Farmweek sept 2 2013

Sweltering heat failed to dampen visitors’ enthusiasm for new technology at the Farm Progress Show......................2-5

GROWMARK reported solid earnings at its annual meeting, and board directors elected John Reifsteck as their new chairman.........10

Farmers holding a commercial driver’s license must declare their medical card status before Jan. 30 at a state CDL facility....................12

A service of

®

IFB, river partners ‘Bring the Heat’ for WRDA Illinois Farm Bureau mission: Improve the economic well-being of agriculture and enrich the quality of farm family life.

Monday, September 2, 2013

BY MARTIN ROSS FarmWeek

Periodicals: Time Valued

Amid the mingled sweat of a toasty Farm Progress Show and anxiety over Congress’ lack of progress on infrastructure issues, farm, shipping and labor interests joined to “Bring on the Heat” for river improvements.

Farm Bureau’s August recess campaign focused last week on House approval of Water Resources Development Act (WRDA) provisions that would tighten and streamline U.S. Army Corps of Engineers navigational improvement procedures and spur funding for lock rehab and construction through new public-private partnerships and a voluntary barge fuel tax hike.

Illinois Farm Bureau President Philip Nelson stressed navigational modernization is “a critical issue to Illinois and American agriculture.”

“As we look at the technology being rolled out by various companies here at the Farm Progress Show, we need to keep in mind that we need to upgrade our technology in transportation as well if we are going to be serious as a competitor in the global environment,” Nelson suggested during a news conference on the Decatur show grounds.

Royce Wilken, president of

Two sections Volume 41, No. 35

American River Transportation Co. — Archer Daniels Midland Co.’s (ADM) barge freight affiliate — stressed ADM’s food, energy, chemical and feed ventures “rely on transportation,” including highway, rail and river

FarmWeekNow.com

To view video of the WRDA news conference from the F a r m P r o g r e s s S h o w, v i s i t FarmWeekNow.com.

networks and oceangoing fleets. Inland waterways provide “the lowest cost means of transporting bulk grain,” Wilken said.

But Nelson argued smaller original 600-foot locks no longer “get the job done.” By providing “legislation without appropriations” via lock authorization in the 2007 WRDA bill, Congress has allowed for no “new starts,” Illinois Corn Growers Association President Paul Taylor said.

Under current estimates, the deteriorating LaGrange Lock on the Illinois River is not scheduled for a long-promised upgrade until 2065 and construction on a

new Mississippi Lock 25 would not begin until 2053.

“We’re talking more than 100 years on equipment and structures that were probably meant to last 50 or 60 years,” Taylor asserted.

Federal lock funding requires matching fuel tax revenues from the barge industry’s Inland Waterways Trust Fund (IWTF), which in practical terms is at “almost zero,” Wilken said.

While he said wholly private funding of river infrastructure “is not doable,” he told FarmWeek potential is ripe for public river partnerships with oil interests, suppliers and shippers seeking to ramp up “regional moves” and an international wind energy sector looking to move parts and components more efficiently into the Midwest.

Wilken agreed “no one wants to pay more taxes,” and acknowledged the barge tax hike is a “contentious issue” particularly among conservative lawmakers. But the shipping executive believes an increase in barge “fees” would

Dale Roth, business representative with the Carpenters’ District Council of Greater St. Louis and Vicinity, campaigns for House passage of the Water Resources Development Act as a jobs stimulus measure. During a Farm Bureau-sponsored news conference at last week’s Farm Progress Show, Roth argued new lock construction offers “great jobs” for Midwest tradesmen and job-generating growth for manufacturers and shippers that rely on barge transportation. “We are constantly working with Congress to appropriate more money to create more jobs to keep the construction industry going,” he said. “The average citizen has no idea what the river does for them.” (Photo by Martin Ross)

Ample seed supply projected for 2014

BY DANIEL GRANT FarmWeek

See Heat, page 2

The recent drought and abnormally dry conditions will shave the top end off seed crop yields.

But, overall, the corn and soybean seed harvest this fall is expected to provide an ample supply for 2014, according to industry representatives last week at the Farm Progress Show in Decatur.

If realized, a boost in U.S. seed production could ease the need for South American-produced seeds for next season.

“This year, the early estimates of the seed crop are very encouraging, maybe some of the best we’ve seen the last three or four years,” said Brad Lance, business director for DuPont/Pioneer. “It could make us less reliant on South American production.”

Seed producers expect an ample crop due in part to risk management strategies such as planting crops over a wide geo-

graphic area and the increased use of irrigation.

Others boosted acres to ensure an adequate supply.

“We plant and produce a crop that’s much larger than we actually utilize,” Lance said. “We call that a built-in risk factor. We’ve also made a concerted effort to use more irrigation after the last couple years (of drought issues).”

Tim Jordal, product manager for Great Lakes Hybrids, said seed harvest will be late this year at many locations. But he also expects a good harvest.

“We’re not seeing any seed supply issues at all. It’s a big change from last year,” Jordal said. “We have a really diversified production area.”

In fact, U.S. seed production this year appears to be ample enough that Great Lakes plans to scale back its winter plan for South American seed production.

FarmWeek on the web: FarmWeekNow.com

However, there always is the potential for tight supplies of popular seed lines, Jordal and Lance noted. They recommended farmers who want particular seed lines to consider ordering it early this fall or winter to ensure availability.

One of the first estimates of U.S. crop planting next year predicted farmers will plant more soybeans and wheat and a little less corn.

A Farm Futures survey of more than 1,350 growers nationwide, released last week at the Farm Progress Show, projected U.S. farmers in 2014 will plant 78.75 million acres of soybeans (up 2 percent), 57.76 million acres of wheat (up 2 percent), and 94.11 million acres of corn (down 3.4 percent from the current estimate this year).

The reduction in corn plantings was based on predictions of higher production costs and tighter margins for corn compared to beans and wheat.

Illinois Farm Bureau®on the web: www.ilfb.org

Quick Takes

FARM PROGRESS

FarmWeek Page 2 Monday, September 2, 2013

SOUTHERN ILLINOIS HIGH-SPEED NETWORK — Southern Illinois stands to gain a fiber-optic high-speed broadband network with $1.5 million capital co n str ucti o n fun d i n g, G ov. Pa t Q ui n n a n n o un ced recently.

A gigabit network will be constructed by a partnership between Frontier North Inc., the City of Carbondale, Southern Illinois University (SIU) and Connect SI (Southern Illinois). The network will ser ve area residents, businesses and institutions by connecting businesses, schools, hospitals and neighborhoods.

Improved capability for telemedicine and telehealth through the SIU School of Medicine will impact citizens in the area and allow faster transmission of medical records and information.

LOWER 2014 RETURNS POSSIBLE — Illinois farmers may face lower returns in 2014 compared to what they’ve received in recent years, according to University of Illinois projections.

The 2014 Illinois crop budgets are based on projected prices of $4.60 per bushel corn, $11 per bushel soybeans and $5.80 per bushel wheat.

Corn-soybean rotations are projected to provide the highest returns for all regions of the state. However, U of I economists noted the returns will be lower than many cash rents being charged throughout the state.

To see details of the projected budgets, visit {farmd o c d a i l y. i l l i n o i s . e d u / 2 0 1 3 / 0 7 / 2 0 1 4 - c r o p budgets.html}.

GAMES CONNECT FOOD TO FARMS — The American Farm Bureau Foundation for Agriculture has released some new educational games aimed at helping kids connect food to farms.

“Load the Lunchbox” was designed for the pre-K and kindergarten learner. Children meet Farmer Luis who takes them on a trip to farms across the nation. At each stop, learners race to swipe the screen and harvest all the nutritious food on the farm. Once har vested, learners earn a related item to add to their lunchbox.

Accompanying the game is a new eComic, “Teaching Winter Wheat.” It allows players to join Benjamin P. Farmington as he visits a wheat farm throughout the year to learn about how wheat is planted, grown, harvested, stored and processed.

The Foundation also announced the launch of a new version of the popular game, “Ag Spin ‘N Solve.” Users pick from a variety of agricultural categories before spinning the prize wheel and solving a word puzzle.

New subject areas and terms have been added to the game to help learners increase their understanding of the science and technology involved in agriculture.

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

The site at {myamericanfarm.org} offers 17 ag-themed games and more than 100 free educator resources such as lesson plans, activity sheets and comics.

(ISSN0197-6680) Vol. 41 No. 35

September 2, 2013

Dedicated to improving the profitability of farming, and a higher quality of life for Illinois farmers.

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

WRDA approval TPP addendum?

BY MARTIN ROSS FarmWeek

As major ag interests outline their expectations for a Trans-Pacific Partnership (TPP) trade agreement, an Illinois corn grower emphasizes the need to ensure U.S. producers can actually realize TPP potential.

An ad hoc, 37-member coalition of ag and food groups led by the National Pork Producers Council and Cargill has offered U.S. negotiators its “core” principles for a final agreement.

The 19th round of talks on the TPP concluded this week in Brunei Darussalam. The regional trade talks include the U.S., Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam.

The group argued a final TPP agreement must be comprehensive, including ag, manufacturing, services, digital trade and intellectual property rights. The accord cannot exclude any ag product or “limit opportunities in each of the member countries to reach new markets, grow businesses and generate economic growth and jobs,” they stated.

Meanwhile, Illinois Corn Growers Association President Paul Taylor posted his own key TPP principle to Congress: fall passage of the Water Resources Development Act (WRDA).

“With the Panama Canal being expanded — preparations are being made for larger ships, larger container ships to go through there — a question arises: What’s the point of a new Trans-Pacific Partnership if we don’t have the facilities to export added grain?” Taylor posed at the Farm Progress Show.

“We’ve had weather problems. We’ve had a lot of increased consumption because of biofuels. But we know that with the increase in acres that have been brought into production, with

biotechnology, that we’re going to have more grain as we move into the future. A lot of that’s going to have to be exported.”

In a letter to U.S. Trade Representative Mike Froman and U.S. Ag Secretary Tom Vilsack, ag groups stressed steps necessary to ensure TPP negotiations “fulfill the promise of a high-quality agreement that can serve as a standard for future trade agreements.”

Further, the coalition stressed the TPP must phase out all tariffs and other market access barriers by the end of negotiated transition periods within “commercially meaningful time frames.” They sought “robust outcomes” on product sanitary-phytosanitary (SPS) issues, based on “risk-based scientific decision making” and regulatory agreements.

Finally, the groups called for a “rapid response mechanism” aimed at resolving issues with perishable/time-sensitive ag product shipments held up as result of nontariff trade barriers.

Heat

Continued from page 1 provide trust fund “liquidity” for expanded river investment.

Taylor sees the cost impact of a relatively “modest tax increase” as a fair tradeoff for the current, Informa Economics-estimated 45-cent “hit” on farm grain prices resulting from outdated river systems. That means “less income in our communities, less taxes paid at the federal level, the local level,” the grower advised.

“When American infrastructure breaks down, American agriculture stops in its tracks,” Wilken warned. “These markets are at risk. As our infrastructure ages, the mechanism to fund repairs grows old and ineffective, as well.”

‘Second Crop’ answer to food vs. fuel debate?

A major “Second Crop” has been right under farmer’s noses, in Gregory Webb’s view offering solutions for those concerned about corn’s role in providing both food and fuel.

At last week’s Farm Progress Show, Decaturbased Archer Daniels Midland Co. (ADM) highlighted its Second Crop campaign, focusing on opportunities for environmentally sustainable corn stover harvest for the feed sector.

The concept is an offshoot of ADM’s work with Monsanto and John Deere to explore stover as an ethanol feedstock. While the trio continues to eye biofuels applications, researchers discovered that lime-treated distillers dried grains (DDGs) and corn and wheat residues can provide a robust ration for cattle and, to a lesser extent, swine, said Webb, vice president for ADM’s public communications effort.

Webb deemed Second Crop, a new focus of ADM’s Alliance Nutrition animal feed group, “a great innovation in feed utility” from a cost and rate-of-gain perspective.

Further, the development offers one more nail in the coffin for the “food vs. fuel” debate that’s plagued the corn ethanol industry in recent years, he said.

Consumers tend to ignore that agriculture is by no means a “mature industry,” and that “hybrid vigor,” genetic advances, processing technologies and new applications are continually stretching each acre of corn, Webb told FarmWeek.

