USFR Weekly Recap - October 25-26, 2014, 2014, 2014, 2014

October 25, 2014 03:30 AM
 

TODAY ON USFR
OCTOBER 25-26, 2014

HEADLINES:
WELCOME TO U.S. FARM REPORT. I'M TYNE MORGAN, AND HERE'S WHAT WE'RE WORKING ON FOR YOU. ECONOMIC SHIFT... IN OUR FARM JOURNAL REPORT, THE DYANMICS IN AGRICULTURE ARE CHANGING." GRAIN PRICES ARE DOWN ABOUT 30 PERCENT FROM THIS TIME LAST YEAR SO THAT'S SPILLING OVER INTO THE AG SECTOR," HOW THAT'S BLEEDING OVER INTO EQUIPMENT SALES. REMEMBERING THE PAST, AMERICAN COUNTRYSIDE TAKES US TO A SMALL INDIANA TOWN WHERE THE RAILWAY IS COMING BACK TO LIFE. TRAVEL USED TO BE PART OF THE OCCASION, NOT JUST THE DESTINATION. AND FROM THE FARM...JOHN PHIPPS TRIES TO EXPLAIN HOW MAKING AMENDS WITH BRAZIL OVER COTTON IS BAD POLICY.
CANADA CHEESE:
THE LABELING LAW COULD ALSO HURT U-S DAIRY PRODUCTS.OUR PARTNERS AT DAIRY TODAY SAY IF CANADA DOES IMPOSE RETALITORY TARRIFFS ON THE U.S. IT COULD PUT A STOP TO U.S. CHEESE SHIPMENTS TO THAT COUNTRY. THE U.S. DAIRY EXPORT FEDERATION SAYS CHEESES TYPICALLY SHIPPED TO CANADA IN THE AMOUNT OF 20 MILLION POUNDS A YEAR ARE ON THE RETALIATION LIST. IT'S ROUGHLY 3 PERCENT OF U.S. CHEESE EXPORTS.
MILK PRICES:
HERE AT HOME, MILK PRICES ARE STARTING TO RETREAT OFF RECENT HIGHS. UNIVERSITY OF WIISCONSIN EXTENSION'S BOB CROPP DAIRY EXPORTS HAVE SOFTENED. IN ADDITION, MILK PRODUCTION CONTINUES TO RAMP UP. COPP SAYS THIS WILL SHOW UP IN MILK COMMODITY PRICES HE PROJECTS CLASS 3 MILK TO DROPS  TO 19.50 BY DECEMBER. THAT PRICE WAS $24.60 JUST LAST MONTH…
BRAZIL PRODUCTION:
SOUTH AMERICA'S CROP COULD ALREADY BE IN TROUBLE. PROFARMER SOUTH AMERICAN CROP CONSULTANT DR. MICHAEL CORONNIER LOWERED HIS BRAZIL SOYBEAN PRODUCTION BY 1 MILLION METRIC TONNES, NOW SITTING AT 94 MILLION. BUT HE RAISED THE ARGENTINE SOYBEAN FORECAST TO 56 MILLION METROC TONNES. CORDONNIER SAYS HE DOESN'T WANT TO GET TOO NEGATIVE THIS YEAR, BUT THE HOT AND DRY CONDITIONS ARE DEFINITLY CHANGING HIS OPINION OF THIS YEAR'S CROP.
CANADIAN WHEAT:
CANADIAN FARMERS JUST CAN'T CATCH A BREAK, ESPEICALLY NEAR CALGARY.  AND NOW CANADA'S AG AGENCY PROJECTS DURUM WHEAT HARVEST TO HIT A 13 YEAR LOW THIS YEAR. THE PLANTING SEASON GOT OFF TO A WET START. THEN IT TURNED OFF DRY THIS SUMMER. AND NOW, A RECENT SNOWSTORM BLASTED THROUGH, LEAVING A LARGE NUMBER OF DURUM WHEAT ACRES FROZEN AND FLAT ON TEH GROUND. NOT ONLY WILL YIELDS BE IMPACTED, BUT QUALITY OF THE GRAIN.
CROP PROGRESS:
FALL WEATHER HASN'T BEEN COOPERATING WITH HARVEST THIS YEAR. CORN HARVEST IS STILL 22 POINTS BEHIND AVERAGE, WITH 31 PERCENT OF THE CROP OUT OF THE GROUND.
SOYBEAN HARVEST LAGS BY 13 PERCENT, NOW JUST OVER HALF OF THAT CROP IS OUT OF THE FIELD. COTTON HARVEST…HOWEVER IS ALMOST ON TRACK. NEARLY A THIRD OF THAT CROP HAS BEEN HARVESTED.
