January 2012, Volume 16, Issue 1 by Matrix Digital Media Inc

January 2012 • Volume 16, Issue 1

Wal-Mart Creates New Paradigm for Beef Producers

Trade Mission Opens Doors in Mexico, Brazil

Idaho Farm Bureau

Onion Research Helps Extend Storage

Ringing in 2012 the Farm Bureau Way

The Ag Agenda

By Bob Stallman AFBF President

It’s hard to believe that 2011 has come and gone and the New Year is upon us. Looking back, Farm Bureau had a very good year. We saw the success of some of our priority issues and the undertaking of several endeavors that are significant to the future of agriculture. Looking ahead, there will be twists and turns in the road that awaits us, especially as we delve into the farm

Wolf Advocates Wrong Again By Frank Priestley President Idaho Farm Bureau Federation

Another shot to the credibility of pro-wolf groups is proving out this winter as hunters and trappers across Idaho and Montana are com-

A Toast to the Past It was a good year for Farm Bureau’s trade priorities. The Colombia, Korea and Panama trade agreements ing up short in reaching targeted harvest levels. Montana wildlife commissioners recently extended wolf hunting season to mid-February and Idaho harvest numbers, as well as hunter interest based on tag sales, are well below 2009 levels, the first time Idaho allowed wolf hunting since reintroduction in 1996. In addition Idaho Fish and Game officials are making plans to begin aerial gunning in the Lolo region to kill wolves in order to save elk and moose that were once plentiful there.

CEO Idaho Farm Bureau Federation

been seen in several communities in Idaho. Their trademark is a scattering of unoccupied dilapidated tents on public property and signs requesting donations. The protests are against social and economic inequality, high unemployment, and greed.

Occupy Wall Street (OWS) is a protest movement which began September 17, 2011 in New York City’s Wall Street financial district. It was instituted by a Canadian activist group. The movement has spread throughout the country and can

I am surprised and annoyed at the individuals, media and politicians who fail to denounce this open petition for socialism and furtherance of a welfare state. The movement is seeking to destroy personal freedom and will exacerbate the

Occupy America - Another Name for Quashing Liberties By Rick Keller

bill this year. But, knowing that Farm Bureau is on the right track as we head down that road, I am confident we will be met with success at the end. As the old jazz song goes, “It’s a new dawn, it’s a new day… and I’m feeling good.”

Idaho Farm Bureau producer / JANUARY 2012

all passed Congress and were signed into law. Further, Mexico lifted $2.5 billion of retaliatory tariffs against U.S. farm products, and the World Trade Organization welcomed Russia into its membership. All of these victories will result in increased U.S. farm trade. On the tax front, an IRS provision was repealed that will allow farms, ranches and other businesses to See STALLMAN, page 26 Advocates went to court – again – last summer in yet another dubious attempt to stop wolf hunting based on fear that wolf populations would be shot down below recovery levels. Thankfully, the courts saw through the propaganda, ruling to allow hunts to commence. Hunting and trapping are the only tools we have to control wolf populations. While we maintain a healthy dose of skepticism, we hope these tools help keep wolves away from See PRIESTLEY, page 19

financial bankruptcy of our nation. This movement is socialism by definition: redistribution of wealth through government, transferring responsibility from the individual, local, and state governments to the federal government. Socialism cannot work except through an allpowerful state. It is based on intolerance and force. It advocates the overthrow of capitalism and free enterprise, the abolition of private property, the establishment of a See KELLER, page 23

Volume 16, Issue 1 IFBF OFFICERS President ....................................Frank Priestley, Franklin Vice President .................................. Mark Trupp, Driggs Executive Vice President ............................... Rick Keller BOARD OF DIRECTORS Bryan Searle ............................................................ Shelley Scott Bird ........................................................... Pocatello Chris Dalley ........................................................Blackfoot Dean Schwendiman ............................................Newdale Danny Ferguson ........................................................ Rigby Scott Steele ..................................................... Idaho Falls Gerald Marchant ................................................... Oakley Rick Pearson .................................................... Hagerman Mike Garner............................................................... Declo Curt Krantz ............................................................ Parma Mike McEvoy..................................................... Middleton Tracy Walton ....................................................... Emmett Marjorie French ............................................... Princeton Bob Callihan ......................................................... Potlatch Louis Kins ........................................................... Kootenai Carol Guthrie ......................................................... Inkom Austin Tubbs............................................................... Malad STAFF Dir. of Admin. Services ........................ Nancy Shiozawa Dir. of Member Services ................................... Ray Poe Dir. of Commodities ............................. Dennis Brower Commodity Assistant .................................. Peggy Pratt Membership Assistant ............................... Peggy Moore Market Information Assistant . ................ Dixie Ashton Dist. I Regional Manager ........................... Justin Patten Dist. II Regional Manager ....................... Kendall Keller Dist. III Regional Manager ................... Charles Garner Dist. IV Regional Manager ................... Russ Hendricks Dist. V Regional Manager ....................... Bob Smathers Director of Governmental Affairs ............ Kent Lauer Asst. Dir. of Governmental Affairs .... Dennis Tanikuni Range/Livestock Specialist........................... Wally Butler Director of Public Relations .............. John Thompson Video Services Manager ............................. Steve Ritter Broadcast Services Manager .................... Jake Putnam Office Manager, Boise ................... Julie Christoffersen Member Services Manager ........................ Joel Benson Printed by: Owyhee Publishing, Homedale, ID GEM STATE PRODUCER USPS #015-024, is published monthly except February, May, August and November by the IDAHO FARM BUREAU FEDERATION, 275 Tierra Vista Drive, Pocatello, ID 83201. POSTMASTER send changes of address to: GEM STATE PRODUCER P.O. Box 4848, Pocatello, ID 83205-4848. Periodicals postage paid at Pocatello, Idaho, and additional mailing offices. Subscription rate: $6.00 per year included in Farm Bureau dues.

MAGAZINE CONTACTS: Idaho Farm Bureau Federation EDITOR (208) 239-4292 • ADS (208) 239-4279 E-MAIL: dashton@idahofb.org www.idahofb.org

Cover: A recent move by the nation’s leading grocery retailer, Wal-Mart, has increased demand for choice beef. Photo by Jim Parker

Big changes are afoot for beef ranchers due a recent announcement by the nation’s leading grocery retailer. Photo by Steve Ritter

Take Advantage of Wal-Mart’s Move to Choice Beef By John Thompson

A recent change in marketing strategies by the world’s leading grocery retailer has increased opportunities and profit potential for cattle ranchers. Experts say the move by Wal-Mart, announced in November, to begin offering a selection of choice beef, is the beginning of a new paradigm for the beef industry. Wal-Mart now stocks choice-grade beef in all of its 3,800 U.S. locations. The retailer has traditionally sold only select-grade beef in keeping with its focus on low See Choice Beef page 4 Idaho Farm Bureau producer / JANUARY 2012

Choice beef Continued from page 3

Experts recommend several strategies including retaining ownership and artificial insemination that will help beef producers capture more of the value of quality animals. Photo by Steve Ritter

prices. Since the move, the price spread between select and choice has jumped 17 to 20 cents per pound from just three cents per pound a few months ago. Idaho Cattle Association Executive Vice President Wyatt Prescott said this move will bring more profits to Idaho ranchers. “It will definitely have positive affects for our industry,” he said. “Especially the segments that already do a good job of producing quality cattle.” Prescott advised ranchers to maintain good genetics and to follow their calves through the supply chain, find out how they grade and make adjustments 4 #

from there. He added that Idaho has a good reputation for producing quality cattle and he expects producers from across the northern tier of the nation to reap the benefits of WalMart’s new strategy. Federal inspectors grade carcasses on a voluntary basis. About 63 percent of the meat graded nationwide meets the choice standard, 29 percent is select and the remainder grades prime, the highest rating, or one of several lower grades. Choice beef has more internal fat, which makes the meat more tender and flavorful. Wilson Gray, extension economist with the University of Idaho said the widening price

Idaho Farm Bureau producer / JANUARY 2012

spread between select and choice is in part due to changes at the feedlot level due to high feed costs. “They have tried to shorten the time period than an animal is in the feedlot, which has resulted in placing of heavier animals,” Gray said. “The shorter period has resulted in fewer animals grading choice or better.” Gray expects the decision by Wal-Mart will keep upward pressure on the beef market. Even though the nationwide herd numbers are the lowest they have been since the 1950’s and the drought in Texas has caused a lot of uncertainty, a lot more beef is being produced now than it was then with the same number of cattle, which

is mainly due to improved genetics. Gray said the cattle industry’s entire paradigm going forward will be different due to high feed costs and ethanol subsidies. Cattle that will grade choice on reduced time in the feedlot are likely to demand a premium. “I am not sure we are going to see record price levels hold up but we are certainly going to see higher levels of prices than we are used to in order to offset the higher costs of operating,” he said. “Those higher costs go all the way through the chain and are driven by feed costs but not just corn, hay is also high and will probably stay higher

than what we are used to.” Gray added that with regard to nationwide numbers, herd building is expected but not yet evident. The industry will be anxiously awaiting the USDA’s January inventory report. Idaho and a few other states are seeing more heifer retention, but not enough to make up for huge drought-related losses in Texas and a few other states. Gray advised cow-calf producers to reassess their operations and look at making changes in order to fit what the market is looking for in terms of genetic characteristics including feed efficiency and marbling. “I have confidence that we can meet the demand out there but the Renewable Fuels Mandate is going to keep increasing the amount of corn that goes to ethanol,” he said. “Distillers grain can work but not as good as corn. We need to put focus on how we can be more efficient and still produce an end product that meets the choice requirements.” Dr. John Hall, superintendent of the University of Idaho’s Nancy M. Cummings Center in Carmen, said building good genetics should be a central goal of any operation but with that said, ranchers shouldn’t lose sight of the fact that pounds still pay. “One of the things the beef industry has done well over the last few years at the feedlot level is that we are hanging some heavy carcasses and pounds still pay, but more marbling in almost any breeding program is attainable,” he said. “Look at EPD’s or other quality indicators and balance that so that we don’t give up growth traits.” Hall encouraged ranchers to

get involved with a horizontal marketing alliance, a breed association or some other organization that can add value and pay for higher quality cattle so the money gets returned to the ranch rather than just passing it along to the next phase of the production chain. Following the dairy industry’s lead and utilizing artificial insemination is also a viable practice that will return more dollars to the ranch, he said. “We have the technology to synchronize and breed large numbers of cattle in a single day and numerous studies show that those AI-sired calves or calves that are a product of an AI-sired dam will bring higher returns at the ranch level,” he said. “But the key is to retain ownership on those calves or be part of a marketing alliance that pays for increased quality and yield.” “One of our biggest hang-ups has been that we spend the money to get a really good calf that is superior in growth and quality but we don’t necessarily see the return because they are sold as feeder calves,” he said. “If you are going to capture that value you need documentation and you need to do the legwork and find the partners that will reward you for the extra work put into a health, breeding and management program.” A study conducted by Colorado State University in 2004 showed the following: 69 percent of U.S. beef operations are in place as secondary income sources Just over 10 percent of beef cattle operations utilize artificial insemination on any part of their herd

Nearly 80 percent of U.S. cattle operations rely on handwritten record keeping systems Nearly 80 percent of the more than 7 billion servings of beef in the foodservice sector are served in the form of hamburger or some other ground beef entrée Consolidation in the grocery business has resulted in a system wherein more than 50 percent of retail sales are controlled by five grocery chains with Wal-Mart as the driving competitive force. A study conducted by the USDA in 2008 shows 765,000 beef operations in the U.S. with nearly 80 percent owning fewer than 50 cows. In the 2008 study the rate of artificial insemination usage increased to 14 percent in the Western states. The number of beef cattle opera-

tions utilizing computer record keeping increased to 35 percent in the West and from 13 to 22 percent in other regions of the country. Larger beef cow-calf operations more often backgrounded calves after weaning, according to the 2008 USDA study. Almost two-thirds of the calves were sold at weaning from operations with less than 100 cows, compared with 39 percent of calves from operations with 500 or more cows. Over half of the calves from the largest operations were backgrounded and then sold. The proportion of operations retaining ownership of the calves until slaughter was much the same regardless of size, at about 6 percent of farms in each size group.

