A Weekly Update from the Red River Farm Network
Monday, November 11, 2024
Heading to KC – The members of the National Association of Farm Broadcasting will be in Kansas City this week for the group’s annual convention. There will be plenty of interviews and business meetings. Old friends will gather and new contacts will be made. Friday night’s banquet is a tribute to NAFB President Carah Hart’. We’re proud to have had Carah behind the Red River Farm Network microphone for many years and we congratulate her for her service to agriculture and the farm broadcasting industry.
Trump Wins – The 45th president of the United States is now in line to also be the country’s 47th president. With the election of Donald Trump, stocks rallied on Wednesday. The Dow Jones Industrial Average rose 1,425 points, reaching a record high. The Dow hasn’t gained more than 1,000 points in a single day since November of 2022. The S & P 500 and the Nasdaq Composite also made all-time highs.
RFK Jr. Likely to Have an Advisory Role – Veteran Washington analyst Jim Wiesemeyer is describing Donald Trump’s win as the greatest political comeback in history. Trump won all of the battleground states and expanded his broad support in rural areas. Trump has said Robert Kennedy Jr. would have a role in his administration working on food and agriculture policy. Wiesemeyer does not believe that would be a cabinet position. “I don’t think RFK Jr. could be cleared by a Senate, even a Republican Senate; he’s just too controversial,” said Wiesemeyer. “That suggests to me that if he does come in it’ll be in an advisory capacity. I know Trump is favorably inclined to give him the benefit of the doubt initially but he’s going to have to reign him in eventually.”
Long List of Potential Ag Secretary Contenders – The speculation now begins over who will get the nod for Trump’s new cabinet. Numerous names are part of that guesswork for agriculture secretary including former ambassador to the UN Agencies for Food and Agriculture Kip Tom. Tom is an Indiana farmer and co-chaired the ‘Farmers and Ranchers for Trump 47 Committee.’ Other potential choices include Texas Agriculture Secretary Sid Miller, American Farm Bureau Federation President Zippy Duvall, former House Agriculture Committee Chairman Mike Conaway, former USDA Undersecretary Ted McKinney and former USDA Chief of Staff Ray Starling.
Klobuchar Wins 4th Term – In Minnesota, incumbent Senator Amy Klobuchar won re-election with a 16 percent margin. All incumbent congressional representatives on the ballot will return to Washington for another term, including House Agriculture Committee members Brad Finstad and Angie Craig. Representative Michelle Fischbach won in western Minnesota with more than 70 percent of the vote.
GOP Victory in ND, SD Statewide Races – In North Dakota, Kelly Armstrong moves from his congressional office in Washington, D.C. to the governor’s office in Bismarck. Senator Kevin Cramer won over Democrat Katrina Christiansen with a 66-to-33 percent margin. Longtime Public Service Commissioner Julie Fedorchak easily won North Dakota’s lone congressional seat. In South Dakota, Congressman Dusty Johnson won another term. Johnson is also a member of the House Agriculture Committee.
ND Voters Weigh In On Property Taxes – North Dakota voters rejected a measure that would have abolished the state’s property tax system. Sixty-three percent of voters opposed Measure 4.
SD Voters Reject Controversial Landowner Bill – The ballot measure dealing with carbon pipelines in South Dakota was rejected by voters. Hand County Commissioner Jim Eschenbaum helped lead the effort against Referred Law 21 and said this was an issue for the Legislature. “They’ve misleadingly called it the Landowner Bill of Rights, nothing could be farther from the truth. It is the Summit Carbon Solutions Bill of Rights.” Eschenbaum said opponents to the proposed pipeline dodged a bullet, but the fight isn’t over.
Lamb Processer Will Remain in Business – In Denver, voters rejected a ballot measure that would have banned slaughterhouses within city limits. The facility targeted with this initiative is Superior Farms, which processes as much as 20 percent of the U.S. lamb supply.
An Even Split – The Minnesota House is evenly split 67-to-67 between Republicans and Democrats. A recount appears likely in one district in the southwest metro and the election results won’t be certified until November 21. House Democrats chose Representative Melissa Hortman as its speaker-designate while Republicans selected Representative Lisa Demuth for the same role. Maneuvering through a power-sharing arrangement will take some give-and-take on both sides. A tie between the two parties only happened once before and that was 45 years ago.
Divided Government Will Change MN Legislative Dynamics – The control of the Minnesota House remains uncertain, but it could end up being a 67-67 tie. Rather than the current DFL trifecta, political analyst, Blois Olson, expects a different scenario for the next session. “I think the biggest issue is how you get a budget done with a tied House,” said Olson. “Governor (Tim) Walz is going to come back. I think his attitude, his experience on the national stage and how he chooses to work with the Legislature is going to be one of the key components. He has not been as engaged with the Legislature as other governors. He’s only got one veto in six years. Aas a former legislator, he thinks that the Legislature should do their job and he should work with them. He’s probably going to have to dive in earlier with the split House.”
Petersen Optimistic About 2025 Session – With the election behind us, the Minnesota Department of Agriculture is preparing for the 2024 legislative session. Agriculture Commisioner Thom Petersen is evaluating budget and policy priorities. “Some of the policies that we’ve looked at would really focus around animal disease.” High path avian influenza and African Swine Fever are two animal health threats mentioned. There will be different dynamics at play for the upcoming legislative session. “With the tie in the (Minnesota) House, that’s not the end of the world for agriculture. Agriculture works together a lot of times in the Legislature so I’m optimistic that we’re one of the bills that can get done.”
