Senate Farm Bill Markup Today

NAFB Washington WatchThe Senate Agriculture Committee meets this morning to consider the Agriculture Reform, Food and Jobs Act of 2013, their version of a “Farm Bill.” Yesterday, farm broadcasters meeting in Washington D.C. had the chance to interview a number of representatives from various agricultural and renewable fuels organizations and most of them had something to say about what the House and Senate have in their respective draft bills.

American Soybean Association director and farmer from Delaware Richard Wilkins said they are pleased to see that both bills allow some flexibility for growers. “They both contain provisions that allow the soybean grower to choose which type of “safety net” they feel works best for them,” he said.
Interview with Richard Wilkins, American Soybean Association

Chris Galen with the National Milk Producers Federation says both drafts contain the Dairy Security Act and he expects the Senate to pass this proposal which they support, but on the House side there is another proposal being offered which they oppose. “Basically it would turn farmers into takers of government welfare because it would not allow the marketplace to correct quick enough,” he said.
Interview with Chris Galen, National Milk Producers Federation

Bob Dinneen with the Renewable Fuels Association says there is an energy title in the Senate draft. “And we hope to be able to have some funds in that to allow USDA to continue to make funding available for blender pumps and do some other things for future technologies,” he said.
Interview with Bob Dinneen, Renewable Fuels Association

Colin Woodall with the National Cattlemen’s Beef Association says as far as they are concerned, they would rather not be in the farm bill at all. “Our number one priority was to make sure there was not a livestock title in either bill, right now there’s not so we’re happy with that,” he said.
Interview with Colin Woodall, National Cattlemen's Beef Association

2013 NAFB Washington Watch Photo Album

Find more NAFB Washington Watch interviews on AgNewsWire.com

Obama Picks for Energy and EPA

nomineesPresident Obama announced his picks for Secretary of Energy and Environmental Protection Agency administrator on Monday. The President nominated MIT professor Ernest Moniz as energy secretary and EPA official Gina McCarthy as administrator for the agency.

While Moniz is a virtual unknown, McCarthy has served as EPA’s assistant administrator for the Office of Air and Radiation and her appointment is being well received by agricultural and biofuels organizations.

“We appreciated working with Assistant Administrator McCarthy over the past few years in her role as head of the EPA’s Office of Air and Radiation, which was responsible for the approval of the E15 ethanol blend fuel option in 2012. We look forward to working closely with her and her team on ethanol and other issues that come before the agency,” said National Corn Growers Association President Pam Johnson.

gina-iowaRenewable Fuels Association president Bob Dinneen says McCarthy is “knowledgeable, willing to listen, and straight-forward. She knows the EPA inside and out and has typically approached challenges with a common-sense determination to resolve them in a timely manner.” Growth Energy CEO Tom Buis added that “McCarty has been a strong supporter of biofuels and we look forward to working with her to bring sustainable, clean, homegrown American fuels to the consumer.”

In September of 2009, McCarthy was one of two high-ranking EPA officials to visit farm operations and biofuel facilities in Iowa. She is pictured here during that visit with Margo Oge, director of the EPA Office of Transportation and Air Quality and Senator Chuck Grassley on the farm of Rick Kimberley. (Photo from Iowa Farm Bureau Flickr)

Sequester Could Cause FSIS Inspector Furlough

Agriculture Secretary Tom Vilsack has shaken up the meat and poultry industry with his comments about how sequestration might impact agriculture during a speech to the National Ethanol Conference last week.

vilsack-nec-13Answering a question about funding for a farm bill, Vilsack talked more broadly about what might happen after March 1 if Congress fails to act and sequester creates automatic budget cuts. “It is likely if sequester is triggered that in our food safety area we will have to furlough workers for a period of a couple of weeks,” Vilsack said, adding that would cause plants to shut down, supplies to decline and prices to go up for consumers.

Those comments generated reaction from the National Cattlemen’s Beef Association (NCBA) and the American Meat Institute. “(W)e are severely disappointed Secretary Vilsack has chosen to take this path of threatening to halt FSIS inspections.” said NCBA president Scott George. AMI President J. Patrick Boyle wrote to both Secretary Vilsack and President Obama stressing USDA’s legal obligations to provide meat inspection even under sequestration.

