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INSIDE: MARKETING COOPERATIVES
p. 5 Split your business among grain buyers
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Fine-tune your spray technique PLUS:
Ag research and extension go private >> Technology: Take a second look at workers’ compensation >> Business: Hold the ‘N’ on soybeans >> Production: >> Farm Life: Young farmers balance idealism and economics
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FarmFORUM volume 24 | issue 2 | Spring 2010
contents >> PRINT TECHNOLOGY
BUSINESS
PRODUCTION
FARM LIFE
FarmFORUM www.farmforum.ca Publisher Bayer CropScience Editor Sherry Butt Associate Editor Dave Wreford
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Ag research and Take a second extension go private look at workers’ Farmers increasingly draw on compensation research from private sector
A lack of coverage could put your farm at risk
COVER STORY
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Fine-tune your spray technique
New products and application technology for faster, more accurate spraying
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Young farmers balance idealism and economics Farm survival ensures their voices will be heard
4 Editor’s note: get ready for the season ahead 5 Split your business among grain buyers: don’t let agri-business consolidation compromise cash flow 6 Supplemental ‘N’ for soybeans? Little evidence to support application of extra nitrogen 20 Market intelligence goes co-op: these growers help each other find better prices
contents >> WEB
FarmFORUM.ca CASA
Contributors Cindy Bablitz, Jennifer Barber, Scott Garvey, Joy Gregory, Gerald Pilger and Genesis Studio Graphic Design Aaron Mumby Design Farm Forum is published seasonally by Bayer CropScience. Contact Farm Forum at: Bayer Crop Science Suite 200 160 Quarry Park Blvd SE Calgary, AB, T2C 3G3 T. 1 888-283-6847 F. 1 888-570-9378 E. farmforum@bayercropscience.com www.bayercropscience.ca Contents of this publication are copyrighted and may be reproduced only with written permission of the publisher, Bayer CropScience. The views expressed are not necessarily those of the publisher. Publications Mail Agreement Number 40743517 Registered in Canada Copyright 2010 Website www.farmforum.ca Return undeliverable copies to: Bayer Crop Science Suite 200 160 Quarry Park Blvd SE Calgary, AB, T2C 3G3
New system speeds sprayer refill
Safety plans protect farm investment
Cover more acres in a day
Keep your family, employees and assets safe
www.farmforum.ca/refillspeed
www.farmforum.ca/safetyplan
When bigger is better Consolidations that work
On the cover Jon Bagley, owner of Westman Aerial Spraying Ltd., has been custom applying crop protection products from the air and on the ground for producers in the Brandon, MB, area for years. His company offers producers a choice of aircraft or ground sprayer application methods.
www.farmforum.ca/biggerisbetter Farm Forum.ca | 3
s h o r t ta k e s
Lethbridge
Regina
Saskatoon
In 2009, Bayer CropScience invested over $20 million in its Canadian operations – all in an effort to help growers and Canadian agriculture succeed today and in to the future. The launch of our Canola Breeding Centre of Innovation in Saskatoon will help ensure the best seed trait technology for canola growers for years to come. This launch was part of our $65 million investment in Canadian research that we’ve made over the last five years. Our expanded production facility in Regina will help supply our products across Canada. This is important, considering we’ve launched 20 products over the last five years and have another 30 products scheduled for the Canadian market by 2014. Our improved seed cleaning and packaging facility in Lethbridge will help us ensure growers across Canada have access to the highest performing canola hybrid seed in the market – InVigor®. These investments are part of our mandate – to provide Innovation in Everything We Do. It means we need to consistently find better ways to help you improve your farming operations, whether though seed or crop protection, or simply sharing our knowledge and resources. But it also means investing our time, resources and money into the communities you operate in. We hope our innovation will play a part in your success this season. And we hope you will continue to play a strong role in the success of Canadian agriculture. FF
4 | Farm Forum | SPRING 2010
Editor’s Note Spring is the time to fine tune plans for the new growing season. It’s also the time of year when you feel motivated to try different ideas, start a project that you’ve put on hold or get your finances in order. This issue of Farm Forum will help you make the best of the season ahead. Our cover story looks at some new product and application technologies to make spraying more accurate, faster, safer and less expensive. It also looks at the pros and cons of ground versus aerial spraying. There’s been talk of growers using supplemental nitrogen to boost soybean output but, as you’ll read in our production feature, evidence to support routine application of extra nitrogen in soybeans is lacking. As public institutions move away from production agriculture and into research with a more public-good focus, the door has been left open to more farmer-funded and private sector research. In our technology story on page 14, we take a look at this emerging trend and the implications for growers. If you’re considering workers’ compensation coverage and/or are concerned about the health and safety of your family and employees, turn to page 16. Here, the experts discuss workers’ compensation as a risk management tool. The supporting website stories on farmforum. ca show you how to develop a farm safety plan and how to prevent injuries in the first place. And this issue’s Outstanding Young Farmer story takes a look at how Grant and Colleen Dyck, national co-winners from Niverville, MB, balance their ideals with the demands of running a business and raising three children. FF
PHOTOS (LEFT) COURTESY BAYER CROPSCIENCE; PHOTO (RIGHT) GENESIS STUDIO
We continue to invest in Canadian Agriculture
business
Split your business among grain buyers
Don’t let agri-business consolidation compromise cash flow
By Joy Gregory
