Farmweek october 27 2014

Corn and soybean growers have a new Actual Production History Yield Exclusion program available. page 4

It’s time to vote for Elkhart’s Thomas Titus as one of USFRA’s Faces of Farming & Ranching. page 10

Economist: Crop, livestock farmers swap market fundamentals Monday, October 27, 2014

BY DANIEL GRANT FarmWeek

Two sections Volume 42, No. 43

If the supply and demand situation for crop and livestock farmers becomes a movie it should borrow the title “Trading Places.”

The economic outlook in both sectors did a 180 in the past year.

Livestock farmers currently enjoy record prices due to tight supplies,

while crop farmers face just the opposite scenario, about two years removed from the remarkable rally to $8 corn.

“There has been a seismic shift in economic conditions for crop and livestock producers,” Rich Pottorff, chief economist for Doane Advisory Services, said last week during Doane’s 31st annual outlook confer-

BOUNTIFUL HARVEST

ence. “The result is quite a change in outlook for the crop and livestock sectors.”

Corn prices from 2012 to 2014 dived about 40 percent. Farmers currently are in the midst of harvesting back-to-back record crops along with a record amount of soybeans.

Livestock prices, on the other hand, shot up 20 to 30 percent to new

A truck unloads corn into a 2.2 million bushel temporary grain bunker at Evergreen FS’ Yuton Elevator in McLean County. Steve Dennis, Evergreen FS grain department manager, said high yields made use of the bunker necessary. Indoor storage at the facility measures 3 million bushels. Dennis estimated 55 to 60 percent of fields were harvested in the area as of last Wednesday.

Watch a harvest video at FarmWeekNow.com. (Photo by Ken Kashian)

Periodicals: Time Valued

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Milder winter weather. That’s the latest prediction from ag meteorologist Drew Lerner. page 3

record levels in some cases due to tight supplies caused by multiple years of drought along with the introduction of porcine epidemic diarrhea virus (PEDV) that decimated swine herds since the spring of 2013.

Livestock producers in recent months made as much as $100-plus per head on every hog and $200 per head profit on fed steers.

Pottorff looks for those trends to continue.

“We’re at the low point of the cattle cycle. It’s virtually impossible to increase beef production (significantly) in 2015,” he said. “I look for tight supplies to continue at least the next year or two and prices will remain high.”

Hog production could increase next year due to increased farrowings and less impact of PEDV, and poultry production also could improve and subsequently pressure prices. But supplies should be tight enough to maintain “good prices” and maintain profitability for hog and poultry producers, according to the economist.

Budgets for crop producers, however, could be much tighter the next couple years compared to recent history.

“Big crops are virtually assured this year. We’re seeing increasing stocks continue to pressure prices,” Pottorff said.

“Crop sector margins are thin,” he continued. “And there’s no real relief in sight. Low prices could persist the next few years, barring some sort of weather problem.”

Illinois highlights extensive nutrient efforts

BY KAY SHIPMAN FarmWeek

Illinois’ work, especially by farmers and agribusinesses, to conserve nutrients and improve water quality grabbed the attention of a national hypoxia task force last week.

From strategic plans to onfarm nutrient studies to farmer-funded research and education, representatives of Illinois agencies, ag organiza-

tions, universities and communities provided an extensive overview to the Mississippi River Gulf of Mexico Watershed Nutrient Task Force that met at Lewis and Clark Community College in Godfrey.

“So much activity is happening,” said Iowa Agriculture Secretary Bill Northey, the task force co-chairman. “We’ve got more work to do, but at least we’ve scratched the surface and

See Swap, page 3

feel the momentum.”

Task force members learned the 2014 hypoxic zone measured about 5 square miles, which is slightly less than the five-year average.

Lauren Lurkins, Illinois Farm Bureau director of natural and environmental resources, reported on a range of agricultural projects and efforts to manage nitrogen and phosphorous, and to encour-

age farmers to adopt best management practices. “It really is farmer led,” Lurkins emphasized.

As part of a five-member Illinois panel, Lurkins reported on the Illinois Nutrient Research and Education Council (NREC), the Illinois Council on Best Management Practices, the Keep it for the Crop (KIC) See Illinois, page 2

www.facebook.com/illfarmbureau

Quick Takes

FarmWeek • Page 2 • Monday, October 27, 2014

WOTUS OPPOSITION GROWS — Add National Rural Electric Cooperative Association (NRECA) to the growing list of opponents to a proposed rule defining “waters of the U.S.” CEO Jo Ann Emerson met with officials from the Environmental Protection Agency (EPA) recently about the proposal. Emerson called the meeting “too little, too late.”

“Make no mistake: this rule will increase the regulatory burden on rural businesses, including farms, ranches and rural utilities,” Emerson said. “We’re grateful for the vigilant efforts of the Small Business Administration’s Office of Advocacy and agree the EPA should withdraw this rule immediately.”

All 838 distribution cooperatives and 62 of 65 generation cooperatives are small businesses responsible for 2.5 million miles — about 42 percent — of the nation’s electric distribution lines covering 75 percent of the nation’s land mass, according to the NRECA. The deadline to comment on the proposal, initiated by EPA and the Army Corps of Engineers, is Nov. 14.

FARMERS HARVEST 4 BILLION BIOTECH ACRES — Since commercial production in 1996, farmers harvested more than 4 billion acres of biotech crops, according to Truth About Trade and Technology. The acreage measures 1.5 times the size of Europe.

“There are a lot of voices out there critical of biotechnology, spinning their precautionary tales. Four billion acres of biotech crops have filled a lot of stomachs, and biotech is one of the answers for meeting agriculture’s goal to feed 9 billion people by the year 2050,” said Bill Horan, Truth About Trade and Technology chairman. “I think it’s time we lay all of these scary food myths to rest. Once we’re able to do that, we could focus on the work ahead of us.”

Truth About Trade and Technology is a nonprofit advocacy group led by farmers who support free trade and a farmer’s freedom to choose the tools, technologies and strategies needed to maximize productivity and profitability in a sustainable manner.

USDA LAUNCHES CLIMATE HUB WEBSITE — Farmers can get the latest information about resources for everything from drought to pests at the new USDA Climate Hub website.

The site at {climatehubs.oce.usda.gov} provides resources related to fire risks, diseases, climate variability and heat stress. The site also links users to the network of USDA conservation programs and resources that provide producers with technical and financial assistance to manage risks.

AMERICAN DREAM STILL VIVID — The American Dream of owning a home remains alive and well, according to the latest COUNTRY Financial Security Index survey.

Eighty-nine percent of survey respondents said they value home ownership, while 64 percent view it more attainable than in the last few years. A year ago, only 41 percent saw home ownership as an attainable goal.

For those who currently don’t own a home, 14 percent said a low credit score represents the primary obstacle in their way of owning a home. Survey respondents also cited lack of a down payment (13 percent) and the price of homes in the area (12 percent) as impediments.

(ISSN0197-6680) Vol. 42 No. 43 October 27, 2014 Dedicated to improving the profitability of farming, and a higher quality of life for Illinois farmers.

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Lauren Lurkins, right, Illinois Farm Bureau director of natural and environmental resources, and Warren Goetsch, head of the Illinois Department of Agriculture’s environmental programs bureau, prepare information for the national Gulf of Mexico hypoxia task force last week. Lurkins reported Illinois agriculture actions to conserve nutrients and reduce nitrogen and phosphorous loading into streams, rivers and lakes during the task force meeting in Godfrey. (Photo by Kay Shipman)

Hypoxia, nutrient work covers waterfront

for reliable, affordable nutrient sensors that would “get better data in producers’ hands.”

The Mississippi River Gulf of Mexico A new federal partnership between the Watershed Nutrient Task Force received reports Natural Resources Conservation Service on several issues related to hypoxia and nutrient (NRCS) and the U.S. Geological Survey management during its meeting last week at (USGS) will measure voluntary farm conservaLewis and Clark Community College, Godfrey. tion impacts on water quality, according to Meeting highlights included: Ann Mills, USDA undersecretary for natural Mississippi River Basin states resources and environment, continue implementing programs, and Lori Caramanian, DepartFarmWeekNow.com but face a daunting task to scale ment of Interior deputy assisWatch our video interview with tant secretary for water and up activities to engage 6 million Ag Secretary Bill Northey at acres, noted Iowa Agriculture Sec- Iowa science.

FarmWeekNow.com. retary Bill Northey, task force coUSGS will integrate NRCS chairman. Northey challenged data on conservation work researchers and others to help measure nutrient into surface water quality computer models management progress in “defendable ways.” that track how rivers receive and transport Nutrient credits ranked high as a potential nutrients from natural and human sources to tool among farmers and water treatment proreservoirs and estuaries. fessionals who participated in a Mississippi RivThe information will provide a more accuer dialogue coordinated by the U.S. Water rate picture of conservation’s contributions to Alliance, according to Ben Grumbles, alliance improved water quality. president. Receiving credit for nutrient loss The pilot phase starts in a 700-square-mile reductions may serve as a marketable incentive, watershed in the upper Mississippi River he noted.

