BARN OnAir & OnLine 24/7/365

Ag News, Markets & MORE…OnAir, OnLine & OnDemand!

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

Posted by Brian Allmer on September 13, 2013

CLICK HERE to listen to TODAY’s BARN Morning Ag News with Brian Allmer…

Sponsored by the American Farm Bureau Federation

“NFU Will Defend Court’s Denial of Preliminary Injunction”

While the American Meat Institute and other organizations plan to appeal the denial of their preliminary injunction request in the country of origin labeling lawsuit – National Farmers Union is prepared to defend the district court’s decision. NFU President Roger Johnson says the judge issued a very well reasoned opinion Wednesday. NFU, the U.S. Cattlemen’s Association, the American Sheep Industry Association and the Consumer Federation of America intervened at the District Court to protect USDA’s modified COOL regulation. Johnson says the American consumer has a right to know where their meat is from. He adds that U.S. livestock producers are proud of what they produce. Johnson says the new COOL rule issued by USDA in May significantly improves the information available to consumers by reducing confusion about the origins of meat products – and provides U.S. producers the opportunity to differentiate their product.

***********************************************************************************************

“Peterson Takes New Approach to Spur Farm Bill Action”

House Agriculture Committee Ranking Member Collin Peterson reportedly has a new strategy for getting a farm bill through Congress this year. The Hill reports Peterson called Agriculture Secretary Tom Vilsack this week to suggest the department should begin the process of implementing the 1949-era dairy policies that would take effect October 1 if Congress fails to act on the farm bill before the current extension expires at the end of the month. Actually – Peterson suggested they start putting the framework together to implement the permanent law on dairy January 1. Peterson’s hope is that affected industry groups will put the pressure on House Speaker John Boehner and other GOP leaders to enact a bill that will prevent milk prices from skyrocketing. He believes this strategy – which he says has the backing of House Minority Leader Nancy Pelosi – can compel a deal on the farm bill. The Hill reports House Ag Committee Chairman Frank Lucas has also said that Vilsack should start to prepare for the milk spike. He said leaders haven’t started whipping the food stamp measure they supposedly intend to bring to the floor next week. But even if Cantor can’t get the votes needed to cut billions from the Supplemental Nutrition Assistance Program – Lucas said a farm bill conference committee would proceed. According to Lucas – a vote on that bill – up or down – enables them to move forward with the conference committee process.

***********************************************************************************************

“USDA Releases Latest Crop Forecasts for Corn, Soybean, Cotton”

The latest Crop Production report from USDA’s National Agricultural Statistics Service shows a slight increase in forecast corn production. The latest projection of 13.8-billion bushels is up less than one-percent from the August forecast – but up 28-percent from 2012. If realized – this will be a new record for the U.S. Based on conditions as of September 1 – yields are expected to average 155.3-bushels per acre – up .9-bushels from last month’s forecast and 31.9-bushels per acre above the 2012 average. The September yield forecast – if realized – would mark the highest average yield since 2009. USDA pegs U.S. soybean production at 3.15-billion bushels – down three-percent from August – but up four-percent from last year. This would be the fourth largest crop on record if realized. Yields are expected to average 41.2-bushels per acre – down 1.4-bushels from last month – but up 1.6-bushels from last year. The all-cotton production forecast is 12.9-million 480-pound bales. That’s a one-percent decline from last month and a decrease of 26-percent from last year. Yields are down 91-pounds from last year at 796-pounds per harvested acre.

***********************************************************************************************

“Farm Bureau Economist Weighs in on Latest Crop Report”

With a later maturing crop this year than in 2012 – American Farm Bureau Federation Economist Todd Davis notes yield projections are becoming more accurate as the crop becomes ready for harvest. USDA is forecasting a bin-busting corn crop of 13.84-billion bushels with an average yield of 155.3-bushels per acre. 2013-14 corn ending stocks are predicted to increase drastically to 1,855 million bushels – from 661-million bushels for 2012-13. Davis says that’s a shift from a 21-day end-of-year supply to a 53-day end-of-year supply. That’s going to cause a decline in the marketing-average price to $4.80 per bushel in 2013-14 – down from $6.90 per bushel for 2012-13. The soybean crop is projected at 41.2-bushels per acre – a reduction from the August estimate. That brings the soybean crop forecast down 36-million bushels to 3.15-billion bushels. The 2013-14 soybean ending stocks are expected to sharply decrease from the August estimate – to 150-million bushels. The American Farm Bureau Federation notes that equates to about 17-days of soybeans in the grain bins on September 1 of 2014. Still – the projected marketing-year average price for soybeans is expected to decline from $14.40 per bushel for 2012-13 to $12.50 per bushel for 2013-14. Davis says soybean prices will be less connected to corn in the coming year. He says market dynamics are changing. After following the corn market the last three years – Davis says soybean prices are poised to separate from corn. With corn stocks projected to increase – he says the corn price will have limited upside potential as the market has to clear. He says tight soybean stocks will keep prices high enough to ration use throughout another marketing year.

