Will Agriculture Benefit From Climate Change Legislation?

Amanda Nolz

Stock-dam Will Agriculture Benefit From Climate Change Legislation? That’s the question that Hoosier Ag Today asked recently after the USDA released its final analysis of the Climate Change legislation that is currently making its way through Congress. As we looks at the pros and cons of this legislation, I think it’s safe to say that things are changing in the agriculture industry today, and we are going to have to be proactive instead of reactive when it comes to taking care of the environment.

Gary Truitt writes, According to Secretary of Agriculture Tom Vilsack, “The report sees extraordinarily small increase in food prices. Somewhere between point one percent and point two percent in the short run and between one percent and two percent by the year 2050.”

He told reporters during a national teleconference on Wednesday that increases in fertilizer and energy costs will be minimal and that farmers will be able to more than offset those higher costs by trading in the carbon market. The Secretary says the conservative study, which assumed no technological progress, found that over the medium- and long-term, carbon offsets will “overwhelm” any increased production costs. Vilsack had tough words for those who advocate more study and a slower approach to dealing with climate change, ”The climate is changing and we have to deal with this change now.”

As the “original environmentalists,” farmers and ranchers should keep a close eye on this legislation. What are your thoughts on Climate Change legislation? How will it affect your segment of the agriculture industry?

Uncategorized

South American Soybean Expert

Cindy Zimmerman

USB websiteThe United Soybean Board Expert Advice column this week features an update on South America from Pablo Adreani of AgriPAC Consulting. Pablo is an agronomist, journalist and trade consultant from Buenos Aires, Argentina who just happens to be in the United States this week for the American Seed Trade Association meeting in Chicago.

USB Pablo AdreaniIn this week’s column, Pablo talks about the impact of this year’s weather in South America. Here’s a sample:

The last rains of the middle of November did not reach Cordoba, and the drought continues to affect more than 50 percent of the province. This is the province with the greatest soybean growing area in the country, producing 11 million acres. The first crop of soybeans has already been delayed for a month. According to a report by the Buenos Aires Grain Board Exchange, 3.2 million acres have been planted; this equals 28 percent of the whole province acreage.

I called Pablo yesterday at his hotel in Chicago and talked with him about why it is important for soybean growers in the United States to keep abreast of developments in South America. You can listen to my interview with Pablo below.

The USB Expert Advice tool features a weekly column rotating between four industry experts: Pablo on South American markets, David Asbridge on U.S. markets, John Baize on soybean and soybean oil industry news and Michele Payn-Knoper on using social media in agriculture. The columns can be accessed on the USB website under the “community” tab. Farmers are encouraged to ask questions and post comments after each new article and to engage the industry experts.

Now, here is that interview with Pablo and if you have any questions, just ask the expert after you read his column on the soybean checkoff website:

Audio, International, Soybean, USB

Rainbow Over Desert Buffalo

Chuck Zimmerman

Desert Rainbow in EgyptIt is very rare to see a rainbow in the desert according to the people the U.S. Grains Council Corn Mission team was meeting with at the time.

We were on location at the water buffalo feedlot and dairy when we saw this storm on the horizon. It arrived just as we were ready to leave and this was what we saw. It also poured rain as we drove away. In fact, as the storm moved over us the rainbow moved all the way through a full arc but never made a complete arch.

We took it as a good sign. Those are pens in the foreground with baby buffalo in them. There are additional photos of the buffalo and the rainbow in the photo album.

USGC Corn Mission In Egypt Photo Album

USGC

Ag Credit Will Get Tighter

Amanda Nolz

Pasture-Overlooking Looking at the dollars and cents of the agriculture industry today can be tough at times. With sky-rocketing input costs and low-profit margins, producing food has become an even more challenging “game” than ever before. Because of the struggling economy and decreased consumer spending, there are less dollars to go around, and that means ag lenders are having to tighten their pocketbooks, as well.

According to Ag Weekly Online, Ag Credit Will get Tighter. Cindy Snyder, Ag Weekly correspondent writes, Nationally farm income topped $87 billion in 2008, but it is projected to fall to $54 billion this year. If farm income stays below $60 billion in 2010, farmers will find credit more difficult to arrange. If farm income drops below $50 billion, the situation will become markedly more difficult, he said.

A drop in land values of 10 percent would be manageable and not affect ag credit much, Klinefelter said. With a 20 percent devaluation some stress will be felt, but a drop of 30 percent will cause major problems because nearly all real estate loans are secured by real estate.

Agribusiness

Book – Review Our Choice

Joanna Schroeder

OurChoice“Producing first generation ethanol from corn is a mistake,” writes Al Gore in his new book, “Our Choice A Plan to Solve the Climate Crisis.” The book details the issues surrounding global warming, and presents various options to curb the issue. As a writer in the agricultural industry, I paid extra attention to the chapter regarding biofuels. It came as no surprise that corn ethanol was not presented favorably.

Gore writes, “The production of ethanol in first generation biorefineries has been a disappointment. However, it has had the benefit of increasing income for farmers and has led to the emergence of an infrastructure that will prove highly valuable when second generation technologies are available to produce ethanol from nonfood crops.” He goes on to discuss his personal disappointment with his early support of corn-based ethanol and then continues to lay out the case for second and third generation fuels including cellulosic ethanol.

