A Weekly Update from the Red River Farm Network

Monday, November 08, 2021

Thank You For Your Service-This Thursday is recognized as Veteran’s Day, a day for us to pay respects for those who have served in the military. This day has special significance in Rural America. Agriculture Secretary Tom Vilsack has often commented on this topic. While 15 percent of Americans live in rural areas, an amazing 40 percent of the people serving in the all-voluntary military have rural ties. Thanks to all of the men and women who have served in the military and their families. 

Biden Will Sign Infrastructure Bill Wednesday at Baltimore Port – President Joe Biden calls the new infrastructure bill “a monumental step forward” for the country. “It is a once-in-a-generation investment that is going to take millions of jobs to modernize our infrastructure and turn our climate crisis into an opportunity,” said Biden. Senator Kevin Cramer said passing this infrastructure package was the right thing to do for North Dakota and for the country. “We must confront the inflation and supply chain problems facing every American and this is the first piece of legislation that really does that.” This bill includes over $413 billion for roads and bridges; $65 billion for broadband; $42 billion for cybersecurity and the mitigation of drought and floods; and $16 billion for ports and waterways.

What’s Included in the Bipartisan Infrastructure Bill – The $1.2 trillion infrastructure package designates $110 billion for roads and bridges with $66 billion for rail improvements. There’s $65 billion included for high-speed internet investments. For agriculture, there’s funding included for a biobased pilot program and updates to the hours of service for truckers. Agriculture Secretary Tom Vilsack calls the bill a transformative, historic investment for America. Agriculture groups like the Agricultural Retailers Association and National Cattlemen’s Beef Association have a mostly positive response, calling it a critical piece of legislation.

Think Global – According to Soy Transportation Coalition President Mike Steenhoek, Rural America will benefit from the investment for roads and bridges in the infrastructure bill. The investment in ports and waterways will also benefit agriculture. “When you represent the soybean industry where over half of what farmers produce will be exported, you can’t just have a local, parochial infrastructure system; it must be global.” While passage of the infrastructure bill is positive news, Steenhoek says agriculture must now work together to make sure key provisions are funded and implemented.

Government Spending Spree Described as “a Serious Problem” – The Build Back Better plan remains in flux with concerns over costs and policy changes. Russell Group President Randy Russell said Senate Agriculture Committee Chair Debbie Stabenow was able to protect the funding for climate-smart agricultural practices. The tax language ision is also seen as positive. “The ag tax provisions, including the stepped-up basis and some of the changes in capital gains and estate taxes that were being talked about, as of right now are not in this package.” Russell is sensing concern about the spending spree that has been taking place in Washington. The bottomline is being influenced by $1.75 trillion for Build Back Better proposal and $1.2 trillion for the infrastructure bill. “If you add up the six COVID packages that were passed since COVID in mid-March of 2020, we’re going to be looking in the neighborhood of $8 or $9 trillion in total that has been added in about 20 months. For a country that is going to have $30 trillion total debt by the end of this year, that is a serious problem.”

Biden Takes Climate Change Message to UN Conference – President Joe Biden took the world stage this past week, promoting a strategy to deal with climate change. Speaking at the United Nations Climate Change Conference in Glasgow, Scotland, Biden said climate change is costing trillions of dollars due to.”record heat and drought fueling widespread and more intense wildfires in some places and crop failures in others.” Biden said his climate plan is good for the economy and create jobs. This plan also includes agriculture. “The farmers will not only help fight global hunger, but use the soil to fight climate change.” Climate-smart initiatives are being promoted to farmers and ranchers through voluntary, incentive-based programs.

Climate Smart Agriculture on a Global-Scale – National Farmers Union President Rob Larew joined Agriculture Secretary Tom Vilsack in a panel discussion on climate change at COP26. Larew talked about carbon markets. “We’re trying to push for change, but we still need additional information. As we talk about voluntary carbon markets, how do we confirm the data we have? How can we collect the data?” Larew also talked about resiliency, calling the COVID pandemic a wake-up call to disruptions in the food system. “In the U.S., we currently have a system that’s highly efficient in many ways, driven by a few players in the marketplace. We’ve seen a lack of resiliency in the food system and a breakdown in the supply chain, ultimately hurting farmers and consumers.”

Green Technologies Promoted at COP26 – During the climate change conference in Glasgow, Scotland, 40 countries agreed to increase the use of green technologies. Five parts of the economy will be targeted to reduce carbon, starting with agriculture and electricity. The United States is one of the countries taking the lead on innovations in sustainable agriculture. Behavioral changes are also being sought, including a directive to eat less meat and dairy products.

