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CWB unveils plan to raise new equity CWB says it will develop a network of grain handling assets (elevators) across Western Canada

By Allan Dawson staff / winnipeg

W

estern Canadian farmers will get $5 of equity in a privatized CWB for every tonne sold to the CWB this crop year.

The offer was recently posted on CWB’s website, Gord Flaten, CWB’s vice-president for grain procurement, said in an interview. Details were issued to grain companies Sept. 19 and information is also being sent directly to farmers.

“This is a unique way for farmers to own a piece of the value chain,” Flaten said. “Farmers do not have to write a cheque to pay for the opportunity. It really is cost-free for the farmers who are going to own that equity. I think that’s an attractive part of the plan.”

Flaten said the privatized CWB will develop “a network of grain handling assets (elevators) across Western Canada,” but the structure of the new company will be announced later.

“The concept is that farmers would own a piece of the company,” Flaten said. “We expect them to be a minority owners, but they would own an important portion of it.

“The farmer-ownership piece is something we decided really needs to be rolled out operationally

see CWB } page 7

The Waldron Ranch stretches along the eastern slopes of the Rockies and supports both wildlife and 11,000 head of cattle. Photo: Kyle Marquardt

Historic conservation agreement reached for Waldron ranch Largest conservation agreement in Canadian history protects nearly 31,000 acres from cultivation, subdivision and development

By Jennifer Blair af staff / red deer

A

piece of Alberta’s prime grazing lands may be preserved forever thanks to a historic conservation agreement between the Nature Conservancy of Canada and the Waldron Grazing Co-operative.

Once finalized, the agreement will allow the conservancy to purchase a conserva-

tion easement for $37.5 million from the co-op, protecting nearly 31,000 acres from cultivation, subdivision, and development. It’s the largest conservation agreement in Canadian history.

“As a conservation organization, we try to conserve places that have high conservation value,” said Larry Simpson, the conservancy’s associate regional vicepresident. “The Waldron certainly fits that description.”

The Waldron is in an area known as

the Last Five Miles, a small ecosystem stretching along the eastern slopes of the Rocky Mountains that supports both wildlife and the 11,000 head of cattle that graze there.

Through the agreement with the Waldron Grazing Co-operative, the conservancy hopes to preserve the last remaining stand of the Northern Great Plains from further development.

see WALDRON } page 6

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news » inside this week

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inside » Plenty of competition Canada wheat vies for market share

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

livestock

crops

columNists

Cheap can be expensive

Making corn bee-safe

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‘Ig Nobel’ prize for British livestock researchers staff

I

t is now scientifically proven. The longer a cow has been lying down, the more likely that she will soon stand up. And once a cow stands up, you cannot easily predict how soon she will lie down again.

Five British researchers who reached that conclusion were among this year’s winners of the “Ig Nobel” prize, a humorous take-off on the better-known Nobel version.

“Improbable Research,” sponsor of the event, says the Ig Nobel Prizes honour achievements that first make people laugh, and then make them think. According to its website, “The prizes are intended to celebrate the unusual, honour the imaginative — and spur people’s interest in science, medicine, and technology.”

Every year, in a gala ceremony, the prizes are handed out by real Nobel laureates. They are sometimes awarded for tongue-in-cheek research, but others are for spinoffs from more serious research.

Other winners this year: • A study that found that people consider themselves more attractive after drinking.

• A study that showed dung beetles navigate using the Milky Way. • A design for an device to trap airline hijackers and eject them by parachute.

• Proving that people could run across the surface of a pond — if it were on the moon.

• Discovery that the biochemical process by which onions make people cry is even more complicated than scientists previously realized.

• Determining which bones of a shrew would dissolve inside the human digestive system.

• Surgical management of an epidemic of penile amputations in Siam, except in cases where the amputated penis had been partially eaten by a duck.

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Why the Colorado rain stayed south

14

brenda schoepp Think long term when feeding cattle

(H)en-riched experience Manitoba farmers also changing cages

Daniel Bezte

34

Bernie Peet AARD sheep specialist says rations important

33

Bayer develops new seed lubricant

17

Replacement rule of thumb may not hold

Modern farmer finds success with heritage grains Cutting out the middleman creates opportunity for small grain farmer

By Alexis Kienlen af staff / morinville

W

hen John Schneider got the urge to farm, he figured livestock would be a good fit for a small acreage but the economies of scale worked against him.

Then he discovered heritage grains.

“I think that’s the key to being successful in small agriculture — it’s just to create a niche for yourself and do something different,” said Schneider, who farms with wife Cindy and their two children on 400 acres near Morinville.

Schneider is a sixth-generation farmer who didn’t realize he wanted to farm until his father sold the land. So the construction industry executive bought some land, and in 2000 started farming on the side, trying his hand at sheep, pigs, pastured poultry and beef cattle. He started Gold Forest Grains in 2007, which allowed him to farm full time.

He grows up to 10 crops at a time, and is currently growing spelt, rye and three heritage wheats: Park, Red Fife, and einkorn on his organic operation.

Heritage varieties present numerous challenges — they take longer to mature (although Schneider said that’s not a problem as frost seem to come later these days), don’t do well under weed pressure, and grow taller, which makes them more susceptible to lodging (intercropping is used to combat this problem).

Spelt a challenge

But it’s spelt, which was grown by the ancient Romans, that really tests Schneider’s farming skills.

“We’ve done it for a couple of years and the seed germination is hard for us, so we’re working on that problem,” he said.

Spelt is a hulled grain, so it doesn’t go through a seed drill very easily.

“For some of these grains, you need to relearn how to deal with them,” he said.

Einkorn is low yielding, but quite rare and so commands a substantial premium. Park wheat, developed in Alberta and grown in the 1950s, is an early-maturing variety while Red Fife is prized, in part, because its taste varies yearly, reflecting both that season’s growing conditions and the local environment. Both are excellent for baking.

As an organic farmer, Schneider uses companion planting, crop rotations, intercropping, summerfallow, and green manure as management strategies.

But the key to the farm’s success has been on-farm processing.

John Schneider holds spelt and einkorn on his farm near Morinville. PHOTos: Alexis Kienlen “What we soon discovered was that we had to eliminate as many middle men as we could,” he said.

“Instead of selling a bushel of wheat for whatever it’s going for, six or seven dollars a bushel, we sell it for $113 a bushel. By the time we mill it into flour and sell it at the farmers’ market, it’s worth that much.”

The couple sell flours, cracked grain cereal and pancake mixes, as well as whole grain kernels for people who do their own milling. The grain is cleaned and bagged at the Morinville seed cleaning plant, placed in storage, and milled as needed using one of the couple’s three stone mills. They sell at the Old Strathcona and St. Albert farmers’ markets, as well as some Edmontonarea retailers.

Many of his customers are sensitive to gluten, said Schneider.

“We have many customers that come up to us and say, ‘I can’t eat wheat, but I can eat your wheat,’” he said. “There seems to be something to that.”

Schneider credits his farming blog, which he started in 2006, as another key to the farm’s success.

“I got lucky because social media became mainstream marketing,” he said. “When I started blogging, there was no such thing as social media. Some of it was luck and some of it was just hard work.” akienlen@fbcpublishing.com

John Schneider holds some of his finished, processed products. Cutting out the middleman allows the Schneiders to charge a premium.

35

3

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

Biotechnology helping producers do more with less Monsanto’s head of plant breeding envisions variable genetics within a field

Corn’s nitrogen requirement per bushel has been reduced by one-third since 1970.

By Jennifer Blair af staff / calgary

E

xtreme weather, pests, disease — it may sound like something straight out of the Bible, but these are real problems facing producers across the globe today, and they require solutions soon, says Monsanto’s vice-president of global plant breeding.

“We tend to think about 2030 or 2050, but I think we also need to keep in mind the problems are real now,” Samuel Eathington told the Agricultural Biotechnology International Conference (ABIC) earlier this month. “Even if you look at just the next 10 years, the amount of increase in meat and grain production that needs to occur to meet the demand is not insignificant. It is a challenge that we need to figure out how to solve.”

A key challenge is learning to do more with fewer resources, Eathington said. His projections show a 40 per cent gap between the water needed in the future and available today, and another 65 to 85 million hectares needed to meet the demands of the next 10 years. As a result, driving productivity on a per acre basis will be critical.

But Eathington said several conditions are coming together to drive down productivity.

Instances of extreme weather are increasing and nighttime temperatures are also increasing, as are winter temperatures.

“We’re going to have to adapt our crops to grow and change with these conditions,” said Eathington. But even if crops are bred for maximum yield potential, pests and diseases continue to chip away at yield. “Today, we already see that a lot of these pests are robbing up to 10 per cent of the productivity in our crops. That’s projected to continue to grow.”

Genomics key

Eathington said improved breeding technology is needed to address the challenge.

“Genomics really is what drives a lot of the current genetic gain that we see in our products,” said Eathington. “As these problems continue to spread around the world, you really need to access the genetics and germplasm of different parts of the world to create the right combination of these genes to solve the problems you’re facing.”

This improved access to germplasm has allowed breeding programs to create lines that are better adapted to local growing conditions.

“You test and grow and evaluate those products in the environment you’re trying to position them into,” Eathington said.

He pointed to improved nitrogen use efficiency in corn as an example of how breeding has reduced the resources needed for a crop. In the 1970s, around 1.5 lbs. of nitrogen were needed for every bushel of corn produced. Today, hybrids are producing that same bushel out of 1 lb. of nitrogen.

Water use efficiency has also improved. Hybrids from the 1960s yielded six bushels per inch of water, while hybrids today yield almost 10 bushels with the same inch.

“These crops are getting a lot more efficient at taking up and using the water that’s available to them. Driving that productivity means less land per bushel of corn.”

tions to get new varieties to growers quickly and at less cost.

“All of a sudden, a plant breeder can do his selection at the seed stage,” Eathington said. “A breeder can now say, ‘Of all the seeds I could plant, here’s the ones I want to plant.’ That really changes your selection ability and your power,

whether it’s for quantitative traits like yield or qualitative traits like disease resistance.”

And agronomics are equally important in Eathington’s mind.

“We have historically planted our crops at a standing rate, but there’s a tremendous amount of variation in those fields. We really should

be planting those crops at different plant densities across the field.

We really should be using variable nitrogen rate across the field. We should be — ultimately, down the road — putting different genetics within those fields.” jennifer.blair@fbcpublishing.com

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“As a plant breeder, there’s really been a pretty dramatic change in how we do plant breeding,” said Eathington. “This is what’s enabling us to drive crop yields faster and drive this adaptation quicker.”

Traditionally, plant breeding has been done in the field through individual plant selection, but in some crop types, that process is rapidly being replaced by genomics, allowing breeding organiza-

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SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

EDITOR Will Verboven Phone: 403-697-4703 Email: will.verboven@fbcpublishing.com

Reporters Alexis Kienlen, Edmonton (780) 668-3121 akienlen@fbcpublishing.com

Social licence issue affecting technology development

Jennifer Blair, Red Deer (403) 396-2643 jennifer.blair@fbcpublishing.com

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Lobby groups find new way to aggravate scientific progress

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By will verboven

Alberta Farmer | Editor

A

recent agricultural biotechnogy conference in Calgary has again brought forth the seemingly boundless opportunities in this field of high-tech research and development. The Agricultural Biotechnology Conference has been held for several years and has started to expand its presentations into other biotech perspectives such as forestry, energy, industrial considerations and others. That’s been a positive move as it gives one a sense of the bigger picture as so much in biotech is interrelated.

There usually isn’t much controversy at these events, since much of it is preaching to the choir. What there is at times is a growing sense of exasperation at the slow rate of development considering the approaching overwhelming spectre of feeding almost nine billion people — that’s double what it was just a few years ago. Although it would seem that development itself is not the issue, it’s the regulatory mechanism that is in place that slows down the process that is causing the aggravation. That’s to be expected from those that invest millions in development, but time delays of 10 years and more seems rather excessive to get approvals. It would seem to society’s benefit to find ways and means to speed the process. However a new bug in the ointment may well preclude any time lag improvement.

What has added to the slowdown in the process is a whole new hurdle that was unheard of not too long ago. It’s called “social licence” and it’s become the new buzzphrase being used with almost any issue that might impact any change to human development — which seems to be everything.

Social licence was the undertone to this

conference and the words were all too often mentioned in many presentations. The definition of social licence is rather loose and subject to different interpretations depending on which side of the issue you stand. The assumption is that it refers to public approval of whatever new research or development is being considered or being done. That’s about where any agreement on the definition ends because it’s “the who is issuing the licence” that becomes the bone of contention.

When it comes to scientists, researchers and industry the understanding is that public approval means government regulators and self-imposed standards. To lobby groups that oppose whatever those folks are doing that’s not good enough anymore, but their version of social licence seems to more nebulous. There is no central entity that they can point to as the issuer of social licences which drives the research community to further exasperation.

Most suspect that lobby groups really mean that they will be the issuer of any social licence. They hide that self-appointed role under the guise of protecting the interests of the people against the ominous unknowns of some nefarious technology. In the past these groups tried to promote that antitechnology perspective calling it the “precautionary principle.” It would seem they now have a new stick to pursue that angle — and it’s working. I expect much of the public expects the government to protect their interests when it comes to technology development being that’s what they elect politicians to do. But the public seems to be easily spooked by GE-technology fearmongering in the media. That in turn sees politicians sniffing the political winds and causing the regulatory to go slow on regulation and approval.

The constant use of those buzzwords at

the conference seemed to display more a sense of frustration with this hurdle being placed in the way of obvious research and development in the biotech business, but then the conference audience was somewhat biased. The appearance of a small group of anti-technology protesters demonstrating at the event probably confirmed many attendee’s suspicions as to who was behind the new mania about social licence.

Some of the sessions discussed the failures of technology obtaining a social licence.

The example most cited was the original introduction of GE plants and foods. The industry naively expected the public to trust them and accept that all was well. The reality was that the public was clueless about GMOs and when they sort of understood they found that there was no public benefit they could relate. Clever lobby groups noticed that naivete and exploited the situation with fearmongering and junk science.

That won the day and the industry has been fighting a rearguard action ever since to try and spin a positive perception on their business and the technology One didn’t detect at the conference that there was any specific plan to gain a social licence except that it was needed. There was a concensus that education was the medium, but the problem is where to start and what approach to take. It all seems like a moving target which would be frustrating to those that see the common sense and science in technology.

No doubt public relations consultants will be making millions providing advice on how to deal with “social licence” to every organization, research agency or corporation on the continent. Considering the history of certifying foods and activities for any number of dubious reasons or intentions, I fully expect lobby groups are thinking about just such a social licence idea.

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Maybe it’s time to bring back that legendary label

T

he branding of Canadian beef was recently discussed at a Canada Beef Inc. (CBI) seminar. The thrust of the discussion was the value of having a genuine all-encompassing “Canadian beef” label for both domestic and export markets.

There is much to be said for such an approach, mainly that it fixes a familiar quality and national perception in the consumer’s eye. The trick then is for agencies like CBI to promote the qualities of the brand so that consumers instantly perceive the label as being a premium product compared to any other beef product that doesn’t have the label.

There was a broad concensus that a “Canada” label worked well in export markets where Canadian beef faces tough competition from other national brands like U.S. or New Zealand Beef. But it seems the Canadian label may not have the same premium impact in the domestic market.

No one is disputing the quality and safety of our product — that is assumed by the Canadian consumer. But it seems some marketers might be wanting more of a competitive edge in retailing and just the Canadian label may not be enough. For example a Quebec restauranteur at the event reported he was using a “Western Canada Beef” label, because his customers assume that is where quality beef comes from. That seems logical.

That brought up further discussion on organic, natural and humane handling labels all for niche markets and where the Canadian beef label fits in with those marketing angles. I would suggest they all fit because the point is to sell beef in a way that the consumer will buy more of it. If that means lifestyle, production method or regional labelling, then full steam ahead. If that supercedes the Canadian label — then that’s the verdict of the marketplace and the consumer?

Which brings up a point many of the attendees I expect were quietly thinking after noting the Western Canada label being used in Quebec. There is a proven iconic label that has historic connections to quality Western beef and that seems ready for a glorious return to its rightful place in national beef marketing — you know it of course — “Alberta Beef.” I am willing to bet most retailers across Canada would welcome the return of that legendary label.

5

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

Reports of the independents’ death were greatly exaggerated Things haven’t turned out as expected during grain company consolidation

By Laura Rance

editor, manitoba co-operator

T

he headlines of late have been all about consolidation, mergers and acquisitions and about the global players like Agrium and Glencore moving in on Prairie agriculture.

But there’s been a quiet evolution taking place beneath the radar that has turned into a competitive force on the Prairie farm supply scene.

The same day earlier this month that Glencore announced it had received regulatory approval to transfer 210 former Viterra farm retail outlets to Agrium, making it the largest farm retailer in Canada, another celebration was taking place in Winnipeg.

Univar’s agricultural division, which supplies products and services to independent retailers across Western Canada, was celebrating 55 years in business with its staff and business associates.

Why a 55-year celebration?

Because five years ago, when the company could have celebrated its 50th anniversary, quite frankly, no one felt much like celebrating.

“You had Viterra flexing their muscle thinking they were going to buy up the independents and take over the world, you had this scary entity that we didn’t really understand or know much about called CPS (Crop Production Services) that was coming across the West, and there was the independent dealer kind of caught in the middle,” Neil Douglas, general sales manager for the agricultural division, told about 150 invited guests.

“And if the independent dealer was threatened and it looked like extinction was on the horizon, then that meant that Univar wasn’t going to be around much longer either, so we really weren’t in the mood to celebrate our 50th,” he said.

Instead, it was Viterra that didn’t survive, at least as an agri-retailer.

Formed as a publicly traded company through three mergers of four former Prairie grain co-operatives, it was swallowed by Swiss commodities trader Glencore in 2012.

Glencore and kept most of Viterra’s grain storage and processing sites in Canada and Australia, but the rest of the company was carved up and resold — most of it to the

likes of Richardson International Inc. and Agrium.

But 17 of its retail outlets are now finding their way back to local cooperatives through a transfer deal with Federated Co-operatives Ltd. Under the deal, FCL is buying the

“We’ve seen two consecutive years of record growth.

Independent retail sales are stronger than ever.”

