AgDay Daily Recap - February 14, 2011

February 14, 2011 03:12 AM
 

TODAY ON AGDAY:
FEBRUARY 14, 2011

COTTON PRICES:
COMMODITY MARKETS HAVE THEIR WORK CUT OUT TRYING TO BEAT LAST WEEKS RUN. CORN CLOSED SOLIDILY ABOVE SEVEN DOLLARS FRIDAY AND COTTON REACHED A PRICE THAT HASN'T BEEN SEEN IN THIS COUNTRY SINCE CIVIL WAR DAYS. MARCH COTTON FUTURES TRADED NEAR A $1.94 A POUND BEFORE CLOSING AT $1.89. COTTON PRICES ARE UP MORE THAN 30% IN 2011...166% SINCE EARLY 2010. FUELING THIS LATEST SURGE, DROUGHT CONCERNS IN CHINA, THE WORLDS LARGEST PRODUCER AND CONSUMER OF COTTON. BUT FINDING MORE COTTON TO BUY IS GETTING TOUGH...THE TRADE ESTIMATES 95% OF THE 2010 CROP IS ALREADY SOLD. THAT'S MOVING FUTURE DEMAND INTO THE PRESENT.  MORE THAN 3 MILLION BALES OF NEW CROP ARE NOW SPOKEN FOR...ANALYSTS SAY THEY'RE DONE PREDICTING A HIGH. COTTON'S RISE IS KEEPING IT IN THE ACREAGE BATTLE CONVERSATION.

THE WEEK AHEAD:
FROM MARKETS, TO COURT ACTION TO THE PRESIDENT'S 2012 BUDGET, IT'S GOING TO BE BUSY WEEK IN WASHINGTON. PRO FARMER'S ROGER BERNARD TAKES A LOOK AT THE WEEK AHEAD.

FEEDING RESEARCH:
THANKS ROGER. POLICY WAS ON THE MIND OF CATTLEMEN AT THE RECENT 2011 CATTLE INDUSTRY CONVENTION IN DENVER COLORADO.  BUT SO WAS PRODUCTION STRATEGY. SHAWN WALTER IS A CATTLE CONSULTANT AND RECENTLY COMPLETED A STUDY OF PROFITABILITY IN THE FEEDLOT. HE SAYS THERE CAN BE UP TO TWO OR THREE HUNDRED DOLLARS DIFFERENCE BETWEEN THE MOST AND LEAST PROFITABLE LOTS AT THE SAME FEEDER. HIS RESEARCH FOUND PROFITABILITY CAME FROM BETTER GAINING, HIGHER GRADING CATTLE. BUT WHAT SURPRISED HIM WAS THAT DESPITE THE EXTRA FEED COSTS, IT PAYS TO FEED A PEN TO A HIGHER BODY CONDITION. WALTER SAYS HIS FINDINGS ARE COUNTER INTUITIVE IN TODAY'S HIGH COST FEED MARKET.

FROZEN BEEF:
ONE CATTLEMEN'S LOSS IS A WIN FOR SOME LARGE CATS IN OKLAHOMA.
RECORD LOW TEMPERATURES LAST WEEK...NEGATIVE 25 IN PLACES...KILLED SOME CATTLE ACROSS THE STATE. ONE CATTLEMAN DONATED SIX HEAD TO A LOCAL ANIMAL SANCTUARY TO HELP FEED ITS COLLECTION OF TIGERS AND LIONS.

INBOX:
LAST WEEK WE TOLD YOU ABOUT PROPOSED STATE LAW IN MINNESOTA THAT WOULD PROTECT RESTAURANTS FROM GETTING SUED BY PEOPLE WHO BLAME THEM FOR OBESITY. THE COMMENTS CONTINUE TO POUR INTO THE AGDAY INBOX....LIKE THIS ONE. JOSH "M" WRITES "MOST PEOPLE WOULDN'T BE FAT IF THEY WOULD TAKE THE CHICKEN LEG OUT OF THEIR MOUTHS, GET OFF OF THE COUCH, STOP WATCHING TV, AND GET OUT AND DO SOME EXERCISE." WE'LL HAVE PLENTY MORE OPINIONS AND COMMENTS FROM VIEWERS ABOUT THE LEGISLATION LATER ON THIS SHOW. BUT FIRST ANALYSIS FROM MIKE NORTH OF FIRST CAPITOL AG. HE DISCUSSES TAKING ADVANTAGE OF MILK PRICES WHEN YOU CAN. PLUS, ONE OF THE LARGEST FOOD MAKERS IN THE COUNTRY SAYS IT'S TIME TO RAISE PRICES.

EQUIPMENT SALES:
IN AGRIBUSINESS THIS MORNING, EQUIPMENT SALES GET A STRONG START TO THE NEW YEAR. COMBINES AND FOUR WHEEL DRIVE TRACTORS ARE LEADING THE CHARGE. ACCORDING TO THE ASSOCIATION OF EQUIPMENT MANUFACTURERS' MONTHLY "FLASH REPORT," COMBINE SALES WERE UP NEARLY 54% OVER THE SAME PERIOD IN 2010. FOUR WHEEL DRIVE TRACTORS OVER 100 HORSE POWER, DID EVEN BETTER IN JANUARY-- UP MORE THAN 70% OVER LAST YEAR.
OVERALL, SALES OF ALL TRACTORS IN THE U.S. FOR THE MONTH ROSE MORE THAN 4%.

