AgDay Daily Recap -March 18, 2014

UKRAINE MARKETS:

GOOD MORNING I'M CLINTON GRIFFITHS. U-S GRAIN MARKETS SHOWED LITTLE REACTION MONDAY DESPITE TENSION IN THE CRIMEAN REGION, WHICH VOTED TO RE-JOIN RUSSIA.

SOUTH KOREA TRADE:

IT'S BEEN TWO YEARS SINCE A FREE TRADE AGREEMENT BETWEEN THE U-S AND SOUTH KOREA CAME INTO FORCE. BUT THE ASIAN NATION STILL HASN'T FULLY COMPLIED WITH THE F-T-A. AND THAT LACK OF COMPLIANCE COULD IMPACT SOUTH KOREA'S ACCEPTANCE INTO ANOTHER MAJOR TRADE PACT. A SENIOR U-S OFFICIAL SAYS SOUTH KOREA WILL NOT BE WELCOMED INTO THE MUCH-LARGER TRANS-PACIFIC PARTNERSHIP UNTIL ALL PROBLEMS ARE RESOLVED. ACCORDING TO THE UN-NAMED OFFICIAL THERE ARE STILL PROBLEMS WITH CUSTOMS REGULATIONS AND AUTO SHIPMENTS. THE T-P-P INVOLVES THE U-S, EUROPE AND ELEVEN PACIFIC NATIONS. SOUTH KOREA IS THE FIFTH LARGEST EXPORT MARKET FOR U-S AGRICULTURAL PRODUCTS.

FOOD AND AGRICULTURE POLICY RESEARCH:

ECONOMISTS AT THE FOOD AND AGRICULTURAL POLICY RESEARCH INSTITUTE - BETTER KNOWN AS 'FAPRI' - SAY FARMERS SHOULD GET USE TO FOUR DOLLAR CORN FOR THE NEXT DECADE. FAPRI GENERATES AN ANNUAL REPORT FOR CONGRESS. THEIR NUMBER CRUNCHERS SAY DUE TO BIGGER CROPS IN 2013 GRAIN PRICES AND GRAIN FARMER INCOMES WILL BE LOWER. THE ECONOMISTS SEE NET FARM INCOME DROPPING 24% FROM LAST YEAR. THEY ALSO EXPECT A FOUR MILLION ACRE DECLINE IN CORN THIS SPRING.
OF COURSE, LIVESTOCK PRODUCERS WILL BENEFIT FROM THE PROJECTED LOWER FEED COSTS.

WATER RIGHTS BILL:

THE HOUSE OF REPRESENTATIVES PASSED THE WATER RIGHTS PROTECTION ACT THURSDAY THE LEGISLATION PROHIBITS THE SECRETARY OF THE INTERIOR AND THE USDA FROM REQUIRING THE TRANSFER OF WATER RIGHTS WITHOUT ADEQUATE AND JUST COMPENSATION. ADDITIONALLY, IT SUPPORTS LONG-ESTABLISHED STATE WATER LAWS - CLARIFYING THAT THE FEDERAL GOVERNMENT DOES NOT HAVE JURISDICTION.

STOCK POND:

MEANWHILE A FAMILY IN WYOMING HAS SOME WASHINGTON LEADERS SPEAKING UP AFTER BEING TOLD BY EPA THEY FACE A 75-THOUSAND DOLLAR A DAY FINE FOR BUILDING A STOCK POND. EPA SAYS HE BUILT A DAM ON A CREEK WITHOUT A PERMIT.  WHILE THE OWNER, ANDY JOHNSON SAYS HE BUILT A STOCK POND WHICH IS EXHEMPT FROM THE CLEAN WATER ACT.
JOHNSON SAYS HE'LL FIGHT THE ORDER.

PORK DEMAND:

LEAN HOG FUTURES CONTINUED THEIR PARABOLIC CLIMB...MONDAY. APRIL CONTRACTS UP TO 121-65 WHILE JUNE IS CLOSING IN ON 131...BOTH CONTRACTS UP MORE THAN TWO DOLLARS ON THE DAY. THIS IS INSPITE OF NEW SLAUGHTER NUMBERS SHOWING AMPLE SUPPLIES IN FEBRUARY. THE PRICING RUN CONTINUES TO HANG ON CHALLENGES ASSOCIATED WITH PORCINE EPIDEMIC DIARRHEA VIRUS. THE PORK CHECKOFF SAYS IT EXPECTS THE NUMBER OF PEDV CASES TO START DECLINING THIS SUMMER.

