Interest Rates Rise – The Federal Reserve bumped interest rates by a quarter percentage point to a range of 5.25 percent-to-5.5 percent. Interest rates are now at a 22-year high. Fed Chair Jerome Powell would not rule out another rate hike at the central bank’s September meeting.

Impact Still to be Seen – Virginia Tech Professor Emeritus Dr. David Kohl spoke at the Bell Bank AgViews Live Conference in Fargo and Sioux Falls this past week. “Navigating these interest rates is going to be very critical for the next two or three years; these are the fastest rising interest rates since the 1980s,” Kohl told RRFN. “We haven’t felt the impact because oftentimes we haven’t paid down on the operating loans.” Kohl said inflation, economic growth and unemployment are all factors that must be considered before interest rates can decline.

The Bull Pen – In this monthly conversation about the markets, Advance Trading Risk Management Advisor Tommy Grisafi discusses interest rates, weather, Ukraine and more. The Bull Pen report can be found online.  

Fielding Questions – In this edition of the Fielding Questions podcast, AgCountry Farm Credit Services Vice President of Insurance and Customer Education Rob Fronning goes over insurance coverage options for producers. Fronning reminds producers that it is not too late to get hail coverage for the season and discusses how to utilize insurance coverage to mitigate rising input costs and lock in prices. Livestock Risk Protection is a tool that remains available to protect high prices for livestock. Fielding Questions is a collaboration between AgCoutnry Farm Credit Services and the Red River Farm Network.

NATO Allies Defend Black Sea Shipments – NATO is responding to Russia’s new warning that shipments on the Black Sea are temporarily unsafe for navigation. NATO condemned Russia’s action and plans to increase its surveillance of the Black Sea Region. Aircraft and drones will be used to defend the region. Meanwhile Ukrainian President Volodymyr Zelenskiy said his country is on a path towards NATO membership and will continue to meet its food security obligations.

Donations Won’t Correct Food Insecurity – Russian President Vladimir Putin will not rejoin the Black Sea Grain Initiative, but is willing to donate grain to a half-dozen African nations. Speaking at the Russia-Africa Economic and Humanitarian Forum in St. Petersburg, Putin said Russia will provide up to 50,000 tons of grain to these African countries with free shipping. United Nations Secretary-General Antonio Guterres responded, saying a “handful of donations” will not correct the impact on food security worldwide.

Danube River Shipping Hampered by Drone Attacks – Russian drones damaged grain storage along the Danube River. The river was rarely used to export Ukrainian grain before the war with Russia, but it has become an important shipping channel. Strategie Grain said the attack could discourage commercial shippers from using the river system in the short term and raise the cost of insurance.

Russian Decision to Impact Food Prices – The International Monetary Fund is estimating Russia’s withdrawal from the Black Sea grain deal will increase global grain prices by ten-to-15 percent. IMF is also forecasting global inflation at 6.8 percent, down from 8.7 percent last year.

Farm Bill Listening Session Coming to Farmfest – Farmfest kicks off Tuesday in Minnesota’s Redwood County. Over 400 exhibits will be on display. In addition to the massive trade show, Farmfest Forums Coordinator Kent Thiesse says the forums are also a highlight. “We have educational forums each day and this year we’re having a heavy focus on ag policy issues including the next farm bill.” The House Agriculture Committee will host a farm bill listening session Wednesday. Thiesse said there will be more big names on the Wick Building forum stage including U.S. Trade Ambassador Doug McKalip, USDA Undersecretary Robert Bonnie and Senator Amy Klobuchar. The Red River Farm Network will report from Farmfest. RRFN’s coverage is sponsored by the Minnesota Soybean Research and Promotion Council, Minnesota Farmers Union and Minnesota Corn Growers Association.

Farm Bill Debate to Include Payment Limit Proposal – Iowa Senator Chuck Grassley and Ohio Senator Sherrod Brown have introduced a bill to create a $250,000 cap on farm payments. This plan also requires at least one of the farm operators to spend at least half of their time engaged in farm labor or management. Grassley is a longtime advocate for payment limits and said this bill “brings honesty to the farm payment system.”

