AgDay Daily Recap - April 5, 2016

April 5, 2016 02:57 AM
 

TODAY ON AGDAY
APRIL 5, 2016


OPENING HEADLINES:
COMING UP TODAY ON AGDAY -MIDWESTERN FARMERS AREN'T JUST KEEPING AN YEE ON COMMODITY PRICESBUT PROPERTY TAXES ON FARMLAND. " SO IT'S A BIG ISSUE FOR FARMERS HERE." IN ANALYSIS-IS NOW THE TIME TO LOCK IN HOG PRICES? IT'S AN INCENTIVE FOR GUYS TO FEED HOGS FATTER TO PUSH HOGS FURTHER DOWN THE ROAD. IT'S AN INCENTIVE FOR GUYS TO FEED HOGS FATTER TO PUSH HOGS FURTHER DOWN THE ROAD. A MIXED GRAIN TRADE TO START OFF THE WEEK. WE KNOW THERE'S BEEN A BIG SHIFT IN DEMAND DOWN IN SOUTH AMERICA. AND FORGET THE TEXTBOOKS AND DESKS-ONE HIGHSCHOOL HAS A 'HANDS ON' CLASS IN TAXIDERMY. 
NEBRASKA CONSIDERS CUTTING SOME COST OF INCOME TAX:
GOOD MORNING I'M BETSY JIBBEN. 2016 IS STACKING UP TO BE A YEAR WHERE FARMERS ARE EVALUATING EACH ADDED COST.  BUT IT'S BEEN A BATTLE FOR SOME TRYING TO REDUCE CASH RENTS THIS YEAR WHEN REAL ESTATE TAXES ON FARMLAND AND PASTURELAND REMAIN STEADY OR HIGHER IN SOME STATES.  FOR EXAMPLE IN NEBRASKA, THERE'S A BATTLE BETWEEN URBAN AND RURAL LAWMAKERS ABOUT  PROPERTY TAXES. THE STATE'S LEGISLATURE IS IN TALKS ABOUT A PACKAGE THAT WOULD INCLUDE SOME INCOME TAX CUTS.
FARMERS FEEL EFFECT OF HEAVY INCOME TAXES:
AFTER YEARS OF SUPPORTING SOME TAX CREDITS FOR NEBRASKA'S FARMERS, SOME URBAN LAWMAKERS SAY SOME OTHER RESIDENTS 'AREN'T GETTING A FAIR SHARE' AND FARMERS 'CHOSE THEIR PROFESSION.'  WHILE THOSE SUPPORTING AG SAY FARMERS ARE IN 'A WORLD OF HURT.'
WE TALK TO SOME FARMERS WHO ARE FEELING THE PROPERTY TAXES FIRSTHAND. PRODUCERS AROUND THE BELT ARE WATCHING THEIR COSTS THIS YEAR. BUT SOME FARMERS ARE PENCILING IN AN EXTRA EXPENSE. EXPERTS SAY RISING PROPERTY TAXES ARE WEIGHING ON SOME PRODUCER'S SPREADSHEETS.
NEBRASKA INCOME TAX HAS STEADILY INCREASED OVER THE YEARS:
<"IN NEBRASKA, WHICH IS A LOW POPULATION STATE, THE STATE HAS AN INCOME TAX BUT NOT A LOT OF PEOPLE, PROPERTY TAXES HAVE BEEN GOIGN UP DRAMATICALY FOR QUITE SOME TIME BUT THERE'S BEEN A 17 TO 20 PERCENT ANUAL INCREASES FOR THE PAST SEVERL YEARS.">
NEGOTIATIONS WITH CASH RENT BECOME DIFFICULT:
THAT'S CREATING SOME DIFFICULT DISCUSSIONS WHEN NEGOTATING CASH RENTS.
WALSTEN SAYS FARMLAND VALUES PEAKED IN 2013 AND HAVE FALLEN THE LAST FEW YEARS. BUT PROPERTY TAXES HAVE CONTINUED TO RISE SHARPLY IN SOME STATES LIKE NEBRASKA AND OHIO. CASH RENTAL RATES ARE COMING DOWN AS WELL BUT NOT AS MUCH AS FARMERS HOPED.