PITCH TO MIKE:
THOSE ARE THE HEADLINES...METEOROLOGIST MIKE HOFFMAN IS NOW HERE FOR THE WEATHER. MIKE, A LOT OF FARMERS TRIED TO PLAY CATCH UP THIS WEEK THANKS TO SOME SUNSHINE.
TEASE ONE:
THANKS, MIKE.CHINA SEEMED TO BE BUYING THIS WEEK. BUT WILL IT LAST? ANGIE MAGUIRE AND MATT BENNETT ARE HERE TO WEIGH IN AFTER THE BREAK.
JOHN’S WORLD PITCH:
WE TOLD YOU ABOUT BRAZIL AND THE U-S FINALLY MAKING AMENDS AFTER YEARS OF DISPUTE OVER COTTON. BUT WHAT DO THE DETAILS ALL MEAN? JOHN PHIPPS JOINS US NOW FROM HIS FARM TO ANSWER THAT QUESTION. JOHN.
JOHN’S WORLD:
WE HAVE A SOGGY BREAK IN THE ACTION HERE, SO I HAD A CHANCE TO CATCH UP ON RECENT DEVELOPMENTS OF NOTE IN AGRICULTURE. HERE'S A CURIOUS ONE. THE U-S JUST AGREED TO PAY BRAZIL $300 MILLION DOLLARS TO ESSENTIALLY STOP BUGGING US ABOUT OUR COTTON SUBSIDIES. IT IS HARD NOT TO CHARACTERIZE THIS SETTLEMENT AS ANYTHING OTHER THAN HUSH MONEY. BRAZIL WON A WTO CASE AGAINST THE U-S, WHICH RULED OUR COTTON SUBSIDIES VIOLATED TRADE RULES. WE AGREED TO PAY THEM 147 MILLION DOLLARS PER YEAR IN COMPENSATION. I HAVEN'T BEEN ABLE TO FIND OUT IF THAT IS INCLUDED IN THE COST OF THE FARM PROGRAM, BUT I SUSPECT NOT. EVIDENTLY THIS GOT TIRESOME, SO OUR NEGOTIATORS OFFERED THEM A ONE TIME PAYMENT OF 300 MILLION TO JUST GO AWAY. AT LEAST UNTIL 2018... I'M WITH THE TEA PARTY ON THIS ISSUE. THIS IS VERY BAD POLICY. ESSENTIALLY WE ARE SAYING WE CAN SIMPLY BRIBE OUR WAY OUT OF INTERNATIONAL TRADE RULES, SOMETHING I'M SURE THAT WOULD INFURIATE US IF ANOTHER COUNTRY LIKE CHINA TRIED IT. THIS ACTION SEVERELY UNDERCUTS WTO AUTHORITY, SINCE ITS OWN RULES ARE SUPPOSED TO OUTLAW SIDE DEALS THAT VIOLATE PUBLIC JUSTICE. THE EXPENSE IS BREATHTAKING. SINCE THE RULING WAS HANDED DOWN, COTTON PRODUCERS ESSENTIALLY WILL BE GIVEN AN ADDITIONAL HALF-BILLION DOLLARS IN GOVERNMENT FUNDS VIA THIS PAYOFF - ABOUT 50 DOLLARS PER ACRE OF COTTON. WE WILL ALSO BE SUBSIDIZING OUR OWN COMPETITORS. WORST OF ALL, THIS MARKET DISTORTING PAYOUT ADDS EVEN GREATER BURDENS TO POOR COTTON FARMERS IN THIRD WORLD COUNTRIES LIKE CHAD AND BURKINA FASO. I KNOW THERE IS SCANT SYMPATHY HERE FOR THAT PROBLEM, BUT I THINK IT IS PRETTY DARN EMBARRASSING WHEN AMERICAN PRODUCERS NEED ECONOMIC PROTECTION FROM SUBSISTENCE FARMERS IN THE POOREST COUNTRIES IN THE WORLD.  AND THIS MAY NOT BE THE END. BRAZIL CAN REEVALUATE THE SITUATION IN 2018 AND ASK FOR ANOTHER PAYOFF WHEN THE CURRENT FARM PROGRAM ENDS. I'M BETTING THEY'LL COME BACK FOR MORE. I WOULD.
TAG & CLOSE:
YOU CAN ALSO WEIGH IN BY SENDING AN EMAIL TO JOHN, MAILBAG AT U-S FARM REPORT DOT COM, OR SENDING HIM A NOTE ON FACEBOOK AND TWITTER. STILL TO COME, LOWER COMMODITY PRICES ARE PINCHING WALLETS ALL ACROSS THE COUNTRY. WE'LL TELL YOU WHAT TYPE OF SALES ARE HURTING THE MOST.
