USFR Weekly Recap - April 1-2, 2017

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TODAY ON U.S. FARM REPORT
APRIL 1-2, 2017

HEADLINES
WELCOME TO U.S. FARM REPORT. I’M TYNE MORGAN, AND HERE’S WHAT WE’RE WORKING ON FOR YOU OVER THE NEXT 60 MINUTES. THE ACREAGE BATTLE SHAKING UP THE MARKETS, AS USDA GIVES US OUR FIRST LOOK AT HOW ACREAGE COULD PLAY OUT THIS YEAR. COTTON IS CAPTURING ATTENTION THIS YEAR, WITH ACRES EXPECTED TO CLIMB.. < THE PRICE OF COTTON IS STILL NOT A DRIVING POINT, BUT IT’S THE LESSER OF ALL THE EVILS> WHY ARE MORE FARMERS TURNING TO COTTON? THAT’S OUR FARM JOURNAL REPORT. AND ANDREW MCCREA TAKES US ON A TRIP TO TASTE SOME OF HTE FINEST CHOCOLATES IN TEH WORLD... MADE IN TEXAS. INSTEAD OF CANVAS AND PAINT IT WAS CHOCOLATEAND HIS ART IS MADE WITH ONLY FRESH AND LOCAL INGREDIENTS. AND IN JOHN’S WORLD “DATA SECURITY, HOW CONCERNED SHOULD WE BE?”

USDA REPORT
NOW FOR THE NEWS THAT MOVED THE MARKETS THIS WEEK, THE HIGHLY ANTICPATED USDA PLANTING INTENTIONS REPORT SHAKING UP THE MARKETS FRIDAY. USDA THINKS FARMERS WILL PLANT MORE CORN THAN SOYBEANS THIS YEAR. TEH PROSPECTIVE PLANTINGS REPORT POINTING TO 4 PERCENT LOWER CORN ACRES THSI YEAR, RIGHT AT 90 MILLION. SOYBEAN ACRES SEEING A MAJOR SHIFT, UP 7 PERCENT TO 89 POINT 5 MILLION ACRES. BUT IT’S COTTON THAT SEEMS TO BE THE SHINING STAR. USDA THINKS COTTON ACRES COULD LEAP 21 PERCENT THIS YEAR, TO HIT 12 POINT 2 MILLION ACRES. AND AS ANTICIPATED, USDA POINTING TO A DROP IN ALL WHEAT ACRES, WITH PLANTINGS PROJECTED AT 46.1 MILLION. THAT’S AN 8 PERCENT DROP AND THE LOWEST ACRES SINCE 1919. AND USDA HAD A DOUBLE WHAMMY FRIDAY, ALSO RELEASING GRAIN STOCKS SHOWING BEARISH NUMBERS WITH RISING STOCKPILES. USDA SAYS CORN STOCKS ARE 10 PERCENT HIGHER THAN A YEAR AGO. SOYBEAN STOCKS ARE UP 13 PERCENT FROM LAST YEAR. BUT STOCKPILES OF WHEAT LOOK MASSIVE, WITH A 21 PERCENT JUMP OVER 2016.

HOG AND PIG REPORT
THE NATION’S HOG HERD CONTINUES TO CLIMB, BUT IT APPEARS EXPANSION IS SLOWING. IN THE QUARTERLY HOGS AND PIGS REPORT OUT THURSDAY, USDA CONFIRMING THE HERD IS EXPANDING, WITH INVENTORY OF ALL HOGS AND PIGS HITTING 71 MILLION HEAD, THAT’S UP 4 PERCENT FROM LAST YEAR, BUT DOWN 1 PERCENT FROM WHEN USDA RELEASED THE LAST QUARTERLY REPORT IN DECEMBER. BREAKING IT DOWN, BREEDING INVENTORY NUMBERS ARE ONE PERCENT ABOVE A YEAR AGO AT JUST OVER 6 MILLION HEAD. AND MARKET HOG NUMBERS REACHING 64 POINT 9 MILLION HEAD, UP 4 PERCENT FROM LAST YEAR, BUT DOWN 1 PERCENT FROM LAST QUARTER.

BRAZIL MEAT
BRAZIL ORDERING THREE MORE FOOD PROCESSING PLANTS TO SUSPEND PRODCUTION THIS WEEK. THAT’S AS AN INVESTIGATION IS UNDERWAY ABOUT ALLEGED CORRUPTION IN BRAZIL’S MEAT INDUSTRY. BRAZIL IS THE WORLD’S LARGEST BEEF EXPORTER AND MEAT COMPANIES THERE ARE SUSPECTED OF BRIBING INSPECTORS AND POLITICIANS TO OVERLOOK UNSANITARY PRACTICES. BRAZIL ORDERING THE TEMPERORARY CLOSURE OF 6 OF THE 21 FOOD PROCESSING PLANTS UNDER INVESTIGATION BY POLICE. THIS IS HAPPENIGN HAS BRAZIL IS EXPERIENCING ITS WORST RECESSION ON RECORD.

PERU RAIN
AND IN PERU, HEAVY RAINS AND FLOODS IN PERU ARE MAKING LIFE PRETTY TOUGH FOR PEOPLE AND LIVESTOCK ALIKE. CATTLE RANCHERS ACCUSE THE GOVERNMENT OF NOT PROVIDING AID AND SUPPORT. IN ONE OF PERU’S MAJOR CATTLE RANCHING SECTORS, CATTLE COULD BE SEEN STANDING IN MUCKY WATERS AND THICK MUD. THE MILK PRODUCERS’ ASSOCIATION SAID THE STORMS HAVE AFFECTED 37 PERCENT OF DAIRY PRODUCERS IN PERU, INCLUDING CATTLE RANCHERS.

MEXICO NEW TRADE AGREEMENTS
MEXICO IS TRYING TO FIND NEW WAYS TO BUY CORN FROM OTHER MARKETS. THE LATEST IS WRITING NEW TRADE AGREEMENTS TO GIVE BRAZIL AND ARGENTINA DUTY-FREE ACCESS TO THE MEXICAN CORN MARKET. MEXICO IS THE WORLD’S BIGGEST BUYER OF U.S. CORN. THE COUNTRY CURRENTLY IMPORTS 98 PERCENT OF ITS CORN FROM THE U.S. AND TOTAL U.S. FARM SALES TO MEXICO WERE WORTH AN ESTIMATED $17 POINT 7 BILLION LAST YEAR.

WEATHER
THOSE ARE THE HEADLINES...METEOROLOGIST MIKE HOFFMAN JOINS US NOW WITH WEATHER... MIKE, SOME NICE RAIN SHOWS ACROSS MUCH OF THE COUNTRY THIS WEEK, INCLUDING IN AREAS THAT NEEDED THE MOISTURE. THANKS TYNE YEAH WE’VE HAD SOME DECENT RAINS AND WE HAVE SOME MORE AS WE HEAD INTO THIS WEEK WILL GET TO THAT MOMENT SO DROP MARTIN TAKES A WHILE THE CHANGE IN HIM SEE THE CURRENT ONE STILL SHOWING SOME OF THOSE AREAS OF DROUGHT IN THE SOUTHEAST IN THE SOUTH CENTRAL PLAINS THIS IS BACK A MONTH THAN SO LET ‘S SEE HOW IT HAS CHANGED OVER THAT LAST MONTH YOU CAN SEE SOME CHANGES HERE AND THERE THE YEAR THE AREA HAS EXPANDED A LITTLE BIT BUT SOME OF THE WORST AREAS OF THAT WILL BETTER AND I THINK WE WILL SEE THINGS IMPROVE OVER THE NEXT COUPLE OF DROUGHT MONITORS THE NEXT COUPLE OF WEEKS AND HERE ‘S WHY WE HAVE ANOTHER WET STORM SYSTEM MOVING THROUGH THE EASTERN THIRD OF THE COUNTRY IS WE START THIS COMING WEEK WITH A FAIR AMOUNT OF RAIN IN THE SOUTHEAST THIS COULD HAVE SEVERE WEATHER WITH THAT AS WELL SECONDARY STORM SYSTEM AND WILL BE DIVING INTO THE MIDDLE OF THE COUNTRY AS WELL THAT WILL BE CAUSING SOME RAIN AND MOUNTAIN SNOWS IN THE WESTERN SECTIONS BY WEDNESDAY THEN THAT FIRST SYSTEM IS ALREADY LONG GONE THE ONE OVER THE ROCKIES IS NOW MOVING THROUGH THE GREAT LAKES WITH A COLD FRONT DOWN INTO THE SOUTHEAST MORE SHOWERS AND MORE THUNDERSTORMS IN THE WARM SECTOR THERE AND A LITTLE BIT A CELL IN THE NORTHWEST FRIENDS THAT WE GET A BREAK LIKE THAT NOTHING GOING ON THIS STORM FINALLY MOVES AWAY BUT WE HAVE THIS ONE DIED IN OUT OF CANADA A LITTLE BIT OF A CHANGE IN THE WEATHER PATTERN WHICH MEANS SOME SNOW IN THE HIGHER ELEVATIONS OF THE APPALOACHIANS EVEN IN PARTS OF THE GREAT LAKES IS ME AND NEXT QUICK SHOT OF COLDER AIR A MIDDLE EAST IT SHUTS OFF THE MOISTURE FOR A WHILE. ANOTHER STORM SYSTEM DOES START TO MOVE INTO THE WEST COAST WAS SOME RAIN AND MOUNTAIN SNOWS OUT THERE BACK IN OUR NEXT HALF HOUR. THE LONGER RANGE FORECAST