For the most part, Pike is bullish about Pike figures China’s actions were pure consolidation in the crop input market. politics. But here in Canada, the lessons Here, consolidation makes it easier for were largely economic, since China’s decifarmers to buy products directly from sion clogged Canada’s storage and transhead offices — arranging price, delivery portation systems, causing local buyers and storage logistics well ahead of when to delay their purchases. Pike knows of the inputs are needed. Locking in prices farmers who were left with thousands on bulk buys is also essential to creat- of tonnes of canola they couldn’t move, ing the accurate crop budgets that smart even though they had contracts to sell. Politics aside, there is a marketing crop marketers use to determine what commodity prices they can lock in to se- lesson here, says Pike. He still advises farmers to stick to best cure profits and improve marketing practices and cash flow. start scouting 2010 comOn the equipment side, Pike now cautions modity markets, forward consolidation has also been farmers to take a selling a portion of this good for producers. While year’s crop before it’s you may have to travel closer look at how even in the ground. He farther to see a particular machine, you are no longer consolidation impacts also recommends pricing some crops during the limited to what’s available specific aspects of growing season and some on the local lot. Indeed, if their businesses after harvest. But avoid a local dealer doesn’t have making deals with only what you want, there’s a one commodity buyer, he good chance it will be at another of the dealership’s affiliates. (One cautions. Where possible, he adds, you publicly-traded equipment dealership in might even want to look for buyers in western Canada now operates in 19 loca- different markets. Looking ahead, Pike cautions Canations across the prairies.) Commodities are a different story. It’s dian farmers to prepare for more “govno surprise that consolidation typically ernment noise” related to the World signals a drop in competition. But with Trade Organization (WTO) talks on the big grain companies filling big contracts, horizon. “Countries are trying to posiPike doesn’t see a lot of problems for pro- tion themselves going into another WTO ducers who opt to sell most of their com- round of talks and that’s going to affect modities to the same company, especially our sales,” Pike says. The bottom line is that even though if they follow sound marketing advice and sell portions of their production be- bigger companies are usually sound, Pike fore seeding, at the height of the grow- now recommends against being tied to a ing season and after harvest. For farmers single buyer, especially if cash flow is at with a good handle on their production stake. “You’ve got to spread it around if costs, this approach protects profitability you can.” FF and cash flow. Because they know how much it costs to grow a particular crop, for more information visit us online they can lock in profitable prices and time online articles contracts to meet cash-flow needs for Profitability begins with accurate budgets www.farmforum.ca/agbudgets equipment or input payments. When bigger is better Problems with that single-company www.farmforum.ca/biggerisbetter approach arose in late 2009, however, additional resources when one of those “big markets” suddenPike Management Group ly refused Canadian shipments of canola. www.farmforum.ca/PMG farmforum.cA
PHOTO ©ISTOCKPHOTO.COM/esemelwe
A
g marketing specialist Gary Pike used to tell farmers that consolidation of ag-industry companies spelled nothing but good news. Although he still believes that bigger is better over the long term, Pike now cautions farmers to take a closer look at how consolidation impacts specific aspects of their businesses — increasing potential profitability in some areas and costing them in others. For instance, going with the biggest input dealer in your area might save you money when buying fertilizer and fuel. But putting all your commodity sales in one corporation’s basket could cost you. “Producers who recognize the importance of cash flow may want to spread the marketing side of their business around,” says Pike. From a business perspective, corporate consolidation through buyouts, mergers and vertical integration makes good economic sense because it allows companies to increase profitability by expanding the reach of their operations. Given the economic climate, increased profitability is critical for companies dealing with regional and global markets, says Pike.
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marketing minute
Farm Forum.cA | 5
production
Supplemental ‘N’ for soybeans? Save your money By Scott Garvey
Some growers see a payback some years, but there’s little evidence to support routine application of extra nitrogen in soybeans For 5,000 years, farmers in China used soybeans to improve their soil’s nitrogen (N) content and improve yields in subsequent crops. Today, soybeans enjoy worldwide popularity and are widely used in everything from tofu, soymilk and margarine to industrial products such as hydraulic oil and adhesives. And with new and exciting uses on the horizon for the humble soybean it’s little wonder farmers in non-traditional growing regions are experimenting with the crop. According to published data from Manitoba Agriculture, Food and Rural Initiatives (MAFRI), newer varieties of the crop require only 2,375 to 2,675 corn heat units. That opens up much of the southern prairies to potential soybean production. But introducing the crop to new regions requires that the proper strain of rhizobia — soil bacteria that fix N into a plant-available form — be established in the soil. Rhizobia colonize the roots of young soybean plants and form mini N-fixing factories known as nodules. Without them, soybeans 6 | Farm Forum | SPRING 2010
are dependent on applied N. “We haven’t ing to Horst Bohner, a provincial soybean grown soybeans here for very long,” says specialist with the Ontario Ministry of AgBruce Brolley, MAFRI’s acting manager of riculture, Food and Rural Affairs (OMAthe industry focus section. “In some cases FRA) those results aren’t likely to be relwe don’t have the proper bacteria — Brady- evant in North America. “The strains [of rhizobia] they have in rhizobium japonicum — in the ground beAsia are extremely inefficient at fixing N,” cause it’s not native to the prairies.” He recalls one 2001 case in Manitoba he explains. “The strains we have here were where healthy plants came up only on the all introduced for that purpose and are relahills. Everywhere else they grew without tively efficient at getting the job done. In the nodules. “We had to apply a rescue treat- scientific community it’s fairly well acceptment of N at the R3 stage, because plants in ed that N fertilizer on soybeans is a no go.” Brolley agrees with that assessment, the low spots were small and yellow. Excess water had caused the rhizobia to temporar- “The research work I’ve seen doesn’t show it as conclusively successful,” he says. “The ily die off.” So if top-dressing N can rescue a failing only reason we would recommend applicasoybean crop, does it pay to apply it rou- tion of N in-crop is to rescue soybeans that tinely to improve yields? Some published had poor nodulation.” research suggests it does. According to a Nevertheless, Bohner says, OMAFRA few research papers decided to experiment published online, seedwith the concept last If top-dressing N can ing soybeans with adsummer in five different ditional N showed Ontario fields. At seedrescue a failing soybean marked improvements ing, N was broadcast crop, does it pay to apply it and deep banded five in yield. However, the plants began to rely routinely to improve yields? inches below the root less on nodules to fix zone at the rate of 100 N and started to abpounds per acre. sorb it directly from the soil, minimizing Some results were contradictory. Overone of the crop’s production-cost advan- all, though, combined results showed a yield tages. difference of less than one bushel per acre But most of that research originates in between fertilized and non-fertilized plots. China and other Asian countries. Accord- “It was a complete failure,” says Bohner.