Corn Matters – The Minnesota Corn Growers Association invites everyone to visit its tent at Farmfest. Hear more from MCGA President Richard Syverson in the latest Corn Matters.

Sugar Policy for Supply Stability – American Sugarbeet Growers Association Executive Vice President Luther Markwart says the U.S. imports about 30 percent of the sugar consumed in the country. Other countries are not as reliable as domestic supplies. Sugar can be diverted into ethanol markets for large export countries like Brazil and India. “There are a lot of dynamics, but when you see the effects of climate, conflict, and things like covid that can cause disruption in supply chains, that’s when you need strong sugar policy and farmers to supply our consumers needs.” There will be a focus to create supply stability as discussions continue looking ahead to the 2023 Farm Bill.

Ag Approps Bill Delayed – The House Rules Committee recessed without acting on the agriculture appropriations bill. This bill includes funding for the Food and Drug Administration which includes some controversial language.  Without a vote in the rules committee, the bill is not expected to reach the House floor until mid-September after the August recess is complete.

WOTUS Worry – The Biden Administration is hosting several stakeholder meetings nationwide on the EPA’s revised Waters of the United States definition. Agriculture groups are worried the new rule will fall short of the recommendations made by the Supreme Court earlier this year. A group known as the Waters Advocacy Coalition has sent a letter the EPA and Army Corps of Engineers to voice its concerns. This coalition includes the American Farm Bureau Federation, National Corn Growers Association and American Soybean Association.

Foreign Farmland Ownership Language in the Defense Bill – Two amendments dealing with Chinese ownership of U.S. farmland and the American supply chain were included in the National Defense Authorization bill. South Dakota Senator Mike Rounds’ amendment will prevent agricultural investments by people and businesses from countries seen as adversaries. That list includes China, Russia, Iran and North Korea. The proposed Fufeng corn processing plant at Grand Forks inspired this legislation.

Smith Introduces Anti-Discrimination Bill – Minnesota Senator Tina Smith has introduced legislation to address discrimination within USDA programs. This proposal strengthens the language from the 2008 Farm Bill dealing with transparency and accountability for socially disadvantaged farmers.

Wheat Tour Results Released – Crop scouts on the Wheat Quality Council Spring Wheat and Durum Tour are forecasting an average spring wheat yield of 47.4 bushels per acre in North Dakota. That’s above the five-year tour average of just over 40 bushels per acre, but below last year’s 49.1 bushels per acre. “It looks like the earliest planted stuff looks the toughest; it was the thinnest and appears to be short and stressed,” said Dave Green, executive director, Wheat Quality Council. “This later stuff looks better to me. The leaves are still green and not rolled up. The plants don’t look like they’re under stress and those fields seem to be thicker to us.” The Red River Farm Network coverage of the tour is sponsored by the Acres Away Ag.

More Potential for Late-Planted Wheat – Brian Walker, who is a retired technical director for Miller Milling, was a host on the Wheat Quality Council spring wheat tour. Walker said the wheat that will be ready to harvest in the next couple weeks looks good. “I don’t know that the yields are as good in the earlier-planted wheat this year but what’s out there looks good,” Walker told RRFN. “There wasn’t much disease, no real pest problems of any magnitude but we did see variability.” Walker believes the later-planted spring wheat has the potential to yield better than the earlier-planted crop.

Highly Variable – North Dakota Grain Growers Association President Ed Kessel was driving one of the routes on the Wheat Quality Council Spring Wheat and Durum Tour. The crop is highly variable, but disease pressure is non-existant. “Other than a little bit of grasshopper pressure west of Gwinner, the fields have been fairly clean.” While in southeastern North Dakota, Kessel said it may be a below-average crop, “but, it’s not a horrible crop.”

