Farmweek january 27 2014

Bill Pauling represents the third generation of his family to serve as DuPage County Farm Bureau president................................2

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IFB President: ‘Flood the White House’ with calls Monday, January 27, 2014

BY DEANA STROISCH FarmWeek

Saying it’s time to “step it up,” Illinois Farm Bureau President Rich Guebert Jr. is asking members to “flood the White House” with calls opposing proposed reductions in volume requirements for the Renewable Fuel Standard (RFS).

Hundreds of people responded to IFB’s call to action last week, said Adam Nielsen, IFB director of national legislation and policy development. A recorded message on the White House comment line notes that the agency is receiving more calls than usual and warns of long hold times.

The deadline to comment is Tuesday.

“I would like to congratulate the counties on their work so far to generate calls and per-

Two sections Volume 42, No. 4

sonalized comments to the EPA,” Guebert said. “In addition, we’re receiving support and encouragement from a number of congressional allies on this issue. As long as we continue to stay on message and keep the contact volume high, our concerns about the proposed rule will be difficult to ignore, and that is our goal.”

Calls can be made to the White House, (202) 456-1111, between 8 a.m. and 4 p.m. CST through Tuesday. Written comments are accepted until 10:59 p.m. Tuesday CST. Nielsen encouraged members to make arguments against the Environmental Protection Agency’s (EPA) proposal that will resonate with President Barack Obama, such as its effect on the environment.

“We hear all the time that

the president is determined to reduce the level of greenhouse gases,” Nielsen said. “The environmental benefits of ethanol are proven and significant. And that’s something we should highlight in our calls to the White House.”

In November, EPA proposed the renewable fuel mandate be lowered from 14.1 billion gallons to 13 billion gallons. The advanced fuel mandate, including biodiesel and E85, would drop from 3.75 billion gallons to 2.2 billion gallons.

Calling the proposed rule a “significant step backward,” about 30 U.S. senators, including Dick Durbin, D-Springfield, and Mark Kirk, R-Highland Park, sent a letter to EPA Administrator Gina McCarthy.

They urged the EPA to change its proposed rule.

“Without a revised proposal, the EPA’s rule will bring severe economic consequences and prevent the growth of the renewable fuel sector,” the letter states.

A similar letter previously was sent to McCarthy by about 30 members of the House of Representatives.

Cheri Bustos, D-East Moline, and Bill Enyart, DBelleville, and a handful of other Congressional leaders, requested a meeting with Obama on the issue. They previously met with McCarthy.

Locally, Durbin’s staff participated in a tele-town hall meeting last week sponsored the Illinois Corn Growers Association.

Bob Dinneen, president and Chief Executive Officer of the Renewable Fuels Association, also participated in

the call.

Since RFS was approved in 2008, he said, it has helped reduce the country’s dependence on imported oil, lowered the price of gasoline and encouraged investment in rural America.

EPA’s proposal, he said, could have detrimental effects, including driving down the price of corn below the cost of production.

“We’re coming off of the single largest corn crop in history,” Dinneen said. “You folks have done your job. And it is more important than perhaps it has ever been to maintain that value-added market for farmers to keep the Renewable Fuel Standard in place. I would ask you to please let EPA know that this is a program that is important to you.”

continue as long as Jack Frost remains a major influence on the weather pattern, particularly across the Midwest and Northeast U.S. “It will be hard to have price relief unless we have temperature relief,” Harry Cooney, GROWMARK manager of energy customer risk management, told FarmWeek. “If it stays cold, propane prices likely will go higher to ration the tighter stocks on hand.”

The U.S. last year produced a record amount of propane. But, Cooney noted, “we’ve burned through a lot of that.”

Propane stocks now are tight due in part to the combination of a major grain drying season (U.S. farmers last year produced a record large corn crop) followed by an unusually cold winter so far.

“The U.S. will not run out of propane,” Cooney said.

The temperature during the first half of this month averaged a bone-chilling 19.9 degrees in Illinois, 3.9 degrees below average, according to Jim Angel, state climatologist with the Illinois State Water Survey.

The temperature last month in the state averaged just 25.5

degrees, 4.4 degrees below normal.

“The forecast suggests below-normal temperatures will continue into February,” Cooney said. “(If realized), we’ll continue to use propane at a higher rate than the last several years.”

Propane stocks in the Midwest as of last week were at lows not seen since 1997, according to Cooney.

There were reports in Illinois and other states that some local liquefied petroleum suppliers were limiting the amount of product that could be purchased to stretch remaining supplies.

“There have been outages at some local terminals,” Cooney said. “But the U.S., as a whole, will not run out (of propane).”

Propane prices this month subsequently jumped as much as 10 cents a gallon per day. The national average price of propane last week was $2.96 per gallon compared to $2.28 a year ago. Prices last week were near $3 per gallon in the Midwest and near or above $4 in northeastern states.

The run up in propane prices also has been exacerbated by infrastructure issues. Pipeline capacity was reduced last month due to maintenance.

Meanwhile, rail cars that typically carry propane were repurposed to haul crude oil, according to the National Propane Gas Association.

The cold winter also produced a record-high withdrawal of natural gas (287 billion cubic feet) from underground storage facilities the week of Jan. 10, the Energy Information Administration (EIA) reported.

Natural gas prices subsequently increased in recent weeks.

“Natural gas has had some large draws and stocks are below normal (the five-year average), but it’s not quite as tight as the propane situation,” Cooney said.

EIA projected the spot price of natural gas this year will average $3.89 per million British thermal unit, up 16 cents from last year.

Read more about the propane situation on page 14.

Cold temperatures driving up natural gas and propane prices

BY DANIEL GRANT

Bitter cold temperatures so far this winter have driven natural gas and propane prices to recent highs.

And it appears that trend will FarmWeek

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Listen to Rita Frazer’s interview with Harry Cooney about the propane situation in Illinois, at FarmWeekNow.com.

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Quick Takes

TRADITION

FarmWeek Page 2 Monday, January 27, 2014

FARM BILL UPDATE — Another week passed and still no farm bill.

But there’s some good news. Progress has reportedly been made negotiating key sticking points of the bill, including the dairy price support program.

Since Congress wasn’t in session last week, it could be early next month before the proposal makes it to conference committee.

ETHANOL REDUCES GHG EMISSIONS – The carbon footprint of corn ethanol continues to shrink, according to a new study by Life Cycle Associates.

The study, commissioned by the Renewable Fuels Association, found that corn ethanol reduced greenhouse gas (GHG) emissions by 32 percent compared to petroleum in 2012.

When compared to marginal petroleum sources like tight oil from fracking and oil sands, average corn ethanol reduces GHG emissions by 37 to 40 percent. By 2022, average corn ethanol will reduce GHG emissions by 43 to 60 percent compared to petroleum, the study found.

To read a study summary, visit {ethanolrfa.org/pages/reports-and-studies}.

ETHANOL EXPORTS SOARING — U.S. ethanol exports surged to 82.4 million gallons in November with large volumes finding their way into new or emerging markets such as China and India.

According to U.S. Commerce Department data, total exports were up 54 percent from October, reaching the highest monthly level since March 2012. Canada was once again the leading importer of U.S. product, receiving 28.5 million gallons in November.

The government data also showed exports of dried distillers grain (DDGS) — the animal feed co-product from dry mill ethanol production — surged to a new monthly record in November, driven by unprecedented shipments to China. November DDGS exports totaled a record 1.08 million metric tons, up 16 percent from October.

NEW SEED GAME LAUNCHED — The American Farm Bureau Foundation for Agriculture has released a new educational game entitled, “The Great Seed Search.”

Players enter coordinates and pilot a plane around the world collecting important seeds. Through challenges in the game, players learn about other cultures, geography and agricultural products. The game and supporting educational resources can be found at {myamericanfarm.org/games/great_seed_search}.

My American Farm is an educational game platform launched in 2011 to engage pre-K through fifth grade learners in the discovery of relevant agricultural issues.

The site offers 19 agriculturally themed games and more than 100 free educator resources such as lesson plans, activity sheets and comics.

(ISSN0197-6680) Vol. 42 No. 4 January 27, 2014 Dedicated to improving the profitability of farming, and a higher quality of life for Illinois farmers.

FarmWeek is produced by the Illinois Farm Bureau.

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Illinois Agricultural Association assumes no responsibility for statements by advertisers or for products or services advertised in FarmWeek.

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STAFF Editor Chris Anderson (canderson@ilfb.org) Legislative Affairs Editor Kay Shipman (kayship@ilfb.org) Agricultural Affairs Editor Deana Stroisch (dstroisch@ilfb.org) Senior Commodities Editor Daniel Grant (dgrant@ilfb.org) Editorial Assistant Margie Fraley (mfraley@ilfb.org) Business Production Manager Bob Standard (bstandard@ilfb.org) Advertising Sales Manager Richard Verdery (rverdery@ilfb.org) Classified sales coordinator Nan Fannin (nfannin@ilfb.org) Director of News and Communications Michael L. Orso Advertising Sales Representatives Hurst and Associates, Inc. P.O. Box 6011, Vernon Hills, IL 60061 1-800-397-8908 (advertising inquiries only) Gary White - Northern Illinois Doug McDaniel - Southern Illinois Editorial phone number: 309-557-2239 Classified advertising: 309-557-3155 Display advertising: 1-800-676-2353

Bill Pauling, who was recently elected president of the DuPage County Farm Bureau, points to pictures of his dad, Robert, and grandfather, Leo. Pauling is a third-generation Farm Bureau president. (Photo by Cyndi Cook)

A family affair: DuPage County’s leader is a third-generation county FB president Good things seem to come in threes for Bill Pauling.

The 52-year-old from Carol Stream was recently elected president of the DuPage County Farm Bureau — the third generation of Paulings to hold the post.

His dad, Robert, was president from 1986-87. His grandfather, Leo, served from 192729.

Pauling also is part of the third generation of Pauling brothers to run Pauling Brothers Farms. His grandfather and his great uncle ran it first, then his dad and uncle. Now, he and his brother, Larry, are in charge.

He’s also the third son of the third son of the third son, but that is a tale for another time.

Pauling previously served as vice president of the county Farm Bureau board. He replaced Bob Brackmann as president in October.

“Being on the board was certainly history enough, but being president, well it’s a nice little treat to be third-generation president,” he said from his family’s farmstead in Carol Stream last week.

