AgDay Daily Recap - March 21, 2011

March 21, 2011 02:42 AM
 

TODAY ON AGDAY:
MARCH 21, 2011

JAPAN PORK
U-S PORK PRODUCERS HAVE JOINED FORCES WITH THE U.S. MEAT EXPORT FEDERATION TO PROVIDE PORK FOR VICTIMS OF THE MASSIVE EARTHQUAKE AND TSUNAMI THAT STRUCK JAPAN. FOOD SHORTAGES ARE EXPECTED TO LAST INTO THE SUMMER MONTHS. THE NATIONAL PORK BOARD HAS ALLOCATED 100-THOUSAND DOLLARS FROM THE PORK CHECKOFF TO PROVIDE PORK PRODUCT AND TO HELP GET IT DISTRIBUTED. USMEF, WHICH REPRESENTS THE U.S. MEAT INDUSTRY, WILL WORK WITH U-S PORK PACKERS AND OTHERS WHO HAVE ESTABLISHED DISTRIBUTION NETWORKS IN JAPAN TO MAKE SURE THE FOOD GETS TO THOSE WHO NEED IT. THE NATIONAL PORK BOARD SAYS THE GOAL IS TO PROVIDE FOOD THAT REQUIRES LITTLE OR NO PREPARATION - SUCH AS PRE-MADE BOX LUNCHES. IN RECENT YEARS, JAPAN HAS BEEN THE TOP EXPORT CUSTOMER FOR U-S PORK. ACCORDING TO THE NATIONAL PORK PRODUCERS COUNCIL, JAPAN PURCHASED ONE-POINT-SIX BILLION DOLLARS WORTH OF U-S PORK LAST YEAR.

JAPAN CORN
NEW REPORTS COMING OUT OF JAPAN, ALSO THE WORLD'S LARGEST CORN IMPORTER, SAY THE COUNTRY IS CUTTING BACK ON ORDERS. PURCHASES OF THE GRAIN ARE BEING DELAYED AS OFFICIALS WORK TO ASSESS THE COUNTRIES NEEDS FOLLOWING THE NATURAL DISASTERS. MANY OF THE NATION'S NORTHEAST PORTS WERE DAMAGED AND UNLOADING OPERATIONS HAVE BEEN SUSPENDED. SHIPS ALREADY IN ROUTE ARE BEING REROUTED SOUTHWARD.

VEETC AMENDMENT
AN AMENDMENT HIT THE SENATE LAST WEEK SEEKING THE REPEAL OF THE VOLUMETRIC ETHANOL EXCISE TAX CREDIT ALSO KNOWN AS VEETC. IF PASSED IT WOULD END THE CREDIT IMMEDIATELY. THE AMENDMENT WAS FILED BY OKLAHOMA SENATOR TOM COBURN AS PART OF THE SMALL BUSINESS REAUTHORIZATION BILL.
THAT HAS BIO-FUEL ADVOCATES CALLING ON LAWMAKERS TO IGNORE WHAT THEY CALL AN UNFAIR POLICY. THE NATIONAL CORN GROWER'S ASSOICATION IS ASKING WHY ETHANOL IS BEING SINGLED OUT WHEN TAX CREDITS TO OIL AND GAS INDUSTRIES REMAIN UNTOUCHED. THEY SAY REPEALING THE TAX CREDIT WOULD CUT ETHANOL PRODUCTION BY NEARLY 40 PERCENT. THE RENEWABLE FUELS ASSOCIATION SAYS IT'S A MATTER OF NATIONAL SECURITY. QUOTING HERE: "AMERICA'S ECONOMY AND ITS ENERGY POLICY SHOULD NOT BE AT THE MERCY OF THE WHIMS OF DICTATORS AND THOSE WHO MAY NOT FULLY APPRECIATE THE VALUE OF DOMESTIC RENEWABLE FUELS. WE SHOULD BE INVESTING IN ALL RENEWABLE FUEL TECHNOLOGIES TO GIVE AMERICA MORE CONTROL OVER ITS ENERGY FUTURE."
USDA AG SECRETARY TOM VILSACK HAS SAID THE ETHANOL INDUSTRY DESERVES A CHANCE TO MATURE. HE EXPECTS THE FUTURE TO INCLUDE EVERYTHING FROM BIO-MASS TO WOODY WASTE TO GARBAGE EVEN ANIMAL WASTE. AND ITS CUTTING EDGE TECHNOLOGY THAT HAS TO HAPPEN IN RURAL AMERICA.

