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Group unites rural, urban Iowans on clean water issues BY DIRCK STEIMEL A new statewide organization, the Iowa Partnership for Clean Water (IPCW), was launched last week to broaden the under­ standing of farmers’ water qual­ ity efforts and to help balance the dialogue between the need for agriculture production in the state and meaningful water quality solutions. The IPCW is designed to bring together rural and urban Iowans and to highlight the importance of voluntary and collaborative

efforts to improve water quality such as Iowa’s Nutrient Reduction Strategy, the group’s directors said. The partnership, which is sup­ ported by the Iowa Farm Bureau Federation, will rally support­ ers who believe that Iowa farm­ ers have been unfairly blamed for water quality issues in Iowa. IPCW directors also sharply criti­ cized the lawsuit filed in March by the Des Moines Water Works against three northwest Iowa counties over water quality issues. “I really felt that we should

that. But I don’t agree with filing a lawsuit.”

Not pointing fingers

have explored all of the options rather than filing a lawsuit,” said IPCW board member Christine Hensley, a Des Moines city coun­ cilwoman. “Absolutely, I think that collaboration is a better way to go. I understand we have water quality issues; I’m not denying

Another IPCW board member, Cedar Rapids Mayor Ron Corbett, also highlighted the need for col­ laboration. “This isn’t a situation where we need to point fingers at each other. We need to shake hands and work cooperatively on this impor­ tant issue,” he said. Other directors of the new organization are Patty Judge, for­ mer Iowa lieutenant governor and

New Iowa pork processor will ease farmers’ capacity worry

3 million hogs per year

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Stowe says ag to blame for Iowa water issues The DM Water Works chief wants to change the state’s farming to fit his priorities. STORY ON PAGE 3

BY TOM BLOCK A new hog processing plant in Sioux City will ease slaugh­ ter capacity limitations and bring economic gains for Iowa and its hog farmers, Iowa Pork Producers Association President Dave Struthers said last week. Construction of the joint ven­ ture by Seaboard Foods and Triumph Foods is expected to begin this summer, with construc­ tion completed by July 2017. “As we see the demand for pork rise worldwide, we need to have ample processing facilities to meet those needs,” said Struthers, a Story County Farm Bureau member. “There’s a real concern about increasing hog numbers and being able to handle that capacity. This announcement just goes to show where there’s demand, these things will happen. It will have important economic benefits for Iowa and for our industry.”

former Iowa agriculture secretary; and Don Kass, a supervisor in Plymouth County. Cedar Rapids has been a pio­ neer in collaborating with farm­ ers and launched a $4.3 million project focused on working with farmers and others to improve the quality of water in the Middle Cedar River watershed, the source of the city’s water supply. The Middle Cedar Partnership Project is focused on building cooperation with farmers and land­

Crop reporters see planting wrapping up Despite rain and chilly weather Iowa farmers are finding spots to finish corn and soybean planting. STORY ON PAGE 4

Shane Wulf, left, coordinator for the Miller Creek Water Quality Improvement Project, looks over a buffer strip with Henry Shepard on Shepard’s farm near La Porte City. Miller Creek is one of 16 targeted demonstration projects designed to help farmers see and learn about practices to improve water quality. PHOTO/GARY FANDEL

Farmers eager to learn from conservation demonstrations BY DIRCK STEIMEL

precious topsoil. The Iowa Nutrient Reduction Strategy contains a number of well-researched and effective con­ servation practices. But finding the one that fits best on each farm’s landscape and meshes with

The new Sioux City plant is owa farmers are more expected to process about 3 mil­ interested than ever in lion market hogs annually oper­ implementing practices ating a single shift and employ to help them protect the approximately 1,100 persons, in­­ state’s water quality and conserve cluding approximately 200 sala­ ried positions and 900 hourly pro­ duction positions. U.S. pork processing capac­ SENATE VOTES TO CONSIDER T RADE MEASURE ity may be tested in the next year The Senate last week voted to invoke cloture or two as hog farmers rebuild on a motion to proceed with the Trade Promotion and expand herds following major Authority (TPA) and Trade Adjustment Assistance losses from the porcine epidemic (TAA) legislation approved by the Senate Finance diarrhea virus (PEDV) in 2014. Committee. A final vote is expected this week. The USDA’s March hogs and The TPA legislation outlines U.S. trade policy pigs report suggests this year’s objectives and sets out conditions for the president to slaughter numbers will be 6.3 per­ negotiate free trade agreements and other trade lib­ cent higher than last year and the eralizing initiatives as well as allowing for expedited second highest ever, according to Congressional consideration. TPA builds confidence Ron Plain, University of Missouri with our negotiating partners that, once an agree­ economist. ment is reached, Congress cannot change it. It also Existing slaughter plants could is viewed as necessary for completion of the Trans-Pacific Partnership HOG PLANT PAGE 2 negotiations.

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existing practices takes more than reading a pamphlet or watching an online video, according to Matt Lechtenberg, water quality coor­ dinator at the Iowa Department WATERSHED PAGE 2

Lake City cleans up after May 10 tornado The morning after the storm, the small Calhoun County town was on the way to recovery. STORY ON PAGE 5

More reading labels; buying on price, taste Iowa Farm Bureau’s Food and Farm Index also shows that farmers are seen as a trusted source for food safety info. STORY ON PAGE 8

COPYRIGHT 2015

BIOFUEL GROUPS PRESS EPA ON RFS DECISION The Obama administration has a clear choice when it comes to issuing updated Renewable Fuels Standard (RFS) requirements due June 1, biofuels advocates said last week. The administration can either follow Congressional intent by fully restoring RFS volumes or protect the oil industry’s monopoly in the U.S. fuel market, said Bob Dinneen, CEO of the Renewable Fuels Association. The oil industry is pushing the Environmental Protection Agency to uphold a November 2013 proposal reducing RFS requirements because it lacks the capacity to blend more than 10 percent ethanol in the U.S. fuel supply. However, Dinneen noted that Congress, in enacting the RFS, rejected a provision that included lack of infrastructure as a reason for waiving renewable fuel usage minimums.


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MAY 20, 2015 IOWA FARM BUREAU SPOKESMAN

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of Agriculture and Land Stew­ ardship (IDALS). Farmers, he knows, want to see the conserva­ tion practices first-hand, in action, before making decisions on which programs fit best on their land­ scapes and in their operations. “It’s really important to show­ case these practices, so farmers can see them and feel more com­ fortable with them,” Lechtenberg said. That’s the premise behind Iowa’s 16 targeted demonstration projects, which have been estab­ lished in nine watersheds around the state that have been designated as a priority by the Iowa Water Resources Coordinating Council.

Working with farmers Demonstration project coor­ dinators work with cooperating farmers to implement a number of practices, such as cover crops, bioreactors or saturated buf­ fer strips, outlined in the Iowa Nutrient Reduction Strategy. That gives farmers in the area an opportunity to learn about the

practices first-hand, see how they work in actual field conditions and talk to people who already tried them, said Iowa Agriculture Secretary Bill Northey. That expe­ rience and knowledge will help expand use of the practices and help the state meet its goals of reducing nutrient loss under the water quality initiative launched in 2013, he said. “We want to use these as incu­ bators that let us scale up to move these practices where they fit all over the state,” Northey said. The concept of on-farm demon­ strations is not new, Lechtenberg said. “It’s really a tried and true method of delivering information to farmers,” he said recently. What is new, Lechtenberg said, is that each of the 16 demon­ stration projects around the state are locally designed, developed and led, with cooperation and investment from a wide range of sources. Each project has a differ­ ent group of cooperators, which include local co-ops, farm equip­ ment dealers, seed genetics com­ panies, area colleges, local offices of government agencies and farm groups, including some county Farm Bureaus.

