Wednesday February 3 Ag News
Posted in Chad Moyer's Blog at 03:16PM on 02/03/2010
Saunders County Corn Growers Herbicide Update and Burger Fry - Friday, February 5 at UNL's ARDC.  

Growers are invited to attend the Saunders County Corn Growers Herbicide Update and Burger Fry on Friday, February 5. The meeting will be held at noon at the Saunders County Extension Office located at the UNL Agricultural Research and Development Center August N. Christenson Research and Education Building near Mead.  Lowell Sandell, UNL Extension Weed Specialist, will discuss:
                + New Herbicides for 2010
                + Glyphosate Resistant Weed Update
                + Tree Control in No-Till Crops
                + What's in My Herbicide?

Please RSVP for meal count purposes. Call 800-529-8030, 402-624-8030 or e-mail kglewen1@unl.edu for more information.  This update meeting is sponsored by UNL Extension and the Saunders County Corn Growers Association. Lunch compliments of Saunders County Corn Growers Association.



NBB WELCOMES RFS2 RULE

The National Biodiesel Board (NBB) today welcomed the Environmental Protection Agency’s (EPA) issuance of the final rule to implement the expanded Renewable Fuels Standard (RFS2) provided for in the Energy Independence and Security Act of 2007(EISA).

“The U.S. biodiesel industry is pleased that the EPA has issued the final RFS2 rule,” said Joe Jobe, Chief Executive Officer of the NBB.  “There are significant job creation, energy security and environmental benefits associated with expanded biodiesel use.  Today’s rulemaking - in particular implementation of the Biomass-based Diesel program – will allow America to reap these benefits.”

EISA was enacted on December 19, 2007.  The legislation expanded the Renewable Fuels Standard and for the first time specifically provided for a renewable component in U.S. diesel fuel.  RFS2 requires the use of 500 million gallons of Biomass-based Diesel in 2009, increasing gradually to 1 billion gallons in 2012.  From 2012 through 2022, a minimum of 1 billion gallons must be used domestically, and the Administrator of the EPA is given the authority to increase the minimum volume requirement.  To qualify as Biomass-based Diesel, the fuel must reduce greenhouse gas (GHG) emissions by 50 percent compared to petroleum diesel.  Biodiesel is the only fuel available in commercial quantities in the U.S. that meets the definition of Biomass-based Diesel.

On May 26, 2009, the EPA issued the proposed rule to implement the RFS2 program.  The proposed rule contained several significant flaws that were highlighted in NBB’s comments.  Many of these concerns have been addressed in the final rule, including:
·     Final rule accounts for 2009 and 2010 Biomass-based Diesel use requirements. Consistent with EISA’s requirements, 1.150 billion gallons of biodiesel must be used domestically by the end of 2010. Biodiesel used domestically in 2009 and 2010 will count towards this total.
·     EPA’s lifecycle GHG emission calculations are significantly improved. NBB’s comments noted significant shortcomings with EPA’s initial lifecycle methodology, including inaccuracies pertaining to nitrogen fixing with soybeans; co-product allocation; energy balance; and agricultural efficiencies. Industry comments also noted significant flaws associated with EPA’s initial international land use assumptions. The GHG methodology used in the final rule has been updated to reflect industry comments, and biodiesel produced from domestic soybean oil is assumed to reduce GHG emissions by 57 percent compared to petroleum diesel fuel, and the EPA’s uncertainty analysis recognizes that the GHG reduction could be as high as 85 percent. Thus, biodiesel produced from soybean oil will qualify for the Biomass-based Diesel program, and the rulemaking provides pathways for biodiesel produced from other vegetable oils to qualify for the program. Though NBB continues to object to the use of international indirect land use change in EPA’s GHG methodology, the methodology employed in the final rule represents a significant improvement over the proposed rule.

“The U.S. biodiesel industry stands ready to provide the fuel that will be needed to meet the readily attainable Biomass-based Diesel goals established in RFS2.  We look forward to working with all industry stakeholders to successfully implement this worthwhile program,” concluded Jobe.



EPA Regulations Confirm Ethanol’s Environmental Superiority Over Gasoline
 
The U.S. Environmental Protection Agency’s newly released regulations implementing an expanded federal Renewable Fuel Standard are significant because they provide further evidence of corn ethanol’s superiority over conventional gasoline when it comes to greenhouse gas emissions, the National Corn Growers Association said.
 
