Pike County farmer Jim Koeller outlines several reasons why EPA should Ditch the Rule. page 3
Rock Island County Farm Bureau used new technology to take fairgoers “beyond the fair.” page 10
A new brochure for nonfarm residents answers frequently asked questions about farming. page 5
Heavy rain, wind flatten yield potential Monday, July 7, 2014
BY DANIEL GRANT FarmWeek
Periodicals: Time Valued
Tremendous yield potential built up the past two months was knocked down in a matter of minutes in some cornfields around the state last week. A strong band of thunderstorms and powerful winds known as a derecho - a widespread, long-lived straightline windstorm – plowed through the Midwest last Monday (June 30). “There was a lot of rain dumped and a lot of wind,” DeAnne Bloomberg, manager of the Rock Island County Farm Bureau, told the RFD Radio Network® . “There is a considerable amount of corn down.” Rainfall totals in some pockets of the state last week ranged as high as 4 to 6 inches, while wind speeds were clocked anywhere from 40 to 60 mph in central and south central Illinois up to 80-plus mph farther north in the Chicagoland area. The storm caused localized flooding, widespread power outages and at least three deaths in the Midwest. A teenager was swept away in a storm drain in Cedar Rapids, Iowa, a man in northern Indiana was killed when a tree fell on a trailer home and another
Two sections Volume 42, No. 27
died when strong winds caused a building to collapse in eastern Iowa, the Associated Press reported. COUNTRY Financial reported crop claims from the storm trickled in last week, but many farmers and adjusters continue to assess the damage. COUNTRY anticipates much of the corn that wasn’t snapped can be saved. “It’s a wait and see game,” Bob Wieland, who farms in Peoria, Stark and Bureau counties, told FarmWeek. A number of Wieland’s cornfields were pancaked by the storm. “(Crop damage) normally is the worst right after the storm,” he noted. “The problem with corn laying over is if it doesn’t (bounce back) and get almost straight, it doesn’t pollinate right, which causes a yield reduction.” Jacob Streitmatter, a FarmWeek CropWatcher from Princeville, also referred to crop damage estimates as a “guessing game” as this point. “There are fields flat, half flat and just plain tangled up,” Streitmatter said. “There are fields of corn that were close to pollination, and now you can see a bunny rabbit hop across the field.”
Powerful wind flattened corn early last week on Bob Wieland’s farm near Bradford. Wieland, right, discusses corn conditions with Amy Russell, Monsanto northern Illinois district sales manager, and Mark Schultz, DeKalb/Asgrow technical agronomist, left. Wieland plans to assess the field in 10 days to two weeks to see if plants recover and fully pollinate. (Photo by Ken Kashian)
There also are a number of cornfields along the storm track that are “standing perfect,” Wieland said. “It was shaping up to be one of the best crops I ever
had,” Wieland said. “It never experienced any stress from the day I put it in the ground until now.” Bloomberg said the corn in her area also was in excellent
condition prior to the storm. “The corn was looking really good,” she added. “There will be some definite yield reduction. It’s disheartening.”
Lawmakers to Obama: Increase biodiesel volume BY DEANA STROISCH FarmWeek
More than 50 members of Congress recently called on President Barack Obama to increase the amount of biodiesel fuel allowed to enter markets under the 2014 Renewable Fuel Standard (RFS). The letter comes as the Environmental Protection Agency (EPA) continues to finalize proposed cuts to its volume requirements under the RFS. “Should the EPA choose not to raise biodiesel’s volume above 1.28 billion gallons, we believe it will have a terrible impact on the domestic biodiesel industry and could lead to the closure of numerous biodiesel plants with
smaller producers taking the largest impact,” the bipartisan group of lawmakers wrote. Adam Kinzinger, R-Manteno, and Collin Peterson, D-Minn., initiated the letter. Other Illinois Congressional members signing the letter included Cheri Bustos, D-East Moline; Tammy Duckworth, D-Hoffman Estates; Bill Foster, D-Naperville; and Aaron Schock, RPeoria. The lawmakers said they were worried the administration would raise the advanced biofuels volume requirements and expect biodiesel to fill the gap. Doing so, they said, would increase imports of foreign fuels.
FarmWeek on the web: FarmWeekNow.com
“Rather than sending a signal for increased imports of foreign biofuels, which will seriously undermine the very rationale for the creation of the RFS in supporting domestic energy security, we should be putting forward plans that support our domestic fuel suppliers,” they wrote. Meanwhile, renewable fuels advocates refuted an RFS analysis by the Congressional Budget Office. The report concluded that increasing renewable fuel requirements in the Energy Independence and Security Act of 2007 could be difficult to meet. It pointed to the availability of cellulosic See Biodiesel, page 2
Illinois Farm Bureau on the web: www.ilfb.org ®
”
Quick Takes
AROUND ILLINOIS
FarmWeek Page 2 Monday, July 7, 2014
LAST CALL FOR ACREAGE REPORTING — Farmers have one week left to report 2014 planted acreage to county Farm Service Agency (FSA) offices. Acreage reports must be filed by July 15. Reports are required for CRP annual rental payments and potential ARC/PLC payments. Crop insurance agents also use the information to calculate 2014 insurance coverage. Reports further provide cropping histories for current and future FSA programs.
PICNIC COSTS CREEP HIGHER — That allAmerican Fourth of July picnic cost slightly more this year, but it still came in at less than $6 a person, according to the American Farm Bureau Federation (AFBF). AFBF’s informal survey found a summer picnic for 10 costs an average of $58.72, or $5.87 per person — an increase of about 5 percent from last year. “Retail meat prices are higher compared to a year ago because the nation’s cattle herd is now at a historically small level,” said John Anderson, AFBF deputy chief economist. “The total number of hogs farmers across the nation are raising is also down, which has contributed to higher retail prices for pork products.” AFBF’s summer picnic menu for 10 consists of hot dogs and buns, cheeseburgers and buns, pork spare ribs, deli potato salad, baked beans, corn chips, lemonade, chocolate milk, watermelon, and ketchup and mustard.
JUDGE DENIES BALLOT REFERENDUMS — Illinois voters will not decide on a new redistricting process or a reduction in Senate seats and term limits for state legislators after a Cook County circuit court judge ruled. Cook County Circuit Court Judge Mary Mikva decided neither measure met constitutional requirements and ruled both invalid. Those referendums were proposed binding ballot questions. In November, Illinois voters will still face three nonbinding referendums and two binding ones approved by the General Assembly. HOG FARMERS HAIL NEW YORK LEGISLATURE — New York Pork Producers and National Pork Producers Council recently praised the New York legislature for maintaining choice of production practices for its hog farmers. The New York legislature did not take up legislation that would have banned the use of individual gestation stalls for pregnant sows. The legislation to ban the sow stalls was promoted in New York by animal rights lobbying groups. Farmers in New York and across the U.S. use individual maternity pens — gestation stalls — because they allow for personalized animal care and eliminate pregnancy aggression from other sows.
(ISSN0197-6680) Vol. 42 No. 27 July 7, 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. FarmWeek is published each week, except the Mondays following Thanksgiving and Christmas, by the Illinois Agricultural Association, 1701 Towanda Avenue, P.O. Box 2901, Bloomington, IL 61701. Illinois Agricultural Association assumes no responsibility for statements by advertisers or for products or services advertised in FarmWeek. FarmWeek is published by the Illinois Agricultural Association for farm operator members. $3 from the individual membership fee of each of those members goes toward the production of FarmWeek. “Farm, Family, Food” is used under license of the Minnesota Farm Bureau Federation.
Address subscription and advertising questions to FarmWeek, P.O. Box 2901, Bloomington, IL 61702-2901. Periodicals postage paid at Bloomington, Illinois, and at an additional mailing office. POSTMASTER: Send change of address notices on Form 3579 to FarmWeek, P.O. Box 2901, Bloomington, IL 61702-2901. Farm Bureau members should send change of addresses to their local county Farm Bureau. © 2014 Illinois Agricultural Association
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
Western Illinois rivers flooding BY KAY SHIPMAN FarmWeek
Flooding occurred in several western Illinois areas after storms produced heavy rainfall early last week, especially in the northwest part of the state. The Illinois Department of Natural Resources Water Resource Division and the National Oceanic and Atmospheric Administration forecast
flooding along the Mississippi River. Mississippi River levels were expected to begin cresting Friday and over the weekend from the Quad Cities south to Keokuk. From Quincy downstream to Grafton, river levels are expected to begin cresting this week. Forecast river crests ranged from moderate flooding levels of 18.5 feet to major flooding levels of 26 feet.
Flooding was expected to impact homes, roads, levees and water treatment plants in several communities including East Dubuque, Cordova, Port Byron, Rapids City, Hampton, Keithsburg, Oquawka, Niota, Dallas City, Warsaw, Quincy, Hamburg and Grafton. Moderate flooding was forecast along the Spoon River in Fulton and Knox counties. The river was expected to crest last Friday.
cy, and there were reports of numerous swollen creeks and rivers along with field ponds. Distribution of rainfall last month around the state was about 4 to 5 inches in the southeast, 5 to 7.5 inches in the southern half and north central Illinois, and 7.5 to 10-plus inches in much of northwest, west central and east central Illinois. “For now, it looks like things are in great shape in terms of soil moisture,” Angel said. “And we’re not even the hardest hit area. If you go to Iowa, they have fantastic rainfall totals over there.” A large portion of northwest Iowa and central Minnesota last month received between 10 and 15plus inches of rain. Topsoil moisture in Illinois last week was rated 18 percent surplus, 78 percent adequate and just 4 percent short. All the rain alleviated soil moisture issues, but it created problems for wheat growers around the
state. Harvest was delayed and the rain likely contributed to ongoing disease issues in the crop. “The rain has been untimely for wheat,” said Randy Anderson, FarmWeek CropWatcher from Saline County. “Harvest has been slow. “On my farm, we’re approaching 75 percent complete,” he noted Wednesday. “Normally, we would’ve been done with wheat harvest a week ago.” Farmers the last week of June managed to cut 35 percent of the wheat crop. But, overall, 55 percent of the wheat crop was in the bin as of the first of last week, 7 points behind the five-year average of 62 percent. “Yields have been surprisingly better than I anticipated,” Anderson said. “The problem we’re running into in wheat is disease pressure. We’re receiving significant docks (at elevators).”