A Repeat of the Tariff Wars – During the Crop Outlook and International Durum Forum, Gulke Group President Jerry Gulke reviewed the election and its impact on markets. Gulke worries about a repeat of 2018 and 2019 tariff wars. “We see pretty much the same fundamental situation that we had going into the election and now that President-Elect Trump is going to be in office again, we can expect him to follow through on his restrictions on imports and taxing the imports as he did before.” In Gulke’s view, the government may need to take a creative approach to address the large carryover, such as a strategic corn reserve. “At some point, you’ve got to get rid of that surplus.”
Senate Control Moves to the Republicans – The Republicans won control of the U.S. Senate. Arkansas Senator John Boozman will chair the Senate Agriculture Committee and Minnesota Senator Amy Klobuchar will be the Ranking Member. Informa Economics Washington analyst Jim Wiesemeyer said the election may push the farm bill to the priority list in the lame-duck session. “I think this ups the odds of at least a possibility that we’re going to have the meeting of the minds in the four corners in agriculture in the House and the Senate and we could well see it.” Time is of the essence because there are a lot of big-ticket issues on the agenda next year, including the budget, tax cuts that expire at the end of 2025 and an increase to the debt limit.
Klobuchar Wants Farm Bill Before the End of the Year – Minnesota Senator Amy Klobuchar will serve as the Ranking Member of the Senate Agriculture Committee in the next session of Congress. During a stop at the Minnesota Ag and Food Summit, Klobuchar said she’d prefer to complete the farm bill before the beginning of the new year. “I just think we’re going to be better off when we’re doing all the disaster relief for the southern states and we’re doing that with good reason, there’s going to be funding that’s spent on that if the farm bill gets jettisoned as kind of an orphan at the end of next year with an extension, it might be harder for us to get some of the resources that we want.” In addition to the farm bill, the 45Z tax credit guidance, year-round E15, and flex-fuel vehicles are on the ‘to-do’ list. When an immigration bill is heard, Klobuchar also emphasized the need to address ag labor issues.
Economic Relief Likely, Farm Bill Not – University of Missouri Food and Agricultural Policy Research Institute Director Pat Westhoff is not optimistic that a new farm bill will be finished before the end of the year. “The fact that we haven’t been able to reach a compromise yet on the bill makes it difficult to imagine how we get the entire thing done during a short lame duck session.” Westhoff believes there is more support for economic relief. “I do think the chance of some sort of economic assistance package is probably a bit higher,” Westhoff told RRFN. “Separate from a farm bill, a shorter-term bill that might actually provide some additional support to farmers might still be possible.”
Farm Bill Uncertainty – With the election over, Minnesota Farmers Union President Gary Wertish wants the focus is return to the farm bill. “The top thing on everybody’s mind is the importance of getting a farm bill done, hopefully within this lame-duck session. I did talk to (Minnesota Senator) Amy Klobuchar this (Wednesday) morning and she’s very committed to doing it.” Wertish admits there’s no guarantee the legislation willl be addressed before the end of the year. “There’s uncertainty with that, too, whether we’ll go forward, or they’ll decide they want to hold off and put it into the next session which starts the whole process all over again.”
Farm Bill May be Punted To ’25 – Congress has a big ‘to-do’ list during the lame-duck session. What does that mean for agriculture? “Honestly, I think the real question for people in agriculture is not whether or not we’ll do a farm bill in lame duck, but really whether we even do one in 2025,” said Jay Truitt, president/CEO, Policy Solutions. “It may take a while; I can imagine a lot of stuff changing on the nutrition side of the equation now.” Truitt expects Congress to address disasters, like the drought and hurricanes, before the end of this term. Regarding President-Elect Trump’s cabinet, Truitt believes there will be a role for North Dakota Governor Doug Burgum. “I’d be surprised if he doesn’t have something to do with the Energy or Commerce departments; he’s earned his place just from a policy knowledge standpoint.”
Agriculture Can’t Afford to Kick the Can Down the Road Again – For Minnesota Farm Bureau President Dan Glessing, the goal is still to get the farm bill done this fall. “Think about when this farm bill was passed and the extension last year; think about how long ago that was, we’ve come through COVID and the inflationary pressures that we’ve seen, to kick it down the road again is not something that we’re willing to entertain at this point.” Glessing said it will not be a pleasant thing for farmers to do their cash flows this fall. “A farm bill with some certainty in it would really help.” The Minnesota Farm Bureau Resolutions Committee met last week and member/delegates will vote on policy issues in a week and a half.
Ag Leaders Push for Financial Aid and Farm Bill Action – A financial assistance package is top of mind for agricultural policy going into the lame duck session. “There’s a lot of concerns about people just lining up financing for the ‘25 crop periods, as crop prices are still projected to be very low,” says Tom Sell, managing partner, Combest Sell and Associates. “And so I think you’re going to see a lot of emphasis on getting this done.” Sell also expects pressure to get a farm bill complete before a new Congress takes over in January.
Help Needed to Bridge the Gap – Minnesota Soybean Growers Association President Darin Johnson doesn’t expect the farm bill to pass this year. “With the Administration change, there’s too many things are going to be happening and the can will be kicked down the road. If it looks like there is a possibility, we’re going to get out there and certainly put some pressure on and try to get it done.” Johnson says his focus is on an assistance package in the meantime. “The cost of production has increased dramatically where prices are well below our cost of production. We’re going to have to try and figure out some way to bring that gap together and ad hoc programs like that.”
