farmweek april 9 2012

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Monday, April 9, 2012 Two sections Volume 40, No. 15

FarmWeek on the web: FarmWeekNow.com Illinois Farm Bureau®on the web: www.ilfb.org

THE FaRm SERvIcE Agencyis attempting to go paperless, and tokeep farmers without Internet accessinformed, FarmWeek will publishreminders. ............................................10

THE majORITY of the Illi-nois winter wheat crop (78 per-cent) was in good to excellent con-dition as of last week, but a hardfrost could still hurt. ......................5

LaWmakERS aRE TakInGa new stab at killing the “death tax,”though Urbana Republican U.S.Rep. Tim Johnson warns the taxmay not die easily. ............................3

IT’S DRY NOW, BUT ...

Josh Deavers, left, Kenney, and Dale Johnson, Midland City, connect field tile to a main junction line ina 60-acre field near Clinton in DeWitt County. They are employees of Larry Humphreys of rural Clinton,who owns a tiling and excavating service in addition to growing corn and soybeans in the Clinton area.Humphreys said he will tile about 2,000 acres this year and is trying to finish all the work before plant-ing begins. He said this is the driest spring he has encountered since 1988. (Photo by Ken Kashian)

Farm bill passage by fall a daunting prospect BY MARTIN ROSSFarmWeek

Amid rising election fever,differences over conservationand nutrition programs, andcontinued budget-deficit wran-gling, farm bill negotiatorsmust “try to forge ahead withthe best product we can get,”retiring House Ag Committeemember Tim Johnson told

FarmWeek last week. Johnson’s Ag Committee

colleague, Mike Conaway (R-Texas), questioned whether anew farm bill could be enactedby the end of September.

Passage is a challenge in alegislative session cut short bya presidential election,Conaway told producers.

“I’d like to see us get a farm

bill sooner rather than later,but there are a lot of impedi-ments that have been erected,by the administration,” John-son, an Urbana Republican,admitted following a town hallmeeting in Pontiac precedinghis retirement announcement.

The budget debate contin-ues to be a major driver infarm bill development.

Addressing public concernsabout future federal educa-tion spending at the Pontiacmeeting, Johnson stressedfarmers now receiving directpayments “are going to haveto share in the sacrifice.”

However, he questionedthe idea of subjecting farmsafety net programs to severecuts while shielding nutritionprograms that account formore than two-thirds of theag budget.

“I tend to think the on-the-tractor farmer who’s producingthe food ought to have at leastequal prioritization as some-body who’s receiving nutritionassistance from the govern-ment,” Johnson held.

“Somehow, that priority hasgotten out of whack, and wewant to restore it.”

Reaching consensus on thefuture scope and direction ofconservation programs also is“clearly a challenge,” he said.

The National Grain andFeed Association (NGFA) hasurged the Senate Ag Commit-tee to “implement fundamen-tal reforms” in the Conserva-tion Reserve Program (CRP),citing “compelling evidence”that millions of acres current-ly idled in the CRP are suit-able for row-crop productionand are needed to meet grow-ing food, feed, biofuels, andexport demand.

While supporting continueduse of the CRP to protect“truly environmentally sensi-tive lands,” NGFA arguedbudget pressures require Con-gress to allocate ag funds “inways that provide sufficientfunding for federal crop insur-ance and conservation pro-grams for working farmlands.”

Further, some landownersreportedly are considering let-ting federal conservation con-tracts lapse to allow youngerfarmers outbid on otherparcels to lease productiveland.

Illinois Association of Soiland Water Conservation Dis-tricts Executive DirectorRichard Nichols nonethelessis concerned about paring toodeeply into CRP funding orfuture enrollments.

In Illinois, “CRP does a lotof good as far as keeping soilout of the water and improv-ing water quality,” particularlyon highly erodible lands,Nichols said.

He fears CRP gains couldeasily be reversed “if propermanagement techniquesaren’t used” in returningland to row-crop produc-tion.

The farm bill’s energy title couldoffer options to protect conservinguses while maximizing farm

See Farm bill, page 4

BY KAY SHIPMANFarmWeek

Private property rights willbe among the issues state law-makers will address when theyreturn to Springfield in twoweeks.

Property rights are at theforefront of an agreementamong Illinois Farm Bureau,the oil and gas industry, andenvironmental groups afterweeks of negotiation.

IFB and the others agreedon legislation that would cre-ate rules for hydraulic fractur-ing to extract natural gas fromshale, according to Kevin

Semlow, IFB director of statelegislation.

Hydraulic fracturing, alsoknown as fracking, is amethod used to increase theflow of oil or gas from a well.The process involves pumpingliquids under high enoughpressure to fracture rockdown a well into subsurfacerock.

The goal is to create a net-work of connected fractures,which will allow for the move-ment of oil or natural gas intothe well.

“This legislative agreementis an attempt to protect pri-

vate property owners and givethem access to informationabout companies who may dofracturing in the future,” Sem-low said.

With the new language thatwill be added as an amendmentto SB 3280, state regulationswill require the reporting ofthe chemical ingredients usedin hydraulic fracturing; wellintegrity testing and properstorage of hydraulic fracturingfluids; a process to allow indus-try to protect trade secrets; anda process for landowners andagricultural tenants to chal-lenge trade-secret protection if

they have been affected andneed access to informationabout the chemicals used.

The Senate EnvironmentCommittee passed SB 3280,sponsored by Sen. MichaelFrerichs (D-Champaign).

The legislation received adeadline extension to allowthe addition of the negotiatedamendment after break, Sem-low explained.

PROPERTY RIGHTSconcerns a l so are an i ssuein SB 3758, sponsored bySen. James Clayborne (D-Bel lev i l le ) .

Proposed bills raise property rights issues

See Property rights, page 3

FARMERS DONATE EASTER EGGS — Amer-ica’s egg farmers last week donated a whopping 10 mil-lion eggs to Feeding America, a hunger-relief charity.

The eggs will provide high-quality protein to needyAmericans at Feeding America’s 78 food banks in 40states.

About one out of every eight Americans will receivehelp this year from one of Feeding America’s memberfood banks.

“All year long, but especially at Easter, (egg farmers)proudly do what they can to support the communitiesin which they live and work,” said Gene Gregory, pres-ident of United Egg Producers.

This was the fifth consecutive year farmers donatedeggs during the Easter season, which brought the totaldonation to 60 million eggs (nearly 5 million dozen)since 2008.

LABOR LEGISLATION — Farm Bureau contin-ues to urge bipartisan support for congressional legis-lation that would prevent officials from finalizing orenforcing proposed new Department of Labor (DOL)ag child labor regulations.

The DOL is reviewing approximately 18,000 com-ments on proposed youth labor rules that would nega-tively affect the way families operate their farms andranches. Under the plan, routine farm chores such asdriving tractors, milking cows, cutting weeds, and build-ing or repairing fences likely would be considered ille-gal unless the farm on which the youth worked waswholly owned by his or her parents.

Last month, U.S. Rep. Tom Latham (R-Iowa) intro-duced the Preserving America’s Family Farm Act toblock the new proposal. Sens. John Thune (R-S.D.) andJerry Moran (R-Kan.) have introduced a companion billwith 44 cosponsors.

STRATEGIC ALLIANCE — USDA, the Depart-ment of Energy, and the Navy are joining forces tomobilize biofuels efforts. Officials are co-hosting a May18 Advanced Biofuels Industry Roundtable in Washing-ton as the next step in a partnership with the privatesector to produce fuels to power military and commer-cial transportation.

“Advanced biofuels are a key component of Presi-dent Obama’s ‘all-of-the-above’ energy strategy to limitthe impact that foreign oil has on our economy andtake control of our energy future,” said Ag SecretaryTom Vilsack.

“By bringing together farmers, scientists, and the pri-vate sector to produce fuel for the American military,we can help spur an industry producing biofuels fromnon-food feedstocks all over the nation, strengthen ourmiddle class, and help create an economy built to last.”

FarmWeek Monday, April 9, 2012

(ISSN0197-6680)

Vol. 40 No. 15 April 9, 2012

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Quick TakesAROUND ILLINOIS

BY KAY SHIPMANFarmWeek

Agricultural education officials have submit-ted a career education proposal to the IllinoisState Board of Education (ISBE) as part of anew education initiative.

In February, Gov. Pat Quinn launched theIllinois Pathways to prepare students for collegeand careers. Agriculture, food, and naturalresources was selected as one of nine key careerfields in the state.

“We received a broad basis of support fromour partners in the field,” Jay Runner, statecoordinator for the Facilitating Coordination inAgricultural Education, told FarmWeek.

Under the ag proposal, the Illinois Leader-ship Committee for Agricultural Education andthe Illinois FFA Foundation would develop a“learning exchange” for agriculture. The learn-ing exchange would provide ag-related career

information for elementary through college stu-dents.

The ag proposal would build upon currentprograms and curriculum. This would includeoffering work-based learning opportunities andelectronic learning resources.

ISBE also received proposals to developlearning exchanges for: information technology,manufacturing, health sciences, finance, energy,research and development, and transportation,distribution, and logistics.

The state will spend $3.2 million in federaleducation reform money on career-based learn-ing with an emphasis on science, technology,engineering, and math, also known as STEM.The first learning exchanges are expected tostart this fall.

“I feel we are in good shape ... and in a posi-tion to be a role model,” Runner said. “I see thisas a tremendous opportunity.”

