CONNECTIONS SPRING 2021
CHAMPIONS OF CONSERVATION PG. 12
MAKING THE MOST OF GOING VIRTUAL
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FOCUSED ON THE FUTURE.
MKC ADVOCATES FOR IMPROVED INFRASTRUCTURE, LOCAL INVESTMENTS AND STRATEGIC PARTNERSHIPS TO SUSTAIN THE COOPERATIVE MODEL FOR FUTURE GENERATIONS. VISIT OUR WEBSITE AT MKCOOP.COM TO LEARN MORE. 2 Connections
Contents IN EVERY ISSUE 4
PRESIDENT’S COLUMN Straight from President and CEO Brad Stedman’s desk.
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NEWS BRIEFS The latest from MKC and its employees.
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TMA COLUMN A word from our grain partner.
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TALK BACK We asked, you responded.
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FEATURES 9
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Mid Kansas Cooperative @midkscoop
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Mid Kansas Cooperative @midkscoop
THE POWER OF PARTNERSHIPS The MKC energy department worked diligently to provide light and heat to thousands during a historic winter storm.
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CHAMPIONS OF CONSERVATION Member-owners across the state are transforming their operations to be more sustainable.
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MAKING THE MOST OF GOING VIRTUAL Virtual meetings provide an opportunity for growers and others to hear the latest news and information amid the pandemic.
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DATA MANAGEMENT ECOSYSTEM MKC recently announced its collaboration with Agworld, adding value to real-time data for farmers.
Editorial Staff Nichole Gouldie - Communications and Brand Manager Kelli Schrag - Communications Specialist Katlin Allton - Communications Intern
MKC - Mid Kansas Coop
Board of Directors Allan Wegner - Chairman Jason Gaeddert - Vice Chairman David Mills - Secretary Duane Johnson James Mosiman Sara Hasty Hal Mayer Ben Schrag J. Daniel Eakes John Borth C.J. Blew
MKC Vision Partner with customers to successfully navigate the complexity of modern agriculture and industry.
Management Brad Stedman - President and CEO Danny Posch - Executive Vice President and CFO Dave Spears - Executive Vice President and CMO Erik Lange - Executive Vice President and COO Anne Warren - Executive Vice President and CHRO
MKC Values The success of our business will be determined by our ability to focus on safety, courtesy, image and innovation.
Connections is distributed free to MKC member-owners. When reporting an address change, contact (620) 345-6328 or contactus@mkcoop.com.
MKC Mission To create customer, employee and partner success to provide a safe and sustainable food supply.
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COLUMN | NEWS | FEATURE
FINDING A PATH FORWARD PRESIDENT’S COLUMN BY BRAD STEDMAN, MKC PRESIDENT AND CEO
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mkc has made CARBON MARKETS an initiative to learn more about and create opportunities for our members.
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re the carbon markets here to stay? In many cases, our member-owners have already adopted sustainable and regenerative farming practices. Is now the right time for your cooperative to help scale carbon as a new commodity? We seem to be in a time when several things are creating a perfect storm that may accelerate the carbon markets. Administrative changes with more focus on renewable energy sources, a private industry with the desire to track their carbon footprint and consumer demand shifting all seem to be pointed in a similar direction. These factors have led the leadership and Board of Directors at MKC to discuss what it will mean for our cooperative and our member-owners. Our industry is continuously hearing about different sustainable ag-tech companies bringing ideas of carbon marketing to the table. Carbon markets are booming, and practices that sequester carbon in the soil and slice greenhouse gas emissions may mean more money for farmers. What are carbon markets? Carbon markets pay farmers to raise crops or livestock in ways that isolate or reduce greenhouse gases that fuel climate change: carbon dioxide, nitrous oxide and methane. Major ag companies like Bayer have launched carbon market programs in their own effort to galvanize progress towards carbon neutrality — or, better yet, going carbon negative. Each program incentivizes farmers, often through financial compensation and “carbon credits,” to adopt regenerative production in different ways, such as building soil health, crop rotation and more. One recent example was a partnership announced in February when Microsoft formed a working partnership with Truterra in a program called TruCarbon. Microsoft is the first secured buyer in this program to purchase carbon in 2021, which will help meet their commitment to being carbon negative by 2030, company officials say. An additional push is coming at the federal level, as the Biden Administration has announced federal carbon market plans. For the past several years, MKC has focused on bringing education and more sustainable products, programs and services to members through precision ag and cover crops. For some producers, access to carbon payments with little change to farming practices is possible. For many, switching practices to qualify for carbon credits will take some time. Farmers and ranchers can participate in the carbon market by either reducing emissions or capturing and storing emissions. Some examples of reducing emissions include implementing rotational grazing programs, decreasing fertilization or changing feeding practices. Emission storing can consist of changing tillage practices and crop rotations. It does seem like the carbon market arena has been developing these past few months very rapidly, and I don’t believe it is going away. Many farmers and ag businesses have viewed mandated climate change with skepticism, but the demand for carbon as a commodity is gaining momentum. With that, MKC has made this an initiative to learn more about and create opportunities for our members. This is something we should all be monitoring to determine what value this could mean for your operation, as well as your cooperative. We are committed to learning more, putting a program in place if appropriate and most importantly, keeping you informed.