17 sites from Viterra, and will then transfer those sites‘ ownership and operations to local retail co-ops that have already agreed to accept the facilities. FCL’s 235 retail co-op owners already operate over 140 ag retail centres in the West through the Co-operative Retailing System (CRS).

Meanwhile, Univar — the company who thought its sun was set-

ting — is experiencing its second year of unprecedented growth.

What just happened?

To borrow from Mark Twain, reports of the independents’ death have been greatly exaggerated.

“With all the consolidation in the industry, nay sayers said the independents wouldn’t survive,” said Rick Pierson, vice-president at Univar Canada. “We’ve seen two consecutive years of record growth. Independent retail sales are stronger than ever.”

Things have changed, no doubt.

Univar, for example, defines itself as much more than a middleman, but rather a supply chain partner to the corps of independents across the West, providing stocking services, rapid delivery, inventory protection, supply management and dealer financing.

The independent dealers it works with have parlayed their local connections into a market share Pierson estimates of nearly 45 per cent.

“I think part of that is growers like to shop local and the independent dealer lives in the town, he spends money in the town, his kids go to school there and he raises his family there. It’s a local thing.

“People like to spend their money locally,” he said. “I think that’s a big part of it.” But he’s also found the independent dealers are on the forefront in offering new technology and agronomic support that is tailor-made to their service area.

It seems that as farms grow larger, and farming becomes more time sensitive, having access to local advice becomes more essential. If that local dealer can remain price competitive via its supply chain partnerships, all the better.

It probably doesn’t hurt if he or she is on a couple of local volunteer boards as well.

Above all else, the independent is invested in the industry.“They’ve put their own money and sweat into making it successful,” Pierson said.

The big players aren’t going away. In fact, they keep getting bigger. But it appears the smaller players continue to get stronger.

Farmers apparently see value in maintaining local expertise and access to supply, whether it is through local independent retailers, or local co-ops. laura@fbcpublishing.com

Lack of communication, not research, to blame for consumer perceptions Peer-reviewed research can’t win over consumers if it’s sitting on a shelf

By Jennifer Blair af staff / red deer

T

he Facebook posts started sometime last year: “Orange Juice may soon contain pig genes. Monsanto curing hunger with cancer. GMO fact of the day.”

The exact wording has varied, but some version of these sensationalized stories — complete with disturbing images and a cry for someone to please think of the children — has appeared time and time again in my social media feeds.

It reached a fever pitch in May during “March Against Monsanto.”

Eyes were rolled. Pages unfollowed.

Friends unfriended. If March Against Monsanto achieved anything in my house that day, it was that I was surprised that otherwise intelligent people — people I like, people I respect — could be so taken in by junk science.

What can I say? The March Against Monsanto folks have good PR people.

Some might point to federal government cuts to the agriculture budget — to the tune of $300 million — as the problem. Less money overall means

less money for research. But I believe the problem lies not in funding research but, rather, in communicating its results.

The need for peer-reviewed ag research is real, but even greater is the need to share that research effectively.

To a large degree, the science doesn’t matter, not really. Anti-GMO proponents have proven that time and time again. What matters is getting that science into the hands of people who can use it, in a form they can use.

Producers have some responsibility there. We often expect producers to be the champions of the industry, but I think that expectation is a bit unfair. Producers should do what they do best: grow high-quality crops and raise high-quality livestock. But in doing so, they must remember that their ability to grow better crops and produce better livestock can usually be attributed to research investments funded by their tax dollars and their service fees collected by commodity groups.

In my former life working in Alberta’s pulse industry, I had a chance to

chat about research investments with Sheri Strydhorst, agronomy research scientist at Alberta Agriculture and Rural Development. She shared an interesting statistic with me: “In 2007, the average pea production in the province was 31.6 bu/ac.

In 2012, it was 40.7 bu/ac. On average, between that time period, growers increased their pea yield by 9.1 bu/ ac, and at a price of $8.32 per bushel, pulse growers are able to earn an extra $75 per acre without additional input costs. Part of that increase in yield — and, in turn, income — can be attributed to new genetics.”

We can see that research is important — yet too often, producers request refundable levy dollars back rather than investing them in their industries. That’s their right, but Alberta researchers largely rely on that funding, and without it, their research must continue at a reduced level or, in some cases, not at all.

The people funding and conducting the research have a role to play as well. Technical research reports benefit no one sitting on a shelf collecting dust (or, worse yet, published in a scientific journal that no producer

will ever pick up.) These organizations conduct cutting-edge research, but that message hasn’t made it to the masses.

That’s where the media — comes in. We need to do a better job of sharing the struggles and triumphs of researchers to give farmers the information they need to produce more, produce better. Part of that lies in connecting with researchers to stay on top of the work they’re doing, but a larger part lies in understanding how that research benefits producers and the agriculture industry as a whole.

Only then can we make sure the right messages make it to the right people in the right way.

Ag research is vitally important. No one can deny that. But when people are accustomed to easy-to-digest, ondemand information, as opposed to tedious technical reports you have to pay a buck to read online, that important ag research must not only be available but also understandable for the people who need it.

Because when junk science wins, we all lose. jennifer.blair@fbcpublishing.com

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Off the front

september 30, 2013 • Albertafarmexpress.ca

WALDRON } from page 1 “It’s slowly fragmenting — this last majestic place in Alberta — and we feel like we’re in a race to help where we can,” said Simpson.

“Waldron is a good first step.”

The conservancy first approached the Waldron Grazing Co-operative, a group of 72 ranchers who own the land, two years ago with a proposal to purchase the easement by paying 20 per cent of the bare land value. Appraised at approximately $75 million by an unbiased panel, the total easement value is $33,547,000, of which $15 million will be paid to the co-op tax-free as cash, with a tax receipt covering the balance.

Co-op members voted 76 per cent in favour in an April vote. Simpson, adding his organization still needs to raise an additional $3 million before the agreement can be finalized.

Few changes ahead

The deal won’t affect ranching practices and Waldron shareholders will continue to manage the land.

That provision was key, said Tim Nelson, chair of the Waldron Grazing Co-operative board.

“We’ve grazed the land for 50 years,” said Nelson. “We know

The members of the Waldron Grazing Co-operative won the Canadian Cattlemen’s Association Environmental Stewardship Award (TESA) in 2010. supplied photo how to graze our ranch, and we don’t want somebody telling us how to change it.”

The agreement requires the co-op to maintain the health of pasture land, but it already employs grazing practices superior to the requirements laid out in the deal, he added.

“We have to make a living off our land,” said Nelson. “If our land is at any point in time not producing,

if it’s not healthy, we’re not going to make a living off of it. We know that the health of the whole region makes us more profitable.”

Co-op members want to see the land undeveloped, he said.

“We know we’re not going to (develop the land), but we’re not sure about 50 or 100 years down the road,” said Nelson. “Future ranchers, their philosophies may change, but they’re going to have

to maintain the grasslands as they are.”

However, Waldron rancher Hugh Lynch-Staunton said that could be a problem one day.

“Neither the NCC nor the co-op can foresee the future,” said Lynch-Staunton. “There may be some circumstances that we can’t anticipate that might make it a bad deal some day for either party.”

Despite his reservations, Lynch-

Dairy research receives federal funding

And you, and you, and you.

Staff / Dairy Farmers of Canada (DFC) has received $12 million from the federal government to finance a research cluster focusing on sustainable milk production, dairy genetics and genomics, and the nutrition of milk products.

DFC is working closely with the Canadian Dairy Network and the Canadian Dairy Commission to invest over $6 million in addition to the federal funding. The research will also help bring innovative and competitive dairy products with health benefits to the market.

“Research continues to be a strategic investment priority for dairy farmers,” said Wally Smith, DFC president in a release. “Our research priorities are focused on driving innovation and increased productivity on the farm while contributing to the health and well-being of Canadians. We welcome the investment of the federal government, which leverages farmers’ investment in the dairy cluster, our network of dedicated industry and academic researchers who are committed to Canadian dairy excellence.”

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Staunton was one of the 55 members who voted in favour of the agreement and said he believes it will ensure the Waldron stays well maintained.

“It’s going to legally ensure best management on the Waldron itself, which is something that we’ve been able to achieve pretty well anyway,” he said. “This will be another factor that will insist that happens.”

Over the next several months, the conservancy will be working to raise $3 million to supplement the funding already slated for the project.

“I don’t care if we have to do this a penny at a time,” said Simpson.

“If people want to leave the world a little better place, here’s a great chance.”

The additional fundraising will give the co-op time to decide what to do with the $15 million cash infusion, said Nelson. Its board has met with lawyers and accountants to determine the best use of the money. It may purchase a nearby parcel or distribute the money to members.

For more information on the project or to donate, visit www. conservewaldron.ca.

9/17/13 6:58 AM

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ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

CWB  from page 1

“The farmer-ownership piece is something we decided really needs to be rolled out operationally now...”

now... because we want them to be aware of that information as they make their marketing decisions this fall,” he said.

CWB is the governmentowned grain company created by amendments to the Canadian Wheat Board Act in 2012 ending the board’s marketing monopoly.

The amended act also requires CWB to prepare a privatization plan for federal government review by 2016. The plan, to be implemented no later than 2017, must first receive government approval as well the blessing of securities commission in Manitoba, Saskatchewan, Alberta and British Columbia.

“It is our intention to complete the process sooner than that fiveyear timeframe,” Flaten said.

GORD FLATEN

Structure to be determined

The privatized CWB will continue to have a “Canadian focus,” its website says.

The Farmer Ownership Disclosure document posted on CWB’s website says the value of the equity allocated to farmers is not guaranteed, nor is it a sure thing that CWB will be privatized.

Flaten said those are standard statements required by securities regulators.

CWB has said since its creation that it wants farmers to have a stake when the agency is privatized, but it hasn’t spelled out what form it would take.

Presumably options could include a private shareholder company, a publicly traded company, merging with an existing firm or forming a co-operative.

The latter seems unlikely if farmers are minority shareholders.

Farmers will get $5 of equity in the privatized CWB for every tonne delivered to CWB this crop year, says CWB’s Gord Flaten. PHOTO: ALLAN DAWSON Flaten said farmers will have a minority stake because of the high value of the privatized CWB. Selling out to another grain company might be an option too, in which case farmers presumably would be paid for their equity.

“After privatization we would make details available how farmers would be able to extract that value,” Flaten said. “So the

intention is they would be able to extract the value through a mechanism but exactly how that’s going to be worked is going to be part of the plan.”

There’s been speculation the Farmers of North America (FNA) might try to join forces with CWB. A farmers’ buying group, FNA’s goal is to get farm inputs cheaper for its member.

FNA has also been acting as

middleman for farmers interested in contracting grain to CWB. CWB scheduled a news conference Sept. 5 to “unveil CWB’s initial plans for privatization,” but cancelled the event without explanation. Flaten blamed “technical issues.”

CWB then opted to contact farmers and elevator staff directly.

Flaten said he couldn’t speculate on grain companies viewing the CWB as unfair competition.

While the CWB competesfor farmers’ grain, it also pays grain companies to handle grain on its behalf.

“I think you’ll see when we do talk about the details... that it all fits together,” Flaten said. “It’s not a matter of choosing one road or another.” He declined to explain further.

As CWB develops its plan it’s consulting with both provincial securities commissions and the federal government.

“There’s lots of work to do but a lot of work has been done already,” Flaten said.

In an email Agriculture Minister Gerry Ritz said he would not comment on CWB’s privatization plan until its complete and submitted to the government.

“What is important is that farmers now have the ability to make their own business decisions, whether it means selling to the CWB or any other grain company,” he said. allan@fbcpublishing.com

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8

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

ROCKY MOUNTAIN HAY

A field of round hay bales lies in the shadow of the Rocky Mountains, near Millarville, Alberta, where snow has already fallen at higher altitudes.

PHOTO BY WENDY DUDLEY

T:17.4”

WHAT’S UP Send agriculture-related meeting and event announcements to: will. verboven@fbcpublishing.com September 27/29: Alta Goat Breeders Convention & Sale, Exhibition Grounds, Camrose.

Call: AGBA 780-739-1091 October 1: Financial Advice Panel, Cleardale School 5:30 pm, Cleardale. Call: Monika 780-523-4033 Oct. 3: Canadian Association of Farm Advisors “Current & Connected” conference, Lethbridge Lodge, 320 Scenic Dr., Lethbridge. For more info call 1-877-474-2871 or visit www.cafanet,com.

October 5: Triticale Swath Grazing Field Day, Lentz Farm 10:00 am, Brownvale.

Call: Monika 780-523-4033 October 10: Financial Advice Panel, Curling Rink 5:30 pm, Debolt. Call: Monika 780-523-4033 October 17: Financial Advice Panel, Big Meadow Hall 5:30 pm, High Prairie. Call: Monika 780-523-4033 November 2: Ag for Life Harvest Gala, Northlands 6:00 pm, Edmonton. Call: Agfl 888-931-2951 November 3/10: Farmfair International, Northlands Expo Centre, Edmonton. Call: Northlands 780-471-7210 November 14: Alberta Wheat Commission, Community Hall, Rycroft. Call: Kristina 780-718-5023 November 14/15: Green Industry Show & Conference, Northlands Expo, Edmonton.

Call: Valery 780-489-1991 November 15: Alberta Wheat Commission, Community Hall, Westlock. Call: Kristina 780-718-5023 November 19: Alberta Wheat Commission, Memorial Centre, Lacombe. Call: Kristina 780-718-5023 November 21: Alberta Wheat Commission, Civic Centre, Strathmore. Call: Kristina 780-718-5023 November 26: Alberta Wheat Commission, Holiday Inn, Lethbridge. Call: Kristina 780-718-5023

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9

Albertafarmexpress.ca • september 30, 2013

Municipalities pass resolution for GE-free B.C. Hot debate at B.C. municipal convention, but jurisdiction to enforce a ban is not clear

By Tamara Leigh

af contributor / vancouver

L

eaders of regional and municipal governments from across British Columbia have adopted a resolution asking the provincial government to declare B.C. a genetically modified organism-free area with respect to all plan and animal species. The resolution was brought before the Union of B.C. Municipalities (UBCM) 2013 annual convention in Vancouver Sept. 19.

The resolution asks for a ban on importing, exporting and growing plants and seeds containing genetically engineered DNA, and raising GE animals within B.C.

The motion generated extensive debate from the floor, including farmers speaking passionately for and against the motion.

Among those supporting the ban was Richmond city councillor Harold Steeves, who raises grassfed cattle in the B.C. Interior and Lower Mainland.

“A growing number of B.C. ranchers have switched to grassfed beef and are directing marketing. We are making way more money than we ever did when we shipped our cattle to Alberta to be grain fed, but we depend upon alfalfa,” said Steeves. “We simply do not want to be in a position where we are marketing beef that has been fed alfalfa that is contaminated,” referring to

Monsanto’s glyphosate-tolerant variety.

“This is really opening up the whole issue. We are asking for B.C. to be the first major jurisdiction in Canada to follow suit with Europe and all the other countries that have banned GE crops,” he adds.

More than 60 municipalities in B.C. passed similar GE-free resolutions prior to the UBCM convention. The discussion has stepped up the rhetoric on both sides of a debate that is as divisive within B.C.’s agricultural community as it is among the consumer public.

Debates at the local level have divided the farm community along commodity lines, large- and smallscale agriculture, organic and conventional, new farmers and old. It

has also raised concerns about the increasing influence of public opinion on farm practices.

Jurisdiction questioned

“Legally, municipal governments have no jurisdiction over regulation such as this, and the Right to Farm Act would supercede it,” said Jen Woike, councillor and large-scale egg producer in the Municipality of North Cowichan on Vancouver Island.

The B.C. Farm Practices Protection Act, commonly known as the Right to Farm Act, protects the rights of farmers to conduct their business within the parameters of “normal farm practice.” The definition under the act includes the use of innovative technology in

a manner consistent with proper advanced farm-management practices.

Implementing the resolution would affect many livestock producers.

“We are making way more money than we ever did when we shipped our cattle to Alberta to be grain fed, but we depend upon alfalfa.”

Harold Steeves

T:10”

“I have 60,000 laying hens on my property and we can not source non-GMO feed,” says Woike. “To make a sweeping ban like this, you really put pressure on the dairy industry, the poultry industry and hog industry who use feed products.”

Whether the resolution will have any impact at a policy level has yet to be seen. Responsibility for regulation of food and agricultural products rests with Health Canada, and the Canadian Food Inspection Agency. B.C.’s agriculture minister, Pat Pimm, has given no indication that his government is interested in taking a strong position on the issue.

“There has been a lot of good debate and discussion about the topic with many different opinions expressed both at UBCM and elsewhere,” Pimm said. “I will certainly share the results of the vote and summary of the debate with the federal minister, as it is the federal government’s jurisdiction to approve or deny foods for production in Canada.”

The B.C. government is required to provide a written response to UBCM on each of the resolutions that pass. The official response from the ministry of agriculture is expected in the coming weeks. The response will outline any steps the provincial government will take, and allows the government time to consider and discuss the resolution.

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10

NEWS » Markets

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Cargill builds sunflower plant in Russia Cargill plans to open a $200-million sunflower oil crushing plant in southern Russia in time for the 2015 harvest. The “state-of-the-art” crushing facility is under construction in the town of Novoanninskiy in the Volgograd region, Cargill said. It will process up to 640,000 tonnes of sunflower seeds per year. Cargill, one of the world’s largest privately held corporations, already has about 2,700 employees in Russia and 140,000 employees worldwide. — Reuters

China steps up imports of DDGS China’s imports of U.S. distillers grains,could hit a record high next year due to a bumper U.S. corn harvest and strong domestic demand. Chinese feed mills use dried distillers grains with solubles (DDGS) as a substitute for more expensive corn and protein-rich meal, but imports have been hampered in recent years by high prices and an anti-dumping probe. However, a fall in prices and rising demand for meat, eggs and milk by Chinese consumers would likely push 2014 imports of DDGS by China, already the world’s top buyer, past the record 3.16 million tonnes imported in 2010, analysts said. — Reuters

November canola moving toward test of contract low Canola activity still flows largely from U.S. soybeans

Photo: Thinkstock

By Phil Franz-Warkentin

H

arvest pressure and bearish chart signals kept the path of least resistance to the downside in the ICE Futures Canada canola market during the week ended Sept. 20. Prices drifted to their lowest levels of the past month, and will likely move lower still before the inevitable post-harvest bounce.

