AgroLiquid NEWS WINTER 2021
Welcome | 1 Making Input Decisions in 2022 | 3 Silage | 5 Yield is Important; Economics is Key | 9 AgroLiquid.com
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© 2021 AgroLiquid. All Rights Reserved
NOTE FROM NICK
our mission:
to Prosper the Farmer
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AgroLiquid News
As you know, the global supply chain is experiencing immense pressure. Much of this comes down to issues with labor throughout the workforce. It is challenging for businesses and consumers to get the goods and products that were easily attained a few months ago. Nearly every type of product in every type of market is experiencing shortages and delays, and agriculture is no exception. In fact, the input market may be experiencing more pressure than most, as our industry is seasonal and time sensitive. AgroLiquid remains in constant, close communication with our supply chain partners to ensure we can provide the quality product our customers expect and deserve. We have confidence that the plans are in place to be able to deliver product when and where our customers need. Our mission remains ‘To Prosper the Farmer.’ Our goal is to make sure your 2022 growing season is successful and profitable. In turn, that is what makes AgroLiquid successful. As always, do not hesitate to contact your local AgroLiquid Retail Partner or Sales Account Manager to discuss how AgroLiquid fits on your operation. You can find contact information on our website AgroLiquid.com/Contact.
Nick Bancroft CEO AgroLiquid
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Inputs
Making Input Decisions in 2022 By Galynn Beer, National Sales Strategy and Product Management Lead
Harvest has wrapped up and 2021 was a very exciting, yet volatile year in agriculture. If you evaluate production costs versus revenue, it’s been a long time since proactive growers could lock in most inputs at low prices early in the season and benefit from rapidly appreciating commodity prices to hedge revenue during the spring. This allowed for the best potential profit margins in the past several years. But, profit creates demand for inputs, which causes costs to rise. Couple increased demand with supply issues that persist for a number of reasons and now you have demand pursuing limited supplies of many inputs. This dynamic results in a buying motivation that trumps every other reason to buy…scarcity, or fear of not being able to get something that is wanted or needed. This Versus That When this happens, rational decisions often become irrational. It happens in our lives more that we probably think about, such as a limited release of something that is sought after. Heck, the other day I heard of a limited release tennis shoe that would normally sell for $150 selling for over $2,000. I wouldn’t pay it, but apparently someone will because it’s limited and they want those unique shoes. I don’t need a specific pair of 3
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shoes that badly. While alternatives to a specific tennis shoe may exist, crops need what they need to grow. Some nutrients aren’t optional. Of course, there are some alternatives to a few nutrients, but all crops need nutrients of some sort. Legumes, such as soybeans, don’t require commercial nitrogen since they have a symbiotic relationship with bacteria that provide nitrogen to them. Growing a legume would eliminate a major input cost of nitrogen that is incurred for corn.
However, a massive shift in acres from corn to soybeans may solve the cost of nitrogen problem, but have a negative effect on gross revenue unless an effective hedging strategy is utilized. The price of soybeans would likely drop if 100M acres were planted. Some crops, such as wheat, tend to be nitrogen intensive for the revenue produced. High nitrogen prices rapidly increase the amount of money needed
“The best utilization of fertilizer in a year when it is expensive may be a little below maximum yield, where each nutrient input is leveraged into maximum production.”
to produce high yields. Cotton can produce strong revenue at current prices and it does so with lower nitrogen inputs than many crops. Cotton isn’t an option unless you live in an area of very high heat. In addition to nitrogen, phosphorus, potassium, sulfur and zinc top the list of other nutrients that have seen rapid price appreciation and supply shortages.
