AgDay Daily Recap - April 5, 2018

April 5, 2018 02:57 AM
 
AgDay

TODAY ON AGDAY
APRIL 5, 2018

HEADLINES

THE TRADE DISPUTE  BETWEEN THE U-S AND CHINA HEATS UP, WITH CHINA  FIRING BACK.  <I DON'T HINK WE CAN CALL IT A TRADE WAR YET> EVEN IF IT'S NOT A FULL-BLOWN TRADE WAR,THE  ACTIONS SENDING A SHOCKWAVE THROUGH  AGRICULTURE, WITH FARMERS AND RANCHERS ON  EDGE. < I'VE HAD A PERSONAL CONVERSATION WITH THE PRESIDENT AND HE'S  CONVINCED NOT TO LET AGRICULTURE BEAR THE BRUNT OF ANY KIND OF  RETALIATORY MEASURES. > IN AGRIBUSINESS, SOYBEANS ARE CAUGHT IN THE  CROSSFIRES.. <OBVIOUSLY THE CROWN JEWEL OF AGRICULTURAL EXPORTS IS SOYBEANS  AND IT IS SOYBEANS HEADED TO CHINA. > THE AG SECRETARY WANTS USDA TO REVISIT THEIR  ROOTS - AND THAT'S NOT HARD TO DO AT THIS  MICHIGAN GREENHOUSE. 

