Wednesday, January 31, 2007

Rice Producers: Farm Bill Must Continue to Provide a Strong Safety Net

The following is from the USA Rice Producers Association:


The farm bill proposal today by U.S. Department of Agriculture (USDA) Secretary Mike Johanns appears to fall considerably short of maintaining the viable safety net for farmers that is now in place, USA Rice Producers’ Group Chairman Paul Combs said today. That safety net, as provided in the current farm law — the Farm Security and Rural Investment Act of 2002 — works effectively for consumers and taxpayers, as well as farmers, Combs said. It has provided fiscally responsible policy, with savings in farm commodity programs projected at $25 billion over the six-year life of the law.

“The secretary’s proposal establishes further restrictions on eligibility for participation in commodity programs that would be entirely unworkable for U.S. rice producers,” Combs said.

“We have consistently expressed our support for maintaining current farm policy comprised of the three-pronged safety net of marketing loan, direct payment and countercyclical payment programs,” Combs said. “While some of today’s proposal may seem consistent with that position, other parts of the proposal cause great concern — such as the change to ultimately lower the loan rates for some commodities and the modification of the countercyclical program — and will weaken the safety net for rice.”

“We look forward to working with congressional agriculture committees as they work to develop a viable farm policy,” Combs said.

NCC raises concerns about benefit eligibility constraints

The following is the National Cotton Council's response to release of the Bush administration

MEMPHIS – On the eve of the National Cotton Council’s annual meeting, NCC Chairman Allen Helms, a Clarkedale, AR cotton producer, reiterated the cotton industry’s support for maintaining a farm program that provides a viable safety net and meets the needs of all segments of the industry.

“The Council has testified at numerous hearings about the success of the 2002 farm bill,” Helms said. “The combination of an effective marketing loan, direct payment and counter-cyclical program is the foundation of the 2002 farm bill.”

Chairman Helms noted that the Administration’s farm bill proposal continues a basic structure for commodity programs similar to the 2002 farm bill.

“However, our members will be concerned with several provisions, among which are the additional constraints imposed on benefit eligibility,” Helms added.

“We are entering our annual meeting where our delegates will further develop the Council’s policies that will shape our views on the upcoming farm bill. The Administration’s proposal brings additional ideas to what will be an intense debate. Our industry looks forward to working with Congress to craft a farm bill that will serve both U.S. cotton and U.S. agriculture in the future.”

Preliminary points on Bush farm bill proposal

We will have additional reports on the farm bill presentation this morning made by Ag Secretary Mike Joahanns this morning.

Preliminarily, here are highlights from USDA's press release and a related fact sheet. These are USDA's words, not ours:

  • Increase conservation funding by $7.8 billion, simplify and consolidate conservation programs, create a new Environmental Quality Incentives Program and a Regional Water Enhancement Program
  • Provide $1.6 billion in new funding for renewable energy research, development and production, targeted for cellulosic ethanol, which will support $2.1 billion in guaranteed loans for cellulosic projects and includes $500 million for a bio-energy and bio-based product research initiative
  • Target nearly $5 billion in funding to support specialty crop producers by increasing nutrition in food assistance programs, including school meals, through the purchase of fruits and vegetables, funding specialty crop research, fighting trade barriers and expanding export markets
  • Provide $250 million to increase direct payments for beginning farmers and ranchers, reserve a percentage of conservation funds and provide more loan flexibility for down payment, land purchasing and farm operating loans
  • Support socially disadvantaged farmers and ranchers by reserving a percentage of conservation assistance funds and providing more access to loans for down payments, land purchasing and farm operating
  • Strengthen disaster relief by establishing a revenue-based counter-cyclical program, providing gap coverage in crop insurance, linking crop insurance participation to farm program participation, and creating a new emergency landscape restoration program
  • Simplify and consolidate rural development programs while providing $1.6 billion in loans to rehabilitate all current Rural Critical Access Hospitals and $500 million in grants and loans for rural communities to decrease the backlog of rural infrastructure projects
  • Dedicate nearly $400 million to trade efforts to expand exports, fight trade barriers, and increase involvement in world trade standard-setting bodies
  • Simplify, modernize, and rename the Food Stamp Program to improve access for the working poor, better meet the needs of recipients and States, and strengthen program integrity

The Administration's 2007 farm bill proposals would spend approximately $10 billion less than the 2002 farm bill spent over the past five years (excluding ad-hoc disaster assistance), upholding the President's plan to eliminate the deficit in five years. These proposals would provide approximately $5 billion more than the projected spending if the 2002 farm bill were extended.

The Administration's Proposals Reform Commodity Payment Programs By:

  • Converting The Current Price-Based Countercyclical Program To A Revenue-Based Program That Is Responsive To Actual Conditions And Provides A Strong Safety Net. Under a price-based program, farmers who experience crop loss are often under-compensated while those with high production tend to be over-compensated. This new revenue program will factor in U.S. crop yield when determining crop payments to better target support.
  • Reforming And Modernizing The Marketing Assistance Loan Program For Program Commodities. The current law provides loan rates or price floors for corn, wheat, cotton, rice, soybeans, and other major crops. These price floors are set in law at high levels which have encouraged production and resulted in lower market prices. The proposals set loan rates for each commodity at 85 percent of the 5-year Olympic average (average of last five years excluding the high and low year). This change minimizes market distortions and encourages farmers to plant crops based on market prices instead of the level of subsidy payment.
  • Tightening Payment Limits And Working To Close Payment Loopholes. Under current law, farmers use the three-entity rule to establish corporations and other entities, which allow the amount of payments received to exceed statutory limits. These proposals eliminate the three-entity rule and tie payments to an individual. This plan also sets the subsidy payment limit for individuals at a total of $360,000.

To receive commodity payments, producers must also meet a limit on Adjusted Gross Income (AGI), which includes wages and other income minus farm expenses and depreciation. This plan reduces the AGI limit of $2.5 million to a new limit of $200,000. If a producer has an annual adjusted gross income of $200,000 or more, that individual would no longer be eligible for commodity payments. Internal Revenue Service (IRS) data for 2004 indicate that 97.7 percent of all American tax filers have an AGI under $200,000.

(Funding Outlined Below Reflects Ten Year Totals)

The Administration's Proposals Include An Additional $7.8 Billion To Protect Our Natural Resources Through Conservation Programs By:

  • Increasing The Acreage Limit On The Wetlands Reserve Program From 2.3 to 3.5 million acres. With this increase to the acreage cap, a total of 250,000 acres will be made available for enrollment annually.
  • Consolidating Cost-Share Programs Into The Environmental Quality Incentives Program And Creating A Regional Water Enhancement Program With An Additional $4.2 Billion In Funding. This newly designed EQIP program will increase the simplicity and accessibility of conservation programs and provide program flexibility that increases environmental benefits. The new water program will focus on cooperative approaches to enhancing water quality on a regional scale. This program will fill a void in the Federal government's conservation delivery system by facilitating a cost-share program to coordinate large-scale water conservation projects.
  • Continuing The Conservation Reserve Program At The Current Acreage Limit And Focusing Program Benefits On Lands That Provide The Greatest Environmental Benefit. This plan also gives priority to whole-field enrollment for lands utilized for biomass production for energy.

The Administration's Farm Bill Proposals Include More Than $1.6 Billion In New Renewable Energy Funding And Targets Programs To Cellulosic Ethanol Projects. These Proposals Advance Renewable Energy And Build Upon Farm Bill Energy Programs By:

  • Providing $500 Million For A Bioenergy and Biobased Product Research Initiative. Advances in technology play an important role in the future of renewable energy. Our scientists, farmers and entrepreneurs must coordinate efforts to continue improvements in crop yields and work to reduce the cost of producing alternative fuels.
  • Providing $500 Million For Renewable Energy Systems And Efficiency Improvements Grants Program. This program supports small alternative energy and energy efficiency projects that directly help farmers, ranchers and rural small businesses.
  • Providing $210 Million To Support An Estimated $2.1 Billion In Loan Guarantees For Cellulosic Ethanol Projects In Rural Areas. This program will advance the development of cellulosic ethanol production.