<"IT LOOKS LIKE THE CASH RENTAL RATES ARE DOWN 5 TO 10 PERCENT ON AVERAGE ACROSS THE BOARD. WHAT WE'RE LOOKING AT IN PROFIT MARGINS AHEAD, THAT KIND OF A DECREASE IS IN THE CARDS FOR 2017 AS WELL,">
EVEN THOUGH FARMLAND VALUES HAVE COME DOWN…THESE FARMERS SAY THE BIGGEST CHALLANGE MAY BE MAKING PROFITS ...DURING A YEAR WHEN NET FARM INCOME IS HALF OF WHAT IT WAS IN 2013.
BILL TO PROVIDE TAX RELIEF ON VEGETATION STRIPS VETOED:
MEANWHILE, SOUTH DAKOTA GOVERNOR, DENNIS DAUGAARD HAS VETOED A BILL THAT WOULD HAVE OFFERED FARMERS TAX BREAKS FOR PUTTING IN BUFFER STRIPS OF VEGETATION BETWEEN WATERWAYS AND FIELDS. THE BILL WOULD HAVE ALLOWED FARMLAND PUT INTO 50 FOOT BUFFER STRIPS OF VEGETATION , TO BE CLASSIFIED AS NON-CROPLAND. THAT COULD HAVE CREATED A LOWER TAX BURDEN FOR THOSE LANDOWNERS. DUAGGARD SAYS HE'S CONCERNED THIS COULD CREATE A TAX SHIFT ONTO OTHER PROPERTY OWNERS. WHILE SUPPORTS SAY IT IS SUPPOSED TO IMPROVE CONSERVATION AND WATER QUALITY.
CROP PROGRESS REPORT DELAYED:
USDA IS DELAYING ITS FIRST CROP PROGRESS REPORT THIS WEEK. THE DEPARTMENT DIDN'T SAY WHY. THE REPORT IS NOW SCHEDULE FOR RELEASE TODAY AT FOUR EASTERN.
TEASE:
AND WEDNESDAY, WE'RE TAKING THE I-80 PLANTING TOUR TO EASTERN NEBRASKA WHERE FARMERS ARE GEARING UP FOR ANOTHER GROWING SEASON. HEAR  ABOUT THEIR PLANTING INTENTIONS AND WEATHER CONDITIONS TOMORROW ON AGDAY. FOR THE FIRST TIME THIS SPRING, USDA IS NOW RELEASING ITS NATIONAL WEEKLY CROP PROGRESS REPORT.  WE'LL BE SHOWING YOU THESE NUMBERS EACH WEEK UNTIL NOVEMBER.
CROP COMMENTS:
SOME AREAS ARE ALREADY SEEING SOME WET, WASHED OUT CONDITIONS WHILE OTHERS ARE HOPING THE RAIN PASSES THEM BY MIKE HOFFMAN HAS AN UPDATE IN THIS MORNING'S CROP COMMENTS. MIKE. GOOD MORNING, BETSY.
LET'S START OFF IN SOUTHEASTERN MINNESOTA. TIM MACK SAYS HE'S BRINGING OUT THE 7-30, MAKING THE OPENING ROUNDS FOR THE SEASON. HE'S HOPING TO SEED OATS THIS WEEK. THE RAIN JUST NEEDS TO STAY AWAY FOR A FEW DAYS.


TEASE:
COMING UP IN ANALYSIS…WE'RE DIGGING INTO THE HOG MARKET…IS A PROFIT THERE FOR PRODUCERS THIS SUMMER?
AND YOU WON'T BELIEVE WHY THERE'S A WAITING LIST TO GET INTO THIS POPULAR HIGH SCHOOL CLASS. WE'LL TAKE YOU IN THE COUNTRY TO MICHIGAN TO EXPLAIN.
FROM THE FLOOR OF THE CME:
LET'S SEE HOW THE MARKETS STARTED OFF THE WEEK AT THE CME FLOOR IN CHICAGO.
GRAIN MARKETS TRADING KINDA MIXED, MOSTLY A LITTLE BIT LOWER TODAY. BEING KIND OF A DISAPPOINTING TRADE TO START OFF THE WEEK. WITH EXPORT INSPECTIONS REPORT PROVIDING SOME REASON TO SELL THE SOYBEANS AND WHEAT MARKETS.  BOTH OF THOSE MARKETS ARE SEEING PRETTY WEAK DEMAND. PRETTY WEAK EXPORT DEMAND. THE WHEAT EXPORT DEMAND BEING WEAKEST. NO GREAT SUPPLIES. AND SOYBEAN EXPORT DEMAND THOSE A LITTLE BIT OF A SURPRISE. EVEN THOUGH WE KNOW THERE'S BEEN A BIG SHIFT IN DEMAND DOWN IN SOUTH AMERICA. THANKS VERY MUCH. THIS IS JACK SCOVILLE, I'M VICE PRESIDENT OF PRICE FUTURES GROUP, HERE ON THE CME GROUP FLOOR WITH SOME COMMENTS FOR THE MARKETS.