“We have use of corn not only for feed use, for food use and for fuel use — we now also have this new use,” he said. “Leaving residue on the field is an important thing for soil conservation, but we’re saying some of that stover or wheat straw could be used for other purposes. This is a great way to get more yield from that single acre of crop.

“We would make the argument that there is

no ‘food vs. fuel’ — it is food and fuel. They are compatible objectives — not competing ones.

As we create more demand for what we produce, the innovations come from that because we have more of that production to use.”

The key challenge now lies in helping growers economically harvest stover in a single pass with grain or at least in “one more pass,” he said.

And ADM and its partners have not abandoned scrutiny of stover’s further potential. Webb cites the possibility of compacting crop residues for use in power generation. “We’re not limited to a single outcome,” he said. — Martin Ross

At last week’s Farm Progress Show, Archer Daniels Midland Co. (ADM) Vice President for Communications Gregory Webb tests the company’s interactive kitchen simulation used to educate consumers on the diversity of applications for corn, soybeans and other crops. “It’s not that evident to a lot of people,” Webb related. “We tell the user that one of the ingredients on these ‘shelves’ comes from corn. It could be food.

It could be feed for the puppy. It could even be an industrial product.” (Photo by Martin Ross)

PRODUCTION

Page 3 Monday, September 2, 2013 FarmWeek

Late-season drought envelops Midwest; heat relief expected

BY DANIEL GRANT FarmWeek

The weather forecast last week called for sweltering temperatures, which approached 100 degrees in parts of the Corn Belt the last week of August, to moderate this week.

However, the forecast was less positive in terms of moisture as rain chances in the

Midwest generally were of the light and scattered variety.

“The past three weeks we’ve seen things reverse, and we now have an upper-air feature more like last year,” Bryce Anderson, Telvent DTN senior ag meteorologist, said last week at the Farm Progress Show.

A recent lack of blocking high pressure in the atmosphere

Tire auction at Farm Progress Show keeps FFA programs rolling

BY CHRIS ANDERSON FarmWeek

Bidders burned holes in their pockets as they stood in sweltering sunshine two straight days buying 144 donated tires at the Farm Progress Show.

Knowing the money would support the Illinois and Indiana Foundation FFA, the crowd did not tread lightly. Instead, participants set a new fundraising record of $78,774. The money will be split evenly between the Illinois and Indiana FFA foundations.

“We continue to set records. The money goes for college scholarships, conferences and leadership training,” said Al Zwilling, Illinois Foundation FFA executive director.

The foundation annually conducts other fundraising drives, including events held by FFA chapters throughout the state.

Without the biennial Farm Progress Show auction sponsored by Titan International Inc., those efforts would need to be greatly enhanced, Zwilling noted.

“Titan has been hosting FFA fundraising auctions since 1996 at the Farm Progress Show and the Sunbelt Ag Expo (in Georgia),” said Anna Lee Koutz, Titan International communications coordinator. “We’ll host our first auction this year at Husker Harvest Days (Sept. 10-13 near Grand Island, Neb.).

We’re spreading the wealth to FFA chapters.”

Titan, based in Quincy with manufacturing headquarters in Des Moines, Iowa, also donates about 1,600 tires per year to FFA members and chapters involved in restoring antique tractors.

“FFA members are the future of agriculture. It’s a win-win situation,” said Koutz.

Central Illinois Auctions owners Lester Crandall and Dean Rhoades of Decatur volunteered their rapid-fire sales techniques to the auction.

Joe Heavner, Illinois FFA treasurer, warms up a crowd of bidders at a tire auction during the Farm Progress Show. The auction raised a record $78,774, which was split between the Illinois and Indiana FFA Foundations. (Photo by Chris Anderson)

allowed hot, dry air from the south to invade the Midwest.

The influx of heat caused drought conditions to spread in Illinois, Iowa, Minnesota and Missouri. About 20 percent of Illinois last week was in a moderate drought while the upper two-thirds of the state was abnormally dry, according to the U.S. Drought Monitor.

“I hate to use the term ‘dome of doom,’ but this is one of those times where that’s exactly what’s going on,” Anderson said last week. “We have a huge dome of hot air over the Plains and western Corn Belt.”

The flash drought momentarily eased concerns about this fall’s frost date, and the corresponding end to the growing season for the lateplanted crops, putting the focus on crop deterioration that occurred in recent weeks.

“I think corn (production) numbers will come down a little bit and soybean numbers will come down a lot,” said Anderson, who noted the Pro Farmer Midwest Crop Tour recently found lower-thanaverage soybean pod counts in most major soy-producing states, including Illinois.

The extreme heat was a new feature to the Midwest last

week. But dry conditions have been intensifying for weeks, according to Anderson.

“The market is concerned we’re drying up at the end of the growing season,” said Dale Durchholz, AgriVisor senior market analyst. “The cool weather (in previous weeks) kind of masked some of the issues.”

One of the few benefits of the recent heat is it may have sped up the maturity of some of the crops. But the date of the first frost still is a major concern.

“We saw some improvement in growing degree days (which entering last week were about 100 points behind average),” Anderson said. “But even an average first frost (in

some parts of the Upper Midwest) becomes an early frost because of how late everything was planted.”

Bill Raben, chairman of the Illinois Soybean Association and a farmer from Ridgway (Gallatin County), said soybeans in his area are as much as three to four weeks behind normal.

“An early frost would be devastating,” he said. “That’s a big concern.”

Anderson last week predicted the first frost could occur near the normal time this year, which would be about the first week of October in northern Illinois, early- to mid-October in central Illinois, and mid- to late-October in southern Illinois.

Crop conditions deteriorate; markets react

Crop conditions wilted last week as extreme heat formed a one-two punch with ongoing dryness issues.

The portion of U.S. crops rated good to excellent the first of last week declined by 4 percent for soybeans (from 62 to 58 percent) and by 2 percent for corn (from 61 to 59 percent).

Conditions worsened throughout the week at many locations as the heat index reached the upper-90s and low100s in much of the Midwest.

“With the dry conditions, we’re seeing tip-back in corn ears and aborted pods in soybeans,” Bruce McVicker, technical sales agronomist with DuPont, said last week at the Farm Progress Show in Decatur. “We’re not going to achieve the yields we were thinking three or four weeks ago.”

Many crops may not have handled the recent heat and dryness as well as possible due to mild conditions earlier this season.

“Early in the year there was not as much root development (as normal) because of all the rain (and mild temperatures),” McVicker said.

Traders definitely noticed as corn and soybean futures posted sensational rallies last week.

“Obviously, everything with the weather we’re seeing unfold in the markets,” said Darin Newsom, Telvent DTN senior market analyst. “There’s a great deal of concern over produc-

Cory Winstead, right, AgriVisor account manager, discusses the markets with Stewart Oliver, left, a GROWMARK retiree from Downs, last week at the Farm Progress Show in Decatur. Winstead said traders are very concerned about crop supplies, due to expanding dryness and recent heat, and a weather market will continue into harvest. (Photo by Daniel Grant)

tion and total supplies.”

Cory Winstead, AgriVisor account manager, believes the onset of dryness and recent heat could take the biggest toll on beans.

He also believes some late rains still could save some of the soybean yields, similar to last year when U.S. farmers harvested the seventh-largest soybean crop on record with an average yield of 39 bushels per acre despite one of the worst droughts in recent history.

“I do think there’s reason for concern, especially on the soybean side,” Winstead said. “We’re in a weather market and it will continue to be that way until harvest.”

Crop prices likely won’t achieve new highs, but a harvest low still is possible, according to Winstead.

“If we have decent yields, harvest (price) pressure we missed the last couple years could be back,” he said.

Many farmers at the Farm Progress Show said they expect a late harvest this year.

The portion of corn dented nationwide last week was 23 percent compared to the five-year average of 45 percent. Meanwhile, 84 percent of soybeans were setting pods, which was 6 percent behind the average pace.

— Daniel Grant

FARM PROGRESS

FarmWeek Page 4 Monday, September 2, 2013

Farmland values steady, projected to continue

Lawmakers brave heat for ‘one-stop education’

Monsanto technology development representative Susan Curvey of Creve Coeur, Mo., left, describes crop technology to state legislators who participated in the Illinois Farm Bureau agriculture certification program at the Farm Progress Show in Decatur. The lawmakers also heard about farm equipment technology at the John Deere exhibit. (Photo by Cyndi Cook)

BY KAY SHIPMAN FarmWeek

State legislators chuckled appreciatively when they heard the newest John Deere tractor comes with a little fridge and satellite technology. Last week’s 97-degree temperatures at the Farm Progress Show reinforced that farmers work in all sorts of weather.

Despite the heat, about 30 state senators and representatives experienced the latest in agriculture technology and innovations at the show site. Illinois Farm Bureau hosted the legislators for an agriculture certification program.

The lawmakers glimpsed into the future of farm equipment technology at the John Deere exhibit. Earlier, IFB President Philip Nelson reminded them the company started in Illinois.

Sen. John Sullivan, D-Rushville, told FarmWeek it is beneficial for his colleagues to see the “mind-boggling” technology and to realize how agriculture has changed.

“More important, it’s the broad spectrum of agriculture represented here,” Sullivan said glancing at row after row of exhibits. “The impact that agriculture has on the state from an economic standpoint is tremendous ... I hope it opens up their minds a bit.”

Agriculture’s economic impact wasn’t lost on Sen. Sue Rezin, R-Morris. “It’s more than agriculture, it’s agribusiness. It’s the largest job cre-

ator in the state.

“It’s very important to tour all different industries so we know what’s being talked about when we vote. I sat on (Senate) Environment (Committee). There is legislation that could hurt the agriculture community,” Rezin said.

Monsanto gave legislators an overview of plant technology and efforts to improve yields through pest and disease resistance.

Sen. Sam McCann, R-Carlinville, referred to the Farm Progress Show as “one-stop education.”

“If you don’t have an agriculture (legislative) district and if you’re not exposed to it, how can you make decisions that could impact it every day?” McCann asked.

Exposure to farming and farmers was at the root of a message from Betsie Estes, an Illinois Farm Families (IFF) field mom alum from Elk Grove Village. IFF is a coalition of commodity groups for beef, corn, soybeans, pork and IFB. Estes told state lawmakers her most enlightening moment was “to be that close to the truth” about livestock production by hearing from pork producer Chris Gould of Kane County. “I took knowledge back to my friends,” Estes said. “I wish all moms could hear this.”

Rezin praised IFF and its work with consumers. “It’s great to hear their (field moms’) perception,” the senator added.

Farmland values in general are steady into 2013, despite fewer acres being sold, according to a new mid-year survey released last week by the University of Illinois and the Illinois Society of Professional Farm Managers and Rural Appraisers (ISPFMRA).

ISPFMRA’s Bruce Huber and Dale Aupperle and U of I ag economist Gary Schnitkey discussed the survey during a news conference at the Farm Progress Show. Seventy professionals across the state provided information for the survey.

The average per-acre price for excellent farmland was $13,200, “an incredible number,” Aupperle said.

Excellent land produces corn yields of 190 bushels or more.

Average prices for good land were $11,200; for average land, $9,000; and for fair land, $8,300. Average corn yields for good land are 170 to 190 bushels; average land, 150 to 170; and fair land, less than 150.

During the first six months of the year, farmland values increased by 3 percent for excellent and good land, 2.5 percent for average land and 1.9 percent for fair land.

Most people expect land values and markets to be steady to a little softer, Aupperle added.

Forty-three percent projected the volume of land sales will hold steady for the rest of the year, while 34 percent expect less land will be sold and 23 percent project more.

As for farmland buyers, most are farmers (73 percent) with local investors (12 percent) comprising the next

IFB launches Political Leadership Cabinet

Illinois Farm Bureau plans to grow its members’ political involvement and influence through a Political Leadership Cabinet, IFB President Philip Nelson announced during the Farm Progress Show in Decatur last week.

“We need political ambassadors,” Nelson told state legislators and farmers during a press conference. The new Political Leadership Cabinet “will take our members to a new level to

work with you politically.”

The initiative is part of IFB’s ACTIVATOR. Nelson explained the Political Leadership Cabinet will offer members four donation levels honoring noted Illinois leaders.

They are: the Harold Steele level for the former IFB president; the Adlai Stevenson level for the former U.S. vice president; the Everett Dirksen level for the former U.S. senator; and the Abraham Lincoln level

for the former president.

Nelson noted he will contribute at the Lincoln level and encouraged other Farm Bureau members to contribute.