Bill Pauling’s uncle, Len, also served as president from 1978-79. Bill’s mother, Betty,

served on the board in the early 1990s.

And although Robert and Leo Pauling are both deceased, their service hasn’t been forgotten.

Hanging on the wood-paneled walls of the DuPage County Farm Bureau board room are 47 black-and-white photos of past presidents.

“When I go to a women’s committee meeting, there’s my father-in-law behind me and my husband in front of me,” Betty Pauling said.

And when Bill Pauling finishes his tenure as president, his framed picture will be up there, too.

Pauling said he never imagined being president of DuPage County Farm Bureau, which he says has fewer than 300 M members out of 16,000 total members. M members have a substantial interest in agricultural production, while associate, or A members, earn less than $2,500 gross in annual farm income.

“When we took over farming that, for the most part, is basically what I concentrated on. I didn’t think I would have time for Farm Bureau,” he said. “We started losing ground because of expansion of everything else around here, so then time started showing up where I could

start looking into it.”

The Pauling brothers are among a handful of farmers left in DuPage County. Urban growth has overtaken most of the county’s farmland.

The Paulings raise corn, beans and wheat, as well as hay and straw. His family also shares ownership of about 400 acres near DeKalb.

What started as a smalltown farming operation is now spread out — 17 miles north, five miles south and 35 miles to DeKalb.

In the winter months, they stay busy selling hay. They can’t grow enough, Pauling said, so they buy hay by the semi-loads and have it hauled in.

Pauling has nine siblings.

He’s the third from the last.

“When everybody turned 18, they left the farm for another job,” he said.

Pauling and his younger brother, Larry, were still at home when their father and uncle looked to retire from the business. They asked the brothers to take over.

“We decided, ‘Let’s do it,’ because we’re not going to get an opportunity like this again.”

Does your family have a history of Farm Bureau leadership? Tell us your story on Facebook at {facebook.com/#!/illfarmbureau?fref=ts}.

Farmers checking grain quality in on-farm storage or moving grain to market should keep safe handling practices front of mind.

Illinois grain entrapments last year exceeded statewide numbers for 2012 with three rescues and one death.

Illinois’ Grain Handling and Safety Coalition and University of Illinois Extension Service recommend farmers

stay out of grain bins. If you need to enter a bin, they suggest shutting off power to augers and fans as well as locking out any unloading equipment.

Other recommendations include: • Have another person or two outside the bin who can help if you become entrapped.

• Wear a harness attached

to a properly secured rope.

• Stay near the outer bin wall and keep walking if grain starts to flow. Get to the bin ladder or safety rope as quickly as possible.

• Break up crusted grain from outside the bin with a long pole. Check to see that the pole doesn’t come into contact with electric lines.

• Wear a dust filter or filter respirator.

BY DEANA STROISCH FarmWeek

Practice safety when checking, moving grain

NUTRIENTS

Page 3 Monday, January 27, 2014 FarmWeek

State nutrient strategy targets Unraveling mysteries of nitrogen cycle, plant uses nitrogen and phosphorous “Applying additional nitrogen is only helpful The more researchers, farmers and crop advisers learn how nitrogen reacts in soil and crops, the more they discover they don’t know. Fueled by new research and an emphasis to reduce excess nutrients, university studies and on-farm trials are raising questions and management opportunities linked to nitrogen.

Last week one of Illinois’ pre-eminent corn researchers Emerson Nafizger raised possible theories about nitrogen losses versus movement deeper into soil and the factors that influenced corn’s ability to use the fertilizer.

“It’s just thought process right now,” said Emerson Nafizer, University of Illinois crop scientist and statewide coordinator of university crop science research centers. He spoke at the Illinois Fertilizer and Chemical Association annual convention in Peoria.

In trials funded by the Illinois Nutrient Research and Education Council (NREC), Nafziger measured nitrogen levels in the soil profile and tracked its movement through denitrification and drainage tile flow.

He suggested measurements of nitrogen levels in the top foot of soil may not depict the amount available to plants. “Lost nitrogen not in the soil where we look ... is it actually gone?”

Nafziger asked.

Instead of relying only on soil test levels to determine if more nitrogen needs to be applied, farmers and crop advisers may want to also consider plant symptoms and availability to plants to calculate the amount of lost nitrogen, he suggested.

Embracing best farming practices and efficient nutrient uses will help Illinois reduce excess nitrogen and phosphorous in rivers, lakes and streams, two state officials told Illinois Fertilizer and Chemical Association (IFCA) members last week.

The state is developing a strategy to reduce excess nitrogen and phosphorous in rivers, lakes and streams. Visit {epa.state.il.us/water/nutrient}.

When completed, the statewide nutrient reduction strategy will be submitted to the U.S. Environmental Protection Agency (EPA).

Other states have submitted or are working on similar strategies.

George Czapar, director of the University of Illinois Extension and Outreach, and Warren Goetsch, Illinois Department of George Czapar Agriculture bureau chief of environmental programs, discussed the strategy during the IFCA Annual Convention in Peoria.

The target, as set by a national hypoxia working group, is to reduce by 45 percent the amount of nitrogen and phosphorous flowing into the Gulf of Mexico.

Illinois is calculating the levels of nitrogen and phosphorous being contributed by point and nonpoint sources in

different watersheds, according to Czapar.

The state also is estimating potential reductions that could be achieved via different farming practices, such as split nitrogen applications.

“Through strong outreach programs and putting a strategy together, we can move forward,” Goetsch said.

He compared the nutrient reduction strategy to the old Illinois T by 2000 plan to reach tolerable soil loss statewide by the year 2000.

Farmers and conservation staff embraced the T-by2000 goal.

“We changed how we did tillage in Illinois,” Goetsch said.

Czapar noted the major sources of nitrogen are different Warren Goetsch from major phosphorous sources.

Not only are they in different parts of the state, but they also are different types of sources, such as point and nonpoint sources. “We can’t have one strategy to address all,” he added.

Czapar believes the final strategy recommendations will be voluntary and incentive-based.

“What’s critical is to embrace best management practices on the ground,” Czapar said. “This is not something we can ignore. It would be better to embrace it.”

The Illinois Nutrient Research and Education Council (NREC) will fund study projects that will explore a variety of nutrient issues, Bob Hoeft, recently retired University of Illinois professor, announced last week.

Hoeft discussed the 2014 projects during the Illinois Fertilizer and Chemical Association annual convention last week in Peoria. NREC receives

All cover crops, like politics, are local and require locationspecific information, Illinois Fertilizer and Chemical Association (IFCA) members heard last week.

Cover crop information surfaced in several presentations at the IFCA annual convention and trade show in Peoria. Fertilizer and crop proMaria Villamil tection dealers and others in the sector heard about cover crop issues and studies in Illinois.

“I love cover crops. My concern is we need to know when and how to use it,” said Maria

Villamil, University of Illinois professor in soil fertility and crop management. “It is local adoption ... There is great variability due to environment and management.”

Villamil discussed results from the first year of a multi-year study of cover crop and cropping systems impacts on soil, and corn and soyScott Wohltman bean yields.

Seven cover crops are being studied at the Northern Illinois Agronomy Research Center in Shabbona, the Northwestern Illinois Agriculture Research and Development Center in Monmouth, U of I South Farms in

Urbana, the Brownstown Agronomy Research Center, the Southern Illinois University research farm in Carbondale and the U of I Dixon Springs Agricultural Center, Simpson.

In addition, 10 farmers each are studying one cover crop of choice on their farms. Villamil added she would like to add more farmers to the study.

Villamil cautioned last year’s growing season was challenging and the results reflected that year. “Never trust data from (only) one year,” she said with a laugh.

Overall soybean yields after cover crops were highly consistent. However, corn yields dropped following clover and ryegrass. Villamil questioned whether the same results would be repeated in future years.

BY KAY SHIPMAN FarmWeek

if (crop) root health permits,” Nafziger said.

Exciting nitrogen discoveries are surfacing through NWatch, an in-field nitrogen inventory program supported by the Council on Best Management Practices. Howard Brown, GROWMARK Inc. director of nutrient management and environmental stewHoward Brown ardship, reported on N-Watch data.

Brown stressed N-Watch is not a nitrogen recommendation system, but a means to inventory, track and verify field-specific nitrogen levels. The program involves soil samples at 12and 24-inch levels across a 30-inch strip that is perpendicular to a crop row.

“This approach is to be used by growers to come up with nitrogen management,” Brown said.

“This approach to look at nitrogen availability (to crops) opens up whole new questions to ask. Where did the nitrogen go? How was it applied? What were the (farming) practices?

Does the farmer need to sidedress (nitrogen applications)?” he noted.

Brown excitedly described how N-Watch data may be combined with other information to improve fertilizer efficiency. The study could help assess in-field effects of using nitrogen inhibitors, cover crops, fall versus spring nitrogen applications and other practices.

“We need nitrogen ninjas if we want to move forward with economic and environmental stewardship,” Brown concluded. — Kay Shipman

NREC to fund range of nutrient study projects money from a 75-cent assessment per ton of fertilizer sold.

Twenty-six projects were submitted for consideration.

Of the submittals, 21 were new studies and five were submitted for renewed funding.

Projects selected for fund-

ing in 2014 include: • Eight studies on nitrogen management; • Three studies on phosphorous and potassium management; • Two cover crop studies; • A study of field border buffers as potential nutrient interceptors between fields and streams, rivers and lakes; and • A study of crop rotation and soil quality. — Kay Shipman

Research filling in the gaps on cover crop knowledge Farmers need to include cover crop control in their management plans, according to Scott Wohltman, a cover crop management specialist with LaCross Seed.

“A cover crop not managed today is a weed tomorrow,”

New to cover crops?

Farmers starting to grow cover crops consider these key points.

• Plant timely in fall.

• Suppress timely in spring.

Don’t let cover crop grow more than knee high.

• Start small, 5 acres or less to gain experience.

• Buy seed from reputable source.

Sources: Maria Villamil, University of Illinois; Scott Wohltman, LaCross Seed

Wohltman said.

Herbicides are one control method, but farmers may consider mowing, crimping or cutting cover crops for forage.

In some cases, control hinges on the cover crop, especially with more than 170 varieties of annual ryegrass. Italian types of ryegrass were bred for forage and are not ideal cover crop options, Wohltman said. Diploid ryegrasses, which are true winter annuals, have been bred with Italian ryegrasses, making control more difficult, he added.

