A Weekly Update from the Red River Farm Network
Monday, August 14, 2023
RRFN Announces Big Iron Lineup-The Red River Farm Network has a full slate of forums scheduled for the Big Iron Farm Show. The RRFN building will once again include daily market outlook forums. The market analysts that will be on the RRFN stage includes Tommy Grisafi of Advance Trading, Jerry Gulke of the Gulke Group, Bryan Doherty of Total Farm Marketing, Randy Martinson of Martinson Risk Management, Kristi Van Ahn of Van Ahn & Company, Allison Thompson of The Money Farm, Betsy Jensen of Northland FBM, Bret Oelke of Innovus Agra and Randy Zimmerman of West Central Ag Services. The entire program lineup can be found online.
Yields Lowered, But Within Expectations – As expected, USDA lowered yields in its crop production report. Corn yields are expected to average 175.1 bushels per acre, down nearly two-and-a-half bushels from the July report. The soybean yield is forecast at 50.9 bushels per acre, down just over a bushel from the last report. Corn production is projected to total 15.1 billion bushels; soybeans are at 4.2 billion. Both numbers are within trade expectations.
MN, ND, SD Yields Reported – In the tri-state region, the weather impacted crop projections. USDA expects Minnesota corn yields of 183 bushels per acre, down from a 195 bushel average last year. In North Dakota, corn is forecast at 130 bushels per acre, down just one bushel from a year ago. South Dakota corn yields were put at 145 bushels per acre, 13 bushels better than last year. For soybeans, Minnesota is projected to have a 49 bushel average. That is down one bushel from a year ago. North Dakota soybeans are estimated to be at 33 bushels per acre, two bushels below last year. A 42 bushel average is expected in South Dakota, four bushels lower than 2022.
A Historically Small Crop – Spring wheat production was forecast at 450 million bushels. That is down six percent from the previous report but above the average trade guess. “One of the concerns that we continue to have is whether or not we can save this crop at this late date and I think there’s an awful lot of worry about the drought in the southern Canadian Prairies, too,” said Kent Beadle, market analyst, Paradigm Futures. “We may get more interesting data a month or two down the road.” USDA is forecasting Minnesota spring wheat yields at 50 bushels per acre, down four bushels from the July report. The average North Dakota yield is 45 bushels per acre, down two bushels from the last report. A 30 bushel per acre statewide average spring wheat yield is projected for South Dakota. That’s down four bushels from July.
What’s Hot, What’s Not in the Markets – In this week’s edition of What’s Hot, What’s Not in the Markets, Martinson Ag Risk Management President Randy Martinson cites the USDA supply/demand report for the bullish news for soybeans. Cattle are also trading at the top end of its recent trading range.
Attention Shifts to the Crop Tours – Friday’s USDA report was based on satellite imagery and farmer surveys. NAU Country market analyst Rich Morrison is now looking forward to seeing the results of field surveys, including the Pro Farmer Crop Tour. “We’ll be watching their numbers pretty close to see if they are somewhere in line with USDA. I know there’s still some skeptics that think that USDA may be a little high.”
Small Grains Resurvey – During the first two weeks of September, USDA will be resurveying farmers growing wheat, barley, oats and rye. The information will be used to establish small grain acreage, yield and production estimates at the county level.
PP Acres Down Significantly From ’22 – According to the Farm Service Agency, there were 3.5 million acres of prevented planting acres nationwide this year. North Dakota leads the nation with 918,000 acres. That compares to nearly 2.4 million acres in PP last year. Texas has the second largest amount of prevented plant with 842,000 acres. South Dakota was third with 337,000 acres.
Back to the Basics – With high interest rates, there are few places in the world that can afford $7 corn, but will be ready buyers when corn is at $4.50 per bushel. Advance Trading Risk Management Advisor Tommy Grisafi says lower prices will stimulate demand. “We’ve seen China in for beans lately; Mexico and other countries in for corn,” said Grisafi. “We’re going to get back to the basics. We’re going to get back to carryovers, bushels, bins and basis. This wild volitality is coming to an end.” See the interview.
Warning Shots Fired – The food security worries out of the Black Sea Region took a new turn over the weekend. A Russian warship fired warning shots Sunday at a cargo ship that was on the way to Ukraine. When the cargo ship refused to stop for an inspection, a Russian helicopter landed on the ship and military personnel conducted a search. This is the first skirmish of this kind since Russia refused to continue its participation in the Black Sea Grain Initiative.