Secretary Vilsack responded that taking inspectors off the job would be a last resort, but is a very real possibility. “Unfortunately, unless Congress acts to prevent sequestration, FSIS will have no choice but to furlough its employees in order stay within the budget Congress has given it,” Vilsack wrote. “Because we understand that furloughing our food safety inspectors would not be good for our consumers, the economy, the meat and poultry industry, or our workforce, we view such furloughs as the last option we would implement to achieve the necessary sequestration cut.”

Listen to Vilsack at ethanol conference comment about sequester impacts on ag: Vilsack on sequester at NEC

EPA Denies Ethanol Waiver Request

The Environmental Protection Agency (EPA) has denied a petition by the governors of poultry producing states that would have waived the Renewable Fuel Standard (RFS) and its requirement for ethanol in the nation’s fuel supply.

In its decision to deny the request, EPA said Friday that the RFS itself is not causing economic harm and that suspending the standard would reduce corn prices by only 1%. “We recognize that this year’s drought has created hardship in some sectors of the economy, particularly for livestock producers,” said EPA’s Gina McCarthy in a statement. “But our extensive analysis makes clear that congressional requirements for a waiver have not been met and that waiving the RFS will have little, if any, impact.”

The ethanol industry is obviously pleased with the decision and so are corn farmers. “The National Corn Growers Association supports the Environmental Protection Agency’s decision to deny the Renewable Fuel Standard waiver request,” said NCGA President Pam Johnson “We believe Administrator Jackson appropriately recognized petitioners did not properly prove severe nationwide economic harm had occurred thereby creating no justification for a waiver of the RFS.”

“The RFS is working as designed,” said Renewable Fuels Association president Bob Dinneen. “The flexibility that is built into the RFS allows the marketplace to ration demand, not the government. Indeed, the ethanol industry has responded to the market by reducing output by approximately 12%.”

Listen to or download interview with Bob Dinneen. RFA reacts to RFS Waiver Denial

Livestock and poultry producers, however, are not so happy. A coalition of livestock, poultry and dairy organizations issued a statement expressing “extreme disappointment” with the denial.

“We are extremely frustrated and discouraged that EPA chose to ignore the clear economic argument from tens of thousands of family farmers and livestock and poultry producers that the food-to-fuel policy is causing and will cause severe harm to regions in which those farmers and producers operate,” the coalition said.

In fact, dozens of poultry, pork, beef and dairy operations have filed for bankruptcy, been sold or simply gone out of business over the past several months because of rising feed grain prices.

“How many more jobs and family farms have to be lost before we change this misguided policy and create a level playing field on the free market for the end users of corn?” the coalition asked. “It is now abundantly clear that this law is broken, and we will explore remedies to fix it.”

Ag Group Leaders Trade Talk on Policy

ZimmCast 373Having the National Association of Farm Broadcasting annual meeting start the day after a presidential election gives leaders of agricultural organizations plenty to talk about at Trade Talk.

In this edition of the ZimmCast, we hear from farmer leaders, lobbyists and staff members with eight different agricultural and renewable energy organizations commenting on the election, farm bill, fiscal cliff and other related issues.

Chuck, Jamie and I did about 65 interviews total at Trade Talk this year and we would have liked to have done more but there’s just not enough time! In this podcast, we have comments from Bob Stallman with American Farm Bureau, Luther Markwart with the American Sugarbeet Growers Association, Tom Buis of Growth Energy, Missouri cattle producer Don Pemberton on the National Cattlemen’s Beef Association board, National Corn Growers VP for Public Policy Jon Doggett, Bob Dinneen with the Renewable Fuels Association, US Grains Council CEO Tom Sleight, and US Wheat Associates farmer leader Dan Hughes.

Listen to this week’s ZimmCast here: Policy Comments from NAFB Trade Talk

2012 NAFB Convention Photo Album

Thanks to our ZimmCast sponsors, GROWMARK, locally owned, globally strong and Monsanto, Roundup Ready Plus, for their support.

The ZimmCast is the official weekly podcast of AgWired. Subscribe so you can listen when and where you want. Just go to our Subscribe page.

“Fuels America” Campaign Launched

In the face of increasing calls to waive the nation’s Renewable Fuel Standard, biofuel industry stakeholders today announced a major new communications campaign to educate consumers and policy makers about the benefits of renewable fuel to America’s economy, energy security and environment.

The new coalition – Fuels America – includes several agricultural organizations in addition to ethanol companies and groups such as Growth Energy, the Renewable Fuels Association (RFA), and American Coalition for Ethanol (ACE). Farm and commodity groups represented include National Corn Growers Association (NCGA) National Association of Wheat Growers, National Farmers Union, and National Sorghum Producers.