CHINA TARIFFS
GOOD MORNING I'M TYNE MORGAN, IN FOR CLINTON GRIFFITHS. THE TRADE FRICTION BETWEEN THE U-S  AND CHINA ESCALATING QUICKLY THIS WEEK, WITH  CHINA FIRING BACK AT THE U-S WITH A NEW ROUND OF  PROPOSED TARIFFS, TOTALING 50-BILLION DOLLARS. . THIS TIME IT TAKES AIM AT 106 PRODUCTS.  SOYBEANS TOOK A DIRECT HIT BUT OTHER MAJOR  AGRICULTURAL COMMODITIES LIKE  WHEAT AND BEEF  ALSO FACE A POSSIBLE 25-PERCENT DUTY HIKE. THE 50 BILLION DOLLAR PRICETAG MATCHES  PRESIDENT TRUMP'S LATEST LIST OF RETALIATION  AGAINST CHINA. THAT WAS ANNOUNCED EARLIER HTIS  WEEK. IT INCLUDES 50 BILLION DOLLARS WORTH OF  CHINESE  IMPORTS HE AIMS TO CRACKDOWN ON, INCLUDING  ROBOTICS, INFORMATION TECHNOLOGY AND MORE. THE ESCALATING TRADE DISPUTE IS TESTING THE  NERVES OF FARMERS ADN RANCHERS, BUT AG  SECRETARY SONNY PERDUE STANDING BY THE  PRESIDENT'S FAIR TRADE MANTRA.   < "WELL I THINK THERE'S CAUSE FOR ANXIETY OBVIOUSLY ADMINISTRATION  IS GOING TO CONTINUE TO TRY AND NEGOTIATE WITH CHINA TO RELIEVE US  OF THEIR UNFAIR TRADE PRACTICES. I'VE HAD A PERSONAL CONVERSATION  WITH THE PRESIDENT AND HE'S CONVINCED NOT TO LET AGRICULTURE BEAR THE BRUNT OF ANY KIND OF RETALIATORY MEASURES. ">  PERDUE TRYING TO HAMMER ON THE PRESIDENT'S  UNDERLYING POINT OF THIS TRADE SCUFFLE, AND  THAT'S TO RELIEVE THE PRESSURE OF WHAT HE CALLS  UNFAIR TRADE PRACTICES.  AND IT'S THAT NEGOTIATION THAT SOME ANALYTS ARE  HOPEFUL WILL HAPPEN BEFORE THE NEWEST LIST OF PROPOSED TARIFFS ARE PUT INTO PLACE. THAT'S AS THERE ARE SEVERAL DETAILS MISSING FROM  CHINA'S MOST RECENT ROUND OF TARIFFS, INCLUDING  A TIMELINE. ECONOMIST MATT ROBERTS SAYS THE NEW TARIFFS  WON'T IMMEDIATELY KICK IN. < "THOSE SETS OF TARIFFS THAT THE UNITED STATES HAS IMPOSED OF 50  BILLION DOLLARS, THOSE CAN'T GO INTO EFFECT BEORE MID-MAY AT THE EARLIERST, AT LEAST 6 WEEKS OUT. THE TARIFFS THAT WERE JUTS  ANNOUNCED THAT INCLUDED SOYBEANS ALSO DO NOT APPEAR TO GO INTO  EFFECT, THEY ARE DEALYED. TIS' NOT CLEAR TO WHEN THEY DO GO INTO EFFECT BUT IT'S REASONABLE TO THINK THEY WILL GO INTO AFFECT ABOUT  HTAT SAME TIMEFRAME. IN OTHERWORDS, THIS IS A MUTUAL ASSURED  DESTRUCTION KIND OF MOVE."> TRYING TO TAME FEARS ON WALL STREET, THE  PRESIDENT'S BRAND NEW NATIONAL ECONOMIC  COUNCIL DIRECTOR LARRY KUDLOW SAID DURING AN  INTERVIEW ON "FOX BUSINESS" THAT "U-S PROPOSED  TARIFFS ON CHINESE IMPORTS MIGHT NOT EVEN GO  INTO EFFECT." AND IT'S THAT KIND OF RHETORIC EASING SOME FEARS  OF A POSSIBLE TRADE WAR.  <I DON'T HINK WE CAN CALL IT A TRADE WAR YET B/C ALL THE TARIFFS THAT  ARE ON THE TABLE, THE BIG ONES, THE 301 TARIFFS. THEY'RE STILL IN THE  PROPOSAL PHASE. NOW WHAT THAT DOES, WITH THE PROPOSALS FROM  THE TRUMP ADMINSTRUATION, THE COUNTER MEASURES FROM CHINA, THIS GIVES US THE BEST OPPORTUNITY IN A LONG TIME TO GET BOTH SIDES TO  THE TABLE AND GT CHINA IN COMPIANCE WITH THE WTO RULES AND  REGULATIONS REGARDING THE INTELLECTUAL PROPERTY. WE'RE NOT IN A TRADE WAR, WE'RE AS CLOSE AS WE'VE BEEN IN A LONGTIME, BUT WE'RE  NOT IN A TRADE WAR> BUT THE FEAR OF RETALIATION SHOOK THE  COMMODITY MARKETS ON WEDNESDAY, WITH GRAINS  AND OILSEEDS BLEEDING RED ACROSS THE CME  BOARD.  THAT'S BECAUSE THE AMOUNT OF AG GOODS AT STAKE  WITH THE LATEST ROUND OF RETALIATION IS HIGH.  CHINA IS TARGETING 106 U-S PRODUCTS IN TOTAL, INCLUDING SOYBEANS, CORN, COTTON, WHEAT, BEEF AND BEEF PRODUCTS, CRABNERRIES, ORANGE JUICE AND TOBACCO. TO PUT THIS IN PERSPECTIVE, CHINA WAS THE NUMBER  ONE DESTINATION FOR U-S AG EXPORTS LAST YEAR,  TOTALING 21 POINT 4 BILLION DOLLARS. AND THAT  NUMBER GREW MORE THAN 200-PERCENT IN JUST A  DECADE.  CHINA IS THE TOP DESTINATION FOR U-S SOYBEANS,  AND NUMBER TWO ON THAT LIST IS COARSE GRAINS,  LIKE WHEAT AND SORGHUM.  SOYBEANS HAS THE MOST AT STAKE.  FOLLOWING CHINA'S ANNOUNCEMENT OF THE PROPOSED 25 PERCENT TARIFF ON U-S SOYBEANS, THE  AMERICAN SOYBEAN ASSOCIATION SHARED ITS  FRUSTRATION OVER THE ESCALATION OF THE TRADE  DISPUTE WITH THE LARGEST CUSTOMER OF U-S SOY. . ASA PRESIDENT JOHN HEISDORFFER SAYS "THIS IS NO  LONGER A HYPOTHETICAL, AND A 25 PERCENT TARIFF  WILL HAVE A DEVASTATING EFFECT ON EVERY SOYBEAN  FARMER IN AMERICA." 