One SRE Rejected, More Refinery Petitions Pending – The Environmental Protection Agency has rejected the bid from one oil company for a small refinery exemption. There are 32 petitions still pending for 2019. There are also 28 pending petitions for 2020 and three for 2021. Under the Renewable Fuel Standard, oil refiners must include biofuels into the fuel mix. An exemption can be given if the oil companies can prove the blending regulations would hurt them financially.

Growth Energy Wants to Sue the EPA Over RVOs – Growth Energy is threatening to sue the Environmental Protection Agency if they do not release the 2022 Renewable Volume Obligations in the next 60 days. By statute, Growth Energy CEO Emily Skor says the EPA must release the final Renewable Volume Obligations for 2022 by the end of the month. The EPA has not issued a notice of proposed rulemaking to establish the obligations or a final set rulemaking for 2023. Skor thinks politics are holding things up. “There’s so much emphasis on a conversation surrounding reconciliation and an infrastructure package,” says Skor. “On the outset of the year, when the new administration came in they were clear in saying we want to get the RFS back on track. They understood the need for certainty and stability in the marketplace.” Skor would like to see a proposal released from the White House soon with a target of 15 billion gallons of conventional ethanol.

Governors Send E15 Letter to EPA – Seven governors from the Midwest are asking EPA Administrator Michael Regan to outline the next steps forward to allow E15 to be sold year-round. Earlier this year, a court overturned the 2019 EPA regulation allowing year-round E15 sales. Minnesota Governor Tim Walz, North Dakota Governor Doug Burgum and South Dakota Governor Kristi Noem signed and sent a letter last week. Read the letter.

Farm Equipment Business Pleased with Steel/Aluminum Tariff Decision – As reported last week, the United States and European Union have ended a dispute over steel and aluminum tariffs. Association of Equipment Manufacturers Senior Vice President Kip Eideberg says this is positive news for the farm equipment business. “We should see prices of steel start to come down and we should see the availability of steel come up which means we will be able to produce farm equipment in a much more competitive way.” That should eventually translate into a more competitive farm equipment prices. Eideberg says this tariff action may also influence the overall trade relationship with the European Union. “One issue has been access for U.S. farmers and ranchers to European customers; this is still a substantial trade irratant in this relationship.”

Lessons Learned During the Pandemic – USDA Undersecretary of Marketing and Regulatory Programs Jenny Lester Moffitt made that point during the Minnesota Ag and Food Summit. “The pandemic exposed a lot of things like consolidation and the lack of processing capacity,” said Moffitt. “We’re focused on investing significant dollars increasing local/regional processing capacity and addressing competition issues with the Packers and Stockyards Act to ensure producers and consumers are getting fair prices.”

USDA Provides $1.8 Billion in ARC and PLC Payments – USDA is in the process of issuing payments to farmers enrolled in the Agriculture Risk Coverage and Price Loss Coverage programs for the 2020 crop year. A total of $1.8 billion will be going out to offset unstable markets. For PLC, payments have been triggered for barley, canola, dry beans, and wheat. ARC payments are based on average country yields and the average price for the marketing year. In addition, farmers are being asked to make or change elections and to enroll in ARC or PLC for 2022. That enrollment period continues through mid-March.

Well Grounded – Episode 8 – This has been a better year for net farm income. MinnStar Bank Farm Management Analyst and Vice President Kent Thiesse says the latest USDA projection has net farm income at $113 billion. Of that, $85 billion is coming from crop and livestock receipts and the rest is coming from government payments. “We are on comparable net farm income levels to 2012 and 2013 when we had higher prices and tighter grain stocks. In a short period of time, we’ve reverted back to that era. It will be interesting to see where we go from here.” Well Grounded is a monthly podcast hosted by Jayson Menke of Acres & Shares and Randy Koenen of the Red River Farm Network.

New Palmer Amaranth Confirmation in North Dakota – According to the North Dakota Department of Agriculture, a farmer discovered Palmer amaranth while combining in Ward County. The DNA samples were confirmed by the National Ag Genotyping Center in Fargo, North Dakota. In a statement, Agriculture Commissioner Doug Goehring suggested the noxious weed may have been spread by hay or feed screenings. Palmer amaranth has been confirmed in 14 North Dakota counties so far. Read more.

ACSC Growers Planning for Next Year – American Crystal Sugar Company General Agronomist Joe Hastings is happy with this year’s crop. “We will probably be shy of 29 tons and the sugar percentage is likely around 18 percent. It’s a good crop.” Many sugarbeet growers are already planning next year’s crop. “It’s likely that a lot of seed is already purchased. The official variety trial information will be coming out in the next few weeks so farmers can evaluate what they want to try. Farmers should also be securing their input needs to make sure they’ve got what they need.”

