President Biden Signs Continuing Resolution – President Joe Biden signed a short-term spending bill to keep the government funded through February 18. Congress passed the continuing resolution on Thursday. The Senate voted 69-to-28 to approve the bill and the House voted 221-to-212. The next deadline for Congress is the decision to increase or extend the debt ceiling by December 15.

The New COVID Variant Could Have Economic Impacts – Federal Reserve Chairman Jerome Powell appeared before the Senate Banking Committee on Tuesday to talk about the possible impacts of the new COVID variant. “The recent rise in COVID-19 cases and the emergence of the omicron variant pose downside risks to the employment and economic activity and increased uncertainty for inflation. Greater concerns about the virus could reduce people’s willingness to work in person, slowing progress in the labor market and intensify supply chain disruptions.” President Joe Biden said this new variant is not a cause for panic. COVID-19 cases are expected to continue to rise in the weeks ahead.

Skeptism for Build Back Better Timeline – Senate leadership is continuing to work on the Build Back Better plan and want it passed before Christmas. Will Stafford is CHS’s representative in Washington, D.C. and remains skeptical about that timeline. “It sounds like the current iteration is dead on arrival in the Senate and they’ll need to make changes in the Senate to get it done which would have to go back to the House.” Stafford expects the Senate and House agriculture committees to begin farm bill hearings in early-to-mid 2022. The farm bill will ultimately be affected by the mid-term elections. “Depending on who has the gavel will be able to call more of the shots so that will play a role in the ag-versus-nutrition debate and the overall priorities.”

An Evolution of Tax Changes in the Build Back Better Act – There’s been many what-ifs when it comes to federal tax changes for farmers and ranchers this year. As the Senate considers the Build Back Better Act, AgCountry Farm Credit Services Agribusiness Consultant Russ Tweiten says the loss of stepped-up basis is off the table and there aren’t proposed changes in top capital gains taxes. “If Congress passes anything between now and Christmas, it will be last minute to get confirmation. So far, we’ve gone from very radical tax changes to watered down, sensible solutions.” There is one possible tax change for agriculture in the current Build Back Better Act. “There’s a net investment income tax credit. This would add an additional 3.8 percent taxes on income. If you have $500,000 or more in income, you’ll pay those taxes. For many farmers, that’s not a big deal, but if you have an auction sale, there’s an additional tax. We’ll see what happens.”

Farm Bill Work Begins Soon – With the current farm bill expiring in 2023, sugarbeet growers are busy preparing. American Sugarbeet Association President Dan Younggren, who farms at Hallock, Minnesota,  says this may be the most challenging farm bill yet. “When we look at the atmosphere in Washington D.C., it’s not favorable to Rural America. We remain hopeful to get this across the finish line, but it won’t be easy.” American Crystal Sugar Company Vice President of Government Affairs Kevin Price agrees, there’s a lot of work ahead. The additional conservation funding included in the Build Back Better Act would add to the baseline of the farm bill. “It offers an opportunity or hindrance to the process; it’s too early to tell. We don’t know what the political climate may be like or if Congress will be receptive to additional funding or would it cause fewer dollars to be provided for the bill.”

Farm Bill Remains Top Priority for Sugarbeet Growers – The Red River Valley Sugarbeet Growers Association held their annual meeting last week with the American Crystal Sugar Company. Executive Director Harrison Weber says the biggest challenge for sugarbeet growers continues to be the attacks on the sugar program included in the farm bill. “In the Red River Valley, we need to make sure our growers are on a level playing field with other countries. We can compete with any grower out there, but we can’t compete with a foreign government and their treasuries.”

Know Your Cost of Production Going Into 2022 – Higher input costs could lower farm income potential next year. Fertilizer costs are getting a lot of attention. “Almost all fertilizer products are up double what they were compared to one year ago.” MinnStar Bank Farm Management Analyst Kent Thiesse says almost every input expense for crop production is expected to increase in 2022. This includes diesel fuel, propane, labor, custom work, repairs and chemicals. There could also be a boost in land rental rates. “Especially in those areas with better than expected crop yields and strong commodity prices. We’re seeing at least a  ten percent or more increases in land rental rates.” A combination of higher crop input costs and a boost in land rents will put more pressure on crop breakeven prices for next year. Higher commodity prices can help offset higher input costs, but Thiesse recognizes the market volatility. As farmers sit down to pencil out their cost of production, Thiesse says they should consider the number bushels of corn, soybeans or wheat necesary to cover expenses at various crop price levels. “If you haven’t totally decided what crops you’ll plant, sit down and analyze with your management team.”