Risks Remain for Black Sea Grain Exports – The market has paid little attention to the escalation of the conflict in the Black Sea Region. However, Lakefront Futures Senior Hedge Advisor Darin Fessler remains wary. “We’ve seen the news of the Ukraine port brushed off but if something were to happen to the Russian ports or grain infrastructure, that’s a whole different escalation that we need to be mindful of when it comes to the wheat market.”
Market Fatigue Over Russia-Ukraine War – Ukraine has announced a ‘humanitarian corridor’ to move container ships and other vessels that have been stranded since the war began in February of 2022. This comes at a time when the war in Russia and Ukraine appears to be escalating. “There’s no resolution in sight; you can see a report overnight and we react sharply and by the end of the session, we could be the opposite direction higher or lower, or lower or higher,” said Ryan Kelbrants, broker, CHS Hedging. The war and the Black Sea Region grain supply is not getting much attention in the trade. “Fatigue is a good term to use.”
Register for NCI Market Update – The Northern Crops Institute is hosting a Market Update webinar on Wednesday at 8 AM. This webinar will feature Zsolt Vincze, senior vice president, R.J. O’Brien & Associates. This webinar series focuses on providing new market insights on commodities and trading to those across the globe. Go online for more information or to register.
Tall Corn Country – At Karlstad, Minnesota, Justin Dagen is happy with his row crops. “We had a late start this spring, but we had incredible growing units in May, June and July,” Dagen told RRFN. “We’ve never seen corn this tall and the soybeans have beautiful canopies. It’s turning out to be a wonderful summer here and the fishing has been good, too.”
Without Rain, Optimism Wanes – Corn is Randy Melvin’s best looking crop right now. “Variable” is the best way to describe the soybeans. “There’s pockets that look decent, but the lighter ground is really starting to show stress. Some areas sat in dry dirt after planting, beans are definitely delayed and there’s quite a bit of difference in height.” Melvin, who farms at Buffalo, North Dakota, said a good rain would help even out the soybean crop and fill the pods. “I’m still cautiously optimistic about an average crop, but if we don’t get rain soon that optimism is going to go down pretty fast.”
Corn Hurt by Drought Stress – The entire state of Minnesota is dealing with abnormally dry conditions. “Most of the corn in Minnesota is under some sort of drought, but it’s quite variable,” reports Jeff Coulter, corn agronomist, University of Minnesota Extension. “The corn is mostly in the milk stage where drought stress could result in the loss of the upper kernels.” Coulter expects an early corn harvest this season.
Corn Ahead of the Normal Pace – The corn has been pushed by the early summer heat and the number of GDU’s. “We’ve got just a little bit of irrigated corn and that’s where it’s showing up the most because usually the irrigated crops lag behind the dryland but with all the heat units we’ve had they’re propelled right along,” said Lance Peterson, who farms at Underwood, Minnesota. “It’s amazing; I’m not that familiar with the Nebraska summers but it almost seems like we’ve had that kind of weather.”
Salt and Pepper Crops – At Lankin, North Dakota, Dale Zahradka is looking for every possible rain cloud. The area from Highway 2 to the Canadian border has missed many of the recent rains. The crop is holding on despite the lack of timely rains. “A lot of the crop come up uneven, I call it salt and pepper with a lot of dual-stage crops out there.” Zahradka has started his barley harvest and is pleasantly surprised. “The test weights were good, the protein was low enough for malt and the yield was a little better than we had anticipated on this early stuff where the heat hurt it.”
Pioneer Agronomy Update – In this week’s Pioneer Agronomy Update, RRFN discusses crop conditions with Corteva Agriscience Account Manager Matthew Peterson near Glyndon, Minnesota. Insect pressure has been tough on soybeans. “Soybean aphids this year is probably the most pressure we’ve seen since 2017 in this area. We’re also seeing spider mites in the dry pockets and a lot of clover worms.” Watch the full update on the Red River Farm Network Youtube page.
Harvest on Hold – NDSU Extension Williston Weed Specialist Charlemagne Lim says the wheat harvest in western North Dakota is on hold due to the recent rain. “I saw some harvesters going further north near the Montana border where it’s drier, but most harvesting operations are inactive right now.” In addition to spring wheat, Lim says the barley, durum and pulse crops are ready to go.
