ThE STaTE’S Classrooms First Commission is seeking to improve opportunities for students to learn and to reduce duplicative administrative costs. .......................2
T h E a m E r i c a N Fa r m Bureau Federation now supports designation of the U.S. Army Corps of Engineers as lead agency in certifying river levees. ............................5
Monday, January 23, 2012
agriViSor aND couNTry Financial are offering farmers a chance to get a risk management check-up via three meetings this month and next. ...........................12
Two sections Volume 40, No. 4
Nelson: Farm bill foundations already are framed BY MARTIN ROSS FarmWeek
A pre-election farm bill is possible “if we don’t have to go back to the starting blocks,” Illinois Farm Bureau President Philip Nelson advised last week. In what Nelson deemed the “starting point” for 2012’s farm bill debate, the Congressional Budget Office currently is “scoring” the projected long-term budget cost of various com modity program proposals. Congressional farm bill testimony is expected to begin by mid-February, with Senate hearings likely to kick off the discussions, he said. House-Senate ag committees last fall proposed $23 billion in cuts in commodity, conservation, and nutrition spending. Based on that target and given the American Farm Bureau Federation’s (AFBF) newly approved ag policy outline, Nelson believes “we can come up with the dollars Congress is probably going to affix to agriculture.” Meanwhile, other farm groups will chime in with their preferences. Under a “best-case scenario,” Nelson suggests a
farm bill could be voted on by September if ag lawmakers are willing to build on last fall’s existing budget framework. “If that does not happen, then something probably will come forward after the elections, and hopefully we can get it passed before the end of the year, before the current farm bill expires,” he said. While he views a strong crop insurance program as “job No. 1” for lawmakers, Nelson argued the need to “keep the avenues open” with regard to a new or modified revenue protection or disaster-type program. AFBF backed the concept of a “catastrophic” program triggered by more devastating losses while enabling producers to further buffer risk through buy-up insurance policies. Given that such a program would replace direct and existing countercyclical payments, Nelson stressed program details and parameters will be crucial: Too low a revenue guarantee might amount to no more than “CAT coverage for Illinois” — a reference to now-defunct basic cata-
strophic crop insurance. A new University of Illinois analysis suggests AFBF’s program concept as originally designed could deliver payments of as much as $2.72 per planted acre of corn at a 70 percent coverage level or $11.09 per acre at an 80 percent level. Soybean growers experiencing a loss could see payments of 68 cents per acre under 70 percent coverage or $4.40 with 80 percent coverage, U of I economist Gary Schnitkey projected. At the same time, in the wake of proposed ag spending cuts, Springfield Democrat Sen. Dick Durbin and bipartisan colleagues have spearheaded a socalled “shallow loss” revenue concept that would cover more minor revenue shortfalls. That’s an approach congressional supporters potentially “are not going to let go of easily,” Nelson said. During a U of I seminar last week, USDA Chief Economist Joe Glauber said he anticipated “a pretty long year” in ag policy debate, given the collapse of fall budget-deficit proposals combined
with a seemingly irrevocable, “pretty big change in direction from where we’ve been.” Glauber sees last fall’s $23-billion benchmark as “kind of the starting point” for debate. But he notes “the analytical issues” involved in evaluating potential program impacts “are just very difficult,” and argues that in the current political environment, “almost any piece of legislation gets contentious.” As such, Glauber sees odds on the 2012 Joe Glauber farm bill being passed in 2012 at “about 50-50.” Lame duck passage may be the best prospect for 2012, he suggested. “It’s not unusual for farm bills to get passed in the early months of the next year,” Glauber stressed in a Friday RFD Radio-FarmWeek interview. “It will get done — it’s just a question of when.”
More on permits coming to GALC
New NPDES pesticide permits to apply to common practices
BY KAY SHIPMAN FarmWeek
Periodicals: Time Valued
New regulations that took effect Oct. 31 will impact a variety of pesticide applications “to or over water or at water’s edge,” according to
Leslie Lowry with the Illinois apply pesticides to or over Environmental Protection water or ditches on their propAgency (IEPA) water pollution erty,” Lowry said. control division. “If you apply product to a Necessity for a permit is a dry waterway or ditches, but result of a Sixth Circuit Court (they) could have water at of Appeals decision that pesti- some time, you do need to cide discharges into U.S. waters apply for a permit.” are pollutants, and applicators Under the regulations, a needed a permit under the person who needs a permit Clean Water Act. would be an operator, as Lowry at last week’s Illinois defined by IEPA, who applies Fertilizer and Chemical Assopesticides labeled for aquatic ciation (IFCA) annual conven- use to or over water or at a tion in Peoria discussed the water’s edge, Lowry said. A new regulations and situations permit also would be needed that would require acquisition to apply non-aquatic-use pestiof a National Pollutant Discides to ditch banks and at the charge Elimination System water’s edge. (NPDES) permit. She admitted neither U.S. A session on NPDES perEPA nor IEPA has defined “at mits also will be offered during water’s edge,” and the distance the Illinois Farm Bureau govmay be as far as 10 feet from Leslie Lowry, left, of the Illinois Environmental Protection Agency anernmental affairs leadership the edge. “You have to use swers a question from Chuck Hotzworth, right, of Hotzworth Flying conference in February. IFB your best professional judgService, Virden, while Craig Lant of Good Hope Fertilizer, Good Hope, submitted comments to IEPA ment on whether (an applicabased on the organization’s tion is) at water’s edge,” Lowry listens. Lowry explained rules for a new National Pollutant Discharge Elimination System (NPDES) pesticide permit during last week’s Illinois opposition to the regulation. told IFCA members. Fertilizer and Chemical Association annual convention in Peoria. (Photo “Farmers are not exempt by Kay Shipman) See NPDES, page 3 from (needing) a permit to FarmWeek on the web: FarmWeekNow.com Illinois Farm Bureau®on the web: www.ilfb.org
FarmWeek Page 2 Monday, January 23, 2012
Quick takes STATE STREAMLINES PERMIT PROCESS — Obtaining an environmental permit from the state is expected to be faster with a new website {http://www.epa.state.il.us}. The website also allows applicants and other interested parties to track the Illinois Environmental Protection Agency’s decision-making process. The portal resulted from state law that was signed last July. “This process will help us grow our economy by cutting red tape for businesses, while also maintaining our strong commitment to the environment,” said Gov. Pat Quinn. Several other measures have been or will be implemented in the near future that will increase efficiency and reduce the time it takes to receive an environmental permit in Illinois. One tool, known as the Registration of Smaller Sources (ROSS) program, is tailored to smaller sources of air pollution, rather than requiring them to undergo the extensive permitting process for larger sources. AFBF PRIORITY ISSUES — American Farm Bureau Federation (AFBF) last week issued its list of “priority issues” for Congress in 2012. AFBF President Bob Stallman said the organization must focus its resources on a short list of issues to wield influence in an election year. “It’s very important that we pass a farm bill in 2012,” Stallman said. “The current one expires at the end of 2012. Farmers need some certainty; they need to understand what the rules are.” Other priority issues for AFBF in 2012 include securing an adequate ag guestworker program, urging the U.S. Department of Labor to maintain the traditional exemption for family labor for children of farmers and ranchers, and estate tax policy reform. BIODIESEL GOES BIG — Renewable Energy Group Inc. (REG), the largest U.S. biodiesel maker, which has two Illinois plants, raised $72 million in its initial public offering (IPO) last week, pricing shares below a proposed range. The company, which turns soy oil and other crop and animal-based feedstocks into biofuels, sold a reported 7.2 million shares for $10 each. Renewable Energy earlier had offered them for $13 to $15. The stock has begun trading on the Nasdaq Stock Market under the symbol REGI. REG oversees 105 million gallons in combined biodiesel production capacity at Danville and Seneca. INDEX INDICATIONS — The Bureau of Labor Statistics (BLS) has released its Consumer Price Index for 2011, showing an overall inflation rate of 3 percent in 2011 after a 1.5 percent increase in 2010. This was the largest December-December increase since 2007, according to BLS. The index for food accelerated in 2011, rising 4.7 percent compared to a 1.5 percent increase in 2010. The index for food at home rose 6 percent in 2011 compared to 1.7 percent in 2010. All six major grocery store food group indexes rose in 2011, with increases ranging from 2.3 percent (fruits and vegetables) to 8.1 percent (dairy and related products). The index for food away from home rose 2.9 percent in 2011 after increasing 1.3 percent in 2010.
(ISSN0197-6680) Vol. 40 No. 4
January 23, 2012
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.
Address subscription and advertising questions to FarmWeek, P.O. Box 2901, Bloomington, IL 61702-2901. Periodicals postage paid at Bloomington, Illinois, and at an additional mailing office. POSTMASTER: Send change of address notices on Form 3579 to FarmWeek, P.O. Box 2901, Bloomington, IL 61702-2901. Farm Bureau members should send change of addresses to their local county Farm Bureau. © 2012 Illinois Agricultural Association
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 (bstandard@ilfb.org) Advertising Sales Manager
Richard Verdery (rverdery@ilfb.org) Classified sales coordinator
Nan Fannin (nfannin@ilfb.org) Director of News and Communications
Dennis Vercler 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
government
State billions in the red; tough budget anticipated BY KAY SHIPMAN FarmWeek
The State of Illinois owes an estimated $8.5 billion in overdue bills, Illinois Comptroller Judy Baar Topinka reported last week. “One year after Illinois raised individual and corporate income tax rates, the state remains in a precarious fiscal position with persistent payment delays — and the situation is unlikely to significantly improve in the near-term,” Topinka wrote. A major question about the state’s fiscal crisis will remain unanswered until the General Assembly passes a new budget, said Kevin Semlow, Illinois Farm Bureau director of state legislation. “There has been no clear plan presented to address the backlog of bills — and the ongoing increasing costs of pensions, Medicaid, and other operating costs,” Semlow said. “That is expected to be the focus of the governor’s Feb. 2 State of the State Address and the Feb. 22 budget message.” According to Topinka, higher income tax rates and increased consumer spending led to a rise in state revenue. For the first six months of fiscal year 2012, individual income revenue increased $2.6 billion or 65.9 percent while corporate income tax revenue increased $180 million or 24.1 percent. At the same time, sales tax revenue grew by $202 million or 5.8 percent compared to the previous year. Meanwhile, revenue from the federal government has dropped by $1.636 billion or 55.2 percent, primarily due to a decrease in the federal reimbursement
rate for Medicaid payments. On the spending side, general state spending has decreased in total by $1.057 billion or 6.5 percent through the second quarter of the fiscal year. Topinka speculated base spending “will probably increase dramatically for the rest of the year.” She pointed to higher spending for Medicaid and a “surge” in state employee pension spending in the third quarter. “It is the obligation of the General Assembly to approve a state budget. We anticipate that is what legislators’ focus will be in the spring session,” Semlow said.