However, Kevin Marriott, a grower at Petrolia, ON, believes limited application of N has improved his yields some years. It depends on the season, he says. “In cool weather a small amount of N would pay you back.” But his experience has shown no benefit when the weather is warm and growing conditions are good. “If you only knew what the weather would be like four to six weeks after planting, deciding whether or not to apply it would be easier,” he says. Marriott typically uses a broadcast application of mono ammonium phosphate mainly for the phosphate component, but the blend includes a small amount of N. “I’ve used upward of 20 pounds per acre,” he says. “It’s a very low cost for that much N. It feeds soybean plants early, gives them stronger roots and gets them going.” That way, he believes, crops get ready access to N before nodules develop, giving young plants a head start. But Marriott admits it’s difficult to put an exact number on any yield advantage. “I’ve had extremely good yields in the past five years. It’s hard to know if that was from the nitrogen or the weather.” Based on what he’s seen in his fields, however, he intends to continue the practice as long as fertilizer prices remain affordable. “I really feel I get a pretty good payback,” he adds. FF
Virgin soybean fields need correct rhizobia Planting soybeans in a prairie field for the first time requires a dose of the correct rhizobia strains to fix atmospheric nitrogen (N). That means applying a seed inoculant for at least the first three crops. “Once introduced, rhizobia survive very well in the ground,” says Bruce Brolley, acting manager of the industry focus section at Manitoba Agriculture, Food and Rural Initiatives (MAFRI). When the rhizobia — Bradyrhizobium japonicum — become well established, Brolley says the amount of inoculant can be reduced or eliminated. Brent Reid, a farm production advisor at MAFRI, says research has shown applying both onseed and granular, in-furrow inoculants is the best way to go with soybean crops in virgin fields. “We recommend a granular (inoculant) as insurance in case there is any kind of stress,” he says. “Granulars are a little more hardy, so the root has another chance to get inoculated (if the on-seed treatment doesn’t survive).” Farmers planting soybeans for the first time can expect an additional per-acre expense of about $4 for on-seed and $15 for granular, in-furrow inoculants. Reid explains that annual cost can eventually be reduced as bacteria levels build up in the soil. Eventually the in-furrow treatment can be eliminated. However, he cautions producers against cutting back too early. “If you want to scrimp on something, don’t scrimp on that,” he says. But research shows growers might for more information visit us online want to consider an on-seed inoculant online articles indefinitely. Even those in more traSpring maintenance keeps liquid fertilizer flowing www.farmforum.ca/propermaintenance ditional soybean growing areas could Optical sensing allows delayed ‘N’ application see a benefit from continuing use. www.farmforum.ca/delayedapplication Growers in Ontario and other soybean additional resources regions still get a one- to three-bushel Ontario Soybean Growers Association www.farmforum.ca/ONsoybeans increase when using an inoculant, North Central Soybean Research Program adds Reid. “There are people in the www.farmforum.ca/soybeanresearch U.S. who are still finding an advantage NCSRP’s information arm on soybean plant health after 20 years.” FF www.farmforum.ca/soybeanhealth farmforum.cA
PHOTO (LEFT) COURTESY BAYER CROPSCIENCE; PHOTO (RIGHT) COURTESY CLASS
Soybeans planted for the first time on prairie fields require a dose of the correct rhizobia strain to fix nitrogen.
Farm Forum.cA | 7
8 | Farm Forum | SPRING 2010
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BayerCropScience.ca or 1 888-283-6847 or contact your Bayer CropScience representative. Always read and follow label directions. Tundra™ is a trademark of Bayer. Bayer CropScience is a member of CropLife Canada. 01/10-12517-01 FF
Farm Forum.cA | 9
Fine-tune your spray technique COVER STORY//by scott garvey
For faster, safer, cheaper and more accurate spraying, check out what’s new in product and application technology
10 | Farm Forum | SPRING 2010
T
he concept of applying crop protection products isn’t new — farmers have been doing it for decades. But almost everything used to get the job done has undergone a transformation. Old flat-fan nozzles, common on sprayer booms for years, have given way to high-performance air induction nozzles that can deliver product metered from a variable-rate controller. These systems control droplet size, minimize drift and deliver greater spray volumes. That’s just the tip of the iceberg. Producers and custom applicators now have more products to choose from and more ways to apply them than ever before. To better meet growers’ needs, crop protection companies have even changed the size of containers they package products in. “A couple of years ago we added the mini-bulk and bulk options,” says Troy Basaraba, market development specialist for Bayer CropScience. “And we also went to the thousand- and two-thousand-acre totes on a couple of our products.” These innovations make handling and loading faster and easier: a real bonus if you have to treat a lot of acres. But product not only has to be easy to handle, it must also be effective. In many cases, that means preparing custom blends to deal with field-specific conditions, such as herbicide resistance, or targeting a specific mix of weed varieties. Getting the right blend requires a little homework. Fortunately, custom applicators and retailers have the necessary skills to provide some tutoring. Today, you can have a custom herbicide blend prepared by a retailer. Dry products, often used at a rate of only grams per acre, are ideally suited to doing just that. “They let you make custom blends that target certain weeds,” says Jon Bagley, owner of Westman Aerial Spraying Ltd. near Brandon, MB. “You can
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1 Chemical handling systems make tank mixing product faster and easier. 2 Dry crop protection products give retailers an enhanced ability to custom mix application blends. 3 Bulk packaging avoids the need to empty and clean dozens of small containers.