State offers more funds for conservation cost share The Iowa Department of Ag­­ri­­culture and Land Stew­ard­ ship announced last week that funds are available to help farm­ ers install nutrient reduction practices. Practices eligible for this funding are cover crops, no-till or strip till or using a nitrification inhibitor when applying fertil­ izer. The cost-share rate for firsttime users of cover crops is $25 per acre, no-till or strip till are eligible for $10 per acre and farmers using a nitrapyrin nitri­ fication inhibitor when applying fall fertilizer can receive $3 per acre. Any farmer not already utiliz­ ing these practices will receive priority consideration for this as­­ sistance. Farmers who have used cover crops in the past may be eligible for $15 per acre for cover crops. “We continue to hear from

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owners to install best manage­ ment practices such as cover crops, nutrient m a n­­a g e­m e n t , wetlands  and sat­­urated buffers to help improve water quality, CORBETT water quantity and soil health in the Cedar River watershed. “Collaboration is always the best way to go,” Corbett said. “We are showing that there is alterna­ tive way from an urban standpoint. “We feel that water quality isn’t just a rural issue; it’s an Iowa issue.”

Balanced conservation Hensley added that she sees the establishment of the IPCW as a vehicle to bring a more balanced and thoughtful dialogue among farmers, rural communities and urban dwellers. “I’m looking out for my city,” the Des Moines councilwoman said. “If something is causing

farmers interested in doing even more to limit nutrient loss and better protect water quality, and these funds will help them try new voluntary, science-based conser­ vation practices on their farm,” Iowa Agriculture Secretary Bill Northey said. Farmers are eligible for cost share on up to 160 acres. The funds will be made available in July, but farmers can immediate­ ly start submitting applications through their local Soil and Water Conservation District office. In the last two years this pro­ gram has been available, over 1,400 farmers put in new nutri­ ent reduction practices on over 144,000 acres. The state provided about $3.4 million in cost-share funding to help farmers try a water quality practice for the first time, and Iowa farmers provided at least another $3.4 million to support these water quality prac­ tices. problems for the city, we need to have some conversations and figure out how to deal with this. A lawsuit is not the way to go. I think it will stand in the way of good, honest conver­ sations.” J u d g e highlighted the work and HENSLEY i nve s t m e n t s that farmers are voluntarily mak­ ing to produce food while pro­ tecting the environment. “These efforts are something that all Iowans should support. We need to stand up for Iowa farmers and recognize the important role they play in our lives,” she said. Kass said that farmers, like himself, are committed to sound conservation practices to conserve soil and protect water quality. “I want all Iowans to know what farmers are doing daily to ensure that we have food on our table and a clean, safe environment in which to live.” For more information on the IPCW, go to http://iowapartner­ shipforcleanwater.org/.

the West Branch of Floyd River Water Quality Initiative works on water quality improvement prac­ tices for livestock intensive farms, said coordinator Becca Meerdink. That includes working with man­ ure-incorporating equipment to help reduce nutrient loss and other practices for livestock farms, she said. Other demonstration projects around the state work to spread knowledge and experience with edge of field practices, such as buffer strips and bioreactors, wet­ lands and saturated buffers. One demonstration project in Tama and Benton counties is looking at water quality practices that can be used in seed corn production.

Drawing attention Farmers watch a conservation tillage demonstration arranged by the West Branch of Floyd River Water Quality Initiative. The northwest Iowa initiative is one of 16 targeted demonstration projects around Iowa and concentrates on practices that fit well with livestock farms. SUBMITTED PHOTO

Under the program, the lead­ ers of proposed projects apply to IDALS for state matching funds. After a review by IDALS, the Iowa Department of Natural Resources and the state’s three Regent uni­ versities, demonstration projects are chosen based on their impact to local water quality needs. Since the first targeted demon­ stration projects were funded in early 2014, the state has allocated just over $7.5 million in funding for the program and has lever­ aged more than $10 million in additional funding supplied from partners and landowners.

Focus on local issues With local leadership in place, the demonstration projects address that area’s needs and take advantage of local opportunities and resources to show off prac­

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accommodate larger hog numbers and heavier slaughter weights in the short term by running longer hours or working on Saturdays, said Steve Meyer, president of Paragon Economics. However, capacity could be challenged in the fall of 2016 if rapid expansion of the U.S. hog herd continues, he said. Sioux City has a long history in meat packing, but the city lost its last major slaughter plant when the John Morrell pork plant closed in April 2010, eliminating 1,300 jobs. The aging plant, which was near the Sioux City stockyards, has since been demolished. Tyson Foods operates a beef slaughter plant across the river in Dakota City, Neb. The new Triumph/Seaboard plant will be built in Sioux City’s Bridgeport West Industrial Park, located north

tices to improve water quality, Lechtenberg said. In northeast Iowa, for example, the Central Turkey River Nutrient Reduction Project has worked on demonstrating how cover crops fit well after harvesting corn silage, a common practice in that region, said Michelle Elliott, the project’s coordinator. “It’s sort of a nobrainer to work in cover crops because silage comes off early,” she said. The northeast Iowa project, which is headquartered in Calmar, has also been able to work with Northeast Iowa Community Coll­ ege, one of the partners, Elliott said. The college serves as a cen­ tralized hub and educational cen­ ter for the project, she said. Across the state in northwest Iowa, where livestock production is the primary economic driver, of the Sioux Gateway Airport along the Missouri River. Company leaders said Sioux City was selected because of the existence of a shovel-ready industrial site location, transpor­ tation infrastructure, availability of market hogs in the region and the pro-business environment city and state leaders demonstrated throughout the site selection pro­ cess.

Strong business climate “When we started inquiring about expanding our business, we recognized the strong commit­ ment and willingness to welcome Triumph Foods and Seaboard Foods to the city,” said Mark Campbell, Triumph Foods CEO. “Local leaders have built a busi­ ness environment poised to bring growth to the region. We look forward to the new pork process­ ing facility being part of that growth and its staff being actively involved in the Sioux City com­

Area farmers have been very interested in both participating in the water quality demonstration projects on their own fields, and in learning from them, coordina­ tors said. “I’m really getting very good cooperation,” said Shane Wulf, coordinator for the Miller Creek Water Quality Improvement Pro­ ject, near Waterloo in the Middle Cedar River watershed. “Farmers don’t want to lose any of their expensive inputs and are really interested in learning more about the practices that are out there that can preserve them.” Meerdink in the Floyd River Project agreed. “Conservation and water quality are very much on farmers’ minds now,” she said. “They want to know about how effective all the different practices are and what it costs to put them in.” A list of all 16 targeted water quality demonstration projects can be found at http://www.cleanwate­ riowa.org/demonstration-projects. aspx. munity.” The new pork processing facility will include a modern architecture design, customized landscaping for beautification and buffering from neighbors and modern odor abatement technolo­ gies, as well as other environ­ mentally friendly design features, officials said. The plant will produce a full line of fresh pork products for international, retail, food service and further processing markets. It will also supply raw materi­ als for Daily’s Premium Meats, a joint venture of Seaboard and Triumph that has two bacon pro­ cessing plants in Salt Lake City, Utah, and Missoula, Mont., and a third under construction in St. Joseph, Mo. Daily’s markets and sells a variety of processed pork items, from signature honey cured bacon to applewood smoked bacon to naturally smoked hams to break­ fast sausages.

