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p. 12 One Word Describes Ocean Freight Rates: Volatile

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Leave fuel in your tank >> Technology: Losses–to claim or not to claim >> Business: Canola and cash. Why the future looks green >> Production: >> Farm Life: Comfort food–the flavours that bind Farm Forum.cA | 1

FarmFORUM

volume 22 | issue 4 | FALL 2008

contents >> PRINT TECHNOLOGY

BUSINESS

PRODUCTION

FARM LIFE

FarmFORUM www.farmforum.ca Publisher Bayer CropScience Editor Sherry Butt

COVER STORY

14

Personalize your weather report

Wireless on-farm weather stations provide extensive data for more precise decision making.

12

6

18

One word describes ocean freight rates: volatile

Canola and cash: why the future looks green

Comfort food: the flavours that bind

Time to rethink shipping strategies.

Producer profitability drives search for better varieties.

Home-cooked and simple, our favourites are flavoured by taste and tradition.

4 Editor’s note: Necessity is the mother of invention 5 Losses: to claim or not to claim: Business strategy first. Tax avoidance second 10 Leave fuel in your tank: How to get more pull from your diesel dollar 22 Outstanding young farmers share their recipes for success

contents >> WEB

FarmFORUM.ca

Associate Editor Dave Wreford Contributors Jennifer Barber Scott Garvey Joy Gregory Anne Morris Studio West Photographers Graphic Design Aaron Mumby Design Farm Forum is published seasonally by Bayer CropScience.

Contact Farm Forum at: Bayer CropScience #100 - 3131 114 Ave. S.E. Calgary, AB T2Z 3X2 T. 1 888-283-6847 F. 1 888-570-9378 E. farmforum@bayercropscience.com www.bayercropscience.ca Contents of this publication are copyrighted and may be reproduced only with written permission of the publisher, Bayer CropScience.

The views expressed are not necessarily those of the publisher.

Publications Mail Agreement Number 40743517 Registered in Canada Copyright 2008 Website www.farmforum.ca Return undeliverable copies to: Bayer CropScience #100 - 3131 114 Ave. S.E. Calgary, AB T2Z 3X2 On the cover Guy Ash, weather and crop analyst with CWB, checks out the on-farm weather station at the Kelburn Farm test facility south of Winnipeg.

A genetically complex crop

Wheat midge forecasts gain accuracy

How science is ‘stacking’ your canola.

On-farm weather data helps predict emergence dates.

www.farmforum.ca/stackingcanola

www.farmforum.ca/wheatmidge

Invest in your farm’s future Save for your children’s education.With

www.farmforum.ca/resp Farm Forum.ca | 3

s h o r t ta k e s

Editor’s Note

There is more on farmforum.ca Farmforum.ca brings enhanced content to readers of Farm Forum. We include the same articles as found in the print magazine then expand the content with links to more stories and outside resources. Look for the information box at the end of each article that points you to more information online. FF

Top 5 stories from Farmforum.ca 1 Look south for used equipment average time viewed: 1.36 minutes www.farmforum.ca/usedequipment

2

Winners work outside the box 2.07 minutes Look in the Farm Life section under www.farmforum.ca/farmlife.asp

3

Farming outside the box 2.31 minutes Look in the Farm Life section under www.farmforum.ca/farmlife.asp

4

Fieldwork goes hands off 2.27 minutes Look in the Technology section under www.farmforum.ca/technology.asp

5

Get ready for a revolution 2.06 minutes Look in the Production section under www.farmforum.ca/production.asp

4 | Farm Forum | FALL 2008

It never ceases to amaze me that when we put an issue of Farm Forum together with seemingly unrelated stories a common thread emerges.

The old saying “necessity is the mother of invention” comes to mind when I read the stories we bring to you in this issue.

Mother Nature has always been the wild card that makes or breaks your year on the farm. You can’t control the weather but as you’ll see in our cover story, a personalized weather report from an on-farm weather station provides relevant, up-to-the-minute weather data to help you make better operating decisions.

Fear of a global recession has made us all rethink how we spend our money and how to keep more of what we earn in our wallets. Our business feature talks about tax strategies including losses and how to claim them as well as a new way to save and the importance of investing in your farm’s future.

Fuel has become a costly input for many farmers. In our technology story, Leave fuel in your tank, take a look at some of the new fuel efficient tractors on the market and learn about some innovative ways to keep fuel costs in check.

With ocean freight rates all over the map and emerging economies like China and India putting pressure on shipping availability, Canadian grain producers may need to break from tradition and look at using containers rather than bulk shipping to get their grain to market. Turn to page 12 for a closer look.

When faced with uncertainty, many of us tend to surround ourselves with familiar and comfortable things. I don’t know about you but what’s comfortable and familiar for me is sharing a delicious homecooked meal with my family. In our story, Comfort food: the flavours that bind, chef Gail Hall shows us a new take on the concept of comfort food.

And in our regular Outstanding Young Farmer feature, we look at the program’s Speaker’s Bureau and how it’s helping young farmers. FF

business

Losses: to claim or not to claim Business strategy first. Tax avoidance second By Joy Gregory

Photo courtesy Meyers Norris Penny

Ron Friesen, chartered accountant and agricultural tax specialist with Meyers Norris Penny in Saskatoon. be carried back three years and forward 20 years.

Carry-forwards are complicated and leave a lasting impression on your farm books, adds Friesen. A producer with a loss carry-forward of $10,000 who realizes $30,000 in income in 2008 might see short term benefits to claiming that noncapital loss. But if he projects a $50,000 income in 2009, he may want to defer claiming that loss in 2008 so he can avoid a higher tax rate in 2009.

That example underscores the value of using professional tax accountants for more than compliance matters, like tax returns and financial statements, says Good. Farmers are notorious for asking how much tax they have to pay, he adds. Maybe farmers should ask how much money they made, and how that money can be best managed in terms of tax liability. FF farmforum.cA

ness (including a farm.) They also include unused allowable business investment losses.

There are three categories of noncapital loss related to farming. The straight farm loss impacts you if you’re a full-time farmer. These losses can be used against any source of income. The second type is a restricted farm loss. It comes into play when a farmer has offfarm income. Here, you are restricted in the amount of loss you can claim in any given year and the carry-forward balance can be used only against farm income. A third category is really for hobby farmers, so doesn’t really apply to commercial operations, explains Friesen.

