Traveling Abroad Gives Farmers an Appreciation for Ohio Agriculture
Page 9
Consider this farming scenario. Environment is semi-arid or arid, total yearly rain fall is anywhere from less than an inch to just over 30 inches and half of all agriculture land is under irrigation. For some, farming in these conditions seems impossible, but for others, including farmers in Israel, it is a way of life.
Soybean Checkoff Paying Off in A Big Way
Page 12
Success comes in many different ways. For the Ohio Soybean Council and the soybean checkoff, recent success came in the form of $25,000 when OSC was awarded it’s first-ever royalty check for the checkoff funded development of soy-based toner.
Brazil: South American Power Shows Signs of Struggle
Page 14
Brian Willott, 33, grew up on a corn and soybean farm outside of St. Louis. He dreamed of one day having his own farming operation. The years passed by, and Willott progressed through his undergraduate and graduate education, eventually landing a job as an economist at the University of Missouri.
Pushing Soy – New Export Entity Works to Sell More Beans
Page 16
Almost every other row of soybeans planted in the United States is exported. This past year alone, the United States exported a record 1.1 billion bushels of soybeans. To build on these impressive numbers, the United Soybean Board and the American Soybean Association formed the United States Soybean Export Council.
ABOUT THE COVER
For over 10 years, the Ohio Soybean Council (OSC) and the soybean checkoff have invested in research and development projects at Battelle to find new uses for soybeans. This decade of investments recently paid off when OSC and the soybean checkoff received their first-ever royalty check in the amount of $25,000 for the development of soy-based toner. Read more on page 12.
To-Do ListWithEpic be home intimefor dinner spendtime withthefamily tgofishing akea weekofftackleyour “honey-do”list loseyour “honey-do”list sleepbetter
Epic gives you higher yield while saving you time.
We know which list we’d choose.
• Manage weed resistance concerns
• Early-season yield protection
• Provides control/suppression of 20 grasses including foxtails, goosegrass, barnyardgrass, crabgrass and more!
• Provides control/suppression of 36 broadleaves including pigweeds, lambsquarters, kochia, common ragweed and more!
• Weatherproofs timing on POST application
OUTLOOK
MESSAGE FROM THE CHAIRMAN
Ohio Soybean Association
4625 Morse Road, Ste. 101 Columbus, Ohio 43230
614-476-3100
614-476-9576 fax 1-888-SoyOhio (769-6446)
MODERN CONVENIENCES Offer More Variety
Ilearned to drive a 1967 Chevy pickup. It was a wonderful truck, but it lacked many modern features. A carbureted six cylinder engine powered the two-wheel drive truck. Shifting was accomplished with a manual column shifter. Cranks opened the windows. Doors locked mechanically. Many early mornings I rolled down a side window to stick my head out because the rear window and mirrors were frost covered. Chevrolet did not even include a rear bumper.
Contrast that with my current pickup. The four-wheel drive truck is powered with an eight cylinder, fuel-injected engine hooked to an automatic transmission. Clutching is history! Electric windows and electric door locks replace manual operation. A key fob unlocks doors and activates interior lights from 20 feet away. Cruise control maintains a constant speed while intermittent wipers clean the windows. Heated mirrors and rear window defroster remove any frost. While driving, I listen to stereo CD music while sitting on a cloth seat in air-conditioned comfort. Chevrolet included a towing bumper. Technology and convenience surrounds us. Changes in pickups are one example. Another is striking advancements in seed technologies. United States farmers rapidly accepted the technology and convenience of Roundup Ready soybean seed. In just nine years, over 90 percent of all U.S soybeans planted have this technology. No single practice, supplier or technology reached a 90 percent penetration with hybrid corn, which was introduced in the 1930s. Just as Chevrolet added convenience
with technology, modern seed suppliers add convenience with their innovations. There are other examples. Today, many producers are planting corn varieties with combinations or stacked genes. The future will bring soybeans with improved nutrition, ability to fight disease and pests and drought tolerance. Corn will be improved for ethanol production and N-utilization. These same crops could weather an extended summer dry period with a drought resistant gene. Arguments can be made against this sort of technology. Some argue it makes us dependent on the technology supplier, interferes with international markets and hurts smaller farmers. I can easily argue I would be better off without the convenience of my TV remote. However, I always watch TV with the remote close.
Just as Chevrolet still sells a basic work truck to price conscious buyers, farmers may purchase non-technology seeds. Often, premium markets exist for traditional grains. However, technology adaptation has resulted in new opportunities for producers. As a farmer, you have a myriad of options when selecting your pickup. You also have the opportunity to select seed appropriate for your needs. In the future farmers, suppliers and buyers must work together to constantly improve our product because “farming matters.”
Robinson W. Joslin
Ohio Soybean Association Chairman Shelby County Soybean Farmer
President
Jeff Sollars, Fayette County
Chairman
Rob Joslin, Shelby County
Vice President Membership
Mark Watkins, Hardin County
Vice President Programs
Joe Sheaffer, Wyandot County Secretary
Sam Shuey, Clark County
Treasurer
Jeff Wuebker, Darke County Trustees
Bill Agle, Clark County
Brett Davis, Delaware County
Dave Dotterer, Wayne County
Mike Heffelfinger, Van Wert County
Kevin Homan, Henry County
Ed Lamalie, Sandusky County
Lyle McKanna, Putnam County
Clark Myers, Mahoning County
Dale Shawk, Crawford County
Bob Slicker, Stark County
Joe Steiner, Warren County
AMERICAN SOYBEAN ASSOCIATION DIRECTORS
Rob Joslin, Shelby County
Joe Steiner, Warren County
Mark Watkins, Hardin County Industry Affiliates
Kathy Alvarez, Bunge NA
Jim Beuerlein, The Ohio State University
Andrea Guckes, Cargill Inc.