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Idaho Farm Bureau producer / JANUARY 2012

Frank Priestley was recently reelected to serve a 7th term as president of the Idaho Farm Bureau. In the photograph Priestley, third from left, presents gold star awards to Bingham County President Ralph Dalley, second from left, and Bingham County Women’s Committee chair Judy Hale, fourth from left. At the far left is IFBF Vice President Mark Trupp, and at the far right is IFBF Women’s Leadership Committee Chair, Carol Guthrie.

IFBF Celebrates 72nd Annual Convention By John Thompson COEUR D’ALENE – Delegates at the 72nd Annual Idaho Farm Bureau Convention reelected Frank Priestley to serve an 8th consecutive two-year term as President of Idaho’s largest general farm organization. “It’s an honor and I’m humbled to serve another term as President,” Priestley said. “I want to thank all the members for their support. Now it’s back to work to address the complex issues that concern the farmers of this state.” Priestley has served at various leadership levels in the organization for over 30 years and has also served on the American Farm Bureau Federation’s Board of Directors. He raises alfalfa and dairy heifers on his farm in Franklin County. At the Annual Meeting Banquet at the Coeur d’Alene Resort, Lynn and Susan Steadman of Raft River were awarded the IFBF President’s Cup for their contribution to 6

agriculture through the decades. Steadman served on county, state and national advisory boards before his election as IFBF Vice President. In their years of service the Steadman’s emerged as leaders at every level of Farm Bureau involvement, starting back in 1982 when they were first honored as outstanding Young Farmers & Ranchers members. “I’ve served locally, nationally and I’ve greatly enjoyed our Farm Bureau activities,” Steadman said. “We made great friends along the way not only in our county but throughout the state and across the country. We greatly treasure those friendships and always will.” The IFBF Women’s Leadership Committee recognizes volunteers at the Annual Meeting and selects a Woman of the Year from each of five districts. The women are singled out for their volunteer efforts and accomplishments in their respective districts. The five women selected this year

Idaho Farm Bureau producer / JANUARY 2012

are Shirley Barrie of Bonneville County, Julia Phillips of Bingham County, Ilean Bruns of Twin Falls County, Sherry Colyer of Owyhee County, and Sandy Daniel of Boundary County. The five women were profiled in a special video that was shown during the IFBF Annual Banquet. Jacob Andersen of Power County won this year’s Young Farmer and Rancher Discussion Meet. Andersen took home a new Polaris Trail Boss four-wheeler for his efforts. Duke Mumford of Franklin County won the Excellence in Agriculture Award and received a new laptop computer. Greg and Gwen Andersen of Power County won the Achiever Award, and a new Polaris Ranger side by side. The winners of all three Young Farmer and Rancher awards also receive an all-expense paid trip to Honolulu, Hawaii in January where they will compete against their peers from across the nation. Also during the annual meeting IFBF members attended educational workshops

Delegates to the Idaho Farm Bureau’s 72nd Annual Convention discussed energy issues, mineral rights, and many other topics.

on social networking, direct marketing, farm safety, market outlook, labor and immigration reform, the Idaho One plan and Robert Blair, a farmer from Kendrick who was named an Eisenhower Fellow this year reported on a recent trip to Argentina, Brazil and Uruguay. The banquet keynote speaker was rancher Wanda Blair of South Dakota who easily lived up to her billing of “Giving the Gift of Laughter.” Mark Trupp of Teton County was reelected as IFBF Vice President. Reelected to the IFBF State Board of Directors were Bryan Searle of Shelley, Curt Krantz, Notus, Danny Ferguson, Rigby, Gerald Marchant, Oakley and Marjorie French of Princeton. Cody Chandler of Weiser was elected chair of the IFBF Young Farmers and Ranchers Committee. The IFBF House of Delegates went through the entire policy book adopting new policy on oil and natural gas development, alternative energy development and in several other areas. The entire policy book for 2012 will be compiled and printed in the February edition of Idaho Farm Bureau Quarterly Magazine. With regard to alternative energy subsidies the delegate body sustained a back-and-

forth debate over whether tax incentives are practical to encourage development in Idaho, or a contributor to higher utility rates. Power County President Lamar Isaak said without the incentives alternative energy development will continue in other states, leaving Idaho out. Wind projects have benefitted the Gem State in recent years with job creation and added tax revenues. However, Bonneville County President Stephanie Mickelsen argued that tax incentives inflate the cost of energy due to the fact that PURPA Contracts require electric utilities to purchase higher priced energy, causing an economic burden for irrigators.

and the siting of infrastructure to support oil and gas development. Property owners don’t want new regulations that would force the developers to look elsewhere, while other residents are concerned about drilling practices, specifically, a technique called hydraulic fracturing or “fracking” which forces drilling fluids below ground into existing fractures in rock layers to release natural gas and other fossil fuels. The process has created groundwater contamination in the past in both Wyoming and Pennsylvania.

The policy statement that was adopted opposes a broad moratorium on alternative energy projects and supports county control in siting new projects. Further, the delegates supported sales tax incentives that assist in the development of alternative energy.

IFBF Delegates agreed on a policy statement encouraging the State of Idaho to adopt rules for oil and natural gas production that safeguard aquifers and protect property owners’ right to use their property as they see fit. Further, if a local government entity bans development of mineral rights in their jurisdiction, it should be considered a “taking” and landowners should be compensated for losses.

Also on the energy development front, delegates voiced concern about county government implementing regulations that impede private property rights. Specifically, in Washington and Payette counties, disputes have arisen over land use ordinances

The Idaho Oil and Gas Commission is currently making rules that would govern development of mineral rights across the entire state. Those rules are expected to come under review when the Idaho Legislature convenes in January.

Idaho Farm Bureau producer / JANUARY 2012

The Idaho potato industry stands to profit from increased exports to Mexico in result of a recent trade mission led by Lt. Governor Brad Little. Farm Bureau file photo

Idaho Businesses Expected to Reap Benefits of Trade Mission By Jake Putnam Boise—Idaho business leaders are enthusiastic about a recent trade mission to Mexico and Brazil that is expected to generate more than $30 million in sales. Idaho businesses are projected to realize more than $30 million in sales as a result of the trade mission to Sao Paulo and Mexico City led by Lieutenant Governor Brad Little. The trade mission was led by Lt. Governor Brad Little. The delegation included 35 representatives from state departments of Commerce, Agriculture and private producer groups. Little said that the delegation found “tremendous interest and opportunities in both countries for Idaho products.” Furthermore, Idaho officials think long 8

term contacts could help Gem State farmers and ranchers for years to come. “We found definite interest in Idaho products and we’re excited about new opportunities in Mexico. That’s our second biggest agriculture export market and there’s still room to grow,” said Laura Johnson of the Idaho Department of Agriculture. A stubborn drought has Mexico looking frantically for wheat and beans. Johnson said they want quality crops to supplement their supply and Idaho offers the best quality at the lowest market prices. “Although Brazil has higher tariff and transportation costs, we still had several companies show interest in cherries, onions and frozen products, but Mexico still has the greatest trade potential,” said John-

Idaho Farm Bureau producer / JANUARY 2012

son. Overall the trade mission met with large grower co-ops, major grocery chains and Grupo Altex, the wheat supplier for Bimbo, the fourth largest food product company in the world. For some members of the delegation it was the second meeting in the past three months. Back on September 9th the Idaho Farm Bureau met up with Mexican wheat millers in Southeast Idaho. Armando Rosales and Martha Beatriz met up with the Idaho Farm Bureau’s Marketing Director, Dennis Brower. That visit had a sense of urgency because the drought had cut deep into the Mexican supply, and they were looking for quality wheat to make up for the shortfall. A deal was reached, wheat was sold, but they’re still looking for more.

“Mexico has to import wheat and the drought has put pressure on the market, that hasn’t changed much,” said Armando Orellana, of the Idaho Trade office in Guadalajara. “So buyers are looking for more wheat.”

In Mexico alone, Ground Force received a purchase order for a $1 million sale. The company anticipates additional sales of $8-12 million over the next two years from contacts made during the mission.

Brower said he was reunited with millers Rosales and Beatriz in Mexico City. “Having Lt. Governor Little along opened new doors. He got us into high level meetings that only a trade delegation can get,” said Brower. “Mexico has a lot of mouths to feed and they clearly have more demand than production.”

Both Brazil and Mexico are important export markets for Idaho. Brazil was Idaho’s 19th largest export destination in 2010, with exports totaling more than $17.6 million. For Nampa-based Industrial Ventilation (IVI), the mission was an important opportunity to explore a new market.

Jason Godfrey, president of Mountain States Oilseeds in American Falls, expects to send at least five more semitruck loads of mustard seed ( approximately 210,000 pounds ) to a Mexican importer as a direct result of the mission. Lorell Skogsberg, a board member for the Idaho Bean Commission (IBC), said, “The IBC is confident there will be seed sales as a result of this trade mission. Every vendor we met with would like to do business with and be a partner of the IBC. Because of Idaho’s reputation and history of quality, Idaho seed is well known and respected in Mexico.” Ron Nilson, president and CEO of Post Falls-based Ground Force Manufacturing, said, :We appreciate our state government’s foresight to put on these trade missions. We now have been on four different trade missions and each has proven fruitful in building relationships with countries and customers. Over time, these new relationships and territories have become a major portion of our company’s business.”

“Our company joined a state of Idaho mission to Latin America in 2002 and we were able to establish a distributor and more than $5 million in direct sales,” says Mike Machurek, sales and marketing manager for IVI. “We see Brazil as an attractive market for our products and we expect similar results over the next few years.”

Idaho Potato Commission. “Going to Mexico as a member of the trade mission helped us put the security situation in perspective and assess conditions on the ground,” said Jonathan Price, International Sales manager for Pickett Equipment in Burley. “Had we not signed up for the mission, I don’t think we would have looked as seriously at Mexico as an attractive market for our equipment.” Pickett Equipment teamed with the Idaho Bean Commission to expand the existing sales of Idaho bean seed to include sales of bean harvesting equipment to Mexico. Mark Gabrylczyk, a representative of Nonpareil, a Blackfoot potato packer and processor, is excited about contacts that his

company made, “This trade mission was exciting in terms of possibilities and has showed us that Mexico is indeed a market for our products.” Participants in the Idaho mission to Latin America included: 5B Investments, Glanbia Foods, Great American Appetizers, Ground Force Manufacturing, Idaho Bean Commission, Idaho Farm Bureau, Idaho Potato Commission, Industrial Ventilation, Mountain States Oilseeds, Nonpareil/Teton Valley Ranch, Pickett Equipment, Powder Systems Limited, Premier Technology, Inc., Smart Leadership Solutions, University of Idaho College of Agricultural and Life Sciences, Zion’s Bank, and Capital Press. This is the first trade mission to Latin America since 2008.