The allowable business investment loss (ABIL) falls under the capital loss category, but is taxed similarly to non-capital losses and is complicated because there are future implications. In sum, “you’re not allowed to claim an ABIL if you’ve Losses: A tax primer To help his farm clients manage tax-re- used capital gains exemptions in the past, lated business decisions, one chartered unless you’ve backfilled the amount of accountant recommends they have their that exemption,” explains Friesen. “If income and expense statements ready you claim the ABIL first, then in the fubefore they meet with him in November. ture, when you want to access your capital gains exemption unit, This data, including inforyou have to have a claim mation on what they plan While farm cash that is larger than your to buy before December 31, gives them a chance receipts and net farm previous ABIL claim.”

What if you don’t to look at real numbers income are up, so is know if you have a before they get down to the brass tacks of managfarmer stress about loss? That’s not uncommon, especially if you’ve ing their tax liability, says paying taxes switched accountants.

Ron Friesen, a chartered To check on past losses, accountant and agricultural tax specialist with Meyers Norris Friesen recommends clients contact the Canada Revenue Agency (CRA) and ask Penny in Saskatoon.

When it’s time to talk tax liability, the for a multi-year data form. It shows all focus is on losses — and not all losses are types of loss available as carry-forwards and identifies previous capital gains exthe same, adds Friesen.

A capital loss results from the sale of emptions utilized and ABILs claimed.

Farm businesses set up as corporations a capital asset, including land, stocks and bonds. Here, Friesen says, farmers should don’t use the same multi-year data form, keep two things in mind. First, “capital but they can also contact the CRA for losses don’t ever expire, so there’s no pan- up-to-date information on claiming loss ic to use them. And second, they can be carryovers.

Farm business owners must also be used only against capital gains, so they’re aware of changes to carry-forward and pretty restricted.”

Non-capital losses are more compli- back rules, says Friesen. Capital losses cated and include unused losses from an can be carried back three years and foroffice, employment, property or busi- ward indefinitely. Non-capital losses can Buoyed by strong commodity prices earlier this year, and relatively good growing conditions, the 2008 tax season puts a lot of prairie grain and oilseed growers on the horns of a taxing dilemma.

While farm cash receipts and net farm income are up, so is farmer stress about paying taxes, says Merle Good, a provincial tax specialist with Alberta Agriculture and Rural Development. Good, who travels Alberta and parts of Saskatchewan teaching tax professionals how tax legislation impacts farm businesses, says much of that stress is rooted in a misunderstanding of what’s really at stake.

“There is a historic focus on what farmers can do to avoid paying this year’s tax and not enough of a focus on how this kind of thinking may compromise their tax decisions next year and the year after that,” says Good.

for more information visit us online online articles Check your marginal tax rate www.farmforum.ca/taxchart Try this new way to save www.farmforum.ca/taxfreesavings Invest in your farm’s future www.farmforum.ca/resp additional resources Meyers Norris Penny library www.farmforum.ca/ MNPlibrary Alberta Agriculture & Rural Development tax info www.farmforum.ca/agtaxinfo Farm Forum.cA | 5

Production

Canola and cash: why the future looks green

By Joy Gregory

Producer profitability drives search for better varieties Herbicide tolerance and hybridiza- farmers planted 15.6 million acres of tion technology propelled the Canadian canola in 2008, surpassing 2007’s record canola industry from agronomic anomaly by slightly more than a million acres. to market maven in less than 20 years. With canola prices well down from But with this year’s crop in the bin and earlier peaks but still holding at profitseeding decisions for 2009 just around able levels, and “demand for healthy the corner, some growers may be won- vegetable oil seeming to go up and up, dering if this market upstart has maxed the opportunities for Canadians to proout in terms of varietal improvements duce more canola — more efficiently and that can deposit more dollars into their more reliably — are definitely there,” notes Anderson. bank accounts.

Solutions to production problems, and Rod Merryweather of Bayer CropScience loves questions about whether traits that deliver good solid agronomics still lead farmers’ wish producers can expect lists, adds Anderson. better varieties in the When it comes to “But it’s never one thing; years to come. The North growers want crops that American oilseeds busimaking money with yield well, stand up, reness operations manager canola, yield is the sist disease, resist frost with Bayer’s BioScience and have the characterdivision, Merryweather number one concern istics end users want, has his finger on the today — and that’s like more oil and highpulse of the canola busistability oil.” ness; present and future. not going to change Science is on the same As far as he’s concerned, page, says Faouzi Bekka“this crop’s future is all about delivering better traits to growers oui, a research scientist with the National Research Council’s Plant Biotechnology and end users.”

The continental leader of North Amer- Institute in Saskatoon. “There is a lot of ica’s hybrid canola market, Bayer’s In- potential for improving canola and the Vigor hybrid seed commands 42 per cent brassica species in general,” notes Bekkaof the market “and is expected to grow oui, who says current research focuses on to about 50 per cent in the next five to six “identifying genes that will give us speyears,” says Merryweather. “That market cific traits and a better understanding of dominance is all about the hybrid vigor how the plant grows.”

That information will be marketable, that currently offers about a 10 per cent yield increase over other varieties. When since it targets end users and primary proit comes to making money with canola, ducers. “It is critical to us that what we yield is the number one concern today — learn, and what we do with what we learn, is of benefit to farmers,” says Bekkaoui. and that’s not going to change.”

In addition to their quest for healthier Consider the numbers oil, researchers are looking at the genes Concern with increased yield is di- that improve seed yield by promoting rectly related to rising demand for this flowering. Since bigger seeds yield more market-driven commodity, says Chris oil, science is also identifying genes that Anderson, VP crop production, Canola contribute to larger seeds, Bekkaoui exCouncil of Canada. plains. Thinner seed coats, which equate Statistics Canada data shows prairie to improved nutritional value, are another 6 | Farm Forum | FALL 2008

Ready for the supermarket, canola oil gets a final quality check. focus, as is the search for canola-based bio-products with industrial applications.