Crop Varies From East to West – The Arthur Companies wheat breeder Mory Rugg saw a very diverse crop on the wheat tour. “The crop in the west actually looks really pretty nice, but the further east you go, you run into more challenging conditions.” What is most notable about the wheat crop is the impact of how late some of it got planted, and how spotty the rains have been. “I drove by some fields that they haven’t even headed yet and there’s some stuff that’s maybe ten days out.”

Double the Yield – Custom combiner Tracy Zeorian is cutting a very good crop near Highwood, Montana. “We’re looking at anywhere from 80-to-120 bushel wheat,” said Zeorian. “I think their average is way better than what we were cutting in the Jordan area, but I believe that their typical harvest is like a 60-bushel crop so this is like a double yield for them.” The wheat is standing pretty well with the exception of a few spots where the crop is lodged.

Winter Wheat Wraps Up, Spring Wheat Harvest Begins – South Dakota State University Extension Agronomist Jonathon Kleinjan says winter wheat harvest is getting closer to wrapping up in the state. “I’ve heard mixed reports on yields; some poor yields and some pretty good yields from over 70-bushel wheat to areas like Oneida and Pierre that are below average.” Farmers are just dipping their toes into the spring wheat harvest in some areas. “We did take a field out here in eastern South Dakota that was about 60 bushels an acre, but I think overall the spring wheat crop is going to be down. There’s a lot of poor spring wheat with some acres being abandoned.”

A Different Year for West River Wheat – Western South Dakota is the only part of the state getting moisture this year. South Dakota Wheat Growers Association Executive Director Karen Osmund said that changed the typical look of winter wheat in the state. While protein is high, yields are lower. “It’s going to be a tougher year for wheat. We’ll see what comes out of the southwest part of the state. If the protein and test weight are a little better, they may have to do a little blending.”

Harvest Begins in Eastern North Dakota – Page, North Dakota farmer Mike Abraham has combines rolling on his farm as he harvests winter wheat. “It’s been dry, but we’ve been getting 85 bushels and protein is averaging 12 percent or higher so we’re quite happy with that.” Abraham says more of his neighbors planted winter wheat this year as a cover crop on prevent plant acres.

Uneven Crop Complicates the Decision-Making Process – ‘Variable’ may be the word of the year. “We had really variable emergence this spring and that was carried along all the way through the season,” reports Scott Nelson, who farms at Lakota, North Dakota. “Trying to apply fungicide has been a bit of a task and when do we start desiccating the crop for harvest. It’s going to be a bit of a decision as to when to start that process with the uneven emergence we have.” Nelson is surprised his barley crop is fairing better than his spring wheat in the high temperatures.

Harvest to Begin Soon for Brossart – Chris Brossart, who farms near Wolford, North Dakota, started with his preharvest herbicide application in his wheat this past week. Harvest will begin soon. “The small grain crops in our area are shorter-than-normal for height with a lot of it maybe 20-to-30 inches tall, but it looks like the heads filled well overall on the main stem of the plant. We’re hopeful for an average crop.”

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 says production cuts have helped out the crude oil market. Livestock market demand is also positive. “Grains had a very disapointing performance last week; the market is not reacting to the demand side of the market.”

Spiritwood Crush to Begin in Q4 – The new soybean crush facility as Spiritwood, North Dakota is scheduled to begin operation during the fourth quarter. Archer Daniels Midland made the announcement when it released its quarterly financial report. This facility is a joint venture between ADM and Marathon Oil and will have a daily crush capacity of 1.5 million tons. ADM also reported operating profits of $1.5 billion for the second quarter, down from $1.8 billion during the same period last year.

Ethanol Industry Groups Join Carbon Alliance – The newly formed American Carbon Alliance has added three major ethanol organizations to its coalition. The American Coalition for Ethanol, Growth Energy and the Renewable Fuels Association will help bring attention to the benefits of carbon capture technology. The American Carbon Alliance was formed nearly a month ago and is led by former Growth Energy CEO Tom Buis, former House Agriculture Committee Chair Collin Peterson and Iowa businessman Nick Ryan.

