P E R I O D I C A L S : T I M E VA L U E D
APRIL 15, 2015 |
V O L . 8 2 , N O . 3 3 | W W W. I O WA FA R M B U R E A U . C O M
Time could be an issue for Trade Promotion Authority BY DIRCK STEIMEL Congress is expected to soon begin considering Trade Promotion Authority (TPA) and there is growing concern that lawmakers need to move quick ly on passage or risk running out of time in a crowded legisla tive calendar, a trade specialist with the American Farm Bureau Federation (AFBF) said last week. “I think the clock is really starting to become an issue for us on TPA,” said David Salmonsen, AFBF senior director of
Congressional Relations. “There are a lot of other issues vying for attention now, and you don’t want these trade issues pushing into an election year.” Also adding pressure is the final negotiations on the expan sive Trans-Pacific Partnership or TPP, which would link the United States into a free trade agreement with 11 other countries, includ ing Japan, Australia, Vietnam, Canada, Mexico, Brunei, Chile, Malaysia, New Zealand, Peru and Singapore. The Obama administration
and Congressional leaders sup port the Pacific trade deal and have said they want the deal completed by the end of 2015. That means they’ll need to hustle to pass TPA to pro vide enough time to get the details of the SALMONSEN trade deal wrapped up by year’s end, Salmonsen said. The need for a sustained push
was underscored last week by Iowa Sen. Charles Grassley, who complained that while President Barack Obama has requested TPA, he is not pushing hard enough for swift passage. “The president is going to have to get on the phone, one-on-one, with reluctant sena tors if this thing is going to move along,” Grassley said in a press briefing. Farm Bureau backs passage of TPA, which is considered a key to free trade agreements and increased exports of American crops, meats and other products.
USDA, China to discuss plan on approvals of biotech traits Officials with the U.S. De partment of Agriculture (USDA) are arranging high-level meetings with their counterparts in China later this year in an effort to ratio nalize and synchronize biotech crop approvals, U.S. Agriculture Secretary Tom Vilsack said recent ly. The goal, Vilsack said, is to have a system in which crops with biotech traits are approved to grow and import into China at the same time they are approved in the United States. “We face a challenge with the Chinese because their regulato ry systems are not aligned with ours,” Vilsack said during a con ference call arranged by Business Forward, an economic develop ment group. “They don’t begin their regulatory process until after we have completed ours.” That delay, the Agriculture Secretary said, can add years to the biotech approval process and cause serious market disruptions. The timing of biotech crop approvals rose to the forefront in late 2013, when China delayed approval of corn imports that con tained Syngenta’s Viptera or MIR 162 insect control trait. The trait had already been approved in the United States and other major markets. The Chinese eventually approved import of corn with the MIR 162 trait in late 2014, but the delay prompted several large grain handlers to refuse to accept MIR 162 hybrids and spawned lawsuits against Syngenta from grain com panies and individual farmers. The United States has repeat edly urged the Chinese govern ment to synchronize the biotech approval process, but this year’s effort promises to get into a higher level of technical detail to find ways to solve the issue, Vilsack said.
Under TPA, Congress agrees to consider a trade deal as negoti ated with an up-or-down vote, but cannot amend it. Congress has granted TPA to presidents for decades, going back to the World War II era, as a way to smooth the way to trade agreements that open markets, reduce tariffs and expand overall economic development. Passage of TPA was a criti cal component of the successful efforts to negotiate and finalize free trade agreements with South TPA PAGE 2
Push back against foes of biotech That’s the advice of Florida researcher Kevin Folta, who has drawn activists’ wrath for backing the technology. STORY ON PAGE 3
2015 Spokesman crop reporters introduced With planting season near, the first group of crop reporters is introduced. STORY ON PAGE 4
Keep speaking up about conservation efforts Des Moines County Farm Bureau president Bill Schrock, left, and his son Nate, complete last minute adjustments on their planter last week as they prepare to begin planting corn. Farmers across Iowa are eager to start planting to avoid delays, which have been common the past few years. PHOTO/ GARY FANDEL
Iowa farmers eager for early start on 2015 planting BY DIRCK STEIMEL
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fter a rainy and sometimes snowy week which helped r e c h a rg e t o p s o i l moisture, Iowa farmers are ready and eager to get a good start on planting corn. And it appears field
conditions over much of the state are ready for the planters to roll, farmers and agronomists said last week. “The ground is working up beautifully,” said Chris Prizler, Iowa County Farm Bureau presi dent, who farms with his father near Williamsburg. “We aren’t in
a big hurry to get started planting, but things really do look pretty good right now.” Ben Bader, a Black Hawk County Farm Bureau member, agreed that field conditions look nearly ideal for planting, which is PLANTING PAGE 2
Iowa Gov. Terry Branstad urges Farm Bureau members to highlight their environmen tal efforts. STORY ON PAGE 5
Corn still second crop for Brazil’s farmers While Brazil’s farmers are adept at raising soybeans, corn still plays second fiddle there. STORY ON PAGE 8
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IFBF: DIETARY GUIDELINES NEED TO BE REWORKED
USDA SETS FUNDING FOR WETLAND PROGRAMS
The proposed dietary guidelines from the U.S. Department of Agriculture (USDA) and U.S. Health and Human Services (HHS) appear to have taken a very a negative view of meat and dairy products, which is based almost exclusively on perceived environmental impacts, the Iowa Farm Bureau Federation said last week in comments to the federal agencies. “Such a focus is inappropriate given the defined scope of work for this committee. Based on the widely recognized role that meat and dairy products can play in a healthy diet, we would urge USDA and HHS to restore the positive statements about those products that have been a common feature of dietary guidelines in the past.” Past reports have uniformly included a positive reference to the inclusion of lean meat as part of a healthy diet, the IFBF noted in its comments.
USDA’S Natural Resources Conservation Service (NRCS) is mak ing more than $9.4 million available in financial and tech nical assistance for Iowa farmers through the Agricultural Conservation Easement Program (ACEP). Eligible farmers have until May 15 to sign up at their local USDA Service Center to receive priority funding in 2015. The majority of Iowa ACEP funding—$8.7 million— will be used to restore, protect or enhance wetlands. Nearly $750,000 will be used to protect working agricultural lands. “Conservation easements are an important tool to help landowners and partners voluntarily provide long-term protection of our nation’s farmland, wetlands and grasslands for future generations,” said Jay Mar, state conservationist for NRCS in Iowa. Nationally, NRCS is making $332 million available through ACEP.