To give farmers more bang for their buck, plant breeders are attempting to ‘stack’ traits so, for example, they can deliver resistance to several diseases in one variety, adds Merryweather, who cites disease resistance as a money-in-the-bank priority for farmers.

As well, Bayer plans to breed new hybrids with resistance to the latest strains of disease. Once researchers identify a new disease strain, they work hard to identify resistance to it and then incorporate those resistance genes into its hybrids to ensure outstanding InVigor performance in the field, Merryweather explains. “Disease resistance durability is an important concern also, so our strategy has always been to use a multi-gene approach for disease resistance stability.”

Top picks for canola traits One grower shares his wish list for tomorrow’s canola hybrids

Photo courtesy bayer cropscience

Demand set to grow The Canola Council of Canada estimates that more than 52,000 Canadian farmers depend on canola for one-third to onehalf of their revenues. But the industry’s importance to growers actually pales in comparison to the realities of potential world demand.

At a very small per cent of the global market for edible oil, current canola sales are a virtual drop in the bucket, says Mer-

ryweather. “If you think about it in terms of market potential, a one to two per cent increase in market share means we have to double our production.”

With that kind of potential, it’s easy to see why industry insiders are working so hard to give Canadians a shot at more yellow in their fields and more green in their pockets. FF farmforum.cA

Wherever possible, Bayer uses a multi-resistance gene stack approach to achieve resistance durability and stability. It does this so farmers won’t face the kind of problem that developed in Australia, where specific highly-resistant varieties lost their blackleg resistance within a few years because the disease strains changed.

for more information visit us online online articles Science targets canola disease www.farmforum.ca/canoladisease A genetically complex crop www.farmforum.ca/stackingcanola additional resources Bayer’s InVigor canola seed www.farmforum.ca/InVigor National Research Council of Canada seed systems www.farmforum.ca/seedsystems Canola Council of Canada www.farmforum.ca/canolacouncil

Canadian farmers seeded a record number of canola acres in 2008. They also paid record prices for fertilizer, putting “a better response to fertilizer and increased efficiency when it comes to fertilizer management” at or near the top of Brian Chorney’s wish list for fellow canola producers.

The president of the Canadian Canola Growers Association (CCGA), Chorney farms 1,800 acres near East Selkirk, MB. About 25 per cent of that land was seeded to canola in 2008 and Chorney’s the first to admit he’s most interested in varietal improvements that put money in growers’ pockets.

He also knows that agronomic issues differ from region to region. “Any resistance we could have to sclerotinia would be very beneficial in the area where I farm,” says Chorney. In other areas, blackleg and club root are bigger issues.

Besides improved disease resistance, he’d like to see increased tolerance to excess moisture. “Compared to the other crops I grow, canola seems to be the first crop negatively affected by wet weather. And this year, from seeding to harvest, it didn’t stop raining in this area.” In other regions, tolerance to lack of moisture is important, as drought can also devastate a canola crop, says Chorney.

Canola seems to be “especially vulnerable to wet weather at seeding,” he adds. “And once those seedlings are gone, they’re gone.”

Chorney doesn’t straight cut his canola. But he knows that a growing number of farmers are trying to capitalize on the potential savings related to spending fewer hours in the field, so “less harvest shatter would be another advantage.”

Chorney’s wish list mirrors the direction of current research, says Rod Merryweather of Bayer CropScience, which markets InVigor canola. “In the near future we will be able to deliver on many of the things Chorney is asking for including multiple disease resistance and other stress and quality traits.” FF

Farm Forum.cA | 7

Book early to get the InVigor you want.

Because of their high yield performance and superior genetics, InVigor® hybrid canola is always in demand. We understand the enjoyment of seeing the early season vigor, the thrill of watching it grow, the excitement of harvesting a great canola crop and the ultimate satisfaction of getting more bushels in the bin.

Nothing outperforms InVigor. We’re proud to have provided you with the most consistent, industry leading canola hybrids for over a decade and we are committed to your future.

Secure your supply today. Contact your local retail to get the InVigor you want.

www.bayercropscience.ca or 1 888-283-6847 or contact your Bayer CropScience representative.

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

8 | Farm Forum | FALL 2008

08/08-8546-01A

Farm Forum.cA | 9

Technology

Leave fuel in your tank

By Scott Garvey

How to get more pull from your diesel dollar Although fuel-economy sales pitches dominate the automotive industry — and have for some time — it was actually farm machinery manufacturers who pioneered the idea. Early tractors could burn less expensive distillate fuels, and manufacturers’ literature at the time hailed that capability as a way for farmers to keep costs down.

The famous Nebraska Tractor Test lab, which started evaluating tractors in 1920, was testing and reporting on fuel consumption rates long before anyone was looking for mileage ratings on car window stickers.

But with cheap diesel in the late 1960s and early 1970s, fuel expenses became relatively minor, so some engines designed during that period were certainly less than miserly in their fuel consumption. Now, though, those heady days of low-cost fuel are just a distant memory.

No one has to tell producers that today’s reality is considerably different.

So that raises the question of how to Keeping tractors properly serviced and ballasted can significantly reduce fuel consumption during field operations.

10 | Farm Forum | FALL 2008

get through a season on the farm with fewer litres of fuel going up in smoke?

Fuel efficiency has been a subject of considerable study over the past few years, and the major manufacturers are now introducing features on new tractors aimed at conserving what has become a costly input.

Case IH’s Diesel Saver Auto Productivity Management system is just one example: it automatically adjusts engine speed and transmission ratio to provide maximum fuel economy. When the load decreases, so do engine RPMs. According to Case IH, that can translate into fuel savings of 5 to 25 per cent.

John Deere claims its new 8030-series tractors are up to 10 per cent more fuel efficient than their predecessors. These tractors gain their economy from the new 9-litre engine’s design, and an infinitelyvariable transmission. Combine that with a GPS guidance system and there are more savings. “A lot of guys are

seeing 10 to 15 per cent improvement on a hands-free (GPS) system,” says Deere spokesman Eric Hodson.

For anyone wanting to compare fuel consumption on tractors, those Nebraska test ratings are available to the public.

Some can be viewed directly on the test lab’s website, while many of the newer tests can be ordered for a nominal fee.