Katy Poth, Ohio Department of Agriculture
Don Ralph, Ohio Farm Bureau Federation
Staff Credits
John Lumpe and Kirk Leeds....Publisher
Ann Clinton Millsap....Editor
Jamie Mossbarger....Editorial Manager
Shelby J. Ostrander....Art Director
Gary Usovsky....Art Director
Kelly Mescher....Staff Writer
David Larson....Sales Director
The Ohio Soybean Review is published four times a year by the Ohio Soybean Association in partnership with the Iowa Soybean Association. For address corrections contact the Ohio Soybean Review 4554 NW 114th Street
Urbandale, Iowa 50322-5410
Phone: (515) 251-8640
E-mail: sheath@iasoybeans.com
For advertising information in the Ohio Soybean Review, please contact Larson Enterprises, (515) 440-2810, or larson6@mchsi.com
To contact the editor e-mail: aclinton@iasoybeans.com
Comments and statewide news articles should be sent to the above address. Advertising space reservations must be made by the first day of the month preceding publication. In consideration of the acceptance of the advertisement, the agency and the advertiser must, in respect of the contents of the advertisement, indemnify and save the publisher harmless against any expense arising from claims or actions against the publisher because of the publication of the content of the advertisement.
Domain gives you higher yield while saving you time.
We know which list we’d choose.
• Manage weed resistance concerns
• Early-season yield protection
• Provides control/suppression of 10 grasses including foxtails, goosegrass, barnyardgrass, crabgrass and more!
• Provides control/suppression of 32 broadleaves!
• Weatherproofs timing on POST application.
OHIO SOYBEAN FARMER LEADERS Make Visits to Capitol Hill
by Jamie Mossbarger
While in Washington D.C., Dave Dotterer Ohio Soybean Association board member and Wayne County soybean farmer completed the final phase of the Syngenta sponsored Leadership At Its Best program. The two phase program is coordinated by ASA and focuses on leadership development, media training and public speaking and how to effectively make an impact when lobbying in the legislative arena. From left to right: Jeff Sollars (OSA President), Dave Dotterer, John Lumpe (OSA Executive Director). Back row – Bret Davis (OSA board member).
In conjunction with the national meeting of the American Soybean Association (ASA), Ohio Soybean Association (OSA) volunteer farmer leaders recently made visits to Capitol Hill and met with members of Ohio’s congressional delegation to discuss top priority issues impacting the soybean industry. This visit is the first of two trips, with the later one taking place in July.
Topics among discussion with both Senate and House members include:
• Opposition to the Administration’s proposed 5 percent budget cut to farm programs and reduced payment limitations.
• Support for appropriations relative to the soybean industry, including
but not limited to: soybean research, soybean rust monitoring, CCC Bioenergy Program and conservation.
• Extension of the biodiesel tax incentive beyond 2008.
• Transportation and infrastructure including support for the Water Resource Development Act that makes improvements along the Mississippi and Illinois Rivers.
• Support for maintaining overall level of support provided by the 2002 Farm Bill to ensure an adequate safety net.
• Encouragement for a positive outcome in the World Trade Organization negotiations that would result in commercially meaningful market access gains for soy, poultry and
Ohio Soybean Association volunteer farmer leaders that met with Ohio’s congressional delegation include: front row (L to R) – Lyle McKanna (Putnam County), Mark Watkins (Hardin County). Second row (L to R)
– Joe Steiner (Warren County), Rob Joslin (Shelby County), Jeff Sollars (Fayette County).
Back row (L to R) – Don Ralph (Marion County), Dave Dotterer (Wayne County) and Bret Davis (Delaware County).
Bret Davis and Joe Steiner met with a representative from Senator Voinovich’s office and encouraged him to support the Alternative Energy Extender Act which would extend the biodiesel tax credit beyond 2008.
livestock products in both developed and developing countries.
• Support for full funding of the Conservation Security Program and the Environmental Quality Incentives Program.
• Continued support of the Federal Bio-Based Products Preferred Procurement Program initiated in the 2002 Farm Bill that establishes preferred purchase status for bio-based products across all Federal government agencies.
OSA Supports Livestock Industry With Campaign Contribution
Animal activist have recently set their sites on Arizona as the next battleground in their crusade against the meat industry. The Humane Society of the United States, Farm Sanctuary, Arizona Humane Society and the Animal Defense League of Arizona have taken the first steps to place a legislative initiative before Arizona voters next year that would outlaw the use of gestation stalls and farrowing stalls. If approved, the initiative would drastically impact the housing of countless animals and the livelihoods of many farmers.
The group, which calls itself Arizonians for Humane Farms, has established a campaign organization with the goal of collecting 200,000 signatures of Arizona voters by July 6 in order to place their anti-meat agenda on the November 2006 general election ballot.
It has been noted by political insiders in Arizona that they expect them to be
In order to have an adequate domestic source of meat we need a strong animal agriculture industry in the United States. Soybean meal is the most efficient way to put on a pound to gain — we need it to feed our cattle. After all, 94 % of all soybean meal is used to feed livestock and poultry.
Sam Shuey Clark County Soybean farmer and livestock producer
successful in getting this initiative on the ballot.
In an effort to combat this issue, the Arizona agriculture community has joined forces to stand up to the activities and has committed themselves through an investment of time and money to beating back this assault and stopping these activities before they can set their sites on other agriculture states.
Realizing the importance of animal agriculture to both Ohio and across the nation, the Ohio Soybean Association (OSA) has joined in this combative effort by making a donation of $5,000 to help defeat this issue. This contribution will actually generate $15,000 after the National Pork Producers Council makes its 2-for-1 match.
During the American Soybean Association’s resolution session at Commodity Classic in March, delegates expressed support for the efforts of the U.S. pork industry and the Campaign for Arizona Farmers and Ranchers.
To learn more about animal agriculture or for more information on other soybean related issues, visit www.soyohio.org.