Wohltman advised farmers to plan control methods early with ryegrass cover crops.

He recommended farmers new to cover crops not grow hairy vetch. “Hairy vetch can be a bear to manage,” he added. — Kay Shipman

LIVESTOCK

FarmWeek Page 4 Monday, January 27, 2014

High milk prices insulate farmers from cold weather losses

George Kasbergen, operator of Stone Ridge Dairy in Mansfield, brought in industrial-sized heaters on his farm, similar to those used on National Football League sidelines, to try to protect his employees and cow herd from the extreme cold.

“It’s challenging,” Kasbergen said last week at the Illinois Dairy Summit in Bloomington. “We lost a little milk.

But just trying to keep employees and cattle safe probably is the biggest issue.”

Mike Hutjens, University of Illinois dairy specialist emeritus,

estimated in most cases around the state producers in recent weeks likely lost about 3 to 4 pounds of milk per cow each day due to the frigid temperatures.

“Once it gets below 15 degrees, a dairy cow has to divert energy (from milk production) to stay warm,” Hutjens said. “A farmer can put in about 2 to 3 pounds of corn, which is energy rich and would be more energy to the cow, assuming the diet allows you to do that” to minimize milk losses.

The good news for dairy producers? A major run-up in milk prices and feed price relief improved margins and insulated farmers from milk losses caused by the abnormally cold winter thus far.

“The price of milk is up $3 per hundredweight and corn prices are pretty favorable if you have to buy corn or byproducts,” Hutjens said.

“That (combination) makes a very nice margin.

“Dairy people hopefully are going to build equity lost in 2009,” he continued. “We need

Dairy farmers can consider a number of options to boost milk production on their farms.

But farmers should keep in mind the cost and longevity of their herds before making any significant operational changes, according to a farmer and dairy specialists speaking last week at the Illinois Dairy Summit in Bloomington.

George Kasbergen, who operates Stone Ridge Dairy in Mansfield, which milks 3,200 head of dairy cows per day, and Mike Hutjens, University of Illinois dairy specialist, emeritus, discussed factors farmers should consider to find the next 10 pounds of milk.

“There are multiple issues

to try to get the last 10 pounds (of milk per cow),” Kasbergen said. “Getting the cattle raised correctly, cow comfort and quality of feed are three big factors.”

Corn silage processing can boost milk production by 2 to 4 pounds, Hutjens noted. Forage digestibility also is a major factor as production slips about 1.8 pounds of milk for each percent the digestibility rating goes down.

Forage quality could be a big issue for months as Hutjens noted, “hay quality is not great.”

Farmers could change the diets of their cows to boost milk production. Hutjens suggested building milk components, adding sugar or amino acid supplements.

Additives recommended by

BY DANIEL GRANT FarmWeek

Subzero temperatures experienced on several different occasions so far this month added health and production risks to dairy operations around the state.

FarmWeekNow.com

To hear Mike Hutjens’ comments about what to expect in the dairy industr y this year, go to FarmWeekNow.com.

a good six months and I think we’re going to have it.”

Milk prices in Illinois last week were around $22 per hundredweight compared to an average of $18.95 last month.

Hutjens believes the main driver of the price spike is strong export sales. About one of every

six truckloads of milk produced in Illinois is exported, he noted.

“Our dairy industry can produce milk competitively and as economically as New Zealand,” he said. “We can compete in the export market.”

Hutjens encouraged producers to focus on feed quali-

ty and economics. A dairy cow produces about 2 pounds of milk for every pound of dry matter, which at current prices yields a return of about 44 cents per hundredweight.

“Don’t give up the milk,” Hutjens said.

He predicted milk prices would remain high at least through the winter.

But prices won’t double due to the lack of a farm bill, according to Jim Fraley, manager of the Illinois Milk Producers Association.

If Congress doesn’t pass a farm bill, legislation would revert back to the Agricultural Act of 1949 which used parity pricing to establish milk prices.

Parity pricing currently would boost milk prices up to $37.20 per hundredweight.

“It’s not going to happen,” Fraley said. “Congress won’t let the price of milk double.”

Reports last week suggested Congress may be near a compromise on the dairy portion of the farm bill. Congress reconvenes this week.

Hutjens include rumen buffers, yeast culture, Monensin, silage inoculants, Biotin and organic trace minerals.

Farmers should analyze their herds, costs and production before making any significant changes, though, or they could be “exchanging dollars” by boosting costs to produce more milk, Hutjens said.

“For me, you have to know your costs of production and every week try to pinpoint a few things (to boost milk production) and dial things in,” Kasbergen said. “I always look at my milk-to-feed ratio.”

Phil Cardoso, U of I dairy specialist, suggested farmers analyze the diets of various cows on their farms. Recent research shows transition cows

don’t necessarily need highenergy diets prior to calving, for example, or they could develop insulin resistance (similar to diabetes).

“You cannot calculate feed efficiency unless you know how much your cows are eating,” Cardoso said.

Maximizing reproduction also will help farmers boost

production on their farms.

Pregnancy rates among dairy herds average about 17 percent. Cardoso told farmers to shoot for 20 percent.

“There’s still room to improve,” he added.

The annual Dairy Summit was organized by the U of I and Illinois Milk Producers Association. — Daniel Grant

George Kasbergen, left, operator of Stone Ridge Dairy in Mansfield, discusses feed economics with University of Illinois dairy specialists, left to right, Phil Cardoso, Mike Hutjens and Dave Fischer during the Illinois Dairy Summit at the Illinois Farm Bureau office in Bloomington. The annual event was organized by the U of I and the Illinois Milk Producers Association. (Photo by Daniel Grant)

Illinois dairy farmers discuss strategies to boost milk production

Dairy team focuses on profitability, efficiency

Illinois dairy farmers looking to improve the efficiency and profitability of their operations can get a free consultation.

The University of Illinois recently formed the Dairy Focus Team, which currently is seeking dairy farmers around the state who are willing to open their doors to the team for a free evaluation of their operation.

The Dairy Focus Team is composed of eight University of Illinois graduate students, faculty, undergraduate students and industry professionals.

The initiative blends teaching, research and Extension components as the team attempts to help each farmer through recommendations, according to Phil Cardoso, U of I dairy specialist.

“We get experience evaluating dairies and talking to (dairy) managers,” Katie Haerr, president of the Dairy Focus Team, told FarmWeek at the Illinois Dairy Summit in Bloomington. “We make suggestions (to farmers) in areas such as nutri-

tion, reproduction, calves and management.”

Haerr said the team focuses on finding areas of an operation that could benefit from small changes or tweaks. The team also will pinpoint each farm’s strengths.

“We’ll go back to the producer (after an onfarm evaluation) and suggest little things that can be done on a daily or weekly basis to improve profitability and efficiency,” Haerr said.

She noted most aspects of dairy production are interconnected. So one small change on an operation can make a big difference.

“A lot of nutrition problems can lead to reproduction problems and nutrition or immunity problems can cause health issues such as mastitis,” she noted. “It’s all about the big picture.”

Farmers interested in learning more or scheduling a free consultation with the Dairy Focus Team should visit the website {dairyfocus.illinois.edu} or call 217-300-2303. — Daniel Grant

IPT Bull Sale planned for Feb. 20

The 2014 Illinois Performance Tested (IPT) Bull Sale will start at 11 a.m. Feb. 20 in the Illinois State Livestock Center, Springfield.

This year, 70 bulls are cataloged with 13 longer-aged 2012 mature bulls and 57 yearlings. The bulls include 33 Angus, 34 Simmental and SimAngus, and three Hereford.

The sale order will be based on a Power Score system that uses the economic indexes provided by the breed associations. The Power Score will be calculated on the percentile rank for these values.

Along with strict requirements for superior Expected Progeny Differences (EPDs), bulls must meet some of the industry’s most rigorous requirements.

“These bulls don’t just have to pass the test, they have to pass every test,” said Travis Meteer, IPT sale manager and University of Illinois Extension educator.

Each bull must meet a stringent minimum scrotal circumference for its age. Mothers of bulls must test negative for Johne’s Disease or come from a Level 1 or higher herd of the Voluntary Johne’s Certification Program. Bulls also must be tested for Bovine Viral Diarrhea (BVD) using the Persistently Infected (PI) ear notch screening system. All senior and January yearlings must be fertility tested. All bulls must meet weight, frame and functional soundness evaluations before the sale.

The sale catalog and supporting information are online at {IPTBullSale.com}. A list of registration numbers for all the bulls will allow prospective buyers to print a “Performance Pedigree” from the breed associations.

Online bidding will be offered through DV Auction. All information is available on the website.

The sale is supported by U of I Extension, U of I Animal Science Department, Illinois Angus Association, Illinois Simmental Association, Vita-Ferm, Merial, Zoetis 50K and ABS. For more information, contact Meteer at 217-430-7030 or wmeteer@gmail.com.

GOVERNMENT

Page 5 Monday, January 27, 2014 FarmWeek

Federal spending package benefits farmers

BY DEANA STROISCH FarmWeek

From agricultural research and rural development to feral swine eradication, officials say the $1.1 trillion omnibus federal spending package includes a number of benefits for farmers across the country.

Representatives from national pork, beef, corn and soybean associations offered a quick analysis of the 1,582page spending package.

The bill, which was recently approved by Congress, details how government operations will be paid for through the rest of the fiscal year. Here’s a rundown: The U.S. Department of Agriculture (USDA), Food and Drug Administration, Commodity Futures Trading Commission and the Farm Credit Administration will receive a total of $20.9 billion in discretionary spending in FY2014, an increase of $350 million from fiscal 2013.

PORK INDUSTRY In addition to money for research and development, about $20 million is included in the spending bill to assist with feral swine eradication.

Chris Wall of the National Pork Producers Council told FarmWeek that overall the omnibus spending package benefits pork producers.

“Not only does it fund necessary functions that pork producers depend on on a daily basis, but also helps out

with some of the challenges that we have right now,” said Wall, who is assistant vice president of government relations.

Unrelated to spending, Wall said the bill continues to prohibit the Grain Inspection, Packers and Stockyards Administration from implementing controversial reforms to livestock and poultry.