Register Now for NCI’s Next Market Update Webinar – The Northern Crops Institute is hosting a Market Update: Special Edition webinar on Wednesday at 8 AM. This special edition will feature Charlie Fee, Director of North American OTC Agriculture, Marex Solutions. Fee will present an introduction to OTC hedging strategies. Webinar topics include Marex, OTC’s and strategies. For more information and to register, go online. 

Farm Expenditures Increase – U.S. farm production expenses totaled $453 billion in 2022, up from $393 billion in 2021. On a per-farm basis, farm expenditures are up nearly 16 percent. The biggest cost item for crop farmers is fertilizer, which increased nearly 14 percent year-to-year. Labor expenses rose more than 12 percent. Farm rents were up over 11 percent.

Canola Minute – In this week’s Canola Minute, NDSU Extension Cropping Systems Specialist Anitha Chirumamilla talks about her research in flea beetles.

Need R-A-I-N – Parts of northeastern North Dakota received a little bit of rain this past week. Grand Forks farmer Paul Sproule says the crops could use more moisture. “It’s that four letter word: rain,” said Sproule. “We need it and we need it bad. The corn is tasseled, soybeans are flowering, wheat and rye are done and the sugarbeets need more rain.” Sproule was one of the stops of Red River Farm Network’s Know Your Farmer Tour and encourages the public to learn more about agriculture. “Go visit a farm or talk to a farmer if you want to learn. They work hard at what they do, they’re committed and they’re proud of what they do.”

Tentative Pre-Harvest Sugarbeet Date Set – American Crystal Sugar Company has established August 15 as a tentative starting date for pre-pile sugarbeet harvest. “We’re going to be taking some yield samples the next few weeks to firm up that start date,” said Joe Hastings, general agronomist, ACSC. Hasting reminds growers to be aware of the pre-harvest intervals for any further fungicide applications.

Sugarbeet Report – In this update, American Crystal General Agronomist Joe Hastings talks about crop progress. Hear more in the Sugarbeet Report, presented by Amity Technology, Syngenta, H&S Manufacturing, SES VanderHave and Bayer CropScience.

Q3 in the Courts – Six Midwest swine operations are in federal district court challenging the constitutionality of a Massachusetts law. Like California’s Prop 12, Massachusetts Question 3 establishes housing requirements for out-of-state pork producers. These pork producers from Minnesota, Iowa, Illinois, Wisconsin and Missouri are seeking a preliminary injunction preventing enforcement of Q3 until the legal action is complete.

Raised on the Farm or in a Lab? – The National Cattlemen’s Beef Association has passed a directive at its summer business meeting regarding cell-cultured protein products. NCBA President Todd Wilkinson, who is a South Dakota cattle producer, said there must be greater oversight over so called ‘slaughter-free’ cell-cultured products. “We can’t be asleep at the switch,” said Wilkinson. “This is a generational issue, if we don’t get it solved in the next two years, it could impact, not only my son but my grandsons as they come into our operations.” Wilkinson said transparency is needed so consumers can see the difference between high-quality beef over cell-cultured imitations. This policy will now go to the full NCBA membership for a vote this fall.

MN Beef Update – In the latest Minnesota Beef Update, Minnesota Beef Council Director of Industry Relations Jon Dilworth recaps the Summer Beef Tour and previews Farmfest.

Weather Holds the Key to Rebuilding Cattle Herd – The USDA Cattle Inventory Report showed numbers decreased in all sectors except milk cows. According to NDSU Extension Livestock Economist Tim Petry, there’s one major factor for rebuilding the herd. “It has to rain and that is happening this year. By October of last year three-quarters of the beef herd was in drought. Now that has improved quite a bit.”