On a daily chart, the November future saw some damage during the week and appears to be headed for a test of the contract low at $472.40 sooner rather than later, as recently harvested supplies continue to flood the commercial handling system.

However, a good portion of the activity in canola continues to stem from what‘s happening in U.S. soybeans. The harvest there is still a couple of weeks away, and the market remains uncertain over just how big the soybean crop will be this year.

While current canola contracts may set new lows before correcting higher, from a historical perspective prices are still relatively favourable. Looking back over the past 10 years, canola futures in Winnipeg have moved within a wide $500-per-tonne range, with prices trad-

ing from as low as $250 per tonne in late 2005/early 2006, to as high as $750 per tonne in 2008. Prices at harvest time in 2013 come in right in the middle of that range.

Over the same 10 years, canola production has generally trended higher, with many analysts predicting a record 16 million-plus-tonne crop in 2013. Ten years ago, Canadian farmers grew a 6.8 million-tonne canola crop, right in line with the previous five-year average of 6.6 million tonnes. When production jumped to 9.5 million tonnes by 2005-06 the demand was not yet there to utilize those supplies, resulting in the lowest prices of the past 10 years.

However, since that time, the domestic crush industry has grown considerably, with 6.7 million tonnes processed in 2012-13, from 3.4 million in 2003-04, which was a record at the time. The actual capacity is larger still, and processors could use over seven million tonnes in 2013-14.

Canola exports have also seen steady growth, nearly doubling over the past 10 years to reach 7.3 million tonnes in 2012-13.

At the end of the 2003-04 crop year, Canada was sitting on canola ending stocks of 609,000 tonnes, according to

Canola exports have also seen steady growth, nearly doubling over the past 10 years to reach 7.3 million tonnes in 2012-13.

government data, nearly identical to the 608,000 tonnes carried over from 201213. The stocks-to-use ratio of about 8.5 per cent in 2012-13 is also right in line with the 8.3 per cent seen back in 200304. In 2005-06, when prices were at their lowest, the stocks-to-use came in at a more burdensome 21.8 per cent.

That key stocks-to-use statistic was somewhere between those two points when canola prices reached their peak in 2008. At that time, fundamentals were less of an issue, with speculative money behind the run-up (and eventual crash).

Movements in the CBOT (Chicago Board of Trade) soy complex, rising South American soybean production,

the Canadian dollar, macroeconomic conditions and many other outside factors also have some bearing on the direction of the canola market going forward.

Corn, soy lower

Soybean futures in Chicago moved lower during the week, bridging a chart gap that had been in place for the past month. Solid demand from China and the tight old-crop supply situation remain supportive overall, but harvest pressure will soon come forward to keep the nearby bias to the downside.

Corn also moved lower during the week, with harvest pressure and relatively favourable weather behind some of the weakness.

Wheat, meanwhile, was mixed. Harvest pressure and large international crops kept the path of least resistance lower in the Minneapolis spring wheat market. However, the Kansas City and Chicago winter wheat futures were mixed to higher, as export demand saw some improvement.

Phil Franz-Warkentin writes for Commodity News Service Canada, a Winnipeg company specializing in grain and commodity market reporting.

11

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

China spending helps lift farm aid from record low But the OECD says long-term trend in subsidies remains downward brussels / reuters

A

gricultural subsidies as a share of farm income bounced back in 2012 from a record low the previous year, thanks to a dip in commodity prices and increased farm spending by China and others, the OECD said Sept. 18.

Public support for producers in 47 countries amounted to 17 per cent of gross farm receipts, up from an all-time low of 15 per cent in 2011, the annual assessment by the Paris-based think tank showed.

Despite the increase, the Organization for Economic Co-operation and Development said the long-term trend in support levels remained downward.

“This short-term change is partly related to developments in world prices for agricultural commodities, as opposed to explicit policy changes,” the report found.

Last year, the prices of commodities such as cereals and sugar fell back from their 2011 peaks, ensuring that public subsidies accounted for a higher relative share of farm incomes despite remaining stable in absolute terms in many countries.

But the total was also boosted by a jump in subsidy levels in non-OECD countries such as China and Indonesia — included in the report for the first time — where support as a share of overall income rose by four and 6.5 percentage points respectively.

China’s farm subsidies rose by almost $50 billion in 2012 to reach $165 billion, the report showed. The sharp increase means the share of subsidies in Chinese farm receipts is now approaching the OECD average.

“Growing minimum purchase prices for rice and wheat and an increasing range of other commodities covered by market interventions are major factors behind mounting transfers from consumers,” the report said.

Rising Chinese subsidies are a result of the government’s selfsufficiency policies, which can prove costly.

Levels of agricultural support vary widely. Subsidies as a share of farm income were less than four per cent in New Zealand, Australia and Chile, compared with more than 50 per cent in Japan, South Korea and Switzerland, the report showed.

In the European Union, support to producers rose slightly last year to 19 per cent of total receipts, while in the United States the share fell to seven per cent, from eight per cent in 2011.

The OECD is a club of the world’s wealthiest 34 countries but frequently conducts research into the wider global economy.

Farmers appeal complaints about Monsanto to U.S. Supreme Court The company says the farmers’ fear of prosecution is groundless

By Carey Gillam reuterS

A

group of U.S. farmers, seed companies and others challenging patents on genetically altered crops held by biotech seed giant Monsanto Co. appealed their case to the U.S. Supreme Court Sept. 4.

The group, made up of 73 organic and conventional family farmers, seed companies and public advocacy interests, sued Monsanto in March 2011 seeking to prohibit the company from suing them if their fields became contaminated with Monsanto’s pat-

ented genetic traits for corn, soybeans, cotton, canola, and other crops.

The biotech crops are widely used throughout the United States, and Monsanto has sued more than 100 farmers for patent infringement, winning judgments against farmers found to have made use of its seed without paying required royalties.

Monsanto has said it will not sue farmers if they do not intentionally use the technology without paying for it. In June, the U.S. Court of Appeals for the Federal Circuit affirmed a previous ruling that found organic growers had no reason to try to block Monsanto

from suing them as the company had pledged it would not take them to court if biotech crops accidentally mixed in with theirs.

Monsanto said in a statement issued Sept. 4 that the farmers were trying to create a controversy where none exists.

“The District Court ruled and Court of Appeals affirmed that there was no controversy between the parties,” the company said in a statement.

“There is neither a history of behaviour nor a reasonable likelihood that Monsanto will pursue patent infringement against farmers who have no interest in using the company’s patented seed products.”

But those pushing the court action said Monsanto’s patents were invalid, and its biotech crops damaging to the environment and to farmers who suffer contamination.

“It behooves the Supreme Court to hear this important case to protect America’s farmers from abusive patent infringement lawsuits and invalidate Monsanto’s flawed patents as their products have been shown to be damaging to human health and the environment and failed to live up to the marketing hype,” Dave Murphy, founder of the advocacy group Food Democracy Now, a plaintiff in the case, said in a statement.

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12

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Take steps to prevent treated seed contamination When harvest and seeding operations overlap, contamination can be a problem CANADIAN GRAIN COMMISSION RELEASE

W

estern Canadian grain producers are harvesting their crops, and some are planting winter wheat. Because producers may be handling seed and harvested grain at the same time, there is a risk that treated seed may contaminate harvested grain intended for delivery.

The Canadian Grain Commission reminds producers they can prevent treated seed contamination by following these precautions:

• When possible, store treated seed in separate bins.

• Clean all equipment and bins after seeding and before harvest.

• Visually inspect equipment and bins for treated seed: before harvest, before transferring grain between bins, and before transferring grain to a truck or railcar for delivery.

Health Canada has set maximum residue limits for chemicals in Canadian grain. Any grain exceeding these limits can be condemned. This means that the grain cannot enter the food or feed system and is destroyed.

Under the Canada Grain Act, a licensed grain handling facility cannot receive grain that is contaminated and may

refuse to accept delivery of any grain that is believed to be contaminated. As well, the Canada Grain Act prohibits delivery of grain that is contaminated.

If treated seed is found in a shipment at the terminal elevator, the shipment will be held until the Canadian Grain Commission completes a chemical analysis.

Any delays caused by treated seed can result in additional cost to grain handlers or producers. For example, if a producer car is contaminated, extra charges such as storage charges or costs related to potential contamination of other grain in the facility, resulting in loss of the grain’s value, could be passed on to the producer.

CEREALS Nor thAmerica 2 13

AgCanada ups production and export numbers for pulses and specialty crops

BY BRANDON LOGAN

COMMODITY NEWS SERVICE CANADA

A

Fairmont Hotel, Winnipeg | 5-7 November 2013

North American Ag and Grain Trade Conference Speakers: • Dan Basse, President, AgResource Company • Mr. Yang Weilu, CNGOIC • Greg Kostal, Kostal Ag Consulting • Gavin Maguire, Reuters • Dr Bill Tierney, AgResource Company • Dr Dmitri Rylko, IKAR • Alex Bos, Louis Dreyfus Commodities • Bruce Burnett, CWB For information on sponsorship or display booths • Scott Yuknis, Climate Impact Company please visit our website.

• Bill Lapp, Advanced Economic Solutions • Noel Fryer, Fryer’s Reports Subscribers of Alberta Farmer receive a reduced registration fee of $395. Enter the code “AFarmer” to • Thomas Williamson, Trans. Consultants Co. receive the reduced rate.

Attend the Cereals North America Conference in Winnipeg November 5-7. The Conference offers economic insight for world agriculture for 2014 and beyond. The brightest minds from China, Russia, the EU, South America, US and Canada will present on the emerging opportunities in grains, oilseeds and livestock.

griculture and Agri-Food Canada has raised its production estimate for the 2012/13 and 2013/14 specialty and pulse crops in its latest supply-and-demand report, released on Sept. 18.

Total production of the special and pulse crops is now pegged at 5.538 million tonnes for 2013/14, up from 5.145 million tonnes in the August report, but below the 5.676 million tonnes produced in 2012/13.

The report pegged 2013/14 ending stocks at 750,000 tonnes, up from the August estimate of 570,000 tonnes. For 2012/13, ending stocks were estimated at 632,000 tonnes, up from 505,000 in the August report.

Total exports of the seven major specialty and pulse crops are now forecast at 4.455 million tonnes for 2013/14 (versus 4.225 million tonnes in the August estimate). The 2012/13 total export estimate was also revised to 4.952 million tonnes (from 4.660 million previously).

Total domestic usage in 2013/14 is estimated at 1.088 million tonnes (up from August’s estimate of 973,000 tonnes). For 2012/13, total domestic usage was estimated at 1.501 million tonnes (above August’s report of 0.654 million tonnes). However, the lower total in August was due to dry pea domestic usage numbers being unavailable.

The seven major specialty and pulse crops are dry peas, lentils, dry beans, chickpeas, mustard seed, canary seed and sunflower seed.

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For more information, contact Kaitlin Miller at (204) 984-0132 or Jean Basse at (312) 972-5858.

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13

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

Cargill picks new CEO to take over Dec. 1 David MacLennan will take the helm as part of a scheduled succession plan for private company

Amber Moskalyk elected new chair of AFC board Youngest-ever chair started with AFC as student member

F

airview-area producer Amber Moskalyk has been elected as the new chair of the Agriculture and Food Council.

Moskalyk is also the youth director on the AFC board.

She joined AFC 10 years ago as a student member on the AFC board, and has served as a director since . She is a producer and Alberta mobile field representative team lead with the Canadian Cattle Identification Agency (CCIA). Moskalyk was known by her maiden name, Havens, until her June 2013 wedding.

“AFC is well-positioned to launch new initiatives to fill gaps within the agriculture and food industry,” Moskalyk said in a release. “We have a vast array of members representing a cross-section of industry, new board members who represent industry areas that we haven’t had before, and energetic staff who are keen and more than capable in moving the council forward.”

Five director positions on the nine-member board were available at the Sept. 11 annual meeting. The following new directors were named: incumbent David Anderson, Carla Amonson, David Bressler, Dietrich Kuhlmann and Tanya McDonald.

The new directors join Heather Broughton, Rajan Gupta, Amber Moskalyk and Karen Parker on the board.

1991 and has worked in its financial, risk management, energy and animal protein businesses in the United States, London and Geneva. He became president and COO in 2011.

“The challenge is navigating a world that has a lot of volatility,” MacLennan said.

Volatility has been a factor in Cargill earnings in recent years, most notably fiscal 2012 when profits fell 56 per cent to $1.17 billion as Cargill was squeezed by soft economies and market volatility.

Company officials said the leadership change was not related to recent volatility and noted the 148-year-old company had record earnings five out of the last six years with Page at the helm.

Page, who has worked for Cargill for 39 years and is stepping down from chief executive before Cargill’s mandatory retirement age of 65, will become the company’s executive chairman. In that role, Page will lead the board and be a resource to the company.

New CEO David MacLennan says he will keep Cargill on the same path.

“To the outside world this may come about as news — amongst our leadership team this has been a well-vetted process,” said Page, adding the transition began more than two years ago to “maintain continuity in Cargill.”

Cargill remains privately held by descendants of the founders from the Cargill and MacMillan families.

Asked if Cargill will go public in the near future, MacLennan said: “No. The families’ commitment to staying private is unchanged.”

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gribusiness Cargill Inc. announced David MacLennan, its president and chief operating officer, will be its new chief executive officer Sept. 12.

MacLennan replaces CEO Gregory Page, 62, who is stepping down.

MacLennan told Reuters that Cargill will keep on the same path set under Page’s leadership, focusing on investments outside of North America while expanding its energy business to include more physical trade.

“Overall, we like our mix of hard asset businesses, primary and secondary processing, value-added foods, trading relative to risk management for our customers and our own businesses,” he said.

Minneapolis-based Cargill is one of the world’s largest privately held corporations and a top com-

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modities trader. It reported earnings of $2.31 billion for the fiscal year that ended May 31, compared with $1.17 billion a year ago.

Cargill, a leading global grains exporter, is among four “ABCD” companies that dominate the flow of agricultural goods around the world. The others are Archer Daniels Midland Co., Bunge Ltd. and Louis Dreyfus Corp.

The chief executives of Louis Dreyfus Commodities and Bunge stepped down this summer.

MacLennan said he sees Cargill’s greatest growth opportunities in Brazil — as the country expands crop production and shipping infrastructure — and in Africa and China where demand for food will continue to rise.

“Seventy-five per cent of our capital in the last five years has been invested outside the United States,” MacLennan said. “It will continue to be more outside of North America rather than inside of North America.”

MacLennan, 54, joined Cargill in

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Monsanto Company is a member of Excellence Through Stewardship® (ETS). Monsanto products are commercialized in accordance with ETS Product Launch Stewardship Guidance, and in compliance with Monsanto’s Policy for Commercialization of Biotechnology-Derived Plant Products in Commodity Crops. This product has been approved for import into key export markets with functioning regulatory systems. Any crop or material produced from this product can only be exported to, or used, processed or sold in countries where all necessary regulatory approvals have been granted. It is a violation of national and international law to move material containing biotech traits across boundaries into nations where import is not permitted. Growers should talk to their grain handler or product purchaser to confirm their buying position for this product. Excellence Through Stewardship® is a registered trademark of Excellence Through Stewardship. ALWAYS READ AND FOLLOW PESTICIDE LABEL DIRECTIONS. Roundup Ready® crops contain genes that confer tolerance to glyphosate, the active ingredient in Roundup® brand agricultural herbicides. Roundup® brand agricultural herbicides will kill crops that are not tolerant to glyphosate. Genuity and Design®, Genuity®, Roundup Ready® and Roundup® are registered trademarks of Monsanto Technology LLC, Monsanto Canada, Inc. licensee. ©2013 Monsanto Canada Inc.

14

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Smooth sailing For U.S. harvest

Colorado flooding hits agriculture

Agricultural meteorologists last week predicted continued favourable weather for the U.S. corn and soybean harvest. MDA Weather Services predicted light rain for last Friday into the weekend but dry for this week. The 11-to-15-day forecast looked a little wetter from Oct. 4 through 8, which might slow harvest. Temperatures were predicted o remain above average, with no threats of frost or freezing temperatures that would harm crops. There may be a little frost in the northern fringes of the Midwest but nothing significant, according to MDA. — Reuters

Cornfields along Colarado’s flooded South Platte River could be lost if water that has swamped low-lying prairie fails to drain away before the October harvest, said Brent Boydston of the Colorado Farm Bureau.

“The corn will rot... if it’s underwater that long,” Boydston said, adding that waterlogged hay crops could become mouldy and be ruined as well. Even if farmers manage to harvest their crops, damage to transportation and other infrastructure could prevent them from getting their produce to market, or hinder ranchers in getting their herds to feedlots, Boydston said. — Reuters

Cool Arctic summer and record rain

High pressure over Western Canada helped hold that massive rainfall over Colorado by daniel bezte

A

s we slowly ease our way into fall I thought it might be a good time to take a bit of a look around and explore some of the bigger weather stories from around North America and the world.

Let‘s begin our look at the top and bottom of the world by examining what has been going on with Arctic and Antarctic sea ice. With the summer coming to a close across the Arctic it appears the extent of sea ice hit a minimum on Sept. 13. If this is the case, then the minimum came in pretty close to the average date of Sept. 15.

I didn‘t discuss Arctic sea ice extent this spring and summer because, well, nothing really unusual happened in the Arctic this summer. Ice extent was still very low compared to the longterm average (sixth-lowest on record) but was not nearly as low as the record-breaking year we saw last year. Ice extent fell to 5.1 million square kilometres this year, 1.12 million square km below the 1981-to-2010 average, but well above last year‘s 3.41 million square km.

The reason for the big difference is simply that conditions over the Arctic this summer were not very favourable for ice melt. Low pressure tended to dominate over the Pole, which resulted in a cooler, cloudier summer. One point of particular interest is that the Northwest Passage remained closed this summer, after opening up for the past couple of years.

Around Antarctica, winter is just ending and sea ice extent appears to have reached its maximum. While the Arctic is seeing a fairly rapid decline in sea ice over the last couple of decades, the Antarctic has seen an increase in sea ice. On Sept.

18, its sea ice extent hit 19.44 million square km, which tied the record high set only last year.

