All Ag News

“Stabenow Says Farm Bill Could Take Some Time in Senate”

While the Senate is expected to begin consideration of the farm bill on Monday – Senate Agriculture Committee Chair Debbie Stabenow says final votes might take place after Memorial Day. Harry Reid has announced his intention to move forward with the bill – but has also said he will move to immigration reform as soon as the Senate Judiciary Committee finishes mark up on that bill – even if the farm bill isn’t finished. Stabenow isn’t worried floor consideration of the farm bill will be interrupted. She’s optimistic the Senate can finish the farm bill before the immigration bill is done. It doesn’t hurt that Senate Judiciary Chair Patrick Leahy is holding a number of hearings and is a member of the Agriculture Committee.

Once debate does start – Stabenow has asked Senators to come forward with amendments that she wants to hold votes on. She notes the bill approved by the committee incorporated all but one amendment the Senate passed last year. Still – Stabenow expects a debate over Supplemental Nutrition Assistance Program cuts. The Senate Ag Committee’s bill would cut the program by four-billion dollars over 10 years. The House Agriculture Committee passed a bill with 20-billion in cuts to SNAP. Stabenow’s not thrilled with the level of cuts in the House bill or how they’re made. In fact – she says she absolutely rejects the levels of cuts the way it’s done in the House.
==================================================

“Reaction to House Ag Farm Bill Continues to Stream In”

When the Federal Agriculture Reform and Risk Management Act of 2013 – approved by the House Agriculture Committee late Wednesday – is considered by the full House – the National Cotton Council will encourage Cotton Belt Representatives to support the work of the Agriculture Committee and oppose damaging amendments. NCC is especially grateful to Chairman Frank Lucas for his leadership in including the Stacked Income Protection Plan – or STAX – and transition payments to assist growers and their lenders until STAX can be fully implemented. According to NCC – this provides growers with certainty and provides the basis for a final resolution of the longstanding Brazil WTO case. NCC Chairman Jimmy Dodson says the committee addressed the interests of the entire cotton industry by including provisions to assist U.S. textile manufacturers, extending the marketing loan and adjusted world price redemption process, maintaining reasonable limitations and eligibility requirements, extending the Market Access Program and the Foreign Market Development Program and extending the extra-long staple cotton program.

National Sorghum Producers says the Federal Agriculture Reform and Risk Management Act of 2013 strengthens crop insurance and leaves the commodity title relatively intact – including reference prices and producer choice. These were priorities of the group. According to NSP – the bill achieves substantial budget savings while maintaining balanced and solid protection for America’s farmers and ranchers.

For the National Cattlemen’s Beef Association – portions of the House Ag farm bill included priorities important to cattlemen and women – including permanent disaster programs, the elimination of the livestock title, maintaining of conservation programs and a strong research title. NCBA President Scott George says the disaster assistance would provide certainty to cattlemen and women who are affected by disastrous weather events and continue to contribute to the nation’s strong agriculture industry. He says the inclusion of disaster assistance programs is a positive step toward providing a strong safety net for producers. George says NCBA was also encouraged by the amendment introduced by Representative Steve King that would prohibit states from setting production standards for foods brought in from other states. He says the amendment would keep decisions regarding how livestock and poultry are raised in the hands of farmers and ranchers where they belong. According to George – NCBA is supportive of the House version of the farm bill and hopes both the full House and Senate take up their respective bills soon and continue to move forward with passing a 2013 Farm Bill which is positive for cattle producers and gives rural America much needed certainty.

According to the National Association of Conservation Districts – the Federal Agriculture Reform and Risk Management Act of 2013 demonstrates bipartisan recognition and appreciation for the significant value of locally-led conservation in supporting the nation’s long-term environmental and economic stability. NACD President Earl Garber says the group will continue to work closely with members of the House and Senate throughout the farm bill process to ensure a strong final version of the legislation that protects critical conservation program funding and increases conservation program efficiency and ease of use for producers. NACD says farm bill conservation programs not only play a key role in supporting clean air, clean water and productive soils – but also help producers avoid unnecessary regulation and support the nation’s long-term economic and food security.

The Coalition for Sugar Reform applauded Virginia’s Bob Goodlatte for his farm bill amendment to reform the sugar program – and his decision to bring the amendment to the House floor so the full House has the opportunity to vote for sugar program reform. The Coalition says Goodlatte deserves recognition for his strong commitment to standing up for American consumers and businesses that have been forced to pay a 14-billion dollar hidden tax on sugar since the 2008 Farm Bill. Goodlatte is part of a bipartisan group of policymakers who introduced the Sugar Reform Act. The Coalition says the bill would not repeal the sugar program – but would roll back the most costly, restrictive and market-distorting provisions of the sugar program enacted as part of the 2008 Farm Bill.

Novozymes expressed a need to fully fund the energy programs in the farm bill. The House Agriculture Committee excluded mandatory funding from the version of the bill it passed. Adam Monroe of Novozymes says stable farm and energy policy is good for America. He says it creates jobs, supports our farmers and encourages private investment. He says funded farm and energy policy is better – as it puts those benefits into action. On that score – Monroe says the leading producer of enzymes that turns biomass into biofuels is concerned the House bill missed the mark. Novozymes hopes to see the House follow the Senate Ag Committee’s lead and support a strong, fully-funded energy title.
==================================================

“Stabenow Says House Ag Farm Bill Amendment Highlights Need for Egg Bill”

According to Senate Ag Committee Chair Debbie Stabenow – the House Ag Committee’s approval of an amendment that would make it illegal for states to ban the sale of foods produced in other states because that state considers the production standards unacceptable shows the need for a national standard on the cages of egg-laying hens. Stabenow has backed an amendment sponsored by California Senator Dianne Feinstein and supported by United Egg Producers and the Humane Society of the United States to develop a national standard for hen housing. She actually considered putting the amendment in the farm bill – but didn’t have enough support to include it. Stabenow says Senator Feinstein will have to evaluate whether to try to attach her measure to the farm bill on the Senate floor.

Groups like the National Cattlemen’s Beef Association and National Pork Producers Council – and some egg producers – oppose the measure because they fear it could set a dangerous precedent for the federal government to dictate their production methods.

As for that House amendment – United Egg Producers doesn’t support it. UEP endorses the Egg Products Inspection Act Amendment – a House measure introduced by Oregon’s Kirk Schrader and California’s Jeff Denham that is similar to the Feinstein bill. UEP President Chad Gregory said the Schrader-Denham bill is a preferable solution to the interstate commerce calamity in eggs. He said the amendment added to the House Ag Committee’s farm bill doesn’t set a level playing field for farmers and could affect interstate commerce in a wide variety of agricultural products – noting as many as 150 different state laws could be preempted or affected by the amendment. Historically – when Congress preempts state laws – he said it replaces them with a uniform national standard like the egg bill that egg farmers nationwide support.
==================================================

“RFA, Growth Energy File Complaint Regarding Duty on U.S. Ethanol”

The Renewable Fuels Association and Growth Energy have filed a complaint with the General Court in Luxembourg – challenging the European Union’s decision to impose a 9.6-percent anti-dumping duty on all ethanol imported from the U.S. Growth Energy CEO Tom Buis says the groups believe the implementation of an EU duty on imported ethanol violates EU law. The complaint requests the complete and total end of the duty.

RFA and Growth Energy are trying to remedy the situation through other avenues as well. Because the EU’s determination to impose the duty violates various requirements put in place by the WTO – the groups are working with appropriate U.S. officials to pursue a WTO challenge. RFA President and CEO Bob Dinneen says they will pursue every challenge available Whether a private challenge in Luxembourg or a challenge at the World Trade Organization – he says they’ll fight this illegal ruling to the end – and will win.

Fourteen Senators signed a bipartisan letter to Acting Commerce Secretary Rebecca Blank and Acting U.S. Trade Representative Demetrios Marantis earlier this month demanding the Administration carefully evaluate the EU’s decision to impose a duty on imported ethanol and consider challenging the WTO requirements.
==================================================

“McCarthy Nomination Advances, New Energy Secretary Confirmed”

Republican members of the Senate Environment and Public Works Committee voted against President Obama’s pick for EPA Administrator Gina McCarthy. Still – the vote was 10 to 8 and her nomination now moves to the floor. Growth Energy CEO Tom Buis says McCarthy is extremely qualified for the post and is known for her willingness to examine issues with a fair and open-minded approach. Stating she would make an excellent EPA Administrator – Buis urged the Senate to act swiftly to confirm McCarthy so she can begin her post at the EPA to continue the critical work of advancing sound energy policies like the Renewable Fuel Standard.

Buis also commented Thursday on the unanimous confirmation of Ernest Moniz as Secretary of Energy. Buis says Moniz is an excellent, well-qualified individual to lead the Department of Energy. He looks forward to working with Secretary Moniz to continue to advance the growth and development of sustainable biofuels.

Advanced Ethanol Council Executive Director Brooke Coleman says Moniz has the right combination of technical expertise and political experience to be very effective as the new Energy Secretary. Coleman says Moniz clearly understands what it takes to commercialize new energy technologies – and the AEC looks forward to work with him as the advanced ethanol industry deploys commercially in the U.S. and abroad.

According to President Obama – Moniz shares his conviction that the U.S. must lead the world in developing more sustainable sources of energy that create new jobs and new industries – and in responding to the threat of global climate change. He said he looks forward to the new Energy Secretary’s counsel on these issues as the administration continues to increase the nation’s energy security, develop the next-generation of clean energy technologies and more.
==================================================

“Grains Council Meeting Taking Place in Canada this July”

The U.S. Grains Council’s 53rd Annual Board of Delegates Meeting will take place July 29th through the 31st in Ottawa, Ontario. More than 200 U.S. corn, barley, sorghum farmers and agribusiness representatives will discuss trading insights and perspectives with their Canadian counterparts. The theme this year is ‘Smaller World, Bigger Markets’ – and Grains Council Chairman Don Fast says U.S. markets don’t come much bigger than Canada. According to the U.S. Embassy in Ottawa – bilateral trade between the U.S. and Canada is the equivalent of 1.6-billion dollars a day in goods. Canada is the second-largest export market for U.S. agricultural, fish and forestry products – reaching a record 23.8-billion in 2012 – 15-percent of total U.S. exports. Fast says the meeting in Ottawa will provide a great chance to get better acquainted with this great customer, partner and competitor.

During the meeting – Fast says they’ll take time to explore the dynamics of Canadian agriculture and U.S.-Canadian ag trade and review the latest developments on key issues like the Trans-Pacific Partnership and Transatlantic Trade and Investment Partnership and the international acceptance of biotechnology. Grains Council Advisory Teams will also meet to review the Council’s strategies and priorities for the year ahead.
==================================================

“House Ag Committee Completes Farm Bill”

The House Ag Committee wasn’t able to finish its farm bill markup quite as quickly as its Senate counterpart did on Tuesday. Still – Chairman Frank Lucas was pleased with the progress made when the committee had to break Wednesday afternoon for a Republican meeting and votes – and expressed confidence they would finish their work Wednesday night. He was right. The committee finished the credit, rural development, research, forestry, energy, horticulture, crop insurance and miscellaneous titles and finally approved the 2013 farm bill by a vote of 36 to 10.

