THE LAND — MAY 28/JUNE 4, 2021
www.thelandonline.com — “Where Farm and Family Meet”
PAGE 15
Milk cow population will keep increasing despite feed costs This column was written for the marketor 4.1 percent from a year ago, thanks to ing week ending May 21. an 85-pound gain per cow, but 1,000 fewer cows. Wisconsin was up 117 milU.S. milk production grew for the 11th lion pounds, or 4.6 percent, on a consecutive month in April and saw the 70-pound gain per cow and 14,000 more biggest spike since November, thanks to cows. increased cow numbers and increased milk per cow. The U.S. Department of Idaho was up 1 percent on 5,000 more Agriculture’s preliminary data shows outcows and five pounds more per cow. put at a bearish 19.3 billion pounds, up Michigan was up 4.5 percent on 15,000 MIELKE MARKET 3.3 percent from April 2020. Output in the more cows and a 20-pound gain per cow. WEEKLY top 24 states, at 18.4 billion, was up 3.5 Minnesota was up 6.9 percent on a By Lee Mielke percent. 55-pound gain per cow and 17,000 more cows. New Mexico was up 2.9 perRevisions added 30 million pounds cent, thanks to a 40-pound gain per to the March 50-state estimate, now cow and 3,000 more cows. put at 19.78 billion pounds, up 1.9 percent from a year ago. Keep in New York saw a 2.2 percent rise on mind, a year ago some regions had co-op mandated a 45-pound gain per cow, but cow numbers were supply management programs in place. unchanged. Oregon inched 0.9 percent higher on 1,000 more cows, but output per cow was April cow numbers were up for the 15th consecuunchanged. Pennsylvania was down 1 percent on a tive month, totaling 9.49 million head in the 50 states, up 16,000 head from the March count, which drop of 10,000 cows, although output per cow was up 20 pounds. was revised up 6,000 head, and is up a whopping 113,000 head from April 2020. South Dakota showed the biggest gain again, up 13.4 percent, on 18,000 more cows outweighing a April output per cow averaged 2,033 pounds, up five-pound drop per cow. Indiana was up 11.4 per40 pounds or 2 percent from a year ago. cent, thanks to 19,000 more cows milked and a California milk was up a hefty 144 million pounds 10-pound-per-cow gain.
MARKETING
Give better incentives for CRP participation THIESSE, from pg. 14
cial incentives. Increasing CRP annual rental rates back to comPothole” region can now enroll in the Soil Health and Income Protection Program (SHIPP), which is a parable farm land rental rates in a given area is pilot program being offered under the CRP program. likely to face kickback by some members of Congress and by farm organizations. The reduction The SHIPP program is a short-term CRP option to plant cover vegetation on less productive agricultur- factors in the maximum CRP rental rates which al lands, while improving soil health and enhancing were put in place in the last Farm Bill were due to CRP competing with farmers who were trying to carbon sequestration. The SHIPP program takes rent farm land for crop production — especially farm land out of crop production, while still allowing livestock producers to utilize the land for haying younger beginning farm operators. This CRP rental rate reduction had bipartisan support in Congress and grazing. States eligible for the SHIPP program during the development of the 2018 Farm Bill. include Minnesota, Iowa, Montana, North and South Dakota. The current SHIPP enrollment peri- Hopefully, USDA and Congress kind find a workable solution to the CRP rental rate situation, as od continues through July 16. the CRP program does seem to be a sensible Summary The CRP program has a long and successful histo- approach toward further enhancement of carbon ry of preventing soil erosion, improving water quali- sequestration efforts in many areas of the United States. ty, enhancing wildlife habitat, and aiding in carbon For more information on the current CRP enrollsequestration. While it may seem quite logical to ment, expiring CRP acres, rental rates, etc., contact utilize expansion of the CRP program to reach furthe local USDA Farm Service Agency office or refer ther goals related to carbon sequestration, there to the USDA CRP web site at http://www.fsa.usda. could be some obstacles in accomplishing those gov/crp goals. Commodity prices for corn and soybeans are their highest levels in eight or nine years. Farm Kent Thiesse is a government farm programs anaprofit levels have improved considerably in the past lyst and a vice president at MinnStar Bank in Lake couple of years, which is also resulting in higher Crystal, Minn. He may be reached at (507) 726-2137 land rental rates in many areas. This may make it or kent.thiesse@minnstarbank.com. v difficult to convince farmers and landowners to take farm land out of production in order to enroll in the CRP program, unless there are some added finan-
Texas output was up 7.7 percent on 29,000 more cows and a 55-pound gain per cow. Vermont was down 2.7 percent on 5,000 fewer cows, but output per cow was up 25 pounds. Washington State was down 1.4 percent on 3,000 fewer cows and a 10-pound drop per cow. Rising milk prices spurred April milk output, but also resulted in a drop in dairy cow culling from the previous month and year. The USDA’s latest Livestock Slaughter report shows an estimated 257,500 head were sent to slaughter under federal inspection, down 44,700 head from March and 21,900 or 7.8 percent below April 2020. Culling in the first four months of 2021 totaled 1.1 million head, down 29,700 or 2.6 percent from the same period a year ago. In the week ending May 8, 56,800 dairy cows were sent to slaughter, up 1,100 from the previous week and (pardon the pun) dead even with a year ago. n The May 18 Livestock, Dairy, and Poultry Outlook mirrored milk price and production projections in the May 12 World Agricultural Supply and Demand Estimates report; but it projected the U.S. milking herd will average 9.47 million head in 2021, 10,000 head higher than last month’s forecast. “The number of milk cows is expected to trend upward through third quarter and then decline in fourth quarter due to relatively high feed prices,” the Outlook stated, and the milk per cow forecast was 24,070 pounds — unchanged from last month’s estimate. See MIELKE, pg. 17
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CHRIS DAHL
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