Simon: One size won’t fit all school districts Student learning and school efficiency lack a general solution for Illinois’ diverse needs — a point that was reinforced to a state education commission and its chairman, Lt. Gov. Sheila Simon. There “is not a one-sizefits-all solution,” Simon told FarmWeek. “We have to be more creative.” The Classrooms First Commission is seeking to improve opportunities for students to learn and to reduce duplicative administrative costs. The commission held public hearings last year and will give its recommendations to Gov. Pat Quinn and the General Assembly this year, possibly by April. A proposal to reduce the number of districts statewide either based upon student enrollment or the type of district by creating all unit districts would be an expensive option, based on information from the Illinois State Board of Education (ISBE). Unit districts have high school and lower grades, while dual districts have either elementary or high schools. State incentives alone would cost $3.1 billion over four years to offset staff salary differences if 478 dual districts
were merged into 101 unit districts, according to ISBE. The resulting merger would realign “high performing, wellfinanced districts at great cost in associated incentive payments,” according to ISBE. “It’s important to know all
There ‘is not a one-size-fits-all solution. We have to be more creative.’ — Lt. Gov. Sheila Simon
of that, including the statutes that currently provide (consolidation) incentives,” Simon said. “If we talk about taking away the incentives, there would be even less interest in consolidation.” District enrollment, both too small and too large, may be detrimental. Many people assume, and some research supports their assumption, that school enroll-
ment may be too small to provide students with a quality education and be cost efficient, Simon said. However, districts with enrollments above a certain number also are less efficient, she noted. Illinois’ diversity doesn’t support simple formulas, such as a minimum district enrollment, according to Simon. “Several countywide districts already exist. I don’t think we want to push that (geographic size),” Simon said. Local control of education is valued, and educational opportunity is the primary factor that influences educators, parents, and school boards on consolidation matters, the lieutenant governor said. “Virtual consolidation” is one idea that has surfaced. Simon described it as virtual sharing of staff, such as a payroll clerk, or buying services, such as insurance, to reduce costs. Districts also may use technology to share curriculum and instructors, she noted. Simon speculated the commission may seek public input on its draft recommendations through future public meetings. — Kay Shipman
Page 3 Monday, January 23, 2012 FarmWeek
gOvErNmENT
IFB leadership conference touted IEPA answers questions as ‘one of the best’ opportunities about NPDES permits him stay current on animal agriculture issues and political issues, which are important to Farm Bureau members who haven’t experisomeone involved with a political action comenced a Governmental Affairs Leadership Con- mittee. ference (GALC) are missing one of the organiBureau County Farm Bureau manager Jill zation’s best meetings, according to three past Frueh said she encourages members from her participants. county to attend because they are given access “I’ve told people for years the (GALC) conto information related to legislation and other ference is the best thing Farm Bureau puts out,” issues. GALC participants also are able to hear said Vermilion County Farm Bureau member from a variety of state agency staff and legislaDavid Sadler. tors, she added. GALC will offer two days of issue-oriented “There are so many aspects rolled into one sessions and workshops Feb. 29 meeting,” Frueh said. through March 1 at the Crowne Conference registration is FarmWeekNow.com Plaza, Springfield. being offered for either or both Cook County Farm Bureau To register online for the up- days. The cost is $50 for member Gerald Kopping point- coming GALC conference, visit Wednesday only, $30 for Thursed out GALC gives participants day only, or $70 for both days. FarmWeekNow.com. different opportunities, including Participants may select from a chance to have personal questions answered. nearly 30 workshop topics that range from In his case, the questions were related to a semi transportation and environment to local govthat he had purchased. ernment and rural development. A statewide With a chuckle, Kopping said he received legislative reception will be conducted Wednes“answers to questions to keep me out of trouday evening. ble.” Hotel reservations are due directly to the Sadler agreed the breakout sessions deal with hotel by Feb. 1. pertinent issues and are scheduled so members To register for the conference or to obtain may attend several in which they’re interested. additional information, contact your county Kopping said breakout sessions have helped Farm Bureau or go online to {www.ilfb.org}.
BY KAY SHIPMAN FarmWeek
DATEBOOK Jan. 23 Tillage seminar, Rolland Lewis Community building, Mt. Vernon. On-the-Road seminar, 10 a.m. Winnebago County Farm Bureau, Rockford. On-the-Road seminar, 1:30 p.m. Pearl City fire station. Call 815-2323186. Jan. 24 Tillage seminar, Illinois Department of Agriculture building, fairgrounds, Springfield. On-the-Road seminar, 9:30 a.m. Menard County Farm Bureau, Petersburg. On-the-Road seminar, 2 p.m. Mason County Farm Bureau, Havana. Jan. 24-25 University of Illinois crop management conference, Gibby’s on the Green Conference Center, Whittington. Jan. 25 Tillage seminar, Celebrations 150, Utica. On-the-Road seminar, 9 a.m. Peoria County Farm Bureau, Peoria. Jan. 26 – March 29 Illinois Living on the Land 10-week course. 6 to 9 p.m. Thursdays. University Extension offices in Boone,
Sangamon, Stephenson, and Will counties. Jan. 30 On-the-Road seminar, 6 p.m. Jackson County Extension office, Murphysboro. Jan. 31 On-the-Road seminar, 7:30 a.m. Union County Farm Bureau, Jonesboro. On-the-Road seminar, 6 p.m. Gambit Golf Course clubhouse, Vienna. Jan. 31-Feb. 1 University of Illinois crop management conference, Northfield Inn Conference Center, Springfield. Feb. 1 On-the-Road seminar, noon, Grecian Steakhouse, Pinckneyville. On-the-Road seminar, 6 p.m. FS Building, Marion. Feb. 2 On-the-Road seminar, 7:30 a.m. Franklin County Farm Bureau, Benton, 618-435-3616. On-the-Road seminar, 6 p.m. Saline County Farm Bureau, Harrisburg. Feb. 3 On-the-Road seminar, 1 p.m. Lawrenceville County Farm Bureau, Lawrenceville. Feb. 6 On-the-Road seminar, 8
a.m. Christian County Farm Bureau, Taylorville, 217-824-2940. Feb. 7 On-the-Road seminar, 7:30 a.m. Shelby County 4-H Center, Shelbyville, 217-774-2151. On-the-Road seminar, 1 p.m. Macon County Farm Bureau, Decatur. Feb. 7-8 University of Illinois crop management conference, I-Hotel and Conference Center, Champaign. Feb. 9 On-the-Road seminar, 9 a.m., Piatt County Farm Bureau, Monticello, 217762-2128. Feb. 10 Illinois Winter Wheat Forum, Krieger’s Holiday Inn, Mt. Vernon. Feb. 21 On-the-Road seminar, 6 p.m. Knox County Agri Center, Galesburg. Feb. 21-22 University of Illinois crop management conference,
Kishwaukee College Conference Center, Malta. Feb. 24 On-the-Road seminar, 1 p.m. John Wood Community College Ag Center, Perry.
The Illinois Environmental Protection Agency (IEPA) provided the following answers to questions about new regulations for the National Pollutant Discharge Elimination System (NPDES) pesticide per mit. Question: If you apply an ag ricultural herbicide to crops, but it also is labeled for aquatic use, do you need an NPDES per mit? IEPA: No, as long as the application of the product is ter restrial only. Q: If you apply the same product to treat ditches, waterways, or areas that may be dr y at the time of application but could have water in them, do you need an NPDES per mit? IEPA: Yes, the application of pesticides to ditches or waterways reg ardless of whether they are dr y or contain water requires an NPDES per mit. Q: If a far mer is applying pesticides to or over waters of the state or at waters edge (ditches) on his proper ty, does he need an NPDES per mit? IEPA: Yes, this is not an exempt activity and would require NPDES per mit coverage. If a pesticide is applied to waters of the state and no NPDES per mit is obtained, both the landowner and the applicator may be held liable for a violation of the Clean Water Act. Q: If I own a pond and the pond has an overf low that may discharge water to another body of water that is within the state or f lows within the state and I want to treat my pond with a pesticide for weeds, do I need an NPDES per mit? IEPA: Yes. In this case, the pond is considered a water of the state because it has a hydrologic connection that would lead to a water that f lows within or through the state. Q: Do you need to keep a copy of the NPDES permit on your person when applying pesticides to or over waters of the state or at waters edge? IEPA: No. Q: Do you need a pesticide applicator license to get an NPDES per mit? IEPA: No, there is no requirement for a pesticide applicator license prior to obtaining an NPDES permit. Q: Is someone who sells pesticides over the counter required to tell a customer about the oblig ation to get an NPDES per mit if he applies the product to or over waters of the state or at waters edge? IEPA: No, the seller is not required to infor m pesticide users of per mit requirements and is not liable for pesticide applications made without an NPDES per mit.
NPDES
Continued from page 1 Under IEPA’s definition, an operator is an individual who is associated with the application, including the one who hires the applicator or decides to apply the pesticide or the person who applies the pesticides or has day-to-day control over pesticide applications. All individuals defined as operators who need a permit have to file a notice of intent with IEPA, according to Lowry. She explained that water does not have to be present to require a permit for a pesticide application. “If you own a pond and it may overflow into the waters of the state and you want to treat it (the pond) for weeds with pesticide and it has an overflow structure — even if it is not overflowing at the time but could overflow at any time — you need a permit. (In those cases) farmers, private homeowners, everybody has to file a notice of intention and get a permit,” she said. IEPA staff is “trying to do as much outreach as we can,” Lowry said. “This (permit) is not IEPA’s idea. We are doing this because we are the delegated agency (by U.S. EPA). The only way this will go away is by an act of Congress.”