Ahead of the break – the committee passed the en bloc amendment by unanimous voice vote and closed the commodity, conservation, trade and nutrition titles of the bill. The committee rejected a dairy amendment offered by Representatives Bob Goodlatte and David Scott as a substitute for the underlying dairy program proposed by Ranking Member Collin Peterson. Goodlatte and Scott argued that the underlying measure amounts to supply management. The amendment was rejected 20 to 26. Amendments to reduce reference prices in the Price Loss Coverage Program and to change the sugar program were withdrawn.

Jim McGovern of Massachusetts offered an amendment to strike the 20.5-billion dollars in cuts to the Supplemental Nutrition Assistance Program. It was defeated 17 to 27. The vote followed a lengthy and emotional debate – with some vowing they would continue the fight on the House floor if the cuts remained in the bill. Texas Representative Randy Neugebauer wanted to make even deeper cuts in food stamps – but that amendment was rejected on a voice vote. Other related amendments were also rejected – including one to lower the amount of low-income energy assistance states would have to provide to people in order for them to qualify for food stamps and one that said SNAP cuts wouldn’t take place until the rates of fraud, waste and abuse in the crop insurance program are equal to or less than those rates of fraud, waste and abuse in SNAP.

Once the Committee returned from the break – a measure to allow USDA to develop a process to establish an organic checkoff for promotion was approved. A similar measure is included in the Senate version of the farm bill. The vote was 29 to 17 – though Chairman Lucas opposed the measure because it would be on a process rather than a product. An amendment that repeals the section of the 2008 Farm Bill directing USDA’s Grain Inspection, Packers and Stockyards Administration to address practices by meatpackers and poultry companies that farmers and ranchers said were hurting them was also approved. Even though he put the provision in the 2008 measure – Ranking Member Peterson supported the repeal.

The committee passed an amendment that would make it illegal for a state to restrict sales of products based on production standards by voice vote. The amendment is aimed at standards on eggs sold in California following a state initiative that sets cage sizes for egg-laying chickens. California Representative Jeff Denham opposed the proposal – sponsored by Iowa’s Steve King – arguing it would affect more than 150 laws in other states. Vicki Hartzler won enough support to repeal the provision in the 2008 Farm Bill to move inspection of catfish from the Food and Drug Administration to USDA. Chairman Lucas opposed the amendment – but the vote was 31 to 15.
==================================================

“House Floor Action Expected on Farm Bill Next Month”

House Agriculture Committee Chairman Frank Lucas was proud of the Committee’s effort to advance a farm bill with significant savings and reforms. Ranking Member Collin Peterson was also pleased with the Committee’s ability to work together, find some common ground and advance a five-year farm bill. He says the process has gone on far too long and it’s past time to get the bill done. Lucas says he has been assured that House Republican leaders will bring the bill to the floor in June. Peterson is optimistic the farm bill will continue through regular order and be brought to the House floor in June. If things stay on track – he suggests the House should be able to conference with the Senate in July and have a new five-year farm bill in place before the August recess.

Lucas and Ranking Member Collin Peterson told reporters Wednesday night they believe the committee has written a balanced bill that can win passage on the House floor. While Peterson isn’t sure how many Democrats will vote for the bill – he’s confident he and Lucas can deliver the votes for passage. Lucas said the extreme members on both ends of the political spectrum won’t vote for the measure. The men agree the bill’s prospects could depend on the kind of rule it receives for debate. Due to the technical nature of the bill – Lucas said there needs to be a prefiling requirement for amendments. Peterson said there should be a modified closed rule as there was in 2008.

According to the news release from the Chairman’s office – highlights of the measure include:

FARRM saves nearly $40 billion in mandatory funds, including the immediate sequestration of $6 billion.
FARRM repeals or consolidates more than 100 programs.
FARRM eliminates direct payments, which farmers received regardless of market conditions.
FARRM streamlines and reforms commodity policy while also giving producers a choice in how best to manage risk.
FARRM includes the first reforms to the Supplemental Nutrition Assistance Program (SNAP) since the Welfare Reform Act of 1996, saving more than $20 billion.
FARRM consolidates 23 conservation programs into 13, improving program delivery to producers and saving more than $6 billion.
FARRM builds on previous investments to fruit and vegetable production, farmers markets, and local food systems.
FARRM includes several regulatory relief measures to help mitigate burdens farmers, ranchers, and rural communities face.
==================================================

“Senate Approves WRDA”

The Senate voted 83 to 14 Wednesday morning to pass the Water Resources Development Act. The American Soybean Association cheered the move. ASA President Danny Murphy says improving and investing in our waterways infrastructure is vital to the U.S. soybean industry. With more than half of the U.S. soybean crop exported – he says farmers depend on an efficient transportation system to remain competitive in global markets. Murphy says the ability to get U.S. products to market quickly and efficiently is one aspect that sets the industry apart from competitors. He says we can’t afford to ignore the needs of that infrastructure. ASA is calling on the House to pass the bill quickly.

WRDA – S. 601 – includes provisions to annually increase the amount of funding is provided from the Harbor Maintenance Trust Fund for port maintenance and dredging; to streamline the process for Corps of Engineers projects and reduce project completion times; and to free up money and increase the capacity of the Inland Waterways Trust Fund by taking the Olmsted Lock and Dam project out of the trust fund account.

ASA was also pleased to see the adoption of an amendment offered by Senators Mark Pryor of Arkansas and James Inhofe of Oklahoma to exempt certain farms that store oil in aboveground tanks from federal oil spill regulations. The amendment would set storage tank thresholds below which agricultural operations would be excluded from U.S. EPA’s Spill Prevention, Control and Countermeasure Rule.

The Senate did not include measures to increase revenue for the Inland Waterways Trust Fund and establish alternative financing mechanisms in order to provide more money to address inland waterways infrastructure projects.
==================================================

“Corn Growers Celebrate WRDA Passage”

The National Corn Growers Association says the Water Resources Development Act approved by the U.S. Senate Wednesday represents an important step forward in upgrading the inland waterways system. NCGA Chairman Garry Niemeyer notes our inland waterways are an important route for moving U.S. corn to markets around the world. Of specific interest to corn farmers – NCGA notes the bill contains provisions to remove the over-budget and long-delayed Olmsted lock and dam project from the Inland Waterways Trust Fund – the remainder of the cost to be paid 100-percent by general treasury revenue and not cost-shared 50-50 through the fund. NCGA says that will free up around 750-million dollars to complete critical priority navigation projects. The Senate also approved an increase in the threshold for major rehabilitation from to 20-million dollars.
==================================================

“Clean Water Act Amendment to WRDA Not Adopted by Senate”

The Senate did not adopt an amendment to the Water Resources Development Act to prevent the Environmental Protection Agency and the Army Corps of Engineers from finalizing the Clean Water Act jurisdictional guidance document. National Cattlemen’s Beef Association Deputy Environmental Counsel Ashley McDonald called it a tragedy that those who voted against the amendment refuse to recognize the devastating effect the guidance will have on farmers and ranchers across the country. If finalized – McDonald says it would be the biggest federal land-grab in history – requiring cattlemen to apply for permits to conduct everyday activity such as cleaning out a ditch.

Despite multiple calls by the Supreme Court to clarify what constitutes a water of the United States – McDonald says Congress has refused to do so. Without that clarification – McDonald says the Obama Administration has taken great liberty in crafting guidance that allows EPA to claim that any water body is a water of the U.S. According to McDonald – the administration’s current interpretation of what constitutes a water of the U.S. is incorrect based on Supreme Court precedent and flies in the face of the Clean Water Act’s plain language. Despite the failure of the Senate to address this issue – NCBA is hopeful Congress will start to do its job at some point and clarify the jurisdictional limits to the CWA.
==================================================

“Farm Bureau Urges Congress to Keep Current Tax Tools”

In a statement filed with the House Ways and Means Committee for a hearing on small business taxation – the American Farm Bureau Federation urged congressional members to maintain cash accounting tools and higher small business expensing limits in any tax code rewrite. Farm Bureau says cash accounting tools – like the deferral of commodity and product receipts and prepaying the cost of livestock feed, fertilizer and other farm supplies – are important to farmers. The group says proposed changes to cash accounting rules – which would require some farmers to change to accrual accounting – would be time-consuming and costly to farmers and ranchers. According to Farm Bureau President Bob Stallman – farmers and ranchers would either have to take time away from running their businesses or pay for help to comply. He says both are harmful in an industry with tight profit margins, unpredictable income streams and an inability to pass on added expenses to customers.

Farm Bureau supports the continuation of unrestricted cash accounting and cautions against reducing the number of partnership types eligible to use the tool. Farm Bureau also supports maintaining the 500-thousand Section 179 small business expensing limitation and not reducing the two-million dollar acquisition limit. If the Section 179 small business exemption and threshold are allowed to drop next year to a 25-thousand dollar limitation with a 200-thousand dollar threshold – Farm Bureau says farmers and ranchers will lose some of the accounting flexibility they need to manage their business.
==================================================

“Corn Ethanol Getting Even Better at Reducing GHG Emissions”

A report released by Dr. Steffen Mueller of the University of Illinois at Chicago’s Energy Resources Center shows that ethanol not only reduces greenhouse gas emissions compared to petroleum – but is continuing to steadily improve upon the levels at which it does so. In his study findings – Mueller outlines how ethanol has helped the Renewable Fuel Standard meet the goal of reducing greenhouse gas emissions and – due to a uniquely high rate of innovation and technology adoption in the ethanol industry – continues to improve the level of greenhouse gas emission reductions offered by the fuel. This report comes from a study funded by the National Corn Growers Association’s Ethanol Committee, the Illinois Corn Growers Association and Monsanto with research assistance provided by the Renewable Fuels Association. NCGA is going to utilize the data outlined in the report to submit comments on the impact of the RFS in response to the House Energy Committee’s third white paper – Greenhouse Gas Emissions and Other Environmental Impacts.

According to NCGA – the report answers specific questions about the environmental impacts of ethanol use under the RFS and shows that even when potential indirect land use change emissions are considered for ethanol – today’s average corn-based ethanol does reduce GHG emissions compared to petroleum. The researchers found that ethanol reduces GHG emissions by 19 to 48-percent compared to gasoline. Furthermore – when indirect land use change emissions are excluded – average corn ethanol reduces GHG emissions by 29 to 57-percent relative to gasoline.

NCGA Ethanol Committee Chair Chad Willis says the findings of the study are exciting – but don’t come as a surprise to those who have been involved with the ethanol industry and have seen concrete improvements to the technology and practices used to make ethanol.
==================================================

“Coalition Responds to NBC Stories on Wild Horses and Burros”

NBC News released two stories on wild horses Wednesday. According to the National Horse and Burro Rangeland Management Coalition – these stories portray only select facts and a narrow part of the reality surrounding wild horses and burros on the western range. While regarded by many as icons of the American West – the Coalition states free-roaming horses and burros are in fact non-native species that threaten rangelands and native plant and animal species. In response to one story posing the question if wild horses are endangered or a menace – the Coalition says wild horses and burros are not a menace when managed at appropriate population levels and are not endangered. In fact – the Coalition says the problem is overpopulation of horses and burros in and beyond many herd management areas. According to the Coalition – this overpopulation results in great suffering for the animals – many of which are dying of thirst or starvation.

