, is a spinoff of the IFB-supported Rural Illinois Medical Scholarship Assistance Program (RIMSAP). The RIMSAP program has assisted more than 800 students with a recommendation for school acceptance and/or loans. For information on scholarship eligibility and applications, contact Mariah Dale-Anderson at 309-557-2350 or via e-mail at mdale-anderson@ilfb.org, or Donna Gallivan, at 309557-3754 or via dgallivan@ilfb.org. As a nurse practitioner, Barnes will be able to serve patients under the supervision of a physician at a remote location. She notes legislative proposals to allow NPs to work independently — a move which in Barnes’ view would
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provide “a huge asset to the rural communities.” As it is, Barnes sees several possible “jumping points” for her prospective new career, from the Fulton County Health Department to Graham Hospital. Fulton is a largely rural county (“We see our fair share of (farm-related) traumas”), but patients are roughly eight minutes from Peoria by helicopter.
Barnes’ own “nursing spark” was ignited by her sister, Staci, a nursing student when Stephanie was a high school senior. “Seeing the things she got to do, the people she got to help without being a physician, being there to support people in the hospital or the home setting, really spoke to me,” she related.
HEALTH CARE NUMBERS
155,000 The number of nurse practitioners nationwide, according to the American Association of Nurse Practitioners.
18 As of 2012, the number of states (including the District of Columbia but excluding Illinois) that allow nurse practitioners to diagnose, treat patients, and prescribe medications without a doctor’s involvement. In Illinois, physician involvement is required. Iowa is one of the few Midwest states that requires no such supervision, while several others require physician involvement only in prescribing drugs.
27 million The number of added Americans expected to gain health care coverage under new federal health laws.
Smartphone app guides smarter refuge
The National Corn Growers Association (NCGA) has made it easier to “Know Before You Grow” on the go. The free NCGA Insect Resistance Management (IRM) Refuge Calculator, available through the App Store on iPhones or iPads or Google Play for Android phones, enables farmers planning to plant biotech insect-resistant varieties to access geographically specific U.S. Environmental Protection Agency (EPA) IRM guidelines. Farmers can plug in their state and county — or simply use the iPhone’s current location, whether they wish to manage refuge based on acreage or on a Bt/non-Bt refuge bag/unit basis, and whether they are planting borer-resistant, rootworm, or combined stacked trait varieties. The calculator includes guidelines for all commercially available products in each category and outlines (with diagrams) refuge requirements within a field or adjacent to other farms or roadways. Growers can email guidelines to themselves or others. NCGA CEO Rick Tolman noted “quite a pipeline” of new products awaiting federal approval or commercial release and, in many cases, “backed up” in foreign markets. At the same time, farm groups and the seed industry are working to counter “unfortunate misinformation” regarding biotech safety and stewardship and resulting “pressure to slow things down” in the commercial pipeline, Tolman said. Given refuge NCGA/American Seed Trade Association awareness efforts and availability of both print and online aids, he argued IRM compliance “is not that difficult.” In the alternative, farmers risk federal agencies “telling them what they can buy and what they can’t buy,” Tolman warned. “We need to make sure farmers understand the traits they’re buying — what’s approved in what marketplace — and understand their responsibilities in terms of the refuge requirements they have with EPA,” he stressed in an RFDFarmWeek interview last week. “These biotech traits are tremendous tools — they’ve increased productivity, they’ve brought profitability to farming. They’ve been a great thing for us, and we don’t want to lose them.” Find the NCGA app at the App Store or Google Play using the search keywords “corn refuge.” — Martin Ross
PRODUCTIVITY
Page 7 Monday, April 1, 2013 FarmWeek
DuPont/Monsanto accord expected to yield new options An accord between two top U.S. seed companies is expected to expand offerings for farmers and, according to Illinois Farm Bureau Director of External Relations Ryan Tracy, offers a model for industry cooperation. DuPont and Monsanto have announced a series of technology licensing agreements that reportedly will expand the range of biotech crop products available to farmers. The agreements include a multi-year license for Monsanto’s nextgeneration soybean technolo-
gies in the U.S. and Canada. Through the agreements, DuPont-Pioneer will be able to offer its advanced Genuity Roundup Ready 2 Yield soybeans as early as 2014 and Genuity Roundup Ready 2 Xtend glyphosate- and dicamba-tolerant soybeans as early as 2015, pending regulatory approvals. DuPont-Pioneer also will receive regulatory data rights for soybean and corn traits previously licensed from Monsanto, enabling it to create an array of new stacked-trait combinations. In turn, Monsanto will have access to certain DuPont-
Pioneer disease resistance/corn defoliation patents. DuPont-Pioneer President Paul Schickler maintained “this technology exchange helps both companies to expand the range of innovative solutions we can offer farmers, and to do so faster than either of us could alone.” Illinois Farm Bureau Senior Commodities Director Tamara Nelsen applauded the companies for reaching “an amicable business decision that will foster competitiveness and farmer access to new products.” Given specific regional crop pressures, lack of an accord “could
have been tough on a lot of people in coming seasons,” IFB’s Tracy suggested. “This shows a willingness for companies to come together in an agreement which is good for the industry as a whole,” the industry relations specialist said. “It shows other companies that this process is achievable.” Illinois Soybean Association President Bill Wykes greeted the decision by two major trait providers to share technology as “great news.” In some cases, more localized varieties may lack traits important to battling specific area pressures, the Kendall
County grower told FarmWeek. In particular, Wykes is anticipating commercial availability of dual glyphosate/dicamba resistance traits. Being able to address an expanded spectrum of weeds could make a “huge difference” in crop management, especially under challenging weather conditions, he argued. “In our area, mare’s tail is an ever-increasing pressure — it’s a tough weed to control,” Wykes said. “Dandelions have become a problem along the edge of the field, and we have late-emerging giant ragweed that causes problems.”