TEASE
THANKS, MIKE. WELL, HOW COULD USDA’S FIRST ACREAGE REPORT SHAKE UP THE MARKETS? WE’LL DISCUSS WITH BRYAN DOHERTY AND DANNY O’BRIEN AFTER THE BREAK.

ROUNDTABLE 1
WELCOME BACK. A BIG REPORT WEEK THIS WEEK WITH THE ACREAGE REPORT COMING OUT AS WELL AS STOCKS. WE’LL BREAK IT ALL DOWN THIS WEEKEND WITH DAN OBRYAN AND BRIAN DOHRETY. TO RECAP USDA THINKS CORN ACRES WILL BE DOWN 4 PERCENT. SOYBEAN ACRES UP 7 PERCENT COTTON ACRES UP 21 PERCENT. JUST A BIG JUMP THERE. WHEAT ACRES DOWN 8 PERCENT. DAN WHEN YOU SEE THESE NUMBERS WHATS YOUR TAKEAWAY FROM THIS REPORT??? IT’S KINDA WHAT WE’RE ESXPECTING IN BEANS. THE MARKETS HAVE BEEN TRENDING LOWER OVER THE LAST MONTH HEADED INTO THE FIRST TWO WEEKS OF MARCH WE WERE BETWEEN $9.95 AND $10 IN NEW CROP. BUT WE WERE EXPECTING THIS MOVE AND WITH HIGHER PRODUCTION NUMBERS COMING OUT OF SOUTH AMERICA. THIS IS TO BE EXPECTED. WHAT’S A LITTLE BIT INTERESTING WAS THE REVERSION BACK TO THE AG OUTLOOK NUMBER IN CORN. THAT MAY ALSO HAVE A LOT TO DO WITH WHAT’S BEEN GOING ON IN THE LAST COUPLE OF WEEKS IN THE BEANS AND THE CORN AS WELL. SOME OF THE WEATHER ALSO. BRIAN THIS 90 MILLION ACRES IN CORN--IS THAT REALISTIC?? SURE. IT IS. BEANS, LETS START WITH INSURANCE RATE 1019. THAT ATTRACTS SOME BEAN ACRES FROM CORN FOR SURE. COTTON ACRES UP PULL SOME FROM CORN. SO 90 MILLION ACRES NOT A SURPRISE AT ALL. CORN’S CURRENTLY TRADING AT A LEVEL THAT REALLY DOESN’T EXCITE PRODUCERS AND IT DOESN’T EXCITE LENDERS. TO SEE SOME SHIFT TO BEANS, NO SURPRISE. OLD NEWS NOW SO THE MARKTET WILL START LOOKING AHEAD SO THE MARKET WILL START TO FOCUS ON WEATHER AS WELL AS OTHER VARIABLES THAT CAN COME INTO PLAY. ITS INTERESTING WHEN YOU LOOK AT THE CORN AND THE SOYBEAN AND THE ACREAGE NUMBER. IT’S PRETTY NECK AND NECK RIGHT NOW. WOULD YOU HAVE THOUGHT A YEAR AGO WE WOULD HAVE ACRES SO CLOSE TO EACH OTHER?? YOU ONLY GET THAT WHEN YOU HAVE A DISPIRITING BETWEEN BEAN PRICES AND CORN PRICES. SO IF YOU LOOK AT THE RATIO THAT IS IF YOU TAKE THE PRICE OF NOVMBER BEANS DIVIDE IT BY THE PRICE OF CORN, THAT’S BEEN TRADING AROUND 2.6, 2.62, SOMEWHERE IN THAT RANGE FOR THE LAST THREE OR FOUR MONTHS. THAT SHOULD BUY ACRES FROM CORN. TYPICALLY THAT RATIO IS ABOUT 2.45 OR HIGHER. SO YOU’VE GOT THAT ELEMENT. YOU’VE GOT OUTSTANDING DEMAND IN THESE MARKETS BUT BEAN DEMAND HAS BEEN EXCELLETNT SO FARMERS HAD GOOD SUCCESS WITH BEANS WITH PRODUCTION AS WELL. RECORD YIELD. I’M NOT SURPRISED TO SEE THAT SHIFT TOWARD MORE BEAN ACRES. DAN THIS IS JUST OUR REALLY FIRST TASTE OF THE ACREAGE NUMBER AND A LOT CAN CHANGE BETWEEN NOW AND WHEN PLANTING WRAPS UP IN THE COUNTRY. IS THERE ANY CAUTION FOR PRODUCERS WHEN YOU LOOK AT THESE NUMBERS THAT WERE RELEASED FRIDAY. DEFINITELY. I WAS DOING A LITTLE RESEARCH AND THE BEAN NUMBER CAN BE OFF BY 1.2 MILLION ACRES HISTORICALLY THAT’S BEEN ABOUT THE AVERAGE. THE CORN ABOUT 1.1 MILLION ACRES. DEPENDING ON THE WEATHER GOING FORWARD AND STUFF LIKE THAT, STUFF CAN CHANGE. THESE ESTIMATES ARE TAKEN IN THE FIRST TWO WEEKS OF MARCH. PRICE OF BEANS HAS DROPPED A GOOD 20 OR 30 CENTS SINCE THEN. CORN NOW HAS MOVED A LITTLE BIT HIGHER. GUYS ARE STILL MAKING DECISIONS. ALL OF A SUDDEN THAT RATIO HAS CHANGED A LITTLE BIT AND THAT CAN EFFECT DECSIONS IF GUYS ARE MORE TENDED TO STICKING TO A ROTATION AND THINKING THAT MAYBE IT MIGHT BE WORTH A SHOT TAKING CORN INSTEAD OF BEAN ACRES. BRIAN IF PROSPECTIVE PLANTSINGS WASN’T ENOUGH ON FRIDAY WE ALSO GOT THE STOCKS REPORT OUT OF USDA. IT SHOWS GROWING STOCKS IN ALL THE CATEGORIES. WHAT WERE YOUR MAJOR TAKEAWAYS FROM THAT??? THEY GREW A LITTLE BIT. IT WASN’T AN OVERWHELMING NUMBER BUT THEY ADDED ON A LITTLE BIT TO EACH. LITTLE DISAPPOINTED WITH THE EXPORT PACE THE WAY ITS BEEN THAT WE WERE HOPEFUL WE MIGHT SEE THAT CORN NUMBER REMAIN THE SAME OR REDUCED A LITTLE BIT BUT IF YOU ADD 30, 50 MILLION BUSHELS, WHAT’S REALLY IMPORTANT AT THIS TIME IS THE WEATHER MOVING FORWARD. FOR YOUR WATCHERS OUT THERE THAT ARE LIVESTOCK PRODUCERS, REALLY LOOK AT THE OPPROTUNITY TO SCORE LOW PRICE CORN BUY IT GET IT IN PLACE BECAUSE WE’VE GOT AN ENTIRE GROWING SEASON AHEAD OF US. THE CORN INDUSTRY IS UNDERWATER. IT’S NOT WORKING FOR PRODUCERS RIHGT NOW WHICH MEANS ITS A BARGAIN FOR END USERS. GET IT LOCKED IN. WE’VE GOT RECORD DEMAND. THE HANDWRITINGS ON THE WALL. THAT DOESNT MEAN PRICES HAVE TO RALLY BUT THE LAST TEN YEARS THE LOWEST HIGH IN JULY CORN HAS BEEN HAS BEEN $4.35. IF WE THINK ABOUT THAT, ANY WEATHER DISRUPTION WOULD LOWER CORN ACREREAGE NUMBER TODAY. IT CREATES A HEIGHTENED SENSE OF SENSITIVY THE SPRINGBOARD TO ALL OF THIS IS VERY GOOD DEMAND. THAT’S NOT CHANGING. THAT SHIP IS SAILING AND WILL CONTINUE TO SAIL UNTIL PRICES ARE HIGHER. YOU THINK CORN PRICES COULD MOVE HIGHER??? I DO I DO. OUR PROBABILITY STUDIES TELL US IT CAN. IT’S DOOM AND GLOOM RIGHT NOW BECAUSE WE HAD SUCH A BIG CROPLAST YEAR AND WE AHVE TO RECOGNIZE THAT 174 BUSHEL YIELD THAT BLOWS EVERYTHIGN OUT OF THE WATER. HISTORICALLY WE HAVEN’T BEEN ABLE TO BACK TO BACK RECORD YIELDS LIKE THAT. WEVE HAD 4 BIG CROPS IN A ROW. ANYTHING LESS THAN IDEAL WEATHER, WATCH THE FUNDS GO FROM HEAVY SHORT TO HEAVY LONG IN A SHORT PERIOD OF TIME. A LOT OF THINGS TO LOOK FOR ARE OUT THERE BUT END USERS SHOULD TAKE ADVANTAGE. WE THINK THERE’S LIMITED DOWNSIDE RISK FOR THE NEXT THREE TO FOUR MONTHS. IT SOUNDS LIKE SOME POSSIBLE OPPORTUNITIES THERE. DAN WHEN YOU LOOK AT ALL THESE REPORTS THAT COME OUT ON FRIDAY. WOULD YOU CALL IT BEARISH OR BULLISH WITH SOME OF THESE CROPS. I KNOW HOW MARKETS ENDED UP BUT WHAT WOULD YOU SAY??? ID CALL IT A LITTLE BIT FRIENDLY IN THE CORN AND WHAT’S INTERESTING IS THE FUNDS. THEY HAVE BEEN VERY FICKLE RECENTLY. THEY WENT IN THE CORN FROM LONG SOMEWHERE ALONG 80,000 IN THE LAST TWO WEEKS THEY FLIPPED THAT POSITION TO SHORT 100,000. THE RECORD SHORT POSITION IN CORN IS OVER 200,000. BUT I THINK IN THE SPRING WITH PRICES AT THIS LEVEL, I DONT KNOW HOW MUCH MORE YOU WANT TO CHASE AFTER A SHORT POSITION WITH A WHOLE GROWING SEASON AHEAD OF US. I THINK THESE FUNDS DIRECT THESE MARKETS AND SOMETIMES NOT REFLECTING THE FUNDAMENTALS. MIGHT BE EARLIER THIS YEAR. WE HAD THEM GOING AFTER CATTLE, COPPER, COTTON, SOYBEANS, ALL ON AN INFLATION PLAY AND SOMETHING OUTSIDE THE AGRICULTURE REALM THEY FLIPPED AND TURNED AROUND. IF THE UNDS DECIDE TO COME IN AND CHANGE THEIR TUNE I THINK YOU GOTTA BE READY TO TAKE ADVANTAGE OF THAT. WHEN WE GET TO GOOD LEVELS PROTECT THOSE PRICES WHEN THEY HAPPEN. DAN MENTINED COTTON COMING UP IN OUR SECOND HALF HOUR WE’RE FOCUSING ON COTTON AND WHY WE’RE SEEING A 21 PERCENT POSSIBLE BUMP IN ACRES THIS YEAR. AS THE GUYS MENTIONED, THIS REPORT IT’S OLD NEWS. WE’VE HEARD A LOT ABOUT WEATHER. SOUTH AMERICAN WEATHER, WEATHER HERE AT HOME. WE’LL TALK ABOUT THAT WHEN WE COME BACK ON US FARM REPORT SO DON’T GO ANYWHERE