GENESIS STUDIO
4 Modern nozzles and variable-rate controllers meet a wide variety of application needs. create a bag with just enough product for one sprayer load.” The water-soluble bags can just be dropped into a sprayer tank without exposing an operator to any chemical. Although rubber gloves should be worn when handling these bags, there is no need for the precautions normally required when mixing liquids. And there are no containers to wash out. “The only thing left is the wrapper the soluble bag was in,” says Bagley. Those can be disposed of at a regular landfill because they are free of chemical residue. Aside from adding a new level of workplace safety, dry products greatly simplify sprayer filling procedures. “If a customer has 40 acres to spray, then I’ll just make up enough for a 40-acre load. He can just put that whole bag into the sprayer,” says Bagley. “We’d have to ask a few questions. But we can build each load for him in those bags.” Dry products are easier to ship and store, too. And they take up less ware-
house space; a plus for retailers. Unlike liquids, they don’t freeze, which means they don’t have to be stored in heated buildings. “We’re not going to get rid of liquid products anytime soon, but a lot of new products are going to a dry formulation” adds Bagley. If a dry product
capacity totes, which further minimizes worker exposure. For producers who don’t have the equipment or don’t want to apply crop protection products themselves, numerous custom applicators are willing to take over that task. And custom application
Staying above the crop without leaving damaging tracks in a field may be the airplane’s biggest edge in the air-versus-ground debate spills, it’s much easier to clean up. “You just sweep it up and dispose of it in the proper way.” So far, dry formulations represent only a small segment of the market. But even liquid products are now easier to handle. Chemical handling systems can be used to open and wash out containers, along with introducing product into a sprayer tank at precisely controlled rates. And they can also pump directly from large-
offers even more choices: do you want it applied by ground or by air? High-clearance ground sprayers cover a lot of acres in a short time and leave only a narrow footprint in the field, minimizing crop damage. But airplanes don’t leave any footprint at all. And if fields are muddy, aircraft can easily go to work when ground sprayers are parked waiting for conditions to improve. That may mean the difference Farm Forum.cA | 11
COVER STORY
GPS technology offers enhanced spraying capabilities such as variable-rate applications from prescription maps and sectional boom control to minimize overlaps. cost of custom application. “The plane is only a dollar per acre more (without yield losses),” Richardson adds. That’s a definite advantage as far as he’s concerned. A ground sprayer, however, can operate in windier conditions than a plane and still minimize drift. But a plane can cover acres much faster when conditions are good. “In some niches the airplane fits in very well, applying certain products,” says Bagley. “And there is no spreading of disease,” adds Jill Lane, executive director of the Canadian Aerial Applicators’ Association. When ground sprayers travel between fields, they can carry diseases as they go. Although Bagley’s company provides both aerial and ground application services, he has a bias toward airplanes. “Our roots were in aerial application,” he says. “We believe the airplane is the better way to go for farmers.” And the airplane remains the only choice for some crops, like sunflowers. But where adjacent crops are susceptible to drift, Bagley says he often opts for ground application. According to Lane, farmers are in-
Sectional boom control moves to air seeders Just as variable rate technology (VRT) and control of individual boom sections made crop spraying easier and more efficient, the same innovations are now being applied to seed and fertilizer placement. All major air seeder manufacturers offer VRT. While these systems allow for control of multiple granular products at the same time, a couple of manufacturers have gone one step further to include flow control to individual sections of a seeder, minimizing overlaps. As seeder widths now stretch up to 90 feet, overlaps in irregularly-shaped fields can waste a lot of inputs. Seedhawk, one company that offers this feature, calls it Sectional Control Technology (SCT). Chris Morson, Seedhawk’s marketing coordinator, says the system uses the same Raven Viper Pro boom-control system available on sprayers to control seed and fertilizer flow. Seeders are divided into eight individually-controlled sections. When GPS senses any section is passing over previously-seeded ground, the system raises the openers and stops product flow. 12 | Farm Forum | SPRING 2010
creasingly finding value in aircraft for crop spraying, particularly in the west. “We’ve seen an overall increase in demand for aerial application across much of the prairies during the past few years.” she says. But whatever choice you make about products or application methods, it has to have a financial benefit, cautions Richardson. “You’ve got pencil it out.” And that is one of the few things about applying crop protection products that hasn’t changed. FF farmforum.cA
between timely application and missing a spray window completely. Bagley says while ground sprayers usually apply product at five to ten gallons per acre, aircraft can efficiently deliver the same mixes in four to five gpa with no difference in efficacy. “There have been lots of studies on that,” he says. In Canada, manufacturers have to prove the prescribed rates of application for both ground and air work adequately so producers should see exactly the same results regardless of whether application was by ground or air. The reason for the difference in rates, according to Bagley, is that spray droplets applied by aircraft tend to be smaller than from a ground sprayer, mainly because of the turbulence created by the plane. That allows for better crop coverage with less water. But staying above the crop without leaving damaging tracks in a field may be the airplane’s biggest edge in the air-versus-ground debate. Murray Richardson, a grower in the Brandon area, sees that as a huge advantage. “We used to tramp down two and a half acres in a quartersection (with a ground sprayer),” he says. In a 40-bushel wheat crop, that amounts to a 100-bushel loss on every quarter. Factor in the similar cost of ground and aerial applications and those yield losses go a long way toward offsetting the
for more information visit us online online articles Chem handlers cut refill time www.farmforum.ca/chemhandlers New system speeds sprayer refill www.farmforum.ca/refillspeed additional resources Canadian Aerial Applicators Association www.farmforum.ca/aerialsprayers National Agricultural Aviation Association (U.S.) www.farmforum.ca/USagaviation Straw Track Manufacturing Inc./SeedMaster www.farmforum.ca/seedmaster Seed Hawk home page www.farmforum.ca/seedhawk Raven Technology home page www.farmforum.ca/raventech
SCT can also build field maps and communicate directly with other computers via a satellite Internet connection, enabling a farm manager to monitor seeding progress from an office computer. He could even track the amount of seed and fertilizer used. Seedhawk claims field trials using the system have PHOTO COURTESY SEED HAWK demonstrated a saving of up to 10 per cent on input costs. Seeders equipped with SCT were first produced in limited quantity for the 2009 season, and 2010 marks their first year of full availability. Regina-based SeedMaster also offers a similar option on its line of seeding equipment. Norbert Beaujot, company president, says SeedMaster’s optional Zone Control feature can be controlled either by GPS, or by lifting overlapping sections out of the ground and shutting off product flow with the flip of a switch inside the tractor cab. FF
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BayerCropScience.ca or 1 888-283-6847 or contact your Bayer CropScience representative. Always read and follow label directions. Converge速 is a registered trademark of Bayer. Bayer CropScience is a member of CropLife Canada.