Half of a Normal Crop – The harvest has started for Shane Isane at Badger, Minnesota. “We finished our ryegrass harvest about a week and a half ago and the yields were less than half of what we expected.” The dry conditions are resulting in a similar scenario for the spring wheat. “We’re maybe looking at about a 40-bushel average which makes it tough to pay the bills.”
Pre-Pile Harvest Begins in Southern Minnesota – Southern Minnesota Beet Sugar Cooperative plans to begin pre-pile today. Yost Farm at Murdock raises beets and it appears to be a large crop. “They’re projecting something like a 32-ton crop,” reports Michael Yost. Due to these production levels, SMBSC growers may not be able to harvest as much as 25 percent of the crop. “That’s not ideal. It’s a big crop, but at the same time, that typically means some of it will not get lifted or harvested.”
Wet Spring Followed by a Dry Summer – Minn-Dak Farmers Cooperative will begin pre-pile sugarbeet harvest August 21. “They’re figuring 14.5 ton right now on one of our fields that they sampled,” said Craig Olson of Colfax, North Dakota. “A good rain would push that crop along, but, overall, our crop look pretty good.” Olson is in a pocket that was wet and had a late start. That has been followed by a dry summer. Despite that, crops look decent. “I’d say our pastures are the only thing hurting. They just haven’t been able to catch up with the little rains that we’ve been getting., it might be an early fall of feeding cows because the grass won’t catch up.”
Sooty Mold Sightings in Wheat – Spring wheat harvest has started in North Dakota. NDSU Extension Plant Pathologist Andrew Friskop says early yield reports are anywhere from 60 to 90 bushels an acre. “It reflects a year where we had spotty rains and various planting dates.” Friskop has received calls about sooty mold appearing in wheat fields. “Sooty mold sets in after the plant has died, so something else killed the plant and sooty mold is just taking advantage of it. It’s not going to impact yield, but it might make harvest a little dustier.”
Hoppers Thrive in South-Central ND – The extreme heat in June hurt the early-planted spring wheat, but Ken Schmidt is generally pleased with his crops. The Solen, North Dakota area has also been a hot spot for grasshoppers. “Some of these fields we’ve sprayed three times and we still got some of the fields where there’s 200-300 yards on the margins that are where they ate in; it seems like that’s kind of relaxed a little bit now.”
Pest Pressure – Amy Brateng owns South 89 Seed at Roseau, Minnesota and says the corn in the area is well ahead of schedule. “It’s maybe two weeks ahead of normal; we are in milk stage and I wouldn’t be surprised if we could find some dents here shortly.” Soybeans are in the R4 to R6 stage. Pests have been a persistent problem. “Soybean aphids have been a significant challenge in Roseau County this year in addition to other insects like spider mites and green clover worms.” White mold has also been showing up in the soybean crop.
Soybean Aphid Update – NDSU Extension reports soybean aphid populations are continuing to expand in eastern North Dakota. The problem is even greater on the Minnesota side of the river. The treatment decision for soybean aphids is most critical when the plant is in the late vegetative to early reproductive stages.
Tough Decisions – The Bremen/New Rockford, North Dakota area received 1.3 inches of rain over the weekend. Before that, there has not been a measurable rainfall since June 20. In addition to that stress, Donny Allmaras says soybean aphids are an issue. “It’s night and day where a seed treatment insecticide was applied and where it wasn’t. Where it was not applied, there’s some pretty high soybean aphid numbers.” Allmaras sympathizes with the treatment decisions being made. “It is a really a hard decision because the crop is going backwards right now with no rain and there’s too many aphids on some of those fields so that’s really a challenging decision for the farmer.” Most of the wheat has been sprayed and will be harvested soon. Allmaras says the pinto bean harvest is also close.
Canola Minute – In this week’s Canola Minute, NDSU Extension Langdon Research Center’s Plant Pathologist Venkata Chapara talks about his research on verticillium wilt in canola.
Scout for Flea Beetle Feeding – Canola farmers are being encouraged to check their fields for flea beetles and any potential pod feeding. Flea beetle injury on pods is usually most significant on late-planted canola and the upper pods. Fortunately, most of the yield comes from the lower pods of the canola plant. The NDSU Crop and Pest Report says this injury can result in poor seed fill, premature pod drying or pod shatter.
More Palmer amaranth in South Dakota – Palmer amaranth infestations have been reported in three South Dakota counties—Brookings, Charles Mix and Hyde County. South Dakota State University Extension says all Palmer amaranth cases should be reported. To prevent the spread of the weed seed, the fields with Palmer should be harvested last.