ROUNDTABLE 2
WELCOME BACK. WE WERE TALKING THE REPORTS DURING OUR FIRST ROUNDTABLE. SO WEATHER. LETS SAY WE DON’T HAVE A LOT OF WEATHER HICCUPS. LETS SAY WE END UP WITH AT LEAST TRENDLINE YIELDS. WITH THIS ACREAGE NUMBER, HOW DOES THAT SHAKE THINGS UP AS FAR AS STOCKS??? I’LL TAKE THIS ONE. WHAT IT DOES, IF WERE TALKING ABOUT TRENDLINE YIELD IN CORN WE’LL HAVE LESS OF A CROP THAN LAST YEAR. IT WILL TIGHTEN UP CARRYOUT, BUT THE MARKET WILL VIEW THAT AS ADEQUATE. UNFORTUNATELY THAT PROBABLY MEANS LIMITED UPSIDE POTENTIAL. BUT THAT’S ONE SCENARIO. THERE’S ALL TYPES OF SCENARIOS THAY MAY PLAY OUT. TYPICALLY WE GET SOME ADVERSITY. MY SUGGESTION WOULD BE AS A PRODUCER RECOGNIZE THAT WITH THE STOCKS AND ACREAGE NUMBERS TODAY, WE’VE TIGHTENED THE NOOSE A LITTLE BIT. CORN PRICES MOVE UPWARD. YOU GOTTA BE PREPARED TO ACT. DON’T TURN BULLISH WHEN CORN HITS 4.10 OR 4.20 OR 4.30 IN DECEMBER. BE SELLING INTO THAT HIGH PROBABILTY WHEN THAT’S WHERE PRICES WILL PROBABLY LIKELY PEAK. WE WOULD SUGGEST LOW VOLATILITY PICK UP YOUR CALL OPTIONS SO YOU JUST SELL AGAINST THAT RALLY WITHOUT SECOND GUESSING IT. WE KEEP HEARING ABOUT A POSSIBLE WEATHER MARKET. WHEN WOULD THAT WEATHER MARKET HIT? WHEN COULD WE START SEEING WEATHER MOVE THESE MARKETS?? INITIALLY WE COULD AHVE THAT OVER THE NEXT FEW WEEKS. IF IT STAYS WET AND COOLER, THAT COULD DELAY GUYS FROM GETTING IN TO GET CORN PLANTED. BUT THEN I THINK YOU GOTTA WIAT TYPICALLY UNTIL SOMETIME IN MID JUNE AND HEADING TOWARDS JULY. LAST YEAR WE SAW THAT JUNE JULY TIME FRAME THAT JUNE TIMEFRAME IS WHEN WE SAW PRICES PEAK SO COULD WE HAVE A REPEAT THIS YEAR??? WE COULD. WE LOOKED AT RECORD YIELD, YEARS, AND THEN WE SAID WHAT HAPPENS THE YEAR AFTER? OVER 50 PERCENT OF THE TIME THE CORN MARKET PEAKS IN JUNE, JULY OR AUGUST. IF YOU THINK ABOUT IT, IT’S INTUITIVE. WE’RE CHEWING THROUGH SUPPLY AS WE GET LESS ON THE SUPPLY SIDE OF THE COIN AND MORE ON THE UNCERTAINTY TIME PRICES HAVE THE ABILITY TO MOVE UPQUICKER AND FASTER. BE PREPARED FOR THOSE RALLIES WHEN THEY COME. SPEAKING OF WEATHER AND RAIN IN SOUTH AMERICA THEY;VE BEEN GETTING SOME RAIN IN SOME AREAS DOWN THERE IS THAT IMPACTING HARVEST IN ANY WAYS? ARE WE STARTING TO SEE SOME HARVEST HICCUPS DOWN THERE? ITS SLOWING A SLIGHT BIT IN ARGENTINA AND THERE’ ABOUT 10 PERCENT OF THE AREA IS AT RISK FOR SOME FLOODING VUT I KNOW THEYRE LOOKING FOR A COUPLE OF WEEKS IN DRY WEATHER IN BRAZIL SO THEY ARE MOVING AHEAD REALLY FAST IN BRAZIL. I DON’T THINK THERE’S ANYTHING REAL THREATENING DOWN THERE RIGHT NOW. NOT ENOUGH TO REALLY TO MOVE OUR MARKETS AT THIS TIME???? WE HAD THAT EARLIER IN THIS YEAR, BUT THESE THINGS CAN CHANGE REAL QUICK. WE ALSO HAD A HOG AND PIG REPORT OUT THIS WEEK THAT SHOWED SOME MILD EXPANSION IN THE COUNTY. IS THAT BECAUSE WE’RE SEEING ADDITIONAL PORK PROCESSING PLANTS COME ONLINE AND GROWERS ARE EXPANDING IN RESPONSE TO THAT? OR IS IT SOMETHING ELSE THAT’S DRIVING THAT EXPANSION? I THINK IT’S TWO THINGS ONE IS THE INCREASED PACKER CAPICITY FOR SURE. THAT’S PART OF IT. BUT IT’S CHEAP GRAIN. IT’S CHEAP FEED. THIS IS A WINDOW OF TIME WHEN YOU LOOK AT THE RELATIVE PRICE OF CORN TO WHERE ITS BEEN THE LAST DECADE THIS IS CHEAP FOR HOG PRODUCERS TO BUY AND BUY LONG TERM FEED. THAT’S A HUGE INPUT TO THEIR BUSINESS SO THEY ARE EXPANDING FOR THOSE TWO REASONS. CAPACITY AND FEED. MILK PRICES. WE HAD SO MUCH HOPE GOING INTO 2017. PRICES AT THE END OF 2016 WE SAW SOME LIFE AND HERE WE SIT AND PRICES DO NOT LOOK AS GOOD AS WE HAD HOPED. NO BECAUSE OF DEMAND AND SUPPLY DRIVEN MARKET. WE’VE SEEN BOTH THIS YEAR. WE SAW REALLY GOOD DEMAND FOR CHEESE POP IN WE SAW SOME TAK ABOUT REDUCTION OF EUROPEAN PRODUCTION DUE TO LOW PRICES AND MILK PRICES RALLIED UP NICELY IN THE FALL. STABILIZED FOR TWO TO THREE MONTHS AND REALLY CAME UNDER PRESSURE WHEN DEMAND STARTED TO EB. THE OTHER SIDE OF THAT COIN IS AGAIN CHEAP FEED CHEAP GRAIN. DAIRY PRODUCERS ARE NOT HOLDING BACK LIKELLY TO SEE 2-2.5 PERCENT INCREASE IN PRODUCTION AGAIN THIS YEAR. THAT’S A LOT FOR THE MARKET TO ABSORB AFTER INCREASES LAST YEAR. WHAT ABOUT WORLDWIDE. WE HEARD PRODUCTION WAS GOING TO SLOW IN SOME OTHER COUNTRIES. IS THAT NOT HAPPENING?? IT EBBS AND FLOWS AND A LOT OF THAT IS WEATHER DRIVEN ESPECIALLY IN NEW ZEALAND DEPENDING ON RAINFALL TOTALS BUT I THINK WE TAKE A STEP BACK FURTHER. THE GOOD NEWS IS YOUVE GOT DEMAND MARKETS WORLDWIDE THAT ARE CONTINUING TO GROW AND BURGEON AND THAT’S WHERE THE SUPPORT EVENTUALLY WILL COME FROM. SO MUCH TO DIGEST THIS WEEK FROM ALL THE REPORTS AND ALL THE MARKET ACTION. BUT WE’LL WRAP IT OFF WITH A NICE BOW IN MARKETS NOW WHEN WE COME BACK ON US FARM REPORT.