HOW CHINA TARIFFS COULD IMPACT SOYBEANS
BETSY JIBBEN CONTINUES OUR COVERAGE ON THE TARIFFS. TYNE,  AMONG THIS UNCERTAINTY, THE QUESTIONS REMAIN:  CAN CHINA FILFILL ITS SOYBEAN NEEDS FROM SOUTH AMERICA AND COULD U.S. SOYBEAN EXPORTS STILL  HOLD WITHOUT CHINA? <THEY'RE POISED TO BUY 100 MILLION METRIC TONS THIS NEXT MARKETING YEAR. IF THEY GO WITH THAT NUMBER, THE ONLY WAY IN MY  OPINION THEY CAN GET THAT NUMBER OUT OF SOUTH AMERICA IS FOR  SOUTH AMERICA TO IMPORT BEANS FROM THE U.S.,">  PAYNE SAYS THE U.S. WILL FEEL A PINCH IF WE LOSE CHINA, THE LARGEST BUYER OF U.S. SOY. HOWEVER, BRAILIAN SOYBEAN PRICES ARE SPIKING ON  THE NEWS WHICH COULD INCENTIVE OTHER COUNTRIES  TO BUY FROM THE U.S.  < THERE ISN'T ENOUGH BUSINESS OUT THERE. EUROPE AND MEXICO  AND MEXICO COMBINED WOULDN'T EVEN HAVE WHAT CHINA HAS TO OFFER   > <"IF WE SEE SOME TYPE OF A SOLUTION WHERE BOTH SIDES COME TOGETHER AND THEY AT LEAST BACK OFF FROM TEH CURRENT SET OF TARIFFS  AND WE GO BACK TO A SITUATION WHERE THERE IS STILL TRADE TENSION, BUT AT LEAST WE'VE AT LEAST BACKED AWWAY FROM THE CURRENT  SETTING, I THINK IT'S A VERY QUICK, A DAY OR TWO I RECOVER THIS 30 TO 50 CENT LOSSES.">  NOW, CHINA DID BUY SOYBEANS YESTERDAY MORNING AS THE FUTURES DROPPED. U.S. REPORTED A PRIVATE SALE OF 129 THOUSAND  METRIC TONS WEDNESDAY MORNING.  THERE WAS ALSO A SALE OF 325 THOUSAND METRIC  TONS OF AN UNKNOWN DESTINATION. FARM JOURNAL  ECONOMIST CHIP FLORY SAYS THAT DESTINATION WAS  MORE THAN LIKELY CHINA. 

CROP COMMENTS
WINTER HASN'T QUITE GIVEN-UP. MIKE HOFFMAN HAS DETAILS IN CROP COMMENTS. GOOD MORNING TYNE.  WE HEARD FROM THE  UNIVERSITY OF ARKANSAS EXTENSION. THEY SAID  FRUIT GROWERS IN NORTHWEST ARKANSAS ARE  SCOUTING FOR DAMAGE AFTER FREEZING TEMPERATURES HIT  WEDNESDAY MORNING. MANY OF THE FRUIT CROPS - LIKE  STRAWBERRIES AND PEACHES - ARE IN A VULNERABLE FLOWERING STAGE. TEMPS IN FAYETTEVILLE DIPPED TO  27 DEGREES. DESPITE THE OVERNIGHT COLD, THINGS ARE  CERTAINLY GREENING-UP NICELY.  WE RECEIVED THIS  PHOTO FROM A FAN OF THE SHOW. IT WAS SNAPPED JUST EAST OF THERE IN MARBEL,  ARKANSAS. HE SAID CATTLE ARE ENJOYINJG A SUNNY  DAY AND TREES ARE ABOUT TO BUD-OUT. AND TAKING A LOOK AT THE WIND SPEED FORECAST FOR TODAY WE ARE  LOOKING AT VERY WINDY CONDITIONS TO START TODAY IN NEW ENGLAND. AS WE LOOK AT THINGS THE REST OF THE DAY THEN IT BECOMES WINDY IN  PARTS OF THE NORTHERN PLAINS STATES INTO ILLINOIS. AND THEN YOU CAN  SEE AS WE HEAD TOWARD THE DAY TOMORROW BASICALLY NORTHERN PLAINS THROUGH THE GREAT LAKES THE WINDIEST AREA TO START THE DAY  THAT SPREADS INTO THE CENTRAL PLAINS. PARTS OF THE SOUTHWEST BY  LATER ON. WE'LL HAVE YOUR FORECAST COMING UP AT FIRST HERE ARE SOME HOMETOWN. TEMPS 