USDA Lowers Corn, Soybean Production Estimates – In Friday’s report, USDA forecast corn production at 15.1 billion bushels. That’s down one percent from the previous estimate. Yields are expected to average a record 183.1 bushels per acre. Soybean production is forecast at 4.46 billion bushels, down three percent from the last report. Yields are projected to average 51.7 bushels per acre.
MN Corn Estimate Unchanged From October – The Minnesota Agricultural Statistics Service has forecast corn yields at 183 bushels per acre, unchanged from October. The average soybean yield is down two bushels per acre from last month at 46 bushels per acre. Minnesota’s sugarbeet yield is forecast at 29.9 tons per acre, down one ton from October’s estimate. Potato production in the state is projected to be down ten percent from 2023 with an average yield of 400 hundredweight per acre.
Beet Stock Values – American Crystal Sugar Company beet stock trended down last week as more shares hit the market. According to Acres & Shares broker, Jayson Menke, 202 shares were brokered at $5,500 and 222 shares at $5,400 per share. The average price for the week was $5,447.64 per share.
ND Farmers Harvest a Record Soybean Crop – North Dakota’s 2024 soybean production is forecast at a record 251 million bushels, up 15 percent from last year. Soybean yields total 38 bushels per acre, up 2.5 bushels per acre from 2023. USDA estimates North Dakota corn yields to average 149 bushels per acre, up six bushels. Record sugarbeet yields are being reported, averaging 31.6 tons per acre, up 4.8 tons from last year. Potato production in the state is down 12 percent from last year with yield estimated at 320 hundredweight per acre.
A Big Corn Crop in SD – Based on November 1 conditions, South Dakota corn production is forecast to be up two percent from last year and is record high. The average yield is estimated at 166 bushels per acre, up 14 bushels per acre from last year and is a new record. South Dakota’s average soybean yield was 45 bushels per acre, up one bushel from last year.
Impressive ND Corn Yields – Thunder Seed District Sales Manager Derek Haug says this year’s corn harvest turned out better than expected. “All of the varieties did really well. Our 92-day was in the 220s. Our 83-day was averaging over 200 (bushels) an acre; harvest went really well.” The soybean results were more variable. “It depended on who got the rain and who didn’t. We had beans that went into the 60s and we had areas where we averaged 30s to 40s. It just depends on if they were lucky enough to catch those late-season rains.” Haug’s territory is in southern North Dakota.
Fast Harvest – The harvest across eastern North Dakota and northwest Minnesota went fast. “Maturity, in some cases, came on so quickly that some corn dried down to 13 to 14 percent moisture,” explains Kevin Sinner, field agronomist, Pioneer. There weren’t many disease or insect issues for Sinner’s region, but he reminds farmers to be ready for both next year, especially corn rootworm and soybean cyst nematode. “I think we have to be cautious and plan for it to happen again.”
Phenomenal – In the Grace City, North Dakota area, Justin Topp brought in better-than-expected corn yields. “I was really concerned early on with the amount of water we had early on in the season, I wasn’t sure how it was going to turn out,” said Topp. “The good areas of the fields have definitely outweighed the drown-out spots so, yeah, overall it’s just been a phenomenal yield.” It’s not a record corn crop, but it will be “darn close.” Topp said it was nice to harvest corn under 20 percent moisture.
Farmers Struggle with Limited Storage Space – In the Litchville, North Dakota area, Ron Truax says farmers are running out of bin space to put their corn. “It’s a good corn crop so it’s taking a lot of space. So there’s bags getting filled on the ground.” With most of the crop harvested, many farmers are working on tillage. “I don’t think anybody’s looking for a lot of rain right now. They’d like to finish up a little more fall work here.” Truax leads the Spring Creek Ag seed agency.
Wide Range in Sunflower Performance – The sunflower harvest is in the final stages in the Onida, South Dakota area. “I’ve heard anywhere from a ton to 3,000 pounds (yields) so there’s some variance there depending on when they got in and what kind of moisture they got towards the end,” said Tim Luken, general manager, Oahe Grain.
Tough on Equipment – With harvest nearly wrapped up, tillage and fall fertilizer applications are happening. The late-season dry conditions took the top off of the yields this year. “Our yields were all over the board due to the growing season we had,” said Brian Weller, regional agronomist, Dairyland Seeds. The dry conditions have also been a challenge for tillage. “We’re finding out where our weak spots are on some of the equipment. The ground is pulling very hard.”
Big Bean Crop Follows a Wet Start – This year’s soybean crop made a major reversal after early rains had many farmers scrambling for replants. “The soybeans were awesome this year,” said Rock and Roll Agronomy owner Jason Hanson. “We had probably one of our biggest soybean crops we’ve had in a while and yields would be even higher if we hadn’t had all the drownouts.” The corn also turned out well. “I’ve had people say their corn went from zero to 240 bushels and most of this area is a 79-to-83-day corn so the bushels have been really decent.”
Saving on Inputs Without Sacrificing Yields – Corn and soybean prices might be causing farmers to tighten their belts this year. “There’s a lot of opportunity to both save dollars with diesel fuel and all of the equipment expenses without sacrificing soybean yields,” says Seth Naeve, University of Minnesota. “Reducing tillage is an option.” According to Naeve, decreasing seed treatments could also be a way to save on input costs during tighter years.
MN Corn Matters – Minnesota Corn Growers Association board member Nick Peterson talks about Minnesota Corn’s involvement in the advancing Nitrogen Smart Podcast. Listen to the update.