Globally, economic growth and ag productivity run on separate tracks, at varying rates in various regions. Closing the gap between an increasingly affluent world population and a shrinking farm population will require cutting-edge/cost-effective technology, innovative producer cooperation, and consumerdriven production, according to Cory Reed, Deere and Co. senior vice president of global marketing services.
Reed, who serves the Moline-based manufacturer’s customers in 160-some countries, cites growing global gross domestic product (GDP) and related demand for more food, feed, and fuel. He said the overall long-term ag outlook “has likely never been more positive.” “But it’s also fragile,” Reed advised. “We have economic uncertainties, things we’re going through in this country around the budget, ongoing economic
concerns in the European Union, how governments particularly in developing parts of the world are regulating growth and reactions to that. “We have to be careful. The effect of that is that, with companies like us, it stifles a little bit what we might otherwise be doing in investment.” Global disparities in growth and productivity rates are “driving the need for more and better trade,” Reed said. The U.S. faces a heightened
competitive focus on “what needs to go on to get products from the high-producing markets of the world to the right places — the people who need it.” However, major new strides in ag productivity also will be crucial, Reed warned. In terms of total output vs. farm input, East Asian productivity is growing at an annual rate of about 3.1 percent. However, Reed reported economic growth is powering regional demand at
rates closer to 3.8 percent. Sub-Saharan Africa, meanwhile, is seeing solid GDP growth and “more stable governments,” but “ag productivity is not where it should be,” he said. GDP growth in many African nations is running above 2.5 percent, while annual productivity growth is averaging less than a half percent. “In many markets, it’s been negative over the last 10 years,” Reed advised. — Martin Ross
BY MARTIN ROSS FarmWeek
GDP, ag productivity moving on separate tracks
Promoting productivity Cory Reed, senior vice president of global marketing services with Moline-based Deere and Co., sees several “megatrends” that should influence global supply and demand in the decades ahead. • Global markets and volatility. The impact of economic factors such as the changing profile of agribusiness — emerging giants in the developing/semi-developed world — is compounded by wild cards such as the 2012 drought, Reed said. • Farm size growth and specialization. Reed cited key improvement in land “aggregation” crucial to larger-scale food production. He noted Brazil and the U.S. have seen “tremendous” consolidation of production but argued farmers “are finding a way to aggregate the land” even in developing and semi-developed nations such as China, where small farm plots continue to dominate local agriculture. “That can be through contractor models, where one village buys a tractor or combine and comes together to aggregate land,” Reed related. “Growth, farm size, efficiency are happening in many of those geographies around the world.” • Environmental “sustainability” and compliance — according to Reed, this is as much a consumer issue as a regulatory one. Increasingly around the world, today’s consumers “want to be close to how their food is produced and who produced it and to feel secure,” he said. • Reduced skilled labor. While Reed and company directly address global equipment challenges, he reports ag labor availability is a prime concern for producers “everywhere you go” — from the U.S., where immigration policy is tied to seasonal labor supplies and American-born offspring continue to move off the farm, to emerging nations where growing production requires an expanded labor pool. “It can’t be just the family any more,” he said. • Precision agriculture. That lack of available labor nonetheless is driving ag technology adoption across the globe, he acknowledged. Technologies such as global positioning systems and precision input application also will enable lower-income farmers “to do more with less” in the long run,” Reed suggested. “Telematics” — integration of telecommunications and information technologies — and wireless data capabilities are “critical enablers” for global rural development as well as improved ag productivity, Reed said. “The industry has to reach out, forward and backward across the industry, to connect and make sure its giving you access to the best information, the best data, whether you’re a producer, an equipment dealer, an input provider, downstream or upstream,” he maintained. — Martin Ross
SAFETY
FarmWeek Page 8 Monday, April 1, 2013
Young Leaders’ donation: ‘It meant everything’ BY KAY SHIPMAN FarmWeek
A Morris firefighter covered in grain dust thanked the Grundy County Farm Bureau Young Leaders for helping his department save a life on March 15. Thirteen months earlier, the Young Leaders donated five grain rescue tubes and funded training on grain engulfment accidents to area firefighters, including the Morris department. “It (the tube) meant everything,” Morris Fire Chief Tracey Steffes told FarmWeek. “I have looked back, and I cannot point at one piece of equipment or person and say, ‘That made the difference.’ “Every piece and part made this successful; however, if one person or piece would have failed or not been on scene, then we would have had a very good chance of failure.” Grundy County Farm Bureau Young Leader Nick Schaefer agreed: “It’s great that resource (grain tube) was there.”