Contributing Political Leadership Cabinet members will gather three times a year for a special event. Cabinet members will hear a nationally recognized speaker at the December IFB annual meeting in Chicago, Nelson said. — Kay Shipman

Source: ISPFMRA

largest buyer. The number of nonlocal investors has declined. “Farmers know farming better than anyone,” Aupperle said. “This reflects a positive trend” in the farm economy.

Society members were surveyed about their expec-

‘This reflects a positive trend.’

— Dale Aupperle Illinois Society of Professional Farm Managers and Rural Appraisers

tations on factors that impact farmland prices (See chart).

The factors considered most likely to occur were corn prices falling to $4.50, congressional failure to pass a farm bill, a 2 percent increase in interest rates and reduced subsidies on crop insurance.

Survey respondents projected small decreases in average cash rents next year, according to Schnitkey.

Average cash rent per acre for excellent land was $388 this year, expected to decrease to $374 next year, according to survey results. The average cash rent for average farmland was $332 per acre and is projected to drop to $318 in 2014.

Average farmland rented for an average of $318 per acre is projected to decline to $278.

Fair land rented for an average of $224 per acre and is expected to decrease to $212 per acre in 2014.

“Basically it’s a sideways move. High rents are coming down,” Schnitkey said. — Kay Shipman

FARM PROGRESS

Page 5 Monday, September 2, 2013 FarmWeek

Cover crops growing into limelight

BY KAY SHIPMAN FarmWeek

Far m Progress Show visitors encountered cover crops’ new-found status before entering the grounds. Plots displayed several cover crop species and mixes near a large red-and-white striped tent.

Across the grounds, several exhibits featured cover crops and related initiatives.

“Generally, far mers’ interest is fairly high and it’s increasing,” cover crop expert Mike Plumer told Far mWeek.

Plumer, coordinator of the Illinois Council on Best Management Practices, fielded several far mers’ questions before the admission gates opened.

Plumer said many far mers ask about using cover crops to improve soil tilth. In central Illinois, they’re also interested in using cover crops to hold unused nitrogen in fields.

Far mers around the state will have new opportunities to see cover crops thanks to a new Illinois Department of Agriculture (IDOA) demonstration project announced at the Far m Progress Show.

Elliot Legacy, a specialist with IDOA’s bureau of land and water resources, said cooperating far mers will plant 14 cover

crop plots in fields along interstate highways. The fields, totaling 500 acres, will be planted in a corn-soybean rotation and marked with large g reen-and-white signs.

The three-year project involves IDOA, the Natural Resources Conser vation Ser vice and local Soil and Water Conservation Districts (SWCDs).

In addition, several SWCDs will host separate, small cover crop demonstration plots, according to Legacy.

The districts are planning field days for fall and spring so far mers can ask questions about management in different seasons, Leg acy added.

The state also launched an online cover crop clearing house at {covercrops.illinois.gov}. The website will offer information, resources and a cover crop related business directory.

The site offers profile stories about farmers with cover crop experience.

At the top of the state website, users will find a link to the Midwest cover crops decision tool offered by the Midwest Cover Crops Council.

The tool, located online at {mcccdev.anr. msu.edu/VertIndex.php}, allows a farmer to search for cover crops suited for a specific state, county and soil condition.

Mike Plumer, a Midwest cover crop expert with the Council on Best Management Practices, displays an oilseed radish-oat mixture he recommends for farmers who are new to cover crops. The Farm Progress Show featured several cover crop plots on the Decatur site. (Photo by Kay Shipman)

Learning and applying new cover crop lessons around Illinois

Farmers who are new to cover crops are hitting a learning curve.

“I just talked to a guy from Will County who plans to plant 20 acres of cereal rye,” said the Illinois Department of Agriculture’s Elliot Legacy at the Farm Progress Show.

Legacy, who has personal cover crop experience, advised the farmer to spray the cover crop in March because he would need three weeks between terminating cereal rye and planting corn.

National cover crop expert Mike Plumer, coordinator of the Council on Best Management Practices, said he’d heard of several cover crop hiccups and offered the following recommendations.

Oilseed radishes, also known as tillage radishes, should be planted as a mix with one or more cover crops. “Once they (radishes) die in the winter, there’s no residue left. It’s bad and can increase soil erosion,” Plummer said of a solid radish stand.

Growers are learning a lower seeding rate for oilseed radishes is better.

“Seed dealers had recommended 15 pounds per acre, but we recognize that’s not a good thing to do,” Plummer said.

To maintain soil, Plummer suggested a seeding rate of 3 to 5 pounds per acre of a mix containing oilseed radishes with oats, cereal rye or triticale.

Plumer advised farmers to

Missouri leadership director named GROWMARK ‘friend’

Michael L. Cook, Ph.D., executive director of the Graduate Institute of Cooperative Leadership at the University of Missouri, was honored with the Friend of GROWMARK award at the cooperative’s annual meeting in Chicago last week.

Cook is the Robert D. Partridge Chair in Cooperative Michael Cook Leadership Agricultural and Applied Economics at the university. He was inducted into the Cooper-

ative Hall of Fame last year.

The Graduate Institute of Cooperative Leadership is a sharply focused and highly interactive institute dealing with critical issues facing cooperatives. Attendees from across the U.S. participate in the week-long institute, exchanging ideas and knowledge.

The Friend of GROWMARK award was established in 1989 to recognize outstanding leadership and commitment to agriculture, and friendship to the GROWMARK System. Since its inception, more than 25 individuals and organizations have been honored.

“start small” with 20 to 40 acres of cover crops and “see how much management it takes.

“Sometimes it’s OK and sometimes it’s a major catastrophe if you don’t have the management skills. It can be a really big problem,” he said.

Plumer recommended

farmers consider starting with a mix of oats and oilseed radishes because it’s easy to establish, dies in the winter and has lower residue levels.

The Midwest cover crop decision tool {mcccdev.anr. msu.edu/VertIndex.php} is a good resource.

Plumer counseled farmers to “know your dealer and buy (seed) from a reputable dealer who knows cover crops.

“There’s a problem with seed being brought into Illinois that isn’t suitable here,” he added. — Kay Shipman

Farm Credit Supports National Farm Safety & Health Week in September

Take a break during harvest . . .

in the

Meals Field . . . and have lunch on us.

Register To Win! www.fcsillinois.com/meals Deadline to register - September 11, 2013 •

Must operate or own a farm or agribusiness in the southern 60 counties of Illinois

FarmWeek Page 6 Monday, September 2, 2013

CROPWATCHERS Bernie Walsh, Durand, Winnebago County: It was pretty hot here last week, with temps in the low to mid-90s all week. It has taken a toll on the corn and beans, but more so on the beans. This is a very important time in the development of the bean pods and will probably result in smaller sized beans. The corn is maturing a lot faster and is catching up after lagging behind during those cooler-than-normal weeks. Lots of third- and fourth-cutting hay is being finished up during this hot, dry spell. Corn silage chopping has started, and reports are that it is dry enough to pack into a pit silo.

Pete Tekampe, Grayslake, Lake County: Another hot, dry week in Lake County. Corn is suffering and needs rain now. For some, it’s too late. The top yield is gone. Beans are in the same mode. Showers were forecast over the Labor Day weekend. Spotty rain has been forecast for the last three weeks. Let’s hope and pray they are right this time.

Leroy Getz, Savanna, Carroll County: Another bone dry week. August rain totaled 0.85 of an inch. Crops are dying a fast death.

Corn silage is being chopped as fast as the choppers can run. Some fields have totally browned-out areas. The only good side is a welldeveloped ear on the stalk before the dry weather came. Soybeans are not filling pods. Yields are being drastically reduced. Growing degree units now total 2,365.

Ryan Frieders, Waterman, DeKalb County: Extreme heat has evaporated any moisture that we received last week. Along with the Japanese beetles we have battled all summer, there is an explosion of corn rootworm beetles that are eating ear tips causing kernel loss and damage. The early maturity soybeans are starting to change color. Bugs continue to feed on pods and expose the plants to diseases.

Larry Hummel, Dixon, Lee County: A much-needed rain needs to come soon if it’s going to impact final yields on this year’s crop. Rumor has it that seed corn harvest is under way and I have also noticed a few soybean fields that are starting to turn. I wouldn’t be surprised to see a combine or two in the fields by the middle of September. A couple of ethanol plants are offering $1.38 over the December contract if you can deliver by the 20th.

Joe Zumwalt, Warsaw, Hancock County: HOT and DRY pretty much sums up the story in western Illinois. This crop has sure been on a wild ride. While the corn is finished and drying, the soybeans would still have a chance if we would receive some beneficial rains. Is that in the forecast? Unfortunately, no.

Our bean yield estimates are now similar to or below last year’s final yield. Rainfall totals since June 1 are lower than last year for this time. Pastures are really showing the signs. How quickly the weather changes. Stay safe out there in the heat.

Ken Reinhardt, Seaton, Mercer County: One stray shower left a couple of tenths in a very narrow swath midweek. The new drought monitor is showing the worst conditions to our south. This, after having the wettest spring on record. Yield checks on the earliest-planted corn are coming in pretty well. There will be some harvested in a couple weeks. An extensive yield survey in Henry County came up with an average yield in the 180s.

Ron Moore, Roseville, Warren County: We did not receive any rain last week and none for the month of August. We are losing yield every day now. Soon, no amount of rain will help either the corn or soybeans. The heat this past week has caused the corn under stress to rapidly turn brown and die prematurely. The soybeans are still green, but pods will not fill out and may even abort some beans in the pods. The streams in two of my pastures have stopped flowing and the third is not far behind. We have been moving the cows home as fast as we can corral them.

Mark Kerber, Chatsworth, Livingston County: More of the same — hot and dry. Even the good areas are showing signs of stress.

Corn is drying up faster than we thought for being planted later.

Soybeans will be short in some areas with top pods a little flat. Pod counts are low. We bought a vertical tillage tool — not the kind that fills the road ditches with stalks. Markets have come up some after the last report.

Ron Haase, Gilman, Iroquois County: It was another dry week with high temperatures. The crops are stressed with soils being extremely dry in combination with the heat. Corn development ranges from R4 up to R5. The furthest developed corn has the milk line 60 percent of the way down the kernel. Rootworm beetle populations seem to be extremely high in some cornfields. They started attacking our garden this week. Soybean development ranges from R5 up to R6. Sudden death syndrome is starting to show up in some soybean fields. The local closing bids for August 29 were nearby corn, $6.22; new-crop corn, $4.61; nearby soybeans, $15.01; new-crop soybeans, $13.51.

This year we hosted more than 100 Brazilians who came to see the Farm Progress Show and wanted to visit a farm.

Our family had a lot of fun at the Farm Progress Show and with the tour groups!

Brian Schaumburg, Chenoa, McLean County: Our rain gauge keeps putting up zeros. It’s getting close to the bottom of the ninth and Mariano Rivera is warming up in the bullpen. The term “flash drought” is bandied about again this year as more hot, dry weather took its toll this past week with no rain in sight. Corn is now cannibalizing the plant to put everything into the ear. Yields should only be hurt by 4 to 7 percent. Soybeans still have some time, but I hear the PA announcer playing “Enter Sandman.” Corn, $6.11, fall, $4.62; soybeans, $14.80, fall, $13.28; wheat, $6.06.

Steve Ayers, Champaign, Champaign County: Still whistling “Cobwebs in My Rain Gauge” while strolling the Farm Progress Show. During an interview with Orion Samuelson, Pete Manhart of Bates Commodities was chatting about the pop-up showers on Wednesday. He said he had a 4inch rain, meaning 4 inches between the rain drops. State climatologist Jim Angel declared August 2013 the second driest on record with 0.36 of an inch for the month compared to a 3.93-inch average.

Driest August was 1893 with 0.06 of an inch, so it could be worse! Yield tours were in the news this week with Topflight Grain Monday finding a 178 bushel-per-acre average. The highest yield was north of Cisco in Piatt County at 204 and the lowest was at Seymour in western Champaign County at 145. Topflight also does a soybean pod count and found a 32 pod-per-plant average. The highest was south of Monticello and lowest was south of Milmine at 26. Premier Coop’s tour was Thursday and they found a 180 bushel average with the highest at St. Joseph at 217 and lowest west of Champaign at Rising at 153. We won’t be getting a hurricane rain this year for Labor Day, but enjoy the day anyway!