Legislature continues budget negotiations Legislators continue negotia­ tions on the various budget con­ ference committees, but floor debate this week is expected to be limited. Eight of the nine remaining budget bills have been assigned to conference committees. The final budget bill, referred to as the Standings Bill, passed the Senate last week and will likely be debat­ ed in the House and assigned a conference committee this week. The Rebuild Iowa Infras­ tructure Fund (RIIF) budget, which includes increased conser­

vation and water quality funding supported by Farm Bureau, was assigned a conference commit­ tee last week. The House version includes a $5.35 million increase for the Iowa Nutrient Reduction Strategy, while the Senate version included a $3.1 million increase for the strategy. Both the House and the Senate proposals include $1.92 million for the Ag Drainage Well Closure Program. The Senate last week passed Senate File 505, the Health and Human Services appropriations bill, which has now been assigned

ISSUE UPDATE a conference committee. Both the House and Senate included lan­ guage to extend the current prop­ erty tax funding mechanism for one year. Farm Bureau supports extending these protections, which ensure that property taxpayers’ contributions remain limited and controlled.


IOWA FARM BUREAU SPOKESMAN MAY 20, 2015

Editorial

3

Stowe’s statements squarely blame ag for Iowa’s water quality issues BY DIRCK STEIMEL

W

ith his shock of white hair, baggy jeans and affa­ ble nature, Des Moines Water Works (DMWW) CEO Bill Stowe does not appear to be a serious adversary for Iowa farmers. But in a presentation last week in Des Moines, Stowe made it crystal clear that he’s very seri­ ous about blaming farmers for the state’s water issues and forc­ ing drastic, rapid and permanent changes in what he calls Iowa’s “industrial agriculture” sector. Those changes, as most Iowa farm groups and lawmakers agree, would severely harm farmers’ ab­­ il­­ity to adjust to constant changes in weather, would bury them in red tape and would risk slow­ ing the momentum of the state’s nationally-recognized strategy to reduce nutrient levels in rivers and streams. Stowe’s statements, during an informal talk at the historic Wallace House near downtown Des Moines, are also a stark contrast with leaders of the new Iowa Partnership for Clean Water. The partnership was launched last week to help find solutions to water quality issues in Iowa through dialogue and collabora­ tion among agriculture, rural and urban areas.

Not about collaboration Stowe is not about collabo­ ration. While Cedar Rapids and other cities have worked with farmers to improve water quality, Stowe is sticking to the litiga­ tion route. And repeated efforts by farmers and rural officials to meet with the DMWW and find solu­ tions have been rebuffed. Stowe places the blame square­ ly on agriculture for the state’s water quality issues, and he will not be deterred in his campaign to force his own imprint on Iowa farming. “People in Iowa tend to see agriculture as king and don’t question it,” Stowe said. “But it needs to be held accountable.” Stowe and the DMWW will also not be deterred by research, which shows that nitrate levels in Iowa’s streams and rivers have stabilized — and slightly declined

Spokesman Editor DIRCK STEIMEL News Coordinator TOM BLOCK Senior Features Writer TERESA BJORK Ag Commodities Writer BETHANY BARATTA Photographer/Writer GARY FANDEL

Bill Stowe, CEO of the Des Moines Water Works, says voluntary measures won’t work and that farms need to be regulated. FILE PHOTO

— in recent decades. In March, with strong backing from Stowe, the DMWW board voted to sue 10 drainage districts in Buena Vista, Calhoun and Sac counties. The DMWW litigation seeks to force the drainage dis­ tricts to get Clean Water Act per­ mits for alleged discharges from agricultural drainage tile systems.

Questions commitment The lawsuit was filed, Stowe said, because the DMWW did not believe Iowa agriculture and elect­ ed officials are serious about forc­ ing substantive and rapid changes that would reduce nitrate levels in surface water. “Our goal is to regulate what is coming out of the pipe,” Stowe

said. “We know it can be done. It won’t be easy, and we don’t want to bankrupt farmers in the process, but agriculture should not be unregulated.” The DMWW is demanding the implementation of rules to force farmers and drainage dis­ tricts to adhere to very specific regulations to reduce nitrates and other nutrients in surface water, Stowe said. Those regulations, he said, would dictate things like how much fertilizer a farmer applies, the types of conservation practices put on the land and the

says the state strategy, which was launched in 2013, is a total fail­ ure because it is voluntary and won’t solve water quality prob­ lems quickly enough. “We keep hearing we need more time, but we don’t have time to make the changes,” he said. Stowe says that the DMWW needs an upgrade to its system of removing nitrates from the water it gathers from the Raccoon River. The price tag for that, he said, is about $150 million, and he doesn’t believe that the DMWW ratepayers should pay for it. “The problem was created by “Our goal is to regulate what agriculture and needs to be solved by agricul­ is coming out of the pipe. We ture,” he said. know it can be done. It won’t Stowe readily ack­ nowledges that DMWW be easy, and we don’t want to dumps nitrates back bankrupt farmers in the process, into the Raccoon River but agriculture should not be and says he regrets it. But, he says, he has a unregulated.” Clean Water Act permit -Bill Stowe, Des Moines Water to do that, and he wants to force farmers to have Works CEO one too. timing of manure and other nutri­ As Stowe’s remarks contin­ ent applications. ued, it was clear that he sees As he has done repeated­ himself a lone wolf who wants to ly, Stowe dismissed the longforce his vision on Iowa farming term Iowa Nutrient Reduction through litigation. The fact that Strategy even though it has been he is opposed by most Iowa farm­ endorsed by the Iowa Department ers, government agencies, politi­ of Natural Resources, the U.S. cal leaders and a large number of Environmental Protection Agency urban dwellers in the state as well and the U.S. Department of Ag­­ as well-documented re­­search, riculture. The DMWW leader doesn’t seem to matter.

House sends strong message on WOTUS The House’s passage last week of the Regulatory Integrity Protection Act of 2015 (H.R. 1732) sends a strong, bipartisan message that the flawed “waters of the U.S.” (WOTUS) rule is unacceptable and should be scrapped, according to American Farm Bur­eau Federation President Bob Stallman. “Furthermore, it was refreshing to see members of Congress order regulators back to the drawing board, with an admonition to listen to the very real concerns of people who would have their farm fields and ditches regulated in the same manner as navigable streams,” he added. The bill requires the Envir­ on­ mental Protection Agency (EPA) and the U.S. Army Corps of En­­ gineers to withdraw the current

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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.

proposed rule that defines “waters of the U.S.” and charges them with developing a new proposed rule. It also requires that the agen­ cies solicit recommendations from, and consult with, state and local officials and other stake­ holders on how to define “waters of the U.S.” “The way that the En­­ vir­ onmental Protection Agency and the Army Corps of Engineers drew up the WOTUS rule, it was 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.

more about regulating land than it ever was about protecting valu­ able water resources,” Stallman said. “Through cooperative con­ servation measures, we have helped cut land erosion by more than 50 percent in just the last 20 years. We have reduced pesticide use and today use technology to apply just the right amount of fertilizer at just the right time.” Stallman said farmers look forward to a new water rule that recognizes the enormous work we have done and honors the lim­ its authorized by Congress and the Supreme Court. This week, the Senate is ex­­ pected to take up its version of the bill, the Federal Water Quality Protection Act.

EPA’s inaction has hurt farmers and ethanol makers BY DIRCK STEIMEL In less than two weeks, the Environmental Protection Agency (EPA) is set to release its pro­ posal on biofuel volume require­ ments for the Renewable Fuels Standards (RFS) for 2014, 2015 and 2016 and will finalize them this fall. That’s all well and good, except for one thing: The requirements for 2014 are more than 18 months overdue, and this year’s require­ ments are already months late. A lot has changed while the EPA dithered on its decision, and it hasn’t been good for agriculture or the ethanol industry. First, big harvests pushed corn prices down sharply since November 2013, when the EPA first proposed reducing the amount of ethanol in the RFS. The EPA’s proposal to reduce the ethanol vol­ ume requirements, followed by its inaction, certainly didn’t help the corn market. Another adverse consequence of the EPA’s delays was the chok­ ing off of investment in biofuels facilities. It was especially hard on the plants making advanced or cellulosic ethanol, such as the Iowa ones using corn stover.