Working Through Your Options The question presented by all of this fertilizer turmoil is, “How do growers make decisions for the 2022 growing season?” This will take some work. There are a number of tools available to evaluate what will work best. The first step, however, will be getting a soil test. Why is this important? Getting a good understanding of the inventory of nutrients in your soil will be critical in determining what trade-offs should be made. For heavy nitrogen consuming crops, such as corn and wheat, it’s easy to cover that need and see what budget is left for other nutrients. But if you work with a crop nutrition representative from AgroLiquid, they can be helpful in working through the trade-offs. Giving up 40 pounds of nitrogen to make room in the budget for P, K, S and micros may coax the best result out of the crop. A lot of questions have to be answered to determine that and someone with strong crop nutrition skills can determine the impact of residue, previous crop, soil issues, cultural practices, and available assets for applications and timing. All of these variables combine to provide a good costbenefit analysis. Diminishing returns can happen when pushing the yield envelop. It’s easy to let achieving gross revenue through
maximum yield production drive a decision because it’s a simple calculation. The best utilization of fertilizer in a year when it is expensive may be a little below maximum yield, where each nutrient input is leveraged into maximum production.
What’s Right For Your Farm? Another caution is to make sure you keep emotions in check in periods of volatility. Pressure to secure supply can result in hasty decisions. Have a process to prevent ‘I know I need it’ type of decision making. Identify what crops will work best for your farm. It’s generally good to stick with a crop you are good at producing and have a local market for. After you’ve determined the crop fit for you and you’ve taken inventory of soil nutrients through a soil test, then consult with a fertilizer specialist to understand the limitations for the yield you desire as well as determine application timing and methods and their fit in your program. Side-dress, Y-drop and fertigation are very effective in-season application methods, but is there time and do they fit your operation? And one of the last steps of the process is to make sure you don’t become a victim of ‘group think’. It’s easy when you look at social media to see how others are making decisions and assume they’ve taken all of the steps. Next thing you know, you make their decision your decision without really knowing if they made a good one. Do your own analysis! It’s your money. It’s your farm. Seek outside advice as part of the process, but don’t let outside advice be your entire process.
Yield Win Versus Economic Win Opportunity certainly exists for the 2022 growing season. Anyone who provides transparent tools should be at the top of the list for helping you navigate the hurdles and maximizing opportunity. At AgroLiquid, we compile win-rate data on our products. That means we show the wins AND losses. Those make up our win-rate percentage. Then we apply economics. A yield win may not be an economic win. The economic win changes constantly based on the cost of products versus what that product produces. You don’t want to spend $10 to make $5…or at least I don’t. High value crops, such as almonds or tomatoes, will need their own analysis. Crop nutrition is generally a lower percentage of overall production costs for these intensive crops. A lower power microscope may be fine in that situation. Contract obligations and produce crops that have more direct consumer feedback have different values, and those can be very individualized. A process for decisions is still prudent. Several steps I talked about in this article are still relevant. Decisions made during market volatility often causes skewed conclusions. Just like the emotions that can take over during an auction and cause you to bid higher than you planned, those same emotions can override other decision processes when constant supply chain articles are published. Check your emotions. Have a process for making decisions. Follow that process!
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Silage
Silage By John Leif, Agronomist
Corn silage is an important forage for many high-producing dairy herds. With its relatively high energy content, corn silage is also used for fattening cattle. Because this forage is often the base for total feed rations, producing a high-quality silage is critical.
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In 2021, AgroLiquid started a three-year research project with the goal of increasing corn silage yield and feed quality. These trials were the result of a collaborative partnership between AgroLiquid, Precision Planting, Dairy Support Services, Dairy Management, and Dairy One and performed at the Cornell University Ruminant Center (CURC). The long-term goal of the project is to grow 30 tons/A corn silage with sufficient feed quality to produce 120 pounds of milk per cow per day. Historical corn silage yield for the area has been 15 – 18 tons/A. As always, AgroLiquid uses soil test reports and yield goal as a starting point. Our crop nutrition experts are working
with the consultants at Dairy One and managers at the CURC to develop a fertilizer program to meet the 30-ton goal. The fields used in the 2021 trial have adequate phosphorus and potassium levels, and low to modest sulfur and micronutrient levels. The AgroLiquid program was compared to the commercial standard for the area as well as a reduced rate planter treatment and a reduced rate Conceal® application treatment, using the same mixes as in the full program. Growing conditions during the season were generally good for corn silage production. However, a hail storm during tassel and pollination did limit yield potential.