The industry hasn’t taken the criticism lying down. Bob Dinneen, the president of the Renewable Fuels Association sent a letter to Al Gore stating, “Given your attention to science and the facts, I am disappointed by the treatment of ethanol and other biofuels in your new book, Our Choice. Many of your characterizations of today’s American ethanol industry are out of date or simply wrong.”

Biofuels aside, throughout the book, Gore uses a combination of words, graphics and pictures to demonstrate the climate change debate, detail many of the solutions and offer policy recommendations. There is one area where I think Gore did a great job, and that is explaining what the six categories of global warming pollution are: carbon dioxide, methane, black carbon, sulfur hexaflouride, tetrafluoroethane, carbon monoxide, butane and nitrous oxide. To date, the biggest focus has been on carbon dioxide and Gore’s focus throughout the book is no different.

No matter what side you are on in the global warming debate, Our Choice will give you a platform for futher disucssions on how best to create programs and policies to address global warming.

Corn, Ethanol

Shopping For That Cowboy In Your Life

Amanda Nolz

Tyler-on-wheeler Everyone has that farmer or rancher in their life to shop for this Christmas, and boy, can it get tough to select the perfect gift for this category. Every year, I think my dad counts on getting Coveralls and pliers from Santa, and I’ll admit, we struggle trying to shop for him. If you are like me, you spend many painful hours trying to navigate the aisles of Sears, Menards or Cabelas in the hunt for the best present, only to purchase the same things year after year.

However, this year is going to be different. Thanks to Agriculture Online, buying the perfect gift for that special farmer in your life is as easy as 1-2-3! In their article, Gift-giving guide for farm folks, there are several handy ideas to choose from including: coats, cookbooks, charitable donations, folding chairs, cutting tools, toolboxes, heaters, etc.

You can’t go wrong this Christmas with this handy, dandy gift-giving guide. Check it out! What are you getting your farmer this year?

Farming

Feeding DDGS To Water Buffalo

Chuck Zimmerman

Corn MissionThe Chairman of the Egyptian Buffalo Producer’s Association is Dr. Saad Alhayani (pictured left). He also owns and operates a very new open water buffalo feedlot and dairy. The U.S. Grains Council Corn Mission team toured there this afternoon. I’ve got lots of photos in the photo album. These cute, sweet, little creatures are very different than your average bovine.

Dr. Alhayani says he imports frozen semen to assist in breeding better quality animals which is something relatively new to the country. He’s raising thousands of buffalo and feeding them corn and ddgs as well as other ingredients. We saw lots of bags of ddgs at his feedlot. That looked very positive for American corn growers! He says sometimes they blend as much as 25% ddgs in the feed.

His goal is to produce a few thousand pregnant heifers for local producers and maybe even to export. He appreciates the assistance he’s received from the USGC.

You can listen to my interview with Dr. Alhayani’s below and watch a video clip of him showing us his operation as well:

USGC Corn Mission In Egypt Photo Album

Audio, Beef, Corn, International, USGC

Improving Beef and Dairy Herds In Egypt

Chuck Zimmerman

Corn MissionPresenting information at Cairo University on the Cattle Information Center was Dr. Samy Abou-Bakr.

He describes that there are two different water buffalo dairy and feedlot systems. One is old and one is new. In the older model, the herd size is small, handled with lots of labor and very little if any records are kept. In the new, the herds are larger commercial operations of over 50 head of animals. Records are being kept and animals are being bred for desirable characteristics.

What this all means for American grain growers is that as the beef and dairy sector grows in Egypt it continues to become a growth market for our products.

You can listen to Dr. Abou-Bakr’s remarks below:

USGC Corn Mission In Egypt Photo Album

Audio, Beef, Corn, Dairy, International, University, USGC

Cairo University Ag School

Chuck Zimmerman

Corn MissionThe first stop for the U.S. Grains Council Corn Mission team today was Cairo University and specifically the ag school. Our first presenter was Dr. Rabie Ragab Sadek who gave us an overview of the Center Information Systems Center of Egypt. The project was created to develop a cattle information system that would provide statistically representative, adequate data for cattle breeding research and for the future development of a national breeding program. The goal to create genetic improvement of both milk and meat producing cattle and buffalo.

He introduces our other presenters who would speak about specifics about the accomplishments of the University’s dairy herd improvement unit.

You can listen to Dr. Sadek’s remarks below:

USGC Corn Mission In Egypt Photo Album

Audio, Corn, Education, International, University, USGC

Zimfo Bytes

Melissa Sandfort

    Zimfo Bytes

  • Farm Journal Media has announced that Greg Vincent is promoted to editor of AgWeb, and Jeanne Bernick is promoted to editor of Top Producer.
  • The deadline for submitting nominations for the Agribusiness Leader and NAMA Marketer of the Year awards is Jan. 15, 2010. Fill out the nomination form on-line now.
  • Agribusiness professionals can build their management skill set at one of the Purdue University Center for Food and Agricultural Business’s 2010 seminars, delivered on Purdue’s campus in West Lafayette, Ind. A list of seminars and registration is available online.
  • USDA’s Economic Research Service has released a study Meeting Total Fat Requirements for School Lunches, which finds that many school policies and practices are associated with the fat content of meals they serve through the National School Lunch Program.
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