Choking off investment A recent study by the Bio­ technologies Industry Organi­ za­ tion (BIO) paints a grim picture. The report says some $13.7 bil­ lion that would have been invested in these promising biofuels ven­ tures during the past two years went elsewhere because of the EPA’s indecision. The thousands of American jobs that would have been created by those investments never materialized. The timing of the EPA’s lack of action really could not have been worse, the BIO report said. “Just as the industry reached the stage of commercialization, EPA rule­ making delays generated instabil­ ity in the RFS program and intol­ erable investment uncertainty,” according to BIO executive Brent Erickson. Iowa Gov. Terry Branstad made a similar point recently when he visited Quad County Corn Processors in Galva, which is using technology that allows corn kernel fiber to be converted into cellulosic ethanol. Without the EPA delay, Branstad said Iowa would have more investments in new advanced biofuel technolo­ gies, like the one in Galva. As we all know, missing dead­ lines can have adverse conse­ quences. However, in this case, it seems that by missing the RFS declines, the EPA has forced those adverse consequences on farmers and ethanol makers.


4 MAY 20, 2015

IOWA FARM BUREAU SPOKESMAN

Quite a bit of progress has been made since the area received 0.5 to 3 inches of rain two weeks ago, Kruse said May 14, although it was raining again as he gave his report. “We’re all done planting corn, and 80 to 90 percent of beans in this area are done,” he said. “Most of the corn is up. The cold temperatures didn’t help, but everything looks good.” First-cutting alfalfa may be ready in a week or two, he said.

All corn has been planted on Sprung’s farm, he said May 14. “Windy conditions and showers every three to four days have made spraying a challenge,” he said. Farmers in parts of northern Mitchell County have been on standstill since a storm on May 7 dumped 2 to 4 inches of rain in a short amount of time. Corn and soybeans in the area are emerging nicely. About two-thirds of the soybeans have been planted in the area.

“I think most of the corn planting is finished and guys are about half done on soybeans,” Darling said May 14. Most of the early-planted fields have emerged, but growth has been slowed by the relatively cool weather, he said. “Once we get out of this cool pattern and get a little heat, I think things will really pop,” Darling said. Alfalfa is growing well, and it won’t be too long before farmers start to make hay, he said.

Parker took advantage of a break in the weather to get 300 acres of soybeans planted last week, although some fields were still wet, he said May 14. “We were just getting dried out enough to go yesterday,” he said. He had three-tenths of an inch of rain on Mother’s Day weekend and already had eight-tenths on the morning of his report. Corn emergence looks “perfect,” and some early-planted beans are emerging.

“It’s been cold and windy this past week, but the corn is off to a great start,” Burt said May 14. Corn is showing really good growth since it first emerged May 4. Burt said his family was finished planting both corn and soybeans. Most farmers were trying to finish their soybean planting, but rain showers had slowed planting progress. “We have plenty of moisture, but we need higher temps to get the corn really going.”

Most farmers are finishing up planting corn after heavy rains soaked fields the first weekend of May, Rickels said May 14. “We got a real soaker and didn’t do anything for about nine days here,” he said. While the rain slowed planting, it was welcome and helped recharge the topsoil, Rickels said. “The tiles are barely running now,” he said. Early-planted corn fields are starting to spike through the surface, Rickels said.

Persistent rains have slowed planting progress in the area, Johnson said May 14. Rainfall amounts varied from fourtenths to 2 inches. “People are getting started on beans, or trying to. It’s just going to be a matter of dodging the rain,” he said. “At this point, people won’t wait for ideal conditions. We’re not far behind, but people are getting anxious.” Corn emergence is at about 50 percent, and stands look good.

LaFratte planted soybeans until midnight, hoping to beat rain showers, he said May 14. “I think everybody around here was going as late as they could.” He had one full day left to plant before he was finished. “Everybody still had a little bit to plant, but we’re close to being done,” he said. Corn has emerged; some soybeans had emerged in the area as well. LaFratte said one-half an inch of rain had fallen and it was still raining.

“Early-planted crops are emerging well, and I think we are off to a good start around here,” Schrock said May 14. “The little rains that we’ve been having here have kept the ground soft and have helped emergence.” Most corn fields are planted, and many area farmers were hustling last week to finish up soybean planting before another round of showers, he said. Alfalfa fields and pastures are growing well, Schrock added.

Assess emergence, weed control for crops planted in wet conditions BY JOHN GRANDIN The month of May can often be a frustrating time to observe young crops. Fields planted in less than ideal soil conditions could result in sidewall compaction, causing restricted root growth and the onset of many ab­­normal plants. When these stresses are combined with cool t e m p e r a t u r e s GRANDIN or excess rains, plant growth may be impacted. If corn is slow coming up, uneven or discolored, grab your spade and do some digging to determine if the roots are restricted to a particular zone. Once the seedling corn plant has three visible leaf collars, the nodal root system becomes the major source for plant nutrition. Under ideal conditions, now is the time for plants to enter a rapid growth phase. Warm days and cool nights can result in an accumulation of sugars, and plants may take on a purple appearance. This is the same reason we experience brilliantly colored fall foliage. Once the nighttime temperatures warm up, the plants will mobilize and metabolize the sugars, resuming growth.

CROPS TODAY

Now is a good time to be as­­ sessing plant stands in both corn and soybean fields. Emerged plant population is critical, but it is equally important to assess the uniformity of the plant stand as well as the uniformity of plant emergence. Iowa State University has excellent references for evaluating existing corn plant populations and the risks or rewards for replanting based on the date. Final soybean plant populations are typically less critical compared with the uniformity of the stand. Don’t forget to evaluate your spring-seeded forages. It is probably too late in the spring to successfully seed additional coolseason forages; however, you can make plans to interseed in late August.

are typically more difficult to control. Although a dead weed doesn’t remove nutrients from your field, the nutrients taken up by the weeds will be immobilized and not read-

ily available for the growing crop. Your FS crop specialist can lessen your frustrations and help evaluate your fields and assist with making the best recommendations for your farm. Execute

your plan for success, and it will likely happen. Grandin is a Growmark Western Region senior field sales agronomist. His email address is jgrandin@growmark.com.

Planting rolls along

Controlling weeds Weed removal timing can also be frustrating during May. It is necessary to balance early removal of weeds with having ideal en­­vironmental conditions for making post-emergence applications of herbicides. Taller weeds compete with crops for water and nutrients and

Gene Seda fills his planter last week while planting soybeans near Gladbrook. Soybean planting in Iowa reached 30 percent complete for the week ending May 10, five days ahead of 2014 and three days ahead of the average, according to the Iowa Department of Agriculture and Land Stewardship’s weekly crop progress report. PHOTO/GARY FANDEL


IOWA FARM BUREAU SPOKESMAN MAY 20, 2015 5

Crisis reveals character as Lake City cleans up after tornado BY DARCY MAULSBY Crisis reveals character, and the Lake City community showed its true colors after an EF-1 tornado ripped through the town and tore the roof off the high school around 7:30 p.m. on Sunday, May 10. “It’s a Mother’s Day we won’t forget,� said Alan Wedemeyer of rural Lake City. Just minutes before the tornado hit, Wedemeyer and his wife, Annette, were attending a senior awards night program at the high school auditorium, where their daughter, Rachel, received a Calhoun County Farm Bureau scholarship. The Wedemeyer family, along with more than 100 people at the ceremony, took cover in the auditorium basement as the tornado burst into town. The tornado’s 100-mile-perhour winds blasted the high school campus and struck homes in the northwest part of town. The whole ordeal was over in about 15 seconds. As people cautiously stepped outside to survey the damage and check on their neighbors, everyone was relieved to have escaped Mother Nature’s wrath without a single serious injury, let alone a fatality. “At the time, I didn’t realize how serious the situation was,� said Shari Seil, whose family farms in the area. “Being ushered to the basement of the school just seemed like a precaution. Seeing the videos and pictures really made me realize how lucky we all are. It could have been so much worse.�

Volunteers pitch in By early Monday morning, May 11, hundreds of volunteers from a 30-mile radius around Lake City and the American Red Cross were pouring into Lake City. After checking in with organizers, volunteers of all ages fanned

Above, farmers and local businesses brought in heavy equipment to assist in the clean up after a tornado May 10 damaged South Central Calhoun High School in Lake City. At right, South Central Calhoun FFA members joined other students and faculty to load a refrigerated truck with frozen food from the school’s cafeteria, which was without power. PHOTOS/GARY FANDEL

out across the high school campus and in hard-hit neighborhoods to clean up debris, which ranged from large sheets of metal stuck in tree tops to endless chunks of pink attic insulation strewn across lawns, streets and trees. “It was horrible, but it could have been so much worse,â€? said Travis Gemberling of Lohrville, who grad­­ uated from the local school district and operates Gemberling Excavating with his family. Gemberling and his crew brought an excavator and sidedump truck to Lake City and spent all day cleaning up debris around the high school. “It’s about pride in the school system,â€? he said. “We’re thankful for all the help.â€? This help included local farmers, such as South Central Calhoun School Board President Jim Brown, and members of the South Central Calhoun FFA.  “The kids have been great and have helped with everything from cleaning up debris around the high school to moving supplies out of the school kitchen so the food wouldn’t spoil,â€? said Matt Carlson, FFA advisor. By early afternoon, so many people had come to town to help that the Lake City Fire Department posted a hand-written note on the

front door of the fire station noting that no more volunteers were needed. After declaring a State of Dis­ aster Emergency in Calhoun County May 11, Iowa Gov. Terry Branstad visited Lake City that afternoon to survey the damage and offer support. “The way Lake City and Calhoun County have pulled together in the wake of the tornado is a testament to rural Iowa,â€? he told reporters during an impromptu press conference outside the high school.

Minor farm damage While rural areas were largely spared from destruction, a few farms northeast of Lake City did suffer damage. The tornado destroyed a machine shed and blew debris across one farmstead. The twister also uprooted a large tree, mangled part of the grain-handling system, blew over a small bin and upended a camper at Marj Burley’s farm northeast of Lake City, reported Nick Burley, Marj Burley’s grandson who farms in the area

Power

and serves on the Calhoun County Farm Bureau board. A violent hailstorm that followed the tornado also damaged newly-emerged corn in some fields. The deluge of rain (up to 1.6 inches) that accompanied the storm created ponds in some fields northwest of town, leaving some farmers wondering whether they will have to replant some of those acres. That wasn’t the top priority on most farmers’ minds, however. Members of the Calhoun County

Efficiency

Farm Bureau board and Calhoun County Corn Growers board, including Kevin Poen of Lake City, were assisting with cleanup efforts and coordinated with area beef and pork producers to grill burgers for the volunteers, teachers and students who needed the comfort of a hot meal. “We care about our community,� Poen said. “We will do whatever we can to help.� Maulsby is the Calhoun County Farm Bureau president and a freelance writer in Lake City.

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6 MAY 20, 2015 IOWA FARM BUREAU SPOKESMAN

USDA forecasts lower yields, but still large crops

U

.S. farmers are projected to produce 13.6 billion bushels of corn this year, the U.S. Department of Agriculture said in its World Agricultural Supply and Demand Estimates (WASDE) report last week. But both precipitation and temperature will determine just how well the crops grow. U.S. corn production is projected at 13.6 billion bushels, down 586 million from the record 2014/15 crop with a lower forecast area and yield. The U.S. corn yield is projected at 166.8 bushels per acre, down 4.2 bushels from the 2014/15 record based on a weather-adjusted yield trend that assumes normal summer weather. “The corn crop could be the third largest on record,” said Chad Hart, crop markets specialist at Iowa State University. The 2015 yield outlook was not raised in the report despite the rapid pace of planting, the report noted. More than 90 percent of the variability in the corn yield is determined by July precipitation and temperatures, the report also noted. Corn supplies for 2015/16 are projected at a record 15.5 billion bushels, up just slightly from 2014/15. Exports for 2015/16 are pro-

jected 75 million bushels higher on the year with the 2014/15 projection raised 25 million bushels this month. More competitive prices and growth in world demand support gains in U.S. exports for 2015/16, but large foreign supplies limit growth in the U.S. share of global trade. Corn ending stocks for 2015/16 are projected at 1.7 billion bushels, down 105 million from the 2014/15 projection. The seasonaverage 2015/16 farm price is projected at $3.20 to $3.80 per bushel, down 15 cents at the midpoint from this month’s lowered outlook for 2014/15.

Soybean outlook Soybean production is projected at 3.85 billion bushels, down 119 million bushels from the 2014 crop with record harvested area offset by lower yields, the report said. Harvested area is projected

at 83.7 million acres. The soybean yield is projected at a trend level of 46 bushels per acre, down 1.8 bushels from last year’s record. “The market is staring at 84.6 million acres of soybeans with an expected yield of 46 bushels per acre. The combination would produce 3.85 billion bushels of soybeans, the second largest soybean crop on record,” Hart said. Supplies are projected at 4.23 billion bushels, up 3.4 percent from 2014/15 with increased beginning stocks more than offsetting lower production, the report said. The U.S. soybean crush for 2015/16 is projected at 1.83 billion bushels, up 20 million from 2014/15. Soybean exports are projected at 1.78 billion bushels, down 25 million from 2014/15 despite record supplies. The U.S. seasonaverage soybean price for 2015/16 will decline to $8.25 to $9.75 per bushel compared with $10.05 in 2014/15.

Farmland values The value of Iowa farmland actually rose 2 percent in the first three months of 2015, but was down 6 percent for the 12 months ending on April 1, according to a survey of agricultural bankers by the Federal Reserve Banks of Chicago. The report also showed that Indiana farmland was up slightly in the first quarter, while Illinois land declined 1 percent. Bankers in the quarterly survey said that the supply of farmland

Weekly Average Price Comparison Sheet

Price comparisons: Week ending: 05/15/2015 04/17/2015 05/16/2014 Cattle - National 5 Area Confirmed Sales 5,319 8,995 57,970 5 Area 65-80% Choice Steers: Wtd Avg. NA $162.00 $146.98 Average Weights (Estimate) Cattle 1339 1347 1304 Boxed Beef Choice 600-750 (5 day avg.) $261.93 $257.79 $225.98 Boxed Beef Select 600-750 (5 day avg.) $251.10 $250.97 $216.71 Five Day Average Hide and Offal Value $13.55 $13.78 $15.59 Cattle - Interior Iowa – Minnesota Supply: 4,861 2,319 25,070 Average Price Choice Steer: Live Basis $162.05 $165.56 $147.48 Average Price Choice Steer: Dressed Basis $256.04 NA $234.33 Feeder Steers at River Markets (Neb. Feedlots) #1 Muscle Thickness 500-600# NA $288.98 $239.65 #1 Muscle Thickness 700-800# NA $223.95 $193.12 Hogs -- Interior Iowa – Minnesota ISM Friday Weighted Average Carcass Price $81.85 $61.97 $108.96 Average Weights (Estimate) Hogs 281.2 283.8 286.6 Sows 1-3 300# and up: Average Price $24.66 $33.60 $83.15 Pork Loins 1/4” trimmed 13 - 19 pound $129.69 $98.57 $136.63 51-52% 200 pound Pork Carcass (5 day avg.) $82.00 $65.94 $112.06 Feeder Pigs: National Direct Delivered Feeder Pigs 10 Pounds Basis - Wtd Avg. $39.28 $34.19 $72.02 Feeder Pigs 40 Pounds Basis -- Wtd Avg. $63.58 $66.10 $126.17 Sheep -- National Slaughter Lambs Negotiated Sales 1,700 6,500 5,100 $153.75 No Test Choice & Prime Wooled and Shorn 130 -150 lbs NA Iowa Large Eggs (cents per dozen) $1.27 $0.84 $1.01 Young Hen Turkeys: 8 -16# -- Eastern (cents/lb) 108.94 103.90 108.25 *Iowa Ethanol Prices $/gal $1.60 $1.47 $2.22 Futures: Corn $3.66 $3.80 $4.84 State Average Cash Corn Price $3.49 $3.64 $4.58 Basis -$0.17 -$0.16 -$0.26 Futures: Soybean $9.53 $9.69 $14.65 State Average Cash Soybean Price $9.20 $9.31 $14.42 Basis: -$0.33 -$0.38 -$0.23 Slaughter Under Federal Inspection Estimates Estimates Actuals Hogs: 2,080,000 2,164,000 1,973,000 Cattle: 564,000 529,000 586,000 Sheep: 33,000 37,000 41,000 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