Rainy June creates issues for wheat growers BY DANIEL GRANT FarmWeek
The calendar last month read June, but it probably felt more like monsoon season to many farmers around the state. Illinois, for the month of June, received an average of 6.8 inches of rain, a whopping 2.6 inches above average. The deluge of rain made it the eighth-wettest June on record, according to Jim Angel, state climatologist with the Illinois State Water Survey. It also marked the fourth time in the last five years Illinois received above-average rainfall during June. “I was concerned about (dry pockets) in western Illinois” about four weeks ago, Angel told the RFD Radio Network. “The biggest problem now is we’re starting to get too much rain.” The Mississippi River last week reached flood stage between Davenport and Quin-
Real-world experiences for Illinois industry, ag students
BY KAY SHIPMAN FarmWeek
Nothing can sell industry executives or high school students on each other’s value more than face-to-face encounters. Such an encounter formed the crux of an agriculture literacy project developed by some Illinois Agricultural Leadership Foundation (IALF) participants. That project also may offer opportunities to expose more high school students to careers at Illinois companies and those executives to agriculture education’s integrated curriculum and career development events. “We have wonderful learning opportunities,” said Andrew Bowman, an Oneida farmer and consultant. Last year, Bowman and some fellow IALF participants developed a successful agricultural mechanics and ag sales event for high school students, including ag students, at the Caterpillar Visitors Center. Cat representatives led the activities and gave presentations. Bowman, a
Biodiesel biofuels and the “amount of ethanol older vehicles can tolerate.” The report also found that food prices aren’t affected by the RFS. But it found meeting volume requirements for advanced biofuels would have “significant effects” on the cost of fuel. By 2017, the report estimated that the price of petroleum-based diesel would increase by 30 cents to 51 cents per gallon, E10 would increase by 13 cents to 26 cents per gallon and E85 continued from page 1
member of the Illinois Leadership Council for Agricultural Education (ILCAE), recently proposed ag education leaders consider building upon that activity to involve additional companies with Illinois ag education and to expose high school students to more career opportunities within Illinois. An ILCAE committee formed to discuss the idea and report back. Illinois claims a wide range of major corporations based in the state, including Caterpillar, Kraft Foods Inc. and Navistar. Bowman described them as “career companies.” “Students could work at many jobs within the same corporation,” he added. Although the IALF idea started with an activity, Bowman envisioned it expanding into a range of opportunities from seeking corporate participation in student and FFA career-based competitions to providing opportunities for teacher experiences and input for classroom lessons. “Students could interact with top companies, and they could see our students,” Bowman said. would decline by 91 cents to $1.27 per gallon. Brooke Coleman, executive director for the Advanced Ethanol Council, said the report fails to account for “basic realities.” “Some reports are simply not worth reading, and this is one of them,” he said. “You cannot assess the impacts of the RFS without looking at the benefits of reducing consumer demand for gasoline and diesel fuel. That’s the entire point of the RFS, and the CBO simply states that ‘it did not account for that effect in this analysis.’”
POLICY
‘Alarms are going off ’
Page 3 Monday, July 7, 2014 FarmWeek
‘Waters of U.S.’ proposal worries farmers
BY DEANA STROISCH FarmWeek
Jim Koeller crouches near the edge of a field ditch on his farm near New Canton, where excess rainwater runs out of the bean field and into a ditch. He points out why farmers are worried about the proposed rule defining “waters of the U.S.” Stormwater runoff from his field flows into a drainage structure, then into a creek and eventually makes its way to a navigable waterway — the Mississippi River — could be deemed a “waters of the U.S.” (Photo by Blake Roderick, manager of Pike and Scott County Farm Bureaus)
The proposed rule defining “waters of the U.S.” sets off red flags for Pike County’s Jim Koeller. “When we start seeing words like seasonal flow, words like interconnectivity, that is what alarms me,” Koeller said. “As I look around at my farm, it looks like anything that flows off my farm could be regulated.” Koeller farms near New Canton with his stepbrother, Edwin Harpole, and his father, Harry. He recalls the battle over the definition of wetlands in the 1990s. Pike County, he said, served as “ground zero” in that battle. “We’re seeing similarities by redefining waters of the U.S.,” he said. The proposed rule, issued by the Environmental Protection Agency (EPA) and Army Corps of Engineers, states that the following are federally-protected under the Clean Water Act: • Most seasonal and raindependent streams. • Wetlands near rivers and streams.
• Other types of waters may be protected, if a casespecific analysis shows that they have a “significant nexus” — either alone or in combination with similarly situated “other waters” — to a traditional navigable water, interstate water or territorial seas. EPA says the rule merely clarifies which wetlands and streams are “waters of the U.S.” IFB and other agricultural groups disagree, saying the rule would expand its jurisdiction beyond what Congress intended. “Alarms are going off in our minds,” Koeller said. “We see the burden of proof being placed upon the farmer. We see the need for permits. We see definitions and words that EPA is ... defining without common sense. “We are just very concerned that this will be an attempt to regulate basically every little stream that comes out of your field,” he said. Leaders in Washington, he said, need to remember that farmers grow food. Proposals like this, he noted, add extra
Comment deadline set for Oct. 20
More than 200,000 farmers and organizations from across the country already submitted comments on the proposed “waters of the United States” rule. In the last two weeks alone, Illinois Farm Bureau says the number of comments submitted across the country have increased threefold. IFB encourages farmers around the state to submit comments about how the rule would impact their farming operation. Members who want to comment should contact their county Farm Bureau. Assistance is available.
regulations and “make it impossible to do business.” “I’d sure hate for us to wake up some day, and say, ‘Boy I sure hate the cost of food being so high and bringing it all in from other countries’ and wonder what happened,” Koeller said.
IFB urges Senate to pass barge fuel user fee hike BY DEANA STROISCH FarmWeek
Calling it “the missing piece,” Illinois Farm Bureau President Rich Guebert Jr. last week urged the state’s two U.S. senators to support a barge diesel fuel user fee increase to improve the inland waterways system. “A 9-cent-per-gallon increase is strongly supported throughout the barge industry and is considered by stakeholders to be absolutely essential to accelerating long sought-after infrastructure improvements on the Upper Mississippi River,” Guebert wrote to Sens. Dick Durbin, D-Springfield, and
Mark Kirk, R-Highland Park. FBACT members also called Durbin and Kirk last week, urging them to pass the fee increase. The Senate Finance Committee this week could mark up the highway revenue title of the transportation reauthorization bill. Sen. Bob Casey, DPenn., proposed an amendment called the River Act, which would increase the barge diesel fuel user fee by 9 cents per gallon. Currently, the 20-cents-per-gallon fee generates about $85 million a year, supporting a $170 million construction program each year. At 29 cents, the fee would generate about $123 million in an average year, which could support a
nearly $250 million annual construction program. More than 80 organizations — including American Farm Bureau Federation, American Soybean Association, GROWMARK Inc., National Corn Growers Association and Waterways Council -– signed a letter in support of the increase. The letter was sent in April to Ron Wyden, chairman of the Senate Finance Committee, and Orrin Hatch, the committee’s ranking member. “This user fee increase is supported by those who pay it — just 300 commercial operators — while the entire nation benefits, including hydropower, municipal water supply, recreational
boating and fishing, flood control, national security and waterfront property development,” they wrote. Both Durbin and Kirk supported the Water Resources Reform and Development Act (WRRDA), which authorized much-needed improvements to U.S. waterways infrastructure. Under the new law, the Inland Waterways Trust Fund would finance only 15 percent of the project’s costs, freeing up money for other projects. It also allows public-private partnerships to pay for previously authorized waterway projects, but doesn’t provide any appropriations or increased user fees.
Ameren’s proposed project moves forward after ICC decision
BY KAY SHIPMAN FarmWeek
The Illinois Commerce Commission (ICC) recently granted Ameren Illinois Co. eminent domain authority on part of its proposed transmission project across central Illinois. However, Ameren would need to take additional legal action against each individual landowner before the utility company could take easements on about two dozen
properties between Meredosia and Ipava, according to Laura Harmon, Illinois Farm Bureau senior counsel. In May, the ICC granted authority for about two dozen properties around Quincy. Ameren’s Illinois Rivers project proposes a 380-mile transmission line that would cross Illinois from west to east roughly from Adams through Clark counties. The landowners may ask the ICC to reconsider its
decision. If not successful, those landowners may appeal the ICC decision in appellate court. Harmon noted Ameren’s witness testified before the ICC that the company has authorized its land agents to make 35 to 40 pre-approved changes to address concerns, such as potential loss from hunting leases, that were granted for other landowners. Landowners’ attorneys have argued so many pre-
FarmWeekNow.com
Go to FarmWeekNow.com for additional details on the Ilinois River Transmission project.
approved changes exist that landowners should be told about them. The project remains entangled in other legal matters. Currently, eight separate appeals filed by several landowner groups are chal-
lenging Ameren’s proposed route before a state appellate court. The court consolidated those legal challenges to consider landowners were not provided due process under expedited review and that least-cost routes were not approved by the ICC. Harmon has advised landowners along the proposed route to seek legal counsel and to not sign easement agreements without negotiating the terms.
PRODUCTION
FarmWeek Page 4 Monday, July 7, 2014
Expectations of large crops sink corn, bean prices BY DANIEL GRANT FarmWeek
The old adage “rain makes grain” apparently still applies, even if the rain floods fields or accompanies crop-damaging winds or hail. USDA’s June grain stocks and planted acreage reports released last week showed much larger supplies of corn and soybeans than previously expected by traders and potential for bin-busting crops this harvest. USDA projected corn stocks in all positions on June 1 totaled 3.85 billion bushels, about 132 million bushels more than the average trade guess and up 39 percent from a year ago. The amount of soybeans stored in all positions on June 1 totaled 405 million bushels, about 27 million bushels above the average trade guess, but down 7 percent from last year. “The larger than expected (stock) estimate implies that feed and residual use of corn during the third quarter of the 2013-14 marketing year was about 40 million bushels less than during the same period last year,” said Darrel Good, University of Illinois ag economist. As for soybeans, Good noted, “Some of the surprise may have been due to larger than expected imports during May. Otherwise, the estimate
implies that the size of the 2013 U.S. (bean) crop may have been underestimated.” Meanwhile, USDA’s acreage report showed the wet start to spring apparently was not a problem in most areas. U.S. farmers planted 91.6 million acres of corn, down 4
percent from last year but the fifth largest total on record, and a record 84.8 million acres of beans, up 11 percent from a year ago, according to USDA. Both estimates were at the high end or above pre-report trade guesses. Illinois farmers this spring
Farmers should consider locking in fall fuel needs on any small price breaks in the weeks and months ahead. Energy prices likely will remain strong through summer and into harvest, Jackie McKinnis according to Jackie McKinnis, GROWMARK senior energy analyst. “There’s probably still more
danger to the upside than the downside (in the crude oil market),” McKinnis told FarmWeek. “No doubt there’s a floor under the market because of Iraq. That (ongoing battle between militants and Iraqi forces) is a dangerous situation.” Crude oil prices jumped more than $5 per barrel last month when the skirmish heated up in Iraq. A key concern revolves around control of Baghdad and other oil-producing regions of the country, including its largest refinery in Baiji.
planted 12 million acres of corn, the same as last year, and 10.1 million acres of beans, up 650,000 acres from last year. The total of harvested acres of wheat in the state declined from 830,000 last year to 690,000 this summer. “With a good growing season, which we’ve had so far, we have the potential for a big 2014 soybean crop,” Jonah Ford, market analyst with Ceres Hedge, said during a teleconference hosted by the Minneapolis Grain Exchange. “We don’t know the yields yet,” he continued. “But with 91.6 million corn acres, we’ve got a big crop with a lot of carryover.” The markets last week responded to the reports with
major downward price revisions. If growing conditions remain conducive for corn pollination, and soybean flowering and pod fill, Ford predicted corn prices could test the $3 mark, while November bean prices could slip as low as $10.50 to $11 per bushel. “This may be the beginning of a major downtrend heading into harvest, barring extreme weather,” Ford said. Nationwide, plantings of all wheat totaled 56.5 million acres, up less than 1 percent from last year. Old crop wheat stocks in all positions on June 1 totaled 590 million bushels, down 18 percent from last year. “The report was somewhat neutral to modestly friendly in the wheat complex,” Ford added.