The National Horse and Burro Rangeland Management Coalition says other uses that depend on healthy rangelands are suffering as well. Despite protection under the law – for example – the Bureau of Land Management reports that since horses and burros became protected in 1971 – ranching families have seen livestock grazing decline by 30-percent on BLM lands. Meanwhile – the horse population is 42-percent above the scientifically-determined Appropriate Management Level – which is the population size that BLM can graze without causing ecological damage to rangeland resources. More than 37-thousand wild horses currently reside on the range – over 11-thousand more than the west-wide AML of 26,500 individuals.

The Coalition says appropriate, scientifically sound management of wild horses and burros on the range is in the interests of all those who care about the health of the animals, the sustainability of the range and the well-being of the rural communities in the west. They say the NBC stories neglect to address these legitimate issues and provide an incomplete picture of the challenges facing policymakers, ranchers and the conservation community.
==================================================

“FFA and MLB Team Up for Summer Events”

Four Major League Baseball teams are partnering with the National FFA Organization for FFA Day at the Ballpark events this summer. The Kansas City Royals, Pittsburgh Pirates, St. Louis Cardinals and Cincinnati Reds are offering FFA members, their families and friends, teachers, FFA alumni and FFA supporters specially discounted tickets to attend a game. The National FFA Organization hopes to raise awareness about FFA to large and diverse audiences through attendance, participation of local FFA members in stadium activities, special messaging at each game and appearances by Flyte the Owl. National FFA Organization Public Relations Manager Duane Brodt says combined – the organization has the opportunity to put FFA in front of more than 150-thousand Major League Baseball fans this summer.
==================================================

“Farm Bill Makes it Through Senate Ag Committee”

The Senate Agriculture Committee voted to approve the Agriculture Reform, Food and Jobs Act of 2013 on a 15 to 5 vote Tuesday. The bill ends direct payments and transitions to risk management tools that support farmers when they have been impacted by disaster. Overall – the legislation will yield a total of over 23-billion dollars in spending cuts through the elimination of subsidies, consolidation of programs to end duplication and addressing misuse and fraud in food assistance programs. The measure was introduced on the Senate floor Tuesday evening. According to the office of Senate Ag Chair Debbie Stabenow – votes could come as early as next week.

In her opening remarks Tuesday morning – Stabenow noted that the Senate Agriculture Committee was in this same position before one year ago and worked together in a bipartisan way to craft a farm bill with major reforms, deficit reduction and a commitment to the diversity of American agriculture. She said last year provided undeniable proof that farming is the riskiest business in the country – which is why the farm bill is so important. At the beginning of the year – Stabenow told Ranking Member Thad Cochran that she wanted to build on last year’s success. She said they worked together to craft a strong farm bill that gives farmers the ability to manage their risk, streamlines programs and cuts red tape for farmers, recognizes the diversity of agriculture and continues a commitment to deficit reduction.

Following the vote – Stabenow said reforming agriculture programs will save taxpayers billions of dollars while helping farmers, ranchers and small businesses create American jobs. Because the Agriculture Committee worked across party lines to streamline programs – she said they were able to save tax dollars while investing in initiatives that help boost exports, help family farmers sell locally and spur innovations in new bio-manufacturing and bio-energy industries.
==================================================

“Only Five Committee Members Reject Farm Bill”

The five Senators voting against the Senate Ag Committee’s farm bill were Mike Johanns of Nebraska, Pat Roberts of Kansas, John Thune of South Dakota, Kirsten Gillibrand of New York and Minority Leader Mitch McConnell of Kentucky. Johanns, Roberts and Thune offered amendments and supported each other in amendments to change the target price-based program and to make changes to the food stamp program that would have cut the number of beneficiaries and costs. Gillibrand – on the other hand – voted against the bill because of the cut to food stamps.

Despite the rejection of his amendments to eliminate conservation compliance – North Dakota’s John Hoeven voted in favor of the committee’s farm bill. Stabenow did tell Hoeven she would work with him on his concerns.
==================================================

“Johanns Explains ‘No’ Vote”

According to Nebraska Senator Mike Johanns – the farm bill approved by the Senate Agriculture Committee relied on budget gimmicks and outdated policy. He says ag producers and taxpayers deserve an updated, reform-minded bill that promotes free market principles and saves taxpayer dollars. He says the bill considered by the Ag Committee didn’t do enough to save money and took us a step back towards 1980s farm policy. Johanns says the bill reported out of the committee counts 6.4-billion dollars in savings from spending cuts that were already signed into law in 2011. He says it also includes a budget gimmick that hides 3.1-billion dollars in payments just outside the ten-year budget window to make the bill appear less-costly. All told – Johanns says the bill actually saves just 15-billion over ten years instead of the 24-billion its supporters are claiming.

Although last year’s bill would have eliminated target prices – Johanns says this year’s bill more than doubles target price payments from 1.5-billion to 3.5-billion. He says target prices were also increased. Johanns says the legislation also failed to achieve available savings by modernizing farm payments or focusing nutrition programs – which can be done without affecting the benefits going to current eligible recipients. Johanns plans to offer fixes during the amendment process.
==================================================

“Grassley Votes ‘Yes’ But Hopes for Further Reforms”

According to Iowa Senator Chuck Grassley – the bill that passed the Senate Agriculture Committee was a step in the right direction. He’d like to see further reforms included when the bill is debated on the Senate floor. Still – Grassley says the bill does provide some needed reforms – including some that make the farm program more defensible and effective. By including his payment limits reform – Grassley says Chairwoman Stabenow and Ranking Member Cochran showed a real effort to put together responsible programs that ensure a safe and stable food supply for the American people while giving certainty to farmers and rural communities. Now he says we can look at additional reforms and continue to improve the bill.

The payment limit provisions included in the bill are nearly identical to legislation introduced by Grassley earlier this year – placing a hard cap on the farm payments an individual farmer can receive in a year and closing long-abused and well-documented loopholes in the farm payment program.

The committee also adopted an amendment Grassley sponsored with Mike Johanns, John Thune and Pat Roberts intended to make the farm bill more market-oriented in the way target prices are set. Grassley would prefer that the bill not include a target price program – but since it was – he pushed for ways to make it more market-oriented. For commodities except rice and peanuts – the measure set the target price by averaging the prices from the five previous years, while dropping the low and high price for that average and multiplying it by a factor of 55-percent. That way – Grassley says – if peanut and rice farmers want to protect a high price set by Congress – they can fight that battle, but other farmers won’t have to defend high target prices.

Grassley didn’t have the opportunity to offer his amendment that would restrict the Environmental Protection Agency’s ability to release personal information to environmental activists. He is preparing that amendment for floor consideration.
==================================================

“Groups React to Senate Ag Committee’s Approval of Farm Bill”

American Farm Bureau Federation President Bob Stallman says the Senate Agriculture Committee put the farm bill on a solid road toward success Tuesday. He says the committee followed a bipartisan path to move a farm bill forward with provisions that work well for America’s farm and ranch families. Stallman says Farm Bureau is especially pleased that the bill places a high priority on crop insurance as a risk management tool and also offers a measure of flexibility through safety net options beyond crop insurance. The group is also pleased that the Senate held firm to its intention of limiting cuts to 23-billion dollars. Stallman says that will help maintain workable and viable commodity and conservation titles by limiting program cuts to levels that are fair for farmers and ranchers. Overall – Stallman says the bill meets Farm Bureau’s firm position that the farm bill be bipartisan in nature, reform-minded in structure and crafted around a broad, flexible, crop insurance-based program that provides farmers certainty and extends much-needed risk management tools across more acres and more crops.

National Farmers Union President Roger Johnson called the Senate Ag Committee’s action a step in the right direction to provide farmers and ranchers the long-term certainty they deserve. Johnson was glad to see the inclusion of reference prices that will provide family farmers protection when disasters strike and in times of long-term price collapse. But Johnson says changing the Adverse Market Payment program’s commodity reference prices from a fixed level to 55-percent of a rolling average weakens the program’s protections against long-term price collapse. Johnson was encouraged to see the inclusion of 800-million dollars in mandatory energy title funding and that the bill reattaches conservation compliance requirements to crop insurance – which he says strengthens this essential farm safety net program. Finally – Johnson was glad an amendment that would eliminate Country-of-Origin Labeling for livestock and poultry was withdrawn.

The National Corn Growers Association greatly appreciates the work of Senate Ag Committee Chair Debbie Stabenow and the committee to put forth a well-crafted farm bill. NCGA President Pam Johnson says the committee listened to the concerns of the nation’s corn farmers and did a great job keeping their priorities – especially the importance of crop insurance and risk management – under consideration while drafting the legislation. Johnson says the group recognizes this is just the first step in a very long process – but is encouraged that the House Ag Committee will swiftly follow suit.

Along with expressing the American Soybean Association’s appreciation for the cooperative and bipartisan effort displayed by the Senate Ag Committee in crafting a bill that provides farmers with the certainty they need to continue producing enough food, feed, fiber and biofuels to meet growing domestic and global demand – ASA President Danny Murphy called on the full Senate to pass the Agricultural Reform, Food and Jobs Act of 2013. Murphy says the legislation approved by the members of the committee provides continued planting flexibility, reinforces crop insurance, protects our natural resources, authorizes and funds vital trade, research and education programs and feeds the nation’s hungry while addressing the nation’s budget needs. According to Murphy – the measure is responsible and should be approved by the Senate without delay.

Among the key provisions in the bill for ASA is the structure of the bill’s commodity programs in Title I. In addition to the Agricultural Risk Coverage program to protect against revenue losses – the Committee approved a price-based Adverse Market Program which sets reference prices at a percentage of recent average prices and provides that support levels be updated annually. By agreeing to support a decoupled, market-oriented approach to price protection – Murphy says the Committee has resolved a philosophical difference between farm groups on how to keep government farm programs from distorting planting decisions – and has united all major production regions behind one approach. The Senate bill reauthorizes and funds numerous ASA priorities – including the Biodiesel Education Program, the Biobased Market Program, agricultural research initiatives and the Foreign Market Development and Market Access Programs. It also includes provisions that strengthen the crop insurance program – a top priority for ASA.

The National Cotton Council says the Senate Agriculture Committee’s version of the farm bill includes provisions their industry supports. NCC believes cotton provisions included in the measure should resolve the long-standing Brazil World Trade Organization case. NCC Chairman Jimmy Dodson says the group is especially pleased the Committee didn’t have to consider several amendments that would have seriously damaged the cotton program. Instead – he says they chose to include provisions to provide cotton farmers long term certainty and vital economic assistance to the U.S. textile industry. Dodson says NCC now urges prompt consideration by the full Senate.

Wyoming beef and dairy producer Scott George – National Cattlemen’s Beef Association President – says his organization is pleased with the outcome of the Senate Agriculture Committee’s farm bill markup. He says the inclusion of top farm bill priorities for cattle producers is paramount to ensuring the viability and sustainability of the beef industry. George says the committee’s version of the farm bill incorporates the priorities that NCBA and its membership fought hard for last year. He notes there is not a livestock title, the conservation programs are maintained and the research title is sustained. According to George – these priorities address the needs of cattle producers while limiting invasive federal oversight and ensure farmers and ranchers can continue to produce a wholesome, safe and affordable food supply. Also missing from the bill is the Humane Society of the United States/United Egg Producers language. George says including that legislation in the farm bill would have created a potential slippery slope to allow the federal government to mandate on-farm production practices for all sectors of agriculture. He says NCBA is pleased the Senate used commonsense judgment and decided not to include the proposal in this bill.