COLUMN | NEWS | FEATURE
TOP 20 RANKING IN CROPLIFE 2020 AG RETAILER LIST MKC was recognized on CropLife’s Top 100 U.S. ag retailers list for 2020 at No. 19. MKC’s spot at 19 was the highest-ranking for a Kansas cooperative. “This recognition demonstrates MKC’s ongoing commitment to growth to positively influence our member-owners, customers and employees,” said Brad Stedman, MKC president and CEO. “In an ever-consolidating market, continued growth and relevance are critical. Continued growth means access to talent and new and innovative products and programs that can put our customers in a position to optimize their operations’ efficiency and profitability. MKC will continue to be committed to strategic growth that ultimately benefits our member-owners.” MKC’s acquisition of Mid-West Fertilizer in March 2020 significantly impacted the cooperative’s move to the top 20. The cooperative moved up 41 spots from the 2019 list at No. 60 to its rank in 2020, largely because of the purchase of Mid-West Fertilizer. The 2020 CropLife 100 is the 37th annual ranking of the largest ag retailers in the U.S. Ranked by total sales, companies appearing on the list include independent dealerships and cooperatives offering fertilizer, crop protection products, seed and custom application services. In 2020, MKC was in the $201 million - $1 billion revenue category, with fertilizer capturing a majority of MKC’s revenue at 62%, followed by crop protection sales at 19%, seed at 11% and custom application at 8% of revenue.
DONATIONS TO COUNTY 4-H PROGRAMS In 2020, MKC contributed $55,000 to Kansas 4-H programs to support leadership development events for young 4-H members in 22 counties. This year marks the 15th consecutive year for donations made to 4-H programs within the MKC footprint. “This is a great opportunity for us to assist local 4-H organizations that play such a positive role in the lives of so many young people within our trade territory,” said Brad Stedman, MKC president and CEO. “It is exciting to think those same youth will be the future leaders of our communities.” Funds totaling more than $230,000 have been donated to 4-H since 2006 with matched contributions from the Land O’ Lakes, Inc. Foundation. This year, MKC made donations to Butler, Clay, Dickinson, Ellsworth, Gray, Harper, Harvey, Haskell, Kingman, Marion, McPherson, Meade, Morris, Ottawa, Pottawatomie, Reno, Rice, Riley, Saline, Seward, Sumner and Wabaunsee counties.
MKC Feed Sales Specialist Zoe Woolsoncroft (far right) presents the donation on behalf of MKC to 4-H members of Riley County.
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COLUMN | NEWS | FEATURE
JONES SERVES AS GEAPS INTERNATIONAL PRESIDENT Jeff Jones, MKC vice president and director of eastern operations, was elected in July 2020 to serve a one-year term as the international president for the Grain Elevator and Processing Society (GEAPS). GEAPS is an international professional association of individuals that work in the grain handling and processing industry. Since 1930, GEAPS has fostered leadership, innovation and excellence in grain-related industry operations. Jones first became involved in the organization in 2013 after joining a local chapter meeting. Being new to the grain industry at the time, his inquisitiveness and unique skillset prompted an invitation to run for a board director position. Over the years, he worked his way to president of the Great Plains chapter. As international president, Jones leads the executive committee, which develops GEAPS’ governance and operations policies and oversees financial and operations management services. “My responsibility is to oversee the wellbeing of the organization,” Jones said. “I work in partnership with the executive director and lead the board through budgeting, growth and event discussion.” GEAPS is a global network of industry professionals, with more than 2,000 individual members from 1,150 companies and organizations represented in over 20 countries. As the grain knowledge resource of the industry, GEAPS provides professional development and training to its members. “The professional development offered by GEAPS is one of the biggest values to our members,” Jones said. “We provide safety trainings, in-depth company trainings and grain operations certifications. The second biggest value is the networking and growth opportunities.” Once a year, GEAPS hosts its Exchange Conference where members connect and learn about the grain industry’s current happenings. “This has been a trying year for GEAPS due to the COVID-19 pandemic,” Jones said. “Our Exchange Conference in Minneapolis was canceled, and our Columbus conference was moved from March to August in the hopes we can host it in person.” Jones said one of the most significant accomplishments from his term was the creation of a virtual Exchange Conference in place of the inperson convention. “The Minneapolis Exchange was our main revenue generator,” Jones said. “We created a virtual version of the meeting, where we hosted over 350 people
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over a three-day span and still made money from it. It was a big win for us, though we look forward to the connection and contact we can have with members in-person.” MKC has 17 employees who are currently members of the GEAPS Great Plains Chapter. Employees both receive and present training on soft skills, leadership, industry equipment, safety and grain quality. Through their involvement, MKC has been able to host meetings and vendors at its state-of-the-art shuttle loaders. “At MKC, our tagline is “Shared Growth. Shared Success,” Jones said. “Our Board of Directors and executive team push us to seize opportunities that challenge us to grow. I can’t think of a better way to garner experience in this industry than my volunteer leadership opportunities with GEAPS. The amount of networking and knowledge sharing around safety, grain conditioning and processing is invaluable, and has provided numerous opportunities for MKC to sit on the board with the largest grain companies in the world and make those decisions that affect GEAPS and the grain industry.” After his term concludes, Jones will transition to chairman of the board.
LEARN MORE: To learn more about GEAPS, visit www.geaps.com or contact MKC Director of Eastern Operations Jeff Jones at jeff.jones@mkcoop.com.