“The thing that’s saving us now is nothing really happened in terms of the market,” McKinnis said. “We’ve seen no slowdown in the production of exports. The market has started to relax.” Fuel prices last week remained well above year-ago levels. The national average price for regular gasoline ($3.70 per gallon) was nearly 21 cents higher than last year, while the average diesel price ($3.92 per gallon) was up a dime from a year ago. But big oil companies already evacuated about onethird of personnel out of Iraq. If major oil companies abandon the country, that would pose a greater danger to energy prices moving forward, according to McKinnis. Natural gas prices, which last week were about 89 cents higher than a year ago, also could remain strong heading into harvest.
The Midwest lost access to a natural gas pipeline from Canada and much of the remaining product goes to the U.S. Gulf region where it can be exported. “The competition for propane is too much for propane prices in this area not to stay expensive,” McKinnis said. The analyst, however, does not foresee a major shortage of supply and price explosion in the Midwest this fall similar to what happened last harvest. “I think a lot of propane is locked in this year,” McKinnis said. “I think we’ll continue to see people fill up (propane storage) and prepare themselves better this year than last year.” Farmers who haven’t locked in diesel or propane purchases for fall harvest should consider locking in at least a portion of those products soon. “I’d be ready to strike if I didn’t have anything locked in for this fall,” McKinnis added. — Daniel Grant
Energy prices could remain strong through summer
st
®
1 Farm a Cr Cr re edit Services® YO U R F I R S T
C H O I C E
2000 Jacobssen Drive x Normal, IL 61761 (800) 444-3276 x www.1stfarmcredit.com
Agric g icult ultu tural Financing x Home Loans x Appraisals x Leasing x Agribusiness and More. Equal Credit Opportunity Lender. Equal Housing Lender. Crop Insurance is available to all qualifying producers regardless of race, color, national origin, gender, religion, age, disability, political beliefs, sexual orientation, and marital or family status.
Canada geese destroy soybeans
Farming carries its share of risks — weather, insects, diseases and wildlife. That fundamental truth hit home at the Illinois Agricultural Association building. Two, large seedbeds of soybeans in the visitor parking lot fell victim to a hungry, marauding gaggle of Canada geese. Planted the week of May 19, the FS HiSOY soybeans sprouted and grew for three weeks before the geese destroyed them. With the perpetual optimism of a farmer, Nick Kennedy, an IAA maintenance employee overseeing the soybean project, remains determined to plant crops in the seedbeds. He may plant cover crops this fall followed by soybeans in the spring — with all crops surrounded by secure fencing.
OUTREACH
Page 5 Monday, July 7, 2014 FarmWeek
Vote for commodity board seats Tuesday
Farmers can vote Tuesday for candidates of the Illinois Corn Marketing Board, Illinois Soybean Program Operating Board and the Sheep and Wool Marketing Board. Voting will be conducted at county Extension offices during regular business hours. Checkoff dollars come from assessments levied at the first point of sale. State law sets the assessment for corn at five-eights of 1 cent per bushel, one-half of 1 percent of market value for soybeans and 2 ½ cents per pound for sheep and wool. Election results will be announced by Aug. 1. Winners will serve three-year terms. Contested races include Illinois Corn Marketing Board District 1 with candidates Glenn Ginder of Peotone and Pat Dumoulin of Hampshire; and Illinois Soybean Operating Board District 9 with candidates Ronald Kindred of Atlanta and Carrie Winkelmann of Tallula.
Farm Service Agency
Biomass crop assistance program restarts — The Biomass Crop Assistance Program (BCAP) was reauthorized by the 2014 farm bill and resumed on a limited basis. BCAP employs three types of biomass assistance primarily through approved BCAP project areas. For growing new biomass, BCAP provides financial assistance with 50 percent of the cost of establishing a perennial crop. To maintain the crop while it matures until harvest, BCAP provides an annual payment for up to five years for herbaceous crops or up to 15 years for woody crops. To collect existing agriculture or forest residues that are not economically retrievable, BCAP provides assistance with mitigating the cost of harvesting and transporting the materials to the end-use facility. The farm bill authorizes $25 million annually for BCAP, requiring between 10 and 50 percent of the total funding to be used for harvest and transportation of biomass residues. Traditional food and feed crops are ineligible for assistance. The farm bill also enacted several modifications for BCAP, including higher incentives for socially disadvantaged farmers and ranchers, and narrower biomass qualifications for matching payments, among other changes. Only the matching payments portion of the BCAP, with narrower biomass qualifications, will resume this summer. Additional information will be provided as the updated BCAP regulations and policies are implemented. Because the farm bill requires several regulatory updates to BCAP, the resumption of establishment and annual payments has been deferred. For forest residues, this year’s matching payments are targeted for energy generation while reducing fire, insect and disease threats on Forest Service and Bureau of Land Management lands. Agriculture residues for energy are also eligible for matching payments. The Farm Service Agency (FSA), which administers BCAP, will coordinate the BCAP enrollments. For more information, visit a local FSA office or {fsa.usda.gov}. USDA kicks off nationwide food drive — USDA kicked off the sixth annual food drive that will continue through Aug. 27. During the nationwide event, federal employees collect food for distribution by food banks, food pantries and shelters. All federal agencies participate, and federal employees are asked to donate nonperishable food items throughout the summer. To make a donation, contact your local USDA Service Center. For information, visit {usda.gov/fedsfeedfamilies}.
Need answers? Try new farm facts brochure BY KAY SHIPMAN FarmWeek
A new brochure provides a solution for a common problem as well as answers for frequently asked questions about farming. In fact, a county Farm Bureau manager who needed a quick resource proposed the idea. About 300 people attend Lee County Farm Bureau’s annual Ag Expo, and many basic questions resurface each year. “I just wanted a go-to spot for answers,” said Danelle Burrs, Lee County Farm Bureau manager who suggested the brochure. “I think it will be a very useful brochure. We have questions come up at events, and you or your volunteers know the answer, but you’re concerned if you would say something incorrectly.” “Facts from the Farm” offers succinct responses to several common mis-
conceptions about raising livestock, growing crops and Illinois farms. Linda Olson, Illinois Farm Bureau manager of consumer communications, envisioned the brochure being distributed at fairs and events attended by nonfarm people. The brochure also provides 17 resources and their websites where people may find more information. “The resources are largely neutral resources,” Olson added. An IFB consumer outreach advisory committee spearheaded the project with help from the Illinois Farm Families ® coalition, IFB senior illustrator Philip Gangler, other IFB staff and Anna Ziegler with the McLean County Farm Bureau. IFB sells packages of 25 brochures for $3.75 plus shipping. Check with your county Farm Bureau for more information.
Peak performance at harvest is a necessity. It’s our expertise.
Producers who look to have a successful harvest turn to FS. Our grain systems experts reduce downtime by offering the latest products, innovations and knowledge to your grain operation. Whether you need a part in a hurry or advice on your equipment, we’ll keep you running. At FS we are always looking for ways to optimize your grain system and ensure during harvest your our operation is ready for what’’ss next. ne
www w.fssystem.com
TM
©2013 GROWMARK,, Inc. c. A14143
FarmWeek Page 6 Monday, July 7, 2014 Bernie Walsh, Durand, Winnebago County: We have had another week with way too much rain again here in Winnebago County as well as most of northern Illinois. Most fields in the area have received 3 to 5 inches in the last five days, and that brings the June total to 8 to 10 inches. There is lots of flooding along the rivers, creeks and drainage ditches. There are also springs breaking out of some side hills, and the corn around those areas is turning yellow. Downed corn is also a problem, especially in the western part of the county. Pete Tekampe, Grayslake, Lake County: We received 1 inch of rain Saturday and Sunday (June 28-29) and then another 1.2 inches Monday night in about half an hour. The replanted corn didn’t make it. Early corn is shoulder high and will probably tassel later this week. Late corn is knee high to waist high, and all of the corn has good color. Beans got a dark color over the weekend (June 28-29) with the heat, but Monday, they started to turn yellowish again. Still don’t like wet feet. Wheat is turning, but we will still need at least two weeks. Oats are headed out and looking great. Got that hay baled before the rain came Saturday (June 28). My secondcutting needs to be cut this week. Hopefully, we will get a dry week coming up. Hope you all had a safe Fourth of July. Leroy Getz, Savanna, Carroll County: Severe weather continues to hit here in northwestern Illinois with a tornado at Thompson Sunday (June 29) and 80 to 90 mph straight line winds in other areas. On Sunday and Monday (June 29 & 30), I received 3.5 inches of rain, so that brings June’s total to 13.1 inches. Trees were down, power lines down, buildings destroyed and much flash flooding. Cornfields were tipped or flattened. I hope they lift back up. My oat fields are a disaster. We spent most of the day Tuesday cleaning up trees off of pasture fences. The Mississippi River is now well above flood stage and causing moderate flooding. Still rising at the Quad Cities and they were looking for a crest sometime late over this past weekend. Ryan Frieders, Waterman, DeKalb County: Severe wind storms ripped through the area blowing down corn late Monday night (June 30). Just to the south, a tornado was confirmed, bringing physical damage to personal property. All of this was accompanied by more than 2 inches of rain. Since then, we received another inch of rain from various showers. Temperatures have also changed drastically from hot and humid to almost fall-like. The crops are still growing, but no work has been done in the fields. Happy Independence Day! Larry Hummel, Dixon, Lee County: I took my crop scouting to new heights this week — about 14,000 feet high! Former Lee County CropWatcher Jim Schielein took me up in his plane to get a bird’s-eye view of the damage caused by Monday’s (June 30) storm. Up to 4 inches of rain and strong winds made a mess of the corn crop. The earliest-planted corn that, of course, was the tallest took it the worst. Pollination is probably two weeks away, so most of the corn should be able to right itself enough by then, but there are a few that will be lucky to get back to a 45 degree angle. Rain totals for June were anywhere from 12 to 20 inches. A tough month to make hay in. Ken Reinhardt, Seaton, Mercer County: It was a crazy weather week. Most of the county was spared from the two derecho wind storms Monday evening (June 30). Some corn locally has some leaning, but we are very fortunate compared to a large area to the north. I had 3 inches of rain Monday, and I had closer to 5 inches on a farm in Rock Island County. A record low temperature of 69 was set Wednesday. A few tassels were showing on the last day of June on corn planted April 19.