“As a soybean farmer and owner of a hog operation, it is important to support the efforts of the Arizona Farmers and Ranchers campaign. When you realize the seriousness of such an issue and the impact and devastation it could potentially have on animal agriculture both in Arizona and across the nation, it makes the reality of it all hit a little closer to home. I along with OSA fully support this initiative.”
- Mark Watkins, Hardin County
For more information on this issue visit www.azfarmersranchers.com
Supporting Animal Agriculture in Ohio Supports You
Animal agriculture consumes 94% of U.S. soybean meal
As both a soybean farmer and livestock producer, I realize the importance animal agriculture plays in the success of my farming operation and therefore I support this important industry – you should too! In Ohio, supporting animal agriculture supports you. Did you know.
• Animal agriculture in Ohio uses 705,000 tons of soybean meal annually and employs 39,800 people.
• Animal agriculture brings in $733 million in revenue and an additional $229 million in taxes that supports our local emergency services, pays for our schools and builds our libraries.
• The Ohio Soybean Council and the soybean checkoff help fund the Ohio Livestock Coalition to represent the interests of commodity and livestock producers throughout the state.
TRAVELING ABROAD Gives Farmers an Appreciation for Ohio Agriculture
by Jamie Mossbarger
The Ohio Soybean Council was represented during discussions of trade possibilities with Solbar Industries. Pictured (from L to R) – Mati Ariav, Solbar – V.P. Business Development; Trevor Meredith, Solbar – Chief Technologist; Dan Corcoran, OSC Vice Chairman and Pike County soybean farmer and John Motter, OSC board member and Hancock County soybean farmer.
Consider this farming scenario. Environment is semi-arid or arid, total yearly rain fall is anywhere from less than an inch to just over 30 inches and half of all agriculture land is under irrigation.
For some, farming in these conditions seems impossible, but for others, including farmers in Israel, it is a way of life. On a recent trip to Israel, John Motter and Dan Corcoran, two Ohio Soybean Council (OSC) volunteer farmer leaders experienced Israel agriculture with Ohio Department of Agriculture (ODA) Director Fred Dailey and other Ohio farmers and industry representatives as part of a farmer-tofarmer mission conducted by ODA.
While there, the group met with Israeli farmers, visited agricultural communities, and discussed trade opportunities with government officials. Representatives of Solbar
Industries, a manufacturer of a wide variety of soy proteins, were among those in which opportunities for trade were discussed.
Known to many as an arid country, Israel is about one-quarter the size of Ohio with a population of almost seven million. And while there is limited space and resources, the country still manages to feed their populace, all while serving as an export of food and being globally known for horticulture, aquaculture and drip-irrigation systems.
“Under Israel conditions, there is a lot of ground here we would not be farming in Ohio,” says Motter.
Israel’s climate, together with extensive greenhouse production, enables production of vegetables, fruit and flowers during the winter off-season.
Much of Israel’s agriculture is based on cooperative settlements which were
Fish farming in the desert provides a long-term solution to the problem of increasing fish production in a small country with limited water resources.
Lack of water is a major constraint in Israeli agriculture and irrigation is a must. Innovative technologies and accessories have been developed by the irrigation equipment industry.
developed in the early 20th century. The two main settlements account for 83 percent of the country’s agriculture produce; including the kibbutz and moshav. The kibbutz is a large collective production unit where the members jointly own the means of production and share social, cultural and economic activities. The moshav is based on individuals family farms yet organized as a cooperative society.
“Farmers in Israel are just like farmers in Ohio,” says Corcoran. “They are good people and just want to do their best and take pride in what they do. And the fact that the country seems to be dedicated to agriculture and being as self sustaining as they can be because they are in the desert, is impressive.”
This is an Ohio chicken. Every year she and others like her eat 10,778,000 bushels of Ohio soybeans.
This generates $55 million of revenue for Ohio soybean farmers.
Support your profits by supporting Ohio livestock and poultry producers.
Governor Taft Champions Soy Biodiesel in Celebration of Ag Day
As part of the Ag Day celebration, the Ohio Soybean Council and Nexsol Biodiesel, unveiled the Cincinnati METRO transit bus that will carry the soy biodiesel message of “From the Farm to Your Fuel Tank” throughout the streets of Cincinnati. This bus is part of Cincinnati’s transit fleet that runs their buses on soy biodiesel, allowing their 22 million commuters to breathe cleaner air.
by Jamie Mossbarger
Across the nation, efforts are taking place to help reduce U.S. dependence on foreign oil. The President has made biofuels a policy priority in his energy plan, auto manufacturers have extended warranties on engines that use renewable fuels and households all across America have been in-tune to television ad campaigns focused on American made fuels.
Soy biodiesel, a cleaner burning, renewable alternative fuel made from soybean oil ranks among one of the top energy sources that supports these nationwide efforts. And locally, Ohio has its own champion of soy biodiesel. Governor Bob Taft joined Ohio farmers as a supporter of soy biodiesel and Ohio agriculture during an Ag Day event at Peter Cremer North America, Ohio’s largest soy biodiesel production facility.
“We are proud to be home to the single largest soy biodiesel production
plant in Ohio,” says Taft. “This is a great place to celebrate Ag Day and soy biodiesel is the best way to reduce our dependence on foreign oil.”
During the day, Ohio Soybean Council Chairman Amy Sigg Davis and other Ag Day participants joined Taft on a tour of the biodiesel plant, which has the capacity to produce 30 million gallons of soy biodiesel a year, 10 percent of the entire U.S. production.
According to Mack Findlay, North America sales manager for Peter Cremer North America, this past year the plant produced 15 million gallons of soy biodiesel, and plans to double that to reach capacity in the coming year.
“As a soybean farmer, to say I am excited about the advancements of soy biodiesel would be an understatement,” Davis says. “As consumers, we have certainly seen an increased focus on alternative energy sources from auto manufacturers and other industry representatives. And we are aware that alternative fuels including soy biodiesel and ethanol are included in the
President’s energy plan. I can see nothing but a bright future for soy biodiesel, the nation’s farmers, our economy and the environment.”