MARKETS NOW
ADLIB

JOHN’S WORLD
DATA AND WHO CONTROLS ARE DATA HAS BEEN A CONCERN FOR SOME OF OUR VIEWERS FOR YEARS. JOHN PHIPPS HAS MORE IN THIS WEEK’S JOHN’S WORLD. AS FARMERS ADAPT MORE DATA-GENERATING TECHNOLOGY, SUCH AS MAPPING PROGRAMS FOR YIELDS, SOIL CHARACTERISTICS, AND A GROWING NUMBER OF OTHER USES, COMPANIES ARE SPRINGING UP TO HELP US EXTRACT USEFUL INFORMATION FROM THIS PILE OF DIGITAL RECORDS. IN ADDITION, WE’RE USING DATA MANAGEMENT TOOLS TO TRACK AND ANALYZE INCREASING AMOUNTS OF FINANCIAL INFORMATION. I HAVE SPOKEN BEFORE ABOUT PRODUCER CONCERNS ABOUT KEEPING THESE NUMBERS CONFIDENTIAL, ESPECIALLY AS WE COLLECT AND STORE THEM OFF-FARM VIA THE FAMED CLOUD. THAT WORRY IS STILL WITH US, BUT WE CAN NOW ANOTHER PRIVACY QUESTION THAT WILL AFFECT VIRTUALLY ALL OF US. LAST OCTOBER THE FEDERAL COMMUNICATIONS COMMISSION PROPOSED NEW RULES TOPREVENT CARRIERS LIKE VERIZON OR COMCAST FROM COLLECTING AND SELLING WITHOUT PERMISSION CUSTOMER INFORMATION ABOUT WHAT WEBSITES YOU VISIT, WHEN YOU VISIT, AND HOW LONG YOU SPEND THERE. AS YOU CAN IMAGINE THIS INFORMATION HAS CONSIDERABLE VALUE TO ADVERTISERS. WITH THE NEW ADMINISTRATION AND NEW FCC APPOINTEES, THOSE RULES HAVE BEEN CANCELLED, LEAVING CARRIERS ESSENTIALLY FREE TO MERCHANDISE YOUR INTERNET HABITS. THIS IS NOT A BIG DEAL TO THE MOST OF AMERICANS, ESPECIALLY IF THE DATA SURVEILLANCE IS SOMEHOW ADVOCATED AS A NECESSARY DEFENSE AGAINST TERRORISM, WHICH IS DEBATABLE. AND EVEN THOUGH WE HAVE LITTLE TRUST IN ONLINE SECURITY, THE PROBLEM IS TOO COMPLEX TO WARRANT THE WORK NEEDED TO GRAPPLE WITH IT. I DON’T HAVE MANY WORDS OF WISDOM HERE, OTHER THAN THE OBVIOUS ADVICE TO ASSUME YOUR INFORMATION IS AT RISK EVERY TIME YOU LOG ON, JUST LIKE YOU SHOULD ASSUME YOU ARE ON SOME VIDEO DEVICE ANYTIME YOU ARE IN PUBLIC. BUT I WILL SAY THIS: FARMERS ARE LIKELY FRETTING ABOUT THE SECURITY OF THE WRONG SET OF DATA FROM THEIR FARM. PERSONAL DATA PRIVACY SHOULD BE OUR TOP CONCERN. THANKS, JOHN.

TEASE
WELL, AS YOU SAW IN THE USDA PLANTING INTENTIONS REPORT, FARMERS IN THE SOUTH ARE HIGH ON COTTON THIS YEAR. WE’LL TELL YOU WHY AFTER THE BREAK.

HEADLINES
WELCOME BACK TO U-S FARM REPORT THIS WEEKEND. WE HAVE MUCH MORE AHEAD. ACRES OF COTTON COULD CLIMB THIS YEAR, SO WHY IS IT SUCH AN ENTICING CROP TO PLANT? THAT’S OUR FARM JOURNAL REPORT. THE ART OF MAKING CHOCOLATE IN THE MOST UNUSUAL PLACE...ANDREW MCCRAE TAKES US TO THE SWEET SPOT IN HICO, TEXAS. AND IN CUSTOMER SUPPORT, IT’S A CLEMENTINE CONUNUNDRUM.