ND Harvest Hotline Activated – North Dakota Agriculture Commissioner Doug Goehring has activated the North Dakota Harvest Hotline. Farmers in need of custom combining services and combiners looking for work can call the hotline at 701-328-5110 to be entered into the database. Harvest Hotline was first implemented in 1992 and is now offered annually as a free service for farmers and custom harvesters.
A Looming Deadline – A farm bill roundtable discussion took place in Fargo with Senate Agriculture Committee Ranking Member John Boozman and North Dakota Senators John Hoeven and Kevin Cramer. Boozman said there’s no specific timeline in mind to get the farm bill out of committee. “Our commitment is to get this thing written and to the floor as soon as possible, but we’re not committed to any month.” While the farm bill may not be done by the end of September, Cramer believes it will get done before the end of the year. “Getting it right is our job and getting it done quickly is the House’s job.”
Corn Matters – The Minnesota Corn Growers Association testified at the farm bill listening session at Farmfest. Hear more from MCGA President Richard Syverson in the latest Corn Matters.
RMA Gathers Feedback – The Risk Management Agency held a listening session in West Fargo for feedback over possible changes to prevented plant programs. RMA Administrator Marcia Bunger said the concerns vary by region. “It depends on if there’s a drought or excessive moisture where farmers need prevent plant, so the feedback is different.” Areas with ongoing drought are starting to lose prevent plant eligibility in programs like 1-in-4.
Farmers Point Out Prevent Plant Flaws – North Dakota Farmers Union conducted a survey with its members to discuss the harvest price option, the 1-in-4 rule and other crop insurance programs. NDFU Government Relations Director Matt Perdue said there was a mixed response. “We learned that some of our members have real issues with the underlying calculations that determine your prevent plant payment, while others are very concerned about the integrity of the program.” The 1-in-4 rule was implemented in the Prairie Pothole region in 2012. Under the program, crop acreage must have been planted and harvested at least once in the last four years to be eligible for prevent plant coverage. The rule has since been implemented on a national basis.
Support for Specialty Crops – The purpose of the Specialty Crop Block Grant Program is to boost the competitiveness of specialty crops. North Dakota Ag Commissioner Doug Goehring spoke in favor of SCBCP at a crop insurance roundtable event in Fargo. “If there weren’t specialty crop block grants, 14 out of 54 crops, including dry beans, potatoes, sunflowers, peas, and lentils, wouldn’t have research or the ability to create better access to consumers.” North Dakota Senator John Hoeven said there’s a lot of support for specialty crops in the Upper Chamber, citing Agriculture Committee Chair Debbie Stabenow as a strong voice. Stabenow represents Michigan, another state known for its diverse crop mix.
Finding a Perfect Fit – Dry bean producer concerns were voiced during Tuesday’s Risk Management Agency listening session in West Fargo. Josh Ihry, who farms at Hope, North Dakota and is a member of the North Dakota Dry Bean Council, said the harvest price option could use a revamp to fit the needs of dry bean growers. “We support the ability to purchase a contract price versus a spring price.” Ihry said priorities for dry bean growers differ from corn, soybean and wheat farmers because there is no way to properly track price data without the use of dry bean buyers.
Fielding Questions – In the latest Fielding Questions podcast, AgCountry Farm Credit Services Vice President of Insurance Ginger Harris outlines the benefits of Margin Protection. Fielding Questions is a collaboration between AgCountry Farm Credit Services and the Red River Farm Network.
Competition Sought – The Minnesota Farmers Union is calling on the government to address anticompetitive mergers. Four companies control 85 percent of the meat packing business, 85 percent of corn seed, 76 percent of soybean seed and three companies control 95 percent of large farm tractor sales. MFU co-sponsored a virtual town hall this past week to surface new ideas to address mergers.
Sugar Industry Meets in California – During the International Sweetner Symposium in California, American Sugar Alliance Director of Economics and Policy Analysis Rob Johansson had a simple message. “We’re good for the economy and we’re good for American consumers,” said Johansson. “The sugar program is designed to operate at zero costs to the taxpayer.” Florida Representative Kat Carmack spoke at the symposium. In her words, the debate over the farm bill will be the ‘biggest political dog fight in modern history.’ Minnesota Senator Amy Klobuchar participated in the event with an online feed and said the Senate will likely take the lead in the farm bill debate.
