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READ the NAFB’s National Ag News as heard inside the BARN for September 13th…

Posted by Brian Allmer on September 13, 2012

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Sponsored by the American Farm Bureau Federation

“Farm Bill Now Rally Brings Farm Groups Together for One Cause”

With the expiration of the current farm bill fast approaching – farmers and ranchers from across the country rallied on Capitol Hill Wednesday. They gathered to urge Congress to pass a new, comprehensive, five-year farm bill before farm programs expire on September 30th. The event was endorsed by nearly 90 organizations representing commodity and specialty crops, livestock, dairy, consumers, state and local governments, energy and biobased products, farm cooperatives and financial groups. Senate Ag Committee Chair Debbie Stabenow, House Ag Ranking Member Collin Peterson, Kansas Senator Jerry Moran, South Dakota Representative Kristi Noem and the leaders of 10 organizations addressed the crowd of nearly 500 farmers.

According to American Farm Bureau Federation President Bob Stallman – perhaps never in history of farm legislation had so many diverse farmer and rancher voices joined together for such a common call for action on a farm bill. Farm Bureau notes the farm bill isn’t just a bill for farmers – as USDA says one in every 12 American jobs is directly related back to the farm. In addition – the farm bill provides healthy food to millions of schoolchildren and nutritious options to families in need; and develops and expands trade with valuable foreign markets. The Farm Bill Now coalition also points out that the proposals currently pending in Congress address the need to get the nation’s fiscal house in order.

National Farmers Union President Roger Johnson said the groups gathered Wednesday were all united on one thing – the need for a farm bill now. He said members of Congress who have been on the Hill a long time said there is plenty of time to pass a farm bill. Johnson said there’s no excuse for Congress not doing their job and called it detrimental to all of America since the farm bill is a food, energy and jobs bill. Following the rally – Johnson expressed hope that the enthusiastic response and high energy of the crowd made an impact. If House members didn’t get the message – Johnson says they might get it on Election Day.

Illinois farmer Garry Niemeyer - National Corn Growers Association President – called on Congress to do its job. He said Congress has known for more than 17-hundred days that the current farm bill would expire at the end of September – yet he had to get off the combine to gather in Washington to deliver the message that a new five-year farm bill is needed. Niemeyer noted that agriculture is one of the few bright spots in the American economy – and the farm bill provides the certainty farmers need to make plans for their operations.

Specialty Crop Farm Bill Alliance spokesperson David Masser said research funded by the 2008 Farm Bill has helped producers fight pests and diseases that threaten to destroy crops and has helped improve food safety programs. As a farmer – Masser said he would never plant in the spring and leave the crop to rot in the fall – but with the programs developed in the current legislation just beginning to see results – he said it would be just as irresponsible to stop their momentum. According to Masser – the programs can’t just be turned on and off like a light switch – they must continue uninterrupted to fully bear fruit.

United Fresh Senior Vice President of Public Policy Robert Guenther said the Farm Bill Now rally was an important opportunity to unite the ag community and send a message that farm bill action is necessary. He noted the fresh produce industry could lose funding for several critical programs – including pest management, marketing, trade, nutrition and research programs.

As a farmer and conservationist - National Association of Conservation Districts President Gene Schmidt told attendees he knows how important the farm bill is to the preservation of the nation’s critical natural resource base – the foundation of the world’s food supply. When dealing with the most extreme drought in more than 50-years – Schmidt said the farm bill could not be more critical. He called it the nation’s best defense in minimizing the drought’s impact. He said U.S. producers deserve to have a long-term framework providing them with the ability to effectively and efficiently manage natural resources for the years ahead.

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“Latest Production Projections In from USDA”

USDA only slightly revised its August corn production forecast in the September Crop Production report released Wednesday. The department now expects a 10.7-billion bushel crop – down less than one-percent from last month’s projection – but down 13-percent from 2011. Yields are expected to average 122.8-bushels per acre – 24.4-bushels below last year’s average. If realized – that would be the lowest average corn yield since 1995. USDA’s latest soybean production forecast is down 14-percent from 2011. The 2.63-billion bushel estimate is down two-percent from August. Soybean yields are expected to average 35.3-bushels per acre. That’s a small decline from August and down 6.2-bushels from last year. The forecast for all cotton production is 17.1-million bales. While that represents a three-percent decline from last month – that’s up 10-percent from 2011. The average yield is forecast at 786-pounds per harvested acre – down four-pounds from last year.
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“Corn Supply Estimate Raised Despite Production Cut”

Despite reductions to the corn production forecast Wednesday – overall corn supply estimates increased by 108-million bushels. National Corn Growers Association President Garry Niemeyer says the latest estimates illustrate how U.S. corn farmers provide the corn the nation needs – even under adverse conditions. Further – the Illinois grower says the increased overall supply shows you cannot count the corn before it is harvested. With harvest less than a quarter complete – Niemeyer says it’s important to wait patiently for a clearer picture of the crop to emerge.