FarmWeek Page 4 Monday, January 23, 2012
goverNmeNt
Trade agency reorganization bad shuffle for ag? BY MARTIN ROSS FarmWeek
A White House proposal to merge federal trade agencies raises concerns about the U.S. Trade Representative’s (USTR) continued international clout, its role in ag trade issues, and the administration’s overall trade commitment. President Obama has asked Congress to grant him “fast-track” authority to consolidate USTR and the trade functions of the Small Business Administration, the Export-Import Bank, the Overseas Private Investment Corp., the Trade and Development Agency, and the U.S. Department of Commerce. The American Soybean Association maintains USTR should remain an
independent agency within the Executive Office of the President, “focusing on trade negotiations, trade agreements, and trade enforcement.” Arguing “enactment of trade agreements has been a hard slog with the president,” Sen. Charles Grassley (RIowa) fears the plan would bump trade down on Obama’s priority list. Illinois Farm Bureau President Philip Nelson noted concerns that USTR “could get lost in the shuffle” under the plan. Washington trade consultant Kyd Brenner told Far mWeek “the devil’s in the details” and warned moving USTR into Commerce or another department (as some speculate) poses some “unintended
consequences.” “USTR is a direct arm of the White House,” he said. “That gives the U.S. trade
FarmWeekNow.com Go to FarmWeekNow.com to listen to President Nelson’s interview with RFD Radio.
representative stature with trade ministers in other countries. They understand they’re dealing with someone who works directly for the president. “If USTR were subsumed into a Cabinet department, the trade representative and his staff could be viewed as having a little less plug-in with the senior level of policymaking.” USTR plays “the coordinating role” in trade policy between agencies, Brenner
House small business panel to scrutinize ‘child labor’ rule Washington lawmakers are gearing up to consider what constitutes a “family farm” and the extent to which younger family members may be permitted to work on one. The House Small Business Committee is planning an early February hearing to explore proposed U.S. Department of Labor (DOL) ag “child labor” rules and their impact particularly for family farm businesses. Largely at issue is an existing ag parental exemption which allows juveniles under 16 to work on their parents’ operations. DOL proposals already pose key questions about minors being able to perform
farm chores for grandparents, uncles, or other relatives, but American Farm Bureau Federation regulatory specialist Paul Schlegel suggests labor provisions could idle even sons or daughters. As stated, DOL guidelines could restrict activities by farm children in operations structured as a limited liability company (LLC); a Subchapter S corporation that elects to pass corporate income, losses, deductions, and credit through to farm shareholders for federal tax purposes; or a traditional Subchapter C corporation that is separate and distinct from its owners. DOL rules could eclipse the parental exemption
even in some partnerships where an operator holds a minority interest, Schlegel warned. Final approval of new rules is expected this year, but amid a seemingly narrowing federal definition of a “family farm,” Illinois Farm Bureau National Legislative Director Adam Nielsen sees a congressional challenge as likely. Currently, DOL’s nearly 10-year-old “field operations” manual is generally interpreted as allowing teens to work for another family member with a “substantial” interest in the farm business. The new rule leaves a 15year-old’s ability to work for his or her own parent “clearly up in the air” if that parent has a mere minority interest in the farm corporation or under a family trust agreement between siblings. “(DOL) is claiming that they’re not affecting the parental exemption, and they keep consciously using the word ‘children’ with respect to the exemption, not ‘nephews’ or ‘cousins,’” Schlegel told FarmWeek. “They are saying they’re not changing anything. Everybody else who’s read this rule says they’re restricting (the exemption) far beyond what it currently allows.” IFB is working with major media outlets to shed light on the potential impact of DOL proposals on smaller family farms and ag education programs. — Martin Ross
noted. He questioned how effectively a USTR tied to a single department could continue to play such an impartial role. Because of its independence and size, USTR is “very nimble,” able to respond quickly to trade issues, Brenner said. Making it “a subunit of a much larger bureaucracy” could impact its response capabilities, he said. Further, the White House plan raises questions about the future of USTR’s “ag ambassador” — a unique post with no equivalent in other trade-impacted sectors.
While Brenner does not anticipate a rejiggered USTR devoting “any less effort” to ag export issues, he stressed Commerce and other departments “don’t have an agricultural focus.” Proposed consolidation comes at a time when “we have a lot of details to work out” regarding a potential Trans-Pacific Partnership (TPP) agreement, warned Nelson, a USTR Trade Advisory Committee member. He sees multilateral TPP talks as the next key step in “trying to further reduce trade barriers and open markets for U.S. products.”
Federal food safety proposal backdoor to single agency? As the administration mulls proposals to place food safety efforts under one roof, Farm Bureau observers argue consumer protection is best focused in USDA’s wheelhouse. The president reportedly is eyeing possible merger of USDA Food Safety Inspection Service (FSIS) and U.S. Food and Drug Administration (FDA) food safety programs. Illinois Farm Bureau President Philip Nel‘This is not a new idea.’ son withheld judgment on the budget-directed — Philip Nelson plan and President, Illinois Farm Bureau “whether we can support it or not,” but noted “this is not a new idea.” Currently, USDA oversees meat and poultry safety inspections, while FDA monitors produce, and the National Oceanic and Atmospheric Administration provides fish/shellfish inspection except for catfish, which are inspected by FSIS. A move toward a single food safety authority has been proposed by lawmakers including Springfield Democrat U.S. Sen. Dick Durbin and subsequently “disposed of many times over the past decade,” Nelson said. IFB concerns about a single-agency approach stem from a seeming preference by advocates for FDA control. Nelson argued consumers are better served through existing interagency “checks and balances,” but ideally with a focus on USDA resources. If a single agency were charged with ensuring food safety, FSIS would appear the best choice, American Farm Bureau Federation policy specialist Kelli Ludlum argued. “We talk about the expertise that truly resides within FSIS — the very specific work it does with meat and poultry,” Ludlum told FarmWeek. “For example, FSIS administers HACCP (hazard analysis and critical control point strategies in livestock/meat production), and inspects every meat product that’s out there. “That’s definitely a level of inspection that should be preserved, and a level of expertise you wouldn’t necessarily have at FDA if you combined these functions.” Federal agencies already are working to better coordinate food safety efforts and programs under 2011 food safety reforms. Ludlum noted improved dialogue particularly through the president’s Food Safety Working Group. While the administration has touted possible budget savings under proposed consolidation, Nelson questions whether merely “gerrymandering” programs under a “standalone” agency “is going to save any money.” — Martin Ross
Page 5 Monday, January 23, 2012 FarmWeek
RESOURCES
Plant scientist: Input management key to boosting yields, soil content BY DANIEL GRANT FarmWeek
Some previous studies have claimed farmers can’t intensify crop production on existing acreage without having a negative impact on soil organic matter and the environment.
The issue has been in the forefront in recent years as the ag industry grapples with the challenge of boosting food production to feed a growing population worldwide. “We need to increase crop yields by 1.3 percent per year (to
‘ We need to increase crop yields by 1.3 percent per year.’ — Bruce Linquist University of California-Davis
But Bruce Linquist, plant scientist at the University of California-Davis, last week at the Illinois Fertilizer and Chemical Association annual convention in Peoria said studies show farmers actually can increase crop yields and boost, not lower, organic matter in soil through proper management of inputs.
continue to meet food demand without changing consumption trends),” Linquist said. “We really have two options to do that (without changing diets). We can expand the amount of land in production or intensify crop production on existing farmland.” Linquist believes the latter option is the best to boost crop
NOT YOUR USUAL AG-CHEM VEHICLE
Gary Ruff, a salesman with Precision Tank and Equipment, closes the hood on an ethanol-powered nationwide series NASCAR car sponsored by Brandt Consolidated Inc. and displayed last week at the Illinois Fertilizer and Chemical Association’s annual convention in Peoria. The driver, Justin Allgaier, a Riverton native, finished in third place last season, his third season as a driver. (Photo by Kay Shipman)
yields and meet food demand. It also would reduce the amount of marginal land pulled into production, therefore maintaining critical wildlife habitat acres. He countered the claim that intensifying crop production would drain organic matter from existing acres. The use of fertilizer, whether it’s synthetic or organic, increases root growth and crop biomass, which ends up back in the soil and actually builds up organic matter, according to the plant scientist. In fact, 114 long-term studies at 100 locations around the world showed the use of synthetic fertilizer boosted the amount of organic carbon in the soil by 8 percent. “Long-term, the use of synthetic fertilizer leads to increased soil organic carbon compared to when it’s not used,” Linquist said. Concerns about nitric oxide emissions, a greenhouse gas emitted via crop production/fertilization, can be counterbalanced by farmers applying optimal fertilizer rates and by measuring the emissions compared to per unit of production rather than simply measuring the amount of emissions per acre. “If you (farmers/applicators) over-apply (nitrogen fertilizer), we see a large spike in (nitric oxide) emissions,” Linquist said. “But there is no (environmental) benefit to under-applying fertilizer (and yield potential is lost). We want to be at the optimal yield level.” Linquist recommended farmers improve nitrogen use efficiency on their farms by using the optimal rate and applying it at the correct time and placement in their fields. “We can achieve high yields and lower the environmental burden with good nitrogen management,” he added.