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APRIL 15, 2015 IOWA FARM BUREAU SPOKESMAN
PLANTING
probably will need only a few warm, dry days before they get started, said Virgil Schmitt, ISU Extension field specialist based in Muscatine. The rainfall last week, combined with good subsoil moisture, has left most fields in good condition and ready to plant, he said.
FROM PAGE 1
a change from a string of mostly wet years in northern Iowa. “It seems like it’s been a while since we’ve seen fields this dry at the beginning of the season. I hope it doesn’t stay too dry.” Tye Rinner, a Washington County Farm Bureau member, said there was some activity in the fields last week before the rain, along with the usual “rumors” of early planting that tend to pop up every spring. “There’s been lots of anhydrous put on, seeding waterways, a lot of activity like that,” Rinner said. “The ground conditions have been perfect. It’s working nice.”
Ready to plant
Dry conditions and relatively warm weather in late winter and early spring provided farmers plenty of time to catch up on applications of fertilizer and complete other field work to get ready for planting, farmers and agronomists said. Most, they said, are set to plant as soon as the soil dries and warms. Iowa farmers intend to plant 13.6 million acres of corn this spring, down 1 percent from 2014, according to the U.S. Department
TPA FROM PAGE 1
Korea, Panama and Columbia, Salmonsen said. Those agreements, which took effect in 2012, have already paid strong dividends for U.S. farmers in increased exports of crops and meats, he said. Passage of the Pacific free trade agreement, which could reduce tariffs and boost U.S. farm exports to growing Asian markets, is very unlikely without Congressional passage of TPA, Salmonsen said. Other countries don’t want to negotiate a deal only to see it amended by Congress, he said. When it comes to the TPP, the United States is the only country
Better seedbeds
Warm weather has launched additional activity on the Mississippi River as empty bins and prepare to plant the 2015 crop. This barge, near Burlington, down river last week. PHOTO/ GARY FANDEL
of Agriculture’s prospective planting survey released March 31. The survey showed soybean plantings are expected to rise 2 percent in 2015 to 10.1 million acres. It won’t be long until those corn acres, and eventually the soybean fields, are planted, agronomists said. Paul Kassel, an Iowa State University (ISU) Extension field specialist based in Spencer, figures that some farmers in his area
could be rolling by mid-April. “I’d guess we’ll be going pretty well as soon as it dries out some. Everybody is ready to go,” he said. Agronomists in other parts of Iowa also said farmers are set to get a jump on spring planting. “Seems like there are planters parked in every farm yard around here ready to move,” said Angie Rieck-Hinz, ISU Extension field specialist based in Clarion. In southeast Iowa, farmers
that needs the trade authority in this situation because of our system of government, Salmonsen noted. Most other countries in the proposed 11-nation free trade agreement have a parliamentary system, so the ruling party controls the process of making trade agreements. “And the Sultan of Brunei, he’ll probably just have to talk to some of his family members, then sign it,” Salmonsen said. There will be plenty of political rhetoric in the debate over passage of Trade Promotion Authority, but Salmonsen thinks the prospects of passage are good. “There’s a lot of educational efforts going on now in Congress and I think that is helping build support,” he said. Rep. Mike Conaway, the chairman of the House Agriculture
Committee, agrees. “Time is of the essence with the TPA, but I think we’ll get it done,” the Texas Republican told Farm Bureau members from Iowa, Minnesota, Missouri and Texas recently. Farmers, Conaway said, have been instrumental in pushing for the trade deals and supporting TPA. “In previous trade deals, agriculture sort of got thrown under the bus, but now we are engaged and that’s a real credit to everyone who has been involved in the process,” he said. Grassley said he was more optimistic now about the passage of TPA than earlier in the year. He told reporters that he sensed support growing for the trade promotion bill right before Congress began its Easter recess.
It’s not surprising that Iowa farmers are eager to get a good start on corn planting given the delays they have worked through over the past few years, Kassel said. “We’ve had farmers some terribly wet springs headed over the past several years, so that’s probably why people are so excited to get going,” he said. Planting in drier, warmer soils also helps farmers avoid seedling diseases and sidewall compaction
School start date measure signed, TIF bill advances Iowa Gov. Terry Branstad last week signed Senate File 227, which prohibits schools from beginning their school calendar any sooner than Aug. 23. The bill also eliminates the ability of a school district to obtain waivers allowing an earlier start date. House File 628, a Tax Increment Financing (TIF) reform bill, establishes non-renewable sunsets for TIF districts, passed the full House Ways and Means Committee and is now eligible for debate on the House floor. The bill imposes limitations on how much future taxable value can be captured by a TIF district, and also prohibits TIF revenues from being used for public buildings. Farm Bureau policy supports both revenue limitations and nonrenewable sunsets for new and existing TIF districts. House File 576, which includes a grant program as well as property tax incentives for new
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which can stunt the plant’s early growth, the agronomists said. The fact that most Iowa fields are fertilized and ready to plant came as a pleasant surprise to many Iowa farmers given how the 2014 growing season ended, said Aaron Saeugling, ISU Extension field specialist for southwest Iowa. Very cold conditions in November prevented many farmers from applying manure and other fertilizers after harvest and forced them to play catchup this spring, he said. “The drier spring has really helped us out and I’d expect about 80 percent of the fertilizer has already been applied,” Saeugling said. “Most everyone is in a holding pattern now, ready to plant.” Steve Peterson, a Webster County Farm Bureau member, agreed. “We’ve got the manure hauled and everything else wrapped up. So now we are sitting at square one, ready to start planting.”
ISSUE UPDATE broadband infrastructure, passed the full House Ways and Means Committee and is now eligible for debate on the House floor.
IFBF membership campaign wraps up for 2015
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KNAACK
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An additional three counties reached their membership gain goal during the last week of the 2015 Farm Bureau membership campaign. Cass County reached its goal of 633 members with Dan Olsen as the campaign manager. Andrew Knaack led the membership campaign in Guthrie County, which reached its goal of 567 members. Union County also reached its goal of 684 members with Luke Young leading the campaign.
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IOWA FARM BUREAU SPOKESMAN APRIL 15, 2015
Editorial
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GMO opponents working to mislead consumers, researcher says BY TERESA BJORK
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bout 15 minutes into scientist Kevin Folta’s recent lecture at Iowa State University (ISU), he was interrupted by an outburst from an antibiotech activist. The activist claimed that “90 percent” of what Folta, a horticulture professor from the University of Florida, said so far in his presentation was wrong. Folta replied that he would welcome a debate anytime — but first he needed to finish his lecture. “This goes to show that (the GMO debate), it’s not about the science. It’s about discrediting the scientist. It’s about speaking louder than the scientist,” Folta told the audience of about 70 people, mostly ISU students, researchers and a few activists looking to confront Folta in a public venue. Folta was invited to the ISU campus to explain the science behind GMOs, or what he prefers to call transgenic crops, because it better describes the process used to create them, he said. However, Folta’s lecture ended up becoming a real-world lesson for the ISU ag students about how to respond when activists use emotion, instead of science, to argue against biotechnology.