The Fuels America campaign will be a national effort, including advertising, beginning in Washington, DC and several states, including Colorado, Ohio, Delaware and Montana. Each state will have its own online platform reachable through FuelsAmerica.org and feature the stories of renewable fuel innovators and communities with a stake in maintaining the RFS. The coalition also has a Twitter feed @FuelsAmerica.

A telephone press conference was held this morning to announce the new coalition and campaign with BIO president and CEO Jim Greenwood, Novozymes president Adam Monroe, Marion (Ohio) Chamber of Commerce president Pam Hall, and ZeaChem president and CEO Jim Imbler.

Listen to or download that press conference, which starts with comments from Jim Greenwood: Fuels America press conference

Corn Growers Call for Careful Analysis Over RFS

At least two governors, Bev Perdue of North Carolina and Mike Beebe of Arkansas, have petitioned the EPA to waive the Renewable Fuels Standard (RFS) for ethanol in light of the drought gripping much of the corn-producing region of the country. The National Corn Growers Association… which has alliances with the livestock producers who want to see lower feed prices and are pushing for the waiver and the ethanol industry which says the waiver is unnecessary… is asking all parties to carefully examine the facts of the case. NCGA President Garry Niemeyer acknowledges that all sides in this debate are suffering, but encourages a careful analysis before any decision is reached:

“There currently is a lot of public discussion about the role and impact of the Renewable Fuel Standard. Unfortunately most of this discussion is unencumbered by facts and reality. The facts clearly show that the RFS has been of significant net value to the entire U.S. economy.

“While we believe that it is still somewhat premature to consider a temporary, partial waiver to the RFS (as there will be much more accurate information available with September’s and October’s USDA crop reports), we do respect the right of those with standing to exercise the language contained in the RFS. The waiver process language in the RFS calls for careful objective analysis of the economic impact of the RFS on the U.S. economy. We have faith in, and support, the process laid out in this language. Continue reading

Ethanol Goes Open Road With New Ad

A new ethanol ad has debuted that focuses on the fact that ethanol is saving consumers at the pump.

Following on the success of its long-running “Right Here, Right Now” ads, the Renewable Fuels Association is debuting a new ad which focuses on ethanol’s ability to lower gas prices at the pump and offer consumers relief in a difficult economy.

The “Open Road” campaign is the first of its kind, focusing on ethanol saving consumers money at the pump and improving overall engine performance. In 2011, the ad points out, the use of ethanol helped reduce the average price of gas by $1.09, saving American families $1,200 over the year. Additionally, as a high octane additive, ethanol helps car engines run cleaner and reduces engine knock and pinging.

Corn and Ethanol Groups Respond to RFS Waiver Request

Corn growers would rather see a waiver request than attempts to eliminate the Renewable Fuel Standard (RFS) but the ethanol industry thinks it will still be denied by EPA.

In response to the request for a waiver announced this morning by livestock and poultry groups, National Corn Growers Association (NCGA) President Garry Niemeyer of Illinois called it “premature to ask for a waiver of the RFS right now,” but better than asking for a change in the law. “With the crop still in the field, it is too early to determine this year’s final corn supply. In addition, the ethanol industry now has a significant surplus of ethanol and RFS credits that can greatly offset ethanol’s impact on the corn supply,” he said. “However, we recognize the severe impact of the drought on our farmers and our customers, here and abroad, with livestock, poultry, ethanol and other processing facilities, and we believe the flexibility of the RFS does work, and will work. NCGA also supports the waiver process that is embodied in the current RFS, and respects the right of those that may file a waiver petition to do so.”

Ethanol industry organizations are opposed to a waiver of the RFS requirements and expect that EPA will ultimately deny the request. “Given the flexibilities inherent to the RFS, and the fact that waiving the program would not result in any meaningful impacts on corn prices, we fully expect Administrator Jackson to deny any waiver request,” said Renewable Fuels Association president and CEO Bob Dinneen. “A dispassionate review of the facts can lead to only one conclusion: a waiver of the RFS would simply reward oil companies that have long sought to repeal this very important and successful program.”

“Higher corn process facing livestock and poultry users is a result of Mother Nature, not ethanol,” said Tom Buis, CEO of Growth Energy. “To try and blame the ethanol industry is disingenuous and absurd. We have never run out of corn and this year will be no different. While there is no doubt this year’s crop yield will be reduced, it is premature and irresponsible to blame ethanol for a lack of rain.”

