AgDay Daily Recap - October 12, 2010

October 12, 2010 10:15 AM
 

TODAY ON AGDAY:
OCTOBER 12, 2010

CROP PROGRESS:
ON MONDAY, USDA CELEBRATED COLUMBUS DAY. THAT MEANS THE REGULAR WEEKLY CROP PROGRESS REPORT DID NOT COME-OUT. THAT DATA WILL BE RELEASED LATER TODAY. OF COURSE, THE MARKET IS STILL TALKING ABOUT LAST WEEKS REPORT THAT SAW A SIZEABLE DROP IN CORN PRODUCTION. THE AG DEPARTMENT LOWERED ITS YIELD AND PRODUCTION FIGURES FOR THIS YEARS CORN CROP. THE AVERAGE YIELD WAS SLASHED BY SEVEN BUSHELS FROM ITS SEPTEMBER FORECAST. PRODUCTION IS PEGGED AT 12.7 ILLION BUSHELS. USDA'S ESTIMATES WERE BELOW THE LOW-END OF ALL THE MARKET FORECASTERS. THAT SENT PRICES SURGING. AT THE OPENING BELL ON MONDAY, CORN FUTURES WERE UP 40-CENTS. BUT THEY SETTLED BACK DOWN. AT THE CLOSING DECEMBER FUTURES WERE 27.5 CENTS HIGHER. LATER IN AGRIBUSINESS, JIM BOWER TELLS US HOW LONG HE THINKS THE VOLATILITY WILL LAST. PLUS, GARY WILHELMI DISCUSSES THE IMPACT ON BEEF PRODUCERS.

DAKOTA SUNFLOWERS:
THE DRY WEATHER IS ALSO ALLOWING NORTH DAKOTA SUNFLOWER GROWERS MAKE BIG GAINS WITH THAT HARVEST. NICK DREYER FROM AFFILIATE KMOT-TV HAS DETAILS.

SUNFLOWER EXPORTS:
MEANWHILE, THE DROUGHT THAT HURT RUSSIA'S WHEAT CROP MAY ALSO TURN THAT COUNTRY INTO A LARGE IMPORTER OF SUNFLOWER SEED. ACCORDING TO WWW.AGRIMONEY.COM , U.S. OFFICIALS SLASHED THE ESTIMATE OF THIS YEARS CROP IN RUSSIA BY TEN PERCENT. IN ADDITION TO THE DROUGHT DAMAGE TO SUNFLOWERS, THE COUNTRY HAS ALSO BEEN INCREASING ITS CRUSHING CAPACITY IN RECENT YEARS. THE SHORTFALL OF THE OIL SEED MEANS RUSSIA'S CRUSHING PLANTS ARE LOOKING FOR GRAIN STOCKS. AGRIMONEY SAYS SOME CRUSHERS MAY GET IMPORTS FROM UKRAINE WHERE THS SUMMER DROUGHT HIT LESS HARD.

STATE BY STATE:
HERE ARE TODAY'S AGRICULTURAL HEADLINES, STATE BY STATE.  IN MASSACHUSETTS CRANBERRY GROWERS SAY THEY'RE ONLY EXPECTING AN AVERAGE CROP THIS YEAR. LATE SUMMER HEAT AND DRY WEATHER ARE REDUCING YIELDS. USDA IS FORCASTING 1.95 MILLION BARRELS--DOWN FROM THE 2008 RECORD OF 2.4 MILLION BARRELS. MASSACHUSETTS IS THE NATIONS SECOND LARGEST PRODUCER OF CRANBERRIES BEHIND WISCONSIN. ALSO IN MASSACHUSETTS AN ICON OF HIGHER LEARNING IS GETTING INTO THE DAIRY BUSINESS. HARVARD UNIVERISITY'S ENDOWMENT FUND IS MOVING AHEAD WITH THE PURCHASE OF A 4-THOUSAND ACRE DAIRY FARM IN NEW ZELAND. THE 6,000 HEAD OPERATION WAS BOUGHT AT A LIQUIDATION SALE. THE SCHOOL HOPES TO CAPITALIZE ON THE NEAR 21 MILLION DOLLAR INVESTMENT AFTER A GLOBAL RECESSION AND DECLINING SALES FORCED THE DAIRY TO SELL OUT. AND CASPER WYOMING IS NOW HOME TO ONE OF THE COUNTRIES NEWEST WIND FARMS. THE 110 TURBINE FARM IS CAPABLE OF GENERATING ENOUGH POWER FOR 60,000 HOMES. NORTH CAROLINA BASED, DUKE ENERGY SAYS ITS INVESTED MORE THAN ONE BILLION DOLLARS IN WIND ENERGY PROJECTS SINCE 2007.