Basin. The secretaries announced the next “This critically important tool may bring phase would scale up the effort to cover the more players voluntarily to the market,” Grum- basin while protecting individual farmers’ bles said. He added a tremendous need exists anonymity.

BY KAY SHIPMAN FarmWeek

Illinois

Continued from page 1 initiative and cover crop education.

Illinois soon joins 10 other states in the Mississippi River Basin with statewide nutrient management strategies. Marcia Willhite, chief of the Illinois Environmental Protection Agency (IEPA) water bureau, and University of Illinois scientist Mark David discussed work on Illinois’ nutrient loss reduction strategy. Task force co-chairman Ellen Gilinsky, senior policy adviser at U.S. EPA office of water, commended the state for basing its strategy on scientific data.

IEPA plans to release the strategy in mid-November for a 30-day comment period, Willhite told FarmWeek. The comments will be applied “as appropriate,” and IEPA will make the final strategy available to the public and forward it to U.S. EPA, she said.

Illinois also provides leadership on academic efforts to reduce hypoxia. George Czapar, associate dean and director of University of Illinois Extension and Outreach, informed the task force about collaboration among land grant universities within the Mississippi River Basin.

“The group will look hard at the (best management) practices being recommended” and whether “they will do the job” to manage nutrients and reduce losses, Czapar said.

Extension specialists are focusing on providing educational programs suited for specific groups and customizing material for the best results.

Studies on the best methods to provide information showed “farmers really like demonstrations,” he noted.

“We are interested in feedback on priority issues and key areas of research and education needs,” Czapar added.

Farmers return to fields, encounter shorter working days Page 3 • Monday, October 27, 2014 • FarmWeek

BY DANIEL GRANT FarmWeek

Rain-weary farmers welcome the return of sunnier days this week and last.

But many weren’t able to jump back into harvest at full throttle. Water-logged soils remain slow to dry out, while cold morning temperatures and heavy dews shorten work days for many harvesters.

David Uhlman, a Tazewell County farmer, last Wednesday waited until 2:30 p.m. to begin harvesting beans for the day despite crystal clear skies.

“The sunshine is very good, but because of the coolness and heavy dew, the grain’s not drying down quickly,” Uhlman told FarmWeek during a mobile phone interview from the cab of his combine. “It makes for very short working days.”

The temperature a week ago averaged 54.1 degrees in the state, about a half degree below normal. Patchy areas of frost were reported in the mornings, particularly in northern parts of the state.

The cool, damp conditions slowed the drying process of previously water-logged soils. Topsoil moisture last week was rated 67 percent adequate, 28 percent surplus, and just 5 percent short or very short.

“The biggest challenge lately is soil conditions really hampered harvest,” Uhlman said. “There are a

lot of areas in fields you have to go around because they’re too muddy. We’ll have to go back to those areas later.”

Overall, corn harvest in Illinois the first of last week was 43 percent complete, 20 points behind the average pace. Soybean harvest was just 37 percent complete, well behind the average pace of 66 percent, according to the National Agricultural Statistics Service Illinois field office.

Farmers in the southwest portion of the state harvested the most corn (76 percent) as of the first of last week, while farmers in the northeast harvested just 24 percent of their crop.

Bean harvest progress ranged from 65 percent

complete in northwest Illinois last week to just 18 percent in the west.

The slow pace of harvest in some cases delayed wheat planting (22 percent complete last week compared to 65 percent last year) and could impact fall nitrogen applications. But, on the bright side, it could ease the anticipated storage crunch from record crops, according to Darrel Good, University of Illinois Extension economist.

The consumption of feed grains, wheat and soybeans from Sept. 1 to Oct. 16 totaled about 3.2 billion bushels, or about 69.6 million bushels per day, according to Good.

“That pace of use continues, so that nearly 16 percent of the total fall crop supply has already been consumed,” he said. “That magnitude of consumption has substantially reduced the requirement for crop storage capacity, resulting in a modest strengthening of the corn and soybean basis in many areas.”

Basis levels are expected to weaken as the pace of harvest picks up followed by a typical post-harvest recovery in basis levels, he noted.

Total storage capacity as of Dec. 1, 2013, totaled about 23.44 billion bushels, Good reported.

“Our local elevator has been able to keep up very well and closed early only a couple days,” said Uhlman, who was about three-fourths finished with harvest as of last Wednesday.

Meteorologist: Winter conditions may not be as brutal this season Concerns about weather extremes in the months ahead may not fully materialize, according to Drew Lerner, president and senior ag meteorologist at World Weather Inc. Lerner predicts weather conditions could be milder this winter compared to last season in the Midwest.

Elsewhere, concerns about heat and dryness in Brazil could fade in the weeks ahead as Lerner believes a more active rainfall pattern will return to South America.

“It’s not going to be as cold as last winter,” Lerner said last week during Doane Advisory

Swap

Continued from page 1 Fortunately, Pottorff doesn’t foresee a major collapse in the farm economy due to the dramatic drop in crop prices.

“The farm sector, overall, is pretty healthy,” Pottorff said.

“It does not appear the ag sector is close to any type of collapse like we saw in the 1980s,” he continued. “Farmers aren’t carrying as much debt (compared to the 1980s) and farm equity is extremely high.”

The current debt-to-asset ratio on farms hovers around 11 percent compared to 20plus percent in the 1980s.

Meanwhile, the strong farmland market helped push farm equity to about $2.6 trillion.

Service’s outlook conference.

The National Weather Service also predicts milder temperatures this winter with drier conditions in the Illinois and Great Lakes region and a wetter pattern in the southern U.S. Both forecasts were based in part on the anticipated return of El Nino, warmer than normal sea surface temperatures in the equatorial Pacific. An El Nino typically supports a drier winter bias in the Midwest.

“El Nino is still neutral, but it’s expected to be with us this winter,” Lerner said.

He believes El Nino, if realized, could be weak, though.

The pattern also could clash with the arctic oscillation, which pushes cold air to the

earth’s surface in a negative phase.

Lerner predicts the arctic oscillation could remain in a

realized, also could help drought-parched areas of California and Texas as more active rainfall patterns were

‘El Nino is still neutral, but it’s expected to be with us this winter.’

— Drew Lerner President/senior ag meteorologist, World Weather Inc.

negative phase through the fall season and possibly into winter.

“There will be at least three or four bouts of very cold air (this fall and winter),” he said.

“They’ll be short-lived events.

It won’t dominate the season.”

The El Nino pattern, if

forecast there.

The milder winter forecast was a contrast to that of the Old Farmer’s Almanac, which made headlines in recent weeks with predictions of another arctic blast and abovenormal snowfall in much of the nation this winter.

Meanwhile, Lerner believes extremely hot and dry conditions in Brazil will ease in the weeks ahead. Temperatures there last week spiked above 100 degrees.

“The past few weeks, we’ve seen a significant amount of dryness across a big part of the (crop) production region (in Brazil),” Lerner said. “Fieldwork is not advancing as it should.”

That could change, though.

“There are better chances of rain occurring at the end of this month into November,” Lerner said. “There’s no reason to anticipate any further concerns of dryness.

The weather in Argentina likely will continue to be more favorable than in Brazil, however. — Daniel Grant

First commercial cellulosic ethanol plant opens in Kansas

The first commercial cellulosic ethanol plant owned by Abengoa celebrated a grand opening recently in Hugoton, Kan. Plant construction was completed in mid-August with production beginning at the end of September. The plant can produce up to 25 million gallons of ethanol annually from second generation biomass feedstock, meaning nonedible agricultural crop residue, such as stalks and leaves.

The state-of-the-art facility also features an electricity cogeneration component, allowing it to operate as a self-sufficient renewable energy producer. By utilizing residual biomass solids from the ethanol conversion process, the plant generates 21 megawatts of electricity — enough to power itself and provide excess clean renewable power to the local Stevens County community.

The Hugoton plant further marks the first commercial deployment of Abengoa’s proprietary enzymatic hydrolysis technology, which turns biomass into fermentable sugars that are then converted to ethanol.

At full capacity, the Hugoton facility will process 1,000 tons per day of biomass, most of which is harvested within a 50-mile radius, providing $17 million per year of extra income for local farmers. Of that biomass, more than 80 percent will come from irrigated corn stover with the remainder comprised of wheat straw, milo stubble and switchgrass.

With a biofuels presence on three continents, Abengoa is an international biotechnology company — one of the largest ethanol producers in the United States and Brazil, and the largest producer in Europe with a total of 867 million gallons of annual production capacity distributed among 15 commercial-scale plants in five countries.

Abengoa’s first commercial cellulosic ethanol plant in Hugoton, Kan., covers 400 acres. The plant can produce up to 25 million gallons of ethanol annually from corn stover, wheat straw, milo stubble and switchgrass. (Photo courtesy of Abengoa)

Farm bill program to help farmers affected by severe weather FarmWeek • Page 4 • Monday, October 27, 2014

BY DEANA STROISCH FarmWeek

U.S. Agriculture Secretary Tom Vilsack last week announced the start of a new nationwide program intended to help farmers affected by severe weather.

Starting in the spring, the Actual Production History (APH) Yield Exclusion will allow farmers growing certain crops to be eligible for a higher approved yield on their insurance policies if they are hit by a natural disaster, including drought.