Soil Sampling Season Nears Completion – Soil sampling is getting close to completion. “Sometimes we get caught somewhere in November when snow is flying and right now we’ve got at least another two good weeks of weather,” says John Breker, soil scientist, Agvise Laboratories. There is still time to get sampling done but Breker wants growers to act now. “Don’t wait, go ahead and get those samples collected now so that you can make the best fertilizer decisions over the winter.”
Managing Nitrogen Losses Key for Next Year – University of Minnesota Extension Soil Scientist Jeff Strock says managing fertilizers will be important going into next year. “A lot of nitrogen was lost before any spring-applied nitrogen was put on and it wasn’t necessarily the fall-applied N that leached out. There was likely some residual N carryover from these last three years that may have come out of the profile.” Strock says practices are available that could prove more beneficial than just applying more nitrogen. “We’ve got bioreactors and saturated buffers, things like cover crops, in the entire field. There are practices out there that if we start seeing some of these losses, there are some things out there that we can do.”
Plan Ahead for Next Year – One of the benefits of the dry weather seen throughout most of the Northern Plains this harvest season was the low disease pressure for soybeans. “We didn’t see a lot of diseases showing up because we didn’t have any of that moisture in the latter half of the season,” said NDSU Extension Soybean Pathology Specialist Wade Webster. “All in all, it was a fairly uneventful harvest and very, very quick getting through everything.” It’s never too early to start preparing for next year. “It’s easy to forget everything that happened back in May and June with all of our seedling diseases and the flooding that we saw.” Webster asks growers to think back to that disease pressure and the management practices that could have alleviated them.
Making Seed Decisions – Seed supplies should be in good shape for the year ahead. That doesn’t mean farmers should wait until the last minute to purchase seed. “I would be checking with who I purchase seed from, whether it is a seed dealer or retailer, I would be checking to see if I’m safe to wait if I want a specific WestBred, Syngenta or even the public varieties that are out there,” said North Dakota State Seed Commissioner Ken Bertsch. Starting at this time of year, bulk seed is beginning to move. “Dealers might be recognizing a particular variety is going to be in high demand and they’re trying to place some in their warehouse or bins.” There was talk of pre-harvest sprout problems in wheat. The bigger issue may be with fragile seed crops, like soybeans and field peas, “where the harvest conditions were so dry.”
A Warning About Red Crown Rot in Soybeans – Soybean Cyst Nematode and Sudden Death Syndrome are known causes of soybean yield loss, but a new disease, Red Crown Rot, is starting to show up with similar results. “Like SDS, Red Crown Rot is very similar in that it also gets in the plant early in the season and doesn’t express itself until late as well with this foliar leaf scorch,” said Syngenta Agronomic Service Representative Matt Geiger. “You need to control both of those with a seed treatment, you want to prevent them from getting in the plants when they’re young.” Distinguishing between Red Crown Rot and SDS can be difficult. “They look a lot alike. You need to look at the roots late-season if you want to try and identify between the two because at face value you think you have SDS because the foliar scorch looks very similar.”
ASA Survey Highlights Importance of Seed Treatments – The American Soybean Association and the United Soybean Board surveyed soybean farmers about the use of seed treatments. ASA Economist Jacquie Holland found the results to be very one-sided. “We found that 90 percent of soybean acres in the U.S. utilize treated seeds and that about 37 percent of the farmers we surveyed would expect to see a six percent to ten percent yield decrease without having that seed treatment technology available.” The yield loss and income decrease without seed treatment availability quickly add up. “For perspective, an eight percent yield downgrade from the current national estimate of 53.1 bushels per acre would result in a 4.2 bushel per acre loss. Last week, November soybean futures were trading around $9.95 a bushel. That would translate into a $42 per acre loss in revenue.”
Dry Bean Scene – In this week’s Dry Bean Scene, NDSU Extension dry bean breeder Juan Ororno highlights his new fellowship. Listen to the report.
Farming for the Future – The Minnesota Department of Agriculture is partnering with the Red River Farm Network and the Linder Farm Network to provide information on soil health events and topics. This week, Arial Kagan, Minnesota Farmers Union, talks about the new Green Ammonia Summit that will be held in December. Click here to listen.
DG Fuels to Build SAF Plant in Moorhead – A sustainable aviation fuel project is coming to Moorhead. DG Fuels will convert biomass, including corn stover and timber waste, into the jet fuel. This facility expects to begin production in 2030, producing 193 million gallons of SAF per year. DG Fuels is based in Washington, D.C., and is also building a plant in similar plant in Louisiana.
Moorhead Chosen as Minnesota’s SAF Hub – The Moorhead location for a new SAF production facility for the Minnesota Sustainable Aviation Fuel Hub was not random. “The desired input in this case is agriculture and forest waste, then they had confidence that they would have access to very large volumes of these,” said Peter Frosch, CEO, Greater MSP. With everything falling into place, Frosch is glad to help bring these opportunities to all of Minnesota. “I really like the idea that we’re knitting together this economy that’s anchored at MSP airport in the metro but hooks to the other edge of the state.”