The grain tubes cost $3,000 each, but the investment is worthwhile, said Young Leader member Mike Carey, because they can be used for years to come. In February 2012, the Young Leaders provided rescue training for about 50 area firefighters and 200-some farmers and grain company employees and presented grain rescue equipment to area fire departments. No one expected the equipment and training would be so valuable so soon. But on March 15, Morris Fire Protection District firefighters rescued a man from a 200,000-bushel-capacity bin that contained about 70,000 bushels of corn. From several blocks away, firefighters rushed to the scene with the donated grain tube and other equipment and freed the worker, who was trapped waist deep in corn. A YouTube video of the rescue is posted at {https://www.youtube.com/watch?v=ONY_DLe7HTg}. Steffes credited the Young Leaders’ donation for making a
critical difference: “We would not have been able to purchase the rescue tubes without them or may not have even known about these rescue items.” However, the fire chief cautioned emergency responders to take a realistic view of grain rescue equipment and not get “a false sense of security thinking if they purchase the rescue tube all of the challenges they have at the scene of a grain rescue immediately go away.” He listed as other key factors training, immediate notice about an incident, calling other departments early on for additional help, and educating onscene personal about what to do before rescuers arrive. The Young Leaders’ Schaefer and Carey applauded the many individuals who donated time and money to the Young Leaders’ annual golf outing. The money raised at the event is used for education and safety purposes. Steffes also credited his firefighters and the rescued man’s co-workers who worked as a “cohesive team” with the firefighters.
Grundy County area firefighters train with grain rescue equipment donated by the county Farm Bureau’s Young Leaders Committee. Morris firefighters used the donated equipment and the training in midMarch to rescue a man engulfed in grain.(Photo courtesy Grundy County Farm Bureau)
Animal rescue new focus for training institute BY MARTIN ROSS FarmWeek
The costs of farm and rural accidents are inestimable in terms of personal suffering, lost income and opportunity, family and community loss. When high-value animals are involved, the impact may not always be as emotionally devastating, but the economic toll is clearly calculable. This season, the Illinois Fire Service Institute (IFSI) is launching large animal rescue training aimed at helping Illinois fire-rescue departments deal with livestock- and equine-related incidents on the farm, on roads and highways, or at the fair or racetrack. The institute, based at the University of Illinois, is partnering with the U of I College of Veterinary Medicine. The new program, developed by a husband-and-wife team, focuses on using existing responder resources. For instance, IFSI Ag Rescue Program Manager Dave Newcomb reports fire hoses can be rigged into a sling to extract an animal from a ditch or pit. There are parallels in human vs. animal emergency response — Newcomb noted a steer or horse trapped in a trench may exhibit the same “suction” as a man trapped in stored corn, albeit on a larger scale. But he stressed rescue workers require “a specialized technique” to deal with the unusual needs and unpredictable reactions of trapped animals. “You got cattle running down the interstate, you’re going to have a bad day,” Newcomb told FarmWeek. “You’re dealing with a four-legged patient that weighs 1,800 pounds and doesn’t speak English.” He argues the need for animal rescue training is far-ranging — from remote Illinois livestock operations to Rantoul, where semi-loads of hogs are delivered 24 hours a day for processing, to Collar County tracks and statewide highways where “a million bucks worth of racehorses” may be at stake on any given day. Illinois Farm Bureau program director Peggy Romba notes seasonally heavy traffic in “mom-and-pop” horse trailers moving between farm and show. Newcomb recalls one incident involving a trailer filled with hay, two horses, four dogs, and a carelessly discarded cigarette butt. “The cigarette flew into the back of the trailer and caught the hay on fire,” he related. Emergency responders were able to save the horses and three of the four dogs, he said.
FROM THE COUNTIES
Page 9 Monday, April 1, 2013 FarmWeek
IMPB seeks candidates for 3-year board terms
The Illinois Milk Promotion Board (IMPB) is seeking individuals who are actively engaged in dairy production to serve on the IMPB. The IMPB administers the collection and distribution of milk checkoff funds (10 cents per hundredweight) from Illinois dairy producers. Board terms are for three years. The board is seeking candidates for District 1 and District 3, which include the following counties: District 1: Carroll, Jo Daviess, Ogle, Stephenson, Winnebago, and Whiteside District 3: Bond, Calhoun, Christian, Clark, Clay, Coles, Crawford, Cumberland, Douglas, Edgar, Edwards, Effingham, Fayette, Franklin, Gallatin, Greene, Hamilton, Hardin, Jasper, Jefferson, Jersey, Lawrence, Macoupin, Madison, Marion, Monroe, Montgomery, Moultrie, Pope, Richland, Saline, Shelby, St. Clair, Wabash, Wayne, and White Those interested in becoming a candidate for board membership in District 1 or District 3 may contact Jim Fraley, manager, at 309-557-3109 (phone); 309-557-3729 (fax); or fraley@ilfb.org (e-mail) for a petition. Completed petitions require at least 25 signatures from 25 different milk permits and must be postmarked by Friday, June 14. The election will be conducted by mail-in ballots during the month of July.