National Association of Conservation Districts President Earl Garber applauded Senate Ag Chair Debbie Stabenow and Ranking Member Thad Cochran for their leadership on a strong farm bill that includes provisions relating to a historic conservation compliance agreement and Technical Assistance reforms. Garber says the bipartisan conservation compliance agreement supported by NACD and other ag, environment and crop insurance groups – strengthens our ability to conserve natural resources for the future by tying conservation compliance to crop insurance for highly erodible land and wetlands while opposing means testing, payment limits or premium subsidy reductions for the crop insurance program. According to Garber – the Improve USDA-NRCS Conservation Technical Assistance amendment increases efficiency within the delivery of TA funds – putting TA decision-making authority in the hands of those who are the most familiar with resource needs on the ground.

American Farmland Trust was particularly pleased with the language re-linking conservation compliance to crop insurance premium assistance. AFT helped lead the coalition of groups that proposed the plan to do just that – while opposing any further limits on crop insurance as it becomes the primary risk management tool for America’s farmers. The consensus agreement was offered as part of the Chairman’s package of amendments and passed by voice vote in today’s Committee session. AFT President Jon Scholl says it is a common sense, balanced approach that shows a mutual commitment to both conservation stewardship and to maintaining the long-term economic viability of America’s farmers and ranchers.

Tom Buis – Growth Energy CEO – says the farm bill legislation approved by the Senate Ag Committee contains a number of important provisions to continue incentivizing the production of renewable fuels to decrease our dependence on foreign oil and help create American jobs. He says the energy title will establish the certainty necessary for investors and businesses to operate with confidence. By including programs such as the Rural Energy for America Program, the Biomass Crop Assistance Program, the Biorefinery Assistance Program and the Biomass Research and Development Initiative – Buis says the Senate Ag Committee has shown the importance of the development of renewable fuels and the critical role they play in maintaining a robust farm economy. In addition – he says the inclusion of an amendment to provide federal crop insurance for biomass and dedicated energy crops will improve risk management – establishing the safety net necessary for farmers to further invest in a diversified mix of energy crops.

Novozymes was pleased that the Senate Ag Committee passed a strong energy title as part of its version of the farm bill. From farmers to biorefinery plant operators – Novozymes Americas President Adam Monroe says the entire biomass value chain will benefit from long-term stable policy like the one passed Tuesday. Monroe says biotechnology companies like Novozymes understand the importance of this policy to the broader economy. He says we need a strong rural economy to put more Americans back to work – and this bill is a chance to keep doing that. Novozymes points out that the Farm bill’s energy title funds USDA programs that help jumpstart additional biorefinery construction for advanced biofuels and renewable chemicals, dedicated energy crop feedstock development and consumer demand of biobased products – all encouraging further commercialization of the renewable industry.

The Coalition for Sugar Reform was not happy that the Senate Ag Committee is sending a farm bill to the Senate floor without provisions to reform the U.S. sugar program. Coalition Chairman Larry Graham called it perplexing and outrageous – especially given the cuts to other commodity programs – that the farm bill is headed to the floor with zero reforms to one of the oldest and most wasteful federal farm subsidy programs. According to the Coalition for Sugar Reform – nearly 127-thousand jobs were lost in U.S. sugar-using industries between 1997 and 2011. In addition – they cite Iowa State University research that estimates the U.S. sugar program costs American consumers and businesses up to 3.5-billion dollars a year. Graham says reform-minded Members of Congress on both sides of the aisle have introduced a bill to make modest reforms to the sugar program. The Coalition anticipates that legislation will be introduced during floor debate as an amendment to the farm bill.
==================================================

“Groups Form International Maize Alliance”

An international alliance has been formed by maize growers from North and South America. The U.S. Grains Council, National Corn Growers Association, MAIZAR and ABRAMILHO signed a memorandum of understanding Tuesday to collaborate on a global basis to address key issues concerning food security, biotechnology, stewardship, trade and producer image. These organizations – representing the U.S., Argentina and Brazil – will function under the name MAIZALL – The International Maize Alliance. The primary focus of the new alliance is to emphasize the need for better consumer understanding of production agriculture – including the benefits of biotechnology and advancing the global acceptance on the capacity to produce maize for feed, food and fuel. MAIZALL will also conduct outreach to governments and stakeholders on the need for trade-enabling biotechnology policies and regulatory procedures.

As populations and economies continue to grow – Grains Council Chairman Don Fast says the global middle class is expanding rapidly. He says the increase in population and buying power has led to an ever-growing demand for maize and other food and feed ingredients as diets are improving globally. NCGA President Pam Johnson notes food security is a priority for every country. She says countries can be food secure without being self-sufficient by establishing relationships and building trust with exporting countries to be long-term, reliable suppliers of quality feed and food supplies.

MAIZAR Chairman Alberto Morelli points out that farmers in exporting countries today are challenged to grow more with less while improving stewardship and sustainability. Morelli says biotechnology – in the three countries where it is embraced – has boosted yields and grain quality, reduced the intensity of chemical and fertilizer application, conserved soil, organic content and moisture and enhanced returns to producers. Sergio Luiz Bortollozo – ABRAMILHO 2nd Vice President – says the lack of predictable, functional, practical and science-based regulatory and trade policies in reviewing and approving new crop technologies by governments worldwide are imposing a crippling burden on innovation. For growers – he says the delays in introducing new technologies mean lost opportunities for higher yields and lower input costs. For consumers facing ever-rising food prices – he says the consequences are more acute.
==================================================

“Ag Research Benefits Everyone”

Today (Wednesday) marks 151 years since the U.S. Department of Agriculture was created. Since then – agriculture has evolved in every aspect – yet fewer people have firsthand knowledge of agriculture. USDA Chief Scientist Catherine Woteki says agricultural research is extremely important as it provides multiple benefits for ag producers and consumers – especially when it comes to the U.S. economy. For every one-dollar invested in ag research – Woteki says 20-dollars is returned to the economy. USDA Acting Deputy Secretary Michael Scuse says people shouldn’t think about the time it takes to get research results – but rather the years to come and how research today will have an impact for this country’s future.

To produce enough for a growing population – expected to reach nine-billion by 2050 – Scuse says ag production will have to increase 70-percent – and he says technology is a major part of that. In the past 30-years – Scuse says 40-million acres have been lost from agricultural production – yet production has increased because farmers are embracing technology. However – he says challenges arise because agriculture’s greatest success – through the use of technology – has led to the greatest criticism by those not living in Rural America. Woteki says people just need to look at the good track record of agriculture’s technology usage – as farmers and ranchers are producing safe food, fiber and fuel for the U.S. and the world. She says producers need to use all the tools in the toolbox to meet the growing demand of those products for the growing population.
==================================================

“Sign-Up Early for Conservation Reserve Program”

USDA is urging producers to maximize their environmental benefits and make cost-effective offers when enrolling in a four-week Conservation Reserve Program starting May 20th. Secretary Vilsack says this program is important to protect environmentally sensitive lands and ensure sustainability of natural waters. He encourages producers to look into CRP’s other enrollment opportunities offered on a continuous, non-competitive, sign-up basis. Sign-up will end on June 14th for this four-week session. The restart for sign-up for continuous CRP will end on September 30th.
==================================================

“USDA Offers Grants to Help Grow Rural Businesses”

The U.S. Department of Agriculture is now seeking applications from qualified organizations – such as public bodies, non-profit corporations, higher education institutions, Indian tribes and rural cooperatives – to provide rural businesses with technical assistance to expand and create jobs. Secretary Vilsack says these grants will help businesses get access to planning, mentoring and other services that can help ensure their success. Up to 2.6-million dollars is available through USDA’s Rural Development Rural Business Opportunity Grant. The maximum grant amount is 100-thousand dollars. The deadline to apply is June 28th for general requests and June 30th for partnership funds.
==================================================

“USDA Continues Efforts with Organic Agriculture”

Ag Secretary Tom Vilsack spoke with the Organic Trade Association yesterday (Tuesday) about his vision for U.S. organic agriculture and USDA’s efforts to ensure it continues to be successful. One example is USDA’s Risk management Agency will increase organic producers’ coverage options for federal crop insurance this year and provide more options next year while removing the current five-percent organic rate surcharge on all future crop insurance policies beginning next year. Vilsack also says USDA will provide new guidance and direction on organic production to all USDA agencies supporting organic ag and markets. Organic agriculture is one of the fastest growing segments of American agriculture – according to Vilsack – and helps farmers receive a higher price for their product as they strive to meet growing consumer demand. He says these new options will extend the safety net provided by crop insurance and provide fair and flexible solutions to organic producers (www.ams.usda.gov/NOP).
==================================================

“Biodiesel Enters Tractor Pulling Competition”

U.S. soybean farmers have partnered with the National Tractor Pullers Association for a seventh season to promote the use of biodiesel to pulling fans – including farmers, truck drivers and others who use diesel. Through this partnership – NTPA will allow the use of 100-percent biodiesel in all diesel pulling classes for this season on Friday. The Minnesota Soy Checkoff funded a study with the Untied Pullers of Minnesota and found biodiesel use in pulling competitions can provide a four-percent increase in torque and horsepower. Soy Checkoff Farmer-Leader Larry Marek says if NTPA pullers can get these kinds of results on the track – farmers certainly can get great results using B100.

NTPA Office General Manager Gregg Randall says B100 performs well and is dependable – even in the most excruciating tests – so pullers will definitely want to take advantage of the fuel this pulling season. View the 2013 NTPA competition schedule and find tractor pullers near you who will be using B100 (www.ntpapull.com/).
==================================================

“Some Farmers Begin Planting with Monsanto’s FieldScripts”

More than 150 farmers in Illinois, Indiana, Iowa and Minnesota are trialing Monsanto’s FieldScripts – which integrates Monsanto’s understanding of hybrid performance with data from farmers’ individual fields to identify the best hybrids and provide a variable rate planting prescription for each field. Illinois farmers planted FieldScripts on more than 83-hundred acres in a Ground Breakers trial. FieldScripts allows farmers to accurately plant a lower seeding rate in lower-yielding areas of the field and a higher seeding rate at higher yielding areas of the field. Research has shown FieldScripts delivers a five to 10-bushel-per-acre yield advantage across the entire field compared to fields not planted with FieldScripts.