ACEs low

Another interesting weather story so far this fall is actually a non-weather story. So far in 2013 the hurricane season over the Atlantic Ocean has been one of the quietest on record. After

predictions that this would be an active hurricane year across the Atlantic, the first half of the hurricane season has seen very little activity. So far this year there have only been two.

Hurricane Humberto became the Atlantic‘s first hurricane on Sept. 11, which ties it with 2002 as the latest appearance of the season‘s first hurricane.

The second was Ingrid, which formed off the east coast of Mexico and briefly gained hurricane strength on Sept. 15 before weakening and eventually moving inland, bringing heavy rains to that country’s Veracruz region.

With only two short-lived hurricanes so far this year, it’s not surprising that accumulated cyclone energy (ACE) is at or near a record low. ACE, a measure used to express the activity and destructive potential of tropical cyclones, is an accumulated sum for the season. So far 2013 has an ACE across the Atlantic of 24 units. This compares to the seasonal average of 110, and the record of 260 set in 2005. With not much activity forecast for the Atlantic over the next week or so, it doesn‘t look like there will be a big end to this year‘s hurricane season.

ing September. All that moisture fell as rain and the rains just wouldn‘t stop. When all was said and done, Boulder received 17.16 inches of rain in a week — a truly remarkable amount.

When there are large rainfall events, we try to put it into perspective by coming up with a frequency of such a large event. We start to get impressed if it is considered to be a one-in-100 year event, and are truly amazed if it’s a onein-500 year event. For the Boulder region, they crunched the rainfall data over the last 100 or so years and came up with a frequency chart. It turns out that 5.87 inches of rain falling over a one-week period would constitute a 1-in-1,000-year event. Boulder received three times that much rain, so it truly was an amazing weather event!

Let‘s hope we don‘t have any more epic rainfall or, dare I say, snowfall events that we need to talk about this year.

PHOTo: thinkstock

Over Boulder

The final weather story is probably one of the biggest stories of the year, and very reminiscent of the rainfall and flooding that occurred in Alberta earlier this year. In a weather setup that virtually mimicked what happened in Alberta, parts of Colorado saw historic rainfalls and flooding around the middle of September that resulted in billions of dollars in damage.

What set the stage for this record rainfall event was a large area of high pressure over Western Canada along with a flow of tropical moisture coming out of the Gulf of Mexico.

This setup remained stationary for nearly seven days, allowing huge amounts of rain to fall as the tropical moisture was forced up the mountains, where it condensed and fell as rain. Weather balloon soundings from around Boulder recorded the greatest amount of atmospheric moisture ever recorded in that region dur-

This shows the total amount of precipitation across the Prairies during the second half of summer (mid-July to mid-September). From all the browns and yellows on the map you can easily see that most of the area saw less-than-average amounts. Most regions saw 20 to 40 mm less than average, but a good part of central Alberta and Saskatchewan, along with western Manitoba saw 40 to as high as 80 mm below the long-term average.

15

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

Manitoba hens to live in enriched housing Layers will now have more room to move, perches and private nesting areas

By Shannon VanRaes co-operator staff

T

he idea of progressive animal welfare has come home to roost with the Manitoba Egg Farmers.

The organization, which represents nearly 170 egg and pullet producers, has banned the installation of any new conventional cages after Dec. 31, 2014.

“I think this is the best way to go — it’s farmer initiated and we’re doing what the research tells us works,” said Ed Kleinsasser, Manitoba Egg Farmers chairman.

Instead of conventional cages, producers will be required to use a furnished or enriched housing system, which provides birds with more space, perches, scratching surfaces and private nesting boxes.

Free-run aviaries are also an option for producers moving away from the conventional cage system.

Bill McDonald, CEO of the Winnipeg Humane Society, welcomed the change.

“We’re very pleased to see the end of the battery cages,” he said.

“Chickens like to lay their eggs in an enclosed space away from other chickens, they like to roost, to get up an sit on something... if you see them outside they will be going around, scratching, looking for things, and there are scratch pads in the furnished housing,” he said. “So while the furnished housings are not, by comparison to a free-range or open-range situation ideal, they are certainly a big step up from the battery cages.”

Kleinsasser said discussions on hen housing began several years ago, adding his organization has kept a close eye on developments in Europe, where animal welfare concerns forced egg producers to abruptly switch to enriched housing.

“So in 2010 we made it our policy to start in this direction,” he said.

“It’s not something we’ve done lately or lightly, we’ve talked about it over the course of years.”

Although he doesn’t go so far as to say producers are enthusiastic about the changes, Kleinsasser said they “seem to support it and they are willing to go along with it” and he hasn’t heard any complaints.

Roughly a dozen Manitoba producers, representing 120,000 laying hens, have already adopted the new system.

“I have about a quarter of my birds in this furnished housing system already,” said Kurt Siemens, who farms near Rosenort, Man..

“It’s a very good system ... I look at the birds in there and they are content, they are doing well, eating the feed they’re supposed to, drinking well and laying their eggs in the nesting box.”

A significant amount of research went into developing the enriched cages to ensure they suited the behavioral needs of chickens, said Bill Guenter, a poultry specialist at the University of Manitoba.

First designed in Europe, enriched housing was studied extensively in Manitoba before the Egg Farmers decided to adopt the housing system, which costs 20 to 25 per cent more.

“With this system, the feathering is better, the bone health is better ... the birds are healthier,” Guenter said. “From a welfare standpoint with the birds, if the bones are stronger at the end, it’s less damaging to them.”

Having perches also makes the birds more comfortable.

“Birds like to sit at night on perches, it’s their natural behaviour. If you’ve ever had chickens on your farm, you’ll see that they look for perches at night,” he said.

By providing hens with more space — 700 square centimetres per bird versus 420 in the old system — aggression is also lessened.

If a bird is being pecked or bullied, it can move away from the aggressor.

The organization also consulted with the Winnipeg Humane Society, and will continue to meet with it on a yearly or bi-yearly basis.

“We’re trying to be progressive and look after our chickens to the best of our knowledge, with the best research we can get,” said Kleinsasser. “We also want to answer consumer concerns to the best of our ability.”

Food safety was paramount in the development of the enriched housing system.

“We are producing a food here and it’s very important that the manure is separated from the eggs and so on, so food safety combined with the welfare initiative of open housing is really ... a nice combination and a responsible balance,” said Brenda Bazylewski, communications director for the Egg Farmers. “We envision this particular system will be around for quite some time.”

A four-cent levy rebate on marketable dozens of eggs has also been introduced to help producers cover transition costs. So far there is no deadline for removing conventional cages.

Siemens said he will continue to install the new, enriched housing as his conventional cages reach the end of their life-spans.

“There is more cost, but for the value you get keeping your hens in this type of system, it’s well worth it,” he said. shannon.vanraes@fbcpublishing.com

Hens enjoy more space in an enriched housing system, designed to address animal welfare concerns and improve health. Photo: Shannon VanRaes

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SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

TOUGH WEEDS, MEET EXPRESS . ®

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Visit fallburndown.dupont.ca to see Express® in action – torching tough weeds like dandelion and volunteer canola right down to the roots, so they can’t grow back.

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As with all crop protection products, read and follow label instructions carefully.

The DuPont Oval Logo, DuPont™, The miracles of science™ and Express® are registered trademarks or trademarks of E. I. du Pont de Nemours and Company. E. I. du Pont Canada Company is a licensee. All other products mentioned are registered trademarks or trademarks of their respective companies. Member of CropLife Canada. ©Copyright 2013 E. I. du Pont Canada Company. All rights reserved.

17

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

CLUBROOT CONFIRMED IN MANITOBA

STAFF

C

anadian corn growers will have access next spring to a new product from Bayer CropScience that reduces dust emissions by 90 per cent.

Dust from corn and soybean seed coated with neonicotinoid insecticides has been blamed for widespread bee deaths in Ontario and Quebec.

“There will be no limitation on the availability of the product as far as who can use it on what seed,” said Greig Zamecnik, Bayer CropScience’s director of horticulture and row crop business. “It’s a stewardship initiative.”

The new product will be priced competitively with existing lubricants.

Earlier this month, the federal Pest Management Regulatory Agency announced proposed changes for using this class of insecticides, stating “that current agricultural practices related to the use of neonicotinoid-treated corn and soybean seed are not sustainable” It’s common for corn growers to add talc, graphite or both to the seed bins on their corn planters to aid seed flow and increase planting accuracy, Zamecnik said.

Dust comes from the planter when the vacuum used to place the seed is released. Bayer’s new fluency agent is made of a poly-

ethylene wax substrate. It reduces dust because less of it is required, it adheres well to the seed, and it’s not as abrasive, he said.

“And more importantly there’s a very significant reduction in the amount of insecticide in the dust, which is really the issue,” Zamecnik said.

Bayer tested the new product on 40,000 acres throughout North America this spring, including 25,000 acres in Ontario and Quebec.

Farmers said it worked just as well as their traditional lubricants, he said.

Bayer said in a release it has worked to improve honeybee health for more than 25 years. Its Bee Care Program includes initiatives designed to further bee health research, engagement and discussion.

Bee Care Program initiatives include: • The North American Bee Care Center, which broke ground in May at the North American Bayer CropScience Headquarters in Research Triangle Park, N.C., is a state-of-the-art facility to support worldwide bee health initiatives.

• The Protect the Western Bumble Bee initiative, part of the Bring Back the Wild program, is a partnership with Earth Rangers to educate kids on the importance of bees and to help protect their habitat.

• Bee Ambassador Program is a field staff training campaign dedicated to bettering honeybee management and health.

Dust from corn and soybean seed coated with neonicotinoid insecticides has been blamed for widespread bee deaths in Ontario and Quebec.

Meanwhile, the Pest Management Regulatory Agency is “expediting” its previously announced re-evaluation of neonicotinoids, in co-operation with the U.S. Environmental Protection Agency and proposes to implement label changes similar to EPA’s. It’s calling for new pesticide labels that “prohibit use

of some neonicotinoid pesticide products where bees are present.”

The planned U.S. labels are to have a bee “advisory box and icon” with information on routes of exposure and drift precautions.

proving ground.

BY ALLAN DAWSON

The

It’s expected to go along way to reducing harm caused to bees from neonicotinoid-treated seed

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Bayer’s New Product Cuts Potentially Toxic Corn Dust 90 Per Cent

All purchases are subject to the terms of labelling and purchase documents.

The DuPont Oval Logo is a registered trademark of DuPont. ®, TM, SM Trademarks and service marks licensed to Pioneer Hi-Bred Limited. © 2012 PHL.

Tests on two unrelated canola fields in Manitoba in August and September have confirmed clubroot on both samples, Manitoba’s agriculture department said Sept. 19.

“Due to these results… Manitoba can no longer be considered free of clubroot disease,” the department said in a special bulletin. The discovery of clubroot symptoms in Manitoba had been considered likely, as clubroot DNA had been confirmed previously in soil samples unrelated to these fields, the province said.

allan@fbcpublishing.com with files from Dave Bedard

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18

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Increased canola yields, profits prove the benefit of biotechnology Herbicide tolerance and hybridization credited for current success of Canada’s canola industry

BY JENNIFER BLAIR AF STAFF / RED DEER

M

aurice Delage says he only needs to look at his canola crop for proof of how biotechnology has helped his farm.

“It’s clear that the modern canola industry in Canada is really a direct result of biotechnology.

Without the critical development that took place in the 1990s and the early 2000s, the canola industry as we know it today simply could not have existed in Canada,” said Delage in his address to the Agricultural Biotechnology International Conference (ABIC) in Calgary earlier this month.

The introduction of GM and hybrid canola has helped double canola acreage over the past 20 years, with almost 98 per cent now seeded to GM crops. Yields have followed suit. Alberta canola yields averaged 39.5 bu/ac in 2011, a 12 bu/ac increase over 2001.

Delage, who runs a 21,000-acre operation near Indian Head, Sask., has seen even better results.

“Much of it has been driven by fertility and breeding. Our target yield is 60 bu/ac this past year, and our five-year average is around 53 bu/ac. Right now, with around 75 per cent of our canola harvested, we’re around 67 bu/ac. These yields continue to rise.”

Delage credits two major breakthroughs for increasing canola production on his farm. The first was the introduction of herbicidetolerant systems in 1995. Delage said that before that, it was difficult to grow canola, because there was no broad-spectrum weed control.

The same technology allowed the adoption of minimum tillage, Delage said.

“If there’s one crop in Canada that really benefited from minimum till, it was canola,” he said.

“This herbicide-tolerant system really allowed for minimum till to find a stronghold in canola production. It allowed for many more acres to be seeded, higher yields, and quick establishment of the crop.”

Hybrid leap

The second breakthrough came several years later with the development of hybrid crops.

“This was a quantum leap, because it took an open-pollinated crop into a whole new era,” said Delage. “From one day to the next essentially, you were able to jump yields 25 to 30 per cent.”

With the increase in yields has come an increase in marketing opportunities as well. Canadian crushing capacity has tripled over the past decade, while canola oil exports have increased over five times over 10 years.

“That means we have two legs to stand on as producers,” Delage said. “As a producer, I now have two ways of marketing my canola, both of which can be very advantageous. We have a domestic crushing industry, which we sell to directly, but we also have this export market.”

Without biotechnology, this growth would not have been possible, says Delage.

“No one was going to invest in these crushing plants unless they were sure of supply, and the only way that supply came to market

“If there’s one crop in Canada that really benefited from minimum till, it was canola.”

MAURICE DELAGE

was through the development of hybrids.”

Delage believes that growers would not have so readily adopted the technology if there hadn’t been a profit to be made with it.

“Profit really is the support for taking risks,” he said. “Farmers

have adopted this technology very, very quickly because it was very obvious from the beginning that there was a strong economic incentive to do so.”

More with less

Biotechnology has also changed the way Delage views the future of his operation. “We believe in order for us to be fully competitive, we’re going to have to do more with less. We’re going to have to keep driving down our unit cost of production in order to be successful long term. That’s where biotechnology has had a huge impact in terms of our onfarm business.”

And as new varieties are developed disease tolerance, higher oil content, improved oil profile and stress tolerance, yields, and

profits will only continue to rise, Delage said.

“I see what’s happening with some of these breeding organizations, and I have all the confidence in the world that we’re going to be talking about 70- to 80-bushel canola yields over the next 20 years.”

That future is within reach for Delage. Some of this year’s fields have already averaged over 70 bu/ ac, and harvest isn’t over on his farm.

“These are hybrids that are already commercially in production and in the field, and have been for a year,” said Delage. “It’s not something that’s somewhere off in the distance. It’s not something that we’re hoping for. This stuff is here, or just around the corner.” jennifer.blair@fbcpublishing.com

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GM and hybrid technology are credited with the jump in Canadian canola yields.

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19

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

FCC lending in Alberta sees dramatic increase Lending activity strong in all areas but has especially increased in the north

BY MADELEINE BAERG AF CONTRIBUTOR /CALGARY

B

ack in 1959, the Canadian Government passed the Farm Credit Act to establish the Farm Credit Corporation (FCC) and gave it $8 million of capital in order to provide a single loan product at a set rate of five per cent interest.

Today, FCC stands for Farm Credit Canada, and that’s not all that has changed. In 2012, total agricultural debt in Alberta alone was $15.9 billion, of which FCC’s market share was 27.22 per cent, or $4.3 billion, an increase of 255 per cent over a dozen years.

“Individually, no other institution or organization has as much of the agricultural lending market share as FCC. All five chartered banks together have slightly more market share but no one individually is anywhere close,” says Clem Samson, FCC’s

vice-president for B.C. and Alberta south operations.

Samson attributes FCC’s rapid growth to agricultural knowledge, increasing creativity, and a name for offering dollars in both good times and bad.

“We have really grown as a trusted partner with producers.

Our one focus is agriculture.

We understand agriculture’s dynamics and cyclical nature, that on average every four years there will be some sort of challenge to farmers,” Samson says.

“We lend to all sectors of agriculture at all times. If there is a specific sector that is struggling, we continue to lend to that industry and work with them to try to help them move forward. For example, during BSE we continued to lend to beef producers.”

Over the past few years, crop commodities including cereal grains, pulses and oilseeds have seen strong prices. As such, interest and expansion in the sector are booming, generating strong

lending demand. “Right now, the primary sector we lend to in Alberta is the crop sector. Second would be supply-managed commodities including dairy and poultry, and right behind that is the beef industry. The beef industry has been somewhat flatter after BSE because some inventories decreased and some producers left the sector,” says Samson.

Peace Region expansion

Likewise, loan activity is concentrated in geographic pockets and corridors that are seeing particularly good returns. Asset values are high in the corridor between Edmonton and Calgary, in irrigated lands down south, and in areas with a strong concentration of dairy.

However, the strongest growth in activity is coming from another area entirely — the far north.

“Things are going very well throughout the province, but the

most activity we are seeing is in the north country, from Grande Prairie all the way up to La Crete which is just an hour and a half from the Northwest Territories.

We’ve just opened a full-time office in La Crete, and agriculture is booming up there,” says Samson.

“Everyone seems to think that once you get past Edmonton, it all just turns into bush. I don’t think a lot of people realize that some of the best farmland in the country is situated up north of Grande Prairie in the Peace region. Land values are certainly appreciating up there, but there’s been quite a bit of activity because land has been more affordable.”

Samson says alhough FCC’s mandate of supporting agriculture remains unchanged, its product offerings evolve as times change. A major focus of the last decade is an increasing involvement in producer education, from workshops to learning

tours to online learning opportunities.

A second change is FCC’s increasing relationship with agri-food and agribusiness.

“In early the early 2000s, we took on a very strong focus on value-added opportunities. Our mandate is that we’re still there for the primary producer, but we feel in lending to agri-business and agri-food, we can help on both sides of the farm gate to make primary producers successful,” says Samson.

“We’re now lending to businesses that, on one side of the farm gate, give producers the goods and services they need to grow high quality crops: the crop input providers, the farm machinery people, the livestock trucking companies. Then, on the other side of the farm gate, we’re supporting businesses like food processors or alternative fuel companies that will give producers markets for their products.”

BRIEF

DOES YOUR YIELD MEASURE UP?

European authorities make U-turn on environmental benefits of biofuels BRUSSELS / REUTERS New research carried out for the European Commission shows some crop-based biofuels are twice as polluting as conventional ones.

It confirmed previous findings that fuels made from cereals and sugar crops have much lower carbon emissions than those from vegetable oils such as rapeseed, palm and soy oil.