Anthrax Confirmed in North Dakota – North Dakota State Veterinarian Dr. Ethan Andress has confirmed the state’s first positive case of Anthrax in a Grant County beef herd. Andress recommends producers in the affected area consult with their veterinarian and utilize vaccines. Anthrax has historically been found in every part of the state, but reported most frequently in northeast, southeast, and south-central North Dakota. Two cases of Anthrax were last reported in North Dakota in 2021.

Pre-Conditioning Pays – University of Minnesota Extension Beef Specialist Eric Mousel says drought may mean more producers are selling calves directly off the cow when feed supplies run short. If ranchers pre-condition calves, it could mean a higher premium at sales time. “Any opportunity you have to add value to these calves, take it. They’re worth a lot, but they can be worth even more.”

Breakeven Levels Move Higher for Pork Producers – The National Pork Producers Council has released its third quarter pork industry economic update. The report cites California Proposition 12 and its wide-ranging impact on the swine industry. Breakeven levels are nine percent higher than one year ago and have increased 60 percent over three years.

Dry Bean Scene – Minnesota Department of Agriculture Food Systems Planner Mike Zastoupil talks about the Minnesota Resilient Food Systems Infrastructure Initiative in this week’s Dry Bean Scene. The Dry Bean Scene is sponsored by the Northarvest Bean Growers Association, Johnstown Bean Company, Endura Fungicide from BASF, SRS Commodities, and Heads Up Plant Protectants.

Listen for Reports From Strip-Till Conference – The National Strip-Till Conference will be held this week, beginning Wednesday in the Bloomington/Normal, Illinois area. Collaboration is a key element of this event as farmers learn from one another about strip tillage. The Red River Farm Network will air a series of reports from the conference sponsored by Environmental Tillage Services/Soil Warrior.

Preventing the Spread of Palmer amaranth – The Minnesota Department of Agriculture has established a pilot program to prevent the spread of Palmer amaranth through feed. With this pilot project, state inspectors will be collecting samples from Minnesota feed manufacturing facilities. Millet and sunflowers are seen as higher risk commodities for the spread of Palmer.

MFU Minute – Minnesota Farmers Union Vice President Anne Schwagerl joins us to talk about their menu items at the Minnesota State Fair. Hear more in this week’s MFU Minute.

Stine Moves North – Stine Seed Company is expanding into Canada. The Iowa-based company is one of the seed industry’s largest corn and soybean breeding and development companies. Ontario will be the starting point for Stine north of the border.

Low Chicken Prices Cut into Profits – Pilgrim’s Pride reports second quarter profits of $60.5 million, a decline of 83 percent from one year ago. Pilgrim’s Pride is the second-largest U.S. chicken company and is owned by Brazilian meat company JBS.

Net Income Up for CNH – CNH Industrial finished the second quarter with net income of $710 million. That’s up 29 percent from the same period last year. Net sales in the agriculture division rose four percent to $4.9 billion. Farm equipment sales are at the highest production rate since 2015.

Zoetis Launches Valcor – Zoetis introduces the first and only combination endoectocide in the United States designed for use against internal and external parasites in cattle. Valcor is a prescription injectable product with two active ingredients in a single product.

A New Generation of Farm Management Software – Fargo-based Bushel has announced a new feature to its farm management software. Product Vice President Dane Braun said Bushel Farm now offers automated entry for grain contracts. “Now they can quickly see I have bushels at Arther Companies and maybe I have some bushels over at Hunter Grain or the North Dakota State Mill so they can see that in one spot quickly and be able to manage their business.” In addition to a time savings, this platform automatically generates a grain marketing position.

NCI Expansion on Track – When complete, the Northern Crops Institute will have a new home in the NDSU Peltier Complex. NCI Program Development Manager Casey Petersons says the facility will be expanded to offer more opportunities. “There is a fermented foods lab, there’s a dedicated soy extrusion baking lab; it’s a wide variety of things for those technical customers.” The Peltier Complex is expected to be completed in 2024.