WEED RESISTANCE
ACCORDING TO A NEW SURVEY, A MAJORITY OF FARMERS NOW SAY THEY RECOGNIZE THE PROBLEM OF WEED RESISTANCE. BUT THEY'RE NOT SO SURE THEIR NEIGHBORS DO. THIS INFORMATION FROM A SURVEY DONE AT THE 2011 COMMODITY CLASSIC...DUPONT WAS THE SPONSOR. IT FOUND MORE THAN 70 PERCENT OF GROWERS SAY THEY'RE DOING EVERYTHING THEY CAN TO CONTROL WEED RESISTANCE ON THEIR OWN OPERATIONS. HOWEVER ONLY 36 PERCENT FEEL OTHER GROWERS IN THEIR AREA ARE DOING THE SAME. FOR GROWERS LIKE MALCOM HAIGWOOD OF ARKANSAS, HERBICIDE RESISTANT WEEDS ARE ALREADY A PROBLEM. IKE MALCOLM MANY FARMERS SURVEYED AT COMMODITY CLASSIC SAY THEY'LL USE PRE OR POST-EMERGE RESIDUAL HERBICIDES TO COMBAT WEEDS. NEARLY 65 PERCENT OF RESPONDENTS SAY PREVENTING WEED RESISTANCE IS A TOP PRIORITY IN 2011.

CROP WATCH
LET'S GET YOUR FIRST GLANCE AT FARM COUNTRY WEATHER. MIKE HOFFMAN JOINS US FROM THE AGDAY WEATHER-CENTER. MIKE. THE WINTER WHEAT CROP IS GREENING UP WITH THE WARMER TEMPERATURES AS IT COMES OUT OF WINTER DORMANCY. BUT THE "NASS" OFFICE SAYS THE CROP IS STILL IN NEED OF ADDITIONAL MOISTURE. THE WINTER WHEAT IS 2 PERCENT JOINTED AS OF A WEEK AGO, BEHIND LAST YEAR AT 5 PERCENT AND THE 5-YEAR AVERAGE OF 3 PERCENT. A NEW CROP PROGRESS REPORT WILL COME OUT THIS AFTERNOON. MEANWHILE, USDA SAYS SOUTHEAST GEORGIA REMAINS IN EXTREME DROUGHT. THINGS ARE BETTER FURTHER NORTH IN THE STATE. A CROP REPORTER IN JEFFERSON COUNTY SAYS CORN PLANTING IS GETTING UNDERWAY. HE SAYS THE WHEAT CROP IS LOOKING GOOD AND PASTURES ARE IN PRETTY GOOD SHAPE.

TIRE RECALL
IF YOU DRIVE A NEWER FORD PICK-UP TRUCK, YOU MAY NEED TO LOOK AT THE TIRES.
CONTINENTAL TIRE SAYS IT WILL RECALL 390-THOUSAND TRUCK TIRES, MOST OF WHICH ARE USED AS ORIGINAL TIRES ON 2008-2009 FORD F-250 AND F-350 TRUCKS. THERE WAS A FATAL CRASH INVOLVING THE TIRES THIS PAST JANUARY. CONTINENTAL SAYS SOME OF THE TIRES COULD EXPERIENCE UNEVEN WEAR, VIBRATION OR SEPARATION BETWEEN THE BELT EDGES IN CASES WHERE THE TRUCK IS OVERLOADED OR UNDERINFLATED. HERE ARE THE NUMBERS TO LOOK FOR - - LT-275-70-R-18 125-122-S. THEY WERE PRODUCED BETWEEN MAY 2007 AND SEPTEMBER 2008. THE TIRES WILL BE REPLACED FREE OF CHARGE. OWNERS CAN CALL 888-799-2168 FOR MORE INFORMATION.