Ron Moore, Roseville, Warren County: We received another 2 inches of rain last week, which put June’s total at 9 inches. That is twice the normal amount. The corn is starting to tassel now, and soybeans are flowering. The crops look very good right now, and the markets are reflecting that. Still no insect pressure to report. I would expect some diseases will start to show up in both crops because of all the rain we have had. Fungicide treatments will be important this year, and aerial spraying should start next week. Pasture conditions are excellent for this time of year. A big improvement since the middle of May. Jacob Streitmatter, Princeville, Peoria County: Storms blew through the area Monday (June 30) leaving rain totals around 4 inches. There are fields of corn that were close to pollination and now you can see a bunny rabbit hop across the field. There are fields flat, half flat and just plain tangled up. The crop, which once was looking its best, is a guessing game as to how much will stand up before it pollinates. With that being said, there are some tassels on the early-planted corn. Soybeans are finally getting their green color. Seems they have taken forever to shape up. Mark Kerber, Chatsworth, Livingston County: An extremely wet week halted spraying, baling and mowing. Our area received 2 inches, but some areas had heavier amounts with wind and hail. The last three years, all we did was look to the skies and radar screens and wonder why this corner of the county couldn’t receive rain. It’s nice to see damp soils at this time frame. Everyone hopes late July and August will bring us some more timely rains. The corn is really growing with a few tassels starting to show. Those who spray fungicide will be thinking about this activity soon. Soybeans are finally taking off and starting to flower. There was some post-spraying to be completed. A few more summer rains and the Cornbelt will have a large crop, even with the damaged areas. Ron Haase, Gilman, Iroquois County: Fieldwork was brought to a halt again by rain Monday (June 30). We still have 100 acres of soybeans that need to have a post-emergence application of herbicide. We hope to get in the field soon to finish it with the crops and weeds growing rapidly. For the week, we have had a total of 1.6 to 2.2 inches of rain on our farms. For the month of June, the total rainfall on our farms ranged from 5.9 to 6.6 inches, which is well above average. Our June rainfall average over the last 15 years is 3.6 inches. The range in corn development is anywhere from the V6 growth stage up to the VT growth stage. Tassels have begun to emerge. The range in soybean development in the local area is between the V5 and R1 growth stages. Many soybean fields began flowering this past week. The local closing prices for July 2 were nearby corn, $3.93; new-crop corn, $3.84; nearby soybeans, $13.80; new-crop soybeans, $11.11. Brian Schaumburg, Chenoa, McLean County: Thunderstorms that dumped 1 to 3 inches of rain gave way to cooler and drier weather for the Independence Day weekend. There was some stalk lodging and minor flooding. GDU’s are still +33 for the growing season. If sweet corn is an indicator, girthy ears will be prevalent. The real story has been the market collapse and concerns about profitability even in the face of outstanding yield potential. Corn, $4.08, fall, $3.94; soybeans, $13.93, fall, $11.09; wheat, $5.36.
Steve Ayers, Champaign, Champaign County: A Fourth of July fireworks preview, compliments of lightning, thunder and heavy rain, began just before sunrise Monday (June 30). Rainfall totaled .9 of an inch. About 11:45 p.m. Monday evening, the fireworks preview began anew adding .96 of an inch. The 8.21 inches of rain in June was the seventh wettest local June on record. Normal June rainfall is 4.34 inches. Corn began tasseling July 1 and pollination looks textbook with plenty of moisture and moderating temperatures. I was in Dewitt County Wednesday afternoon and saw my first Ag Cat spraying seed corn. See you at the Fisher Fair and Horse Show from July 8-12 and the I & I Historic Farm Days at Penfield July 10-13. Wilfred Dittmer, Quincy, Adams County: Other than a few scattered sprinkles in some places, we have had a dry week with maybe .1 of an inch of rain in the gauge. Cornfields are mostly standing tall and perhaps close to 50 percent tasseled. Some bean fields around took a turn to ugly lately, maybe to fry resistant waterhemp that has shown up. The beans are gradually turning back to their normal colors now. As of this report time, I have not seen any combines in wheat fields yet. Hope you all had a safe and fun July Fourth weekend. Tom Ritter, Blue Mound, Macon County: We’ve gone from warm temperatures to very pleasant temperatures, but the corn was probably wishing we had another 10 degrees. Since the last report, Macon County received anywhere from .5 to a little more than 1 inch of rain. The moisture situation is very good. If anything, we could use a stretch of dry weather, especially to help the beans, which have a little bit of stress. There is a little yellowing where there has been some ponding or at least major saturation. However, soybeans continue to grow, even my late III’s/early IV maturity beans are blooming. More than three-quarters of the cornfields have tasseled and silked. Overall, crop prospects at this point look very good. Virtually nothing happened in the fields last week due to some of the rain and partly to the time of the year. We will probably start seeing quite a bit of fungicide applications coming up in the next couple of weeks. Todd Easton, Charleston, Coles County: Another month down and we find ourselves approaching the middle of the summer growing season in fine shape. July 1 greeted us with a very well timed .5 of an inch of rain in the central part of the county to keep crops growing fast. Tall, good looking green corn is everywhere to be found with over half of it in full tassel (VT). Pollination temperatures are forecast to be cooperative over the next week. Soybean growth is also moving along to the V3 stage, but not as rapidly as corn seems to be. We hope to see them blooming in the next week. Wheat harvest is in progress with many reports of disease taking the top off of yields and hurting grain quality. It doesn’t look to be a recordsetting year for the crop, but some reports have put yields in the low 60s. Jimmy Ayers, New City, Sangamon County: We received just a couple of tenths of rain last week. Some areas got up to .5 to .75 of an inch. Corn is looking tremendous at 7 feet-plus in a lot of areas, and most of it is pollinated. Soybeans are knee high. We still have some 30-inch rows that haven’t quite canopied yet, but are really close. Beans are flowering. Roadsides were being mowed. We had some heavy winds that went through the north side, but I’m not sure what damage was done. Some hay was made last week. We just tried our wheat, which is at 18 percent. Jeff Guilander, Jerseyville, Jersey County: This year keeps rolling right along. Things look like we are a full week ahead of normal. Corn is pollinating, soybeans have been sprayed, and wheat harvest is in full swing. Wheat yields sound good, and with the moisture levels, a lot of double-crop beans are being considered. Overall, it is pretty impressive for the first week of July.
Page 7 Monday, July 7, 2014 FarmWeek Doug Uphoff, Shelbyville, Shelby County: Started out last week with .3 of an inch of rain. HOT AND HUMID. Then it was down to 60 as I wrote this Wednesday. We mowed hay Tuesday and had lousy drying weather. At least it was our second cutting. Some are trying to still get first cutting baled. I heard of some 100+ bushel wheat down by Pinckneyville. Some tried wheat around here, but had to quit because of moisture. June rain was 5.4 inches. Some in the county had that much in one rain, but fortunately ours was scattered over the month. Crops look good here. Wish we had sold more for fall delivery, but at least we were fairly aggressive. David Schaal, St. Peter, Fayette County: It was a cool, dry week for the start of July with the thermometer setting at 57 degrees Thursday morning. Corn that was planted in April is in full tassel. At this point, it is looking pretty good. Later-planted corn has good color and is progressing well also. Most of the soybeans have seen their second post spraying. When the hot temperatures return, we will need a rain to keep everything going. Commodity prices continue to fall with new corn below the $4 mark. Hope everyone had a safe Fourth of July.
Dave Hankammer, Millstadt, St. Clair County: Harvest sometimes is like a sport competition – when you think your champion has a winning plan, small factors can change the outcome of the challenge. As farmers were wrapping up wheat harvest, I started to hear about the high discounts for light test weight of the grain and the vomitoxin. Discounts as high as $2 per bushel were reported by some farmers. Some areas had to struggle with wet conditions as they finished combining. This past week, we received a couple of small showers of .1 to .2 of an inch of rain, making it damp enough to delay soybean planting for a day. The damp, humid conditions also made hay and straw baling a challenge, since neither crop had much of a drying period during the day and had a tough feel due to the humidity. Japanese beetles have made an appearance and are being monitored to determine the level of damage they may cause.
Rick Corners, Centralia, Jefferson County: Some of the earliest-planted corn is starting to tassel. After a relatively dry week, maybe I should change my order to “we will take a rain anytime we can get it.” Most all of the wheat has been cut, but the double-crop planting has a long way to go. Some of the docks I’ve heard of on the wheat are scandalous. From the talk I’m hearing, there may not be enough wheat sowed this fall to feed one chicken through the winter. Ken Taake, Ullin, Pulaski County: Wet weather continues here in our part of Pulaski County. It seems like it has rained about every other day. We still have fields of wheat that have not been cut. We managed to plant soybeans for less than a half day since my last report, so we don’t have all of our beans planted. The stands on crops that have been planted are very spotty. The corn is getting tall enough and getting color that it is looking a lot better from the road. It is uneven, but you can’t see the holes out in the middle of the field. It has certainly been a challenging year so far. Please be careful this upcoming week.
Fungicide application may be beneficial in corn As the corn crop continues to tassel throughout the state, we are hearing the buzz of airplanes making applications to fields. This is the time of year when decisions have to be made on whether to make a fungicide applicaDavid Powell tion. To make an informed decision, we have to understand the conditions necessary for the formation of disease. The four requirements for disease to develop include a susceptible host, an infectious pathogen, a conducive environment and time. Without all four of these conditions, disease will not form. A susceptible host To determine if we have corn that may be affected by disea se, we n eed to kn ow what hybrid was planted. If the hybrid planted has low disease resistance scores, it is more prone to show signs and
BY DAVID POWELL
Tuesday: • Far mWeek: “T he Early Word” • Freese-No tis Weather • Shelby Henning, St. Charles Research Center : twilight veg etable meeting • Kristin Huls, Hancock County Far m Bureau: residue manag ement conference Wednesda y: • Rita Frazer re por ting live from Genuity Field
symptoms of disease. This does not mean that a hybrid with high resistance scores will not develop diseases. Hail and insect damage also makes corn more susceptible to disease by allowing an access point for the pathog en to enter. An infectious pathogen Ma n y o f o ur p a th o g en s overwinter on crop residue. Higher levels of infectious pathogens will be observed in fields where corn-on-corn is the rotation. Additionally, conser vation tillag e leaves more residue on the soil surface, which allows for accentuating disease potential. A conducive environment Many of the common leaf diseases in corn such as gray leaf spot and northern corn leaf blight like warm, moist conditions. Up to this point, conditions have been ripe for the for mation of corn diseases. Time If the pathogen infects a susceptible host when the e nv i r o n m e n t i s r i g h t , t h e disease will form and Day • Matt Free, FS: GMOs • Betsy Steinberg, Illinois Film Office T hur sday: • Kendra Schilling, Illinois De par tment of Ag riculture: State Fair far mers’ market • Jonathan Perkins, Beck’s Hybrids Friday: • Don Schaeffer, MidWest Tr uckers Association: crisis in transpor tation funding • Live broadcast from Penfield Ag riculture Show
progress over time. Because of favorable environmental conditions and the abundance of corn-on-corn production, a fungicide application may be beneficial this season. In addition, tank mixing an insecticide with a fungicide may be beneficial if high levels of silk-clipping
Reports received Friday morning. Expanded crop and weather information available at FarmWeekNow.com.
insects are present. Many areas may already have passed the typical time frame of VT/R1 for fungicide applications. If a fungicide was not applied, evaluating fields for disease from now until physiological maturity will help us to make better disease management
decisions in the future. For more information on fungicide applications in corn, contact your local crop specialist.