TEASE
OUR INDEPTH COVERAGE OF THE TRADE DISPUTE WITH CHINA CONTINUES IN TWO MINUTES AS WE TAKE A  CLOSER LOOK AT SOYBEAN PRICES....AND JUST HOW  BAD IT COULD GET. IN OUR DROVERS REPORT - WE LOOK AT THE IMPACT  THE TARIFF SPAT COULD HAVE TO THE U-S BEEF SECTOR. AND SONNY PERDUE GOES "BACK TO OUR ROOTS" -  LITERALLY - AS WE HEAD IN THE COUNTRY TO  MICHIGAN. YOUR VOTE COULD HELP A COMMUNITY ORGANIZATION WIN TWN  THOUSAND DOLLARS, AND SEND A FARMER ON A DREAM SPORTS TRIP.   VOTE NOW AND HELP MAKE DREAMS COME TRUE AT POWERTODOMORE.COM.  SPONSORED BY RESICORE CORN HERBICIDE.   

FLOOR OF THE CME
IN AGRIBUSINESS, THE MARKETS HAVING A KNEE JERK REACTION TO CHINA'S LATEST TARIFF THREATS. LET'S  GET DETAILS FROM THE FLOOR OF THE CME.  I'M VIRGINIA MCGATHEY ON THE FLOOR OF THE CME GROUP REPORTING  ON THE GRAIN MARKET TODAY'S SOYBEANS REALLY HAD A FREE FALL IT  SEEMED THAT THE CHINA TARIFFS TIP THE METER AND THE MARKET  OPENED AND IT WENT WELL BELOW 40 CENTS. THIS IS THE BIGGEST  MOVIE WE'VE HAD IN A LONG TIME. THE MARKET'S BEEN WILD. ALL DAY LONG. ONCE IT BOTTOMED OUT WE DID FIND SOME BUYING. SO KIND OF  PUSHED TO BACK UP A LITTLE BIT. BUT IT'S INTERESTING TO NOTE THAT  EVEN THOUGH ARGENTINA IS STILL HAVING TROUBLE DOWN THERE IT SEEMS THAT THE BUMPER CROP THAT'S BEING PRODUCED IN BRAZIL  COULD POSSIBLY MITIGATE ANY TROUBLES THAT ARE IN ARGENTINA. AND IF  THE THE TARIFFS ACTUALLY DO COME TO PASS WITH CHINA THAT'S GOING  TO LEAVE US SETTLE WITH AN AWFUL LOT OF STOCKS RIGHT NOW AND SO  THAT'S GOT EVERYONE VERY NERVOUS. IT ACTUALLY OVERFLOWED INTO CORN  AS WELL A CATTLE GAPPED DOWN. IT SEEMS THAT THE BEEF JOINED TO  PORK ON THE CHINESE TARIFFS LIST AND THAT REALLY SENT THE MARKET TUMBLING. AND IT SEEMED THAT THE FINAL JOLT CAME TODAY WHEN THE  BEEF WAS GOING TO BE ON THE LIST. THAT'S ALL FROM THE FLOOR AT THE  CME GROUP HERE IN CHICAGO I'M VIRGINIA MCGATHEY 