COLUMN | NEWS | FEATURE
FUEL SITES RECEIVE MAJOR UPDATES ACROSS FOOTPRINT Communities across the MKC footprint received upgrades to their MKC fuel pumps this winter. More than just a cosmetic upgrade, most of MKC’s new fuel pumps will provide customers a seamless experience with new features, including a chip reader and, in some cases, tap-to-pay. “We want to provide equipment that is going to be reliable and safe for our customers,” said Scott Barkley, MKC director of energy operations. Fifteen MKC fuel sites received new hardware and a software upgrade, while a few of those locations received all new dispensers. Sites with new dispensers will have the capability to utilize a chip reader and tapto-pay, a form of payment that allows customers to tap a card to the reader instead of inserting the card. The upgrades provide a more reliable system to dispense gasoline and diesel and are safer to use from a card security standpoint. The project began in January after credit card companies required fuel pumps to read credit card chips. The chip upgrade
required a significant investment in software, so to provide a more positive customer experience, MKC looked into doing a total upgrade. “We evaluated case by case which sites would be required to have new dispensers as part of the upgrade,” Barkley said. “With part of the enhancements, we went ahead and upgraded as many dispensers as we could to optimize our investment and provide equipment for our customers that will work when they need it to.” The locations with upgrades to the fuel sites include Buhler, Haven, Herington, Inman, Kismet, Lindsborg, Manhattan, Marquette, McPherson, Moundridge, Onaga, Peabody, Plains, Walton and Westmoreland. Customers can expect to utilize new pumps at all fuel sites by early May.
An old fuel pump being removed in Onaga.
The new fuel pump after being installed at the Onaga location featuring new dispensers and chip reader.
We‘ re hiring! seasonal help
• Great opportunity for college students, teachers and others looking for part-time work in the summer. • Responsibilities include dumping grain trucks, weighing trucks, testing and grading grain. • Applicants must be 18 years of age or older. • Training will be provided.
Contact your nearest MKC location about seasonal opportunities.
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COLUMN | NEWS | FEATURE
PARTNERSHIP HELPS DELIVER INNOVATIVE WARRANTY-BACKED PROGRAM TO GROWERS Growers Edge, a provider of datadriven financial technology (fintech) solutions for the agricultural industry, and Mid Kansas Cooperative (MKC) announced a partnership to deliver an innovative, warranty-backed agronomic offer to their growers. “The MKC Optimal Security program creates new opportunities for farmers to benefit from the potential of new products and services with confidence,” said Kent Nichols, MKC regional sales manager. “We are partnering with Growers Edge to offer this solution to our customers to encourage adoption of new technologies and practices to help boost their productivity and profitability.” Growers Edge partners with retailers and input suppliers across the U.S. to deliver grower-relevant solutions to meet the ag industry’s ever-changing demands. In 2020, the company closed a $40 million Series B round of financing that will help speed the introduction of warranty-backed crop plans and deploy the company’s new end-to-end agricultural lending platform. “We are excited to bring important new tools retailers and ag suppliers can tailor to their product line and customer needs,” said Tracy Linbo, chief commercial officer of Growers Edge. “These offers help growers manage their risks involved with adopting new technologies but doesn’t limit the upside potential when yields exceed expectations.”
LEARN MORE: Growers Edge delivers grower income assurance through data-driven financial technology products, solutions, and tools for the agricultural sector. To learn more, visit www.growersedge.com. 8
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STEP DEVELOPMENT PROGRAM CONTINUES FOR SECOND YEAR
STEP, standing for "Strategic Thinking and Execution Program," was created in 2020 as a development opportunity designed to ensure MKC continues to grow and remain on the cutting edge with a bench full of leaders prepared to successfully step into new roles. According to MKC Coordinator of Talent and Industry Partnerships Hilary Worcester, the intent of STEP is to recognize high potential employees and equip them with leadership readiness skills specific to MKC. “STEP is a strategic result of MKC identifying that ‘retaining talent’ was a top internal driving force for future success and that we are in a highly competitive market for people with the skills we need,” Worcester said. “It was designed to touch all business units and is expected to positively impact employee retention and assist with on-boarding.” In this six-week workshop, participants learn about being intentional in continued learning and development. An MKC staff member leads each section and brings knowledge that is relevant to daily situations MKC leaders face. Participants are asked to put their learning to work each week when they return to their home departments. Topics covered include predictive index learning, critical communication skills, employee development tactics, financial cognizance, strategic planning and relationship building. The program is led by Worcester, Director of Strategic Initiatives Amy Meyers and Director of Eastern Operations Jeff Jones. The members of the second class of STEP are Brandi Bailey, energy sales consultant; Adam Butler, Groveland senior location manager; Aaron Esping, Groveland agronomy plant manager; Nathan Larson, regional sales manager; Mandie Lyons, manager of application IT development; and Nick Wineinger, Lindsborg agronomy manager.