David Powell serves as GROWMARK’s insect and disease technical manager. His email address is dpowell@growmark.com.
Discover your roots. The color green. It’s been a big part of farm families for generations. And there’s no better way to learn just how big than a visit to the John Deere Pavilion. See how far our roots have spread. What we’re doing to serve other industries. Lots of fun. And plenty of surprises. Like our interactive Discovery Zone for kids. Admission is always free. Plus, right next door, the John Deere Store, stocked with genuine John Deere toys, clothing, hats and memorabilia. Your roots. Our roots. Together in Moline. Learn more at: JohnDeereAttractions.com/FW
Surprising. Exciting. Engaging. The John Deere Pavilion and Store Located on the John Deere Commons 1400 River Drive, Moline, Illinois 309.765.1000
NATURAL RESOURCES
FarmWeek Page 8 Monday, July 7, 2014
Farm programs, crop insurance impacts on cover crops
Q: A farmer asks: Why am I required to pay a fee so someone can come and inspect my tillage radishes? I buy certified seed from a cover crop dealer and surely the Farm Service Agency (FSA) doesn’t think that I would harvest 60 acres of radishes to sell at the farmers’ market. Second, when I was reporting my acres, I was told that this year’s corn crop would be considered a double crop — noninsurable — where I planted cereal rye last October. Cover crops planted after Sept. 30 are considered the primary (I) crop and the corn/soybean crop the next spring is the J crop (double crop), which is uninsurable. I have been accepted into the Conservation Stewardship Program (CSP), and one of my enhancements is planting cover crops, so I’m in a Catch 22. You also have 15 days to report your cover crop planting, which means we have to
take time from harvest and go report. Please help try and fix these problems. Stan Wilson, Illinois FSA Office: I will address the farmer’s first question about paying a fee to confirm the cover crop was not harvested. Under the 2008 farm bill, FSA did not take into consideration fruits and vegetables (FAVs) planted and reported with an intended use of cover only, foraging, green manure, grazing, left standing and silage when the farmer paid a fee to cover the cost of a farm visit to verify that the crop had not been harvested as a FAV. Otherwise, the planting of the FAVs could have resulted in payment reductions, including acre-for-acre and/or planting violation payment reductions.
FSA has not yet published the regulations, program policy and handbook procedure resulting from the 2014 farm bill regarding FAVs planted and reported with one of the above referenced intended uses, and the payment of a fee to ensure the crop is not harvested. Therefore, today FSA cannot fully respond to the question until the regulations, program policy and handbook procedure are published. However, FSA has published documents stating the planting of FAVs on acres that are not considered base acres, including nonpayment base acres, will not result in payment reductions. In addition, because FAV planting violations are no longer applicable, farmer history and farm history are no
Fuel isn’t the only thing driving your success. Businesses that are driven to succeed partner with FS. Our energy experts stay focused on what’s ahead, providing next generation fuel management tools and state-of-the-art software, along with a breadth of essential, quality products that point the way forward. FS is always discovering new ways to help customers optimize their operations and ensure they’re ready for what’s next.
TM
www.fssystem.com ©2014 GROWMARK, Inc. A14174
longer relevant. Acre-for-acre payment reductions will still apply when more than 15 percent of the base acres of a farm enrolled in ARC (agriculture risk coverage) county or PLC (price loss coverage) are planted to FAVs; or when more than 35 percent of the base acres of a farm enrolled in ARC-individual coverage are planted to FAVs — unless the double-cropping exception applies. For the double-cropping exception to apply, the farm must be in a region designated as a double-cropping region and the double-cropping of a covered commodity and FAV must be an approved doublecropping combination. (The 2014 acreage reporting date for perennial forage — with an intended use of cover only, green manure, left standing, or seed — and all other crops is July 15 in Illinois. So, if a farmer plants a cover crop after July 15, he or she must report the acreage no later than 15 calendar days after planting was completed.) FSA employees have been asked to supply input on rules and regulations to implement the new farm bill. Desiree King, Risk Management Agency: First, you may want to also discuss your specific situation with your crop insurance agent. In Illinois, corn following a cover crop is insurable provided the following requirements are met. The cover crop must: • Be planted for conservation purposes only and not harvested for grain. • Have been planted within the last 12 months. • Be managed and terminated according to Natural Resources Conservation Service guidelines, which can be
found at {nrcs.usda.gov/wps/ portal/nrcs/main/national/ landuse/crops/}. These guidelines basically say that in Illinois the cover crop must have been terminated before planting the corn or within five days after planting as long as it was terminated before crop emergence. The only “planting date” requirement we have for the actual cover crop is that it is planted within the last 12 months. For crop insurance purposes, it does not matter that you planted it before or after Sept. 30. The rules regarding crop insurance and cover crops are located in the Special Provisions of your policy. Those can be found for your county here: {webapp.rma. usda.gov/apps/ actuarialinformationbrowser 2014/CropCriteria.aspx}. In addition, we recently released Frequently Asked Questions (FAQs) concerning crop insurance and cover crops for the 2014 crop year. The FAQs can be found online at {rma.usda.gov/help/faq/cover crops2014.html}. If you or your neighbors are interested in exploring how cover crops can fit into your farming operations, we encourage you to look over the actuarial documents in your county and discuss all available options with your crop insurance agent. To view previous questions and answers, visit {farmweek now.com/customePage.aspx?p =544}.
The 2014 Illinois Forage Expo will start at 9 a.m. July 17 hosted by the Tony Snow family near Mulberry Grove. The event will end at 3 p.m. Snow runs a forage-based, intensive-grazing dairy, which includes a 70-by-260 foot hoop shed compost barn using cornstalks for bedding. The event will be located about 6 miles west of Vandalia. Activities will include field demonstrations of forage harvesting equipment and commercial displays of foragerelated products and equipment. A tour and discussion of the intensive grazing dairy operation will be offered. Educational sessions will cover reducing livestock feeding costs by grazing annuals
and cover crops, and using forages in dairy-based rations. Farmers may enter 2014 harvested bales and haylage in a hay and haylage quality contest. Entries must be brought to the site between 8:30 and 10 a.m. Contestants pay no entry fee. Bales weighing more than 100 pounds will need an official scale weigh ticket. To reach the expo site, take the Mulberry Grove exit off Interstate 70. Then travel north to the four-way stop and then east 2.5 miles on Illinois 40 to County Road 100E. Then travel north 1.5 miles. Expo signs will be posted. For more information, visit {illinoisforage.org}.
Questions may be emailed to kayship@ilfb.org; add “Discover Cover Crops” in the subject line or mail to Discover Cover Crops, Kay Shipman, 1701 Towanda Ave., Bloomington, Ill. 61701.
Forage Expo set in Fayette County
Page 9 Monday, July 7, 2014 FarmWeek
AROUND ILLINOIS
FarmWeek Page 10 Monday, July 7, 2014
Rock Island embraces digital, throwback technology at fair BY KAY SHIPMAN FarmWeek
Rock Island County Farm Bureau and Agriculture in the Classroom (AITC) used technology to transport county fair visitors “Beyond the Fair.” During last month’s fair, fairgoers who downloaded a free app on their smartphones could view seven short, educational videos about livestock,
farmers and 4-H by visiting the livestock barns and general 4H project area. “We thought, ‘How do we engage consumers in the exhibits?’” said Sheryl Solomonson, county ag literacy coordinator. Solomonson and DeAnne Bloomberg, Rock Island County Farm Bureau manager, incorporated augmented reality technology, which uses images as QR codes with posters of beef and dairy cattle, pigs, horses, sheep, farmers and 4-H located around the fair-
grounds. Visitors received fliers about the technology and maps to find the posters. “Our livestock exhibitors like it,” Bloomberg said of the educational technology. The county AITC website also offers all seven videos, allowing additional viewing, at {rockislandaitc.weebly.com/be yond-the-fair.html}. Illinois AITC uses the same technology on its commodity trading cards. In addition to the eye-catching high tech, fairgoers near the livestock barns found more traditional opportunities for souvenir photos with a cut out poster of a grand champion heifer. An attached banner read, “I had the grand champion at the Rock Island County Fair.” That idea also proved popular, according to Bloomberg, who already loaned her champ to another county for its fair.
After downloading a free app on their smartphones, Rock Island County Fair visitors used this poster of baby pigs to view a short educational video. Posters and related videos enticed fair visitors to explore livestock exhibits and general 4-H projects. (Image courtesy Rock Island County Farm Bureau)
Specialty crop farm hosting July 21 twilight meeting
Southern Illinois specialty crop production will be the focus of a July 21 twilight tour from 6 to 8 p.m. on the Donnie
and Shirley Ahrens farm, Shawneetown. Preregistration by July 20 is required for the free event.
Accuracy where it matters most.
The Ahrens’ will discuss their experiences growing and selling vegetables. Their main crops include sweet corn, tomatoes, peppers, melons, cucumbers, squash, green beans and pumpkins. Rick Weinzierl, University of Illinois Extension entomologist, will give an update on corn earworm control in sweet corn. The farm is located on the south side of Illinois 13 about 1 mile west of Shawneetown. Register online at {web.exten sion.illinois.edu/ghhpsw}. For more information or to register by phone, contact Bronwyn Aly, U of I Extension, at 618-382-2662 or email baly@ illinois.edu.
Vegetable tour set for St. Charles
Vegetable growers can attend a twilight meeting July 17 at 6:30 p.m. at the St. Charles Horticulture Research Center. A walking tour will feature vegetable research being conducted by University of Illinois researchers at the facility. Vegetable variety trials at St. Charles this season include sweet corn, tomatoes, bell peppers and pumpkins. The Beginning Farmer and Rancher Development Program will also be highlighted. The Research Center is located 45 miles west of Chicago in St. Charles on Illinois 38. The University of Illinois College of ACES, Department of Crop Sciences and Extension cosponsor the event with the Illinois Specialty Growers Association. No fee or preregistration is required to attend. For more information, contact Shelby Henning at 630-584-7254 or shenning@illinois.edu.
Cellulosic ethanol
Quad County Corn Processors produced the first gallon of cellulosic ethanol last week at its new plant in Galva, Iowa. The Adding Cellulosic Ethanol (ACE) project turns corn kernel fiber into highoctane, clean-burning ethanol. The facility plans to produce 2 million gallons per year of cellulosic ethanol. Since 2000, Quad County has operated a 35-million gallon per year corn ethanol biorefinery with 35 full-time employees. The ACE project added five additional full-time jobs.
Lowest Prices & Unmatched Value - Guaranteed!
Hawaii Four-Island Agricultural Tour Discover Paradise
13 days from $1999*
Trav with o el t Farme her rs!
Departs Wednesdays & Fridays in January 2015. Enjoy sightseeing on the four main islands of Oahu, Kauai, Maui and Hawaii. Plus additional, special sightseeing for those in the Agricultural industry. Highlights Include: Honolulu, Pearl Harbor, Punchbowl Crater, Wailua River Boat Cruise, Fern Grotto, Steel Grass Farm (bamboo, vanilla and cacao), Maui Gold Pineapple Plantation, Macadamia Nut Factory, Orchid Nursery, Volcanoes National Park, Natural Energy Laboratory of Hawaii, a Fish Farm, Mountain Thunder Coffee Plantation and much more.