Register Now for Green Ammonia Summit – Attend the Green Ammonia Summit on December 10 at the University of Minnesota-Morris to be part of the conversation on clean energy policy, rural economic opportunity and decarbonization in agriculture. The Summit will focus on the opportunities and potential of green ammonia to benefit farmers, communities and the climate. Green ammonia uses renewable energy to create nitrogen fertilizer locally and sustainably. The Summit will bring together farmers, technical experts, policymakers and leaders from cooperatives, utilities and food companies to discuss the future of regionally produced green ammonia. Speakers include Courtney Hall, Senior Director of Sustainability at CHS; Erin Heitkamp, VP of Supply Chain Development at Gevo; Tom Rabaey, Senior Research & Development Manager at General Mills, and Mike Reese, Green Ammonia Research Lead at WCROC. The summit is hosted by Minnesota Farmers Union in partnership with West Central Research and Outreach Center, AURI, Fresh Energy and others. Go online for more information and to register.
Agtegra Receives $6 Million USDA Grant for Fertilizer Expansion – USDA announced investments to incentivize domestic fertilizer production. One of the groups receiving funding through the Fertilizer Production Expansion Program is Agtegra Cooperative in South Dakota with a $6 million grant for expanding its prescription agronomics business. “We’re very excited about the impact this will have on the farmers in our region,” said CEO Jason Klootwyk. “There’s increased access to locally-produced starter fertilizers, ensuring that farmers have the necessary nutrients tailored to their specific soil needs and this grant allows us to create jobs and stimulate local economies through growth, as well.”
Canola Minute – Here’s the latest Canola Minute from the Northern Canola Growers Association. This week, Northern Canola Growers Association Executive Director Barry Coleman joins us to discuss results of the annual meeting. This meeting was held in conjunction with the Crop Outlook and Durum Forum in Minot. Officer elections and award winners are highlighted this update. Click here to listen.
Rate Cut – The Federal Reserve Open Market Committee approved a quarter-percent interest rate cut. The benchmark federal funds rate is now in the range of 4.5 percent and 4.75 percent. Fed Chair Jerome Powell said inflation can continue heading lower with a solid economy.
What’s Hot, What’s Not in the Markets – In today’s edition of What’s Hot, What’s Not in the Markets, Martinson Ag Risk Management President Randy Martinson said wheat is slipping lower. “The cattle market is also a little soft.” There’s a more positive trend on Wall Street and in the veg oil markets. Click here to listen to the report.
Watch the Value of the Dollar – The Fed’s interest rate cut made headlines, but Cornbelt Marketing analyst Tyler Endress is paying more attention to the value of the U.S. dollar. “As the dollar strengthens and as the Brazilian real loses to the dollar, that makes Brazilian farmers more profitable in the export market.”
Ag Barometer Shows Highest Optimism Since July 2023 – The Purdue University/CME Group Ag Economy Barometer saw a bounce in positivity this past month. “The biggest driver behind that was people became more optimistic about the future,” said Center for Commercial Agriculture Director Jim Mintert. “It was the highest reading we’ve gotten on that index since July of 2023. After a down year in 2024, Mintert believes farmers expect the recent downturn to be transitory, with prices bouncing back in 2025. This month’s poll was conducted before Election Day.
Job Opportunities in Agriculture – Check out the Job Opportunities tab on the Red River Farm Network website. The Pennington County Farm Service Agency is hiring a full-time temporary program analyst in Thief River Falls. If your business has a job opportunity, contact the Red River Farm Network to reach your future employee.
Corporate Transparency Filing Must be Done by the End of the Year – Farmers are facing a January 1 deadline to file detailed ownership information to the Treasury Department. AgCentric Executive Director Keith Olander says this was part of the Corporate Transparency Act that passed in 2021. “Any farm that has an entity, LLC, S-Corp, etcetra, they are required by the new law to register online and to have that done by December 31st. There is a fine that’s attached to that if you don’t comply.” There is an online filing available for this program. “The last I knew, we had less than 20 percent of farms that actually had done that so it needs to be done in the next six weeks.
Food Prices Climb to 18-Month High – The UN Food and Agriculture Organization’s new food price index says October food prices reached the highest level in a year-and-a-half. Vegetable oil prices rose more than two percent. October sugar prices increased nearly three percent due to concerns over Brazilian crop prospects. Cereal prices increased less than one percent while meat prices declined 0.3 percent.
Labor Conflict at Port of Montreal – Dockworkers at the Port of Montreal have rejected a contract offer from the Maritime Employers Association, bringing work at Canada’s second-largest port to a stop. With the shutdown, shippers are expected to move to U.S. ports, increasing the logistical issues on the West Coast.
National Wheat Yield Results Are In – The National Wheat Yield Contest has announced 26 national winners and 94 state winners for the 2024 competition. There was a record number of entries with 516. National winners include Nick Pfaff of Bismarck in the dryland spring wheat category. The CROPLAN variety yielded 117.6 bushels per acre. Brad Disrud of Rolla won the new pilot digital yield category with 102 bushels per acre with a WestBred variety. Milnor farmer John Hoefer is the digital winner for the highest percentage above the county average with a yield of 98 bushels per acre, 62 percent above the county average. Hofer also grew a WestBred variety. For the state winners, John Wesolowski of Warren, Minnesota was a winner in the spring wheat dryland category with a yield approaching 115 bushels per acre with his WestBred wheat. Fairview, Montana farmer Jeff Bieber won the irrigated spring wheat contest. The WestBred variety yielded over 108 bushels per acre. In the dryland winter wheat competition, Richard McDonald of Inkster was the North Dakota state winner with a WestBred variety, yielding more than 136 bushels per ace. The South Dakota winter wheat champion is Lee Lubbers of Gregory at 138 bushels per acre with his AgriPro variety.