AGRIBUSINESS
<HERE NOW WITH CHRIS HURT OF PURDUE UNIVERSITY. CHRIS YOU'VE  BEEN ABLE TO QUANTIFY PUT A NUMBER ON WHAT THIS KIND OF  RETALIATION ON PORK IS GOING TO BE. YOU'VE BEEN ABLE TO DO THAT. BUT THERE'S STILL THIS FEAR IS CHINA GOING TO RETALIATE AGAINST  SOYBEAN EXPORTS AND ARE THEY GOING TO PUT A TARIFF ON SOYBEAN  EXPORTS COMING INTO INTO CHINA FROM THE U.S. IF THAT HAPPENS. HOW DEVASTATING WOULD IT BE. WELL AS FIRST GET A LITTLE PERSPECTIVE  HOW IMPORTANT PORK IS IN TERMS OF DOLLARS OF SALES TO CHINA.  THAT'S ONE POINT ONE BILLION DOLLARS IN 2017 DOLLARS BILLION IS BIG MONEY BUT SOYBEANS ARE TWELVE POINT FOUR BILLION DOLLARS OF  SALES. SO SOYBEANS ARE IN THE RANGE OF 12 TIMES MORE IMPORTANT  TO U.S. FARMERS AND SALES TO CHINA. SO OBVIOUSLY THE CROWN JEWEL OF AGRICULTURAL EXPORTS IS SOYBEANS AND IT IS SOYBEANS  HEADED TO CHINA. THE VERY BIG MARKETPLACE. SO AS WE LOOK AT  THAT THAT SAYS THAT THE IMPACT ON PORK WE THINK PROBABLY WILL REDUCE PRICES MAYBE THREE TO SIX DOLLARS A HEAD ON PORK BUT  THAT'S ONLY 2 PERCENT OF OUR PRODUCTION IN THE UNITED STATES.  WE'RE LOOKING AT MORE LIKE PROBABLY 30 TO 40 PERCENT OF OUR PRODUCTION GOING TO CHINA ON SOYBEANS. SO THAT IMPACT CERTAINLY  COULD BE LARGE IT WILL DEPEND ON THE DETAILS. SO I MEAN IF YOU DO  SEE CHINA'S SLAP A TARIFF ON US SOYBEANS POSSIBLY WHAT TYPE OF SORGHUM PRICES COULD WE SEE. WELL I THINK WE COULD BE TALKING  DOLLARS LOWER IN TERMS OF PRICES AND AGAIN WE HAVE TRADE AROUND  10 TO 10 50 IN TERMS OF FUTURES PRICES PROBABLY TALKING ABOUT EIGHT DOLLAR FUTURES IS NOT A RIDICULOUS STATEMENT. CHINA WILL STILL  NEED BEANS FROM THE UNITED STATES. THEY JUST CAN'T GET THEY  CAN'T SUBSTITUTE OF BEANS FROM THE OTHER COUNTRIES THEY NEED US BEANS. YEAH. REAL QUICK BECAUSE THEY DO NEED US BEANS. HOW  LIKELY IS IT THAT THEY WE WILL SEE IT SEE THEM RETALIATE I THINK THEY'LL  BE HESITANT TO PUT MUCH OF A TARIFF ON SOYBEANS. THEY NEED  THEM. WE SUPPLY 30 PERCENT OF ALL THEIR USE OF BEANS. THEY NEED  US. THEY CAN'T REPLACE THAT IN BRAZIL AND ARGENTINA IN THE SHORT  RUN. BUT WE WE WOULD BECOME A RESIDUAL SUPPLIER. THEY WOULD  COME TO US LAST AND BRAZIL AND ARGENTINA THEY WOULD GO THERE FIRST. WE DON'T WANT THAT IN US AGRICULTURE DEFINITELY NOT. ALL RIGHT  CHRIS THANK YOU SO MUCH. WE NEED TO TAKE A QUICK BREAK AND  THEN WE'LL HAVE A CHECK OF WEATHER HERE ON AGDAY0>