Ground Breakers Farmer and Dealer Dustin Spears says FieldScripts is extremely simple for farmers to use – much simpler than alternative technology. Ground Breakers Farmer Mark Sturtevant is excited to bring this new technology together with the latest planter technologies. By harnessing this technology – Sturtevant says farmers will be able to increase yields and their profit potential. He says FieldScripts is a step in the right direction for the industry. Next year – Monsanto plans to launch FieldScripts that will be delivered to farmers through FieldScripts Certified DEKALB seed dealers.
==================================================

“CBO Estimates Cost of Both Farm Bill Versions”

The Congressional Budget Office is estimating that the draft legislation of the Senate farm bill – scheduled for markup today – would cost 955-billion dollars over 10 years. The House draft – scheduled for markup Wednesday – is estimated to cost 940-billion over the same period.
==================================================

“House Ag Chair Optimistic About Farm Bill”

House Ag Chair Frank Lucas told farmers in his home state of Oklahoma last week about his the expectations for his committee’s farm bill mark-up tomorrow (Wednesday). The Senate Ag Committee begins its mark-up of the 2013 Farm Bill today (Tuesday). Chairwoman Debbie Stabenow released her draft of the mark-up last week – which includes the Agricultural Risk Coverage – or ARC – proposal along with a target price provision. Lucas says the inclusion of those provisions is opening a door for House members – particularly those with interests in peanuts and rice – and he says this represents a great step forward. Lucas says it lays the groundwork for compromise – but ultimately – both Ag Committees have to address all commodity groups during a farm bill mark-up. All commodity groups need to be able to participate – Lucas says – when it comes to options along with ARC.

In addition to being the House Ag Chair – Lucas also is chairs the conference committee that will work on any differences in the House and Senate versions of the farm bill. Even though there is a wide gap between both versions – Lucas is confident they will be able to come to a consensus. He says producers have many reasons to be optimistic in this farm bill process – and he is optimistic a new five-year farm bill will be completed this year.
==================================================

“NFU Sends Priority Letter to Ag Leaders”

National Farmers Union President Roger Johnson sent letters Monday to the Senate Ag Committee and House Ag Chair Frank Lucas and Ranking Member Collin Peterson. He outlined key priorities and highlighted NFU’s official stance on amendments to the 2013 Farm Bill. The Senate letter applauded the commodity title – stating it was structured in a way that provides family farmers protection when disaster strikes and in times of long-term price collapse. According to Johnson – reference prices are currently far too low to provide farmers meaningful protection against price collapse. He says NFU opposes all amendments designed to undermine the Adverse Market Payments program – the program that would provide that protection. NFU does support an amendment from Kansas Senator Pat Roberts to eliminate duplicative Clean Water Act permitting requirements for farmers using pesticides already registered under the Federal Insecticide, Fungicide and Rodenticide Act; Vermont Senator Patrick Leahy’s amendment ensuring producers participating in the Organic Initiative of the Environmental Quality Incentives Program are subject to the same payment limit as all other EQIP participants; and Iowa Senator Tom Harkin’s amendment to reduce the statutory minimum interest rate for Farm Service Agency direct farm ownership loans in joint financing arrangements. National Farmers Union is opposed to the amendment from Nebraska Senator Mike Johanns to eliminate Country-of-Origin Labeling requirements for livestock and poultry.

In his letter to the House Ag leaders – Johnson praises the draft language for Title 1. He also notes that modifications to better balance the protections offered by the Price Loss Coverage program shouldn’t undermine the integrity of the program. Johnson says one problem is language requiring a study on COOL labeling implementation. He says consumers want to know more about where their food comes from and producers want to provide that information – and USDA has proposed a rule that will fully comply with recent rulings by the WTO – which has said the law is fully compliant with U.S. trade obligations. That’s why Johnson says the language is an unnecessary attempt to delay the process and seriously damage COOL.
==================================================

“Supreme Court Rules to Protect Intellectual Property”

In a unanimous ruling – the Supreme Court supported the protection of intellectual property in the Bowman versus Monsanto case yesterday (Monday) by saying the principle of patent exhaustion doesn’t permit a farmer to reproduce patented seeds through planting and harvesting without the patent holder’s permission. Monsanto Executive Vice President, Secretary and General Counsel David Snively says the ruling ensures longstanding principles of patent law apply to breakthrough 21st Century technologies that are central to meeting growing demands of this planet and its people. American Soybean Association President Danny Murphy says this ruling has ensured America’s soybean farmers can continue to rely on the technological innovation that has pushed American agriculture to the forefront of the effort to feed a global population projected to pass 9-billion by 2050.

Murphy says revolutions in seed science have enabled soybean farmers to produce more food, feed, fiber and fuel with significantly reduced strain on resources. Without intellectual property protection – he says the companies on whom soybean farmers rely would have no real incentive to make the investments necessary to develop new soybean varieties that yield more, resist disease, weeds and pests, are drought tolerant or have improved nutritional profiles. Murphy says the Supreme Court’s decision in this case recognizes if you take away incentives for those entities to strive for a better seed – they won’t make those investments – and farmers eventually won’t have the benefits of improved seeds.
==================================================

“Corn Farmers Made Planting Progress in Last Week”

The latest report from USDA shows 28-percent of projected corn acres were planted as of May 12th. While that’s more than double the 12-percent planted by May 5th – progress is still behind the five-year average by 37-points. National Corn Growers Association Chairman Garry Niemeyer says farmers are heading into their fields and taking advantage of every possible window to get the corn crop planted. By taking advantage of every warm day dry enough to get into the fields and using significantly more efficient technology – Niemeyer says growers can make progress not even possible just a few decades ago. For most farmers – he says one week of warm, drier weather will make the crucial difference.

While it is important to get the corn crop planted in a timely manner – NCGA notes the planting date alone isn’t a good indicator of overall corn production. As the rate of progress begins to increase – NCGA remains hopeful that U.S. corn farmers will have a good year. It’s noted that the 2009 crop set an all-time yield record despite the fact it was one of the latest planted crops in the last 15 years. In 2012 – when U.S. farmers had one of the all-time earliest planting completions – the drought produced a crop that was significantly below trend-line yields and four-billion bushels off USDA’s original crop estimate.
==================================================

“Ag, Interior Secretaries Discuss Wildfire Prevention, Protection Collaboration”

Ag Secretary Tom Vilsack and Interior Secretary Sally Jewell outlined the federal government’s efforts to ensure collaboration to protect Americans from wildfire during a visit to the National Interagency Fire Center yesterday (Monday). Vilsack says the U.S. Forest Service, federal fire managers and crews will continue to work closely with states and communities to protect residents, property and the country’s natural resources during what is expected to be a challenging, severe wildfire season across much of the Western United States. Fire potential is predicted to be above normal in almost all of Arizona, New Mexico, California, Oregon and Idaho this year as well as parts of Montana, Colorado, Utah and Washington. Last year – 19.3-million acres of private, state and federal land burned in wildfires – along with more than 44-hundred structures – the third largest number of acres burned since 1960. Vilsack and Jewell urge the public to do their part to prevent wildfires by taking proactive steps and improving safety in their communities.
==================================================

“Baked, Farm-Raised Salmon Helps Reduce Heart Disease Risk”

U.S. Department of Agriculture Agricultural Research Service Nutritionist Susan Raatz and Physiologist Matthew Picklo – along with other cooperators – have discovered farm-raised Atlantic salmon maintains healthy levels of omega-3 fatty acids when baked. Research shows baking salmon to the proper temperature – 145-degrees – decreases the presence of fatty acid oxidation byproducts. Data shows consuming 250-milligrams per day of omega-3 fatty acids – the amount found in three-ounces of salmon – can help reduce the risk of heart disease.
==================================================

“House Follows Senate Closely with Farm Bill Discussion Draft”

House Ag Committee Chair Frank Lucas and Ranking Member Collin Peterson have released a discussion draft of the Federal Agriculture Reform and Risk Management Act of 2013. The bipartisan bill cuts spending, reduces the size of government and makes common-sense reforms. According to Lucas – the bill is responsible and balanced. He says it addresses American’s concerns about federal spending and reforms farm and nutrition policy to improve efficiency and accountability. The Committee is scheduled to markup the farm bill on Wednesday. Lucas suggests full House consideration will happen this summer. Peterson says the draft closely resembles the bipartisan bill the House Agriculture Committee passed last summer. He says it includes a common-sense commodity title that will work for all producers, much-needed reforms to dairy programs and continued support for the sugar program. Peterson says the bill also builds on the investments the 2008 Farm Bill made to fruits and vegetables, farmers markets and local food systems. As for nutrition program reforms – Peterson says he believes there are more responsible ways of doing it. But he says the bottom line is that this is the first step in the process and it’s past time to pass a five-year farm bill.

According to a release from the House Agriculture Committee – highlights of the measure include:

Savings of nearly 40-billion dollars in mandatory funds, including the immediate sequestration of six-billion
Repeal or consolidation of more than 100 programs
Elimination of direct payments, which farmers received regardless of market conditions
Streamlining and reforming commodity policy, saving nearly 14-billion dollars while also giving producers a choice in how best to manage risk
Inclusion of the first reforms to the Supplemental Nutrition Assistance Program (SNAP) since the Welfare Reform Act of 1996, saving more than 20-billion dollars
Consolidation of 23 conservation programs into 13, improving program delivery to producers and saving more than six-billion dollars
Building on previous investments to fruit and vegetable production, farmers markets and local food systems.
Inclusion of several regulatory relief measures to help mitigate burdens farmers, ranchers and rural communities face
==================================================

“Other Highlights of House Ag’s Farm Bill Draft”

The House Agriculture Committee release on the Federal Agriculture Reform and Risk Management Act of 2013 notes reforms to the Supplemental Nutrition Assistance Program will save more than 20-billion dollars. That cut – which comes from changes to categorical eligibility and a requirement that states make at least 20-dollars in payments for energy assistance for people to be eligible for food assistance – is a cut of just 2.5-percent. The cut made to commodity programs is 34-percent. The bill doesn’t include conservation compliance for crop insurance or any income eligibility limitations for crop insurance – nor does it shift international food assistance programs to cash assistance as proposed by the Obama Administration. The FARRM Act creates a Revenue Loss Coverage program – the equivalent of the Senate Agricultural Risk Coverage program – and a Price Loss Coverage program with payments based on reference or target prices. Both of these programs would make payments on current planted acreage up to a level of the farm’s overall base acreage. The new cotton program known as STAX is included in the measure – but it does not include a target price. The program would be based on revenue – with payments made on loss of revenue in a county. The hope is that this can resolve the WTO cotton case the U.S. lost to Brazil. Because the Risk Management Agency has said it can’t implement STAX for the 2014 crop year – and can’t guarantee it’s availability in all counties for 2015 – cotton growers would receive transition payments for 2014 and 2015.
==================================================

“NFU Has Mixed Feelings About Farm Bill Draft”

In response to the initial draft of the 2013 Farm Bill released by the House Ag Committee Friday – National Farmers Union President Roger Johnson was happy to see target price protection included – especially target prices that are balanced and set at a meaningful level. He said the inclusion of stronger protection against long-term price collapse for all commodities in all regions is also a step in the right direction. He called strong support for crop insurance a positive element for U.S. family farmers and ranchers for when natural disasters strike. But Johnson said NFU was deeply disappointed with the lack of mandatory funding for programs that are critical to the nation’s energy independence. He also encouraged the House to strongly consider a more moderate approach when reducing funding for programs that help the food insecure in the country. He said just as farm safety net programs are important for farmers facing hardship – nutrition programs provide critical assistance to consumers in difficult times. Johnson was also concerned with language to study Country-of-Origin Labeling – calling it disheartening and unnecessary. He said the unwarranted attempt to strip consumers of their right to know where their meat comes from is alarming.
==================================================

“NFU President Weighs in on TTIP and TPP”

National Farmers Union President Roger Johnson has submitted comments on a possible Transatlantic Trade and Investment Partnership with the European Union. He also sent a letter to the office of the U.S. Trade Representative regarding the upcoming round of the Trans-Pacific Partnership negotiations in Lima, Peru. Johnson says trade agreement negotiations shouldn’t simply be limited to regulating trade-specific issues – but must also address differences in labor standards, environmental standards, health standards, the trade-distorting effect of currency manipulation and cartelization of markets.