WINTER RECAP:

WHILE EAST OF THE MISSISSIPPI RIVER AND MUCH OF THE UPPER MIDWEST EXPERIENCED HEAVY SNOW FALL THIS WINTER, THE NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION SAYS THE WINTER SEASON - OVERALL - WAS DRIER THAN AVERAGE. NOAA ALSO SAYS IT WAS COLDER.

SPRING OUTLOOK:

IT'S GOING TO BE TOO DRY IN SOME PARTS OF THE COUNTRY, TOO WET IN OTHER PARTS AND JUST RIGHT IN SOME PLACES. SO SAYS U-S DEPARTMENT OF AGRICULTURE METEOROLOGIST BRAD RIPPEY IN HIS SPRING FORECAST.

EASTERN SNOW:

SPRING IS TWO DAYS AWAY. BUT FOLKS ALONG THE EAST COAST AND MID-ATLANTIC MAY NOT BELIEVE IT AFTER SEVERAL INCHES OF SNOW FELL ON MONDAY. THE FEDERAL GOVERNMENT WAS CLOSED AGAIN. THE LATE WINTER BLAST SURPRISED RESIDENTS.

MILK PRICES:

IN OUR DAIRY TODAY REPORT, MILK PRICES CONTINUE TO HOLD IN RECORD TERRITORY.
MARCH CLASS THREE PRICES TRADED NEAR 23-50 AT THE CHICAGO BOARD OF TRADE.

YOGURT HEALTH:

ALSO IN A OUR DAIRY TODAY REPORT, THE DANNON COMPANY SAYS IT MAKING A COMMITMENT TO IMPROVE THE NUTRITION OF ITS YOGURT BY 2016. ITS PLANNING TO IMPROVE THE NUTRIENT DENSITY BY 10% INCULDING REDUCING THE AMOUNT OF SUGAR USED. IT'S ALSO PLANNING TO CUT FAT...MAKING 75% OF ITS PRODUCTS LOW FAT OR FAT FREE. ITS ALL PART OF PROJECT CALLED THE PARTNERSHIP FOR A HEALTHIER AMERICA.

DAIRY TODAY:

IN NEW ZEALAND, DAIRY POWER HOUSE FONTERRA IS BEING CHARGED BY THE COUNTRY'S MINISTRY FOR PRIMARY INDUSTRIES. IT CENTER'S AROUND A BOTULISM SCARE LAST SUMMER. THE DAIRY COOPERATIVE RECALLED WHEY PROTEIN CONCENTRATE IT SUSPECTED OF BEING CONTAMINATED. BEVERAGES, INFANT FORMULA AND OTHER SUPPLEMENTS ALL HAD TO BE RECALLED...MOSTLY IN PACIFIC RIM COUNTRIES. FURTHER TESTING FOUND THE BACTERIA WAS NOT A FOOD SAFETY THREAT. THE CHARGES ALLEGE FONTERRA WAS SLOW TO RESPOND AND SHARE INFORMATION. FONTERRA SAYS IT COOPERATING WITH FURTHER INVESTIGATIONS RELATED TO THE INCIDENT.

ANALYSIS:

EXPORT SALES OF U.S. GRAINS TO CHINA HAVE BEEN STRONG THIS MARKETING YEAR.
IN FACT, USDA'S LATEST WASDE REPORT PEGGED SOYBEAN EXPORTS AT 1 POINT 5-3 BILLION BUSHELS. A NEW EXPORT RECORD. BUT CAN IT HOLD? FARM DIRECTOR AL PELL TAKES A LOOK AT SOME NEW DEVELOPMENTS IN CHINA THAT COULD HAVE ENOROUS IMPACTS HERE AT HOME.

BIN SAFETY:

UNFORTUATELY ITS NOT UNCOMMON STORIES LIKE THE ONE EARLIER THIS MONTH WHEN A NEBRASKA FARMER WAS KILLED IN A GRAIN BIN ACCIDENT. IN A SEPARATE INCIDENT A SOUTHEAST MISSOURI MAN NARROWLY ESCAPED DEATH. AS MANY FARMERS KNOW, FLOWING GRAIN CAN ACT LIKE QUICKSAND. UNIVERSITY OF MISSOURI EXTENSION SAFETY SPECIALISTS URGE FARMERS TO BE CAREFUL WHEN EMPTYING GRAINS BINS.
KENT FADDIS HAS MORE.

BAGGED SALAD:

IF YOU HAVE A BAG A SALAD IN THE FRIDGE YOU MAY WANT CHECK THE BRAND. DOLE FRESH VEGETABLES IS RECALING FOUR VARIETIES OF BAGGED SALAD IT SENT TO 15 STATES.

COLLEGE FOOD PANTRY:

NO DOUBT MANY OF US REMEMBER THE RAMEN AND MACCARRONI DAYS OF COLLEGE.