National support seen as crucial for the floodplain BY MARTIN ROSS FarmWeek
Illinois Farm Bureau is counting on some strong new shoulders to help bolster Midwest floodplain protections — protections a University of Illinois researcher deems crucial to the rural environment as well as the economy. At IFB’s behest, the American Farm Bureau Federation (AFBF) now supports designation of the U.S. Army Corps of Engineers as lead agency in setting standards used to federally certify river levees. AFBF delegates recommended providing farmers and communities greater leeway in fighting floods and dealing with federal regulation in the aftermath of a flood event. Concerns focus on potential Federal Emergency Management Agency (FEMA) “decertification” of levees that could be deemed inadequate for future protection because of previous flood damage. Decertification threatens insurance coverage and development in parts of the Upper Mississippi basin. AFBF urged federal officials to allow adequate time for repairs to “deficient” levees before they are decertified and consider non-threatening, “acceptable levels” of water permeability in sand levees. New policy would enable local officials to bolster levees during active “flood fights.” “Our levee districts are cash-poor, and to meet some of the challenges in FEMA regulations, it’s going to take a lot of dollars they don’t have,” IFB Vice President Rich Guebert Jr. advised. “We need federal support. AFBF can give us support on a national level so we can address some of the issues we’re seeing on the local level.” AFBF’s actions underlined the push for updated management strategies and funding that would provide improved protections along the Mississippi-Illinois system and, ideally, prevent measures such as 2011’s intentional breach of northern Missouri’s Bird’s Point Levee. U of I researcher Kenneth Olson last week reported deliberate flooding of the region based on 80-plus-year-old emergency procedures has resulted in “long-lasting, if not permanent, agricultural damage to hundreds of acres of land.” While proper drainage has been restored near levees, Olson warned “fields with large and deep gullies located five miles from the levee breaches will not be repaired very easily.” Strategically placed wetlands, water-settling basins, and levees would provide “effective management” in floodplain areas, he said. Olson points to Western Illinois’ Sny Island Levee Drainage District as a model “for what could be accomplished with additional effort.” But he notes more than half of the district’s annual revenues are spent on fuel to run pumping stations continuously during high water-runoff periods.
FarmWeek Page 6 Monday, January 23, 2012
production Low in 2011
Insect pressure evolving in Illinois crop fields
BY DANIEL GRANT FarmWeek
Insect pressure generally was low in many Illinois crop fields in 2011. In fact, densities of some pests, such as bean leaf beetles and corn borers, were so low some researchers have questioned whether it was just a tough year for many common insects or if seed genetics and management practices altered populations of some bugs. “Things are changing with regard to insect populations,” Mike Gray, University of Illinois Extension entomologist and assistant dean in the department of crop sciences, said recently at the U of I Corn and Soybean Classic in Springfield. U of I researchers last year sampled fields in 47 counties in the state and found no western corn rootworm adults in 24 of the counties. And densities of corn rootworms approached or exceeded economic thresholds in just two counties (Lee and McLean) in the entire survey.
Corn borer numbers also were very low. “In many of the cornfields we sampled, densities of insects were among the lowest that I have ever observed,” Gray said. “Corn borer densities were off-the-chart low.” Gray believes rootworm numbers plummeted due in part to successive years of heavy spring precipitation that affected larval hatch, escalating use of Bt corn rootworm hybrids, and widespread use of tank-mix applications. Counts of many common soybean pests, including soybean aphids and Japanese beetles, also were extremely low last year. Gray noted soybean aphids do not thrive in unseasonably hot conditions such as occurred in July and August. He also believes the frequency of pesticide applications (tank mixes) was ramped up last year. “High commodity prices have helped to fuel a philosophy of insurance pest manage-
ment vs. the preferred approach of integrated pest management,” Gray said. He recommended producers this season emphasize field scouting and treatment decisions based on the use of economic thresholds. Gray also noted that while insect numbers generally were down last year, there are some trends that could be of concern in the future. Stink bugs have been
migrating into the Corn Belt from the southern U.S. Brown marmorated stink bugs last year were found in Champaign, Cook, Kane, and McLean counties. “It feeds on everything from apples, grapes, and tomatoes to corn and soybeans,” Gray said. “This thing is difficult to control.” There also is concern corn rootworms could be developing resistance to Bt corn. Bt
corn failures were observed last year in Henry, LaSalle, and Whiteside counties. “In a lab, we can take western corn rootworms and in three generations develop resistance (to Bt varieties),” Gray said. “We have not proven resistance (in fields). All we know is there have been some Bt failures.” Other management options exist as rootworms also are susceptible to Herculex.
The planting date of corn certainly can affect its yield potential. Corn planted in mid-June at two University of Illinois trials last year in Southern Illinois yielded 10 to 40 percent less than corn planted in April through late May, according to Steve Ebelhar, agronomist at the U of I Dixon Springs Ag Center. “We have a wide window to plant corn in Southern Illinois,
but it’s not as wide as we hoped,” Ebelhar told FarmWeek last week at the Illinois Fertilizer and Chemical Association’s annual convention in Peoria. “If you can plant corn before the end of May, you can get pretty reasonable yields.” Nitrogen uptake, on the other hand, is not affected as much by planting dates, based on recent research. “The responses to N were about the same (in field trials), regardless of the planting date,” Ebelhar said. “We don’t see a need to increase N rates based on the planting date.” The same held true for corn-on-corn, according to the research. Yields in many areas were considerably lower last year for corn-on-corn compared to a corn/beans or corn/wheat/beans rotation, but the N rate in many cases had little to do with that outcome. Emerson Nafziger, U of I Extension agronomist, recently said the real problem with corn yields, particularly for corn-on-corn in 2010 and 2011, was a lack of water during the critical grain-filling period.
Nitrogen typically enters corn plants in water droplets through the roots. So the amount of nitrogen available in the soil didn’t matter much last July and August when precipitation dried up or was nonexistent across much of the state. “We didn’t see a response (in corn-on-corn yields) by adding additional N,” Ebelhar said. U of I research also found little yield response when it compared broadcast fertilizer applications vs. deep-band applications, according to Fabian Fernandez, U of I Extension assistant professor of soil fertility. Research, however, showed a yield bump in strip-till corn vs. no-till corn. “The data indicates there is a benefit for strip-till,” Fernandez said. “It very likely is related to water availability (in strip-till systems) and improved nutrient availability because of that water.” U of I researchers in the future plan to study nitrogen removal rates in corn to see if the rates have changed due to hybrid advancements, Fernandez added. — Daniel Grant
U of I research shows planting date has little effect on nitrogen uptake
Recent University of Illinois research has not found a need to increase fertilizer application rates based on planting dates. U of I research also has found little if any economic benefit of boosting nitrogen rates above optimal levels in corn-on-corn. Nitrogen rates were discussed last week at the Illinois Fertilizer and Chemical Association’s annual convention in Peoria. (File photo)
Page 7 Monday, January 23, 2012 FarmWeek
sustainability
Campaign links fertilizer to ‘little sprouts’’ health BY MARTIN ROSS FarmWeek
Good nutrition is crucial for little sprouts, whether they’re germinating in the field or playing in the yard.
That’s the core message of a campaign by the Nutrients for Life Foundation designed, according to Executive Director Harriet Wegmeyer, to “make fertilizer a little more sexy.” “Fertilizer is Life’s Main Ingredient” emphasizes the importance of soil and crop nutrition to human nutrition
and health, via childhood images, cheery catchphrases, and healthy recipes. The foundation provides science-based information for teachers and students about the benefits of fertilizer in food production and “preservation of healthy green spaces.” “Making that link between fertilizer and food is critical,” Wegmeyer told FarmWeek at American Farm Bureau Federation’s recent annual meeting. “As a society, we’ve gotten further and further removed from the field. Where’s fertilizer in all of this? A lot of the times, it’s frankly gotten lost. We’re trying to put in back in
Stover research cites corn fuel AND food potential It began as an effort to bolster bioenergy resources and improve per-acre sustainability and profitability. But Monsanto’s Steve Peterson and his colleagues have discovered that corn stover can sustainably fuel meat and milk production as well as sedans and SUVs. In an effort to gauge stover’s potential as a ethanol feedstock, Monsanto, Archer Daniels Midland Co. (ADM), and Deere and Co. have found it offers considerable value in dairy or beef rations, especially given high corn prices. Treating stover with lime accelerates breakdown and improves digestibility of high-fiber residues, according to Peterson, Monsanto biofuels product manager. Treated stover offers a Steve Peterson relatively cheap corn supplement, extracting more feed value per acre, he said. With some 80 million tons available annually across the Corn Belt, stover could significantly boost fuel and feed supplies, Peterson said. “It’s enabling feeders to save a tremendous amount of money on a per-head basis,” he told FarmWeek. “They’re saving $20 to $30 per head feeding stover. It’s a perfect way to enhance the sustainability and lower the carbon footprint of an acre of corn. We see this as a tremendous opportunity.” Monsanto, ADM, and Deere launched the project four years ago. Amid projections that corn yields could double by 2030, Peterson warned more residue will require more effective stover management. But stover is a tough nut to crack: The harvest window is tight, improper harvest techniques can damage fields, nutrient content varies greatly based on moisture and other factors, and Peterson notes it’s “hard and abrasive.” Conventional hay balers and equipment are unsuitable for stover collection; researchers discarded several broken rakes before identifying the right heavy-duty model. Collection research also shed light on harvest sustainability. Raking at an oblique angle to rows preserves the base of the stalk, which contains higher levels of nitrogen, potassium, and phosphorous for soil nutrition. Peterson is enthused by stover’s feed value, but hasn’t abandoned hope for stover-based biofuels. Despite “a very difficult financial and policy environment,” Advanced Ethanol Council Executive Director Brooke Coleman reports the first wave of “advanced ethanol” plants are under construction in several states. Peterson anticipates a “breakthrough” in microbial enzyme development that will enable low-cost processing of cellulosic material. “The work we’re doing today allows us to build the infrastructure to handle the large volumes of material we’ll need for cellulosic ethanol and additional corn ethanol, also,” he maintained. — Martin Ross
a creative and fun way.” She underlines the need for expanded nutrient use as the planet moves past the “phenomenal mark” of 7 billion people. The foundation’s basic ABCs are N, P, and K (nitrogen, phosphorous, and potassium), and Wegmeyer emphasized the value of both commercial fertilizer and organic nutrients, “as long as we’re using the right product in the right place at the right rate.” The foundation wraps all of this into classroom-friendly, consumer-relatable recipe cards offering a variety of spritely slogans, including: • “Thank mom for the pancakes and N.P.K. for the ingredients.” • “Every recipe starts with the same essential ingredient.” • “Fertilizer: helping all
kinds of little sprouts grow.” Nutrients for Life has focused awareness efforts at
National Science Teachers Association regional and national meetings in particular. For information on the group, visit www.nutrientsforlife.org} on the web. The foundation’s icon is the late Norman Borlaug, the microbiologist largely credited with powering the world’s agricultural “Green Revolution” of the 1940s-70s. The Iowa-born Nobel Prize winner
helped put new cereal crop strains into extensive production in order to feed the developing world. “You go to Mexico and people know who Norman Borlaug was, because he gave them the ability to survive,” Wegmeyer said. “What do farmers in Africa want? They want seeds, they want irrigation water, and they want fertilizer. With those three things, they can do anything. “In the United States, we’re very fortunate, and we don’t see the same value in fertilizers. But across the globe, with the population growing, they absolutely are needed.”