WASHINGTON LEADERSHIP
NOW FOR THE HEADLINES, ANOTHER WEEK PASSES WITHOUT NEW USDA LEADERSHIP IN PLACE. BUT THANKS TO A SENATE AG COMMITTEE VOTE LATE IN THE WEEK, WE’RE NOW ONE STEP CLOSER TO HAVING A NEW SECRETARY OF AGRICULTURE. THE SENATE AG COMMITTEE VOTING IN FAVOR OF SUNNY PERDUE AS AG SECRETARY THURSDAY. THAT CONFIRMATION VOTE COMING A DAY LATER THAN EXPECTED DUE TO THE SENATE’S SCHEDULE. THE ONLY “NO VOTE” CAME FROM SENATOR KRISTEN GILLIBRAND OF NEW YORK. SONNY’S COUSIN, SENATOR DAVID PERDUE, VOTED PRESENT. PERDUE’S CONFIRMATION IS NOW ONTO THE FULL SENATE, BUT THAT COULD BE BACKLOGGED DUE TO THE HEATED DBEATE OVER SUPREME COURT NOMINEE NEIL GORSUCH. AFTER NEXT FRIDAY, TEH SENATE GOES ON RECESS FOR TWO WEEKS, RETURNING JUST BEFORE THE STOPBAP SPENDING BILL RUNS OUT ON APRIL 28TH.

FINANCIAL HEALTH OF FCA
AS FARMERS FACE ANOTHER YEAR OF LOWER COMMODITY PRICES, THE HOUSE AGRICULTURE COMMITTEE IS REVIEWING THE FINANCIAL HEALTH OF THE FARM CREDIT ADMINISTRATION. IN PREPERATION FOR THE NEXT FARM BILL, ON WEDNESDAY THE FARM CREDIT ADMINISTRATION FACED THE LAWMAKERS WHO WANT TO KNOW IF THE AGENCY IS FINANCIALLY SOUND AS FARM INCOMES CONTINUE TO DECLINE. DURING HIS TESTIMONY, DOUG STARK OF FARM CREDIT SERVICES TOLD LEGISLATORS THAT IT’S DURING THESE CHALLENGING TIMES THAT CAPITAL REQUIREMENTS OF THIS INDUSTRY REMAIN VIALBLE AND STRONG. STARK ALSO TELLING THE COMMITTEE THAT DUE TO COMPETITION IN THE MARKET PLACE, FARM CREDIT RATES REMAIN LOW AND SERVICE IS HIGH.

DOW-DUPONT MERGER UPDATE
THE MERGER OF DOW AND DUPONT TOOK A MAJOR STEP FORWARD THIS WEEK WHEN THE EUROPEAN UNION APPROVED THE PLAN. DOW AND DUPONT WERE ABLE TO OVERCOME REGULATORS’ CONCERNS WITH HEFTY CONCESSIONS, INCLUDING THE SALE OF LARGE PARTS OF DUPONT’S PESTICIDE BUSINESS. . THIS MERGER IS THE FIRST TO WIN E-U APPROVAL OUT OF A TRIO OF MEGA-DEALS THAT STANDS TO RESHAPE THE GLOBAL AG INDUSTRY. AS PART OF THAT APPROVAL, THE TWO COMPANIES FORCED TO SELL OFF SOME OF ITS BUSINESS. THE FIRST CAME FRIDAY, WHEN FMC ANNOUNCED IT’S ACUIRING A SIGNIFICANT PORTION OF DUPONT’S CROP PROTECTION BUSINESS. FMC WILL PAY DUPONT 1 POITN 2 BILLION DOLLARS FOR THE BUSINESS, AND IN RETURN, DUPONT WILL ACQUIRE FMC HEALTH AND NUTRITION’S BUSINESS. FMC IS BUYING GLOBAL CHEWING PEST INSECTICIDE PORTOFLIA, GLOBAL CEREAL BROADLEAF HERBICDES AND A PORTION OF DUPON’TS GLOBAL CROP PROTECTION RESEARCH. FMC SAYS THIS WILL MAKE THE COMPANY THE FIFTH LARGEST CRO PPROTECTION CHEMICAL COMPANY IN THE WORLD.

AVIAN FLU IN GEORGIA
THE STATE OF GEORGIA CONFIRMING ITS FIRST EVER CASE OF AVIAN FLU IN A COMMERCIAL POULTRY OPERATION. IT WAS A FLOCK OF 18,000 CHICKENS. THE STATE DEPARTMENT CONFIRMING BIRDS TESTED POSTIIVE FOR LOW PATCH H-7-N-9. ALL THOSE CHICKENS WERE THEN CULLED. GEORGIA IS THE TOP CHICKEN MEAT PRODUCING STATE IN THE COUNTRY. THE ENVIRONMENTAL PROTECTION AGENCY IS NOW LIMITED ON THE AMOUNT OF FARM DATA IT CAN RELEASE.

SETTLEMENT ON LIVESTOCK FARM INFORMATION
A FEDERAL JUDGE APPROVING A SETTLEMENT AGREEMENT THIS WEEK BETWEEN THE NATIONAL PORK PRODUCERS COUNCIL, THE AMERICAN FARM BUREAU AND THE FEDERAL EPA. IT LIMITS THE AMOUNT OF INFORMATION REGARDING LIVESTOCK FARMS THE AGENCY CAN RELEASE. NOW UDNER THE FREEDOM OF INFORAMTION ACT, THE AGENCY CAN ONLY RELEASE THE CITY, COUNTY AND ZIP CODE, ALONG WITH THE CLEAN WATER ACT PERMIT STATES OF A CONCENTRATED ANIMAL FEEDING OPERATION. THE AGREEMENT ALSO FORCES EPA TO CONDUCT TRAINING ON FOIA.

DROUGHT AND DROUGHT RELIEF
THE DROUGHT BUSTER WEATHER CALIFORNIA SAW THIS WINTER CONTINUES TO SHOW UP IN CALIFORNIA’S SNOWPACK SURVEY. THE LATEST MEASUREMENT TAKEN THIS WEEK SHOWS ELECTROIC READINGS FROM 95 SITES IN SIERRA NEVADA SHOW AN AVERAGE SNOW WATER EQUIVALENT IS 45 POINT 8 INCHES. THAT’S 164 PERCENT OF AVERAGE FOR THIS TIME OF YEAR. CALIFONRIA’S DEPARTMENT OF WATERS RESROUCES SAY ONCE THE SNOWPACK MELTS, IT SUPPLIES ABOUT 30 PERCEN TOF CALIFORNIA’S WATER NEEDS FOR SPRING AND SUMMER. BUT THE DEPARTMENT WARNS THE LINGERING EFFECTS OF DROUGHT ARE STILL PREVALENT, WITH GROUND WATER SUPPLIES SHORT INT EH CENTRAL VALLEY. MUCH NEEDED RAIN HITTING THE MAJORITY OF THE COUNTRY THIS WEEK. THAT MOISTURE SHOULD HELP EAT AWAY AT SOME OF THE DROUGHT PARKED ACROSS THE PLAINS AND MIDWEST. THE LATEST DROUGHT MONITOR SHOWING CONDITIONS IMPROVED ACROSS MISSOURI, KANSAS AND ARKANSAS. WHAT’S CONSIDERED MODERATE DROUGHT IN MISSOURI, OR THE TAN SHADE, IMRPOVING 19 POITNS IN A WEEK. THAT SAME CATEGORY IS NOW 18 POINTS BETTER IN COLORADO. BUT IN THE SOUTHEAST, THE YELLOW AREA, OR WHAT’S CONSIDERED ABNORMALLY DRY, JUMPED UP 14 POINTS THIS WEEK.