FFA Foundation, ag educators file proposal

Several state agencies lastweek announced up to $13 mil-lion in financial aid and othersupport to help families, busi-nesses, and local governmentsrecover from a Feb. 29 tornadoin Southern Illinois.

The support includes reim-bursement to local govern-ments for some disaster-relatedexpenses, road improvements,grants to help homeownersrepair or rebuild damagedhomes, and low-interest busi-ness loans for businesses.

“This assistance packageoffers real solutions for thelong-term recovery effort inHarrisburg and other commu-nities,” said Gov. Pat Quinn.The area was denied federalassistance because the mone-tary loss tally was not sufficient.

The state’s multi-agencyrelief package includes:

• The Illinois Department ofCommerce and Economic

Opportunity (DCEO) is offer-ing up to $5 million for publicinfrastructure improvements,housing rehabilitation, andreconstruction efforts.

In partnership with AmerenIllinois, another $1 million fromthe Energy Efficiency Trust willfund energy efficiency incen-tives for customers affected bythe disaster. DCEO also willmake available up to $750,000in Workforce Investment Actgrants to cover wages of dislo-cated workers who help withdisaster cleanup and participatein structured work-based learn-ing.

• The Illinois FinanceAuthority (IFA) is offering upto $2 million in USDA RuralDevelopment business loansthrough a relending program inGallatin, Saline, andWilliamson counties.

Loans between $50,000 and$250,000 may be used to buy

land, machinery, or equipment,or for construction or renova-tion of an industrial or com-mercial building. IFA is part-nering with local banks to mar-ket the program.

• The Illinois EmergencyManagement Agency is offer-ing up to $1.5 million in reim-bursements to affected localgovernments for some disaster-related expenses.

• The Illinois HousingDevelopment Authority iscommitting up to $1 million infederal home funds. Home-owners in affected areas mayapply for forgivable loans up to$40,000 per household. Themoney may be used to build orrenovate destroyed or damagedhomes.

• The Delta RegionalAuthority is offering $400,000in federal funds to reimburselocal governments for debrisremoval expenses.

Quinn secures resources to help Southern Illinois recover

Six middle and senior highschools were selected fromapplications statewide for thefirst Illinois Wind for Schools(ILWFS) program for the 2012-2013 school year.

ILWFS is administered bythe Illinois Institute for RuralAffairs (IIRA) at Western Illi-nois University and the Centerfor Renewable Energy at Illi-nois State University (ISU).

The selected schools arethe Chicago High School forAgricultural Sciences, Chica-go Public Schools 299, CookCounty; Southwestern Middleand High School, Southwest-ern Community Unit SchoolDistrict (CUSD) 9, MacoupinCounty; Riverview GradeSchool, Riverview Communi-ty Consolidated School Dis-trict (CCSD) 2, WoodfordCounty; Galva High School,Galva School District 224,Henry County; Astoria JuniorHigh School, Astoria CUSD1, Fulton County; and PlanoHigh School, Plano CUSD

#88, Kendall County. The program incorporates

wind energy topics into theclassroom through on-siteworkshops at each participatingschool; customized curriculaand lesson plans; and lab equip-ment for hands-on activities,said Jolene Willis, IIRA windenergy program coordinator.

The purpose is to engageIllinois teachers and students inenergy education, specificallywind energy, said Matt Alde-man, senior energy analyst atISU’s Center for RenewableEnergy.

The new program addressesspecific state learning standardsin mathematics and alsoencompasses specific state sci-ence learning goals.

The program will begin witha summer 2012 teacher work-shop at each participatingschool.

During the summer, the sixschools will receive experimen-tal model wind turbines andequipment to build and test the

model turbines, experimentalweather balloons, a model windtunnel and lab activities, and acomprehensive wind energycurriculum.

In the fall, the ILWFS staffwill install scientific weatherinstrumentation on the groundsat each schools. Wind energylessons are to be integrated intothe existing curriculumthroughout the school yearwith the program concluding inspring 2013.

In addition to working withthe six schools, the ILWFS pro-gram will have a June 14 work-shop for any Illinois middleschool or high school teachersinterested in incorporatingwind energy topics into theclassroom. The free workshopwill be held at ISU.

Workshop registration infor-mation will be available soononline at {www.ilwfs.org}. Formore information about theprogram, call Willis at 309-298-2835 or Aldeman at 309-438-1440.

Six schools selected for Wind for Schools

government

Monday, April 9, 2012 FarmWeek

Continued from page 1The bill proposes to create

underground carbon dioxide(CO2) storage regulations andprocedures.

As currently written, the billautomatically would compel alllandowners to go along with aCO2 storage project if only 51percent of the landowners in thestorage area sign up to participate.

“This issue remains high onour radar, even though therewas no action in the pastweek,” Semlow said.

“We highly suspect a newamendment is being drafted andwill be released by Willow GroveCarbon Storage and its parentcompany,” Semlow continued.

“IFB will take a position onthe amendment after it’s beenreleased. We are concernedthis legislation could result in aprivate property right takingthat would force landowners

into releasing storage space.”THE SENATE PASSED

SB 3318, another bill related toproperty rights. The legisla-tion, sponsored by Sen. ToiHutchinson (D-OlympiaFields), would allow the use ofquick-take eminent domain toobtain land for construction ofan Illiana tollway. The pro-posed tollway would connectI-55 in Illinois to I-65 in Indi-ana. IFB opposes the measure.

ON WIND ENERGYpolicy, IFB will continuesearching for common groundto carry out IFB policy relatedto commercial wind energyfacilities. SB 3271, sponsoredby Senator Frerichs, is beingheld in the Senate Agriculturaland Conservation Committee.

“This legislation addressedconstruction, decommissioning,and siting of commercial windenergy facilities. It drew great

opposition from county andmunicipal government groups,wind turbine companies, andeven some farmers andlandowners who oppose anytype of statewide standards andbelieve that these decisionsshould be made at the local level.

“There also are some farm-ers and landowners who wantgreater restrictions on windfarm development than whatthis legislation provides,” saidPaul Cope, IFB assistant direc-tor of state legislation.

“At the present time, IFBwill continue to seek commonground on these issues,” Copesaid. The most contentiousportion of the proposal dealtwith facility siting, heexplained.

Farm Bureau delegatesdebated and approved relatedpolicy at the IFB annual meet-ing in December.

Property rights

Federal estate tax repeal possible in 2012?BY MARTIN ROSSFarmWeek

Lawmakers are taking anew stab at killing the “deathtax,” though Urbana Republi-can U.S. Rep. Tim Johnsonwarns the tax may not die eas-ily.

The Death Tax RepealPermanency Act of 2012,introduced by Sen. JohnThune (R-S.D.), would repealthe federal estate tax andmake permanent the maxi-mum 35 percent rate on tax-able family gifts and $5 mil-lion lifetime gift tax exemp-tion for farm or small busi-ness heirs. Thune argued“the death of a loved oneshould not be a taxableevent.”

The Senate measure wouldmaintain estate tax “stepped-up basis” provisions whichadjust the value of propertyfor inflation at death andthus allow survivors to

protect a typical farm.”At a Pontiac town hall

meeting last week, Johnson

said he is “personally in favorof abolishing the death tax.”But, he advised FarmWeek,given the current political-fis-cal environment in Washing-ton, “that ain’t gonna hap-pen.”

“The best we can hope foris that at the expiration of(current estate tax reliefmeasures), we can resurrector re-enact what we have

now, with a higher exemptionand a lower rate,” Johnsonsuggested. “I think that’seminently fair.”

Approval for some formof estate tax relief appearspossible, probably in thelame duck session followingfall elections.

While critics argue endingthe estate tax would mean aloss of $23 billion in annualtax revenues, a study by theCongressional Budget Officeconcludes repealing the taxwould generate 1.5 millionjobs.

Further, Stallman deemedestate tax uncertainty “a bar-rier to entry for new andbeginning farmers,” as wellas an impediment to farmretirement/succession plan-ning. In a letter to senators,AFBF warned increased taxexposure would hurt com-munities and businesses sup-ported by ag activity.

forego taxes on appreciatedvalue. The bill is similar to aHouse measure with more

than 200 co-sponsors.Late in 2010, faced with the

threat of the estate tax return-ing to a pre-2002 55 percenttop tax rate and a $1 millionexemption, Congress OK’d a$5 million-per-person exemp-tion with a top tax rate of 35percent for 2011 and 2012.

The measure also allowedthe unused portion of aspouse’s exemption to be used

by a surviving spouse and rein-stated stepped-up basis.

Without congressional

action, the exemption willdrop back to $1 million withno spousal transfer and a 55percent rate in 2013.

High land values havegreatly increased the tax-able value of farm estates,and American Farm BureauFederation President(AFBF) Bob Stallmanwarned a $1 million exemp-tion “is not high enough to

‘The best we can hope for is that at the expirationof (current estate tax relief measures), we canresurrect or re-enact what we have now, with ahigher exemption and a lower rate.’

— U.S. Rep. Tim JohnsonUrbana Republican

As farm state lawmakers continueefforts to rein in federal agencies’ “reg-ulatory overreach,” an East Coast judgehas charged environmentalists withtheir own overreach in a case withpotential implications for Midwestfarmers.

While fielding pre-trial motionsin the case of Maryland poultryfarmers Alan and Kristin Hudson,U.S. Judge William Nickerson hadharsh words for environmental in-terests.

The Hudsons are fighting a suitcharging that their chicken waste haspolluted a tributary of the ChesapeakeBay, where the U.S. EnvironmentalProtection Agency (EPA) has focusednutrient management efforts.