Acres & Shares: Record Share Price Brokered – ACSC beet stock hit a brokered record price last week at $4,500 per share. The previous high was recorded in the fall of 2012 at $4,450 per share. According to Jayson Menke with Acres & Shares, last week 189 shares were brokered at an average price of $4,257.67 per share.

SMBSC Crop Size Means 20% Required to be Unharvested – Southern Minnesota Beet Sugar Cooperative is requiring its growers to leave 20 percent of the crop in the field. “It’s going to be close to 36.5 tons on average,” said Todd Geselius, vice president of agriculture, SMSC. “That’s six tons greater than our previous crop. It’s a tremendous crop; the crop blew up on us at the end.”

We’re All Ears: From Lab to Bag, What’s in Seed? – Have you ever wondered what goes into corn and soybean seed? It’s a journey that starts with research and development. Syngenta’s Head of North America Seed Development Warren Krueger says R&D is about speed, precision and power. “It’s the ability to combine those and better identify new products that meet the farmer’s needs and the challenges they face.” Once a new seed variety is developed, it needs to be tested. Hear more about the process from Kruger and Syngenta’s Head of Production Operations Ryan White in the latest podcast episode from Golden Harvest called “From Lab to Bag, What’s in Seed?” This episode is available on the Golden Harvest website, Podbean, Apple Podcast, Google Podcast and Spotify.

Finishing Corn Harvest, Working on 2022 – Near Kintyre, North Dakota, Anthony Mock is doing fieldwork, preparing for 2022. “I’m spraying a pre-emergence herbicide on the corn ahead of next spring. It’s hard to get chemical. I want to have all of my crop protection needs in place by the first of the year,” says Mock. “I’m usually not 100 percent decided on what I’ll plant for next year, but this year, I’ve got all of my crop protection needs. I’m still waiting on a few items, but we’re trying to get things in place.” Mock still has corn to harvest. The corn is low moisture so far, about 17 percent. “We got good, heavy test weights. We were lucky being in a spot where there were good rains. We’re one of the few farms in the area that got a crop.”

 

Corn Yields Look Good as Harvest Continues – Pioneer Field Agronomist Sarah Lovas says farmers in her territory are making good harvest progress. “This surprises me, because the Ada, Minnesota area got more rains. The sugarbeet harvest was delayed and when sugarbeet harvest is over, those farmers will have corn to harvest.” Farmers appear satisfied with yields given this year’s growing conditions. “Yields vary from 80 to 220 bushels per acre for the corn in my territory. In the last week-to-10 days, there’s been higher yields.” Hear the full interview.

More Moisture Needed Ahead of Spring – Harvest is wrapping up in far northeastern North Dakota. “Corn harvest is nearing completion,” says Mark Ramsey, owner, M.R. Consulting. “The sunflower harvest is about halfway done. It all depends on where you’re at.” The soil moisture seems adequate going into winter, but more will be needed. “Soil conditions are already looking much better than they did on August 1. We’re sitting on seven to eight inches of rain since mid-August. The top two feet of soil have moisture, but the next two are a bit drier.”

Thirsty Soils in Western North Dakota – Going into winter, NDSU Extension State Climatologist Adnan Akyuz says western and northwest North Dakota have missed out on some of the fall rains. “The soil is very thirsty. In this case, any rainfall is infiltrating into the soil which is still great, but it makes itself more vulnerable for evaporation and as the air temperatures have been warmer than usual this fall, it’s taken no time to evaporate,” says Akyuz. “Unfortunately, the rain falling in northwestern North Dakota hasn’t been as much as the eastern part of the state. Western North Dakota is still suffering.”

Fall Rains Replenish Soil Moisture – Drought conditions are improving across much of the Dakotas and Minnesota. In the last three months, six to 10 inches of rain fell in eastern North Dakota into northern Minnesota. There are even higher rainfall totals measured from northeastern South Dakota into central Minnesota. “I’m impressed. There’s 14 to 18 inches of rain in places,” says Dennis Todey, director, USDA Midwest Climate Hub. “We have places in far northeastern South Dakota where we’ve had upwards of 20 inches of rain.” South Dakota State University Extension State Climatologist Laura Edwards says fall is typically the best time to recharge the soils for the next growing season. “I know it’s been a tough year for many farmers, but I’m optimistic we’ll get 2022 off to a good start.”

SD Winter Wheat Acres Pick Up – In South Dakota, there was strong interest in planting winter wheat this fall. South Dakota Wheat Commission Executive Director Reid Christopherson attributes the interest to prices, well-timed rains around Labor Day and the early soybean harvest. “There were also frustrations with the drought that impacted the row crops this year. There’s an interest in getting back to the traditional rotation plan,” said Christopherson. “Farmers are also looking at spring fertilizer prices.”