Target for activists
In recent months, Folta himself has become a target for anti-GMO activists. He spoke up in the press against Vani Hari, who calls herself the “Food Babe,” when she gave a lecture last fall at the University of Florida. Hari is a social media celebrity who rallies her blog followers to oppose GMOs and any ingredients in processed foods that she doesn’t understand. Since then, activists have accused Folta of being a “shill” for agribusiness giant Monsanto because he is one of many expert sources for GMO Answers (www. gmoanswers.com), a website sponsored in part by Monsanto. The activists have gone so far as to make a FOIA (Freedom of Information Act) request to obtain Folta’s emails on his university account to prove a link with Monsanto. In response, Folta said
Spokesman Editor DIRCK STEIMEL News Coordinator TOM BLOCK Senior Features Writer TERESA BJORK Ag Commodities Writer BETHANY BARATTA Photographer/Writer GARY FANDEL
Kevin Folta, a horticulture professor at the University of Florida, has become a target for anti-GMO activists. FILE PHOTO
on his blog that he has nothing to hide, but worries about the precedence set for other scientists working in the public sector. You can read more here. http:// bit.ly/1JlGuU9.
Overcoming fear
During his ISU lecture, Folta said activists are using the public’s lack of knowledge about transgenic crops—how GMOs are created and their true benefits and risks— to spark fear in the folks “in the middle,” those who don’t have an opinion one way or another. “Everyone wants the ‘new’ technology. So why are people standing in line for the new Apple computer, but not the new (GMO) Arctic apple that doesn’t turn brown? Why is one technology acceptable but the other is not?” Folta asked.
Folta noted that hundreds of studies have proven the safety of GMO foods. Leading health organizations worldwide, including the World Health Organization (WHO), the U.S. Food and Drug Administration and the American Medical Association, have confirmed GMO food safety. And farmers plant GMO crops because they see the benefits of the technology, Folta said. Because of GMO seeds, farmers can use fewer chemicals and reduced tillage. “There is consensus among scientist (about GMO safety). It’s not a scientific debate. It’s not a farming debate. It’s a social debate,” Folta said. “And the social debate is driven by people who are making money off of fear and mistrust about a technology that has a lot of benefits, while the farmers and scientists don’t push back.”
Citrus under threat
Folta explained that GMO technology may end up saving the citrus industry in his home state of Florida. Citrus greening disease, an insect-borne bacteria, is now present on 100 percent of the state’s citrus trees, he said. “When I first came to Florida, I could see green, healthy (citrus) trees on either side of the highway,” Folta said. “Now the trees are gray skeletons.” Folta predicted that next year may be the last for orange juice production in Florida, because there won’t be enough oranges to keep the processing plants open. Traditional plant-breeding
methods can’t produce diseaseresistant trees fast enough to save Florida’s citrus industry, he said. That’s why researchers are testing transgenic orange trees. So far, the transgenic trees in research trials have been disease-free in the five years since they were planted, Folta said.
GMO acceptance
Later in his lecture, Folta got into another back-and-forth discussion with a second anti-GMO activist in the audience. After about 20 minutes of debate without a resolution, Folta finally asked the activist: “Is there any instance when you could accept a GMO crop?” The activist didn’t answer directly at first, saying she was against “industrial” agriculture in general. But then, surprisingly, she admitted: “I guess I could support saving the oranges and helping those farmers.” Folta smiled and thanked the activist. He encouraged the ISU ag students to speak out on social media and share stories about how and why they plant GMO crops on their family farms. “Your words as farmers are the most credible,” he said. And when the students see something on the Internet about GMOs they know is incorrect, they should feel free to respond, but try to keep it civil, Folta said. “You have to keep your cool. What changes hearts and minds for people ‘in the middle’ is telling people about your farm,” Folta said.
Measure would clarify pesticide permitting BY FB NEWS The Farm Bureau-supported Reducing Regulatory Burdens Act of 2015 (H.R. 897) is one step closer to moving to the House floor for a vote. The House Agriculture Committee recently passed the bill. The legislation would clarify congressional intent regarding pesticide regulation in or near waters of the United States. A decision in the U.S. Court of Appeals for the Sixth Circuit erroneously applied the provisions of the National Pollution Discharge
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To place a free exchange ad, contact your county office for information. The Iowa Farm Bureau Spokesman (ISSN 0021-051X) is published weekly by the Iowa Farm Bureau, 5400 University Avenue, West Des Moines, IA 50266. Subscription price of $2 per year for mailing in the continental USA included in the dues of Farm Bureau members in Iowa. Additional subscription fee required for mailing outside the continental USA. Periodical postage paid at Iowa Falls, Iowa. Members please send change of address to your county Farm Bureau office. Postmaster send address changes (POD FORM 3579) to Iowa Farm Bureau Spokesman, P.O. Box 670, Iowa Falls, Iowa 50126. Letters to the editor and statewide news articles should be sent to Editor, Iowa Farm Bureau Spokesman, 5400 University Avenue, West Des Moines, Iowa 50266. Reprinting of Spokesman articles and photographs is not allowed without permission.
Elimination System permitting process under the Clean Water Act to pesticide applications that were already fully regulated under the Federal Insecticide, Fungicide and Rodenticide Act (FIFRA). “There is no reason for this permit requirement, which would do nothing to further protect the environment or water quality,” said Don Parrish, American Farm Bureau Federation Clean Water Act specialist. “At worst, farmers and ranchers will lose crops while they’re waiting for a federal permit to allow them to control pests.” Iowa Farm Bureau Federation: Craig Hill, President; Joe Heinrich, Vice President; Denny Presnall, Secretary-Treasurer and Executive Director; Edward G. Parker, General Counsel. Board of Directors: District 1 - Carlton Kjos, Decorah. District 2 - Charlie Norris, Mason City. District 3 - Phil Sundblad, Albert City. District 4 - Doug Gronau, Vail. District 5 - Mark Buskohl, Grundy Center. District 6 - Nick Podhajsky, Traer. District 7 - Andrew Hora, Riverside. District 8 - Calvin Rozenboom, Oskaloosa. District 9 - Will Frazee, Emerson.