The Administration's Farm Bill Proposals Continue This Administration's Commitment To Rural America By Building Upon U.S. Department Of Agriculture Rural Development Programs. The plan includes $1.6 billion in guaranteed loans to complete the rehabilitation of more than 1,200 current Rural Critical Access Hospitals. It also includes $500 million to reduce the backlog of rural infrastructure projects such as water and waste disposal loans and grants.

The Proposals Target Nearly $5 Billion To Significantly Increase Support Of Fruit and Vegetable Producers Through Targeted Programs and by:

  • Providing $1 Billion For Research Programs Targeted To Specialty Crops. This initiative will include fundamental work in plant breeding, genetics and genomics to improve crop characteristics such as product appearance, environmental responses and tolerances, nutrient management and pest management.
  • Providing $3.2 Billion to Improve Nutrition Assistance Programs By Purchasing More Fruits And Vegetables. This funding will support efforts by schools and other participants to offer meals based on the most recent Dietary Guidelines for Americans by increasing the availability of fruits and vegetables to students participating in the National School Lunch and Breakfast Programs and to participants in other nutrition assistance programs.

The Administration's Farm Bill Proposals Increase Trade Programs By Nearly $400 Million To Continue The Creation, Expansion and Maintenance Of Agricultural Exports By:

  • Increasing the Market Access Program by $250 Million. This initiative allows partnerships between the U.S. Department of Agriculture and non-profit domestic agricultural trade associations to share the costs of overseas marketing and promotional activities such as consumer promotions and market research.

The 2007 farm bill proposals spend approximately $10 billion less than the cost of the 2002 farm bill over the past five years (excluding ad-hoc disaster aid) and uphold the President's plan to eliminate the deficit in five years. These proposals authorize approximately $5 billion more than the projected spending if the 2002 farm bill were extended.

Related links:


Our web site is now in the
most important place on earth:

The middle of your field.

Point your cell phone's web browser to agfax.com/m. That's the portal for our new mobile web site. You'll find commodity quotes and analysis for cotton, rice, corn, soybeans, wheat and livestock, plus ag news updates. All streamlined for quick, easy viewing. No passwords, no ID, no charge.*

More info from your desktop: agfax.com/m/faq.

* There are no fees to use our site. Your cell phone carrier may assess for internet usage.

Tuesday, January 30, 2007

Ark. Plant Board: 10 of 156 samples positive for LL traits

From a press release...

Arkansas State Plant Board Continues Testing for Liberty Link Traits

Little Rock, January 25, 2007 – As part of its testing for rice seed for planting in Arkansas, the Arkansas State Plant Board has received results from 156 rice lots, and 10 of those have tested positive for the Liberty Link trait.

The limited amount of detection was in a single variety of rice, CL131, and a large volume of CL131 seed without the trait remains on the market. However, the early detections are not yet conclusive. It is not currently known if these detections are of LL601, LL62, or something else. Additional work is required before the ASPB has a better understanding of the issue.

Test results will follow the respective lot from its seller to a farmer purchasing seed and from the farmer to the market.

The ASPB adopted regulations December 28, 2006, requiring testing of all rice seed to be planted in Arkansas in 2007 for LL traits.

“The Arkansas State Plant Board adopted these regulations to eliminate any additional LL traits from the system as soon as possible,” Darryl Little, Arkansas State Plant Board director, said, “Although the Food and Drug Administration have declared LL RICE 601 safe and environmentally sound, we want to take every precaution to protect our rice markets.”

Trace amounts of LL RICE 601 variety were found in U.S. long grain rice last fall before the variety received FDA and USDA approval. This bioengineered rice variety features a protein which protects the rice from glufosinate-ammonium herbicide.

For additional questions, please call Terry Walker, Arkansas State Plant Board, @ 501-225-1598.

Johanns announces $9.4 million to restore Cache River hardwood forests

From a USDA press release...

Ag Secretary Mike Johanns today announced a $9.4 million conservation partnership with Arkansas Governor Mike Beebe to restore more than 6,000 acres of hardwood tree forests and wetlands in the Cache River/Bayou Deview watersheds, located in the northeast counties of Monroe, Prairie and Woodruff.

"Establishing native plantings through the Arkansas CREP will provide habitat for wildlife, including threatened and endangered species," said Johanns. "The Arkansas CREP's additional goals of reducing soil erosion, improving water quality and sequestering carbon emphasizes USDA's and Arkansas's commitment to our environment."

The Arkansas Cache River/Bayou Deview Watershed CREP seeks to enroll 6,250 cropland or marginal pastureland acres to significantly restore bottomland hardwood forests and wetlands that wildlife use for breeding, foraging and survival. The CREP will decrease soil erosion and improve water quality in the watersheds by reducing sediments and nutrients entering streams from agricultural sources.

Joahanns will release farm bill proposals at Tunica on Wednesday

U.S. Ag Secretary Mike Joahanns will stop in Tunica, Miss., on Wednesday for a briefing session on the Administration's Farm Bill proposal, according to a memo from the Mississippi Farm Bureau Federation. The session will be held at the Tunica Airport starting at 1:15 p.m.

This apparently is the first presentation the administration will make on its proposed farm bill.

The stop is part of a flying trip to blitz key ag regions in the last half of the week. A stop is planned that evening at a farm show in Iowa. On Thursday, another session will be held at the Stanislaus County Agriculture Center in Modesto County, starting at 8 a.m.

The secretary jets to Nashville, Tenn., after that for an appearance on RFD-TV Thurday night, followed by a presentation Friday at the National Cattlemen's Beef Association annual convention, also in Nashville.

NOTE: After initially posting this, an announcement about a web cast appeared on the USDA web site.

Monday, January 29, 2007

Bird-repellent seed treatment receives Section 18 for corn in upper Midwest

From a press release today...

Arkion Life Sciences LLC has been notified by the United States Environmental Protection Agency (EPA) of approval of a Section 18 application for the States of Wisconsin, Michigan and Minnesota, to protect corn seed from damage by cranes. This approval has been granted after an Emergency Crisis Exemption was issued last spring for use of their proprietary bird repellent, Avitec.

Each day after planting a single crane can destroy enough young corn plants to decrease yield by 3-1/2 bushels. Over the six weeks of feeding opportunity in the spring, this amounts to almost 150 bushels of corn per bird unless a practical solution is used.

According to Ken Ballinger, Vice President for Arkion Life Sciences, Arkion was given the unusual Emergency Exemption last spring to give farmers in the upper Midwest a way to protect corn with a non-toxic seed treatment. A new liquid formulation of the product is available to pre- treat the seed prior to planting.

Michael Braverman of the IR-4 Project at Rutgers University continues to organize meetings with the USEPA to discuss the risk assessment and registration of Avitec. IR-4 is conducting residue trials to insure the bird repellent is not found in the harvested crop or in the plant tissue.

Jeb Barzen, Wildlife Biologist for the International Crane Foundation, continues to oversee the collaboration between the EPA, various governmental agencies in the three states, four grower organizations and several non-profit conservation organizations involved in the launch of this innovative solution to a growing agricultural problem. "The International Crane Foundation is on the forefront of solving crane conflict situations with agriculture while protecting cranes in their natural habitat."