THE POWER OF
PARTNERSHIPS
BY: KATLIN ALLTON, MKC COMMUNICATIONS INTERN Earlier this year, a significant winter storm swept across the United States causing widespread impacts. Several days of below-freezing temperatures and consistent snowfall caused so much stress to the electrical grid that millions were left without power. Through it all, the MKC energy department worked diligently to supply diesel fuel to keep the lights and heat on across the region. Their efforts provided more than 5.7 million gallons of diesel fuel to be utilized for power generation to McPherson BPU in McPherson, Kan., and Evergy Inc. in Hutchinson and Colwich, Kan. SETTING THE STANDARD In early 2020, Scott Barkley, MKC director of energy operations, recognized an opportunity and was able to work with CHS to develop a model program for large utility and government entities. In the late summer and fall, MKC was able to establish a relationship with BPU and deliver several hundred thousand gallons of fuel. MKC received extremely positive feedback on the program and the cooperative's ability to deliver in a safe and efficient manner. In preparation of the cold snap happening in February, BPU ordered 300,000 gallons to be delivered between February 10 and February 12. McPherson energy started delivering a hundred
thousand gallons a day. That quickly escalated and on Friday, February 12, there was an order to deliver another one million gallons to BPU over the weekend. On Saturday, February 13, MKC received a call from Evergy. BPU had referred MKC because of the positive experience that they were having. Within five hours from that call, MKC was delivering 300,000 gallons to two Evergy locations in Hutchinson and Colwich. DELIVERING ON PROMISES The record-breaking low temperatures caused a high demand for natural gas and electricity to heat homes and businesses. The demand strained the available gas supply, while icy conditions limited wind generation. Fortunately, both BPU and Evergy facilities have dual fired units, which means they can generate with either natural gas or diesel fuel. Over the course of 14 days in February, more than 25% of MKC’s annual volumes were sold and delivered. Barkley said none of this would have been possible without the help of the energy department team and truck drivers who stepped up to help. “It is extremely important to acknowledge the amount of work that came together to make this a successful project and a significant growth opportunity for MKC,” Barkley says. “I’m not sure I
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COORDINATING THE PARTNERSHIP FROM THE PERSPECTIVE OF SCOTT BARKLEY, MKC DIRECTOR OF ENERGY OPERATIONS SUNDAY, FEBRUARY 14
TUESDAY, FEBRUARY 9
WEDNESDAY, FEBRUARY 10
Deliveries begin to BPU East Plant in McPherson at 100,000 gallons/day. THURSDAY, FEBRUARY 11
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McPherson BPU requests 300,000 gallons to be delivered 2/10 – 2/12. With the cold pending forecast the following week, BPU wanted to be on the safe side of inventory. We were able to secure supply and trucks very quickly as the model had already been established.
The price of natural gas skyrockets from single digits per unit to greater than $100 per unit in Oklahoma. Natural gas curtailment discussions begin. The last time something similar happened this late in the winter was in 2014 and it drastically impacted the price of propane. FRIDAY, FEBRUARY 12
The natural gas price per unit trades north of $400 in Oklahoma and the natural gas curtailment becomes wide spread. McPherson BPU calls at 2 p.m. to request an additional one million gallons of supply at both the east and west McPherson plants over the weekend. We were able to again secure supply and trucks very quickly through established relationships. SATURDAY, FEBRUARY 13
At 7:30 a.m. I received a call from Evergy, Inc in immediate need of up to 300,000 gallons of diesel between two power generation locations in Colwich and Hutchinson. My contact information was given to Evergy by BPU leadership because of the positive experience with MKC Energy. Double H trucking, MKC Energy dispatch, CHS Supply in Minnesota, CHS Refinery at McPherson scheduling and leadership at MKC are looped in to coordinate potential delivery of fuel for Evergy. The energy dispatch team at MKC has tankwagons delivering to Evergy in Hutchinson before noon, less than five hours from first contact.
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All local MKC energy drivers were called in to deliver as many loads as possible to Evergy in Hutchinson, while transport loads focus on McPherson and Colwich locations. We were again able to secure more transport trucks and drivers through Double H trucking and owner Nate Hoskinson. At this point, we were hauling 24 hours a day to four locations with 12 total trucks. MKC delivers nearly 750,000 gallons in 24 hours. MONDAY, FEBRUARY 15
Extreme cold puts a strain on the power grid. Evergy’s Colwich plant goes down unexpectedly and is unable to restart. All MKC Energy efforts are focused on supplying the remaining three locations. Disruption to diesel supply would mean loss of power across large portions of central Kansas. TUESDAY, FEBRUARY 16
MKC drivers start the day at 2 a.m. to provide rest to Double H drivers going to Hutchinson. The SPP power grid remains dependent on MKC and supply of diesel for power generation. Evergy and McPherson BPU request that we continue to bring fuel 24 hours a day for possibly the remainder of the week. Supply increase is requested to CHS senior leadership who approves unprecedented increase in diesel allocation for MKC. WEDNESDAY, FEBRUARY 17
MKC drivers again start the day between 2 and 3 a.m. CHS agrees to dedicate one of the rack bay’s solely to MKC business during the peak of the day, something CHS has never done before. The CHS Refinery sets a single day all-time high volume moved through the rack in 24 hours. THURSDAY, FEBRUARY 18
MKC and Double H drivers keep same 24 hour schedule. The CHS Refinery again sets single-day high-volume record in back-to-back days. MKC delivers 824,019 gallons in 24 hours. FEBRUARY 19-24
Warming temps and falling natural gas prices lead to light at the end of the tunnel. MKC continued to deliver 10 hrs/day to McPherson BPU 2/22-2/24. MKC delivered to Evergy, Inc in Hutchinson for 10 hour on February 22.
COLUMN | NEWS | FEATURE have ever witnessed such hard work.” Despite the freezing cold temperatures, MKC truck drivers went to work in the middle of the night to distribute the fuel safely, but they didn’t do it alone. With the help from Nate Hoskinson, owner of Double H Trucking LLC, and his team, they were able to pull off a near-impossible mission, hauling the millions of gallons of diesel fuel to three separate locations in a matter of seven days. Consisting of 40 employees, the team worked 24 hours a day to ensure everyone had a warm home and lights on. On their busiest day, the team hauled more than 800,000 gallons of diesel fuel. When the energy companies were in need, the solution seemed few and far between, but thanks to Hoskinson’s help, truckers came from all over the Midwest to help haul the fuel. “They came from all over the state, worked incredible hours and did it all safely and without a single complaint during dangerous, dangerous conditions,” Barkley says. “These are the people who ultimately kept the lights on.” Once the energy companies called upon MKC and Hoskinson, the team got straight to work in a very short period of time and without any warning. Brett Beals, MKC refined fuels and lubrications dispatch manager, says “There wasn’t a lot of time to
react to the demands, but within a day, Nate had a large number of trucks in the mix along with ours.” In addition to the front-line crew, the MKC dispatch team ensured there was enough fuel to go around and no MKC customers experienced supply disruptions. “All of the trucks were running to the energy providers nonstop, but we still had to keep our customers and our fuel sites going. It was a balance of trying to make sure nobody ran out,” Beals says. The work didn’t stop there. The MKC billing team worked diligently to ensure a positive billing experience for Evergy and BPU. The billing team at MKC’s McPherson energy office had to process thousands of invoices and keep track of every bill of lading. The team effort was possible thanks to the help from the men and women at CHS in McPherson and MKC administrators who ensured there were available gallons to haul. Employees in McPherson made sure the truckers could haul the fuel with ease, and the schedulers at the refinery diverted fuel into the tanks. “When extreme situations happened, everyone stepped up to the plate at a time our communities needed us most,” Barkley says. “Everybody was an important piece to the puzzle, and without one of those pieces, the whole thing would have failed.”