HEADLINES:
WELCOME BACK TO U.S. FARM REPORT - I'M TYNE MORGAN. HERE'S WHAT'S AHEAD. IN OUR "FARM JOURNAL REPORT,” DIFFERENT DYNAMICS IN AGRICULTURE...WE'LL TELL YOU HOW IT'S BLEEDING OVER INTO THE RURAL ECONOMY. IN AMERICAN COUNTRYSIDE, REVIVING THE RAILROAD, REMINDING PASSENGERS OF THE PAST... IN CUSTOMER SUPPORT…GETTING TECHNICAL WITH THE MARKETS... JOHN PHIPPS BREAKS DOWN HOW MUCH OF THIS YEAR'S CROP IS HEDGED. AND IN TRACTOR TALES - WE'LL SHOW YOU A CLASSIC JOHN DEERE THAT'S APPEALING TO ITS OWNER BECAUSE OF THE NOISE IT MAKES. U.S. FARM REPORT - BROUGHT TO YOU BY THE ALL-NEW CHEVY SILVERADO... 2014 NORTH AMERICAN TRUCK OF THE YEAR…
FERTILIZER USE:
NOW FOR THE HEADLINES, MANY FARMERS ARE TOO WORRIED ABOUT GETTING THIS YEAR'S CROP OUT OF THE FIELD. AND THAT MEANS PURCHASING FERTILIZER IS TEH LAST THING ON THEIR MINDS.
FERTILIZER MERGER:
A GIANT FERTILZER MERGER HAS FALLEN THROUGH. C-F INDUSTRIES AND YARA CONFIRMED MERGER TALKS HAVE ENDED.SOME SPECULATORS SAY THE MAIN REASON IS BECAUSE OF THE NORWEGIAN'S GOVERNMENT'S THREAT TO CUT ITS LARGE STAKE IN YARA'S SHARES.
RURAL BROADBAND:
THE U-S AG DEPARTMENT SAYS IT TRYING TO HELP INCREASE RURAL BROADBAND AND INFRASTRUCTURE, AND IT'S DOING SO WITH FUNDING.THIS WEEK, USDA SAID IT'S GIVING OVER 190 MILLION DOLLARS IN GRANTS AN DLOANS TO MAKE IMPROVEMENTS. THAT INCLUDES 25 PROGRAMS IN 19 STATES. A PORTION OF THE FUNDING IS PART OF THE NEW FARM BILL.
MCDONALDS ORGANIC:
THE U-S AG DEPARTMENT SAYS IT TRYING TO HELP INCREASE RURAL BROADBAND AND INFRASTRUCTURE.AND IT'S DOING SO WITH FUNDING.THIS WEEK, USDA SAID IT'S GIVING OVER 190 MILLION DOLLARS IN GRANTS AN DLOANS TO MAKE IMPROVEMENTS. THAT INCLUDES 25 PROGRAMS IN 19 STATES. A PORTION OF THE FUNDING IS PART OF THE NEW FARM BILL.
COLORADO LABELING:
THE U-S AG DEPARTMENT SAYS IT TRYING TO HELP INCREASE RURAL BROADBAND AND INFRASTRUCTURE. AND IT'S DOING SO WITH FUNDING. THIS WEEK, USDA SAID IT'S GIVING OVER 190 MILLION DOLLARS IN GRANTS AND LOANS TO MAKE IMPROVEMENTS.  THAT INCLUDES 25 PROGRAMS IN 19 STATES. A PORTION OF THE FUNDING IS PART OF THE NEW FARM BILL.
FARMERS ALMANAC:
WINTER WEATHER FORECASTS HAVE BEEN ALL OVER THE BOARD THIS YEAR, AND THE OLD FARMERS' ALMANAC'S PREDICTION ADS TO IT. THEIR WEATHER MAP INDICATES THE EASTERN CORN BELT, AS WELL AS PORTIONS OF THE MID-SOUTH AND SOUTHWEST WILL BE COLD AND SNOWY. PREDICTIONS SHOW THE WESTERN CORN BELT WILL ALSO BE COLD, BUT DRY. LIKE MANY OTHER FORECASTS, THE FARMER'S ALMANAC THINKS THE WEST WILL CONTINUE TO BE WARM AND DRY, EXCEPT FOR A SMALL POCKET IN NORTHERN CALIFORNIA THAT COULD END UP BEING SOGGY.
WEATHER PITCH:
THAT'S IT FOR NEWS...NOW IT'S TIME FOR WEATHER. MIKE, HOW LONG UNTIL WE GET YOUR WINTER FORECAST.