The Ohio Soybean Council, with funding from the soybean checkoff, continues to make soy biodiesel a strategic priority in promoting the use of the fuel among diesel uses across the state.
In support of soy biodiesel, Governor Taft is shown filling up the Cincinnati METRO bus that will promote soy biodiesel throughout the city.
SOYBEAN CHECKOFF
Paying Off in A Big Way
by Jamie Mossbarger
Success comes in many different ways. For the Ohio Soybean Council (OSC) and the soybean checkoff, recent success came when OSC was awarded it’s first-ever royalty check in the amount of $25,000 for the development soy-based toner.
Over the years and in cooperation with the research and new use development work at Columbus based Battelle, a global science and technology enterprise that develops and commercializes technology, the soybean checkoff has funded the development of soy-based toner.
“This patented technology solidifies our role as a developer of new soy based products,” said OSC New Uses Committee Chairman and Van Wert County soybean farmer Dale Profit. “I would like to commend Battelle for all their hard work in the research and development of this product and for making the soybean industry such a high priority in their field of research.”
While this is the biggest commercial success to come out of this project, it is not the only time soy-based toner has received recognition. In 2003, OSC and Battelle received an R&D 100 Innovation Award for this invention. Given by R&D (Research and Development) Magazine, each year, the awards recognize the most significant and technological achievements for the current year.
“The joint effort between the Ohio Soybean Council and Battelle of developing value added products to benefit the soybean industry has been tremendous and has allowed us to generate a portfolio of soy products at various stages id development with soy toner, said Bhima Vijayendran, Senior Research Leader, Vice President
During an OSC New Uses Committee meeting at Battelle, committee chairman Dale Profit (center) accepted the $25,000 royalty check on behalf of OSC and the soybean checkoff. Pictured (L to R): Herman Beneke, Battelle; Bhima Vijayendran, Battelle; Mike Clark, OSC and Warren County soybean farmer; Amy Sigg Davis, OSC chairman and Warren County soybean farmer; Profit; Allen Armstrong, OSC secretary and Clark County soybean farmer; David Black, OSC and Franklin County soybean farmer; Tom Fontana, OSC Director, New Use Developments; Bill Coppess, OSC and Darke County soybean farmer; John Lumpe, OSC executive director.
of Technology Commercialization of Battelle’s Advanced Materials Applications Group. “This relationship and finally this commercialization have been gratifying and I look forward to future commercialized projects.”
In August at the World Expo in Las Vegas, soy-based toner will be introduced into the market place by Advanced Image Resources L.L.C.
“We believe that the time for soybased toner has arrived, said Steve Perry, Executive Vice President of Advanced Image Resource. Soy-based toner technology has many advantages that will benefit a broad spectrum of economic and social interests. Soy-based toners can produce outstanding image quality and promotes recycling. Perhaps more importantly, unlike carbon-based toner, is manufactured using economical,
readily available and renewable raw materials.”
Soy-based toner can be used in printers, copy and fax machines and has the potential to make a big splash in the marketplace.
Each year 3 trillion tons of papers are ran through copiers and printers. Deinking the copier and printer paper for recycling is a big task. Petroleumbased toner is presently used. However, it is tough to remove this toner from the paper. The soy-based toners react easier with the deinking chemicals.
Along with being environmentally friendly, soy-based toners produce cleaner, brighter pulp and eventually less expensive recycled paper.
And even more importantly, “soybased toners represent a 20-million bushel market potential for soybeans, said Profit.”
Slug Research
Benefits from Soybean Checkoff
By Candace Pollock, The Ohio State University
The first signs of slug activity and feeding in crop fields is correlated with the size of the juveniles, according to Ohio State University entomology research.
With funding from the Ohio Soybean Council through the soybean checkoff, Ohio Agricultural Research and Development entomologist Ron Hammond and his colleagues have found that slugs don’t begin feeding until they reach about 20 milligrams in size. It isn’t until they are 30 milligrams, on average, when damage is noticeable enough to begin treatment.
In addition, slugs don’t reach feeding size for about a week and a half to two weeks after hatching, developing first in southern Ohio, followed by development in more northern counties. In southern Ohio, slugs begin hatching the end of April, first part of May. In Ohio’s more northern areas, slugs begin hatching by the third to fourth week of May.
“The basis of the research is that if we can predict, based on the location in the state when eggs will hatch, how much time passes before the slugs grow large enough to begin feeding, and match that up with weather conditions and planting times, we think we can come up with some good recommendations on when growers should be treating,” says Hammond.
Knowing how soon after hatching slugs will begin feeding throughout parts of Ohio reinforces the most important aspect of slug management: The earlier the crop is planted, the better its chances are for outgrowing any slug damage.
“If we are following the size of the juveniles and when we should start to
Soybean checkoff funded slug research at The Ohio State University enables researches to determine when slugs are likely to feed on soybean plants and, therefore, allows for timely information regarding treatments to be communicated to soybean farmers.
see feeding, we can better relate that to how well the crop is growing. In times of good weather, the crop could potentially outgrow any slug damage, especially if planted early,” says Hammond. “On the other hand, if the crop is planted late, at or around the time those juveniles hit that size for feeding, then the crop could be in a lot more trouble.”
The field research, which has been ongoing since last spring, is helping researchers develop a detailed Integrated Pest Management program for growers to complement any needed molluscicide treatments. Researchers plan to collect one more year of data.
The juvenile stage of the slug creates the most damage to crops and its
voracious appetite and large densities can be devastating for farmers who have had a history of slug problems. Slugs will feed on anything that is planted in the field, whether it’s corn, soybeans or alfalfa. Slug feeding can cause significant reductions in corn yields and total stand loss in soybeans.
Slugs are most problematic in no-till fields. Tillage tends to bury eggs deep in the soil, thereby helping to keep slug populations low. Such a scenario does not exist in no-till, where the idea is to leave soil residue undisturbed for added production benefits, for carbon storage and to keep soil erosion at a minimum.