01/10-12602 Farm Forum.cA | 13
Technology
issues with a public-good focus such as security of the food supply, environmental impacts and Canada’s ability to produce food. We’ve been successful when it comes to solutions to specific threats to the food supply such as rust and fusarium head blight.” AAFC has also allocated resources to sector-based science clusters. Industry sets the priorities for these clusters and AAFC, along with university labs, leads the research that is coordinated by the industry groups. “In applied science we are becoming more tied into industry,” Freeze says. “The amount of research we do in agriculture has actually remained the same or in some cases has increased,” adds Bruce Coulman, head of the Plant Sciences Department with the University of Saskatchewan. “We do a lot of work with private companies and producer groups. Often they approach us with a project but just as often we have an idea Bayer CropScience test field with InVigor hybrid canola. that requires the backing of industry.” He says there is still plenty of applied research from universities, and industry has established research programs on certain crops and products. While Bayer CropScience still collaborates with public institutions, more often the company is on its own as it tries to find product solutions. “Most of the time we have to produce 95 per cent of our data on our own and then submit it for public review,” says Drexler. “But because we are on our own, to avoid charges of partiality we have to make sure our research is unimpeachable.” By Jennifer Barber He says private industry research As research manager at Agriculture needs to be conducted according to Thirty years ago, public institutions conducted virtually all ag-related re- and Agri-Food Canada’s (AAFC) Leth- agreed methods, monitored externally search in Canada. Government depart- bridge Research Centre, Dr. Brian Freeze and, finally, reviewed by the appropriate ments and universities were the focus of has been involved in agriculture research regulatory group. testing and innovation. Those same insti- and innovation for more than 25 years. “On the crop benefits side of things, tutions worked with farmers to put new He says AAFC remains the largest player we do that all on our own, or occaideas and theories into practice. Today, in sionally with Canadian with the introduction of farmer-funded agricultural reindependent reand private-sector research, the picture search, as it has The influence of producers is one searchers,” says has changed dramatically. Drexler. “There’s been for over a of the big changes in Canadian “The federal and provincial govern- century. But he nobody really in agricultural research ments in particular have moved from re- acknowledges the public sector searching production agriculture to look- the emphasis of doing research ing at the implications of agricultural that research has changed, targeting all into product benefits anymore — it’s not practices on the public as a whole,” says Canadians and not just farmers. in their mandate. But we still need to David Drexler, director, development and “We have shifted from research with a make sure government is aware of what licensing, with Bayer CropScience. “This regional focus to a more national focus,” we’re doing and why we’re doing it. has created an opening for other research he says. “Today we work somewhat less “Where there is value in the end prodgroups including private industry.” on production agriculture and more on uct, companies like ours will be willing to
Ag research and extension go private
Farmers still rely on government, university and ag college specialists to guide them through the challenges of modern agriculture, but increasingly they’re drawing on the skills and knowledge of the private sector as well
14 | Farm Forum | SPRING 2010
Surf the net for ag information
part of my search for information,” says Glover. “But right or wrong, some farmers view it as subjective information.” She says that although more agronomists are now practicing privately, she still relies heavily on the information and experience provincial and academic researchers provide. “When those people retire, we will feel the gap,” she adds. “As conditions in agricultural research change, certified crop advisors are encouraged to help ensure research continues to be practical and precise, not quick and cheap.” FF for more information visit us online online articles Personal interaction trumps Internet www.farmforum.ca/internetresearch Global innovation brings local benefits www.farmforum.ca/globalresearch
Farmers today have access to a seemingly endless supply of information via the Internet. But there is such a thing as information overload. The challenge is often twofold: first, knowing where to find what you’re looking for and, second, separating the wheat from the chaff. Ag-based companies and industry associations are often good places to start. But many other websites are goldmines of information about research, programs and services that can help you get a handle on what’s new in the ag industry. Here’s a selection:
Government research
PHOTO (LEFT) COURTESY BAYER CROPSCIENCE; PHOTO (RIGHT) ©ISTOCKPHOTO.COM/Bubutim
dustry. University of Saskatchewan researchers, he explains, can apply to producer groups to source funds for particular projects. “There are opportunities in plantrelated fields for those looking at getting into this sort of research,” says Holm. “The agricultural industry is buoyant — there’s plenty of innovation to be had. Right now our concern is that there are not enough scientists choosing agriculture as their career.” Ashley Glover is a private consulting agronomist with B&B Ag Service in Mossleigh, AB. As public extension services diminish, she finds her role is to source current research and filter that information for her farm clients. She says she has traditionally received a lot of that information from government and universities. “Private sector resources are a
farmforum.cA
invest in the research,” he adds. Provincial government extension services have for the most part declined dramatically since the 1980s. At one time the provinces took much of the research done at the federal and university levels and brought it to farmers in the field. Today’s farmers often have to find their own solutions and they are vocal about what they need in terms of new research. “The influence of producers is one of the big changes in Canadian agricultural research,” says Rick Holm, professor of weed science at the University of Saskatchewan. “Through their check-off dollars they have chosen to fund research through their industry associations.” He points to the Saskatchewan Pulse Growers as one group whose memberfunded plant breeding programs have had a significant impact on their in-
University and college research
• Agriculture and Agri-Food Canada’s Science and Innovation site has links to current and past research, its 19 research centres, and research programs and services. Visit www.farmforum.ca/AAFC
• The University of Saskatchewan’s College of Agriculture and Bioresources site provides a host of links to research both within the University and also through its various industry partners. Visit www.farmforum.ca/UofSresearch
• The newly formed Alberta Innovates, Bio Solutions Department of the Alberta provincial government links to research from four ag-based organizations that fall under the Bio Solutions umbrella. Visit www.farmforum.ca/biosolutions