Managing the Risk of High Input Costs – Input costs have marched upward, especially for fertilizer. CHS Executive Vice President of Country Operations Rick Dusek says ag retailers have a role in helping the farmer manage that risk. “If you’re going to buy and apply fertilizer at these prices, our suggestion is to lock some in with hedges for new crop.” Dusek admits that is an easier decision for those with a good soil moisture profile. Farmers are also faced with product shortages, including glyphosate and glufosinate. “I think there will be some different mixes and recipes to get the same work done, but fortunately, we invested in a crop protection business a couple years ago that gives us a broader reach across the globe and we have a system that allows us to manage our inventory to bring it where we need it most.”

Higher Fertilizer Prices Driven By Supply – Unlike 2008, the current spike in fertilizer prices is being driven by supply. “In 2008 there wasn’t an issue finding fertilizer,” says Josh Linvillle, Director of Fertilizer, StoneX Group. “If you waited a few days, you’d pay more, but it was always available. As soon as the demand falls, so does the price, because there’s no support. Right now, this situation is more supply driven. Demand had its place and it’s been part of the reason why supplies are low. If demand falls away for two to three weeks, ultimately, the market will hold. Supplies are so tight right now.” Farmers will need to watch margins closely. “We want to use the least number of inputs and produce the best output. We look at how many bushels of a crop it takes to pay for fertilizer. With December 2022 corn prices around $5.50, fertilizer prices have outpaced that and we’re worse off than we once were.”

High Fertilizer Prices to Continue Through Spring – High fertilizer prices are expected to stick around for the next six months. A new report from CoBank shows record general inflation, higher natural gas prices, tight global nitrogen supplies and strong farmer demand will all continue to contribute to the higher prices. CoBank does not think the high fertilizer prices will cause higher soybean acres over corn due to strong domestic demand. Read the report.

NCGA Disappointed with Fertilizer Tariff Decision – After CF Industries filed a complaint that UAN imports from Russia, Trinidad and Tobago are unfairly subsidized, the U.S. Department of Commerce recommended countervailing duties on fertilizers from those countries. The National Corn Growers Association is disappointed with that decision. NCGA said farmers shouldn’t have to pay for disputes between American fertilizer companies and foreign producers.

A Reduction in Trade Costs – Sixty-seven World trade Organization members have agreed to ease the regulatory process and increase transparency for international trade. The United States is one of the countries signing off on this agreement. The Organization for Economic Cooperation and Development estimates this change will reduce trade costs by up to six percent in the G20 nations.W

Debertin: New Dynamics for Agriculture – CHS is in the logistics business, serving as a link between the farmer, manufacturer and end-user. Earlier this year, Hurricane Ida shut down the CHS export facility in Myrtle Grove, Louisiana for 26 days. CHS President and CEO Jay Debertin says export volumes have improved out of the Gulf. Despite logistical challenges, that’s also the case in the Pacific Northwest. “We’re thrilled with the volumes that we’re able to push through to our Pacific Northwest assets with much of that coming from North Dakota and northern Minnesota. We’re just really happy we’re able to connect our buyers around the world with those farmers.” There are two soybean crush plants proposed in North Dakota. These are not CHS projects, but Debertin expects more crush plants to come online throughout the Midwest and beyond. “It’s largely being driven by renewable diesel and the demand for soyoil, but the soymeal is going to come with it. What is interesting is how does that impact the foreign buyer and how does the world adapt to the U.S. potentially exporting more soybean meal. This is going to be a new dynamic in agriculture.’

Corn Matters – In this week’s Corn Matters, Minnesota Corn Growers Association Bryan Biegler talks about a recent trade mission to the United Kingdom.