Farm Bureau, meanwhile, is suingthe government over Chesapeake Bayrules seen by many as a template forfarm regulation in the MississippiBasin.

Nickerson questioned the accura-cy of environmentalists’ centralclaim that the Hudsons had placed alarge pile of uncovered, untreatedchicken litter near a “navigable” andtherefore federally regulated water-way.

“It seems clear that the originalplaintiffs in this action were look-ing for an opportunity to bring acitizen suit under the CWA (U.S.Clean Water Act) against somechicken production operation,” thejudge stated. “When (Kathy)

Phillips (of the group AssateagueCoastkeepers) discovered a largepile on the Hudson farm that shebelieved to be chicken litter, sheconcluded that she had found her‘bad apple.’”

Nickerson’s comments come at apoint of particular contention over leg-islative, judicial, and administrative“separation of powers.”

The White House has comeunder fire for challenging the U.S.Supreme Court’s ability to gaugethe constitutionality of health carelaw, lawmakers have revived effortsto curb EPA’s scope in water policydevelopment, and environmentalgroups have looked to the courtsto interpret — or reinterpret —

Congress’ intent in regulatory poli-cy.

U.S. Rep. Tim Johnson, an UrbanaRepublican, lashed out last week atthe growing role of “unelected offi-cials” in trying to shape or influencenew policy. The congressman, whohas announced his retirement, notedagencies’ “apparent willingness tointrude” into the ag sector, led by“people who aren’t responsive to any-one.”

“I find it mind-boggling that anadministration — not through legisla-tion but through regulatory lawmaking— can declare milk a (regulatorily)controlled substance and farm dust apollutant,” Johnson said. — MartinRoss

Court joins Congress in charging ‘overreach’

transportation


Continued from page 1 productivity and profit,Nichols suggested.

“Many of those acres thathave CRP are probably not thebest-suited for row-crop pro-duction,” he told FarmWeek.“There are alternatives to uti-lizing CRP on working lands,particularly as we progress intobioenergy crops or forage orfeed production for livestock.

“I think there’s potential inmany cases to be able to usethat land with proper manage-ment as an additional foodsource for livestock, withoutcausing undue harm to theprotections (conservation pro-grams) provide.”

Farm bill

House floats measure to address lock issuesBY MARTIN ROSSFarmWeek

Bobby Schilling grew upnear Rock Island’s Lockand Dam 15. While hewent on to be a unionsteward, insurance agent,restaurateur, and congress-man, the Western Illinoislawmaker argues Lock 15hasn’t fared quite so wellover the years.

“That thing is so outdat-ed,” the Colona Republicantold FarmWeek, citing theneed for navigationalimprovements on the Illi-nois and Mississippi rivers.“We’ve got to catch upwhen it comes to infrastruc-ture.”

To that end, UrbanaRepublican Rep. Tim John-son, Belleville DemocratRep. Jerry Costello, andtheir bipartisan HouseTransportation Committeecolleagues from Missouri,Kentucky, and Tennessee

lem,” he said.“Infrastructure’s a long-

term investment, and I’d

really like to see some typeof long-term plan wherewe’re going to be able to goin, fix these locks and damsappropriately, and make surewe can move our food whenwe need to move it.”

WAVE4 likely must berolled into a larger WaterResources Development Actsuch as the 2007 bill thatauthorized new Midwest

locks. Those locks wouldeliminate need for doublelocking (separation, passage,

and reconnection of bargetows) and leave older locksfor recreational or back-upuse, thus helping reduce riv-er freight costs.

Schilling would like to seedouble locks at more pointson the system, noting thatwhen one lock is shut downfor unexpected repairs,“we’re down for quite sometime.”

are sponsoring the “Water-ways Are Vital for the Econ-omy, Energy, Efficiency, andEnvironment” (WAVE4)bill.

WAVE4 includes elementsof the Capital DevelopmentPlan, a proposal designed toreplenish the waning InlandWaterways Trust Fund, which,ideally, covers half of lockmaintenance-constructioncosts. River shippers support abarge fuel tax hike to rebuildrevenues and unlock federallock spending.

Waterways Council Inc.President Mike Toohey seesWAVE4 as an opportunity toaddress at least 25 projects,including seven new 1,200-foot locks approved for theIllinois and Upper Mississip-pi rivers in 2007. Withoutcongressional action, onlysix current projects “willtake up the entirety of theInland Waterways TrustFund,” Toohey said.

The American SoybeanAssociation, which deemsfunding to modernize river

infrastructure a “high priori-ty,” is stumping for the bill.Schilling, citing major infra-structure work in Panamaand China, warned failure tomodernize the Midwest nav-igation system would hurtU.S. global ag competitive-ness.

“It’s great to be able toproduce all this product,but if you don’t have theways and means to get itfrom Point A to Point B,that’s going to be a prob-

mercial river priorities. Highly publicized con-

struction delays and costoverruns at the OlmstedLock near Paducah, Ky.,underline the need for funda-mental changes in how theU.S. Army Corps of Engi-neers plans and implementsprojects, Tarmann toldFarmWeek.

“That’s really our bottle-neck right now in trying tosecure funding for construc-tion projects in the UpperMississippi,” he said. “Untilthey get (Olmsted concerns)resolved, we may not see anyconstruction in the UpperMiss for more than 10 or 15years.”

WAVE4 would impose anindustry-supported 6- to 9-cent- per-gallon increase inthe existing 20-cent bargefuel tax.

It aims to prioritize naviga-tion projects across the entireinland navigation system andimprove Corps project man-agement and processes in aneffort to deliver projects ontime and on budget.

The bi l l would preser vethe 50-50 industr y/federalcost-share for mula for keylock construct ion/rehabprojects with a projectedcost above $100 mil l ion.It seeks 100 percent fed-eral funding of dam andsmal ler lock rehab proj-ects and would impose acost-share cap on new

construct ion projects.Congress authorized the

Olmsted project in 1988 at anestimated cost of $775 mil-lion and a seven-year con-struction timeline. One yearlater, the Corps raised costestimates to $816 million andextended its schedule to 12years.

Nearly 20 years after proj-ect launch, the Corps hasasked for an additional $800million, bringing total projectcost to $3.1 billion.

National WaterwaysCouncil Inc. Chairman MattWoodruff acknowledgedconcerns about the projectprocess, particularly givenWashington’s “resource-constrained environment.”He thus stressed the needto objectively “pick theprojects we need the most”from a nationwide perspec-tive.

“We need to start at thevery beginning in terms ofplanning, better cost estima-tion, having a far better ideaof what it’s really going tocost to build a project beforewe go to Congress and askthem to authorize it, beforewe ask the industry to fundhalf of it,” Woodruff toldFarmWeek.

“And then, once we makea decision that it’s in thenation’s interest to do some-thing, we need to prosecute itas efficiently as we can.” —Martin Ross

The assurance of federalaccountability in waterwaydevelopment will be crucial inclearing a potential “bottle-neck” in Midwest lock fund-ing, according to Jim Tar-mann, Illinois Corn GrowersAssociation field servicesdirector.

The House WaterwaysAre Vital for the Economy,Energy, Efficiency, andEnvironment bill (WAVE4)(see accompanying story)not only provides a mecha-nism for bolstering lockfunding, but also directsthat reforms aimed atensuring funds are usedefficiently in targeting com-

‘Infrastructure’s a long-term investment, and I’d real-ly like to see some type of long-term plan.’

— U.S. Rep. Bobby SchillingColona Republican

Measure builds accountabilityinto lock construction process

Guebert: Ag, infrastructure needs surface at export councilBY KAY SHIPMANFarmWeek

Agricultural exports and transportationinfrastructure were highlighted during thefirst meeting of the Illinois Export Advi-sory Council last week in Chicago, said Illi-nois Farm Bureau Vice President RichGuebert Jr., a council member.

The 21 leaders that comprise the councilwere appointed by Gov. Pat Quinn and areexpected to develop recommendations toincrease trade and business investment inthe state.

After a council member discussed a need to enhance riverbarge traffic, Guebert said he shared the efforts by IFB, theIllinois Corn Growers Association, and other organizations tosecure passage of the federal Water Resources DevelopmentAct and the modernization of Illinois River and MississippiRiver locks and dams that would benefit Illinois exports.

Guebert advised council members that they “need to worktogether to get money for the locks and dams.” Meanwhile,Brazil and China are spending millions on infrastructure, andIllinois needs to improve its infrastructure to be competitive,he continued. Guebert said he saw many council membersnodding in agreement.

During the meeting, several references were made toa goal shared by the Obama and Quinn administrationsto double exports by 2014. “Everyone’s thinking is thatagriculture is important to double exports,” Guebertsaid.

Export council members want to build on the state’scompetitive advantage of being the nation’s second largestproducer of corn and soybeans and among the leadingstates in food processing. “We need to take advantage notonly for exports, but also for job opportunities in small andlarge companies,” Guebert said.

After the meeting, Quinn and several council membersurged Congress to pass a four-year reauthorization of theExport-Import Bank (Ex-Im Bank) and raise the limit onEx-Im’s loan portfolio. The Ex-Im Bank, which hasfinanced exports since 1934, may close in May without thereauthorization.

Over the past five years, the bank has assisted more than280 Illinois companies, of which 67 percent are small- andmedium-sized businesses.

This week, Quinn will travel to Washington, D.C., andmeet with Brazil President Dilma Rousseff and nine gover-nors from Brazil. Quinn will lead a trade mission to Brazillater this year.