• Research Information is available from the University of Guelph through its website or by linking to its various publications on different areas of the industry. Visit www.farmforum.ca/uguelphresearch
• The government of Saskatchewan contributes 2.5 million dollars each year to agricultural research. Visit www.farmforum.ca/SKagresearch • In Manitoba, the Agri-Food Research and Development Initiative provides funding for innovation in agri-food production and processing in the province. Visit www.farmforum.ca/MBresearch
• The University of Alberta breaks down its agricultural research by faculty. Visit www.farmforum.ca/UofAresearch
Independent services and expertise • The Agricultural Institute of Canada’s Canadian Journal of Plant Science shares peer reviewed research findings. Visit www.farmforum.ca/journalresearch • The Canadian Consulting Agrologists Association site includes a searchable database for agrologists by location and field of expertise. Visit www.farmforum.ca/ccaaresearch • Many retailers have agronomists on staff, or can help farmers find an agronomist in their area. This listing of Interag independent retailers is a good place to start. Visit www.farmforum.ca/findanagronomist • The Canadian Weed Science Society is an industry-sponsored organization that links to weed-related information across the country. Visit www.farmforum.ca/weedinfo • No listing of agricultural research and services would be complete without a link to Environment Canada’s weather site. Visit www.farmforum.ca/ envirocanadaweather Farm Forum.cA | 15
business
Take a second look at workers’ compensation
By Joy Gregory
A lack of workers’ compensation could put your farm at risk. But even if covered, you might still be living under a false sense of security Farmers who think they’re saving money by not buying optional workers’ compensation coverage for themselves or their employees may be putting their farms and estates at risk, says Ryan King, managing partner, King Capital Planning Inc. in Edmonton, AB. “I’m a ‘big picture’ kind of guy and I don’t mind telling you that conversations about compensation coverage for farmers and their staff are complicated. I work in one of the provinces where cov16 | Farm Forum | SPRING 2010
erage for farm owners and employees is optional, but that doesn’t mean there’s no need to discuss the question.” Workers’ compensation programs across Canada are administered provincially, allowing for different applications in each province. For example, farm owner/operators in Alberta, Saskatchewan, Manitoba and Ontario can all opt into workers’ compensation insurance programs that provide these owner/ operators, who produce the bulk of
Canadian field crops, with coverage. In Alberta and Saskatchewan, farm operators can also opt into voluntary coverage of non-family employees. But that’s not the case in Manitoba and Ontario, where voluntary coverage of non-family employees is not an option. As of January 1, 2009, compulsory coverage in Manitoba was extended to include farms that employ paid workers. Farm owner/operators and family members who work on the farm in Manitoba
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PHOTO (above) COURTESY CLASS; PHOTO (RIGHT) COURTESY KING CAPITAL PLANNING
remain exempt from Ryan King mandatory coverage. WCB Manitoba figures show about 1,100 new ag-related businesses have joined the program since the changes came into effect in January 2009, says Warren Preece, Workers’ Compensation Board (WCB) of Manitoba. While mandatory coverage of employees is not universal in Ontario’s farm industry, most categories of employment have required employee coverage for several years. The real issue with workers’ compensation coverage is risk management,
says King. Rather than letting his farm no-fault approach means compensation clients think they’ll save money by not kicks in without litigation. paying into a voluntary program, “I try But even with the obvious benefits to get them to consider whether the uni- of the no-fault provisions of workers’ versal coverage offered under these pro- compensation programs, King says most grams is enough.” farms need to protect their operations The ceiling for maximum insurable (and estates) with additional private 24earnings differs from province to prov- hour insurance plans for owner/operators and staff. Noting ince. Under Oncases where there tario’s Workplace is a debate over Safety and InsurThe real issue with workers’ whether an injured ance Board, the individual was realmaximum for 2010 compensation coverage is ly “at work” when is $77,600. In Alrisk management picking up supplies berta, the maximum for a business, or level of insurable traveling from point earnings is about $72,000. “If an Alberta farmer shows A to B, King says it’s best to avoid the an income of $120,000, then basically grey areas. “Is the guy at work? Well, it he’s only half covered. So yes, he needs doesn’t matter under a 24-hour plan. If to take a better look at how he’s going he’s hurt, he’s protected.” to live on half his income if he can no King suggests most farm owners longer work or farm,” says King. should explore options with a combina“Our approach is to look at every- tion of workers’ compensation and prithing from the point of view of how it vate coverage. There are usually good impacts the estate. What does it mean to reasons to have basic workers’ comyour estate and loved ones if you, as the pensation coverage and sometimes the owner and breadwinner, are not covered premiums a director/owner can save by properly?” asks King. opting, say, for $20,000 coverage inIn the end, King’s discussions with stead of the maximum, “can be used to clients about workers’ compensation supplement insurance coverage with discoverage hit the same talk- ability provisions specific to his needs,” ing points as their conver- explains King. FF sations about overall risk management strategies. Workers’ compensation programs When farmers tell King across Canada are funded by emthey don’t need insurance, ployers (not by government) and the he asks them to take a secactual fees are based a dollar amount ond look. When they tell per $100 of payroll. him their wives can borrow In Saskatchewan, for example, the money to run the farm until premium rate for 2010 is $3.03 per the estate is settled, for ex$100 of payroll. Based on the maxiample, King delivers a swift mum assessable wage of $55,000, reality check. the premium in that province would “If she’s never had a loan, be $1,666.50. never been involved with farm finances and has never had a credit card, who’s gofor more information visit us online ing to lend her money? Some people tell online articles me she can get it from family. Really? I An ounce of prevention is worth a pound of cure know it can cost tens of thousands of www.farmforum.ca/preventinjuries Safety plans protect your farm investment dollars just to get a crop in the ground, www.farmforum.ca/safetyplan so I ask them what happened the last ADDITIONAL RESOURCES: time they tried to borrow $500 from a Workers Compensation Board of Manitoba family member.” www.farmforum.ca/WCBmanitoba On the plus side, in addition to includWorkers’ Compensation Board - Alberta www.farmforum.ca/WCBalberta ing disability benefits related to workSaskatchewan Workers’ Compensation Board related injuries, workers’ compensation www.farmforum.ca/WCBsaskatchewan does remove the concepts of negligence Workplace Safety & Insurance Board/Ontario and fault from legal consideration. This www.farmforum.ca/WCBontario Farm Forum.cA | 17
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business
Good market intelligence heads off bad production decisions