Mexico is Idaho’s 7th largest export destination and the state’s second largest agriculture export market. In 2010, exports to Mexico were valued at more than $185.6 million. “The Mexican market is our second largest export market, we have been in the market for more than six years, and each mission continues to result in strong business partnerships, ultimately leading to sales for our producers,” said Amanda Albers, International Marketing manager for the Idaho Potato Commission. “It is by far our largest potential market and these trips prepare us for the inevitable opening to US potatoes and our ability to maximize that potential,” added Seth Pemsler, vice president, Retail and International, for the Idaho Farm Bureau producer / JANUARY 2012

Focus on Agriculture A Storm of Estate Taxes Threatens Farm Country By Lynne Finnerty Two recent news reports contained troubling year-end news for farm families. Farmland values are booming. Minnesota farmland prices are nearly 30 percent higher than a year ago, according to the Federal Reserve Bank of Minneapolis. It’s a similar catastrophe in Iowa where, an Iowa State University survey shows, high corn and soybean prices have driven average farmland values to a new record of almost $7,000 per acre. I know what you’re thinking: “Isn’t that good news for farmland owners?” Well, yes, it is good news. That is, unless the farm family patriarch or matriarch dies after December 2012, when current estate tax relief will end. Higher farmland values mean that more people will face the difficult task of figuring out how to 10

pay the estate tax and keep the farm in the family—without having to sell land or other assets needed to farm. Estate tax relief would have expired last year, but Congress passed a bill to set the exemption at $5 million and the top tax rate at 35 percent for two years. Unless Congress extends the exemption and rates, or even better, eliminates the estate tax, a $1 million exemption and a top tax rate of 55 percent will kick in on Jan. 1, 2013. Farm families will be outside the exemption on as few as 143 acres in Iowa, where the average farm size is about 330 acres. In Minnesota, the transfer of just 166 acres from one generation to the next will come with a tax bill of hundreds of thousands of dollars. For all the talk these days about buying local food from family farmers, you’d think that keep-

Idaho Farm Bureau producer / JANUARY 2012

ing farms in the family would be a top priority for Congress. But if estate tax relief expires, then it’s almost certain that some of today’s farm families will be selling land rather than selling corn and tomatoes at the local farmers’ market or grain at the local elevator. Some are able to avoid the tax through savvy planning. But, the cost of estate tax planning, an ongoing endeavor due to changes in farm structure and tax law, is a heavy burden on a farmer’s bottom line in a time of high production costs. While farm income rose 28 percent this year, production expenses rose 12 percent to $320 billion. Some agricultural experts warn that increases in costs for feed, fertilizer and fuel—and land—could outpace increases in farm income after 2013, due to the cyclical nature of crop profitability. They advise farmers and ranchers

to save now for the rainy days ahead, something that’s easier to do if you don’t have to pay lawyers and estate tax planners. Today’s record-breaking farmland values should indeed be good news for farmers, but the threat of estate taxes to their families’ ability to continue their agricultural heritage puts a damper on things. Farmland values combined with the expiration of estate tax relief and the aging of America’s farmers and ranchers forecast a perfect storm that could leave fewer farms in business to feed their communities and our nation. Congress needs to take action early next year to stop this gathering storm. Lynne Finnerty is editor of FBNews, the American Farm Bureau Federation’s official newspaper.

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Idaho Farm Bureau producer / JANUARY 2012

University of Idaho researchers are working to develop processes that will extend the storage life of onions. Farm Bureau file photo

Research Aims at Extending Onion Storage Ability By Jake Putnam PARMA - It all boils down to giving Idaho farmers an edge. if Idaho’s commercial onion producers can extend storage capability from nine to 11 months, it could save Idaho farmers more than $20 million dollars a year. The Treasure Valley supplies 40 percent of the nation’s winter onions, but storing onions beyond nine months has long been a challenge for the industry as the product starts to rot in May. However, two new developments are starting to show promise, according to Mike Thornton, superintendent of the University of Idaho’s Parma Research and Extension Center. Thornton’s research has resulted in holding marketable onions 10 months after harvest and research continues to stretch storage time of onions. For his research and innovation, Mike Thornton was recognized for a Governor’s Award for Excellence in Agriculture. Idaho Farm Bureau’s Jake Putnam recently caught up with Superintendent 12

Thornton at the Parma Center. Following is a Q & A interview with Thornton.

pests. We have to do this and I think that’s a key for the future.

Q - As a young man what interested you in seeking a career in agronomy research?

Q - Your thoughts on waste and storage management research. Is it all about not wasting harvested crops?

A - I think there are a couple of things to ponder. First there’s the goal of agriculture and feeding a growing world population. That was really interesting to me. Then in terms of agronomy, understanding how plants grow and how management practices impact that growth and productivity in crops was always interesting to me. Q - We live in a time when prime agricultural land is disappearing at an alarming rate, your thoughts about the importance of research and where we’re headed? A - If you look at how the world population is increasing we have to become more and more productive. But we also have to do it in a more environmentally and economically sustainable way. So I think you’ll see a lot of our practices evaluating things like cover crops, manures and non-chemical ways to manage some of the diseases and

Idaho Farm Bureau producer / JANUARY 2012

A - I think storage management and crop preservation after harvest is one of the key components of a productive ag system. Because if you think about it, farmers have expensive inputs in the crop, all those costs and then you put it in storage and you end up throwing a portion of it away? So that’s probably the most economically damaging time to lose a crop. So if there’s anything we can do in terms of our management practices, perhaps variety selection to reduce that loss and the waste that occurs in storage. As you can see, research benefits the whole production system. Q - Specifically tell me about the problems you saw in onion storage when you started research and the solutions you and fellow researchers came up with here at the U of I:

A - I think one of the big problems for onion producers was the fact that the environment dictates how much waste producers will have each year. The loss goes anywhere from 40 percent in very challenging climatic conditions down to less than 10 percent. But you really can’t predict what the numbers are going to be after harvest. So anything we can do to reduce that loss was critical. So we worked on things like how long we left onions in the field to dry in the fall. That helps to naturally protect them from storage decay organisms and also we looked at planting different varieties. It became a matter of looking at things we could do differently. We did some things with variety selection that gave us a better opportunity to preserve onions in storage and I think we found in both cases there’s a lot of things we could be doing that help growers delay or prevent waste that naturally occurs. Q - So it was trial and error that helped curb waste in onion storage: A - Well, a couple of things, one was just understanding how the disease organisms get into the neck of that onion and start the

decay process. Also critical was how much farmers need to rely on natural drying here in Southwest Idaho at harvest time. Drying is critical and it’s needed to prevent decay from happening. The other innovation was just working with the local processing industry on understanding which variety to put into cold storage first and having the best chance of preserving the qualities so they can process different varieties clear into June of the following year. We’re talking about storing onions up to 11 months. That’s something we had never done in this region before and it’s had a huge economic boost to local industry. We’ve been importing onions from California or the Columbia Basin through the years just to keep those processing plants running. So if we can grow those onions here and store them for 11 months, that’s a lot of economic impact on local industry and the economy. Q – Do onion imports impact the marketplace? A - We grow quality onions here, some say the best in the world, but traditionally we were only storing them until April even with cold storage, so extending that even

a month or two greatly increases the economic advantage we have for producing up here locally. It’s cheaper than shipping them, but also we have the processors up here, locally. Q - And farmers can hold onions until market prices are favorable? Absolutely. There’s a market fluctuation and an incentive for having onions when a market is low on supply, so if we can fill that niche when there are not many onions available from other sources, usually those are very well priced onions. Q - You have also worked hard on researching potato varieties A - The main potato variety we grow in Idaho and most of the United States is the Russet Burbank. As you know it’s a variety that was selected over a hundred years ago because it has great qualities. It stores well, makes beautiful french fries, but for farmers there are intensive inputs needed to grow a good crop. It doesn’t handle water stress well, doesn’t handle environmental stress well and it See UI RESEARCH page 23

Idaho Farm Bureau producer / JANUARY 2012

Assessing and Managing Forest Stand Density

By Chris Schnepf

One of the biggest predictors of forest health in Idaho (along with species composition) is stand density. As trees grow larger, they need more moisture and light to grow well. Stands become more crowded until some trees start dying (usu-

Reducing Stand Denisty has Many Benefits Photo - C. Schnepf

Idaho Farm Bureau producer / JANUARY 2012

ally lower crown classes â&#x20AC;&#x201C; what foresters call suppressed or intermediate trees as opposed to dominant or co-dominants). Another way of putting it is that as average tree size increases, the number of trees per acre decreases. This process is called self-thinning. Drier forests ap-

proaching maximum carrying capacity often stagnate or have trees killed by insects or fire, rather than neatly-self-thin. Describing Forest Density In conversation, foresters often describe forests as understocked (trees do not effective-

ly occupy the growing space), fully-stocked (trees effectively occupy all growing space, yet ample room exists for developing preferred trees) or overstocked (stand overcrowding reduces tree vigor).

mercial thinning).

But forest density is also described more quantitatively. For example, with reforestation or pre-commercial thinning, we usually talk about the number of trees per acre (e.g., 400 trees per acre for a tree planting, or 3,000 trees per acre before a pre-commercial thinning and 200 trees after) or as the average distance left between trees (e.g., roughly 10 feet between trees for a planting or 15 feet between trees for a pre-com-

Basal area (BA) is a measure of the cross sectional area of the trunk at breast height (4.5 feet above ground). For example, the basal area of a tree 14 inches in diameter at breast height (DBH) is about 1 square foot. Basal area is usually described as BA/acre. With 100 14 inch trees per acre, you have 100 square feet of basal area/acre.

In forest stands with pole-size or larger trees, stand density is often described by basal area or stand density index. Basal Area

Basal area is an attractive way to measure forest density, in part because it doesn’t depend

on the size of the trees. The basal area of a stand with many small trees can be the same as the basal area of a stand with fewer larger trees. For example, our previous stand with 100 14” trees per acre would have the same basal area as a stand with 540 6” trees. Both would be 100 square feet of BA. Basal area is also very easy to measure. You can do fixed plots and measure the diameters of individual trees to calculate basal area, but it is much easier to use “point sampling”, where an angle gauge, glass prism, or other tool uses angles of sight from a single point to measure basal area (to learn more, google “Bitterlich method”). Using the

device from one point, you simply count trees that meet the criteria of the device as being “in” or “out” and multiply by the basal area factor (BAF) for the device to get the basal area per acre for that point. Coincidentally these devices are also commonly used to sample trees in a timber cruise, so this syncs nicely with other forest inventory activities. Basal area is commonly used to evaluate stand density and make decisions related to it. For example, Entomologists often recommend keeping basal area for ponderosa pine stands below 80 ft2 / acre to minimize risk from western pine beetles (a bark beetle species).