Entries sought for IAA Foundation fundraising race Runners, walkers, and others may join in the 5K Grow & Go May 11 on the grounds of the Illinois Farm Bureau Building in Bloomington. The event raises money for the IAA Foundation. The early registration deadline is May 1. Race proceeds will benefit Illinois Agriculture in the Classroom and provide free educational materials to teachers. Check-in and race-day registration will start at 7:30 a.m. The race for those 10 and younger will start at 8:30
a.m. with the 5K starting at 9 a.m. The entry fee is $20 by May 1 and $25 after that date. The fee includes a Tshirt, water stops, breakfast, and open house activities. A ticket for breakfast and open house activities only sells for $7. For a registration form or more information, go online to {iaafoundation.org} or call 309-557-2230.
Travel with other Farmers on Vacation! Autumn Leaves Tour 14 Days
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Departs: September 20 or October 4, 2013 Arrive in the birthplace of our Nation, Philadelphia and enjoy a sightseeing tour. Then your scenic journey begins offering spectacular and colorful vistas through Amish Country to Gettysburg where you will see the most important battlefield of the Civil War. Travel north with a stop at the Corning Museum of Glass into Ontario and aweinspiring Niagara Falls for two nights! Then head back to upstate New York where you will board a cruise through the 1000 Islands. Next, drive through the six-million-acre civilized wilderness of the Adirondack region, with a stop in Lake Placid and then into the forest area of New England: The White Mountains, including Franconia Notch State Park, New Hampshire, then view the incredible waterfalls at Flume Gorge and enjoy a trip on the Cannon Aerial Tramway. Next drive along the New England coast to Boston, with a city tour and visit Cape Cod , exploring Chatham and Provincetown with coastal scenery and village shops. View the gorgeous Mansions of Newport, Rhode Island en route to Bridgeport, Connecticut and tour New York City seeing all the major sights of the “Big Apple.”
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B
UREAU — Farm Bureau will hold an informational meeting at 10 a.m. Tuesday at the Farm Bureau building for people interested in becoming vendors at the farmers’ market in Princeton. • Bureau and Lee County Farm Bureaus will host a golf outing to benefit Ag in the Classroom beginning at 9 a.m. Friday, June 28, at Hunter’s Ridge Golf Course in Princeton. Cost is $200 for basic registration, $225 for super registration and $250 for premium registration. Call the Farm Bureau office at 875-6468 to register by June 21. • Farm Bureau Foundation will sponsor a tractor trek Saturday, June 22. Cost is $50. Call Dave Doty at 739-5983 or the Farm Bureau office at 8756468 to register by June 7. OOK — Call the Farm Bureau office at 708354-3276 for soil testing kits. Pricing is based on the soil sample test lab cost. • Farm Bureau will collect recipes for a 2013 recipe collection. All entries will be entered into a drawing to win a $50 gift certificate to a local
C
farmstand or grocery retailer. Email recipes and member’s name and phone number to membershipdebbie@cookcfborg or mail to Cook County Farm Bureau, 6438 Joliet Rd., Countryside, IL 60525. • Farm Bureau will host a vegetable and patio container gardening workshop for members from 9 to 11:30 a.m. Saturday, April 27, at the Farm Bureau office. Call the Farm Bureau office at 708-354-3276 or email membershipdebbie@cookcfb.org by April 24 to register. • Farm Bureau will host a shred day from 10 a.m. to noon Saturday, April 27, at the Rolling Meadows Country Financial building. Electronics may be recycled at that time and location. Call the Farm Bureau office at 708-354-3276 to register or for more information. DGAR — Farm Bureau scholarship applications are available at {edgarcountyfarmbureau.org}. Application deadline is Friday. ASALLE — Farm Bureau will soon offer a section on its website — {lasallecfb.org} — for mem-
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bers to advertise farm products, used equipment, household goods, or special services. Call the Farm Bureau office at 433-0371 for more information. EORIA — The Prime Timers will meet at 1 p.m. Wednesday in the Farm Bureau auditorium. A presentation will be given on the natural gas fracking industry. • Farm Bureau will sponsor a defensive driving course from 9:30 a.m. to 2 p.m. Thursday, April 11, and Friday, April 12, at the Farm Bureau building. Cost is $10 for members. Call the Farm Bureau office at 686-7070 for reservations. NION — Farm Bureau will sponsor a scholarship tractor drive beginning at 9 a.m. Saturday at the Old Transcraft lot behind the Anna McDonald’s. Cost is $20. Call 833-2125 for 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.