Eligible spring crops for the 2015 crop year include: corn,

soybeans, wheat, cotton, grain sorghum, rice, barley, canola, sunflowers, peanuts and popcorn. The crops represent roughly 75 percent of all acres and liability in the crop insurance proTom Vilsack gram, Vilsack said.

Wheat crops, as of now, won’t be eligible for the program this year, said Doug Yoder, Illinois Farm Bureau’s senior director of affiliate and

risk management.

Under the program, yields can be excluded from farm actual production history when the county average yield for that crop year is at least 50 percent below the 10 previous consecutive county crop years’ average yield.

“It provides producers the ability to take out that year or two that just simply would skew the data to the point where they would not be in a position to adequately support and protect their crop investment,” Vilsack told reporters. “That’s really, at the end of the day, the pur-

pose of crop insurance and of the safety net that we have.”

Yoder said it appears up to six years of a farmer’s APH database can be replaced if their county — or adjacent county Doug Yoder —qualifies.

“Producers will need to analyze the added coverage benefit versus the added premium expense,” he said.

Implementation of the program, part of the 2014 farm

bill, wasn’t expected until 2016.

House Agriculture committee members questioned the delay during a July hearing.

“As a part of some extraordinary work on the part of RMA (Risk Management Agency) and FSA (Farm Services Agency), we find ourselves several months ahead of schedule in the implementation of a number of the safety net programs, which has freed up IT contractors and freed up personnel to focus on this issue,” Vilsack said.

Additional program details — including a list of eligible counties and years — will be released by RMA in December.

WTO rules U.S. labeling law IBA opposes supplemental, national beef checkoff “Today (the existing national checkoff) has A dollar obviously doesn’t go as far as it did violates trade obligations producer support in excess of 80 percent of 30 years ago due to inflation.

BY DANIEL GRANT FarmWeek

Trade officials in Canada and Mexico for some time argued mandatory country of origin labeling (COOL) laws imposed by the U.S. discriminate against hogs and pigs in those two, neighboring countries.

The World Trade Organization (WTO), as expected, agreed with that argument as it ruled against the U.S. last week.

The WTO ruled COOL statute violates U.S. international trade obligations. COOL requires meat to be labeled with the country where the animal was born, raised and slaughtered.

“NCBA has maintained that there is no regulatory fix to bring the COOL rule into ‘Canada and compliance with our WTO M ex i c o a r e t h e obligations or that will satisfy two largest marour top trading partners,” said Bob McCan, president of the kets for U.S. National Cattlemen’s Beef exports.’

Association. “We look forward to working with Congress to find a permanent — John Murphy solution to this issue.”

U.S. Chamber of Commerce The WTO in July 2012 ruled against a previous version of the COOL rule when it found the rule treats imported livestock less favorably and does not meet its objective to provide complete information to consumers on the origin of meat products.

The international trade body gave the U.S. until May 2013 to bring the rule into WTO compliance. The U.S. revised the rule, but failed to bring it into compliance.

A broad coalition of U.S. industries, including the U.S. Chamber of Commerce, National Association of Manufacturers, National Council of Farmer Cooperatives and the Corn Refiners Association, last week pressed Congress to immediately direct USDA to rescind elements of COOL that are noncompliant with trade obligations.

Otherwise, the WTO ruling authorizes Canada and Mexico to institute retaliatory tariffs on American commodities and products, including hogs, cattle, meat, furniture, jewelry, bread, pasta, potatoes, apples, chocolate and maple syrup.

“Canada and Mexico are the two largest markets for U.S. exports,” said John Murphy, senior vice president for international policy at the U.S. Chamber of Commerce.

“The disruption of these trade ties by WTO noncompliance and the resulting retaliation by our North American neighbors will have a devastating economic impact on U.S. industries, including food production, agriculture and manufacturing.”

The National Pork Producers Council (NPPC) also urged Congress and the Obama administration to fix the COOL law to avoid trade retaliation from Canada and Mexico.

“The United States economy can’t afford to have its products restricted, through tariffs, to its No. 1 and 2 exports markets,” said NPPC President Howard Hill. “Retaliatory tariffs on pork would be financially devastating to U.S. pork producers.”

The U.S. exports about one quarter of all hogs produced here.

But a proposed supplemental beef checkoff program, which would add another $1 per head assessment to cattle sales, wouldn’t be the best way to reform the national program, according to leaders of the Illinois Beef Association (IBA).

USDA recently proposed a supplemental beef checkoff program after a beef checkoff enhancement working group, established in 2011, was unable to launch reforms to the existing program.

The proposed supplemental program, via the Generic Commodity Research and Information Act of 1996, would raise the checkoff rate from $1 to $2 per head. The checkoff rate of $1 per head dates back to the introduction of the national beef checkoff nearly 30 years ago.

USDA promotes changes to the current program, established in the 1985 Beef Act, due in part to concerns about a lack of funds, and the decision making process of those funds and various programs.

“This is not a popular move with cattle producers,” Reid Blossom, IBA executive vice president, told the RFD Radio Network®. “This is not an order that will be supported by beef producers in Illinois.”

Beef producers are concerned the supplemental checkoff would marginalize their role in the program.

“Essentially, it would take authority, or take control away from producers in response to the national beef checkoff program,” Blossom said. “The new checkoff would start strictly by executive order from Washington.”

Blossom also questions USDA’s urgency to change the existing program at this time. The Cattlemen’s Beef Board oversees the current program.

cattlemen,” Blossom said.

“And a study conducted at Cornell University shows checkoff returns (from 200613) are over $11 for every $1 invested in the program.”

IBA in response to its opposition of USDA’s proposal recently contacted Ag Secretary Tom Vilsack and will conReid Blossom tinue reaching out to other farm groups for support. IBA leaders last week met with the Illinois Farm Bureau Board to discuss the situation.

Beef producers who want to weigh in on the proposal can visit the website {beefusa.org}.

Producers can sign a petition or submit a letter at that site.

IBA, despite its overall opposition to the proposed supplemental checkoff, agrees with USDA that beef checkoff investments haven’t kept up with inflation.

IBA members last summer voted to pursue reactivating a voluntary, 50-cent state checkoff.

The state checkoff originally was enacted in 1983, but gave way to the national $1 checkoff just a few years later.

“Inflation has given that original $1 only 44 cents in purchasing power today,” Alan Adams, IBA president and beef producer from Sandwich, previously told FarmWeek. “We don’t want to lose ground with Alan Adams consumers who love beef.”

IBA must gather 700 required signatures to trigger a statewide referendum of cattle producers to reinstate the voluntary state checkoff.

— Daniel Grant

Wade Mittelstadt will become GROWMARK Inc. vice president of financial and risk management effective Dec. 1. He succeeds Mike Woods, GROWMARK vice president and CFO. Mittelstadt graduated from Wartburg College in Waverly, Iowa, with a bachelor’s degree in accounting/finance, and earned a Certified Public Accountant certification. He joined the GROWMARK System as controller/CFO for AgVantage FS in 1994.

Named GROWMARK Western Region business manager in 2007, Mittelstadt moved into the treasury division in 2008, ultimately becoming assistant treasurer. In 2010, he was named manager of AgVantage FS retail division. He is a graduate of the GROWMARK LEAD program and the Senior Management Development Program.

In his new role, Mittlestadt will be responsible for treasury activities, business analysis,

budgeting and planning as well as insurance and safety/environmental matters. He will chair the Corporate Risk Management Committee and manage FS Financial Services Corporation, FS Risk Management Services, FS Preferred Insurance Company, and assist with NewTech Engineering and Environmental, LLC. In the Plant Food Division, Dan Engel has been promoted to senior market manager of phosphates and potash, replacing Mike May, who will retire in January. He most recently held the position of market manager of anhydrous ammonia.

Scott Hornblower will serve as associate market manager of anhydrous ammonia. Hornblower previously served as plant food procurement and risk analyst in the GROWMARK Plant Food Division. Eric Rehtmeyer has been promoted to market manager of urea.

GROWMARK names VP, plant food managers

FARM Illinois committee reviews efforts, surfaces ideas

Page 5 • Monday, October 27, 2014 • FarmWeek

BY KAY SHIPMAN FarmWeek

Reviewing existing programs, while surfacing remaining needs and potential improvements proved a starting point last week for the Production and Supply Chain Committee of FARM Illinois, which met in Bloomington.

FARM Illinois grew from the roots of the Vision for Illinois Agriculture. It is a partnership of food, agriculture and agribusiness interests in the state.

Committee members received an overview of proKaskaskia College agriculture faculty, left to right, Jenn Heinzmann, horticulture program coordinator and assistant professor of horticulture; Aaron Heinzmann, agriculture program coordinator and assistant agriculture professor; and Bill Waggoner, assistant agriculture professor, switch signs signifying the college ag program’s move to the former Illinois Animal Disease Laboratory. (Photo by Courtney Gerstenecker)

Branching out: College ag program growing in a former state lab

BY KAY SHIPMAN FarmWeek

Laboratory experiments again flourish at a former state animal laboratory, giving college agriculture students new opportunities.