***********************************************************************************************

“WASDE at a Glance”

The latest World Agricultural Supply and Demand Estimates report was released by USDA Tuesday. Here are some of the highlights:

WHEAT: Projected U.S. wheat supplies for 2013-14 are raised 10-million bushels with higher expected imports from a larger wheat crop in Canada. Hard Red Spring (HRS) wheat imports are raised 10-million bushels and Durum imports are raised five-million bushels. Partly offsetting is a 5-million-bushel reduction in projected Soft Red Winter wheat imports. Food use is raised 10-million bushels for HRS wheat and lowered 10-million bushels for Hard Red Winter (HRW) wheat. HRS wheat exports are lowered 10-million bushels reflecting increased competition from Canadian spring wheat. HRW wheat exports are raised an offsetting 10-million bushels on the strong pace of sales and shipments in recent weeks. Projected all wheat ending stocks are raised 10-million bushels. The projected range for the 2013-14 season-average farm price is narrowed 10-cents on each end of the range to $6.50 to $7.50 per bushel – well below the 2012-13 record of $7.77 per bushel.

Global 2013-14 wheat supplies are raised 3.0-million tons with increased production more than offsetting lower beginning stocks. World wheat production is projected at a record 708.9-million tons, up 3.5-million this month. Global wheat consumption for 2013-14 is lowered slightly. Global wheat trade is raised. Exports are raised 1.0-million tons for the EU and 0.5-million tons for Canada – both with larger crops. Partly offsetting these increases are export reductions of 0.4-million tons for the UAE and 0.3-million tons each for Paraguay and Uzbekistan. With global consumption down slightly – higher production boosts projected global ending stocks 3.3-million tons. World wheat stocks are now expected to increase during 2013-14.

COARSE GRAINS: U.S. feed grain supplies for 2013-14 are projected higher this month as forecast increases in corn and sorghum production more than offset declines in projected beginning stocks for the same crops. Corn production is forecast 80-million bushels higher at a record 13.8-billion bushels. The national average corn yield is forecast at 155.3-bushels per acre – up 0.9-bushels from last month. Sorghum production is forecast 37-million bushels higher with the national average yield raised 6.1-bushels per acre.

Corn supplies for 2013-14 are projected 18-million bushels higher due to increased production; however, projected imports are reduced five-million bushels and beginning stocks are down 58-million bushels on lower imports and higher use projections for 2012-13. Projected corn use for 2013-14 is unchanged. Ending stocks for 2013-14 are projected 18-million bushels higher. The projected season-average farm price for corn is lowered 10-cents at both ends of the range to $4.40 to $5.20 per bushel. Total corn use for 2012-13 is projected 55-million bushels higher. Corn used in the production of ethanol is raised 15-million bushels based on stronger-than-expected August ethanol production as indicated by weekly ethanol production data from the Energy Information Administration. Partly offsetting is a five-million bushel reduction in corn used for sweeteners. Corn exports are raised 20-million bushels based on the latest information from the U.S. Bureau of Census and August grain inspections. Projected feed and residual use is raised 25-million bushels reflecting the limited amount of new-crop corn available for use before September 1 due to delayed 2013 crop maturity. The 2012-13 season-average farm price for corn is lowered five-cents per bushel from the midpoint of last month’s projected range with the lower prices reported for July and August. At $6.90 per bushel – the 2012-13 price remains a record and well above the previous record of $6.22 per bushel in 2011-12.

Global coarse grain supplies for 2013-14 are projected 0.5-million tons lower mostly reflecting lower foreign corn production. Foreign 2013-14 corn production is lowered 2.5-million tons. Foreign corn beginning stocks for 2013-14 are raised 1.0-million tons. Global 2013-14 corn consumption is lowered. Global corn ending stocks for 2013-14 are projected 1.3-million tons higher.

RICE: U.S. 2013-14 rice supplies are increased 5.6-million cwt or two-percent because of increases in beginning stocks and production. Imports are unchanged from a month ago. U.S. rice production in 2013-14 is forecast at 185.1-million cwt – up 3.7-million from last month due both to an increase in area harvested and yield. Harvested area is estimated at 2.46-million acres – up 15-thousand acres from last month. The average yield is estimated at a record 7,511-pounds per acre, up 105-pounds per acre from last month. Long-grain rice production is forecast at 126.5-million cwt – up 1.8-million from last month. Combined medium- and short-grain production is forecast at 58.5-million cwt – up 1.9-million from a month ago. All rice beginning stocks for 2013-14 are raised 1.9-million cwt from last month to 36.4-million (rough equivalent basis) based on USDA’s Rice Stocks report released on August 27.