WEATHER
WELCOME BACK. TIME NOW TO CHECK WEATHER WELL MIKE OUR  WHOLE BASICALLY HAS BEEN ABOUT CHINA. WE HAVE MORE IN THE  SHOW ABOUT CHINA SO PLEASE TELL ME SOMETHING GOOD IN THE  WEATHER. HMM LET ME THINK NO WELL THE MIDWEST IS STILL COLD WITH  THIS TIME ON OUR SIDE. I WAS DEPENDING ON YOU TODAY I KNOW  WE'RE HAVING TROUBLE WARMING UP EAST OF THE ROCKIES IN MOST LOCATIONS AND IT'S STILL PRETTY CHILLY. BIG DOME OF HIGH PRESSURE  OVER THE TENNESSEE VALLEY THIS MORNING. IT'S A COLD FRONT TO THE  SOUTH OF THERE MOVING THROUGH CENTRAL FLORIDA WITH A FEW SHOWERS BUT THAT WILL BRING YOU FOLKS SOME CHILLIER WEATHER AS  WELL SOME LINGERING SNOW IN THE EASTERN GREAT LAKES AND THE NORTHEAST AND THE NEXT SYSTEM DIVING TOWARD THE GREAT LAKES  ACROSS THE NORTHERN PLAINS ANOTHER ONE COMING IN OUT WEST. SO  STILL A VERY ACTIVE WEATHER PATTERN AND YOU CAN SEE THAT SNOW BY LATER TODAY ACROSS WISCONSIN MINNESOTA SOME PLACES THAT HAVE  SEEN LOTS OF SNOW OVER THE LAST TWO WEEKS. AND WE'RE LOOKING AT  A FAIR AMOUNT OF RAIN ALL THE WAY DOWN INTO NORTHERN CALIFORNIA. MUCH OF WASHINGTON AND OREGON AND OF COURSE MOUNTAIN SNOW  IN THE NORTHERN ROCKIES AS WELL. AS WE HEAD TOWARD TOMORROW  MORNING THAT FIRST SNOW MOVING ACROSS THE GREAT LAKES INTO  PARTS OF PENNSYLVANIA AND NEW YORK BY TOMORROW MORNING. HIGH  PRESSURE CONTINUING TO SETTLE OFF THE SOUTHEAST COAST AND THAT  STORM THAT CAME INTO THE WEST COAST GOING TO SPREAD A PRETTY HEAVY SNOW ACROSS THE NORTH CENTRAL PLAINS STATES EVENTUALLY  INTO THE OHIO RIVER VALLEY AGAIN. UNBELIEVABLE. AND THE NEXT  SYSTEM COMING IN OUT WEST FROM THE SOUTHWEST. IT HADN'T HAPPENED IN A WHILE BUT EVEN SOUTHERN CALIFORNIA MAY GET A  LITTLE BIT OF RAIN OUT OF THIS BY LATER IN THE DAY TOMORROW BY LATE IN  THE DAY. TOMORROW WE'RE LOOKING AT A FAIR AMOUNT OF RAIN ACROSS  ARKANSAS AND SOME OF THE SURROUNDING STATES WITH A BAND OF  SNOW ACROSS MISSOURI ILLINOIS INDIANA INTO OHIO. TAKING A LOOK AT PRECIPITATION ESTIMATES OVER THE PAST 24 HOURS MOST OF IT'S BEEN  IN THE NORTHEAST AND A LITTLE BIT IN THE SOUTHEAST ADDING IN THE  NEXT 36. SO WE HAVE MULTIPLE SYSTEMS THAT WE JUST TALKED ABOUT.  ALL OF THEM ARE GOING TO CAUSE SOME MOISTURE TO DEVELOP.  NOTHING REAL HEAVY EXCEPT FOR PLACES IN CENTRAL AND NORTHERN CALIFORNIA AND ALONG THE COAST OF WASHINGTON AND OREGON WITH  THOSE TWO SYSTEMS THAT ARE COMING IN OVER THE NEXT COUPLE OF  DAYS. SNOWFALL ESTIMATES PAST 24 HOURS MOST OF THE GREAT LAKES  IN THE NORTHEAST AND THE NORTHERN ROCKIES ARE GOING TO ADD  SOME IN A COUPLE OF STRIPS ACROSS THE PLAINS STATES AND AS WELL  AS THE GREAT LAKES AND EVENTUALLY THIS STRIP PIERS GOING ACROSS PARTS OF ILLINOIS INDIANA OHIO AND INTO THE NORTHEAST AGAIN AS WE  HEAD TOWARD THE WEEKEND. CHECKING THIS AFTERNOON  TEMPERATURES IT IS WARMING UP AT LEAST IN PARTS OF OKLAHOMA  MUCH MOST OF TEXAS FLORIDA STILL PRETTY WARM CHILLY WEATHER FOR  THIS TIME OF THE YEAR THOUGH ACROSS MOST OF THE CORN BELT. YOU  CAN SEE LOW TEMPERATURES TONIGHT SINGLE DIGITS IN THE NORTHERN  PLAINS 60S. BY THE TIME YOU GET TO THE GULF COAST AND HIGHS ONLY  IN THE LOW TO MID TEENS UP ALONG THE CANADIAN BORDER DURING THE DAY TOMORROW. HERE'S THE JET STREAM WE CONTINUE TO SEE THAT  ROTATING AREA OF LOW PRESSURE KIND OF KEEPING THE COLD AIR  PLUNGES COMING SOUTHWARD. IT KIND OF GOES AWAY AND OUR MODEL  IS GOING INTO A TRANSITION PHASE AS WE HEAD INTO A LATER NEXT  WEEKS WE'LL HAVE TO WATCH THAT. THAT'S A LOOK ACROSS THE COUNTRY.  NOW LET'S TAKE A LOOK AT SOME LOCAL FORECASTS. WELL AHEAD TO CLOVIS NEW MEXICO FIRST OF ALL A MIXTURE OF CLOUDS AND SUNSHINE  AT A HIGH OF 78 DEGREES. MANKATO MINNESOTA PARTLY SUNNY STILL  CHILLY HIGH OF 36 IN CHATTANOOGA TENNESSEE A MIX OF SUNSHINE AND CLOUDS HIGH OF 66> 