Sec. Vilsack Applauds Ethanol Producers

This morning Ag Secretary Vilsack spoke to the 2012 National Ethanol Conference. I’m sharing Cindy’s story that is also posted over on our sister site, Domestic Fuel:

Agriculture Secretary Tom Vilsack expressed his personal strong support and gratitude for the ethanol industry during an address at the National Ethanol Conference on Friday.

“We owe ethanol producers in this country a debt of gratitude because we’re paying less at the pump because of what you do,” Vilsack said, noting that prices are about $1 less than they would be without ethanol.

Vilsack also thanked ethanol producers for providing jobs, contributing to a record trade surplus in agriculture and helping to increase net farm income. “In 2011, net farm income for the first time exceeded $100 billion,” he said. “Even adjusted for inflation, this is the best farm economy we’ve seen in four decades and one of the principal reasons is because you all have figured out this new value-added opportunity called renewable fuels.”

Vilsack said he was pleased with the action taken by EPA to allow registration of E15. “If we’re worried about the Straits of Hormuz, if we’re worried about Iran, one way we can be less stressed about this is getting E15 in the tanks of cars across this country,” he said.

E15 is important to Secretary Vilsack, but so is maintaining the Renewable Fuel Standard. “Make no mistake about this. Just because it’s in the law doesn’t mean it will always be in the law.” Vilsack says the success of the ethanol industry has gotten the attention of the oil industry which is trying to modify or eliminate the RFS. “We need to make sure we maintain the Renewable Fuel Standard. It is important to the security of this country that we move toward that 36 billion gallon mark.”

Listen to or download Vilsack’s speech here: Secretary Tom Vilsack at 2012 National Ethanol Conference

Cindy also did a very quick interview with the Secretary, asking about his outlook for the ethanol industry and the importance of maintaining the RFS. Listen to or download that interview here: Secretary Tom Vilsack interview

You can watch Secretary Vilsack’s speech here:

2012 National Ethanol Conference Photo Album

State of the Ethanol Industry Broadcast

Hello from the 2012 National Ethanol Conference. At approximately 8:10am eastern time we’ll be broadcasting live the State of the Industry Address from Bob Dinneen, President/CEO or the Renewable Fuels Association. Just click on the player below to start the broadcast in your browser. We will record the address and post the recorded version afterward.

Post Update: Thanks to all who tuned in to our live broadcast. Here is the recording (started couple moments late). I’m adding the full audio for you to listen to shortly.

Listen to opening remarks from Chuck Woodside, RFA Chairman: Chuck Woodside Opening Remarks

Listen to State of Industry from Bob Dinneen with introduction by Chuck Woodside: Bob Dinneen State of Industry Address

The full text of the speech as prepared for delivery can be read here (pdf).

Check out our conference photos: 2012 National Ethanol Conference Photo Album

National Ethanol Conference Kicks Off

I’m back, back in the Gaylord again. Almost sounds like a line from an Aerosmith song. Now I’m not going to get that out of my head. But I am back in a Gaylord hotel again. This time it’s the 2012 National Ethanol Conference. Cindy will be joining me tomorrow as we provide full coverage on our Domestic Fuel website.

We’re planning to live stream opening comments from Renewable Fuels Association President/CEO, Bob Dinneen on Thursday morning. More on that to come.

Corn and Ethanol Catch up at FPS

farm progress show 2011The media tent is always a great place for people in the industry to catch up with each other – like Renewable Fuels Association president and CEO Bob Dinneen and National Corn Growers Association incoming president Garry Niemeyer of Auburn, Illinois.

I talked with both of them about challenges in Washington, ethanol policies, and the ability of corn growers to meet all demands even in the toughest weather years.

Bob is frustrated with the climate in Washington and the inability of Congress to get anything done, but he is always amazed by the ability of the nation’s farmers to do their job. “The fact of the matter is, the American farmer is the most productive and efficient in the world,” Bob says. “We will get through this and there will be enough supply to meet the needs for grain that exist.”

Listen to or download my interview with Bob here. RFA CEO Bob Dinneen

Garry says he expects his corn crop this year to be just about average and he notes that the latest USDA forecast still expects the corn crop to be the third largest in history. “Can you imagine what it would be like if we had 1980 hybrids during this type of a weather situation? We probably would be looking at a disaster,” Garry said. “That’s the importance of this show. We’re here looking at the technology in seed, machinery, guidance systems … we have the tools to do it but Mother Nature could help out a little better!”