Federal law requires that the Environmental Protection Agency (EPA) evaluate pesticides and label them for proper use before they go onto the market. That evaluation process includes potential impacts on water quality. “FIFRA was enacted more than 50 years ago, and it establishes a rigorous process of agency evaluation and scientific assessment of how a pesticide’s use will affect the environment. Requiring Clean Water Act permits on top of EPAapproved registration is all cost and no benefit,” Parrish said.
The food-vs-fuel argument keeps losing credibility BY DIRCK STEIMEL A couple of reports caught my eye recently. Put together, these reports will hopefully put an end to the long-discredited argument that corn-based ethanol drives up world food prices. And interestingly, there’s a new school of thought that ethanol production has actually been a factor in driving down world food prices. There’s no question that the trend in world food prices is down. The latest food cost report from the Food and Agriculture Organization of the United Nations (FAO) showed that the index of world food prices continues to decline as it has since April 2014. This past March the index dropped to a six-year low. It’s also clear that world food prices didn’t decline because ethanol production is waning. No, the U.S. Energy Information Outlook, last week projected that U.S. ethanol production would grow to 944,000 barrels per day in 2015. While that estimate is down slightly from earlier projections, it’s higher than last year and much higher than a few years ago, when the food-versus-fuel debate raged. Memories are short, I know, but the anti-ethanol argument in those days said that by using corn to make ethanol, distillers were driving up world food prices and robbing food from the developing world. One United Nations official even labeled ethanol a crime against humanity. While the food-versus-fuel argument has always been full of holes, one of its biggest problems is that the cost of commodity corn, or any other crop, accounts for a very small part of the total cost of food that ends up in the supermarket shelves. Petroleum costs, as well as processing, labor and distribution, combine to make up a much larger share of food costs.
Reducing food prices?
So did the rise of ethanol production actually drive down food prices? Ethanol groups, like Growth Energy, argue that it did by adding support to the world price of corn and other crops. That stimulated farmers around the globe to increase production and rebuild overall grain supplies, pushing down global food costs. Larger supplies, and the resulting lower commodity prices, have been tough on U.S. farmers. They’ve watched their margins evaporate from lower market prices and continued high production costs. But it does poke another big hole in the food-versus-fuel argument.
4 APRIL 15, 2015
IOWA FARM BUREAU SPOKESMAN
Kooiker grows corn and soybeans with his dad on the family’s farm near Hull, where they also raise livestock. “I’ve seen a couple neighbors out doing some tillage. We haven’t started any yet,” he said last week. Their rye cover crop is starting to green up, but was temporarily set back by cold spring temperatures. Corn planting is likely to begin in the next few weeks.
Pope said his crop rotation this year will favor corn heavily over soybeans. Fertilizer applicators were running hard as the calendar turned to April, but field work was slowed by rain last week. “We were dry, but not excessively dry,” he said. “This rain will be all right, as long as it quits soon.” He hopes to be planting corn by April 20. “I think people will be ready to go as soon as it dries out, depending on the weather forecast.”
Bader grows corn and soybeans with his dad. They also raise hogs near Jesup. Most farmers in the area have finished their spring fieldwork and have applied fertilizer, Bader said last week. Many farmers are finishing up seeding grassed waterways and doing chores to prepare for the planting season, he said. “As soon as we get a dry period, I suspect people will get pretty active on planting,” Bader said.
Langbein grows corn, soybeans and hay on his farm near Sac City. He also raises hogs and has a cow-calf herd. A lot of fertilizing and field work was completed over the past few weeks, Langbein said. But most farmers are waiting until the soils warm up and dry before starting to plant corn, he said. “We’ve had some misty days this week, so that’s kept things quiet.”
“I think the spring fertilizer applications are pretty well wrapped up and guys are ready to get rolling on corn planting,” said Peterson. “I’d say on the first extended dry spell, we’ll be going pretty well around here.” Along with applying fertilizer, farmers have been seeding grass waterways and doing other work, he said. A fourth generation farmer near Gowrie, Peterson raises corn and soybeans.
Area farmers have used the warm and fairly dry conditions in March and April to get fertilizer and fieldwork done to prepare for planting, said Prizler. “I’d say about 75 percent of the spring fertilizer has already been applied around here,” he said last week. Prizler farms with his dad near Williamsburg. They grow corn, soybeans and hay and have a cow-calf herd. Prizler also operates a custom baling service.
Farmers have been applying fertilizer and repairing terraces and other damage caused by severe storms that ripped through the area last summer, said Bentley, who grows corn and soybeans on his farm near Minden. “The dry fertilizer is pretty well all on, and anhydrous is three-quarters or more done,” he said. The area had light rain last week. “I think we will see some planters run by the end of next week,” he said.
Farmers have taken advantage of good weather conditions to make anhydrous applications and seed waterways, said Brennecke, who has a cow-calf herd and grows corn, pasture and hay with her husband near Lineville. She also works for the Natural Resources Conservation Service. The area received light rain last week. “We didn’t ever get any rain at our place, just some mist,” she said April 9.
Farmers are gearing up for another planting season, said Rinner, who grows corn and soybeans and also manages a turkey farm. “There’s anhydrous going on, seeding waterways and a lot of activity like that,” he said. “The ground conditions have been perfect. It’s working nice. There’s rumors people have planted already south of here.” The area received just under an inch of rain along with some hail last week.
Get the fundamentals right to boost soybean yields BY TIM BERKLAND Seeding rate, row spacing, planting date and seed treatment are the subjects of many conversations prior to soybean planting — and for good reason. These are very important management decisions that will greatly i m p a c t s o y - BERKLAND bean yield and help maximize profit. Below is a review of these topics and what to consider heading into soybean planting season.
Seeding rates
Soybean seeding rates of 125,000 to 140,000 seeds/acre should be adequate in most situations to attain a final net stand of 100,000 plants/acre, which research suggests maximizes economic return as well as soybean yield. Some keys to focus on when pushing soybean seeding rates lower are maintaining good weed control, utilizing a good seed treatment that has both insecticide and fungicide components and monitoring planter functions such as depth and seed-to-soil contact. Soybeans have the ability to adjust branches and pods/plant in regards
CROPS TODAY to plant populations. Higher populations will reduce branching and reduce pods/plant, while lower populations will increase branching and pods/plant.
Row spacing
Narrow row spacing (less than 30 inches) can generate an additional 4.5 bushels/acre when compared to wide rows (more than 30
inches). Narrow row systems create more equidistant plant spacing and drive larger leaf area, allowing the plant to capture more sunlight. Increasing light interception increases biomass production and drives soybean yields.