Agriculture professors and students at Kaskaskia College (KC) can conduct lab studies they couldn’t before Aug. 18 when faculty and students took up residence in the revamped Kaskaskia College Agriculture Education Center.

The college plans to dedicate the center Nov. 15 with an open house/ceremony from 10 a.m. to noon.

“The students love it. It’s very spacious and they feel right at home,” said Aaron Heinzmann, college ag program coordinator and assistant agriculture professor.

Their new home stopped functioning as the state Centralia Animal Disease Laboratory when it closed in December 2012.

The shuttered state lab offered more lecture and laboratories and learning opportunities, according to Heinzmann.

Previously, agriculture faculty and students shared two combination lecture-lab rooms. The cramped space didn’t allow lab experiments to extend beyond a class period or be available for extended observation. Any lab exercises had to be condensed to fit the schedule. In the new facility, science continues beyond a single class/lab.

“Bill (Waggoner) is doing a rooting trial on different crops.

He can get it out and keep it in the view of students,” Heinzmann said.

The educational opportunities extend beyond current KC students. The college plans to host an FFA agronomy competition. Heinzmann pointed out the new ag facility “makes a nice recruitment” tool with future students.

Adult learning opportunities include an upcoming Illinois Farm Bureau ALOT (Agricultural Leaders of Tomorrow) program and a Farm Bureau farm bill program. University of Illinois Extension also will offer programs at the new center.

As for the new center leading to more expansion, Heinzmann said the administration and faculty are assessing the situation.

“We’re formulating these things,” he said. “We just went through a big remodeling of the program, and we’re kind of waiting.”

Heinzmann and the college ag program aren’t waiting to find more partners interested in learning opportunities at the new center. He encouraged interested southern Illinois groups to contact him.

grams and services offered by the Illinois Department of Agriculture and the Illinois Department of Commerce and Economic Opportunity (DCEO).

Part of the state’s challenge remains its agricultural scope, according to William Stanhouse, DCEO regional manager of economic opportunity. “I don’t believe people in the state understand the breadth and scope of (Illinois) agriculture,” Stanhouse said.

Stanhouse’s comment bridged into a discussion

about states’ reputations and connections to food, such as Wisconsin and cheese. Illinois lacks such a food/agriculture “brand,” committee members agreed.

“Our diversity may be a reason we don’t have a brand,” said Illinois Farm Bureau President Richard Guebert Jr., the committee co-chairman.

Committee members discussed their interest in finding effective programs that may be replicated, and potential needs to be addressed and in developing recommendations.

IDOA offers free online hay directory

hay,” said Jerry Millburg, market news reporter.

The Illinois Department of Agriculture “Supplies of wheat straw also can be found on (IDOA) offers a service for sellers and buyers the hay directory, and even supplies of hay and straw. of organic hay and straw.”

Since 2007, IDOA’s Market FarmWeekNow.com Farmers who have hay or News Service has offered an online Hay Directory. On the Visit FarmWeekNow.com to view straw to sell, for example, should interactive website, buyers and the free hay directory from the click on the “List an Ad” button.

Illinois Department of Agriculture. The site then leads them through sellers of hay and straw may the process of creating an indipost ads and find supplies. Visit vidualized ad that may be revised {agr.state.il.us} and look under at any time.

“Consumers” at the top of the homepage.

Buyers may respond directly to a posted ad “The site contains leads to help producers or create a notice of their buying intentions. find supplies of alfalfa, alfalfa-mixed and grass

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FarmWeek • Page 6 • Monday, October 27, 2014 Bernie Walsh, Durand, Winnebago County: We were able to start harvesting again last weekend (Oct. 18-19) after the combines sat still for almost five days.

Moisture on some of the corn is coming down to the low 20s, but some of the longer season varieties are still in the upper 20s. Last Monday (Oct. 20), the beans finally dried down enough to get going on them.

There were clouds of dust in almost all of the soybean fields until Thursday when it rained again. We only received between .1 and .2 of an inch of rain. Yields are still running above average but variable. Have a safe week.

Pete Tekampe, Grayslake, Lake County: It was another cool, damp week in Lake County.

Combines were rolling in corn Monday (Oct. 20), and we turned to beans Wednesday. Beans were about 15 percent on Wednesday, and Thursday was the best day to cut beans this year. Beans and stalks have both dried down to cut easily. The ground is very soft yet, and we have to go around spots. Corn is about 5 percent done, and beans are about 30 percent complete in Lake County. I haven’t heard any yields on corn, but the moisture is in the low 20s. Beans are a little above average.

Remember, be safe.

Leroy Getz, Savanna, Carroll County: Corn harvest moved into full speed all week. Moisture is still a problem in some fields, staying in the high 20 percent range, while others are under 20 percent.

Stalk quality is good with minimum field loss. We did some stalk baling and plan to do more.

Ryan Frieders, Waterman, DeKalb County: Harvest resumed earlier in the week. Field conditions were muddy, and crop harvest moisture increased from rains the previous week. Corn harvest is nearing 50 percent complete. Soybean harvest also resumed late in the week as ground conditions improved.

Soybean harvest is 75 percent complete. Fall fieldwork and fertilizer applications are yet to be done.

Larry Hummel, Dixon, Lee County: Last week’s weather was perfect for corn harvest, but not quite so good for soybeans.

Only three days were dry enough for soybeans, but it was enough to get us finished. I was pleasantly surprised by the yield in our last field. The beans were barely over knee high and expectations were low, but it pulled off a 54-bushel average.

Corn harvest is well under way with average yields and moistures running between 20 and 27 percent.

Ken Reinhardt, Seaton, Mercer County: It was a nice, rainfree harvest week. Soybeans are rapidly disappearing with most finished or close to done. Some NH3 has started to go on bean stubble.

I finally had one corn hybrid dry enough for air drying, but the rest is 20 percent and above.

Ron Moore, Roseville, Warren County: We are still trying to finish soybean harvest; it has been a challenge. Heavy dew and light showers have not let the beans dry down. Moisture is running at 14 to 15 percent. Harvest is about 40 percent complete in this area. Some tillage is occuring, and I have seen some dry fertilizer being applied. The weather forecast is still favorable to complete harvest by the middle of November.

Tim Green, Wyoming, Stark County: Harvest is in full swing. The pace on bean harvest has really picked up, and is probably approaching 75 percent complete in the Stark County area. The nice weather seems to help things a lot. Yields are probably just a little above average.

There have been a few really good yields, but there are a few disappointing yields, too. Corn harvest has slowed. We are probably just barely at 50 percent. Yields have been holding up. A lot of lodged corn has definitely slowed down harvest. The story at the coffee shop is how far one’s corn is goosenecked compared to the others. Be safe.

Jacob Streitmatter, Princeville, Peoria County: Wow! Where did the weeks go? Finally got some decent weather to cut beans. With all the rain and cloudy weather, soybean moisture has been around 15 percent. Corn harvest has almost come to a screeching halt while the soybeans are ready. Yields are good.

Mark Kerber, Chatsworth, Livingston County: What a harvest week it was! Everyone around here started with corn and switched over to soybeans after a couple of days of drying. The fields are even firming after starting out very soft. A few more days and the beans will be done, leaving many acres of corn to do in this area. I’m hearing some alltime high yields for both corn and beans.

Fertilizer and lime applications are picking up with the drier weather. Markets have seemed to bottom, although my broker says watch out for much more downside.

Ron Haase, Gilman, Iroquois County: With one week left in October, we have 15 percent of our crops out. We started back in corn Saturday (Oct. 18), and we switched to soybeans Tuesday.

Earlier in the week, the elevators were filling up with wet corn before their normal closing time. We received .05 of an inch of rain overnight Thursday and that will slow up our soybean harvest Friday. Yesterday, moisture in soybeans ran from 13.7 percent when the day began, down to 12.9 percent at the end of the day. Moisture content in our corn was running from 22 to 24 percent. Local prices for Oct. 23 closed at $3.20 for nearby corn and $9.68 for nearby soybeans.

Brian Schaumburg, Chenoa, McLean County: We finally had a good week to harvest soybeans. Moistures were 13 to 15 percent with yields running from 65 to 80 bushels per acre. Many farmers are getting down to the short rows as corn is 75 percent complete and soybeans should be more than 60 percent. Markets are still in a counter-seasonal rally. Corn, $3.29, Jan., $3.47, fall ’15, $3.74; soybeans, $9.71, Jan., $9.83, fall ’15, $9.58; wheat, $4.93.

Steve Ayers, Champaign, Champaign County: Earlier in the week, everyone was combining corn and then switched to beans midweek. Still slow going on some days, as stems stay tough if the sun isn’t brightly shining. USDA has our crop reporting district as 39 percent corn harvested and 38 percent soybeans harvested. Let’s be careful out there!

Wilfred Dittmer, Quincy, Adams County: A lot of crop moved from the fields last week with only some foggy mornings to slow the drying process. No rainfall at all for the week. Corn harvest is probably at, or near, the halfway mark with some plowing their way through with tracked machines or just backing out and moving over. Soybean fields seem to be more of a problem as the temps have not been hot enough to do much drying, but farmers are running anyway. Prices could sure use some improvement. There is still a lot of operator time necessary, so be careful and pay respect to this heavy equipment.