Wilfred Dittmer, Quincy, Adams County: As we say goodbye to yet another dry week, it was also goodbye to a dry month of August. Our gauge picked up absolutely nothing on top of July’s 1.5 inches, and it’s no wonder the crops are losing bushels as the clock keeps ticking. Soybeans can normally produce pretty well, despite a moisture shortage, but the jury is still out on this crop. Hay may be in high demand also before the year is over. Have a safe week.

Carrie Winkelmann, Tallula, Menard County: Proud to announce the arrival of Grady David Winkelmann four weeks early. Seven pounds and 2 ounces, August 26. He is currently his dad’s pride and joy for coming early instead of at the start of harvest. (I was quite appreciative, too). Corn is burning up from no rain and beans are stressing as well.

Tom Ritter, Blue Mound, Macon County: Most farmers spent last week at the Farm Progress Show. It was very warm, but it was a very good show. Most came away with a lot of new ideas of equipment and technology they need to invest in. Overall, our corn crop is maturing, but at a slow rate. We are finally getting some of the heat, but we are expecting cooler temperatures this week. Definitely needing some rain. Hopefully, some forecast for Labor Day weekend will materialize. Southern Macon County is not as moisture deficit as northern Macon County, but it is definitely time for a rain. Soybeans would probably respond more than the corn at this point. A lot of yield checks have been going on with a few reports of fields that farmers attempted to harvest late last week. More will be trying right after the Labor Day weekend; hopefully, going after some of the early premium.

Overall, crop prospects for corn still look very good at this point. Beans are too hard to determine, but they should be at least good yields.

Todd Easton, Charleston, Coles County: The dog days of summer have finally hit Coles County where hot and dry weather is back in style for this week.

After all but the southwest corner of the county missed any rainfall, the heat set in adding to the list of challenges this crop has faced.

Earliest cornfields are just entering the dent stage, and in some fields firing up heavily at the bottoms. Corn harvest, under the right set of circumstances, may be a couple of weeks away in select spots.

Across the fencerow in soybean fields, plants that were waiting for warmer weather now find themselves waiting on wetter weather.

You know it’s pretty bad when even the market knows the beans could be in trouble. I would never wish a hurricane on the folks to the south, but it sure could be the thing to save this bean crop much like it did last year.

Jimmy Ayers, New City, Sangamon County: We received no rain this past week.

The temperatures were extremely high, and the corn and beans both suffered greatly. Quite a bit of corn is nosing back on the ends — getting up to 2 inches tipped back. That’s quite a drastic change from what we’ve been looking at with a little bit of rain coming off and on. The Farm Progress Show was next door in Macon County. There was a tremendous turnout even though they didn’t have the field demonstrations. The majority of the work back home was getting equipment ready. There was talk of contracts needing to be filled in the next week or two. Some guys are going to start harvesting corn. Not sure what the moisture levels are going to be. Haven’t heard any numbers checked yet. A lot of variability in yields. It is going to be an interesting fall. We need to be sure to be ready to keep track of all the different changes and try to understand what happened where. We all know that next year will be different. Keep thinking about safety in your program in the fall, and what you can do to strengthen that part of your program.

David Schaal, St. Peter, Fayette County: Hot here again this week with no rainfall. Crops are showing some stress from the heat and no rain. Corn is firing up from the bottom and some of the shucks on some ears are turning brown. Soybeans in the lighter soils or clay spots have a silver cast to them in the heat of the day.

If the weather stays like this, corn harvest will be sooner than anticipated. A good soaking rain would sure be welcome. Stay cool and have a good week.

Jeff Guilander, Jerseyville, Jersey County: Last week proved it; this whole year has been three weeks behind. The heat did get some of the early corn turning almost to the ear on the outside of the fields. I keep thinking there is a great field of corn out there, but no one can seem to find it. Soybeans are still holding on, but last week’s heat is bound to get them showing maturity as well, just not as obvious. Looks like we will have to speculate on this year’s crop another few weeks.

Page 7 Monday, September 2, 2013 FarmWeek

CROPWATCHERS Doug Uphoff, Shelbyville, Shelby County: Hot, dry and 0.1 of an inch of rain for the month.

Heard of one farmer who picked corn and it tested from 35 to 40 percent. No relief in sight for rain, so hopefully that changes. Corn on lighter soils is dead or dying. Beans need a rain soon. Hope everyone had a good time at the Farm Progress Show. Have a safe week Dave Hankammer, Millstadt, St. Clair County: In the past couple of weeks, farmers have received half of what they wished for — warmer weather. Daytime temperatures have increased to the upper 90s for more than a week.

Unfortunately, we haven’t received any rain to fulfill the other half of the wish. The crops are starting to display heat stress during the heat of the day.

The early-planted corn has started the drying process with the lower leaves of the plant and ear husk turning brown, indicating harvest is about two to three weeks away. The soybean crop is the greatest concern, since many of the first-crop beans are trying to fill seed pods and the later-planted crop is blooming and starting to set pods. Quite a bit of hay has been successfully made during the last two weeks due to drier weather, and some corn silage has been chopped in the area. Local grain bids are corn, $5.08; soybeans, $14.77; wheat, $6.09. Have a good week.

Rick Corners, Centralia, Jefferson County: Harvest has begun. No, not with the combine and grain cart, but with 98 degree temperatures and no rain. I think the word from the combines this fall is going to be “Is that all there is?”

Dan Meinhart, Montrose, Jasper County: It’s been a very hot and humid week with no rain. Crops are under extreme stress due to dry soils and shallow root systems because of the excessive moisture earlier in the year. Farmers were busy mowing road ditches and waterways, repairing machinery, getting ready for harvest, hauling grain and going to the Farm Progress Show. We are looking for cooler temperatures this week and a chance of rain.

Dean Shields, Murphysboro, Jackson County: We didn’t have much rain last week, but a few showers here and there.

Weather has turned hot, and the beans are starting to suffer from the heat and the lack of moisture.

I wouldn’t have thought that this year, but we need rain to fill out the beans. Corn is still turning. It will be a while before we pick any corn.

The wheat field beans are growing well.

Milo is also getting pretty good heads on it.

The big question is how good the corn crop is and when will we be able to pick it?

Pray for rain.

Kevin Raber, Browns, Wabash County: August is almost complete. It has really felt like August this past week. High temperatures and higher humidity and no rain. The heat and dry ground has really sped corn up.

I’ve seen some harvested fields, but none close to home.

Soybeans are going to need rain.

The stressed areas in fields are getting larger each day.

Randy Anderson, Galatia, Saline County As we had a pleasant summer, now we’re in the roaster oven. Temps in the low 90s and humidity to match.

Corn is firing in spots and the early beans need a nice rain. The first corn was picked in the county on Aug. 29. It was planted in April. A few more fields will be picked next week. Going to try to make a little more hay this week. We have plenty, but after last year extra doesn’t hurt. We had some sudden death syndrome show up, but not as bad as some reports I have heard.

Ken Taake, Ullin, Pulaski County: We are making up for some heat units this week. We’ve had highs in the mid-90s with high humidity. Trying to make up for some of those cooler, damp days earlier in the summer. We are getting pretty dry. Soybeans could certainly use a shower.

Corn is slowly turning. We are probably at least two weeks away from starting any corn harvest. The early soybeans are just starting to shade a little bit yellow. Our county Young Farmers did their yield checks. Pulaski County came in at 168 bushels to the acre, and Alexander County came in at 176. It looks like, at least from their limited sample, the corn crop is going to be good here in deep southern Illinois. We have started to see some sudden death syndrome in our area.

I’ve only seen a small amount on our farm, but I’ve heard of some much worse outbreaks in other areas of the county. Please have a safe week.

SIU plans new animal herds and ag facilities Reports received Friday morning. Expanded crop and weather information available at FarmWeekNow.com

BY KAY SHIPMAN FarmWeek

Southern Illinois University Carbondale (SIU-C) will add new dairy and swine herds along with a new educational building and a greenhouse for a“bumper crop” of School of Agricultural SciMickey Latour ences students, Dean Mickey Latour told FarmWeek last week.

Currently, the ag college is cleaning its research far m dairy facility following a June liquidation of its dairy cattle.

The college plans to repopulate its dairy herd, according to Latour.

“It’s very likely we’ll have animals in January,” the dean said. That would coincide with the return of animal science professor Amer AbuGhazaleh from a six-month sabbatical, he pointed out.

SIU-C is considering “a strategic partnership,” possibly with an outside entity, that would involve dairy production as well as research and teaching components at the research farm, according to Latour. “We have to get our game together ... so we have all our needs covered,”

he said.

Until dairy cows return to the university farm, the college has adjusted the dairy science courses, and students are touring dairies and learning about software used for robotic milking.

The college also plans to change its swine herd and may “move quicker, possibly even this year” on its hog operation, Latour said. He declined to give specific details.

While the college is starting with the dairy and swine herds, it also plans to determine “if we’re doing the best we can” with its beef cows and horses, Latour said.

In addition, the college is moving forward with a new building for education and training on the farm. “We are sitting down with architects; we hope to break ground this year,” Latour said.

“We’ve also secured funds to start a new greenhouse,” the dean said. The new greenhouse would be built in the same location as the existing one on the Carbondale campus.

Three new faculty members have joined the ag college this fall. They are: Erin Venable, equine science; Srimathai Kannan, human nutrition; and Rachel Cook,

soil fertility/environmental soil science.

T h e t i m i n g c o u l d n’t b e better as SIU-C’s preliminary fall enrollment is at a “20year high” for new students and the ag college has a “bumper crop” of students, according to Latour. Specific numbers weren’t available.

“The future is very bright with a new greenhouse and teaching and research ( b u i l d i n g ) ,” L a t o u r s a i d .

“We want to be good stewards of the resources we’re g i v e n ,” i n c l u d i n g t u i t i o n dollars and money generated by the college far m operations.

“It’s extremely dry here (in Iowa) and the week of hot we a t h e r ( t h e l a s t we e k o f August) didn’t help,” Meyer told FarmWeek. “I think these grain prices could continue to go up.”

The recent increases in corn and soybean meal prices are expected to drive up hog production costs by about $5 per live hundredweight, according to Chris Hurt, Purdue University Extension economist.

“What enthusiasm was out there to expand I think has been tempered a bit,” Meyer said.

Hurt believes that, with current economics, expansion of

the swine breeding herd needs to be constrained to no more than a 3 percent increase during the next year.

The latest estimated costs of hog production nudged up to about $59 per hundredweight, Hurt said. But he predicted hog prices this fall and winter could average around $61, rise to $65 in the second quarter of 2014, and then drop to about $62 in the third quarter.

“That makes the average over the year, spanning the fourth quarter of 2013 through the third quarter of 2014, about $62.50 and provides an expected profit of

about $3.50 per hundredweight,” Hurt said.

Hog producers in recent months generally made money and were geared to expand to fill the expected void in the protein market created by dwindling cattle numbers.

U S DA l a s t m o n t h s u r prised many livestock traders when it slashed cattle placements in feedlots by 10 percent, which sug g ests even tighter supplies of beef early next year.

“Tight cattle supplies are not just 180 days down the road, though,” authors of the CME Group’s Daily Livestock Report noted. “The number of

cattle on feed for 120 days or more now numbers just 3.211 million head, 14.9 percent fewer than one year ago.”

The recent jump in feed prices was expected to snuff out the rally in feeder cattle futures.

Higher soy meal prices hit the poultry industry harder than any other sector as birds require more and higher quality protein, according to the Daily Livestock Report.

U S DA t h i s m o n t h w i l l update livestock inventory estimates with the release of its cattle on feed report Sept. 20 and the quarterly hogs and pigs report on Sept. 27.

Feed price rally could temper livestock expansion

BY DANIEL GRANT FarmWeek

The recent run-up in crop and feed prices could reduce livestock farmers’ appetites to expand their operations in the fourth quarter.

December cor n futures recently rallied 50 cents per bushel, while October soybean meal prices climbed $90 per ton from the August lows.

Steve Meyer, president of Paragon Economics, predicted crop prices could continue to edge up if key crop-growing areas of the Midwest don’t receive significant rainfall in the remaining weeks of the growing season.

GOVERNMENT

FarmWeek Page 8 Monday, September 2, 2013

RFS2 ‘realities’ feedstock for congressional debate

BY MARTIN ROSS FarmWeek

Fall could bring a chill to the ag sector if lawmakers waver in their commitment to the federal Renewable Fuel Standard (RFS2), farmers warned at a Decatur forum.