TEASE
STILL TO COME, ALL THIS TALK ABOUT CHINA, BUT HOW  BIG OF A BITE COULD IT TAKE OUT OF BEEF EXPORTS?  THAT'S OUR DROVERS REPORT.  INNOVATIVE TECHNOLOGY TO GROW YEAR ROUND  TOMATOES GARNERS ATTENTION OF THE AG  SECRETARY. 

DROVERS TV
IN DROVERS TV, BEEF PRODUCTS ARE ALSO A TARGET IN CHINA'S LIST OF POTENTIAL TARIFFS DROVERS EDITOR GREG HENDERSON SAYS RETAILERS  AND OTHER MEAT BUYERS ARE ON EDGE THE NEWS INITIALLY SHOT CATTLE PRICES INTO THE NEGATIVE TERRIROTY WEDNESDAY, BUT PRICES DID  REBOUND LATER IN THE DAY.  HOWEVER, EONOMISTS SAY IT'S EXTREMELY DIFFICULT TO ANTICIPATE WHAT TYPE OF IMPACT THE POSSIBLE  OF RETALATORY TARIFFS ON BEEF COULD MEAN.  <"TRADE BENEFITS PEOPLE. GAINS FROM TRADE IS THE BASIS FOR MOST ECONOMIC PROCESS. WE'LL FIGURE IT OUT EVENTUALLY AND GO BACK. THE  QUESTION REALLY IS HOW LONG DOES IT LAST AND HOW MUCH COLLATERAL  DAMAGE IS THERE ALONG THE WAY?"> THE NEWS OF POTENTIAL TARIFFS COMES DURING A  TIME WHEN CHINA JUST REOPENED ITS DOORS TO U.S.  SHIPMENTS IN JUNE AFTER A 13 YEAR EXPORT  DROUGHT DUE TO BSE FOUND IN THE UNITED STATES  BACK IN 2003.  U.S. MEAT EXPORT FEDERATION PRESIDENT AND CEO  DAN HALSTROM SAYING - "OVER THE PAST NINE MONTHS, INTEREST IN U.S. BEEF HAS STEADILY GAINED MOMENTUM IN CHINA... BUT IF AN  ADDITIONAL TARIFF IS IMPOSED ON U.S. BEEF, THESE  CONSTRUCTIVE BUSINESS RELATIONSHIPS AND  OPPORTUNITIES FOR FURTHER GROWTH, WILL BE AT  RISK. " . TRADE POLICY EXPERT IAN SHELDON FROM THEE OHIO  STATE SAYS IT TAKES YEARS TO RE-GRAIN TRUST.  <WE LEARNED THAT FROM THE CASE OF MAD COW DISEASE WHICH IN THE MID 2000S 2008 LED TO JAPAN CUTTING ITS IMPORTS OF BEFORE AUSTRALIA STEPPED IN AND TOOK A LOT OF MARKET SHARE AWAY FROM US AND I THINK THAT'S SOMETHING THAT WE WOULD NEED TO BE CONCERNED ABOUT​>THE INITIAL FEAR OF RETLATION MAY HAVE SENT  LIVESTOCK PRICES IN THE RED, BUT CATTLE PRICES CLOSED IN THE RED. HOWEVER, THAT WASN' THE CASE  FOR GRAIN AND OILSEEDS. AND THAT'S WHY  ECONOMIST MATT ROBERTS SAYS FEED BUYERS  SHOULD USE THIS AS AN OPPORTUNITY TO LOCK IN  FEED PRICES WHILE THE PRICE IS RIGHT.  <F THESE DO GO INTO EFFECT, RPICES WILL GO DOWN, BUT I DON'T THINK THEY WILL, I DON'T THINK THEY WILL GO INTO EFFECT, SO SEE THIS AS AN GREAT  OPPPORUTNITY TO CATCH UP ON YOUR FEED PURCHASES, WE KNOW YOUR  MARGINS HAV EBENE AWFUL, NOW YOU'VE GOT THIS LITTLE SALE. WE ARE  SEEING CHINA USING HTIS TO PURCHASE, THERE'S NO REASON YOU  SHOULND'T DO THE SAME> LATER 