Carrie Winkelmann, Tallula, Menard County: It has been great harvest weather all week, although as I write this I am sitting in a rain/fog that is going to keep us out for at least the early morning. We have been steadily combining beans all week with only a small stop for a combine breakdown. Lots of beans have been taken out in our area this week. We also started planting some cereal rye for cover crop this week, and I have seen some tillage work being done in the area as well. Saw Leroy Getz’ beautiful picture last week. Lovely!!

Tom Ritter, Blue Mound, Macon County: It was a great week of work. Corn and soybeans were both harvested at an incredible rate. We are well over 60 percent complete on corn and soybeans. Yields on corn and soybeans have been very pleasing.

Corn is probably a higher percentage above average than the soybeans. The lower, flatter fields tend to suffer a little more with the saturation from the rainfall we had in the summer and fall. Our local coop has done a tremendous job of handling the grain. Even though the long periods of rain slowed us up, they were able to relocate grain to other storage facilities, and have had no down days and very few days they closed early because of filling up. Hopefully, having a good forecast in the near future, we will see a lot trying to finish up by the first of November or at least before Nov. 10.

Todd Easton, Charleston, Coles County: It has been a very busy week for farmers across Coles County, who are finally making progress in the bean fields.

Finding dry beans and sunny conditions needed for ideal cutting has been difficult, but nonetheless, soybean harvest is approaching half done in the area. Corn harvest has slowed for now because it could be mudded out when the beans couldn’t. More than half the fields are harvested. Several have big ruts and standing water showing up — unfortunately, a sign of a wet fall.

Jimmy Ayers, New City, Sangamon County: Back to farming in the area. We actually didn’t have any rain last week. A few combines started rolling Monday (Oct. 20), and

by Thursday, all were running. The corn is still 16 to 20 percent moisture. We cut beans when we could since we’ve had some heavy dew mornings that made for late starts.

Guys are anticipating another harvest on their hay fields. Markets are starting to respond to possibly a less-than-expected bumper crop.

There are still a lot of good yields in the area.

Large ears on small stalks don’t stand very well. Getting it into the bin could be a problem.

Doug Uphoff, Shelbyville, Shelby County: What a difference a week makes! Corn and bean harvest is back in full swing, although there were some rut fests going on in the field. You had to choose your spots or you were doing field drainage with your combine tires. A lot of money has been spent around here on tracks, rice tires and rear-wheel assist. We chose to be patient, although we did make a few ruts in our bean fields. By the time you read this, we should be done with beans and more than half done with corn. It looks like most beans will have been taken out around here and the northwest part of the county. Some fall field tillage has started here, too. Have a good week, and please be safe out there.

David Schaal, St. Peter, Fayette County: With improved weather, soybean harvest has exploded. Farmers are taking beans out as fast as possible. We were worried about wet field conditions, but fields have settled out around here. Bean yields are still good. Seems like the early-planted, early-maturity beans have been better than the later-planted beans. There is still a lot of harvest to happen around here.

Everyone needs to stay calm and safe.

Jeff Guilander, Jerseyville, Jersey County: Harvest is slowly getting back on track. Still having to work around the edges with mud and crops retaining moisture (corn gained two points). The focus for now seems to be getting some soybeans out before the days get too short. Corn yields remain good, but stalks are still a concern. Bean yields vary greatly, but appear to be average.

It is still going to take a lot of dry time before some of this crop can be harvested. Here’s hoping for some normal weather for a while.

Dan Meinhart, Montrose, Jasper County: Harvest is in full swing, especially for beans. There has been no rain since last report.

The corn is still carrying quite a bit of moisture. Good yields are still being reported for corn and beans.

Fertilizer and lime application is taking place. Some wheat is going into the ground. Hope the dry weather continues.

Page 7 • Monday, October 27, 2014 • FarmWeek Dave Hankammer, Millstadt, St. Clair County: Harvest got under way as soon as the sunshine returned last week. Most farmers were focusing on combining soybeans as the crop dried out. Ground conditions are muddy, and deep tracks and ruts are being left as the equipment passes through the fields. The corn crop continues to stand as the stalk quality remains intact. Corn piles are being created at the local grain elevator and river terminal to make room for the remaining crop to be harvested. Several fields of wheat have been planted as soil conditions improved through the week. Local grain bids are corn, $3.03; soybeans, $9.85; wheat, $4.10. Have a safe week.

Dean Shields, Murphysboro, Jackson County: Had a good week. Combined a lot of soybeans and finished up the corn, mostly in what we call hill ground.

The yields were lower than expected. The bean plants looked good, but only had one or two beans in a pod, and they were small. The August dry weather really hurt yields. However, beans on the good ground are turning out good. I hope this week is like last week weather-wise. The wheat that was planted a few weeks ago has now germinated. Have a safe harvest.

Rick Corners, Centralia, Jefferson County: It finally quit raining and harvest is in full swing. I can’t remember a year when fullfledged bean harvest got started so late. Those that said sudden death syndrome wasn’t going to hurt bean yields were absolutely wrong.

Guess everyone will try to get some of that valuable wheat sown before the next rain. Man, the trees sure are pretty this year.

Kevin Raber, Browns, Wabash County: The weather and soil conditions have improved during the past week. The ground is still wet, but harvest has been moving along. I finished corn. Yields were good, but mine were far from record setting. Bean yields are good, but a hail storm that went through a couple of weeks ago took several bushels off the yields. Wheat sowing has been slow. I was thinking about trying to sow some over the weekend.

Randy Anderson, Galatia, Saline County: I feel we are making progress now. Had 10 days of good running. Did corn for two days, then switched to beans and now back to corn. I’ll go back to some later beans this week.

Yields on the beans are good, but on tile ground, they are around 3 to 5 bushels better. The wet summer was hard on them. As of now, wheat ground is a little too wet. Corn moisture is running around 19 to 22 percent, so the dryer is still running.

Ken Taake, Ullin, Pulaski County: We had an open week here in deep southern Illinois, except for an unexpected shower Monday morning (Oct. 20). We’ve had a good week for fieldwork.

Stalk quality has greatly deteriorated with all of the weather we have had the last couple of weeks. Corn harvest is winding down. We are down to about 160 acres of corn to go, but we still have a long way to go on soybeans.

Please have a safe week.

Outlook conference questions surround ‘Big Data’

BY DEANA STROISCH FarmWeek

The agriculture industry still struggles to define, use and manage the massive amounts of data generated each day, according to data experts.

And many questions remain: What can be done with the data? What’s its value? Who owns it? What rights do farmers have?

Speakers at the 2014 Doane Outlook Conference tackled the issue last week, including Matt Powell, cofounder of AgWorld.

Powell said the issue of data ownership has polarized sections of the agriculture c o m m u n i t y. H e s a i d i t exposed a “weak understanding” of the issue among farmers.

Agriculture has seen a lot of growth in productivity over the years through inventions of pesticides, synthetic fertilizers and biotechnology, he said.

“A lot of people are looking to data ... as the next g reat hope of improving farm yields and profitability,” he said. “The big point here is we’re trying to get this data for a reason. The reason that sharing is important is that the only way to get a complete data set, or as much data as possible, is to collaborate. No one person in the food chain is going to collect all the data you need to make g reat far ming decisions in the next 20 years.”

Powell says people already share data voluntarily that’s more private than farm data.

He pointed to a statistic that

Listen.

showed half the people on the Inter net in the United States share their birthdate with others.

Reports received Friday morning. Expanded crop and weather information available at FarmWeekNow.com.

wh eth er p eo p l e wi l l s h a re information, but how much motivation people need to share.

‘A lot of people are looking to data ... as the next great hope of improving farm yields and profitablity.’

— Matt Powell Co-founder, AgWorld

“The fascinating thing about that is your birthdate is often one of the key things t h a t ’s u s e d b y s e r v i c e providers — power company or water company — to validate your identity.”

He said the question isn’t

Powel l a l s o o f f ered th e following advice: • Choose trustworthy software vendors.

• B e m i n d f u l : I f yo u ’r e getting something for free or heavily subsidized, your data is probably being used for

Click.

something. Examples: Facebook and Gmail.

• Make sure software that allows sharing has clearly defined and understandable sharing settings so you can have control.

• Know the software vendor’s policy and make sure it’s acceptable. Ask the vendor for details about their backup, security and failsafe policies.

“Every time your data is transmitted around the cloud, ever y hop that it takes, it could potentially be copied,” Powell said. “Just make sure you know where your data is, you know what it’s worth to you, how much you care about sharing it, and you are getting something in retur n if you are sharing it.”

Read.

The most people, on the ground, in Illinois, covering Illinois agriculture for you.

Get to know John Hawkins FarmWeekNow.com editor

John has four decades of experience covering Illinois agriculture. He uses his industry relationships to help him grow and share advancements with readers and listeners every day. John uses social media to stay up-to-date with key players in the ag industry in the United States and around the world.

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Enlist Duo faces court challenge

FarmWeek • Page 8 • Monday, October 27, 2014

FIELD MOMS MAKE FINAL FARM VISIT

A newly-approved weed control herbicide already faces a court challenge.