FarmWeek Page 8 Monday, January 23, 2012
CONGRATULATIONS TO
THE WINNERS 2011 Illinois Farm Bureau Photo Contest for Members
GENERATIONS: From one to another
IF BARNS COULD TALK
FROM THE FRONT PORCH
HONORABLE MENTION
Vanessa Gall / madison COunty
Karen Logeman / massac COunty
John Diedrich / Dekalb COunty
Ronald Hart / Clay COunty
ClaudE OESTERREICHer / lee COunty
Kippi Wright / Edwards COunty
Rita Burrows / henry COunty
Karen Warfel / Champaign COunty
Page 9 Monday, January 23, 2012 FarmWeek
GRAND PRIZE AWARD /
1ST PLACE WINNERS
1st PLACE GenerationS
Honorable Mention From the front porch
Jamie Baker
MEMBERS CHOICE award / Valerie McVaigh
Karen Logeman / Massac COunty From the front porch
Rachel Green / Cumberland COunty If Barns could talk
2ND PLACE WINNERS
Nathan Peterson / DuPage County If barns could talk
Kelbi Ervin / vermilion COunty From the front porch
Michelle Faulkner / Henry COunty Generations: from one to another
To view all entries from this year’s contest, visit Ken Kashian’s Photo Gallery at www.ilfb.org
FarmWeek Page 10 Monday, January 23, 2012
livestock
Feed prices could moderate by second half of year BY DANIEL GRANT FarmWeek
Feed prices are expected to remain at historically high levels for at least the next six months before possibly softening in the second half of this year. USDA recently forecast a 4.6 percent reduction in beef production and 2 percent smaller broiler supplies in 2012 compared to 2011, which could reduce feed demand. Meanwhile, recent rains in the drought-parched southern U.S. have improved pasture conditions there while projections of more corn production in the U.S. would ease a tight supply of that crop. “Feed is going to be expensive again this year,” said Ron Plain, ag economist at the University of Missouri. “But prices should moderate a bit as we move
through the year, at least once we get close to harvest (assuming a favorable yield outlook).” Plain projected corn production this year will increase due to improved yields and increased acres. A recent Farm Futures survey of farmers nationwide estimated corn plantings this year will increase nearly 2 percent, from 91.9 million acres to 93.6 million acres. Meanwhile, the International Grains Council last week projected global corn production this year will increase 4.2 percent, which could ease tightness in supplies and reduce feed prices. Ending stocks of corn, currently at 6.7 percent of projected use, are at the tightest level since the stocks-to-use ratio dipped to 5 percent in 1995-96. “Corn prices may have pulled back
‘But prices should moderate a bit as we move t h r o u g h t h e ye a r, a t least once we get close to harvest.’ — Ron Plain University of Missouri ag economist
from the record levels last summer, but (at a range of $5.50 to $6) they remain well above historical averages,” according to authors of the CME Group Daily Livestock Report. Plain said it could be touch-and-go for
livestock returns this year, depending on futures prices. “I think there will be a slight profit for hog farmers in 2012, but it depends on when you do the calculations of corn and hog futures,” Plain said. Plain usually recommends hog producers offset risk by hedging their hogs but with so much price volatility he said producers should hedge hog prices only if they hedge their feed or grow their own feed. “If you want to lock in prices, hedge both (hogs and feed),” he said. Price volatility isn’t the only risk in livestock production. Any trade disruptions (23 percent of all pork produced in the U.S. was exported last year) or downturn in the world economy could push margins from black to red.
Illinois Pork Expo slated Jan. 31 – Feb. 1 in Peoria The Illinois Pork Expo, billed as the largest pork-specific trade show in the state, will be held Jan. 31 and Feb. 1 at the Peoria Civic Center. The trade show will be open from noon until 6 p.m. on Jan. 31 and from 8 a.m. to 4 p.m. on Feb. 1. Other activities at the Expo on Jan. 31 will include the Illinois Pork Producers Association (IPPA) re-organization meeting, pork production auction and reception,
and the “Generations of Commitment” recognition program followed by entertainment from comedian Taylor Mason. Educational seminars will be held throughout the day on Feb. 1. One track of the seminars will focus on purebred seed stock and show pigs while another will focus on commercial production. Emery Moorehead, who was part of the 1985 Super Bowl champion Chicago
Bears, will deliver a motivational speech during the commercial production seminars at 1:30 p.m. on Feb. 1. The University of Illinois Research and Extension
Center also will be open both days on the trade show floor and will offer information to pork producers about reproduction, feeding/nutrition, and manure manage-
ment/air emissions. For more information or to download the full Expo schedule, visit the IPPA website at {www.ilpork. com}.
Feb. 23 bull sale to kick off the 2012 Illinois Beef Expo The 44th annual Illinois Performance Tested Bull Sale will be the lead off event of the 2012 Illinois Beef Expo. The sale will be held Feb. 23 at the Illinois State Fairgrounds Livestock Center in Springfield. Action will begin at 11 a.m. There are 100 elite performance-tested bulls consigned for the sale. The breakdown of cataloged bulls includes 65 Angus, 29 Simmentals, 4 Polled Herefords, and 2 Red Angus. The sale catalog, with pictures, can be viewed at the website {www.IPTBullSale.com}. Requests for sale catalogs also can be
made by contacting Dave Seibert, sale manager, at 309-339-3694 or by e-mail at seibertd@comcast.net. Other activities, including the livestock judging contest, Junior Beef Quiz Bowl, livestock equipment auction, and junior steer and heifer show, will be held Feb. 2426 during the Beef Expo at the Illinois State Fairgrounds. A complete schedule of events is available at the website {www.illinoisbeefexpo.com}. For more information, contact the Illinois Beef Association at 217-787-4280 or visit the IBA website {www.illinoisbeef.com}.
Page 11 Monday, January 23, 2012 FarmWeek
education
USDA offers online tools Program seeks to link students, farms through the existing MarketMaker online datafor energy efficiency base/marketing program, according to Govis. CurBY KAY SHIPMAN FarmWeek
USDA has launched an energy website that provides viewers access to energy efficiency and renewable energy data. The site is at {www.usda.gov/energy}. Illinois’ renewable energy entrepreneurs now “have another invaluable resource — a guide to the data and funding available to maximize their efforts,” said Colleen Callahan, Rural Development state director. Since 2003, USDA has
Auction Calendar Mon., Jan. 23. 5:30 p.m. Farmland. Hilligoss Family, TUSCOLA, IL. Luke Lee Gaule, Auctioneer. www.lukeleegaule.com Tues., Jan. 24. 5:30 p.m. Farmland. Hausman 2009 Limited Partnership, SPRINGFIELD, IL. Luke Lee Gaule, Auctioneer and Farmland Solutions, Kent Kraft, Broker. www.lukeleegaule.com Wed., Jan. 25. Online Auctions. Big Iron. www.bigiron.com Wed., Jan. 25. 10 a.m. Knox Co Land Auction. William M. Swanson Estate, GALESBURG, IL. Van Adkisson Auction Service, LLC. www.biddersaandbuyers.com Thurs., Jan. 26. 10 a.m. 165. Ac. Winnebago Co. ROCKFORD, IL. MGW. www.mgw.us.com Thurs., Jan. 26. 10 a.m. Peoria Co Land Auction. Ruth D. Claybaugh Trust B, ELMWOOD, IL. Cowser Auction and Farm Realty. www.illinoisauctioneers.org Thurs., Jan. 26. 10:30 a.m. Real Estate. Agracel, Inc., Robert Lafenhagen, SALEM, IL. Kleeman Auction & Appraisal Co. www.kleemanauction.com Fri., Jan. 27. 11 a.m. Greene County Land Auction. Estate of Josephine M. Hobson, CARROLLTON, IL. Moss Auctioneers. www.auctionzip.com Member #21727 Sat., Jan. 28. 9:30 a.m. Retirement Auction. Norval and Dorothy Sherley, MACEDONIA, IL. Jamie Scherrer Auction Co. www.jamiescherrerauction.com Sat., Jan. 28. 10 a.m. Farm machinery and Livestock eq. Gerald and Juanita Henry, SADORUS, IL. Stanfield Auction Co. www.stanfieldauction.com Sat., Jan. 28. 10 a.m. Kendall Co. Land Auction. Harold Olson Estate, MORRIS, IL. Black and Black. Tues., Jan. 31. 10 a.m. Warren Co Land Auction. John F. Gardner, Trustee, MONMOUTH, IL. Van Adkisson Auction Service, LLC. www.biddersandbuyers.com Wed., Feb. 1. 6 p.m. 86 Ac. Cumberland Co. Stanford H. Sholem Land Trust, TOLEDO, IL. Stanfield Auction Co. www.stanfieldauction.com Thurs., Feb. 2. 10 a.m. Land Auction. Earl Seltzer Trust, MORRISONVILLE, IL. Aumann Auctions. www.aumannauctions.com Thurs., Feb. 2. 158 Ac. Kankakee. Soy Capital Ag Services. www.soycapitalag.com Fri., Feb. 3. 10 a.m. Land Auction Warren Co. John A. Taylor, ROSEVILLE, IL. Van Adkisson Auction Service, LLC. www.biddersandbuyers.com Sat., Feb. 4. 9:30 a.m. Retirement Auction. Wright J. Cotter, GALATIA, IL. Jamie Scherrer Auction Co. www.jamiescherrerauction.com Sat., Feb. 4. 10:30 a.m. Land Auction. Ruby Nell Deckard, CAMARGO, IL. Gordon Hannagan Auction Co. www.gordyvilleusa.com Sat., Feb. 4. 10 a.m. Land Auction Randolph Co. WATERLOO, IL. BuyAFarm.com Mon., Feb. 6. 10 a.m. Farmland Auction. Rex Moreland, RAMSEY, IL. Cory Craig, Auctioneer. www.corycraig.com
invested $120 million in green energy infrastructure in Illinois, according to Callahan. USDA’s energy website provides access to all the agency’s energy resources, including agricultural, forestry, economic, and social data. This is done in part through a set of new web-based tools: the USDA Renewable Energy Investment Map, the Renewable Energy Tool, and the Energy Matrix. In addition, the site provides a link to all USDA state and local offices and energy resource coordinators.