Emissions from one litre of biodiesel made from imported soy oil are equivalent to burning up to two litres of diesel from fossil fuel, its data analysis found.

It factors in that growing crops for biofuel displaces food production elsewhere, which results in deforestation and draining of peatland.

Following the report’s release, the European Parliament’s environment committee voted to limit crop-based biofuels to five per cent of energy consumption in transport, half of the previous 10 per cent target set for 2020. But member states, who are deeply divided on the issue, will have to ratify the vote before it takes effect.

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20

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Wheat rally lacks legs and will fizzle in the face of rising supply U.S. wheat exports are running at their fastest pace in years but predictions of a sustained price rally are overblown

By Gavin Maguire chicago / reuters

T

he recent uptick in U.S. wheat exports has convinced some traders that prices will buck their recent downward trend and go higher over the coming months.

But while firm overseas demand, coupled with the conclusion of the U.S. winter wheat harvest, might well offer support to prices going forward, stiff competition from other exporters such as Canada, Australia and Ukraine will likely limit the potential for higher prices over the near to medium term.

So far, U.S. wheat exports are running at their fastest pace in years, and are on course to hit USDA’s forecast of close to 30 million tonnes for the 2013/14 crop year.

likely decline as wheat from other origins becomes available.

Canada, Australia, Russia, Ukraine and Kazakhstan are all expected to harvest significantly larger wheat crops this year, and India has historically high domestic wheat reserves earmarked for export.

Finally, Southern hemisphere growers such as Argentina and Australia are also forecast to increase exports over last year, ensuring that a healthy dose of competition will likely define wheat exports in the coming months.

For grain-hungry importers such as China, the combination Heightened competition of abundant new supplies and The problem for bullish U.S. low prices is almost irresistible, wheat traders is that, while China especially when domestic wheat might buy more wheat, the shareT:8.25”values keep rising on brisk volume bought from U.S. suppliers will and higher open interest — trad-

Wheat inspections data, an indicator of upcoming sales intentions, are bullish, and with China the most prominent destination in the latest inspections report, market sentiment has been buoyed further, given China’s heretofore limited interest in U.S. wheat.

Indeed, year-to-date U.S. wheat exports to China are already at their highest level in a decade, and now look set to rise further. And with the price spread between U.S. wheat and Chinese domestic wheat at three-year highs, additional Chinese imports are all but guaranteed.

There’s also plenty of wheat in Manitoba. This is one of two piles of winter wheat at the Paterson elevator in Morris, where there are 1.5 million bushels stored on the ground, but with cover and aeration. Photo: Allan Dawson ing patterns that are the hallmarks of a commercial scramble.

But the window for U.S. exclusivity will start to close in a matter of weeks as Canadian and

then Australian supplies come on stream. High prices will also bring wheat from India, Europe and the Black Sea and any rally is likely to be quickly snuffed out.

BriefS Grain Growers appoints new executive director Grain Growers of Canada has appointed Jim Facette as executive director in the wake of former administrator’s Richard Phillips’s departure to take the helm at the Canada Grains Council.

Facette, who until recently was president and CEO of the Canadian Propane Association, is an an 18-year veteran of industry association experience. “Jim is an experienced government and public relations professional that knows his way around Ottawa,” said Gary Stanford, vice-president of the Grain Growers of Canada.

T:10”

Acting farm implement inspector

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Agri-News The Farmers’ Advocate Office (FAO) has welcomed Bernie Yakimyshyn to act as farm implement inspector.

The FAO is currently recruiting for the full-time farm implement inspector position. Yakimyshyn is a former FAO employee who already possesses a working knowledge of this important role, and his expertise will help provide excellent service to FAO clients in the interim.

Anyone requiring information or assistance regarding farm implements, parts availability, farm implement dealer/distributor licensing, warranty issues, failure to perform inquiries or the obsolete parts directory, are asked to contact Yakimyshyn toll-free in Alberta at 310-FARM (3276) or to search Farmers’ Advocate Office website.

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

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22

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Oklahoma winds may spread deadly swine virus Since June, when PEDv first hit, workers have quarantined the area, scrubbed vehicles and sprayed buildings with antiseptic

BY CAREY GILLAM AND P.J. HUFFSTUTTER REUTERS

O

n the windswept prairies of the Oklahoma Panhandle, the hog barns of Prestage Farms are lined up like military barracks. The 20,000-sow operation near the Texas border stands at the front lines of a months-long battle to contain a virus that has already killed some 1.3 million hogs in the United States.

Since June, when Porcine Epidemic Diarrhea virus, or PEDv, first hit, Prestage workers have quarantined the area, scrubbed vehicles and sprayed buildings with antiseptic. But those precautions have not stopped a virus that can kill 80 per cent of piglets that contract it.

“In the blink of an eye, 30,000 pigs were dead,” said John Prestage, senior vice-president at Prestage, describing the first wave of devastation the virus brought to its Oklahoma operation, which raises and sells 400,000 hogs a year.

The outbreak is spreading. And researchers have discovered evidence that the virus — which poses no threat to humans — can be carried on the wind, potentially bringing a dangerous new dimension to the swine epidemic.

More than 600 cases, each of which could represent thousands of infected animals, have been reported in 17 states. If research confirms that the disease can be transmitted through the air, it would heighten concern about controlling the outbreak.

at the University of Minnesota’s College of Veterinary Medicine.

Researchers at Minnesota’s veterinary diagnostic lab found the virus in air samples taken by Seaboard Foods, a large pork producer, from the vicinity of its Panhandle hog farms and its packing plant near Guymon, Oklahoma.

Pigs injected with samples of the virus collected by Seaboard Foods did not contract the disease, Torremorell said. But she still believes airborne distribution may be a threat. “I would not rule it out,” she said.

Death toll

Federal investigators have not pinpointed the origin of the coronavirus that causes PEDv or how it entered the United States. Farmers, veterinarians and laboratory researchers have offered theories ranging from vaccine suppliers to vitamin mix distributors to the pipettes used to inseminate sows.

All agree PEDv’s mortality rate

The virus has been especially devastating for weanling pigs. is astounding: between 80 per cent to 100 per cent of very young animals. Most of these piglets die within 72 hours from dehydration associated with diarrhea. Older animals usually survive after being ill.

Officials from the Agriculture

PHOTO©THINKSTOCK

Department say they cannot offer a sound estimate on mortality rates, as farmers are not required to report to authorities when there is a PEDv outbreak on their operations.

Eric Neumann, a swine epidemiology expert at Massey Univer-

sity EpiCentre in New Zealand, told Reuters he used data released by federal investigators, and has pegged the death toll at 1.3 million pigs and climbing.

As of the week of Sept. 8, there had been 612 confirmed cases reported in 17 states, according to federal officials. Iowa, the largest U.S. hog producer with 20 million hogs, had reported 181 cases, the most of any state. Oklahoma was second with 155, and Kansas had 77 reported cases.

Researchers are closely watching North Carolina, the nation’s second-largest hog state, where 40 cases had been reported since the week of June 23.

To combat the disease, farmers are taking precautions in their handling of animals. Hog producers that use the manure on their own crop fields are searching for ways to get rid of the PEDv, while some grain farmers are hunting for PEDv-free manure for their spring planting.

Mystery

Mystery surrounds the virus, which first cropped up in Europe in the 1970s and remains uncontrolled in China and other parts of Asia nearly four decades after it first appeared. In the U.S., which discovered its first-ever case in April, the outbreak of the heatsensitive virus slowed this summer as temperatures rose and weakened the spread. But PEDv is expected to thrive again as the weather cools, and airborne transmission could further the virus’s reach.

Previously, scientists had found the swine virus was transmitted only by physical contact, or carried in on dirty boots or contaminated equipment. But new research shows the virus can be carried through the air on dried fecal matter, even though scientists say the virus has not mutated. The strain making its way across the nation’s hog farms and slaughterhouses is 99.4 per cent similar in genetic structure to the PEDv that hit China’s herds last year, according to the U.S. researchers.

Indeed, farmers and pork processors in Oklahoma have told Reuters they now suspect the virus is traveling through the air.

One scientist likened this to the way the deadly Avian influenza has travelled on feathers and fecal dust. That influenza virus has so far killed poultry by the millions and more than 300 people in 13 countries, according to World Health Organization data.

“There is a chance that airborne contaminated feces may have played a role in the rapid dissemination” of the virus, particularly in Oklahoma, said Dr. Montserrat Torremorell, who is leading research efforts on the outbreak

E C N A FORM

H

S L A E H R IG CE PER

23

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

Huge canola crop boon to crushers, exporters after off year The world canola-rapeseed harvest is forecast around 66 million tonnes, up nearly seven per cent

BY ROD NICKEL

WINNIPEG / REUTERS

C

anada’s expected recordlarge canola crop looks to restock the country’s seed exporters and crushers after a disappointing previous harvest, and top up already growing global oilseed supplies, industry sources said.

Canada is the world’s biggest producer of canola, which is mainly used to make vegetable oil for foods like potato chips and salad dressings. Statistics Canada pegs this year’s harvest at 14.7 million tonnes, but many traders and analysts expect output to be even higher.

A bountiful harvest is just what Canadian crushers and seed

exporters need after last year’s 13.9-million-tonne harvest left skimpy supplies by summer that inflated prices.

“We should have a fairly consistent or fluid pipeline for this entire year,” said Dean McQueen, vice-president of merchandising and transportation at Viterra, one of Western Canada’s two biggest crop handlers and owner of a canola plant in Manitoba.

This year’s bumper crop comes amid concerns that hot, dry weather will trim production of U.S. soybeans, a rival to canola in the global vegetable oil market.

Even so, the U.S. Department of Agriculture forecasts global soybean production of nearly 282 million tonnes in 2013-14,

an increase of five per cent from the previous year. The world canola-rapeseed harvest is forecast around 66 million tonnes, up nearly seven per cent, while global palm oil output of 58 million tonnes also looks to rise five per cent, according to USDA. There are few worries, however, that canola demand can keep pace with supply.

“The cupboard was pretty bare at the end of (2012-13), so I don’t see us having a huge excess of production lying around,” said Kevin Price, senior trader for the Canadian office of Singaporebased Agrocorp International.

“Canola can differentiate itself in the market quite well.”

Agriculture and Agri-Food Canada estimates that Canadian canola exports will climb

A bountiful harvest is just what Canadian crushers and seed exporters need after last year’s 13.9-million-tonne harvest left skimpy supplies by summer. by 450,000 tonnes or six per cent in 2013-14 due to larger supplies and strong global consumption.

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The crushers who belong to Canadian Oilseed Processors Association (COPA) processed 6.7 million tonnes of canola seed in 2012-13 (August-July), falling short of the previous year’s record-high seven million tonnes.

“You’re going to see a much higher crush number this year than we saw last year,” said Ken Campbell, vice-president of North American softseed crushing for Archer Daniels Midland.

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“We should have a fairly consistent or fluid pipeline for this entire year.”

H G I R E TH

Canada exported 7.2 million tonnes of canola seed in 201213, down 16 per cent from the previous year. China was the biggest export destination, followed closely by Japan.

Japanese purchases should remain steady, Price said, while Chinese buys are harder to predict.

“If the price is right, (China) will continue to buy,” he said.

Canada accounts for about 59 per cent of global exports of canola, also known as rapeseed, followed by Australia and Ukraine.

AC MAJOR

The Illinois-based agribusiness giant, which operates two Canadian crushing plants, sees Canadian crushings of up to 7.5 million tonnes in 2013-14.

Crushers only used about 83 per cent of their capacity in 201213, down from nearly 89 per cent in the previous year. That was partly due to high canola prices that pinched margins.

But with prices tumbling as the new harvest arrives, margins on Wednesday were around $109 per tonne based on nearby futures contracts, up 43 per cent from a month ago.

“I’m optimistic that the crushers are going to battle it out versus the exporters for seed,” Campbell said, adding that exporters will still likely claim most of the new crop.

The United States and China were the biggest importers in 2012-13 of Canadian canola oil, used for producing vegetable oil and biodiesel, and look to be big buyers again, McQueen said.

The U.S. also accounts for about 90 per cent of exports of canola meal, used largely as animal feed.

Down the road, Canadian crushers will need even bigger supplies. ADM expects to complete construction of Canada’s largest biodiesel plant at Lloydminster, Alberta within weeks, while Louis Dreyfus Commodities, Bunge Ltd. and Richardson International are all expanding.

Cargill Ltd. is building a new plant at Camrose, Alta.

24

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Consider pregnancy checking cattle early Cows that aren’t in calf can be culled, freeing up valuable forage resources for the remaining herd NDSU EXTENSION RELEASE

B

eef cattle producers can realize significant savings by identifying and culling nonpregnant females prior to winter feeding, says Carl Dahlen, North Dakota State University extension service beef cattle specialist.

Also, by pregnancy checking now, producers can optimize resource utilization by stocking pastures with pregnant cows,” he adds.

Although winter feed costs represent 60 to 70 per cent of the expense of maintaining a beef cow, less than 20 per cent of U.S. beef producers perform a pregnancy check in their herds, according to Dahlen.

Historical cull-cow markets reach a low point in November, which coincides with the time most producers would wean calves and pregnancy check cows.

Based on the average cull-cow market price for 2005 to 2012, the price difference between selling in August or November is roughly $8 per hundredweight. That equates to a difference of $108 when selling a 1,350-pound cow.

“Producers who are able to perform pregnancy exams and subsequently cull open cows during the next several months may realize substantial financial benefits, compared with marketing cull cows in November,” Dahlen says.

However, not all producers have breeding seasons, facilities and the labour force to do pregnancy exams during the late summer. Herds with defined breeding seasons are best suited to take advantage of early pregnancy exams, Dahlen says.

If bulls are run continuously with a cow herd or are being pulled from the pasture the same day as the pregnancy exam, producers have no way to determine the cows’ true pregnancy status. Cows that become pregnant early in the breeding season will be identified easily in these instances, whereas cows that appear to be “open” actually may have been bred recently. These recently bred cows may be carrying an early pregnancy that is too young to feel via rectal palpation or visualize with ultrasound.

“Following these guidelines, with proficient expertise, pregnancy detection should be very close to 100 per cent accurate,” Dahlen says. “All cows that are nonpregnant should be identified at the time of the exam.”

However, a small portion of cows determined to be pregnant during an early pregnancy exam will have fetal loss naturally prior to calving (the majority of this loss occurs by 60 days postbreeding). This fetal loss occurs regardless of whether producers choose to perform early pregnancy checking.

Dahlen also has this advice: • In herds with thin cows, limited pasture or limited forage, removing open cows early may allow the remaining pregnant cows to have more access to feed resources.

• Sufficient labour to gather and work cattle and good handling facilities make pregnancy determination less stressful on the cattle and the people working them.

Herds with defined breeding seasons are best suited to take advantage of early pregnancy exams.

• Have a plan in place for nonpregnant cows prior to pregnancy checking. This might be to market ahead of seasonal lows or place nonpregnant cows on feed to target a market giving incentives to fed cows.

• Be prepared to manage early weaned calves if nonpregnant cows will be removed from pastures at the time of early pregnancy examinations.

“Some producers can take advantage of market conditions

PHOTO: LAURA RANCE

to capitalize on the benefits of early pregnancy detection,” he says. “Others, however, will have to decide whether to pregnancy check later in the year or wait until spring to market open cows.”

Timing

To conduct pregnancy exams on large groups of cows accurately and efficiently, the exams should be performed from 26 to 30 days after the last possible breeding if using ultrasound for pregnancy diagnosis. If using rectal palpation, pregnancy exams should be conducted 35 to 40 days after the cows are bred.

For example, herds calving in mid to late January would have a bull turnout or artificial insemination date around April 15. If the producer is using a 45-day breeding season, this herd would be ready to pregnancy check with ultrasound around June 29 and with palpation per rectum on July 9. However, a herd that calves toward the end of April (July turnout) and has an 85-day breeding season will not be ready to pregnancy check until the first or second week in November.

Thus, producers with herds that calve in January through March or even late April and have a short breeding season can take advantage of early pregnancy checking to market cull cows prior to the historic market downturn in November.

*Source: 2012 Canola Performance Trials Always follow grain marketing and all other stewardship practices and pesticide label directions. Details of these requirements can be found in the Trait Stewardship Responsibilities Notice to Farmers printed in this publication. ©2013 Monsanto Canada, Inc.

25

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

First Lady asks food executives to pitch healthy food WASHINGTON / REUTERS

U.S. First Lady Michelle Obama asked TV and food company executives at a White House gathering to sell youngsters on healthy food with the pitch: “If anyone can make our kids eat their vegetables, it’s all of you.”

She cited the power of advertising — now a torrent touting salty, fatty and sugary goodies — to instead market “foods that have real nutritional value.” Executives from General Mills, Kraft, Walmart, and Burger King were among the attendees as well as ones from Time Warner, Disney, and other media companies.

Obama’s speech was part of her campaign against childhood obesity.

The Let’s Move initiative, launched in 2010, encouraging physical exercise and more nutritious school meals is the best-known element.

She also backs the new “Drink Up” drive that promotes drinking water rather than sugary beverages.

U.S. First lady Michelle Obama harvests vegetables from the summer crop with students from New Jersey in the White House Kitchen Garden on the South Lawn in Washington. REUTERS/LARRY DOWNING

Seven Albertans win Monsanto scholarships Winners receive $1,500 to enter agricultural programs STAFF

S

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even Albertans are among 67 graduating high school students from farm families across Canada who have received a $1,500 entrance scholarship from the Monsanto Fund.

The 2013 Monsanto Fund Opportunity Scholarship program awarded a total of $100,500 in scholarship funding to students pursuing studies in agriculture or an agriculture-related field, up from the $93,000 awarded to 62 student winners in 2012. Since first launching its scholarshipMonsanto Canada, has provided over $1.5 million to hundreds of rural students who have chosen to study agriculture and pursue careers in the agricultural sector.

“The Monsanto Fund has a strong commitment to rural communities and rural education, particularly in the areas of science and math,” Trish Jordan, public and industry affairs director with Monsanto Canada said in a release.

The program received over 190 applications from rural students across the country this year, up from approximately 160 applications received in 2012. The winners were selected by an independent panel of judges based on their academic performance, leadership capabilities and involvement in giving back to charitable or other service groups in their local communities. All applicants were also required to submit an application essay that answered the question, “In what area of agriculture would you like to work and why?”