The National Resources Defense Council (NRDC) wants a federal appeals court to reject the Environmental Protection Agency’s (EPA) decision to register Enlist Duo herbicide for use with Enlist corn and soybeans.

In a press release, the organization claims the product will harm monarch butterflies.

“The weed killer is more bad news for monarch butterflies, whose migrating population has dropped by more than 90 percent in recent years because glyphosate has wiped out the milkweed they need to survive,” said Sylvia Fallon, a senior scientist at NRDC. “EPA completely ignored the impact on monarchs when it granted this new approval, and seriously underestimated the toxicity for people.”

Dow AgroSciences’ Enlist Duo contains glyphosate and the choline salt of 2,4-D. According to EPA, choline salt of 2,4-D is less prone to drift and volatilize than its other forms, but wasn’t previously registered for weed control uses.

The review process took years.

Dow AgroSciences expects to announce plans to commercially launch the product in 2015 in the coming weeks.

“Dow AgroSciences is confident that EPA thoroughly reviewed this long-awaited new agricultural technology before registering it for use by American farmers,” according to a company statement. “We support EPA’s registration decision and are confident that the court will deny this petition.”

Above, Field Mom Sharon Blau of Des Plaines, in orange coat, listens intently with fellow Field Mom Veronica Ortega of Berwyn as Burt Hueber, right, explains cattle ultrasound equipment. Mike Martz, standing next to Hueber and owner of Martz Family Farm near Maple Park, hosted the final 2014 Illinois Farm Families Field Mom tour of the year. Left, Lynn Martz, left, talks about crop harvest with visiting Field Moms Genevieve O’Keefe of Grayslake and Dina Barron of Oak Park. The Martz’ along with farmers Ray and Carol Larson, Norm and Barb Larson, and Justin and Jamie Martz discussed GMOs, antibiotics, animal care, hormones and harvest technology with the group of 26 moms and guests.

(Photos by Ken Kashian)

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Former IFB intern awarded first Orion Samuelson Scholarship

Liz Koehler, former Illinois Farm Bureau News & Communications intern and University of Illinois senior, has been awarded the first Orion Samuelson Scholarship.

CME Group and the National Association of Farm Broadcasting (NAFB) sponsor the $5,000 scholarship. The scholarship honors long-time farm broadcaster Orion Samuelson of WGN Radio.

Koehler grew up on her family’s grain farm near Sparland (Marshall County) where she developed a love of agriculture.

As an active 4-H and FFA member, Liz learned the importance of communication to the agriculture industry.

She is focusing her education on broadcast journalism, minoring in environmental economics and law. After graduation, she hopes to combine these interests and report on policy news.

The scholarship to

Koehler represents the 100th scholarship presented to a college student seeking a career in agricultural communications since the NAFB Foundation began awarding scholarships in 1977.

NAFB focuses on enhancing Liz Koehler the value of agriculture, food production and rural lifestyle through various forms of broadcasting, while assisting and benefiting industry partners, students, future broadcasters and the general broadcast audience.

CME Group exchanges offer the widest range of global benchmark products across all major asset classes, including futures and options based on interest rates, equity indexes, foreign exchange, energy, agricultural commodities, metals, weather and real estate.

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ASS-MORGAN — Farm Bureau will cosponsor an informational pipeline meeting at 6 p.m. Nov. 3 at Praireland FS in Jacksonville. Laura Harmon, Illinois Farm Bureau Office of the General Counsel, and Rae Payne, IFB senior director of business and regulatory affairs, will speak. Call the Farm

Bureau office at 245-6833 for reservations.

OOK — Farm Bureau will host a will and trust seminar from 6:30 to 9 p.m.

Nov. 11 at the Farm Bureau office. The seminar will be free for members and $10 for nonmembers. Call the Farm Bureau office at 354-3276 to register.

Innovative programs conducted by Farm Bureau members in Effingham and Kane counties will be recognized by the American Farm Bureau Federation (AFBF) during the 96th Annual Convention.

Nationally, 24 county Farm Bureaus will receive County Activities of Excellence (CAE) awards in San Diego Jan 11-14.

Effingham County Farm Bureau will display its Agriculture and Commerce – Partnering for Progress project at the AFBF convention.

The project, named an Education and Ag Promotion award winner, provided urban business people an opportunity to meet farmers and tour local farms,

resulting in a better understanding of the agriculture industry and rural community.

Kane County members won a Public Relations and Information award for the Million Meal Challenge. The centennial year project provided more than 1 million meals to local food pantries, building goodwill for farmers and agriculture in the community.

“We’re pleased to recognize the efforts of grassroots Farm Bureau members who join at the county level,” said AFBF President Bob Stallman. “They are the heart and soul of Farm Bureau and continue to find innovative ways to reach out in their communities with information about today’s food and farming.”

The Illinois Council on Best Management Practices (CBMP) will host a free cover crop field day starting at 1 p.m. Nov. 4 at Sugar Grove Nature Center in McLean.

Visitors will see a mixture of oats, oilseed radish and turnips that was aerial seeded on 20 acres of standing soybeans in August. Cover crop specialists Pete Fandel and Mike Plumer will discuss cover crop uses and management, and their impact

on soil health, water quality and farm productivity. Bryon Kirwan, state economist with the Natural Resources Conservation Service, will talk about cover crop economic factors.

The event is sponsored by CBMP, the National Fish and Wildlife Foundation, and the Zea Mays Foundation.

For more information, contact Caroline Wade of CBMP at 309-231-7440 or cwade@illi noiscbmp.org.

Farm Bureau members may still apply for the Agricultural Leaders of Tomorrow (ALOT) program. The application deadline is Nov. 16.

Participants receive training and information about communication, the political process, agricultural economics, global issues, and Illinois Farm Bureau and the family of

companies. Topics are designed for men and women of all ages.

Weekly sessions will be held over nine weeks from Jan. 20 through March 19 in southern Illinois.

For more information or to apply, call IFB training and development at 309-557-2207 or email training@ilfb.org.

Tuesday: • FarmWeek: “The Early Word” • Jim Angel, Illinois State Water Survey • Kevin Semlow, Illinois Farm Bureau director of state legislation: constitutional amendments • Doug Yoder, IFB senior director of affiliate and risk management: big data survey results Wednesday: • Tim Schweizer, Illinois Department of Natural Resources • David Yepsen, Paul Simon

Public Policy Institute: election preview and predictions Thursday: • Stan Born, Illinois Soybean Association: legislative issues • Beth Marsh, Field Mom from IAA; and Gerald Thompson, farmer: Field Mom tour • Matt O’Mara, Biotechnology Industry Organization: consumer perceptions on biotech Friday: • Sara Wyant, Agri-Pulse • Richard Osborn, St. Louis Science Center • Zina Murray, Logan Square Kitchen: Local and Regional Food Summit

Effingham, Kane Farm Bureaus win AFBF excellence awards

Central Illinois cover crop field day Nov. 4

Apply for 2015 ALOT

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ANCOCK — Members are invited to a get out the vote/member appreciation event Nov. 4 at the Farm Bureau office. Hot apple cider, coffee and cookies will be served during office hours.

• Farm Bureau will host a legislative breakfast for members with Sen. John Sullivan, DRushville, at 7:30 a.m. Nov. 7 at the Farm Bureau office. Sen. Sullivan will provide a legislative update and discuss current agriculture topics. Call the Farm Bureau office at 357-3141 for reservations by Nov. 5.

ANKAKEE — Farm Bureau will co-sponsor informational forums at 5:30 p.m. Monday, public safety 1 percent sales tax increase referendum; and 6:45 p.m. Monday, education funding 1 percent sales tax increase referendum.

Meetings will take place at the Kankakee Public Library. Call the Farm Bureau office at 9327471 for more information.

IVINGSTON — Farm Bureau will co-sponsor a collection to purchase phone cards and items for military personnel to be delivered during the holidays. Checks should be made to “Phone Cards for Troops” and may be dropped off at the Farm Bureau office

by Saturday.

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Page 9 • Monday, October 27, 2014 • FarmWeek

ONROE — New plat books are available at the Farm Bureau office. Cost is $15 for members.

ERRY — The Equine Committee will sponsor an equine/livestock transportation seminar at 6 p.m. Thursday at W Restaurant & Lounge in Du Quoin. Brenda Matherly, IFB assistant director of local government, will speak. Call the Farm Bureau office at 3140958 for reservations.

• Farm Bureau’s annual meeting will be at 6 p.m. Nov. 10 at St. Paul United Church of Christ in Pinckneyville. IFB President Richard Guebert Jr. will speak. Call the Farm Bureau office at 314-0958 for reservations by Nov. 3.

IKE — Farm Bureau will co-sponsor an informational pipeline meeting at 6 p.m. Nov. 3 at Praireland FS in Jacksonville. Laura Harmon, IFB Office of the General Counsel, and Rae Payne, IFB senior director of business and regulatory affairs, will speak.

Call the Cass-Morgan Farm Bureau office at 217-245-6833 for reservations.

ANGAMON — The Women’s Committee will host a luncheon at 9:30 a.m.