Forests close to carrying capacity are often more vulnerable to bark beetles photo - C. Schnepf

Idaho Farm Bureau producer / JANUARY 2012

The Idaho Farm Bureau’s annual Strolling Buffet is one of the highlights of the various winter conferences the organization holds. Below are details of Young Farmer and Rancher Leadership Conference, Legislative Conference and Commodity Conference that are all being held in Boise this year.

Winter Conference Previews Young Farmers and Ranchers to Host Leadership Conference The Idaho Farm Bureau Young Farmers and Ranchers will hold their annual leadership conference in Boise, January 26-28. The theme for this year’s conference is “Engage – Act – Win,” and another record-setting crowd is expected. Conference registration gets underway at 4:30 on the 26th at the Boise Hotel and Convention Center (formerly Holiday Inn) on Vista Boulevard. A dinner will follow registration. The next morning begins with a training ses18

sion for all county chairmen and a breakfast. After that busses will be loaded and the group will tour the Idaho Statehouse where they will meet with some legislators and various state officials. Afternoon activities will be workshops including a Young Farmer and Rancher contest breakout session, a discussion on new federal crop insurance programs and other federal programs, a cost of production / farm finance session, presentation of the Idaho Farm Bureau’s Moving Agriculture to the Classroom (MAC) program, a grain marketing workshop with Clark Johnston of

Idaho Farm Bureau producer / JANUARY 2012

JC Management Co., and a workshop on the U.S. Constitution. Workshops will be followed by district caucuses and a banquet. After the banquet an auction will be held to raise money for the IFBF Young Farmers and Ranchers Scholarship Fund. On Saturday morning the conference resumes with a breakfast and announcement of the new state committee members. The conference keynote speaker will wrap up the conference beginning at 9:30 on Saturday morning.

IFBF Legislative Conference The Idaho Farm Bureau’s annual Legislative Conference will be held February 7-8, also at the Red Lion Downtowner in Boise. The conference begins at 1:15 with a welcome by IFBF President Frank Priestley. The following guests have been invited to speak at the meeting but had not confirmed by press deadline for this magazine. Legislative Leaders: House Speaker Lawerence Denney and Senate President Pro Tem Brent Hill

Resource Committee Chairmen: Rep. Bert Stevenson and Sen. Monty Pearce Joint Finance & Appropriations Committee Co-Chairs: Rep. Maxine Bell and Sen. Dean Cameron On Tuesday evening the Idaho Farm Bureau will host its annual strolling buffet for legislators. This event is a great opportunity for IFBF leaders and members from every county in the state to meet with their legislators.

On Wednesday morning at 7:30 a.m., the National Affairs Breakfast begins with a congressional delegation conference call at 8. Later that morning we expect to hear from Senate Agriculture Committee Chairmen Sen. Jeff Siddoway and Rep. Ken Andrus. Following them we are expecting Idaho State Department of Agriculture Director Celia Gould

Commodity Conference Slated

The Idaho Farm Bureau’s annual Commodity Conference will be held February 6-7 at the Red Lion Downtowner in Boise. The event kicks off with a commodity committee chairmen meeting and luncheon followed by an afternoon of workshops. This year’s workshops include: AGR-Lite Livestock Gross Margin for Dairy, and Pasture, Rangeland, Forage,

PRF Risk Management Programs

tonwood

Wheat & Feed Grains Pest Management

What Should I Plant Next Year - Spokane

Equine Issues Update

Workshops will be followed by a dinner at an off-site restaurant. The following morning includes a commodity outlook discussion followed by individual commodity committee meetings.

Farm-to-Market Strategies Financial Management Livestock Vaccination Records Hay & Forage Quality & Nutrition - Cot-

Priestley Continued from page 2 ranches and rural homes. A lot of sentiment exists that wolves are only accountable for a small number of livestock depredations. We often hear that coyotes kill more sheep and calves than wolves or that bears and mountain lions are a bigger problem. This is the propaganda of wolf advocacy. Here’s why. First, most wolf depredation on livestock is rarely confirmed due to the fact that a pack of wolves leaves little behind for investigators to examine. With regard to other predators, keep in mind that wolf kills are in addition to depredation by other predators. Wolf depredation was not a problem for ranchers before the federal government reintroduced wolves in 1996, despite resounding public testimony from rural residents in opposition to reintroduction. About 80 percent of the cattle herds in the U.S. are made up of 50 cows or less. It only takes a couple of losses to predators to make a small operation unprofitable. In addition, let’s not lose sight of the fact that wolf reintroduction has resulted in ar-

guably the most successful recovery of an endangered species in this nation’s history. Idaho’s wolf population has grown well beyond expectations of the foremost federal biologists – from 24 in 1996 to a level we believe surpasses 2,000 animals today. Much of what was observed about wolf biology in other places has not proven out in Idaho. For instance, during reintroduction public hearings we were told only one bitch per pack would breed each year. Yet if that were the case there is no biological way our wolf population would have exploded the way it has. During those same hearings we were told wolves only prey on sick, weak or old elk, deer, moose etc. Yet, Idaho Fish and Game biologists say two elk herds in the state, the Sawtooth and Lolo herds, have been consumed by wolves to the point where they are no longer sustainable. That is an incredible amount of predation when you stop to consider that only a few years ago these were thriving elk herds. The statement that wolves would regulate

their own populations is yet another questionable assertion passed along by advocates of reintroduction. According to federal reports there have been instances of wolves killing other wolves when pack boundaries cross. However, the overall population continues to grow and when we see photographs of packs in excess of 20 members; it appears there is reason to dispute this claim. All of these facts are a major concern to Idaho livestock producers. While wildlife populations decline, we expect to see increased pressure on livestock herds. We need more hunters and trappers out there in the woods. Even if unsuccessful, at minimum they are giving wolves reason to fear men, which behooves both species. We wonder if there is a point in time when wolf advocates and their wealthy donors, who live far away from rural Idaho, will begin to accept the fact that wolves must be managed in a manner that allows ranching, big game hunting and other forms of commerce to coexist.

Idaho Farm Bureau producer / JANUARY 2012

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Idaho Farm Bureau producer / JANUARY 2012

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Idaho Farm Bureau producer / JANUARY 2012

County Happenings A ribbon cutting ceremony for a new Farm Bureau office in Jerome was held in late December. The new office will service the Jerome County Farm Bureau as well as the Gooding â&#x20AC;&#x201C; Lincoln County Farm Bureau. Photo Courtesy of Morgan Brune

The Idaho County Farm Bureau recently donated $4,500 to county FFA chapters. Each of the three chapters received $1,500 to be used for FFA chapter programs and activities. Mike Frei, FB President, presented the money to Lisa Avila from Salmon River FFA, Cody Killmar from Clearwater Valley FFA, and Brandy Trivett from Grangeville FFA. Photo Courtesy of Jaysa Fillmore

Winners of this yearâ&#x20AC;&#x2122;s Collegiate Young Farmer and Rancher Discussion meet are first place, Nicola Elliott of Moscow and second place Kirk Ramsey of Moscow. 22

Idaho Farm Bureau producer / JANUARY 2012

Latah County Farm Bureau recently opened a new office building in Moscow. Photo by Bob Smathers

KELLER Continued from page 2 classless society. OWS is seeking to use the federal government to achieve “equality” by the system of transfer payments. This means that the federal government collects from one income group and transfers payments to another by the tax system. This may be in the form of social security benefits, Medicare and Medicaid, and food stamps, just to name a few. A similar belief and movement existed over two hundred years ago. James Madison, the Father of the U.S. Constitution, envisioned and warned that “if Congress

can employ money indefinitely to the general welfare . . . . It would subvert the very foundations, and transmute the very nature of the limited Government established by the people of America.” Madison’s English contemporary, Edmund Burke alluded to the movement for socialism or economic equality would not produce a favorable outcome. He said, “Such is the event of all compulsory equalizations. They pull down what is above, they never raise what is below; and they depress high and low together beneath the level of what was originally the lowest.”

These occupiers and those who support their ideals may rationalize their objectives, but we cannot condone it. We must oppose the attitude to turn to government to do everything for us, for its acceptance will destroy, not build. As Grover Cleveland, our nation’s 22nd and 24th president said, “Though the people support the government; the government should not support the people.” He also wisely stated: “The ship of democracy, which has weathered all storms, may sink through the mutiny of those on board.” We must not tolerate this mutiny to continue.

UI RESEARCH Continued from page 2 has a lot of pests that attack it. Anything that we can do to produce a new variety that tackles some of those weaknesses is a benefit to the entire industry. So what we’ve done is work with the industry, both in the processing and the fresh market venues. We also evaluated the Pacific Northwest varieties development program. It’s a cooperative project between Idaho, Washington, Oregon and the USDA. We develop new varieties that growers don’t know much about and we find new ways to manage them and take advantage of them fully. Things like disease resistance, higher yield potential, water and fertilizer inputs. We also develop management profiles so that when growers decide to produce a new variety that they have all the information needed to be successful. Q - How important is site specific research to our farmers, research done in Idaho for this climate and the need of our producers? A - You have to do research in production systems that fit. One of the things that’s critical, particularly for the Western Idaho production system is the warm summer temperatures at a critical time in tuber development. We often see a physiological disorder called sugaring, basically french fries get dark on one end. Processors are

very keen to eliminate that problem. So for our Idaho producers we confirmed a variety that’s not susceptible to that disorder. It’s huge in terms of producing a fry that processors want. That’s what we’re able to do with these new varieties. Not only do they have a better quality, but we grow them with less fertilizer, less water and they take less management inputs than traditional Burbank’s take. Q - What’s the importance of agriculture research in these changing times? At a time when we have to feed more people, with less farmland? A - I think it’s really about competitiveness. If you look at what’s going on in the world it boils down to how they’re shipped from country to country. If we don’t have the varieties and the ability to produce at competitive prices we’re not going to survive in that kind of a marketplace environment. I think research helps us take some of the basic conceptual things done in a laboratory and move it out into a field. It helps growers adopt this technology and make money off it. That’s what I see the role of these experiment stations, it’s to make a bridge from very basic research to farmer application to a production operation and get benefit out of it.

Q - Ag Extension budget cutbacks in recent years nearly closed the Parma facility, how have you adapted? A - Certainly some of the cutbacks in state funding challenges the way we do research traditionally. What we’ve done in Parma is develop a partnership with the Simplot Company, but also our smaller industries and companies through the Treasure Valley Ag coalition. Funding operations at this station has been challenging. But it’s also opened up opportunities and new relationships we didn’t have before. We have more industry related research going on at this station than we did in the past and that because of this new funding model, so there’s benefits in addition to the challenges that occurred because of this new model. Q – It’s a brave new world, where are we headed? A - I think the trend is for less federal and state funding. That means we have to rely more and more on industry and university type partnerships, particularly to get the applied-type research that we do at these research stations. The Parma model has shown that Industry and the University we can partner together to get applied research done.