More Winter Wheat Acres Possible in KS – While winter wheat is emerging in the Dakotas, Kansas farmers aren’t done planting. According to the National Ag Statistics Service, at least 90 percent of winter wheat planting is done in the state. “At the end of the year, we’ll likely have an uptick in acres,” says Aaron Harries, vice president of research, Kansas Wheat. “The weather and markets are the two main factors.” Harries says there’s good emergence where winter wheat was planted into moisture earlier this fall. Conditions are now drier in the western third of Kansas and the later planted winter wheat is being impacted. “Central Kansas has been fairly wet, so things look good there. That’s delayed harvest, but more wheat acres could follow after soybean harvest. Time will tell.”

Crop College – Peterson Farms Seed Lead Agronomist Rick Swenson says farmers are trying to learn from 2021 and make their input decisions for 2022. Hear more in this week’s Crop College, presented by Peterson Farms Seed.

Dry Bean Scene – An upcoming webinar will outline the 2021 dry beans harvest. Hear more from U.S. Dry Bean Council Executive Director Rebecca Bratter in this week’s Dry Bean Scene. This update is made possible by Johnstown Bean Company, SRS Commodities, Sharpen from BASF and the Northarvest Bean Growers Association.

Minnesota Wheat Minute – This week’s Minnesota Wheat Minute features an update from the National Wheat Foundation. Hear more from board member Scott Swenson in this update.

Retailers Reluctant to Price Fertilizer for Spring – University of Minnesota Extension Educator Brad Carlson says most ag retailers are not willing to price fertilizer for spring. “We had a situation about 15 years ago when fertilizer prices spiked and a lot of dealers purchased product and the prices fell,” said Carlson. “They got stuck selling that fertilizer for a loss because they paid more than where the market price was when the application season came around. For that same reason, a lot of fertilizer dealers are really apprehensive about locking in their price for the spring in case the price falls.” Read more about what farmer’s should be thinking about with high nitrogen fertilizer costs.

Higher Input Costs are Weighing on Farmer Sentiment – U.S. farmer sentiment dropped three points in October, according to the latest Ag Economy Barometer. The modest decline is attributed to a three-month slide for the index, primarily due to farmers’ declining perceptions for the current and future conditions in production agriculture. Farmers aren’t as optimistic about their farm’s financial situation as they anticipate a rise in input prices of at least eight percent or more in the next year. A rise in fertilizer prices is a key factor, but rising input costs also extend to seed, pesticides, machinery repairs or other ownership costs.

Fielding Questions – Supply Chain Disruptions, and More – How do supply chain disruptions change the approach for farmers as they go into spring? AgCountry Farm Credit Services market education specialist Katie Tangen answers that question, and more, in the latest Fielding Questions episode. This podcast, produced in collaboration between AgCountry FCS and the Red River Farm Network, explores the world of farm finance and rural life. If you have a questions, send AgCountry a message on Facebook, Twitter or through the AgCountry website.

House Ag Committee Evaluates Supply Chain Challenges – The House Agriculture Committee reviewed the supply challenges in a hearing on Wednesday. Chairman David Scott is very concerned about truck driver shortages in the U.S. “We have a two-pronged problem here. The first issue is the fact there are 15,000 truck driver vacancies right now. On top of that, I’m informed our truck drivers’ careers last less than one year,” said Scott. American Trucking Association Executive Director of Ag and Food Transporters Jon Samson said the driver shortage has been a problem for years, but the COVID pandemic exasperated the issue. “We’re trying to increase pay, incentives and flexibility. The over-the-road truck driver could be a taxing position to have.” Watch the full hearing.

IDFA Forms Supply Chain Task Force – To address the supply chain disruptions facing the dairy industry, the International Dairy Foods Association has created a Supply Chain Task Force. “Our supply chain is hurting and it’s going to take an all-hands-on-deck approach to fix it,” said Michael Dykes, president/CEO, IDFA. “At any given time in recent weeks, between 70 to 90 cargo ships were anchored outside the ports of Los Angeles and Long Beach waiting to unload thousands of containers.” Due to the supply chain bottleneck, Dykes said the U.S. is unable to fulfill 22 percent of ag-related foreign sales. The IDFA Supply Chain Task Force will work with industry partners to find solutions to this crisis.