Applying the right products to the right place is essential to each crop acre. That’’ss why growers turn to FS for custom application. Our applicators stay focused on what’’ss ahead by applying accurate inputs at just the right time in the crop life cycle. Our custom applicators maximize each acre and ensure your fields are ready for what’’ss next.
Includes: a flower lei aloha greeting, quality hotels, inter-island flights, baggage handling, polynesian tour director, special events and escorted sightseeing. *PPDO. Plus $199 tax/service/government fees. Add-on airfare available.
www w.fssystem.com
TM
©2013 GROWMARK, Inc. A14142
Call for Details! 888-817-9538
AROUND ILLINOIS
Page 11 Monday, July 7, 2014 FarmWeek
New incentives, website announced for new farmers USDA launched a new website aimed at helping beginning farmers and ranchers. The website, {usda.gov/ newfarmers}, offers information on various topics, including new market opportunities, risk management tools, conservation measures and technical support programs. USDA last week also announced new incentives for beginning farmers. The incentives, made possible through the 2014 farm bill, include: • Waiving service fees for new and beginning farmers to enroll in the Non-Insured Crop Disaster Assistance Program (NAP) for the 2014 crop year. NAP provides risk management tools to farmers who grow crops for which crop insurance isn’t available. Under this waiver, farmers already enrolled in NAP for the 2014 crop year are eligible for a service fee refund. • Eliminating payment reductions under the Conservation Reserve Program (CRP) for new and beginning farmers. The change allows routine, prescribed and emergency grazing outside the primary nesting season on enrolled land consistent with approved conservation plans. Previously, farmers and
ranchers grazing on CRP land were subject to a reduction in CRP payments of up to 25 percent. • Increasing payment rates to beginning farmers and ranchers under Emergency Assistance for Livestock, Honeybees and Farm-Raised Fish Program (ELAP). Under this provision, beginning farmers can claim up to 90 percent of losses for lost livestock and bees under ELAP. This represents a 50 percent increase over previously available payment amounts to new and beginning farmers. “New and beginning farmers are the future of American agriculture,” said USDA Deputy Secretary Krysta Harden. “The average age of an American farmer is 58 and rising, so we must help new farmers get started if America is going to continue feeding the world and maintain a strong agriculture economy. “The new policies ... will help give beginning farmers the financial security they need to succeed,” she said. “Our new online tool will provide one-stop shopping for beginning farmers to learn more about accessing USDA services that can help their operations thrive.”
Farmers, input suppliers and others will encounter a thriving Palmer amaranth population a few miles south of Chicago July 30. The University of Illinois weed science program offers a free field tour, starting at 9 a.m., of a Palmer amaranth research site about a half of a mile east of the intersection of county roads 14000 west and 3000 north near Union Hill. The event will conclude with lunch around noon. Participants will receive a complimentary tour booklet with research protocols and plot maps. Advanced registration is available at {bayer respecttherotation.com}. Larry Steckel, University of Tennessee Extension weed scientist, will discuss Palmer amaranth identifica-
tion and share his experiences managing the invasive weed in Tennessee. Pat Tranel, U of I molecular weed science professor, will talk about the herbicide resistance status of waterhemp and Palmer amaranth in Illinois. Aaron Hager, U of I Extension weed scientist, will cover management recommendations, including using soil-residual herbicides in combination with intense crop scouting and timely applications of foliar-applied herbicides with other mechanical and cultural methods. A Bayer CropScience representative will present an update on new Bayer traits and technologies being developed to help manage Palmer amaranth and other weeds.
Palmer amaranth focus of July 30 research tour
Piatt County Farm Bureau members along with Piatt County FS and COUNTRY Financial representatives pump fuel for 156 patrons. The customer appreciation and ethanol promotion at the Monticello Fast Stop Express resulted in more than 3,000 gallons of fuel being sold at discount prices in just two hours. (Photo by Emily Zelhart)
Fuel flows at E85 customer appreciation
E85 for $1.85 a gallon! How about unleaded and diesel fuel for $3.24 a gallon? That’s unheard of — except during a recent event in Piatt County. The Piatt County Farm Bureau teamed with Piatt County FS and COUNTRY Financial for a customer appreciation and ethanol promotion. From 11 a.m. to 1 p.m., FS employees and Piatt County Farm Bureau board members pumped 2,343 BY EMILY ZELHART
gallons of discounted fuel and 682 gallons of E85, and washed windows for 156 patrons visiting the Fast Stop Express in Monticello. Patrons enjoyed free pork chop and hot dog lunches. COUNTRY Financial representatives entered people in a drawing for a Kindle Fire.
The event’s main message focused on information about ethanol fuel and its benefits. Sponsors distributed pamphlets noting the five myths of ethanol courtesy of the Illinois Corn Growers Association. A few new patrons tried E85 because of the price difference. Hopefully, they will come back for more!
Emily Zelhart serves as Piatt County Farm Bureau manager.
FarmWeek Page 12 Monday, July 7, 2014
Confidence to grow That’s what agricultural producers can achieve when they’re smart about managing risk. And smart managers work with CME Group, the world’s leading derivatives marketplace. Farmers and ranchers around the world partner with us to help them manage every kind of risk. Crop prices, weather fluctuations, interest rate movements, changing currency valuations – whatever the risk, we help the world advance beyond it. Learn more at cmegroup.com/advance.
How the world advances
CME Group is a trademark of CME Group Inc. The Globe logo is a trademark of Chicago Mercantile Exchange Inc. All other trademarks are the property of their respective owners. Copyright © 2014 CME Group. All rights reserved.
FROM THE COUNTIES
Page 13 Monday, July 7, 2014 FarmWeek
B
UREAU — Farm Bureau will sponsor a bus trip to Fair Oaks Farms in Indiana at 8 a.m. Aug. 1. Cost is $60. Call the Farm Bureau office at 875-6468 to register by July 18. • Farm Bureau will host an energy meeting at 9 a.m. July 24 at the Farm Bureau office. Don Taylor, Corn Belt Energy; Jackie McKinnis, GROWMARK; and Adam Nielsen, Illinois Farm Bureau, will speak. Call the Farm Bureau office at 875-6468 for reservations. • Farm Bureau will co-host a 2015 Ireland trip informational meeting at 11 a.m. July 15 at the Farm Bureau office. Call the Farm Bureau office at 875-6468 for trip reservations or more information. HRISTIAN —Farm Bureau will co-host an ag appreciation luncheon at 11:30 a.m. July 24 at the Christian County Fairgrounds. Laura Harmon, Illinois Farm Bureau Office of the General Counsel, will speak. Call the Farm Bureau office at 8242940 to register. • Young Agricultural Leaders will sponsor Plowing the Streets 5K and 1 Mile Family Fun Run at 8 a.m. July 26 at the Christian County Fairgrounds. Cost is $15 for an individual and $30 for a family, and will include a T-shirt if registered by Wednesday. After Wednesday, cost is $20 for an individual and $40 for a family. Call Melissa McMillan at 8242940 for reservations. Proceeds will benefit the Young Agriculture Leaders scholarship fund. LAY — Young Leaders will sponsor a concert at 7 p.m. July 24 at the Clay County Fair. Jordan Tolliver, Clay County native, and Whiskey Rose will open the show. Ira Dean will be the main performer. Tickets may be purchased from a Young Leader or at the Farm Bureau office. Cost is $10. Proceeds will benefit Young Leader projects and Agriculture in the Classroom (AITC). • Farm Bureau will host a membership picnic and family fun night at 4 p.m. July 26 at the Farm Bureau office. The Bradshaws will perform. The Foundation will hold a silent auction with proceeds benefiting the Foundation scholarship fund. For more information, call the Farm Bureau office at 665-3300. FFINGHAM — Farm Bureau and COUNTRY Financial will co-host a member appreciation picnic and swim from 6 to 8 p.m. July 20 at Evergreen Hollow Park. Sweet Tea, Aaron Goeckner and MacKensie Grimsley will perform. Call the Farm Bureau
C
C
E
H
office at 342-2103 to register. ANCOCK — Young Leaders will sponsor a summer bags tournament at 6 p.m. Saturday at Thomas Family Campground, Carthage. Members age 18 to 35 are invited to attend. Call the Farm Bureau office at 3573141 to register. ACKSON — The Foundation will sponsor a fish fry and fun night from 5 to 8 p.m. Saturday at the Murphysboro Knights of Columbus Hall. Cost is $13 for adults, $6 for children and free for children 3 and under. For more information, call the Farm Bureau office at 684-3129. ANKAKEE — Young Leaders will tour Kilgus Dairy near Fairbury at 5 p.m. Monday (July 7). A cookout hosted by the Livingston County Young Leaders will follow. Members age 35 and younger are invited to attend. Call the Farm Bureau office at 932-7471 to register. ASALLE — Farm Bureau will sell season tickets for the LaSalle County 4-H and Junior Fair July 9-13. Cost is $20 for ages 5 and up. Tickets may be purchased at the Farm Bureau office. Call the Farm Bureau office at 4330371 for more information. EE — The Young Leaders Committee will host a cookout at 6:30 p.m. July 19 at Aaron and Jillian Wolf ’s, 1002 Illinois Route 38, Dixon. The event is open to members 18 to 35 years old. Bring a dish to pass and lawn chairs. Call the Farm Bureau office at 857-3531 or email leecfb@comcast.net for more information. • Farm Bureau will co-sponsor a blood drive from noon to 6 p.m. July 24 at the Lee County Fairgrounds. Call the Farm Bureau office at 857-3531 to volunteer or donate. Walk-ins are welcome. • The Young Leader Committee will sponsor a food stand and coloring contest from 5 to 7 p.m. July 24 at the Lee County 4-H Fair and Junior Show. Visit the Lee County 4-H Fair website or the Young Leaders food stand for coloring contest forms. ACON —The Foundation will sponsor the Emmett Sefton Memorial Tractor Drive leaving at 9 a.m. July 20 from the Mount Zion Lions Club. Registration opens at 7:30 a.m. Cost is $50. Visit {maconcfb.org} or call the Farm Bureau office at 8772436 to register by July 18. Proceeds will benefit the Emmett Sefton Memorial scholarship fund. ERCER — Farm Bureau will sponsor Celebrate Agriculture night at the River Bandits at 7 p.m. July
J
K L L
M M
18 at Modern Woodmen Park in Davenport, Iowa. Members will receive discounted tickets by showing their Farm Bureau membership card at the ticket box. Call the Farm Bureau office at 582-5116 for more information. ONTGOMERY — Prime Timers will host a luncheon at noon July 16 at the Farm Bureau office. Peggy Kessinger, John Meiner and Russell Young will entertain. Cost is $9. Call the Farm Bureau office at 532-6171 by Friday to register. • Prime Timers will sponsor a Christmas bus trip to St. Louis, Mo., Dec. 13. Members 55 and older are invited to attend. Cost is $65. Call Pegasus Travel Agency at 532-6906 by Nov. 13 for reservations or more information. EORIA — Farm Bureau will sponsor a golf scramble at 7 a.m. July 19 at Laurel Greens Golf Course. Cost is $15 for 18 holes of golf and cart, and $10 for lunch. Visit {peoriacounty farmbureau.org} for a reservation form. • Farm Bureau will take Michigan blueberry orders for July 17 pickup at the Farm Bureau auditorium. Cost is $12 for 5 pounds and $22 for 10 pounds. Visit {peoriacounty farmbureau.org} to place orders by Thursday. IKE — Farm Bureau will host a policy supper at 6:30 p.m. Wednesday at the Farm Bureau building. Discussion will be held on water rules, food labeling and overregulation. Call the Farm Bureau office at 285-2233 or email office@pikecfb.org for reservations by Wednesday. ANGAMON — The Foundation will sponsor a golf outing at 11 a.m. Friday at Edgewood Golf Course, Auburn. Cost is $280 for four. Email amason@sangamon fb.org for reservations by Wednesday. ERMILION — Farm Bureau will provide free tickets to a Danville Dans/ Champion City Kings game at 6:30 p.m. July 18 at Danville Stadium. Tickets were printed on the back of the summer Booster. Additional tickets are available at the Farm Bureau office. Call the Farm Bureau office at 442-8713 for more information. ARREN-HENDERSON — Farm Bureau will co-sponsor a golf outing at 8 a.m. July 26 at Golden Hills Golf Course, Macomb. Cost is $50. Visit {mcdonough countyfarmbureau.org/golfouting} to register by July 18. Proceeds will benefit AITC and scholarship programs. AYNE — The Young Leader Committee in
M
P
cooperation with Fairfield Memorial Hospital will participate in Hats On for Cancer. New and slightly worn hats may be donated to local cancer patients at the Farm Bureau office or at the Fairfield Memorial Hospital volunteer desk through Aug. 15. • The Young Leader Committee will host a golf scramble at 1 p.m. Aug. 16 at the Wayne County Golf Course in Fairfield. Call the Farm Bureau office at 842-3342 or visit {waynecfb.com} for more information. HITE — Farm Bureau will host a member appreciation luncheon from 11 a.m. to 1 p.m. Aug. 6 in the Floral Hall at the White County Fairgrounds. Call 3828512 to register by July 25. ILL — Farm Bureau will co-host a member family fun night beginning at
W W
4:30 p.m. July 17 on the Farm Bureau grounds. Entertainment will be provided by Sandi Haynes and the Rocket Boys. Cost is $10 for adults and $4 for children 12 and under. Call the Farm Bureau office at 7274811 for tickets by Friday. INNEBAGOBOONE — Farm Bureau will host a bus trip to John Deere Harvester Works, John Deere Pavilion and Kinzie Manufacturing on July 22. Cost is $40 for members and $45 for nonmembers. Call the Farm Bureau office at 9620653 for departure times and locations. Must be over 14 to attend. • Farm Bureau will host grain bin safety and rescue training for farm families from 10 a.m. to 2 p.m. July 26 at the Farm Bureau building. Call the Farm Bureau office at 9620653 to register by July 18.