A nationwide program is working to link more schools directly with farmers in various capacities, according to the state’s liaison for the Farm to School Network. Julia Govis, the network’s state liaison and a new University of Illinois Extension employee, recently explained the network and its potential implementation in Illinois during the Illinois Specialty Crops, Agritourism, and Organic Conference. The network marked having programs in every state on Feb. 14, 2011. The Illinois website is {www.farmtoschool.org/state-home.php?id=35} Farm to School “does not tell communities how to do things. We try to encourage growers and help make connections to local schools,” Govis said. For example, those farmers may sell produce and products to be served in school cafeterias or serve as educational resources, she added. One tool to connect farmers with schools is
rently, she is working with the MarketMaker specialists to expand the database and allow listed farmers to designate their interest in selling to schools. “We’re trying to get all schools interested in buying from producers to list what they want,” Govis added. Another thrust of Farm to School is educating students about nutrition and the sources of their food. Govis discussed the importance of educational information about nutrition and farming. For many years, Illinois Agriculture in the Classroom (IAITC) has developed and distributed a variety of educational materials about food and nutrition. IAITC also provides workshops, tours, and summer institutes for educators to help them incorporate ag-based information into their existing curriculum. Many local AITC groups also work directly with classroom teachers to offer farmer speakers and demonstrations.
FarmWeek Page 12 Monday, January 23, 2012
RISK MANAGEMENT
AgriVisor to offer risk management check-ups Farmers interested in receiving a “check-up” on their risk management plans may attend one of three upcoming meetings sponsored by AgriVisor LLC and Country Financial. Meetings will be held Jan. 31 at the Holiday Inn in Mt. Vernon, Feb. 1 at the Northfield Suites in Springfield, and Feb. 2 at University Plaza in DeKalb. All meetings will begin at 5 p.m. and include a ribeye dinner. Cost is $19 per person. A drawing for an iPad will be held at each location. “The meetings will be a ‘one-stop shop’ where farmers can learn about many key factors that may affect their risk management plans in 2012,”
said Clayton Pope, manager of AgriVisor. “Today’s markets are so volatile; our goal with these meetings is to provide farmers with specific tools to help them reduce their risk to enhance the prospects for a successful growing season.” Each meeting will include a weather outlook from Mike Tannura, owner of T-storm Weather; an economic outlook by Kurt Bock, Country Financial chief executive officer; and grain market insights from
Dale Durchholz, AgriVisor senior commodities market analyst. Pope also stressed farmers have a key component to manage risk on their operation: crop insurance. “The federal crop insurance deadline this
year is March 15,” he said. “Now is the time to make critical decisions. There are tremendous risk management opportunities available from the use of crop insurance products. AgriVisor wants to teach farmers how to effective-
ly take advantage of those opportunities.” Registration closes Friday. Call your local Country Financial representative, county Farm Bureau office, or visit {www.agrivisor.com} for more information and to register.
56 IFB members named to Action Teams
The Illinois Farm Bureau Board of Directors has named 56 Farm Bureau members to serve on the 2012 IFB Action Teams. Action Teams will meet twice in 2012 to develop recommendations to the IFB board for statewide organization projects and programs in education, membership, quali-
ty of life and public relations. The winter meeting is scheduled for Feb. 16 in Bloomington. Recent Action Team projects include educational commodities posters, a mini session at IFB annual meeting on cultivating healthy farmers, plans for an ag ambassador at the college level, and mass
transit signs in Chicago featuring messages that safe and healthy food is produced by Illinois farm families. Team members, including chairmen and vice chairmen, and their county Farm Bureaus are listed below. Education: Carleen Paul, Madison, chair; Dana White, Woodford, vice chair; Sharon Barr, Hancock; Andrew Bowman, Knox; Mike Chwasczinski, Washington; Audrey Davis, McHenry; Tom Feltes, DuPage; Bob Johnson, Grundy; David King, Tazewell; Gale Koelling, Washington; Paul Mariman, Macon; Leonard Sheaffer, Lee; Dale Wachtel, Effingham; John O’Neill, Fulton; and Nancy Wisted, McLean. Membership: Josh Curry, Henry, chair; Linda Wikoff, Knox, vice chair; Greg Anderson, DeWitt; Monica Green, Douglas; Dave Krebel, Monroe; Ross Prough, Greene; Jim Shanklin, Marshall-Putnam; Darrin Storm, Shelby; David Headley, Fulton; and Phillip Butler, Warren-Henderson. Public Relations: Mitch Heisler, Henry, chair; Kevin Miller, Effingham, vice chair; Joyce Bucklin, Greene; Jesse Edlefson, Henry; Mike Hennenfent, Knox; Bob Kapraun, Woodford; Kevin Luthy, Randolph; Kimberly Meier, Stephenson; Deborah Moore, Warren-Henderson; Diane Murphy, Montgomery; Vernon Schiller, McHenry; Rob Sharkey, Bureau; Karl Spencer, Jasper; Jacob Streitmatter, Peoria; Kevin Urick, Henry; Steve Weber, Henry; Nick Wurl, Effingham; and Connie Schneider, McLean. Quality of Life: Carrie Boelens, Henry, chair; Carol Jerred, Hancock, vice chair; Marion Barr, Hancock; Ray Dieter, Livingston; Don DuVall, White; Elaine Kapraun, Woodford; Julie Kern-Morrison; Sangamon, Steve Launius, Washington; Christina Lionts, Sangamon; David Wessel, Cass-Morgan; Marguerite Zahnd, Champaign; Paul Rickey, Warren-Henderson; and Diane Truckenbrod, LaSalle. Leaders of the Action Coordinating Council are Chairman Carleen Paul, and Vice Chairman, Josh Curry.
Page 13 Monday, January 23, 2012 FarmWeek
from the counties
B
UREAU — The Young Leader Committee will meet at 6 p.m. Monday (today) at the Farm Bureau office. The meeting is a kickoff to plan for events and activities for members 18 to 35 years of age. Call the Farm Bureau office for more information. • The winter Ag in the Classroom educational meeting will be at 4 p.m. Wednesday at the Farm Bureau office. Farm Bureau educational tools such as ag kits will be explained. Teachers who attend will receive continuing education credits. Call the Farm Bureau office at 815875-6468 for reservations or more information. REENE — Applications for the Greene County Farm Bureau Foundation scholarships are available at the Farm Bureau office, high school agriculture departments, and from guidance counselors. Call the Farm Bureau office at 9426958 for more information. ACKSON — An onthe-road seminar will be at 6 p.m. Monday at the Extension office, Murphysboro. Kevin Rund, Illinois Farm Bureau senior director of local government, will be the speaker. Call the Farm Bureau office at 618-684-3129 by Friday for reservations or more information. • Jackson and Williamson County Farm Bureaus will sponsor a risk management and farm bill update meeting at 6 p.m. Monday, Feb. 6, at
G
J
Southern FS, Marion. Doug Yoder, Illinois Farm Bureau senior director of affiliate and risk management, will be the speaker. A meal will be served. Call the Farm Bureau office for more information. ERSEY — Applications for the Jersey County Farm Bureau Foundation scholarships are available at the Farm Bureau office, high school agriculture teachers, and from guidance counselors. Call the Farm Bureau office at 498-9576 for more information. EE — Country Financial will sponsor a farm estate and transfer planning seminar at 11 a.m. Friday at the Farm Bureau office. Dan Hawkins, an attorney, will be the speaker. Lunch will be served. Call your Country Financial representative or 625-4876 for reservations or more information. • Lee and Ogle County Farm Bureaus will sponsor a master grain contract seminar at 7 p.m. Wednesday, Feb. 8, at the Ogle County Farm Bureau office, Oregon. Jerry Quick, former Illinois Farm Bureau senior counsel, will be the speaker. Call the Farm Bureau office at 815-857-3531 or email leecfb@comcast.net by Tuesday, Jan. 31, for reservations or more information. IVINGSTON — The annual meeting will be at 6:30 p.m. Tuesday at the Farm Bureau office. Call the Farm Bureau office at 815842-1103 for more information.