Brazil
South American Power Shows Signs of Struggle
by Kelly Mescher
Brian Willott, 33, grew up on a corn and soybean farm outside of St. Louis. He dreamed of one day having his own farming operation. The years passed by, and Willott progressed through his undergraduate and graduate education, eventually landing a job as an economist at the University of Missouri.
However, he couldn’t seem to shake those farming dreams. But he knew that time wouldn’t wait forever for Willott to make up his mind.
“When I reached about 30, I thought, well, if I’m ever going to become a farmer, I better start now,” Willott says. “I figured if I were to farm I would start in Brazil. It’s so hard to get started in the U.S.”
Willott decided that the time was ripe to make the leap. His philosophy: “Once you have a family and car payments, you can’t all of a sudden pick up and go to Brazil. If I go to Brazil and completely fail, I can come back to the U.S. when I’m 40-years old and still be OK.”
And that’s just what he did. He moved to the state of Bahia in Northeastern Brazil with the intent to raise coffee through a group of investors. But shortly thereafter, the coffee prices quickly went south, plunging to a 30-year low, Willott says.
So he switched to soybeans. Willott had heard the hype about Brazilian soybean production, and expected to easily start up in soybeans instead of coffee. What he didn’t expect, however, was to see farmers dropping like flies out of agriculture.
“Yes, it’s happening,” Willott confirms. “I just last week looked at a farm for rent – 10,000 acres. It’s all one big field. It’s just sitting there…right now it’s growing up in weeds. The owners said there was no way they could make a profit this year, so they said they were just going to let it sit.
“There is land down here that’s land for sale or for rent that nobody is going to plant this year,” Willott continues. “Maybe they could have gotten a loan. But they just looked at a spreadsheet
and said, ‘Why bother?’. It’s hurting our whole community. Actually, progress in town has slowed down.”
When Willott first arrived in Brazil, he describes the atmosphere as “the dotcom boom of agriculture.”
“Land prices were going up sharply at the time,” Willott says, describing the buzz and excitement. “People made a profit even with poor crops….People were talking about creating new towns and new roads.”
But that’s drastically changed within the past year or two.
“Right now, people are a lot more cautious. Progress has definitely slowed down, and I’m told the rest of Brazil has it a low worse than Bahia. Cotton acreage might be down 30 to 40 percent. That’s major.”
So what’s the major source of problems for Brazilian farmers?
“The majority of drop in net income in Brazil was caused by, number one – the drought; number two – the exchange rate; number three – increased problems.”
After strong harvests in 2003 and 2004, the problems began erupting within the past year, Willott says.
“What’s happened this year is the exchange rate that’s really punished people so much. The U.S. dollar has been so weak, and the [Brazilian] real has been so strong. Internationally, the soybean prices are pretty good. When you translate that into local currency here, it can be a pretty good loss.”
And that is affecting farmers’ ability to purchase the much needed seed, fertilizers and other management necessities. In fact, input companies last year told farmers they could pay for products after the harvest. This year, farmers must transfer the money first – then the product will be delivered.
“A lot of people, because they don’t have the capitol, they have cut back to the point that we know it’s going to hurt yield…they couldn’t get approved for enough credit for all the inputs they wanted,” Willott says. “And when you
can’t get approved, what are you going to do? You have to do the best you can, and that’s what we see happening.”
“Some people aren’t using fertilizer, they are using cheap seed, cheap herbicide, trying to get by with less. There’s a lot more risk in it this year than there was last year.”
So what does the future hold for soybean production in Brazil?
“I think there’s going to be more land for sale next year. When I first got here in 2003, there was people who got wiped out by rust, and those who didn’t have the capitol or knowhow to get it had to try and sell. We’re doing kind of the same thing now. Those with the deepest pockets will survive and will be around for another year.
“In another year, I think there’s going to be some more land on the market, and farmers will be owing this bank and that bank. That’s how it goes here,” Willott concludes.
Signs of the Times
Farmers have been struggling to make a profit in Brazil, says Willott, a Missouri native who has been farming in Brazil since 2002. Signs of struggle?
“The guy I buy diesel from actually has some farm equipment for sale,” Willott says. “He got their equipment when they couldn’t pay their diesel bills. And that is different from the atmosphere that was going on when I arrived here.”
“I’m buying more machinery right now,” Willott continues. “There’s a John Deere dealer who has a whole line of machinery. I asked him, ‘How did you end up with all this machinery from one farm?’ The guy couldn’t pay his debts and he committed suicide.”
Getting loans in Brazil never used to be a problem in previous years, but banks and loan offices are now very stingy with loans, Willott adds. Many farmers can’t get the capitol they need so they must cut corners wherever they can.
People are mentally a little down about the farming slump, Willott says. “There’s definitely been some of the shine taken off the apple down here, since this crisis hit.
“This year, I would say the majority [of farmers] are not doing well. The net farm income might be off as much as 10 percent, but we know that the 2005 farm income is down, and because of the problems with last year’s crop and the lack of capitol have made it even harder for people to recover.”
Prices of land have fallen everywhere in Brazil, Willott adds. “When you see the price of land fall, that means things are bad.”
This farmland in Northeastern Brazil is growing up in weeds. The owners did not feel the return would be worth their time and investments in planting.
The Future of Brazilian Soybean Production
John Baize, consultant to the soybean industry, has an outsider’s perspective of Brazil.
“They’re in deep financial trouble,” Baize says. “They’ve got a strong currency, which means that with a weaker dollar, they get less of a local currency for what they sell. They’ve got very high transportation costs because the cost of energy is up and high interest rates for borrowed money. All of this comes together…[it’s] difficult circumstances, and so they’ve decided to cut back on plantings.”
Baize says Brazilian soybean acres are down 6 percent to 8 percent in 2005; fertilizer sales are down 17 percent; lime sales are down 30 percent, and fungicides are down 15 percent.