Idaho Farm Bureau producer / JANUARY 2012

American farm bureau federation news

New National YF&R Committee Members Appointed WASHINGTON, D.C — New members have been appointed to the American Farm Bureau Federation’s national Young Farmers & Ranchers Committee, for the 2012-2014 term beginning in March. The committee is comprised of 16 positions representing all regions of the U.S. An individual or a married couple may hold each committee position. AFBF President Bob Stallman announced the appointment of the following new members to the committee: Michael and Melanie Fink of Germansville, Pa., (fresh vegetables, greenhouse, hay and grain); Marc and Blair Green of Winnabow, N.C., (crops, cattle, hogs and a forestry planta-

tion); Matthew and Rachel Heimerl of Johnstown, Ohio, (hogs, cattle and field crops); Zachary and Anna Hunnicutt of Aurora, Neb., (corn, popcorn, soybeans, wheat and sorghum); Dustin Johnson of Farmington, N.M., (cow/calf beef operation, sheep and hay); Rick Roden of West Bend, Wis., (dairy and cash crops); Susan Wilkins of Hillsboro, W. Va., (loan officer for the Agriculture Departmen’s Farm Service Agency); and Marty and Crystal Wooldridge of Oil City, La., (cow/calf beef operation and hay harvesting business). “Congratulations to these young farmers and ranchers, who are stepping up to serve as national Farm Bureau leaders,”

said Stallman. “As conscientious and hardworking stewards of our nation’s land, water and air, they take seriously their role as food producers for America’s consumers,” he added. National committee members are nominated by their respective state Farm Bureaus. They study farm and food policy issues, participate in leadership training exercises and hone other appropriate professional skills during their tenure as committee members. The Young Farmers & Ranchers program includes both men and women between the ages of 18-35. Learn more online at http://www.fb.org/index.

New Game Teaches Students to Distinguish Fact from Fairy Tale WASHINGTON, D.C., - The popular agricultural gaming site MyAmericanFarm. org just released a new game for students in kindergarten through second grade.

new stamp to add to their Passport for Sustainability – the tool that helps youth keep track of their journey through the various My American Farm online games.

“Fact or Fairy Tale,” is a trivia-like game that helps kids learn valuable science lessons. The game is fun and fast-paced, allowing kids to help a character named Jacob Justthefacts discover the truth about where their food, fiber and fuel are produced. As they play, students are encouraged to continue helping Jacob uncover the truth by evaluating which statements are facts or fairy tales. After answering enough questions, participants are rewarded with a

The new game is one of 15 games that will be featured at the American Farm Bureau Federation annual meeting, Jan. 8-11 in Honolulu. The game kiosks will be located in the Farm Bureau Tradeshow and the Foundation Booth, as well as near the Cyber Café and exhibitor seminar rooms.

The new My American Farm game also will be featured at the Agriculture Ali’l Luau event at the Polynesian Cultural Center on Jan. 9. State Farm Bureaus seeking

Idaho Farm Bureau producer / JANUARY 2012

more information about the game should contact Curtis Miller (curtism@fb.org) at 202-406-3700. The My American Farm educational gaming resource is a special project of the American Farm Bureau Foundation for Agriculture. The site and resources are made possible through the generous support of title sponsor, Pioneer Hi-Bred, a DuPont business. To take advantage of the free My American Farm resources, games and activities, visit www.myamericanfarm.org.

American farm bureau federation news

WASHINGTON, D.C.,– The 2nd Annual Beginning Farmer and Rancher Conference will take place Feb. 18-20, 2012, in Grand Rapids, Mich., at the Amway Grand Plaza Hotel & DeVos Place Convention Center. The conference is presented by the American Farm Bureau Federation and Start2Farm.gov. Beginning farmers and ranchers interested in all types of agriculture are encouraged to attend. Farm Bureau membership is not required. The conference provides an opportunity for attendees to network with other farmers from around the country and learn from experts about how to start and maintain a thriving farm or ranch business.

American Farm Bureau Federation President Bob Stallman said beginning and young farmers and ranchers are integral to U.S. agriculture’s future. “America’s farmers recognize that providing food that satisfies the tastes and preferences of today’s consumers is more important than ever before,” said Stallman. “We welcome into our ranks and extend a helping hand to beginning farmers who are just starting their careers as food producers,” he said. The “early bird” rate of $200 per person applies for all conference registrations received by Dec. 15. (The regular registration rate of $250 per person for the conference

will apply Dec. 16-Jan. 17.) The registration fee includes conference materials, farm tours and meals for Saturday lunch, Sunday lunch and dinner, and Monday lunch and dinner. Attendees are responsible for their own hotel reservations. The Beginning Farmer and Rancher Conference will be held in conjunction with the annual American Farm Bureau Young Farmers & Ranchers Conference. Attendees at both conferences will have the opportunity to attend sessions at the other meeting. For more information, including online registration and hotel information, visit http://2012bfrconference.eventbrite.com or email questions to info@ start2farm.gov.

Tracy Walton of Walton Farms (right) in Emmett with his Farm Bureau Insurance agent, Stu Barrett.

As a company founded by Idaho farmers and ranchers over 60 years ago, we understand that each farm and ranch is unique. That’s why our agents visit you at your farm or ranch in person every year. This firsthand look at your operation can help us tailor a policy to fit your particular farm or ranch. Visit www.idfbins.com to have your local Farm Bureau Insurance agent or Crop Specialist (listed at right) visit your farm or ranch.

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Idaho Farm Bureau producer / JANUARY 2012

STALLMAN Continued from page 2 forego unnecessary and burdensome Form 1099 reporting requirements. We also achieved repeal of the 3 percent withholding tax. Farm Bureau also supported House-passage of the Energy Tax Prevention Act of 2011, which eliminates the authority of the Environmental Protection Agency to regulate greenhouse gases under the Clean Air Act. And, we successfully urged EPA to not propose changes to the National Ambient Air Quality Standard for coarse particulate matter, which includes dust from rural areas. In an effort to secure regulatory certainty on the dust issue, we also supported House passage of the Farm Dust Regulation Prevention Act. In 2011, Farm Bureau undertook a very important initiative with its participation in the U.S. Farmers and Ranchers Alliance. This unified, long-term and coordinated campaign for American agriculture is unprec-

edented in size and scope, with most every U.S. agriculture organization working toward one goal: moving the needle to gain consumer trust. I am confident this effort will vastly improve the connection between consumers and farmers and ranchers as we move further into 2012 and the future. Keeping our Resolutions As we settle in to the New Year, there are also visible obstacles on the horizon. One such challenge will be to complete a farm bill by years’ end that meets our expectations, while also staying in tune with the fiscal state of the nation. Farm Bureau supports the need for deficit reduction and tackling the nation’s rising debt, and we understand that in order to do this, cuts in farm programs are likely. While we will fight tooth and nail against disproportionate cuts, we will do our share to get the nation’s economy back on track. I am confident Farm Bureau is up to the task.

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Idaho Farm Bureau producer / JANUARY 2012

Water issues, too, still loom. Farm Bureau is leading both legal and policy efforts against EPA’s Chesapeake Bay regulations, which unlawfully usurp states’ authority. Left uncontested, EPA’s unprecedented initiative could set the stage for federal mandates on land use and water quality regulations nationwide, which could negatively affect all farmers and ranchers. Other issues on the horizon include continuing to work toward comprehensive farm labor and immigration reform plans, maintaining our efforts to combat anti-agriculture animal welfare initiatives, and making sure agriculture’s voice is heard during the 2012 elections. As we ring in 2012, I wish you and your family a happy, healthy and prosperous year. Or, as the Irish toast goes, “May your right hand always be stretched out in friendship but never in want.” Happy New Year.

Moffatt Thomas is pleased to announce the addition of Norman M. Semanko as an Attorney Of Counsel with the firm. Mr. Semanko’s extensive experience in water resources issues and his working relationships with members of local, state, and federal government and regulatory agencies further bolsters Moffatt Thomas’s expertise in agricultural law, water rights, environmental law, land use, mining, and public lands. Mr. Semanko joins the firm’s water and natural resources practice group: Scott Campbell, Andy Waldera and Dylan Lawrence. Mr. Semanko’s experience includes:  Executive Director & General Counsel, Idaho Water Users Association, Inc.  President & Director, National Water Resources Association  President & Director, Idaho Council on Industry and the Environment  General Counsel, Republican National Committee  Western States Water Council  Advisory Committee, Family Farm Alliance  President, Coalition for Idaho Water  Eagle City Council  Chairman, Idaho Republican Party  President, Food Producers of Idaho www.moffatt.com

Grain Marketing with Clark Johnston

Reflect on Past When Making Plans for 2012 good so far this year with the potential to continue to be profitable if corn continues the current course in the market. This past year was also a good year for those that produced oilseeds. In Oneida County the safflower acreage did better than both the HRW and HRS wheat when figuring the net dollars per acre. It is very important this time of the year to not get lulled to sleep but, keep one eye on the markets for the movement both expected as well as the unexpected moves. When we look at the futures charts from Thanksgiving into Christmas the March corn contract looked as though it was somewhat flat when compared to just where we had been but it still traded in a 40 cent per bushel range. Clark Johnston

It seems as though the end of December slows down as far as grain merchandising is concerned. The volumes in the futures markets are generally reduced as traders look forward into the upcoming year. It is good however to slow just a bit if possible and reflect upon the past year and then look at what we would like to accomplish in the year ahead and just how we could bring it all to pass. Recently we are seeing some producers looking at different or alternative crops to their regular rotation to plant this spring. The big driving force in the decision will be the cost of fertilizer. (Even though we have seen fertilizer prices weaken recently it sometimes is difficult for producers to take advantage of these price moves in their area.) Producers are looking for commodities that will let them net a good margin per acre while reducing the amount of money needed for production. We are seeing producers of protein classes of wheat now looking at soft white wheat and barley as well as some oil seeds. The market for barley (feed barley) has been

We know that the wheat markets are going to maintain their correlation with the corn futures for a few more months to come and corn has the potential to be volatile as we move into the spring months. When looking at the March corn futures over the past six years we will see that we had two years where the market moved 60 cents lower from now through the end of February, one year where it was flat and three years with strength of 60 cents or more. Even 2009 moved almost 40 cents higher into the middle of January before weakening into February.

Keep these market movements in mind when looking for your opportunity to contract some new crop bushels. The markets can and will at times move higher than the charts show but, a 40 to 50 cent move higher in the futures may be all that the market is willing to give us during this time frame. Have your objective in mind and then contract some bushels when you reach that level. Now that we have looked at the marketing side of the business letâ&#x20AC;&#x2122;s take a quick look at our input costs. This is the time of the year to be looking at buying in diesel fuel for your spring demand. Historically the heating oil futures rally from now into the end of June. Pick your time to buy but, usually you need to have fuel bought by the end of January. The range during this time frame is 20 cents per gallon lower to 50 cents per gallon higher except for 2008 when the futures moved $1.50 per gallon higher into the end of June. Remember, when looking at your opportunity to buy simply ask yourself, what is my risk if I donâ&#x20AC;&#x2122;t buy compared to my risk if I do? Clark Johnston is a grain marketing specialist who is on contract with the Idaho Farm Bureau. He is the owner of JC Management Company in Northern Utah. He can be reached at clark@jcmanagement.net

Idaho Farm Bureau producer / JANUARY 2012

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Farm Bureau Discounts Call the individual air ambulance provider to learn about their service areas and to purchase membership. Make sure that you introduce yourself as an Idaho Farm Bureau Member to receive your discount.