“We’re pleased the U.S. Environmental Protection Agency recognizes that corn ethanol provides a distinct advantage over conventional gasoline when it comes to greenhouse gas emissions, with a reduction of more than 21 percent in some cases,” said NCGA President Darrin Ihnen. “This means that all corn ethanol including existing grandfathered capacity and new production will qualify to meet the conventional biofuels targets in the RFS.  
 
NCGA continues to be disappointed that EPA chose to use the flawed theory of international indirect land use change in their calculations. Ihnen stressed that the EPA should reject the unproven theory of international indirect land use change, which assumes that growing more corn means planting corn on a proportionately greater amount of acreage and will impact other crops or natural resources on a global basis. Today’s yield trends show this to be false. 2009’s record corn yield was 165.2 bushels per acre, according to the U.S. Department of Agriculture, more than 11 bushels higher than 2008 and nearly 15 bushels higher than 2007.
 
“In 2009, corn growers were challenged with one of the worst growing season in generations, and we still brought in a record crop and yield,” Ihnen, a corn grower in Hurley, S.D., said. “We grew more corn than we did in 2007, the last record year, and we did so on nearly 7 million fewer acres.”

Further, the idea of international indirect land use is applied only in the case of corn ethanol. “This is the perfect example of bad science being applied unfairly, “ Ihnen said. “Removing the impacts from the international indirect land use theory means that corn ethanol actually provides a 52 percent reduction in greenhouse gas emissions, compared to gasoline. The EPA is not considering similar indirect impacts of petroleum-based fuels, so why are they so stringent when it comes to green, renewable corn ethanol?”
 
NCGA works closely with all interested parties in promoting the importance of corn ethanol as a market for its members and an important part of our nation’s domestic energy sector, Ihnen added.
 
“U.S. corn growers are committed to continuing to meet all needs for their product in a sustainable fashion and we’re committed to providing a domestic, renewable fuel that supports our nation’s economy and helps reduce our dependence on foreign oil.”



RFS Rules "Workable" - ILUC Inclusion Still Problematic

Today, the U.S. Environmental Protection Agency (EPA) promulgated the final rule for implementation of the expanded Renewable Fuels Standard (RFS2). Among other provisions, the RFS will set mandatory blend levels for renewable fuels while implementing a framework for carbon emissions calculations that will be the basis for future carbon reductions from fuel.

“EPA was right to recognize that ethanol from all sources provides significant carbon benefits compared to gasoline,” said Renewable Fuels Association President Bob Dinneen. “As structured, the RFS is a workable program that will achieve the stated policy goals of reduced oil dependence, economic opportunity, and environmental stewardship.”

“The RFS is the public policy building block upon which America’s renewable fuels industry will be built. Today’s industry and tomorrow’s ethanol producers require stable federal policy that provides them the market assurances they need to commercialize new technologies,” Dinneen continued. “To that end, EPA has achieved that goal.”

According to EPA’s modeling, corn-based ethanol achieves a 21% greenhouse gas reduction compared to gasoline when dubious ideas of international indirect land use change (ILUC) are included. Without ILUC, corn-based ethanol achieves a 52% GHG reduction. Cellulosic ethanol achieves GHG reduction of 72-130% depending upon feedstock and conversion process. All GHG reductions for ethanol exceed those mandated by the RFS2.

“EPA has correctly credited cellulosic and other next generation ethanol technologies with dramatic GHG improvements over gasoline,” said Dinneen. In addition, EPA rightly and justifiably adjusted some of its assumptions and modeling from its proposed rule to more accurately reflect the carbon profile of grain-based ethanol in the U.S. “These necessary corrections ensure that all grain-based ethanol will be eligible to meet the requirements and achieve the stated goals of the RFS, though continue to shortchange grain-based ethanol’s climate contributions,” noted Dinneen.

Disappointingly, however, EPA continues to rely on oft-challenged and unproven theories such as international indirect land use change to penalize U.S. biofuels to the advantage of imported ethanol and petroleum.

Still, despite the reliance on unproven science, the greenhouse gas benefits of all ethanol show tremendous improvements compared to gasoline. In creating the RFS, EPA engaged in a good faith effort with all interested parties and developed a program that will achieve the fossil fuel replacement goals outlined in the legislation. The RFA has worked tirelessly with Congress and the EPA to not only craft this policy in 2005 and then again in 2007, but to make it a workable program. At the end of the day, the RFS is public policy that can and will work effectively.