A Learning Opportunity – National Wheat Foundation Project Manager Anne Osborne said the National Wheat Yield contest is a learning opportunity. “If these guys can do it, you can do it, too,” said Osborne. “We can grow high-yielding, high-quality profitable wheat, and keep the wheat in the rotation. It does really good things for the rest of your farm. You’re breaking up the cycle from soybean cyst nematode or some of those other pests and spread out the workload.” In addition to bushels, this contest examines the wheat for quality. The top-quality winners will be announced in mid-January. Listen to the interview.
What a Difference a Year Makes – Aberdeen Livestock owner Kevin Larson notes increased backgrounding activity in his area. “You’re seeing new people and people who have not backgrounded cattle for years that are buying calves and adding to their herds.” Larson doesn’t expect a major rebuilding of the cow herd, but anticipates some activity. What a difference a year makes. “A year ago in September, we were selling a lot of these cows that were bred for 90-95 cents a pound and now bringing $2,300 up to $2,600 (per head) for a running-age bred cow. It’s a big difference in just one year.” Larson believes he’ll see $3,000-to-$4,000 per head prices for the right kind of cows this winter.
179 Weeks and Counting – Cattle markets remain historically high. “Production is steady, slightly ahead of last year, with larger cattle weights boosting output,” says Nevil Speer, independent consultant. The average steer carcass weight reached 960 pounds two weeks ago. “The industry has seen a remarkable 179 consecutive weeks of price increases, with only a brief pause in September, followed by another six-week streak of growth.” Speer credits this success to strong consumer demand, which drove the cattle market’s post-COVID recovery.
Appeal Filed on RFID Tag Requirement – As USDA’s final ruling for mandatory RFID ear tags for cattle goes into effect, R-CALF USA is asking the federal courts to intervene. The brief was filed by the New Civil Liberties Alliance on R-CALF’s behalf. In addition to the government oversight, R-CALF CEO Bill Bullard said the rule adds unnecessary costs to cattle operations. “It’s about gaining more managerial control over the livelihoods of independent livestock producers and dictating how they must manage their cattle in Phase One,” said Bullard. “In order for this rule to be effective, there must be another rule in the pipeline. That second rule is going to impose even more burdensome costs.” R-CALF is collecting signatures for a petition requesting that Congress step in and reverse the USDA mandate.
CDC Calls for More Testing – Farm workers who have been exposed to avian influenza should be tested for the virus even if they don’t show symptoms. The Centers for Disease Control and Prevention is making that recommendation as USDA steps up its testing of milk for H5N1. This virus has been found in 450 dairy farms across 15 states.
New H5N1 Research Project Funded – The Swine Health Information Center, the Foundation for Food and Agriculture Research and the Pork Checkoff are working together to fund a $4 million research program. The focus will be on the prevention, mitigation and response capabilities for H5N1 in the U.S. swine herd. USDA reported the first H5N1 virus case in a pig in late October. This animal was on a small Oregon backyard farm. While it was not in a commercial operation, this confirmation increases the concern for the U.S. swine industry.
Dairy Checkoff Release ’23 Financials – Dairy Management Inc. has posted its 2023 annual report. The dairy checkoff program had total investments of $262.6 million last year. A focus has been on boosting domestic and international dairy sales, building trust with consumers, promoting dairy as a sustainable and essential food source and engaging farmers and the broader dairy community.
WCAS Patron Meeting Rescheduled – The West Central Ag Services board of directors postponed Thursday’s special meeting. The meeting was rescheduled until November 26 so the board has time to review the takeover offer from The Arthur Companies. WCAS patrons were scheduled to vote on a proposed merger offer from CHS. In a notice on its website, WCAS officials said the board was taking The Arthur Companies’ offer seriously. The additional time will provide more time to evaluate both offers.
The Arthur Companies Offer an Alternative – The Arthur Companies made an unsolicited bid for West Central Ag Services in April. Arthur Companies CEO James Burgum said they were told at the time they were outbid for this deal. “When we learned last week of the definitive proposal, we took a quick look at it and we were surprised, we felt that the Arthur Companies’ offer was better for growers’ bottom line.” A week ago, Arthur Companies took its bid offer directly to the patrons of WCAS. The Arthur Companies published its offer online.
CHS Highlights the Value Proposition for Growers in Proposed WCAS Merger – CHS Executive Vice President of Ag Retail, Distribution and Transportation Rick Dusek said there is a synergy seen within its proposed merger with West Central Ag Services. “Whether it’s domestic markets or international markets, we have a strong global supply chain,” said Dusek. “Our whole goal is to connect the farmer to the global supply chain and do it as efficiently as possible and drive as much value as we can.” If a merger happens, Dusek said there would still be a competitive environment for farm inputs in the region.
The Latest Data From Minnesota Farm Country – An agricultural impact study will be released later this month, but AgriGrowth members got a preview during the Ag and Food Summit. Land O’Lakes Vice President of Government and Industry Relations Matt Wohlman said agriculture accounts for 8.5 percent of Minnesota’s economy and is responsible for 330,000 jobs. “Another key finding from the report is the economic contribution of crop production has overtaken livestock production in Minnesota and while both crop and livestock production are up, crop production is growing at nearly twice the rate over the last five years,” said Wohlman. “When it comes to job creation, more than 18,000 jobs were created by crop production in the last five years, that’s a 21 percent increase. For livestock, we’ve seen a loss of jobs. About 6,700 jobs, a decrease of about five percent.” The research found the average Minnesota farm has 390 acres. That’s only slightly larger than the 350-acre average 25 years ago. During that same time, the average market value of that farm has increased nearly 500 percent.
