AgDay Daily Recap - January 7, 2011

January 7, 2011 02:34 AM
 

TODAY ON AGDAY:
JANUARY 6, 2011

ALLENDALE OUTLOOK:
AHEAD OF USDA'S LATEST SUPPLY AND DEMAND UPDATE NEXT WEEK, ALLENDALE INCORPORATED SEES SMALLER CORN AND WHEAT ENDING STOCKS AGAINST A SLIGHT INCREASE FOR SOYBEANS. THE MARKET-RESEARCH AND BROKERAGE FIRM PEGS CORN CARRYOVER AT 756 MILLION BUSHELS AND WHEAT IS SEEN AT 838 MILLION BUSHELS WHILE SOYBEANS ARE PLACED AT 170 MILLION BUSHELS. CORN AND WHEAT NUMBERS ARE BELOW USDA'S FORECAST IN DECEMBER, BUT SOYBEANS IN STORAGE ARE FIVE MILLION BUSHELS HIGHER. ALSO OUT ON WEDNESDAY THE 12TH, USDA WILL BE UPDATING 2011 WINTER WHEAT SEEDINGS. ALLENDALE IS FORCASTING JUST UNDER 42 MILLION ACRES OF WINTER WHEAT WERE PLANTED THIS FALL. THAT'S A 4.5 MILLION ACRE INCREASE. USDA WILL ALSO RELEASE ITS 2010 CROP PRODUCTION SUMMARY. THAT'S A LOT OF NEW INFORMATION TO DIGEST. YOU'LL BE ABLE TO SEE THOSE REPORTS ON AGWEB, AS SOON AS THEY'RE RELEASED AT 8:30 A.M. EASTERN TIME.

BELTWIDE COVERAGE:
WITH COTTON PRICES HITTING NEW HIGHS IN RECENT MONTHS, IT SHOULDN'T SURPRISE ANYONE IF COTTON PLANTINGS WILL BE UP THIS YEAR. THAT WAS A POPULAR TOPIC AT THIS WEEK'S BELTWIDE COTTON CONFERENCES. THE ANNUAL GATHERING OF THE COTTON INDUSTRY WRAPS-UP LATER TODAY IN ATLANTA, GEORGIA. THE SHOW BRINGS TOGETHER PRODUCERS, RESEARCHERS, AND OF COURSE SEED AND CHEMICAL COMPANIES TRYING TO SELL THEIR LATEST TECHNOLGIES. SOME OF THOSE PRODUCTS ARE INTENDED TO ADDRESS GLYPHOSATE RESISTANCE, WHICH CONTINUES TO BE A PROBLEM FOR GROWERS. ON THE NEXT EDITION OF AGDAY, WE'LL CONTINUE OUR COVERAGE OF THE BELTWIDE COTTON CONFERENCE. AL WILL VISIT WITH THE FOLKS FROM BAYER. WE'LL HEAR ABOUT A SPECIAL PROGRAM THEY DEVELOPED TO PREPARE THE NEXT GENERATION OF THEIR RESEARCHERS.

MISSOURI TRICH:
WHILE THE COTTON BELT CONTINUES IN THE SOUTH, VETERINARIANS FROM THE SOUTH AND EAST ARE SEARCHING FOR ANSWERS TO A FAST SPREADING REPRODUCTIVE DISEASE IN CATTLE. ONCE LIMITED TO THE WESTERN U.S., TRICHOMONIASIS IS WORKING ITS WAY EAST. THE VENEREAL DISEASES IS HITTING HERDS IN MISSOURI...OFTEN CAUSING COWS TO LOSE THEIR CALVES AND PRODUCERS TO LOSE PROFITS. LINDA RUSSELL FROM AFFILIATE KY-3 REPORTS. THANKS LINDA. CARROLL CRAIG SAYS HE SENT HIS INFECTED BULLS AND COWS TO SLAUGHTER SO THE DISEASE WON'T BE PASSED ON. MISSOURI ISN'T THE ONLY STATE DEALING WITH TRICH OUTBREAKS. SEVERAL OTHERS INCLUDING TEXAS HAVE RECENTLY ADOPTED RULES TO TRY CONTAINING THE DISEASE.