TEASE
WE VISIT A MICHIGAN GREENHOUSE WHERE THE INNOVATIVE TECHNOLOGY OF GROWING TOMATOES  CAUGHT THE ATTENTION OF AG SECRETARY SONNY  PERDUE.

IN THE COUNTRY
IN THE COUNTRY - SPONSORED BY KUBOTA. TRACTORS, HAY TOOLS,  UTILILTY VEHICLES, MOWERS AND MORE.  VISIT KUBOTA.COM TODAY. ) USDA SECRETARY SONNY PERDUE IS HALFWAY  THROUGH HIS "BACK TO OUR ROOTS" R-V TOUR.  AND  TUESDAY'S STOP IN COLDWATER MICHIGAN COULDN'T  GET HIM ANY CLOSER TO ROOTS. THE AG SECRETARY TOURED THE "SUNSET PRODUCE"  GREENHOUSES. THE ONTARIO-BASED MASTRONARDI FAMILY OWNS THE  FACILITY IN SOUTHERN MICHIGAN. . OPEN SINCE 2012, THE FACILITY GROWS 'SUNSET'- BRAND TOMATOES ON THE VINE AND GRAPE  TOMATOES. . THIS GREENHOUSE USES ADVANCED TECHNOLOGY INCLUDING ENERGY CURTAINS AND GROW LIGHTS TO  PROVIDE FRESH FLAVOR ALL YEAR ROUND, EVEN WHEN  THERE'S SNOW ON THE GROUND....WHICH I CAN TELL  YOU HAPPENS A LOT. . SECRETARY PERDUE TASTE-TESTED SOME OF THEIR WARES AND WAS IMPRESSED. <WHAT THIS FAMILY'S DONE WITH THE TECHNOLOGY OF GREENHOUSES  AND THE AUTOMATION IN THE YEAR ROUND GROWING MAYBE THE FUTURE  OF AGRICULTURE STARTING WITH MORE FRUITS AND VEGETABLES  PERSPECTIVE WITH TOMATOES SEARCH THE DIFFERENT VARIETIES OF  TOMATOES PEPPERS AND CUCUMBERS. AND IT'S PRETTY FASCINATING WHAT THEY'VE DONE WITH VERY LITTLE ENVIRONMENTAL IMPACT0> THE COLDWATER GREENHOUSE SHIPS 30 MILLION POUNDS OF TOMATOES AND 10 MILLION POUNDS OF  PEPPERS ANNUALLY. ALL PLANTS ARE GROWN  HYDROPONICALLY USING ROCK WOOL INSTEAD OF SOIL. 

CLOSE
THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN.  FOR ALL OF US AT AGDAY I'M TYNE MORGAN. HAVE A  GREAT DAY

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