W
P S
V
W W
Jennifer Nelson of Monticello and her son, Andrew, pick raspberries during the recent Down on the Farm tour sponsored by Piatt County Farm Bureau and Extension. Fifty-one participants learned how three local farmers care for their crops and livestock. (Photo by Emily Zelhart)
Piatt County hosts farm tour
Fifty-one Piatt County residents loaded onto a charter bus recently for a Down on the Farm tour. Sponsored by the Piatt County Farm Bureau and Piatt County University of Illinois Extension, the tour featured three local farms. Tour participants stopped first at Twin Silos Farm operated by Terry Hayden. He grows fruit, vegetables and herbs, and makes honey. Caveny Farm operated by John and Connie Caveny featured Bourbon Red turkeys and Katahdin lambs. The final stop landed at Lieb Farms BY EMILY ZELHART
where corn, soybeans and bison are raised. Visitors learned how each farmer got started and how they care for their crops and livestock. After the tour, a local caterer provided lunch using products from each of the farms as well as some surrounding farms. The menu included fresh salads, bison meatballs, turkey wraps and berry desserts. The participants learned a lot about where their food comes from. Emily Zelhart serves as Piatt County Farm Bureau manager.
PROFITABILITY
FarmWeek Page 14 Monday, July 7, 2014
Explore precision agriculture opportunities at premier event
Technological advancement continues to impress and even amaze me. Whether it is improved guidance through auto steering or improved control via row, nozzle or boom section — we continue to see Sid Parks effective adoption of these precision technologies. Producers today have the luxury of many different options to guide, control and record where and when something is being done. All these layers of information can be used to help analyze actions or input choices to improve decisions for future production selection. One of the challenges to these advancements is understanding what works best for BY SID PARKS
your needs, how much to pay for it and where to go to get training or support to utilize the technologies. Midwest producers have a good opportunity to explore these technologies and more at the July 29-31 InfoAg 2014 event in St. Louis. Billed as the “premier event in precision agriculture,” this conference provides producers and/or retailers interested in site-specific techniques and technologies the ability to interact with vendors, educators and practitioners on a wide range of topics. Further information can be found at {infoag.org}. If you have any interest in site-specific technologies, I encourage you to attend. When faced with challenges, decisions based on the best information available are the most useful. Precision technologies can help provide crucial information about what is working well and what is not,
Monmouth field day scheduled
Corn rootworm resistance, Palmer amaranth and unmanned aerial vehicles will take center stage at 8 a.m. July 15 at the University of Illinois’ Northwestern Agricultural Research Center 33rd Field Day. Participants will tour the Monmouth center by bus. Other topics will include stewardship of dicamba and 2,4-D resistant soybeans and nitrogen fertilizer needs for soybeans. Continuing education units will be provided to eligible participants. For more information, visit the center’s website at {web. extension.illinois.edu/nwiardc/}.
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-$56.71 $48.48 40 lbs. (cash) $105.00-$120.00 $115.83 Receipts
This Week 83,399 *Eastern Corn Belt prices picked up at seller’s farm
Last Week 61,694
Eastern Corn Belt direct hogs (plant delivered) Carcass Live
(Prices $ per hundredweight) This week Prev. week Change $128.14 $124.34 $3.80 $94.82 $92.01 $2.81
USDA five-state area slaughter cattle price (Thursday’s price)
Steers Heifers
This week $ 157.96 $157.82
Prev. week $152.00 $151.42
Change $5.96 $6.40
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 $216.43 $213.37 $3.06
Lamb prices Negotiated, wooled and shorn, 125-168 lbs. for 137-160 $/cwt. (wtd. ave. 147.10); wooled and shorn 178-183 lbs. for 132-135 $/cwt. (wtd. Ave. 134.65)
Export inspections (Million bushels) Week ending Soybeans Wheat Corn 6/26/2014 2.7 12.3 34.4 6/19/2014 2.3 23.1 38.9 Last year 4.5 26.8 14.9 Season total 1565.2 67.5 1489.8 Previous season total 1286.8 84.4 581.6 USDA projected total 1600 925 1900 Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.
specific to a producer’s farming operations. Investments in technologies often pay off quickly in either increased efficiency or reduced costs. Producers have many options for record keeping systems. Some are very simple, others more complex. Many tools or software appli-
cations are available for documenting activities, recording field visits or other important layers of information. This information is useful in future months when a farmer is looking to understand or explain variation in their harvest maps. If you don’t have a good
Sid Parks serves as GROWMARK’s agronomy information services manager. His email address is sparks@growmark.com.
obligations, U.S. jobs and manufacturing will be put at risk,” said Linda Dempsey, vice president for economic affairs at the National Association of Manufacturers. The confidential, interim decision on the case by WTO won’t be made public until September. All parties then will have 60 days to file an appeal. Some, however, believe the odds favor a positive ruling for Canada and Mexico. The two countries argue that COOL has a trade distorting
impact by reducing the value of cattle and hogs shipped to the U.S., which violates WTO technical barriers to trade agreement. The WTO agreed in 2011 when it ruled against a previous version of COOL, finding that it indeed treated imported livestock less favorable than U.S. livestock. “We’ll likely be found noncompliant with our trade obligations (this time around),” said Randy Spronk of NPPC. “It would allow retaliation with dozens of tariffs” on U.S. products.
system of documenting how you produced your 2014 crop, call your local FS crop specialist to schedule a visit and explore available options.
Coalition: Potential retaliatory tariffs not COOL BY DANIEL GRANT FarmWeek
Members of an ag industry coalition don’t want the future of meat exports to Canada and Mexico to hinge on a World Trade Organization (WTO) ruling. The WTO later this summer or early fall should make public its decision of whether or not mandatory country of origin labeling (COOL) required by the U.S. meets trade obligations. A WTO compliance panel this month released to government officials a confidential, interim decision on the case. But the decision likely won’t be made public until late September. Rather than wait for that decision, the coalition last week sent a letter to the leaders of the House and Senate Agriculture Committees and requested action to alleviate the situation. The ag coalition, which includes the Corn Refiners Association, National Cattlemen’s Beef Association, National Pork Producers Council (NPPC) and a wide range of other farm groups and agribusinesses such as Archer Daniels Midland, PepsiCo, Smithfield Foods and Tate & Lyle, asked Congress to direct USDA to suspend the COOL rule for muscle cuts of meat if it’s found to be in violation of U.S. international trade obligations. If WTO rules in favor of Canada and Mexico on the case, and it already did once in a previous ruling in 2011, those two countries could slap retaliatory tariffs on a range of U.S. products by next year. “The disruption of that partnership (between the U.S., Canada and Mexico) by WTO noncompliance would have a devastating economic impact on industries including food, production, agriculture and manufacturing,” said Jodi Bond, vice president for the Americas at the U.S. Chamber of Commerce. U.S. exports to Canada and Mexico increased about 50 percent the last four years. The North American neighbors currently purchase about onethird of all merchandise exported from the U.S. “If Congress fails to ensure that U.S. COOL requirements comply with our international
Tyson to purchase Hillshire
Tyson Foods Inc. last week signed a deal to purchase Chicago-based Hillshire Brands Co. for $7.75 billion. The agreement settles a string of negotiations and bidding war that fired up in recent weeks between some of the top meat processors in the nation. Hillshire in May agreed to purchase Pinnacle Foods Inc. for $4.23 billion. But Tyson and Pilgrim’s Pride Corp. got into a subsequent bidding war for Hillshire. Hillshire accepted Tyson’s offer of $63 per share, but the deal was contingent on Hillshire walking away from its deal with Pinnacle, the Associated Press reported. Pinnacle last week terminated its sale to Hillshire, which paved the way for Arkansas-based Tyson to finalize its purchase of Hillshire, the maker of Jimmy Dean sausages and Ball Park hot dogs. Tyson will pay a $163 million termination fee to Pinnacle on behalf of Hillshire to complete the deal.
Class III milk prices stay above $21
The Class III price for milk adjusted to 3.5 percent butterfat for the month of June was announced at $21.36 per hundredweight. Prices for the first six months of the year have not been below $21. Prices continue to stay strong, and we have not seen a scenario where prices have completely collapsed. Prices usually soften as schools stop purchasing milk through the summer months, but this year, demand has been strong — especially in the export market. The past few weeks of warm, humid temperatures have taken the top few inches off of the bulk tank, and that shorter milk supply has kept milk prices firm.