At last week’s Decatur Farm Progress Show, Collinsville Republican House Energy and Commerce Committee member John Shimkus told FarmWeek “we’re working diligently” over the August break to formulate fall recommendations regarding the future of the RFS2.

“I think our corn producers will be fine,” Shimkus said following an ag advisory roundtable conducted jointly with Taylorville Republican Rep. Rodney Davis.

However, he is concerned about the industry’s ability to “adequately predict” when commercially significant volumes of cellulosic ethanol might be available to meet RFS2 gasoline blending requirements. “We’re just trying to be realistic,” Shimkus said.

For 2013, the EPA has waived the RFS2’s cellulosic

requirement from an original statutory level of 1 billion gallons to 6 million gallons.

Shimkus suggests cellulosic uncertainty has generated “volatility” and raised prices in the market for Renewable Identification Number (RIN) credits blenders purchase when available biofuels supplies run short.

The congressman cited the economic complexities of the issue for his district and Illinois, arguing he must consider the welfare of both farmers and “my friends in Robinson who work for Marathon or those folks in Madison County who work for Philips Petroleum.”

The oil industry has ramped up attacks on the RFS2 amid extensive Energy and Commerce review of biofuels mandates. Assumption grower and roundtable participant Len Corzine argued the debate has perpetuated “negative press” regarding ethanol and a “bad rap” for agriculture overall.

“Ethanol’s competitive today, but people still want to talk about $7 corn,” Corzine lamented. He argued “we don’t need to maintain this corn ethanol mar-

ket — we need to grow it,” via market expansion and new ag feedstock development.

John Caupert, whose Edwardsville-based National Corn-to-Ethanol Research Center has worked with nextgen biofuels interests and promoted corn kernel fiber as a new biomass ethanol source, questions EPA’s foresight in waiving “99.4 percent of the (RFS2) cellulosic mandate.”

While Caupert recognizes EPA’s rationale for setting a low cellulosic target, he is concerned about “the message that sends to the investment community.”

“If the government doesn’t believe it’s going to happen, then maybe I as an investor don’t believe it’s going to happen either,” he told FarmWeek.

“We’d like to take a more realistic approach, starting with readily available feedstocks such as corn kernel fiber. This is real — we’re close to commercialization, and realistically, 12 to 24 calendar months from now, we could be having a major impact in the commercial marketplace.”

THE FUTURE IS YOURS FOR THE

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

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©2012 GROWMARK, Inc. S13268

During a joint ag advisory board meeting at the Decatur Farm Progress Show site last week, Collinsville Republican U.S. Rep. John Shimkus, second from right, outlines issues up for fall congressional debate, including the farm bill, federal regulation and his House Energy and Commerce Committee’s potential stance on the Renewable Fuel Standard. Shimkus is flanked to his left by Taylorville Republican Rep. Rodney Davis and to the right by Illinois Farm Bureau Board member Troy Uphoff. At left, Assumption grower Len Corzine was among farmers identifying policy priorities for the congressmen during the discussion at Richland Community College. (Photo by Martin Ross)

Regional program, nutrition issues challenge conferees

American Soybean Association (ASA) President Danny Murphy has traveled extensively this summer, but his mind has remained on Washington and the need for a farm bill that helps U.S. producers respond to global market signals.

During the Decatur Farm Progress Show, House Ag Committee member Rodney Davis told his ag advisory board he was confident “we’re going to get a good, commonsense farm bill passed by the end of September.”

The House voted to split food/nutrition provisions from the farm bill, raising concerns about a House-Senate conference compromise. The House is expected to consider new nutrition proposals after Congress reconvenes next week, and “my hope is we can get a farm bill and a food and nutrition bill put back together,” Davis said.

Current extension of the 2008 farm bill expires Sept. 30, and ASA’s Murphy notes “a Danny Murphy number of critical programs are going to expire Oct. 1 without a farm bill.”

“I certainly hope that when the House comes back Sept. 9, it will either move the nutrition bill forward and be able to go to conference, or allow the conference to proceed as things are now,” Murphy told FarmWeek in Decatur.

“We thought that when they split the bill apart it was just a means to get to conference, but then they decided to come back and add a nutrition bill. It’s disappointing that they’re going to take that tack.”

Murphy is concerned about the impact of fall farm bill expiration on the Market Access Program (MAP) and Foreign Market Development (FMD) export promotion program. Program funding is crucial in leveraging soy checkoff monies to maintain $12 to $14 billion in annual soy exports, he said.

Murphy, who visited China last month, said farm bill-funded MAP-FMD staff are key to maintaining Chinese ag ministry and soybean sector contacts. A South American harvest delay means U.S. growers “face a lot of competition” this fall, underlining the need for MAP-FMD support, he said.

“I was in Paraguay about a month ago,” he said. “They were experiencing delays of 45 to 60 days getting exports out.”

One key conference challenge is reconciling House and Senate target price proposals. Davis stressed House assurances for Southern growers were among “the geographical implications of getting a farm bill passed,” but Murphy cited House-Senate division “not so much over (target price) levels, but on how they treat them.”

The House essentially “couples” planting decisions with target prices, he said, while the Senate continues decoupled support. High House target prices pose “real potential to distort future plantings” should prices plummet, Murphy said. “(House-proposed) fixed target prices are, in my mind, a cap on corn and soybean prices, period,” Carmi corn grower Martin Barbre added at the ag roundtable. “We have to get back to a market-based system.” — Martin Ross

Page 9 Monday, September 2, 2013 FarmWeek

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GROWMARK

FarmWeek Page 10 Monday, September 2, 2013

GROWMARK reports solid 2013 financial growth

Solid volume growth in GROWMARK business units produced record sales for the cooperative for the 2013 fiscal year, which ended August 31.

Jeff Solberg, chief executive officer, reported unaudited, estimated sales of $10.3 billion for fiscal year 2013 at the cooperative’s annual meeting last week.

Pretax income is estimated at $220 million, one of the best years in company history. An estimated $135 million in patronage refunds will be returned to GROWMARK member cooperatives and farmer-owners.

“We began this year coming off a severe drought, but the strength of the FS System pulled us through to a very good 2013 fiscal year,” Solberg said. “Our business is built around our mission to improve the long-term profitability of our memberowners. Our sales will allow us to return significant patronage to our owners. We remain committed to their success and to the unity of our cooperative system.”

Record sales were reported for the

Crop Protection Division, the result of sales growth in all major product categories and emphasis on nutrient management and weed resistance challenges. Total crop protection sales increased 28 percent.

The Seed Division reported higher unit sales of corn and soybeans, with seed sales up 8 percent over 2012. The Plant Food Division reported the third consecutive year of record sales volume, although income will be down from last year’s strong earnings. Sales of Deere, AGCO and Case IH tractors and equipment exceeded a $100 million threshold for the first time.

The Energy Division marked another record year for total product volume. Total volume is nearly 10 percent higher than last year, driven by market share increases and an expanded marketing footprint.

Gasoline, diesel fuel, propane and lubricants all posted gains. The acquisition of the organization’s third wholesale petroleum terminal at Ashkum serves members and other customers in east central Illinois.

The purchase of Manito Transit, a small

regional carrier of petroleum products, and a small carrier located in Council Bluffs, Iowa, supports the cooperative’s transport of petroleum products, chemicals, lubricants and anhydrous ammonia.

GROWMARK continues to grow its grain business in nearly every territory segment. The addition of Eastern Grain Marketing near Kankakee was announced last fall and will be receiving grain at a new 110car shuttle loading facility on the Norfolk Southern railroad from this year’s harvest.

Despite last year’s drought, GROWMARK’s grain business performed better than expected, originating 130 million bushels. Risk management services, including MID-CO Commodities and AgriVisor LLC, posted continued strong demand for products and services.

All of GROWMARK’s retail divisions reported solid numbers. Total retail division sales are estimated at $1.7 billion, which includes record sales at East Coast subsidiaries, GROWMARK FS, LLC and SEEDWAY, LLC. Several

acquisitions, efficiency improvements, target marketing and enhanced people resources added to this year’s success.

“Although we are proud of our financial results and the growth of our system, we are aware of the challenges facing us.

There are 7 billion people on this planet today and the general view is that number will increase to 9 billion by mid-century,” Solberg said. “Our table is set to meet the challenges of a growing world population.

“And we are committed to helping our member companies and customers meet the challenges by continuing to be a reliable supplier of the products and services they need to assist their farmer-customers in meeting the food, fiber and fuel needs of a growing world population.”

GROWMARK is a regional cooperative providing agriculture-related products and services, as well as grain marketing in more than 40 states and Ontario, Canada. GROWMARK owns the FS trademark, which is used by affiliated member cooperatives. More information is available at {growmark.com}.

Reifsteck elected as GROWMARK chairman

John Reifsteck of Champaign was elected chairman of the GROWMARK Board of Directors at the cooperative’s annual meeting last week.

He succeeds Dan Kelley of Normal, who retired after serving on the board since 1995 and as chairman and president since 2000.

Watch Illinois Farm Bureau President Philip Nelson talk about Kelley’s legacy as board chair at {vimeo.com/growmark/review/73486814/8b7114 cf30}.

Reifsteck has served on the

GROWMARK board since 1993, and was one of two vice chairmen. He and his wife, Nancy, operate a corn and soybean farm in western Champaign County.

The board also re-elected Rick Nelson of Paxton as vice chairman. He has served on the board since 1990 and as vice chairman since 2004. He and his wife, Pat, operate a 2,100 acre cash grain farm. He is also president of the Ludlow Cooperative Elevator Board.

Chet Esther of Frederick

was elected vice chairman. He has served on the board since 1994. He and his wife, Lori, along with their two sons operate a 4,700-acre grain farm. He currently serves as president of Two Rivers FS. Bob Phelps of Rockton was elected secretary. He has served on the board since 1997.

He and his wife, Amy, operate a 2,200-acre family farm partnership as well as a 300-head beef feedlot.

Ron Pierson of Walnut was elected to his first term on the

GROWMARK board. Ron and his wife, Cari, operate a 1,500acre grain and cattle farm. He is active in his church and community and serves as president of Ag View FS. Kevin Herink of Clutier, Iowa, was re-elected, having served on the board since 2010.

He and his wife, Tammy, operate

a 1,500-acre family farm, market 5,000 head of hogs annually and keep a small herd of Gelbvieh cows. Herink is vice president New Century FS. Warren Jibb of Sunderland, Ontario, was elected to the board.

He operates a 750-acre dairy and crop farm with his brother and family members.

Co-ops earn performance awards Five FS member cooperatives were recognized by GROWMARK, Inc. for business performance improvement during last week’s annual meeting in Chicago.

GROWMARK measures performance improvement of member cooperatives based on return on invested capital. During a five-year time frame, each cooperative’s return on invested capital improvement is measured in comparison to other cooperatives in the system.

The cooperative with the highest degree of improvement was TriCounty FS, Inc. in Jerseyville. Dave Lewis manages the co-op and Joe Fessler serves as president.

Other co-ops rounding out the top five included: Gold Star FS, Inc., Cambridge; second; Steve Swanstrom, manager; Ron Polage, president.

Thunder Bay Cooperative, Thunder Bay, Ontario; third; Ben Posthuma, manager; Fritz Jaspers, president.

Carroll Service Company, Lanark; fourth; Ramon Woessner, manager; Rick Groen, president.

Sunderland Cooperative, Sunderland, Ontario; fifth; Blain Thompson, manager; Dale Hamilton, president during the time period being measured.

Member companies honored

GETTING PUMPED UP ON

BIODIESEL

ADDS VALUE

TO YOUR SOYBEAN CROP.

ilsoy.org

Seven GROWMARK Inc. grain cooperatives received the Ceres award during last week’s GROWMARK annual meeting.

The award is given to co-ops that achieve excellence by meeting at least three out of four criteria: earnings before interest, taxes, depreciation and amortization per storage capacity; return on invested capital; bushel retention; and GROWMARK’s capital guideline ratio.

Award-winning Illinois cooperatives include: DeLand Farmers Cooperative Grain Co., Deland; Dale Allen, manager; James Reed, president.

East Lincoln Farmers’ Grain Company, Lincoln; Paul Seaman, manager; John Adams, president.

GRAINLAND Cooperative, Eureka; Jeff Brooks, manager; Tom Kennell, president.