Trump-Era Trade Leaders Offer Insight Into Export Opportunities – Gregg Doud, who was the chief agricultural negotiator at USTR during the Trump Administration, says the Trans-Pacific Partnership was a good deal for agriculture, but the U.S. did not leave the TPP because of the agriculture provisions. “In the TPP, you could have a vehicle imported from Vietnam that was 45 percent Vietnamese and 55 percent Chinese coming into the U.S. duty-free. That’s a colossal mistake and the impetus behind why that is,” explains Doud. “USDA Under Secretary Ted McKinney and I worked on of the most remarkable trade negotiations of all time, the bilateral trade agreement between the U.S. and Japan. That brought us 90 to 95 percent of the benefits we would have received in the TPP.” The TPP is now known as the Comprehensive and Progressive Agreement for the Trans-Pacific Partnership. McKinney says Congress originally didn’t want to enter into the CPTPP. “Back at the time, both sides said this was dead on arrival. Now, is it time to look at it? I hope so, but there’s a lot to fix there.”

MN Soybean Growers Ask USTR to Address Five Trade Barriers – The Minnesota Soybean Growers Association would like the Office of the U.S. Trade Representative to address at least five non-tariff trade barriers for agriculture in the next year. MSGA Executive Director Joe Smentek says there are issues with GMO tolerance levels in China and the United Kingdom. “They are proposing to go down to a zero percent tolerance for GMOs in non-GMO crops. That’s problematic because when you get close to zero there are lots of false positives. If you have a little bit of dirt in organic or non-GMO corn, you’ll find Bt in it from the soil and that can result in shipments being sent back.” The USTR will combine and summarize all of the submitted comments to create its annual National Trade Estimate Report on foreign trade barriers. The 700-page report is used as a to-do list during the next year as the USTR negotiate trade agreements.

Preview: November USDA Crop Reports – USDA’s November crop production and supply and demand reports will be released on Tuesday. Zaner Ag Hedge Chief Market Strategist Ted Seifried thinks increased production numbers may already be built into the market. “I’m not exactly sure how much we’ve factored in when it comes to higher yields, but it seems like everyone knows there will be higher yields on the USDA balance sheet at some point, especially for the soybeans.” Seifried expects the soybean market to be volatile even after the November USDA report. “If it is a slightly bearish report, do we get a bullish reaction? Do we continue on with this idea of inflation and commodity prices going higher? We could still run out of soybeans if there’s an issue in South America.”

Corn Matters – The Minnesota Corn Growers Association is hosting a quarterly marketing webinar on November 11. Find out more from Biofuels and Industry Relations Director Mackenzie Boubin in this week’s Corn Matters.

Grain Traders Prepare for November WASDE Report – Standard Grain President Joe Vaclavik is not looking for friendly numbers in the USDA’s November Supply and Demand report. “The grain trade expects the USDA to increase soybean carryout. They think the USDA is going to go from a 320 million bushel carryout up to a 362 million bushel carryout. That number, in reality, is north of 400 million bushels.” This is not fresh news to anyone paying attention. “The export sales program is not good. We lost a month worth of shipments as a result of the hurricane. I think sales are more than 30 percent behind last year’s pace and USDA is telling us, as of their most recent report, that we’ll lose seven percent. USDA will come down with the export projection. They may increase the size of the soybean crop. There’s a number of negative factors impacting soybeans.”

What’s Hot, What’s Not in the Markets – The stock market and energy prices remain firm. Advance Trading Risk Management Advisor Tommy Grisafi says the cost of fertilizer remains a challenge. In today’s edition of What’s Hot, What’s Not in the Markets, Grisafi also talks about the ABC’s–Anything But Corn.

A Boost in Supplies Expected in November WASDE – Trade estimates for USDA’s November Supply and Demand report are bigger than the October USDA Supply and Demand report. Abbott Futures market analyst Ron McDaniel says how much bigger the supplies will be is the question. “I don’t think the USDA would cut exports that dramatically right away, but the trend is in that direction. The corn crop estimate size is all over the map, generally bigger.” McDaniel says Brazil’s crop season is off to one of its best starts ever. “They have one of the earliest planting and harvest sequences in modern time. In Argentina, there’s been lots of talk about La Nina’s dry footprint. Soybean planting seems off to a good start there, too.”

Back to the Office – All USDA employees will need to submit a proof of vaccination by tomorrow, Tuesday, November 9. Today is the deadline for the first dose COVID-19 vaccination and USDA staff should be fully vaccinated by November 22. Senior USDA staff will begin returning to their physical office on December 1. The full-fledged return to the workplace for all USDA employees will begin on January 2 and completed by March 14. However, there will be allowances for remote schedules.