“That really had the potential to just turn the industry upside down from a business standpoint and fundamentally change how producers contract their animals,” he said. “So that’s a positive that we don’t have to worry about for at least another year.”

Nonbinding language also is included in the bill that addresses mandatory country-of-origin labeling. The language, Wall said, puts Congress on record that it’s unhappy with USDA’s final ruling on May 23.

USDA’s ruling requires origin designations on muscle cut commodities to include information about where production occurred.

BEEF INDUSTRY The omnibus bill also provides $6.6 billion for the Bureau of Land Management and U.S. Forest Services, which is about $71 million more than last year. Scott George, National Cattlemen’s Beef Association (NCBA) president, says the additional revenue should help the agencies work through a backlog of environmental

analysis required for grazing permits.

The association also pointed to language that prohibits the Environmental Protection Agency (EPA) from requiring livestock operations to get permits for emissions of greenhouse gases.

The agency also will be prohibited from requiring farmers to report greenhouse gas emissions from manure management systems.

Officials from NCBA say they were disappointed that the bill didn’t ban enforcement of the Spill Prevention Control and Countermeasure Rule or include a provision that would prohibit EPA from releasing producers’ personal information under the Freedom of Information Act. SOYBEAN INDUSTRY The American Soybean Association (ASA) touted several victories for soybean farmers, including funding for programs that will improve waterways infrastructure, agricultural research, food aid and market research.

The spending bill includes $1 billion for port and navigation channel maintenance and dredging — an increase of about $200 million over last year.

In addition, a change in the cost-share arrangement for the Olmsted Lock and Dam project will free up about $81.5 million, according to ASA. Under the bill, 75 percent

Water Quality Initiative dates announced

Farmers and forest landowners in five Illinois watersheds may participate in a national USDA Water Quality Initiative, State Conservationist Ivan Dozier announced last week.

The Natural Resources Conservation Service (NRCS) will make financial and technical assistance available to farmers and forest landowners to improve water quality.

The National Water Quality Initiative was offered in three Illinois watersheds in 2012. In 2013, two additional watersheds were added in Vermilion County.

Applications are being accepted in all five watersheds until Feb. 21 for the first application cutoff and March 21 for a second cutoff. If funds permit, a third cutoff will be April 18.

The watersheds and locations are: Douglas Creek Watershed, St. Clair County; Crooked

Creek-Bon Pas Watershed, parts of Richland, Wabash, Edwards and Lawrence counties; and Lake Vermilion Watershed, Lake De Revey Watershed and Painter Creek Watershed, all in Vermilion County.

The watersheds cover more

than 107,000 acres and each has been identified with degraded water quality.

To apply, eligible farmers should contact their local NRCS Field Office. For more information, visit {il.nrcs.usda.gov}.

Do you know someone who goes above and beyond to make a difference in rural Illinois? Lt. Gov. Sheila Simon seeks nominations of individuals and groups who are bringing about change in rural Illinois. The nomination deadline is Feb. 14.

Selected nominees will be featured on Simon’s web and social media sites.

Nominations may be emailed to maggie.carson@illinois.gov or mailed to: Office of the Lt. Governor, Stratton Building Room 414,

Springfield, Ill. 62706, Attn: Maggie Carson.

Provide the following information about the nominee: name, city and occupation.

Include information about the nominee’s type of service: economic development and community revitalization, agriculture, education and empowerment, sustainability, public service, community and/or public health or other.

Visit FarmWeekNow.com to obtain a nomination form.

Simon seeking rural champion nominees

of the project’s cost will come from the U.S. Army Corps of Engineer’s construction general fund, which totals $1.6 billion. The remaining 25 percent will come from the Inland Waterways Trust Fund. That costshare agreement previously called for expenses to be split equally between the funds.

“Waterways infrastructure is so critical for soybean farmers,” said ASA President Ray Gaesser, a soybean and corn farmer from Iowa. “The productive work of the appropriations committee ... is not only a policy victory for ASA and other waterways stakeholders, but also a positive sign that the Water Resources Development Act conference committee may be nearing completion with similar provisions for waterways funding in the future.”

The spending package also includes more than $1.6 billion for two foreign food aid programs — about $1.46 billion for the Food for Peace Program and $185 million for the McGovern-Dole International Food for Education and Child Nutrition program.

CORN INDUSTRY Sam Willett, senior director of public policy for the National Corn Growers Association (NCGA), called the bill comprehensive.

“If there’s one thing that we can say about this, at least

we have certainty for the next year,” Willett told FarmWeek. “Congress continues to operate in a pretty difficult fiscal environment and probably will continue to do so.”

The Farm Service Agency’s funding will remain at the same level, Willett said, and “there’s considerable resources for research and rural development.”

NCGA also was pleased with the efforts of U.S. Sen. Mike Johanns, R-Neb., to include language encouraging Occupational Safety Health Administration to consult with USDA before enforcing worker-safety regulations for on-farm grain storage.

But he said the organization was disappointed that funding for the Environmental Quality Incentives Program (EQIP) was reduced to $1.35 billion. The program, which was funded at $1.75 billion in the 2008 farm bill, provides financial help to producers to help implement approved conservation plans.

“Anytime you make those types of cuts, it upsets the balance of funding the House and Senate agriculture committees arranged and supported in the 2008 farm bill,” he said. “EQIP is extremely valuable to a lot of producers out there; very, very critical in terms of helping a lot of producers comply with the increasing regulatory burden that they’re experiencing these days.”

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FarmWeek Page 6 Monday, January 27, 2014

New head of Illinois Extension shares goals and challenges

BY KAY SHIPMAN FarmWeek

George Czapar, new University of Illinois Extension and Outreach director, envisions exciting opportunities for Extension. With his extensive background in Extension and Illinois issues, Czapar also is aware of the challenges.

Both opportunities and challenges surfaced during his discussion last week with Illinois Farm Bureau board members in Bloomington.

Czapar, who most recently worked at the Illinois State Water Survey, focused on his outreach efforts since assuming his new post three months ago.

His goal is two-fold to raise awareness about Extension campus-wide among U of I faculty and students, and to use Extension educators and programs to spread a vast array of campus research and resources, including computer and data analyses.

“The Prairie Research Insti-

tute (home of the state scientific surveys) has a cadre of scientists whose expertise we don’t have in Extension,” Czapar noted. However, Extension will be able to tap into that scientific expertise to address issues and questions directed to Extension staff, he added.

Czapar also hopes to involve Extension in recruiting high quality students to the U of I and is exploring student internships on the university’s research farms.

Other discussions have touched on possibilities of Extension working with community colleges.

IFB Director Chris Hausman of Pesotum mentioned farmers’ need to better understand nutrient stewardship and best management practices and asked if Extension could assist. Czapar agreed: “It’s a great opportunity (for Extension) and one of the biggest challenges agriculture faces.”

Questions about youth and 4-H programs were raised by IFB Director Dale Hadden of Jacksonville and IFB President

New University of Illinois Extension Director George Czapar, center, chats with Illinois Farm Bureau President Rich Guebert Jr., left, and IFB Vice President David Erickson last week in Bloomington. Czapar, a long-time Extension educator and Illinois State Water Survey researcher, discussed Extension challenges and opportunities with the IFB Board. (Photo by Kay Shipman)

Rich Guebert Jr. Youth education and 4-H remain a vital part of Extension and are expanding into science and engineering applications through robotics and new programs, Czapar said.

Funding, especially countystate match funding, remains a major challenge. IFB Vice President David Erickson expressed concerns some county government boards may question raising local dollars for Extension if the state does not provide matching support. Czapar acknowledged the issue and

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suggested increased awareness of local Extension programs and services would grow funding support.

“We need to showcase what we are doing well and the ways we deliver information,” Czapar said.

Wally Locke will bring a lengthy shopping list Feb. 18 to Orland Park and hopes to meet Illinois farmers and growers who can supply what he needs.

“If we can buy Illinois and sell Illinois — that’s good for the state,” said Locke, a meat buyer with Angelo Caputo’s Fresh Markets, which has several suburban stores.

Locke and several local and regional buyers will attend the Meet the Buyer event in the Orland Park Civic Center from 9 a.m. to 4 p.m.

Locke responded with a lengthy list and a chuckle when asked what products interest him. “We’re looking for beef, pork, lamb, veal — anybody who does fish, I know they raise some in southern Illinois — any produce, honey, jams, jellies,” he said.

In case any farmers believe buyers are interested only in large farm operations, Locke put those concerns to rest.

“We’re open to any size of operation,” he said. “As long as the produce is good and the pricing is good.”

Case in point, a small operation from Huntley supplies honey for Caputo’s, he noted.

Farmers may attend at no cost, but should contact the Cook County Farm Bureau at 708-354-3276 by Feb. 14. This is expected to be one of the largest Meet the Buyer events.

In addition to Caputo’s,

other businesses planning to attend include Dalmares Produce, Berkots Super Stores, Standards Market, Produce Alliance, U.S. Foodservice, Brookhaven Marketplace, Local Foods, Test Produce and ShopNSave.

Invited buyers include chefs and individuals representing retail grocery stores and chains, food service distributors and schools.

“We have great plans for farmers to hear from several buyers and meet with the buyers one-on-one,” said Cynthia Haskins, Illinois Farm Bureau manager of business development and compliance.

“This event will include buyers who are looking for local fresh fruits and vegetables, meats, artisan cheeses, dairy, poultry and value-added products,” added Bob Rohrer, Cook County Farm Bureau manager.

University of Illinois Extension staff will present education programs on MarketReady to teach growers best commercial business practices and Good Agriculture Practices — recommendations to improve produce quality and safety.

The one-day event is being coordinated by IFB, Cook County Farm Bureau, U of I Extension, Illinois Specialty Growers Association, IDOA and northeast county Farm Bureaus. — Kay Shipman

Meet the Buyer event

‘Buy Illinois, sell Illinois, that’s good for the state’

PRODUCTION

Page 7 Monday, January 27, 2014 FarmWeek

SIU researcher assesses wheat yield potential in Illinois

BY DANIEL GRANT FarmWeek

Planting date always comprises a key factor in wheat yield potential as growers aim to establish good stands prior to winter dormancy.

But the type of field and tillage used also can affect wheat yield potential, according to Ronald Krausz, researcher/farm manager of the Southern Illinois University Belleville Research Center.