Transitioning the nation to low carbon fuel future is necessary to address the concerns of global climate change and provide the kind of economic opportunity the nation craves. Based on sound science and done at a national level, such a policy would provide the impetus necessary for the shift from dirty fossil fuels to cleaner alternative fuels from all sources. Such a goal cannot be achieved through a patchwork of state regulations based upon a selective and questionable modeling. With continued improvements and evaluation, the RFS can and will provide the foundation for such an evolution.



Some CFTC Commissioners Skeptical about Plans to Alter Futures Position Limits

Three Commodity Futures Trading Commissioners have voiced concerns regarding the idea of imposing position limits for energy futures, saying the proposal was premature and anti-competitive, among other problems. Last month, the CFTC commissioners voted to propose creating position limits for four energy commodities similar to those already in place for certain agriculture contracts, although the proposal includes exemptions for "bona fide hedging transactions."

CFTC has published the proposal and asked for public comment. The expectation is that the plan will attract significant attention. If the views of the three skeptical commissioners are any indication, it is likely to undergo some fine tuning before being adopted as a final rule.



NU Football Tickets at Center of State Probe

Husker Sports Network, the voice of Big Red football, is involved in a state investigation that has tracked down possible misuse of Nebraska football tickets that are tied to over $1 million in questionable state spending.  State Auditor Mike Foley says it has to do with state agencies and boards that are receiving tickets as part of advertising agreements with Husker Sports Network.  The agencies include the Nebraska Roads Department and Health and Human Services. Also named by Foley are the Nebraska Game and Parks Commission and the Nebraska Corn Board.

According to Foley the deals included among other things 555 football tickets, 888 men’s basketball tickets, and four dinners with coaches. Foley also says the game tickets included skybox and premier seating for particular games.  In a letter to the Nebraska Accountability and Disclosure Commission, the state’s ethics board, Foley questions whether the tickets and other incentives are prohibited by state law.  

In a news release Foley said his concerns center around the, “sometimes too cozy relationship between vendors who seek State contracts and the State officials who negotiate and sign them and later receive gifts from the vendors.”  Foley says some state agencies claim the tickets are given away as prizes or promotional items. Read more here... http://www.auditors.state.ne.us/content/pr/2010_Husker_Tickets-Accountability_and_Disclosure_Commission_Press_Release.pdf.   

Husker Sports Network is owned by IMG College.  In 2008 the University Board of Regents okayed a 13 year-$112.5 million dollar broadcasting and marketing deal with IMG. Along with football the contract includes baseball, men’s and women’s basketball, as well as women’s volleyball.  According to IMG the deal is one of the largest contracts of its kind.



Bill Filed to Block EPA CO2 Regulation
Bill Also Addresses Biomass Definition, Indirect Land Use Change

With congressional action on climate legislation in doubt, two House committee chairmen have filed a bill to block the government from regulating greenhouse gases under its own power.  The lawmakers say Congress, not "unelected bureaucrats," should set environmental policy. Congress has squabbled for months over a comprehensive climate change bill. Some members say the best bet is to encourage renewable energy production.  The Environmental Protection Agency cleared the way for regulation under air pollution laws a month ago, when it ruled that greenhouse gases endanger human health. EPA could act as early as March to offer regulations.  Efforts were being made in both chambers of Congress to derail EPA regulation. It normally takes months for Congress to agree on legislation.

Besides blocking EPA regulation of six gases, including carbon dioxide, methane and nitrous oxide, blamed for global warming, the House bill, which was filed on Tuesday, would remove two roadblocks to greater use of biofuels.  The bill, which would face a tough fight in Congress and be opposed by the president, would adopt a broad definition of biomass -- including crops, trees, algae and manure -- that can be used in making renewable fuels.  It also would bar EPA, when it calculates if biofuels are cleaner than petroleum, from holding U.S. fuels responsible for forest clearing and cropland expansion overseas.

Armed Services Committee Chairman Ike Skelton, the lead sponsor, said the House bill "gets EPA under control" and strengthens American-made renewable fuels.  "I have no confidence that the EPA can regulate greenhouse gases under the Clean Air Act without doing serious damage to our economy," said Agriculture Committee Chairman Collin Peterson. Peterson and Rep. Jo Ann Emerson are cosponsors.  Critics say federal attempts to constrain emissions of greenhouse gases will result in higher petroleum prices and retard U.S. growth.

An administration analysis says 6 percent of U.S. crop and pastureland would be converted to woodlands, resulting in slightly higher food prices, under the House-passed climate bill.