ND Special Session Begins Today – North Dakota lawmakers are in Bismarck for a special session this week, looking at redistricting and deciding how to spend $1.1 billion in American Rescue Plan funding. North Dakota’s House Agriculture Committee Chairman Dennis Johnson is hopeful for a greater investment in rural infrastructure. “I’d like to see money go back for roads, townships and state highways,” he says. “Then, I hope we get money to NDSU Extension and to help North Dakota ethanol plants.”

Federal COVID Relief Funds May Help ND Agriculture – North Dakota lawmakers are in Bismarck for a special session. The two big items on the agenda are redistricting and deciding how to spend $1.1 billion in American Rescue Plan funds. In the last three weeks, North Dakota House and Senate Interim appropriations committees were at work putting together a proposal for COVID relief. Senator Terry Wanzek says the agriculture sector is expected to get funds, including $21 million in loan forgiveness for North Dakota’s ethanol plants. “There was a loan guarantee program from the Bank of North Dakota that helped ethanol plants get operating funds during the COVID pandemic. There’s $42 million left in the loan. We may be able to help them pay off half of that.” There’s money included to fix township and rural roads and also, money being proposed for North Dakota’s State Board of Agricultural Research and Education.

ND Corn: Loan Forgiveness For Ethanol a Good Use of COVID Funds – The additional money being proposed for North Dakota’s ethanol plants would be put to good use, according to North Dakota Corn Growers Association Executive Director Brenda Elmer. “While many ethanol plants across the country shut down, North Dakota’s plants did not. The plants took a hit and would like loan forgiveness. Demand for the product was impacted because not many people were driving during the pandemic.”

Ag Research Funding Considered in Special Legislative Session – The North Dakota State Board of Agricultural Research and Education is asking North Dakota lawmakers for funding during this special session. “The draft bill North Dakota lawmakers have in front of them this week has more than $8 million in potential appropriations for NDSU Extension’s Ag Experiment station,” explains Greg Lardy, vice president for agricultural affairs, North Dakota State University. “That money would be for purposes of constructing additional livestock facilities at the Carrington REC, Hettinger REC and the Central Grasslands REC in Streeter, along with an agriculture research laboratory in Dickinson. This projects would enhance research productivity.” Lardy will be in Bismarck for hearings this week. “We are optimistic about the proposed funds, but things can always change in a special session. The return on investment from these projects will pay back in dividends in the future.”

ND Farmers Union is Glad Rural Roads Take Priority – North Dakota Farmers Union Government Relations Director Matt Perdue is interested to see how the North Dakota Legislature spends federal COVID relief money. “Both the House and Senate Interim Appropriations Committees placed a strong focus on infrastructure. I think that will be the cornerstone heading into the special session,” says Perdue. “There’s $317 million for road and bridge projects with $17 million reserved for township projects and $50 million set aside for county projects. That’s a huge win. To see the continued focus on investing in North Dakota’s rural roads, that’s a big deal.”

Western North Dakota to Gain Legislative Districts – Due to population growth, western North Dakota will gain legislative seats through redistricting. “Especially around Williston and Dickinson in the oil patch area and  the central part of North Dakota, districts may remain the same,” said State Representative Jared Hagert. “Going into eastern North Dakota, for the areas other than Grand Forks, Wahpeton and Fargo that had some growth, we’ll see districts get larger, because we don’t have the population density we did a decade ago.” Hagert represents District 20. “The newly proposed District 20 would include Traill County, rural Grand Forks County and southeastern Walsh County. That’s a little more ground to cover.” Check out the proposed map.

Canola Minute – Last week, the Northern Canola Growers Association held their annual Canola Research Conference. NDSU Extension Entomologist Jan Knodel talked about a new seed treatment at the event. Hear more about it in this week’s Canola Minute.

SD Lawmakers Meet in Special Session – The South Dakota Legislature will be meeting in a special session this week to address redistricting. South Dakota Farm Bureau lobbyist Michael Held says there’s been a shift from rural to urban populations in the last ten years. “Committees have been working on redistricting maps since May. They had public hearings around the state in August. Now, they’re ready to get together and determine the maps for those districts.” Sioux Falls and Rapid City gained most of the population. “They either get more districts or their districts become more compact and the rural districts get bigger. The committees are trying to minimize the rural to urban shift.” Another issue to be considered in the upcoming session is an update to land assessments. South Dakota lawmakers have not decided how to move forward with the remaining COVID-19 relief funds.