Krausz recently conducted wheat yield research. He will provide detailed findings of his research to farmers next month (Feb. 18) at the Illinois Winter Wheat Forum at Krieger’s Holiday Inn Convention Center in Mount Vernon.

One key finding of the wheat yield research showed no-till drilling wheat into corn stubble often had a negative impact on yields.

“For a lot of growers it’s convenient to do that (no-till drill wheat into corn stubble) and farmers usually are able to

get good stands of wheat, so they assume there’s no (yield) reduction,” Krausz said.

But the research showed wheat planting into corn stubble often yielded significantly less than wheat planted into bean stubble or tilled fields.

“There’s also the possibility of more disease any time you follow a cereal crop with another cereal crop,” Krausz said.

Krausz will discuss the yield variations at the Winter Wheat Forum. His presentation is titled, “How Does the Previous Crop and Tillage Affect Wheat Yield?”

The annual event is organized by the Illinois Wheat Association {illinoiswheat.org}.

Illinois farmers last fall seeded 740,000 acres of soft red winter wheat, down 15 percent from the previous year.

Wheat growers in the state last year harvested a recordtying average yield of 67 bushels per acre. But they like-

Illinois farmers last fall planted 740,000 acres of winter wheat, down 15 percent from the previous year. (FarmWeek file photo)

Forest Stewardship Conference set

The University of Illinois Extension and Iowa State University Extension will host the 2014 Tri-State Forest Stewardship Conference March 8 in the Sinsinawa Mound Center, Sinsinawa, Wis. The early registration deadline is Feb. 14.

The annual event attracts more than 500 woodland landowners and others from Illinois, Iowa and Wisconsin. Early registration is advised as conference seats usually fill quickly.

To register, visit {extension.illinois.edu/go/forestconference}.

The conference will feature more than 21 presentations on a range of topics related to forestry, wildlife and natural resources.

A two-hour apple tree grafting workshop will be limited to the first 25 individuals who enroll online. Participants will be able to take home five apple trees grafted onto certified rootstock.

Adult registration is $45 by Feb. 14, and $55 after that date.

The fee includes breakfast, lunch, refreshments, handouts and a mug. The registration deadline is midnight Feb. 28. No walkin registrations will be allowed.

For more information about conference, visit {extension.iastate.edu/forestry}.

‘There’s also the possibility of more disease any time you follow a cereal crop with another cereal crop.’

— Ronald Krausz ly planted fewer acres last fall due to the late harvest of corn and soybeans, and lower wheat prices.

USDA earlier this month lowered the 2013-14 season average price estimate of wheat by a dime and raised ending stocks by 33 million bushels.

Researcher/farm manager SIU Belleville Research Center

The current crop should be in good shape despite several rounds of subzero and single digit temperatures around the state, according to Krausz.

“I think it will be OK,” Krausz said. “Every time we’ve had that (frigid) weather we’ve had pretty good snow

cover (to insulate the crop).

“There may be more problems in late winter into spring with heaving if farmers didn’t get it (wheat) planted deep enough,” he added.

Heaving occurs when soil freezes and thaws, pushing the plant crown and roots to the surface.

Winter Wheat Forum Feb. 18 in Mount Vernon

Wheat growers can learn more about key issues such as disease management, yield research and cover crops next month at the Illinois Winter Wheat Forum.

The annual event will be held Tuesday, Feb. 18 at Krieger’s Holiday Inn Convention Center in Mount Vernon.

The Forum, which aims to help Illinois wheat growers increase productivity and profitability, will feature a wide variety of attractions for producers and processors.

Researchers from the University of Illinois and Southern Illinois University will present the latest research findings of wheat disease management, cover crops and the effect of previous crops and tillage on wheat yields.

The event also will feature a weather out-

look for the 2014 growing season and a marketing outlook.

The annual event is organized by the Illinois Wheat Association (IWA) through support of the Illinois Farm Bureau. IWA also will hold its annual meeting to conclude the event.

Registration for the Wheat Forum will open at 8 a.m. The program, including lunch, will be held from 9 a.m. to 2:15 p.m. The IWA meeting will be held from 2:15 p.m. to 2:45 p.m.

Cost of the event is $15 per person for IWA members and $30 per person for nonmembers.

For more information about the Wheat Forum, visit the IWA website {illinoiswheat.org} or contact Diane Handley, IWA executive secretary, at 309-557-3662.

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FarmWeek Page 8 Monday, January 27, 2014

Page 9 Monday, January 27, 2014 FarmWeek

AG FAIRS

FarmWeek Page 10 Monday, January 27, 2014

Robbins named new Illinois county fair queen

Summer Robbins of Coffeen, seated, receives her 2014 Miss Illinois County Fair Queen crown from Bob Flider, Illinois Department of Agriculture director, and retiring queen Amelia Martens. Robbins represented Montgomery County. (Photo courtesy of Studio 31, Springfield)

Summer Robbins, Miss Montgomery County Fair, was crowned 2014 Miss Illinois County Fair Queen at the recent Illinois Association of Agricultural Fairs annual convention. A record 72 county fair queens vied for the title.

“I definitely came into this experience to enjoy it and to represent Montgomery County to my absolute best,” said Robbins of Coffeen. She attends the University of Illinois as a freshman majoring in finance.

The daughter of Rick and Julie Robbins wants to become a corporate attorney.

“Since I was a young child, I’ve had a passion for veteran’s affairs because my father and all the men in my family have been in the military,” Robbins told Rita Frazer, RFD Radio Network® editor. “Playing my violin at veteran’s hospitals and speaking on their behalf whenever I can is something I’m very passionate about.”

Miss Winnebago County Fair Megan Magee was named runner-up. She is the daughter of Steve and Deb Magee of South Beloit. Erin Hodgson,

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interview competition. Miss Mercer County Fair Bryanna Martin won best in stage presence, and Miss Henry County

Miss Mason County Fair, received the Ruby Crum Memorial Award for charm and enthusiasm.

‘I definitely came into this experience t o e n j oy i t a n d t o r e p r e s e n t M o n t gomery County to my absolute best.’

— Summer Robbins 2014 Miss Illinois County Fair Queen

Nonfinalist competition awards went to Miss Fisher Fair Kirsten Blackford for best

Fair Lauren VanDeVelde won best in the beauty and physique competition.

County fair economic impact set for study

What economic impact do county fairs have on Illinois communities? Illinois Association of Agricultural Fairs (IAAF) members hope to have an answer early next year.

IAAF members struck an agreement with the University of Illinois Extension Service during their recent annual meeting to conduct a study.

“By doing this study, we’ll have it in black and white. So, when we go to state legislators or city council members asking for help with our premium money or tourism money, we’ve got figures on what these county fairs mean to the state of Illinois,” said Tom Moore, past IAAF president and Jersey County farmer.

BY RITA FRAZER

‘It’s getting a little tougher on a few of the smaller fairs.’

— Tom Moore Past IAAF president

Moore noted that the state’s 102 county fairs remain financially healthy. Attendance at most county fairs continues to stay strong with some fairs posting small boosts in numbers, he said.

“It’s getting a little tougher on a few of the smaller fairs, but it’s like farming — when it gets a little tougher, you survive and look at new ways of doing things,” Moore said. “A lot of us are actually doing a little better because we’re looking outside the box a little bit more.”

Agricultural fairs association elects new president Rita Frazer serves as RFD Radio Network® editor.

Ron Meyer of Manteno was elected president of the Illinois Association of Agricultural Fairs (IAAF) at the group’s recent 104th annual meeting.

Meyer has served on the Will County Fair Board for 37 years. He also served as IAAF northern zone director for four years. He and his wife, Lois, have two children and five grandchildren, who farm and show Holsteins and beef cattle.

Other new members elected to the board included Sandy Hoke of Tuscola and James Walsh of Carmi.

IAAF members also honored six Friend of Illinois County Fairs volunteers for their service and dedication.

The honorees collectively have more than 247 years of service.

The honorees included Jim McGuire of Warrenville, DuPage County Fair president; Mary Vaughan of Forrest, Livingston County Fair Board member; Larry and Emalee Colver of Capron, Boone County Fair volunteers; John Wagner of Sandwich, Sandwich Fair Board director; and Lynn Freeman of Griggsville, Western Illinois Fair Board executive secretary.

FSA

Page 11 Monday, January 27, 2014 FarmWeek

IDOA promoting Illinois foods for Super Bowl parties

To be eligible for the product drawing, participants must take the Buy Illinois Challenge at {buyillinoischallenge.com}.

Consumers who join the chal-

lenge agree to spend $10 of their existing weekly grocery budget on Illinois products.

One winner will be selected randomly on Jan. 31, Feb. 1 and Feb. 2.

IDOA held a similar product promotion for the Christmas holiday and plans another for Valentine’s Day. Participating companies are Jimmy B’s Super Salsa {jimmybssalsa.com} of Springfield; Beer Nuts {beernuts.com} of Bloomington; and Toohill Beef & Seed Service {toohillbeef.com} of Clinton.

For more information, visit {agr.state.il.us/marketing/ilprod}.

Maintaining grain quality in farm bins will be one of many topics discussed from 9 a.m. to 3:30 p.m. Feb. 4 at the Farming 2014: Managing Risk, Revenue and Operations conference at the Decatur Conference Center and Hotel.

Speakers from the University of Illinois and the ag industry will also discuss managing profitability and risk, develop-

ing grain marketing strategies, controlling weeds and insects, and increasing combine efficiency.

Sponsored by ADM Crop Risk Services and presented by AgEngage, meeting registration begins at 8 a.m. Sixteen exhibitors will display products and services. For more details and to preregister, visit {AgEngage.com/farming2014}.

Far mers, landowners and ag sector representatives in the Lake Springfield Watershed may attend a Feb. 6 meeting from 8:30 to 11:30 a.m. in the Northfield Conference Center, Springfield.

Mike Pl umer, co o rd in a to r o f th e I ll i n o i s C o un ci l o n Best Ma n a g emen t Pra ctices (C -BMP), will d iscuss g rowi n g cover cro p s fo r nutri en t ma n a g emen t a n d to i mp rove so il h ea l th a n d wa ter qua li ty.

Dan Schaefer, C-BMP director of nutrient stew-

ardship, will discuss using site-specific technolog y to improve far m profitability.

Howard Brown, GROWMARK Inc. director of nutrient management and environmental stewardship, will discuss nutrient management to maximize yields and improve water quality.