At least one other bill, also with three sponsors, was pending in the House to block EPA regulation of carbon dioxide.  In the Senate, Lisa Murkowski spearheaded a resolution to block EPA regulation. She is supported by at least 39 of the 100 senators.  "We are continuing to work on our votes," Murkowski said on Tuesday. Asked when she might ask for a vote, Murkowski said, "Somewhere between now and the next couple months."



Nebraska Soybean Board Announces Call for Candidates

Three of the nine district seats on the Nebraska Soybean Board (NSB) will be eligible for election this year.  Soybean producers in Districts 2, 4 and 8 are invited to run for election to the Nebraska Soybean Board by filing a candidacy petition by the May 14, 2010 deadline. The election of directors will be conducted via direct-mail ballots and candidate information will be provided to all producers residing within the district in which an election is to be held. NSB Directors receive no salary but are reimbursed for expenses incurred while carrying out Board business.

(Three-year terms for these seats begin October 1, 2010 and end September 30, 2013)
Seats open for producer election in 2010 are:
District 2:       Counties Burt, Cuming, Dakota, Dixon, Stanton, Thurston and Wayne.
District 4:       Counties of Boone, Hamilton, Merrick, Nance, Platte, Polk and York.
District 8:       Counties of Arthur, Banner, Blaine, Box Butte, Brown, Chase, Cherry, Cheyenne, Custer, Dawes, Dawson, Deuel, Dundy,  Frontier, Furnas, Garden, Garfield, Gosper, Grant, Greeley, Harlan, Hayes, Hitchcock, Hooker, Howard, Keith, Keya Paha, Kimball, Lincoln, Logan, Loup, McPherson, Morrill, Perkins, Phelps, Red Willow, Rock, Scotts Bluff, Sheridan, Sherman, Sioux, Thomas, Valley and Wheeler.

Candidates for the Nebraska Soybean Board must be:
·          Residents of Nebraska
·          At least 21 years of age
·          Soybean producers in Nebraska for at least 5 previous years

Prospective candidates must collect the signatures of fifty soybean producers in their district using an official Nebraska Soybean Board Candidacy Petition and return such petition to the Nebraska Soybean Board office on or before May 14, 2010, to be eligible for placement on the ballot.  To obtain a candidacy petition, contact Victor Bohuslavsky at the Nebraska Soybean Board by calling 402-432-5720 or emailing victor@nebraskasoybeans.org.



NSB seeking Nebraska Candidate to Serve as a United Soybean Board Director

The Nebraska Soybean Board (NSB) is seeking candidates to fill a United Soybean Board (USB) Director position.  If you are an interested soybean farmer please contact the NSB office.  USB is made up of 68 farmer-directors who oversee the investments of the soybean checkoff on behalf of all U.S. soybean farmers. Checkoff funds are invested in the areas of animal utilization, human utilization, industrial utilization, industry relations, market access and supply.  As stipulated in the Soybean Promotion, Research and Consumer Information Act, USDA’s Agricultural Marketing Service has oversight responsibilities for USB and the soybean checkoff.

USB Directors receive no compensation but are reimbursed for expenses incurred while carrying out Board business.  USB Directors serve three-year terms.

“The United Soybean Board is full of strong leaders that are looking out for the best interest of the soybean farmers,” says Mike Korth, soybean producer from Randolph, NE and director on the USB.  “As a director, I am able to focus on building demand for our U.S. soybeans and exploring research to increase our yields and profitability.”

This position is open to all soybean farmers in Nebraska. NSB will nominate two candidates and the final selection will be made by the USDA Secretary of Agriculture.  The USDA has a policy that membership on USDA boards and committees be open to all individuals without regard to race, color, national origin, gender, religion, age, disability, political beliefs, sexual orientation and marital or family status.

Anyone interested in applying needs to meet the following criteria:
1.        Be involved in a farming operation that raises soybeans.
2.       Be a resident of Nebraska.
3.       Be at least 21 years of age.
4.       Provide a biography by March 10, 2010 – send to NSB office.

For more information please contact Victor Bohuslavsky at 402-432-5720, before the March 10, 2010 deadline.



BIODIESEL STAKEHOLDERS URGE CONGRESS TO ACT SWIFTLY ON BIODIESEL TAX INCENTIVE


The National Biodiesel Board (NBB) forwarded a letter from 179 biodiesel companies and stakeholders to the Leadership of the House and Senate as well as the Chairmen and Ranking Members of the tax writing committees regarding the urgent need to retroactively extend the biodiesel tax incentive. The biodiesel tax incentive expired on December 31, 2009.