Drought Relief Will Likely Wait Until Regular Session – Late season rains have improved conditions, but Minnesota Agriculture Commissioner Thom Petersen says 30 percent of Minnesota remains in severe drought. “It really lingered from St. Cloud north and we’re still concerned about the availability of feed and for farmers, the forage price is high.”  Due a political stalemate, a special legislative session to deal with drought relief is not likely. Petersen says MDA will make the case for that assistance in the general session. “It would be February before anything would really get started, but, the state has a surplus now and this help for farmers and ranchers would be really helpful.” Minnesota Governor Tim Walz addressed the AgriGrowth meeting. Walz praised the agriculture sector for the resilience and innovation seen during the pandemic.

Special Session Stalled by Political Stalemate – With the full legislative session about 90 days away, ag lobbyist Bruce Kleven doesn’t expect a special session. “Governor Walz wanted a special session in September or October to allocate $250 million set aside for essential workers. Lawmakers were trying to divvy up how that looked and they couldn’t come to an agreement. The second underlying reason there’s no special session is the threat that the health commissioner will be voted down by the senate.” Attention now turns to 2022. Kleven says that means the Minnesota farmers waiting for drought relief may have to wait longer. “If lawmakers have to wait until January and then, move it through the budget process and have it shipped out the door next May, that’s almost a year too late. The drought package would have been part of that special session had it been called.”

An Unclear Future of Drought Relief for MN Ag – Earlier this fall, Minnesota Governor Tim Walz proposed drought aid for livestock producers and farmers using COVID relief money. Without having a special session, Minnesota Senator Torrey Westrom is not confident how or if that money will be coming to producers. “In the Senate, we’ve looked at using property tax basis as an aid payment, similar to what we did in a Ventura administration. The current drought relief aid proposed, if we could have gotten it out in October, would have helped farmers get forage.” Getting closer to the regular session, Westrom says aid packages may change. “There could be some drought relief, but with the later rains this fall, that’s the best thing we can get. We’re grateful for the rain to mitigate issues, but there may be some areas we consider to help cover costs of farmers hit the hardest.”

Minnesota Beef Update – Minnesota’s Top of the Class program met in October for a tour of the state capitol, a meeting with the state veterinarian and more. Learn more from Minnesota Beef Council Director of Industry Relations Royalee Rhoads in the latest Minnesota Beef Update.

Walz Waives Hours of Service for Feed Hauls – Minnesota Governor Tim Walz signed an executive order on Wednesday to waive trucking regulations to support livestock producers as they secure their feed needs. Drought conditions improved slightly this fall, but Minnesota’s livestock farmers need to travel to get feed. This executive order remains in effect for 30 days.

CHS Finishes the 2021 Fiscal Year Strong – CHS finished strong in the final quarter of Fiscal Year 2021 with net farm income at $554 million, a 31 percent increase from last year. CHS Inc. President and CEO Jay Debertin attributes the strong finish to a few factors. “There are improved trade flows, we had a great 2020 harvest and a 2021 spring that opened up well. We could move the crop where it needed to go.” As the new fiscal year begins, Debertin says it’s clear prices for inputs like fertilizer and fuel are going higher. “There are real, significant global issues that are driving fertilizer supplies and prices. We are in this business to supply the people who own us. We can supply these products at these prices, but there’s no doubt, the prices are head-turning.” CHS will hold their annual meeting on December 2 and December 3 in Minneapolis, Minnesota.

Chinese Firm Picks Grand Forks for Corn Processing Plant – A Chinese company plans to build a wet-corn milling plant at Grand Forks. The Grand Forks Herald is reporting the Fufeng Group will utilize 25 million bushels of corn when operating at full capacity. That should be in place by 2024 or 2025. The Fufeng Group produces flavor enhancers, amino acids, xanthan gum and starch products, but city officials have not announced what will be manufactured locally.

Corn Comments – Continuing education is extremely important for farmers and ranchers. The South Dakota Corn Growers Association is hosting several GrowingOn events between now and the end of the year. Find your local event and hear more in this week’s Corn Comments.

CP and KCS File Application with the Surface Transportation Board – The Canadian Pacific Railway and Kansas City Southern filed an application with the Surface Transportation Board regarding its plan to create a railroad that links the United States, Mexico and Canada. The merger will result in a dramatic increase in rail activity, especially on the north-south routes. According to the Canadian Pacific Kansas City operating plan, the new railroad will gain 80,000 carloads and 137,000 intermodal containers currently handled by other railroads. Shareholders will vote on the $31 billion deal in December. Once approved, CP will move its U.S. headquarters from Minneapolis, Minnesota to Kansas City, Missouri. The move should be complete within three years.

Bayer and CHS to Partner on Carbon Access – Bayer and CHS are working together to bring more carbon access to farmers. Bayer’s carbon program will be extended to CHS members in 17 states. Incentives will be offered to farmers for products and practices that enhance soil health, improve yields and drive sustainability.