Rebuilding the Cattle Herd – Beef cow numbers are at levels not seen since 1970. According to CattleFax CEO Randy Blach, there’s still room for a further reduction in the size of the cow herd. “Beef cow slaughter is down about 700,000 head in 2023, but that is still a liquidation pace.” Heifer retention has not begun at a significant level yet, but it is coming. “You’ve got too much financial incentive now for producers with calf prices this much above the cost of production, we’ll start retaining. I think the rate of expansion will be interesting with interest rates where they are today.”
Opening the Floodgates – Grass cattle are starting to trickle into sale barns. If it wasn’t for this past week’s rain, Hub City Livestock Auction owner Steve Hellwig said there would be a lot more cattle moving. “We had a couple hundred off grass and were on the verge of moving more, but thankfully we got rain.” Hellwig is expecting numbers of grass cattle to increase until September when the feeder calves start moving. According to Hellwig, the market for grass cattle is very good. “I think we’ve seen the highs on the bigger 1,000 pound cattle, but the 600-to-700 pound. cattle continue to get higher.”
MN Beef Update – In the latest Minnesota Beef Update, Minnesota Beef Council CEO Kelly Schmidt recaps the National Summer Beef Meeting in San Diego.
Anthrax Now Confirmed in Hettinger County – The North Dakota Department of Agriculture has now confirmed 16 premises affected by anthrax in the southwestern corner of the state. The latest case is in Hettinger County. The others are in Grant County. Ranchers in the affected area are being advised to vaccinate their cattle.
A Stern Warning for Brazil – Agriculture Secretary Tom Vilsack is demanding timely reporting of cattle diseases, especially BSE. Earlier this year, Brazil reported two cases of atypical BSE two months after the disease was discovered. Vilsack said beef trade between the two countries is dependent on a faster reporting system.
Emergency Haying and Grazing – Twenty-five counties across North Dakota are currently eligible for emergency haying and grazing of CRP ground. State FSA Conservation and Livestock Program Director Wanda Braton says county committees determine whether emergency haying and grazing is needed. Any county that hits D2 drought status according to the U.S. Drought Monitor for a one-week period can be eligible for emergency haying and grazing. “County committees have to determine whether there’s forage needs in any eligible county.” This will provide producers an opportunity to make up for lost forages. Braton notes hay bales must be removed from CRP land before any permanent damage is done to the underlying forages, but the previous 15-day timeline is gone.
A Settlement in Massachusetts Animal Welfare Litigation – The National Pork Producers Council, a handful of restaurant associations and the Massachusetts Attorney General’s Office are asking the courts to approve a settlement agreement. A federal lawsuit is challenging the constitutionality of the Massachusetts rules governing the treatment of farm animals and the sale of meat products.
Competition Sought – The Minnesota Farmers Union is calling on the government to address anticompetitive mergers. Four companies control 85 percent of the meat packing business, 85 percent of corn seed, 76 percent of soybean seed and three companies control 95 percent of large farm tractor sales. MFU co-sponsored a virtual town hall this past week to surface new ideas to address mergers.
Margins at Lowest Level Since DMC’s Authorization – In June, the Farm Service Agency reported a margin of $3.65 per hundredweight above feed costs. That’s the smallest level since the Dairy Margin Coverage program was authorized in the 2018 farm bill. American Farm Bureau Federation Economist Danny Munch says it’s the sixth straight month of margins below the $9.50 per hundredweight trigger. “That’s the first time the programs catastrophic’ $4 protection level had been breached.” Munch said feed costs are continuing to chip away at the bottomline for dairy farmers.
Waiting for Guidance on Sustainable Aviation Fuel – The biofuels industry is awaiting the Treasury Department’s guidance on the fuels that qualify for the Sustainable Aviation Fuel Tax Credit. Renewable Fuels Association President and CEO Geoff Cooper is focused on the methodology. “The Inflation Reduction Act established a tax credit worth as much as $1.75 per gallon so it is a very powerful incentive,” said Cooper. “We’ve been saying all along that we need to make sure the carbon modeling that is science-based and that it’s transparent.” In the battle over sustainable aviation fuel, Cooper said the biofuels industry is facing the same activists who ginned up the ‘food-versus-fuel debate.’
Epitome Energy Timeline Delayed – Agweek is reporting Epitome Energy will not begin construction of its Grand Forks soybean crush plant until next year. This is the facility that originally planned to build in Crookston, but later chose a Grand Forks site. Epitome Energy is reportedly still trying to secure funding and permitting for the project.