Sunday, January 28, 2007

Minor levels of leaf rust showing up now in Louisiana wheat

Stephen A Harrison, LSU AgCenter small grain breeder, reported late last week that there had been one report of minor levels of leaf rust on wheat in Louisiana.

“I have not heard any reports that would justify a fungicide application,” he reported in a memo sent to Extension agents. “I think we are weeks away from considering any kind of control measure. The warm weather we had the first half of January has pushed wheat along and is a contributing factor in the early development of leaf rust.”

Harrison also reported:

Oat stem rust turned up at the Ben Hur Farm in Baton Rouge in mid-fall and has continued to develop slowly. “ I first noticed oat crown rust at this site around January 10, and this has really exploded, with ideal temperatures for development and lots of free moisture. We have had a lot of cloudy weather and rainfall since mid-December and wheat around the state is suffering some from waterlogging and lack of sunshine, particularly on heavy and poorly drained soils. It is certainly a good year to have wheat on raised beds.”

Waterlogging is very evident. “A lot of wheat is pale and hungry.” Several weeks of dry weather would improve the appearance of this wheat, he added. “Growers may be justified applying a little nitrogen early this year to help green those fields up and get the wheat back on track. Topdress nitrogen applications should start going out in south Louisiana in early February, between leaf elongation and appearance of the first node. Given how wet our soils are it might be wise to fly on a split application. We have just about completed weed control activities in our nurseries at Winnsboro and Baton Rouge. Wet fields have made herbicide applications difficult. We will start topdressing as early as next week if weather permits.

Weed control, particularly Poa annua, has been a concern. “It has been too wet for many growers to get in the field, and much of the Poa is heading out. The dollarvalue of controlling Poa is questionable once it starts to head out. It is very hard to kill at that stage and will die pretty soon anyway.”

Cold weather is coming. “It is going to get cold again Sunday night, with temperatures in the 25-28 F range for north Louisiana and just a little warmer in south Louisiana. It has been pretty warm lately, and wheat is a little tender. But I do not expect any significant damage to occur. The majority of our wheat is too young for 26 F to cause significant damage. There may be a few fields that were planted too early have jointed out. These could suffer some damage but also have lots of time for secondary tillers to compensate.”

Thursday, January 25, 2007

Reader Comment: Monsanto-DPL Merger

From Samuel C. Wilson:


There are all kinds of athletic shoes: running shoes, cross-trainers and basketball sneakers to name a few. The three largest athletic shoe brands – Nike, Adidas, and Reebok – design models in various styles. Nike has its "Shox", Adidas its "Shelltoes" and Reebok markets its old-school "Pumps".

But regardless of style and design, one common component to all of these shoes is the shoelace.

Now, imagine if one of these brands was able to acquire - through merger - the company that produces all shoelaces.

The newly merged company could decide to only license laces that fit their brand. Athletic shoe consumers would then be limited in choice, only able to purchase one brand of shoes (those with laces) while the other brands would have lost any incentive to maintain production as their shoes would then be essentially unwearable (without laces).

This scenario is now analogous to a similar pending merger in an entirely different industry, cotton production. Monsanto, the agricultural biotech and seed giant based in St. Louis, is making a second attempt to acquire cotton seed giant Delta & Pine Land (the largest in the US at $417 mil in annual sales), based in Scott, Mississippi.

The antitrust and financial crowds have weighed in and are speculating in anticipation of the Department of Justice's decision, but it's likely that farmers are the most nervous. If the cotton seed market is allowed to be monopolized – seeing vertical integration from the biotechnology involved (the shoelaces) to the actual supply of the seed (the shoes) – it only follows that Monsanto's other two strongholds – corn and soybeans – could be streamlined as well. Eventually, the markets for the nation's most lucrative three cash crops could be under Monsanto's control from top to bottom.

Most of Monsanto's preventive biotech traits have been successful. It could be argued that they have allowed more people to eat because the farming process has become more efficient and cheaper – and farming has been made possible in more parts of the world. But the problem lies in the quality of the product. Farmers surely enjoy the choice of using seeds and seed traits that best suit their local conditions. Sometimes these products are developed and sold by independent retailers, so eliminating these competitors diminishes the farmer's choice and, ultimately, the choice of the consumer.

It seems that the interests of the farmer and consumer – a much larger community than the antitrust and financial commodities crowds – are the most closely aligned. If they can't get the laces, we can't wear the shoes.

- Samuel C. Wilson is a third year student at the George Washington University Law School in Washington, D.C.

EPA grants Section 18 for Trebon for rice water weevil control in Louisiana

Trebon 3G has received a Section 18 permit for control of rice water weevils in Louisiana for 2007. The insecticide - which goes by the chemical name etofenprox - is manufactured by Mitsui Chemicals.

A maximum of 225,000 acres of rice in specified parishes can be treated under the label, according to a memo issued by the U.S. Environmental Protection Agency.

For more information on restrictions and specs, click here to download the memo.

Monsanto: Vistive soybean premiums increasing

From a Monsanto press release today...

Monsanto and U.S. soybean processors are increasing the premium on grain harvested from Vistive low-linolenic soybeans. For 2007, growers will be able to earn a premium of 55 cents to 65 cents per bushel on Vistive soybeans -- nearly double the average 30-35 cent bushel premium offered in 2006. While 2007 orders of Vistive low-lin soybeans already surpass last season's levels, Monsanto and participating processors are seeking to secure incremental acres of Vistive soybeans to meet the growing demand for low-linolenic oil by food companies and capitalize on this new soybean market opportunity for the U.S. soybean farmer.

This premium applies to all existing and new orders and is available as long as seed supply and processor capacity is available. Growers are encouraged to contact seed suppliers and processors as soon as possible. Vistive soybeans will be available to farmers for the 2007 season in Iowa and parts of Indiana, Illinois, Minnesota, South Dakota, Nebraska, Michigan, Ohio, Delaware and Maryland.

Louisiana soybean meeting highlights

From an LSU press release...

Louisiana soybean specialist David Lanclos said he expects Louisiana soybean acreage to remain static at 800,000 acres. Last year’s harvest set a record at 35 bushels an acre, compared to the 2005 harvest of 34 bushels. "The record is a big compliment to our producers, consultants and county agents," Lanclos said during the Jan. 18 Louisiana Soybean Association meeting.

During his presentation, Lanclos:

Advised farmers in
South Louisiana to plant Maturity Group V beans, although he said some farmers will pick Group IV varieties. Insects and diseases are worse south of Alexandria, he said, which limits yields.

Noted that raised beds continue to out-produce flat ground by 5 bushels to 7 bushels per acre because of superior drainage, he added.

Called irrigation a worthwhile expense, but emphasized that it’s best used on furrows.

Another speaker during the meeting, LSU AgCenter plant pathologist Dr. Boyd Padgett said the threat of Asian soybean rust will continue. Last year, the disease was found in 274 counties among 26 states, he said, including 26 parishes of Louisiana.

For 2007, the disease already has been detected in Alabama, Florida and Georgia, he said, adding that monitoring in Louisiana is focusing on kudzu patches. "It seems we’re starting to see the disease earlier and earlier every year," Padgett said.

Jonathan Siebert, Monsanto research manager, outlined several genetically modified soybeans under development by the company. He said 21 countries have accepted new crops developed with biotechnology. Varieties in the pipeline include beans that have insect protection, nematode resistance, drought tolerance, increased yields, Dicamba herbicide resistance and high levels of Omega 3 fatty acids.

Siebert said acreage will increase this year for Monsanto’s Roundup Ready Vistive beans that reduce trans fats in cooking oil. Kentucky Fried Chicken will be the major user of the product, he said.

Georgia farmers happy with early corn prices

From a University of Georgia press release today...