ANALYSIS:
MIKE NORTH

IN THE COUNTRY; I LOVE BEEF:
IF YOU'RE STILL PLANNING A NICE DINNER FOR YOUR VALENTINE, YOU MAY WANT TO TAKE A TRIP TO YOUR LOCAL BUTCHER SHOP. FOR SOME OF US, BEEF IS ALWAYS A GOOD CHOICE...WHETHER IT'S A ROMANTIC DINNER FOR TWO, OR SERVING-UP THE ENTIRE FAMILY. AGDAY'S MICHELLE ROOK LOOKS AT A NEW BEEF CAMPAIGN OUT JUST IN TIME TO PROMOTE BEEF FOR THIS FEBRUARY HOLIDAY. THANKS MICHELLE. I MAY NEED TO GET MY WIFE A RIBEYE, ALONG WITH THAT BOX OF CHOCOLATES. YOU CAN GET MORE INFORMATION ON THE "I HEART BEEF" CAMPAIGN, AS WELL AS RECIPES AND OTHER PROMOTIONS ON THE CHECKOFF WEBSITE. THAT ADDRESS IS WWW.BEEFIT'SWHAT'SFORDINNER.COM . STILL TO COME...A PROPOSED LAW THAT MAKES PEOPLE RESPONSIBLE FOR THEIR OWN OBESITY GOT THE AGDAY INBOX BUSY. WE'LL HAVE SOME OF YOUR COMMENTS, UP NEXT.

KRAFT FOOD PRICES:
IN FOOD AND YOUR FAMILY HOLD ON TO YOUR WALLETS, A TRIP TO THE GROCERER IS ABOUT TO GET MORE EXPENSIVE. KRAFT FOODS SAYS IT’S ALREADY RAISED PRICES AND FULLY EXPECTS TO RAISE THEM AGAIN. IT’S BLAMING RISING COMMODITY OR INPUT COSTS FOR THE DECISION. THE HIKE COST THE COMPANY ABOUT A HALF BILLION DOLLARS LAST QUARTER. KRAFT UPPED PRICES NEARLY 2% IN THE U.S. AND EUROPE AND IT EXPECTS TO DO IT AGAIN LATER IN THE YEAR. THE COMPANY PLANS TO INCREASE PROMOTIONAL ACTITIVY TO HELP RETAIN SHOPPERS.

OBESITY LAWSUIT:
AND FINALLY THIS MORNING...A PROPOSED STATE LAW THAT ENCOURAGES SELF RESPONSIBILITY REALLY TOUCHED A NERVE WITH OUR VIEWERS. LAST WEEK, WE TOLD YOU ABOUT A LEGISLATOR IN MINNESOTA WHO WANTS TO PREVENT PEOPLE FROM SUING RESTAURANTS FOR THEIR OWN OBESITY. IT'S CALLED THE PERSONAL RESPONSIBILITY IN FOOD CONSUMPTION ACT. THE LAWMAKER SAYS HIS BILL WOULD SHIELD RESTAURANTS, FARMERS AND OTHERS IN THE FOOD BUSINESS FROM FRIVOLOUS LITIGATION. DIANE FROM ILLINOIS WRITES "THEY SHOULD SHARE THE RESPONSIBILITY FOR OBESITY AND ADDICTION TO FAST FOOD AND HERE'S WHY: MOST OF OUR FOOD NOW IS ADULTERATED WITH UNNATURAL SUBSTANCES LIKE MSG, HIGH FRUCTOSE CORN SYRUP, ASPARTAME AND ANTIBIOTICS." JENNIFER KILGORE SAYS "I THINK YOU SHOULD BE ABLE TO SUE FAST FOOD RESTAURANTS AND ANY OTHER FOOD INDUSTRY. THEY NEED TO PUSH MANUFACTURERS TO PRODUCE HEALTHIER FOODS. CATHY KASKA SAYS "WE WOULD NOT NEED A LAW BANNING OBESITY SUITS IF THE LAWYERS WHO TOOK ON THOSE SUITS HAD ENOUGH INTEGRITY TO SAY, 'THAT'S A FRIVOLOUS AND RIDICULOUS LAWSUIT, AND I WILL NOT REPRESENT YOU." AND EDDIE HANKS-BOWLING GREEN, KENTUCKY WRITES "OUR NATION SHOULD FOLLOW MINNESOTA'S PROPOSED LEGISLATION AGAINST FRIVOLOUS LAWSUITS FROM OBESITY... I'VE BEEN IN BUSINESS FOR 25 YEARS AND AM EXHAUSTED WITH THE LIABILITY FROM JUST BEING IN BUSINESS." TIM AND PATRICIA KNIGHT FROM NORTH CAROLINA SAY THEY'RE "...GLAD TO HEAR THAT ONE LAW MAKER HAS THE COMMON SENSE TO SEE THAT IT IS TIME THAT PEOPLE TAKE ACCOUNT FOR THEIR ACTIONS." YOU CAN READ THEIR FULL COMMENTS, PLUS A LOT MORE ON THE AGDAY WEBSITE. THAT'S ALL THE TIME WE HAVE THIS MORNING. WE'RE GLAD YOU TUNED IN. FOR MIKE HOFFMAN, AND AL PELL. I'M CLINTON GRIFFITHS. HAVE A GREAT DAY.
 

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