Port Congestion Will Likely Continue for Months – If there has been any improvement in the supply chain congestion, it has been small. That’s the word from Specialty Soya and Grains Alliance Chairman Bob Sinner. Sinner, who leads SB&B Foods at Casselton, North Dakota, says everyone wants to know when this will end. “Some are saying it will end after the Chinese New Year and others are saying it probably will be in the middle of next year,” said Sinner. “We will probably struggle for a few months, but those of us in agriculture have always been optimistic and we’ll get through it.” The Ports of Los Angeles and Long Beach was scheduled to impose penalties for ocean carriers that leave cargo sitting too long at the terminals, but that has now been postponed for the third time. “The expectation was to implement this on November 1. That put pressure both on importers and carriers to get those importerd containers off the port. It came to implementation day and it did improve so they postponed it and postponed it again, but the warning is we will implement this if you don’t get more aggressive in getting these imported containers out of the port.” Sinner says the biggest impact with the delayed shipments is the buyers in Southeast Asia. With high temperatures and high humidity, there are buyers are unable to carry inventory and have been forced to shut down manufacturing.

What’s Hot, What’s Not in the Markets – Natural gas prices have turned lower, offering a glimmer of hope for the fertilizer decision. Advance Trading Risk Management Advisor Tommy Grisafi has those details in this week’s edition of What’s Hot, What’s Not in the Markets. The conversation also turns to corn, interest rates and cryptocurrency.

Protect Your Margins – During a marketing panel at the Northern Ag Expo, Iowa State University Extension marketing specialist Chad Hart said profitability in 2022 is all about margin protection. “Even with a fluctuating market, there’s strong prices. We’re also staring at increases in input costs. Right now is a great time to protect your margin. If I have to buy higher cost inputs, I want to sell higher priced crops. That’s what the market is offering us right now.” Hart said the greatest pressure on the grain market is going lower. “We’ve had some of the biggest crops we’ve ever produced, but really strong demand. The problem is we’re starting to see exports slide a bit.”

Grain Markets Will Likely Stay Strong in Spring – Three market panelists at the Northern Ag Expo offered varying opinions on market direction and strategies, but all three agreed about the need to protect profit margins. “If you’re looking at pricing in 2022, have your inputs locked in,” said Randy Martinson, president, Martinson Ag Risk Management. Martinson does not expect grain market prices to fall off much into next spring. “End-users will be forced to come to the table and try to get corn supplies out of the bin. That may be where the biggest basis appreciation will come into play.” Martinson said soybean demand isn’t at a level that will improve the basis much. “Wheat needs demand, but the need to buy acres may keep this market strong.”

StatsCan: Wheat and Canola Crops As Expected – Statistics Canada released their December Crop Production Summary report on Friday. StatsCan lowered the all-wheat production slightly from the September report to 21.65 million metric tons. DTN Canada analyst Cliff Jamieson says that is in line with pre-report trade estimates. “It’s also down 38 percent from last year. This is the smallest Canadian all-wheat crop since 2007.” Canada’s canola crop was lowered slightly to 12.6 million metric tons. “That’s down more than 35 percent from last year. It’s the smallest canola crop since 2007.”

StatsCan Report Didn’t Add Much to the Wheat Story – Friday’s StatsCan report didn’t bring many changes to the overall wheat story. “There’s more spring wheat in Canada than the grain trade was expecting. The trade thought we’d lose more spring wheat and there was a slight increase,” says DuWayne Bosse, market analyst, Bolt Marketing. “Overall, Canada has a much smaller crop year-over-year. Bigger picture, we’re now watching wheat production across the world. How wet will it get for Australia as they harvest a record crop? Quality may be impacted if it keeps raining. We’re also watching the Russia and Ukraine to see if they’re actually going to go to war.” The wheat complex had downward pressure as the week wrapped up.

Dry Bean Scene – The annual dry bean survey is underway and the Northarvest Bean Growers Association is offering an incentive for participation. Learn more in this week’s edition of the Dry Bean Scene.

A Surprising Finish for the Sugarbeet Crop – American Crystal Sugar Company co-op members harvested a good crop this year. Given the dry conditions, this was a slight surprise for Vice President of Agriculture Brian Ingulsrud. “We thought, oh boy, here we go again, the third short crop. Then, we started getting rain in mid-August and got almost two times the normal rainfall between then and mid-October. We ended up with a crop size of 11.8 million tons, the third most  in our company’s history.” Ingulsrud says the sugar content for the crop is around 18 percent, as expected. Sugarbeets went in to storage very cool. The co-op is watching the warmer conditions, but aren’t concerned about it at this time. Hear the story.

