AgDay Daily Recap - June15, 2011

June 15, 2011 06:13 AM
 

TODAY ON AGDAY:
JUNE 15, 2011

DUELING ETHANOL BILLS:
GOOD MORNING. TOPPING OUR NEWS, CORN FUTURES DROPPED SHARPLY TUESDAY ON FEARS THAT ETHANOL POLICIES MAY BE CHANGING AND IMPACTING GRAIN DEMAND. TWO DUELING BILLS ARE BEFORE THE U.S. SENATE THAT WOULD IMPACT THE ETHANOL BLENDERS CREDIT. THE SENATE VOTED 59-TO-40 TO REJECT SENATOR TOM COBURN'S AMENDMENT WHICH WOULD HAVE REPEALED THE ETHANOL BLENDER'S TAX CREDIT, KNOWN AS VEETC. 60 VOTES WERE NEEDED FOR PASSAGE. A SECOND COMPETING BILL WAS INTRODUCED MONDAY. IT HAS SUPPORT OF PRO-ETHANOL GROUPS, INCLUDING THE NATIONAL CORN GROWERS ASSOCIATION. ACCORDING TO OUR REPORTING PARTNERS AT PRO FARMER, THIS MEASURE WOULD OFFER A THREE-YEAR BRIDGE THAT TIES THE SUBSIDIES TO THE PRICE OF CRUDE OIL. THIS MEASURE WOULD ALSO MAKE MONEY AVAILABLE TO EXPAND THE ETHANOL INFRASTRUCTURE, BY INSTALLING MORE THAN 50,000 BLENDER FUEL PUMPS.

MANAGING MARKET VOLATILITY ROOK:
WHETHER IT’S POLICY CHANGES IN WASHINGTON OR NATURAL DISASTERS, LIKE FLOODING, THE MARKET REACTS QUICKLY. JUST LAST WEEK, USDA LOWERED ITS FORECAST OF CORN PLANTINGS BY 1.5 MILLION ACRES. THAT REDUCTION WAS CAUSED, IN PART, BY FLOODING ALONG THE MISSISSIPPI AND MISSOURI RIVERS. THIS IS ALL JUST ADDING TO THE VIOLENT PRICE SWINGS IN THE GRAIN MARKETS. SO HOW CAN FARMERS TAKE ADVANTAGE OF THE HIGH PRICES AND MAKE A PROFIT, BUT STILL MANAGE THEIR RISK. AGDAY REGIONAL REPORTER MICHELLE ROOK HAS ADVICE FROM FARMERS AND MARKET EXPERTS. MARKET ANALYSTS SAY WITH SO MANY ACRES IN QUESTION, THEY EXPECT PRICE SWINGS IN THE GRAIN MARKET TO CONTINUE AT LEAST UNTIL THE JUNE 30TH ACREAGE REPORT IS RELEASED FROM USDA. EVEN THEN, SINCE THE SURVEYS ARE BEING TAKEN RIGHT NOW, USDA MAY HAVE TO RE-SURVEY LIKE THEY DID LAST YEAR.

PORK FTA:
PORK PRODUCERS ARE ALSO WAITING ON WASHINGTON TO APPROVE THREE FREE TRADE AGREEMENTS...EARLY ANALYSIS PREDICTS AN INCREASE OF 11 DOLLARS PER HEAD FOR SWINE PRODUCERS. LAST WEEK AT THE WORLD PORK EXPO TRADE WAS A HOT TOPIC. VISITORS FROM MORE THAN 30 COUNTRIES INCLUDING CHINA WHERE ON HAND. CHINA JUST REOPENED MARKETS FOR U.S. PORK AFTER A NEAR 2 YEAR BAN BECAUSE OF THE H1N1 OUTBREAK. THAT WAS COSTING AMERICAN PORK PRODUCERS ABOUT 12 MILLION DOLLARS A YEAR. EVEN AS CHINA REOPENS IT'S NOT THE ONLY BIG POTENTIAL MARKET IN ASIA.

WORLD PORK PROMO:
AND BE SURE TO JOIN US THIS FRIDAY FOR A SPECIAL EDITION OF AGDAY FROM THE WORLD PORK EXPO IN DES MOINES. WE'LL TAKE A LOOK AT THE ISSUES FACING THE PORK INDUSTRY, GET ANALYSIS ON THE CURRENT MARKET SITUTATION AND LEARN A THING OR TWO ON THE GRILL. THAT'S THIS FRIDAY ON AGDAY.