Regarding the TTIP – Johnson’s comments note the importance of trade balance, fair compensation for farmers and other workers and protection from dumping and other unfair trade practices that force farmers off their land. According to Johnson – the TTIP should establish minimum standards for environmental, food and product safety, and consumer information. He said these important considerations should not be limited – and terms of any agreement should not prohibit countries from enacting measures that protect the safety of their citizens.

As for the TPP – Johnson noted lingering concerns with the secrecy in which the negotiation process has been conducted. He also urged caution in the talks – specifically as they relate to dairy policies. Johnson said it’s not in the interest of family-owned and operated dairies to open greater access to a country with a consolidated entity controlling the dairy sector. He said U.S. trade negotiators shouldn’t force other countries in the TPP to dismantle supply management programs – especially as efforts are underway to implement a similar system in the U.S. If these inconsistencies are left unresolved – Johnson said dairy shouldn’t be part of any TPP agreement.
==================================================

“ASA Disappointed in USDA Decision to Prepare EIS for 2,4-D, Dicamba”

USDA’s Animal and Plant Health Inspection Service will conduct a full environmental impact statement on soybean, corn and cotton crops designed to tolerate the 2,4-D and Dicamba herbicides. Industry sources say the move could delay the introduction of new products containing these herbicide-tolerant traits for two to four years. American Soybean Association President Danny Murphy noted the association’s frustration with the announcement – stating extreme disappointment in the decision. He said it will only serve to place another barrier between soybean farmers and the tools and technologies they need to sustainably grow more food, fiber and fuel for the nation while using less resources. According to Murphy – there is no reason for APHIS to conduct an additional environmental impact statement on top of the already-comprehensive environmental assessment that has been completed for these products. Even APHIS cites – he noted – the sustained, safe use of 2,4-D since the 1940s and Dicamba since 1967.

Murphy said farmers need new technologies such as crops that have herbicide-tolerant traits to manage weeds and weed resistance – and USDA’s decision will delay the availability of these new technologies. He said USDA’s decision also greatly undermines its previous commitments to eliminate delays in its regulatory reviews and utilize robust environmental assessments. Murphy went on to state that requiring a full EIS unjustifiably delays the availability of safe products to farmers, increases regulatory costs, chills product innovation and ultimately reduces the efficiency and productivity of U.S. agriculture. He said tools like 2,4-D and Dicamba-tolerant traits are critical to the mission of farmers to produce enough food and products to satisfy the demands of a global population projected to hit nine-billion within the next 40 years.
==================================================

“USDA Sees Big Decline in Winter Wheat Production”

USDA is projecting winter wheat production at 1.49-billion bushels. That’s a decline of 10-percent from 2012. Area harvested for grain is forecast at 32.7-million acres – down six-percent from last year – and yield is down 1.8-bushels at a forecast of 45.4-bushels per acre. Hard Red Winter production is down 23-percent from a year ago at 768-million bushels. The 501-million bushel forecast for Soft Red Winter is a 19-percent increase from 2012. White Winter – at 217-million bushels – is down two-percent from a year ago.
==================================================

“Farm Bureau Economist Analyzes Latest USDA Numbers”

American Farm Bureau Federation analysts note the latest World Agricultural Supply and Demand Estimates report shows a record corn crop is still reachable despite the slow start to planting. The report forecasts a corn yield of 158-bushels per acre – implying a 14.14-billion bushel crop. The current record corn crop was produced in 2009 at 13.09-billion bushels. If this large crop is realized – the report projects corn stocks could increase to slightly more than two-billion bushels – reducing forecast farm-level prices to less than five-dollars per bushel. American Farm Bureau Economist Todd Davis says export predictions are down from the February outlook conference and use projections may be overly generous. He notes the U.S. will have to compete in the export market this fall with Brazil – which will be producing its second corn crop of the year.

The May WASDE report also forecasts a record year for the soybean crop. The projection is for a crop of 3.39-billion bushels – up 375-million from 2012. Soybean stocks are expected to increase to 265-million bushels – with the stocks-to-use ratio at 8.1-percent. The farm price for the crop is down to $10.50 per bushel.

Ultimately – Davis says the weather will be the deciding factor. He says it’s all in the hands of Mother Nature and she will dictate the weather to allow for the amount of corn and soybeans that will be planted and the growing season weather. Davis says the May WASDE is a good starting point for the projections – but there’s a long way to go before the uncertainty of 2013 production and stocks become resolved.
==================================================

“Beef Boot Camp Event Held in New York”

The beef checkoff hosted a Beef Boot Camp even in New York last week (May 7). Twenty-two retail meat buyers, managers and directors representing more than 400 retail locations were on-hand for the event. In addition – 12 culinary instructors, foodservice distributors and restaurant operators were present. During the event – Cornell University Beef Cattle Extension Specialist Dr. Mike Baker discussed the various choices of beef available to consumers. Cattlemen’s Beef Board member and Beef Cattle Extension Specialist at Penn State University Dr. Dan Kniffen explained the role of the Beef Checkoff Program. The majority of attendees had little to no understanding of beef production – so a tour of the Walbridge Farm provided a unique opportunity to see a modern-day working beef farm from pasture to plate.

After lunch at the farm – Dr. Kniffen discussed the current climate of the beef industry before the group split into separate retail and foodservice tracts. Those in retail heard about the recently launched Better Beef Sales retail training tool, a beef pop-up timer program, beef and veal promotional opportunities available through the beef checkoff, findings from the checkoff-funded 2011 National Beef Quality Audit and saw a demonstration on how to cut and merchandise the new beef value cuts from the beef chuck roll and shoulder clod.

Foodservice influencers received a trio of presentations highlighting the checkoff’s Beef Alternative Merchandising (BAM) program. It started with a cutting demonstration on the beef top sirloin and beef ribeye, followed by a cooking demonstration and then merging the two demonstrations together by showing attendees how to make this work for their menus.
==================================================

“WASDE at a Glance”

The latest World Agricultural Supply and Demand Estimates were released Friday. The report presents USDA’s initial assessment of U.S. and world crop supply and demand prospects and U.S. prices for 2013-14. The latest WASDE report also presents the first calendar-year 2014 projections of U.S. livestock, poultry and dairy products. The projections reflect economic analysis, normal weather, trends and judgment. Since spring planting is still underway in the Northern Hemisphere and remains several months away in the Southern Hemisphere – it is noted that the projections are highly tentative. The forecasts for U.S. winter wheat area, yield and production are from Friday’s Crop Production report – while the March 28th Prospective Plantings report is used for planted acreage for other U.S. crops.

WHEAT: U.S. wheat supplies for 2013-14 are projected at 2,917-million bushels – down seven-percent from 2012-13. Wheat production is projected at 2,057-million bushels – down nine-percent from last year with reduced prospects for Hard Red Winter wheat. The all wheat yield – projected at 44.1-bushels per acre – is down 2.2-bushels from the record levels of 2012-13 and 2010-11. The survey-based forecast for winter wheat production is down 10-percent with the lowest harvested-to-planted ratio since 2006-07 and lower yields as persistent drought and April freezes reduce crop prospects in the southern and central Plains. Partly offsetting is higher forecast Soft Red Winter wheat production with higher area. Spring wheat production for 2013-14 is projected to decline eight-percent as reduced durum area and a return to trend yields reduce prospects for durum and other spring wheat.

Total U.S. wheat use for 2013-14 is projected down seven-percent year-to-year with lower domestic use and exports. Feed and residual disappearance is projected 70-million bushels lower as larger supplies and lower prices for feed grains in 2013-14 limit wheat feeding by late summer. Exports for 2013-14 are projected at 925-million bushels – down 100-million from the 2012-13 projection. Large crops for major export competitors limit opportunities for U.S. wheat. U.S. ending stocks are projected to decline for a fourth consecutive year. At 670-million bushels – ending stocks would be down 61-million bushels from the 2012-13 projection. The all wheat season-average farm price is projected at $6.15 to $7.45 per bushel – down from the record $7.80 projected for 2012-13 as world prices for wheat and coarse grains are expected to decline sharply by fall.

Global 2013-14 wheat supplies are projected three-percent higher than in 2012-13 with a 51.2-million-ton increase in foreign production more than offsetting a 19.3-million-ton reduction in global beginning stocks and lower forecast production in the United States. At the projected 701.1-million tons – global production would be a record and up 45.5-million from 2012-13. Production for 2013-14 is projected higher in all of the world’s major exporting countries. Global wheat exports for 2013-14 are projected higher than in 2012-13. Global wheat consumption is projected 20.0-million tons higher with increases in both feeding and food use. Global ending stocks for 2013-14 are projected at 186.4-million tons – up 6.2-million on the year.

COARSE GRAINS: U.S. feed grain supplies for 2013-14 are projected at a record 400.5-million tons – up 25-percent from 2012-13 with higher area and yields expected for corn, sorghum and oats. Corn production for 2013-14 is projected at 14.1-billion bushels – up 3.4-billion from 2012-13. The 2013-14 corn yield is projected at 158.0-bushels per acre – 5.6-bushels below the weather adjusted trend presented at USDA’s Agricultural Outlook Forum in February. The slow start to this year’s planting and the likelihood that progress by mid-May will remain well behind the 10-year average reduce prospects for yields. Corn supplies for 2013-14 are projected at a record 14.9-billion bushels – up 3.0-billion from 2012/13. U.S. corn use for 2013-14 is projected up 16-percent from 2012-13 on higher feed and residual disappearance, increased use for ethanol, sweeteners, and starch and a partial recovery in exports. Feed and residual use for 2013-14 is projected up 925-million bushels reflecting a sharp rebound in residual disappearance with the record crop and an increase in feeding with lower corn prices. Projected corn use for ethanol is increased 250-million bushels from this month’s higher projection for 2012-13. Lower corn prices and high prices for Renewable Identification Numbers (RINS) support profitability for ethanol producers. U.S. corn exports for 2013-14 are projected 550-million bushels higher than this month’s lower projection for 2012-13. At the projected 1.3-billion bushels – 2013-14 exports are expected to rebound from their lowest level since 1970-71. U.S. corn ending stocks are projected at 2.0-billion bushels – up 1.2-billion from 2012-13. The season-average farm price at $4.30 to $5.10 per bushel is down sharply from the record $6.70 to $7.10 for 2012-13.

Global coarse grain supplies for 2013-14 are projected at a record 1,407.6-million tons – up 113.8-million from 2012-13. Global corn production for 2013-14 is projected at a record 965.9-million tons. Foreign corn production is up 23.5-million tons. Global corn trade is projected higher. World corn consumption is projected at a record 936.7-million tons – up 72.8-million from 2012-13 with foreign consumption up 41.5- million. Global corn ending stocks for 2013-14 are projected up 29.2-million tons on the year. At 154.6-million tons – stocks would be a 13-year high.