AGRIBUSINESS:
IN ANALYSIS-COULD THE HOG MARKET SEE AN EVEN BIGGER BOOST IN DEMAND -AND IS THERE ADDED PROFIT IN HOGS COME SUMMER?
CLINTON GRIFFITHS DISCUSSES WITH TOP THIRD AG MARKETING'S CRAIG VANDYKE.
 HERE AT THE AGRIBUSINESS DESK, I HAVE CRAIG VAN DYKE, TOP THIRD AGRIMARKETING. CRAIG, LET'S TALK ABOUT THE HOG MARKET. BECAUSE, BOY, IT HAS BEEN KIND OF INTERESTING CONSIDERING WHERE WE ARE SITTING WITH OUR INVENTORY NUMBERS. > WELL, WE HAD THE QUARTERLY HOG AND PIG REPORT TWO WEEKS AGO AND THE HOG MARKET HAS REALLY BEEN THE ONLY MARKET THAT HAS BEEN A BOW MARKET THE PAST FIVE MONTHS.> I KNOW, RIGHT?>
NATIONAL WEATHER:
WELCOME BACK TO AGDAY WITH METEOROLOGIST MIKE  HOFFMAN. MIKE, WE'VE SEEN SOME ROLLER COASTER TEMPERATURES THROUGHOUT THE CORN BELT WITHIN THE LAST WEEK OR COUPLE OF DAYS. LOTS OF COLD CANADIAN AIR. YEAH, WILL WE GO BACK TO NORMALCY A LITTLE BIT THIS WEEK? I WOULD SAY WE HAVE ANOTHER 10 DAYS OF IT AND THEN WE'LL START TO SEE THINGS GO BACK TO A WARMER WEATHER PATTERN HOPEFULLY AFTER THAT.
AND THAT HUGE DOME OF HIGH PRESSURE SITTING RIGHT OVER THE SOUTHERN GREAT LAKES BROUGHT SOME VERY COLD AIR TO THE EASTERN HALF OF THE  COUNTRY OVER THE PAST 24 TO 48 HOURS. IT'S OBVIOUSLY WARMING UP ON THE BACKSIDE OF IT. THAT'S THE ROLLER COASTER RIDE THAT BETSY WAS TALKING ABOUT. BUT ANOTHER COLD FRONT IS COMING EASTWARD. YOU CAN SEE THAT WILL BEGIN TO MOISTEN UP AS WELL. STORM SYSTEM OFF THE EAST COAST WON'T IMPACT TOO MANY FOLKS ACROSS THE EASTERN SEABOARD.
THAT'S A LOOK ACROSS THE COUNTRY. NOW LET'S TAKE A LOOK AT SOME LOCAL FORECASTS. FIRST OF ALL FOR MEDFORD, OREGON IT'S PARTLY TO MOSTLY SUNNY SKIES TODAY. THE HIGH TEMPERATURE IS 70 DEGREES. LAWTON, OKLAHOMA, IS MOSTLY SUNNY, BREEZY AND WARM WITH A HIGH OF 84. AND BUFFALO, NEW YORK IS A MIX OF SUN AND CLOUDS AND
COLD. THE HIGH IS ONLY 30 DEGREES.
TEASE:
STILL TO COME -BIG CHANGES IN HOW YOU GET YOUR DAIRY NEWS.
 PLUS, THERE'S A WAITING LIST TO GET INTO THIS SPECIAL CLASS IN A MICHIGAN HIGH SCHOOL. WHAT'S THE BIG DRAW? WE'LL LET YOU KNOW WHEN WE HEAD IN THE COUNTRY.
PITCH TO DAIRY:
TODAY'S DAIRY NEWS SEGMENT MAY SEEM A BIT SELFPROMOTIONAL. BUT WE THOUGHT YOU SHOULD KNOW ABOUT BIG CHANGES FROM OUR DAIRY DIVISION...ESPECIALLY IF YOU'RE A REGULAR VISITOR TO AGWEB-DOT-COM.  WE'VE EXPANDED AND RE-ORGANIZED OUR COVERAGE. FOR PRODUCTION AND HERD-HEALTH INFORMATION YOU'VE COME TO TRUST, GO TO DAIRY HERD MANAGEMENT.
