USFR Weekly Recap - December 7-8, 2013

December 7, 2013 02:30 AM
 

                                      &nbs​p;                        &nbs​p;                        &nbs​p;                        &nbs​p;                        &nbs​p;                        &nbs​p;                      

THIS WEEK ON U.S. FARM REPORT

EPISODE # 2104

DECEMBER 7-8, 2013   

 

 

 

 

As always, we want to hear from you, send comments to mailbag@usfarmreport.com or leave us a voice mail at 800-792-4329.

 

JOHN’S OPEN:

HELLO AND WELCOME TO U-S FARM REPORT, I'M JOHN PHIPPS. AFTER ALMOST THREE YEARS OF FRUSTRATION IT'S HARD TO TAKE PREDICTIONS ABOUT A NEW FARM BILL TOO SERIOUSLY, EVEN WITH ALL THAT PRODUCERS HAVE AT STAKE. WE HAVE LEARNED, FOR INSTANCE, THAT NEGOTIATORS ARE PERENNIALLY UNREALISTIC IN THEIR PUBLIC UTTERANCES. BUT MOST OF ALL WE'VE BEEN SCHOOLED IN HOW IDEOLOGICIAL CONVICTIONS NOW OCCUPY A MUCH HIGHER PRIORITY THAN PRAGMATIC RESULTS FOR MANY IN CONGRESS. IT DOESN'T MEAN IT CAN'T GET DONE, BUT IT SHOULD PROMPT US TO WONDER HOW MUCH WE SHOULD DEPEND ON IT ON OUR FARM BUSINESS PLANS.

HEADLINES:

EVEN THOUGH SOME KEY NEGOTIATORS OF THE FARM BILL SAY THERE'S BEEN SIGNIFICANT PROGRESS THIS WEEK, THERE'S LITTLE DOUBT WE WILL SOON START  CALLING IT THE 2014 FARM BILL. THE DECEMBER SUPPLY-AND-DEMAND NUMBERS ARE SCHEDULED TO BE RELEASED THIS COMING TUESDAY. MEANWHILE PROFARMER'S SOUTH AMERICAN CROP CONSULTANT DR. MICHAEL CORDONNIER HAS RAISED HIS ESTIMATE OF THE ARGENTINE SOYBEAN CROP BY 1 MILLION METRIC TONS TO 56 MILLION DUE TO HIGHER ACREAGE.  THAT CAME AT THE EXPENSE OF THE CORN CROP. HE LOWERED HIS CORN EXPECTATIONS BY 1 METRIC TONS TO 24 MILLION ADM'S EFFORTS TO BUY AUSTRAILIA'S GRAIN-CORP HAS BEEN REBUFFED BY THE COUNTRY'S TREASURER. HE SAYS THE 3 POINT 4 BILLION DOLLAR OFFER WAS CONSIDERED BUT FOUND IT CONTRARY TO NATIONAL INTEREST. ADM STILL OWNS ROUGHLY 20 PERCENT OF GRAINCORP. MEANWHILE, CHINA REJECTED A GRAIN SHIPMENT FROM THE UNITED STATES THIS WEEK. OFFICIALS SAY IT CONTAINED UNAPPROVED GENETICALLY MODIFIED GRAIN. CHINA'S NEW AGENCY XINHUA {ZHIN-WAH} SAYS THE GOVERNMENT REJECTED MORE THAN 120-THOUSAND TONNES OF U-S CORN THIS WEEK.

CROP WATCH:

THANKS TYNE. THE ARCTIC BLAST OF SNOW AND SUB-ZERO TEMPS HAS CERTAINLY HIT THE NORTHERN PLAINS. THE FOLKS AT STEFFES AUCTIONEERS IN WEST FARGO, NORTH DAKOTA SHARED A PHOTO. IT LOOKS BRUTAL THERE. IN CENTRAL TEXAS TRAVIS MILLER - AN AGRONOMIST FOR TEXAS AGRI-LIFE EXTENSION - SAYS RAINS THIS FALL HAVE PERKED UP WINTER WHEAT PASTURES. THE SOIL-MOISTURE RESERVES, THOUGH STILL LOW IN SOME AREAS, ARE MUCH IMPROVED. IN EAU CLAIRE, WISCONSIN. SOMEONE POSTED ON AGWEB THAT IF YOU NEED BIN ROOM, BRING IT TO WISCONSIN. THERE ARE A LOT OF EMPTY BINS AND EVERYBODY WANTS TO BUY IT.

