Farm BUreau Press for Feb. 8

FEBRUARY 8, 2019 • VOLUME 22 • ISSUE 3

Farm Bureau Press A PEAK INSIDE

STAY IN THE KNOW • USDA continues to send out Market Facilitation Program (MFP) payments to farmers. Roughly $6.4 billion has been sent to producers, with an additional $1.2 billion in payments possible from claims now being processed. Nearly 805,000 applications have been submitted so far, and Feb. 14 is the deadline for producers to apply.

• Valentine’s Day is days away. Not sure where to shop? Shop at smile.amazon. com/ch/81-4517307 and AmazonSmile will donate to Arkansas Farm Bureau Foundation.

Arkansas Century Farm applications, page 2.

UAPB New Farmers Academy, page 3.

ArFB officers and staff met with Gov. Asa Hutchinson to discuss agricultural issues on behalf of Arkansas farmers and ranchers.

Pictured left to right, Vice President of Public Affairs & Government Relations Stanley Hill, ArFB Vice President Rich Hillman, President Randy Veach, Gov. Asa Hutchinson, Secretary-Treasurer Joe Christian and ArFB Executive Vice President Warren Carter.

Cleveland Co. garden grant, page 3.

A PUBLICATION OF THE ARKANSAS FARM BUREAU FEDERATION

Representatives of USDA Rural Development testified to the Arkansas Legislatures Advanced Communications and Information Technology Joint Committee on the importance of rural broadband access. Senate Bill 150 will make it possible for rural communities to participate in USDA programs worth more than $1 billion. Rural Development Director for Arkansas David Branscum (middle) led the testimony. Learn more about SB 150 and how to contact your representatives to voice your support of the bill at https://buff.ly/2ShlGMg.

CENTURY FARM APPLICATIONS The Arkansas Agriculture Department (AAD) is now accepting applications for the 2019 Arkansas Century Farm program. This program identifies Arkansas families who have owned and farmed the same land for at least 100 years.

Online and printable applications are available at www.aad.arkansas. gov/arkansas-century-farm-program.

There is no cost to apply.

Arkansas is home to more than 43,500 farms, of which 97 percent are family owned and operated.

“Century Farm families have persevered challenges for at least 10 decades and have contributed greatly in making agriculture in Arkansas the success story that it is today as our state’s largest industry 2

with an economic impact of over $21 billion annually,” said Secretary of Agriculture Wes Ward.

Since the program began in 2012, 418 farms have been certified. Find lists of previously inducted Arkansas Century Farm families at www.aad. arkansas.gov/arkansas-century-farm-

program.

Contact Mary Elizabeth Lea at 501-219-6363 or maryelizabeth. lea@agriculture.arkansas.gov with questions. Applications must be postmarked on or before May 31 to be eligible for designation as a 2019 inductee.

Clark Co. FB hosted a legislative dinner in Arkadelphia Feb. 7. Members discussed agricultural issues and heard from Sen. Larry Teague, Sen. Bruce Maloch and Rep. Justin Gonzales. The three spoke on ArFB priorities including Sen. Maloch’s Veterinary Technician bill.

A PUBLICATION OF THE ARKANSAS FARM BUREAU FEDERATION

ACCORDING TO THE CENSUS OF AGRICULTURE CONDUCTED EVERY FIVE YEARS, THE AVERAGE AGE OF U.S. FARMERS IS NOW 58.3 YEARS, UP FROM 50.5 YEARS.

UAPB FARMERS ACADEMY To help replace retiring farmers, the Small Farm Program at the University of Arkansas at Pine Bluff is instituting a New Farmers Academy beginning in March. Its purpose is to provide farm training to individuals interested in becoming farmers or agricultural entrepreneurs. Ideal candidates are those new to agriculture, those who wish to transition into agriculture from another field, such as military service or private sector work, or those looking for a post-retirement opportunity.

“According to the Census of Agriculture conducted every five years, the average age of U.S. farmers is now 58.3 years, up from 50.5 years,” Dr. Henry English, director of the Small Farm Program, said. “As the number of farms in Arkansas decrease and the average age of farmers increases, preparing new farmers to take the place of those who retire is becoming more important than ever before.”

Seven training workshops will be conducted during a seven month period to educate and train new farmers.

Workshop topics include farm business and basic marketing; agricultural production practices; the use of U.S. Department of Agriculture (USDA) programs; and equipment operation, maintenance and calibration.

Both classroom and hands-on education will be provided. Soil suitability for farming, profitable enterprise selection, business planning and marketing strategies will be part of classroom discussion. Hands-on activities include sprayer and planter calibrations, farm tours, irrigation demonstrations and transplanting.

Academy participants will have access to a retired district conservationist who will assist them in developing a conservation plan for their farm. This plan will identify the different conservation practices needed on their land to improve the farm. Individuals will also have access to a UAPB associate who will help those needing to apply for a USDA loan. Individuals will also be given credit for managerial training if they apply for a loan.