GM LETTER:
YESTERDAY WE TOLD YOU ABOUT LETTER USDA AGRICULTURE SECRETARY TOM VILSACK WROTE. IT SPOKE ABOUT PEOPLE'S WILLINGNESS TO SETTLE PROBLEMS IN COURT RATHER THAN WITH COMPROMISE. AS WE SAID, THE LETTER STEMS FROM TWO LEGAL BATTLES OVER GENETICALLY MODIFIED ALFALFA AND SUGAR BEETS.  VILSACK WANTS MORE COMPROMISE BETWEEN BOTH SIDES. IN HIS LETTER, VILSACK MENTIONS THE CRITICISM USDA HAS RECEIVED ON ITS GE ALFALFA APPROACH AND HE BELIEVES IT SUGGESTS A COMFORT WITHIN AMERICA FOR LITIGATION - WITH ONE SIDE WINNING AND ONE SIDE LOSING. SO WE ASKED WHAT YOU THOUGHT. A VIEWER FROM SOUTHEAST IOWA THINKS IT COMES DOWN TO PEOPLE WHO ARE IN AGRICULTURE VERSUS THOSE WHO AREN'T. SHE SAYS, "UNLESS AGRICULTURAL CORPORATIONS ARE WILLING TO STEP UP AND STAND BEHIND FARMERS AND EDUCATE THE NON-AG POPULATION, I FEAR THE COURT BATTLES WILL INCREASE, AND MORE IMPORTANTLY, THE FARMERS WILL BE THE LOSERS IN THOSE BATTLES."

M&M EARNINGS:
IN AGRIBUSINESS ONE OF FORTUNE MAGAZINES TOP STOCKS FOR 2011 IS STARTING THE YEAR WITH GOOD NEWS. FERTILIZER MAKER MOSAIC SAYS OPERATING EARNINGS TRIPLED TO 658 MILLION FOR THE SECOND QUARTER OF FISCAL YEAR 2011. NET SALES WERE UP 54% THE MONSANTO COMPANY ALSO RELEASED ITS EARNINGS REPORT. TOTAL NET SALES FOR THE FIRST QUARTER WERE UP 8% TO 1.8 BILLION. EXPENSES WERE DOWN AND FREE CASH FLOW HIT 500 MILLION DOLLARS FOR THE QUARTER...A STARK CHANGE FROM THE 1.6 BILLION DOLLARS IN CASH THE COMPANY SPENT THE SAME PERIOD LAST YEAR.

ANALYSIS:
GARY WILHELMI

IN THE COUNTRY; COTTON GIN:
HISTORIC PRICES MAY HAVE RENEWED COTTON'S PLACE AMONG THE CROP PRODUCTION ELITE. YET THIS CASH CROP IS EVERYWEHRE, FOUND IN CLOTHING, UPHOLSTERY EVEN FOOD AND MONEY. HIGH PRICES OR NOT, RESEARCH ON COTTON PRODUCTION CONTINUES ACROSS THE COUNTRY. IN TENNESSEE A DECADES OLD MACHINE IS MAKING THAT WORK MORE EFFICIENT. GINGER TRICE FROM THE UT INSTITUTE OF AGRICULTURE REPORTS. THANKS GINGER. IN THE PAST TENNESSEE HAD PRODUCED MORE THAN A HALF MILLION ACRES OF COTTON. IN RECENT YEARS, ITS BEEN A LITTLE MORE THAN HALF OF THAT. STILL TO COME ON FOOD AND YOUR FAMILY, FOOD CONTAINER SIZES ARE DOWN BUT PRICES ARE STEADY...WE'LL TELL YOU WHAT IT MEANS..COMING UP.

SPROUTS:
IN FOOD AND YOUR FAMILY, A MIDWEST-BASED SANDWICH SHOP IS RECALLING ALFALFA SPROUTS THEY USE ON THEIR MENU. JIMMY JOHNS USES SPROUTS FROM AN ORGANIC GROWER IN ILLINOIS. THE CENTERS FOR DISEASE CONTROL HAS LINKED THOSE SPROUTS TO AN OUTBREAK OF SALMONELLA. SO FAR, 112 PEOPLE HAVE GOTTEN ILL, IN 18 STATES.

FOOD CONTAINERS:
AS WE TOLD YOU EARLIER THIS WEEK WORLD FOOD PRICES ROSE 25% LAST YEAR. IN THE U.S., THEY WERE UP ABOUT 1.5%, ACCORDING TO THE AG DEPARTMENT. WHILE PRICES AT THE GROCERY STORE ARE RELATIVELY STABLE, ACCORDING TO CONSUMER REPORTS PACKAGE SIZES ARE SHRINKING. FOOD RETAILERS ARE SHRINKING THE SIZE OF WHAT YOU BUY, REDUCING WEIGHT, INDENTING THE BOTTOM OF CONTAINERS OR WHIPPING IN AIR...ALL IN AN EFFORT TO KEEP PRICES DOWN. FOR INSTANCE A HALF GALLON OF TROPICANA IS NOT 64 OUNCES, ITS 59...KRAFT SINGLES CHEESE IS MISSING TWO SLICES, AND HAAGEN DAZS ICE CREAM ISN'T SELLING A 16 OUNCE PINT...THE CONTAINER NOW HOLDS 14 OUNCES.

CONTACT PAGE:
WE'D LOVE TO HEAR FROM YOU! CONTACT US AT 800-792-4329. OR DROP AN EMAIL TO INFO@AGDAY.COM . YOU CAN ALSO CHECK US OUT ON SOME OF THAT NEW TECHNOLOGY, AT WWW.FACEBOOK.COM/AGDAY .

 

 

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