WEATHER
THAT’S IT FOR NEWS...METEOROLOGIST MIKE HOFFMAN JOINS US NOW WITH THE NATIONAL FORECAST. MIKE, THE 30 AND 90 DAY IS CRITICAL FOR MANY OF OUR VIEWERS GETTING READY TO PLANT. SO WHAT CAN YOU TELL US? BUT I KNOW THEY WERE LOOKING AT SOME WARMTH AND A GOOD CHUNK OF THE COUNTRY WILL GET TO THAT THE MINUTE YOU CAN SEE ARE CAR A WEATHER PATTERN EL DEFINITELY DOES ONE STORM SYSTEM AFTER ANOTHER THESE ARE SLOW MOVERS ALSO YOU SEE BY WEDNESDAY ANOTHER ONE MOVING INTO THE MIDDLE OF THE COUNTRY THAT BEGINS TO MOVE EAST AND HERE ‘S WHERE THE PATTERN MAY CHANGE AT LEAST TEMPORARILY WE HAD A FAIRLY GOOD TROUGH IN THE NORTHEAST FOR A WHILE A QUICK SHOT OF COLDER AIR BUT THEN WE KIND OF GOES ALL AS WE HEAD INTO NEXT WEEKEND SO INTERESTING WE MIGHT START TO SEE A CHANGE AS WE HEAD INTO THE MIDDLE OF APRIL HOWEVER APRIL CHAPTERS ON GOING ABOVE NORMAL FOR MOST OF THE EAST ALL THE WAY DOWN IN THE TEXAS BELOW NORMAL FOR THE PACIFIC NORTHWEST DOWN IN THE NEVADA FIRM A TEMPTERS ABOVE NORMAL FOR A ABOUT THE EASTERN THIRD OF THE COUNTRY ‘S ONGOING NEAR NORMAL FOR THE PLAIN STATES BECAUSE I THINK YOU’RE GONNA BE FAIRLY WET WHICH KEEPS TEMPERATURES DOWN AND THEN BELOW NORMAL TEMPERATURES IN THE PACIFIC NORTHWEST ABOVE NORMAL IN THE EAST IN JUNE AND IN THE FAR SOUTHWEST AS FAR AS PRECIPITATION FOR THE NINETY DAYS ABOVE NORMAL FOR MUCH OF THE CORN BELT IN THE NORTHWEST BELOW NORMAL WESTERN TEXAS AND PARTS OF THE FOUR CORNER REGION TYNE

FARM JOURNAL REPORT
THANKS, MIKE. WELL AS WE SHOWED YOU AT THE TOP OF THE SHOW, COTTON IS SEEING A BOOST THIS YEAR. USDA’S PROSPECTIVE PLANTINGS REPORT POINTING TO A WHOPPING 21 PERCENT BUMP IN ACRES, WITH UPLAND EXPECTED TO HIT 12 MILLION THIS YEAR. IN FEBRUARY, NATIONAL COTTON COUNCIL RELEASED FINDINGS FROM ITS OWN SURVEY, SHOWING A 9 POINT 4 PERCENT JUMP IN OVERALL ACRES. THIS IS A NICE CHANGE FROM THE MASS EXODUS OF ACRES COTTON SAW OVER THE PAST DECADE. SO, WHAT’S MAKING COTTON MORE OF A CASH CROP TO GROW THIS YEAR? THAT’S THIS WEEK’S FARM JOURNAL REPORT. THIS FIELD HERE, I SEE THE REMINANTS OF LAST YEAR’S COTTON CROP, WILL THIS BE IN COTTON AGAIN? IT WILL BE IN COTTON AGAIN THIS COMING YHEAR> COMO, MISSISSIPPI FARMER SLEDGE TAYLOR LOVES TO GROW COTTON. AND THIS YEAR, HE’S PLANTING 3500 ACRES, OR ABOUT A THIRD OF HIS CROP, IN WHAT WAS ONCE A STAPLE IN THIS AREA. <"WE’LL INCREASE THIS YEAR ABOUT 25 PERCENT OVER LAST YEAR, AND LAST YEAR WE INCRASED ABOUT 25 PERCEN TOVER THE PREVIOUS YEAR. SO WE’VE INCREASED ALMOST 50 PERCENT IN TWO YEARS.” > IT’S MORE THAN JUST TAYLOR JUMPING ON THE COTTON TRAIN THIS YEAR. <*27-30 “WERE 100 PERCENT COTTON AND HAVE BEEN FOR 20 YEARS"> NATIONAL COTTON COUNCIL’S FEBRUARY PLANTING INTENTIONS SURVEY SHOWING 12 STATES COULD SEE AN INCREASE IN UPLAND COTTON ACRES THIS YEAR. NATIONAL COTTON COUNCIL THINKS THE BIGGEST JUMP IN THE MID-SOUTH COULD BE IN MISSISSIPPI. <"THE BULK OF WHERE WE’LL SEE THE ACREAGE INCREASE IS IN THE NORTHERN PART OF THE STATE, FROM GREENWOOD, CLARKSDALE, TUNICA. I’M JUST HEARING SOUTH OF HIGHWAY 82, WE JUST WONT’ SEE AS BIG OF AN INCREASE."> BASED ON A GROWER SURVEY, NCC THINKS THE LARGEST SPIKE IN ACRAGE WILL SHOW UP IN THE WEST, WITH KANSAS SEEING A 42 PERCENT BUMP OVER LAST YEAR. < “KANSAS IN PARTICULAR, THER’ES NOT THAT MANY ACRSE. THEYR’E COMING OFF 25,000 TO 30,000 ACRES, THEY MAY GO UP TO AS HIGH AS 50,000. OKOLHOMA IS A LITTLE DIFFERENT STORY BECAUSE THEY PLANT A COUPLE HUNDRED THOUSAND ACRES, AND SOME OF THOSE MIGHT BE ADDING TO 300,000 OR MORE ACRES PLANTED THIS YEAR.” > PRICE IS PART OF THE EQUATION ENTICING FARMERS TO PLANT MORE COTTON. <"THIS YEAR, COMPETING CRPOS LIKE CORN, THE PRICE OF CORN IS SO LOW AND GOING LOWER EVERY DAY, THAT I DON’T WANT TO GROW MUCH CORN AT ALL. THE PRICE OF COTTON IS STILL NOT A DRIVING POINT, BUT IT’S THE LESSER OF ALL THE EVILS. " > < “LOOKING AT USDA PROJECTIONS, IT STILL SHOWS THAT WITH CURRENT FUTURES PRICES, WE’RE STILL NOT COVERING FULL COST OF PRODUCTION.S O WE’RE COVERING VARIABLE COSTS BUT THERE’S STILL A MISSING COMPONENT THERE.” > BUT THE MAIN DRIVER BEHIND THE MOMENTUM IN COTTON IS PHENOMONAL YIELDS. “OUR YIELDS WERE THE BEST YIELDS THAT WE’VE EVER MADE.” “WITH THE NEW VARIETIES, WE’RE MAKING PHENONOMAL YIELDS. THE QUALITY THIS PAST YEAR WITH SOMEO F THE NEWER VARIETIES THE QUALITY WAS OUTSTANDING, SO THAT’S PART OF IT."> HIGHER YIELDS AND AN ACREAGE BUMP IS GIVING NEW LIFE TO THE INDUSTRY. < “AN INCREASE IN COTTON ACRES WILL BE A GREAT BENEFIT FOR THE U.S. COTTON INDUSTRY, AS LONG AS WE CAN KEEP UP WITH THE EXPORT DEMAND. > IT’S THAT DEMAND THAT’S BEEN THE SHINING STAR THIS YEAR, HELPING SUPPORT COTTON PRICES SEE A 10 CENT RUN SINCE JANUARY."WE’RE SEEING STRONG DEMAND FOR U.S. COTTON RIGHT NOW, VIETNAM IS IN THE MARKET, CHINA IS IN THE MARKET, WE’RE NOT SEEING A LOT OF COMPETITION, SO THERE’S A LOT OF OPPORTUNITEIES RIGHT NOW WITH THE MARKET STRENGTHENING.” > CHINA HASN’T BEEN A BIG BUYER OF U-S COTTON THIS YEAR, BUT THOSE TIDES ARE STARTING TO TURN. < “NOW, IN 2016, CHINA SOLD ALMOST 12 MILLION BALES FROM THERE RESERVES, THEIR RESERVE AUCTION WAS MUCH MORE SUCCESSFUL THAN ANYONE ANTICIPATED, NOW LOOKING TO 2017, THEY STARTED THEIR AUCTION SERIES IN MARCH, SO FAR THEY AHD A REALLY GOOD UPTAKE IN BEGINNING, IT SLOWED DOWN A LITTLE BIT, THERE ARE SOME CONCERNS ABOUT THE QUALITY OF THE CROP, BUT IF CHINA HAS ANOTHER SUCCESSFUL ACTUION SERIES THIS YEAR, THAT COULD REALLY PUT THEM IN POSITION THE NEXT FEW YEARS TO BECOME A LARGE IMPORTER AGAIN."> SHE THINKS THAT’S SOMETHING THAT COULD HIT THE MARKET AS EARLY AS 2018. UNTIL THEN, THE FOCUS IS ON 2017... AND WHILE PRICES ARE BETTER, THERE ARE FEARS IT WON’T LAST. “THE CAUTION I WOULD GIVE PRODUCERS IS AS THEY LOOK AT THESE PRICES, IT’S ENCOURAGING PLANTING. SO IF IT’S A GOOD ENOUGH PRICE TO PLANT, THEN THINK ABOUT PRICING A PORTION OF YOUR EXPECTED PRODUCTION AT THESE PRICES AS WELL, BECAUSE IF WEATHER COOPERATES, WE HAVE ANOTHER 17 TO 17.5 MILLION BALE CROP, OTHER COUTNIRES AND INCREASE PRODUCTION, I WORRY THAT THERE COULD BE SOME PRICE PRESSURE AS WE GET INTO THE FALL.” BUT FOR SLEDGE TAYLOR, THE PRICE AND ACREAGE STORY AROUND COTTON IS GROWING EXCITEMENT IN HIS SMALLTOWN... < THE LAST FEW YEARS, WE’VE BEEN MAKING 1250 POUND COTTON> AND THIS MISSISSIPPI GROWER IS STRIVING FOR AN ENCORE TO 2016, REVIVING HOPE THAT COTTON CAN BE KING IN THESE MISSISSIPPI FIELDS ONCE AGAIN. NATIONAL COTTON COUNCIL TOLD ME TODAY’S PRICES AREN’T ENOUGH TO SEE A RESURGENCE IN INFRASTRUCUTRE, LIKE COTTON GINS. BUT ADAMS SAYS IF THERE’S A GIN THAT SHUT DOWN A COUPLE YEARS AGO, IF PRICES CONTINUE TO CLIMB, WE COULD SEE THOSE COME BACK ONLINE.UP NEXT, JOHN PHIPPS.