RICE: Tighter U.S. 2013-14 all rice supplies – forecast down six-percent from 2012-13 – and lower projected use – down seven-percent from 2012-13 – result in ending stocks that are down three-percent from the previous year. Beginning stocks and production for 2013-14 are both forecast lower from a year ago – while imports are forecast five-percent larger. U.S. rice production for 2013-14 is projected at 189.5- million cwt – down five-percent from 2012-13. Harvested area is estimated at 2.59-million acres based on average harvested-to-planted ratios for the previous five years – the lowest area since 1987-88. Average all rice yield is projected at 7,317-pounds per acre – down two-percent from the previous year’s record.

U.S. 2013-14 all rice total use is projected at a 213.0-million cwt – seven-percent below the previous year.

Domestic and residual use is projected at 115.0-million cwt – four-percent below 2012-13. All rice exports are projected at 98.0-million cwt – nine-percent below 2012-13 and the lowest since 2008-09. Long-grain rice exports are projected at 69.0-million – 10-percent below the previous year and combined medium- and shortgrain rice exports at 29.0-million – seven-percent below 2012-13. U.S. all rice ending stocks for 2013-14 are projected at 33.1-million cwt – three-percent below the previous year. Long-grain ending stocks are forecast at 21.9-million cwt – seven-percent above 2012-13 and combined medium- and short-grain rice stocks at 9.0-million – 22-percent below the previous year. The U.S. 2013-14 long-grain rice season-average farm price is projected at $13.80 to $14.80 per cwt, compared to a revised $14.20 to $14.60 for the previous year. The combined medium- and short-grain price is projected at $15.50 to $16.50 per cwt, compared to a revised $15.80 to $16.20 for the year earlier. The 2013-14 all rice price is projected at $14.30 to $15.30 per cwt, compared to a revised $14.70 to $15.10 per cwt for 2012/13.

Global 2013-14 total supply and use are each projected to reach record levels at 584.7 and 476.8-million tons, respectively, resulting in a 2.4-million increase in world ending stocks. Global 2013-14 rice production is projected at a record 479.3-million tons – up 9.0-million from 2012-13. Global 2013-14 consumption is projected at a record 476.8-million tons – up one-percent from the previous year.

Global exports in 2013-14 are projected at 38.9-million tons – up marginally from 2012-13. Global 2013-14 ending stocks are expected to increase 2.4-million tons to 107.8-million – the largest since 2001-02.

OILSEEDS: U.S. oilseed production for 2013-14 is projected at 100.9-million tons – up nine-percent from 2012-13. Higher soybean production accounts for most of the increase. Sunflowerseed, peanut and cottonseed production are each projected below last year’s crops. Soybean production is projected at a record 3.390-billion bushels – up 375-million from the drought-reduced 2012 crop on slightly higher harvested area and higher yields. Soybean yields are projected at a weather-adjusted trend level of 44.5-bushels per acre – up 4.9-bushels from 2012. Soybean supplies are projected at 3.530-billion bushels – up 10-percent from 2012-13. Additional soybean meal exports for 2012-13 are offset by reduced domestic consumption – leaving crush unchanged. Soybean exports and ending stocks for 2012-13 are also unchanged from last month. The 2013-14 U.S. soybean crush is projected at 1.695-billion bushels – up 60-million from 2012-13 – reflecting increased domestic soybean meal consumption and exports. U.S. soybean meal exports are forecast higher on sharply lower prices. Soybean exports are projected at 1.450-billion bushels – up 100-million from 2012-13 on increased supplies and competitive prices. Ending stocks are projected at 265-million bushels – up 140-million from 2012-13. The U.S. season-average soybean price for 2013-14 is forecast at $9.50 to $11.50 per bushel compared with $14.30 per bushel in 2012-13. Soybean meal and oil prices are forecast at $280-$320 per short ton and 47-51 cents per pound, respectively.

Global oilseed production for 2013-14 is projected at a record 491.3-million tons – up 4.7-percent from 2012-13 – mainly due to increased soybean production. Global soybean production is projected at 285.5-million tons – up six-percent. Global production of high-oil content seeds (rapeseed and sunflowerseed) is projected up 6.1-percent from 2012-13. Oilseed supplies are up 5.1-percent from 2012-13. With crush projected to increase 3.4-percent – global oilseed ending stocks are projected at 82.6-million tons – up 12.3-million. Global protein meal consumption is projected to increase 2.7-percent in 2013-14. Global soybean exports are projected at 107.1-million tons – up 11.3-percent from 2012-13.

SUGAR: Projected U.S. sugar supply for fiscal year 2013-14 is up 2.1-percent from 2012-13 – as higher beginning stocks and imports more than offset lower production. Lower beet sugar production reflects reduced area and a return to trend yields – while lower cane sugar production is based on trend yields.

Imports under the tariff rate quota (TRQ) reflect minimum U.S. commitments to import raw and refined sugar and projected shortfall. The Secretary will establish the TRQ at a later date. Total use is up 1.8-percent and ending stocks are slightly higher than a year earlier.

Exports to all destinations are lower – but shipments to the U.S. market are up 5.3-percent from 2012-13.

LIVESTOCK, POULTRY, AND DAIRY: Total U.S. red meat and poultry production in 2014 is projected to be above 2013 as higher pork and poultry production more than offsets declines in beef production. Tighter cattle supplies and potential heifer retention during late 2013 and into 2014 are expected to limit cattle available for placement – thereby reducing fed cattle slaughter in 2014. Lower cow numbers and herd rebuilding will also limit non-fed beef production. Pork production is forecast to increase more rapidly than in 2013 as lower forecast feed costs provide incentives for producers to expand farrowings and increase carcass weights from 2013 levels. Broiler and turkey production are forecast higher as lower forecast feed prices encourage expansion despite lower poultry prices. Egg production for 2014 is forecast to expand as producers respond to lower feed costs. The total red meat and poultry production forecast for 2013 is lowered from last month as lower pork, broiler and turkey production more than offsets greater beef production. Higher cattle placements are expected to support higher fed beef production and cow slaughter has remained relatively high. However – recent winter storms have affected cattle weights – which are lowered slightly from last month. Pork production is down marginally on lower forecast slaughter in the second of half of 2013. Broiler production is lowered on hatchery and chick placement data to date – while turkey production is cut on lower poult placements.

Continued year-over-year declines in U.S. beef production are expected to push beef exports lower in 2014. Pork exports are expected to rebound in 2014 as supplies increase and demand improves. Broiler exports are forecast higher on expanded supplies and moderating prices. Beef imports are expected to be higher in 2014 as U.S. cow slaughter declines and domestic non-fed beef supplies tighten. Pork imports are forecast up fractionally from 2013. The 2013 red meat export forecast is lowered from last month, largely due to lower expected pork exports. The beef forecast is adjusted to reflect lower first-quarter exports. Poultry exports are raised as higher broiler exports more than offset lower turkey exports.

For 2014 – cattle prices are forecast to rise above 2013 as supplies continue to tighten. Hog prices are forecast to be slightly lower than 2013 on higher production. Broiler, turkey and egg prices are forecast to be below 2013 as production expands. Cattle price forecasts for 2013 are unchanged from last month. Hog prices are down fractionally from last month on weaker second quarter prices. Broiler prices are forecast higher as prices remain strong.

Milk production for 2014 is forecast higher as lower feed costs and relatively strong milk prices are expected to support production. Commercial exports are forecast higher on robust international demand. Imports will be lower on greater domestic supplies. With higher domestic production, cheese, butter and whey prices are forecast lower than last year – while nonfat dry milk (NDM) is higher largely on continued strength in international demand. Both Class III and Class IV prices are forecast lower. In the case of Class IV, lower forecast butter prices more than offset higher NDM prices. The all milk price is forecast at $18.85 to $19.85 per cwt for 2014. Forecast milk production in 2013 is unchanged from last month. Imports are raised. Exports are higher as abundant U.S. supplies and competitive prices are expected to spur foreign demand. Cheese, butter and NDM prices are raised from last month while whey is lower. The Class III price is lowered as lower whey prices more than offset greater cheese prices. Class IV is up reflecting higher prices for butter and NDM. The all milk price is forecast at $19.50 to $20.00 per cwt.

COTTON: The U.S. cotton projections for 2013-14 include lower production, exports and ending stocks compared with 2012-13. Projected production is reduced 19-percent to 14.0-million bales – based on regional average abandonment and yields. Domestic mill use is projected at 3.5-million bales – 100-thousand bales above 2012-13. Exports are projected at 11.5-million bales – down 13-percent from 2012-13 – due to the smaller available domestic supply and lower imports by China. Ending stocks are reduced to 3.0-million bales – equal to 20-percent of total use – which is well below the previous 10-year average. The forecast range for the marketing year average price received by producers is 68.0 to 88.0 cents per pound – compared with 72.0 cents estimated for 2012/13.

The initial 2013-14 world cotton projections show world ending stocks of nearly 93-million bales – the third consecutive seasonal record. World production is projected nearly three-percent lower than 2012-13 at 117.8-million bales. World consumption is expected to rise two-percent due to modest growth in world GDP. World trade is expected to fall 12-percent. World ending stocks outside of China are projected to fall nearly 2.0-million bales. China’s national reserve stocks are currently expected to reach nearly 40-million bales at the end of 2012-13. USDA is projecting that China will import 12.0-million bales in 2013-14 and will add 10-million bales to ending stocks as reserve purchases exceed reserve sales. The resulting projected China ending stocks of 58.2-million bales would account for 63-percent of world stocks.

For 2012-13 – the final U.S. crop production estimate of 17.3-million bales is virtually unchanged from last month. U.S. exports are raised 250-thousand bales.
==================================================

“Former Conservation Chiefs Agree with Principles of Crop Insurance Compromise”

Former conservation chiefs have sent a letter that follows the same principles of the compromise reached by several conservation, environmental, crop insurance and agricultural organizations to link conservation compliance and crop insurance premium assistance. The letter does not – however – endorse the agreement reached by the groups. As you take steps to modernize our farm safety net – the former conservation chiefs wrote – we urge you to make sure that compliance provisions cover all income support, including eligibility for crop and revenue insurance premium subsidies. The letter also expresses hope Congress will provide incentives to lower the cost of crop insurance to producers who use USDA-approved conservation practices. But to ensure the widest participation possible – they believe crop insurance should continue to be available to all producers regardless of income. The former conservation chiefs say doing so will benefit farmers, the environment and all Americans going forward.

Bruce Knight is among those who signed the letter to endorse a link between conservation compliance and subsidized crop insurance. He says the letter was coordinated by the Soil and Water Conservation Society.
==================================================

“Novozymes Applauds Rural Energy Investment Act”

Senators Al Franken of Minnesota and Tom Harkin of Iowa recently introduced the energy legislation to be included in the next farm bill. The Rural Energy Investment Act of 2013 would reauthorize successful Farm Bill Energy Title programs – including the Rural Energy for America Program, Biobased Markets Program, Biorefinery Assistance Program and the Biomass Crop Assistance Program.

The leading producer of enzymes that turn biomass into biofuels – Novozymes – is applauding the measure’s introduction. Adam Monroe – President of Novozymes Americas – says farmers power America – and this is a chance to extend their impact. He says companies like Novozymes are ready to keep investing, putting steel in the ground and Americans to work. Monroe says a strong rural economy is needed – and this bill is a chance to keep it growing.