By Gerald Pilger
Canadian potato growers mirror a U.S. information network that helps them anticipate supply and price In an era of government mandated, check-off funded commodity groups, there is one organization that is strikingly different — the United Potato Growers. A creation of potato growers themselves, this federated cooperative has a mandate to provide member growers with more and better market and production information. Ray Keenan, a PEI potato grower and chairman of the United Potato Growers of Canada (UPGC) says, “The prime objective of UPGC is to improve marketing through better data collection and information analysis. After all, you cannot manage what you do not know.” Barb Shelly, communications officer for the sister organization United Potato Growers of America (UPGA), describes the UPGA as the means for potato growers to take control of their own indus20 | Farm Forum | SPRING 2010
manage the Idaho potato supply. These growers also encouraged potato growers in other regions to create their own supply try. “By working together, growers have management cooperatives. That initiative achieved improvement and stability in triggered 10 grower cooperatives. Within a year, it became apparent that national prices and markets.” Creation of a federated cooperative of coordination of these groups was needed potato growers began in Idaho in 2004. if the goal of stable potato pricing was to According to Shelly, growers often lost be achieved. So in 2005 the UPGA, with money in the volatile potato market by a head office in Salt Lake City, UT, was created. The mandate competing with each of this federated co-op other and overproducNinety eight percent of is to manage national ing. “They were not producing to demand Canadian potato growers potato production to ensure a consistent because they simply are now represented by supply of high quality did not know what potatoes at a reasonthat demand was.” the UPGC able price. Under the 1922 U.S. According to Shelly, information Capper-Volstead Act (The Co-operative Marketing Associations Act) that allows gathering and dissemination is key to growers to work collectively to market managing the supply of potatoes, and agricultural production, Idaho growers this is the primary focus of the UPGA. created a state cooperative intended to “The UPGA gathers potato supply num-
PHOTOS COURTESY BAYER CROPSCIENCE
Seminars point potato growers to top profits
Through a strategic alliance with Bayer CropScience, United Potato Growers of Canada (UPGC) offers its members opportunities to improve their operations through seminars. Bayer has renewed its commitment to the United Potato Partners Program for 2010. This is the second year the company has sponsored educational seminars for potato growers in Canada. “We’re committed to the industry, and these seminars help growers maximize production and profitability,” said Dave Kikkert, portfolio manager, horticulture, for Bayer CropScience. The seminars also help UPGC meet its primary goal of providing timely information to potato producers across the nation. “We are pleased that Bayer CropScience has recognized the UPGC initiatives as important to the sustainability of potato production,” said Ray Keenan, UPGC chairman, in a January 2010 announcement. Rob Van Roessel, a potato grower at Bow Island, AB, attended an Alberta seminar last year. “Presentations were made on the Canadian and U.S. potato
“UPGC helps growers exchange information and share market intelligence. We can find out about supply and demand across North America. We also learn what varieties are working for other growers, and hear about new technology that may have a fit on our farm,” says Medynski. “I am not always able to participate in the UPGC telephone conference calls due to timing but I can contact other UPGC growers, many of whom I have never met face to face, to get their thoughts on the market.” While the UPGC provides only market information, the UPGA has gone one step further and now makes recommendations to growers about the number of acres of potatoes to plant in an attempt to balance supply and demand. Due to above average yields last year,
markets,” he said. “I took home very good market and financial information. Bayer also gave an update on its products, and information was provided on potato economics and production costs. “The partnership is a natural fit,” added Van Roessel. “Bayer is a primary supplier of inputs used by potato growers. I appreciate the company’s support of our industry through projects such as this.” Because of their success and acceptance by so many producers, these educational seminars will be adopted as a cornerstone of UPGC moving forward, said Keenan in an online message to members. “There is no better marketing tool for producers than to have knowledge of the North American potato industry.” Bayer also partners with United Potato Growers of America, sponsoring seminars across the U.S. This year, seminars will be held in nine potato growing areas south of the border. FF To check for upcoming seminars in your area visit www.unitedpotatocanada.com
high potato stocks and reduced demand due to the economic downturn, the UPGA is recommending its growers reduce 2010 acreage by 25-30 per cent from their base (2004) level, to maintain prices. FF farmforum.cA
bers directly from growers. Members also provide information on quantity of potatoes in storage, production costs, and shipping. As well, UPGA staff monitor demand for potatoes.” The vast amount of data collected, explains Shelly, is then analyzed and converted by UPGA staff into supply and demand information that growers can use to develop their individual marketing plans. Any member of the UPGA can access the information at any time via a membersonly section of the UPGA website. Shelly says the biggest benefit of this system is the quality of information generated. “UPGA members love growing potatoes. They recognize the need and value of good information and so the data they provide is of high quality. Weekly conference calls between the coops, and website updates three times a week, keep the information current.” In Canada, provincial potato growing organizations have worked to support and promote the potato industry for years. As a result, market information has been largely provincially based. Seeing the benefits the UPGA has achieved by sharing information nationally in the U.S., the Canadian provincial potato associations supported establishment of the UPGC in 2006. As in the U.S., the UPGC was launched to improve potato marketing through better information and analysis. Ninety eight percent of Canadian potato growers are now represented by the UPGC. “The prime objective of UPGC is to improve the data system through monitoring selling prices, truck rates and availability, shipments, and storage, as well as crop and weather conditions throughout the growing season,” says Keenan. “We want to make sure the user’s potato needs are met, that no sector is shorted, and that we supply all the potatoes ordered.” Canadian potato growers can also access up-to-date market information through the Internet. As well, regular telephone conference calls are held to share market information with members. And the UPGC has also partnered with industry to give growers educational opportunities. Gord Medynski is director of sales and purchasing for Patates Dolbec, a large, diversified farm in St-Ubalde, QC. Each year, 3,000 acres of the 10,000-acre family farm is planted to potatoes for table, seed and processing markets.