CUSTOMER SUPPORT
WELCOME BACK. WELL, FINALLY, WE HAVE A VIEWER WHO STUMPED JOHN IN THIS WEEK’S CUSTOMER SUPPORT. TODAY WE HAVE A QUESTION THAT TOTALLY STUMPED ME AND MY RESEARCH SKILLS, SUCH AS THEY ARE. FROM GRAYLING WILLER: “WE BOUGHT A BAG OF THOSE LITTLE ORANGES KNOWN AS CLEMENTINES, EACH HAVING A STICKER IDENTIFYING IT’S ORIGIN- I THOUGHT. THESE STICKERS SAY ALASKA. IT’S HARD FOR ME TO PICTURE A CITRUS GROVE IN ALASKA. DO YOU HAVE ANY INFORMATION THAT MIGHT HELP EXPLAIN?” GRAYLING, THANKS FOR THE CHALLENGE. TO BE HONEST, MY FIRST REACTION WAS “THIS CAN’T BE RIGHT”, FOLLOWED BY I’LL BET THE LABEL HAD “AL” FOR ALABAMA ON THEM, WHICH HE HAS MISTAKEN FOR ALASKA. BUT NOOOO. AT MY REQUEST HE SENT ME THE STICKER: I APOLOGIZE FOR THE SIZE, BUT IF I ENLARGE IT ANY MORE IT GETS TOO FUZZY TO READ. BUT A SMALL ORANGE FRUIT IN THE DOORWAY OF AN IGLOO WITH THE WORD ALASKA OVERHEAD SURE LOOKS TO ME LIKE A CLEMENTINE FROM OUR LARGEST STATE. I CAN FIND NO INFORMATION ABOUT CLEMENTINES GROWN IN ALASKA, BUT OBVIOUSLY THEY ARE. I AM ALMOST CERTAIN FROM WHAT I COULD UNCOVER THAT THEY ARE GROWN IN GREENHOUSES, BUT HOW THE HECK COULD THEY DO THAT ECONOMICALLY ENOUGH TO SHIP THEM DOWN TO THE LOWER 48 AND COMPETE WITH THE CALIFORNIA CITRUS INDUSTRY? SO CUSTOMER SUPPORT IS GOING TO CALL THIS AN UTTER FAILURE ON MY PART. IF ANYBODY ELSE OUT THERE CAN GIVE US A CLUE, GRAYLING AND I WOULD APPRECIATE IT. IF YOU DO HAVE ANY INSIDE INFORATION ABOUT THIS, FEEL FREE TO EMAIL US. MAILBAG AT U-S FARM REPORT DOT COM.

TEASE
NEXT UP, IF YOU’RE A CHOCOLATE LOVER, THIS WEEK’S AMERICAN COUNTRYSIDE IS FOR YOU!

AMERICAN COUNTRYSIDE
IF YOU’RE IN SEARCH FOR SOME OF THE FINEST CHOCOLATE IN THE WORLD.. IT MAY BE CLOSER THAN YOU THINK. WE’RE ON THE ROAD WITH ANDREW MCCREA TO HICO, TEXAS. KEVIN WSIEMAN GREW UP ABOUT AN HOUR AND A HALF OUTSIDE OF DALLAS, TX. LIFE IN THE COUNTRY WAS SIMILAR TO OTHERS IN HIS RURAL AREA…RAISING HOGS, CHICKENS AND CATTLE. (WE WERE IN 4-H AND I WAS ONE OF THE ONLY GUYS IN THE 4-H FOOD CLUB BUT HE LONGED TO GET BACK TO HIS ROOTS, SO HE CAME BACK TO HICO, TX TO WORK IN ART AND DESIGN…AND HE PICKED UP OTHER JOB THAT HE FIGURED WOULD BE JUST A PASTIME. (AND I STARTED MAKING CHOCOLATES AND IT WAS THE CHOCOLATES THAT TOOK OFF AND WAS PAYING THE BILLS AND I FOUND IT WAS MY NEW MEDIUM. INSTEAD OF CANVAS AND PAINT IT WAS CHOCOLATE KEVIN’S FOOD WAS ART AND THE ART WAS…VERY GOOD TO EAT! EACH NEW CREATION SPECIALLY HANDCRAFTED, NEVER USING LARGE MACHINES OR MAKING HUGE BATCHES THAT WOULD NEED TO BE FROZEN. HE ALSO USED FRESH, LOCAL INGREDIENTS…PEANUTS, PECANS, APRICOTS AND PEACHES FROM THE AREA. AND EVEN THOUGH HICO IS MILES AND MILES FROM A METROPOLITAN POPULATION, PEOPLE BEGAN COMING HERE TO TASTE HIS PRODUCT. (A LOT OF PEOPLE SAY WE RUIN THEM TO SNICKERS. I LIKE SNICKERS BUT THIS IS ALL ABOUT FRESH. SO IT’S QUALITY INGREDIENTS. IT’S FRESH INGREDIENTS AND ALSO A FRESH PRODUCT. AND IF IT’S FRESH YOU CAN TASTE IT YOU KNOW. KEVIN AND HIS STAFF ARE ALWAYS BUSY HERE IN THE KITCHEN…POURING…SMOOTHING…CUTTING…AND MUCH MORE…THERE’S A LOT TO DO TO CREATE A CHOCOLATE MASTERPIECE BOTH VISUALLY AND TASTEFULLY. BUSINESS IS STEADY, BUT A COUPLE POINTS IN THE YEAR ARE VERY IMPORTANT. (CHRISTMAS IS WONDERFUL BECAUSE WE CAN GET PREPARED FOR IT. VALENTINES WE CAN GET PREPARED BUT YOU NEVER KNOW BECAUSE IT’S GUYS WHO BUY VALENTINES AND GUYS ALWAYS WAIT UNTIL THE LAST MINUTE. SO MY JOB IS TO HAVE PLENTY AT THE LAST MINUTE :20) 1:52 CLIP 618 *** WE REFOCUS THE CAMERA AT THE END OF THIS CUT SO WE WILL NEED TO BREAK-AWAY TO ANOTHER SCENE - MAYBE GO TO SOME OF THE SHOTS OF ALL THE DIFFERENT KINDS OF CHOCOLATES THAT HE HAS AT THE STORE SINCE HE SAYS IT’S HIS JOB TO HAVE PLENTY KEVIN IS HUMBLED BY THE HIGH PRAISE HIS WORK RECEIVES. HE’S THOUGHT ABOUT OPENING A LOCATION IN A LARGER CITY…BUT HIS CUSTOMERS SAY… (OH DON’T DO THAT PART OF THE FUN IS COMING TO YOU. I’VE ACTUALLY HAD PEOPLE COME TO US FROM HOUSTON ON THE WAY TO DALLAS AND THEY’LL TAKE A TWO HOUR DETOUR AND COME TO HICO BECAUSE THEY WANT COME TO SEE AND HAVE CHOCOLATES :15 ) 3:10 CLIP 632 *** SOME MAY SAY THAT YOOU NEED TO GO TO THE COAST OR EVEN TRAVE; AROUND THE WORLD TO FIND THE BEST CHOCOLATE. BUT MORE PEOPLE ARE FINDING YOU CAN COME TO ONE OF TEXAS SMALL TOWNS TO FIND SOME OF THE BEST CONFECTIONS IN THE WORLD. TRAVELING THE COUNTRYSIDE IN HICO TEXAS I’M ANDREW MCCREA