was down and demand was weak, causing fewer transactions. The survey also showed a decline in rental rates, with Iowa rates in 2015 down 10 percent from 2014.

More cases of avian flu Several new cases of highly pathogenic avian influenza (HPAI) were reported in Iowa last week, bringing the total to 52. The Iowa Department of Agriculture and Land Stewardship continues to quarantine the premises of suspected cases. Once the presence of the highly contagious disease is confirmed, all birds on the property are humanely euthanized to prevent the spread of the disease. The disease has now been confirmed in Nebraska, which, like

Iowa, has declared a state of emergy.

Exports expected to grow Saudi Arabia bought more than 1 million metric tons of U.S. corn last year, the most of any origin and the most in 15 years, and that’s expected to grow this year, Farm Futures reported last week. Saudi corn imports are projected to increase by 30 percent in market year 2014/2015 due to an expansion in poultry production and increased demand for processed feed. USDA data show that so far in the U.S. 2014/2015 crop year, Saudi Arabia has imported 841,700 tons of U.S. corn, up 15 percent from the previous year.

CME Class III Milk Futures Closing prices May 15, 2015

Contract

Settle Last Week

Contract

May 2015 June 2015 July 2015 August 2015 Spot Prices Block Cheese Barrel Cheese Butter NFDM Grade A

$16.24 $16.71 $16.93 $17.34

September 2015 October 2015 November 2015 December 2015

$17.53 $17.71 $17.54 $17.62 $17.47 $17.49 $17.24 $17.40

Milk Prices May Class III May Class IV

$16.24 $14.08

$16.38 $17.36 $17.70 $17.70

$1.6200 $1.6225 $1.9725 $0.8975

Settle Last Week

Iowa Hay Auctions Dyersville, May 13

Hay, large squares, premium, $175-200; good, $150-192.50; fair, $100-140; utility, $85-100; large rounds, premium, $160; good, $120-150; fair, $80-105; utility, $4080. New seeding: large rounds, good, $95. Mixed, large squares, good, $125-192.50; large rounds, good, $90-135. Grass, large rounds, good, $110-125. Straw, large squares, good, $30-35; large rounds, fair, $28. Corn stalks, large rounds, good, $35.

Ft. Atkinson, May 13

Hay: small squares, 1st crop, $85-175; 3rd crop, $125-220; large squares, 1st crop, $110-165; 2nd crop, $75-165; 3rd crop, $145-180; large rounds, 1st crop, $50-140; 2nd crop, $65-140; 3rd crop, $90-130; 4th crop, $75-90. Grass: large rounds, $65-115. Baleage: large rounds, $35-40. New seeding: large rounds, $75-90. Oat hay: large rounds, $50-115. Straw: large squares, $100-120.

Perry**, May 9

Alfalfa, small squares, premium, $6.50-7; good, $4.50; large squares, premium, $60; 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.

Rock Valley, May 14

Alfalfa, large squares, supreme, $170-180; premium, $135-155; large rounds, premium, $135-155; good, $110-130. Grass, large rounds, premium, $135-155; good, $110-125; fair, $90-105. Oat hay, large rounds, $60-70. Corn stalks: large rounds, $40-60.

Yoder**/Frytown, May 13

Alfalfa, large rounds, $35.50-47.50; large squares, $25-47.50. Grass: large rounds, $25-37.50. Oat hay: large rounds, $30-32.50.

**Perry and Yoder hay auction prices are per bale. All other prices are per ton. Contacts: Dyersville, 563-875-2481; Ft. Atkinson, 563-534-7513; Perry, 515-321-5765; Rock Valley, 712-476-5541; Yoder, 319-936-0126

Opportunities to price 2015 new-crop corn have deteriorated as the spring has progressed. Illustrated this week is a look at December corn futures so far in 2015 (red solid line) compared to the December corn futures 20052014 price average (blue dashed line). Everything points to a low or no-margin year with new-crop prices below most costs of production. Classifying costs into fixed and variable may prove valuable this year since opportunities to cover variable and contribute toward fixed costs may be the best that is offered.


IOWA FARM BUREAU SPOKESMAN

Soybean planting pace suggests strong yields

T

he soybean planting pace, like the mid-May counterpart for corn, has a slightly positive bias concerning potential yields. When the soybean planting pace is 60 percent or more complete by May 25, there’s a slightly larger incidence of seeing yields come in at trend or higher. Based on an expected planting number of 60 percent by May 25, the relationship would imply a yield of 98.5 to 99 percent of trend. The trend we use points to a 46-bushel yield, the same as the projection the U.S. Department of Agriculture (USDA) is currently using. The combination implies a 45.3 to 45.5 bushel yield potential this year. Using the current USDA acreage forecast, 84.6 million acres planted and 83.7 million harvested, it implies a 3.79 billion to 3.81 billion bushel crop. That’s slightly smaller than the 3.85 billion bushel crop the USDA projected this past week, but still a very large crop. Ultimately, though, the key lies with the number of acres that get planted, the summer weather and the total yield. Informa Economics this past week continued to forecast a significantly larger planting than the USDA forecast on the March 31 Prospective Planting report. Informa’s analysts expect this year’s planting to reach 87.19 million acres, 2.55 million more than the USDA’s forecast. That is inconsistent with what we learned in 2009 and 2010 when low prices discouraged planting of all the available acres. The combination of plantings and prevented plantings of all crops declined significantly those two years with the low prices in the wake of the late 2008 economic collapse. At the same time, this year’s pace of plantings in the northern and western parts of the Corn Belt are well ahead of the recent years. With spring wheat, corn and other small grain planting occurring before soybeans, it doesn’t suggest an increase in soybean acres is likely. The biggest possibility of seeing an acreage increase might be in the southern Corn Belt and Mid-South, but modest delays may force more acres into prevent planting. If prices remain weak and conditions wet, it may cut into double-crop plantings too. Ultimately, there are a lot of changes that can unfold over the next number of weeks. But even though the structure looks negative at the moment, don’t discount other possibilities.

rally, prices may be set up to complete the correction with origins at the late December high. The final low isn’t likely to be much lower than the current $3.56 low on July futures. Once complete, the market should be positioned for an extended period of stronger prices. Other than locking in basis, we are not interested in pricing corn.

2015 CROP: Given the larger cyclic parameters, the long-term outlook continues to look constructive. Hold off making sales.