“I think Brazil has got deep trouble in the longer term,” Baize continues. “Some of the evidence I’ve seen is that their cost per bushel is as high as $6.50 per bushel because of high costs for fertilizer and lime and chemicals. Interest rates here are probably 7 to 8 percent – down there it’s over 30 percent. All of those factors are pinching the farmer pretty bad, and that’s why they’re cutting back.”
Opinions are meant to be disputed, though. Amelio Dall’Agnol, communications director at Embrapa Soja in Londrina, Brazil, does not think Brazil has long term problems. “If prices become attractive again, farmers will go back to soybeans, increasing the area.”
Pushing Soy
New Export Entity Works to Sell More Beans
Almost every other row of soybeans planted in the United States is exported. This past year alone, the United States exported a record 1.1 billion bushels of soybeans. To build on these impressive numbers, the United Soybean Board (USB) and the American Soybean Association (ASA) formed the United States Soybean Export Council (USSEC). USSEC will serve as the international marketing arm for U.S. soybeans, building preference and demand for soybeans worldwide – building on the more than 50 years of experience ASA and the soybean checkoff has amassed.
What is USSEC?
ASA and USB created USSEC to support an aggressive marketing presence around the world. In the face of a dynamically changing global soybean industry, farmerleaders of both ASA and USB determined that inviting industry participation and input would be beneficial to sustaining and expanding the success of their international marketing investments. USSEC will monitor and carry out nearly
$22 million in projects for U.S. soybean farmers and the U.S. Department of Agriculture’s Foreign Agricultural Service (FAS) on a matching funds basis. Headquartered in St. Louis, USSEC has offices in China, Mexico, Turkey, India, Taiwan, Japan, South Korea, and Singapore with over 125 representatives strategically positioned in over 80 nations.
In key target markets and industries, USSEC conducts market activities and provides technical assistance throughout the global soybean value chain. For example, USSEC representatives educate poultry, fish and livestock farmers all across the world about the efficiency and benefits of increasing soy inclusion in feed rations, as well as speak to global consumers about utilizing U.S. soy products such as soy flour, tofu and soy protein substitutes.
Who’s in USSEC?
USSEC was modeled after similar commodity boards that have shown success and is governed by a board of farmer-leaders from USB and ASA
as well as other soybean industry representatives. USSEC is governed by 19 board members. ASA and USB each appoint seven members, and the other five members are selected from within the state soybean boards and the soybean industry. USSEC is led by its Chief Executive Officer, Dan Duran, whose tenure began October 1, 2005.
“When I first took the position of CEO for USSEC, I came in openminded to many of the situations that were occurring within the soybean industry,” says Dan Duran, USSEC CEO. “I expected a lot of expertise from the USSEC board and staff and was well aware of the successes that ASA and USB had already accomplished and I wanted to help build on those. I wasn’t disappointed, the knowledge and level of experience in global issues among our board members is outstanding.”
What has USSEC Accomplished So Far?
In the past six months USSEC has worked to define itself within a global marketplace. The ASA International
Marketing division was already wellestablished in world markets like China, Japan, India and many others, making the name change a difficult project. To retain the relationships previously established by ASA, USSEC decided to keep the name of ASA-IM in the global marketplace and to use USSEC in domestic interactions.
“We have made in-roads into making fundamental changes on how we at USSEC communicate what we do in international marketing to our farmer-leaders and the general agricultural community,” says Duran. “There has been a need to fill the gap in understanding what is happening internationally to our customer’s markets and how they are being impacted by our competitors and global economic forces. On the other hand, there was also the need to ensure our global customers that they would continue to receive the same quality service they had always received from the U.S. soybean industry.”
For farmer-leaders here in the U.S. USSEC represents a unified soybean industry, reaching out together to the global marketplace to ensure their customers are getting exactly what they need from U.S. soybeans.
“International Marketing efforts that USSEC helps to perform are very important,” says Ken Dalenberg, USSEC treasurer and United Soybean Board director from Mansfield, Ill. “Around 45 percent of U.S. soybeans are sent overseas and this is a large part of the U.S. soybean economy. Without the work of USSEC and the international marketing efforts of USSEC our soybean prices would be much lower.”
What’s Next for USSEC?
In the next few months USSEC will continue to build upon their successful start with projects that focus on the value-add traits that U.S. soybeans can offer international customers.
“I feel confident in our efforts to educate our international customers on the value-added aspects of our soy products beyond crude protein and oil
levels,” says Duran. “There has been a significant amount of work done in the area of amino acids and we need to continue researching and growing that market platform.”
Other areas of interest for USSEC include the growing market for soy-based feed use in aquaculture. Soybean meal use in aquafeeds for this quickly expanding market has grown exponentially in the past 10 years. It is estimated that this market has the potential to utilize 472 million bushels of soybeans in the next decade.
“Fish have grown as a food source for people all around the world,” says Dalenberg. “Use of soy-based aquafeed in this market has really expanded because soybean meal is one-third the price of fishmeal, making soy a valuable alternative. We expect continued growth in this market as research in inclusion rates for different fish species continue to show more possibilities for the use of soybean meal in fish diets.”
Future of USSEC
As USSEC begins to establish its role in the soybean industry, its goal is to become known worldwide for marketing quality U.S. soybeans. USSEC wants both U.S. soybean farmers and the soybean industry to increase export markets and improved bottom lines, making it profitable for farmers to grow more soybeans.
“My number one priority, as a longterm goal for USSEC, is to add value to the core soybean product,” says Duran. “Our mission at USSEC is to ultimately bring a higher price for the soybean. We do that by being a marketing organization that develops programs and activities that best support and supply our customer’s needs.”
By building awareness of U.S. soybean quality, USSEC will continue to work for increased exports of U.S. soy.
For more information about USSEC call 800-408-4993 or e-mail: info@ussoyexports.org.