Corn farmers should have a lot to smile about in 2007. A massive demand for their crop has pushed prices to the highest in a decade, said experts here Tuesday. But it could be a volatile ride.

"If you're growing corn, you're growing a product that has a home that doesn't have to depend on exports or anything else ... which is a big, big bonus," Lewis Campbell, a corn marketer with South Carolina-based Palmetto Grain Brokerage, told participants at the 2007 Corn Short Course and Georgia Corn Growers Association meeting. As he noted:

  • Corn prices have jumped by almost $2 a bushel from last year to between $3.75 and $4 a bushel today. (A bushel is about 56 pounds.) Prices haven't been this high since 1996, when there was a decrease in supply due to fewer planted acres and low yields in the United States.
  • World corn supplies have decreased in recent years from about 181 million metric tons to 93 million, he said. But the surge in prices this year can be attributed largely to the increase in demand for corn to fuel the expanding U.S. ethanol industry, he said.A bushel of corn can yield almost 3 gallons of ethanol. Currently, 111 ethanol refineries in the United States produce about 5 billion gallons annually. Production is expected to double in the next two years, according to the Renewable Energy Association Web page.
  • U.S. corn growers will need to grow an additional 10 million acres this year to meet demand. Last year, farmers harvested about 71 million acres for grain.
Prices should stay high. "But volatility will be the name of the game," Campbell said. Increased trading by mutual funds and investors in commodities futures could make the market rocky through to harvest time. In recent years, corn prices would fluctuate little from week to week.

"Now, it moves 20 cents in a day," Campbell said. "It's hard to take your emotions out of it, but it's going to be like that all summer long."

Pencil to paper, corn right now looks as good or better economically than other traditional Georgia crops like cotton and peanuts, said Nathan Smith, a University of Georgia Cooperative Extension agricultural economist. This is not usually the case. "In Georgia, corn is not often the crop farmers plant to pay the bills," he said in an interview after the meeting. "But this year, it should take care of a few."

It's too early to say by how much, but farmers will certainly plant more corn in Georgia this year, he said. Georgia farmers harvested about 225,000 acres last year for grain. They'll likely increase that to 300,000 or more this year, the highest since the late 1990s.

Georgia is a corn-deficit state. Georgia farmers produce 30 million bushels annually, about a quarter of what is needed to feed the state's livestock and large poultry industry each year.

EPA approves Syngenta's stacked worm traits in corn

From a Syngenta press release this morning:

Syngenta announced today that the US Environmental Protection Agency (EPA) has approved the stacked combination of its new corn rootworm trait with its European corn borer trait. This approval also enables Syngenta to launch its triple stacked corn that includes glyphosate tolerance. The double stack, Agrisure(TM) CB/RW, will be available in limited quantities for the 2007 growing season and the triple stack, Agrisure GT/CB/RW will be available for 2008.

"The approval of the stacked insect traits marks another milestone in our strategy to offer a highly competitive portfolio of proprietary biotech products to growers in the world's largest corn market," says Mike Mack, Chief Operating Officer of Syngenta Seeds. "As we scale up hybrid production over the next two seasons, this will enable Syngenta to drive growth and market share into the next decade."

This registration follows the first EPA approval for the corn rootworm resistant trait in October 2006. The stacks will be available to US growers in various combinations through elite hybrids from Garst(R), Golden Harvest(R) and NK(R) in addition to single trait offerings. Syngenta also plans to offer the single and stacked traits for use in other leading seed brands through its GreenLeaf Genetics joint venture. USDA authorization to ship the double stack trait is expected for the 2007 growing season.

Wednesday, January 24, 2007

Cotton: When is this thing going to turn around?

From Johnny Parker's commentary today on the Commonwealth Gin web site (Windsor, Va.):

You would think this cotton market could get it right.


POP payment will probably make a new high on Friday for 2007 when just the opposite is what we want.
So anyway, I guess the question will remain "when is this thing going to turn around?" Even for cotton in the loan, the POP payment is used in calculating the value of how much more equity remains in the cotton. I have been reading the posts and comments that indicate that we should see some positive developements sooner or later.

While I am hopeful, this marketing stuff tends to train us to remain skeptical. Most of us folks on the cotton production side of the cotton industry are hoping for some big price increases both to finsh up with this years crop, and to give us some incentive to plant as much cotton as we have been planting. Currently 100 bushel corn can make as much money on a piece of land as an 800 pound cotton crop in this region so the price of cotton needs to go higher if it is going to be better than corn.

Commonwealth Gin provides advice on production and marketing of cotton. Information contained herein is from sources believed to be reliable, but is not guaranteed as to accuracy or completeness. No responsibility is assumed with respect to any statement, nor with respect to any expression of opinion herein contained. All views are the opinions of the author and no statement should be construed as an offer to buy or sell a commodity. This publication is for information purposes only.

Monday, January 22, 2007

Scientists map air pollution using corn

From a University of California-Irvine press release

Scientists at UC Irvine have mapped fossil fuel air pollution in the United States by analyzing corn collected from nearly 70 locations nationwide.

This novel way to measure carbon dioxide produced by burning coal, oil and natural gas will help atmospheric scientists better understand where pollution is located and how it mixes and moves in the air. Tracking fossil-fuel-emitted carbon dioxide will be important as countries throughout the world adhere to the Kyoto Protocol, an agreement among nations to reduce greenhouse gas emissions. The United States signed the protocol, but the treaty has not been ratified by the U.S. Senate.

"Many nations are facing increasing pressure to monitor and regulate the release of carbon dioxide from fossil fuel sources to limit greenhouse gas warming," said James Randerson, associate professor of Earth system science at UCI and co-author of the study. "This method can help determine how much fossil fuel carbon dioxide is coming from different regions."

The study appears Jan. 23 in Geophysical Research Letters. Atmospheric scientists typically measure carbon dioxide by collecting air samples, but this is the first time fossil-fuel-emitted carbon dioxide has been mapped using plants.

Expert Predicts Abundant, Affordable Crawfish

From LSU press release:

Louisiana
consumers begin looking forward to crawfish almost as soon as the holidays end. Some producers already are harvesting, and it looks like 2007 will be a good year for crawfish, according to an LSU AgCenter expert.

"There are some ponds that are already producing really well for this time of the year," said LSU AgCenter aquaculture specialist Dr. Greg Lutz, adding that a decent crop could mean good prices for consumers. "I think the typical consumer approach to crawfish is: Can I get it and can I afford it?" Lutz said. "And I think the answer to both of those questions will be ‘yes’ this year."

What happens in the summer affects the outcome of the spring’s crawfish crop. Dry summers have devastated the crawfish industry in the past, but this summer stayed wet enough to encourage good survival and reproduction in the crawfish burrows.

"Overall it looks like we got through the summer and fall in pretty good shape," Lutz said.

Recent rain events have helped keep the ponds fresh, the water quality good and oxygen levels up. Other weather conditions also have helped the crop, according to the LSU AgCenter expert.

"It’s been a fairly mild winter, and that just lets the crawfish keep growing all through the winter," Lutz explained.

On the downside, Lutz said remnants from Hurricane Rita and the salt water the storm brought inland are still affecting a few crawfish ponds in southwestern Louisiana. The salty conditions made it difficult to plant vegetation in some rice fields that are double-cropped with crawfish. Without such vegetation, crawfish don’t have a good food supply through the fall and winter.

Crawfish acreage this year is slightly lower than recent years. But Lutz said he expects producers will harvest from about 100,000 acres of crawfish ponds. Last year, Louisiana’s pond-raised crawfish, which were harvested from about 117,000 acres, had a gross farm value of $40 million, according to the LSU AgCenter’s Louisiana Summary of Agriculture and Natural Resources.