All rice domestic and residual use for 2013-14 is raised 4.0-million cwt to 116.0-million – down two-percent from revised 2012-13. The export projection is increased 2.0-million cwt to 98.0-million due mainly to the increase in exportable supplies – all of the increase in combined medium- and short-grain rice exports. All rice ending stocks are lowered slightly to 30.0-million cwt – with long-grain ending stocks increased 0.2-million and combined medium- and short-grain stocks reduced 0.9-million. The 2013-14 long-grain season-average farm price range is projected at $14.00 to $15.00 per cwt – unchanged from last month – compared to $14.40 per cwt for 2012-13. The combined medium- and short-grain farm price range is projected at $16.30 to $17.30 per cwt – up 50-cents per cwt on each end of the range from last month – compared to a revised $16.70 per cwt for 2012-13. The all rice season-average farm price is forecast at $14.70 to $15.70 per cwt – up 20-cents per cwt on each end of the range from last month – compared to $14.90 per cwt for 2012-13.

Projected global 2013-14 rice ending stocks are nearly unchanged from last month as the changes on the supply and use sides nearly balance. Global rice production is projected at a record 476.8-million tons – down 1.2-million tons from last month. Global consumption is lowered 0.9-million tons. Global exports are raised slightly from a month ago. Global ending stocks for 2013-14 are projected at 107.4-million tons – down less than 100-thousand tons from last month – but up 2.2-million from the previous year.

OILSEEDS: U.S. oilseed production for 2013-14 is projected at 93.2-million tons – down three-million from last month due to lower soybean, cottonseed and peanut production. Soybean production is projected at 3.149-billion bushels – down 106-million due to lower yield prospects, especially in the western Corn Belt. The soybean yield is forecast at 41.2-bushels per acre – down 1.4 from last month. Soybean exports are reduced 15-million bushels to 1.37-billion reflecting reduced supplies and increased competition from South America. Soybean crush is reduced 20-million bushels to 1.655-billion reflecting lower projected soybean meal exports and domestic soybean meal consumption. Soybean ending stocks are projected at 150-million bushels – down 70-million. Other changes for 2013-14 include reduced soybean oil production and exports. The 2012-13 supply and demand estimates include a five-million bushel increase in soybean imports to a record 40-million and a five-million bushel increase in crush. Ending stocks remain unchanged at 125-million bushels. The U.S. season-average soybean price is projected at $11.50 to $13.50 per bushel – up $1.15 on both ends of the range. Soybean meal prices are projected at $360 to $400 per short ton – up $55.00 at the midpoint. Soybean oil prices are projected at 43 to 47 cents per pound – down one-cent at the midpoint as large global vegetable oil supplies pressure prices.

Global oilseed production for 2013-14 is projected at 495.1-million tons – up two-million from last month. Gains in foreign production more than offset lower forecasts for the United States. Global soybean production is projected almost unchanged at a record 281.7-million tons. Soybean production for Brazil is forecast at a record 88-million tons – up three-million on increased area. Recent price strength and a weaker real are expected to provide incentives for soybean producers to increase area by four-percent from last year. Soybean production for China is reduced 0.3-million tons to 12.2-million on lower yields resulting from excess rainfall and flooding in the northeast. If realized – this would be China’s smallest soybean harvest since 1992-93. Global sunflowerseed production is raised 1.4-million tons to a record 41.8-million. Little change is expected for global soybean trade in 2013-14. Global oilseed stocks are projected at 81.2-million tons – up 0.5-million as gains for rapeseed and sunflowerseed more than offset lower soybean stocks.

SUGAR: Projected U.S. sugar supply for fiscal year 2013-14 is increased 328-thousand short tons, raw value from last month as higher production and imports more than offset lower beginning stocks. Projected sugar production is up 250-thousand tons – based on higher forecast sugar crop yields. Higher imports account for additional refined specialty sugar announced in the 2013-14 tariff rate quota (TRQ) and lower projected TRQ shortfall. With higher domestic production and TRQ entries – projected imports from Mexico are reduced. Total use is increased in line with the increase in 2012-13 use. Ending stocks for 2013-14 are increased to 19.5-percent of use – compared with 16.9-percent last month.