But to reduce your fuel bill you don’t have to bring home a shiny new tractor or search test data for a used one with a better consumption rating. If you have Internet access, Google “tractor fuel economy” and you’ll find numerous reports outlining dozens of maintenance and management tips to reduce on-farm fuel consumption.

Among the advice offered is some that seems pretty intuitive, like throttle down and gear up whenever possible; and limit engine cool down and warm

Photo (LEFT) courtesy AGCO Corporation

farmforum.cA

for more information visit us online online articles Demand continues to pressure fuel prices www.farmforum.ca/fuelprices Leave chore tractor in shed for winter www.farmforum.ca/balegrazing additional resources Case IH Fuel Saver technology press release www.farmforum.ca/casefuelsaver Fuel efficient John Deere 8030 series tractors www.farmforum.ca/8030tractors Ontario government tips for improving fuel efficiency www.farmforum.ca/fuelsavingtips Nebraska Tractor Test archive www.farmforum.ca/tractortest Switching from tillage to no-till system www.farmforum.ca/switchtonotill Fuel requirement estimates for selected field operations www.farmforum.ca/fuelestimates

Abandoning the cultivator in favour of a no-till system can significantly reduce your annual fuel bill.

Photo courtesy new holland north america

up times to 10 minutes, which is fully adequate for heavy-duty engines. But other fuel-saving tips may not be as obvious. Some university research has yielded interesting results.

In a University of Missouri study, simply replacing extremely dirty oil and fuel filters in a test group of tractors led to a 10 to 20 per cent reduction in fuel consumption. If you’re burning 200 litres per day, that’s a saving of between $20 and $40!

When it comes to tires, proper inflation is just as important on a tractor as on a car. That, combined with proper ballasting, will give you the most pull for your fuel dollar. And if you have an MFWD tractor, you shouldn’t have duals on the rear axle, according to a University of Michigan report. An MFWD tractor will provide superior traction and fuel economy without them.

So with fuel prices likely to remain high for some time, now isn’t too soon to start looking for ways to cut fuel consumption next year. And don’t just think spring operations. No-till operators can prepare for the following year’s crop by managing crop residue properly, right from the combine. That will avoid the need for follow-up operations like heavy harrowing. “You have to do a proper harvest job,” says John Blair, a no-till grower who farms west of Saskatoon, SK. “You don’t want to go back out into that field with a big tractor. Fuel is a big issue.”

Blair believes that rising fuel cost is one of the most significant issues producers have had to deal with in a long time, and the net value of taking a tractor into the field now has to be closely evaluated.

“You don’t just do (field work) because your dad did it. You have to have real justification,” he says. FF

Lose the cultivator and lower your fuel bill The easiest way to reduce farm fuel consumption is by running your tractors fewer hours each season. But that’s easier said than done as some tractors, particularly those used in conventional tillage operations, log quite a few hours every year.

According to a University of Saskatchewan study, there is potential for serious fuel savings by converting from conventional tillage to no-till.

In the study, Nebraska Tractor Test Lab data was used to estimate average fuel consumption for three tillage passes across a field to control weeds. They compared that to one pass with a sprayer. Not surprisingly, tillage operations used six litres per acre more in total than the sprayer did. That’s a saving of over $7 per acre per season.

No-till, however, comes with other expenses, notably chemical costs. But as most producers using conventional tillage use herbicides too, does converting to no-till significantly increase chemical costs? “It wasn’t a huge jump at all,” says John Blair, a Saskatchewan producer who went through the transition.

Prior to the switch, Blair was making up to eight tillage passes a year over summerfallow fields. That meant each of the farm’s two tractors was accumulating about 500 hours per year and being traded off every five years. “Now we’re putting 300 hours on just one tractor,” he says.

With fewer engine hours, fuel consumption on the farm dropped drastically.

“There was a lot less interest at the fuel dealership. Suddenly, we weren’t big customers anymore,” says Blair. But converting to no-till involved a leap of faith. “It’s a pretty big step when you were born and raised with cultivating,” he explains.

And although no-till is now the dominant practice in Saskatchewan, some areas of Manitoba and Alberta with higher rainfall still see predominantly conventional tillage. “The (no-till) technology is adapted to a drier soil bed,” says the University of Saskatchewan’s Cecil Nagy. But now there is a new incentive for those conventional tillage holdouts to consider converting. “With high fuel prices, I think farmers (in wetter areas) will be taking a second look at it,” he says. FF Farm Forum.cA | 11

business

One Word Describes Ocean Freight Rates: Volatile

By Scott Garvey

James Richardson grain terminal at Port Vancouver.

D

id you watch any of the Olympic events from Beijing, China? Aside from giving Canadian athletes a chance to compete for medals, another benefit came out of the games: ocean freight rates for grain took a brief tumble. And that meant a few more dollars in the pockets of prairie producers.

Over the past few years, extreme price volatility has been the order of the day for ocean shipping. Why? Because demand for goods by developing countries — China and India in particular — is having an enormous effect on demand for ships. And whenever demand goes up, so does price.

Even though bulk grain shipments amount to between 250 and 300 million tonnes annually worldwide, they 12 | Farm Forum | FALL 2008

Even though volatility is common in ocean shipping rates, the emerging economies of China and India have significantly magnified those fluctuations.

“The freight market hit record highs in November of 2007, then dropped about 50 per cent in one or two months. By late May or early June we again set new record highs,” says David Przednowek, ocean freight manager for the Canadian Wheat Board.

Since 2003, China’s and India’s appetite for raw materials has created a boom for ocean bulk shipping. “Over a short period we suddenly had a big imbalance of demand and supply,” says Przednowek “Until 2003, the freight market was really dead.”

That meant carriers were mothballing freighters because they couldn’t keep them busy. Now there aren’t enough to go around. That has spurred a boom in ship-building, with the number of new bulk carriers under construction equal to about 60 per cent of the current merchant fleet. But these new vessels won’t even begin coming into service until 2009.