Alberta winners were Erin Anderson of Scandia, Shaylene Braun, New Norway; Gerene Cole, Coronation; Colby Harty, Etzikom; Larissa Lupul, Foisy; Jade Marshall, Innisfail and Lee Noble, Manning.

26

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Canada’s big wheat crop vies with U.S. for export sales CWRS being priced at a $30 discount to U.S. hard red winter wheat

BY ROD NICKEL

WINNIPEG / REUTERS

C

This year’s big wheat crop will have to compete with canola for export capacity at Vancouver. PHOTO: THINKSTOCK

Bins to the

anada’s biggest wheat crop in more than two decades will send supplies from the No. 2 wheat exporter into unusual places, battling head-on with U.S. wheat, grain traders said.

Canadian farmers are expected to harvest 30.6 million tonnes of wheat this autumn, counting all varieties, according to Statistics Canada. Nearly two-thirds of the crop, or almost 20 million tonnes, is destined for export, Agriculture and Agri-Food Canada forecast in September.

Such ample supplies and expectations of lower-thanusual protein levels have created attractive prices for buyers, said

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Rhyl Doyle, director of export cereals for Paterson Grain.

“These kind of prices and protein profile will give us the tools to put it into a lot of places,” he said. “If the price is right, that’s the key, and our farmers are sellers.”

Canada Western red spring (CWRS) wheat with 12 per cent protein was available in late September at British Columbia ports for $283 per tonne, some 10 per cent or $30 per tonne cheaper than U.S. hard red winter wheat with the same protein at the Gulf of Mexico, Doyle said.

“The Canadian prices will push Canadian wheat into a lot of hard red winter markets, even where you have a substantial freight disadvantage” from Canada, Doyle said.

Wheat with mid-scale protein

levels from Canada and the U.S. will vie for sales, particularly in Latin America and Africa, he said.

This year, Canada looks to have smaller-than-usual supplies of high-protein (above 13 per cent) wheat that usually moves into Western Europe and Asia, but there should be enough 13 per cent protein wheat for Japan to make breads and noodles, Doyle said.

Canadian wheat was competing in traditional U.S. territory last year too, such as in the Philippines, said Todd Ross, director of trading for Lansing Olam Canada. That’s likely a reflection of the move to an open western Canadian grain market in 2012, similar to what happened in Australia after 2008, he said.

“When it was an open market, everybody went to find a place that was different and a margin could be gained,” Ross said. “We’re going to do the same thing here.”

Wheat importers such as Iraq, Iran and Saudi Arabia may also buy Canadian spring wheat to blend with lower-quality supplies from Europe or the Black Sea region, said a Canadian grain exporter who asked not to be named because he was not authorized by his company to speak publicly.

Lower protein

Protein content in wheat, which is important to the fermentation process in making bread, has an inverse relationship to yield. The more robust the yield, the lower the protein.

Last year, CWRS averaged 13.9 per cent protein, up from 13.1 per cent in 2011 and 13.4 per cent in 2010, according to the Canadian Grain Commission (CGC). Data for the current crop is not yet available.

Canada is not the only exporter with big wheat supplies. Wheat also looks ample in the Black Sea region and Australia.

“When a buyer raises his hand, he’s going to have a lot of options,” the wheat exporter said. “This will be a buyer’s market and the sellers are going to have to get very creative.”

U.S. wheat exports are off to a torrid pace in the marketing year that began June 1. U.S. exporters loaded and shipped more wheat for the week ended Sept. 12 to global buyers than any time in at least the past 23 years, with most of the grain headed for China and Brazil.

Canadian spring wheat will also face competition from U.S. hard red spring wheat. As in Western Canada, mild weather produced better-than-expected yields in the northern U.S. Plains, with lower protein content.

For Canada to be competitive, it will have to overcome logistical challenges. Along with huge wheat production, Western Canada is expected to harvest a record-large canola crop.

Such high volumes are already straining the ability of railways Canadian National and Canadian Pacific to quickly move the grain to ports in B.C. and Eastern Canada, where storage space has been hard to find, Ross said.

“We can buy it and sell it, we just can’t move it today.”

27

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

FAIR WEATHER WORK

A farmer near Turner Valley, Alta., takes advantage of a fine autumn day to bring in his crop. High winds kept the dust blowing east.

FCC Ag Safety Fund accepting applications $100,000 available to charitable and nonprofit organizations STAFF

T

he Canadian Agricultural Safety Association (CASA) in partnership with Farm Credit Canada has announced a call for applications to the FCC Ag Safety Fund. The $100,000 fund will be disbursed among successful applicants in early 2014.

For the past three years, the fund administered by CASA has provided charitable and non-profit organizations with funding to deliver farm safety training programs. More than $300,000 has been distributed to 28 recipients undertaking everything from safe livestock handling workshops to tractor safety training and sleepimprovement seminars.

“FCC is an excellent partner.

Their investment in safety through the FCC Ag Safety Fund and other CASA initiatives is helping to make farms safer in Canada,” CASA executive director Marcel Hacault said in a release.

“Through our partnership with CASA, we are proud to be helping producers effectively manage safety risks in their operations through ongoing education and training,” said Rémi Lemoine, FCC’s executive vice-president and chief operating officer.

Applications will be accepted online from Sept. 16 to Oct. 27, 2013. To apply, go to: http://casaacsa.ca/fcc-ag-safety-fund.

PHOTO BY WENDY DUDLEY

E C N A FORM

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28

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Pigeon fever outbreak in southern Alberta horses The disease can be treated with care to the infected area, but vaccines or antibiotics are not effective

By Alexis Kienlen af staff /claresholm

S

outhern Alberta horse owners are being advised to watch their animals for large lumps on their chests, following what are apparently the first-ever cases of pigeon fever in the province.

Pigeon fever is a disease common in the southern states, said Dr. Connie Fancy, veterinarian with Claresholm Veterinary Services. This year, Fancy and three other vets who work in her practice have seen about 20 horses infected with pigeon fever in Claresholm, Fort MacLeod, Lethbridge, and Taber.

Fancy said she talked to a veterinarian further north, who hasn’t seen any cases in Calgary or east of Calgary. “Pincher Creek hasn’t seen any cases either, so that’s sort of interesting,” she said.

Pigeon fever is a bacterial infection transmitted by flies. The disease causes abscesses to form on a horse’s chest muscles.

“That’s why it’s called pigeon fever,” said Fancy. “The horse looks like a pigeon with these swollen chest muscles.”

Abscesses can also grow under the belly, on a horse’s face, or around the ears. The horse will develop scaly skin, followed by

hard lumps that burst and drain thick pus. When pus drains, flies flock to the pus and spread the disease.

“The flies are the carriers and they carry the pus infection to the next horse by burying in their skin.

The flies create ulcers on the skin, and then infect the next horse,” said Fancy.-

If this is something that is now endemic in Alberta, we’d be looking at it in mid- to late summer, when flies are at their peak.”

Dr. Connie Fancy

The disease is contagious, but is not spread by horse-to-horse contact. Any fly that burrows in a horse’s skin can be a carrier.

The bacteria can infect other animals as well but there are different strains, so it’s rare for crossinfection to occur. There’s no vaccine and no way to prevent pigeon fever. Antibiotics are use-

less in pigeon fever cases, since the drugs have no effect on the bacterium in the equine’s body.

If antibiotics are used before the abscesses drain completely, the infection can be prolonged and abscesses can develop internally.

About eight per cent of affected horses develop internal infections, and about 30 per cent of these horses die.

Fortunately, horses with external abscesses have a high survival rate.

Managing the infection

When abscesses are drained, producers need to flush the abscesses daily, keep the area clean, and use fly spray to keep the flies from spreading the pus.

External infections should clear up after several weeks. Infected horses need to be isolated from other horses.

“If flies get into the discharge, they can transmit it to other horses that are quite far away. You have to actually collect that discharge and burn your bedding, and disinfect anywhere the discharge has touched,” Fancy said.

Producers can also use fly sheets or fly masks to keep flies away from the discharge.

H o r se s w i t h p i g e o n f e v e r show soreness or stiffness in their front legs because of the thick abscesses in the pectoral muscles.

“They almost look like they’re foundered because they can’t move their legs properly in the front end,” Fancy said. “That’s the first sign you see.” Sick horses may also develop a fever.

Fancy cautions against letting abscesses burst on their own.

“You can get a huge crater of a wound and those can be very difficult to manage.” She recently saw one horse with pigeon fever that had to be put down, even though it had an external lump, as the wound was too big to heal.

Fancy recommends horse owners take any horse with an abscess to their veterinarian.

Vets can ultrasound to see when the lump should be opened and drained in a controlled manner. “Then you can get a tube in there and have the owner flushing in it,” she said.

Since the disease is transmitted by flies, it appears in the peak season of flies. “If this is something that is now endemic in Alberta, we’d be looking at it in mid- to late summer, when flies are at their peak,” Fancy said. “We have no idea what the disease will do now that it’s here. It’s possible that the disease may die off during the winter. It’s hard to say.” akienlen@fbcpublishing.com

Frosts hit Argentine wheat belt Further damage was feared for the weekend buenos aires / reuters/Argentina’s wheat belt was hit by frosts early last Tuesday that threaten to damage 2013/14 yields, meteorologists said, warning that more cold weather was on the way.

Recently planted fields in northern Buenos Aires, Cordoba and Santa Fe provinces took the brunt of the cold snap.

“It could be serious,” Eduardo Sierra of the Buenos Aires Grains Exchange said Sept. 24. “This is a very weather-sensitive time of the year for wheat plants, depending on what stage of development each field is in.”

“There will be severe frosts over the weekend ahead as well,” Sierra added, “so it is quite possible that wheat will be damaged.”

Argentina’s National Weather Service said in the 24 hours through noon Sept. 24 temperatures hit 0 degrees to minus 5 C in large parts of the country’s main grains province Buenos Aires and in corngrowing areas of Cordoba and southern Santa Fe provinces.

Runs in the family.

There’s no stronger tie than the family who works together on the same land.

For them, farming’s a tradition.

And although each new generation has their own ideas, there are some things they will be reluctant to change, the things that have consistently performed for them, the things that aren’t broken.

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Winkler Family, LANGDON, AB BayerCropScience.ca/InVigor or 1 888-283-6847 or contact your Bayer CropScience representative.

Always read and follow label directions. InVigor® is a registered trademark of the Bayer Group. Bayer CropScience is a member of CropLife Canada.

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Albertafarmexpress.ca • september 30, 2013

Bovine solution for eating into a Canada thistle infestation Cows will avoid eating the prickly weed if they have a choice, but keep them in a paddock longer and they’ll control the invader

By Helen Mcmenamin

af contributor / lethbridge

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T:21.6”

here’s 10 million square kilometres of free — and highly nutritious — feed spread across North America.

But because it’s Canada thistle, you need a special grazing system to get cattle to eat it.

“You can use managed grazing to keep weeds, including Canada thistle, at tolerable levels and increase forage production,” said Sue De Bruijn, who studied thistle control as a grad student at the University of Alberta and looked at the impact of different grazing regimes with U of A professor Edward Bork. She presented her findings in a recent Saskatchewan Agriculture webinar.

The study compared continuous grazing to more intensively managed grazing management systems at four locations in central Alberta. In one of these, cattle were moved every day or two after grazing about half the available forage and the pastures rested about four weeks (lowintensity, high-frequency grazing LIHF). In the other inten-

sively managed system cattle grazed about 80 per cent of the available forage before moving.

This heavy utilization of forage is not usually recommended, and those pastures needed eight weeks or more to recover.

However, Canada thistle decreased dramatically under this heavy use and rest regime, from 30 to 40 thistle stems per square metre at first to under 10 stems per square metre after one year, to five after Year 2 and then just one or two after Year 3. In the other pastures thistle shoot numbers didn’t change during the study. The LIHF pastures looked better but the numbers weren’t significantly different from continuously grazed pastures.

“This study was done in 2000, 2001 and 2002 — real drought years,” said De Bruijn. “The lack of moisture may have had some effect on the results, but they were very impressive. At one site during a year with little grass and the same cattle were used throughout the study, the cattle ate Canada thistle in the continuous grazing situation, where they had free choice. They didn’t eat as much as when they had

no choice, but they had learned they could eat thistle.”

System differences

There were differences in what the cattle ate and the total amount of vegetation removed in the three grazing systems With continuous grazing, cattle come back to eat a plant as soon as it begins to regrow, even if it’s just a few centimetres. De Bruijn found cattle in this system ate almost entirely grass and consumed about 2,900 kilograms worth per hectare. With low-intensity, high-frequency grazing (the system that generally gives the highest animal weight gains), they ate about 70 per cent grass, a small amount of forbs, and almost 30 per cent Canada thistle, just over 2,000 kg/ha.

“In that system, they seemed to trample Canada thistle rather than eating it,” said De Bruijn.

During the three or four days the cows were on the high-intensity, low-frequency treatment, grass made up just over half of the forage removed, almost a third was Canada thistle and 10 per cent was forbs, for a total of 4,400 kg/ha of forage consumed.

Like a kid and vegetables, cattle will eat thistle if they have to.

PHOTo: thinkstock

“After the hard grazing that it takes to make the cattle eat Canada thistle, the pasture looks terrible. After such intense defoliation it needs to be rested, rested, rested. I’d say seven or eight weeks at least.”

The effects on Canada thistle persisted into the following year, when none of the co-operating farmers maintained the controlled grazing systems. A year after the grazing trial ended, the continuously grazed paddock area averaged 18 Canada thistle stems per square metre and the low-intensity grazing had nine.

But there were no thistle stems on the heavily grazed pastures.

Total forage production was higher on those areas, too — 4,500 kg/ha, compared to 4,000 for LIHF grazing, and 2,900 kg/ha for the continuously grazed area.

As well, thistles in the highintensity, low-frequency paddocks were all in the rosette stage. That suggested to De Bruijn that the cattle had eaten them and thistle had to regrow from the roots, compared with the other pastures where thistles were at the normal stage and almost all had fluffy seed heads late in the grazing season.

“I wouldn’t use this system with stockers, where you’re being paid for weight gain,” says De Bruijn. “We used cow-calf pairs so it’s not critical if they stay on an area with little feed for a short period — at most a day.

“They ate just about everything they could out of those fields. And they learned they could eat thistle. It was a bit of work at first, but it got easier each time.”

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She is the glue and her job description is endless. She does it all: chief cook, bottle washer, nurse, housekeeper, disciplinarian, groundskeeper, grandmother, babysitter and part-time truck driver. But ask her and she’ll say she just makes sure everyone’s been looked after.

30

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Brazil soy crushers struggling despite record crop and soaring exports For the first time ever, Brazil is expected to export more soybeans than it crushes domestically this year REUTERS

T

he Brazilian soybean crush is at its lowest level since 2009 despite a record harvest of 81.6 million tonnes that finished in May. About 19.3 million tonnes of soybeans were crushed from the start of the industrial year in February through the end of July, down seven per cent from the 20.8 million tonnes crushed over the same period last year, according to the latest data from Brazil’s vegetable oils industry association, Abiove.

“You would expect the industry to be doing well in a year when a record harvest had just finished,” said Abiove general secretary Fabio Trigueirinho.

Drought in 2012 that ravaged soybean crops in South America and the U.S. is partly to blame.

When the droughts pushed stocks

to record lows and boosted prices, crushers struggled to pass on high prices for feed and soy oil to customers. That made exporting more attractive, and this year, for the first time ever, Brazil is expected to export more soybeans than it crushes domestically.

The trend has also touched the U.S., where soy processors posted their lowest crush numbers for August since 2009, constrained by lingering supply tightness.

Argentine tax policy has also hurt the industry.

“The tax situation is in chaos right now and that is part of the problem,” said Trigueirinho.

Meanwhile, Brazilian farmers in top soy state Mato Grosso are waiting for rain to start planting what could be a record crop.

The USDA is predicting 88 million tonnes of soybeans from Brazil in the 2013/14 season, surpassing last seasons’ record 81.5 million tonnes.

Trucks line up before they are loaded with soybeans at a warehouse in the city of Campo Verde, in the central Brazilian state of Mato Grosso. REUTERS/PAULO WHITAKER

BRIEFS

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CENTENNIAL HOMECOMING OCTOBER 18 & 19 The final Signature Event of the Olds College Centennial will be the Homecoming!

Join with former alumni and faculty to relive your College memories.

NEW FORMAT SATURDAY, OCTOBER 19 2:00 - 5:00 P.M. Faculty Meet & Greet (cheese, wine & chocolate) 5:30 P.M. TO 1:00 A.M. Centennial Evening Celebration (cocktails, dinner & dance at the brand new Pomeroy Inn & Suites at Olds College) SATURDAY FEES $50/person and includes admission to all activities and Centennial Gift Package.

Registration Deadline: October 4

REGISTER TODAY!

2013 marks the100th Anniversary of Olds College

Australian cattle exports surging

Biofuel scammers busted

SYDNEY / REUTERS Australia has boosted its projection for live cattle exports by 25 per cent, after key market Indonesia abandoned a quota system.

The government’s export forecast for the coming year is 590,000 head of cattle, up substantially for its earlier estimate of 470,000.

“You’d expect that (Indonesia) would take more than half of the total live cattle exports — so at least 300,000 head of cattle is the least I would expect,” said government economist Paul Morris.

That’s still well below the 700,000 head Indonesia imported in 2010/11 but up from the 266,000 head purchased 2012/13.

REUTERS Six people and three companies, including an Indiana operation claiming to make biofuel from chicken fat and vegetable oils, were charged with defrauding investors and consumers out of more than $100 million.

The scheme began in July 2009 and continued until May 2012, the prosecutor’s office said, with the defendants fraudulently selling more than 35 million gallons of ‘B99’ biofuel they claimed to be pure biodiesel, called ‘B100.’ The latter comes with “Renewable Identification Numbers” that can be used to claim tax credits, and is worth roughly $2 more per gallon than B99.

Join all of us at Alberta Farmer Express as we extend our most sincere congratulations to Olds College on 100 years of excellence in education.

For more information on how you can show your support in this space contact: Tiffiny Taylor tiffiny.taylor@ fbcpublishing.com

100.OLDSCOLLEGE.CA

Call for Nominations: Directors for Regions 1,4,7,10 Who may become a director of the Alberta Canola Producers Commission (ACPC)?