LIVESTOCK, POULTRY, AND DAIRY: The 2013 forecast for total red meat and poultry production is raised from last month. Beef production is raised in 2013 on greater cow and bull slaughter. The pork production forecast for 2013 is raised as lower hog slaughter in the second half is more than offset by heavier average carcass weights. Both broiler and turkey production are raised for 2013 based on the strength of production and hatchery data to date. Egg production is unchanged.

For 2014 – the total red meat and poultry forecast is reduced. The beef production forecast is raised – as higher second-half production increases more than offset a reduced first-half forecast. Placements are lowered for the third and fourth quarters in 2013 – but raised for first-quarter 2014 as more cattle are kept on pasture and winter wheat for placement early next year. Partly offsetting the increase in later-year marketings and relatively high early-year cow slaughter is a small reduction in carcass weights. Pork production is unchanged for 2014. USDA will release the Quarterly Hogs and Pigs report on September 27 – providing an indication of producer farrowing intentions into early 2014. For 2014 – broiler and turkey production forecasts are reduced as soybean meal prices are forecast higher and turkey returns remain under pressure through the early part of the year. The egg production forecast is lowered for 2014 as table egg production growth will be dampened by higher soybean meal prices.

Beef imports are reduced for 2013 based on the current pace of imports with a reduced forecast carried through 2014. Global beef supplies are tight and demand by competing importers is expected to limit growth in U.S. imports. Beef exports are higher for 2013 based on the strength of shipments to date. The forecast for 2014 is unchanged. Pork exports are raised for both years as export demand to countries in Asia and North America continues to be strong. The 2013 broiler export forecast is reduced as recent exports lagged expectations, but the forecast for 2014 is unchanged. Turkey exports are unchanged for 2013 but lowered for 2014.

Cattle prices for 2013 and 2014 are unchanged from last month. Hog prices for both 2013 and2014 are unchanged from last month. The broiler price forecast for 2013 is lowered based on current price weakness. The forecast for 2014 is unchanged. The turkey price forecast is reduced for 2013 on relatively weak demand and slightly higher production – but 2014 is unchanged from last month with slower forecast production growth. Egg prices are forecast higher for 2013 – reflecting current prices; the forecast for 2014 is unchanged.

The 2013 milk production forecast is reduced from last month – reflecting recent slower growth in milk production. The production forecast for 2014 is unchanged. For 2013 fat basis and skim solids imports are lowered slightly from last month. Exports are raised for 2013 and carried into 2014 on strong international demand for dairy products. With forecast export demand – fat and skim basis ending stocks are reduced in 2013 and 2014. Product price forecasts are mostly higher – with strong export demand and tightening supplies supporting increases for nonfat dry milk (NDM), butter and cheese prices in 2013 and 2014. The whey price forecast is unchanged for 2013 – but raised for 2014. With increased product prices – Class III and Class IV price forecasts for 2013 and 2014 are higher. The all milk price is forecast at $19.70 to $19.90 per cwt for 2013 and $19.35 to $20.35 per cwt for 2014.

COTTON: This month’s 2013-14 U.S. cotton supply and demand estimates include marginally lower production and lower exports compared to last month – resulting in a slight increase in ending stocks. Beginning stocks are raised 100-thousand bales to 3.9-million based on revised stocks data for July 31, 2013. Domestic mill use is unchanged – but exports are lowered 200-thousand bales due to increased competition for market share – mainly from India. The forecast range for the marketing year average price received by producers is lowered three-cents on each end to 69 to 85 cents per pound – reflecting recent market activity and prospects.

The world 2013-14 cotton supply and demand estimates show higher ending stocks resulting mainly from increased production. Production is raised 1.0-million bales.

***********************************************************************************************

“Biosecurity Guidelines Designed to Curb PEDV Transmission Risk”

Porcine Epidemic Diarrhea Virus – first identified in the U.S. last May – has created significant losses to some pork producers in many parts of the country. Manure is a primary way the virus spreads from pig to pig and farm to farm. To help reduce the risk posed by PEDV-infected manure – veterinarians and university experts working with the Pork Checkoff, the National Pork Producers Council and the American Association of Swine Veterinarians have created a set of guidelines for producers and commercial manure haulers. Pork Checkoff Vice President of Science and Technology Dr. Paul Sundberg notes fall is manure-application season – which makes this a critical time to follow a strict set of steps to help prevent the spread of this costly virus. He says communication between the manure hauling crew and farm managers and workers is the cornerstone of the new manure-handling guidelines. The new guidelines are available at www dot pork dot org slash pedv (www.pork.org/pedv).