Planter Placement FurrowJet® (3 stream)
Planter Placement Conceal (both sides of row)
Side Dress (V5)
Full AgroLiquid Program:
Full AgroLiquid Program:
Full AgroLiquid Program:
Pro-Germinator®
2 gal/A
High NRG-N™
11 gal/A
High NRG-N
38 gal/A
Kalibrate®
4 gal/A
Kalibrate®
2 gal/A
accesS
2 gal/A
eNhance™
0.25 gal/A
accesS®
2 gal/A
TOTAL
40 gal/A
Micro 500®
0.5 gal/A
TOTAL
15 gal/A
microLink® Manganese
0.25 gal/A
microLink Boron
0.125 gal/A
LiberateCa®
0.125 gal/A
C-Tech®
0.25 gal/A
TOTAL
7.75 gal/A
Commercial Standard: 6-24-6
5 gal/A
Commercial Standard: 32-0-0 UAN
15 gal/A
Commercial Standard: High NRG-N
38 gal/A
accesS
2 gal/A
TOTAL
40 gal/A
continued…
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Mid-season measurements in the full program plots showed corn plants were 30% larger in diameter and 12" taller than corn plants in the commercial standard plots. Root development was also better in full program plots.
21 19.7 19.7
Full Program Reduced Rate Planter Program (2 gal/A through FurrowJet and 11 gal/A through Conceal) Reduced Rate Conceal (11 gal/A through Conceal, no fertilizer applied through FurrowJet)
17.7
Commercial Standard
Corn Silage Yield at 35% Moisture (tons/A)
Fertilizer Program
Corn silage yield was taken in late September
Samples from each plot were vacuum sealed and analyzed for feed value after a month of fermentation Fertilizer Program
Starch (%)
NEL (Mcal/lb)
30 hr. NDFD (% of NDF)
Full Program
37.5
0.77
52.5
Reduced Rate Planter Program (2 GPA through FurrowJet and 11 gal/A through Conceal)
41.3
0.80
53.4
Reduced Rate Conceal (11 gal/A through Conceal, no fertilizer applied through FurrowJet)
39.2
0.78
55.6
Commercial Standard
35.4
0.75
49.5
NEL = Net Energy Lactation NDFD = Neutral Detergent Fiber Digestibility (measured after 30 hours)
Although the long-term goal of 30 tons/acre yield was not achieved, it is evident from the trial that proper crop nutrition can substantially improve silage yield. The economic value of proper crop nutrition is also evident in this trial. The cost difference between the commercial standard and the full AgroLiquid program was about $100/A. At current commodity prices, an additional 2 tons/A corn silage yield is needed to pay for the additional fertilizer. In this trial there was a 3.4 tons/A increase with the full AgroLiquid program, providing a net economic gain in the value of the silage. Improved energy and digestibility provided by AgroLiquid fertilizer increases the potential milk
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produced per ton of feed. Increased yield and improved feed quality can translate into more milk produced per acre, reducing feed costs and improving a dairy farmer’s profit. As a result of this first year information, CURC has committed to continuing the partnership for at least two more years, and expanding the research on several other research farms. Information from the 2021 trial will be used to make adjustments to the treatments and methods for conducting this research over the next few years. Watch for our continued results of this trial and all other AgroLiquid research at AgroLiquid.com/Research.
High-yielding crops begin with proper nutrition, and proper nutrition starts with a complete soil analysis.
Not that long ago, fertilizer management only focused on N-P-K. As yields climb, we know that we are having to increase the productivity of N, P and K through the supporting roles of secondary and micronutrients, such as sulfur and zinc all the way through molybdenum. But which ones? And how do we decide which of those pricey nutrients will be worthwhile? The free Back 2 Basics video series is intended to take an in-depth look at the nutrients that may make a difference in your crop. We’ll go in the order that we at AgroLiquid look at a soil test analysis and help you understand the role each nutrient plays in the plant, how it interacts with other nutrients in the soil, watch-outs and more. Register now for this FREE video series at AgroLiquid.com!