Planting date
To maximize soybean yields, the planting date needs to be a strong consideration going into spring. For the southern twothirds of Iowa, planting should start around the last week of April and for the northern third, planting should begin the first week of May. By planting early, soybeans are able to establish sooner
and canopy quicker which will drive yields higher. Although early planting can increase yields, field conditions must be suitable for planting; “mudding-in” soybeans will cause more harm than good. There is an 80 percent probability of increasing soybean yield when planting soybeans at the recommended times and utilizing good management skills.
Seed treatments
Soybean seed treatment is a vital component of a high-yielding soybean system. Managing for a high-yielding soybean crop requires the planting dates to be pushed earlier, but the benefits
of early planting can be negated quickly if the seed is not protected from early-season pathogens that favor cool, wet soils such as pythium. When choosing a seed treatment, be sure it contains both a fungicide component as well as an insecticide component. New seed treatments that provide protection against sudden death syndrome (SDS) and soybean cyst nematodes are also now available and should be considered if these pathogens have been an issue on your farm. Berkland is a Growmark field sales agronomist. Contact him at tberkland@growmark.com.
IFBF supports approval of new herbicide active ingredient Approval of bicyclopyrone, a new active ingredient in Syngenta’s Acuron herbicide, will improve the consistency of weed control, mitigate herbicide resistant weeds and protect farmer profitability, the Iowa Farm Bureau said last week in comments to the Environmental Protection Agency (EPA). “Access to new, safer, economical products are critically important for modern crop production and America’s agricultural economy, “ said Rick Robinson, Iowa Farm Bureau environmental policy advisor. Increasing populations of herbi-
cide-resistant weeds, and the recent discovery of Palmer amaranth in Iowa, is making weed control decisions more challenging, Robinson said in a letter urging the EPA to approve the new active ingredient. “Increasing the diversity of weed management tactics by including new products with the active ingredient bicyclopyrone as another option for Iowa farmers will improve the consistency of weed control, mitigate herbicideresistant weeds and protect farmer profitability,” said Robinson. Bicyclopyrone offers excellent preemergence control of many
problem weeds, including Palmer amaranth, as well as horseweed, giant ragweed, cocklebur, morning glory and waterhemp. “These weeds can have negative impacts on the state’s economy and environment — and increase food prices for consumers,” said Robinson. “Just a moderate infestation of Palmer amaranth can cut corn and soybean yields by as much as two-thirds, according to experts.” Without new crop protection compound approvals, farmers are sometimes forced to do more tillage to fight herbicide resistant weeds, he noted. Increased tillage can make
soils vulnerable to erosion and the loss of nutrients into surface waters during big rain storms, which can run contrary to the actions outlined in Iowa’s Nutrient Reduction Strategy, Robinson said. The use of bicyclopyrone in combination with other active ingredients, will provide economical one-pass weed control with lower average atrazine rates, something the EPA has been urging for decades, he said. The use of combined products at lower rates will also reduce the likelihood of increased resistance to glyphosate products, Robinson said.
6 APRIL 15, 2015 IOWA FARM BUREAU SPOKESMAN
USDA forecasts bigger corn and soybean stocks
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he U.S. Department of Agriculture (USDA) in its World Agricultural Supply and Demand Estimates (WASDE) report last week projected corn ending stocks 50 million bushels higher at 1.83 billion bushels. It expects lower feed and residual use. The corn season-average farm prices was narrowed 5 cents on each end to $3.55 to $3.85 per bushel, the report said. The USDA forecast ending soybean stocks at 370 million bushels, it said in the report. This was raised 15 million bushels from last month’s report as the USDA increased expected imports 5 million bushels and residual by 14 million bushels. Soybean use was raised 20 million bushels to 3.72 billion. The season-average farm price was narrowed to $9.60 to $10.60 per bushel.
Beef, pork deals reached
The USDA has recently reached agreements allowing U.S. beef and pork producers greater access to consumers in Mexico and Peru, Agriculture Secretary Tom Vilsack announced in Iowa last week. The two agreements will allow U.S. producers to export slaughter cattle to Mexico and expand access to consumer
markets in Peru for U.S. fresh and chilled pork. “Mexico is an important market for U.S. cattle producers, with the potential to import $15 million of live U.S. cattle per year and we expect Peru’s market could generate $5 million annually in additional pork sales,” Vilsack said. The United States and Mexico reached an agreement that takes effect immediately and will allow U.S. producers to export slaughter cattle to Mexico for the first time in more than a decade.
Poultry forecast cut
The USDA last week cut its poultry export forecast by nearly 6 percent as avian influenza was confirmed on more farms in South Dakota and Minnesota. Mexico, Canada, China and South Korea have limited imports of U.S. poultry and eggs. The USDA, in a monthly sup-
ply and demand report last week, dropped its estimate for turkey exports in 2015 to 720 million pounds from 765 million pounds in March and 804 million pounds last year. Exports for broiler chickens were pegged at 6.68 billion pounds, down from 7.1 billion pounds last month and 7.3 billion pounds last year. The USDA’s Animal and Plant Health Inspection Service (APHIS) confirmed last week the presence of highly pathogenic H5N2 avian influenza in a commercial turkey flock in Kingsbury County, S.D., Meatingplace reported. This is the second confirmation in a commercial flock in that state. APHIS confirmed an outbreak of H5N2 avian influenza in another commercial turkey flock in Minnesota—the ninth outbreak since March.
Iowa meat plant expands
A Sioux City specialty meat plant is planning a $9 million expansion to its facility, Brownfield Ag News reported last week. Curly’s Foods, owned by Smithfield Foods, says the expansion is due to a boost in sales and demand for pre-cooked meats at national franchise restaurants. The expansion will also add 30 new jobs, bringing total employment at the plant to 660.