PROFITABILITY
FarmWeek Page 10 Monday, April 1, 2013
Ready for 2013 growing season? Know your agronomic data As I write this article, spring has officially arrived, according to the calendar. However, it appears reluctant to make its presence known, based on the fact much of the state got significant snow during the weekend of March 23 and Sid Parks 24, and field activity has been almost nonexistent. For some producers, the BY SID PARKS
2013 growing season means new technology purchased over the winter will be used for the first time. For others, returning to technology for recording data not used for awhile might require some refreshing of the steps needed to make things work properly. Take the extra time to clean up any old data or start with a fresh data card, and then input the necessary information as you begin any field operation. Recording accurate company, hybrid, or variety information; actual and intended
Fertilizer purchase not final
Potash Corp. is interested in expanding but has not made an official offer to acquire Israel Chemicals (ICL). A Potash Corp. spokesman last week told FarmWeek his company wants to acquire controlling interest in ICL but has not submitted an application to purchase the company. FarmWeek in the March 25 issue ran information provided by the Financial Times that Potash Corp. is attempting to acquire ICL. The spokesman also emphasized that Potash Corp., along with Mosaic Co. and Agrium Inc., last month agreed to settle a private class-action lawsuit that alleged pricing of the fertilizer ingredient violated U.S. antitrust laws simply to avoid the costs of fighting the suit. “These allegations are completely without merit, and we deny all of the claims asserted in the lawsuit,” said Bill Doyle, president and CEO of Potash Corp. “The reality is we weighed the multi-year effort in time and resources that would have been required to defend this lawsuit and determined our management should remain focused on the production of potash and serving our customers.” Potash Corp. sells its product through a marketing agency. It negotiates prices in various markets, but it does not control production, according to the company spokesman.
M A R K E T FA C T S Feeder pig prices reported to USDA* Weight 10-12 lbs. 40 lbs.
Range Per Head $29.00-$48.00 $49.69-$61.51
Weighted Ave. Price $38.38 $58.77
This Week Last Week 129,409 94,224 *Eastern Corn Belt prices picked up at seller’s farm
Receipts
Eastern Corn Belt direct hogs (plant delivered) Carcass Live
(Prices $ per hundredweight) This week Prev. week Change $71.82 $68.53 $3.29 $53.15 $50.71 $2.43
USDA five-state area slaughter cattle price (Thursday’s price) Steers Heifers
This week Prev. week $127.00 $124.68 $125.12 $125.00
Change $2.32 $0.12
CME feeder cattle index — 600-800 Lbs. This is a composite price of feeder cattle transactions in 27 states. (Prices $ per hundredweight) Prev. week Change This week $134.94 $135.08 -$0.14
Lamb prices Slaughter prices - Negotiated, Live, wooled and shorn 125-200 lbs. for 103.96-130 $/cwt. (wtd. ave. 118.28)
Export inspections (Million bushels) Week ending Soybeans Wheat Corn 3/21/2013 18.5 20.8 17.2 3/14/2013 10.0 24.0 15.9 Last year 25.4 15.4 24.8 Season total 1193.7 766.8 412.3 Previous season total 984.2 812.1 922.5 USDA projected total 1345 1025 825 Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.
planting population; or rates of crop protection products may prove invaluable at the end of the season when trying to evaluate new products or practices. Treated and non-treated areas become management zones which may be used for advanced analysis, helping in demonstrating the value of the treatment. I would encourage you to document what, when, and
future managerial decisions. Finally, I am not a meteorologist and the information provided is merely anecdotal, but I did some investigation and found data where I live in Central Illinois shows the rainfall deficit began back in May 2011 (see chart). Much of the Western United States is still extremely dry. However, the good news is Illinois has made progress catching up on the drought. Surface moisture is decent over all, field tiles are running, and lakes and ponds have made some recovery this winwhere as it relates to growing your 2013 crop. In our system, ter. However, as the subsoil we call this process FS GREEN PLAN Solutions on- moisture remains below normal in many areas, efforts to farm discovery. preserve soil moisture should If you have a good system in place, you likely already rec- still be used as you begin field operations. Here’s wishing you ognize the value of good records. If not, your FS crop a great spring. specialist has access to tools Sid Parks is GROWMARK’s and services to help with manager of agronomy information information management, empowering you to be able to technologies. His email address is sparks@growmark.com. use this information for
USDA
As a result of reduced staffing levels in Farm Service Agency (FSA) offices, the Illinois FSA state office has reduced the operating hours to one day per week in the following locations: Alexander/Pulaski, Boone, Calhoun, Rock Island, Scott, Williamson, and Winnebago counties. The office in Wabash County will be open on Thursdays only. The effective date of reduced office hours is April 7 for Rock Island and Winnebago counties. The other locations already are operating on the indicated day each week. FarmWeek submitted questions to the state FSA office concerning the reduced hours in some counties. Answers were provided by Scherrie Giamanco, the state executive director, and Rick Graden, the state executive officer. FarmWeek: Who will be responsible for the employees’ accountability on the day they are in the office in the offices that are cutting back business hours? FSA: The analysis and determination of reducing the operating hours to one day per week in the above-mentioned county FSA offices included determining available staff and county office managers, who also are known as county executive directors (CEDs). Each part-time office has a CED who works in the headquarter office that is responsible for the day-to-day management of staff and FSA processes. That CED is responsible for the oversight of all the employees associated with the part-time and associated full-time county office. Nationally, FSA was required to reduce FSA staff by 12.5 percent; however, that didn’t change the amount of work required to be completed. All of our dedicated FSA employees have the same amount of work to accomplish in the same amount of time — with less help. FW: Regarding acreage certification reports being filed for crop insurance programs, will those be able to be completed in the one day the office is open? Will there be grace periods allowed due to service reductions?