EWA:

A LARGE NUMBER OF FEMALE FARM OPERATORS GATHERED IN CHICAGO THIS WEEK FOR THE EXECUTIVE WOMEN IN AG CONFERENCE. IT'S HOSTED BY OUR PARTNERS AT TOP PRODUCER MAGAZINE. NOW IN ITS THIRD YEAR, THE MEETING GIVES BUSINESS-SAVVY OPERATORS A CHANCE TO SHARE IDEAS AND HONE THEIR SKILLS. NEXT WEEK OUR MARKETING ROUNDTABLE DISCUSSION WILL ORIGINATE FROM THE CONFERENCE.

ROUNDTABLE:

WE'RE OFF TO LAS VEGAS FOR THIS WEEK'S MARKET WRAP. 

JOHN’S WORLD:

I HAVEN'T TALKED TOO MUCH ABOUT THE FARM BILL NEGOTIATION BECAUSE FRANKLY, I SUSPECT IT COULD BE A WASTE OF BREATH. DETAILED COVERAGE OF LEGISLATION THAT HAS CONSUMED FARM GROUPS AND LAWMAKERS FOR OVER TWO YEARS, ONLY TO FAIL TO SEE THE LIGHT OF DAY HAS A SENSE OF FUTILITY ABOUT IT. BUT LET ME OFFER TWO OBSERVATIONS THAT THIS IMPASSE SEEMS TO MAKE CLEAR. FIRST, THERE IS NO "WE" IN AGRICULTURE ANYMORE. IT'S NOT ABOUT FARMERS, IT'S ABOUT RICE GROWERS OR SOYBEAN FARMERS OR CATTLE PRODUCERS. OUR DIFFERENT SECTORS MAY BE IN THE SAME ROOM, BUT THEY ARE NOT ON THE SAME TEAM. WHILE THIS MAY BE LAMENTED AS A FAILURE TO SPEAK WITH ONE VOICE, I THINK IT IS AN INEVITABLE OUTCOME AS FARMERS NARROW THEIR BUSINESS MODELS TO A FEW OR EVEN A SINGLE COMMODITY. AS A RESULT, THE INFLUENCE OF AG'S TRADITIONAL GROUPS, ESPECIALLY THE FARM BUREAU, HAS BEEN NOTICEABLY REDUCED. MORE IMPORTANTLY, I DON'T THINK ANY OF THE AG PARTICIPANTS IN THIS GREAT DEBATE HAVE YET TO GRASP THE NEW POLITICS OF SCARCITY. OUR TIME-HONORED DISAGREEMENT-RESOLVING TECHNIQUE WAS TO ADD A LITTLE MONEY TO THE POT AND BUY ENOUGH VOTES FOR PASSAGE. NOT ONLY IS THAT MONEY NON-EXISTENT, THERE ARE A NUMBER OF LEGISLATORS WHO HAVE STAKED THEIR REPUTATION ON NEVER, EVER FALLING FOR THAT OLD TRICK. MOREOVER, EVERY DAY THE FARM BILL IS DELAYED THE COST OF THE PROPOSALS ESCALATES. THE TRUTH IS MAYBE WE NEVER WERE VERY GOOD AT POLICY COMPROMISE, JUST GOOD AT HANDING OUT HUSH MONEY.

2ND HALF

JOHN’S OPEN:

HELLO AND WELCOME TO U-S FARM REPORT, I'M JOHN PHIPPS. AS THE ECONOMY SHOWED SURPRISING STRENGTH THIS WEEK, IT IS BECOMING APPARENT THAT 2013 HAS BEEN A REMARKABLE YEAR FOR UNEXPECTED GOOD ECONOMIC NEWS. FROM A RAPIDLY DROPPING DEFICIT TO NEW STOCK MARKET HIGHS TO GAS PRICES THREATENING TO DROP BELOW $3, OUR ECONOMIC FUTURE IS LOOKING MARGINALLY BETTER. UNFORTUNATELY, IT'S ALSO BECOMING CLEARER THAT THOSE GAINS WILL MOSTLY BE ENJOYED BY FEWER THAN EVER, AND THIS INCLUDES AGRICULTURE. FOR A VARIETY OF REASONS, THIS RECOVERY IS LESS OF A RISING TIDE LIFTING ALL BOATS, AND MORE OF HOT AIR BALLOON WITH A SMALL BASKET. LET'S GET STARTED WITH THE HEADLINES AND TYNE MORGAN.

HEADLINES:

THE FEDERAL GOVERNMENT IS SETTING A GOAL TO BECOME GREENER WITHIN THE NEXT DECADE.

 

Back to news

Comments

 

Rate this News Article:

Spell Check

No comments have been posted to this News Article

Close