Nov. 6 at the Farm Bureau office. Registration and refresh-

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ments will be at 9:30 a.m.; Vonda Van Hooser-Laffey, licensed massage therapist, will speak at 10 a.m. and lunch will follow.

Donations of hats, coats, gloves, food or money will be collected. Cost is $20 for members and $25 for nonmembers.

Call the Farm Bureau office at 753-5200 for reservations by Saturday.

COTT — Farm Bureau will co-sponsor an informational pipeline meeting at 6 p.m. Nov. 3 at Praireland FS in Jacksonville. Laura Harmon, IFB Office of the General Counsel, and Rae Payne, IFB senior director of business and regulatory affairs, will speak.

Call the Cass-Morgan Farm Bureau office at 217-245-6833 for reservations.

INNEBAGOBOONE — Young Leaders will co-sponsor Farmers Feed the Hungry to raise money for the Belvidere-Boone County Food Pantry and the Rock River Valley Food Pantry.

Farmers may donate corn and or soybeans at participating grain elevators. Donations of nonperishable goods or money may be dropped off at the Farm Bureau office. Deadline for all donations is Nov. 30. Call the Farm Bureau office at 962-0653 for more information.

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World crude oil: A bear market, hear it roar FarmWeek • Page 10 • Monday, October 27, 2014

The oil market has been undergoing a massive global supply/demand shift since about mid-June. The bearish trend has taken crude oil from a 2014 high of $107.79 (June 16) to its most recent low of $83.59 (Oct. 10) with Jackie McKinnis no assurance that we have put a bottom in the oil market.

During that $24 NYMEX light

BY JACKIE MCKINNIS

sweet crude oil (WTI) contract move, gasoline has fallen 93 cents and diesel fuel 57 cents.

This trend change has been fundamentally driven. The world is producing too much oil in the face of weaker demand. But the fundamentals have been influenced by economic factors in Europe, China and a war-torn Middle East.

The European Zone has not seen the same recovery as the U.S. has from the recession.

We embarked upon different paths in 2008 with the European Union favoring austerity,

VOTING OPEN FOR FACES OF FARMING

while the U.S. dropped interest rates and printed money. Civil wars in oil-producing countries in the Middle East and West Africa normally induce fears of supply disruption, but this time around, global oil supply has increased. Production growth from North America greatly lessens our dependency upon barrels from the Organization of the Petroleum Exporting Countries (OPEC).

U.S. crude production is up 60 percent since 2008. Ten years ago, we imported 60 percent of our crude oil, but by 2015 we expect to import only about 20 percent of our crude oil needs.

The surging North American production, and the role of the U.S. as a net exporter of gasoline, distillate fuel and propane has caused a rerouting of imports and exports, and new trading partners all over the

globe. In fact, the U.S. has become the largest producer of both oil and natural gas, beating out Saudi Arabia and Russia.

The shuffle for world share has been under way for some time now. At present, the U.S. is prohibited from exporting crude oil without a license, but globally, crude barrels are being redistributed. Saudi Arabia, typically OPEC’s swing producer, is thus far unwilling to unilaterally cut production, and is protecting its market share.

The supply glut is not in North America; it is in Europe and the Middle East. Price is the pendulum that swings to help keep supply and demand in balance, and lower prices will eventually encourage production cuts as well as improve oil demand.

Jackie McKinnis serves as GROWMARK’s senior energy analyst. Her email address is jmc kinnis@growmark.com.

Cattle on feed continues downtrend; feedlot placements rise

BY DANIEL GRANT

U.S. cattle inventory numbers showed little response to lower feed prices in recent months based on the latest USDA report.

USDA, in its October cattle on feed report, projected the number of cattle and calves on feed as of Oct. 1 totaled 10.058 million head, down 1 percent from last year.

It marks the 26th consecutive month of lower cattle on feed numbers compared to the previous year, according to the CME Group’s Daily Livestock Report.

“A lot of people were wondering what type of feedlot activity would show up (in the report) now that corn prices and general feed prices have fallen sharply,” Rich Nelson, director of research at Allendale Inc. told FarmWeek.

Placements in feedlots during September increased 1 percent from a year ago to 2.01 million head.

The boost in placements ended FarmWeek

It’s time to vote! If you want to see Thomas Titus of Elkhart become a U.S. Farmers & Ranchers Alliance Face of Farming and Ranching, cast your votes through Nov. 2. Visit {facebook.com/USFarmersandRanchers} or {fooddialogues.com/Faces} to watch a video of Titus and vote. Titus, 31, joins seven other finalists. Winners will be named Nov. 12. Titus raises grain, beef, hogs, sheep and goats with his father-in-law, Dave Conrady, and brother-in-law, Brett, in Logan County. Titus served as an Illinois Pork Producers Association ambassador, and currently participates in the National Pork Board’s Real Pig Farming social media campaign and serves as a Pork Checkoff Operation Main Street speaker. (Photo by Ken Kashian)

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) $37.50-$73.24 $49.35 40 lbs. (cash) $71.00-$87.00 $81.75 Receipts

This Week 82,638 *Eastern Corn Belt prices picked up at seller’s farm

Last Week 77,681

Eastern Corn Belt direct hogs (plant delivered) Carcass Live

(Prices $ per hundredweight) This week Prev. week Change NA $98.21 NA NA $72.68 NA

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

Steers Heifers

This week $169.95 $170.00

Prev. week $164.19 $164.23

Change $5.76 $5.77

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 $239.55 $243.32 -$3.77

Lamb prices Negotiated, wooled and shorn, 100-165 lbs. for 148-172 $/cwt. (wtd. ave. 162.33); package over 170 lbs. for $159/cwt.

Export inspections (Million bushels) Week ending Soybeans Wheat Corn 10/16/2014 73.2 17.7 28.3 10/9/2014 53.2 16.8 37.0 Last year 62.0 21.4 32.3 Season total 218.4 386.5 224.1 Previous season total 176.4 574.8 148.4 USDA projected total 1700 900 1750 Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.

a six-month trend of lower placements from the previous year. But it wasn’t as high as pre-report estimates, which projected a 1.9 percent increase in placements.

“This is not a big trend changer,” Nelson said. “These numbers will not be considered burdensome.”

The cattle slaughter pace could be about 4 to 6 percent lower this month compared to last year.

And the issue with tight cattle supplies and high prices likely will continue through the fourth quarter and next year unless demand incurs a considerable slowdown from the current pace.

“Given no major changes in demand, which is a big question right now, we’re looking at cash cattle prices in the range of $164 to $172” per hundredweight in the fourth quarter, Nelson said.

Cattle prices could spike to $176 by the first quarter next year.

“These numbers are very tentative, depending on demand,” Nelson noted.

Consumers could be tempted to buy other, lower-priced meats in the months ahead.

Bob Young, American Farm Bureau Federation chief economist, said pork production could surpass beef production next year. If realized, 2015 would mark the first time pork production surpassed beef production in the U.S. since the 1950s.

New EPA program to encourage low-drift sprays

The Environmental Protection Agency (EPA) announced the start of Drift Reduction Technology (DRT), a voluntary program aimed at encouraging the use of low-drift pesticides.

Under the program, manufacturers test their technologies — such as nozzles, spray shields and drift reduction chemicals — for drift reduction.

Manufacturers can label their products for use with DRT technologies after receiving EPA approval. The four DRT ratings represented by one, two, three or four stars are awarded for technologies that demonstrate at least 25 percent reduction in potential spray drift compared to the standard.

Drift reduction ratings could appear on pesticide labels as early as fall 2015.

EPA says that less than 10 percent of agricultural pesticide sprays drift from the intended target crop. That amounts to 70 million pounds of pesticides a year – a value of up to $640 million.

“Every year, state and local agencies receive

thousands of complaints about the impacts of pesticide drift on people, wildlife and plants,” said Jim Jones, assistant administrator for the Office of Chemical Safety and Pollution Prevention. “Our new star rating system of products and technologies will help farmers reduce drift, protect neighbors and reduce costs by keeping more of the pesticide on the crop. We hope the new voluntary DRT will encourage the manufacture, marketing and use of safer spray technology and equipment scientifically proven to reduce pesticide drift.”

Spray technology manufacturers interested in participating in EPA’s DRT program may now submit data verifying their technology reduces pesticide movement. EPA will evaluate each data submission and, if appropriate, assign a drift reduction star rating to the product based on its ability to reduce spray drift. EPA will post these ratings at {www2.epa.gov/reducing-pesticide-drift}.

Corn Strategy

Corn is cheap; commodities are cheap

All too often, it’s too easy to get caught up in short-term market developments and price action. When it happens, one tends to lose sight of what “value” really is.

This summer, as the weather continued to bolster the potential size of production here and in the world, grain prices continued to decline. At the same time, anxiety grew that prices might fall back to levels which existed in the early 2000s, especially among producers.

That is the time one needs to step back from looking at the trees, and take a look at the forest.

In the accompanying graphic, you can see an ounce of gold will buy a record amount of bushels of corn. We could say the same for wheat. We cannot say the same thing for soybeans, mostly because soybean prices are still high relative to corn and wheat. But even that relationship got to its second highest level behind the peak it had in 2011.

Some might argue, rightly so, that the price of gold could still drop lower, resolving at least a

part of the distortion in the relationship between the two.