Anyone who has paid the ACPC a service charge on canola sold since August 1, 2011 is an eligible producer and can stand for election as a Director. An eligible producer can be an individual, corporation, partnership or organization. Eligible producers must produce canola within the defined region in order to be nominated, but do not have to reside within the region. For detailed descriptions about the ACPC regions where elections are being held visit www.canola.ab.ca or call the ACPC office at 1-800-551-6652. Nomination forms are available from the ACPC office.

Nominations for the position of Director must be filed in writing at the ACPC office #170, 14315-118 Avenue, Edmonton, Alberta, T5L 4S6 or by fax 780-451-6933 on or before October 31, 2013.

TITLE SPONSOR:

For more information contact Ward Toma, ACPC General Manager at 1-800-551-6652

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ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

Researchers at the University of Calgary help sequence genome of deadly parasite Barber’s pole worm is a serious problem in sheep and goats in Alberta

By Alexis Kienlen af staff /edmonton

C

algary researchers have helped sequence the genome of the barber’s pole worm, and that will aid efforts to control the intestinal parasite that affects goats and sheep.

“Without the actual genome sequence, we can never get to the applied ends of what we’re trying to achieve,” said John Lilleard of the University of Calgary’s Faculty of Veterinary Medicine.

The sequencing was an international effort and took five years to complete. But now researchers have a powerful tool for developing new tests and treatments to combat parasites.

“Without the actual genome sequence, we can never get to the applied ends of what we’re trying to achieve,” said Lilleard, who along with U of C colleague James Wasmuth was on the sequencing team.

The barber’s pole worm is closely related to many other livestock parasites, so learning more about it will help researchers fight other parasites as well.

The parasite has been found in cattle, but only rarely.

Ivermectin is one of the drugs used to combat the barber’s pole worm, but the parasite is developing resistance, said Wasmuth.

“We want to understand how this parasite develops drug resistance because it seems to be very good at doing that,” he said. “We have a team in Calgary as well as collaborators in Glasgow and in Cambridge and quite a few places around the world who

will be looking at the genes in this genome and asking a number of questions including how it evolves drug resistance and how the parasite survives so well in the host,” he said.

“One of the things we need is a better test for diagnostic resistance,” said Lilleard. “Another thing we need to know is how resistance is emerging and how common it is in different parts of the industry. At the moment, we have very little ability to see what the drug resistance situation is.”

Life cycle

The barber’s pole worm sucks blood from the true stomach

of sheep or goats and the animals die from blood loss. The parasite lives in the stomach of infected sheep, becoming active when pregnant ewes are close to lambing. Eggs are passed in an animal’s fecal matter and then eaten by the other sheep in the pasture. Once ingested, larvae develop into adults inside the stomach. The situation is exacerbated because larvae have a dormant stage, and their life cycle is fairly complicated. The first sign of an infestation is often the death of lambs.

Barber’s pole worm is a serious problem in Alberta, especially in the Barrhead and Westlock area,

said Kathy Parker, a veterinarian in Three Hills. Producers who want to combat the parasite need to rely on management practices, including pasture rotations and strategic worming protocols.

“It’s a very planned management model. It all has to be done at the right time with the right product, and then you have success in managing it,” said Parker. “Producers who are diligent in their management and committed to the parasite control strategy have high degrees of success.”

Producers can reduce pharmaceutical use by learning about the life cycle of the parasite

and creating an effective pasture management strategy. The parasites are most vulnerable in the larval state, so it’s generally best to worm the ewes or does when they are close to lambing or kidding.

“If we can limit the parasite at that critical stage, then that helps,” said Parker. akienlen@fbcpublishing.com

Trait Stewardship Responsibilities Notice to Farmers Monsanto Company is a member of Excellence Through Stewardship® (ETS). Monsanto products are commercialized in accordance with ETS Product Launch Stewardship Guidance, and in compliance with Monsanto’s Policy for Commercialization of Biotechnology-Derived Plant Products in Commodity Crops. This product has been approved for import into key export markets with functioning regulatory systems. Any crop or material produced from this product can only be exported to, or used, processed or sold in countries where all necessary regulatory approvals have been granted. It is a violation of national and international law to move material containing biotech traits across boundaries into nations where import is not permitted. Growers should talk to their grain handler or product purchaser to confirm their buying position for this product. Excellence Through Stewardship® is a registered trademark of Excellence Through Stewardship.

ALWAYS READ AND FOLLOW PESTICIDE LABEL DIRECTIONS. Roundup Ready crops contain genes that confer tolerance to glyphosate, the active ingredient in Roundup® brand agricultural herbicides. Roundup® brand agricultural herbicides will kill crops that are not tolerant to glyphosate. Acceleron® seed treatment technology for corn is a combination of four separate individually-registered products, which together contain the active ingredients metalaxyl, trifloxystrobin, ipconazole, and clothianidin. Acceleron® seed treatment technology for canola is a combination of two separate individually-registered products, which together contain the active ingredients difenoconazole, metalaxyl (M and S isomers), fludioxonil, thiamethoxam, and bacillus subtilis. Acceleron and Design®, Acceleron®, DEKALB and Design®, DEKALB®, Genuity and Design®, Genuity Icons, Genuity®, RIB Complete and Design®, RIB Complete®, Roundup Ready 2 Technology and Design®, Roundup Ready 2 Yield®, Roundup Ready®, Roundup Transorb®, Roundup WeatherMAX®, Roundup®, SmartStax and Design®, SmartStax®, Transorb®, VT Double PRO®, YieldGard VT Rootworm/RR2®, YieldGard Corn Borer and Design and YieldGard VT Triple® are trademarks of Monsanto Technology LLC. Used under license. LibertyLink® and the Water Droplet Design are trademarks of Bayer. Used under license. Herculex® is a registered trademark of Dow AgroSciences LLC. Used under license. Respect the Refuge and Design is a registered trademark of the Canadian Seed Trade Association. Used under license. ©2013 Monsanto Canada Inc. ®

HOW DO YOU SPELL DEPENDABLE CANOLA PERFORMANCE?

IT STARTS WITH D.

Pioneer ® brand canola D-Series: three outstanding canola hybrids built on DuPont Pioneer genetics, serviced by DuPont. D3153 delivers high yield with exceptional standability and harvestability. D3152 adds the Pioneer Protector ® clubroot resistance trait and D3154S has the Pioneer Protector ® sclerotinia resistance trait. D-Series. This is big.

D-Series canola hybrids are available only from select independent and Co-op retailers. Don’t forget to ask for DuPont™ Lumiderm™ insecticide seed treatment on your 2014 D-Series canola seed order.

www.dseriescanola.ca The DuPont Oval logo, DuPont™ and Lumiderm™ are registered trademarks or trademarks of E. I. du Pont de Nemours and Company or its affiliates. E. I. du Pont Canada Company is a licensee. ®, SM, TM Trademarks and service marks licensed to Pioneer Hi-Bred Limited. All purchases are subject to the terms of labeling and purchase documents.

Roundup Ready® is a registered trademark used under license from Monsanto Company. © 2013 Pioneer Hi-Bred Limited. Member of CropLife Canada.

375 D-Series_Bins_AlbFarmExpr_Jrpg.indd 1 10801A-Gen Legal Trait Stewardship-AF.indd 1 7/26/13 2:33 PM

9/18/13 10:56 AM

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SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

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The Cargill logo, ®VICTORY and ®VICTORY Hybrid Canola logo are registered trademarks of Cargill Incorporated, used under license.

InVigor ® is a registered trademark of the Bayer Group. Bayer CropScience is a member of CropLife Canada. ©2013 Cargill, Incorporated. All rights reserved.

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33

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

Research papers added to Foragebeef.ca Recent additions to foragebeef.ca cover feed efficiency traits and fertility in young beef bulls, suitability of cool- and warm-season annual cereal species for winter grazing in Saskatchewan, a Manitoba forage adaptation chart, identification of common seeded plants for forage and reclamation in Saskatchewan, three new volumes under common plants of the western rangelands, swath grazing CDC SO-1 oat and red proso millet and four hay storage blueprints from the Canada Plan Service.

Top 20 sheep tips Alberta Agriculture sheep specialist Susan Markus has put together a list of 20 tips to keep in mind when feeding sheep for optimum performance. The items were gathered for use at the Alberta Lamb Producers’ regional meetings and is an example of the many resources available for the sheep industry from Alberta Lamb. The list is available in the Sept. 16 issue of Agri-News on the Alberta Agriculture website.

In Alberta, around 50 per cent of the cost to run a flock is related to feed.

Cheap feed rations may cost more in the long run Producers looking to maximize their sheep performance may want to steer clear of cheap feed rations

By Jennifer Blair af staff / red deer

I

t costs money to feed an animal.”

That was the takeaway message livestock expert Susan Markus left with a group of nearly 50 lamb producers during a presentation in Camrose earlier this month.

“Feeding for healthy and productive lambs really is a combination of genetics and your management and nutrition,” said Markus, a livestock research scientist with Alberta Agriculture and Rural Development.

“These are really going to be what makes or breaks you as far as some of your costs of production.”

In Alberta, around 50 per cent of the cost to run a flock is related to feed. And when top flocks wean 25 per cent more

lambs, feeding for optimal ewe productivity and lamb performance is essential.

“We’re feeding for the requirements they have — we’re not feeding them for how much they’ll eat,” said Markus. “I could put out lots of stuff, and they’ll eat it. But do they actually need it? That’s the question that’s going to keep my cost of production down.”

That means having rations analyzed for moisture, protein, energy, calcium, and phosphorous contents, she said.

“If I’m looking at growing an animal out, I make sure my protein levels are met. If I’m maintaining an animal, like the ewe flock, energy is really most important,” said Markus.

When feeding silage, you want a pH range between 5.2 and 5.7 — otherwise, listeriosis becomes a risk.

How much you feed is also important. Feed intakes for animals range between two and six per cent of body weight on a dry matter basis.

Open and gestating ewes require between two to three per cent of their body weight, while late gestation requirements need two to 3.5 per cent.

Lactating ewes require almost double the amounts for open or gestating ewes, around four to five per cent of their body weight. Lambs under 40 pounds require five to six per cent of their body weight. Between 40 to 80 pounds, the requirements for lambs increase up to three to five per cent, and lambs over 80 pounds require three to four per cent. Ram feeding requirements are around 2.5 per cent.

Though inexpensive rations are tempting, lamb producers need to think about average

In Alberta, around 50 per cent of the cost to run a flock is related to feed. photo:©thinkstock

daily gain, cost per pound of gain, and the number of days to reach market, said Markus.

“Just because you come up with the cheapest ration doesn’t mean it’s going to be the best option for you.”

For example, she said, consider pelleted feedlot ration at 31 cents per head per day versus an alfalfa hay and barley ration, at 23 cents per head per day.

With a daily gain of around 340 grams on the pelleted ration, the lambs would take 28 days to get to market. If the gains on the barley and alfalfa hay ration are only 295 grams, it will take a week longer. The total cost for both rations is similar – just over $8 – but adding an extra week in yardage costs for the barley and alfalfa hay ration adds up quickly.

“Even though you had a cheap ration, overall it’s going to end

“Just because you come up with the cheapest ration doesn’t mean it’s going to be the best option for you.”

Dr. Susan Markus

up costing you more because there were more days in the feedlot,” said Markus.

“You can’t run from your feed costs. If you don’t feed them, they don’t perform.” jennifer.blair@fbcpublishing.com

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SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Think long term as you plan your cattle feeding program straight from the hip } It’s hard to recover once body condition is lost, and

that can have lasting implications on your herd’s health and productivity By brenda schoepp

W

e could face yet another long winter and as we prepare our farms it is important to remember the basics for the cattle.

Feed testing is an easy step, but to bring it alive, it is best looked at from a human point of view. Would you feed your child only pasta three times a day without adding other nutrients? Of course not, and that is why young calves need to have their nutritional needs met carefully. Weaning a calf onto grass or hay is fine, but late in the year there are nutrients missing and it is at a disadvantage because it is no longer nursing.

The first step is to test the feed, and have a nutritionist point out deficiencies and recommend a diet that maintains and grows the calf. Calves should also be given plenty of space so they are not coughing all over each other. Think about a daycare where every germ has to be experienced by every child. Offering calves space has proven to reduce respiratory disease.

Shelter is especially important during wet fall weather as once chilled, they are highly susceptible to sickness. We used to say that you could count on having to treat sick calves in the feedyard exactly 10 days after a rain. Protected sunny spots that are well drained are best, as is forest or bush that allows for calves to hide away from wet and wind.

Mother cows need extra care, too. For a long time they can simply graze or scrounge, but to head into winter compromised will cost at the time of calving.

They need a little extra energy to stay warm and grow their fetus.

Test the feed. Appropriate shelter is also important. If you are in an open area or do not have sheds, a bale break really works well. If you have bush, follow the cows on a cold day — they will take you to the warmest spot on the ranch. Do your bedding there if it is appropriately set back from a waterway.

Feeding young cows and heifers separate from the main herd allows for a little artful competition. Perhaps the most limiting method of feeding is at a bale feeder where everyone must com-

PHOTo: thinkstock pete. If using bale feeders, ensure young stock is kept together as a group so they do not have to compete with older cows. Young bulls

2013 Fall meeting & election schedule Zone 1

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oct 23

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Breton, community Hall speaker tBA Ponoka, legion ryder lee, CCA camrose, regional exHiBition Brian perillat, Canfax

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oct 28

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oct 28

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goodridge, community Hall Doug sawyer, ABp Chair kitscoty, community Hall Karin schmid, ABp WarWick, community Hall martin unrau, CCA president

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Zone 9

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oct 29

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should also be fed separate from the herd bulls to lessen competition and risk of injury.

Nutrition

Heifer development is all about nutrition. New research confirms nutritional deficiencies early on in the heifer’s life limit her productive life as a cow. The real focus is not just on growing the animal, but on maintaining those body energy reserves during late pregnancy. In fact, that nutrition later in the gestational period has a direct influence on getting nutrients to the fetus and on the placenta.

Having a cow herd is all about fertility.

Dr. Ron Clarke reported that heifers born out of cows receiving protein supplement while pregnant birthed 77 per cent of their calves in the first 21 days — compared to 49 per cent in the first 21 days of those who did not receive protein. It is really all about daughters. In the same work, the pregnancy rate was 93 per cent in those daughters whose mothers received the supplement compared to 80 per cent pregnancy rate for those daughters who mothers did not receive the protein supplement.

Proper nutrition goes well beyond protein and energy, of course, but it is interesting how much affect it has in utero to the long-term fertility of the yet to be born female. University of Calgary research has found that 20 per cent of Alberta bulls are sub-fertile and it would be interesting to see how the nutrition of the dam impacts the fertility of her male offspring.

Having a cow herd is all about fertility. There is no profit in infertile cows or bulls and it is hard on animals to recover once body condition is lost. More importantly, when we care for the mother cow, we care for her unborn calf too. And that alone is worth feed testing for!

Brenda Schoepp is a Nuffield Scholar who travels extensively exploring agriculture and meeting the people who feed, clothe and educate our world. A motivating speaker and mentor she works with young entrepreneurs across Canada and is the founder of Women in Search of Excellence. www. brendaschoepp.com

35

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

Know your numbers and be realistic about replacement rate PEET ON PIGS  The rule of thumb that replacing one-third of your sows each

year doesn’t hold up when you analyze productivity

BY BERNIE PEET

T

here is a popular misconception that replacing about one-third of a sow herd each year is a good target, despite the fact that I rarely see or hear of a herd achieving it.

This probably stems back to the dim and distant past when sows were less productive and rather more hardy than today’s highoctane females. These days, a replacement rate of 50 per cent is a lot more realistic.

Replacement rate can be calculated, providing the average number of litters weaned per sow lifetime is known. Most herdrecording systems show this figure, although it is seldom used as a performance indicator. Personally, I find it a valuable measure of how well producers are doing at keeping sows in the herd and achieving a long, productive lifetime.

Unfortunately, over the last 10 to 15 years, litters per sow lifetime has been going down, due to higher culling rates and death loss.

The fewer litters a sow produces over her lifetime, the quicker she will have to be replaced. Also, the more productive she is, in terms of litters/sow/year, the shorter the time she will stay in the herd, assuming that litters/sow lifetime is constant. Therefore, knowing these numbers allows the correct replacement rate to be calculated and set as a target for the herd.

Herd-recording schemes show that the average litters/sow lifetime is probably in the region of 4.5, with better farms achieving 5.0 to 5.5. (I have rarely seen a farm where the average is more than six.) Assuming a figure of 4.5 and a farrowing index of 2.4, the whole herd will be replaced in 4.5/2.3 = 1.96 years. That will lead to a replacement rate of 100/1.95 = 51 per cent.

If the farm is able to keep sows in the herd so that they have an average of 5.5 litters per lifetime, that number will drop to 44 per cent. In a 500-sow herd, that would reduce the number of gilts required each year by 35 which, at a cost of $350 per gilt, would result in savings of $12,250. That saving, though, pales into insignificance compared to the value of the performance benefits from keeping more females through the most productive parities, 3 to 6.

If a figure for litters/sow lifetime is not shown in the herd-recording program, it can be calculated from litters/sow/year and replacement rate. If 50 per cent of sows are replaced each year and sows average 2.4 litters weaned per year, then they produce an average of 100/50 x 2.4 = 4.8 litters per sow lifetime.

This is certainly a figure worth knowing and benchmarking against industry standards.

Many producers think that their sows produce more litters in a lifetime than they actually do!

The target should be to achieve a minimum number of 5.0 and, ideally, 5.5.

Replacement rate is defined as the sum of culling rate and death rate, assuming the herd size stays constant. Clearly, the fewer sows die, or are removed from the herd, the lower the replacement rate and the higher the litter per sow

lifetime. Herd-recording systems show that reproductive problems and lameness, especially in young females, are the most important reasons for enforced culling. An analysis of one’s own herd data will indicate not only the reasons for culling, but also the age profile of culled females. If the dropout rate is too high in gilts and second-litter sows, then a review of feeding and management from gilt introduction through the first two parities should be carried out. Areas such as body weight at first breeding, body condition scores, lactation feed intake, flooring quality and health management routines should be checked. I like to use the weaning-to-breeding interval as an indication of the quality of management of young females.

