Red River Farm Network News

Upper Midwest Will Start the Spring Season Behind the Eight Ball — Drew Lerner, agricultural meteorologist with World Weather, Inc., expects the current dry bias to continue. “As we get into March and April, we will see a little bit more of an enhanced jet stream that will bring more storminess across portions of the country, but it looks to me like we will also have a colder than usual bias playing out in those weeks and we’ll probably end up keeping the jet stream just a little too far to the south to bring meaningful moisture across the Northern Plains and Upper Midwest; we’ll probably continue to see a below average precipitation bias prevailing across the region.” Lerner thinks the planting season will likely enjoy good conditions, but shortly thereafter, a developing high pressure ridge may surpress moisture for the summer months.

MF Global Update — A federal bankruptcy judge has rejected a bid by MF Global commodity customers for special priority status in the Chapter 11 case. The judge ruled that, under the bankruptcy code, the court does not have the power to grant the relief requested, and said commodity customers failed to allege any facts to support their motion. The Associated Press reports than unnamed investigators have located almost all of the $1.2 billion first reported missing when MF Global went under. The money has reportedly been tracked to other customer accounts and banks.

Huskie Complete OK'ed — The Environmental Protection Agency has approved the sale of Huskie Complete herbicide for post-emergence use on spring wheat, winter wheat and durum. Bayer CropScience says Huskie Complete has an active ingredient new to cereals, controls key grass weeds, as well as more than 50 broadleaf weeds.

Checkoff Priorities — Ten members of the Federation of State Beef Councils and Ten members of the Cattlemen’s Beef Board make up the Beef Promotion Operating Committee. This committee is responsible for all beef checkoff expenditures. For only the second time in the history of the checkoff, a North Dakotan has been nominated to serve on this committee—Jerry Effertz of Velva. What’s the priority for this group? "I think the challenge is how we deal with our declining dollars; we are dependent on that dollar checkoff and as our herds decline, we're going to have to be more efficient and prioritize more carefully on how we spend those dollars." A ago, there was some head-butting between NCBA and the beef checkoff. Effertz credits NCBA President Bill Donald for change in attitude that is evident this year. "This convention certainly is a reflection of that," said Effertz, "There is an extraordinary change in attitude; there is a much more positive attitude of let's discuss our issues and move on; we have a lot more challenges in dealing with environmental, promotional and other issues than what we have to with our internal debates." RRFN's coverage of the Cattle Industry Convention is sponsored, in part, by Croplan Genetics Alfalfa and Forage Products.

Diversify Weed Control — Sugarbeet growers are being told to diversify their use of herbicides to protect the Roundup Ready system. Extension sugarbeet weed specialist Jeff Stachler says giant ragweed, common ragweed, and waterhemp are resistant to glyphosate. Waterhemp is described as the enemy. “For the sugarbeet grower, it may cost them; it may go from $12 dollars an acre for three applications of glyphosate and Roundup Ready sugarbeets to upwards of $145 or more per acre to manage this, based on our research." Stachler’s advice to growers is diversify, scout, react, and stop weed seed production. “Waterhemp is actually capable of producing five million seeds on a single plant, and I collected a plant in Moorhead last fall and it produced 644,000 seed on one single plant.”

Researching the Future of North Dakota's Cattle Industry — The cattle industry is enjoying record prices, driven primarily, but low supplies. North Dakota Stockmen’s Association executive director Julie Ellingson says a state stakeholder’s group is working on ways to rebuild that herd. This group "will look at the trends for transition planning, what current producers are looking at for years to come and the imediments to growth," said Ellingson, "We think the results of this survey will give us a better idea of the challenges and policy direction to help us move forward and help the next generation enter our industry." This project is a joint effort of the NDSA, the North Dakota Beef Commission, North Dakota State University, NDSU Extension, North Dakota Corn Growers Association and the North Dakota Soybean Growers Association. Ellingson says a collaborative effort is needed to address the supply situation with cattle numbers at a 60-year low.

An Investment in Energy Beets — A project to make ethanol from energy beets is taking another step forward, thanks to a two-year grant from the North Dakota Renewable Energy Council. The $1 million, phase II, project includes $500,000 from the Renewable Energy Council, with approval from the North Dakota Industrial Commission, plus cash-match funds from industry partners Betaseed and Syngenta, and other in-kind contributions. The public-private partnership includes the Green Vision Group and Heartland Renewable Energy, with plans to develop at least a dozen ethanol facilities across North Dakota. NDSU’s Department of Agricultural and Biosystems Engineering, and the Carrington Research Extension Center will continue to provide research for the project.

Benefits to the Corn-Soybean Rotation — Recent research done by Pioneer Hi-Bred shows corn grown in rotation with soybeans requires less nitrogen fertilizer than continuous corn, while producing higher average yields per acre. John Shanahan, Pioneer agronomy research manager, says corn residue acts like a sponge immobilizing the fertilizer, making it temporarily unavailable to the corn plant.