MM TRACTOR SALES:
N MACHINERY MINUTE...SALES OF LARGE TRACTORS CONTINUE TO BE STRONG...BUT OVERALL SALES ARE DOWN FOR THE YEAR. THE LATEST REPORT FROM THE ASSOCIATION OF EQUIPMENT MANUFACTURERS, SHOWS PURCHASES OF TRACTORS WITH FOUR WHEEL DRIVE INCREASED 18% LAST MONTH YEAR OVER YEAR. THE AEM FLASH REPORT SHOWS SALES OF ALL TRACTORS IN THE U.S., FOR MAY OF THIS YEAR, IS DOWN 6% COMPARED TO MAY OF LAST YEAR. SO FAR IN 2011 ABOUT 69,500 TRACTORS HAVE BEEN SOLD. LAST YEAR IT WAS JUST OVER 70,000. HOWEVER, FOR THE YEAR, SALES OF FOUR WHEEL DRIVE TRACTORS ARE UP 16% WHILE COMBINE SALES ARE UP 25%.

ANALYSIS:
MIKE NORTH

IN THE COUNTRY; SPAWNING DRUM:
CAPTIVE REPRODUCTION CAN BE A TRICKY BUSINESS FOR SOME SPECIES OF FISH. BUT ITS NECESSARY SCIENCE, AS IT CAN HELP INSURE FUTURE GENERATIONS OF THOSE PARTICULAR BREEDS. AT THE LSU AGCENTER IN LOUISIANA, AQUACULTURE RESEARCHERS ARE FOCUSING THEIR ATTENTION ON TWO - - THE ALLIGATOR GAR AND THE FRESHWATER DRUM. IN THIS REPORT PROVIDED BY LSU, TOBIE BLANCHARD SHOWS US THE WET AND WILD EFFORTS TO PROTECT THESE FISH. IN OTHER AQUACULTURE NEWS FROM LSU, RESEARCHERS SAY THE RECENT FLOODING OF THE MISSISSIPPI RIVER MAY CREATE PROBLEMS - - AND OPPORTUNITIES - - WITH ASIAN CARP. THAT STORY, NEXT, IN FOOD AND YOUR FAMILY.

DIRTY DOZEN:
A NATIONAL TRADE GROUP REPRESENTING APPLE GROWERS SAYS THEIR PRODUCT IS SAFE AND DOES NOT BELONG ON A "DIRTY DOZEN" LIST. DETAILS IN FOOD AND YOUR FAMILY. A LIBERAL FOOD WATCH-DOG GROUP, CALLED THE ENVIRONMENTAL WORKING GROUP, RELEASED ITS ANNUAL LIST OF PRODUCE TREATED WITH PESTICIDES. THE GROUP CALLS IT THEIR "DIRTY DOZEN". TOPPING THEIR LIST THIS YEAR - APPLES. EWG SAYS IT BASED THE ANALYSIS ON DATA PROVIDED BY USDA. THE GROUP SUPPORTS A PRO-ORGANIC PLATFORM, SAYING PESTICIDES WERE PRESENT IN 98% OF THE 700-APPLE SAMPLE. FOR ITS PART, THE U.S. APPLE ASSOCIATION SAYS OVERALL PESTICIDE RESIDUALS ARE BELOW THE TOLERANCES SET BY EPA. IN ITS NEWS RELEASE, E-W-G SAYS ORGANIC IS THE BEST CHOICE. BUT IN LIGHT OF THE DEADLY E-COLI OUTBREAK IN EUROPE, CONNECTED TO ORGANIC GROWERS, DOES THAT IMPACT THEIR MESSAGE. WE'D LIKE TO HEAR FROM YOU. EMAIL YOUR COMMENTS TO THE INBOX. THE ADDRESS IS INBOX@AGDAY.COM .

ASIAN CARP:
WHEN THE CORPS OF ENGINEERS OPENED A SPILLWAY IN LOUISIANA TO PREVENT URBAN FLOODING, IT MAY HAVE CREATED SOME NEW CHALLENGES FOR NATIVE FISH IN A POPULAR LAKE. YOU MAY HAVE SEEN SIMILAR VIDEO FOOTAGE BEFORE, AS ASIAN CARP JUMP FROM THE WATER. SCIENTISTS ARE CONCERNED THE AGGRESSIVE FISH MAY HAVE ENDED-UP IN LAKE PONTCHARTRAIN, AFTER THE MORGANZA SPILLWAY WAS OPENED. THE CORPS OF ENGINEERS OPENED THE FLOODGATES TO REDUCE PRESSURE ON BATON ROUGE AND NEW ORLEANS. THE INVASIVE SPECIES HAS A VORACIOUS APPETITE. THEY CAN ROB NATIVE FISH OF VEGETATION. ON THE OTHER SIDE, HOWEVER, LSU SAYS ASIAN CARP ARE TASTY TO EAT. THE SCHOOL SAYS THERE IS A MARKET FOR THE FLYING FISH.

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

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