Listen to or download my interview with Garry here. NCGA 1st VP Garry Niemeyer

2011 Farm Progress Show Photo Album


AgWired Coverage of the Farm Progress Show is sponsored by New Holland GROWMARK Trellis Growing Systems

Relaxing at Sturgis With Good Music

I’m betting there are a few Toby Keith fans out there in the AgWired community so I thought I’d share a photo from his performance at the Sturgis Motorcycle Rally at the Buffalo Chip Campground. After a long day of working with the Renewable Fuels Association on their sponsorship of the rally it’s really nice to kick back and enjoy some good music. I’ve got more photos online, including opening act Poison and from Monday’s bands. Tonight’s feature is Gregg Allman and I plan to be there.

2011 Sturgis Motorcycle Rally Photo Album

Boats Go Fast on Ethanol

Whoever says that ethanol hurts marine engines has never seen boats running at more than 80 miles an hour on E-10.

Boat racers from coast to coast gathered this past weekend in the ethanol-producing town of Garnett, Kansas for the National Boat Racing Association (NBRA) “Garnett Ethanol Hydroplane Nationals.” The Renewable Fuels Association (RFA) partnered with NBRA earlier this year to help dispel concerns about the use of ethanol fuel in boat engines. The partnership includes the use of the RFA “Fueled with Pride” logo on signage around the racing events, as well as on all the racing boats and haulers.

See more photos from the race here: NBRA Ethanol Boat Race

All of the boats that race in NBRA competitions around the country this year have to prove they are using 10 percent ethanol fuel in order to be eligible for additional prize money in the race. “We test all the fuel before the race and then the top three entries in any class are tested when they come in to make sure they are running ethanol,” said NBRA president Dan Crummett – yes, the same Dan Crummett who might be better known to the Agwired audience as Executive Editor for Farm Progress Companies.

The NBRA races include a number of different classes of hydroplanes and runabouts with stock and modified outboards that run as fast as 96 miles per hour. Crummett says most of the issues that boaters experience when using ethanol-blended fuel can be addressed with better maintenance. “Any fuel will degrade over not a long period of time once the oil is mixed in it,” he says, which is why it’s so important for boaters to avoid leaving fuel set n the tank for an extended time.

Listen to my interview with Dan Crummett here: NBRA President Dan Crummett

Each race in each class is just three laps around a relatively small course – but really, really fast! Take a look in the video below:

Green Floyd is Willin’

For your entertainment pleasure Green Floyd will now perform their ethanol version of Willin’. This was recorded at the recent National Ethanol Conference and I hope you enjoy it. Apologies to Lowell George but I think he would have loved it!

Green Floyd lyrics include:

I’ve been kicked by the press
Shunned by Wall Street
Got my margins caved in,
But I’m still on my feet
And I’m still – Willin’

We make it from corn
That started a fight
If we make it from stover
Hope that’s all right
Cause we’re still – Willin’

Cause I’ve been from Benson to
Winnebago, Madera to Omaha
Drivin’ every grain and fuel
rig that’s ever been made
Drivin’ on the backroads
so I wouldn’t get weighed

An if you bring me . . .
Heat, Yeast (and) En-zymes
(and) Feed-stock of some kind
then I’ll be Willin’
to keep Brewin’

Green Floyd Walks the Line

Here’s a little video clip from the ethanol producer group known as “Green Floyd” that played at the recent National Ethanol Conference. The Green Floyd band is made up of Frontline Bioenergy CEO Bill Lee, Neil and Tom Koehler with Pacific Ethanol and Paul Kamp with Inbicon.

This song is a parody of Johnny Cash’s “I Walk the Line” with lyrics tailored especially for corn farmers and ethanol producers. Here are some of the words:

I keep on growing, this corn of mine
I keep telling the truth about the lying
I know that ethanol is worth the fighting
Because you’re mine, I walk the line

Now many say it’s just a foil
That there’s no way to get off the oil
But a farmer can’t be stopped from trying
Because you’re mine, I walk the line

Enjoy!

Ethanol Sunset in Arizona

At the National Ethanol Conference here in Phoenix, AZ last night we were blessed with one of the famous desert sunsets.

We have been covering the 16th annual conference, which also marks the 30th anniversary of the Renewable Fuels Association, on our sister website DomesticFuel.com. This is the fifth year we have covered the conference and we enjoy it more every year!

Check out more photos from the NEC here:

2011 National Ethanol Conference Photo Album