Board of
Richard Ostlie Norm Husa
Bob Metz
* Five additional board members among QSSBs, state soybean associations and/or soy industry representatives who join USSEC as members and are elected among themselves at a later date.
The Message is Clear: Ohio Needs Livestock and Poultry Farmers
Earlier this year, the Ohio Livestock Coalition (OLC) kicked-off its livestock industry image campaign, a collective effort of not only organizations that represent livestock and poultry farmers, but those that represent soybean growers as well. All involved are optimistic that the intended audience is getting the message – Ohio needs livestock and poultry farmers.
“It’s a message soybean farmers support with their check-off dollars, because they, too, believe that the story of partnership is the story of the future of Ohio, and the rest of the country, for that matter. And this is what we mean when we say Ohio needs livestock and poultry farmers,” says Amy Sigg Davis, chairman of the Ohio Soybean Council.
According to Tim Demland, OLC’s president, the campaign was developed and implemented for a variety of reasons with the main reason being that the livestock industry can no longer afford to sit idly by on the sidelines and let its significant contributions to Ohio’s economy be overlooked.
The campaign also places emphasis on the fact that grain farmers need livestock and poultry producers, and vice-versa. Livestock and poultry production is the original “value-added” enterprise for grain farmers. New figures just released by the U. S. Meat Export Federation show that for every one percent increase in beef and pork exports, an additional three million bushels of corn and soybeans are utilized.
“To me, if a farmer doesn’t understand the connection between grain and livestock, he better find
Livestock and Poultry… Over a Billion Dollar Industry
• Total economic value of Ohio’s livestock and poultry industry = $8 billion annually.
• Accounts for 47,000 jobs, more than one-third of the state’s total ag production and for one-sixth of the state’s total farm income.
• Processed food products account for 43 percent of the state’s food and ag output, and a significant portion of that comes from Ohio’s dairy farms and the more than 90 dairy processing plants.
another business,” said Randy Brown, who farms around 1,200 acres with his brother, Tom, in Wyandot County. “This is why we’re all behind this campaign, because we need each other to survive and prosper.”
Davis noted that farmers have always recognized the importance of their role as stewards of the land, air and water, but also need to remember their significant role as neighbors as well.
“Chances are if you are not a livestock or poultry farmer, your neighbor is,” says Davis. “This means one of your biggest customers is literally right next door. Livestock consume 94 percent of all soybean meal grown and produced in the United States. This figure is hard and fast and not debatable. It underscores the importance of the domestic animal agriculture industry to grain farmers’ bottom line.”
PHOTO COURTESY OF UNITED SOYBEAN BOARD/SOYBEAN CHECKOFF
by Dave White
Quality is the Name of the Game for SOY BIODIESEL
by Jamie Mossbarger
Quality is an important standard for nearly every marketable product and establishing and adhering to strict high quality standards is a must for those involved in producing and marketing soy biodiesel. That is why the Ohio Soybean Council (OSC), through funding from the soybean checkoff and in cooperation with Clean Fuels Ohio, is sponsoring a series of educational seminars for producers and marketers of soy biodiesel that will address the importance of quality as it relates to producing, handling and selling the alternative fuel.
A major focus of the seminars will be the BQ-9000 program – a cooperative and voluntary fuel quality program adopted by the National Biodiesel Board. Biodiesel producers will be introduced to the BQ9000 Producer Program and marketers will learn how to become a BQ-9000
Certified Marketer. Other topics include proper handling and blending of soy biodiesel, fleet usage and experienced biodiesel marketers and fleet operators will talk about their experiences with the fuel. The featured speaker will be Leland Tong, chairman of the National Biodiesel Accreditation Commission.
The program is a unique combination of the American Society for Testing and Materials (ASTM) specification for biodiesel and a quality systems program that includes storage, sampling, testing, blending, shipping, distribution and fuel management practices.
“The BQ-9000 program was developed to promote the commercial success and public acceptance of soy biodiesel by recognizing producers and marketers who demonstrate compliance with high quality standards,” says Tom Fontana, OSC director of new use
Ohio BQ-9000 Educational Seminars
Soy Biodiesel Producers and Marketers Welcome
Seminar I
When: June 6, 2006
Where: Der Dutchman Restaurant Plain City, Ohio
Time: Registration 8:00 a.m.
Program 9:00 a.m. – 2:00 p.m.
Seminar II
When: June 7, 2006
Where: Bowling Green State University Firelands Campus – Huron, Ohio
Time: Registration 8:00 a.m.
Program 9:00 a.m. – 2:00 p.m.
COST: $20 (pay by May 19), $30 (pay by June 2*)
REGISTRATION: (Information presented at each seminar will be the same)
To register call Clean Fuels Ohio at 614-292-5075 or send email to erika@cleanfuelsohio.org
*Lunch is not guaranteed for registrants after June 2.
developments. “The past year has been the break-out year of soy biodiesel demand, and with increasing production and higher volumes of fuel in the marketplace, fuel quality is a top priority for the industry.”
COTA Knows Quality
The Central Ohio Transit Authority (COTA) recently announced it’s running its fleet of 232 buses on soy biodiesel. COTA is unique in that it currently uses a B50 blend with plans to increase to B90 in the warm summer months.
From Jan. 15 to March 4, COTA used soy biodiesel in 10 to 33 buses as part of a pilot program. Over 60 days, fuel consumption was 1.5 percent better than diesel.
It is estimated that COTA will use 1 million gallons of soy biodiesel annually and the switch to the alternative fuel will save the transit company $400,000.
As reported in the Columbus Dispatch, Don Makarius, COTA’s director of vehicle maintenance and engineering said, “As we went longer, the cleaning action started taking place and the engine started running more efficiently.”
New Products Make it Easy to Add Soy to Diet
It is easy to think about how soyfoods can be part of your healthy lifestyle.
“Soyfoods possess many desirable nutritional qualities, collectively the effects of soyfoods intake on overall health is impressive,” says Mark Messina, a leading soy and nutrition health expert.