Vietnam lifts restrictions
Vietnam has lifted age restrictions on beef from U.S. cattle and
Weekly Average Price Comparison Sheet Price comparisons: Week ending: 04/10/2015 03/13/2015 04/11/2014 9,096 8,456 5,452 Cattle - National 5 Area Confirmed Sales 5 Area 65-80% Choice Steers: Wtd Avg. $165.00 $158.00 $148.00 Average Weights (Estimate) Cattle 1350 1357 1319 Boxed Beef Choice 600-750 (5 day avg.) $256.51 $244.12 $222.12 Boxed Beef Select 600-750 (5 day avg.) $249.91 $244.07 $212.46 Five Day Average Hide and Offal Value $14.05 $14.43 $16.12 Cattle - Interior Iowa – Minnesota Supply: 3,447 6,426 2,385 Average Price Choice Steer: Live Basis NA $160.06 $149.82 Average Price Choice Steer: Dressed Basis $267.00 $259.17 $240.25 Feeder Steers at River Markets (Neb. Feedlots) #1 Muscle Thickness 500-600# $285.60 $288.31 $235.58 #1 Muscle Thickness 700-800# $229.92 $224.71 $186.53 Hogs -- Interior Iowa – Minnesota ISM Friday Weighted Average Carcass Price $61.03 $59.87 $118.37 Average Weights (Estimate) Hogs 283.5 284.2 285.5 Sows 1-3 300# and up: Average Price $35.30 $32.72 $95.17 Pork Loins 1/4” trimmed 13 - 19 pound $101.43 $97.06 $146.97 51-52% 200 pound Pork Carcass (5 day avg.) $64.88 $67.74 $126.24 Feeder Pigs: National Direct Delivered Feeder Pigs 10 Pounds Basis - Wtd Avg. $34.56 $42.64 $86.34 Feeder Pigs 40 Pounds Basis -- Wtd Avg. $65.11 $70.68 $135.40 Sheep -- National Slaughter Lambs Negotiated Sales 2,900 4,600 5,700 Choice & Prime Wooled and Shorn 130 -150 lbs No Test No Test $149.25 Iowa Large Eggs (cents per dozen) $0.84 $1.35 $1.45 Young Hen Turkeys: 8 -16# -- Eastern (cents/lb) 105.36 100.44 100.29 *Iowa Ethanol Prices $/gal $1.49 $1.43 $2.90 Futures: Corn $3.77 $3.80 $4.98 State Average Cash Corn Price $3.59 $3.60 $4.71 Basis -$0.18 -$0.20 -$0.27 Futures: Soybean $9.52 $9.74 $14.65 State Average Cash Soybean Price $9.11 $9.29 $14.20 Basis: -$0.41 -$0.45 -$0.45 Slaughter Under Federal Inspection Estimates Estimates Actuals Hogs: 1,980,000 2,147,000 1,993,000 Cattle: 498,000 521,000 565,000 Sheep: 39,000 38,000 49,000 Estimated Numbers through Saturday Cash Corn and Soybean prices are the Iowa Average Prices as reported by IDALS.NA-No report at time of publication. ***Confidentiality of data prohibits publication of this report under Livestock Mandatory Reporting. The report will be published when and if enough data is aggregated to meet the 3/70/20 guideline.*** Source: USDA Livestock and Grain Market News
no longer will require certification through USDA’s Agricultural Marketing Service export verification program. Vietnam will accept beef from U.S. cattle of all ages, no longer restricting to imports of beef from cattle aged 30 months or younger.
Fire halts shipments
Brazil’s Santos port has been unable to export 400,000 metric tons of soybeans and soymeal as firefighters battle a fire that has restricted truck access to much of the country’s largest export hub, soy industry association Abiove said last week. That is about four days’ worth of typical shipments for April, which averages about 3 million tonnes for the month, Abiove General Secretary Fábio
Trigueirinho said, adding that costs to hold a ship idle run roughly $25,000 a day. Santos moves one-third of the country’s soybean exports. Spread out over the seven ships required to haul 400,000 metric tons of soy products, the delay could cost exporters almost $700,000, Reuters reported.
Fertilizer plant on track
The construction of a $2 billion fertilizer plant remains on schedule in northwest Iowa, and is nearing its busiest phase, when roughly 2,200 workers will be on the job, according to news reports. Construction of the new CF Industries plant is entering its second year and it remains on track for completion in 2016.
CME Class III Milk Futures Closing prices April 10, 2015
Contract
Settle Last Week
Contract
Settle Last Week
April 2015 May 2015 June 2015 July 2015 Spot Prices Block Cheese Barrel Cheese Butter NFDM Grade A
$15.69 $15.77 $15.71 $16.25
August 2015 September 2015 October 2015 November 2015
$16.80 $17.12 $17.24 $17.23
Milk Prices Apr. Class III Apr. Class IV
$15.69 $13.73
$15.59 $15.57 $15.56 $16.20
$1.5775 $1.6100 $1.7525 $0.9300
$16.73 $17.09 $17.22 $17.23
Iowa Hay Auctions Dyersville, April 8
Hay, large squares, good, $100-140; fair, $80-100; utility, $67.50-80; large rounds, good, $70-120; fair, $55-80; utility, $45-60. New seeding, large rounds, good, $80. Oat hay, large rounds, good, $57.50. Mixed, large rounds, good, $80-120. Grass, large rounds, good, $50-80; fair, $45-75. Straw, large squares, good, $25-35; large rounds, fair, $10-26. Corn stalks, large rounds, good, $25-35.
Ft. Atkinson, April 8
Hay: small squares, 3rd crop, $165-210; large squares, 1st crop, $40-105; 2nd crop, $65-170; 4th crop, $100-160; large rounds, 1st crop, $50-155; 2nd crop, $50-170; 3rd crop, $130. Baleage: large rounds, $25-55. Grass: large rounds, $50-85. Corn stalks: large rounds, $50-75.
Perry**, April 4
Alfalfa, small squares, premium, $6.50-7; good, $4.50; large squares, premium, $55; good, $50; large rounds, premium, $95; good, $70.
Grass, small squares, premium, $4.50; good, $3.50; fair, $2; large rounds, premium, $50; good, $45; large squares, good, $50; fair, $40. Straw, large squares, $35; small squares, $4.50. Corn stalks, large rounds, $25.
Rock Valley, April 9
Alfalfa, large squares, premium, $165-190; large rounds, premium, $145-150; fair, $90105. Grass, small squares, premium, $200-255; large rounds, premium, $125-140; good, $95-117.50. Mixed hay: large rounds, premium, $125127.50. Bean straw, large rounds, $35-40. Corn stalks: large rounds, $25.
Yoder**/Frytown, April 8
Alfalfa, large rounds, $37.50-75; large squares, $52.50. Grass: small squares, $3.10-5.70. Corn stalks: large rounds, $22.
**Perry and Yoder hay auction prices are per bale. All other prices are per ton. Contacts: Dyersville, 563-588-0657; Ft. Atkinson, 563-534-7513; Perry, 515-321-5765; Rock Valley, 712-476-5541; Yoder, 319-936-0126
Market price is only one of the concerns for bushels that are stored past harvest. The costs of ownership also factor into whether the decision to store was a good one. The graph compares a weekly central Iowa elevator’s soybean price to an example cost of ownership line since mid-October. For soybeans stored without price risk protection, the best opportunities to sell stored soybeans were in the first week of 2015, and that would have maximized the return above costs (given the example cost of ownership 1.5 cents per week). For those storing soybeans, having a price or margin above cost goal can be an important way to trigger action.