MKC employees Scott Barkley, John Rowden, Rhonda Bray and Brett Beals stand in front of an MKC fuel truck that hauled diesel fuel to McPherson BPU and Evergy during the record-breaking winter storm.
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A change is taking place on farms across the Midwest; a
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sustainable – environmentally, economically and socially. As efforts increase to raise awareness of conservative farming practices, food is being produced through evolving agricultural innovations and practices that help farmers increase efficiency and reduce the amount of natural resources like water, land and energy necessary to meet the world’s food, fuel and fiber needs.
BY: KELLI SCHRAG, MKC COMMUNICATIONS SPECIALIST
champions of
CONSERVATION
transformation moving toward a farming system that is more
Member-owners across the state are converting to regenerative agricultural practices on their operations, while still meeting consumer’s needs in the present without compromising the ability of future generations to meet their own needs.
lewis unruh
FROM THE BEGINNING In the 1950s, Lewis Unruh’s late father, Charlie, purchased part of the land Lewis and his son, Jason Unruh, farm today. Straddling the Marion and Harvey county line, the land had once been abandoned due to its inability to sustain a crop. Now, through Charlie’s careful regenerative agriculture practices decades ago, Lewis and Jason operate County Line Farms LLC on those same fields. Charlie was an early adopter of sustainable efforts. Working closely with one of the first soil conservation services, he determined contour lines in the fields to follow when sowing wheat to reduce further soil erosion. He was also among the first to build terraces in his fields. “When I was three or four, I remember Dad building terraces with a plow and blade,” Lewis says. “I grew up with the mindset that you don’t farm over terraces for any reason. Each terrace was treated as a separate field, and you didn’t farm them down.” Lewis says because of his father’s diligence to farming along terraces, he and his son are now able to farm close to an additional 100 acres they once had to avoid due to severe soil erosion. “The land healed itself up,” Lewis says. “It was a horrible mess thinking back on it. When the topsoil is gone, you don’t expect to ever get it back, but we’ve made it to where we’re able to grow things.” Lewis continued his father’s sustainability efforts as the farm transitioned ownership. In 1996, he started adapting the no-till farming method. “When we started, there were several guys north of us that went 100% no-till,” Lewis says. “Our neighbor sold all of his machinery and bought no-till equipment. It took us about two years to fully adapt.” Lewis added cover crops into the rotation and for the last five years, his farm is always growing a crop, whether it be a cover crop or a row crop.
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IT’S IN ALL OF OUR INTEREST TO THINK ABOUT HOW WE PROTECT OUR SOILS. ALL LIFE BEGINS WITH A HEALTHY SOIL.
jason schmidt, newton “We’ve found that cover crops have both a shortand long-term payoff,” Lewis says. “In the long-term, they’re preserving the soil resource. In the short-term, they’re helping to conserve moisture, control weeds, capture nutrients and provide shade.” Aside from his father’s influence, Lewis holds personal beliefs that sustainable practices are important for the future. “I’ve looked at these practices as long term,” Lewis says. “You may not get an immediate payoff this year from these efforts. Especially in our area with erosionprone soils, it’s a long-term outlook to preserve the soil for the future.”