The meeting is part of the Lake Springfield Project.

For more infor mation or to register, visit {illinoiscbmp.org} or call 217241-6635, extension 3.

The Illinois Department of Agriculture (IDOA) wants consumers to think Illinois when preparing for Super Bowl parties. Starting Jan. 31, IDOA’s Game Day Giveaway promotes Illinois products for football viewing festivities.

Risk management conference set

HEL and wetland compliance — Landowners and farmers need to comply with Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC) provisions to receive benefits from USDA. Farmers with HEL-determined soils must apply tillage, crop residue and rotation requirements as specified in their conservation plans or approved system. Farmers should notify the Farm Service Agency (FSA) before clearing land or starting drainage projects to ensure compliance.

Landowners and farmers may complete form “AD1026 Highly Erodible Land Conservation and Wetland Conservation Certification” to determine whether referral to a natural resources conservationist is advised.

For more information,

Farm Service Agency

contact FSA county staff or visit {fsa.usda.gov}.

Unauthorized grain disposition — Disposing of loan grain by feeding, selling or any other method without prior written authorization from the county FSA staff is considered an unauthorized disposition.

The financial penalties for unauthorized dispositions are severe and a farmer’s name will be placed on a loan violation list for two years.

Always call FSA before you haul or feed any grain under loan.

Conducting USDA business online — The Internet gives farmers 24/7 access to USDA information. Farmers may complete and submit electronic forms (eForms) anytime from anywhere with Internet access.

A new service option allows farmers whose signa-

tures are electronically on file to complete and file forms and applications.

The information is secure because it requires a unique user identification and password. Only authorized USDA employees may access that information.

Contact your county FSA office for more information on how to sign up for Eauthentication.

Payment reductions due to sequester — Farmer participants in FSA programs need to plan in fiscal year 2014 for automatic spending reductions known as sequestration. Federal law mandates that federal agencies implement automatic, annual reductions to discretionary and mandatory spending limits. For mandatory programs, the sequestration rate for this fiscal year is 7.2 percent.

Conservation Reserve Program payments are specifically exempt by statute from sequestration, thus those payments will not be reduced.

FSA will provide notification as early as practical on the specific payment reductions.

Lake Springfield Watershed stakeholder meeting planned

Datebook Jan. 28 Conservation cropping seminar, Mendota. Visit {ccswcd.com} for information.

Jan. 28-29 Cattle breeding workshop, Dixon Springs Agricultural Center, Simpson. Registration deadline Jan. 21. Call 618-695-4917.

Jan. 29-30 University of Illinois crop management conference, Springfield. Visit {web.extension.illinois.edu/csrec} for more information.

Jan. 30 Food entrepreneur conference, 9 a.m. to 4:30 p.m., CGH Medical Center, Sterling. Call 815-626-2665.

Jan. 30, Feb. 1 Illinois Farm Bureau Young Leader state conference, Normal. Visit {ilfb.org} for more information.

Feb. 4-5 Illinois Pork Expo, Peoria. Visit {ilpork.com} for more information.

Feb. 5-6 University of Illinois crop management conference, Champaign. Visit {web.extension.illinois.edu/csrec} for more information.

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FarmWeek Page 12 Monday, January 27, 2014

White County Farm Bureau donates ag books

The Carmi Public Library recently expanded its agricultural selection of books due to a generous donation by White County Farm Bureau members.

Connie Kisner, assistant librarian, realized the need for more books containing an accurate message about local agriculture. She sent a request to White County Farm Bureau Manager Doug Anderson and White County Ag Literacy Coordinator Brianne Foster.

“She came to the right place. I knew our members would jump at the chance to supplement the library’s agriculture selection,” commented Foster. “This program falls in

line with our mission to provide agriculture opportunities to the community, and it’s exciting to know that these books will be used for years to come.”

Several White County Farm Bureau members and White County Ag in the Classroom supporters sponsored the purchase of 30 agricultural themed books, ranging from children’s picture books to chapter books.

“What a fabulous collection of books,” noted Stephanie Dennis, Carmi Public Library director. “We are always trying to add books that pertain to southern Illinois.”

The books will soon be available for checkout. The book donation project with Carmi Public Library represents one of many community efforts of the Farm Bureau.

White County Farm Bureau members recently donated 30 agricultural themed books to the Carmi Public Library. From left are Brianne Foster, White County Farm Bureau ag literacy coordinator, Connie Kisner, assistant librarian and Stephanie Dennis, library director. (Photo by White County Farm Bureau Manager Doug Anderson)

Average farmer age mirrors U.S. labor force

U.S. farmers are aging, but their aging mirrors the U.S. labor force. That perspective suggests the U.S. will likely have little problem replacing its aging farmer population,

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according to a study by Carl Zulauf, an agricultural economist at The Ohio State University.

The latest U.S. Census of Agriculture noted the average age of U.S. farmers at 57.1 years. Average age was first reported for the 1945 Census of Agriculture at 48.7 years.

During this 62-year span, average age of U.S. farmers increased 8.4 years, or 17 percent. Only about 0.5 percent of farmers are under 25.

The 2007 average age of U.S. farmers exceeded the 2010 median age of the U.S. labor force by 15.4 years. This difference has not changed much since 1980, implying that U.S. farmers and the U.S. labor

force are aging in concert.

The U.S. farmer population is older than the U.S. labor force, which is consistent with farming being capital intensive.

It takes time for someone to accumulate the capital necessary to compete in U.S.-style farming, either through inheritance or savings or both.

While much is written about the need to replace the aging U.S. farmer population, the 1970 period of farm prosperity suggests the current period of prosperity will lead to an influx of younger farmers.

Zalauf said this influx will likely occur over a number of years and its magnitude will depend upon the staying power of current farm prosperity.

Growers and managers may learn about developing a food safety plan and become Good Agricultural Practices (GAPs) certified at a Feb. 12 workshop offered by the University of Illinois Extension. The preregistration deadline is Feb. 11.

The workshop will run from 9 a.m. to 4 p.m. in the Westchester branch office, 2205 Enterprise Dr., Suite 501, Westchester.

Recent produce-associated foodborne illness outbreaks have increased public awareness of produce food safety.

“In all produce operations, it is critical to be aware of and implement food safety practices such as Good Agricultural Practices so that microbial risks can be minimized,” said Ellen Phillips, U of I Extension educator.

The registration fee is $10

per participant. One set of curriculum will be provided for each farm or organization.

Lunch, refreshments and a GAPs manual will be provided. Preregistration is required

by Tuesday, Feb. 11.

To register online, visit {web.extension.illinois.edu/cook/index.html}.

Topics covered will include produce safety risk factors, worker health and hygiene, water quality and testing, soil management and soil amendments, post-harvest produce handling, creating a food safety plan and auditing farms for GAPs/food safety.

Workshop participants will be eligible for a GAPs Audit Cost-share program to support a substantial portion of the GAPs certification audit.

For more information, contact Phillips at 708-4494320 or ephillps@illinois.edu.

Good Agricultural Practices workshop offered for growers

FROM THE COUNTIES

Page 13 Monday, January 27, 2014 FarmWeek

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DAMS — Scholarship applications are available for graduating seniors and college students at the Farm Bureau office or by email at acfb@adams.net.

ARROLL — Farm Bureau will sponsor an on-the-road transportation seminar at 7 p.m. Feb. 12 at the Barnacopia in Polo. Call the Farm Bureau office or email carrollcfb@grics.net to register.

HRISTIAN — Farm Bureau will sponsor a conservation drainage workshop at 6 p.m. Feb. 6 at the Farm Bureau building. Springfield Plastics will present the program.

Call the Farm Bureau office at 824-2940 to register.

OLES — Farm Bureau will host a candidate meet and greet at 7:15 p.m. Feb. 18 at the Lifespan Center. Candidates for State Representative, Coles County Sheriff and the Coles County Board have been invited.

• Farm Bureau quilt show will be Feb. 28 to March 2 at the Cross County Mall. Quilts may be entered from noon to 7 p.m.

Feb. 27 at the mall. Call Nancy Swinford at 217-549-0009 for more information.

OOK — Farm Bureau will offer reduced price tickets for Disney on Ice at the United Center. For additional information on selected shows and dates visit {cookcfb.org}.

• Farm Bureau will co-sponsor a five-week beekeeping basic class from 7 to 9 p.m. Feb. 18 and 25, March 4, 11 and 18 at the Farm Bureau office. Cost is $60 for Farm Bureau members and Cook/DuPage Beekeepers Association members and $90 for nonmembers. Call 708-3543276 to register.

FFINGHAM — Prime Timers will offer a defensive driving class from 8 a.m. to noon Feb. 4-5 at the Farm Bureau office. Dave Maxey will be the instructor. Call the Farm Bureau office for pricing, reservations or more information by Wednesday.

• Farm Bureau will co-sponsor a trip to the National Farm

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Machinery Show in Louisville, Ky., from 5 a.m. to 9 p.m. Feb. 13. Cost is $35 for members and $45 for nonmembers. Call the Farm Bureau office at 3422103 for reservations by Feb. 5.

ULTON — Farm Bureau will co-sponsor a “Save Your Sweetheart” grain safety program from 8:30 a.m. to 12:30 p.m. Feb. 15 at Fulton FS, Lewistown. Call the Farm Bureau office at 547-3011 to register.

ACKSON — Farm Bureau will host an all-committee meeting at 6 p.m. Tuesday at the 17th Street BBQ Annex. Illinois Farm Bureau staff will be present to meet with committees.

• Farm Bureau will co-host a crop insurance seminar at 6 p.m.

Feb. 3 at the Farm Bureau office.

Doug Yoder, Illinois Farm Bureau, and Josh Wagner, COUNTRY Financial, will be the speakers. Call the Farm Bureau office by Monday to register.

• Farm Bureau will co-host an on-the-road truck rules and regulations seminar at 8 a.m. Feb. 5 at the Union County Farm Bureau office. Call the Union County Farm Bureau office at 618-833-2125 to register by Wednesday.

ANKAKEE — Farm Bureau will sponsor a WILL-AM 580 market panel discussion with Dave Dickey at 6 p.m. Feb. 4 at the University of Illinois Extension office in Bourbonnais. Call the Farm Bureau office at 932-7471 to register.

• Farm Bureau will sponsor an on-the-road seminar at 6 p.m.