BEEF OUTLOOK:
IN AGRIBUSINESS HIGHER GRAIN PRICES MAY LEAD TO INCREASING PRICES AT THE MEAT COUNTER. MEAT PRICES ARE UP 14% THIS YEAR AND CORN PRICES--A KEY INGREDIENT IN FEEDING OPERATIONS-- ARE MORE THAN 70% ABOVE THE 10 YEAR AVERAGE. THAT HAS RETAIL COSTS AT THEIR HIGHEST LEVELS IN NEARLY 3 DECADES. THE RUN UP IN PRICES IS A RESULT OF REDUCED SUPPLY. IN JULY THE US CATTLE HERD WAS THE SMALLEST IT HAS BEEN SINCE 1973, AND BREEDING HOGS ARE NEAR ALL TIME LOWS. INDUSTRY RESEARCHER CATTLEFAX, SAYS U.S. PER-CAPITA BEEF SUPPLIES WILL BE AT THEIR LOWEST POINT SINCE SINGIN IN THE RAIN AND HIGH NOON WERE AT THE PICTURE SHOW...THAT WAS 1952--PORK SUPPLIES WILL BE AT THEIR SMALLEST SINCE 1976. ANALYSTS SAY THE SMALLER HERD AND HIGHER GRAIN COSTS ARE AFFECTING WHAT SHOWS UP AT THE SLAUGHTER HOUSE.

ANALYSIS:
JIM BOWER

YOUNG CALIFORNIA FARMERS:
THE SHORTAGE OF YOUNG FARMERS IN THIS COUNTRY IS NO SURPRISE. THAT'S ONE OF THE REASONS OUR PARENT COMPANY AT FARM JOURNAL STARTED THE "LEGACY PROJECT". WE HOPE TO MAKE THE PROCESS OF TRANSITIONING THE FARM TO THE NEXT GENERATION A BIT EASIER. IN THIS REPORT PROVIDED BY CALIFORNIA COUNTRY T.V., WE MEET TWO YOUNG FARMERS WHO LOVE WORKING THE LAND AND GROWING CROPS...AND THEIR PATH TO THE FARM WAS FAR FROM TYPICAL.
WHEN AGDAY CONTINUES, SEE HOW TOWN FOLKS ARE GETTING FARM-FRESH EGGS BY WALKING OUT THEIR OWN BACK DOOR. FOOD AND YOUR FAMILY IS NEXT.

RESTAURANT BIZ:
WHILE MANY FAMILIES CONTINUE TO STRUGGLE IN THIS ECONOMY, IT APPEARS MORE OF THEM ARE SLOWLY STARTING TO VISIT RESTAURANTS AGAIN. DETAILS IN FOOD AND YOUR FAMILY. DURING LAST WEEK'S NATIONAL CHICKEN COUNCIL CONFERENCE, ONE ANALYST SAID "THE WORST IS OVER" WHEN IT COMES TO THE RECESSION-DRIVEN SLUMP IN RESTAURANT SALES. IN THE THIRD QUARTER OF 2010, RESTAURANT SALES BOUNCED BACK ON THE POSITIVE SIDE OF THE LEDGER AFTER FIVE STRAIGHT QUARTERS OF DECLINE. ACCORDING TO REPORT ON WEBSITE WWW.MEATPOULTRY.COM , 39 LEADING RESTAURANT CHAINS REPORTED SALES WERE 3% HIGHER. EVEN THOUGH RESTAURANT BUSINESS MAY BE BOUNCING BACK, ATTENDEES AT THE CONFERENCE WERE TOLD MICROWAVE USAGE IN AT-HOME MEAL PREPARATION CONTINUES TO INCREASE, ALONG WITH USAGE OF FROZEN FOOD IN THE MAIN DISH. STOVETOP PREPARATION HAS DECLINED.

CHICKENS AND EGGS:
IF YOU ATE EGGS LAST FRIDAY, CONGRATULATIONS ON PARTICIPATING IN WORLD EGG DAY. THE EVENT IS HELD EVERY YEAR ON THE SECOND FRIDAY OF OCTOBER. THIS EGGS-CELLENT DAY IS TO PROMOTE THE HEALTH AND BENEFITS OF THOSE TASTY OVALS. BUT IF YOU ASK THE CACKLE HATCHERY IN SPRINGFIELD MSSOURI ABOUT PROMOTION, THEY'LL TELL YOU DEMAND IS ALREADY HIGH. THE HATCHERY BREAKS OUT BETWEEN 150 TO 170 THOUSAND BIRDS A WEEK. MOST YEARS, ONCE OCTOBER HITS, THE HATCHING HAULTS. USUALLY PEOPLE AREN'T RAISING CHICKS THROUGH THE WINTER. THIS YEAR, THE CACKLE HATCHERY IS BREAKING THAT TREND. ITS PHONE IS RINGING OFF THE HOOK. THEY SAY THE RECENT HALF BILLION EGG RECALL WAS A WAKEUP CALL FOR CUSTOMERS. THE HATCHERY ATTRIBUTES THE INCREASED DEMAND TO HEALTH CONCERNS AFTER THE RECALL, AND NEW BACKYARD CHICKEN ORDINANCES AROUND THE COUNTRY.  MANY OF THESE SAY CHICKENS INSIDE CITY LIMITS ARE OKAY AS LONG AS IT’S A LIMITED NUMBER AND THEY'RE ALL HENS. NO ROOSTERS ALLOWED.

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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