A Better-Than-Expected Crop for American Crystal Sugar Company – American Crystal Sugar Company President Tom Astrup says there were many bright spots this past year, including a better-than-expected crop at a yield of 28.7 tons per acre and 18 percent sugar content. “In 2019 as a co-op, farmers harvested 7.5 million tons and left one-third of the crop unharvested. In 2020, you harvested 10 million tons. In 2021, you harvested 11.8 million tons, the third largest crop in the cooperative’s history.” American Crystal’s final 2020 crop/fiscal year 2021 shareholder payment is $60.58 per ton, with total shareholder payments at $568.9 million. Estimated payments for the 2021 crop/2022 fiscal year is $60 per ton. Astrup says the lower sugar content for the 2021 crop contributes to a lower payment.

Beet Stock Values – According to Acres & Shares, last week there were two brokered American Crystal Sugar Company beet stock trades totaling 35 shares for an average price of $4,414.29 per share.

Sugar Demand to Stay Flat in the Near-Term – Flattening sugar demand is will be a reality in the year ahead. According to American Crystal Sugar Company President Tom Astrup, sugar demand declined slightly last year. That’s attributed to an aging population and food companies reducing sugar in their products. United Sugars Corporation Executive Vice President of Industrial Sales Dirk Swart says sugar growers should plan on flat sugar demand in the short term. “New labeling requirements limit food companies and mandate labels for added sugars. It’s causing food processors to re-evaluate the amount of sugar they put into products,” says Swart. “If you look at a cereal box today, versus what we saw five years ago, the amount of sugar in a serving has been reduced; that’s the impact.” When sugar demand levels out, Swart says there’s a more competitive pricing environment. United Sugars markets the sugar produced by American Crystal Sugar Company and Minn-Dak Farmers Cooperative.

Demand for Glyphosate Exceeds Supply – This situation began in August of 2020 when China was dealing with a flood. That was followed by freezing temperatures in Texas that shut down natural gas production and a hurricane that closed down a Bayer facility in the Gulf for five weeks. Bayer North American Glyphosate Portfolio Lead Matt Muckerman says strategies are in place to deal with these product shortages. “Both of the main areas that supply the market have been hit with these weird things so now it is how do we make it up and how do we make the best use of the gallons we do have. For Bayer, it is a focus on what other products can supplement where glyphosate may not be available.” There’s no crystal ball, but Muckerman believes the glyphosate shortage will likely extend into the second quarter of next year or beyond. Muckerman, who spoke to ag retailers last night in Fargo, said costs have responded to the supply situation.”It is not unconceivable to see one or two price adjustments in a normal year, whether it is up or down,” said Muckerman. “This year, I think we’re up to seven or eight price increases and that is based on the supply we have available and the demand driving those prices up.” Listen for the RRFN interview.

A Better Moisture Outlook for Spring Planting – There’s enthusiasm for 2022. Bayer Field Sales Representative Carter Medalen says that positivity is due in part to the weather. “We were very dry in north-central North Dakota, which is the territory I cover, but with the rain we received this fall we will be in very good shape going into spring,” said Medalen. “I would like to see some snow cover obviously; irregardless, we will start out the spring with moisture and that wasn’t a luxury we had this year.”

Geared Up for Spring – CHS Ag Services, which serves northwest Minnesota and northeast North Dakota, enjoyed a record fall for the volume of fertilizer sold and applied. General Manager Ryan Anderson says the open fall allowed the company to get those acres covered. “Having a fall like we did really helps our system out; we rely on unit trains and moving the volumes that we did allows us to replenish and gear up for spring.”  Anderson is fielding a lot of questions about crop protection shortages. “With the relationship we have with our manufacturing partners, I feel like we’re going to be okay on that as well.” Anderson does not anticipate any major changes in the acreage mix in the region.

Blessed – Drought was reality for farmers and ranchers across North Dakota this past year. However, Cogswell, North Dakota farmer Kevin Throener is pleased with the performance of his crop. “Everytime we would get dry in my little world we could catch a half-inch of rain and keep the crop hanging on. It was a decent crop, not a bin-buster by any means, but, we were blessed compared to many others in the state.” Throener’s farm received about 12 inches of rain since August. “It all came in nice little shots of rain, no big downpours.” Throener is a member of the CHS board of directors and is participating in the co-op’s annual meeting in Minneapolis.