Don’t Move the Goal Posts – Wells Fargo Chief Agricultural Economist Michael Swanson compared Minnesota with other Midwestern states during his AgriGrowth presentation. Swanson said Minnesota would benefit if it leaned into specific segments of animal agriculture, especially the poultry and swine industries. To grow the livestock and poultry sector, Swanson advocates for a consistent environmental regulatory framework. “Companies achieve a standard that was deemed acceptable five years ago and they’re told it’s no longer acceptable and they’re not really given a cost-benefit rationale for that so I would say once goalposts are set, you’ve got to have a good reason to move the goalposts.”
New UM President Speaks at AgriGrowth Event – University of Minnesota President Dr. Rebecca Cunningham made an appearance at the Minnesota Ag and Food Summit. The new university leader said the state is unique because it has five institutions that all provide a degree from the University of Minnesota. “You can get an amazing degree at (University of Minnesota) Crookston and it is a University of Minnesota degree. It is a different experience that may be tailored better to what you need and what you want than you would get at Morris or Duluth. The same is true for the students that are there.” Cunningham wants a seamless transition between schools, including an easier way to transfer credits.
Deadline Nears for MSGA Young Farmer Workshop – The Minnesota Soybean Growers Association is partnering with Profinium for the Young and Emerging Farmer Workshop. “The workshop is being held January 21-23 along with the MN Ag Expo Farm Show,” said MSGA director Adam Guetter. “Not only will this workshop offer educational opportunities and focus on practical skills, but it will also act as a great networking opportunity to connect with other young and emerging farmers across Minnesota.” Applications for the 40 available slots close Friday, November 15 and more information can be found at mnsoybean.org.
Interest Income Declines for Farmer Mac – The Federal Agricultural Mortgage Company, also known as Farmer Mac, provided $2 billion in liquidity and lending capacity to rural lenders. Net interest income totaled nearly $87 billion, down nearly $1 billion from the third quarter last year. Going forward, Farmer Mac officials said proactive management of its balance sheet is its core focus.
CHS Finishes Fiscal Year With $1.1 Billion in Net Income – CHS is reporting annual net income of $1.1 billion. That compares to $1.9 billion for fiscal year 2023. According to a company news release, the financial performance was solid across all segments, but down from the record earnings a year ago. The CHS ag division enjoyed improved margins and higher volumes for wholesale and retail agronomy products. Margins were tighter in the grain and oilseed sector due to the global market Unfavorable industry conditions hurt CHS’ refinery and renewable fuel business. CHS plans to return $600 million in cash patronage and equity redemptions to its members. “In the past couple of years, we put out over $2 billion in cash to our owners,” said Jay Debertin, president/CEO. “It goes right back to the rural areas that we do business in and right back to our owners.” In an interview with RRFN, Debertin recaps the year, looks ahead to 2025 and comments on the possible merger with West Central Ag Services.
Corteva’s 3Q Influenced by Argentine Weather – For the third quarter, Corteva’s net sales declined ten percent from the same period last year. Crop protection sales rose, but were offset by lower seed volume. A reduction in corn-planted acreage in Argentina was blamed for the downturn in seed sales. The crop protection business was driven by weather and just-in-time purchasing behavior in North America.
AGCO Suffers a Sales Decline – AGCO finished the third quarter with net sales of $2.6 billion. That’s down 25 percent from the same quarter in 2023. AGCO officials said farmers and dealers were more conservative due to low commodity prices and high input costs. In North America, the most significant drop-off in sales was in the high-horsepower and mid-range tractor categories and with hay equipment.
Nutrien Reports Third Quarter Financials – Nutrien finished the third quarter with net earnings of $25 million. That’s down from $82 million in the third quarter of last year. Nutrien said the fall fertilizer application season was supported by an early harvest and the need to replenish soil nutrients.
Revenues Rise for Zoetis – Zoetis had third quarter revenue of $2.4 billion, an increase of 11 percent from last year. Zoetis CEO Kristin Peck said the company had 15 percent revenue growth in the U.S. and a 13 percent operational revenue growth internationally.
Incumbent WTO Director-General is Sole Candidate for Another Term – World Trade Organization Director-General Ngozi Okonjo-Iweala will serve another four-year term in the role when her current term ends at the end of August 2025. Okonjo-Iweala was the sole candidate. She is a Nigerian economist and has led the WTO since 2021.
A New NDSF Officer Team Installed – The North Dakota Stockmen’s Foundation has a new president. Jason Leiseth of Arnegard succeeds Jeff Schafer of New Rockford. Tim Erbele of Streeter and Randy Schmitt of Rugby are serving in vice presidential roles. Shane Anderson of Towner and Lowell Malard of Bismarck are new appointees to the foundation board.
Potato LEAF Class of 2025 Announced – The Potato Leadership, Education and Advancement Foundation has announced its Class of 2025. Potato LEAF will receive an overview of the potato industry, tour local agribusinesses and learn from public policy and communications experts. From this region, the participants include Alexandra Bare of Halstad, Minnesota and Landon Thomson of Grand Forks, North Dakota.
SD Corn Comments – In this week’s edition of South Dakota Corn Comments, Sam Nelson, a South Dakota Marine Corps veteran, Sam Nelson, wants to thank all the veterans and their families this Veteran’s Day. Listen to the report.