Monday at the U of I Extension office in Bourbonnais. Kevin Rund, IFB, will be the speaker.

Call the Farm Bureau office at 932-7471 to register.

ASALLE — Farm Bureau and U of I Extension will offer a class in iPad basics and apps for agriculture from 6 to 8 p.m. Wednesday at the Farm Bureau office. Cost is $10 for members and $15 for nonmembers. Call the Farm Bureau office at 433-0371 to register.

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EE — Young Leaders will be curling at 7 p.m.

Feb. 21 in Triumph. Call the Farm Bureau office or email leecfb@comcast.net for reservations.

• Applications for Books by the Bushel Program are available by visiting {leecfb.org}, emailing leecfb@comcast.net or by calling the Farm Bureau office at 857-3531. Deadline to apply is Saturday.

ACOUPIN — Applications are available for Foundation scholarships by calling the Farm Bureau office at 852-2571 or by emailing mcfb@frontiernet.net. Application deadline is March 21.

CLEAN — Farm Bureau will co-sponsor a farm safety breakfast at 7:30 a.m. Feb. 13 at the Pontiac Elks Lodge. Call the Farm Bureau office at 663-6497 for reservations by Feb. 6.

ONROE — Foundation Scholarships are available by emailing mcfarm@htc.net. Application deadline is Feb. 15.

EORIA — Farm Bureau will sponsor a crop insurance meeting at 9 a.m. Friday in the Farm Bureau auditorium.

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Doug Yoder, IFB, will be the speaker.

• Farm Bureau will host a seminar entitled “Farming in 2014” at 10 a.m. Feb. 7 in the Farm Bureau auditorium. Topics will include cover crops, weather, water drainage and regulations.

Call the Farm Bureau office at 686-7070 for reservations by Feb. 4.

ICHLAND — Farm Bureau will co-sponsor a bus trip to the National Farm Machinery Show in Louisville, Ky., at 6:30 a.m. Feb. 12. Cost is $25. Call the Farm Bureau office at 393-4116 for reservations or more information.

NION — Farm Bureau will co-host a crop insurance seminar at 6 p.m. Feb. 3 at the Jackson County Farm Bureau office.

Doug Yoder, IFB, and Josh Wagner, COUNTRY Financial, will be the speakers. Call the Farm Bureau office at by Monday to register.

• Farm Bureau will co-host an on-the-road truck regulations seminar at 8 a.m. Feb. 5 at the Farm Bureau office. Call the Farm Bureau office at 833-2125 to register by Wednesday.

• Farm Bureau and Southern

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FS will host a show animal seminar for youth at 6:30 p.m. March 6 at the Farm Bureau office. Discussion topics will include nutrition, grooming and animal selection for “blue ribbon” results.

AYNE — Farm Bureau will offer 4-H grants to 4-H members to purchase supplies for their 2014 projects. Applications are available from 4-H leaders, the U of I Extension office or at {waynecfb.com}. Application deadline is April 1.

HITE — Ag in the Classroom is selling raffle tickets for a Ruger LC9 9mm pistol. Tickets are $5 each. The drawing will be held at the member appreciation dinner in August. Tickets are available at the Farm Bureau office.

ILLIAMSON — Farm Bureau will sponsor an on-the-road truck rules and regulations workshop at 6:30 p.m. Feb. 4 at Southern FS in Marion. Call the Farm Bureau office at 993-2609 to register.

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“From the counties” items are submitted by county Farm Bureau managers. If you have an event or activity that is open to all members, contact your county Farm Bureau manager.

YOU INHERIT THE PAST

BUT CONTROL YOUR

FUTURE. Choose the soybeans that have a legacy all their own: FS HiSOY®. The first proprietary soybean brand, HiSOY has been a part of the land for nearly 50 years. Grow proud and pass it on.

See your local FS member company or visit www.fshisoy.com

• Jeff Adkisson, Grain and Feed Association: grain bin safety

Tuesday: • Jim Angel, Illinois State Water Survey: ag weather • Doug Yoder, Illinois Farm Bureau: Commodities Challenge • Karen Blatter, 1st Farm Credit Services: Women in Ag Conference • Pat Stieren, Illinois Farmers Market Association: new farmers market food safety guide Wednesday: • Mark Schleusener, National Agriculture Statistics Service: economic survey of producers • Monica Nyman, St. Louis Dairy Council: back to the basics for health

Thursday: •Illinois Corn Growers Association representative • WITY 980 AM, live from the Midwest Ag Expo at Gordyville USA in Gifford Friday: • Alan Jarand and Mary Kobbeman, RFD Radio Network®, live from the Illinois Grape Growers and Vintners Association Annual Conference • Harry Cooney, GROWMARK • Rita Frazer, RFD Radio Network, live from the Midwest Trucker & Trailer Show in Peoria To find a radio station near you that carries RFD Radio Network, go to FarmWeekNow.com, click on “Radio,” then click on “Affiliates.” ©2012 GROWMARK, Inc. S13269

PROFITABILITY

FarmWeek Page 14 Monday, January 27, 2014

Weed control decisions abound USDOT seeks to improve propane distribution

As we get ready for the 2014 growing season, there are a number of crop protection challenges we face with weed control being near the top of that list. The spread of glyphosateresistant weeds continues to increase across Illinois.

There used to be a substantial difference in herbicide costs per acre between soybeans and corn, but over time this gap continues to narrow. The first decision will be to determine what will be planted, dictating the management strategy to execute in your weed control program.

As we continue to see commodity prices fall, just like our air temperature, now is not Jeff Bunting the time to reduce or eliminate herbicides or strategies that many of you have implemented over the last three to four years.

The main question that comes up is, “Do I need to spend that much to control my weeds?” In reality, herbicide prices have been relatively flat over the last year. The main reason we continue to see herbicide costs per acre increase is that we are adding more herbicides on that acre. We are experiencing the pre-Roundup Ready soybean days when more than 60 percent of the acres saw a pre-emergence followed by a post application with one or two herbicides and the necessary adjuvants to increase the herbicide effectiveness.

When Roundup Ready soybeans were launched in the late ‘90s, weed control was easy, simple and effective. We lived through a number of years where a single application was all you needed if the field was clean-tilled; some areas needed two applications.

Over the years, Illinois soybean fields were planted into a notill environment, in wider rows and at lower populations. These cultural and mechanical practices ultimately limited the effectiveness of glyphosate in a single application and introduced weed shifts we now face.

Today, we have a plethora of herbicides to control weeds. In fact, we have so many choices that the complexities have become overwhelming deciding which herbicide to use and at what rate.

Your local FS crop specialist can help you understand the various offerings and provide you with an agronomic recommendation for clean fields. Good luck and stay vigilant in the fight for clean fields.

BY JEFF BUNTING

Jeff Bunting, Ph.D., is GROWMARK’s crop protection division manager. His email address is jbunting@growmark.com.

M A R K E T FA C T S Feeder pig prices reported to USDA* Total Composite Weighted Average Receipts and Price (Formula and Cash): Weight Range Per Head Weighted Ave. Price 10-12 lbs. (formula) $38.00-$88.33 $51.56 40 lbs. (cash) $84.00-$104.00 $98.58 Recipts

This Week 72,335 *Eastern Corn Belt prices picked up at seller’s farm

Last Week 83,032

Eastern Corn Belt direct hogs (plant delivered) Carcass Live

(Prices $ per hundredweight) This week Prev. week Change $77.95 $75.97 $1.98 $57.68 $56.22 $1.47

USDA five-state area slaughter cattle price (Thursday’s price) Steers Heifers

This week $149.60 $150.00

Prev. week $143.68 $143.18

Change $5.92 $6.82

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 $170.34 $171.32 -$0.98

Lamb prices NA

Export inspections (Million bushels) Week ending Soybeans Wheat Corn 1/16/2014 56.6 15.6 29.8 1/09/2014 59.4 25.6 20.9 Last year 48.3 22.2 11.4 Season total 1040.9 784.2 523.6 Previous season total 909.3 562.0 284.1 USDA projected total 1450 1100 1400 Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.

BY DANIEL GRANT FarmWeek

The U.S. Department of Transportation this month issued an emergency declaration geared toward improving the distribution of propane via motor carriers.

The declaration provides regulatory relief for commercial motor vehicle operations and direct assistance to support the delivery of propane and other home heating fuels.

Heavy propane demand, which is a component of natural gas (along with butane, ethane and methane), strained supplies and pushed prices to new highs in recent months.

“We’re seeing extreme (propane) demand,” Randy Miller, GROWMARK director of propane operations, told the RFD Radio Network®. “It resembles 2009-10 when we had huge grain drying demand.”

A large draw on propane for crop drying last fall was followed by bitterly cold temperatures this winter that increased demand for propane and other home heating fuels.

About 68 percent of Midwest households use natural gas for heating, according to the Energy Information Administration.

“We didn’t get an opportunity to build supplies up,” said Don Schaefer, executive vice president of the Midwest Truckers Association. “There’s high demand and limited facilities to draw from.”

The situation means truckers must drive a longer distance to secure propane supplies in the Midwest.

The federal emergency dec-

laration eased regulations on interstate travel, such as the number of hours and consecutive days in which drivers can deliver propane, to improve distribution in frigid parts of the Midwest and eastern U.S. “What’s happening is lines are long to fill up and truck operators are traveling further to get propane,” Schaefer said. “The most important part (of the emergency declaration) is it facilitates

the movement of propane.”

Some states, including Illinois, previously eased commercial motor vehicle restrictions to increase intrastate movements of propane. The federal declaration applies to interstate travel.

Truckers will meet this Friday, Jan. 31, and Saturday, Feb. 1, in Peoria for the annual Midwest Truck and Trailer Show. More information about that show is available online at {midwesttruckshow.com}.

The cattle market could set- same time last year.

Good wasn’t surprised cattle tle down the next few weeks placements were after a run to elevated in this record prices.

FarmWeekNow.com month’s report USDA in its January cattle on For details and analysis of even though the USDA’s cattle on feed report, average trade feed report go to FarmWeekNow.com. guess called for a released Friday 2 percent decline. estimated a 1 per“Lower corn values and cent larger inventory than anahigher cattle prices are going lysts expected. to bring feeder cattle and The inventory of cattle and calves in the U.S. as of Jan. 1 was calves to town,” he said.