Rich Guebert Jr.

production


Textured beef issue could have ripple effect on marketsBY DANIEL GRANTFarmWeek

A consumer-driven push toeliminate the use of lean, fine-ly textured beef (LFTB), orso-called “pink slime,” inground products could havesome unintended conse-quences.

DerrellPeel, Oklaho-ma State Uni-versity ageconomist,last week pre-dicted the U.S.likely will haveto importmore beef,and the priceof hamburgerwill rise as theU.S. beefindustry findssubstitutes forLFTB inground beef.

The issuewith LFTB also is believed tobe a recent contributor tosofter demand for groundbeef and lower cattle prices inthe U.S.

ing meat and results in a prod-uct that is 90 percent lean. Anestimated 400 million to 500million pounds of LFTB isincorporated into ground beefproducts each year.

Peel predicted the issue willhave little effect on overallbeef demand. But the situa-tion could be different in theground beef market wheredemand could wane andprices could escalate asprocessors add more lean beefcuts to the grinder to replaceLFTB.

“The pushback against thisproduct is very targeted,” Peelsaid. “It will have an impact onground beef.”

Authors of the Daily Live-stock Report agreed.

“Consumers eventually willget the supply of ground beefthey need,” the authors said.“It may cost more even if cat-tle are valued less.”

Meanwhile, U.S. beefimports through March 22increased 38.4 million poundscompared to the same periodlast year, and Peel believes thetrend toward more beefimports will intensify as theindustry locates substitutes forLFTB.

“I expect to see someincrease in imports,” Peel said.“We need to bring in addition-al lean products.”

“This (replacement ofLFTB) will impact the price ofground beef,” Peel toldFarmWeek. “It will be higherfor consumers, and it will low-er the total value per animal”possibly by $10 to $20 perhead.

June live cattle futures fromthe last week of Februarythrough early last week tumbledby about $10 per head, or 8 per-cent, according to the CME

Group Daily Livestock Report.Last week the producer of

LFTB — South Dakota-basedBeef Products — announcedit would stop production ofLFTB at plants in Iowa,Kansas, and Texas. The move,prompted by consumer back-

lash to theproduct, isexpected toaffect 650jobs.

Iowa Gov.Terry Bran-stad res-ponded tothe situationby calling fora congres-sional inves-tigation.

“We havea smearcampaigngoing onagainst aproduct that

is healthy and safe,” Branstadtold the Associated Press.

LFTB is produced fromextra fat trim in a process thatseparates the fat from remain-

Weather forecast favorable for planting,crop development

The temperature this week may not climb as high as it did inprevious weeks when it felt like mid-summer in parts of Illi-nois.

But the forecast for the rest of the month calls for the over-all trend of above-average temperatures to continue, accordingto Bryce Anderson, DTN ag meteorologist.

“The month of April looks to us like it will feature above-normal temperatures and precipitation near to above-normal inmost of Illinois,” Anderson told the RFD Radio Network.“That being the case, it would be a pretty good scenario, espe-cially when we’ve had such an early start.”

Temperatures since latelast week have cooled down,but Anderson predicted itwould stay warm enough toavoid any major damage tothe winter wheat crop andearly-planted cornfields thathave emerged.

“We have a little bit cool-er trend working in,” Ander-son said last week. “But Idon’t expect any freeze-leveltemperatures (this week).”

Anderson predicted lowtemperatures in the southernthird of the state this week willget no colder than the low-40s.

The cool down is a big change from last month, though,when the average temperature in the Midwest, 50.3 degrees,was a new record-high for March.

The previous record-high for March in the Midwest was46.9 degrees, which was set in 1910, according to the Midwest-ern Regional Climate Center.

In Illinois, the temperature last month averaged 54.9degrees, which eclipsed the previous record set in 1946.

Looking ahead, weather this growing season could be differ-ent from the previous two years as a La Nina pattern in thePacific Ocean is transitioning into El Nino.

“The water temperatures (in the Pacific) are warming up,”Anderson said. “El Nino has a tendency to bring in late-sum-mer rain” which would be welcomed by farmers in the Midwestand South who last year experienced extremely dry anddrought conditions.

One of the main weather concerns in parts of Illinois as oflast week was a lack of precipitation required for seed corn ger-mination.

Topsoil moisture in the state the first of last week was rated31 percent short or very short, 64 percent adequate, and just 5percent surplus, the National Agricultural Statistics Service Illi-nois field office reported. — Daniel Grant

‘We have a littleb i t coo ler t rendworking in.’

— Bryce AndersonDTN meteorologist

Winter wheat in good shapedespite vulnerable state

The majority of the Illinois winter wheatcrop (78 percent) was in good to excellent con-dition as of the first of last week.

But the rapid maturity of the crop, sparkedby record-warm temperatures in March, has putthe highly advanced wheat plants in a vulnerableposition.

“Without a doubt wheat looks pretty goodright now,” Steve Ebelhar, agronomist at theUniversity of Illinois Dixon Springs Ag Center,told FarmWeek last week. “Most everybodygot their nitrogen on in a timely manner andwe’ve not had the type of rains that cause sig-nificant nitrogen loss.”

The current condition of the crop is just theopposite of what it was last year when just 36percent of the crop was rated good to excellenton March 1.

However, the rapid maturity of this year’scrop — Ebelhar said much of the wheat inSouthern Illinois was between the jointing andboot stages last week — make it more vulnera-ble to frost damage.

“There is a concern about what happens ifwe get a cold snap,” Ebelhar said. “Betweenjointing and boot (stages), if we get to 28degrees or less, you can get moderate to

severe damage on wheat.“There’s a lot of vulnerability with this

crop,” he noted. Once the crop gets to the heading stage, a

temperature of 30 degrees or less still couldinflict significant damage.

Ebelhar noted the wheat crop of 2007 wasn’tas advanced as the current crop and it sufferedextensive damage from the infamous Easterfreeze that year. Easter was on the same date in2007 as it was this year (April 8).

“It (a repeat of 2007) is a concern,” saidEbelhar, who has been an agronomist at the Uof I for 25 years. “I’ve never seen (the wheatcrop) progress as quickly as it has this year.”

Ebelhar estimated wheat yields in 2007 werereduced by one-quarter to one-third by theEaster freeze.

Fortunately, temperatures dipping as low as28 degrees, at least in Southern Illinois, did notseem likely based on last week’s long-term fore-cast.

However, last week’s forecast indicatedthere was a threat for frost in Northern Illinoisand southern Wisconsin, Todd Thumma, anagronomist with Syngenta, reported. —Daniel Grant

Greenhouse, high tunnels field day focusMcNitt Growers, Carbon-

dale, will host an educationalfield day from 5 to 7 p.m.Thursday at its nursery andsmall fruit operation. The eventis sponsored by the SouthernIllinois Farming Network.

McNitt Growers has 1.25acres of greenhouses andmore than 6,000 square feet of

high tunnels in production.During the field day, Andy

McNitt will demonstrate irriga-tion and ventilation systems heuses in both his greenhousesand high tunnels. He also willdiscuss basic nursery manage-ment and share his experiencesin growing perennial fruit inhigh tunnels.

The fee is $10, but the eventis free to members of theSouthern Illinois Farming Net-work. Registration is requiredand capacity is limited.

To register, contact DevinBrown at 618-771-0237 [email protected] register online at {www.eat-southernillinois.org}.

The website {www.beefisbeef.com} offers further information about lean,finely textured beef and meat production.

PRODUCTION


Planters continue to roll; frost concerns lingerBY DANIEL GRANTFarmWeek

The cyclical nature of farm-ing certainly is on display sofar this spring.

A year removed from cold,wet conditions that delayedplanting well into May andeven June, farmers so far thisyear are having much betterluck putting the crop in theground.

As of April 1, 5 percent ofthe Illinois corn crop had beenplanted compared to the five-year average of zero. Last year,just 10 percent of the corncrop was planted during theentire month of April.

“There is considerable fieldactivity going on,” said KenTaake, a Pulaski County farmerand a FarmWeek Cropwatch-er. “We’re probably 20 percentdone planting corn. There areguys who started planting inMarch who are finished (plant-ing corn).”

Full reports from Crop-watchers will return toFarmWeek in the May 7 issue.

In Jackson County, most ofthe field activity so far has

been preparation work forplanting, according to DeanShields, also a Cropwatcher.

“We’ve had a lot of activitygetting ready to plant,” Shieldssaid. “A few guys have plantedcorn and some is up, but therehasn’t been a big surge yet.”

Shields’ farm received about2 inches of rain last week.

“Once it dries out, we’ll behitting it (corn planting) hard,”he said.

But while many farmershave taken advantage of theunseasonably warm weather inrecent weeks, the threat offrost still hovers over the state.

“Some wheat is headed out.Everything is really ahead ofnormal,” Taake said. “If thereis a major freeze now, it woulddecimate the fruit crops.”

Freezing temperatures wererecorded Thursday night andFriday morning in the North-west, Northeast, and parts ofCentral Illinois, according toJim Angel, state climatologistwith the Illinois State WaterSurvey.

“Several sites, particularly inNorthern Illinois, got to 32

degrees or colder (Thursdaynight),” Angel said. “And theforecast (for Friday and Satur-day) indicates Northern Illi-nois will be wrestling withtemperatures at or belowfreezing.”

Paxton in East-Central Illi-nois had the lowest cold tem-perature reading Thursdaynight at just 25 degrees.