Sunday, January 21, 2007

Cotton Folks: Stay close to your computer this week

From Johnny Parker, Commonwealth Gin, Windsor, Virginia, in his web commentary on Friday:

"POP payment only dropped by just a few points and will remain at 7.66 through next Thursday. Even for cotton in the loan, the POP payment is used in calculating the value of how much more equity remains in the cotton. This coming week will be a good week to stay close to your computer. Most of us folks on the cotton production side of the cotton industry are hoping for some big price increases, both to finish up with this year's crop and to give us some incentive to plant as much cotton as we have been planting. Currently 100-bushel corn can make as much money on a piece of land as an 800-pound cotton crop in this region, so the price of cotton needs to go higher if it is going to be better than corn."

Friday, January 19, 2007

Cold Weather Helping Rio Grande Producers

From a Texas A&M press release:

The recent cold blast responsible for so much chaos throughout the state may have helped agricultural producers in the Lower Rio Grande Valley. Temperatures that failed to drop below freezing likely improved the quality of citrus, made sugarcane easier to harvest and knocked back populations of insect pests in onions, experts say.

"Temperatures here didn't manage to drop below 34 degrees; so as long as it doesn't freeze, it's mostly good for agriculture in deep South Texas," said Dr. Bob Wiedenfeld, a Texas Agricultural Experiment Station soils scientist at the Texas A&M University System Agricultural Research and Extension Center at Weslaco.

Here's the situation as of late this week:

Citrus: "January is when our citrus tastes the best," he said. "Sugars accumulate in cold weather, so our citrus is very sweet right now. The leaves of sugarcane tend to dry up with this cold weather, which makes mechanical harvesting easier, and it helps knock back populations of insect pests."

Dr. Luis Ribera, a Texas Cooperative Extension agricultural economist, said the estimated $2 billion dollar loss to California's citrus, strawberry and avocado crops due to sub-freezing temperatures would boost citrus prices and increase imports of those products. "What's bad for Florida or California citrus crops is usually good for us in that citrus prices will go up for our growers," he said.

Onions: Dr. T-X Liu, an Experiment Station entomologist, said the cold snap slowed the buildup of insect pests in onions at a very critical time. Rio Grande Valley onions are planted in October and harvested in April.

"This is the time of year that onion growers watch for populations of onion thrips very closely," he said. "Before this cold snap, thrips populations were increasing rapidly, meaning growers were preparing to treat those populations with insecticides. But now, their populations have dropped, or at least slowed down their rapid increase for a couple of weeks, which is very good news for growers."

Sugarcane: Humberto Vela, manager of public relations and safety at the state's only sugar mill in Santa Rosa, said 60% of the area's sugarcane crop was still in the field, but doing well.

"Cool weather helps the sugars accumulate so we've been having good sugar yields in our harvest to date," he said. "In order to start seeing damage to the crop, temperatures have to drop to 26 degrees for at least four hours, and we got nowhere near that. Barring any delays, we should finish harvesting the crop by mid-May."

Cotton, grain sorghum: Short soil moisture in some areas of the Valley may be a problem as growers gear up to plant cotton and sorghum in mid-February, necessitating pre-plant irrigation, Wiedendfeld said.

Warm Fall, Winter Aids Kentucky’s Late Wheat Crop

From a University of Kentucky press release:

Kentucky’s wheat farmers struggled to finish planting this past fall, but warmer than normal temperatures since then have given the crop a needed boost. Generally, wheat planted beyond the optimal planting dates is more likely to sustain yield losses, although that is not always the case, said Jim Herbek, grain crops specialist with the University of Kentucky College of Agriculture. Weather and timely, appropriate fertilizer applications can help offset the possible yield lag.

“We couldn’t ask for any better weather,” he said. “Now, nitrogen management is important. Farmers need to look at their crop and determine if they should invest more money in it, and most will.”

Herbek said for the past few years, Kentucky producers have seen their share of planting delays – primarily from too wet conditions, but at least once because of extreme dryness.

Generally about 60 percent of the state’s wheat crop is planted between Oct. 10 and Oct. 30 – the optimum planting window – with 20 percent planted ahead of that and another 20 percent planted in the first two weeks of November. However, 2006 was different. By the end of the optimum planting time, about 70 percent was planted – 10 percent below normal. But the biggest difference was in the first two weeks of November when only about 5 percent more was planted, leaving 25 percent planted much later than normal and perhaps some not planted at all.

The disadvantage of late-planted wheat is that there is limited plant growth before dormancy sets in and that reduces tiller development. There is also a greater risk for winter injury and slightly later maturity.

Most of the disadvantages can be offset by warm winter weather conditions as well as dry, cool temperatures in the spring when wheat is making seed. A warm fall and winter allow for more plant growth than what would occur under normally cooler conditions. It can also aid in obtaining better wheat stands and winter survival as opposed to a cool fall and winter.

“The weather so far has been a positive,” Herbek said. “With the exception of one week in early December we’ve been averaging five degrees above normal. That will help plant growth and development. Whether this is going to continue, I don’t know. But those (farmers) with late-planted wheat have had the crop emerge with good stands and plant growth up to this point. That’s in their favor, in terms of how this wheat is going to turn out.”

“Spring nitrogen applications are going to be critical to increase tillering on late-planted wheat, which is what we want,” Herbek said. “I think in this case, split applications are justified. About 60 pounds of nitrogen per acre should be applied in mid February to stimulate tillering with the second application of 30 to 45 pounds of nitrogen per acre made in March prior to the wheat jointing.”

Cell phone shift may not be positive for rural areas

One trend that may have consequences for rural phone users down the line - no pun intended - is the continued abandonment of hard-wire telephone service by urban people. The number of people using hard-wire phone service is declining in many cities as more people opt to make cell phones their primary voice communications medium. If they want internet service, it's often supplied through their cable connections.

According to an Associated Press report today, 1 in 8 American households no longer have hard-wire phone connections. That compares to 1 in 20 just 3 years ago. Consumers are dropping wired connections at the rate of about 1% every 6 months, said the report. The data came from surveys conduted by the federal Centers For Disease Control And Prevention, which were collected in its National Health Interview Survey.

For rural Americans - who often live too far from cell towers for reliable wireless service - the trend could mean higher telephone costs in the future as urban dwellers give up conventional phone service. That would spread the cost of maintaining wired services over a smaller customer base.

Wednesday, January 17, 2007

Cold Weather Hits Kudzu, May Help Delay Soy Rust

After a long stretch of warm weather, winter has returned to the Midsouth and Southeast, and that may be good news in terms of soybean rust. Cold weather and freezing temperatures will help burn back lingering kudzu, which is an over-wintering host for soybean rust.

In the first 12 days of January, 3 instances of soybean rust were reported, 2 in Alabama and 1 in Georgia, all on kudzu.

This week, winter storm or freeze advisories began popping up in the weather forecast, and the radar showed a widespread system with at least a little sleet or freezing rain. Temperatures and freezing rain have been reported throughout much of the Midsouth and even a bit into Gulf Coast areas. While nothing as drastic as freezing conditions that have hit Oklahoma and Texas, there is at least the chance for freezing rain as far south as Interstate 20, with freezing temperatures dipping down toward the coast. Sleet has already spread across parts of Louisiana this morning, and that is now spreading into Mississippi.

Take the poll: With Democrats, how will cotton be affected and why?

Below is the original post for this item.

Unfortunately, Cotton Farming has shifted to its next survey now. The question:

What factor will influence your number of cotton acres - up or down - and why?

To participate in that survey, click here.

ORGININAL POST:

Cotton Farming magazine's web poll this week asks a timely question:

With the Democrats taking control of the House and the Senate, how will cotton be affected and why?