Canadian Port Dispute Resolved – Canadian dockworkers have ratified the labor agreement with West Coast ports. Nearly 75 percent of the union members voted for this deal. It includes a bump in wages, benefits and training opportunities.
Dry Bean Scene – In this week’s Dry Bean Scene, RRFN visits with North Central Bean Dealers Association Executive Director Jill Sweeney and Agricultural Fertilizer Research and Education Council Chair Grant Anderson about their upcoming events. The Dry Bean Scene is sponsored by the Northarvest Bean Growers Association, Johnstown Bean Company, Sharpen Heribicide from BASF, SRS Commodities, and Heads Up Plant Protectants.
Federal Relief for Distressed Loans – If a farmer has a guaranteed USDA Farm Loan Program loan that is delinquent or considered distressed, financial assistance is available. This automatic relief is part of the Inflation Reduction Act. Approximately 3,500 borrowers are eligible for this assistance. Since August of 2022, more than 20,000 distressed borrowers received similar assistance.
FCA Reports Loan Volume for Small, Beginning Farmers – The Farm Credit Association board reports total loan volume increased more than nine percent in 2022. Loans for young farmers, 35 years and younger, rose six percent. Beginning farmer loan volume is up nearly ten percent and up over five percent for small farmers. The number of outstanding loans systemwide declined modestly, while outstanding loans for young and beginning farmers increased slightly. Lending declined throughout the system due to rising interest rates, changing economic conditions and the end of the Paycheck Protection Program.
Cover Crop Survey Results Released – Nearly half of all farmers using a cover crop received some sort of incentive payment this past year. The American Seed Trade Association, USDA and Conservation Technology Information Center conducted a survey of nearly 800 farmers in 49 states. Seventy-eight percent of the farmers who have not adopted cover crops said an incentive payment would be helpful. Over 90 percent of the farmers surveyed who were receiving incentive payments said they would likely continue to plant cover crops when the payments end.
Time Needed to Assess Land Value Trends – The USDA recently released farmland data, highlighting another year of increased values. Acres and Shares broker Jayson Menke says it is too early to get a handle on current trends. “Most of the farmland is sold from fall until spring so we’ll have a better indication in the next month of two as we get some fall land sales under our belt.” The amount of land on the market may be leveling out. “Like any market, the land market is cyclical. I’m not predicting that we’ll see a correction this winter, but we’re maybe not that far off from this plateau or correction.”
Soil Health Management Improves the Bottom-line – The Soil Health Institute and National Association of Conservation Districts have released results of a national study. It found soil health management improved net farm income by an average of $65 per acre. Yield increases were reported for 42 percent of the farms growing corn, 32 percent of those growing soybeans and 35 percent for other crops. Benefits also include less soil compaction and earlier access to fields during wet years.
State of the Farm – Bushel has published its 2023 State of the Farm Report. Nearly 1,400 farmers participated in the survey with most of the respondents representing large acreage farms. Only four percent of those surveyed are highly satisfied with their grain marketing results. Forty-four percent said they are willing to experiment with new agricultural technologies. Bushel is a software technology company that develops digital tools for the agricultural supply chain and is based in Fargo.
Combine Sales Rise in July – According to the Association of Equipment Manufacturers, year-to-date tractor sales are down nine percent. Two-wheel drive tractor sales declined nearly ten percent, while four-wheel drive tractor sales are up more than 36 percent. For the first six months of the year, combine sales are up 41 percent.
Soybean Trade Delegation Visits the Red River Valley – Soy food business leaders from three continents visited the Northern Crops Institute last week. Clay/Wilkin County Corn and Soybean Growers Association President Jeremy Tischer welcomed the trade delegation and food processors to his farm near Breckenridge, Minnesota. “Trips like this are vital to agriculture and specifically soybeans.” The delegation learned about protein traits of soybeans grown in the Red River Valley. Tischer pointed out that most of the soybeans grown on his farm end up in markets overseas, further highlighting the importance of these types of educational tours.