That increase in capacity should alleviate much of the recent crunch for bulk shipping and keep rising freight prices in check — or help them colaccount for less than 10 per cent of lapse. Fluctuating demand for raw materials from emerging all dry bulk shipments. nations is forcing ocean Coal and iron ore are shipping into uncharted The freight market the biggest commodities waters. This fall, as the and they vie for shipping hit record highs in global economy conspace with grain, driving November of 2007, tracted, bulk rates again up rates. fell off a cliff. “Nobody So how do the Olymthen dropped about has a really firm feeling pics figure into that?

50 per cent in one where this market is goSimple. China shut down ing to go,” says Przedor two months. By much of its manufacturnowek. ing and industrial activilate May or early With the recent high ty for a while, to improve June we again set cost and future uncerair quality and focus on tainty of bulk rates, the games. That triggered new record highs some transportation a lull in demand for raw experts are looking at materials, so fewer ships were booked. That caused shipping grain shipment alternatives. The most obvious is containerization. Although costs to fall temporarily.

Photos courtesy Vancouver port authority

some crops, such as pulses, are frequently shipped in containers, cereal grains usually are not.

Dr. Barry Prentice, a professor at the University of Manitoba’s Transport Institute, sees an opportunity for increased returns to producers by containerizing grain shipments. “In today’s environment we’ve gone to just-in-time delivery (for general freight.) Containers would be a just-in-time system for grain.” he says. “It’s just a matter of time until buyers demand it.”

Using containers could reduce costs by taking advantage of existing shipping infrastructure and eliminating back-haul charges. In bulk handling systems rail cars and ships must return empty to pick up another load of grain, so shippers are paying for a round trip.

Many containers have likewise been returning to Asian ports empty. Loading them with grain would require only one-way freight.

But strong overseas demand for North American products has stimulated exports, while imports have declined due to the mortgage crisis. That’s raising demand for outbound container space just as shrinking imports means fewer inbound containers to refill.

So, pound for pound, bulk shipping is still the low-cost alternative. However if it was possible to get more for prairie grain by using containers, that would improve the profit picture. And Prentice thinks it is possible.

“How do we compete with Ukrainians and Argentineans who also compete in the bulk market? My answer is we go up market,” says Prentice. “What we have is a system based on really average quality.” By shipping smaller, container-size quantities, it would be

possible to segregate grain into specific quality requirements for buyers, netting more money for producers and allowing for traceability.

All of that would require a re-think of current shipping and handling methods, but supplying buyers with those kinds of options could really open up some new, high-value market opportunities, Prentice believes. “Imagine an eBay for grain,” he says. FF

farmforum.cA

Container loading at Port Vancouver. for more information visit us online online articles Ocean freight rates unpredictable www.farmforum.ca/oceanfreightrates Pulse Canada launches bid for better shipping services www.farmforum.ca/pulseshipping additional resources University of Manitoba’s Transport Institute www.farmforum.ca/transportinstitute Canadian Wheat Board www.farmforum.ca/CWB CN container stuffing facility www.farmforum.ca/containerfacility Port of Vancouver www.farmforum.ca/portvancouver

Edmonton “container stuffing” facility caters to prairie producers.

Not surprisingly, the movement of shipping containers follows the flow of international trade. Where incoming shipments are high, more empty containers are available for backhaul cargo. Conversely, a drop in imports shrinks container availability. And that is bad news for prairie farmers who want containers for shipping specialty crops overseas.

Regions like Saskatchewan see few imports relative to other areas. So it costs carriers extra to get empty containers there for loading. And with high export demand for containers everywhere, carriers don’t need to spend the extra money to get backhauls from prairie shippers. That is one reason prairie producers are finding it difficult to access empty containers for specialty crop shipments.

Taking advantage of the higher number of import shipments in the Edmonton area — and the resulting greater number of empty containers — CN opened a “container stuffing” facility there, in 2006. The facility specializes in loading containers with prairie agricultural products headed overseas.

“CN has been working with shipping lines to access empty containers for backhaul,” says CN spokesman Kevin Franchuk. And so far, the facility is apparently working to expectations. Its speed and efficiency, along with the urban location, are paying dividends in getting access to containers. CN’s target for the Edmonton yard is an annual throughput of 100,000 tonnes.

But overseas demand for North American products has been strong at the same time the U.S. housing market decline has lowered imports. That has increased demand for containers from North American shippers while reducing the available number. Although CN says it is satisfied with the quantity of grains loaded and shipped from Edmonton, “Securing empties for backhaul is still a challenge,” concedes Franchuk. And that widespread shortage is likely to hamper shipments of all North American products for some time to come. FF

Farm Forum.cA | 13

cover story

Personalize

your weather report

By Jennifer Barber

14 | Farm Forum | FALL 2008

Wireless on-farm weather stations provide extensive data for more precise decision making

On his hand-held device, CWB weather and crops analyst Guy Ash receives data from an on-farm weather station.

W

Photos courtesy CWB

ith a new baler in his shed, Doyle Wiebe was looking for the right time to bring it into the field. Knowing that humidity was a crucial part of that decision, Wiebe had to look no further than his desk to know when to get to work. His onfarm weather station told him that despite deceptively cool weather, the humidity was low enough to go.

A self described weather enthusiast, like many farmers Wiebe needs to know what he can expect from Mother Nature when he heads into the field. “With the baler, I want to make sure I have ideal moisture levels, and I am open to looking to a scientific source for that information,” he says.

“Now I know my (hay) quality is high, and that I used my aeration fans efficiently.”

His weather station is part of a prairie-wide network spearheaded by the Canadian Wheat Board (CWB) that partnered with WeatherBug — owner and operator the world’s largest network of weather stations and cameras — and Pioneer Grain to launch the project in the summer of 2007. Since then, Bayer CropScience, Alberta’s Parkland Agri-Services and more than 40 other agricultural retailers, schools, and government agencies have signed on to help develop the network and provide increasingly specific information to farmers.

“These weather stations can identify micro-problems in small areas,” says Guy Ash, weather and crops analyst with the CWB. “They provide real-time observations that make the information truly a local result. We’re developing spray advisories and models on wheat midge, and continually producing tools to make it more useful.”

The solar powered stations are mounted on poles and record wind speed and direction, humidity, precipitation, temperature, barometric pressure and dew point readings. These readings are wirelessly transmitted every 2.5 seconds to a home console and networked via high speed Internet. Basic information can also be viewed using a wireless device or cell phone.