Acreage Dependent Upon Geography – Due to market dynamics, many farmers have taken possession of fertilizer and crop protection products for next year. Dekalb Asgrow Area Business Manager Jeremy Frie said a large percentage of seed has also been booked. Acreage decisions are firming up in the Red River Valley and a lot depends upon the geography. “It feels like soyeans and some of the alternative crops are leading the way in the north and it feels like corn has gained a little strength in the south, even with the fertilizer prices.”

We’re All Ears: A Harvest Homage – Lending Our Ears to Farmer Questions – Weather was one of the biggest challenges for farmers in 2021. Despite both extremely dry and wet conditions across the Corn Belt, Syngenta Seeds Head of Agronomy Andy Heggenstaller says higher-than-expected corn and soybean yields were common at harvest. “I can’t tell you how many situations we’ve come across within Golden Harvest where the farmer said they didn’t get rain in August, but grew 85 bushel soybeans. We’ve had really good production given the stresses we’ve gone through.” Check out this final episode of season one of the “We’re All Ears” podcast on Podbean, the Golden Harvest website, Apple Podcast, Google Podcast and Spotify.

Residuals to Fill the Gap – With glyphosate and glufosinate in short supply, a plan needs to be in place to fill that gap. “The use of residuals is going to be a big thing for us to make sure we get out ahead of the weeds and if we have shortages later on, we hopefully won’t need as much product to take care of the weed problems,” said BASF Technical Service Representative Dan Melaas. The use of adjuvants will also need to be adjusted. “Depending on what product you’re using will affect what adjuvant you’ll use, but definitely something like a MSO will heat products up will help control weeds also.”

Optimism for 2022 – During a meeting with ag retailers Tuesday, BASF District Sales Manager Barry Rongen voiced optimism about the year ahead. “The soil moisture to begin the year in 2022 is way better than a year ago and I really believe growers are going to be willing to invest in their crop because commodity prices are good.” Farmers face product shortages going into 2022. Strategies are in place to help farmers deal with these constraints on supply. “Especially, with corn and soybeans, get a good pre program in place to take the pressure off of the post application. Everyone is aware the demand for glyphosate and glufosinate is going to exceed the supply so we’re going have to have a good solid program to take care of weeds up front and take some of the pressure off once the crop is off.” Rongen outlined BASF’s product pipeline during this meeting. New products include Sphaerex fungicide to control fusarium head blight. Looking forward, BASF will bring Ideltis Hybrid Wheat to the market, likely in 2024.

Managing Difficult Weeds Longer Into the Season – Farmers are advised to take a proactive approach in their preparation for the 2022 crop year. Syngenta Corn Herbicide Product Lead Shawn Hock says choices are being made now. “Farmers need to understand what their input needs are going to be and start working with your supplier or ag retailer to get you lined up for your season so you’re prepared and ready to go.” There are different strategies for farmers to deal with the product shortages that are being seen this fall. Syngenta has a new corn herbicide called Acuron GT that offer a longer residual. “One of the things we found is that it not only kills the weeds, it also challenges what you’ve been doing on your farm in the post-emergence space by applying the herbicide a little bit earlier than you normally would have and that helps you keep the nutrients and the water and the life for the crop, not the weeds, giving you a better ROI.”

Exploring the Carbon Market Opportunity – CHS is collaborating with Bayer in a carbon program, rewarding farmers for adopting climate-smart practices. Farmers are rewarded for meeting certain milestones and there are additional incentives for using CHS-branded fertilizer efficiency products. CHS Senior Vice President of Enterprise Customer Development Gary Halvorson says farmers can receive up to $12 per acre. “We recognize that $12 may not ring the bell for every farmer, but these are steps for CHS to partner with the farmer to try and discover as much as we can so when there are returns with the carbon programs we can participate in a healthy way.” In an interview with RRFN, Halvorson also discusses the current supply chain challenges.