jason schmidt BRINGING IT HOME
After traveling the world observing and learning about different farming systems, Jason Schmidt of Grazing Plains Farms LLC in rural Newton was captivated by the sustainable and organic niches of the agricultural industry and eager to implement those practices on the family farm. “My dream is to find a system that is in balance with nature,” Schmidt says. “When I think of sustainability, I
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envision developing food systems that have an ecological component where humans can work with natural ecosystems to be sustaining far into the future.” As a college undergraduate, Schmidt took a year off to participate in a young adult exchange program through Mennonite Central Committee (MCC). “It was during that year that I began to realize the connection between environmental health and human health,” Schmidt says. “I gained a new perspective, that rather than the paradigm that views farming as being in conflict with nature, we need to realize we are a part of nature and we depend on a healthy ecosystem for our own well-being.” Through MCC’s program, Schmidt shadowed a retired priest who was setting up small sustainable projects in villages throughout South Africa. His budding interest then led him to a two-year internship in southern Colorado and northern New Mexico after graduation. “I helped organic vegetable farmers and a grass-fed rancher group develop direct market cooperatives,” Schmidt says. “From that experience, I became interested in the economic and ecological benefits of grazing.” Schmidt continued his education with a master’s degree in plant and environmental science from Clemson University before returning to his family’s fifth-generation farm. He and his parents worked out a five-year transition for him to take over the dairy operation, while his parents kept the cropland. At the core of Schmidt’s beliefs is the idea that his practices should not be extractive, degrading or mining resources, or destroying soils and air quality. “A broad approach is to look at the natural prairie ecosystems that used to exist and ask how I can move my farm to model those,” Schmidt says. “How can I build up the soils rather than degrade them?” Schmidt’s no-till systems consist of rotational grazing pastures, which comprise of perennial polycultures – a mixture of grasses and legumes that are self-sustaining – and annual cover crops. “I try to have live roots growing on all grounds at all times,” Schmidt says. “During the winter months, instead of dry lotting heifers or dry cows, I continue to rotate them through paddocks and add bale grazing, where I unroll or set out round bales on marginal ground that has been degraded to build up the soil.” In addition to soil conservation, Schmidt installed solar panels to supply electricity to his operation. “The solar panels account for 60-70% of electricity for the farm and house,” Schmidt says. “I have a wild dream of being a net-zero carbon emitter and am always trying to lessen my carbon footprint.” To bring additional value to his operation, Schmidt uses milk from his 70 Jersey cows to make artisan cheeses in his licensed on-farm creamery. “Small dairies have been quickly going the way of the dinosaur,” Schmidt says. “Our margins are narrow. Still, I’m seeing the ecological resilience I’m striving for; I’m trying to figure out the economic sustainability for those of us that want to stay small.” Schmidt’s ten years of experience on the farm hav taught him there isn’t an immediate return on investment when it comes to conservation efforts. “I think that’s one sad thing about implementing soil building practices,” Schmidt says. “It’s a long-term return on investment. I would be lying if I said this has made me financially successful. But in the paddocks that I incorporate bale grazing, I’ve seen the grasses grow so much faster and resilient through dry periods. “I’ve heard of research that shows 30% of the topsoil in the Midwest is gone. It’s a real travesty and scary harbinger of what is to come if we don’t take the authority to redirect and reverse this trend. It’s in all of our interest to think about how we protect our soils. All life begins with a healthy soil.”
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AFTER SEEING THE BENEFITS IN MY FIELDS, I WOULDN’T GO BACK.
zach salter, sterling
COLUMN | NEWS | FEATURE
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I’VE LOOKED AT THESE PRACTICES AS LONG TERM. YOU MAY NOT GET AN IMMEDIATE PAYOFF THIS YEAR FROM THESE EFFORTS. IT’S A LONG-TERM OUTLOOK TO PRESERVE THE SOIL FOR THE FUTURE.
lewis unruh, peabody
zach salter STARTING OUT
“Dust in the Wind” is one of the biggest hits for Kansas – both the classic rock band and the state. Unfortunately for farmers, the dust blown up by high Kansas winds is typically their most precious resource – soil. After falling victim to soil erosion, Zach Salter, a Sterling area farmer, sought remediation through regenerative practices. “As a custom applicator for MKC, I have seen other people utilizing and finding success through implementing cover crops on their fields,” Salter says. Salter talked to Chris Thompson, MKC strategic account manager and cover crop expert, to learn more about how cover crops might benefit his fields. “Chris and I looked at some of his customer’s fields so I could see how they benefited soil types similar to the sandy soil of my fields,” Salter says. “After talking with Chris and doing some reading of my own, I was ready to plant them.” Salter’s final motivation to start utilizing cover crops was the USDA’s Natural Resources Conservation Service’s Environmental Quality Incentives Program (EQIP). According to the USDA website, EQIP “provides financial and technical assistance to agricultural producers to address natural resource concerns and deliver environmental benefits such as improved water and air quality, conserved ground and surface water, increased soil health and reduced soil erosion.” Salter planted his first field of cover crops in the fall of 2020. He says he hopes he will see the cover conserve moisture, decrease weed pressure, help with wind erosion and build up organic material in the soil. Outside of cover crops, Salter’s sustainable practices include no-till and participation in MKC’s Optimal Acre program. “Through the Optimal Acre program, we do nutrient management prescriptions and grid samples,” Salter says. “It has helped me limit my inputs and put my money where it needs to be and not where it isn’t. “My plan is to continue what we’re doing and improve upon it. After seeing the benefits in my fields, I wouldn’t go back.”
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COLUMN | NEWS | FEATURE
making the most of “going virtual” For the safety of customers and employees, MKC's winter and spring meetings were modified to be held virtually this year. As an opportunity to stay in front of customers and provide access to industry speakers, the MKC Ag Symposium event was altered to a virtual series with monthly meetings. Member-owners were able to learn about mineral offerings through several instances of online mineral meetings. Scan the QR code next to each speaker with your phone camera to watch their presentation.
Ag Symposium | Jim Wiesemeyer A past-event favorite and familiar face, Jim Wiesemeyer’s presentation covered presidential and election news ahead of the 2020 election, policy, U.S. economy and much more. Wiesemeyer answered audience questions about COVID-19 plans and vaccines, carbon credits and President Biden’s elects.
Ag Symposium | Gregg doud Former Ambassador Doud was a senior professional staff member of the Senate Agriculture Committee for Senator Pat Roberts and Senator Thad Cochran. In his presentation, Doud spoke on U.S. agricultural commodities and exports. In addition to his presentation, Doud answered many questions related to commodities and U.S. exports.
Ag Symposium | Curt Strubhar
spring mineral meeting Learn more about cattle mineral needs by watching the playback of the MKC Spring Mineral Meeting. MKC hosted a one-hour event with livestock nutrition experts Sarah Leonhard, Purina sales manager, and Brian Hupp, Central Life Sciences regional manager.