New Canadian Agriculture Minister Appointed – Lawrence MacAulay is back as Canada’s minister of agriculture and agri-food. MacAulay previously served in this role from 2015-to-2019. Prime Minister Justin Trudeau has completed a shuffle of his cabinet ministers. Marie-Claude Bibeau, who has been the agriculture minister, wil take over minister of national revenue.

Verdesian Names New CEO – Clare Doyle takes over as CEO of Verdesian Life Sciences in mid-August. Most recently, Doyle was the chief sustainability officer for Masonite International.

Syngenta Names Senior Communications Manager – Syngenta has appointed Michael Cottingham as its senior communications manager for its North American crop protection business. Most recently, Cottingham was the chief marketing officer for United Way of Greater Greensboro.

SD Corn Comments – In this week’s edition of South Dakota Corn Comments, Ag PhD Host Darren Hefty talks about SD Corn’s involvement in Ag PhD Field Day.

Boydston to Chair USGC – Brent Boydston is the new chairman of the U.S. Grains Council. Boydston is the corn, cereal grains, digital agriculture and carbon lead at Bayer CropScience. Jim O’Conner, who represents the Minnesota Corn Research and Promotion Council, was elected as an at-large director. The USGC board also includes Jean Henning of the North Dakota Corn Utilization Council and Nathan Boll of the North Dakota Barley Council.

Connors Selected for SDSU Position – South Dakota State University has named James Connors as its new associate dean and director of academic programs for the College of Agriculture, Food and Environmental Sciences. Most recently, Connors was the chair of the department of agricultural education, leadership and communications at the University of Idaho. Connors also served as the interim state 4-H director.

Promotions Announced at NDSU – North Dakota State University Agriculture and Extension has announced individuals who have been awarded promotion for their research, teaching and Extension contributions. Carl Dahlen from the Department of Animal Sciences and Frayne Olson of the Department of Agribusiness and Applied Economics are promoted to full professor. Associate Professor promotions have gone to Danielle Condry of the Department of Microbiological Sciences, Andrew Green of the Department of Plant Sciences, Travis Hoffman of the Department of Animal Sciences and Xin Sun of the Department of Agricultural and Biosystems Engineering. Jordan Schrupp of the Department of Animal Sciences is promoted to senior lecturer. Extension specialist promotions include Leadership and Civic Engagement Specialist Jodi Bruns, Cropping Systems Specialist Greg Endres, 4-H Youth Development Specialist Lindsey Leker and 4-H Youth Development Specialist Sue Quamme Wehlander.

KSU Hires ND Native – Jane Schuh has taken over as the director of research and associate dean at Kansas State University’s College of Agriculture. Most recently, Schuh was the director of strategic initiatives at North Dakota State University. Schuh is a native of Sheldon, North Dakota.

A New Hire for NDSC – The North Dakota Soybean Council has welcomed Kim Parisien as its new finance and compliance administrator. The Belcourt, North Dakota native has been working as a business technician at Turtle Mountain Community High School.

Star Farmer Finalist Humbled by Recognition – Farming has always been the plan for one FFA Star Farmer finalist. Ada-Borup/West Chapter member Dan Jossund said this recognition is for something he loves to do every day. Jossund was the Minnesota Star Farmer in 2021. “It’s probably the biggest honor of my life to be among these top-notch people in FFA. To see my name on that list of finalists is a great feeling.” Jossund has two years left at North Dakota State University pursuing an ag business degree and plans to farm full time when he graduates. Watch the full interview with Dan Jossund here. 

Klinefelter Passes – Danny Klinefelter, who was the founder of The Executive Program for Agricultural Producers, passed away. In addition to TETAP, Klinefelter was a professor emeritus at Texas A&M University and an Extension economist. Klinefelter was 76.

Congratulations to KROX-Crookston – The National Association of Broadcasting has announced the finalists for the 2023 Marconi Radio Awards. KROX, Crookston, Minnesota, is one of five finalists for the small market station of the year. KROX is an affiliate of the Red River Farm Network