Soy nutrition experts point out that soy protein alone is not going to reduce cholesterol levels down to the target goal for those with clinically high cholesterol. Rather, they do point out that the inclusion of sufficient amounts of soy protein can reduce coronary heart disease at the population levels by as much as 10 percent – a decrease that can lead to a marked reduction in coronary heart disease morbidity and mortality, with a
notable effect on community health and related costs and benefits. Soy protein is still a very nutrient dense protein with no cholesterol!
It is exciting to see new product innovation continuing to take place with soy protein. 8th Continent is known for their soymilk in curvaceous bottles. Just recently they have changed their packaging into a more “milk-like” container. Along with the packaging change they have introduced a new soy beverage called 8th Continent Refreshers. Refreshers are the nation’s first refrigerated juice and soy protein blended beverage. Each 8-ounce serving of the heart healthy drink contains real fruit juice, 20 percent of the daily value of calcium, 100 percent of the daily value of vitamin C and 6.25 grams of soy protein. The Refreshers come in two flavors –Strawberry-Banana and OrangePineapple-Banana. I am happy to say this product is in Iowa Fareway and Hy-Vee stores. It is being rolled out nationally for other supermarkets. It is a perfect way to add protein with your juice, and it is indeed refreshing.
Quick and Easy Appetizer
1 8-ounce container soy cream cheese 4-ounces chevre goat cheese spices or herbs for seasoning (optional)
1. Preheat oven to 350 degrees.
2. Blend soy cream cheese and goat cheese until smooth and creamy. If desired add spices or herbs to the mixture.
3. Place mixture in the oven for 10-15 minutes or until top becomes lightly golden brown.
4. Remove and serve with flatbread or vegetables.
Another new product out is Tumaro’s Gourmet Tortillas new flatbread.
Soy and Flax, 8 Grain‘N Soy and Apple ‘N Cinnamon. What an easy and convenient way to add soy to your meals. With these new products and others, it is really easy, convenient and healthy to continue to add soyfoods to your daily meals. Give it a try; you and your health will be happy you did!
From My kitchen to Yours,
1 866-431-9814
It is the first soyfortified flatbread in the country, and has a great line up of flavors- Wheat, lfunk@iasoybeans.com
Linda Funk
Executive Director
The Soyfoods Council
Manage Soybeans from the Ground Up: Economic Thresholds Work
With the arrival of each spring comes the eternal hope of another bountiful crop. Soybeans can produce 100 bushels per acre if everything goes in the producers favor. Only 40 percent to 60 percent of that is normally harvested, however. Yield robbing diseases and insects are in part responsible for keeping producers from harvesting maximum yield.
Soybean producers in Mississippi are harvesting soybean yields equal to or greater than Midwest soybean producers. Why? Not because they have developed the proverbial “better mouse trap,” but because they have improved their management techniques. They are paying more attention to their soybean crop during the growing season.
Agronomists at Mississippi State University have developed, the S.M.A.R.T (Soybean Management by Application of Research and Technology) program. This program was initiated in 1992 to demonstrate to growers the impact that increased management, like crop scouting, can have on improving the profitability of soybean.
Weeds, pests and diseases are united by two commonalities: a) they all have a capacity to do damage, be it a light impact during emergence or a more severe problem during flowering that can directly affect yield and b) yield reductions from them can be reduced or eliminated by a well planned scouting regime.
Scouting isn’t difficult, but it can be time-consuming. Producers should plan on spending 30 to 45 minutes in each field to do a good job of scouting. If you spend less than that you are likely going to miss something. Producers with large production operations should consider hiring a professional because of the time involved.
Economic thresholds can be difficult to interpret because they are often based on crop quality and price of both the crop and the pesticide. Remember that economic thresholds (ET) are guidelines and should
*Recommendations for vegetative stage soybeans
Source: University of Minnesota and Iowa State University
be interpreted as such. If you can purchase your insecticide at a lower price, your ET is lower.
Above are ETs as published by various Midwest universities. Remember that the benefits of applying an insecticide should be greater than the cost of the treatment. This is where a good crop advisor can help you make money; they may be able to direct you to less costly insecticides.
Scout early
Bean leaf beetles may be problematic in 2006 because of our warm winter weather. Warm temperatures allow for greater numbers of beetles to overwinter. Specialists disagree on the severity of bean leaf beetles in 2006 because we experienced near record cold temperatures in December and near record warm temperatures in January. For the most part, it is a mixed bag, so err on the side of scouting to be sure.
Likewise, experts disagree on the possible severity of the soybean aphid in 2006. One key indicator, the Asian ladybug, is not seen overwintering in homes like it has in previous years. The ladybug is a natural predator of the aphid and low overwintering populations may indicate problems for next year’s crop.
For more information on management of the soybean aphid or bean leaf beetle, access www.planthealth.info.
The reasons for switching to soy biodiesel are stacking up. It’s the fuel made from U.S. soybeans, so it reduces our dependence on foreign oil. And a federal and state tax incentive makes biodiesel even more affordable. Renewable soy biodiesel reduces emissions and increases fuel lubricity. So choose the fuel that’s good for our country, your engine and the environment. Choose soy biodiesel. Pump it and watch our prosperity grow.
If we can’t convince the bean grower in you, we’re sure the bean counter will be interested.
New Cruiser® Maxx® Pak seed treatment has something for everyone.A powerful combo of two separately registered products,Cruiser® insecticide and ApronMAXX® fungicide,there’s no better protection against bean leaf beetles and aphids.Plus,CruiserMaxx Pak is just as tough on early season diseases like Pythium, Phytophthora and Rhizoctonia.You’ll get the most out of your seed investment with improved plant stands, more vigorous growth and an earlier canopy.Come harvest,your decision to use CruiserMaxx Pak can pay off with higher yields.Who doesn’t like that? Contact your local Syngenta rep or visit www.cruisersoybeans.com