Kasbeer Farmers Elevator Co. Cooperative, Kasbeer; Joe Louis, manager; Kenneth Bohm, president.

Minier Cooperative Grain Company, Minier; Keith Swigart, manager; Duane Haning, president.

Prairie Central Cooperative, Inc., Chenoa; Mark Heil, manager; John Wahls, president.

Roanoke Farmers Association, Roanoke; Terry Bline, manager; Fred Vogel, president.

ENERGY

Page 11 Monday, September 2, 2013 FarmWeek

Regulatory push threat to rural power users?

BY MARTIN ROSS FarmWeek

Illinois farmers and lawmakers last week touted the need to bring the power back to rural communities and producers.

Farmers raised regulatory concerns at an ag advisory panel during the Farm Progress Show sponsored by Collinsville Republican House Energy and Commerce Committee member John Shimkus and Taylorville Republican House Ag Committee member Rodney Davis.

Shimkus urged Senate approval of House-passed legislation spearheaded by Rep. David McKinley, R-W.Va., that would prevent EPA from categorizing particulate fly ash produced through coal use as a regulated “toxic” substance.

The president’s latest call for climate-based greenhouse

gas reduction strategies already has raised concerns about the future of Midwest coal-powered plants. A toxic substance label would significantly raise costs for coal-fired power plants, thus boosting rural electric rates, Shimkus warned.

“This is an attack on coal,” he told FarmWeek. “This one doesn’t make sense, and we’re trying to use legislative language and our friends from the coalproducing states to ram this through back to the president.”

Shimkus estimates nearly 30 percent of fly ash currently is recycled — the generation byproduct is used in concrete, bricks, roofing shingles, heatresistant coatings, adhesives and ag products. Because of its alkalinity and water absorption traits, it can be used to help convert sewage sludge into fer-

Chuck Spencer, left, GROWMARK corporate and government relations executive director, presents a $70,000 check to IAA Foundation Director Susan Moore and Illinois Ag in the Classroom Education Director Kevin Daugherty at the Farm Progress Show. (Photo by Ken Kashian)

GROWMARK endows IAITC Surrounded by acres of the latest advancements in agriculture at last week’s Farm Progress Show, GROWMARK Inc. and its FS member cooperatives gave $70,000 to support 60 county-plusbased Illinois Agriculture in the Classroom (IAITC) programs.

The gift renewed GROWMARK’s commitment to IAITC and the IAA Foundation. During the last decade, GROWMARK has contributed more than $600,000 to the IAITC program. IAITC is the top funding priority of the IAA Foundation, Illinois Farm Bureau’s charitable foundation.

“Here we stand at the Farm Progress Show where people learn about advancements we’ll be using on the farm next year.

We’ve got to get that information into the classroom,” said Chuck Spencer, GROWMARK corporate and government relations executive director.

“There are going to be students with interest in agriculture careers who need to understand. There are future consumers who need to understand what agriculture is doing. IAITC is a critical part of that process,” Spencer noted.

County IAITC coalitions conduct programs and activities designed to educate students about agriculture. Grant checks totaling $525,000 will be distributed this fall to local coalitions.

The partnership between GROWMARK and IAITC goes beyond the cooperative’s significant financial contributions.

Twenty-nine county coalitions have an FS representative on their local advisory council.

“Many local FS representatives volunteer in the classroom, at expo events or provide career-based information to teachers during teacher training sessions,” said Kevin Daugherty, IAITC education director. “FS is a local connection to the inputs so valuable to agriculture. Students and teachers see the FS signs and know there are local people employed in this valuable agriculture sector. This local connection makes an even greater impact in schools.”

Last year, IAITC reached more than 508,000 students and 31,300 teachers through classroom presentations and other agriculture learning experiences.

“Through our dedicated volunteers and county coalition staff members, IAITC is making a significant impact in helping more young consumers understand agriculture and the important role of the farmer,” said Susan Moore, IAA Foundation director. “Our donors see this, too, and we are grateful for major gifts like GROWMARK’s to keep local programs viable.”

tilizer or even biofuels.

Washington County Farm Bureau President Gale Koelling charged President Obama with “trying to bypass Congress on almost every issue” through executive or agency authority.

Greenhouse emissions and ash regulation threaten area coal production and generation “central to our economic activity and tax base,” said Mont-

gomery County Board and Vision for Illinois Agriculture member Heather Hampton.

Davis, who cited perennial concerns about possible “rural road dust” regulation, seeks Senate approval of his proposal to require USDA consultation on proposed new EPA ag rules. He noted farm bill inclusion of measures to prevent EPA from regulating pretreat-

ed seeds produced abroad for U.S. use in the same manner as imported liquid pesticides.

“Seeds were sitting at port waiting to be inspected,” Davis told farmers. “This goes back to the type of administration we have that uses its regulatory power to exact its will, instead of using the regulatory process.

They know Congress won’t stand for some of these ideas.”

Kernel fiber expected to enrich ethanol diet

John Caupert and his colleagues at the National Corn-to-Ethanol Research Center (NCERC) are anxiously awaiting what he anticipates to be a “very, very good day for all of the corn industry.”

The U.S. Environmental Protection Agency (EPA) continues to review an NCERC-supported application for approval of corn kernel fiber as a “crop residue” that could be used as a cellulosic/“advanced” biofuels feedstock.

Acceptance of that current ethanol processing “waste” fiber as a feedstock that offers greenhouse gas reductions beyond those of conventional corn ethanol would open billions in expanded future ethanol demand for the corn sector under the federal Renewable Fuel Standard.

“We have commercial ethanol plants ready to adopt this conversion technology today,” Caupert told FarmWeek. “They’re simply waiting for a decision by EPA.” The researcher was “very happy” about EPA’s 2012 approval of grain sorghum as an advanced feedstock, noting an expanded shift to sorghum-

based biofuels particularly on the West Coast.

New sorghum profit potential could provide an additional option for Illinois growers looking to capitalize on more marginal ground.

Caupert is buoyed by prospects for EPA approving RFS2-compatible use of biomass and sweet sorghum. He noted data supporting “astronomical gains in theoretical yields” for ethanol plants that blend sweet sorghum with corn or grain sorghum.

The key to expanding corn’s biofuels reach lies in “bolt-on technologies” that enable plants to alternately or even simultaneously process a variety of feedstocks. Iowa-based Quad County Corn Processors, which recently broke ground for one of a series of anticipated commercial cellulosic operations, is using one such process. Adding Cellulosic Ethanol or ACE technology adds a second round of fiber fermentation following initial starch-to-sugar conversion and fermentation.

“There are many corn ethanol plants waiting to adopt these technologies today,” Caupert said. — Martin Ross

PRODUCTION

FarmWeek Page 12 Monday, September 2, 2013

Declare status before deadline or risk losing CDL

BY KAY SHIPMAN FarmWeek

A farmer with a commercial driver’s license (CDL) must declare his medical card status before Jan. 30, according to Terry Montalbano, the CDL administrator with the Illinois Secretary of State office.

Under a new federal law, every driver with a CDL must visit one of 47 state CDL facilities to declare which of four medical card categories is applicable. If someone’s CDL expires before Jan. 30, that

FarmWeekNow.com

Additional information about the CDL requirements can be found at FarmWeekNow.com.

individual may take care of the matter while renewing the license, Montalbano said.

Drivers who fail to declare their status by the deadline will have their CDLs suspended.

By early August, 71 percent of drivers had declared their status. That still leaves 135,000

drivers at risk of losing their CDLs. A driver with a CDL who does 100 percent of his transportation duties within the state’s borders would declare his status as “intrastate.”

However, a driver with a CDL who crosses the state border, no matter the distance, would declare his status as “interstate,” according to Montalbano.

The intrastate section offers a nonexcepted category for those subject to federal driver qualification requirements. An “excepted intrastate” category

is offered for those who are excepted from all or parts of the state driver qualification requirements, such as the medical card.

“If they have a CDL, they must declare,” Montalbano said. “As farmers, if driving a straight truck, they would be exempt (from the driver qualification requirement) within their 150 miles across state lines doing farming business, etc. So that farmer can either mark EI (excepted interstate) or EA (excepted intrastate), and neither is wrong.

“However, if that same farmer does nonfarm work in the off season and crosses state lines for commercial purposes, he must mark NI (non-excepted interstate) and that covers all transactions,” Montalbano said.

Kevin Rund, Illinois Farm Bureau transportation specialist, further explained the situation. Before completing the certification process, drivers will have to answer two questions.

First, do they drive a truck outside of Illinois or stay whol-

ly within the state? Second, are they required to have a medical card?

Once drivers have answered those questions, they’ll be able to determine their correct category from among the four — EI, EA, NI and NA (nonexcepted intrastate — offered by the secretary of state).

Certain farmers are eligible for an exception from having to have a medical card, Rund said.

However, that exception does not extend to farmers who

drive a combination vehicle, such as a semi or truck-trailer that has a 10,001-or morepound gross combination weight rating (GCWR), Rund added.

More information about this requirement can be found on {ilfb.org}.

Look under the policy and issues icon, then click on “current issues,” then “transportation and infrastructure.” Look for the “medical card certification” option.

Illinois soybean growers mark past, focus on future

BY DANIEL GRANT FarmWeek

Illinois soybean growers are celebrating the past as the 50th anniversary of the formation of the Illinois Soybean Association (ISA) draws near.

ISA last week at the Farm Progress Show kicked off a yearlong celebration of its golden anniversary.

ISA also remains focused on the future as its members continually seek to help farmers increase production, improve quality of their products and build demand for soybeans worldwide.

“This will be our 50th year and we’re also celebrating 100 years of soybean growth in Illinois,” Bill Raben, newly elected ISA chairman and a farmer from Ridgway (Gallatin County), told FarmWeek at the Farm Progress Show. “A hundred years ago, we had about 2,000 acres of soybeans in Illinois. Today it’s about 9 million acres.”

One of ISA’s goals is to produce and create demand for 600 million bushels of beans. Illinois farmers this year are expected to harvest about 440 million bushels of beans.

“Our purpose is to not just produce more Bill Raben beans, but also to use 600 million bushels, whether it’s domestic or through exports,” Raben said. “We need to pick up about 150 million bushels (of demand).”

One of the ways to expand demand is to improve the quality of the product.

ISA will continue to work with farmers and seed companies to emphasize the need to boost the protein and oil content of beans produced in the state.

“It’s important to look at the composition of beans,” Raben said. “Our (protein and oil) levels unfortunately have been on a steady decline.”

Many global customers prefer soybeans with at least 35 percent protein and 19 percent oil. Last year, Illinois’ bean crop averaged about 34.3 percent protein, according to Raben.

The climate is key to determining the composition of soybeans, but farmers can improve the quality of their beans by planting varieties that produce a higher content of protein and oil.

It therefore is important for seed companies to put more emphasis on composition. Some varieties currently don’t include protein and oil levels on the label.

“We need to get out in front (of the issue),” Raben said.

“There are varieties out there that yield as good as anything we plant that have a higher protein and oil content.

“We (farmers) have to realize that when we take beans to market, even though we don’t see it on the weigh scale tickets,” he continued. “We’re getting docked 20 to 30 cents per bushel on soybeans going into the world market because of quality issues.”

One of Raben’s other top goals as ISA chairman is to expand membership and encourage more farmers to tell their stories to consumers and urban lawmakers.

ISA was created in 1964 as the Land of Lincoln Soybean Association by Champaign County farmer Lyle Grace. The initial goal of the organization was to provide legislative representation for soybean growers. The group also now administers the soy checkoff program in Illinois.

For more information, visit the website {ilsoy.org}.

FROM THE COUNTIES

Page 13 Monday, September 2, 2013 FarmWeek

B

UREAU — Farm Bureau will host a fall task force meeting at 6 p.m.

Thursday at the Farm Bureau building. Task forces will include: education, member relations, farm business, government and policy. Call the Farm Bureau office at 8756468 to join a task force or for more information.

• The Young Leaders Committee will sponsor a farm labor pool listing for Bureau County residents. Contact the Farm Bureau office at 8756468 or email jillfrueh.bcfb@comcast.net for forms and more information. Deadline for sign up is Sept. 23.

• Farm Bureau and Illinois Ag in the Classroom will host a seminar from 4:30 to 6:30 p.m. Sept. 11 at the Farm Bureau building for teachers to meet with Sara Hildebrand, Bureau County AITC coordinator. Call the Farm Bureau office at 875-6468 or email aitc.bcfb@comcast.net for reservations or more information. Continuing Education Credits will be available for this seminar.