for more information visit us online online articles Co-op membership brings market benefits www.farmforum.ca/UPGCbenefits Cooperatives generate timely market intelligence www.farmforum.ca/UPGCmarketinfo ADDITIONAL RESOURCES United Potato Growers of Canada www.farmforum.ca/UPGC United Potato Growers of America www.farmforum.ca/UPGA Farm cooperatives info/ Washington State University www.farmforum.ca/WSUcooperatives Farm Forum.cA | 21
f a r m li f e
Young farmers balance idealism and economics Last December in Ottawa, in a room filled with hundreds of their peers, Grant and Colleen Dyck of Niverville, MB, took top honours in Canada’s Outstanding Young Farmers’ Program. They shared the award with co-national winners Greg and Tania MacKenzie of Stratford, PEI. (See the MacKenzies’ story in the Winter 2009 issue of Farm Forum.) “The calibre of alumni in the Outstanding Young Farmers’ organization is impressive,” says Grant. “This is a really progressive group to be involved with.” Grant and Colleen, both 32, embody the spirit of the Outstanding Young Farmers’ program. With a constant stream of innovative ideas, a great work
ethic and a positive attitude, the couple juggles the demands of three companies and three young children, Leo (2), Oskar (4) and Georgia (6). The couple run a second-generation, 12,000-acre grain and oilseed operation dubbed Artel — meaning a group of people working together toward a common goal. Artel has seven full-time and 18 part-time employees. Grant is also co-owner of WoodAnchor, a reclaimed lumber and wood products company specializing in unfinished and pre-finished wood flooring using old timbers from
The Dyck family L to R: Leo (2), Colleen, Georgia (6), Grant and Oskar (4), national co-winners of the 2009 Canada’s Outstanding Young Farmers’ Program. 22 | Farm Forum | SPRING 2010
By Cindy Bablitz
prairie grain elevators, trees cut down due to Dutch elm disease, and other species cut down due to development of farmland. WoodAnchor is one of only a few providers and manufacturers of LEED (Leadership in Energy and Environmental Design) eligible wood products in Canada. “Currently WoodAnchor is the only reclaimed wood flooring manufacturer between BC and eastern Ontario and we’re the only wood company in North America specializing in reclaiming landfill-diverted elm,” he says.
Colleen leads an active lifestyle, with hopes of participating in a triathlon down the road. She’s recently started The Gorp Project, creating a high quality, great tasting energy bar made with natural ingredients, many from their farm. (For a more details on The Gorp Project, visit www. farmforum.ca/gorpproject.) Grant took over the family farm when his father passed away suddenly nine years ago. The ensuing seasons of experimenting in food production brought a host of ideas to the dinner conversation including the viability of organic chicken soup and hemp hearts. Idealists at heart, the pair try to balance the responsibilities of being part of the global community of food producers while at the same time caring for the environment, their family and community. They practice zero-till or minimal-till and strive to improve efficiency, decrease operating costs and minimize resource use. “There isn’t a lot of black and white in agriculture,” explains Grant, “And as producers we have to be open minded: a high-volume, low-margin farm is going to sustain itself. We do feel we’re in a noble occupation.”
Georgia striking a pose in the family truck.
Adds Colleen, “you won’t have a voice unless you survive. Our goal is to continually move toward what works best for our family and our community. There’s a balance between idealism and economics we’re constantly trying to strike.” The ethics of food production has seen some press as of late. And, according to Grant and Colleen, one fallout of the rural/urban gap is a real world disconnect between questions of practical production viability and theoretical food-related morality. “Everyone eats, so everyone’s entitled to an opinion,” says Grant. “But a lot of times, the latest magazine headline is taken as testament. Food education can’t stop there, however. A lot of fear and misinformation is being generated, with issues sometimes raised by media for shock value.” What’s clear is that these outstand-
WoodAnchor is one of only a few providers and manufacturers of LEED eligible wood products in Canada.
ing young farmers are ready to take on the challenges today’s issues bring to the table without dulling their pencils. A sharp focus on the bottom line will ensure long-term viability. That way, their voice can lead future generations of food producers. FF
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PHOTOS COURTESY THE DYCK FAMILIY
The calibre of alumni in the Outstanding Young Farmer organization is impressive
for more information visit us online additional resources Artel Farms www.farmforum.ca/artelfarms The Gorp Project www.farmforum.ca/gorpproject WoodAnchor www.farmforum.ca/woodanchor Outstanding Young Farmers’ Program www.farmforum.ca/OYFcanada Farm Forum.cA | 23
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