MDA Rolls Out Programs – During the 2023 Minnesota legislative session, lawmakers approved an $88 million budget for agriculture and several new or expanded programs. Agriculture Commissioner Thom Petersen says several of those programs are now available to farmers and ranchers in the state. The Livestock Investment Grant allows livestock producers to get a ten percent credit on facility improvements or modernization. “We have a lot of cattle producers use that, but its open to everyone whether you’re a deer farmer, raise horses, pigs or anything like that.” Grants are also available for soil health, noxious weed control, value added agriculture and meat processing. MDA is also working to stay connected with drought issues. Resources are available on the MDA website.
Seeking Ideas for ’24 Session – The Minnesota Department of Agriculture is seeking public input for the 2024 legislative session. Virtual sessions are planned for August 21st and 22nd. The next session will begin in mid-February.
MFBF Minute – Minnesota Farm Bureau Area Membership and Marketing Specialist Kayla Mistic talks about upcoming county meetings in the latest MFBF Minute.
Cargill Releases Year-End Financials – Cargill ended the fiscal year with revenues of $177 billion. That’s up seven percent from fiscal year 2022. In the past year, Cargill invested in a joint venture with Wayne-Sanderson Farms and aquired Owensboro Grain Company.
With Financial Losses, Tyson to Shut Down Additional Plants – Tyson Foods is reporting a net third quarter loss of $417 million. That compares to a profit of $750 million one year ago. Tyson has already shut down two chicken processing plants to reduce costs and four additional plants are scheduled to close next year. Profit margins in the beef sector have been squeezed by the tight cattle numbers and the pressure to bid up to secure supplies. With inflation and higher interest rates, Tyson said consumers are also moving to lower-cost proteins.
As Expected, Smithfield to Close 30+ Sow Units – Smithfield Foods plans to shut down 35 swine farm sites and lay off over 90 employees in October. Smithfield, which is the world’s largest pork producer, is one of many meat processors being squeezed by the downturn in profits.
Losses for Beyond Meat – For the first six months of the fiscal year, Beyond Meat suffered a loss of $112.5 million. That compares to a loss of nearly $198 million in the same period one year ago. During the second quarter, sales for the plant-based protein products declined 24 percent. U.S. retail sales dropped 34 percent, but international foodservice business rose 19 percent.
New Technology from Case IH – Case IH has expanded its lineup with new models of the Early Riser planter and Axial-Flow combine for small-to-medium sized farm operations. The new models will be in a smaller package and with a smaller price point for this target market. The new products will be on display at the Farm Progress Show.
Otter Tail Power Completes Hoot Lake Solar – Otter Tail Power Company’s first large-scale investment in solar power is fully operational. Hoot Lake Solar features nearly 130,000 solar panels at Fergus Falls. Construction began on the $62 million project in May of 2022.
Record High Membership – The National FFA Organization has record high student membership of 945,988. That’s an increase of 11 percent from last year. The number of chapters is also growing, up 168 from a year ago.
Dakotafest Begins Tomorrow – Dakotafest Marketing Director Niki Jones says this year’s show is full of new and returning exhibits. “We have 450 exhibitors this year bringing their newest innovations, with a ton of inventory so the show is going to be super full.” The show runs Tuesday through Thursday in Mitchell, South Dakota. RRFN will report from Dakotafest. Tickets and more details can be found at Dakotafest.com.
A New Look for ND Ag Association Trade Show – The North Dakota Agricultural Association is making changes to its annual trade show. The event formerly known as the Northern Ag Expo will now be called the NDAA Agribusiness Expo. The late November event will be held at the Avalon Events Center in Fargo, rather than the Fargodome.
Fun at the Farm Gears Up for Year #2 – An opportunity to learn about agriculture will take place at Bertsch Farms near Hillsboro, North Dakota Thursday evening. Jon Bertsch says the event aims to allow those not connected to a farming operation to experience farm animals and equipment first hand. “Last year was our first year, we didn’t know what to expect but we had a great turnou.” Fun at the Farm will take place rain or shine. Freewill donations will go to support Farm Rescue. More details can be found on the Bertsch Farms Facebook page. Listen to the full interview with Jon Bertsch here.
SD Corn Comments – In this week’s edition of South Dakota Corn Comments, South Dakota Corn Executive Director DaNita Murray and South Dakota Soybean Executive Director Jerry Schmitz urge growers to check out their display at Dakotafest.
Elsner Moves to UPL – David Elser is UPL’s new regional head for North America. Most recently, Elsner was the senior vice president for North America at Nutrien Ag Solutions. Before that, Elsner was with Syngenta.