Idaho Farm Bureau producer / JANUARY 2012

Carpet

Laminate

Vinyl

Idaho Farm Bureau Member Benefit

Some stores will have designated staff to handle Farm Bureau members so members should identify themselves at the beginning of the process. This will prevent them from having to switch staff in the middle of the selection process. If you have any questions, call 208-239-4289.

Idaho Falls

Area Rugs

Ceramic Tile

Coeur Dâ&#x20AC;&#x2122;Alene

Hardwood

Boise

Carpet One Floor & Home 405 West 17th Street (800) 227-7381 or 529-1951

Panhandle Carpet One Floor & Home 739 West Appleway Avenue (866) 497-5088

Neef's Carpet One 1507 Main Street (208) 343-4679

Lewiston

Skelton's Carpet One Floor & Home 222 1st Street (208)746-3663

Twin Falls

Pioneer Carpet One Floor & Home 326 2nd Avenue South (866) 497-8176 or 734-6015

Neef's Carpet One 9601 West State Street (208) 947-1800

Pocatello

McCall

Sandpoint Furniture Carpet One Floor & Home 401 Bonner Mall Way (208) 263-5138

L & K Carpet One Floor & Home 129 North Second Avenue (208) 233-6190

Lake Fork Design Center 13872 Highway 55 (208) 634-4599

Ponderay

Idaho Farm Bureau producer / JANUARY 2012

Royce and Pam Schwenkfelder on horseback on West Mountain, getting ready to gather cattle in the Payette National Forest.

Ranchers Create Wildlife Habitat By Steve Stuebner Royce and Pam Schwenkfelder run the SS Cattle Company with Royce’s brother, Bob, and his wife, Bonnie, in the Little Weiser River Valley near Cambridge, Idaho. The broad valley is framed by snow-streaked mountain peaks, and from their back porch, they can see the whole panorama of the mountains, the valley, and their ranch. “We’ve been coming up here for quite a few years on horseback or 4-wheelers or whatever, since we got married, and this

has kind of always been our spot,” says Pam Schwenkfelder. “We’ve always looked out over the country, and thought that if we could ever build a house someday, this is where we’d build it.” Says Royce Schwenkfelder, “It gives you good perspective. It’s beautiful country. You get to look out at the crops and the cattle, and it’s just a pretty place to be on earth. We love it.” Royce and Bob are the fourth generation of the Schwenkfelder family to work the fam-

ily ranch in the Little Weiser River Valley, near Cambridge. Their grandfather from Switzerland homesteaded the place in 1889. They’ve expanded the ranch to 850 acres of irrigated base property, approximately 4,000 acres of rangeland and private lease ground. During the summer, they raise hay and other crops on the base property and graze cattle on about 130,000 acres of land in the Payette National Forest, on West Mountain and Indian Mountain near Indian Valley. See LIFE ON THE RANGE page 32

Idaho Farm Bureau producer / JANUARY 2012

LIFE ON THE RANGE Continued from page 31 Royce and Pam planned on different careers. He was working on a marketing degree from Boise State University and Pam was in the nursing program, but after spending a summer on the family ranch and much deliberation, they decided to go back to the ranch instead. “We both left our degrees on the table to come back and do this,” Royce said, smiling. “It was an opportunity that we didn’t understand the true significance of at the time. Now, later in life, when we understand our kid’s appreciation of growing up here and how ranching shaped them, it really hits home as an even more positive thing.”

An overarching theme at the Schwenkfelder Ranch is sustainability. They raise Red Angus cattle; a breed they feel is bestsuited to the climate and capacity of their land. The cattle co-exist with a wide variety of wildlife, including mule deer, waterfowl, sage grouse, a candidate species, and Rocky Mountain wolves. The Schwenkfelders pay close attention to the water quality in the Little Weiser River, a stream that contains bull trout in its headwaters, a threatened species. All of this diverse wildlife and the issues associated with them provide interesting “wrinkles”

Tree planting by freshly dug wildlife pond. 32

Idaho Farm Bureau producer / JANUARY 2012

and challenges to the management of the ranch, Royce says. “It’s been a great place to raise kids. They get out and get their hands dirty and understand where their food comes from,” he says. “They learn how to ride a horse. They appreciate some of the basics in life. There’s a lot of value in what you do in life and things you hold sacred that you learn from a piece of dirt.” The Schwenkfelders raised two daughters on the ranch, Kayla and Cody. Cody, their oldest daughter, worked on the ranch through high school, and graduated from

the University of Idaho. She’s married now and has a son of her own, named Wyatt. “She’s done a great job of introducing him to ranch life and all the outdoor activities from calving cows in the spring to feeding the horses with “Grandma Pam” every day,” Schwenkfelder says. Kayla, who lives in Genesee now with her husband, left her mark on the ranch with a wildlife-enhancement project that earned a national award from the FFA. A pair of sandhill cranes flushed from near a pond when we approached. “This was a piece of ground that didn’t have a high value from an agricultural perspective. It was pretty rocky. So we hired a construction outfit to build a pond and then Kayla designed where the wildlife enhancements could be,” Schwenkfelder says. “It was one of those things where you live on a ranch and you have five acres that you can do whatever you want with, and you have a family that’s willing to give up the five acres to let your dream come true,” says Kayla Schwenkfelder Brown, who is a Project Engineer for Riedesel Engineering in Lewiston, Idaho. “We tried to create a place where there’s shelter, water and food, and we tried to appeal to all different types of wildlife.

the areas for the wildlife. Schwenkfelder enjoys seeing the wildlife that Kayla’s project has brought to the ranch. He motions to snow geese flying overhead that he saw swimming in the wildlife pond earlier in the day. “We never used to see snow geese like we see them now,” he says. “If you have the privilege of running a ranch, it’s your responsibility to make it better.” “When I graduated from high school and went to college, I have to give it to my dad, he ran with it,” says Kayla, laughing. “I came home and I’m like, man, how many more ponds have you built?” Schwenkfelder picked up a strong land ethic from his father. “My dad was always one of those guys who took good care of the ground he worked with. He was always really conscientious of the cattle and the land. So it was always instilled in us kids that the land here was pretty sacred,” Schwenkfelder says. The Schwenkfelders switched to Red Angus cattle in the late 1980s after running Simmental cattle in the 1970s and Herefords for decades before that.

“We’ve transformed our whole business to red cattle now, and we love it,” he says. “I wish I’d started there 20 years ago.” Red Angus fit the environment in the Little Weiser Valley and on West Mountain better than the other breeds they worked with. “You have to adapt the cattle to the environment, not the other way around,” he says. “In every end of the country, from Florida to northern Canada, there’s a cow that will blend in with a different environment. So we had to find an animal -- and a style of animal -- that would fit here. Safe, healthy beef from a well-balanced management style of the ranch is our goal.” Schwenkfelder is proud of the things his family has done to improve their deeded ground and the public range on West Mountain. He and Pam will continue to do that as long as they run the ranch. “There are a lot of things that we do on that ground that is a stewardship type of thing,” he said. “Because we want it to be good next year and beyond, we want to do it right. This range is a renewable resource, and with proper balanced management, we can be sustainable.”

Eight years later, the pond is a refuge for all kinds of wildlife. “Build it and they will come,” she says. “It’s amazing. We’ve seen geese out here, swans, ducks, mallards, buffleheads and just a wide variety of wildlife. It’s great.” “Being in FFA wasn’t just about having cows for her (Kayla),” Schwenkfelder says. “It was about finding a balance on the ranch between wildlife and cattle. So that started the ball rolling and we try to continue that effort.” Kayla and her FFA partners used to plant 600 to 800 trees a year on the ranch. They looked for areas to set up wildlife ponds -- areas that weren’t actively being used by the ranch, and designed the ponds, allowing waterfowl and wildlife to move in. They fenced off some of the ponds to protect the trees and new wetlands and leave

Royce holds up a small mouth bass he caught in Kayla’s pond.

Idaho Farm Bureau producer / JANUARY 2012

4-H Members Attend National Event Nine 4-H youths from across Idaho traveled to Atlanta to participate in the annual National 4-H Congress Nov. 24 to Nov. 29. In addition to attending workshops and participating in service projects, the Idaho members of the nation’s best known youth leadership development program heard from Miss America 2011 Teresa Scanlan of Nebraska and motivational speakers. The Idaho 4-H Youth Development program is administered by University of Idaho Extension and based in the College of Agricultural and Life Sciences at Moscow. The nation’s best known youth leadership program involves more than 4,200 volunteers and 33,000 children and teens ages 5 to 18 in Idaho. The University of Idaho Extension 4-H Youth Development program will celebrate its centennial in 2012 from its beginnings for Lemhi County school children to display projects at the county fair. Today’s 4-H members develop leadership, participate in activities to supplement school, do fair projects and explore science, technology, engineering and math skills. This year’s delegates from Idaho included: Maddie Breen

of Middleton, Kendra Fair of Post Falls, Katie Gregory of Caldwell, Karena Gutierrez of Nampa, David Haylett of Nampa, Wayne Heath of Kendrick, Laura Playfair of Lemhi, Mary Scott of Nampa, Kinsie Ward of Kuna,

Idaho Potato Production Up 12 Percent

Idaho’s potato production is expected to total 127 million cwt, up 12 percent from last year’s 113 million cwt, but 4 percent below the 2009 crop, according to the National Agricultural Statistics Service. Planted acres of 320,000 and harvested acres of 319,000 are up 25,000 acres from 2010. Statewide, yield is 398 cwt (field-run basis), up 14 cwt from last year. Yield in the 10 Southwestern counties, at 530 cwt, decreased 15 cwt from last year’s record high for this area. Acreage for the 10 Southwest counties, at 19,000 acres planted and harvested, increased 3,000 acres from last year. Because of the acreage increase, total production in the area is up 15 percent from last year at 10.1 million cwt. In Idaho’s “other counties,” yield is estimated at 390 cwt, compared to 375 cwt a year ago. Other area production from 300,000 harvested acres is expected to total 117 million cwt, 12 percent above last year’s 104 million cwt.

Idaho Farm Bureau producer / JANUARY 2012

Ethanol Production Up 1.4 Percent

The Energy Information Agency released its first annual report on U.S. fuel ethanol production capacity earlier this week. The report includes data for the total production capacity for all operating fuel ethanol production plants at the start of 2011. The report will be updated annually. According to EIA, U.S. ethanol production rose 1.4 percent last week to the highest in nearly a year, while stocks fell more than 2 percent. U.S. ethanol production stood at 930,000 barrels per day in the seven days prior to Nov. 25, which was up 13,000 compared to the prior week. Output was last that strong for the week ending Dec. 10, 2010, when 937,000 barrels per day were produced. “At that level, you’d be looking at yearly ethanol production of 14.26 billion gallons, and a yearly corn grind of about 5.1 billion bushels using a conservative 2.8 gallon conversion,” Linn Group analyst Jerrod Kitt told Reuters. The nation’s overall ethanol inventory dropped to 17 million barrels from 17.5 million barrels over the last week, according to EIA.