Angel said temperatures in

the low 30s shouldn’t doextensive damage to crops,but a hard freeze, with tem-peratures at or below 28degrees, could cause signifi-cant damage to wheat, fruittrees, emerged corn, and alfal-fa.

The forecast for this weekcalled for overnight tempera-tures to remain above freezingin much of the southern two-

thirds of the state.“In Southern Illinois and

parts of Central Illinois we’restill dodging the bullet,”Angel added. “But we’re notout of the woods yet.”

Oat planting also was wellahead of schedule as of thefirst of last week with 70 per-cent of the crop in the groundstatewide compared to theaverage of 14 percent.

Brazilian soy harvest better than expectedBY PHIL CORZINE

Harvest is finally underway at three of our four

farms inTocantins,and so far,yields areexceedingexpectations.At FazendaSonho Verde(GreenDream Farm),we are abouthalf done on

our 1,360 acres, and the firstfields have averaged 54bushels per acre. Last year

this farm averaged 43.This farm has been on a

year-to-year lease, and we justfinished negotiating for onemore year.

For the first two years, wepaid 5.35 bushels per acre,half up front and half at har-vest. The higher prices thisyear have a lot of farmersfrom other states trying torent land, so our rent went up33 1/3 percent for the nextseason.

Near Alvorada, Tocantins,harvest just got started on a220-acre field, and the first 12acres weighed in at 63 bushelsper acre.

This is our first year on thisfarm, and this field is onlyproducing only its third cropafter being converted frompasture.

We also have fields hereproducing their first and sec-ond crop after conversion, soour yields will be lower onthese fields, but we are stillexpecting an average of 45 to

50 bushels per acre.We just started harvesting

at our owned farms nearAraguacu last week, so it istoo early to know about yieldsthere.

Our newest farm, 1,730acres in its first year out ofpasture, was planted last, andwe won’t get going there untilcloser to the first of May.

Soybean prices in Brazil arethe highest we have seen sincejust after we started in Brazilin 2003.

Cash beans are about $12per bushel, and we just sold12,000 bushels for the 2012-2013 crop for $11.30.

Given the timing, theseprices are going to encouragenew acres being brought intoproduction in Brazil in thenext crop year.

Phil Corzine is general managerof South American Soy, a globalproduction management and invest-ment company. His e-mail addressis [email protected].

Phil Corzine

IEPA supplies answers to NPDES permit questions

At the Illinois Farm Bureau Governmental Affairs Leader-ship Conference, the Illinois Environmental Protection Agency(IEPA) provided the following answers to questions about newrules for the National Pollutant Discharge Elimination System(NPDES) pesticide permit:

Question: Who should apply for the permit?IEPA: Either the person, such as the landowner, who is

making the decision to have the pesticide applied or the pesti-cide applicator.

How do I apply for a permit?IEPA: To obtain coverage under the general NPDES per-

mit, the operator must file a notice of intent (NOI) with IEPA.The NOI form serves as a permit application for coverageunder the general NPDES permit.

How long does it take to get a permit?IEPA: A NOI is due at least 14 days before the pesticide

application. You could have to wait as much as 30 days to applyyour pesticide. If you receive a coverage letter, you can applythe pesticide sooner.

If you do not receive a letter and you are not notified byIEPA to submit additional information for your application,you automatically will be covered 30 days after IEPA receivesyour NOI.

trade


Illinois Soybean Association Chairman Matt Hughes of Shirley visited a Cuban poultry facility recently. TheU.S. has lost significant soy meal market share in Cuba to Brazil, but the island nation’s two-tiered effort toramp up food production for its citizens and a booming tourist trade has fueled hopes for a soy export rally.(Photo courtesy of the Illinois Soybean Association)

IFB to tour Cuba June 28-July 2

Cuban touristtrade good avenuefor soy products?

BY MARTIN ROSSFarmWeek

Mill Shoals grower Doug Winter sees good potential to movemore Midwest soy oil and meal into Cuba, especially if Congresscan help provide Cuba better credit terms in purchasing U.S.goods.

A blossoming Cuban tourist trade provides a “really goodavenue” for U.S. value-added poultry and pork as well as thehigh-quality feed needed to fuel domestic meat production, saidWinter, who participated in the Illinois Soybean Association’sMarch tour of the island nation.

And that avenue is a relatively short jaunt for U.S. shippers —less than 125 miles off the Florida coast. “It’s a natural fit,” Win-ter told FarmWeek.

Cuba is a primewarm-weather des-tination for con-sumers fromthroughout theEuropean Union— Winter said heencountered a par-ticularly high vol-ume of British visi-

tors. Changes in current U.S.-Cuban travel policy would spur “alot larger influx of Americans,” and thus heightened demand forU.S. imports, the Southern Illinois farmer suggested.

“Cuba has to import somewhere between 60 and 70 percent of itsfood supply,” Winter said. “Naturally, if you’re increasing the numberof tourists down there, that’s going to go up proportionately.

“Despite Brazil coming in and taking a lot of the market wehad four or five years ago, we see a really good potential for(U.S.) soy in Cuba, and, I think, for other grains, too.” Sixteen farmers from across the state plan to promote theirproducts during an Illinois Farm Bureau Cuban market studytour June 28-July 2. IFB President Philip Nelson and IFB Direc-tor Steve Hosselton will accompany the group.

In 2007, Cuba imported roughly 175,000 tons of U.S. meal.Since then, annual U.S. sales have dropped to about 25,000 tonseven as Cuba’s total imports have risen by close to 75,000 tons— largely Brazilian meal.

Cuba’s state-run farms today are producing primarily for thetourist industry, while smaller private farms generally are feedingthe domestic population. The Cuban government is pushing toramp up food production at both levels and that offers the U.S.expanded marketing opportunities, Winter said.

At the same time, soy oil accounts for more than 90 percentof the country’s edible/cooking oil use.

Winter sees additional Midwest product moving to Cuba viaSavannah, Ga., or New Orleans ports. Cuba continues to refineits import capabilities, reserving its Havana port increasingly forthe tourist trade and upgrading commercial operations at Marielon the island’s northwest end.

The Brazilian engineering group Grupo Odebrecht is buildinga new port that includes a major container terminal, in partner-ship with a subsidiary of Cuba’s military-controlled AlmacenesUniversal S.A. The Brazilian government has agreed to subsidizeup to $800 million in project costs; some $300 million alreadyhas been appropriated.

Improved container capabilities at both the Gulf and atMariel heighten Winter’s hopes for increased flow of Corn Beltproducts down the Illinois and Mississippi rivers into theCaribbean.

However, while the U.S. would seem to enjoy “a very goodfreight advantage” moving into Cuba, Winter said ongoing traderestrictions offer Brazil and Argentina a competitive edge in theCuban market.

Under U.S. rules, Cuban payment for U.S. goods is requiredprior to export shipment, and buyers often must wire paymentsthrough European or other banks. Cuban buyers thus areexposed to potential seizure of goods in U.S. ports.

The grower likens “cash-in-advance” requirements to “tryingto conduct a normal business without 30- or 60-day credit terms.”

issues


Scientists uncover more details about aquiferBY KAY SHIPMANFarmWeek

Scientists and the peoplewho rely on the MahometAquifer continue to learnmore about one of the state’slargest groundwater resources.

“New information has beengathered about the aquifer,”said Andrew Stumpf, aresearch geologist with the

Illinois State Geological Sur-vey (ISGS).

Stumpf and several otherresearchers with ISGS and theIllinois State Water Survey(ISWS) reported on new stud-ies during a recent regionalwater conference in Urbana.

Over the past six decades,scientists have conductednumerous studies of the

aquifer, and they continue tolearn new details.

A recently completed studyin Champaign County andadjacent areas showed layersof sand and gravel in theaquifer are interspersed withlayers of glacial till. The geo-logical processes that formedthe aquifer were more compli-cated than researchersthought, according to Stumpf.

Based on the new informa-tion, scientists believe theaquifer has a more complexgroundwater flow, Stumpfsaid.

George Roadcap, a hydrol-

This area of Central Illinois shows the boundaries of the MahometAquifer, the Sangamon River watershed, and the 15-county area of theRegional Water Supply Planning Committee of East-Central Illinois.

ogist with the ISWS, reportedresearchers are learning aboutconnections between theMahomet Aquifer and theneighboring Glasford Aquifer.

Roadcap described theGlasford Aquifer as “actinglike a bank” of water anddecreasing the fluctuation ofwater levels within theMahomet Aquifer. Annualfluctuation levels have beenreduced in recent years, henoted.

In the Monticello area, sci-entists have found a connec-tion between surface water andground water.

“When the Sangamon Riverrises, it pushes a lot of waterinto the aquifer because of thegradient,” Roadcap explained.

On the western side of theaquifer around Mason City, sci-entists have discovered geolog-ical funnels that cause “strangebehavior” in aquifer recharge,Roadcap said. “Rains are fun-neled right down into theaquifer,” he added.

This discovery and otherinformation have led scientiststo conclude irrigation in theHavana lowlands will not havea long-term impact on aquiferlevels, according to Roadcap.

Pest populations thriving so far this springBY DANIEL GRANTFarmWeek

Humans aren’t the only liv-ing creatures in the Midwestwho apparently have beenenjoying the recent run ofabove-normal temperatures.

Numerous pests, includingblack cutworm moths, beanleaf beetles, and alfalfa weevils,have been active in some partsof the state and could present

problems this growing season.“The record-breaking

warm temperatures in Marchwill likely hasten the emer-gence and development ofsome overwintering insectpests of field crops as well asthose that are new arrivals,such as black cutworm lar-vae,” said Mike Gray, Univer-sity of Illinois Extensionentomologist.