Farm Service Agency
FSA: Our FSA staff is dedicated and required to accomplish all FSA tasks and producer customer service in the allotted sign-up time periods that are set by the agency. We have empowered our FSA employees in the county offices with reduced operating hours and the associated full-time office with full computer access for both counties, regardless of which county office the farmer visits. Example: County A is the associated full-time FSA county office and County B is the part-time FSA county office. A farmer who in the past visited the County B office can now visit County A five days a week or County B on the day that county FSA office is open and conduct any and all FSA business. Therefore, acreage reporting for FSA and crop insurance can be completed either on the one day the county office is serving farmers or by visiting the associated fulltime county office five days a week. We strongly recommend that farmers contact the county office to inquire if the county conducts sign-up and crop certification by appointment or walk in. Farmers should consider transferring their farms to a specific surrounding county FSA office that may be more convenient for them to visit and conduct FSA business. There will be no grace period allowed, unless the national office determines that an extension for sign-up/certification should be granted to all farmers nationwide. FW: How will the current county FSA committees (in reduced-hour offices) be used and communicated with during the transition period? Will they still maintain their current role? Will there be a new job description for the county committee? FSA: There is no change to the responsibility and important role of the FSA county committee in reduced-operating-hour county offices. FSA county committee meetings will still be held in the parttime county offices and will be facilitated by the CED responsible for that part-time county office.
PROFITABILITY
Page 11 Monday, April 1, 2013 FarmWeek
Stocks estimates shock trade CASH STRATEGIST
As we alluded last week, the USDA quarterly grain stocks numbers were the key data the trade was looking to for direction. Unfortunately, all of the March 1 stocks numbers were significantly higher than the trade expected, especially for corn. When the numbers were released, the trade acted decisively, quickly dropping oldcrop corn futures to limit losses. Options trading, which has no limits, was implying prices were another 10-15 cents lower. The speed of the break may have been enhanced by liquidation of long positions held by speculative funds that had been increased 467 million bushels over the last couple of weeks. The break likely hit stops, limiting risk on those positions. And subsequent sell orders to liquidate more kept corn futures at limit losses. This week, the discussion in the trade will turn to why stocks might have been significantly larger than anticipated. Often, many forget traders use known consumption, along with a statistical estimate of feed/residual demand, to calculate their forecasts. USDA counts inventory. It surveys every known commercial facility for the off-farm number. The on-farm number comes from a survey of producers. It has a sampling error equivalent to 65 million bushels, still leaving much of “the miss” unexplained. But USDA depends on producers being able to accurately assess the number of bushels they have on hand. And with the large bins that have been
built over the last few years, it appears producers may be having more difficulty making an “educated guess” of bushels they hold. Volatility in stocks numbers the last 3 to 4 years reinforces that notion. By the March 1 survey, producers had shifted from putting corn in the bin to taking it out. They had removed 42 percent of the corn that was stored on farm, potentially giving them a better feel for the number of bushels that remained. Looking back, it may be that the Dec. 1 number was too small. You’ll remember that number triggered a rally that lifted corn prices 50 cents the following two weeks. It implied fall feed consumption was unusually heavy. Looking ahead to the April 10 supply/demand report, expect USDA to make a big adjustment in its feed/residual number. It could be revised down 100 million to 150 million bushels. Along with that, imports could be revised up slightly, leading to an ending stocks projection in the 750-million-bushel to 800million-bushel range. Soybeans will not be left out in the revision process with those inventories coming in 50 million to 60 million bushels above expectations. With demand relatively well known, the larger stocks suggest last year’s crop was somewhat better than currently believed. But the first chance USDA will have to revise that doesn’t come until after the Sept. 1 stocks are known. Because demand continues to be relatively robust, not all of the extra bushels are likely to be added onto the last ending stocks forecast of 125 million bushels. Still, expect USDA to raise its ending stocks estimate to 150 million to 160 million bushels in the April 10 report.