Soil Testing is a Must – After a drought, it is common to see higher residual nitrogen levels in the soil. Nutrien Marketing Representative Doug Sibbett says it is important to know what you have.  “It is something you probably can’t rely on for the entire season to carry you through, but you might have a little bit out there.” Sibbett has been fielding questions about product availability. “There are some empty fertilizer locations just due to trucking issues and supply issues. With ESN, we’re doing a good job in getting our warehouses full and with some of our other products, we’re trying to make as quickly as we can and get it out to the field.”

Feast or Famine for Alfalfa Growers This Year – WinField United National Alfalfa Agronomist Randy Welch says conditions varied from east-to-west. “West of the Twin CIties was very, very dry and you go east of the Cities, we had fantastic rainfall and we have farmers with more than enough feed for their dairies. From the Wisconsin standpoint, we’re in good shape and it is not quite so pretty in Minnesota and west.” The new alfalfa varieties are offering more disease resistance. “There are two diseases that we’re focusing on. One is aphanomyces root rot and that wet soil disease is devastating to alfalfa and we add yield by having better disease resistance.” Anthracnose is the other disease concern for alfalfa growers. Welch says new varieties offer Race 5 resistance.

Vilsack: EPA Understands the RFS Needs Stability – Agriculture Secretary Tom Vilsack told reporters EPA Administrator Michael Regan understands the need for stability in the Renewable Fuel Standard. The EPA is expected to release the latest Renewable Volume Obligations soon. According to Vilsack, it’s not only about RVOs, but also about providing stability in RFS volume levels. “The EPA may likely also respond to the outstanding waiver requests that are currently indicating consistency with maintaining stability of the program. We look forward to when those announcements are made to also be able to provide more details on the distribution of $700 million in help we’ve earmarked for the biofuels industry. Congress didn’t provide that level of assistance or help when they passed COVID relief. USDA will provide assistance to biofuel producers.”

Emissions Reporting Waiver May be Lifted – The Environmental Protection Agency is reconsidering a rule implemented during the Trump Administration that exempted large-scale livestock farms from reporting emissions. A motion was made in federal court by the Biden Administration saying the EPA is concerned the exemption does not align with its current policy goals.

Novak: EPA Reviews Should be Timely and Based in Science – The Environmental Protection Agency continues to review the use of dicamba for the 2022 growing season. A decision was expected at the end of October and we’re still waiting. CropLife America President and CEO Chris Novak says this review must be timely and based in science. “If there are any changes coming out of EPA at this point in time, farmers may not be able to get the seed or be able to purchase different chemistries from what they already planned,” said Novak. “I’m hopeful, if there are changes EPA will recognize where farmers are in the season and provide them the time and allowance to get through the 2022 crop season before any of thoses changes would take effect.” CropLife America represents the manufacturers of crop protection products. This organization has conducted consumer focus group research in major cities nationwide. “When we ask consumers how long they think it takes a new pesticide to come to market and one of the answers was six months. EPA takes three years, but my companies take eight-to-nine years developing the research, information and data that is submitted to EPA so it takes almost 12 years to bring a product to market.” The disconnect between agriculture and consumers is seen as a limiting factor for innovation. Listen to the full interview.

Dicamba Label Changes Could Be Coming – More than 80 farm and ranch groups sent a letter to the EPA in late November asking Administrator Michael Regan to not make changes to the dicamba label for next year. NDSU Extension Weed Management Specialist Joe Ikley is anticipating label changes, but is not clear what that label changes may look like or when an announcement is coming from the EPA. “At this point, whatever the decision is, we want the EPA to give us time to plan and make the alterations to the plans now, instead of a few months from now.” Dicamba was created to be another tool in the weed management toolbox, but there have been numerous drift complaints  across the country. Now, there are also parts of the country starting to see weed resistance to the product. Ikley reminds farmers there’s not a silver bullet to weed control. “Don’t just rely on one herbicide for most crops each year, integrate other management tactics before there’s resistance or another weed species shift.”

USDA Invests in Climate Needs – With funds from the bipartisan infrastructure law, the USDA is making an investment of $633 million to reduce climate change impacts in rural communities. Five programs will get funding. There’s more than $3 million in grants given in the Higher Blends Infrastructure Incentive Program to biofuel producers in California, Nebraska, Iowa, Illinois, Kansas and Michigan. There’s also $34.3 million available in grants going to farmers, ranchers and companies across the country in the Rural Energy for America Program.