***********************************************************************************************

“International Pork Safety Symposium Fosters Exchange of Knowledge”

The Safe Pork conference brought researchers from around the world together in Portland, Maine this week. Pork Checkoff Director of Pork Safety Dr. Steve Larsen – co-chair of Safe Pork 2013 – says the main goal of the conference is the exchange of knowledge between international researchers and representatives of authorities and industry who are active in all aspects of food safety related to pigs and pork. He says the meeting brings together many of the best researchers in the world who make pork safety their everyday job. Larsen says it’s gratifying to see the collaboration the event fosters to advance the international pork industry’s knowledge in the critical area of research. The conference reviewed evolving research in areas including on-farm pathogens, residues and environmental hazards. Participants from all major pork-producing regions of the world were updated on the various national and regional regulations and governmental statuses that can affect the use of production inputs.

***********************************************************************************************

“NFU Prez to Climate Change Task Force: Incentives Not Penalties”

Speaking at a Bicameral Task Force on Climate Change forum Thursday – National Farmers Union President Roger Johnson called for programs that incentivize more sustainable agricultural practices that reduce emissions rather than penalizing farmers through direct regulation. Johnson notes the U.S. agriculture sector is responsible for 6.1-percent of total U.S. greenhouse gas emissions – according to USDA – yet sequesters enough carbon to offset about 13-percent of the nation’s emissions. He says on-farm energy production has the potential to reduce greenhouse gas emissions and create an additional revenue stream for farmers and ranchers. According to Johnson – government policies like the Renewable Fuel Standard and farm bill energy programs must be in place to encourage on farm energy production.

NFU policy supports a national mandatory carbon emission cap and trade system to reduce non-farm greenhouse gas emissions and includes a carbon-offset provision that will minimize the negative effects to agriculture such as increased input costs and elevated electricity costs.

***********************************************************************************************

“USDA Pays Out More than 15-Million to Support Advanced Biofuel Production”

To support the production of advanced biofuel – USDA is making nearly 15.5-million dollars in payments to 188 producers through the Advanced Biofuel Payment Program. USDA Rural Development Acting Under Secretary Doug O’Brien says producing advanced biofuels is a major component of the drive to take control of America’s energy future by developing domestic, renewable energy sources. He says the payments announced Thursday represent the commitment of the Obama Administration to support an all-of-the-above energy strategy. O’Brien adds that the announcement serves as another reminder of the importance of USDA programs for rural America and the need for Congress to complete work on a comprehensive Food, Farm and Jobs Bill as soon as possible. Through this program – and others – USDA is working to support the research, investment and infrastructure necessary to build a strong biofuels industry that creates jobs and broadens the range of feedstocks used to produce renewable fuel.

The Advanced Biofuel Payment Program was established in the 2008 Farm Bill. Under the program – payments are made to eligible producers based on the amount of advanced biofuels produced from renewable biomass – other than corn kernel starch. Since the program’s inception – more than 290 producers in 47 states and territories have received 211-million dollars in payments. It has supported the production of more than three-billion gallons of advanced biofuel and the equivalent of more than 36-billion kilowatt hours of electric energy.

***********************************************************************************************

“Millions More in Funding Announced for Electric System Improvements”

Agriculture Secretary Tom Vilsack has announced funding to improve electric service for about seven-thousand rural customers through projects in seven states. The loan guarantees – made available through the Rural Utilities Service – include more than five-million dollars for smart grid projects. The Obama Administration has now invested more than 135-million dollars in smart grid technologies nationwide during 2013. According to Rural Utilities Service Administrator John Padalino – these investments will continue to ensure that safe, reliable and affordable electric service is available for rural residents, farmers and commercial and industrial consumers. He says this funding is part of the Obama Administration’s vision for a new rural energy economy and includes investments in smart grid technologies that modernize the nation’s electric system and improve system operation. Among other things – the more than 136-million dollars in USDA loan guarantees announced Thursday will help build more than 22-hundred miles of line.

***********************************************************************************************

“Thousands Take Advantage of BQA Certification Sponsorship”

Earlier this year – it was announced that Boehringer Ingelheim Vetmedica would sponsor the cost of Beef Quality Assurance certification for American cattlemen and cattlewomen between February 11th and March 15th. It has now been reported that more than 35-hundred beef producers took advantage of that sponsorship. David Korbelik – Director of U.S. Cattle Marketing for Boehringer Ingelheim – says they are delighted with the level of participation. He says it shows just how ready producers are to implement practices that better their operation and the industry – and that they understand how incremental changes can make a huge difference in the long run.

 

SOURCE: NAFB News Service

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

 
Follow

Get every new post delivered to your Inbox.

Join 73 other followers