F U N D A M E N TA L S :   T h e USDA didn’t offer any new insight-

U.S. Soybean Planting and Yields

Cash Strategist Hotline: 1-309-557-2274 Central IL Daily Cash Corn 700

600

Corn prices are continuing the extended corrective pattern of the steep rally out of last fall's 5 1/2 year low. The general weakness is likely to persist into the 40-week low due in early June. Once that is behind, prices should be better positioned to rally again.

Cycle Lows 20-week 40-week

500 400

$3.91 38% retracement at $3.48

due in June

300

$2.79

5 1/2-year low

200 6/11/13

1/31/14

9/23/14

5/15/15

1/4/16

-10

ful revelations on the initial newcrop supply/demand forecasts. The world ending stocks were larger than anticipated, but that was due to adjustments in inventories for the marketing year coming to a close. Planting was bogged down a little by weather this past week, but forecasts for what’s ahead suggest it will

SOYBEAN STRATEGY

-20 -30

-40 -50 Basis Chicago Futures

-60 6/4/14

8/28/14

11/21/14

2/20/15

5/15/15

get wrapped up in a timely fashion. Moisture conditions have improved some in northern/western areas, too.

1750

Central IL Daily Cash Soybeans 1550

2014 CROP: Prices remain weak, but the absence of new selling at key supports continues to indicate downside risk is limited. Demand picks up when futures dip near $9.50 per bushel. While there are no guarantees, timing indicators point to a late-May low, suggesting prices should improve this summer.

1350

All winter/spring, soybean prices have been testing important support at $9.43, and have managed to keep from falling through it. With the next 16- to 18-week cycle coming soon, the risk of falling through it is increased.

16- to 18-week cycle lows

1150

950

If it does, look for a break to $9.02. It will take a close over $9.80 to relieve downward pressure, and open the door to a move back toward the winter high.

$10.41 $9.80

$9.43 - 62% retracement $8.82

due end of May 3-year low

750 6/11/13

1/31/14

9/23/14

USDA numbers, the ones for the

2015 CROP: Even though the soybean complex were considered short-term trend is still down, action tends to suggest supply and demand are better balanced than indicated. That, and limited risk premium, imply better marketing opportunities should come this summer.

7

800

2014 CROP: After last week’s

FUNDAMENTALS:  Of all the

120%

yield as a percent of trend

CORN STRATEGY

MAY 20, 2015

most negative. The 500 million bushel new-crop ending stocks projection was higher than anticipated, along with the 96.22 million metric ton world ending stocks number. Still, the trade is aware the final ending stocks are often below these early forecasts, some-

5/15/15

1/4/16

400 300 200 100 0 Basis Chicago Futures

-100 6/4/14

8/28/14

11/21/14

2/20/15

5/15/15

times significantly below. Planting is going well, leaving little reason for new-crop concern.

Iowa Corn & Soybean Basis

110%

CORN: (basis vs. July futures, 5/13/15) NW SW

100%

$3.44 NC $3.45 -0.18 -0.17 $3.40 SC $3.44 -0.22 -0.18

NE

$3.49 -0.13 SE $3.47 -0.15

SOYBEANS: (basis vs. July futures, 5/13/15)

NW $9.16 -0.41 SW $9.24 -0.33

NC

$9.18 -0.39 SC $9.23 -0.34

NE $9.31 -0.26 SE $9.43 -0.14

90%

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.

data - USDA/NASS & Agrivisor LLC

80% 0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1

percent planted by May 25

Cash Strategist Positions at a glance

CORN 2014

3-10-14 — 10% sold @ $4.82

3-10-14 — 15% sold @ $4.78

3-31-14 — 10% sold @ $4.95

11-20-14 — 15% sold at $3.78

BEANS

2015

100% unsold

50% unsold

2014

2015

12-23-13 — 10% sold @ $11.72

12-31-13 — 10% sold @ $11.35

5-27-14 — 15% sold @ $12.07

2-18-14 — 10% sold @ $11.38

3-3-14 — 10% sold @ $11.72

5-12-14 — 10% sold @ $12.23

85% unsold

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.

Certify conservation compliance by June 1 June 1 marks a key deadline for farmers to make sure they have the proper paperwork filed to continue receiving federally subsidized crop insurance. The conservation compliance provision in the 2014 farm bill requires farmers to file a Highly Erodible Land Conservation and Wetland Conservation Certification form (AD-1026) with their local Farm Service Agency (FSA) office by June 1 in order to become or remain eligible for crop insurance premium support. The form certifies that farmers will not: • Plant or produce an agricultural commodity on highly erodible land without following a Natural Resources Conservation Service (NRCS) approved conservation plan or system. • Plant or produce an agricultural commodity on a converted wetland.

• Convert a wetland which makes the production of an agricultural commodity possible. In addition, farmers planning to conduct activities that may affect their compliance, for example removing fence rows, conducting drainage activities or combining fields, must notify FSA by filing form AD-1026. FSA will notify the NRCS, which will then provide highly erodible land or wetland technical evaluations and issue determinations if needed. Most farmers already have an AD-1026 certification form on file because it’s also required for participation in most USDA programs such as marketing assistance loans, farm storage facility loans and disaster assistance. However farmers, such as specialty crop growers who receive federal crop insurance premium support but may not participate in other USDA programs, also

must now file a certification form to maintain their crop insurance premium support. “While many producers will not need to take action, we want to help make sure that those who are required to act do so by the June 1 deadline,” said Agriculture Secretary Tom Vilsack. “We want all eligible producers to be able to maintain their ability to protect their operations with affordable insurance.” Farmers should visit their local USDA service center and talk with their crop insurance agent before the June 1 deadline to ask questions, get additional information or learn more about conservation compliance procedures. The Highly Erodible Land Conservation and Wetland Conservation Certification form is available at local USDA service centers or online at www.fsa.usda. gov/AD1026form.


8

MAY 20, 2015

IOWA FARM BUREAU SPOKESMAN

More focus on labels, but shoppers value price and taste Farm Bureau Food & Farm Index also shows farmers are trusted for food safety information More Iowa shoppers are paying attention to food labels than in the past, but price and taste are still driving food-buying decisions at the grocery store, according to the latest Iowa Farm Bureau (IFBF) Food & Farm Index® released last week. The survey, completed earlier this year by Harris Poll, showed that 82 percent of Iowa grocery store shoppers say they pay atten-

tion to labels. That compares with 68 percent who said they watched labels in a similar Food and Farm Index survey taken in 2013. The most recent poll also showed: • Farmers, followed closely by dieticians and nutritionists, continue to be the most trusted sources for information about food safety. Farmers were ranked as one of the top three sources by 45 percent of the grocery shoppers polled, while dieticians/nutritionists were cited in the top three by 43 percent. • With the warmer weather, beef continues to be a star protein

on the grill. The index shows that four in five Iowa grocery shoppers say they eat beef at least weekly. While more Iowa grocery shoppers are looking at labels, 78 percent say that price remains the driving factor for the meat and poultry products they buy. The price factor in buying decisions was followed closely by taste, at 74 percent. Safety is on the minds of Iowa grocery shoppers who are reading labels, with one-half thinking a “raised hormone-free” or “raised antibiotic-free” label means the food choice is safer, while a “raised in the U.S.” label

seems safer to 44 percent of Iowa grocery shoppers and 37 percent think “raised organically” labels mean a product is safer, the Food & Farm Index showed. Of the grocery shoppers who are paying attention to labels, price still matters, with three in five Iowans saying they would not pay more for beef products with an “antibiotic-free” label if it costs significantly more.