Those interested in the New Farmers Academy, contact the Small Farm Program at 870-575-7226.

Photo courtesy of Cleveland Co. Herald.

CLEVELAND CO. GARDEN GRANTS Kingsland, Rison and Woodlawn schools were given an ArFB Outdoor Classroom Garden MiniGrant by ArFB and Cleveland Co. FB. The grants consist of $500 from ArArFB and a matching $500 from the Cleveland County Farm Bureau, bringing the total for each grant to $1,000. The money will be used to establish school gardens as part of the Cleveland County Childhood Obesity Prevention Committee’s efforts to encourage students to eat more fruits and vegetables. Pictured here is Kingsland Elementary Principal Danny Durey (kneeling) and students cleaning one of the raised garden beds installed at the school.

A PUBLICATION OF THE ARKANSAS FARM BUREAU FEDERATION

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MARKET NEWS as of January 24, 2019 Contact Brandy Carroll 501-228-1268 brandy.carroll@arfb.com USDA plays catchup Due to the government shutdown, many USDA reports were delayed. The government began releasing export data Feb. 1, starting with the week ending Dec. 20. The report from the week ending Dec. 27 was released Feb. 7. Export sales data is expected to catch up on Feb. 22, but that is only if another shutdown can be avoided. USDA is scheduled to release what many are calling a “data dump,” which has potential to have big impacts on the markets. On that day, USDA will release monthly Supply and Demand reports, Dec.1 grain stocks, Winter Wheat Seedings, and the final 2018 crop production report. The market will certainly have a lot to absorb over the next few days.

Soybeans The “ceasefire” in the trade war between the U.S. and China is set to end on March 1, which means if a deal isn’t reached by that date, the situation could deteriorate quickly.

However, there are differing opinions on how much that could impact the market. U.S. exports to China were down 85 percent last year, so there isn’t much more to lose. The negative fundamentals are well known at this point, and should largely be built in to prices. Export data has begun to catch up, and reports have been better than expected. USDA says 88.4 million bushels were sold for export the week of Dec. 20 and 38.8 million were sold the week of Dec. 27. Those totals were above trade estimates, but still show 2018-19 export sales 4

running 24.2 percent behind the year-ago total. If additional sales show up on subsequent reports, it could result in at least short-term support for the market. Soybeans are still trending higher, but the December high of $9.41 for March and $9.71 for November is providing resistance for the time being.

Rice Rice futures have traded in relatively narrow range for the past two weeks on very light volume.

March has been content to trade between the recent high of $10.93 and the low of $10.34. Rice export sales from the week of Dec. 20 were a marketing year high 145,500 metric tons, with Haiti and Panama the top buyers. Sales were down significantly during the week of Dec. 27 to 66,500 metric tons, which was down 33 percent from the four-week average, and shipments were 44,900 metric tons, down 53 percent from the fourweek average.

Cotton After trending higher to start the year, cotton futures have turned toward a more sideways pattern in weeks. The appearance of the March chart is somewhat worrisome as that market has broken trendline support, and could retest the low of 70.65 cents, especially if trade talks between the U.S. and China don’t yield results by the March 1 deadline.

Cotton also set a marketing year high for export sales during the week of Dec. 20, and China was a buyer. Net cotton export sales were 373,100 bales. Shipments for the same week were 207,000 bales. Sales were down to 228,200 bales for the week ending Dec. 27, but that was still 33 percent above the four-week average.

Shipments of 189,000 bales were up 13 percent from the four-week average.

A PUBLICATION OF THE ARKANSAS FARM BUREAU FEDERATION

Corn Corn futures have also been chopping along mostly sideways, with the lack of USDA data having an impact here as well. The direction of the corn market will largely depend on the planted acreage total, as farmers decide between planting corn and soybeans. The March contract is consolidating between $3.75 and $3.81 for the time being.

Export sales reports from December are old news, and haven’t had much impact on the market, but, for the record, sales for the week of Dec. 27 were 503,100 metric tons, down 65 percent from the four-week average.

Weekly ethanol production is slightly behind the same time last year, which is making it even harder to build any upward momentum in the corn market.

Livestock Live cattle futures have fallen from their contract highs set during mid-January. The February contract charted a huge downward reversal on January 31, but so far there has been no follow-through selling, with prices instead trading within that day’s trading range. The market had become oversold and due a correction. Slow cash trade due to the weather will also be a factor.

USDA is scheduled to issue the next Cattle on Feed report on Feb. 22, as long as another shutdown is avoided.

Soft cash markets, winter weather and concerns about the trade war with China are all contributing to the sharp downtrend in hog futures.

The market is oversold and due a corrective bounce, but it might be tough to find in the short term.

EDITOR Maddison Stewart Stone maddison.stone@arfb.com