J
L
L
• The Marketing Committee will sponsor a crop insurance information meeting from 9 to 11 a.m. Thursday at the University of Illinois Extension office, Pontiac. Doug Yoder, Illinois Farm Bureau senior director of affiliate and risk management, will be the speaker. Call the Farm Bureau office at 815-842-1103 or e-mail livcfb@frontier.com for reservations or more information. ONROE — Viewpoint meetings will be held at the following times and locations: 8 a.m. Friday, Corner Pub, Valmeyer; 6:30 p.m. Thursday, Feb. 2, Bully’s, Columbia. Meals will be served. Call the Farm Bureau office at 939-6197 for reservations or more information. • The Mon-Clair County Corn Growers Association annual meeting will be at 6:30 p.m. Monday, Jan. 30, at Lou and Michelle’s, 405 Front St., Waterloo. U.S. Rep. Jerry Costello (DBelleville) and Garry Niemeyer, National Corn Growers Association president, will be the speakers. Call the Farm Bureau office at 939-6197 by Monday
M
(today) for reservations or more information. EORIA — A crop insurance meeting will be at 9 a.m. Tuesday, Jan. 31, at the Farm Bureau office. Doug Yoder, Illinois Farm Bureau senior director of affiliate and risk management, will review crop insurance options and a new rating methodology that will reduce farmer premiums. T. CLAIR — The MonClair County Corn Growers Association annual meeting will be at 6:30 p.m. Monday, Jan. 30, at Lou and Michelle’s, 405 Front St., Waterloo. U.S. Rep. Jerry Costello (D-Belleville) and Garry Niemeyer, National Corn Growers Association president, will be the speakers. Call the Farm Bureau office at 233-6800 by Monday (today) for reservations or more information. TARK — A market outlook program will be at 6:30 p.m. Thursday, Feb. 16, at the Black Hawk College East Campus conference room. Pizza will be served. Cory Winstead, AgriVisor analyst, will be the speaker. Call the Farm Bureau office at 309-
P
S
S
286-7481 for reservations or more information. NION — An on-theroad seminar will be at 7:30 a.m. Tuesday, Jan. 31, at the Farm Bureau office. A light breakfast will be served. Kevin Rund, Illinois Farm Bureau senior director of local government, will be the speaker. Call the Farm Bureau office at 618-833-2125 by Friday for reservations or more information. • Union and PulaskiAlexander County Farm Bureaus will sponsor a risk management and farm bill update meeting at 7:30 a.m. Tuesday, Feb. 7, at the PulaskiAlexander Farm Bureau office, Mounds. A light breakfast will be served. Call the Farm Bureau office for more information.
U
“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.
FarmWeek Page 14 Monday, January 23, 2012
profitability
GPS threatened by communication company plans BY SID PARKS
There’s a growing threat to agriculture that could impact us all. It has to do with precision GPS — an invaluable technology for modern production. Unfortunately, the federal government is considering a Sid Parks proposal that would undermine this important technology. The average American farmer feeds roughly 155 people today, compared to fewer than 26 when I was born. Increased efficiencies come
from enhanced agronomic practices, improved inputs (including seed and crop protection products), and advances in technology. The right product applied or field operations performed, at the right time, in the right location, is critical to maximizing efficiency and productivity. Precision agriculture utilizes yield monitors, auto-steering systems, variable rate application technologies, and other “high-tech stuff ” to help service providers and producers in their farming operations. What ties it all together is knowing a precise location. That’s where precision GPS comes in.
A company called LightSquared is attempting to build a new ground-based network of communication towers as part of a plan to expand broadband service nationwide. While a worthy goal, it plans to operate at a frequency very close to that used by GPS satellites. That’s a problem. There has been quite a debate in Washington regarding the impact on GPS users. Experts have testified at Federal Communications Commission hearings, including folks who designed, built, or use the GPS system, confirming there is a big problem with the LightSquared plan. Because these ground-based
towers transmit at a stronger power than GPS satellites, their transmissions interfere with precision GPS equipment for many miles around each tower. Can some future technology be developed that allows both systems to co-exist on the same or nearby radio frequencies? Perhaps, although I do not believe it exists today. Any solution likely will require precision GPS users to add or replace equipment, and at a significant cost. Like most cellular phone users, I would be in favor of improved coverage, but not if it means either interference with GPS or increased costs for users. If the government
due to over supply. “No one has a lock on the future. In the next two years, we’ll see if I’m on track,” Shimoda said with a chuckle. To bolster his projections, Shimoda listed several factors that he said fundamentally is changing farming. Volatility of crop prices and high input costs, especially for seed and fertilizer, have increased the financial risk of operating a farm, Shimoda said. “That’s different from the past,” he added. Farmers now need increased financial expertise to manage risk and adjust to
volatility, according to Shimoda. “Look at the complexity of a farmer’s day-to-day management decisions,” he said.
However, U.S. farmers underestimate the global supply-side response to high prices, according to Shimoda.
allows LightSquared to go forward, then the government should ensure that all costs of replacing or retrofitting GPS devices is paid for by LightSquared, not GPS users. We all appreciate both modern conveniences (like cell phones) and abundant, inexpensive, and high-quality food. Any attempt at a solution to the LightSquared interference problem that doesn’t benefit all involved isn’t much of a solution and should not be permitted to proceed. Sid Parks is GROWMARK’s manager of precision farming. His e-mail address is sparks@growmark.com.
Analyst: National ag economy bubble may be ready to deflate BY KAY SHIPMAN FarmWeek
Market opportunities will exist for farmers and those who provide services and products to them, but they will need to focus on managing capital and risk, a Wall Street analyst advised those attending the Illinois Fertilizer and Chemical Association (IFCA) annual meeting in Peoria last week. Sano Shimoda, president and founder of BioSciences Securities, projected corn prices potentially could hover between $2.50 and $3 a bushel in the next five years
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 $33.48-$55.00 $42.98 $67.33 $67.33 no longer reported by USDA This Week Last Week 129,24 96,725 *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 $81.08 $81.60 $60.00 $60.38
Change -0.52 -0.38
USDA five-state area slaughter cattle price Steers Heifers
(Thursday’s price) (Thursday’s price) Prev. week Change This week 125.69 n/a n/a 125.67 n/a n/a
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 $150.39 150.51 -0.12
Lamb prices Slaughter Prices - Negotiated, Live, wooled and shorn 120-160 lbs. for 150-170 $/cwt. (wtd. ave. 160.77); dressed, no sales reported.
Export inspections (Million bushels) Week ending Soybeans Wheat Corn 01-12-12 40.9 13.4 30.1 01-05-12 32.7 10.8 34.1 Last year 47.0 24.1 23.4 Season total 640.0 620.3 612.2 Previous season total 891.7 706.0 624.7 USDA projected total 1300 925 1600 Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.
‘We’re at a peak of extraordinary high values.’ — Sano Shimoda President, BioSciences Securities
The Internet has led to instantaneous knowledge of global markets. “This means farmers have to think differently about how they manage” their operations, he noted.
“The understanding of plant genetics is creating magic,” he said. American farmers need to remember that production technology advances help not only U.S. farmers, but also
farmers around the world, he noted. Shimoda’s list of economic indicators included: record corn prices, high farmland values, and high profits. “We’re at a peak of extraordinary high values,” he noted. Shimoda advised IFCA members and their farmer customers to focus on precision agriculture to help optimize yields, minimize costs, and maximize profits. “Farmers need to change how they look at their business and manage it,” Shimoda said. Farmers need “a true corporate mentality of managing finances and market risks — and being better producers.”
Cattle market could be due for a pullback BY DANIEL GRANT FarmWeek
The USDA cattle on feed report released Friday was neutral as inventories were very close to trade expectations. However, the market still could experience a near-term pullback as the industry attempts to get beef supplies in line with demand, according to market analyst Troy Vetterkind, owner of Vetterkind Cattle Brokerage in Chicago. USDA on Friday estimated the number of cattle and calves on feed as of Jan. 1 totaled 11.86 million head, up 3 percent from the same time last year. Cattle prices prior to the report were at historically high levels. The CME feeder cattle index the middle of last week was about $150 per hundredweight, 17.9 percent higher than a year ago, while April cattle futures were near
a new contract high of $128 per hundredweight. “I’m looking for a little pullback the next couple weeks so (the industry) can get the beef supply in alignment with demand going into spring,” Vetterkind told FarmWeek. “Packers have been buying cattle dressed at $2 (plus) per pound and selling at $1.80,” he noted. “That can’t continue.” Steer and heifer slaughter last week was down about 2 percent compared to the same time last year. And Vetterkind predicted the trend of reduced slaughter numbers will continue as packers trim hours due to less beef on the market and tighter margins. USDA recently projected U.S. beef production this year will decrease 4.6 percent compared to last year. “Retail (beef) prices likely will stay high (due to lower supplies),” Vetterkind said. “The true test of the market will come this spring,” which typically is the best demand period for beef each year, he continued. “The spring market will set the tone for the rest of the year.” Exports could help pick up the slack in the cattle market if domestic demand starts to wane. USDA recently estimated U.S. beef exports for 2011 totaled 2.78 billion pounds, up 21 percent from 2010. USDA projected similar export sales this year. “Exports have been good,” the analyst said. “My biggest fear is if we see a flip in currencies and we have all this high-priced beef going into a poorer exchange rate than last year.”
Page 15 Monday, January 23, 2012 FarmWeek
PROFITABILITY Corn Strategy
C AS H ST RAT E GI S T
Wheat supplies still troublesome for corn This past week, the International Grains Council issued its first 2012 production estimate and the first new-crop production estimate we have seen from anyone. Not surprisingly, it has longer-reaching negative implications; not just for wheat, but for corn as well. The council looks for wheat plantings to rise 1.7 percent this year, mostly in the U.S. and former Soviet Union countries. Based on that, it projected a 685 million metric ton (mmt) world wheat crop, second only to last year’s 691.5 mmt crop. Demand prospects are hard to accurately forecast this far ahead with so much time for variables to change. We used a 675 mmt forecast to build a supply/demand table, and that may be a number that is on the high side. It is comprised of a 550 mmt food/seed demand, one that matches this year’s record high, and only a 5.6 mmt reduction in feed demand. The latter still exceeds any prior feed demand levels by a big margin. With this scenario, ending
stocks still rise 10 mmt, boosting the stocks/use ratio to 32.5 percent. You can see on the accompanying graphic that is closing in on the fundamentally burdensome structures from the middle 1980s and late 1990s. To bring the fundamental wheat structure back to a “balance,” we need to trim ending stocks 20-25 mmt. Assuming output remains close to this 685 mmt initial forecast, that means demand needs to rise 20-25 mmt (equivalent to 735 million to 920 million bushels of corn). With food demand already at a very high level, we’d argue that means feed demand needs to rise that much to trim supplies. And even though total feed demand for coarse grains and wheat should grow, the bulk of that would have to come from wheat replacing even more coarse grain (mostly corn) in the feed bunk. And, already, wheat supplies and prices have become a drag on corn demand. Clearly the plight of this year’s wheat crop is destined to again have big implications for the price of corn, good or bad. This fits within the scenario we presented a couple of weeks ago in which we postulated that corn prices may have the least potential to rise and the most potential to go down.