CRP Signup — The USDA announced the general signup for the Conservation Reserve Program. “We’re at about 30 million acres today, and again, that’s why we’re announcing this general signup to get as many acres re-enrolled in a CRP program as we possibly can," said Acting Undersecretary Michael Scuse. Scuse says the goal of the CRP program signup is to stay as close to the 32 million acres cap as possible.

Farm Bill Hearings Scheduled — Senate Ag Committee Chair Debbie Stabenow has scheduled four farm bill hearings, beginning Wednesday February 15^th. The first hearing will evaluate policies dealing with the energy and economic growth title. The conservation title will be the topic of the hearing scheduled for February 29^th, the food and nutrition title is the topic of the hearing scheduled for March 14^th and risk management and commodities is the topic of the hearing scheduled for March 21st.

Benefits Found with Trace Minerals in the Cattle Diet — When feeding micronutrients to beef cows during late gestation, it benefits the cow and the viability of the calf. Zinpro Performance Minerals research nutritionist Dr. Connie Larson says this tool sets the cow up for quick rebreeding. "That's where we're going to capture the most efficiency and that's where she's going to be the most profitable," said Larson, "A calf born early in the season has more time for gain and we're going to look at about two pounds of gain per day on a calf prior to weaning, so if we can lengthen those dates by having earlier-born calves, that's money for the producer." Even in the fetal stage, adequate minerals can help the calf develop a stronger immune system.

Hormel Foods Enjoys 20 Percent Improvement in FY2011 — At the Hormel annual meeting, company executives reported fiscal 2011 net earnings of $474 million, up from nearly $396 million in the previous year. Annual revenues increased nine percent, reaching $7.9 billion. Hormel Foods is based in Austin, Minnesota.

ADM 2Q Earnings Plummet — Archer Daniels Midland earned $80 million in its second quarter, down 89 percent from the same period a year ago. “It was a tough quarter, particularly for comparisons," said Patricia Woertz, chair and CEO, "Last year, segment operating profit was a record and this quarter we took our outside impairment charges related to our buyer plastics business and the operating environment was challenging with ongoing weakness in global oilseed margins, lower results in corn, and poor international merchandising results hurt our second quarter profits.” Corn processing profits decreased $532 million from the same period the previous year, and through the first half, it’s down almost $700 million from last year. Agricultural Services profit was down $268 million, and oilseeds processing fell $72 million. ADM’s net sales were up 14 percent for the second quarter, and 22 percent for the first half.

Little Hope for Doha Round — Speaking at the World Economic Forum in Davos, Switzerland, US Trade Representative Ron Kirk said many countries have lost faith in the WTO Doha Round. “Short-term, I think you’re going to see more and more countries turn to bilateral regional engagements because of the difficulty of finding consensus among 153 very diverse economies.” WTO Director General Pascal Lamy acknowledged that a successful conclusion to the Doha Round is still several years from happening.

SCN Deserves Attention — North Dakota State University Extension plant pathologist Sam Markell says soybean cyst nematode doesn’t get the attention it should. Speaking at the Best of the Best in Wheat and Soybean Research meetings, Markell said the best way to determine if a field has SCN is with a soil test. “You can go into a field with a shovel and a bucket of water; can wash the roots off gently and if you’ve got it you might see it, but that’s laborious." The cysts are extremely small, making soil testing as an easier option. Markell emphasized resistance and rotation as the best control methods for SCN.

Bel Brands to Build Cheese Processing Plant in South Dakota — A major dairy processing company is planning to build a new manufacturing plant in Brookings, South Dakota. Bel Brands will use the facility to produce the Laughing Cow cheese wedges, Mini Babybels and a variety of cheese spreads. The company will invest $100 million with construction beginning this summer. The plant should be fully operational by 2014.

Working Through Wetlands Disputes — While in Washington, DC, North Dakota Grain Growers Association President Brad Thykeson met with NRCS Dave White to discuss challenges over wetlands determination disputes and tiling. "He's on board with us and I think it's just a case of there is some time where we have to wait for the process to work through the government channels; it was a very optimistic and positive meeting with the chief." Thykeson says White is researching the intent of the 1985 wetlands law. "That was kind of the gospel when it comes to ag policy; all of a sudden, we're making determinations on this ground in a wet cycle; I think we'll get there eventually, it's just a matter of time."

New Collaboration — DuPont and OligoCo have entered into a collaboration to develop new technology that could enable the use of synthetic biology. DuPont business, Pioneer Hi-Bred, will collaborate with OligoCo to develop long, high quality DNA segments essential to reliably transcribe genetic information into full-length genes, and accelerate the pace of discovery and development of improved crop products.