Black cutworm larvae hatchfrom eggs laid on winter annu-al weeds. The migratory mothsalready have been captured inpheromone traps throughoutmuch of the state, Grayreported.

The larvae initially feed onweeds, but they have thepotential to cut seedling cornplants. Corn in the one-leaf tothe four-leaf stage of develop-ment is most susceptible toinjury from black cutworm lar-vae.

Gray urged producers whoplanted corn early to look forsigns of leaf-feeding injuryfrom black cutworm larvae.

“Even if you planted a Bthybrid, don’t be lulled intocomplacency,” he said.

Fields most at risk of injury

from black cutworms includethose that are heavily infestedwith winter annual weeds.

More information aboutblack cutworm larvae is avail-able online at {www.farmwee-know.com}.

Meanwhile, Kevin Black,

GROWMARK insect/plantdisease technical manager, lastweek reported bean leaf bee-tles are active in Central andSouthern Illinois.

Alfalfa weevils also havebeen active in those tworegions of the state and atmany locations the populationsare at threshold levels.

“Many alfalfa fields in thesouthern half of Illinois areentering the bud stage andcould be harvested instead oftreated with insecticides,”Black said.

Black also reported bird-cherry oat aphids are commonin wheat in Southern Illinoisand large numbers of army-worm moths have been notedthroughout much of the state.

FarmWeekNow.com

To check on the status of blackcutworm moth captures in Illinois,go to FarmWeekNow.com.

Results of corn referendum expected to come this week

Results of the referendum on the corn checkoff areexpected to be released this week.

The Illinois Department of Agriculture (IDOA) onMarch 28 held a referendum so corn growers in the statecould vote on whether to increase the corn checkoff ratefrom 3/8 of a cent per bushel to 5/8 of a cent perbushel.

The increase in the corn checkoff was requested by theIllinois Corn Marketing Board. If approved, the increasein the corn checkoff would be the second raise since theIllinois Corn Marketing Act was established by growers in1982. Growers still would have the right to request arefund.

Results of the vote have been delayed as IDOA lastweek still was waiting to receive ballots, via the mail, fromthree counties, according to Jeff Squibb, IDOAspokesperson.

“We anticipate an announcement (this) week,” he said.A simple majority in favor of the increase is all that is

required to raise the checkoff rate.

From the couNties


LAWRENCE —Lawrence and Richland

County Farm Bureaus willsponsor an Illinois Farm Fam-ilies program at 6 p.m. Tues-day, April 17, at the FarmBureau office, Olney. Theprogram will provideresources for off-farm con-sumers who would like tolearn more about how theirfood is grown. Call the FarmBureau office at 618-943-2610by Friday for reservations ormore information.

LEE — Dixon FamilyDentistry, 1355 N.

Galena Ave., Dixon, is partici-pating in the Lee County FarmBureau local discount pro-gram. Members will receive afree dental exam, X-rays, andconsultation and a 15 percentdiscount on dental treatments.Call the Farm Bureau office at815-857-3531 or the DixonFamily Dentistry at 815-284-1995 for more information.

LIVINGSTON —Farm Bureau, Universi-

ty of Extension, and Liv-ingston County Soil and WaterConservation District’s(SWCD) Agricultural LiteracyPartnership will sponsor a“T.A.P. (Technology, Animals,Plants) Into Agriculture”summer teacher workshopTuesday, June 5, throughThursday, June 7, at the Liv-ingston County Extensionoffice, Pontiac. The work-shop participants will receive24 continuing professional

development units. Cost is$50. Applications are avail-able at the Livingston CountySWCD office and the FarmBureau office. Deadline toreturn applications to the Liv-ingston County SWCD, 1510W. Reynolds St., Pontiac, Ill.61764 is Friday, May 4. CallDebbie Ruff at the SWCDoffice at 815-844-6127, ext. 3,for more information.

RICHLAND —Lawrence and Richland

County Farm Bureaus willsponsor an Illinois Farm Fam-ilies program at 6 p.m. Tues-day, April 17, at the FarmBureau office, Olney. Theprogram will provideresources for off-farm con-sumers who would like tolearn more about how theirfood is grown. Call the FarmBureau office at 618-393-4116by Friday for reservations ormore information.

STARK — The Ag in theClassroom Committee

is selling raffle tickets for a2012 John Deere 8350R pedaltractor. Cost is $3 each ortwo for $5. All proceeds willbenefit the Ag in the Class-room program. Call the FarmBureau office at 286-7481 formore information.

“From the counties” items aresubmitted by county Farm Bureaumanagers. If you have an event oractivity open to all members, con-tact your county Farm Bureaumanager.

Registration open for second annual 5K Grow and Go

The IAA Foundation isaccepting registrations forthe second annual Growand Go 5K run and familyevent.

Activities will start at 9

a.m. Saturday, May 12, onthe grounds of the IllinoisFarm Bureau headquarters inBloomington. The early reg-istration deadline is May 2.

Proceeds raised will ben-efit Illinois Agriculture inthe Classroom (IAITC) andthe IAA Foundation’sefforts to provide free edu-cational resources to teach-ers and to help studentsmake the connectionbetween food, fiber, fuel,and farming.

The Grow and Go willinclude a timed 5K run anda cock-a-doodle dash forkids 10 and younger. After-ward, participants mayattend an indoor open housewith a hot breakfast and fun

activities for families. Children will find inter-

active learning stations andactivities led by IAITC staffand volunteers. The eventwill include a silent auction.

The 5K registration fee is$20 by May 2 and $25 afterthat date. The entry fee is$5 for youth dash partici-pants who each will receivean award. Runners may earnfree registration fees andother awards by raisingdonations for IAITC.

Registered participantswill receive a T-shirt, pro-fessional timing providedby the Lake Run Club ofBloomington-Normal, and ahot breakfast.

Open house and break-fast only tickets are avail-able for $7 each.

For more information orto register, go online to{www.iaafoundation.org},e-mail Heather Combs [email protected], or callthe Foundation office at309-557-2230.

FarmWeekNow.com

To register for the upcoming 5KGrow and Go run, go toFarmWeekNow.com.

County Farm Bureaus honor women in agBY SARAH GRANT

More than 200 womenconvened at the iWirelessCenter in late March for thefirst annual Women in Agri-culture Conference. Theevent was coordinated byFarm Bureaus in Bureau,Carroll, Fulton, Henry,Knox, Lee, Mercer, McDo-nough, Rock Island, Stark,Warren-Henderson, andWhiteside counties.

Michele Payn-Knoper of{CauseMatters.com} fired upthe room with two presenta-tions that each urged thewomen to speak up on behalf

of agriculture as well asembrace their agricultural lega-cy.

Breakout session topicsincluded working with Con-gress, farm finances and taxlaw, marketing commodi-ties, connecting with con-sumers, and creating safeplay areas. Panelists atlunch focused on “So you

married a farmer, nowwhat?”

A list of sponsors andinformation is available onlineat {www.womeninagriculture-conference.com}.

Sarah Grant is the manager ofthe McDonough County FarmBureau. She can be reached at 309-837-3350.

Motivational speaker Michele Payn-Knoper, far left, of {CauseMatters.com} shows participants of the Womenin Agriculture Conference how to respond, metaphorically, to anti-agriculture sentiments. Payn-Knoper, a kickboxer, encouraged the women to speak up for the industry.

profitability


Export inspections(Million bushels)

Week ending Soybeans Wheat Corn03-29-12 28.9 15.4 31.003-22-12 25.4 15.4 24.8Last year 24.6 29.5 40.4Season total 1012.9 826.6 953.2Previous season total 1300.5 998.0 1005.1USDA projected total 1275 1000 1700Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.

Feeder pig prices reported to USDA*Weight Range Per Head Weighted Ave. Price10 lbs. $31.00-50.33 $40.1240 lbs. n/a n/a50 lbs. no longer reported by USDAReceipts This Week Last Week 88,960 128,793*Eastern Corn Belt prices picked up at seller’s farm

MARKET FACTS

Eastern Corn Belt direct hogs (plant delivered)(Prices $ per hundredweight)

This week Prev. week ChangeCarcass $77.76 $76.36 1.40Live $57.54 $56.51 1.04

(Thursday’s price)This week Prev. week Change

Steers 120.79 125.08 -4.29 Heifers 121.08 125.16 -4.08

USDA five-state area slaughter cattle price

This is a composite price of feeder cattle transactions in 27 states.(Prices $ per hundredweight)

This week Prev. week Change 152.22 153.93 -1.71

CME feeder cattle index — 600-800 Lbs.

Lamb prices

(Thursday’s price)

Slaughter Prices - Negotiated, Live, wooled and shorn 100-170 lbs. for140-157 $/cwt. (wtd. ave. 149.52); string wooled 50-60 lbs. for$285/cwt.; dressed, no sales reported.

Farm Service Agency reminderUSDA Farm Service Agency (FSA) offices are moving

toward a paperless operation. Farmers are asked to enroll inthe new govdelivery system, which will provide notices,newsletters, and electronic reminders instead of paper copiesthrough the mail.

Farmers may sign up at their local FSA office.For those without Internet

access, FarmWeek has agreedto include reminder noticeson the profitability page week-ly or as often as needed.

Moving to electronic notifi-cations via e-mail will helpconserve resources and savetaxpayer dollars.

County committee ballots will continue to be mailed to alleligible farmers.