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Yield
Yield is Important; Economics is Key By Stephanie Zelinko, National Agronomist The only consistency working in the agriculture industry is that every year is different. Looking toward the 2022 growing season this is already becoming apparent. Weather, commodity prices, input costs are all highly variable and mostly out of our control. However, there are some things we can control in managing a crop to reach the best yield potential while keeping economics in mind. Soil testing continues to be one of the most important tools a grower can use to help manage their crop fertility program. Although it is not simply just taking the soil test, but also understanding the results and knowing how to use them. The team at AgroLiquid can help growers understand soil test reports and walk through key areas where fertilizer dollars should be focused to balance yield and economics. This knowledge of soil fertility is backed by years of research from our North Central Research Station along with numerous field trials from across the country. Data is compiled to develop a win-rate, where measurements of both wins and losses are used to determine the likelihood of achieving a positive response from a fertility program. Then economics can be applied to help growers recognize the return a fertilizer investment has on profitability.
Cut With a Scalpel – Not A Machete Sulfur As input prices increase, the reaction often times is to cut out micro and secondary nutrients. However, these play a big part in yield so it is best not to cut completely. Sulfur is critical for corn production, as we have lost the “free sulfur” from the environment, adding to a fertility program is important. AgroLiqiud had two sulfur products accesS® and eNhance™. AccesS is a 17% sulfur with micronutrients that should not be applied in-furrow, but can be applied away from the seed at planting, in strip-till, Y-Drop or sidedress. Win-rate analysis shows that over 96% of the time you will get a positive economic response for applications on corn with an average yield increase of around 8 bu/A. Another sulfur option is eNhance, an 8.7% sulfur with micronutrients, which is safe for in-furrow applications. Data shows that an average yield response from 2 qt of eNhance applied in-furrow on corn provides a 7.7 bu/A and an economic return 94.1% of the time. 9
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Calcium Calcium plays a key role in plant health and is especially important for soybean growth and development. There are many soils across the country that are low in calcium and soil amendments are the best way to address this. However, the addition of calcium in a fertility program will provide the necessary nutrients for the crop. LiberateCa® is a seed safe calcium source, which can be safely mixed and applied with other AgroLiquid products. This allows a single product to be applied at planting. Win-rate analysis of adding LiberateCa to a soybean planter fertilizer program has shown over a 3 bu/A yield increase with a positive economic return nearly 92% of the time.
Micronutrients With the push for higher yields, the benefit of micronutrients has become more apparent. However, many times the focus is on a single nutrient like zinc or boron. AgroLiquid’s Micro 500® is a specialized blend of five essential micronutrients: zinc, manganese, iron, copper and boron. Review of a soil test will help determine which micronutrients are low, but often the combination of these five micros will provide better yield response than just focusing on one nutrient. This is because they work better as a team and help improve the overall plant health. Micro 500 is a great product for any crop and can safely be applied at planting, foliar or any in-season application. When applied in-furrow on corn, average yield increase has been nearly 8 bu/A with an economic return 94.7% of the time. Applied to soybeans at planting, Micro 500 achieved 3.6 bu/A average yield increase with a positive return seen every time in this data set.
Soil testing continues to be one of the most important tools a grower can use to help manage their crop fertility program.
AgroLiquid Product
% Positive Economic Response
Crop
Average Yield Increase
96.8%
8.1 bu/A
94.1%
7.7 bu/A
91.7%
3.3 bu/A
94.7%
7.9 bu/A
100%
3.6 bu/A
It is necessary to manage input costs, but it is even more critical to manage them correctly. Combining the understanding of a soil test with the win-rates of fertility components will help make the best management decisions. AgroLiquid.com
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