FARM JOURNAL REPORT:
THANKS MIKE. THE DYNAMICS IN AGRICULTURE HAVE SHIFTED OVER THE PAST YEAR. LIVESTOCK FARMERS ARE ENJOYING HIGHER VALUED COMMODITIES, COUPLED WITH LOWER FEED COSTS. GRAIN FARMERS, ON THE OTHERHAND, ARE COMING OFF WHAT SOME MAY CLAIM TO BE THE GLORY YEARS. IN THIS FARM JOURNAL REPORT, NATIONAL REPORTER BETSY JIBBEN EXPLAINS HOW THE DROP IN GRAIN PRICES IS BLEEDING OVER INTO THE RURAL ECONOMY.
CUSTOMER SERVICE REPORT TEAM:

WHEN WE COME BACK, WE'RE OFF TO JOHN'S FARM WHERE HE BREAKS DOWN A SUBJECT THAT'S PRETTY COMPLEX.
CUSTOMER SUPPORT:
WELCOME BACK.EACH WEEK, I SIT DOWN WITH OUR MARKETING ANALYSTS TO TALK ABOUT THE FUTURES MARKET AND GET INSIGHT ON WHERE IT'S GOING. WE ALSO GET THEIR BEST GUESSES ON WHAT FARMERS ARE DOING.WE HAVE A VIEWER THAT WANTS TO GET INTO FARMERS' HEADS AND MARKETING DECISIONS EVEN MORE. SO, WHO BETTER TO ANSWER THAN JOHN PHIPPS. JOHN,
TEASE:
GOOD EXPLANATION AND VISUALS. THANKS, JOHN. IF YOU HAVE A QUESTION FOR JOHN, PLEASE SEND THOSE TO MAILBAG AT U-S FARM REPORT DOT COM.  WHEN WE COME BACK, ANDREW MACRAE TAKES US TO SOME HISTORIC HOOSIER TRACKS REMINDING PEOPLE OF THE ENJOYABLE WAY TRAVEL USED TO BE.
AMERICAN COUNTRYSIDE TRAIN:
FOR MOST OF US, RIDING THE TRAIN TO GET WHERE WE NEED TO GO IS SIMPLY NOT AN OPTION. MANY OLD RAIL LINES HAVE BEEN ABANDONED AND PASSENGER TRAVEL BY TRAIN IS RESERVED FOR A FEW SELECT ROUTES TODAY. BUT ON THIS EDITION OF THE AMERICAN COUNTRYSIDE, ANDREW MCCREA TAKES US TO A PLACE WHERE THE OLD RAIL LINE IS COMING BACK TO LIFE, BRINING IT WITH IT A WEALTH OF STORIES FROM THE GLORY DAYS OF RAILROADS.
TEASE:
WHEN WE COME BACK, AL PELL IS HERE WITH TRACTOR TALES. SO, DON'T GO ANYWHERE.
TRACTOR TALES:
WELCOME BACK TO TRACTOR TALES. IN CASE YOU MISSED LAST WEEK'S SHOW, JOHN PHIPPS MADE A BIG ANNOUNCEMENT. HE'S GIVING AWAY A TRACTOR TO ONE LUCKY VIEWER. NO, REALLY. IT'S AN ALLIS CHALMERS WD-45 HANDED DOWN FROM HIS FATHER. IF YOU WANT TO GET YOUR HANDS ON THIS BEAUTY, AND PROMISE TO RESTORE IT, JUST SEND AN E-MAIL TO JOHN, AND IN 50 WORDS OR LESS, TELL HIM WHY. TEH DEADLIEN IS NOVEMBER 8. WE'LL ANNOUNCE THE WINNER NOVEMBER 15TH.
CHURCH SALUTE:
TODAY'S COUNTRY CHURCH SALUTE GOES TO THE SALEM CENTER PRESBYTERIAN CHURCH OF SALEM CENTER, INDIANA. ESTABLISHED IN 1839, THE CHURCH IS GOING 175 YEARS STRONG. THE FIRST CHURCH WAS BUILT IN 1841, CONSTRUCTED OF BLACK WALNUT AND POPLAR LOGS. IN 1928, THE PRESBYTERIANS BOUGHT THE METHODIST CHURCH IN TOWN. AND TODAY'S CHURCH, FEATURES A FOUR-STOP PIPE ORGAN BEHIND THE ALTAR AND PULPIT. OUR THANKS TO RUTH HUGHES BEER FOR SHARING THEIR STORY...

 

 

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