Palmer Plans to Leave MN Soybean Post — After 31 years in the soybean industry, Minnesota Soybean Executive Director Jim Palmer plans to step down. Palmer has served twice as Executive Director of the Minnesota Soybean Growers Association and Research and Promotion Council. Council Chairman Gene Stoel says Palmer’s news came as a big surprise. “You know, Jim has been part of Minnesota Soybean for over 20 years here and it came as a pretty big surprise; Jim has done a lot of good for Minnesota Soybean; he’s been very instrumental in getting the biodiesel mandate passed; he’s been very supportive of work with the University in the research areas; he’s done a lot of good for Minnesota Soybean and we hate to see him go.” Palmer is quoted in a news release as saying he’d like to explore new opportunities for leadership in agriculture. Palmer served as executive director of MSGA/MSRPC when the 1990 Farm Bill established the national soybean checkoff, and then joined the United Soybean Board to help launch it. Palmer returned to Minnesota as executive director in 1997. The Minnesota Soybean Growers Association and the Soybean Research and Promotion Council will form a joint committee to handle the search for a new executive director.

River Infrastructure Needs a Fix — The deteriorating condition of the inland waterway system’s locks and dams was verified by a study funded by the soybean checkoff. United Soybean Board Chairperson Vanessa Kummer says the study was done by specific lock and dam to show what a failure would mean to each particular area. “They did focus on the condition of the locks on the upper Mississippi, the Illinois River and the Ohio River and it really showed the effect on ag commodity prices, which includes fertilizer and coal and other products, besides just hauling our commodities; the whole ag infrastructure depends on it." Kummer says the USB research study will be handed off to the American Soybean Association who will lobby congress.

Enough Seed for the Season Ahead — Independent Professional Seed Association executive director Greg Ruehle expects to see enough seed to go around for spring planting, but certain varieties may be in short supply. “There appears to be a good seed supply, but it can be limited by a particular hybrid combination or particular hybrid and trait package combination, and that’s what I think growers are going to face as they’re making their seed buying decisions." Ruehle doesn’t expect to see any seed quality issues.

Campbell Runs — Grafton, North Dakota potato grower and businessman Tom Campbell is running for the State Senate. Campbell will seek the Republican nomination in the June 12^th primary election. Northwood Republican Gerald Uglem currently holds that seat.

John Deere Marks its 175th Anniversary This Year — Samuel Allen, Deere & Company chairman and CEO, says John Deere revolutionized agriculture with his self-scouring plow in 1837, and made farming in the tough Midwest soil a productive and profitable venture. From the one-man shop in Grand Detour, Illinois at its inception, Deere currently has more than 60,000 employees worldwide. Recognition of the 175^th anniversary began recently when the John Deere Foundation made a $175,000 grant to help fund Feeding America’s BackPack Program.

A Commitment to Biotech Wheat — The wheat industry has taken another step forward in its effort to commercialize biotech wheat. At the wheat industry winter meetings in Washington, the Wheat Industry Biotech Council announced it has retained a communications and public relations firm to help develop the message that the industry will carry forward to potential customers, end users and opponents in the next several years. "We're still a good ways from the adaptation of biotech wheat here in the United States, but we're laying the groundwork for that," said US Wheat Associates President and CEO Alan Tracy.

Becker Joins Rabo AgriFinance — Jon Becker has been appointed as the Rabo AgriFinance relationship manager for northwest Minnesota and North Dakota. In his new role, Becker will work with producers and processors providing real estate loans, operating lines of credit, equipment loans, crop insurance and more. Becker has more than 14 years of ag lending experience, most recently with Wells Fargo.

SDARL Elects New Leadership Team — South Dakota Agricultural and Rural Leadership has a new chairman. Lucas Lentsch of Pierre is a graduate of the leadership development program and serves as the director of agricultural development at the South Dakota Department of Agriculture. SDARL’s vice chairman is Monte Lucas of Rapid City. Travis Bies of Fairburn is the secretary/treasurer.

Spreeman Promoted — Aberdeen-based Wheat Growers has announced the promotion of Bill Spreeman to Vice President of Safety, Environmental and Regulatory Affairs. Spreeman is responsible for Wheat Growers’ safety and environmental initiatives and compliance with applicable federal, state and local regulatory requirements.

Last Week's Trivia — Oklahoma Congressman Frank Lucas chairs the House Agriculture Committee. Lyle Orwig of Charleston Orwig is our weekly trivia winner. Congrats, Lyle. Bob Lebacken of RML Trading, Roger Chamberlain of AgriBank, Farm Credit Services of Mandan President/CEO Michael O'Keefe, and Jay Johnson of Citizen's Community Credit Union earn runner-up honors. The 'first 20' rounds out with Benson County FSA executive director Mark Dahlen, Amy Durand of AgStar Farm Credit Services, Jeff Hamre of North Dakota Soybean Growers Association, Larry Mueller of Mycogen Seeds, Ron Claussen of Ag Media Research, Fred Parnow of Seeds 2000, Lawton farmer Dennis Miller, Hutchinson High School teacher Pam Vilchis, Tom Royer of The Land, Bill Crawford of the Minnesota Pork Board, Douglas Brown of AGP Grain Marketing, Tim Dufault of Prairie Grains, Appleton farmer Ed Hegland and UM-Crookston Collegiate FFA President Thomas Chute.