Corn use in the 2012-13 crop marketing year are now forecast higher than previously expected due to increased expectations for feed and residual uses. The 75-million bushel increase from August estimates more than offset lower projected exports. Export projections fell by 10-million bushels for the current 2011-12 year – while projections for the 2012-13 crop fell 50-million bushels.

Ending stock projections for the 2012-13 crop are up 83-million bushels to 733-million. The projected season-average price dropped by 30 cents and now ranges from $7.20 to $8.60 per bushel.

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“Farm Bureau Economist Weighs In on Production Forecasts”

American Farm Bureau Federation Economist Todd Davis says it will be some time before the long-term effects of the 2012 drought are fully played out – but it appears likely that continued strong worldwide demand for corn and soybeans will lead to higher projected prices. Farm Bureau notes projected corn ending stocks of 733-million bushels represents 24 days of supply. USDA is projecting ending stocks for soybeans at 115-million bushels – about a 15 day supply. Davis says all eyes are on South America as the corn and soybean planting season is about to begin. He says weather is a major factor for crops in North and South America – adding that a bountiful harvest of both corn and soybeans is needed to rebuild stocks.

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“Pork Exports Slightly Lower in July, Beef Exports Hold Steady in Value”

U.S. Meat Export Federation President and CEO Philip Seng says the pork and beef sectors are facing serious economic challenges – with tight beef supplies pushing prices higher and strong international demand supporting higher beef cutout values – and on the pork side – increased U.S. production being offset by larger exports. In July – pork exports were down nearly three-percent from last year – the smallest volume since October 2010. Pork export value also was down less than three-percent to 467.4-million dollars. Still – year-to-date exports are four-percent above last year’s record pace in volume and 11-percent higher in value. Mexico, China, Canada and Russia have continued driving pork export volume during the first seven months of this year. Despite lower volumes – Canada, the Middle East, Japan and the ASEAN region increased beef export values through July. Russia, Central American and South America posted increases in volume and value for beef exports. With all of this in mind – Seng says it is critical for the U.S. to remain aggressive with its international promotions and continue to capture the highest return possible on the products exported.

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“Hypoxia Task Force Begins New Efforts to Assess Water Quality Improvements”

The Mississippi River/Gulf of Mexico Watershed Nutrient Hypoxia Task Force is launching efforts to monitor reductions in nitrogen and phosphorus throughout the watershed. Chaired by the EPA and State of Iowa – the task force has established the Mississippi River Monitoring Collaborative – comprised of federal and state agencies – to assess progress of reducing the amount of nutrients entering local waterways and the Gulf of Mexico. That team already has collected more than 670-thousand nutrient data records from 12 states – which will be used to evaluate how conservation practices and policies are working and if new or enhanced nutrient reduction strategies need to be established.

Task Force Co-Chair and EPA Assistant Administrator for Water Nancy Stoner says farmers, ranchers and other land managers are investing in conservation projects on their lands in the Mississippi River Basin. By working together with the Task Force – Stoner says they will help give critical insight into the progress of conservation projects and help improve activities on the ground and in the water. USDA is a member of the task force and is preparing to update its technical standard for water quality monitoring to measure the amount of nutrients coming from farm fields. Iowa Secretary of Agriculture and Task Force Co-Chair Bill Northey says it is important to have strong cooperation and teamwork to monitor the progress being made as cities, industries and farmers work to make changes and address water quality concerns.

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“USDA Provides More Money for Rural Communities Through IRP”

Fourteen states and one territory have been chosen to receive loans to boost local economies and create or save jobs through USDA”s Intermediary Relending Program. The loans are provided to organizations that re-lend the money to local businesses. The funding announced today provides 6.3-million dollars for projects in 17 communities in California, Delaware, Maine, Massachusetts, Minnesota, New Hampshire, New Mexico, New York, North Dakota, Oregon, Pennsylvania, South Carolina, South Dakota, Texas and Western Pacific. Ag Secretary Tom Vilsack says these loans will continue to USDA’s work to leverage private investment and help the rural economy grow.

SOURCE: NAFB News Service

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