The project’s original goal was to secure agreements with farmers, retailers and other partners for the installation of 600 weather stations across the prairies over the first three years of the program. But due to high demand over 900 were sold in the first year. Stations have been installed on farms, grain terminals and agricultural retailers, and there is currently a waiting list for new stations.

On-farm results bring precision The weather stations were designed to generate information specifically for farm use.

For example, they assess wind conditions for Farm Forum.cA | 15

cover story

guidance in managing spray drift. They also indicate temperature, humidity and rainfall conditions to help predict harvest quality. This past summer, the grid had enough stations for the CWB and Bayer CropScience to create wide-area forecast models for certain disease and insect risks.

Wiebe, who farms just south of Langham, SK says his 5,000 acres cover a large enough area that they have their own weather pattern. “Before I got this system I’d phone Environment Canada every hour to find out the humidity, to know how long I could combine. I don’t have to do that anymore.”

While on a course in the spring of 2007, Wiebe learned about the weather stations and their installation from the CWB. The wireless transmission requires high speed Internet that he already had on his farm. His system was put in place right before spraying season and he was able to see the advantage of farm-specific weather data right away.

“Before heading out on the sprayer I’d always check my remote station so I could monitor the wind conditions on a minute-by-minute basis,” says Wiebe.

“The data really helped me decide when I should go out in the field or if I should go out at all that day.” Wiebe’s station is mounted on top of his machine shed, so there is a bit of variability relative to ground wind speed, but it was still very accurate.

The weather stations augment existing services provided by Environment Canada. “Environment Canada provides forecasts, weather warnings and long-term climate information,” says Ash. “While 16 | Farm Forum | FALL 2008

its services are invaluable, its mandate is not to provide weather information for specific locations. These weather stations graph numerous weather variables in a short time span so a farmer can review the way the weather’s been throughout the day, and can build on that information.”

Fine-tune spray timing Pinpointing weather has financial implications for farmers. One of the goals of the program is to use information collected from the weather stations for more efficient use of equipment and crop inputs.

“Farmers were frustrated by the lack of good, local weather information available to them,” says Jim Anderson, director of business development with WeatherBug. “With the increase in integrated pest management and precision agriculture, the only way to truly know if Cam Goff. decision-making is accurate based on conditions, is with localized weather.”

With WeatherBug’s technological background and meteorological expertise combined with agronomics provided

by the CWB, models for diseases such as sclerotina and fusarium or insects such as wheat midge, were developed in the first year of the program.

“One way the network of information is used is to predict when outbreaks of disease or insects my occur,” says Anderson. Emergence of pests like wheat midge depends on the number of heat units in an area, he explains. Agronomists take information from the network and use it to create scientific models to predict emergence patterns.

The basic weather data is available through the WeatherBug site to anyone with an Internet connection. More in-depth information can be accessed through the CWB’s e-services for an annual fee of $99 for farmers who own a station and $199 for those without. The cost of the on-farm weather station is about $900.

Weather Bug and Bayer CropScience have also developed a subscriber-based BayerWeather Command Centre (see sidebar) which uses data from network stations to develop disease and pest risk models. The Command Centre ties this

Studio West Photographers

Cam Goff’s weather station — mounted outside his service station and coffee bar near Hanley, SK, 13 miles away from his farm — allows him to factor day-to-day weather conditions into his decision making.

Screenshot courtesy bayer cropscience

information back to commodity prices to create a more complete picture of the cost of weather-affected decisions.

farmforum.cA

Join the grid Not all the weather stations are located on farms. In the interest of creating a properly spaced grid, some are being installed at farm supply outlets or other rural locations. Ideally, the stations would be spaced every 20 kilometers across the prairies.

Cam Goff mounted his station outside his service station and coffee bar near Hanley, SK. It also gives him information he needs for his farm 13 miles away. He says the station has been a conversation piece at the coffee bar.

“Everyone wants to go out and take a look at it,” says Goff. Seeing how it works gives farmers first-hand knowledge of what they could get from a station of their own, adds Goff. “I had no idea it would be this popular but the reaction of farmers I’ve spoken with has been very enthusiastic.”

He also installed his unit just before spray season and used the results to fine-tune applications. One of the things he also found useful has been the ability to go back and look at conditions the day before. “I can make decisions the following day, or for the following year, based on how much rain I received, how low the temperature was, and what the end result was,” says Goff. “Factoring day-to-day weather into my decision making puts a new spin on the phrase, ‘precision agriculture.’”

Goff believes that if more farmers sign onto the grid, all farmers will benefit. “My hope is that one day, the grid will work in a way that farmers can see on-the-ground conditions as they drive through their fields,” says Goff. “Farming is becoming more high tech, and precision will make the use of our time, resources and inputs more efficient.” FF

for more information visit us online online articles An education in weather www.farmforum.ca/weatheratschool Wheat midge forecasts gain accuracy www.farmforum.ca/wheatmidge additional resources CWB WeatherBug weather network www.farmforum.ca/weathernetwork Envirocheck Weather www.farmforum.ca/envirocheck WeatherBug Canada: www.farmforum.ca/weatherbug

Applied weather Information By linking weather and agronomic data, Bayer CropScience’s Weather Command Centre helps farmers make more informed crop management decisions

F

armers across the prairies have to check several sources for the latest weather, agronomic and commodity information. Bayer CropScience is bringing it all together. Information from such sources as WeatherBug stations, Environment Canada, and the Canadian Wheat Board is being presented at a single location.

The Bayer Weather Command Centre uses WeatherBug’s software to display output from weather stations across Canada, allowing individual users to set their default location and access information that’s relevant to them.

“We launched this site in spring of 2007 to 430 retailers and to 950 of our grower customers,” says John Hanson, portfolio manager, Targeted Grower and Retail Strategy with Bayer CropScience Inc. “We plan to open it up to 1,000 more growers in the coming season and we hope to be able to offer it to more growers in the future.”

Data is sent to the Command Centre every two seconds for real-time results. After logging into the Command Centre, users can look at daily and monthly conditions, and graph weather information to assess trends. The system is linked to WeatherBug stations across Canada and the U.S. for a big-picture look at what different agricultural areas are facing.