PROFITABILITY
Page 15 Monday, July 7, 2014 FarmWeek
CASH STRATEGIST
Big acres ‘shell shock’ industry
The industry was “shell shocked” by the 84.8 million acre soybean planting estimate. It was even larger than we expected, and we had long been looking for a significantly larger soybean planting. If you remember, the March 31 USDA planting report left nearly 4 million acres unaccounted for when looking at the total of all crops planted, Conservation Reserve Program acres and a moderate size for prevent plant acres. That’s not to say the size of corn, soybeans and spring wheat plantings might not decline when we get a better accounting of prevent plant, but history doesn’t point to a big change. The limited amount of prevent plant data we have does offer some guidelines. The years 2011 and 2013 were the worst in terms of planting issues with 8.3 and 9.6 million acres, respectively, designated prevent plant. Planting difficulties also occurred in 2010 with 6.9 million acres designated prevent plant. Even though there were planting issues this year, they weren’t as extreme as 2011 nor 2013, leaving 2010 as a better guideline. In 2010, planting difficulties were mostly confined to South
Dakota, Iowa and Minnesota with the worst problems in the former. Those states had a total of 2.4 million prevent plant acres. From June to the final number, spring wheat plantings fell only 209,000 acres. Corn plantings increased 320,000, but soybean plantings fell 1.47 million acres. At the last planting report, there was still about 2 million acres to be planted across the northern tier states of North Dakota, northwest Minnesota, Wisconsin and Michigan. Probably not all got put in prevent plant, but 50 to 75 percent of those acres might have been designated prevent plant. Because soybeans were the only crop not beyond the final insurance date, any loss of plantings will likely accrue mostly to soybeans. But it’s still difficult to envision soybean plantings dropping more than the 1.47 million of 2010. That would leave plantings still in excess of 83.5 million acres — more than enough to produce a huge crop. Spring wheat and corn plantings could slip some, but probably not more than 200,000 to 300,000 each. Using a moderate 4 million prevent plant, the total acreage is no larger than last year. It’s important to remember none of these changes might become apparent until USDA adjusts its acreages on the October report — a time when the yield forecast should be relatively reliable.
AgriVisor endorses crop insurance by
AgriVisor LLC 1701 N. Towanda Avenue PO Box 2500 Bloomington IL 61702-2901 309-557-3147 AgriVisor LLC is not liable for any damages which anyone may sustain by reason of inaccuracy or inadequacy of information provided herein, any error of judgment involving any projections, recommendations, or advice or any other act of omission.
Policies issued by COUNTRY Mutual Insurance Company®, Bloomington, Illinois AgriVisor Hotline Number
309-557-2274
Corn Strategy
ü2013 crop: The negatives of the crop report pulled prices to new lows, but with the timing of the 40-week cycle, and the closeness of the January low, downside risk should be limited. Still, it’s difficult to foresee much more than a modest rebound. Target a move to $4.40 on December futures to make sales. Get basis locked up on hedge-to-arrive contracts, and other unpriced inventory. ü2014 crop: New-crop prices look a little overdone to the downside, especially after this week’s break. Early conditions point to a good crop, but there are still scattered crop issues. Wait for December futures to rally to $4.40 to make sales. vFundamentals: The June 30 USDA numbers weren’t particularly negative for corn, but corn couldn’t counter the negative sentiment from the other markets. Generally good weather is prompting talk of an even higher yield than USDA is using. Demand expectations are becoming a drag, too, because of the smaller hog numbers and apparent large Chinese corn stocks.
Cents per bu.
Soybean Strategy
ü2013 crop: The USDA June 1 stocks resolved oldcrop supply uncertainty, and not in a positive way. Use any rally to wrap up sales. ü2014 crop: The USDA acreage number ended any chance of seeing higher prices with the break potentially ending any chance of seeing $12 November futures. Use rallies to $11.60 to $11.75 on November futures to make catch-up sales. ü2015 crop: The first 15 percent of the 2015 crop was priced at $12.07 basis November 2015 futures. vFundamentals: The 84.8 million acre planting projection will change the fundamental structure from tight to moderately abundant in the coming year. The generally good weather is reinforcing ideas this year’s crop is going to be a big one. In the wake of the acreage numbers, everyone started thinking the new-crop carryout will be somewhere close to 450 million bushels.
The prospects of larger supplies will likely moderate the pace of end user purchasing.
Wheat Strategy
ü2014 crop: The soft red winter wheat crop is facing trouble with quality and test weight. Concerns are also developing with crops grown abroad. In part, wheat has been trading lower in sympathy with soybeans and corn with the sell-off looking overdone. Wait for the market to bid up cash wheat before making additional sales. ü2015 crop: Cyclical tendencies should support wheat and make for better opportunities to
price production for 2015. vFundamentals: This year’s world wheat crop promised to be an abundant one, but weather has tempered our expectations. Moisture has been an issue for U.S. winter crops with the Russian harvest also delayed by heavy rains. The growing season is off to a fair start for U.S. spring wheat, but crops in Canada are threatened by flooding. The Indian monsoon season has so far been a dry one and a potential El Nino still worries Australian producers. Prices will soon find support if the supplyside disruptions persist.
PERSPECTIVES
FarmWeek Page 16 Monday, July 7, 2014
Learning, sharing farmers’ take on ‘sustainable’ beef What’s sustainable beef ? That is the question I’ve heard rumbling around since earlier this year when it was reported that McDonald’s plans to purchase verified sustainable meat beginning in 2016. That’s all fine and well, but what does it actually mean? Seeking answers to my questions, I traveled to Oak Brook and sat down with a McDonald’s representative to discuss the topic, what it means to producers and how we can expect the sustainable meat push to impact conRYAN TRACY sumers. McDonald’s says it is looking to collaborate with the industry to find answers leading to sustainable beef, not mandate the industry into a particular outcome. That’s demonstrated by McDonald’s founding membership in the Global Roundtable for Sustainable Beef (GRSB). McDonald’s joined together with oth-
er organizations to “advance continuous improvement in sustainability of the global beef value chain through leadership, science and multi-stakeholder engagement and collaboration.” Other founding members are companies like Cargill, Elanco, JBS, Walmart, World Wildlife Fund and MERCK Animal Health, just to name a few. These founding members each fit into one of the five constituencies that make up the GRSB: producer; commerce and processing; retail; civil society and Brazil roundtable on sustainable livestock. Other members you likely know are the National Cattlemen’s Beef Association, Certified Angus Beef LLC, National Wildlife Federation and Tyson Foods. For a list of members, visit {grsbeef.org}. Earlier this year, GRSB created a list of draft principles and criteria on what will make up “sustainable beef.” The draft had five principles dealing with natural resources, people and the
community, animal health and welfare, food and efficiency, and innovation. That list of five was released for public comment, and the GRSB is reviewing the comments and soon will announce any revisions to the principles. I’ll be on the lookout for the update. Sustainability has become more than just a buzzword in the food industry. Companies are building entire brands around it and are expending enormous amounts of time and capital working to document it. In my opinion, farmers have a great
‘Crazy idea’ promotes nationwide ditch the rule
Have you ever been asked to do something and before you could think about it you said yes? My husband and I were in that position recently. A couple of months ago Missouri Farm Bureau contacted us with a “crazy idea” — creating a parody of the song “Let It Go” from the movie “Frozen.” You could imagine the look on my face. I thought what for? Why? These and other questions were going through my mind. Then the explanation came. The parody video was part of a KACEY CLAY broader strategy to guest columnist help raise awareness on an issue that just wasn’t being heard — the proposed “waters of the U.S.” rule pushed by the Environmental Protection Agency (EPA) and Army Corps of Engineers. Being on the American Farm Bureau Federation’s Young Farmers & Ranchers Committee, we knew that more needed to be done to sound the alarm about the proposed rule, and how it would greatly expand strict control over private land that had never been regulated by the federal government. Just like that, the video was a go. We jumped on board and I headed to the recording studio. It only took two hours to record the parody lyrics. A few weeks later, the camera guy came out to the farm. The kids put on their swim wear, I put on a dress and out to the field we went. With a little bit of patience and drawing on my old drama club skills, we had footage four hours later we hoped would make a strong statement.
Bringing attention to this issue was definitely something we wanted to do, and we’re seeing a difference. With close to 100,000 hits on YouTube and a “Fox and Friends” TV interview, we are helping spread the word as quickly as we can. The proposed waters rule will impact so many if implemented. Not only will farmers be affected, but home builders and many others, too. There will need to be permits issued for certain everyday farm tasks. Many of you have an idea about how long it would take to get a permit from the government. Let’s just say our kids may never see it in the mail. If the rules are not abided by, anyone could be slapped with a $37,000 daily fine — definitely not feasible in any profession. Especially not farming. So, help us say, “DITCH THE RULE!” Voice your opinion at {ditchtherule.fb.org}, share the link to the video at {youtube. com/watch?v=9U0OqJqNbbs} and use #DitchTheRule on social media. We have until Oct. 20 to let EPA and the Corps know what we think. The more voices they hear, the better chance we have of ditching the rule.
Kacey Clay and her husband, Andy, farm in Missouri.
story to tell in this space. After all, has anyone been as sustainable as the American farmer? Telling McDonald’s and other companies what Illinois farmers have been doing for generations is important, and many companies seem willing to listen. As for what sustainable beef is, I’m not sure yet. That being said, as the term gets defined, I’m looking to make sure they have our input. Ryan Tracy serves as Illinois Farm Bureau director of external relations.
LETTER TO THE EDITOR
Carbon dioxide emissions revisited
Editor: This is in response to Don Ellingson’s Jan. 24 letter to the editor, ‘Reader questions carbon emissions.’ He asks a lot of good questions about carbon dioxide emissions and global warming/climate change. In his search for answers, he consults an encyclopedia. I suggest Mr. Ellingson and the rest of your readers consult Wikipedia for answers about manmade atmospheric carbon dioxide. This is a free resource and can answer most questions. Simply go online and enter the search phrase “atmospheric CO2.” press enter and you should find Carbon Dioxide in Earth’s Atmosphere — Wikipedia. Click on this phrase to open the website for a fairly complete analysis of atmospheric carbon dioxide and its natural source, its cycles, how it’s measured, effects on global temperatures,
plant and animal cycle interactions, and other related topics. We, the living, do not have to worry about these global effects, but our children and grandchildren have a responsibility to make sure that as a species mankind leaves this planet Earth in good order. For the lust of money and greed, if we exploit and destroy our habitat, we will not have been good shepherds and have only ourselves to blame. Here’s the rub ... industries with vested interests want to maintain the status quo and deny humans are causing the problem, knowing they will make fortunes today, and will be dead and long gone before the true damage is obvious. And once the climate engine is ablaze with the momentum of 150 years of fossil fuel burning, there will be no stopping it. Mankind will be powerless to control his destiny. KEITH GRAY WESTLAND Berwyn
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. 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