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Corn Strategy
ü2012 crop: The largerthan-expected March 1 corn stocks dented even mildly friendly hopes for corn prices. May futures didn’t quite get to our $7.40 catch-up target. We aren’t inclined to chase the break, but you should use a rebound to $7.05 on May futures for catch-up sales. We could add to them if that’s achieved. Check the Hotline. ü2013 crop: The postreport action changed the picture, but more for old-crop corn than new crop. It’s still a little too soon to chase new-crop prices lower. Use a rebound to $5.55 to make catch-up sales. Plan to use the next rebound to add another increment. vFundamentals: The quarterly USDA grain stocks report took away the bullish ammunition traders had been counting on to lift prices farther into the spring. While stocks are still tight and should keep prices from collapsing, they aren’t tight enough to lift them back to the pre-report levels. At the same time, there’s more imports headed for the southeast U.S. from Argentina.
Cents per bu.
Soybean Strategy
ü2012 crop: Given the March 1 stocks, and improvement in Brazilian shipping problems, there’s little to get excited about for old-crop soybean prices. Use rallies to $14.20 on May futures for catch-up sales. We wouldn’t be opposed to selling inventories, other than summer “gambling” inventories. ü2013 crop: Use any small rebound to get caught up to new-crop sales recommendations. Make sure you are at recommended levels if November futures close below $12.47. vFundamentals: While the new USDA numbers weren’t as much of a surprise for soybeans as they were for corn, the soybean market also is fighting the steadily increasing flow of South American supplies into the world pipeline. Confirmation of South America’s large crops and the additional bushels in the U.S. will trigger more liquidation of long speculative
positions. And even though new-crop acreage was less than expected, it still is big enough to potentially build stocks in the new crop year.
Wheat Strategy
ü2012 crop: The shortterm trend turned negative, with the Chicago May contract now poised to test the $6.81 low. Hold off on selling into weakness; wait for a rebound. Check the Hotline daily, as we may wrap up old-crop sales at anytime. ü2013 crop: Wait for Chicago July to trade above $7.15 before making catch-up sales.
vFundamentals: The USDA quarterly stocks and prospective planting report cast a bearish tone on the wheat market. U.S. winter wheat acreage is expected to increase to 41.9 million acres from 41.32 million last year. The stocks number, 1.234 billion bushels, also exceeded trade expectations. The only factor that may limit downside price risk is continued concern about the condition of the hard red winter crop in the Southern Plains. The current outlook calls for belownormal temperatures the first part of April, increasing the risk of more freeze damage.
PERSPECTIVES
FarmWeek Page 12 Monday, April 1, 2013
In spring, thoughts turn to
THUNDERSTORMS
Growing up on a farm, I used to love watching thunderstorms coming in, the flash of the lightning, and the rush of wind and rain. As an adult, I’ve become a little more apprehensive, but still enjoy seeing the bulging clouds and flashes of a storm in the distance. Meteorologists have classified four thunderstorm types — single cell, training multi-cells, squall lines, and supercells. A single cell storm is what you see on a warm summer afternoon when a single cloud may grow into a thunderstorm. These storms may have DUANE FRIEND some lightning, brief rain, and some small guest columnist hail, but they usually do their thing and are done in less than an hour. A training thunderstorm is actually multiple thunderstorm cells, all lined up one behind the other like a train. These form when downdrafts from adjacent storms push air at the surface up, forming additional cells, one behind the other. Heavy rain is a concern from these storms, as multiple cells pass over the same area. Hail, lightning, and weak tornadoes also may accompany these storms. A squall line looks like one very wide storm, but in this case is multiple cells lined up side by side. A rush of wind called a gust front may immediately precede the storm, and these straight-line winds may reach up to 90 or 100 mph in extreme cases. Brief intense rain, hail, and weak tornadoes also may be part of a squall line. Advancing strong cold fronts are usually the cause of these storms. A supercell is a massive, 5- to 15-mile-wide storm that rotates. Sometimes it is called a mesocyclone. These are the scary storms. They can bring heavy rain, large hail, numerous lightning strikes, and the possibility of super tornadoes with wind speeds more than 250 mph. These storms also can last for several hours, and the storms can travel faster than 60 mph. Supercells often form along something called a dry line. This is a boundary between warm, moist air from the Gulf, and hot, dry air from the southwestern U.S. Dry lines are more commonly found in Oklahoma, Kansas, Arkansas, Texas, and Missouri, but they can be found from time to time in Illinois, especially from March to early June. Whether you like watching storms or not, it is still necessary to keep informed on weather conditions, especially in the spring, when the possibility of thunderstorms is greatest. For more information on severe weather forecasts, visit the National Weather Service Storm Prediction Center at {spc.noaa.gov}. Storm preparedness information can be found in the U of I Extension website at {web.extension.illinois.edu/disaster/storm/sw_thunder.html}. Duane Friend is a University of Illinois Extension energy and environmental stewardship educator based in Jacksonville.