If you'd like to take the survey, click here.

You also can click on a link on the page to see comments that farmers have made, so far.

DuPont inks supply agreement for new Mitsui fungicide

DuPont today announced the completion of supply agreements with Mitsui Chemicals, Inc. for the fungicide active ingredient Penthiopyrad.

DuPont and Mitsui had previously signed a joint development agreement for new fungicides using Penthiopyrad. According to a DuPont press release, it controls a broad spectrum of diseases, such as Botrytis in fruits and vegetables and Septoria in cereals. Penthiopyrad is highly effective against a broad range of damaging plant diseases, some of which have developed resistance to fungicide chemistry classes, the release said.

First sales are scheduled for 2010. The license from Mitsui covers sales in the European Union, Australasia, and the Americas.

"By enhancing our fungicide portfolio, we are able to better meet the needs of our global customers for cutting-edge products that help them be successful in the marketplace," said James C. Collins, Jr., vice president and general manager - DuPont Crop Protection.

Monday, January 15, 2007

UAP announces second Midwest acquisition this month

UAP Distribution, Inc., announced an agreement with Boettcher Enterprises to acquire certain assets of its Kansas and Nebraska ag retail distribution business including real property, retail locations, equipment and storage tanks.

It was UAP's second announced acquistion in the Midwest this month.

In this 2-state region, the acquisition should further UAP's strategy to expand retail market share, according to a press release this afternoon. Boettcher has had a long standing wholesale relationship with UAP and has been one of UAP'slargest wholesale customers in that area. The acquisition is expected to close in this fourth fiscal quarter,the release stated.

"The acquisition of Boettcher Enterprises' distribution business greatly enhances UAP's presence in this key mid-western market," said Kenny Cordell, UAP Holding Corp.'s chairman, president, and CEO. "The expansion of our retail distribution through a quality organization such as Boettcher Enterprises is truly a great opportunity."

Earlier this month, UAP announced an agreement with AGSCO, Inc. to acquire certain assets of its retail distribution business and its affiliated services businesses, Ag Depot, Inc. AGSCO has multiple retail locations in Minnesota, Montana, North Dakota, and South Dakota and approximately 37 sales people.

Continuous Corn Increases Pest Pressure

From a University of Kentucky Press Release:

With higher prices leading farmers to grow more corn, many fields in Kentucky will be planted in corn for subsequent years. However, farmers need to be aware of the increased pest pressures caused by continuous production.

“We don’t want to discourage people from doing what the market tells them,” said Ric Bessin, an entomologist with the University of Kentucky College of Agriculture.

But, he said, pest specialists do want farmers to be aware of potential problems and to protect their crops when possible. That means watching for corn rootworm. Rootworms chew off the roots damaging the plant’s productivity. In some cases it can completely kill the plant. The rootworm is a potential problem in continuous corn production and the risk increases with each subsequent year, Bessin said.

Remember rootworms. Kentuckyarmers using continuous production need to be scouting fields in June looking for the rootworm beetle, Bessin said. If an average of one beetle per plant is found, a producer needs to rotate that field into another crop for one year or use a soil insecticide, a Bt corn variety with rootworm control or a seed treatment.

Remember diseases. Several diseases can be more active in continuous corn production as well, particularly diseases caused by pathogens that survive on crop residue or in the soil. These include gray leaf spot, diplodia ear rot, anthracnose stalk rot and top dieback, pythium seedling diseases, and northern leaf blight.

  • Gray leaf spot is a significant threat wherever corn is grown year after year, said Paul Vincelli, UK plant pathologist. It is spread by wind and rain to leaves of new corn from residue of the previous growing season. Tillage practices can reduce levels of inoculum, but crop rotation is a key management practice as well. In the absence of rotation, susceptibility to gray leaf spot should be carefully considered when selecting a hybrid. Hybrids have differing levels of partial resistance. “When growing continuous corn, always select hybrids with as high a level of resistance as you can against gray leaf spot,” Vincelli said. “This is particularly important in fields under conservation tillage, in which corn residues provide high amounts of inoculum.”
  • Diplodia ear rot does not cause damage in most corn fields but it can occasionally cause severe epidemics, rotting as many as 50 to 75 percent of the ears in a field. The fungus only attacks corn and survives on residue. Therefore, continuous production allows the pathogen to build up to potentially destructive levels. Whenever planting corn after corn, Vincelli recommends farmers check with their seed dealers to determine if the company specifically breeds hybrids with partial resistance to the disease. Some companies do, while others do not.
  • Anthracnose top dieback. There was quite a bit of anthracnose top dieback in 2006, so Vincelli said he suspects inoculum levels are “rather high” in many fields. This disease can affect yield, and the lower stalk rot phase of anthracnose can affect harvestability. Farmers need to plant hybrids with resistance in fields where they noticed the disease.
  • Northern leaf blight. Kentucky farmers also should select hybrids with resistance to this one.This disease also survives in crop residue and has re-emerged in the past several years as a serious limitation to yields in Kentucky fields where susceptible hybrids are grown. Also, pythium seedling diseases can cause seed decay and seedling death as well as damage root hairs and young rootlets, causing reduced vigor and ultimately impacting yields. Seed treated with fungicide targeting pythium are a low-cost means of combating the disease.

Corn itself can prove to be a nemesis in continuous corn production. “Volunteer corn traditionally has not been a problem in Kentucky, but the past two seasons it has been especially in the Green River area and likely will be in the 2007 growing season,” said Jim Martin, UK weeds specialists. It can be a particular challenge if the volunteer corn is a glyphosate-resistant hybrid because it reduces the options farmers have to kill it, he said. Volunteer corn is likely to sprout and grow in clumps, and these clumps can crowd out and compete with other seedlings. One clump per 8 square feet that is not controlled within 10 weeks of emergence can cause 25 percent yield loss.In fields with severe volunteer corn, the best option for control is to rotate that field into another crop, Martin said.


Sunday, January 14, 2007

Spray Drift Down Under

Our friend David Dowling, editor of the Australian Cottongrower, published an article on spray drift in his January issue. We're passing along the link for anyone interested in the perspective from the other side of the planet.

Click here for the article.

Another piece of possible interest is on variable rate irrigation application.

One of my occasional diversions is the steer onto David's web site and read the articles about antique Down Under. Ian Johnston provides a retrospective every issue. Click here for his latest.

Saturday, January 13, 2007

Beltwide Cotton Conference Update

Our staff and Cotton Farming's editors teamed up this week to jointly cover the Beltwide Cotton Conference in New Orleans, La. The following are our reports, thus far:

Deere Discloses Its Module-Building Picker Concept: John Deere expects to roll out a cotton picker that produces its own modules. While the company does not have an introduction date, it held a sort of pre-introduction press briefing at the Beltwide Cotton Conference to share preliminary details and present a brief video that showed the main features. Company executives admitted that making this kind of early presentation is unusual for John Deere. (Read More)
Beltwide Impressions: Everybody gets something different out of the Beltwide. Thatt is the great thing about this annual event, which brings together people from across the Cotton Belt. Over the 3-day event, we asked a wide range of folks to give us their impressions - what caught their attention, what did they learn? Here are some of their responses. (Read More)
2006 put Avicta Complete Pak to the test: More than one person has asked David Long why Syngenta included Dynasty CST, a fungicide, in its Avicta Complete Pak (ACP), which includes Avicta nematicide and Cruiser insecticide. Even at the Beltwide Cotton Conference this week, some people were wondering why the company addressed 2 very different problems, pests and plant diseases, with one product. (Read More)
Thanks, New Orleans! It was great to be back.: Joe Townsend loves New Orleans, pre-Katrina and post-Katrina. The Mississippi cotton consultant is in good company. (Read More)
Ideas From Farmers At The Beltwide: The Beltwide Cotton Conference includes several sessions that focus on how farmers are adopting new technology and practices to reduce costs and/or improve yields. Carroll Smith with Cotton Farming magazine reports here on presentations about irrigation in Arkansas and cost reduction in Texas and Arizona. (Read More)
Herbicide-Resistant Weeds: A Dilemma in Dixie: Although herbicide-resistant weeds have been around for about 40 years, the problem has grown rapidly since 1990, compounded by an intense reliance on a small number of herbicide across a wide range of crops. Stanley Culpepper, a University of Georgia weed scientist, gave a herbicide resistance status report at the Beltwide Thursday, and it probably was the most comprehensive overview on the subject ever presented to the general cotton industry. (Read More)
Understanding China, Understanding The Future Of Cotton: For the U.S. cotton grower and cotton trade, China is an opportunity and a competitor, and the Chinese cotton industry no longer fits into stereotypes about cheap, low-tech production. (Read More)
CCI Programs Respond To New Export Market For Cotton: As U.S. cotton continues to adjust to the fact that more than two-thirds of its cotton is exported, Cotton Council International is responding with a more aggressive campaign to increase consumption of U.S. cotton in these all- important global markets. (Read More)
Bush administration's Farm Bill direction?: U.S. Ag Secretary Mike Johanns said that the Bush administration's vision of the next farm bill is still undecided, but his keynote address today (January 10, 2007) at the Beltwide Cotton Conference certainly hinted at the likely direction it will take. (Read More)
NCC Chairman says farm program benefits must be defended: National Cotton Council chairman Allen Helms said today that the organization's agenda for 2007 will continue to focus on a defense of the U.S. cotton program, sound trade policy, Farm Bill, as well as numerous non-policy issues such as research, education and technology. (Read More)
Positioning Cotton As The Bio-Friendly Fiber: When J. Berrye Worsham delivered this year's Beltwide report from Cotton Incorporated, the emphasis was on sustainability. (Read More)
Bio-fuel From Cottonseed: When the management of Valley Coop Oil Mill in Harlingen, Texas, decided to begin producing biodiesel from cottonseed, the goal was simple: add value to the cottonseed. (Read More)
Texas A&M Researcher says gin trash has energy potential but urges caution: Can gin trash be a potential source of energy in the future? Calvin Parnell, Director of Air Quality Engineering and Science at Texas A&M University, explored that question and several related topics in detail at the Beltwide Cotton Production . (Read More)
Agriculture Secretary Johanns Will Deliver BWCC Keynote: Secretary of Agriculture Mike Johanns will deliver the keynote address at the 2007 Beltwide Cotton Conferences (BWCC) to be held at the New Orleans Marriott and Sheraton New Orleans hotels January 9-12. (Read More)
Key Presentations At The Beltwide: Highlights include: China, industry issues, sustainability, and cotton's energy potential. (Read More)
Jack Royal of Leary, Ga., named Cotton Consultant of the Year: First Georgian to win the award in its 26-year history. (Read More)

Friday, January 05, 2007

Soybean Rust: Louisiana, Kentucky cooperate with Brazil in developing leaf loss model

From a University of Kencuky press release today:

An international research team developing a model to predict yield loss from Asian soybean rust has found that damaged leaves can greatly impact the crop’s ability to absorb radiant energy, reducing yields.

The team is made up of members from Brazil and Louisiana State University and led by University of Kentucky College of Agriculture crop physiologist Saratha Kumudini. They began their work in 2005 in Brazil by mimicking the disease – removing leaves from noninfected plants at the same pace as infected plants. Their initial thoughts were that defoliation was the prime culprit, but it was found that simply mimicking defoliation did not have a good one-to-one correlation with the actual yield losses from infected fields.

Measurements were also taken on the amount of necrotic lesions from soybean rust on leaves that remained on the plant. Using a healthy area leaf index that takes into account necrotic lesions and defoliation, the researchers got a much closer relationship between yields in their test plots and plots with soybean rust.

“We didn’t want to stop there, we wanted to know if there was a one-to-one correlation between necrotic lesions and plant productivity, so we went to Quincy, Fla.,” Kumudini said. “What we were looking for were leaves with the necrotic lesions and its impact on the plant’s photosynthetic capacity – productivity level.”

Field work included looking at leaves in the fields, finding the lesion and taking a photosynthesis measurement – the plants’ ability to take radiant energy and turn it into biomass.

“The point is that when we look at these plants with necrotic lesions, those lesions have a bigger impact (on photosynthetic capacity) than what you can see visually,” Kumudini said.

Based on their first year of data, these researchers believe that soybean rust-induced yield loss is dependent on growth stage, defoliation injury and the lesions on the intact leaves.

“So what we are doing in Kentucky and Louisiana is developing a yield loss prediction model that looks at healthy leaf area and relates healthy leaf area to yield,” she said. “We are looking at different maturity groups, different row widths and saying can we develop a valid yield loss model. Right now, we are in the model development stage.”

The yield loss model will be used to develop an interactive software tool that would determine the farmer’s yield potential and the predicted yield loss if rust should defoliate or damage the leaves of the crop.

The model would allow a producer to weigh the potential yield loss against the cost of fungicide applications to make sound management decisions. This risk management tool should improve producers’ net economic return and guard against unnecessary fungicide applications that can impact the environment and increase the risk of developing fungicide resistance, Kumudini said.

Additional research will be conducted in 2007 with the hopes of having a yield-loss prediction model ready for use within the next two to three years.

Jack Royal of Leary, Ga., named Cotton Consultant Of The Year

Jack Royal of Leary, Ga., has been named Cotton Consultant of the Year, an award sponsored by Syngenta Crop Protection and Cotton Farming magazine. Royal will be honored at the Beltwide Cotton Conference next week in New Orleans.

He is the first Georgia consultant to receive the award since its inception in 1981. (Click here for a list of previous winners.)

Royal began consulting in 1978. He is a charter member of the Georgia Association of Professional Agricultural Consultants and has served 2 terms as its president.

When asked in an interview how he viewed the future of cotton, Royal responded: "I don’t have any farmers who want to throw in the towel. We’re not quitters down here in south Georgia. When you look at prices, you realize that this next Farm Bill will probably determine the future of agriculture."

Click here for more on Royal and the award.

Rain, freezing weather hurt Louisiana sugarcane crop

What looked like a promising sugarcane crop in Louisiana has been hurt by late-year rain and cold weather, which have reduced the cane's sugar content, left farmers with rutted fields and complicated processing at the mills.

Compared to early processing rates of about 220 pounds of sugar per ton of cane, the average has dropped into the 140s in cane caught by poor weather, according to
LSU AgCenter sugarcane specialist Dr. Ben Legendre.

Prices aren’t helping the situation for sugarcane growers either. “Prices are under 20 cents a pound to the growers,” Legendre said. “This is the lowest price we have seen in quite some time.

UAP Distribution expands into upper Midwest

From a press release this morning:

UAP Distribution, Inc., has entered into a definitive agreement with AGSCO, Inc. to acquire certain assets of its retail distribution business and its affiliated services businesses, Ag Depot, Inc. This agreement is subject to customary closing conditions.

AGSCO is a regional distributor of chemicals, with a growing seed and fertilizer business. AGSCO has multiple retail locations in Minnesota, Montana, North Dakota, and South Dakota and approximately 37 sales people. CropLife Magazine recently ranked AGSCO as the 20th largest U.S. company as measured by retail sales. Ag Depot is a warehouse business for agricultural chemical suppliers.