HRISTIAN — Farm Bureau will co-sponsor a 2013 yield study tour at 9:30 a.m. Thursday beginning at the Farm Bureau office. Call the Farm Bureau office at 824-2940 for reservations.

OOK — Farm Bureau is offering discounted tickets to Raging Waves Water Park in Yorkville. To purchase tickets visit {tickets.ragingwaves.com}.

• Farm Bureau is offering discounted tickets to Medieval Times Dinner and Tournament. Visit the ‘Members Only’ section of {cookcfb.org} for more information and a direct link to purchase tickets.

• Far m Bureau will sponsor a two-day hunter safety course from 9 a.m. to 3 p.m. Oct. 5 and 10 a.m. to 4 p.m. Oct. 6 at the Far m Bureau building. Call the Far m Bureau office at 708-354-3276 for reser vations.

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Tuesday: • Bryce Anderson, DTN chief ag meteorologist • Michelle Damico, professional communicator; effective blogging • Steve Meyer, Ph.D., Paragon Economics; livestock report Wednesday: • Tim Schweizer, Illinois Department of Natural Resources; fall hunting season • Darren Bohannan, Bayer Crop Science technical service representative; current field conditions • Paul La Schiazza, AT&T

F

AYETTE — Farm Bureau will sponsor a crop tour beginning at 8:30 a.m. Sept. 12 at the Vandalia Country Club. Dinner will be served at 6:30 p.m. at the Farm Bureau office. Cost is $5. Call the Farm Bureau office or a Farm Bureau director for tickets or more information.

ENRY — Farm Bureau will co-sponsor a Market Outlook Seminar at 6:15 p.m. Sept. 12 at the Lavender Crest Winery, Colona. Bill Tierney, AgResource Company chief economist, and Mike Schaver, Gold Star FS grain merchandiser, will be the speakers. Cost is $60 for the series and $20 for a single session if registered by Thursday. Cost is $30 per session after the deadline. Call the Farm Bureau office at 9372411 for reservations.

ASALLE — Farm Bureau will host a seed plot day at 5:30 p.m. Sept. 10 one-half mile north of Route 6 at the corner of East 12th Rd and 2950th Rd. Todd Zehr, Soil-Biotics, will be the speaker. Members will receive two free tickets. Call the Farm Bureau office for tickets or more information.

ACON — Farm Bureau will sponsor an oil recycling day 9 to 11 a.m. at Macon Evergreen FS, and 1 to 3 p.m. at Maroa Evergreen FS on Sept. 13. Call the Farm Bureau office at 8772436 for more information.

ADISON — The Young Farmers Committee will sponsor a CPR class from 6 to 9 p.m. Sept. 18 in the Farm Bureau auditorium. Cost is $10. Call the Farm Bureau office at 656-5191 for reservations by Sept. 11.

ERCER — Farm Bureau will sponsor a fall outlook program at 7:30 p.m. Thursday in the Farm Bureau basement. Deb Moore will speak about her experiences on the Illinois Farm Bureau European Union Animal Care Study Tour. Call the Farm Bureau office at 5825116 for more information.

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Illinois president; “It Can Wait” campaign Thursday: • Illinois Corn Growers representative • Frank Butterfield, Landmarks Illinois director of Springfield Field Office; historic sites Friday: • Sara Wyant, Agri-Pulse publisher • Mike Doherty, Illinois Farm Bureau senior economist • Story time with Alan Jarand To find a radio station near you that carries the RFD Radio Network, go to FarmWeekNow.com, click on “Radio,” then click on “Affiliates.”

• Farm Bureau will sponsor a state legislative roundtable at 6 p.m. Sept. 10 at the Reynolds American Legion. Kevin Semlow, Illinois Farm Bureau director of state legislation, will be the speaker. Call the Farm Bureau office at 5825116 for reservations or more information by Friday.

ONROE — Farm Bureau will sponsor the Mon-Clair Corn Growers test plot tour at 6 p.m.

Wednesday at Matt Schaefer’s field in Monroe County. Dinner and program will follow at 7 p.m. at Sand Bank School.

ONTGOMERY — Prime Timers will meet at noon Sept. 18 at the Farm Bureau building. Scrap Iron and Gold will perform.

Cost is $9. Call 532-6171 for reservations or more information.

• Prime Timers will see “Deck the Halls” Dec. 1 at Conklin’s Barn II Dinner Theatre in Goodfield. Price is $75.

Call Pegasus Travel Agency at 217-532-6906 for reservations.

EORIA — Prime Timers will meet for lunch and a tour at 11:30 a.m.

Wednesday at the Hanger Too

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restaurant at the Peoria International Airport. Call the Farm Bureau office at 6867070 for reservations.

OCK ISLAND — Farm Bureau will cosponsor a Market Outlook Seminar at 6:15 p.m. Sept. 12 at the Lavender Crest Winery, Colona. Bill Tierney, AgResource Company chief economist, and Mike Schaver, Gold Star FS grain merchandiser, will be the speakers. Cost is $60 for the series and $20 for a single session if registered

by Thursday. Cost is $30 per session after the deadline. Call the Farm Bureau office at 7367432 for reservations.

T. CLAIR — Farm Bureau will sponsor a test plot tour at 6 p.m. Sept.

11 at Greg Guenther’s farm.

Dinner and program will follow at 7 p.m. at the Farm Bureau office. Call 939-6197 or 233-6800 for reservations

by Wednesday.

• The Young Farmers Committee will co-sponsor a truck inspection workshop at 6:30 p.m. Wednesday at the St. Libory Fire House. Call the Farm Bureau office at 233-6800 for reservations by

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Tuesday.

• The Young Farmers Committee will sponsor a shred day from 9 a.m. to noon Sept. 14 at the Farm Bureau office.

ANGAMON — Farm Bureau will host a corn yield survey at 7 a.m. Thursday at the Farm Bureau office. Call the Farm Bureau office at 753-5200 to sign up or for more information.

ERMILION — Farm Bureau will sponsor an Agriculture in the Classroom open house from 3 to 7 p.m. Wednesday in the Farm Bureau auditorium.

ASHINGTON — The Young Leaders Committee will co-sponsor a truck inspection workshop at 6:30 p.m. Wednesday at the St. Libory Fire House. Call the Farm Bureau office at 327-3081 for reservations by Tuesday.

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

PROFITABILITY

FarmWeek Page 14 Monday, September 2, 2013

Take the time to walk the line in corn, soybean fields A year ago at this time many of you were a month into harvest. This year, most all of you are probably a month away from starting harvest. Wow, what a difference in two growing seasons.

The delayed harvest has presented you with an opportunity. The opportunity is to grab your crop specialist and take a walk in your corn and soybean fields one last time before harvest.

There is no more valuable time Lance Ruppert to look at what went right and possibly diagnose what went wrong with this year’s crop.

The saddest thing, as a former sales representative, was getting a call from a disappointed customer after

BY LANCE RUPPERT

they had combined the entire field and wanted to know what went wrong.

Take the time to make one last look. It is well worth the effort and will give you things to improve upon for next year. This last walk will also give you an opportunity to evaluate hybrids and varieties that are available from seed companies to plant next year. The last two years have been challenging from a seed supply standpoint, and this year’s seed crop is far from harvested. Seed sellers everywhere will be contacting growers to get their orders in early. But how can you order early before you know how things yield?

Seed companies spend millions of dollars developing and testing their hybrids and varieties. Genetic gain and the understanding of the genes that make up today’s seed products are better understood than ever before. Multiple years of large geographical areas of

testing, data collection and analysis of how products perform on specific soil types and under certain environmental conditions help savvy seed representatives position hybrids and varieties for growers at a higher success rate every year.

Advantages to ordering early are maximizing your ability to get the genetics that best fit your farms and fields, while maximizing discounts. So call your crop specialist and walk your fields one last time before harvest to better understand what caused success or failure, and to investigate the hybrids and varieties to develop your list of seed products to plant next year.

Lance Ruppert is GROWMARK’s agronomy marketing and IMP manager. His email address is lruppert@growmark.com.

Farm equipment manufacturers revved up about sales so far this year

BY DANIEL GRANT FarmWeek

A steady stream of tractors and combines rolled off assembly lines and into machine sheds so far this year.

And equipment manufacturers at the Farm Progress Show last week were optimistic the good times will continue in the ag sector.

“Our third quarter results showed record sales and profits,” Barry Nelson, manager of media relations for the John Deere Ag and Turf Division, told FarmWeek.

John Deere worldwide net sales and revenue the first nine months this year increased 8 percent, the Moline-based company recently reported.

CNH Global, Burr Ridge, reported similar success as its

Participants at the Farm Progress Show in Decatur check out a new combine at the New Holland display area. Equipment manufacturers at the show were optimistic about machinery sales. (Photos by Daniel Grant)

second quarter net sales this year increased 9 percent to $5.5 billion.

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) $33.79-$48.00 $41.58 40 lbs. (cash) $50.00-$58.00 $55.95 Recipts

This Week 95,243 *Eastern Corn Belt prices picked up at seller’s farm

Last Week 77,155

Eastern Corn Belt direct hogs (plant delivered) Carcass Live

(Prices $ per hundredweight) This week Prev. week Change $86.10 $91.50 -$5.40 $63.71 $67.71 -$4.00

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

This week $123.46 $123.66

Prev. week $123.94 NA

Change -$0.48 NA

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 $155.32 $155.59 -$0.27

Lamb prices Slaughter Prices — Negotiated, Live, wooled and shorn 125-158 lbs. for 105.26-138 $/cwt. (wtd. ave. 116.36); wooled and shorn 171-180 lbs. for $114-116 $/cwt. (wtd. ave. $114.70/cwt.)

Export inspections (Million bushels) Week ending Soybeans Wheat Corn 8/22/2013 2.5 31.2 12.0 8/15/2013 5.3 33.8 7.2 Last year 17.5 18.9 15.1 Season total 1310.7 304.0 677.9 Previous season total 1350.4 232.9 1490.5 USDA projected total 1330 1075 700 Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.

Both companies look for farm equipment sales to be up about 5 percent for the year.

Nationwide, total sales of farm tractors from January to July were up 12.6 percent compared to the same time last year, the Association of Equipment Manufacturers (AEM) reported.

Sales of self-propelled combines during the same time this year increased 35.6 percent compared to a year ago, according to AEM. “We’re optimistic and positive looking ahead,” said Ash Alt, field marketing manager

for AGCO’s high horsepower tractors.

Equipment sales have benefitted from strong net farm income in recent years. USDA last week projected 2013 U.S. net farm income could total $120.6 billion, which would be up $6.8 billion from last year, but 5.9 percent below the February estimate.

If realized, this year’s net farm income (adjusted for inflation) would be the secondhighest on record since 1973.

Farmers also upgraded equipment in recent years to take advantage of technological upgrades that improve efficiency and meet or exceed tighter emission standards.

John Deere at the Farm Progress Show promoted its new 7R series tractors (210 to 290 horsepower) that are compliant with final Tier 4 emission standards.

“It’s one of the most advanced tractors we’ve ever built,” said Nelson, who has been with John Deere 33 years.

“Every new machine we are introducing provides more power and productivity,” he continued. “Not only do they have cleaner burning engines, but more horsepower.”

Many of the new tractors have transmission systems that

automatically shift and adjust RPMs to match the desired groundspeed.

The latest AGCO engines also provide more power and up to a 13 percent fuel savings, Alt noted.

“It takes the guesswork out of it,” he said.

New tractors unveiled at the Farm Progress Show also had the most advanced data collection and management systems currently available.

Ash Alt, field marketing manager/high horsepower tractors for AGCO, discusses the capabilities of a Massey Ferguson 8600 tractor during the Farm Progress Show in Decatur. The left side of the tractor was exposed to better illustrate to show participants the efficiency and power of the tractor and how the power gets to the ground.

Field data expected to help farmers in ‘Pursuit of 300’

Farmers involved in Mosaic Company’s Pursuit of 300 program not only will harvest bushels this fall, but also valuable information.

Mosaic introduced the program last year to stimulate discussion among farmers and industry experts to push innovation in an attempt to make 300-bushel corn yields a reality.

“It’s not a contest,” Brady Skoglund, of Mosaic Co., told FarmWeek recently at the Farm Progress Show in Decatur. “We picked farmers (for the Pursuit of 300 program) who are looking for ways to be innovative on their farms.”