RFA Appointments Made – Minnesota Governor Tim Walz has appointed Gary Wertish of Renville and Brent Kelsey of Lake Crystal to the Rural Finance Authority. Wertish is the Minnesota Farmers Union president and was reappointed to a second term. Kelsey is a farmer and credit officer for Compeer Financial.
ND Native Takes Job in NE Governor’s Office – Jacy (Hauge) Schafer is the new deputy communications director for Nebraska Governor Jim Pillen. Schafer is a North Dakota native and former state FFA officer.
Last Week’s Trivia- On your internet browser, www stands for World Wide Web. Jacob Downing of Cargill wins our weekly trivia challenge. Runner-up honors belong to Lyle Orwig of Certified Ag Dealer, Lawton farmer Dennis Miller, Stephen auctioneer Jason Rominski and Norm Groot of Monterey County Farm Bureau. The ‘first 20’ rounds out with Nick Sinner of Northern Crops Institute, Kristal Rick of MAGNO Seed, Jim Altringer of Dakota Plains Ag, Pete Carson of Carson Farms, Phyllis Nystrom of CHS Hedging, Ron Claussen of Ag Media Research, Paul Sproule of Sproule Farms, retired Fessenden farmer David Clough, Kevin Praska of Stone’s Mobile Radio, Mike Trosen of Meadowland Farmers Cooperative, Jon Farris of BankWest, Val Dolcini of Syngenta, Twyla Wulf of Clear Springs Cattle Company and Gary Sloan of BMO Commercial Farmers Bank.
This Week’s Trivia-It has been the most popular American dog breed over the past three decades. The medium-to-large dog can be black, yellow or chocolate. What is this dog breed? Send your answer to don@rrfn.com.
RRFN Upcoming Events | |||
August 15, 2023 - August 17, 2023 | Dakotafest - Mitchell, SD | ||
August 16, 2023 | NDBA Annual Leadership Conference - Bismarck, ND | ||
August 17, 2023 - August 18, 2023 | R-CALF USA Convention - Rapid City, SD | ||
August 17, 2023 | Rosholt Research Farm Field Day - Westport, MN | ||
August 22, 2023 | ND Soybean Growers Assoc. Golf Tournament - Fargo, ND | ||
August 23, 2023 - August 25, 2023 | American Coalition for Ethanol Biofuels Conference - Minneapolis, MN | ||
August 24, 2023 | Northland Potato Growers Assoc. Field Day - Larimore, Inkster and Hoople, ND | ||
August 24, 2023 - September 4, 2023 | MN State Fair - Falcon Heights, MN | ||
August 24, 2023 | ND Soybean Growers Assoc. 40th Anniversary Celebration - Fargo ND | ||
August 25, 2023 | Central Lakes College Ag and Energy Field Day - Staples, MN | ||
August 28, 2023 | SD Cattlemen’s Association Region Roundup - Mobridge, SD | ||
August 29, 2023 | Autonomous Nation - Fargo ND | ||
August 31, 2023 | UM Soybean Research Center Field Day - St, Paul, MN | ||
August 31, 2023 - September 4, 2023 | SD State Fair - Huron, SD |
Contact RRFN | Don Wick (701) 795-1315 |
Randy Koenen (701) 795-1315 |
Tyler Donaldson (701)-795-1315 |
RRFN Affiliate Stations | |||
Aberdeen, SD – 105.5 FM | Ada, MN – 106.5 FM | Bagley, MN – 96.7 FM | Bemidji, MN – 1300 AM |
Benson, MN – 1290 AM | Bismarck, ND – 1270 AM | Bismarck, ND – 1270 AM | Casselton, ND – 103.9 FM |
Crookston, MN – 1260 AM | Devils Lake, ND – 103.5 FM | Fergus Falls, MN – 1250 AM | Fosston, MN – 1480 AM |
Glenwood, MN – 107.1 FM | Grafton, ND – 1340 AM | Jamestown, ND – 600 AM | Langdon, ND – 1080 AM |
Mahnomen, MN – 101.5 FM | Mayville, ND – 105.5 FM | Roseau, MN – 102.1 FM | Rugby, ND – 1450 AM |
Thief River Falls, MN – 1460 AM | Wadena, MN – 920 AM | Warroad, MN – 92.5 FM | Worthington, MN – 730 AM |
FarmNetNews is a production of the Red River Farm Network. RRFN is based in Grand Forks, North Dakota and provides news to farmers and ranchers across Minnesota, North Dakota and South Dakota.