Farmers may call or visit their local county office for moreinformation.

2012 DCP/ACRE sign-upEnrollment for 2012 direct and countercyclical program

(DCP) started Jan. 23 and will end June 1.Supplemental revenue assistance program (SURE)The sign-up for 2010 losses runs through June 1, 2012.Conservation Reserve Program (CRP)Landowners now have until Friday (April 13) to enroll their

land in CRP as the deadline was extended a week because ofstrong interest.

The program compensates landowners for taking environ-mentally sensitive farmland out of production. About 30 mil-lion acres are enrolled in CRP. However, contracts on morethan 6 million of those acres will expire in September.

Money management important in risk managementBY CLAYTON POPE

The world in which we livecan change dramatically andquickly. In this environment,preservation of capital must bea primary concern. Thatmeans having the discipline tolimit losses, cash or futures,

and to be always willing to re-evaluate the rationale forremaining in any position.

When considering strategyalternatives, cash or futures, itis important to consider therisk or potential loss (including“opportunity” loss) that is

present — even before consid-ering the potential gains. Thisis difficult to do, and it mightseem backward, but, over time,

it should leadto gains andmarketingsuccesses thatmore thanmake up forthe losses.

Limitinglosses re -quires disci-

pline, and this means recog-nizing you will not always beright. No one has a crystalball, and risk managementshould not be considered anattempt to predict the future,anyway.

One of the biggest mistakesyou can make when in a losingposition is to freeze and hopethe market comes back “theright way.” What happens alltoo often is that after some

minor losses occur, a few dayslater the loss is bigger, and theperson involved feels he or shecan’t afford to change course.This results in remainingfrozen in a bad position, whichmore often than not continuesto go sour.

Eventually, the person isforced to make an emotionaldecision motivated more byfear than logic or strategy, anda much bigger loss than wasnecessary is locked in.

Another benefit of exitinga losing position is that oncedone, the situation can sud-denly be seen more objective-ly and without the bias thatwas probably in place origi-nally. As long as one is stillin the position, he or shetends to defend that position— even if the original rea-sons for which it was enteredare no longer valid.

It is important to keep in

mind that marketing and trad-ing is an art, not a science.Accordingly, success does notcome from rigidly following aset of rules.

If that were the case, suc-cess would be easy. We knowit’s not.

Realistically, success oftendepends on knowing when tofollow which rules — anddoing that successfully seemsto be mostly dependent onhaving enough experience.

A critical component ofany risk management planshould be to define and limitthe risk of any strategy,including the strategy of hold-ing cash grain. Contact anAgriVisor analyst for assis-tance in developing your riskmanagement strategy.

Clayton Pope is manager ofAgriVisor. His e-mail address [email protected].

Clayton Pope

Certain equine operations are eligible forloans under the Farm Service Agency’s (FSA)emergency loan program, according to ScherrieGiamanco, FSA state executive director.

“Equine operations whose primary enter-prise is to breed, raise, and sell horses now areeligible for the same emergency loan assistancethat is available to livestock and row-crop pro-ducers,” Giamanco said.

Emergency loans will help eligible producerswho suffer losses due to drought, flooding,quarantine, or other natural disasters, she said.

Emergency loans may be used to:• Restore or replace essential property;• Pay all or part of production costs associat-

ed with the disaster year, the calendar year inwhich the disaster occurred;

• Pay essential family living expenses;• Reorganize the farming operation; and• Refinance certain debts.Emergency loans may be made to farmers

who own and operate land in a county or con-tiguous county declared a disaster area by thepresident or designated as a disaster area by thesecretary of agriculture.

Farmers may borrow up to 100 percent ofactual production or physical losses up to$500,000. Loan terms include an interest rate of3.75 percent and repayment over 1 to 40 yearsdepending on the nature of the loss and theavailable collateral.

Contact your local county FSA office formore information on FSA’s emergency loanprogram.

FSA offering emergency loans to equine operations

House bill would alleviate retail E15 fearsBY MARTIN ROSSFarmWeek

Bipartisan lawmakers hopeto take the fear out of fuelingas retailers consider addingE15 at the pump.

Last week, the U.S. Environ-mental Protection Agency(EPA) approved 15 percentethanol gasoline as a federallyregistered fuel.

The move followed EPA’sFebruary approval of E15health effects testing data,which set the stage for retailersand fuel suppliers to registerthe blend for sale.

Meanwhile, CollinsvilleRepublican Rep. John Shimkushas introduced the DomesticFuels Act along with Housecolleagues Mike Ross (D-Ark.),John Sullivan (R-Okla.), andCollin Peterson (D-Minn.).

Lawmakers hope measureswill help bring new biofuels tomarket by providing liabilityprotection for fuel storage, useof pump equipment, and saleof the fuels according to legallyappropriate use. Currently,Shimkus notes, there are noconsistent standards nor regu-

latory protections for sale ofall fuels.

The bill would help newbiofuels blends and alternativefuels “reach the marketplaceand compete with existingproducts,” the congressmansaid.

E15 approval and adoptionhas been slowed by retail fearof liability particularly relatedto consumer misuse of the fuelin pre-2001-model vehicles andsmall engines. That’s despitestringent labeling requirements,including specifications forproper use, being imposed onmarketers.

William Fleischli, seniorexecutive vice president withthe Illinois Petroleum Mar-keters Association/Associationof Convenience Stores(IPMA/IACS), noted, “We’vesold more ethanol productthan any other group in theUnited States.” IPMA/IACSrepresents roughly 3,000 majorcorporate “branded” marketersand independent outlets acrossthe state.

Amid rising gas prices, Fleis-chli sees availability of new

ethanol blends as “a benefit tothe consumer,” as well as anecessity in meeting federalRenewable Fuel Standardrequirements for nationwidebiofuels use. But he argued hismembers need protections “forthe sake of our businesses.”

“There is not (fueling) infra-structure in the ground that’sbeen certified for any blendhigher than E10,” Fleischli toldFarmWeek. “That goes forthe tanks, the lines, the cou-plings, the adhesives. Nothinghas been certified. That puts usin a precarious situation.

“(Illinois’) UndergroundStorage Tank Fund programsays you have to have approvedtanks, lines, and all that. If wedid have leakage, the programwould not cover that incident.That would put us in a liabilitysituation involving hundreds ofthousands of dollar.”

Misfueling also is an issuefor Illinois retailers, who haveseen the courts rule in favor ofvehicle damage claimants. “Westill have people who fill theirgas tank with diesel,” Fleischlirelated.

PROFITABILITY

AgriVisor Hotline Number

309-557-2274

AgriVisor endorsescrop insurance by

Policies issued by COUNTRYMutual Insurance Company®,

Bloomington, Illinois

AgriVisor LLC1701 N. Towanda Avenue

PO Box 2500Bloomington IL 61702-2901

309-557-3147

AgriVisor LLC is not liable for any damageswhich anyone may sustain by reason of inac-curacy or inadequacy of information providedherein, any error of judgment involving anyprojections, recommendations, or advice orany other act of omission.

CASH STRATEGISTCorn Strategy

ü2011 crop: The May con-tract’s inability to penetratethe 200-day moving average iskeeping it from challengingthe last high at $6.76. Use ral-lies to $6.60 on May futures tomake catch-up sales. Leave anorder to price remainingbushels if May futures hit$6.80.

ü2012 crop: Use rallies to$5.49 on December futures tomake catch-up sales. Priceanother 10 percent if rallies hit$5.60. We prefer hedge-to-arrive contracts for makingsales but plan to tie up thebasis no later than mid-sum-mer.

vFundamentals: Thisweek’s focus will be on Tues-day’s USDA supply/demandestimates. The marketremains uneasy about thetight old-crop supply. Abun-dant supplies of wheat,domestically and internation-ally, should ease pressure.Even with some switching ofacres from corn to soybeans,plantings will still be large.And the pace will acceleratewith the passing of insurancedates.

ûFail-safe: If May futuresfall below $5.44, wrap-up old-crop sales and make the new-crop sale.Soybean Strategy

ü2011 crop: The biggestshort-term downside risk thiscomplex faces is the recordlong futures/options positionsheld by the hedge funds. Fun-damental uncertainty remains,but if prices soften a little, itcould trigger a liquidationbreak. We aren’t opposed towrapping up sales. Usestrength for catch-up sales.

ü2012 crop: Get sales torecommended levels. Priceanother 10 percent if Novem-ber futures hit $14.

vFundamentals: Otherthan summer weather, there’snot a lot that could make fun-damentals more bullish thananalysts already expect. SouthAmerican production esti-mates won’t change much.U.S. plantings are more likelyto go up than down from theMarch 30 projection. AndChinese demand remains rela-tively robust. That only leavesthis year’s yield, and major

weather influences aren’tfavoring serious problems thissummer.

ûFail-safe: If May futuresfall below $14, wrap-up old-crop sales, and make the new-crop sale.Wheat Strategy

ü2011 crop: Since mid-February prices have tracedout a sideways trading pattern.Seasonal pressure has becomean increasing drag on prices.Use rallies to wrap-up old-crop sales. With the end ofthe marketing year closing in,use the cash market to makesales. Don’t carry unhedgedinventories beyond April.

ü2012 crop: Use ralliesabove $6.60 on Chicago July

futures to make catch-up sales.Producers selling 100 percentoff the combine need to beaggressive in making sales onrallies. New-crop sales shouldhave been increased 10 per-cent when July traded at $6.69.

vFundamentals:Demand for U.S. wheat isstarting to show signs ofimproving, with good dailysales made to an unknowndestination and Egypt. Butunless there’s a frost/freeze inthe next two weeks, our wintercrop should be on its way togood yields. World conditionsare improving as well. Thatcould slow business with buy-ers waiting on harvest lows tomake purchases.