Curt Strubhar is a commercial merchandising consultant with Advance Trading Inc and a familiar guest speaker at TMA events in past years. Curt’s presentation, Grain Dynamics and Risk Management, focused on marketing fundamentals for wheat, corn, milo and soybeans while also addressing what the futures markets see as points of concern.
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data management
ECOSYSTEM BY: NICHOLE GOULDIE, MKC COMMUNICATIONS AND BRAND MANAGER
Adding value to real-time data for farmers with Agworld Throughout much of agriculture’s history, farmers had to make decisions based upon observation or recollections in their heads. Both sources were not precise, but it was the best available. As more scientific methods were introduced over the years, farmers could use research-based recommendations to improve production efficiencies. Today, digital technologies are again modifying the farmer’s decision toolkit and agricultural data has become a risk management tool that, for growers, is worth its weight in gold.
FROM THE INSIDE OUT In recent years, the need for MKC customers and employees to collect structured data that can be converted in a real-time dashboard was becoming more and more important. MKC announced in July 202 the collaboration with Agworld, one of the most popular farm data management platforms in the
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Connections
United States. With risk mitigation and profitability maximization, this tool was successful for everyone involved in the production process. From expanding sales opportunities and gaining labor productivity to improving inventory utilization and enhancing product logistics, Agworld is helping MKC in its inter-agronomy workings. Agworld helps ensure MKC team members work as efficiently as possible through optimized workflows and standard operating procedures. “With digital transformation becoming an even more critical component of the agricultural industry, we were seeking to find a partner to help us adopt a data platform across our business to align with our tagline of ‘Shared growth. Shared success.’ for our member-owners and our cooperative,” says Kent Nichols, MKC regional sales manager and Agworld project team co-champion. “Creating plans, budgets and recommendations for our customers to provide a positive customer experience and for ease of doing business has always been critical to our go-to-market strategy. With our partnership
COLUMN | NEWS | FEATURE with Agworld, we now have the ability to pull this information together to help our customers budget and forecast field level profitability to help them be more successful.” Due to the COVID-19 pandemic and other factors within the agricultural industry, a digital collaboration between growers and their trusted advisors became increasingly important. It is with these reasons in mind that MKC decided to adopt the Agworld platform into the organization. After nearly nine months of integrations, standard operating procedure creation, training and more, MKC team members were ready to make the first round of work orders through the Agworld system in February 2021. Once Agworld is implemented into the processes at MKC and employees are trained and more familiar with the program, the next phase of the full integration is delivering the data solution to growers.
allow farmers to gain more value from our services,” Nichols says. “Agworld helps farmers unlock value from the data they have today. By relying on data, we can work together to make decisions on cold hard facts instead of emotions.” Agworld also provides growers documentation of what applications were made and when, so farmers know exactly what is being done to their fields. The tool documents all communication and facilitates record-keeping of crop plans, work orders and more, enabling farmers to make management decisions based on measured insights. MKC Strategic Account Manager Jared Miller experienced some of the greatest benefits the Agworld platform provides to farmers when demoing the software tool with MKC member-owners Jason Ingermanson and Tristan Hall. At the end of 2020, Miller focused on becoming more comfortable with Agworld and knew Ingermanson Farms near Salina would benefit from this type of information. With the CUSTOMER FOCUS help of another MKC strategic account manager, Lucas The future of farming is data-driven and Agworld is Hamm, Miller put together a true field-by-field profit a proven software tool that allows ag professionals to plan for Ingermanson Farms. collaborate with farmers about management decisions Hall, Ingermanson Farm’s farm manager, and Miller on their operation. agreed that the planning completed in the fall of 2020 One of the most significant advantages of the wouldn’t have been possible at that type of field-byAgworld tool is the opportunity for integration to field level without the Agworld platform’s help. create a seamless “The opportunity digital experience to sit down and put for growers and MKC. together a detailed Agworld comes with plan with a tool a range of grower like Agworld was subscriptions to extremely helpful in make the most of the annual planning collaborating and process for our farm,” capturing data. Some Hall says. “Never of the benefits of before have we been a grower and MKC able to put together working together on reports of this the Agworld platform nature to help make include efficiently rotational decisions, collaborating on utilize our VRT and plans and budgets, grid scripts, and keeping high-quality capitalize on inputs digital farm records and our return on and gaining deeper investment all at the MKC Strategic Account Manager Jared Miller sits down with Tristan Hall, farm manager for Ingermanson Farms near Salina, to review the plan completed insights into farm same time.” performance to make using the Agworld technology. During the more data-driven planning process, decisions. Agworld offers the ultimate visibility of the Miller and Ingermanson Farm also looked at hybrid most important financial metrics on a farm, enabling management, recommended fertilizers, VRT growers to stay on budget during the season. recommendations and the physical dollars of inputs “Agworld will ultimately improve communication, for the year. efficiency and transparency with our customers and The farm plan built with Agworld in the fall has
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allowed Ingermanson Farm to pivot and make input decisions when they need to be done quickly and efficiently through the winter and early spring. Miller added that it takes time and attention to detail to accurately fill out everything needed for inputs on every field, especially with VRT, but the end results are extremely valuable. “Delivering solutions like Agworld is the type of value MKC provides to customers,” Hall says. “Instead of MKC just being a basic retailer, with tools like Agworld, MKC can continue to provide data-driven business services that really add value to our operation.”