IOWA FARM BUREAU SPOKESMAN
Looking ahead in the corn market
T
he corn market, like the other grains, has already started to look ahead to new crop. The industry knows current supplies are abundant, but there’s a lot of uncertainty about how the structure will evolve for the new crop. On the accompanying graphic, you see the relationship between the ending stocks and the average price paid to farmers since prices surged into the higher range in 2007. Barring any major shock, the average price this year will end up just above the trend line. For next year, though, much of the uncertainty lies with the ultimate yield for this year’s crop and the associated production. The yield/production differential is the big difference between the USDA’s forecast for the 2015/2016 crop at their outlook forum in February and the recent forecast coming from the agricultural economists at the University of Illinois. Both forecasts had similar acreage and demand expectations. The USDA used a 166.8 bushel yield forecast, whereas the Illinois ag economists forecast a 164-bushel yield in building their supply/demand forecasts. The resulting different ending stocks put the price expectations at different positions on the relationship between ending stocks and prices. The USDA’s forecast for the average price was $3.50 per bushel, while the University of Illinois’ forecast was $4.25 per bushel. All winter, we have been using a supply/demand scenario much like the one the U of I economists projected. Given some of the things we have learned in recent weeks, we’d continue to be inclined to do so. We have heard stories regarding this year’s lower prices and tighter economics causing producers to economize on inputs, not to a degree that might be extremely detrimental, but enough to cap yield potential. Meanwhile, low prices remain an ongoing discouragement to planting low quality land. Nevertheless, weather will be a big determinant. Historically, the weather subsequent to a year like last year is not as good, nor does the yield come close. It doesn’t necessarily mean a bad crop, just not another exceptional one. And as we showed you at the beginning of November, there’s reason to expect lower yields in the world, too. A realistic look at fundamentals and prices indicates there’s reason to expect higher prices in the year ahead. $8.00
U.S. corn ending stocks vs. avg. price
$7.00
2007 to 2014 crop years
average price
$6.00
550
2 0 1 5 C RO P : T h e s h o r t -
term trend may remain a little soft, but the long-term outlook still looks reasonably optimistic. Fundamentals don’t suggest prices will spiral sharply lower. We have no interest in pricing 2015 crop at these levels.
with 50-day moving average
500
July futures, like the others, remains stuck in a broad sideways range bounded by $3.78 and $4.07. While the market could break out either way, the plethora of supports just under the trading range implies the ultimate move out is more likely to be up, not down. Long-term technical indicators support that idea.
475 450 425
$4.07
400
$3.78
375
Cycle Lows 20-week 40-week
350 325 4/9/14
7/10/14
10/8/14
1/8/15
F U N D A M E N TA L S : E v e n
though the USDA raised its oldcrop ending stocks forecast, the forecast is still not high enough to keep the new-crop structure from needing to build some risk premium into current prices. Planting continues to lag in the South because of rain. There have been reports of scattered planting in the Corn Belt.
SOYBEAN STRATEGY 2014 CROP: The short-term trend has taken a more downward turn, with prices likely positioning for a South American harvest low. Long-term technical features still indicate prices are in the process of building a base to move up from. Only make needed sales with longer-term potential still suggesting higher prices than currently available.
July 2015 Corn
525
2014 CROP: Corn prices
2015 CROP: Long-term price factors still point to higher levels coming, but it may take time to establish an uptrend. We see no reason to price new-crop corn. Buy out-of-the money new-crop call options to make sales against this summer.
7
Cash Strategist Hotline: 1-309-557-2274
CORN STRATEGY remained soft because of the USDA reports, but there’s no reason to think prices are poised to decline sharply. Better selling opportunities should be ahead; the reports have only delayed prices getting to expected objectives. Basis contracts are the best tool to use for sales, leaving pricing open into summer. Hold the old crop for expected long-term improvement.
APRIL 15, 2015
4/10/15
7/9/15
10 0
-10 -20 -30
-40 Basis Chicago Futures
-50 4/29/14
7/24/14
10/17/14
1/14/15
4/10/15
Last week’s rain and snow slowed fieldwork in areas.
1350
July 2015 Soybeans
1300
with 50-day moving average
1250
Soybean prices don't have much of an identifiable pattern other than a possible downward sloping channel over the last few months. Still, longer term technical indicators have turned up, suggesting the market is retesting last fall's 3-year low.
1200 1150 1100 1050 1000 950 900
If July drops under $9.50, it could test its $9.35 low. Prices might also stay weak into the next 16- to 18week low due near June 1.
850 4/9/14
7/10/14
Cycle Lows 16- 18-week 3-year
10/8/14
1/8/15
FUNDAMENTALS: In
the short term, the supply of large South American crops may keep prices defensive, but mostly those supplies have already been built into prices. In the wake of recent small old-crop cancellations, there are reports of new buying. Still, most of the business is shifting to new-crop buying. Generally, world
4/10/15
7/9/15
400 300 200 100 0 Basis Chicago Futures
-100 4/29/14
7/24/14
10/17/14
1/14/15
4/10/15
demand remains very good. The lower short-term prices will tend to discourage soybean planting this year.
Iowa Corn & Soybean Basis
$5.00
U of I 2014/2015
$4.00 USDA
$3.00 data USDA/WAOB
$2.00 500
1,000
1,500
2,000
million bushels
Cash Strategist Positions CORN
2014
11-20-14 — 15% sold at $3.78
at a glance 2015
100% unsold
3-10-14 — 10% sold @ $4.82 3-10-14 — 15% sold @ $4.78 3-31-14 — 10% sold @ $4.95 50% unsold
BEANS
2014
2015
12-23-13 — 10% sold @ $11.72 12-31-13 — 10% sold @ $11.35 2-18-14 — 10% sold @ $11.38 3-3-14
5-27-14 — 15% sold @ $12.07 85% unsold
— 10% sold @ $11.72
5-12-14 — 10% sold @ $12.23 6-2-14
— 10% sold @ $12.24 40% unsold
Iowa Farm Bureau members have free 24/7 access to AgriVisor daily updates through the Members portion of the IFBF website: www. iowafarmbureau.com. The AgriVisor link is on the homepage under the Daily Market chart.
CORN: (basis vs. May futures, 4/8/15)
SOYBEANS: (basis vs. May futures, 4/8/15)
NW $3.61 -0.18 SW $3.56 -0.23
SW
NC $3.62 -0.17 SC $3.60 -0.19
NE SE
$3.64 -0.15 $3.62 -0.17
NW
$9.26 -0.46 $9.31 -0.41
NC SC
$9.27 -0.45 $9.28 -0.44
NE $9.33 -0.39 SE $9.43 -0.29
Neither AgriVisor LLC nor the Iowa Farm Bureau Federation is liable for any damages that anyone may sustain by reason of inaccuracy or inadequacy of information provided herein, any error of judgment involving any projections, recommendation or advice or any other act of omission. This publication is owned by the Iowa Farm Bureau Federation with advice provided by and copyrighted by AgriVisor Services LLC, 1701 Towanda Avenue, Bloomington, Ill., 61701. No reproduction of any material in whole or in part of this page may be made without written consent.