If the interval for gilts weaning

Unfortunately, over the last 10 to 15 years, litters per sow lifetime has been going down, due to higher culling rates and death loss

their first litter is more than one day higher than the herd average, then action needs to be taken. The best herds achieve a figure of about 0.5 days and this small difference can result in a significant improvement in lifetime performance.

One situation where replacement rate may be increased above

the normal level is when parity structure is poor. This may be the result of inadequate numbers of gilts entering the herd, perhaps due to economies being made during a period of poor profitability. The end result is most likely a parity profile with a higher number of older sows — typically defined

as parity 8 and over. In order to remove these sows, additional gilts will need to be phased in according to the numbers of sows that will need culling after their next farrowing.

Determining the appropriate replacement rate for the individual herd is an important part of breeding herd management.

Getting it wrong can mean herd size drops below the target level if enforced culling is higher than planned. This is one area where being generous is the correct strategy because it helps to ensure that the target output of piglets from the breeding herd is maintained.

Bernie Peet is president of Pork Chain Consulting of Lacombe, Alberta and a director of U.K.-based Pig Production Training Ltd.

Join us for the

2013 Agriculture for life

Harvest gala sATurdAy, november 2, 2013 northlands, edmonton, 6 pm to 11 pm

The Agriculture for Life Harvest Gala offers a unique opportunity to celebrate Alberta’s agricultural roots. Experience a fusion of urban and rural style and design; the scrumptious tastes of locally produced foods, the sights and sounds of Alberta artists, a silent auction and a chance to connect with friends in the community market.

Tickets are available online (www.agricultureforlife.ca) or by calling Toll Free 1-888-931-2951.

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rocky mountain equipment TransCanada Corporation

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36

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

Shipping cattle direct is a win for both purchaser and seller beef 911 } It has long been recognized that transport coupled with commingling of cattle greatly increases stress, shrinkage, and the incidence of the respiratory disease complex.

By roy lewis, dvm

F

or many years, auction markets have used satellite or Internet sales to market larger groups of cattle without having to move them off the farm. This is pretty much all upside for both seller and purchaser.

Selling and shipping directly to the purchaser’s place eliminates one transport, saves time, and there is no comingling unless the purchaser decides to do that on his own premises with other purchased cattle. Shrinkage is also minimized and the purchaser will be able to get a detailed description of what the cattle have had for preventative shots. This may eliminate the need to repeat procedures such as endectocides for lice, deworming, implanting, or vaccinations when they reach their new home.

Although the traditional auction system sets the price with competitive bidding, it does increase shrinkage substantially.

With green cattle that have just been weaned, overnight shrinkage at the auction market could approach or exceed 10 per cent.

Often direct-shipped cattle have a predetermined shrinkage calculation placed on them depending on where they are going to be weighed and the distance moved. On the satellite and Internet sales, a sliding grid is established depending on what their final weight actually is when delivered. That way it keeps it fair for everyone. Keeping it fair means both sides benefit and long-term relationships may result.

There is a fair bit of redundancy in our cattle industry with regards to vaccinating, using endectocides, ear tagging, deworming or even implanting.

When the source of the cattle is directly known and it is a large group, the health history can follow the cattle through. If trust is established, you know the products were applied properly.

It’s nice, for instance, to know when cattle were implanted so implants are not stacked to any large degree. If the former implants are almost used up, then you can start directly with your implant protocol.

The respiratory disease complex (viruses such as IBR PI3 BRSV and bacteria such as Mannheimia or Pasteurella) has been the main nemesis of the cattle-feeding industry for quite a long time. If the cattle are preimmunized before you get them and have been weaned on farm (preconditioned), that should be worth a premium because the cattle are less likely to get sick and will go onto feed quicker. I know some larger feedlots that try to start cattle on the same ration in order to make transition that much easier. With direct shipping, calves are less stressed, less likely to be deprived of feed and water, and arrive in much better shape having not been commingled. These type of cattle, in my view, would be classified as low risk, but it is up to you and your veterinarian to decide whether prophylactic antibiotics are in order. They may be left and the sick ones pulled or given antibiotics. Overall, the morbidity and mortality rate should be much less than highly stressed cattle.

By taking the entire group off the farm there may be a few different coloured calves, smaller ones, or ones with slight imperfections such as frozen ears, scarred eyes or warts etc. The advantage of getting an entire group not mingled, and on the same feed and herd health program far outweighs the disadvantages of these non-uniform

PHOTo: thinkstock cattle. I have always said feedlot pens are generally full of all the colours anyways, with sorts are done closer to finishing to feed the cattle which came in lighter a little longer. Slight frost damage to the ears is inconsequential.

Sure, the producer would sort out the very poor performers, but all the others, even with minor imperfections, have advantages for both parties if sold as a group.

Pathogen spread

Commingling exposes cattle to a myriad of pathogens just when they are highly stressed. Even if feedlots need to put two, three or four owners together in a pen that is better than a multitude.

You can just imagine how many different owners’ cattle are in their feedlot. A survey of one 5,000- to 10,000-head feedlot done a few years ago traced its cattle back to more than 2,000 owners. This is an alarming amount of commingling.

By sorting off a single or two from a group you create this double negative. The calf

would do better with his contemporaries plus the calf now goes into another group of like animals and is commingled with them. Almost without exception this is why owners which wean and feed their own cattle seldom have a lot of respiratory and health issues compared to the huge feedlots which have to bring cattle in from all over (often from auction markets), transport them over long distances, and then commingle them. All these cattle become high risk, and that is why veterinarians often prescribe metaphylactic antibiotics.

Although pre-sort sales make the groups more uniform and the sale goes quicker (as lots are bigger), there are major disadvantages. In my view, the added stress of sorting weighing individuals and then comingling them negates the advantages.

The seller likes it as the shrink is predetermined, and because the lots are uniform, the price is at a premium. My question is whether, over time, feedlots

will shy away from the increased risk of sickness. However, very potent long-acting antibiotics are now available as metaphylactic treatments. These drugs have no doubt greatly improved the death loss and the number of chronics in the feedlot.

The direct ship method also helps out with traceability. And large feedlots may not need to retag as pens have the owner’s tag, branding is probably minimized and it also saves considerable trucking costs. The auction market still sells them but in a different way (satellite or Internet) so fees are saved here as well. Direct shipping can benefit everyone along the supply chain. Calves should have better gains, plus potentially lower morbidity and mortality. It is definitely worth taking time to pursue!

Roy Lewis is a Westock, Albertabased veterinarian specializing in large-animal practice. He is also a part-time technical services vet for Merck Animal Health.

Cheatgrass takes care of itself Invader creates its own ideal soil conditions

D

owny brome (cheatgrass) is so successful as an invasive species because it can “engineer” its own soil environment, says a study published in the current issue of Invasive Plant Science and Management.

A release from the magazine say the authors grew downy brome in soil from the northern Great Basin of California that had and had not already been invaded by the plant. They then sampled and compared the root mass and soil at three depths and the plant biomass.

After one season, downy brome grown in invaded soil had 250 per cent more biomass and almost twice the root mass of plants grown in the non-invaded soil.

By the second growing season, biomass in the invaded soil was still almost double the amount in the non-invaded soil, while root mass had decreased and was similar between invaded and non-invaded soils.

Downy brome, also known as cheatgrass, is highly competitive.

The authors also found that downy brome became more competitive when it received more nutrients, particularly nitrogen, phosphorus and manganese. They found that the plant increased these nutrients in the soil for its own benefit.

The authors speculated that the plant can take over areas filled with supposedly resistant plants by increasing and then exhausting the soil nutrients, causing downy brome to thrive and native plants to struggle.

37

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

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FARM MACHINERY Combine – Accessories

Available at:

BUSINESS SERVICES

1-877-641-2798

Combine ACCessories

FARM MACHINERY Parts & Accessories

ENGINES

1-888-413-3325

GOOD SELECTION OF JD & CASE HEADERS: 635F, 636D AND MANY MORE CASE & JD

“LIKE MANY BEFORE, WE’LL HAVE YOU SAYING THERE’S NO DEAL LIKE A KEN DEAL” • Phone: (403)526-9644 • Cell: (403)504-4929 • Email: kendeal@shaw.ca

RECONDITIONED COMBINE HEADERS. RIGID & flex, most makes & sizes; also header transports.

Ed Lorenz, (306)344-4811 or Website: www.straightcutheaders.com Paradise Hill, SK.

We know that farming is enough of a gamble so if you want to sell it fast place your ad in the Alberta Farmer Express classifieds. It’s a Sure Thing. Call our toll-free number today. We have friendly staff ready to help.

1-888-413-3325.

Wheat, Barley, Oats, Peas, etc.

Green or Heated Canola/Flax

JD 4710, 4720, 4730, 4830, 4920, 4930 SP sprayers JD 9770 & 9870 w/CM & duals CIH 3185, 3230, 3330, 4430, 4420 sprayers 9580 Kubota, FWA, FEL, low hours 3545 MF w/FWA FEL

Foremost, AB

SEED/FEED MISCELLANEOUS Grain Wanted

WE BUY DAMAGED GRAIN

JD 9400, 9420, 9520, 8970 JD 7810 & 7210, FWA JD 9860, 9760, 9750, 9650, 9600 JD 9430, 9530, 9630 CIH 8010 w/RWD, lateral tilt, duals 900 hrs.

Case STX 375, 425, 430, 450, 480, 500, 530 CIH 8010-2388, 2188 combine CIH 435Q, 535Q, 450Q, 550Q, 600Q pto avail.

NH TJ 450, New Triples, Big Pump 8100 Wilmar Sprayer

FARM MACHINERY Sprayers

AERATION HALF CIRCLE PERFORATED duct work 24-in. system complete have several sets.

(403)728-3535.

BUSINESS OPPORTUNITIES

www.dseriescanola.ca

BUYING SPRING THRASHED CANOLA & GRAIN “On Farm Pickup” Westcan Feed & Grain 1-877-250-5252

CONTRACTING Custom Spraying

FARM MACHINERY Sprayers

www.dseriescanola.ca

12,500

$

3,800

$

High Clearance, 1368 Hrs, w/ 3 Point Hitch, And Mid Mount Cultivators

8,800

$

www.doublellindustries.com

GAS, 60 HP, 3 Point Hitch, 540 Pto, NEW Rear Tires

7,500

$

39

ALBERTAFARMEXPRESS.CA • SEPTEMBER 30, 2013

FARM MACHINERY Machinery Miscellaneous

FARM MACHINERY Machinery Wanted

RON SAUER

WANTED: NH 8500 ROUND bale wagon. Phone (406)883-2118

MACHINERY LTD. (403) 540-7691 ronsauer@shaw.ca

31’ Flexicoil B Chisel Plow Extensions Included, Extends to 41’, 3 bar harrows, Excellent Condition ............. $12,500 Flexicoil 6 run seed treater ................................ $2,000 Wanted Flexicoil S95 harrow packer draw bar, 5 bar harrows, P30 packers, good condition ......................................... Call 134’ Flexicoil S68XL sprayer, 2007, suspended boom, auto rate, joystick, rinse tank, triple quick jets, auto boom height, electric end nozzle & foam marker............. $39,500 130’ Flexicoil 67XL PT sprayer, 2006,trail boom, auto rate, rinse tank, hyd. pump, combo jets, nice shape.... $26,500 100’ 65XL Flexicoil Sprayer, complete with windguards, elec. end nozzles dual tips, markers ........................ $5,500 30’ 8230 CIH PT swather, PU reel, nice shape,.. $10,000 25ft Hesston 1200 PT swather, Bat reel, nice shape .......................................................... $5,500 30ft 4600 Prairie Star PT swather, Bat reel, nice shape. .Call 30ft Premier 1900 PT swather, Bat reel, nice shape. . Call 1069 New Holland ST Bale Wagon.......................... Call MATR (Italy) 10 wheel V-Hayrake, hyd. fold, as new.................................................................... $5,250 New Sakundiak Augers Complete with E-Kay Attachments ............................................... Call 2 Used 8” Self Propelled Sakundiak Augers .Coming In New E-Kay 7”, 8”, 9” Bin Sweeps .........................Call 1 Used E-Kay 9” Bin Sweep, with hyd., pump, motor & tank ....................................................... $1,250 Flexicoil 10”x 50’ Grain auger ......................... $2,500 7721 JD PT combine, decent cond. ....................... $5,000 7701 JD PT combine, new concaves & rub bars ..... $4,000 Jiffy Feed Wagon, like new, hardly used, shedded .....$9,250 40’ Morris Packer Harrow Bar, P30 packers, 4 bar harrows, Hyd. fold up, good condition ..................... $5,500 8” Wheat Heart Transfer Auger, as new............ $1,500 New Outback MAX & STX Guidance & Mapping...In Stock New Outback E-Drive, TC’s .................................In Stock New Outback E-Drive X, c/w free E turns ............In Stock New Outback S-Lite Guidance ................... In Stock $900 New Outback VSI Swather Steering Kit...........In Stock Used Outback E-Drive Hyd. Kit ...............................$500

PEDIGREED SEED PEDIGREED SEED Cereal – Various

SEED/FEED MISCELLANEOUS Feed Grain

NOW BUYING OATS!

HEAT & AIR CONDITIONING

ALL GRADES

AGRICULTURAL TOURS

Competitive Rates

Midwest USA ~ Oct 2013 Australia/New Zealand ~ Jan 2014 Kenya/Tanzania ~ Jan 2014 India ~ Feb 2014 Chile/Argentina/Brazil ~ Feb 2014 Vietnam/Cambodia/Thailand ~ Mar 2014 China ~ March 2014 Ireland & Scotland ~ June 2014 Ukraine ~ June 2014

Prompt Payment

The Icynene Insulation System® • Sprayed foam insulation • Ideal for shops, barns or homes • Healthier, Quieter, More Energy Efficient®

PAUL MOWER

Available at:

403-304-1496

www.penta.ca

1-800-587-4711

LIVESTOCK LIVESTOCK Cattle – Shorthorn

3rd

Saturday

OCTOBER 19 2013 1:00 pm MDT at the Lacombe Ag Society Grounds Lacombe, Alberta

Shorthorn Sale

403-948-3520

Don Savage Auctions www.donsavageauctions.com

Neerlandia, AB

(780) 674-3020

Buy and Sell

403-546-0060

TIRES FEDERATION TIRE: 1100X12, 2000X20, used aircraft. Toll free 1-888-452-3850

*Portion of tours may be Tax Deductible

Select Holidays

1-800-661-4326

www.selectholidays.com

FARMING FARMING IS ENOUGH OF IS ENOUGH OF A GAMBLE...

www.dseriescanola.ca

A GAMBLE...

Stretch your ADVERTISING DOLLAR!

1-888-413-3325

SEED / FEED / GRAIN

Available at:

SEED/FEED MISCELLANEOUS Feed Grain

Webb’s Crop Services

BUYING ALL TYPES OF feed grain. Also have market for light offgrade or heated, picked up on the farm. Eisses Grain Marketing 1-888-882-7803, (403)350-8777 Lacombe.

**NuVision, Sakundiak & Farm King Augers, Outback GPS Systems, EK Auger Movers, Belt Tighteners, Bin Sweeps, & Crop Dividers, Kohler & Robin Subaru engines, Degelman, Headsight Harvesting Solutions, Greentronics Sprayer Boom Auto Height**

DAVE KOEHN

LINDEN, ALBERTA CANADA

Neerlandia Coop Association Ltd.

TRAVEL

FEED GRAIN WANTED! ALSO buying; Light, tough, or offgrade grains. “On Farm Pickup” Westcan Feed & Grain 1-877-250-5252

anything you need through the

Advertise in the Advertise in the Alberta Farmer AlbertaClassifieds, Farmer Express Express Classifieds, it’s a Sure Thing! it’s a Sure Thing!

Vermilion, AB

(780) 853-6565 www.dseriescanola.ca

1-888-413-3325 1-888-413-3325

1-888-413-3325 Specialty

Available at:

LIVESTOCK Livestock Equipment

Available at:

Crowfoot Ag Solutions Inc.

5’X10’ PORTABLE CORRAL PANELS, 6 bar. New improved design. Storage Containers, 20’ & 40’ 1-866-517-8335, (403)540-4164, (403)226-1722

REAL ESTATE

Sturgeon Valley Fertilizers

(403) 934-5166

REAL ESTATE Mobile Homes

(780) 458-6015

www.dseriescanola.ca

CANADA SINGLE FAMILY HOME NEW 16 wide & 20 wide MODULAR HOMES at GREAT prices.

(218)751-7720 frontierhomesonline.com

www.dseriescanola.ca

Strathmore, AB

New 30.5L-32 16 ply, $2,195; 20.8-38 12 ply $795; 18.4-38 12 ply; $789; 24.5-32 14 ply, $1,749; 14.9-24 12 ply, $486; 16.9-28 12 ply $558, 18.4-26 10 ply, $890. Factory direct. More sizes available new and used. 1-800-667-4515. www.combineworld.com

St Albert, AB

Memory assistance.

Available at:

Medicine Hat Coop Ltd. Medicine Hat, AB

(403) 528-6609

Is your ag equipment search more like a needle in a haystack search?

Is your ag equipment search more like a needle in a haystack search?

OVER 4O3V,0E0R0 43,000 PIECES OF AG EQUIPMENT!

Find it fast at

PIECES OF AG EQUIPMENT!

Find it fast at

Network

SEARCH

Search news. Read stories. Find insight.

www.dseriescanola.ca

Agricu

International P Rocki Upper Mississ Midwes Australia/New Kenya/Ta Indi South Am Far Ea China Ireland & S Ukraine Agricu NWT/Yukon Russian Rive

*Portion of to

Select Holid www.sel

40

T:10.25”

SEPTEMBER 30, 2013 • ALBERTAFARMEXPRESS.CA

ALL OF OUR SEED IS FIELD-TESTED. JUST LIKE OUR REPS.

T:15.5”

Your Pioneer Hi-Bred sales representative is out there every day, working

type of deep knowledge that makes the DuPont Pioneer team both industry

the same ground you are. Which gives them the unique expertise needed to

leaders and trusted local advisors. Talk to your local Pioneer Hi-Bred sales

recommend the right seed for your acres. They know your weather, your soil

representatives or visit pioneer.com for more information.

conditions and your challenges, because they’ve faced them too. It’s this

Our experts are grown locally

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