A Changing Energy Landscape – This past year, CHS’s agronomy and grain divisions outperformed energy. As a member of the CHS board of directors, Rugby farmer Steve Fritel is pleased with how the energy business is coming out of the pandemic-influenced slowdown in transportation. “The gorilla in the room is electric vehicles and how will that play out and how will we play in that arena.” Fritel says CHS is considering its role in a changing energy sector. “The new thing is the soybean oil being used (as a renewable diesel fuel) and in reality there isn’t enough soybeans grown to meet that industry, the food industry and we also have to think of China and their appetite for soybeans.”

Investing in River Infrastructure – Soybean checkoff groups are willing to invest $1 million to offset pre-engineering and design work for a key lock and dam on the Upper Mississippi River. The existing locks were built in the 1930s and need maintenance and enhancements to reduce barge traffic delays. The funding is coming from the United Soybean Board, the Soy Transportation Coalition and state soybean boards in Minnesota, Iowa, Illinois and Missouri.

Mexican Regulators Approve CP and KCS Merger – The Canadian Pacific and Kansas City Southern railroads have received regulatory approval from the Mexican government. This deal still needs approval from shareholders with a vote by CP stockholders on December 8^th and Kansas City Southern stockholders on December 10^th. The U.S. Surface Transportation Board is also reviewing this merger. The combination of CP and Kansas City Southern creates the first single-line railroad connecting the U.S., Canada and Mexico.

MN Beef Update – There are many ways to prepare beef during the holiday season. Minnesota Beef Council CEO Kelly Schmidt has more in this week’s Minnesota Beef Update.

Record Year for H-2A Visas – Even with the pandemic, the 2021 fiscal year was a record year for the H-2A temporary agricultural worker program. There were nearly 318,000 H-2A positions certified by the Labor Department. That’s the first time the program topped 300,000 jobs. There were changes in the quarterly data due to travel uncertainties associated with COVID. Meanwhile, the Department of Labor is proposing a change in its rules associated with the wages paid to agricultural guest workers through the H-2A program.

Midwest Ag Coalition Continues to Grow – Former House Agriculture Committee Chair Collin Peterson is making steady progress on the Midwest Ag Coalition. There are currently around 45 members and he’s hopeful of having 50 members by the end of the year. “They’ve done a good job in the south with this and I hope it will work in the north and people will listen.” Peterson is monitoring what the Senate does with the Built Back Better Act. “I don’t know how they’ll get it done; I’m not sure they can afford this bill. They keep claiming they’re going to pass it, but we’ll see.” Peterson was a guest speaker at the 2021 Northern Ag Expo.

Governor Walz Open to a Special Session – A special session is still possible for Minnesota between now and the end of the year, according to Minnesota Governor Tim Walz. “I proposed $250 million in budget negotiations for essential workers and a nice package on drought relief for agriculture that had bipartisan support. We could bring these two things to the table, but there’s been talk of peripheral things, we’re still fighting COVID and there are political differences. I need my team in place,” says Walz. “I’m open again for a special session, if we could set aside a half day, we could get things done.” Drought conditions improved this fall in western Minnesota, but Walz thinks it’s still important to get drought relief funds to livestock producers. “The support programs don’t do as well in livestock and we thought this filled the gap. I’m afraid we lost livestock producers in the drought and a little help can make a difference, but that window is closing.” Walz attended the American Crystal Sugar Company’s annual meeting on Thursday.

MFU Minute – There could be a Minnesota special session on the horizon. Government Relations Director Stu Lourey has more on the event in this week’s MFU Minute.

Hay Hauling Hours Extended in South Dakota – South Dakota Governor Kristi Noem signed an executive order on Wednesday extending the timeframe when hay haulers can move hay through February 2022. Oversize hay haulers with a permit can move from two hours before sunrise to two hours after sunset. Hauling windows are typically a half hour before sunrise and a half hour following sunset.

SD Corn Comments – The South Dakota Corn Conference will happen in-person in January 2022. Hear more about the event and the South Dakota Soybean Association’s Ag Outlook meeting in this week’s South Dakota Corn Comments.

CNH Industrial Completes Raven Industries Acquisition – CNH Industrial finished its acquisition of Sioux Falls, South Dakota-based Raven Industries, a precision agriculture company. The first in-house products featuring fully integrated Raven precision agriculture systems will become available in 2022.