ANALYSIS: GREGG HUNT
IN AGRIBUSINESS... IF THE FORECAST IS TRUE, WE COULD SEE TIGHT SOYBEAN STOCKS NEXT YEAR. SOURCES TELL OUR PARTNERS AT PRO FARMER NEWSLETTER THAT INFORMA ECONOMICS IS FORECASTING A TWO MILLION ACRE DROP IN SOYBEAN PLANTINGS THIS SPRING. INFORMA IS EXPECTING U-S FARMERS WILL PLANT ONLY ABOUT 75-MILLION ACRES. IT'S ALSO EXPECTING A THREE-AND-A-HALF MILLION ACRE INCREASE IN CORN, TAKING ACREAGE TO 91-POINT-SEVEN MILLION ACRES. THE ANALYTICAL GROUP ALSO SEES A TWO MILLION ACRE INCREASE IN COTTON. AGDAY'S AL PELL TALKED WITH GREGG HUNT ABOUT THE IMPACT ON SOY.

ITC: CRAWFISH
IN LOUISIANNA AND ACROSS THE SOUTH, THE MARDI-GRAS CELEBRATIONS ARE OVER AND LENT HAS BEGUN. GENERALLY LENT AND CRAWFISH HARVEST HAPPEN ABOUT THE SAME TIME EVERY YEAR. THIS YEAR, BOTH ARE LATER THAN NORMAL. LSU AGCENTER CORRESPONDENT TOBIE BLANCHARD REPORTS THAT WEATHER HAS AFFECTED THE CRAWFISH CATCH, BUT WARMER TEMPERATURES SHOULD BRING A BETTER HARVEST. THANKS TOBIE. CRAWFISH SEASON PEAKS IN MARCH AND APRIL, BUT THEY GENERALLY ARE AVAILABLE IN TO THE SUMMER. SPEAKING OF FOOD, FARMERS ARE GETTING LESS OF YOUR FOOD DOLLARS. THAT STORY AND RISING PRICES NEXT ON FOOD AND YOUR FAMILY.

FOOD & YOUR FAMILY: FOOD DOLLAR
IN FOOD AND YOUR FAMILY THIS MORNING, HAVE YOU EVER WONDERED WHO'S BENEFITING FROM THE MONEY YOU SPEND ON GROCERIES? NEW CALCULATIONS FROM THE U.S.D.A SAY FARMERS AND AGRIBUSINESS GET LESS THAN 12 CENTS FROM EVERY DOLLAR. THAT'S ACTUALLY DOWN FROM PREVIOUS CALCULATIONS THAT PUT THE FARMER PAYOUT AROUND 20 CENTS. THE USDA SAYS THIS UNDERCUTS ARGUMENTS THAT FARM COMMODITY PRICES ARE DRIVING UP FOOD COSTS.
SO WHAT'S BEHIND THOSE GROCERY BILLS?
USDA SAYS LABOR COSTS FOLLOWED BY A COMBINATION OF FOOD PROCESSING, PACKAGING AND TRASPORTATION GET THE BIGGEST PIECES OF THE PRICE PIE.
THE BIGGEST VARIABLE COST CONTINUES TO BE TRANSPORTATION. ALSO, IF YOU EAT OUT--FARMERS GET EVEN LESS...JUST OVER THREE CENTS ON THE DOLLAR.

FOOD PRICES
AND FOOD PRICES IN THE U.S. AND AROUND THE WORLD CONTINUE TO RISE.
THE USDA SAYS PRICES MAY SURPASS THOSE SEEN DURING 2008. SEVERAL MAJOR FOOD MANUFACTURES NOW SAY THEY PLAN ON RAISING PRICES DUE TO HIGHER COMMODITY COSTS. AND USDA HAS RAISED ITS FOOD INFLATION PREDICTIONS TO 3-4 PERCENT. MANY AMERICANS SAY THEY'LL MANAGE THEIR FOOD BUDGET MORE CAREFULLY. THAT COMES FROM A RECENT SURVEY BY NPD GROUP. THE RESTAURANT INDUSTRY LOST NEARLY 2 AND HALF BILLION VISITS IN THE LAST TWO YEARS.

 

 

 

 



 


 

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