“Convincing and educating the consumer that we (farmers) What is the most chalare producing in a lenging issue facing responsible agriculture today? manner. We Editor’s note: Members of the are not polIllinois Farm Bureau Strength luting or harming the environwith Advisory Teams (SWAT) ment.” were asked for their views on several questions. Their Sam Zumwalt responses will appear periodiHancock County cally on the Perspectives page.
The view from our farms: then, now Editor’s note: Illinois farmer Katie Pratt described uses of biotechnology on her farm in a winning essay selected by the Hawaii Crop Improvement Association. Pratt wrote for a non-farm audience. My dad chuckles when I ask him how biotechnology has changed the way he farms. “I spent my summers cultivating corn,” he remembers. “Back and forth over those fields, fighting the grass and weeds.” My uncle chimes in with a wink, “And someone would have to walk behind the cultivator pushing the dirt off the corn, just in case the driver couldn’t keep it straight.” I remember walking beans with my grandfather a few times. A hoe was our only line of defense against the thistles and weeds that threatened to choke out the plants. KATIE Growing up, PRATT I don’t know that I paid too much attention to how we farmed. I remember my dad and grandfather spent a lot of time in a tractor seat throughout the growing season. When pressure built from a specific insect, disease, or even worse, a drought (like that of 1988 or 2012), I remember the hushed conversations my parents shared at the dinner table. Those events could cost a farm family their farm and their livelihood. Today, my husband (a seventh-generation farmer) and I farm just up the road with our children and his family (his parents, his brother, and his wife). We raise 5,500 acres of corn, soybeans, and seed corn for a regional family-owned seed company. Our success as farmers depends on our ability to manage our fields by keeping the soil fertile, grow a good crop, market that crop, and plan for the future. Biotechnology plays a key role in our success. We use a variety of biotech-
nologies on our farm. We plant seeds from various seed companies, which allows us to use multiple modes of action to control pressure on the seeds. Modes of action could be a type of pesticide or a method of tilling the soil or cultivating a crop. My husband estimates that in the time he has farmed, biotechnology has actually eliminated two rounds of pesticide application from our plant-care routine. With our knowledge of plant science, we are able to enhance specific genes, giving many types of plants the ability to grow stronger root systems, manage water intake and preservation, use nutrients from the soil more effectively, grow in less-than-ideal conditions, and produce a larger crop. Essentially, we’ve given the plant’s immune system a boast and afforded it the ability to fight its own battles with success. Biotechnologies are available to all farmers, gardeners, and consumers. It is the reason we have seedless watermelons, container-sized tomato plants, and patio blueberry bushes. Advances in biotechnology are helping to fight blight in hazelnut trees and disease in potato fields. Why is that necessary? Because our world population is growing at an astounding pace, and we have fewer acres, less water, and fewer people actually involved in production agriculture. Younger farmers, like my husband and me, are more aware than ever before of our responsibility to hone our skills as stewards of the land, water, and air and judiciously embrace proven science. The average age of the American farmer is pushing 55, and with less than 2 percent of our population involved in the actual growing of our food, fuel, and fiber, biotechnology is allowing us younger farmers to farm more acres (acres rented or purchased from retiring farmers,
keeping good farm ground in production and out of development) and produce a higher yield on those acres, contributing more to the world’s growing appetite, and on a smaller scale contributing to our local economies. Linking biotechnology with the strength of a local community seems far-fetched, but in my little part of rural America the success of several businesses that employ many people hinges on the success of local farmers. With a good crop year comes a farmer’s willingness to purchase new equipment, make improvements to the farm, which might include installing waterways and buffer strips along creeks and streams; building barns, grain bins, or fence rows; purchasing feed or fuel. Biotechnology is giving us the opportunity to be environmentally and economically sustainable. My dad contends that biotechnology in not the solution to all agricultural problems. It offers farmers tools to manage our soil environments, not control them. Biotechnology must be used responsibly in order for the science to remain effective on our farms. We must plant refuges (acres of non-biotech seed) in order to keep a control area. We must vary our production practices by using multiple modes of action instead of relying on one. And we must remember that what we know about nature, about rain and sun, about wind and soil, also play a significant role in growing a crop. Science will never replace Mother Nature. But with challenges facing our growing world, we must learn to farm with both.
“Increased regulations on fertilizer, pesticides, dust regulations, animal production and manure handling.”
“Volatility of input prices, market prices, and regulations is the most challenging issue today.”
“Maintaining profitability in lieu of consumer misperception and increasing regulation.”
Dennis Haab Livingston County
Brad Hester Marion County
Doug Scheider Stephenson County
Katie Pratt is a Lee County Farm Bureau member from Dixon. For more on Pratt’s views on this issue and the catalyst for this column, read her blog at {illinoisfarmgirl.wordpress.com/2013/03/18/in-theland-of-sun-sand/}.