Hanson Succeeds Spronk at USMEF – Nebraska cattle feeder Steve Hanson is the new chairman of the U.S. Meat Export Federation. Hanson succeeds Minnesota pork producer Randy Spronk. The new chair-elect is Jay Theiler, who is with Agri-Beef. The vice chair is a grain and livestock producer in southeastern Nebraska. Dave Bruntz is a past president of the Nebraska Corn Council and Nebraska Cattlemen.
SSGA Appoints New Executive Director – Randy Duckworth will be the new executive director of the Specialty Soya and Grains Alliance. Duckworth is a representative of the International Agri-Food Network and the Feed the Future Innovation Lab for Legume Systems Research at Michigan State University. Duckworth’s tenure will begin January 6. Eric Wenberg retired from SSGA on September 30.
From NGFA to IFPA – Sarah Gonzalez is the new communications and public affairs director for the International Fresh Produce Association. She has been in a similar role for the National Grain and Feed Association. Before that, Gonzalez was an associate editor for Agri-Pulse.
A Career Move for Bray – After 16 years with CropLife America, Kellie Bray has joined the Global Farm Network as its director of partnerships. Previously, Bray worked for the National Association of Professional Insurance Agents and the National Cattlemen’s Beef Association.
Youngerberg Recognized With Distinguished Service Award – The Minnesota AgriGrowth Council presented its Distinguished Service Award to Minnesota Soybean Senior Director of Product Development Mike Youngerberg. “To everybody here in the room, thank you, because this agriculture here in Minnesota,” said Youngerbert. “The people here in the room, the organizations and businesses, you are what makes Minnesota the #1 ag state in the United States. Among other things, Youngerberg was recognized for his work in developing Minnesota’s biodiesel industry. Previous winners of this award include Don Schiefelbein, Dave Preisler, Kris Duncanson, Gene Hugoson, Kent Thiesse and Paul DeBriyn.
Last Week’s Trivia-The 13 stripes on the American flag represent the 13 original colonies. Bob Lebacken of RML Trading wins our weekly trivia challenge. Runner-up honors belong to Kevin Praska of Stone’s Mobile Radio, Ron Claussen of Ag Media Research, retired North Dakota farmer Mike Naas and Anne Trimble-Ray of Heartland Marketing Group. The ‘first 20’ rounds out with Adam Kuznia of Riopelle Seed, Ramsey County farmer Paul Becker, Lyle Orwig of Certified Ag Dealer, UM Extension Educator Patrick Jirik, Rick Robinson of First State Bank, Marvin Hochhalter of AgriPro, Linda Schuster of Carrington Research Extension Center, Mike Trosen of Meadowland Farmers Cooperative, Crookston farmer Tim Dufault, Martin Kitzman of Kitzman Farms, retired seedsman Bob Hobbs, Val Dolcini of Syngenta, NDSU Extension Ag Affairs Tribal Liason Jan Stakiewicz, Kevin Schulz of The Farmer and Regan farmer Jim McCullough.
This Week’s Trivia-What fictional spy goes by the code name 007? Send your answer to don@rrfn.com.
RRFN Upcoming Events | |||
November 12 - November 15 | National Agriculture Bankers Conference - Milwaukee, WI | ||
November 12 | SDSU Swine Day - Brookings, SD | ||
November 12 - November 15 | Nat’l Association of Farm Broadcasting Convention - Kansas City, MO | ||
November 15 | NDSU Harvest Bowl Awards Dinner - Fargo, ND | ||
November 19 - November 20 | National Carbon Capture Conference & Expo - St. Paul, MN | ||
November 20 - November 21 | Sustainable Ag Summit - Minneapolis, MN | ||
November 21 - November 23 | MN Farm Bureau Annual Meeting - Minnetonka, MN | ||
November 21 | Farm Couple Night Out - Crookston, MN | ||
November 22 - November 23 | SD Farm Bureau Convention - Box Elder, SD | ||
November 22 - November 24 | MN Farmers Union Convention - Minneapolis, MN | ||
November 22 - November 23 | NDFB Annual Meeting - Bismarck, ND | ||
December 2 - December 3 | ND Agricultural Ass’n Agribusiness Expo - Fargo, ND | ||
December 2 - December 4 | MN Ass’n of Soil and Water Conservation Districts Convention - Bloomington, MN | ||
December 3 - December 4 | Premier Soil Health Event - Mankato, MN | ||
December 3 - December 4 | Ag Horizons Conference - Pierre, SD | ||
December 4 | MN Renewable Energy Roundtable - Maple Grove, MN | ||
December 5 | SD Soybean Ag Outlook Conference - Sioux Falls, SD | ||
December 5 | American Crystal Sugar Co./Red River Valley Sugarbeet Growers Assoc. Annual Mtg - Fargo, ND | ||
December 5 - December 6 | CHS Annual Meeting - Minneapolis, MN | ||
December 6 - December 8 | North Star Classic - Valley City, ND | ||
December 10 | MFU Green Ammonia Summit - Morris, MN | ||
December 6 - December 7 | MN State Cattle Industry Convention - St. Cloud, MN | ||
December 10 - December 12 | UMN-MPCR Crop Pest Management Shortcourse - Minneapolis, MN | ||
December 10 - December 11 | SD Cattlemen’s Association Convention - Pierre, SD | ||
December 11 - December 12 | SD Farmers Union Convention - Huron, SD | ||
December 11 - December 12 | Prairie Grains Conference - Grand Forks, ND |
Contact RRFN | Don Wick (701) 795-1315 |
Randy Koenen (701) 795-1315 |
Tyler Donaldson (701)-795-1315 |
Jamie Dickerman (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.