The agronomic principles of the program are a balanced crop nutrition system (including micronutrients) tailored to the needs of each field, methods to maximize light interception and root growth of each plant, and methods to minimize the impact of weather variability and stress from diseases, insects and weeds.

Farmers in the program are from Illinois, Indiana, Iowa, Kansas, Minnesota and Nebraska. They selected the highest-yielding, bestadapted genetics for each field.

They’re comparing the effect of everything from row spacing and plant populations to various nitrogen applications on corn yields.

“We’ve noticed the growers (in the program) are talking to each other and sharing information about production practices,” Skoglund said.

Farmers in the future are expected to increase crop yields to keep up with demand growth.

“Obviously, with increasing demand for food (from a growing population) we can’t increase land, so we’ve got to increase what we do with it,” Skoglund added.

For more information about the program visit the website {pursuitof300.com}. — Daniel Grant

PROFITABILITY

Page 15 Monday, September 2, 2013 FarmWeek

CASH STRATEGIST

Crop condition ratings still good

As the growing season draws to an end, the weekly crop condition ratings may be starting to define the potential size of this year’s corn and soybean crops. The pattern that has unfolded on this year’s crop condition index seems to be following 1995’s more closely than any of the other 25 years ratings have been available.

Even then, there is an important difference that should be noted — the mid-summer decline. It showed up this year, especially in corn, but was not as pronounced as it was in 1995. In July 1995, the Midwest had a series of 4 to 6 days of 90- to 100-degree heat, right at the time much of the corn was pollinating. This year, conditions were mild through that period, allowing corn to pollinate

well in most areas.

Using 1995 as a guideline, yield models based on the condition ratings suggest the corn yield on the September USDA report should be close to the August estimate, 154.4 bushels.

For soybeans, the models suggest they could project a yield just under 42 bushels, down from August’s 42.6.

Because this year’s corn crop didn’t have pollination issues, corn ear counts and weights shouldn’t take the hit they did in 1995. Subsequent USDA yield projections shouldn’t decline as much as they did that year. Still, the final yield could slip toward 152 bushels.

Soybean yields should slip the September USDA forecast given the late season heat. Still, we don’t believe they will drop much below 41 bushels. Last year’s late rains notwithstanding, we don’t see a yield as low as last year’s 39.6 bushels. And that still leaves the world adequately supplied with soybeans (see last week).

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Corn Strategy

ü2012 crop: We have been told some corn has arrived on the Illinois River from the southern harvest. The current heat is pushing the Midwestern harvest toward maturity quicker.

Any premiums that still exist for old-crop will not last long. Use strength to wrap up sales. ü2013 crop: The ease with which prices declined after December pushed over $5 illustrated the weakness the market still confronts. Use rallies to $4.90 on December futures to make needed sales. vFundamentals: There’s no denying the current warm, dry weather has cut into crop potential. But the generally mild conditions that prevailed during pollination insured this crop would be a reasonably good one. Even using a smaller production, it’s difficult to forecast an ending stock for the new-crop year that’s under 1.5 billion bushels. The consensus is that producers only have 10 to 15 percent of the new crop priced. At some point, producers are going to have to make sales to satisfy cash flow needs.

Cents per bu.

Soybean Strategy

ü2012 crop: The shortterm soybean market is the most difficult to forecast, with prices dependent on the weather. Still, the premiums that oldcrop prices have over new have an increasingly short life span.

Use this rally to wrap up sales. ü2013 crop: The premium nearby contracts have to distant ones continues to tell you not to store soybeans this year, especially if it has to be done commercially. Depending on the price structure when you harvest, it may pay to sell inventories off the combine. As it is, use strength to make catch-up sales. vFundamentals: At this date, and with this weather, the size of the soybean crop is in question. But we don’t anticipate a disastrous crop either. The bigger buyers on this rally have been the trading funds. End users have not aggressively chased the market up. Larger supplies left from last spring’s South American crop, and forecasts for an even larger one next spring should

keep supplies from matching the tightness of the last year.

Wheat Strategy

ü2013 crop: Chicago December futures made it to $6.75 briefly, offering a spot to make a sale if you needed.

Even though we believe there may be downside risk in the future, for now the market continues to act like it has entered a consolidation phase.

Use rallies to $6.75 for catchup sales. Plan to add to sales if Chicago December gets to $6.90. If wheat is farm stored, consider a winter/spring HTA. ü2014 crop: Given the

moisture improvement in the Southern Plains, we plan to look for initial pricing opportunities on a fall/winter rally. vFundamentals: Even though U.S. wheat is still mostly priced above other competitors in the world trade, our export book continues to expand at a good pace. The 556.8 million bushel new-crop sales are higher than any time since 2007, and the second highest in the last 20 years. But with big supplies to come out of the Black Sea countries, Europe and Canada, there is concern that activity could slow, especially if prices rise modestly.

PERSPECTIVES

FarmWeek Page 16 Monday, September 2, 2013

Unemployment rate continues downward

Kankakee County’s first farm adviser John Collier, right, confers with a local farmer in the early days of Extension.Collier and DeKalb County’s W.G. Eckhardt were the state’s first county farm advisers.

(Photo courtesy Kankakee County Farm Bureau)

U of I Extension’s first 100 years

Throughout its 100-year history, University of Illinois Extension has addressed three major issues — food, economic development and youth.

While the questions of today are different than they were in 1914, questions and opportunities remain in these same areas for which Extension programs can help people help themselves. And the need for research-based educational programs to continue is as great today as it was in 1914 when the organization began.

With the dramatic shift in demographics from 40 percent rural to 90 percent urban, new BOB food and nutritional problems HOEFT have surfaced. These include obesity, poor nutrition, a general distrust of the food system and “food deserts,” which refers to the inability of individuals to have access to full-service grocery stores that sell nutritious products.

Food deserts are found in both rural and urban areas. In the rural areas, a low population will not support full-service stores within a reasonable commuting distance for many, especially the elderly and others who cannot drive. In some urban areas, fullservice grocery stores will not or cannot operate profitably and public transportation doesn’t reach outlying stores. In both cases, individuals are forced to live on processed foods that do not provide adequate nutrition to minimize obesity and its associated health problems.

Extension is working on ways to overcome food deserts by transporting the people to quality food and/or food to the people within those neighborhoods.

Inadequate nutrition negatively impacts the physical and mental development of children.

While the problem occurs in all segments of society, it is worse in the financially challenged population. With strong support from USDA, Extension targets at-risk populations with research-based programs on the importance of balanced diets that include fresh fruits and vegetables.

With fewer people living in rural areas, there are fewer people with an understanding of the food system. Lack of knowledge creates distrust, which in turn allows misinformation to penetrate society.

Extension provides research-based programs documenting the safety and security of the U.S.

food system. Using technology created by science and engineering, 27,000 producers farm nearly 90 percent of the Illinois crop acreage, compared to 228,000 producers farming the same acreage in 1914.

Recognizing that today’s producer no longer uses a generalist for information, U of I Extension has chosen to deliver its agriculturally related Extension programs through highly trained educators located on research farms around the state and state specialists on campus.

Agricultural production has increased by several magnitudes in the last century and must continue at an even faster rate to meet the needs of the world population by 2050. Such growth can come only from research-based technology development transmitted through Extension programs.

Economic development is linked closely with agricultural productivity and the wise use of energy.

Extension energy and environment teams are building strong programs in the areas of fracking, bioenergy and wind as these are related to the land.

The number of small farms, most of which are producing specialty crops, also has grown rapidly in recent years. These higher-value crops increase the economic growth in the area and provide a more economical supply of fruits and vegetables for local communities. Many of these producers are firsttime farmers who need research-based programs to help them make good decisions.

The old adage about our youth being our future is a strong motivator for programs that keep up with the times — both the past 100 years and today.

In fact, for the first time in the history of Illinois Extension, every unit has a youth development educator on staff.

These educators work with volunteers to provide programs that expand learning opportunities for rural and urban youth. New programs that incorporate modern technology are attracting even more young people into 4-H. Many of the leaders of local communities were 4-H members as youth and many future leaders in agriculture and other professions will come from 4-H for the next 100 years of U of I Extension, continuing to extend knowledge and change lives.

Resistant corn approval revisited

– 2,4-D on corn. If there were smartweeds in the field, you added a couple ounces of Banvel (dicamba).

That’s 60 years of evidence in one paragraph.

DAVID SCHAEFER Beecher City

Bob Hoeft is interim associate dean for Extension and outreach in the University of Illinois College of Agricultural, Consumer and Environmental Sciences.

LETTER TO THE EDITOR

Editor: The gentleman defending the government’s delay in approving 2,4-D resistant corn is so misinformed. The entire custom application industry in the Midwest in the ‘50s and ‘60s largely involved only one product on one crop

Why is the unemployment rate falling so fast? What kind of stupid question is that?

Sure, the 7.4 percent unemployment rate in July is down from 10 percent in October 2009. But 7.4 percent is higher than any unemployment rate during or after the 2001 recession. And LARRY it’s near the DEBOER peak unemployment rate after the 1990-91 recession (7.8 percent in June 1992).

Down to 7.4 percent in July 2013. You call that fast?

OK, the unemployment rate is falling fast, considering how slowly the economy is growing.

Let’s look at the yearly growth rates for inflationadjusted gross domestic product — that’s “real growth” — from 1963-2013. We’ll use the half-year numbers for 2013 just so we can include this year. Real growth averaged 3.1 percent per year during those 50 years.

There were 14 years when real growth was slower than 2.5 percent. In 12 of those years, the unemployment rate went up.

The exceptions are 2011 and 2013. In both of those years, the economy grew slowly, but the unemployment rate still went down. Since 1963, there have been 22 years when real growth was less than 3 percent.

In 16 of those years, the unemployment rate went up. Three of the six exceptional years are 2011, 2012 and 2013.

Real growth from 2010-11 was 1.8 percent. The unemployment rate dropped from 9.6 percent to 8.9 percent. In 2012, real growth was 2.8 percent, and the unemployment rate dropped to 8.1 percent.

Real growth so far in 2013 is 1.4 percent, and the unemployment rate has dropped again, to 7.4 percent.

With the economy growing as slowly as it has, the unemployment rate should be going up. Instead it’s going down.

Why? Let’s back up the question.

Why does the economy have to grow at all to keep the unemployment rate from rising? Why do we have to run to stay in the same place? It’s because the labor force keeps growing.

Kids turn 16 and become eligible to work. Young people graduate from high school and college and start looking for jobs. The economy has to grow to create jobs for these new workers or they’ll be unem-

ployed, and the unemployment rate will rise.

From 1963-2011, the labor force grew an average of 1.6 percent per year. From 2011 to mid-2013, it’s grown 0.7 percent per year. Labor force growth has slowed down. So, we don’t have to create as many jobs to bring the unemployment rate down. An economy growing at 1.4 percent creates enough jobs to employ those few new workers, and more.

So why is the labor force growing slowly?

Part of the reason must be the severity of the Great Recession. The Bureau of Labor Statistics (BLS) measures “discouraged workers,” who searched for work without success for so long that they gave up. If they’re not working and not searching, they’re not counted as part of the labor force.

As the economy recovers, discouraged workers usually start looking again, and the number of discouraged workers declines. But in January 2011, the BLS estimated there were 993,000 discouraged workers, and in July 2013 there were still 988,000.

The recession was so bad — and the recovery so slow — that hundreds of thousands of people who would ordinarily be looking for work are still waiting. That makes the unemployment rate fall faster.

The Great Recession was so severe that the labor force actually decreased for a while. From August 2009 to August 2011, it decreased in most months.

The last time the labor force decreased was July 1962. Before then, labor force decreases during or after recessions were pretty common.

Consider 1962. The original 1946 baby boomers turned 16.

The labor force grew fast through the early 1980s as the boomers came of age. Now, though, the first baby boomers are starting to retire. It may be that labor force growth will be slower from now on.

These days, it probably takes real growth above 1 percent to 1.5 percent to bring the unemployment rate down, not 2.5 percent to 3 percent.

We should expect continued decreases in the unemployment rate this year and next, even with our lukewarm recovery.

Down is still better than up, but the falling unemployment rate isn’t really the good news it once was.

Larry DeBoer is an agricultural economics professor at Purdue University, West Lafayette, Ind. His email address is ldeboer@purdue.edu.