COMMITTED TO COLLABORATION In today’s ag retail landscape, an integrated digital collaboration between ag retailers and growers is becoming increasingly more important. From maximizing share-ofwallet to improving client-retention and enhancing service delivery, digital collaboration is key to a successful future in ag retail businesses. Zach Sheely, president of Agworld’s USA operations, is passionate about finding, developing, integrating and implementing the key technologies that will enable growers, their advisors and service providers to drive agriculture into the future. Launched in 2019, Agworld’s cloud-based platform enables farmers and retailers to connect and share their data to efficiently manage crop production. A unique start-up story in itself, the idea for the collaborative farm management system came about when co-founder and CEO Doug Fitch was finding it difficult to minimize risk to his own family farm. Fitch and co-founder Chris Ramsey saw an opportunity in centralizing data in one location for growers. He teamed up with a computer scientist to build a cloud-based hub – the first of its kind in the industry – where farmers and agronomists could upload their notes from the field using a digital pen. The team has since replaced that pen with a mobile application that works online and offline. While Agworld has a global presence now, it took time to build its reputation in North America. The company currently has a U.S. team with offices in Colorado and California. The company continues to receive recognition in the industry and isn’t slowing down. In early 2021, CropLife selected Agworld as one of the “best agricultural apps for 2021.” “We’re very pleased that MKC chose to adopt the Agworld platform across their organization,” Sheely says. “Our platform is a great fit for a cooperative such as MKC, and choices like these of their team truly reflect the continued investment by Agworld in our suite of offerings. We look forward to working with the MKC team to continue to bring Agworld into the organization and with MKC’s farmer customers as well.”
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AGWORLD ACCESS Agworld offers a free, view-only access for growers to see maps, upcoming recommendations, plans and more at www.agworld.com. Agworld also provides a range of grower subscriptions to make the most of collaborating and capturing data on the same platform. With a subscription, growers can use Agworld to avoid double data entry, optimize data recording and get it all done in the field. You will get realtime insight into your cost to date and gross margin as well as collaborating with your team and your advisors. To sign-up for the free, view-only access of Agworld or to explore the subscription options, please contact an MKC location or strategic account manager. To complete the sign-up process for the free version, an MKC representative must invite a grower to sign-up for an account.
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COLUMN | NEWS | FEATURE
FINDING THE RIGHT TOOL COLUMN BY: DEVIN SCHIERLING, TMA SALES AND MARKETING MANAGER
For 20 years, TMA has been driven to provide risk management tools and services that help producers execute their profit-based marketing plans. Traditionally, these plans are focused on creating a guaranteed revenue floor by using federal crop insurance, understanding expenses by locking in crop inputs and maximizing revenue potential by executing a grain marketing plan. This plan continues to be the foundation of our profit-based risk management offerings to allow our risk management specialists to identify new solutions to bring to the farm gate. One of the tools our team identified as missing from our toolbox was the need to provide additional risk management services to both our livestock producers and producers that could not utilize our grain handling facilities. As we further investigated this need, it became clear that an additional service was needed, and TMA Brokerage LLC was formed in 2019. Whether you are interested in hedging grain, cotton or livestock, we are at your service. TMA Brokerage understands that each farming and ranching operation
is different and will partner with you to customize a risk management strategy that fits your needs. There are multiple advantages of being a full-service brokerage customer with TMA Brokerage. Customers can have increased flexibility in their delivery locations, discipline to execute a hedging plan, manage multiple commodities in one account and manage risk without volume or cash grain delivery limitations. Our customers also receive in-person access to their commodity broker that focuses on customizing a marketing plan tailored to the goals of their operation. For additional information on how TMA Brokerage can benefit your operation or be added to your existing TMA risk management team, please contact TMA Brokerage Specialist Jim Bettenbrock at (785) 531-2312 or jim@tmabrokeragellc.com. Disclaimer: A subsidiary of Team Marketing Alliance, TMA Brokerage, LLC is a CFTC registered Introducing Broker and NFA member. The trading of derivatives such as futures and options involves substantial risk of loss and you should fully understand those risks prior to trading.
LEARN MORE: Visit www.tmagrain.com/brokerage to learn more about TMA Brokerage, TMA’s newest risk management tool, or contact TMA Brokerage Specialist Jim Bettenbrock at (785) 531-2312. 22 Connections
COLUMN | NEWS | FEATURE
TALK BACK WE ASKED: HOW DID YOU GET INVOLVED IN AGRICULTURE?
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I am the fourth generation on the family farm in SE Kansas. After graduating from Fort Hays, I had the amazing opportunity to work for MKC! I love getting to know our customers and their families! - Sarah Bellar
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I was born into it, then started working at the co-op when I was old enough to drive to work. - Leah Blankley
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I grew up on a self-sufficient farm near Burrton, KS, and then worked on a large corn farm in the panhandle of Oklahoma.
- Missy Lisenby Ducimetiere
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mom grew up on a farm and we would spend my dad’s two-week “Myvacation from work on the farm helping Grandpa. I developed my love
there. I married a farmer/cattleman. He bought me a chicken instead of flowers once - she’s lasted a lot longer than flowers would have. - Donna Riffel
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I was born into it in Ohio. My dad came from Kentucky with a team of horses. We bought a farm and raised everything from dairy to hay. You never forget or walk away from agriculture - it’s in your blood. - Sylvia Woodruff
I was born into it and am the fifth generation on our family’s farm. I had a few jobs outside the industry, but really missed the people of agriculture, which led me to MKC. - Aaron Esping
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BE FEATURED IN THE NEXT ISSUE!
WHAT IS YOUR FAVORITE RECIPE TO ENJOY IN THE FIELD? SEND YOUR RESPONSE TO SOCIALMEDIA@MKCOOP.COM OR www.mkcoop.com 23 COMMENT ON OUR TALK BACK SOCIAL MEDIA POST.
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