Cents per bu.
ü2011 crop: Corn is showing initial signs that the minor trend could be turning higher. Prices need to close above $6.12 on the Chicago March contract to confirm a shift. Use a rally to $6.25 on March futures to make catch-up sales. We are considering adding to sales on a move above $6.35 on March futures. ü2012 crop: Use a rally to $5.65 to make catch-up sales. We may add to sales on a move to $5.75. vFundamentals: The change in South American weather is keeping the corn market on the defensive. Current weather models call for additional rains, but some feel the damage to the corn crop already has been done. Export business is showing signs of picking up following dismal business this fall/winter. Last week’s activity appears even better than the previous week’s, in which the U.S. sold 759,900 metric tons.
Soybean Strategy
ü2011 crop: With the market in the window for a 16-18 week low, we aren’t interested in making sales at these levels. Better levels should occur sometime yet this winter. Still, use a rally above $12.25 on Chicago March futures. We are planning to add to sales if March moves to $12.75. ü2012 crop: With even a modest reduction in South American output, there’s a need to increase soybean acres and production here this coming year. Clearly, soybean prices need to move up to help that happen. We still don’t see the ingredients for a major move higher. Use a rally to $12.20 on November futures to make catch-up sales. Plan on adding to sales if November moves to $12.50. vFundamentals: Of the three grains, soybeans may have the long-term fundamental structure that is most in balance. An economic incentive to plant a lot of acres here this next year may be the only thing that might change that, and so far that incentive is not there. South American output has
diminished, but if the pattern has shifted, losses may end up being only modest this year.
Wheat Strategy
ü2011 crop: Wheat is trying to put in a short-term low with the Chicago March contract again clearing $6. The next resistance comes at the $6.16-$6.27. Plan on making catch-up sales at $6.16. Hold off on making additional sales, as better pricing opportunities should present themselves later in the winter months. The carry in futures still pays for commercial storage, making spring hedge-to-arrive con-
tracts the best marketing tool. ü2012 crop: Hold off making sales, waiting for a rebound from this break. vFundamentals: The short-term direction of wheat remains linked to corn. Even then, the large supply of wheat from the Black Sea region is finally getting to a more manageable level. As a result, U.S. wheat is becoming more competitive in the world market. Temperatures dropped in the Southern Plains to near zero, but the threat of winterkill remains low.
Cash Strategist sales recommendations AgriVisor endorses crop insurance by
Beans '11 '12 9/13/10 10% 10.27 8/29/11 10% 13.50 10/11/10 10% 11.54 11/15/11 10% 11.99
AgriVisor LLC is not liable for any damages which anyone may sustain by reason of inaccuracy or inadequacy of information provided herein, any error of judgment involving any projections, recommendations, or advice or any other act of omission.
Policies issued by COUNTRY Mutual Insurance Company®, Bloomington, Illinois AgriVisor Hotline Number
309-557-2274
4/25/11 10% 13.76
9/13/10 10% 4.61
8/29/11 10% 6.65
10/11/10 10% 5.28 11/15/11 10% 5.671/2 1/24/11 10% 5.87
1/31/11 10% 13.31
AgriVisor LLC 1701 N. Towanda Avenue PO Box 2500 Bloomington IL 61702-2901 309-557-3147
Corn '11 '12
80% unsold
4/25/11 10% 6.76 80% unsold
Wheat '11 '12 7/13/10 10% 6.00
7/30/10 10% 6.98
5/31/11 10% 6.79
8/6/10 15% 7.35
8/1/11 10% 13.71 11/15/11 10% 11.99
8/1/11 10% 6.77 11/15/11 10% 6.45
8/8/11 10% 6.68
30% unsold
30% unsold
Prices are new crop or nearby futures
Prices are new crop or nearby futures
5/26/11 10% 13.75
1/2
11/17/11 20% 6.343/4
7/21/10 15% 6.60
11/17/11 20% 6.30 20% unsold Prices are new crop or nearby futures
80% unsold
FarmWeek Page 16 Monday, January 23, 2012
pERSpEcTIvES
LETTERS TO THE EDITOR Bees, humans are ‘mutually dependent’
Buzzzzzzzzzzz Honey bee agents of pollen, high drama Honey bees have been “agents of pollination” and a source of food in the United States since the first colonists deposited them on the East Coast during the early 1600s. Few people understand the life cycle and habit of this European insect. The honey bee colony has only one truly reproductive female. That female is referred to as the “queen bee.” At the right age, the queen leaves the hive from which she originated and mates outside the hive with a drone (male bee). During such reproductive flights, the female can mate with several drones, but once the period of mating finishMATT MONTGOMERY es for the queen, that queen is permanently finished with drones. The drones either die following mating or are deprived of food until they die. Drones are the first to get kicked out of the hive before winter. The queen stores the resulting sperm and slowly fertilizes eggs, releasing them over a period of time. If an egg goes unfertilized, the result is an organism with a single set of chromosomes and the eventual hatch of a male drone. However, if the egg is fertilized, the result is a female. Young larvae are cared for by the worker bees of the hive. The type of care received by a female — specifically the type of food fed to female larvae — will either make them queens or one of the subservient workers. Royal jelly, a food secreted from the glands of worker bees, is the key to this difference. If a larva is consistently fed royal jelly, then the resulting adult will be a queen. If a larva is eventually fed “bee bread,” a mixture of honey and pollen, then the resulting adult will be a worker. Worker bees are the most familiar type of
bee in the hive because they are the bees commonly observed during evenings in flowers, gardens, and produce fields. Old queens depart the hive once a new queen has been established. The old queen flies off to create a new hive, while newly emerged queens hunt down and kill all possible competing queens in the hive. New queens orient themselves, engage in mating and the complex reproductive process begins once again. The population of the average hive may surpass 60,000 bees. The bee hive works together as a unit to survive. Workers bring in nectar and water to sustain the hive and protect it by stinging potential trespassers. Protecting the hive is the ultimate act of unselfishness for the worker because the stinger and venom sack are pulled out once the stinger is injected and it eventually kills the worker. While everyone worries about being stung by a honey bee, the bees typically are rather docile and prefer to be left alone. Attacks tend to occur only when the hive has been disturbed. Scout bees fly about and find sources of food. They then return to the hive and tell worker bees where the food source is by dancing (wiggling and shaking their bodies). Each intricate part of the dance represents a direction and distance that workers use to locate the food source. Honey bees are important pollinators and are important from an agronomic standpoint. Their production of honey is often overlooked as a component of local food production. This gives local bee keepers an important role in diversifying the food supply. Matt Montgomery is a local food systems and small farms educator with the University of Illinois Extension. His e-mail address is mpmontgo@illinois.edu.
Editor: I greatly enjoyed the article by Tom Turpin in the Jan. 2 issue. I had never heard of the tradition of “telling the bees” until now, even though I’ve kept bees for over 40 years and heard of many bee traditions. I’ve come to realize lately that the relationship between bees and humans has changed from a “close association,” as Tom put it, to more of a “mutual dependency.” Insect pollination accounts for about one-third of the food we consume, of which honeybees account for about 80 percent of that. The value they give in pollination has been estimated at around $20 billion a year here in the U.S. alone. The greatest advantage that bees give us is that they can be managed by man and moved to where they are needed at any given time. But, unfortunately, the beekeeping world is currently fraught with uncertainty and problems. Hopefully, Tom (who told me is also is a beekeeper) will continue to cover this often overlooked or forgotten partner in agriculture and possibly inspire some of our young farmers to consider the keeping of bees as part of their agricultural pursuits. We need more beekeepers, and the bees need our time and consideration. Perhaps instead of telling the bees we should be listening to the bees as they might just be trying to tell us something. TERRY R. COMBS, President, St. Clair Beekeepers Association, Keyesport ***
Pipeline delay a major blunder
Editor: President Obama’s decision to reject the Canada-to-Texas Keystone XL oil pipeline is a major blunder. The Iranians are threatening to close the Strait of Hormuz through which 20 percent of the world’s oil supply passes. This already is raising our fuel prices. This pipeline allows us a secure supply of oil from friendly Canada. If Obama continues to delay, the Canadians have said they will direct the pipeline to
Letter policy
Letters are limited to 300 words and must include a name and address. FarmWeek reserves the right to reject any letter and will not publish political endorsements. All letters are subject to editing, and only an original with a written signature and
their west coast and will export the oil, much of it going to China. We need an ample, affordable supply of fuel. My fuel expenses have doubled in the last several years. The Keystone pipeline will not require any government funding and will be a great economic benefit to the U.S. At least 20,000 good-paying jobs will be directly created in America. The pipeline will carry 500,000 gallons of crude oil daily for consumption in the U.S. Up to half a million jobs will be indirectly benefited by the pipeline. About 14 percent of construction workers are now unemployed — the pipeline will put many to work. The pipeline is being opposed by misguided environmentalists. It is the safest way to ship oil. Americans have been building pipelines safely for 70 years, including here in Madison County, where one is located near my farm. This Keystone pipeline is supported by virtually all Republicans as well as many moderate Democrats and labor unions. We should demand that the Keystone pipeline be started now! America is one of the very few nations to put known domestic supplies of oil and gas off limits to explorations. This is hurting our economy and needs to change. We should support politicians who will give us a more intelligent energy policy. EDWARD RAGSDALE, Alton ***
Nobel Prize not Norway product
Editor: In your Jan. 2, 2012, issue there is an article about the Norway’s butter tariff. The writer, Ms. (Carol) Keiser states, “A nation that takes pride in awarding the Nobel Prize in Economic Sciences each year ... .” The Nobel Prize in Economics is awarded by the central bank of Sweden and has nothing to do with Norway. For further information on Nobel Prizes, go to Wikipedia. org and enter “Nobel Prize in Economics.” DON SCHILLING, associate professor emeritus University of Missouri-Columbia complete address will be accepted. A daytime telephone number is required for verification, but will not be published. Only one letter per writer will be accepted in a 60-day period. Typed letters are preferred. Send letters to: FarmWeek Letters 1701 Towanda Ave. Bloomington, Ill., 61701