TEASE
THANKS, ANDREW. AND YOU CAN HEAR ABOT MORE OF ANDREW’S TRAVELS ONLINE AT AMERICAN COUNTRYSIDE DOT COM OR BY DOWNOAING THE FARM JOURNAL TV APPL. NEXT UP, MACHINERY PETE JOINS US FOR TRACTOR TALES AND WE PAY TRIBUTE TO A CHURCH 300 YEARS OLD.

TRACTOR TALES
TRACTOR TALES BROUGHT TO YOU BY THE MOST TRUSTED NAME IN FARM EQUIPMENT, MACHINERY PETE!. WELCOME BACK TO TRACTOR TALES FOLKS! WE’VE GOT A 1949 STYLED JOHN DEERE A FROM ILLINOIS TO SHOW YOU THIS WEEK. DAVID DORN REMEMBERS GROWING UP AND FARMING WITH AN A JUST LIKE THIS ONE. HE TELLS US EVEN THOUGH HE HAS MANY COLORS IN HIS COLLECTION, THE A IS ONE OF HIS FAVORITES. WE’VE GOT A STYLED NINETEEN FORTY-NINE A JOHN DEERE WE USED TO A FARM WITH FOR THE A AND BEFORE WE GOT THE LARGER TRACTORS AND I WAS ABLE TO FIND THIS A IN GOOD CONDITION. SO I BOUGHT IT DIDN’T HAVE TO DO MUCH TO RESTORING TO IT WAS A PRETTY WELL WHAT SHE ‘S SEE REALLY LIKED IT. THIS ONE OF MY FAVORITE IN THE ELECTION WE JUST STARTED LOOKING AND WE SAW THIS ADVERTISED AT A SALE AT TAYLORVILLE ILLINOIS AND WE WENT TO IT AND BOUGHT IT AND DID A LITTLE RESTORING TO IT IN AND IT RUNS PERFECT AND WE’VE HAD IT IN THE PANA LABOR DAY PARADE SEVERAL TIMES PULLING FLOATS AND WE PUT A PARADE SEAT ON IT SO TWO PEOPLE COULD RIDE ON IT. WHEN MY SON GOT MARRIED WE USED IT TO PULL A RACK WAGON THAT HAD THE WEDDING PARTY IN IT AND THAT WE PULLED IT ROUND PANA SO IT WAS KIND OF UNIQUE BACK THEN. OH WE PROBABLY SPENT A COUPLE MONTHS IN THE WINTERTIME GETTING IT ALL RESTORED AND MOTOR WISE IT WAS PERFECT BUT IT WAS JUST A METAL ON THE OUTSIDE AND WE HAD TO SAND SOME OF THE ROUGH PARTS AND RE-PAINT IT THE RUBBER WAS FINE ON IT WHEN WE GOT IT SO WE DIDN’T HAVE TO DO ANYTHING THAT WAY. BUT WE HAD TO REPAINT THE WHEELS. THROUGH THE YEARS WE’VE SEEN MANY CHANGES ON THE TRACTORS BUT THEY’RE THEY’RE JUST NICE TO COLLECT AND I GUESS MAINLY I COLLECT THEM TO PASS THEM ON TO OUR SON AND GRAND CHILDREN.

COUNTRY CHURCH SALUTE
TODAY’S COUNTRY CHURCH SALUTE GOES TO THE HEBRON LUTHERN CHURCH IN MADISON, VIRGINIA. ESTABLISHED IN 1717, THE CHURCH IS CELEBRATING ITS 300TH ANNIVERSARY THIS MONTH... 300! I THINK THAT’S A FIRST ON THE SHOW. THE CHURCH FEATURES A DAVID TANNENBERG ORGAN, ONE OF ONLY NINE TANNENBERG ORGANS STILL IN USE. OUR THANKS TO IVAR AND VYVYAN RUNDGREN FOR SHARING THEIR STORY. AS ALWAYS WE WANT TO LEARN ABOUT YOUR HOME CHURCH AS WELL... SALUTES CAN BE SENT TO THE ADDRESS ON THE SCREEN. STAY WITH US. SOME HEARTFEALT PICTURES FROM THE PLAINS NEXT.

FROM THE FARM
IN TIMES OF TRAGEDY, THAT’S WHEN AGRICULTURE’S TRUE CHARACTER SHINES. AND AFTER THE DEVESTATING WILDFIRE STUCK THE PLAINS, NOW IS WHEN HELP IS NEEDED. ADN THAT HELP IS ROLLING IN. CHECK OUT THIS VIDEO WILLIAM CAPTURED OF A CONVOY OF TRUCKS CARRYING HAY AND FENCING SUPPPLIES HEADED FROM CHILLICOTHE, MO TO ASHLAND, KANSAS. THAT’S 445 MILES ONE WAY. THIS ISN’T THE FIRST TRIP THEY’VE MADE, OR THE FIRST STORY WE’VE HEARD LIKE THIS. I’V EEVEN HEARD OF HIGH SCHOOL AND COLLEGE AGE STUDENTS VOLUNTEERING THIER TIME DURING SPRING BREAK AND A DIFFERENT KIND OF DAMAGE JUST SOUTH OF BARTLETT, TEXAS. ALLEN MEISSNER POSTED THIS PICTURE OF HIS FREIND’S FIELD.. THE CORN DESTORYED BY WILD HOGS, ALL IN ONE NIGHT. HE SAID EVERY SEED IN THE ROWS WERE EATEN... AND ALL OF THAT WILL HAVE TO BE REPLANTED. NORA ENJOYING SOME TIME DOING NIGHTLY CHORES WITH HER GRANDDAD THIS WEEK. AND FROM OUR STAFF IN MEDICO, MISSOURI, LINDSEY BENNE POSTED THIS PICTURE, SAYING THEY ARE THANKFUL FOR RAIN BUT HOPING THE BLUE SKIES STICK AROUND FOR A BIT...

CLOSE
FROM ALL OF US AT U.S. FARM REPORT, I’M TYNE MORGAN. THANK YOU FOR WATCHING U-S FARM REPORT. BE SURE TO JOIN US RIGHT HERE AGAIN NEXT WEEK, AS WE WORK TO BUILD ON OUR TRADITION. HAVE A GREAT WEEKEND, EVERYONE.

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