More information helps In addition, shoppers noted that having additional information on the labels can help alleviate safety concerns. For example, of the grocery

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shoppers who had concerns about “antibiotic-free labels,” 76 percent say additional facts would help alleviate their concern about antibiotic use in livestock production. “We know information has the potential to influence consumer choices in the grocery store,” said Ruth MacDonald, Iowa State University professor and chair of Food Science and Human Nutrition and national speaker on food science issues. “For example, 67 percent of those surveyed think a ‘raised naturally’ label ‘means something,’ when in fact, it is not a term recognized or regulated by the Food and Drug Administration (FDA),” she said. The survey shows around onehalf (47 percent) of those who expressed concerns about antibiotics say they feel better knowing that meat processed in the U.S. and sold to grocery stores and restaurants is routinely tested by the government agencies, the U.S. Department of Agriculture (USDA) and the Food and Drug Administration (FDA), to ensure no antibiotic residue is present and that antibiotic residue is illegal in meat. Also, learning that any antibiotics used for livestock require FDA approval and must be rigorously tested and proven safe alleviates concerns for 46 percent of those who expressed concern about antibiotics.

Strict antibiotic rules

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GOOS IMPLEMENT LTD. GLADBROOK 800-542-3591 www.goosimplement.com PLANTERS 3-White 8816 Planter White 8712 12-30 3-pt like new White 8222 12-30 White 8186 16-30 TILLAGE ‘08 Sunflower 1435-29 Finisher Sunflower 6630-27 VT Sunflower 5035 28’ Disc ‘12 Landoll 9650-50 Landoll 7431-26’ VT ‘13 JD 2310 Finisher JD 2310 46ft JD 512 9 shk Disc Ripper M&W 2200F 7 Shk Earthmaster NEW ‘13 MF 7622 Loaded AGCO Massey Tractors McCormick Tractors and Compacts AGCO White 9000 Planters 16 CF

ROBINSON IMPLEMENT INC. IRWIN 712-782-3171 TRACTORS ‘13 Fendt 933 Vario MFWD 1210 Hrs ‘00 JD 8110 8120 hrs 4WD ‘11 Versatile 435 4WD, 1265 hrs ‘12 NH T8.360 MFWD 1064Hrs ‘2012 MF 7495 CVT MFWD 500 Hrs ‘10 DT205B 1564 hrs, MFWD ‘12 CIH 235 Mag. MFWD 670 hrs ‘04 CIH MX210 4837hrs MFWD ‘08 JD 8430, 2679 hrs ‘98 White 8510 MFWD TILLAGE & PLANTERS 2008 White 8824 24 30” Row ‘99 White 6222 SunFlower 6432-36’ Land Finisher COMBINES ‘03 Gleaner R65 2774E/1935S hrs ‘03 Gleaner R75 4206E/3075S hrs ‘03 Gleaner R75 2557E/1939S hrs MISC ‘04 New Idea 5410 Disc Mower

MORNING SUN FARM IMPL., INC. MORNING SUN 319-868-7586 www.msfarmimp.com ‘13 White 8816 16r30F, boxes .............$92,000 ‘13 White 8816 16r30F, boxes, fert......$96,800 ‘02 White 8342 13r15F, no till, fert......$45,000 ‘06 White 8222 Flex..............................$42,500 ‘03 White 8186 16r30 planter ..............$45,500 White 6531 31r15” hyd dr. planter ......$35,000 ‘00 White 6186 16r, boxes, row clnrs ..$35,000 ‘93 White 6186, 16r30, fert ..................$19,000 ‘13 Land Pride RCM5615 batwing .....$13,500 ‘13 Hesston 1372 12’ bar moco ...........$22,500 ‘12 Woods BW180 batwing, Like New $11,500 ‘11 J&F 2800 9’3” bar disc mower .......$6,500 ‘06 Land Pride RCM3515 batwing .......$7,500 ‘05 NH 499 12’ bar hydra swing moco$14,000 JD 517 batwing........................................$6,500 ‘02 MF 8270, duals, 2643 hrs ..............$75,000 ‘98 MF 8160 MFD, 3941 hrs ...............$63,500 ‘79 MF 255 Tractor, 800 hrs...................$7,500 Kubota M4950DT w/loader, 50 hp .... $10,500 ’94 Case 1845C skid steer ....................$14,000

HELLE FARM EQUIPMENT DYERSVILLE 563-875-7154 www.hellefarmequipment.com IH 950 8R36, insecticide JD 1760 12R30, ‘05, 3bu, JD 1760 12R30, 2bu Kinze 2210 8R36, ‘98, insecticide White 6242 12R30-13R15 White 5100 12R30 MF 596 Cab, MFD Case 2290, cab AC 7060, cab AC 200 AC D17 III, NF AC B AC Sicklebar mower New Holland L225 New Holland L220 pilot MF 7622, NEW

KRUSEMAN IMPLEMENT Sully 641-594-3702 krusemanimplement.com USED HAY EQUIPMENT

Gehl 2340 Discbine Kuhn SR108 Wheel Rake NH H7450 13’ Discbine JD 1209 Mower Cond. Bush Hog 2815 15’ Batwing Mower NH 310 Sq. Baler w/thrower 3 - Bale Wagons USED TILLAGE

‘12 Sunflower 1234-27 Disc ‘12 Sunflower 6630-29 VT DMI 50’ TigerMate II CIH 330 34 Vertical Till DMI 44’ TigerMate II ‘10 Krause TL6200-45’ Finisher USED TRACTORS

Precision Land Management Products For All Makes Of Planters

‘13 NH T8 390 ‘11 AGCO RT155A ‘10 New Holland T8010 Low Hrs

For great buys on new and used equipment see your area AGCO White Planter dealer.

DEIKE IMPLEMENT WAVERLY 319-352-3731 www.deikeimplement.com

To advertise in this space, call 1-800-442-FARM

JD 331 22’ Disc, double fold Sunflower 1544 45 disc, 2008 JD 2310 30’ Finisher, Harrow Sunflower 4511-11 D-C-D JD 2210 36’ F.Cult, Harrow Glencoe 4300 15’ Finisher TopAir TA112, 60’ Raven White 8524 24-30, Central Fill JD 510 Disc Ripper - Disc White 8186 16-30” TW White 8222 12-30 Flex White 6186, 16-30, TW White 6100 12-30, Liq. Fert. Kubota RTV1100 231 Hrs Kubota RTV 900, 94 Hrs Bobcats 773G, 753G, 542B JD 4475, Cab, Heater Demo Kubota B26 Tractor, Loader, Backhoe, 3 pt, PTO

The index showed that 36 percent of respondents feel better that farmers have to follow FDA rules and adhere to strict withdrawal times when using antibiotics for food chain animals. Also, finding out that farmers work with veterinarians to administer antibiotics only when livestock need it helps alleviate concerns for 32 percent of Iowan grocery shoppers. Dr. Tom Burkgren, executive director of the American Association of Swine Veter­in­arians, said many layers of safety protocols at livestock processing facilities work to ensure food safety. Farmers are also a big part in ensuring a safe food supply, Burkgren said. “Every livestock farmer today must work hand-inhand with veterinarians to ensure that an animal gets the right drug, at the right dosage, for the right duration, and that the drug is withdrawn in sufficient time before harvest,” he said. The results of the Food & Farm Index show that farmers have an opportunity to continue reaching out to consumers to help them understand how food is raised and the diverse choices consumers enjoy today, said Craig Hill., IFBF president. “That’s why IFBF engages in campaigns like ANF (America Needs Farmers), Farm Strong, Farmers Feed Us and many more to help connect farmers to consumers,” Hill said. “As trusted sources of food safety, I encourage each farmer to take the time to explain more about the care they take to grow safe, healthy food.” The Iowa Farm Bureau Food & Farm Index is a semi-annual survey of Iowa grocery shoppers to identify the factors driving their food purchases. The survey included Iowa residents between 20 and 60 years old who have primary or shared responsibility for household grocery shopping. A total of 506 such respondents were interviewed online for this latest wave of research.


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