The letter notes, among other things, “expiration of the tax incentive has essentially caused the production and use of biodiesel in the U.S. to cease and has placed the 23,000 jobs that are currently supported by the domestic biodiesel industry in immediate jeopardy. Companies have already started laying-off employees, and this situation is certain to worsen the longer the tax incentive is allowed to lapse.”

Biodiesel is a diesel replacement fuel made from agricultural oils, fats and waste greases that meets a specific commercial fuel definition and specification. The one dollar per gallon biodiesel tax incentive is structured in a manner that makes biodiesel price competitive with petroleum diesel fuel in the marketplace. Absent the tax incentive, biodiesel is more expensive than conventional diesel fuel.

“The sentiment expressed in this letter accurately reflects the dire situation facing the U.S. biodiesel industry,” noted Manning Feraci, NBB’s Vice President of Federal Affairs. “Biodiesel producers are hanging on by a thread, idling their plants, laying off employees, and closing their doors. As these letters indicate, it is imperative for Congress to act quickly and save these green jobs.”



Informa Sees Big S. American Crops


Analytical firm Informa Economics raised its estimates of corn and soybean production in Brazil and Argentina, trade sources said on Wednesday.  The firm, based in Memphis, Tennessee, projected Brazil's 2009/10 soybean production at 66.5 million metric tons (2.4 billion bushels), up 500,000 metric tons (18.3 million bushels) from its January outlook.  Informa put the Argentine soy crop at 54.0 million metric tons (1.98 billion bushels), up 1 million metric tons (36.7 million bushels) from last month.  For corn, Informa raised its 2009/10 Argentine crop estimate to 18.2 million metric tons (716 million bushels), up 2.7 million metric tons (99.2 million bushels) from last month. The firm projected Brazilian corn production at 53.3 million metric tons (2.098 billion bushels), up 600,000 metric tons (22 million bushels) from last month.

Informa's projections for the two South American crops are above current estimates from the U.S. Department of Agriculture.  USDA in January projected Brazil's soybean crop at 65.0 million metric tons (2.39 billion bushels) and Argentina's soy crop at 53.0 million (1.9 billion bushels). USDA put Brazil's corn crop at 51.0 million (1.947 billion bushels) and Argentina's at 15.0 million (590 million bushels).

USDA is scheduled to update its supply/demand tables and outlooks for world crop production on Feb. 9.



USDA: 2010 Corn at 12.96 Billion Bu.

Ag Department Projects Soybean Crop will be 3.23 Billion Bushels

U.S. farmers plan to expand corn plantings by 2 percent this year, said Agriculture Department projections on Tuesday, the latest signal that another bumper crop is likely.

USDA projected plantings of 88 million acres (35.6 million hectares), up 1.5 million acres from 2009, for a crop of 12.96 billion bushels. It would be the third-largest crop on record, after 2009 and 2007.

In early January, the American Farm Bureau Federation estimated plantings at 90 million acres. Agricultural economist Darrell Good of the University of Illinois said on Jan. 25 that 89.5 million acres are needed to produce a crop to satisfy livestock, export, processor and ethanol demand.

Like USDA, the Farm Bureau expected soybean plantings to decline slightly -- but still produce the second-largest crop -- while wheat plantings would drop to 55 million acres, down 4 million acres from 2009.

USDA made its projections as part of preparing its budget proposal for the new fiscal year. The projections are based on conditions in November 2009.

USDA is scheduled to release its first detailed projections of plantings, harvest and use of major U.S. crops on Feb. 11.



Humane Society Wants Ohio Referendum


It was last November when Ohio voters created the Ohio Livestock Care Standards Board. It was thought that referendum would take care of any threat the Humane Society of the United States might pose when it comes to animal care in the state. But, a group of animal activist is in Ohio hoping to dictate what the Ohio Livestock Care Standards Board adopts when it comes to certain farm animal treatment requirements.

Led by the Humane Society of the United States, the groups are looking for a support for a ballot initiative through a petition drive. HSUS says the ballot initiative would call for minimum standards around cage or pen size for veal calves, pigs and layer hens and euthanasia of sick and injured animals. It also seeks standards around slaughter rules for downer cows, even though federal rules already preclude these animals from entering the food chain.

The groups need to collect 600-thousand signatures to petition the Ohio Secretary of State to achieve a ballot measure for the November election. Other groups involved include: Farm Sanctuary, Ohio SPCA, Ohio Sierra Club, Toledo Area Humane Society, Geauga Humane Society, Ohio League of Humane Voters, Center for Food Safety, United Farm Workers, Consumer Federation of America and Center for Science in the Public Interest.


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