2011 Farm Income, Expenses Expected to Break Records

Net farm income is forecast at $100.9 billion for 2011, up $21.8 billion (28 percent) from 2010, according

to a report, “Farm Income and Costs: 2011 Farm Sector Income Forecast,” published Tuesday by the Agriculture Department’s Economic Research Service. If the forecast is realized, this will mean record or near-record sales and price levels for many crop and livestock categories and represent substantial increases over last year. Crop receipts are expected to rise more than 16 percent in 2011, reflecting large anticipated increases in prices, especially for hay, corn, wheat and cotton, according to ERS. Livestock receipts are expected to rise nearly 17 percent, led by strong prices for dairy and red meats, the report states. However, total production expenses are forecast to jump about $34 billion (12 percent) in 2011 to nearly $320 billion, driven by higher input costs. This would be a nominal record and would be the first time production expenses will exceed $300 billion.

Game Challenges K-2 Students

“Fact or FairyTale?” is a new trivia-like game that helps K-2 students learn valuable science lessons. The game is fun and fast-paced, allowing kids to help “Jacob Justthefacts” discover the truth about where their food, fiber and fuel are produced.

As they play, kids are encouraged to continue helping Jacob uncover the truth by evaluating which statements are facts or fairytales. After answering enough questions, participants are rewarded with a new stamp to add to their Passport for Sustainability—the tool that helps youth keep track of their journey through the various My American Farm online games developed by the American Farm Bureau Foundation for Agriculture with support from sponsor Pioneer Hi-Bred. Go to the following link for the game. http://www.myamericanfarm.org/

Insurance Program Date Reminder

The Risk Management Agency reminds producers of winter and spring sales closing dates for the Multiple Peril Crop Insurance (MPCI) programs, the Adjusted Gross Revenue Pilot (AGR) available in select Northwest counties, and the Adjusted Gross Revenue-Lite (AGR-Lite) programs available throughout the Pacific Northwest. AGR and AGR-Lite cover most farm-raised crops, animals, and animal products. Upcoming regional sales closing dates: January 31, 2012 - Final date to obtain or change AGR insurance in select counties in Idaho, Oregon and Washington. Final date to submit required documents to continue or change 2012 AGR-Lite insurance for EXISTING POLICY HOLDERS in Alaska, Idaho, Oregon and Washington. February 1, 2012 - Final date to obtain or change crop insurance coverage for 2011 Spring Plant-

ed Onions in Idaho, Oregon and Washington and Cabbage in Oregon and Washington. March 15, 2012 - Final date to obtain or change ALL OTHER Spring Seeded MPCI (excluding wheat in counties with Fall and Spring planted types). Final date to obtain 2011 AGRLite insurance for NEW APPLICATION/ENROLLMENT POLICIES in Alaska, Idaho, Oregon and Washington. Current policyholders and uninsured growers must make all of their decisions on crop insurance coverage, especially which crops to insure and which level and type of coverage to obtain, prior to the sales closing date. Note: Billing dates for Federal crop insurance policies were changed effective for 2012. Most billing dates were moved up to August 15th. RMA reminds producers of the important link between Federal crop insurance and Farm Service Agency (FSA) disaster programs. For non-insurable crops, a producer may buy coverage under the Noninsured Crop Disaster Assistance Program by the closing date. For further information about timetables, please contact the local FSA County Office. Producers are encouraged to visit their crop insurance agent soon to learn specific details for the 2012 crop year. Federal crop insurance program policies are sold and delivered solely through private crop insurance companies and agents. A list of crop insurance agents is available at all USDA Service Centers throughout the United States or on the RMA Web site at http://www3.rma. usda.gov/tools/agents.

Beef Tops List of Most- several estimates programs it recently discontinued. shoplifted Items

High-end cuts of beef such as filet mignon are at the top of the list of most-shoplifted retail items, according to research conducted by Adweek. Higher retail prices for beef are considered the major driver behind the increase. Irish whisky ranked as the No. 2 shoplifted item in the Adweek survey, followed by electric tools in the No. 3 spot.

U.S. Ag Profits Exceed $1 Billion

Farm profitability is up as U.S. farmers are experiencing one of the best years in decades. According to USDA data, farm profit is expected to reach $100.9 billion this year, while cash-on-hand to pay farm expenditures is also expected to hit the $100 billion mark. Says USDA, it will be the first time that both farm profit and expenditures have done so. Further, crop and livestock sales are expected to make history with crops predicted to exceed $200 billion in sales, while livestock sales increases are predicted to make double-digits.

The reinstated programs are: annual reports on farm numbers, land in farms reports and farm income; catfish and trout reports (data collection begins Dec. 9 with report released Dec. 20); annual floriculture report; January sheep and goat report (data collection begins Dec. 23 with report released Jan. 27); July cattle report; annual bee and honey report (data collection begins Jan. 23 with report released March 30); annual hops production report (data collection begins Dec. 9 with report released Dec. 21); annual mink report; fruit and vegetable inseason forecast and estimates; and the June rice stocks report. According to a NASS announcement, the agency will make available any data that falls outside of the scope of the agricultural estimates programs in the 5-year Census of Agriculture. The next census will begin January 2013 to reflect activities in the 2012 calendar year.

Consumers Plan to Eat “We’re just experiencing the Out Less in 2012 best of times,” said Bruce Johnson, an agricultural economist at the University of Nebraska in Lincoln. “It’s a story to tell.”

But, not all farmers are having the same luck. Commodity prices were driven up because of drought in parts of the country, say some farmers.

NASS Reinstates Several Agricultural Estimates Programs

USDA’s National Agricultural Statistics Service has announced the reinstatement of

Consumers are planning to eat out less at restaurants in the coming year compared to 2011, according to a recent Harris Poll. Out of about 2,500 adults polled in November, 61 percent said they will decrease spending at restaurants in 2012. One year ago, a similar poll conducted by Harris revealed that 66 percent of those surveyed were planning to scale back spending on eating in the new year.

Idaho Farm Bureau producer / JANUARY 2012

FARM BUREAU COMMODITY REPORT

GRAIN PRICES

Portland:

White Wheat 11% Winter 14% Spring Corn

Ogden:

White Wheat 11% Winter 14% Spring Barley

Pocatello:

White Wheat 11% Winter 14% Spring Barley

Farm Bureau members pay 20% less off of “Best Available Rate”.

Burley:

White Wheat 11% Winter 14% Spring Barley

Nampa:

White Wheat (cwt) (Bushel)

Lewiston:

White Wheat Barley

5.92 6.87-7.02 10.17 267-267.25

5.86 6.74-6.86 9.62 260-261.50

.06 .13 to - .16 .55 7.00 to 5.75

6.00 5.82 8.75 11.40

5.85 5.73 8.22 10.70

.15 .09 .53 .70

5.65 5.91 8.81 10.41

5.55 5.73 8.32 9.90

.10 .18 .49 .51

5.85 5.67 8.71 10.25

5.65 5.46 8.00 9.50

.20 .21 .71 .75

8.67 5.20

8.58 5.15

- .09 - .05

5.64 194.50

5.65 176.50

+ .01 - 18.00 Trend

11/18/2011

Under 500 lbs 500-700 lbs 700-900 lbs Over 900 lbs

Feeder Heifers Under 500 lbs 500-700 lbs 700-900 lbs Over 900 lbs Under 700 lbs Over 700 lbs

Cows

Utility/Commercial Canner & Cutter

Bulls

For Super 8 call 800-889-9706

Trend

Feeder Steers

Stock Cows

Call Toll-Free: 877-670-7088

12/19/2011

LIVESTOCK PRICES

Holstein Steers

Farm Bureau Discount ID# 61810

11/17/2011

Slaughter

BEAN PRICES: Pinto Pink Small Red

130-194 122-158 101-137 105-120

12/19/2011 136-195 120-160 105-139 98-119

121-166 112-145 105-129 88-115

125-159 112-149 101-128 100-112

+ 4 to - 7 steady to + 4 - 4 to - 1 + 12 to - 3

65-94 65-100

65-96 65-99

steady to + 2 steady to - 1

40-71 44-62

46-72 45-62

+ 6 to + 1 + 1 to steady

750-1325

800-1470

+ 50 to + 145

45-75

50-73

+ 5 to - 2

45.00 45.00 45.00-46.00

Compiled by the Idaho Farm Bureau Commodity Division 36

Idaho Farm Bureau producer / JANUARY 2012

+ 6 to + 1 - 2 to + 2 + 4 to + 2 - 7 to - 1

Steady Steady Steady

IDaho Hay Report December 16, 2011 USDA Market News Compared to last week, Supreme Alfalfa steady in a light test. Trade slow with light demand for light offerings as most interests now are waiting until after the first of the year. Retail/feed store/horse not tested this week. Buyer demand good with light to moderate supplies. All prices are dollars per ton and FOB unless otherwise stated. Alfalfa Large Square Supreme Good

Tons 136 1300

Price 250.00-250.00 220.00-230.00

Wheat Straw Large Square Good

200

30.00-30.00

30.00

Alfalfa hay test guidelines, (for domestic livestock use and not more than 10% grass), used with visual appearance and intent of sale Quantitative factors are approximate and many factors can affect feeding value.

Wtd Avg 250.00 225.00 Del

POTATOES FOR PROCESSING Processing during November Up 17 Percent from Last Year Processors in Idaho and Malheur County, Oregon used 7.54 million cwt of raw potatoes during November, an increase of 17 percent from last November. Accumulated processing of 2011 crop raw potatoes to December 1 was 28.1 million cwt, up 33 percent from last year. Idaho potatoes accounted for 23.0 million cwt of the total processed, up 39 percent from last year. The remaining 5.04 million cwt were produced in other states. Processors in the 9 major States have used 73.0 million cwt of potatoes this season, up 17 percent from the same period last year. Dehydrating usage accounted for 13.4 million cwt of the total processing, up 68 percent from last year.

5 Year Grain Comparison

Grain Prices................12/27/2007...................12/23/2008...................12/23/2009................. 12/22/2010...................12/19/2011 Portland: White Wheat.................... 12.95..............................5.50 ..............................4.85 ............................7.60 ............................ 5.86 11% Winter.................10.59-10.74..........................N/A.................................N/A............................... N/A...........................6.74-6.86 14% Spring....................... 12.08..............................8.34 ...............................N/A............................... N/A................................9.62 Barley (ton).....................256.00 ........................N/A.................................N/A............................... N/A................................N/A Corn.............................. 200-201.25 .................. 172.25-176....................176-180.25.......................246.75.......................260-261.50

Burley: White Wheat.....................11.75...............................4.10 .............................4.14 ............................6.24............................. 11% Winter....................... 9.30...............................4.87 ..............................4.03 ............................6.59 .......................... 14% Spring....................... 10.63..............................6.59 ..............................5.14 ............................8.43 .......................... Barley................................. 9.00...............................6.00 ..............................5.50 ..........................8.50 ..........................