CNH Acquires Software Company – CNH has purchased a software engineering company called NX9 to support the digital platform for its agricultural division. NX9 specializes in technology that allows farm implements to communicate with each other. CNH, which is behind the Case IH and New Holland brands, said this investment will allow the company to innovate in the precision agriculture sector.

A Mark of Distinction – A new U.S. Identity Preserved logo has been unveiled, providing the distinction for a premium crop with a verifiable origin. The quality assurance program was introduced at the Specialty Soya and Grains Alliance Conference in Bloomington.

The Arthur Companies Acquires Thresher Artisan Wheat – North Dakota-based The Arthur Companies acquired an Idaho value-added wheat company called Thresher Artisan Wheat. Thresher has eight locations in the Snake River Valley. Thresher purchases wheat from farmers, storing, blending and selling the product to flour mills, feed mills and the export market. Wheat is also processed for the food-grade market. “The acquisition of Thresher Artisan Wheat represents not only the first geographic expansion of The Arthur Companies outside of North Dakota, but an increased capability to deliver exceptional service to more customers than ever before,” said James Burgum, CEO, The Arthur Companies. Read more.

MN Wheat Minute – The Prairie Grains Conference is happening this week, along with the On-Farm Research Summit. Minnesota Wheat’s Vice President of Research Melissa Carlson previews the research portion in this week’s Minnesota Wheat Minute.

A 40 Year Milestone for NCI – Northern Crops Institute is in its 40^th year informing and educating buyers about the crops grown in Minnesota, North Dakota, South Dakota and Montana. “Whether that is how good of tofu or soy milk that it makes, there’s a lot of end-use quality variability in the varieties of soybeans,” said Mark Jirik, who is NCI’s director. “We make sure the buyers know that and what we can supply from our region.” Jirik says agriculture is still a relationship business. That has been done virtually in the past year-and-a-half, but in-person events are a hallmark of NCI’s work. “Being able to have buyers come out to the field, talk to the farmers and form those relationships with growers from this region, that’s what we’ve done for 40 years.”

AAW Honors for Wyant – The American Agri-Women has presented Agri-Pulse President Sara Wyant with its award for journalism excellence. Wyant previously received the organization’s Veritas Award and AAW Leaven Award for her work on behalf of agriculture and service to AAW.

National Pork Producers Council Names New CEO – The National Pork Producers Council hired a new Chief Executive Officer on Wednesday. Senior Vice President of the National Pork Board, Bryan Humphreys, will step into the role on December 21, following the retirement of Neil Dierks. Humphreys resides in Des Moines, Iowa. Read more.

Erickson Named American Crystal Board Chairman – The American Crystal Sugar Company named new board leaders following the conclusion of the joint annual meeting on Thursday. Hallock, Minnesota farmer Kelly Erickson will now serve as the chairman. Vice Chairman is now Gary, Minnesota farmer Perry Skaurud.

Johnsrud, Fritel and Kayser Reelected – CHS delegates reelected five directors. Three of the directors are from the tri-state region; David Johnsrud of Starbuck, Minnesota, Steve Fritel of Rugby, North Dakota and David Kayser of Alexandria, South Dakota.

Rockstad Reelected to Lead Sugarbeet Growers Association – During last week’s annual meeting, Hendrum, Minnesota farmer Neil Rockstad was reelected to serve as president of the Red River Valley Sugarbeet Growers Association. St. Thomas, North Dakota farmer Brent Baldwin is the new vice president. Crookston farmer Wade Hanson was reelected to serve as secretary and Wheatland farmer Jason Schatzke is the treasurer. Hatton, North Dakota farmer Scott Krogstad will fill the position on the board, taking over for retiring board member Rod Olson from Halstad, Minnesota.

Stoltenow Heading to UNL Extension – NDSU Extension Assistant Director Charlie Stoltenow will be the next dean and director of Nebraska Extension. Stoltenow joined NDSU Extension in 1996. He will be starting his new job on January 1.

Dole Passes – Former Kansas senator and presidential candidate Bob Dole, 98, passed away Sunday. Dole spent 27 years on the House and Senate agriculture committees. In addition to numerous agricultural issues, Dole is known for his work with South Dakota Senator George McGovern on nutrition and hunger issues.