"The acquisition of AGSCO Inc. solidifies UAP's presence in this key regional market and demonstrates UAP's commitment to expanding its retail distribution business," said Kenny Cordell, UAP Holding Corp.'s chairman, president and CEO. "We continue to march forward on our acquisition strategy that should grow revenue, strengthen margins, expand the opportunity for our proprietary products and fill-in gaps in our nationwide footprint."

Going to the Beltwide? Read this first.

Attending the Beltwide Cotton Conference in New Orleans next week?

Here are a couple of handy pages to visit before you reach the conference:

Navigating the 2007 Beltwide On Line. The National Cotton Council has set up a searchable data base - its Beltwide Personal Scheduler (BPS) - that allows you to quickly search for the sessions you want to attend, then sets up a schedule that you can print out, copy into another document or even download into your PDA. Neat, huh? This page includes instructions on using the BPS and a link to it.

Dining out in New Orleans. Will Smart with Greenleaf Technologies - headquartered in Covington, La., near New Orleans - has compiled a listing of his favorite restaurants in New Orleans and also includes a roster of music venues. You may have received this from Will already. He mailed a copy to the Beltwide attendee list. Our on-line version includes clickable links to the web sites of the establishments he's listed. In some cases, you can preview the menu before making a reservation.

Thursday, January 04, 2007

Monsanto reports research progress to analysts

In a first-quarter 2007 conference call today with stock analysts, Monsanto reported the following (according to a company press release):

  • Roundup RReady2Yield soybeans, the company's next-generation, herbicide-tolerant technology in soybeans, moved to Phase 4. The movement, which was based on results from its 2006 breeding trials, advanced the technology one step closer to commercial launch.
  • Vistive III soybeans, designed to have a similar oil profile to olive oil, met the company's target composition profile on three of its genetic events.
  • First-generation Drought Tolerant corn continued to demonstrate yield benefits in its third year of field testing.
  • Second-generation Drought Tolerant corn continued to complement the first-generation trait, with strong performance in both water-stressed and broad-acre field testing.
  • Higher-Yielding corn advanced to Phase 2, with three of the company's genetic events demonstrating a five percent to ten percent yield increase.
  • Nitrogen Utilization corn technology events continued to demonstrate efficient use of nitrogen within testing environments, providing overall yield stability even as the amount of applied nitrogen decreased.
  • High-Oil soybeans, a soybean project from Monsanto's Renessen joint venture with Cargill, advanced to Phase 3 after the technology continued to demonstrate a clear oil yield advantage compared with conventional checks.

A word of thanks to Walter Little as Cotton Farming marks it's 50th anniversary

Our colleagues at Cotton Farming magazine this month marked an important milestone - the magazine's 50th anniversary.

One of the high points in the anniversary issue is a column by Walter Little, who founded the magazine as part of Little Publications, the company he owned and operated during much of the last half century. Mr. Little sold Little Publications several years ago to Vance Publications, which has since sold it to its present owners, Mike Lamensdorf and Lia Guthrie. They now operate it and its sister publications - Rice Farming, Peanut Grower and Soybean South - under a new company banner, One Grower Publishing.

Walter Little offered me a job once, back in the 1980s when Debra and I were living in Nashville, Tenn. I declined the offer for reasons that had nothing to do with him, his company or the salary he was offering. If I had gone to work for anyone at that point, it would have been Walter, and the salary he offered was very attractive.

The initial call about the job started when Walter was reviewing subscription cards and came across one I had mailed in, requesting to be added to his cotton list. I had noted on the card that I was a freelance writer, and that caught his attention and prompted him to check into my background. He called to find out if I would be interested in becoming the editor of a magazine he had at the time that covered the custom applicator trade. Aside from the fact that I alraedy was writing about agriculture, I had grown up in an aerial application service, which meant that I had some background in the application industry.

The most important thing that came out of that first conversation - for me - was realizing that Walter actually reviewed every subscription card his company received.

"I like to know who my readers are," he explained.

That thought stayed with me, even though I had no idea that I would begin publishing my own newsletters just a few years later and have to deal with subscriber lists, myself. I've always made it a point to review, as Walter did, every subscription request that we receive. I think one of the secrets to his success was that he always knew who his readers were. I've gathered that Mike and Lia, likewise, review every subscription form. I suspect that Lia, who worked for Walter before he sold the company, learned to do that by his example.

When publishers distance themselves from their readers, magazines suffer. That's been the downside of a save of consolidation in publishing over the last 15 years. Corporations have accumulated wide and often illogical mixes of magazines, broadcast properties and web enterprises. Sooner or later, the people at the top are so disassociated from their readers that they lose focus.

Walter never did.

Kerr says soybean prices could double in '07

Kevin Kerr, editor of Resource Trader Alert, said in a press release this morning that soybean prices could double this year.

"Increasing pressure on ethanol-producing corn industries could easily put enough strain on soybean acreage to drive prices up," he said.

Bean buyers have already started amassing contracts, Kerr recently wrote in his newsletter. "If farmers opt to grow corn for the obvious, immediate ethanol profits, soybean production will drop and prices could soar," he said.

According to recent surveys - Kerr's press release noted - U.S. farmers have already begun to sow the smallest soybean crop since 1996.

"Fund managers will diversify assets out of stocks and bonds next year, gambling that grains and other agricultural products will pay off big like they did for us last year," he said.

Wednesday, January 03, 2007

Rice Farmer Liabilities Focus of ARGA on GMO Debate

Briefly stated, the Arkansas Rice Growers Association (ARGA) is asking that USA Rice Federation adopt a policy ensuring that a grower's rice won't be rejected if it tests positive LLRice at harvest if the seed used in the spring tested negative for LLRice traits.

We received an ARGA press release on the subject this afternoon. The text of the release follows:

Rice Farmer Liabilities Focus of ARGA on GMO Debate Last week in Little Rock representatives of the Arkansas Rice Growers Association (ARGA) attended an important meeting of the Arkansas State Plant Board where an emergency regulation was passed that reached beyond the prohibition on planting the Cheniere rice variety in Arkansas during 2007 and 2008. An additional regulation states “all seed used for planting in 2007 shall undergo testing for the purposes of identifying seed lots that contain variants of LLRICE.”

In an effort to represent Arkansas rice farmers’ interests, ARGA board members pushed a number of issues during the public comment phase of the meeting including one of particular concern directed to rice mills, “if a farmer has his seed tested and it is o.k. and he still has a load that tests positive upon delivery in 2007 will there be any liability or discount?” The first response came from Producers Rice Mill followed by Riceland Foods (both of Stuttgart, Arkansas) stating “that if a farmer followed the testing plan and a positive test was detected in his 07 deliveries he would not be held liable or receive any discounts”.

These statements by the mill representatives were read into the official minutes of the meeting and made a matter of record. This is great news for the farmer who can now plant with some price assurance according to John Alter, President of ARGA. Alter stated that, “the risk is so great and the cost of production is so high that price uncertainty would probably have forced many farmers to change their planting intentions.”

He added that, “We encourage the USA Rice Federation to adopt these statements into their plan so that the milling segment in general can give this agreement to all farmers in all rice producing states.”

As one farmer in attendance from Poinsett County commented, “ARGA may have just saved a large portion of the Arkansas rice farming industry by ensuring that farmers will not be discounted if they have followed the plan. I know many farmers who would not have planted rice in 2007 without this agreement. I congratulate them on their effort to represent the farmer.”

ARGA representatives were disappointed that the Plant Board did not take up the matter of an industry wide clean up (which was on the agenda). The seed is only one point in the growing cycle where mixing could take place. The storage facilities, transportation system, mills and elevators are all equally likely points where mixing problems might occur, and should also be addressed. The producers will ultimately bear the responsibility for the high cost of testing and are entitled to an industry wide effort to eliminate the problem as soon as possible.