“Growers can find basic information like their current temperature, recent rainfall, or wind conditions,” says Hanson. “But they can also go back and look at conditions any time in the past 120 days.” That helps identify links between current crop problems and weather events that happened weeks or even months in the past.

The site also includes a commodities tab that gives current prices by crop; a product and resources section which links to provincial agricultural departments; and program calculators.

And that’s not all. The Command Centre offers other services such as risk maps for weather-related issues. Sclerotina and fusarium models developed by WeatherBug are linked to disease management guides. In the future, new models for winter kill, test weight and protein levels may be developed.

“We hope that over time, we’ll be able to add more capabilities to provide growers with tools they can use,” says Hanson. “From feedback we’ve received so far, this site can be addictive and growers have begun to rely on it. We want to make sure that the weather-related information presented is what they need, when they need it.”

For more information, contact Bayer CropScience’s toll-free HelpDesk at 1-888-283-6847. FF Farm Forum.cA | 17

fa r m l i f e

Comfort food: The flavours that bind

By Joy Gregory

Home-cooked and uncomplicated, our favourite foods are flavoured by taste and tradition Ask friends to describe their alltime favourite comfort food and they talk about garlic-seasoned mashed potatoes spooned from a china bowl passed among family and friends gathered around a formal dining room table. Others are just as quick to talk about oven-roasted chicken served cold from the end gate of a half-ton parked in the middle of a dusty grain field.

Still others rave about made-from-scratch bacon-lettuce-and-tomato soup eaten from a Styrofoam bowl at the local arena.

Who’s right? All of them, says Gail Hall, a chef-by-experience and self-described food activist who wants people to think more about what they eat.

The former owner of a gourmet catering company based in Edmonton, Hall makes her living teaching small groups of food lovers to cook. Season permitting, her lessons include trips to a local farmers’ market in the heart of downtown Gail Hall looks on as students Lorinda Prociuk (left) and Brenda Hirsekorn put the finishing touches on their salad.

18 | Farm Forum | FALL 2008

Their home-made goodness aside, Edmonton, where some participants encounter freshly-dug potatoes or carrots Hall concedes that comfort foods get at least part of their flavour for the very first time. from a distinctively emoShe also takes fellow Edwards-Kennedy tional aspect that speaks foodies on Canadian and international excursions presides over one of to where these foods are served-and shared. In othdesigned to introduce the only ice skater words, while it makes them to regional foods, and it’s from that vaning rinks in western sense to list hearty soups, stews and chilies as comtage point that she defines Canada to feature fort foods that are great comfort food “as any for Canadian winters, the food you make yourself a menu focused on real definition of comfort from scratch.” fresh foods food is intensely personal, In a global marketplace since certain foods nurthat demands the fruits of Canadian-grown crops, including pulses, ture taste buds — and memories! canola, wheat and barley, Hall’s trips abroad have convinced her that Canadi- Nutrition matters an cooks should look at comfort foods as Brenda Edwards-Kennedy knows that those that start with the basics, but wel- first-hand. She’s the self-taught chef become the flavours of the world (see Hall’s hind a kitchen that serves as the food hub of the village of Rockyford’s arena and recipe for curried carrot soup.)

Photo courtesy gail hall curling club, about an hour’s drive east of Calgary. Edwards-Kennedy presides over one of the only ice skating rinks in western Canada to feature a menu focused on fresh foods.

And people like it. “I have families who come here to eat meals, and one couple from Didsbury (an hour-and-a-half away) tell me that when their son plays in Rockyford, they always make the trip.”

Besides arena staples like hot dogs and hamburgers, Edwards-Kennedy serves homemade cookies, crispy rice squares and cakes, and roast beef sandwiches made from “real” roast beef. She also makes gravy from “real” beef drippings and her breakfast buns and hot-from-theoven muffins often greet the first patrons of the morning.

Favourite homemade soups served at the rink include cream of broccoli, cream of mushroom, and hamburger and cabbage soup. But serving a population of “country people with kids” doesn’t keep Edwards-Kennedy from trying new things.

Even though she herself questioned the wisdom of a soup with lettuce, she tried BLT soup during the 2007-08 season and people loved it.

farmforum.cA

Pick your pleasure!

A proponent of eating foods grown close to home, Hall cautions against the notion that familiar foods are boring. Instead, she encourages people to experiment with everything from preparation to flavour, which makes her advice a contemporary version of what your own mother said about all new foods: try it, you might like it! FF

for more information visit us online online articles Sweet and sour meatballs www.farmforum.ca/meatballs Bacon Wrapped Cranberry Dressing Bundles www.farmforum.ca/dressingbundles additional resources Gail Hall’s website www.farmforum.ca/seasonedsolutions Register for cooking classes www.farmforum.ca/cookingclass

(RIGHT) ©iStockphoto.com/Pidjoe; (bottom right) ©iStockphoto.com/Image Point Photography

She also does her best to make sure her kitchen is well stocked with fresh vegetables and fruit, since a lot of her customers tell her they appreciate being able to pick up a nutritious snack.

Knowing that busy schedules make it tough for many people to eat at home, Gail Hall loves the idea of an ice arena that makes nutrition a priority. For those who want to beef up their own at-home menus with greater emphasis on comfort food, Hall’s advice is simple: the decision to cook healthier, great-tasting food is mostly about “making it habit — going out, getting the groceries, taking them home and having things in the pantry that you can always rely on.”

Soup’s on!

Chef Gail Hall’s hearty soup begins with a Canadian staple but “goes global” with the addition of curry.

CURRIED CARROT SOUP Yield: 6 portions

2 tbsp butter

1/2 lb carrots, peeled and cut into 1/4” dice

1 cup peeled and diced onion

1/2 tbsp curry powder

1 tsp ground ginger 1/2 lb potatoes, peeled and cut into 1/4” dice

1/2 litre chicken stock 1/2 cup orange juice 1/2 cup yoghurt or sour cream for garnish 1/2 cup chutney (preferably one with a bite) for garnish

In a brazing pot or large saucepan, melt butter and sauté carrots and onions in with curry powder and ginger. Stir and sauté until soft. Add chicken stock. Bring to boil and add potatoes. Reduce heat to a simmer and cook until vegetables are soft (about 15 minutes.) Stir in orange juice and puree using food processor or blender. Garnish soup with a dollop of yoghurt and hot chutney. Serve with rustic breads and butter.