According to Novozymes – the Energy Title of the Farm Bill funds USDA programs that help jumpstart additional biorefinery construction for advanced biofuels and renewable chemicals, dedicated energy crop feedstock development and consumer demand of biobased products – encouraging further commercialization of the renewable industry. The Biotechnology Industry Association says 860 growers in 12 states plant 59-thousand acres of new energy crops a year thanks to the assistance of the Biomass Crop Assistance Program.
==================================================

“Growers Can Get Tips for Managing Nitrogen”

It might be tougher for growers to assess their nitrogen needs this year. Due to dry conditions this past summer – N stayed in the soil profile longer. For those with below trend line yields that applied N for trend line or higher yields in the spring of 2012 – much of the N was still in the soil last fall. DuPont Pioneer Agronomists say the soil N carried over could be a great benefit for the corn crop in June. However – the likelihood of that is getting smaller because of the precipitation growers are receiving. DuPont Pioneer notes spring storms will likely leech the N out of the soil before plants use it. Nitrification is the break down process that generally occurs at soil temperatures above 50 degrees and increases as temperatures rise above that level. Nitrification inhibitors slow the conversion of ammonium to nitrate and have proven effective for this purpose. DuPont Pioneer offers more information related to soil nitrogen – including tips for nitrogen management – online at www dot pioneer dot com (www.pioneer.com) and do a site search for managing nitrogen.
==================================================

“Senate Could Move Quickly on Farm Bill”

Senate Majority Leader Harry Reid had already stated he wants to the Senate to take up the farm bill this month. With Congress scheduled to begin the Memorial Day recess on May 24th – that doesn’t leave much time to move the bill to the floor. Senate Ag Chair Debbie Stabenow has announced the committee will hold its farm bill markup next Tuesday (May 14) – and according to New York Senator Kirsten Gillibrand – the bill could move to the floor next week as well. Gillibrand believes there will be small changes in committee – but not many.
==================================================

“Groups Craft Crop Insurance Compromise”

A diverse group of 44 conservation, environmental, crop insurance and agricultural organizations have come together in distributing a position paper that outlines a compromise to link conservation compliance and crop insurance premium assistance and to oppose means testing, payment limitations or premium subsidy reductions for the crop insurance program. The recommendations have been submitted to the leadership of both Agriculture Committees for their consideration during the new farm bill debate. According to a letter to the Senate Ag leaders – the position provides an effective farm and natural resource safety net.

American Farm Bureau Federation President Bob Stallman says his group is convinced the agreement will move the farm bill forward. He says it’s a balanced agreement that provides fairness and a measure of certainty to farmers regarding the availability of risk management tools – while at the same time – helping to conserve natural resources. Stallman calls it a win-win situation reached by a group of organizations that came together under a banner of commonsense and collaboration.

According to the letter – each of the groups involved has committed to not support amendments beyond this compromise that might weaken the crop insurance program or amendments that might not link conservation compliance with crop insurance premium assistance. Stallman notes much of agriculture fought the compliance amendment during last year’s Senate farm bill debate. But he says the desire to avoid a time-consuming and contentious debate helped build a consensus around rational provisions that protect farmers while furthering the conservation of natural resources.

Stallman points out that the agreement does not propose to change current conservation compliance requirements. He says the recommendations only apply to the linkage of conservation compliance and crop insurance premium assistance or availability. Under the recommendations – crop insurance would still be available to help farmers manage their risks and meet the requirements of their lenders. But under certain circumstances – if a farmer is found to be out of compliance with conservation mandates – his or her eligibility for premium assistance would be eliminated until compliance conditions are satisfied. According to Stallman – this approach to re-linking crop insurance and conservation compliance should provide USDA sufficient flexibility to work with farmers to ensure compliance in a balanced, fair manner.
==================================================

“Ag Groups Urge Senate Passage of WRDA”

The Senate is considering S. 601 – the Water Resources Development Act of 2013. Several agricultural groups joined together in writing a letter to members of the Senate to stress the importance of the legislation’s passage. According to the groups – passage of WRDA would authorize new projects for flood protection, port improvements and upgrades to the nation’s aging locks and dams infrastructure. They say it would also improve U.S. transportation capacity, relieve growing congestion on U.S. highways and foster a more competitive transportation system. The letter stated that America’s inland waterways and ports have long provided U.S. farmers, ranchers and agribusinesses with a strong comparative advantage – enhancing our ability to efficiently and competitively serve domestic and global markets – as well as secure essential crop inputs for production of grains, oilseeds and other agricultural commodities. Further – the letter points out that inland waterway transportation is the lowest cost and most environmentally sustainable transportation mode. The groups write that inland waterway transportation costs are two to three times less than other modes – translating into an annual savings of seven-billion dollars.

Ninety-five percent of U.S. ag exports and imports are transported through U.S. harbors. These exports and navigation activity support more than 400-thousand jobs. But the letter from agricultural groups notes that 57-percent of the locks on the Upper Mississippi and Illinois River System were built in the 1930s with a projected 50-year lifespan and need modernization and expansion. Twenty-six percent of those locks – the letter continues – are more than 70 years old.

The American Farm Bureau Federation – one of the groups signing the letter – says passage of WRDA is essential to the nation’s economic growth. Farm Bureau is also urging the addition of two provisions during Senate floor consideration: that remaining costs for the completion of the Olmsted lock and dam on the Ohio River be financed through federal funding and that the Senate adopt the increase in the barge diesel fuel user fee. The increase is supported by barge carriers and their customers – including agricultural shippers – and will provide the financial means to initiate and complete lock projects authorized by the WRDA measure.
==================================================

“Bipartisan Legislation Introduced to Clarify Dodd-Frank Provision”

A bipartisan coalition of Senators led by Mike Johanns of Nebraska and Jon Tester of Montana is introducing legislation to clarify the exemption for farmers, ranchers, manufacturers and small businesses from margin requirements included in the Dodd-Frank financial legislation. Johanns says farmers, ranchers and businesses use every tool available to responsibly protect themselves and their customers from unforeseen risks like drought or fluctuations in fuel, fertilizer or commodity prices. He says this bill allows these local businesses to continue doing that without battling burdensome and costly margin requirements meant to cover day-traders playing the markets. According to Tester – the measure ensures farmers and ranchers can continue to effectively manage risks, protect their livelihoods and provide for their families. He says smart risk management strengthens our economy – and this bill clarifies the intent of Congress to give small businesses the flexibility and certainty they need to successfully run their businesses.

Joining Johanns and Tester are Senators Roy Blunt of Missouri, Mike Crapo of Idaho, Joe Donnelly of Indiana, Kay Hagan of North Carolina, Heidi Heitkamp of North Dakota, Amy Klobuchar of Minnesota, Jerry Moran of Kansas, Richard Shelby of Alabama, Pat Toomey of Pennsylvania and Mark Warner of Virginia. The legislation is identical to H.R. 634 – which was unanimously passed by the House Financial Services Committee.
==================================================

“Senator Introduces Bill with Hopes of Including it in Farm Bill”

Colorado Senator Michael Bennet has introduced a bill to provide a more stable flow of resources for the National Animal Health Laboratory Network. The network monitors animal-borne illnesses that pose significant threats to animal and public health. Bennet’s Animal and Public Health Protection Act would create a unique funding authorization for the network in order to help protect it against the uncertainty of the yearly budgeting process. Bennet says labs help support the economic vitality of the livestock industry and protect the public by identifying diseases early and preventing the consequences of potentially devastating outbreaks.

Director of Colorado State University Diagnostic Laboratories Barbara Powers says the proper funding authorization is critical so states can protect their ag industries from emerging and foreign animal diseases that can cause economic devastation – and also address the nation’s need for a safe, stable and nutritious food supply.

Bennet is a member of the Senate Agriculture Committee. He will urge the committee to include the Animal and Public Health Protection Act in the farm bill.
==================================================

“Former Ag Secretaries Highlight Importance of Japan’s Inclusion in TPP”

Two former Secretaries of Agriculture believe Japan’s decision to seek inclusion in the Trans-Pacific Partnership negotiations could be a game-changer for U.S. agriculture and good news for the country’s overall economy. Now Nebraska Senator Mike Johanns and former Congressman Dan Glickman note Japan has strong demand for the ag products America’s farmers and ranchers can supply. U.S. agricultural exports to Japan topped 13.5-billion dollars in 2012. That’s eight times higher than U.S. exports to Vietnam – the next biggest agricultural market among the TPP nations that don’t already have free trade agreements with the U.S. According to Johanns and Glickman – the U.S. was able to achieve these trade levels despite Japan’s history of placing restrictions on key imports.

Johanns and Glickman say Japan’s entry into the TPP is essential to improving market access for U.S. producers. They note nations rarely reduce or eliminate tariffs unilaterally. Instead – tariff quotas and similar trade-limiting measures are usually reduced as part of trade negotiations. That’s why the former Secretaries say the inclusion of Japan as a negotiating member of TPP offers the best hope for improved market access and eventual free trade with the country. They add that improved trade relations will most likely increase exports for many U.S. agricultural products – including wheat, barley, rice, beef, pork, poultry, dairy products and soybean oil – and in turn boost our nation’s economy at a time when job creation and growth are needed.

Johanns and Glickman admit it’s impossible to predict the outcome of the negotiations with Japan on TPP. But they say they can safely predict that without Japan in the talks – an opportunity will have been lost for U.S. agriculture.
==================================================

“Universities Receive Funding to Study Impacts of Weather Variability”

USDA has awarded nearly 20-million dollars to support research, education and Extension activities associated with climate solutions in agriculture aimed at the impacts of climate variability and change on dairy and beef cattle. U.S. Ag Secretary Tom Vilsack says the projects that receive funding will deliver the best tools available to accurately measure and respond to the effects of climate and beef and dairy production. He says farmers and ranchers need sound, science-based information and solutions to help them make management decisions that will sustain their productivity and keep their operations economically viable.

The University of Wisconsin in Madison received 9.9-million over five years to study the environmental impact of various dairy production systems and develop best management practices for producers to implement at the farm level. The ultimate goal of the project is to increase the resiliency of dairy production systems while reducing greenhouse gas emissions. Oklahoma State University received 9.6-million dollars over five years to better understand vulnerability and resilience of Southern Great Plains beef in an environment of increased climate variability, dynamic land-use and fluctuating markets. The team’s goal is to safeguard regional beef production while mitigating the environmental footprint of agriculture.

These Coordinated Agricultural Projects bring together teams of researchers that represent various geographic areas to support discovery, applications and promote communication leading to innovative, science-based solutions to critical and emerging national priorities and needs. The National Institute of Food and Agriculture made the awards through its Agriculture and Food Research Initiative funding opportunity.
==================================================

“Online Database Tracks State Energy Legislation”

In partnership with Advanced Energy Economy – Colorado State University’s Center for the New Energy Economy is rolling out a new online database of energy-related state legislation pending in all 50 states. The Advanced Energy Legislation Tracker is a first-of-its-kind database that will enable the Center to conduct analysis of trends in state energy legislation. State legislatures are currently considering more than 21-hundred bills that could change the way Americans produce, buy and use energy. The Tracker identifies each of those measures and monitors their progress. Center Director and former Colorado Governor Bill Ritter says the states are leading the way on advanced energy policy – so to get the pulse of where the country is going – it’s important to understand what the states are doing.
==================================================