“We’re at an odd time in histopegged at 10.59 million head, down 5 percent from a year ago. ry with the biggest run-up in prices we’ve seen since 2003.”

Meanwhile, placements in February live cattle last feedlots during December week were priced around $143 were estimated at 1.68 million head, up 1 percent. Marketings per hundredweight.

Good believes the market of fed cattle totaled 1.74 milwill calm down the next few lion head, down a percent. weeks as it seeks price levels that “Basically, all three of the figstimulate more buying activity. ures were a tick disappointing But prices should remain compared to the average trade strong for the foreseeable guess,” Kevin Good, senior anafuture. Cattle slaughter in 2013 lyst with CattleFax, told declined 1 percent compared FarmWeek. “But, from a longterm perspective, it’s still friendly.” to 2012 and a larger cut is expected this year.

The inventory of cattle in “Supplies will be extremely the U.S. as of Jan. 1 was down 600,000 head compared to the snug the next three months,”

Good said. “After 16 of the last 18 years of liquidation in the U.S., we’re finally getting to the point where tight supplies are going to equate to higher prices, and that’s what we’re seeing.”

Consumers’ willingness to buy beef at higher prices and competition from other meat sectors will help determine where cattle prices shake out.

— Daniel Grant

Cattle market could calm a bit after record run

PROFITABILITY

Page 15 Monday, January 27, 2014 FarmWeek

CASH STRATEGIST

Corn, soy exports outpace projections If U.S. offers remain competitive, the corn and soybean export programs should continue to be a bright spot for the marketing year.

Year-to-date soybean sales are strong and have been supported by an inverted board.

The possibility that China will continue to switch from U.S. orders should remain only a near-term worry. Concerns will fade if demurrage costs

stack up enough to erode Brazilian competitiveness.

Inspections will need to average only 14.2 million bushels per week to reach the 1.5 billion bushel projected total.

Even with the early focus on soybeans, corn shipments run just below the five-year average. Sales are 82 percent of the forecast compared to 73 percent at this time last year.

Cumulative sales stand at 1.18 billion bushels.

Large surpluses in the Black Sea region have competed with Gulf wheat and sales have fallen recently. The USDA estimates total sales of 1.1 billion bushels.

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Policies issued by COUNTRY Mutual Insurance Company®, Bloomington, Illinois AgriVisor Hotline Number

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Corn Strategy

ü2013 crop: Choppy price action lately has not induced a lot of corn movement from the country. Rallies over $4.40 in March futures should be rewarded. With historically good basis levels, consider locking in basis while keeping a close eye on any futures rallies. ü2 0 1 4 c r o p : D e c e m b e r prices have been choppy around $4.50 to $4.60 for the past month. With significant time remaining in the December contract, being patient at these levels could allow for higher sales in the $4.70 to $4.80 range. vFundamentals: Fundamentally, there has been enough demand to keep corn prices from falling toward the $4 level in old crop. Ending stocks of 1.631 billion bushels will keep rallies from getting overblown.

The trade has already begun discussing acreage shifts for 2014 with the thought that corn acreage will decrease 3 to 6 million acres from last year. Weather in South America is still important, as good rainfall fell this week and is projected again late next week, but it might have been too late to save parts of the Argentine corn crop.

Cents per bu.

Soybean Strategy

ü2 0 1 3 c r o p : O l d - c r o p weakness earlier this past week was a factor of good rainfall in Argentina and concerns that China may have switched up to three cargoes over to Brazil.

Those rumors haven’t been confirmed, but the drop in Cost, Insurance and Freight values at the gulf makes one believe they have. Continue to sell old crop, as risk of lower prices outweighs the reward. ü 2014 cr op: November futures still have a bearish trend with recent rallies extending to $11.29. All three key moving averages remain above current prices. Targets at $11.25 or $11.30 should be considered selling opportunities. If unwinding of old/new crop bull spreading continues, new crop will benefit. vFundamentals: Soybean fundamentals continue to feature decent old-crop demand, but weather in South America is the wild card to anything fundamental. Weather forecasts are

calling for more rain late next week in Argentina, which will benefit crop development.

Wheat Strategy

ü2 0 1 3 c r o p : T h e w h e a t market continues to trade in a downward fashion, as technical indicators point toward the possibility that the market is oversold. Being patient with sales could allow for higher sales in the $5.80 range. ü2014 crop: Similar to the old crop situation, the new crop prices are almost at oversold levels, which could produce a technical bounce and possible

shor t covering momentum.

However, news that India will have a record wheat crop could make it difficult for prices. No urgency yet to price at these levels, but look for opportunities if July futures creep above $6. vFundamentals: Fundamentally, the large world supplies continue to be a burden, but cold weather issues in the U.S. plains over the next week or t wo s h o u l d b e s u p p o r t i ve.

Export business is slowly picking up, as Iraq was active with purchases this week, and rumors that China might be looking for supplies were also encouraging.

PERSPECTIVES

FarmWeek Page 16 Monday, January 27, 2014

Continue your planning for investment uncertainty

Farm Bureau involvement provides unlimited rewards

Illinois Farm Bureau Young Leaders learn about Brazilian farming during the 2013 Young Leaders Ag Industry Tour. Trips, workshops, conventions and contests are among the opportunities available for young farmers who get involved in Farm Bureau. (FarmWeek file photo)

Many times I get the question: “Why Farm Bureau, what’s in it for me?”

We live in a busy world and many of us feel there is never enough time to join another organization, take on another responsibility or even attend a meeting/event.

I’m here to remind you that sometimes we all just need to remember that some opportunities only come once and the extra effort or time to be a part of that can be extremely rewarding. Taking advantage of these within Farm Bureau can answer that common question of what’s in it for me.

I just returned from the 2014 JOHN American Farm Bureau FederaKLEMM tion Annual Convention, which was held in San Antonio, Texas. I didn’t have time to go, but I made time along with more than 400 other Illinois Farm Bureau members. I’m sure each of them had many other commitments and things to be doing over those four days, but we all chose to take advantage of an opportunity.

Ed and Kali Livengood applied for the Achievement Award almost a year ago and were named No. 1 in Illinois along with Daniel Robbe, who won the Illinois Excellence in Agriculture Award. These individuals advanced to represent Illinois at the national level at the AFBF Convention. They all took countless hours out of their schedules to strive for something with many unknowns, yet amazing returns on a personal level through developments and achievements in their careers.

Caleb May was also in Texas competing in the

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 complete address will be accepted.

national discussion meet as he had won the state discussion meet at the IFB Annual Meeting in December. Caleb and his family made the commitment to continue preparing, which paid off as he advanced to the final four at the AFBF Convention. Caleb was at his best when he finished as runner-up and earned countless prizes to take home.

As I’m sure all of IFB is proud of these individuals, we never could have guaranteed them of these achievements had they asked “what’s in it for me?” before deciding to become members.

The convention was an amazing experience from the speakers we listened to, people we met and competitions we attended.

Your opportunity may not be something as big as the AFBF convention. It may be attending a county Farm Bureau meeting, participating in a community or Farm Bureau event to educate our youth or maybe volunteering at a local food pantry. Each of those can impact your life and community. I encourage you make the time to take advantage.

So, whether you want to become more involved in agriculture with an organization such as Farm Bureau, or maybe have an impact locally through your community, try and remember that organization returns are what you as an individual strive to achieve.

Let’s not find time, but make time when the next opportunity arises.

John Klemm of DeWitt County serves as District 11 Young Leader representative. Stay on top of the latest Young Leader news by visiting {ilfbyl.wordpress.com}.

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

Last year ended one of the best all-time years in stock market history. The Standard & Poor’s 500 (S&P 500) index was up 32.4 percent on a total return basis — the fourth highest annual return since 1960.

The equity markets have continued to climb the proverbial “wall of worry” over the last five years, and the S&P 500 is sitting at all-time highs with a total return nearing 200 percent since the March 2009 market low.

On the opposite end of the spectrum, fixed-income investors had a challenging year. With Federal Reserve (Fed) actions and stronger economic results, the U.S. 10-year treasury yield increased from 1.7 percent at the start of the year to 3 percent at the end.

As a result, the Barclays U.S. Aggregate Bond Index decreased 2 percent for the year.

Looking to 2014, the stage appears set for TROY FRERICHS more normal returns in the stock market and for continued challenges on fixed income investments as interest rates continue to normalize.

The most discussed subject of 2013 revolved around the Fed beginning to “taper” its bond purchases or Quantitative Easing program (QE).

The latest iteration of the Fed’s large-scale asset purchase program had it buying $85 billion per month in treasury bonds and mortgage-backed securities. This led to a Fed balance sheet that has grown from $800 million in 2008 to nearly $4 trillion today.

While economic growth in the U.S. has been regarded as below average since the Great Recession ended in June 2009, there are signs that Fed intervention is no longer required.

Some of the headwinds that presented themselves in 2013, like spending cuts and government shutdowns, don’t appear to be the base case for 2014. Consensus estimates for 2014 are calling for gross domestic product (GDP) growth of 2.6 percent.

The U.S. private sector has several notable tailwinds behind it. The job picture is improving; housing remains strong; household net worth is at an all-time high; balance sheets have been repaired; interest rates remain historically low and inflation is tame.

Business capital expenditures as a percentage of GDP still remain well below historic levels, but this should start to change.

Corporations are flush with cash right now and capital spending increases could very well be in store for the U.S. economy in 2014.

The economic backdrop continues to be supportive of stocks.

It should be noted, however, that in the aggregate, stocks are no longer considered cheap and are close to their historic average valuation levels. Thus a repeat of 2013 performance shouldn’t be expected.

Given that global economic growth still remains challenged, we will most likely see 10-year yields remain below 4 percent in 2014. This type of move will ultimately limit the return available in bonds as price declines (there is an inverse relationship between bond prices and interest rates) offset interest income (yield) received from the bond.

While we still prefer the risk reward in equities relative to fixed income heading into 2014, we believe the risk-averse investors are well served with some level of fixed income securities in their portfolio.

Even in rising interest rate environments, bonds have historically shown the ability to improve risk-adjusted returns when coupled with equities in a portfolio.

We continue to plan for uncertainty and know that proper asset allocation, diversification and security selection remain key elements to any well-designed investment portfolio.

Troy Frerichs is COUNTRY Financial director of investments wealth management.