Cents per bu.

Planting mix will change


There have been a numberof times (shown in white) thatsoybean plantings increased sig-nificantly because of an unusu-ally late, wet spring. But, therealso are many years in whichsoybean plantings changed sig-nificantly from March to Junebecause of economics.

There is an inclination for soy-bean plantings to increase fromthe March to June reports whenthe new-crop soybean/corn ratiois 2.5 to 1 or higher in March andApril. Such is the case this year,with the ratio at 2.51 to 1 as ofEaster weekend.

And it’s not just the relation-ship with corn prices that couldpull acres, but the relationshipwith cotton and rice as well. Theearly harvest of winter wheatcould add to the size of doubleplantings of beans this year, too.

How much of a shift is stilldifficult to decipher at this writ-ing, but we wouldn’t be shockedat a 2-2.5 million-acre increasefrom the March estimate.Instead of soybean plantingsbeing down 1 million from lastyear, that would put them at 1-1.5 million above.

The unexpected plantingnumbers in the March 30 USDAprospective planting reportenhanced the focus on this year’sspring planting season. Thecorn estimate was larger thanexpected, while the soybean andspring wheat estimates bothcame in below expectations.

From the accompanyinggraphics, you can see the expect-ed plantings on the first estimateare not “set in stone.” Whileweather historically has been alarge factor in changing the mix,the relative prices and profitabil-ities have had an impact, too.

You can see soybean plant-ings have a history of swinging2 million to 3 million acres fromthe March to the June estimate.Planting shifts for most crops in1983 were unusually largebecause of a USDA programthat took massive amounts ofacreage out of production.

pERspEcTIvEs


Letter policyLetters are limited to 300

words and must include a nameand address.

FarmWeek reserves the rightto reject any letter and will notpublish political endorsements.

All letters are subject to edit-ing, and only an original with awritten signature and complete

address will be accepted. A daytime telephone number

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Only one letter per writerwill be accepted in a 60-dayperiod.

Typed letters are preferred. Send letters to:

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County board chairmanpleased with Farm BureauEditor:

I would like to thank Randolph Coun-ty Farm Bureau Board President KirkLiefer and manager Ryan Ford on behalfof the elected office holders and depart-ment heads of Randolph County for theenjoyable meal on March 19. Thanks,also, to the Liefer family for its hospitali-ty and for showcasing its farm operationsfor our meeting.

This is my last year on the Randolph

County Board, and it has been a real hon-or to have had the Randolph CountyFarm Bureau involved in our county tothe extent it has been in my 14 years.

The Farm Bureau input has been mostvaluable in our decision-making processon the county level. I would hope theother counties in Illinois and the nationcould have the relationship we have withtheir respective Farm Bureaus.TERRY LUEHR,Chairman Randolph County Board ofCommissioners

LETTER TO THE EDITOR

Editor’s note: Farrah Brown is a fieldmom with Illinois Farm Families, a coalitionof commodity groups for beef, corn, soybeans,and pork, and the Illinois Farm Bureau. Thiscolumn is reprinted with her permission. Itappeared March 19 on her blog, DuPageMamas. A field mom is an urban mother whohas questions about food, farmers, and farm-ing.

I hate the feeling of being in the dark,like someone is trying to pull one over onme. I get that pit feeling in my stomachwhen I learn that something I thought orbelieved is actually different than Ithought, and someone has been purpose-ly hiding important information from me.

This is especially true when it comesto the food I buy to feed to my family. Iwant it to be exactly what I think it is,nothing hidden or shady going on behindthe scenes before the food gets to mytable. And so much of what we readthese days about mainstream farmingclaims that there are shady things going

on all the time.And there may

be in someplaces. But that’s

the beauty of the Field Moms program: Iam actually looking behind the supermar-ket curtain to see for myself what isgoing on before the food leaves the farm.And from what I have seen so far, no oneis trying to pull anything over on anyone.

Recently, I was blessed to go onanother farm tour with the Illinois FarmFamilies. Instead of beef and corn, thistime we delved into the world of porkproduction and all that this operationentails.

We spent the day with the Gould fami-ly at their farm located about 50 mileswest of the Loop between St. Charlesand DeKalb. One of the most specialthings about being a Field Mom is theopportunity to meet these amazing farm-ing families and see how passionate theyare about what they do.

Chris Gould and his father, Eldon,talked and walked us through every partof raising pigs, from collecting (semen)from the boar — an interesting conversa-tion! — to inseminating the sow to thebirth of the piglets and all the care of theanimals across all stages of the process.

I know more now about a sow’s cyclethan I ever thought I would.

But it is all so interesting — how thefarmers know pretty much to the daywhen she will deliver her piglets (115-daygestation) and how long she should nursethem and how to help transition her togetting pregnant again just a few days lat-er. Not much rest for that weary sow.

And to us city/suburban moms, itseems difficult to not get attached tothese mama and baby pigs. But to theGoulds, it is their livelihood.

The cuteness of the baby piglets is notlost on them. They still marvel at a brandnew litter trying to nurse from theirmama and their instinct to survive. Butthis is their business and to them the pigsare born for a purpose and the mamas arethere to give birth to more piglets and sothe cycle goes.

It’s not cruel — quite the opposite.They have every motivation and desire tocare for the animals and treat them withdignity. The better the animals are treatedand cared for, it is better for everyoneinvolved. Eldon Gould even commentedthat they “treat each sow as an individual.They are some pampered pigs!”

While touring the barns, Chris Gouldmade a point to talk about the stalls thatthe pregnant sows live in during their ges-tation time. “Gestational stalls” are appar-ently quite the controversial topic, onethat I seriously had never heard of beforeour tour last Saturday (March 10).

The EU (European Union) has put allthese regulations in place on pig farmssaying they have to stop using this systemby 2013. McDonald’s just came out andsaid they promised to not buy any porkfrom producers who use stalls, and sever-al other companies are following suit.How have I not heard about this? Haveyou?

The argument isthat the stalls are inhu-mane and that theylimit the sows’ abilityto perform naturalbehaviors, causing herdistress.

On the tour, we hadthe pleasure of talkingwith Janeen Johnson, aprofessor at the U of I(University of Illinois) who specializesin animal science and welfare issues. Shehas done extensive research worldwideon the best way to house the sows andthe piglets — from open pastures totight crates.

Her conclusion? Gestational stallsare a “viable system that needs tochange and improve but needs to bebased on actual scientific research onsow welfare.” Fair enough.

From what we heard and saw (in pic-tures), sows will harm and even kill eachother if they are left in open pens. Thestalls provide a safe environment for thesows and help the farmer to managetheir feed and health care with greateraccuracy and benefit.

But it is easy to get bogged down inthe details. Here is my bottom line: TheGould’s is not an “organic” pig farm.They use gestational stalls to house theirsows and farrowing stalls when the sowgets to that point.

And some people would shake theirhead at these facts and say we shouldn’teat meat from these farms. But fromwhat I saw, that is just not true. These

pigs seem content andwell cared for.

The entire Gould fam-ily does everything theycan do to make the porkthat comes from theirfarm the absolute healthi-est and highest-qualitymeat they possibly can.And they are constantlytrying to improve. And tome, that is important.

I am not saying I am throwing theidea of organic food out the window. Iam still a huge proponent of eatingorganic when we can and trying toreduce the “middlemen” when it comesto taking my food from farm to table. Iwant to know that no one is mistreatinganimals in order to cut a few corners.

And the idea of GMOs truthfullyfrightens me and I need to learn moreabout that.

But to meet farmers like the Gouldsand the Martzes and the Drendles andthe Moores (we go to their farm next) isto see that they are not trying to cheatnature to get more profit. They are nottrying to pull anything over on the publicin the name of personal financial gain.

They are families doing the best they canto produce food that is safe and nutri-tious and in enough quantities to feedthe greater population of our planet.

They feel a duty to care for the ani-mals and the earth and their consumers.They are up front about what they do,never shying from questions.

They just want it all to be out on thetable. And so do I.

I know that not everyone can go seethe farm for themselves (although theyhave all said that their doors are alwaysopen). And I feel so grateful to be one ofthe lucky moms who does get to seethese farms first hand and help bridge thegap between farmer and consumer.

But most importantly, I love that I amgetting the facts. All the facts. And so far,what I have seen and learned is amazing.I left the (Gould) farm feeling a littleswimmy from having heard SO muchinformation. But mostly I was gratefulfor people who are willing to say what istrue.

They are doing their part to make surewe as consumers have the information weneed to make informed food choices.And that is SO important to me. And I’msure to you, too.

Don’t try to persuade me. Or trick me.Or sneak one by. Just give me the facts.ALL the facts. And let me make up myown mind. And these farmers are doingjust that.

Farrah Brown of Glendale Heights is a “fieldmom” with Illinois Farm Families. The motherof two writes a blog, “DuPage Mamas.”

FARRAH BROWN

guest columnist

Just give me all the facts

Field mom Farrah Brown gets acquainted with a baby pig held by Maple Park farmer ChrisGould during a recent farm tour hosted by Illinois Farm Families. Brown indicates in herblog that she appreciated seeing farms first hand and learning facts about agriculture fromfarmers. (Photo by Ken Kashian)

farmweek april 9 2012

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