But if one looks at other relationships, corn is cheap relative to crude oil, even with the decline to $80 per barrel.

And, the price of corn, adjusted for the value of the dollar over time, is at a relatively low level as well. Those relationships may not be at historic extremes like they are relative to the price of gold, but they are at levels indicating corn represents a good long-term value. Again, the same holds for wheat and soybeans.

The relationship between grains and crude oil got to the best it had ever been other than during the Katrina disaster in August 2005. The disruption caused crude oil prices to surge and grain prices to collapse.

We’ve also taken a look at the relationship between equity and commodity indices. While those are not at an extreme like the ones we mentioned above, they are at a level at which investment money may be enticed to move funds out of equities and back into commodities.

On a fundamental scale, one can point to the extreme disparity between livestock and grain prices, too. But by taking a look at the forest instead of the trees, one can see signs again point to better prices ahead for grains.

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ü2013 crop: The strength in prices indicates they have turned up out of a season low.

Higher prices should come once we move past harvest, but they may not return to acceptable marketing levels until next spring at the soonest. If you still have old crop, storing it for the long haul should pay dividends. ü2014 crop: The rally into the $3.60s should have offered you an opportunity to make needed sales. Use modest rebounds if you still need to. The market may spend the next few weeks chopping sideways, helping build the base for what we see as an eventual move higher yet. We still see potential for $4 cash prices next spring. vFundamentals: Corn harvest should continue to lag with the recent focus on soybeans, and weather forecasts suggesting more interruptions. We are hearing some disappointment with yields in the northern and western parts of the Corn Belt. Even though the export focus is on soybeans, corn shipments are still running ahead of last year.

Page 11 • Monday, October 27, 2014 • FarmWeek Cents per bu.

Soybean Strategy

ü2014 crop: Demand, weather and limited producer selling carried soybean prices higher last week. Use this rally to make needed sales, especially if your sales are well behind recommendations.

Our target to add to sales is a move to $10.45 on nearby futures, but we aren’t sure prices can achieve that by year’s end. ü2015 crop: The first 15 percent of the 2015 crop was priced at $12.07 basis November 2015 futures. vFundamentals: This past week’s 2.17 million metric ton export sales dashed uneasiness about the lack of new Chinese business the last couple of weeks. The 73.1 million bushel inspections indicated the shipping campaign is ramping up faster than the last few years, too. And crushing will accelerate now that new-crop supplies are entering the pipeline.

Demand is good. At the same time, dry weather and the slow start to planting are starting to generate uneasiness with

Brazilian production potential this year. Mato Grosso is only 20 percent planted; normally it’s 50 percent.

Wheat Strategy

ü2014 crop: The target for catch-up sales on the December contract is $5.50.

Producers able to continue carrying wheat may do so with the goal of resuming sales near $6. ü2015 crop: We see little reason to price new crop unless Chicago July is more than $6. vFundamentals: Last week, export sales were again disappointing. U.S. wheat was absent from the offer sheet on

Egypt’s latest tender. And, there was a surprisingly strong presence from Russia and France, two of the three countries tapped to source the purchase. Russian wheat sales are still active despite the government’s intention to provide slack for strong domestic demand. Quality issues in France are well-documented, but they continue to put together competitive offers.

Strength in October has mostly come from weather worries.

Dry weather is hurting Australian and Russian crops, and delayed corn and soybean harvests are pushing back U.S. plantings.

Your future

FarmWeek • Page 12 • Monday, October 27, 2014

depends on your

VOTE

Elections matter.

Important consequences hinge on the results of the Nov. 4 election.

What should be done about national and state debt? What is the best way to stimulate the economy and create more jobs? What is the appropriate tax rate?

In agriculture, we have issues and concerns that need to be addressed by the candidates we elect to serve in public office. What about the freedom to farm safely and efficiently without burdensome, intrusive regulations?

I know some people wonder if every vote matters. Not only does every vote matRICHARD ter, every vote counts.

GUEBERT JR. The lower the voter turnout and the closer the election, the greater the chance an individual vote can affect the outcome.

Typically, fewer people vote in nonpresidential elections, also called midterm elections, compared to presidential election years. Under those circumstances, the probability that your vote — and your efforts to encourage others to vote — will affect the outcome increases.

In the 2010 midterm election, Illinois counted 3.792 million ballots from an eligible voting population of 8.78 million, according to the United States Election Project.

Compare that to the 2012 presidential election.

Illinois contributed 5.279 million votes from 8.9 million eligible voters.

Don’t think your vote is important?

Tell that to Missouri farmers. Missouri’s “right-to-farm” amendment passed by only 2,490 votes, roughly a quarter of a percentage point of all votes cast. In our state, that would equal roughly 25 votes in every county. It is critically important that farmers who represent a small percentage of our state’s total population make our voices heard.

In state legislative and local elections, the chances of our efforts —

and your votes — shaping the outcome increase dramatically. The fewer the votes cast, the bigger the impact of each vote. Add to that the probability that fewer people typically vote in nonpresidential elections, and you see the difference you can make on Nov. 4.

What about the candidates we support? We’ve built relationships with our elected representatives throughout the year. We’ve asked them to support us on federal and state issues and to respond when we’ve contacted them because of an action request. Voting is our opportunity to support them for the work they’ve done and will continue to do.

But your right to vote doesn’t start and stop at the ballot box. You need to be informed on the issues and candidates’ positions, especially on issues important to Illinois Farm Bureau and agriculture. Educate yourself about local questions, too. Those will impact you on a day-to-day basis.

Farm Bureau members may find election information online at {www.ilfb.org/ifb-news-and-events/ ifb-in-action/2014-october/10114register-to-vote!.aspx}.

You may call or visit your local election authority with any questions.

This message applies to voters of all ages — not just those with years of experience at the polling place.

To our young farmers, your votes will help determine how you and your children will be able to operate your farms in the future.

To our students, your votes will help determine the level of government support for colleges and universities and any subsequent pressure to compensate for budget cuts with higher tuition and fees.

One of the most important actions you will take on Nov. 4 is exercising your right to vote. Remember, every election matters and every vote counts.

Richard Guebert Jr. of Ellis Grove serves as president of the Illinois Farm Bureau.

No excuses; get out and vote We have heard it all before about how youth don’t vote.

As much as I love elections, I understand why others my age don’t line up at the polling place. There are a lot of reasons, but what I hear most often is that we feel our vote doesn’t matter or we aren’t sure who to vote for. Or between KRISTEN classes, work, FAUCON extracurriculars and binge-watching Netflix, we think we don’t have the time.

We are all busy, but the act of voting is quite simple if you know your options.

The polls are open for 13 hours on Election Day, leaving plenty of time to cast your vote. Yes, that’s a large window, but I know I am not alone when I say that I am registered to vote at home — not in my college town.

There are more options than just voting on Election Day, though.

In the last election, I voted early. I walked into the county clerk’s office two weeks before the election and voted — and on a Saturday no less!

Unfortunately, this year I won’t be able to make it home during the early voting time frame, but I found it’s just as easy to vote absentee.

Last week, I stopped by the clerk’s office, signed a form and received a ballot. If you cannot get home, there is always the standard absentee ballot by mail that will be sent to your dorm or apartment.

All you have to do is fill out a brief online form at least five days before the election.

Knowing what the options are, voting seems a lot easier and some-

thing that will fit into the busiest of college schedules; however, the hard part is knowing who to vote for.

You’ll find numerous ways to become informed, but Illinois Farm Bureau specifically has helped me in two ways.

First and foremost is ACTIVATOR and the Friend of Agriculture Award. This award goes to members of the General Assembly and U.S. House of Representatives who have a favorable voting record on IFB priority issues. It helps us know how our legislators voted on those issues without having to dig up their voting record ourselves.

Another way I have become more informed is by being a Collegiate Farm Bureau member. At Illinois State University (ISU), we are promoting IFB’s Get Out The Vote campaign.

We brought IFB speakers to campus to talk about the election. Not only were we more informed about the candidates and Farm Bureau programs, but we also gained perspective on the importance of our vote.

We do not want to participate in elections because we feel like our vote doesn’t matter, but it is in congressional and state elections that our vote can have a large impact.

The Farm Bureau representatives provided us with multiple statistics showing how a few more votes could have changed the outcome of numerous races. Your vote could change that outcome.

Your vote could mean the difference between a friend of agriculture being elected or his/her opponent.

Your vote could be the voice of youth in agriculture. Your vote could be a lot of things, but it is up to you to cast it.

Kristen Faucon of Athens, a senior agricultural communications and leadership major, serves as the ISU Collegiate Farm Bureau governmental affairs representative.

Letter to the editor

Election reality — your vote needed Editor: Forget the political advertisements we are all tired of. This election really comes down to this.

We have a choice in the g overnor election as well as many

other contested races.

Please remember to vote.

Every vote counts. The last time, three votes per precinct made the difference.

LEON CORZINE Assumption

Would you like to share information or an opinion with FarmWeek readers?

Consider submitting a Letter to the Editor. Please limit your letter to 300 words.

Include your name, address and phone number. Your phone number will not be published; it

will simply help us verify letter authorship.

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