U.S. nears agreement with Brazil on beef The United States and Brazil are close to finalizing a bilateral agreement on beef trade, according to news reports last week. The agreement will allow 14 Brazilian states to export fresh (chilled or frozen) beef to the United States. Likewise, the agreement will once again allow the United States to export fresh beef to Brazil, which have been arbitrarily restricted due to BSE. The U.S. has the best possible classification for BSE risk from the World Organization for Animal Health (OIE). Currently, each country is only allowed to export processed beef to one another. Fresh beef imports from Brazil have been restricted due to a longstanding concern over foot-and-
mouth disease (FMD) that has been prevalent in Brazil. Over the last several years, the U.S. Department of Agriculture (USDA) has conducted many site visits, which concluded that Brazil’s infrastructure and procedures are now in place to “effectively contain and eradicate” FMD in the designated states. The USDA is expected to soon publish the final version of the agreement to allow chilled or frozen beef from the 14 states, according to reports. Under the reported agreement, there will be no quota for U.S. fresh beef exports to Brazil; the United States will have open access to the Brazilian market. In 2014, Brazil imported more than 58,000 tons of fresh beef, predominantly from neighboring
countries. Brazilian fresh beef imports have grown 142 percent over the last five years. There will be a quota of 64,000 tons per year for Brazil fresh beef exports to the United States. In 2014, the United States imported more than 957,000 tons of fresh beef. While Farm Bureau recognizes the severity of FMD, USDA’s comprehensive risk assessment indicates that Brazil’s infrastructure is sufficient to “effectively contain and eradicate” FMD, said Dave Miller, Iowa Farm Bureau commodities and research director. Farm Bureau supports the proposed rule to allow designated imports of beef, so long as stringent mitigation criteria are verified to be implemented.
8
APRIL 15, 2015
IOWA FARM BUREAU SPOKESMAN
Brazil a soybean powerhouse, but corn yields lag BY TOM BLOCK Soybean production in Brazil may rival the United States, but farmers there take an entirely different approach to growing corn, an Iowa Farm Bureau study team found recently during a two-week tour of the South American country. Brazil ranks third worldwide in corn production and second in corn exports, but it will take significant changes in management and infrastructure to raise corn yields that currently average about 80 bushels per acre, said Ross Payne, a district sales manager for AgriGold in Decorah, who was among 22 Farm Bureau members participating in the study tour March 21-April 4. Nearly 60 percent of Brazil’s corn production comes from the second-season, or safrinha crop, usually planted after soybeans. The idea of second-crop corn in Brazil caught on in 1991, said Ruy Fachini Filho, director of Famasul, a farm organization in the state of Mato Grosso do Sul. Filho said Brazil’s corn area has increased 800 percent in the past 30 years, but the total of 37.5 million acres is still less than half the size of U.S. corn acres. Brazil’s corn yields have doubled over the same time period from 32 bushels per acre to 80 bushels per acre, he said, also well short of U.S. standards. By comparison, Brazil’s soybean plantings are nearly 79 million acres and soy yields average about 45 bushels per acre. The country’s tropical climate
Ross Payne, a district sales manager for AgriGold in Decorah, checks out corn growing in an integrated crop, livestock and forest system in Brazil during the recent Iowa Farm Bureau market study trip. PHOTO/ TOM BLOCK
makes growing two crops possible, but also provides challenges in terms of growing and storing corn, farmers said. Brazil’s farmers said they try to plant corn by mid-February so that tasseling and grain fill occurs before the rainy season ends in April or May. “We have a problem with maize because it gets very hot in the summer (December-April),� said Artur Falcette, manager of the Sape Agro farm near Maracaju in Mato Grosso do Sul. “Here, we can have a very good harvest of maize, or we can get nothing. It’s very hard.� Low corn prices are also causing Brazilian farmers to cut back on fertilizer and other inputs for
their corn crop. Falcette said corn ranks third in terms of profitability for Sape Agro, behind soybeans and sugarcane. Transportation and storage also pose challenges for corn growers in Brazil. It costs about $2.40 per bushel to transport crops from Mato Grasso, Brazil’s largest corn-growing state, to the nearest port, said Dave Miller, Iowa Farm Bureau research and commodities director. The tropical climate, with temperatures that remain above freezing year-round, also creates problems with insects and spoilage for storing corn. Gleaming silver grain bins that are common across Iowa are a rar-
ity in Brazil. Crops are often stored in plastic bags until they are sold or exchanged for other farm inputs. “I can see now why corn is king in the U.S. and soybeans are king here,� said study tour participant Allen Burt, who raises crops and hogs in Marshall County. “You have to haul four times as much stuff (raising corn), so you have four times the cost. Because logistics are such an issue, why not raise the crop (soybeans) that has less expenses.�
Integrated systems Sape Agro, which also raises Zebu and Angus crossbred cattle, interseeds its corn crop with grass
so that it is ready for grazing after the corn harvest, Falcette said. The practice reduces corn yields but increases available forage. “They’re growing corn for organic matter,� Burt observed. Another farm the Iowa group visited, called Tres Irmaos, is integrating corn production with pasture and forestry in its crop and cattle operation. The farm plants 12 rows of corn between single rows of eucalyptus trees, which are harvested for a local paper mill. The corn is primarily chopped for silage, and the trees provide shade for cattle grazing on corn stalks and grass during the idle season. The system produces ample forage and eases cattle stress for better meat quality with low operational costs, according to the farm’s manager. There is potential to grow Brazil’s corn acres by bringing additional unproductive land into production, according to researchers with Embrapa, Brazil’s national research agency. The country has more than 200 million acres of Cerrado grasslands that have been cleared but not developed, an Embrapa official said. Embrapa researchers are studying integrated crop, livestock and forest systems to turn the Cerrado pastures into productive land, like the Tres Irmaos farm is doing. The researchers emphasized that the Cerrado land is separate from the Amazon rain forest, which is protected from development by strict regulations.
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Required Notice to IOWA ONE CALL Iowa law requires farmers, landowners, and land improvement contractors to notify Iowa One Call before engaging in any operations that will penetrate the soil 15-inches or more. Protect your family, your farm and your community‌Call before you dig.
To give your notice click online at www.iowaonecall.com or dial 811
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