5.65 5.46 8.00 9.50

Nampa: White Wheat (cwt).........20.08.............................. 7.42 .............................6.67 ...........................10.66........................... 8.58 (bushel)........ 12.05..............................4.45 ..............................4.00 ............................6.40............................. 5.15

Ogden: White Wheat.....................12.10...............................5.00 ..............................4.45 ............................6.55............................. 5.85 11% Winter....................... 9.82............................... 5.14 .............................4.32 ............................7.02 ............................ 5.73 14 % Spring......................11.11............................... 7.17 .............................5.47 ............................8.67 .......................... 8.22 Barley................................10.80..............................6.75 ..............................5.83 ............................8.50 ...........................10.70

Lewiston: White Wheat.................... 12.75..............................5.20 ..............................4.70 ............................7.15............................. 5.65 Barley...............................238.50............................96.50 ......................116.50...........................171.50......................... 176.50

Pocatello: White Wheat.................... 12.00..............................4.22 ..............................4.25 ............................6.20.............................. 5.55 11% Winter........................9.42................................4.82 ..............................4.00...............................6.64 ............................5.73 14% Spring....................... 10.85..............................6.97 ..............................5.31...............................8.51 ............................ 8.32 Barley................................ 10.30 ............................5.65................................5.73...............................8.85 ............................9.90

Bean Prices: Pintos................................28.00.............................38.00.............................32.00.......................22.00-24.00...................... 45.00 Pinks............................26.00-27.00...................37.00-38.00........................32.00.......................24.00-25.00...................... 45.00 Small Reds........................30.00....................... 40.00-43.00.................. 30.00-32.00.................26.00-30.00 ................45.00-46.00 ***

IDAHO Milk production up 1.7 Percent December 19, 2011 Idaho milk production during November 2011 totaled 1.07 billion pounds, a 1.7 percent increase from the same month last year, but down 5.0 percent from October 2011, according to the National Agricultural Statistics Service. October 2011 milk production was revised to 1.12 billion pounds, down 2 million pounds from the preliminary level. Average milk production per cow in November 2011 was 1,840 pounds, up 10 pounds from last yearâ&#x20AC;&#x2122;s level. The average number of milk cows during November was 579,000 head, up 7,000 from November 2010.

Milk production in the 23 major States during November totaled 14.7 billion pounds, up 2.2 percent from November 2010. October revised production at 15.2 billion pounds, was up 2.5 percent from October 2010. The October revision represented an increase of 1 million pounds or less than 0.1 percent from last monthâ&#x20AC;&#x2122;s preliminary production estimate. Production per cow in the 23 major States averaged 1,738 pounds for November, 16 pounds above November 2010. The number of milk cows on farms in the 23 major States was 8.48 million head, 108,000 head more than November 2010, but unchanged from October 2011. Idaho Farm Bureau producer / JANUARY 2012

5 Year livestock comparison .....................................12/21/2007...................12/22/2008...................12/21/2009..................12/21/2010...................12/19/2011 Under 500 lbs.................94-140 .......................82-112 .........................94-131 ...................117-153 .................... 136-195 500-700 lbs..................... 91-126 ........................73-104 .........................85-111 .......................105-139........................120-160 700-900 lbs..................... 91-109 ..........................65-87 .........................70-94 ......................85-119 ...................... 105-139 Over 900 lbs...................82-104............................72-78 ............................70-85 ..........................86-113.......................... 98-119 Feeder Heifers Under 500 lbs................. 85-131 ..........................75-95 ..........................87-126 ...................112-148........................ 125-159 500-700 lbs..................... 85-119 ..........................70-91 .........................77-102 ......................97-127 .......................112-149 700-900 lbs.....................85-100............................62-85 ...........................70-89 .........................81-108......................... 101-128 Over 900 lbs....................82-97 ..............................75 .......................76-79 ............................ N/A ..................... 100-112 Holstein Steers Under 700 lbs.................. 57-71 ...........................38-50 ...........................45-64 ......................... 63-85 .........................65-96 Over 700 lbs.................... 47-70 ...........................41-52 ............................43-59 .......................... 58-82 ..........................65-99 Cows Utility/Commercial........... 31-56.............................30-47.............................33-55............................40-66............................46-72 Canner & Cutter..............22-43.............................20-37.............................23-44........................... 35-58............................45-62 Stock Cows.....................450-1025........................385-860 .......................580-920 .................... 690-1200......................800-1470 Bulls â&#x20AC;&#x201C; Slaughter............38-56.............................35-64.............................39-63............................51-76 ..........................50-73

Idaho Cattle on Feed Same as a Year Ago December 16, 2011 Cattle and calves on feed for the slaughter market in Idaho from feedlots with a capacity of 1,000 or more head on December 1, 2011 totaled 235,000 head, same as a year ago, according to the National Agricultural Statistics Service. The cattle on feed inventory was up 4 percent from November 1, 2011. Placements of cattle in feedlots with a capacity of 1,000 or more head during November totaled 46,000 head, down 12 percent from November 2010 placements. Marketings of cattle from feedlots with 1,000 head or more during November totaled 35,000 head, same as a year ago. Other disappearance totaled 1,000 head during November. Cattle and calves on feed for slaughter market in the United States for feedlots with capacity of 1,000 or more head totaled 12.1 million head on December 1, 2011. The inventory was 4 percent above December 1, 2010. This is the second highest December 1 inventory since the series began in 1996. Placements in feedlots during November totaled 2.04 million, 4 percent above 2010. Net placements were 1.94 million head. During November, placements of cattle and calves weighing less than 600 pounds were 755,000, 600-699 pounds were 499,000, 700-799 pounds were 375,000, and 800 pounds and greater were 410,000. Marketings of fed cattle during November totaled 1.77 million, slightly below 2010. Other disappearance totaled 102,000 during November, 65 percent above 2010.

Cattle Outlook December 16, 2011 U.S. beef exports during October were up 10.7% compared to a year ago and beef imports were down 4.4%. During the month, we exported 70 million pounds more beef than we imported. October was the 14th consecutive month that U.S. beef exports exceeded imports. For the first 10 months of 2011, beef exports are up by 25.4% and beef imports are down 13.2%. We are on a pace to export 2.8 billion pounds of beef this year, well above the 2.518 billion pound record set in 2003. Through October, U.S. beef exports are up by 473 million pounds with shipments to Canada and South Korea both up by a bit over 100 million pounds. Beef shipments to Japan are up 91 million pounds and exports to Russia are up 61 million pounds compared to JanuaryOctober 2010. Beef imports during the first 10 months of the year are down 266 million pounds with a decline of 167 million pounds from Canada and a 131 million pound drop in imports of Australian beef. U.S. beef imports this year are expected to be the lowest since 1996. Thus far this year, 10.6% of 2011 U.S. beef production has been exported while beef imports equal 8.0% of production. Cattle imports from Canada were down 19.8% during October; imports from Mexico were down 15.7%. Fed cattle prices dropped this week. The 5-area average price for slaughter steers sold through Thursday of this week on a live weight basis was $118.82/cwt, down $3.46 from last week, but $19.64/cwt above the same week last year. Steers sold

Idaho Farm Bureau producer / JANUARY 2012

on a dressed weight basis averaged $194.04/cwt, $2.75 lower than the week before and $34.85 above a year ago. Beef cutout value rebounded this week. On Friday morning, the choice boxed beef carcass cutout value was $190.32/cwt, up $5.40 from last week. The select carcass cutout was up $3.00 from the previous Friday to $173.13 per hundred pounds of carcass weight. The choice-select spread, $17.18, was up $2.38 from a week earlier. The cutout value of choice steers is $3.72/cwt below the dressed weight cattle price. The last two weeks the choice cutout has been more than $10/cwt below the dressed cattle price. This weekâ&#x20AC;&#x2122;s cattle slaughter totaled 642,000 head, down 1.2% from the week before and down 2.7% compared to a year ago. The average steer dressed weight for the week ending December 3 was 855 pounds, down 1 pound from the week before, but up 3 pounds from a year ago. Cash bids for feeder cattle around the country this week were mostly $6 lower to $4 higher than the week before with more markets lower than higher. Prices this week at Oklahoma City were $5 lower to $2 higher with price ranges for medium and large frame #1 steers: 400-450# $182-$199.50, 450-500# $172-$183, 500-550# $158-$168, 550-600# $148-$158, 600-650# $144-$152, 650-700# $144$150, 700-750# $144.50-$149, 750-800# $139-$147, 800-900# $133-$141 and one small group of 900-1000# at $120/cwt. From University of Missouri

Classifieds

Animals

Recreational Equipment

Morgan horses for sale. Weanling and 4 year old. www.creamridgemorgans.com or 208476-7221.

1992 Diesel Pusher, Sportscoach Pathfinder M-320 MB, 32ft. Spartin chassie, 5.9L Cummins turbo diesel, LP generator, 78k mi., new carpet, new curtains, new windshields, new china stool, new 4 in. exhaust, and exhaust temp gage. $11,850.00/make offer. 208-221-7461

APHA Broodmares. Excellent bloodlines. Great conformation. Super dispositions., Herd reduction. Great prices. Stallion Service Available-$400 fee LFG. Caldwell, ID. 208454-2454

Farm Equipment Oliver Two Row Potato Digger on steel, barn stored, in excellent condition-$700. New Albers self-locking stations, 350 holes. Top or Bottom entery - Best offer. Two, 3000 bu. Grain bins - Best offer. New Cornell chopper pump with 3 hp. 3 phase motor. $1,500. Wendell, Id. 208-536-6448 Balewagons: New Holland self-propelled or pull-type models/parts. Also interested in buying balewagons. Will consider any model. Call Jim Wilhite at 208-880-2889 anytime

Help Wanted Earn $75,000/yr Part Time in the livestock or equipment appraisal business. Agricultural background required. Classroom or home study courses available. 800-488-7570. www. amagappraisers.com

Miscellaneous For sale new Jazzy mobile chair 3200.00 value will accept any reasonable Offer. I have a free pickup stock rack for someone that needs one. Blackfoot, Id. 208-681-0405

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send to: dashton@idahofb.org

Vehicles F350, 2006 4x4 Super Duty, XLT 4dr, 64k miles, Excellent Condition. Auto, tow pack, 25k, Weiser, Id. 208-550-0068

Wanted Paying cash for German & Japanese war relics/souvenirs! Pistols, rifles, swords, daggers, flags, scopes, optical equipment, uniforms, helmets, machine guns (ATF rules apply) medals, flags, etc. 549-3841 (evenings) or 208-405-9338.

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Old License Plates Wanted: Also key chain license plates, old signs, light fixtures. Will pay cash. Please email, call or write. Gary Peterson, 130 E Pecan, Genesee, Id 83832. gearlep@gmail.com. 208-285-1258

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Non commercial classified ads are free to Idaho Farm Bureau members. Must include membership number for free ad. Forty (40) words maximum. Non-member cost- 50 cents per word. You may advertise your own crops, livestock, used machinery, household items, vehicles, etc. Ads will not be accepted by phone. Ads run one time only and must be re-submitted in each subsequent issue. We reserve the right to refuse to run any ad. Please type or print clearly. Proof-read your ad.

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Mail ad copy to: GEM STATE PRODUCER P.O. Box 4848, Pocatello, ID 83205-4848 or email Dixie at DASHTON@IDAHOFB.ORG Name: __________________________________________________________________________ Address: _________________________________________________________________________ City / State / Zip: __________________________________________________________________ Phone: _____________________________________ Membership No. ___________________ Ad Copy: ________________________________________________________________________ _______________________________________________________________________________ Idaho Farm Bureau producer / JANUARY 2012