Connecting Ag Employers to Top Talent – During the Minnesota Ag and Food Summit, AgriGrowth launched the Minnesota Ag Talent and Workforce Corner. AgriGrowth and a dozen other partners are collaborating on this project. This resource highlights opportunities in the Minnesota agriculture sector and facilitates the connection between employers and potential emploees.

MFU Minute – The Minnesota Farmers Union Convention is coming up later this month. Government Relations Director Stu Lourey previews the convention in this week’s MFU Minute.

 

Senate Ag Committee Considering Benham – On Wednesday, the Senate Agriculture Committee will meet to weigh in on the nomination of Rostin Benham. Benham is being considered as the chairman and commissioner of the Commodity Futures Trading Commission. The hearing will be live-streamed.

Williamson Takes on Policy Role at NAWG – Taylor Williamson is the new government relations representative for the National Association of Wheat Growers. Most recently, Williamson was the director of government affairs for the Kansas Association of Wheat Growers and the Kansas Wheat Commission.

DFA Board Announces CEO Transition – At the end of 2022, Dennis Rodenbaugh will take over as the president and chief executive officer of Dairy Farmers of America. Rodenbaugh currently is DFA’s executive vice president and president of council operations and ingredients solutions. DFA’s current president and CEO Rick Smith plans to retire after serving in the role for 16 years.

Stoltenow May Make the Switch to Husker Red – North Dakota State University Extension Assistant Director Charlie Stoltenow has been named the priority candidate to be the next dean and director of Nebraska Extension. The next step for Stoltenow is a statewide tour across Nebraska to share his vision about the Extension Service.

National Extension Awards Presented to Staff From the Region – The National Association of County Agricultural Agents has honored Extension staff from throughout the region with national awards. The National Distinguished Service Award went to retired Ramsey County, North Dakota Extension Agent Bill Hodous and University of Minnesota Extension Pesticide Safety and Environmental Education Specialist Tana Haugen-Brown. The National Achievement Award was presented to Ward County, North Dakota Ag Agent Paige Brummund, McLeod and Meeker County, Minnesota Extension Educator Karen Johnson and South Dakota State University Extension Entomologist Adam Varenhorst.

CRPD Adds Two New Board Members – The Center for Rural Policy and Development has welcomed two new at-large members to its board, Jennifer Cronin and Sarah Schake. Cronin is a supply chain manager for Gage Brothers Concrete.Schake is an independent contractor based in Otter Tail County, handling project management and marketing services in the areas of housing, workforce, broadband, business resilience, tourism and resident recruitment. CRPD is a non-partisan, not-for-profit policy research organization.

Preisler’s Contribution to Minnesota Agriculture Recognized – The Minnesota AgriGrowth Council presented its Distinguished Service Award to Minnesota Pork Producers Association CEO David Preisler. Preisler shared the recognition with his staff and the members of the organization. “The pork business has changed a lot over the last 27 years, but the integrity and committment to their communities pork producers have has not changed and, in fact, I think it is stronger than ever,” said Preisler. “It makes it fun to go to work when you work for those kind of people.”

Last Week’s Trivia –The comic book superhero, Batman, calls Gotham City home. Mike Trosen of Meadowland Farmers Cooperative was the first to respond with the correct answer. Dianne Bettin of LB Pork, Lyle Orwig of Certified Ag Dealer, Todd Good of AgCountry Farm Credit Services and bob Brunker of J.L. Farmakis earn runner-up honors. The ‘first 20’ rounds out with Randy Knudsvig of First State Bank, Jacob Downing of Cargill, Jim Altringer of CHS Dakota Plains Ag, Kristal Rick of MAGNO Seed, Brian Rydlund of CHS Hedging, Keith Rekow of Dairyland Seed, David Stewart of United Valley Bank, Nick Revier of SES VanderHave, Keith Bjorneby of Lone Wolf Farms, Westbrook farmer David Van Loh, Crookston farmer Ron Lanctot, Bruce Trautman of Living the Dream Consulting, Burliegh County farmer Jim McCullough and Jon Farris of BankWest. 

This Week’s Trivia- What fast food chain has the Whopper, Ch’King and Chicken Fries on its menu? Send your answer to don@rrfn.com. 

Contact RRFN
Don Wick
(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
Bismarck, ND – 1270 AM Casselton, ND – 103.9 FM Cavalier, ND – 105.1 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.

  • Follow RRFN on
    • Facebook
    • Twitter
    • LinkedIn
Login

Please Login

Lost Password?
Comment

Leave a comment

Lost Password

Please enter your email and a password retrieval code will be sent.



New Password

Please enter your code and a new password.