Farm Forum.ca | 19

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Visit InVigorResults.ca to see for yourself how InVigor out yields the competition year after year.

www.bayercropscience.ca or 1 888-283-6847 or contact your Bayer CropScience representative.

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

20 | Farm Forum | FALL 2008

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Farm Forum.cA | 21

fa r m l i f e

Outstanding young farmers share their recipes for success

By Anne Morris

G

leaning farming expertise from those who have gone before us is characteristic of the agricultural community. And that philosophy of passing on knowledge, experience and helpful tips, is the basis for the Outstanding Young Farmers’ (OYF) program’s newly formed Speaker’s Bureau.

Whether it’s in an official capacity or simply on an informal basis, that willingness is just a way of life for those working in the agricultural community, says Eadie Steele, who, along with husband John, is a member of the Speaker’s Bureau.

“Farmers are the only (business people I know) willing to share trade secrets

The Cranston family in their new pack barn, L to R: son James, Doug, Joan and James’ girlfriend Sara.

22 | Farm Forum | FALL 2008

with the competition,” Eadie says from the couple’s sheep farm in Ontario’s Peterborough district. “Farmers like to get together and talk about farming. And if there’s a way to do something easier, better, faster or more efficiently, farmers are very willing to share that with other farmers.”

Eadie goes on to say that if, for example, a farmer discovers a way to make hay faster, then it benefits the whole agricultural community. “(Farming) is unique that way. We are not worried about competition from a neighbour. I guess it’s just a tough row to hoe for everybody and those who can make it easier are quite

willing to do that.”

The Speaker’s Bureau, launched about a year-and-a-half ago, is aimed at lining up speakers and presenters — all OYF alumnae — with those wanting to tap into their knowledge and experience.

They offer everything from practical advice on leading-edge technology to ideas on how to improve farming operations. Program director Joan Cranston says the concept is just starting to create interest and the hope is to one day offer a one-on-one mentorship program.

“At this point we just want to make the alumnae experiences available,” she says. The idea is to put people together

gram’s nominating committee ever since.

Happy to share their trials and tribulations, the couple knows all about how valuable, if not crucial, information garnered from others in the industry can be.

They benefitted from outside advice after buying their sheep farm. Eadie’s husband moved to Canada from Britain and had no experience whatsoever with Canadian winters, she recalls.

While it was a humbling experience to earn the OYF award, the couple have long understood the need to give back to the agricultural community. “It’s this whole farmer thing — you give something; you get something back.”

Eadie and John are currently helping an Alberta farmer tailor a technology they use on their sheep farm — radio frequency identification technology — for her operation.

Another way Eadie enjoys giving back is through her “inspirational” talks to 4-H groups. “I find some of the kids have more intelligent questions than adults.”

This is the hope for farming of the future, she adds; that those interested in farming as a career are passionate about it. FF farmforum.cA

(TOP RIGHT) Photo courtesy the steele family; (LEFT) Photo courtesy the cranston family

and facilitate networking opportunities.

She hopes the Speaker’s Bureau will become the forum of choice for young farmers to come and learn from OYF alumnae everything from farm management to details about specific commodities to employee relations and even how a successful farming operation is run. In addition to farmers, other organizations such as 4-H or urban groups interested in the agricultural industry could tap into the Speaker’s Bureau expertise.

“It’s still really in the early stages,” says Cranston, adding that the bureau has great potential as farmers are always quite willing to share their experiences and what works for them.

The OYF program, approaching its twenty-eighth year, has close to 250 alumnae, most of them couples running farming operations ranging from dairy, seed, Speaker’s Bureau members grain, and beef cattle production to such John and Eadie Steele on specialized businesses as sod farms. Even their sheep farm near though it’s a new program, Cranston says Peterborough, ON. the Speaker’s Bureau has already helped increase the profile of the OYF program overall and it’s a practical spin-off from the existing program. “It’s finally picking a tie-stall operation to the upgraded parup some steam,” she says. “The media is lour option. With the previous system they more aware of us now, and it also makes were milking about 55 purebred Holsteins.

Now they milk 80 cows in less time. more farmers aware of the program.”

“We decided we wanted to stay in There are now about 25 speakers on the list, with additions planned to repre- dairy farming and needed to make things sent each region in the country. “Some more efficient and basically tore down all our buildings and renoof the older (OYF alumvated,” she says. nae) are really enthusiastic Organized by the Proabout it,” Cranston says.

Farmers are the gressive Dairy Operators, “Others say it’s just not formerly the Ontario Large their thing — they’re not only (business Herd Operators, the visits public speakers.” people I know) proved popular, says secreIn answer to that, the willing to share tary treasurer Carol Anne Speaker’s Bureau, has an She applauds such option for those who prefer trade secrets with Pinkney. an opportunity to glean to show rather than tell. Ofthe competition knowledge from others. “I fering a farm tour is a great think the Speaker’s Bureau is way for people to see firsta good (resource) to have,” hand how a particular farming operation works, and an opportunity she says. “Nothing is worse than being to ask questions. “Most people feel quite stagnant.”

Warren Kaeding and his wife Carla comfortable while on their own farm,” also support the concept and believe the she says.

Practicing what she preaches, Cran- Speaker’s Bureau makes sense. They opston opened her farm to four busloads of erate a pedigree seed business, Wagon people wanting to see recent changes to Wheel Seed Corp., in Saskatchewan. the operation. In her case, a composting The couple were named 1999 OYF copack barn as well as a new milking par- winners. “The whole benefit is to have lour, generated a lot of interest. She says that connection with people with similar they have probably had about 2,000 visi- interests — to get you through the hard times and the good times,” Carla says. tors since they moved in last December.

The Steeles earned their OYF award The visitors were “looking for ideas” and to see how the operation went from years ago, too, and have been on the pro-

for more information visit us online additional resources Outstanding Young Farmers’ Program www.farmforum.ca/oyfcanada Quality Sheep farm www.farmforum.ca/qualitysheep Farm Forum.ca | 23

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