FOR BUSINESS AND MANAGEMENT INFORMATION DESIGNED FOR LARGE DAIRIES, VISIT FARM JOURNAL'S MILK.
CYPRESS UNITES IN CHEESE:
THE ISLAND OF CYPRUS HAS BEEN TORN BY YEARS OF UN-REST BETWEEN GREECE AND TURKEY. THERE HAVE BEEN DECADES OF ATTEMPTS TO RE-UNIFY THE ISLAND BY THE UNITED NATIONS AND EUROPEAN UNION. BUT THEY'VE BEEN UN-SUCCESSFUL. BUT THERE IS ONE THING THAT BRINGS THE TWO HALVES OF THE ISLAND TOGETHER -ITS CHEESE.
BOTH SIDES HAVE RECENTLY MANAGED TO WORK TOGETHER TO SUBMIT AN APPLICATION TO OFFICIALLY RECOGNIZE THE CHEESE MADE ONLY ON THE ISLAND AS A PROTECTED BRAND.
IT'S MUCH LIKE THE WORD CHAMPAGNE, IT CAN ONLY BE APPLIED TO THE SPARKLING ALCOHOL MADE IN THAT SPECIFIC REGION OF FRANCE....AND NOT THE SPARKLING WINES MADE IN THE U-S.
KRONE RELOCATES TO INDIANA:
IN EQUIPMENT NEWS -A MAJOR HAY AND FORAGEEQUIPMENT MAKER IS PULLING-UP STAKES AND RELOCATING ITS CORPORATE H-Q. KRONE ANNOUNCED IT WILL RELOCATE ITS NORTH AMERICAN HEADQUARTERS FROM MEMPHIS, TENNESSEE TO SHELBYVILLE, INDIANA. SHELBYVILLE IS LOCATED SOUTHEAST OF
INDIANAPOLIS.  KRONE SAYS IT'S BUILDING A 200-THOUSAND SQUARE FOOT MANUFACTURING, TRAINING, AND SHOWROOM FACILITY IN ADDITION TO THE HEADQUARTERS.  THE COMPANY SAYS INDIANA'S CENTRAL LOCATION WILL HELP WITH KRONE'S STRATEGIC PLAN TO GROW ITS BUSINESS IN NORTH AMERICA.
TEASE:
UP NEXT -THERE' NO DOUBT CURRICULUMS HAVE CHANGED IN HIGH SCHOOL. LONG GONE ARE THE DAYS OF "READING, WRITING AND 'RITHMETIC". SO IMAGINE IF YOUR STUDENT HAD A CHANCE TO LEARN TAXIDERMY! THAT'S NEXT ON AGDAY.
IN THE COUNTRY:
A MICHIGAN HIGH SCHOOL IS OFFERING A STAND-ALONE TAXIDERMY CLASS FOR THE FIRST TIME. THE COURSE AT CROSWELL-LEXINGTON HIGH IS A BIG HIT, WITH 60 STUDENTS SIGNING UP TO CREATE LIFE-LIKE REPLICAS OUT OF THE SKINS OF ANIMAL CARCASSES. MIKE HOUSEHOLDER HAS THE INS AND OUT OF TAXIDERMY. KYLE TUBBS TEACHES ONE OF THE MOST POPULAR CLASSES AT CROSWELL (CRAHZ'-WEL)-LEXINGTON HIGH SCHOOL. THAT'S IN PART BECAUSE IT'S HANDS ON.
CLOSING:
THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN.
FOR MIKE HOFFMAN AND CLINTON GRIFFITHS,  I'M BETSY JIBBEN. HAVE A GREAT DAY.
PROMO:
I'M BETSY JIBBEN. WEDNESDAY ON AGDAY THE I-80 PLANTING TOUR KICKS INTO HIGH GEAR AS WE START OUR ANNUAL ANALYSIS ACROSS THE CORN BELT.  MIKE HOFFMAN SHOWS US THE COOL-DOWN ACROSS THE MIDEST. AND SPOT-ON MARKET ANALYSIS. WATCH US WEEKDAYS ON AGDAY.

 

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