SPRING WHEAT PLANTING BEHIND LAST YEAR - The USDA Crop Progress Report for spring wheat plantings for the week ended May 2 shows Minnesota at 37% planted compared to 66% last year at this time, and North Dakota at 25%, vs. 49% last year.
One extension agent reports that Fisher, MN, is completely sold out of wheat as some farmers have decided to switch back to wheat rather than plant soybeans.
TAN SPOT SHOWS UP ON WINTER WHEAT IN ND - Tan spot on wheat is already being seen this year, primarily in winter wheat planted into wheat stubble, according to Art Lamey, NDSU/U of M Plant Pathologist. "It may show up soon on wheat in the 3-leaf stage, in areas with recent rains," he adds. Some producers are thinking about early season fungicide application. But in fields with no weed pressure, wait to evaluate the extent of the disease before making a decision, Lamey advises.
BEWARE OF BARLEY YELLOW DWARF - Barley yellow dwarf was severe in late-seeded spring wheat in northern ND counties last year, Lamey says. Testing results of some varieties indicated four with some susceptibility to the disease: Russ, Hagar, P2375, and ACBarrie. Varieties showing tolerance were Majestic, Gunner and HJ98 and Ben durum. As aphids and barley yellow dwarf are already showing up in Kansas, he adds, barley yellow dwarf may show up again here this year if grain is planted late.
NEBRASKA WHEAT GROWER TO TESTIFY ON LDP SITUATION BEFORE CONG. COMMITTEE - Mike Dodson, Vice President of the Nebraska Wheat Growers Association, will testify on behalf of the National Association of Wheat Growers (NAWG) before the Subcommittee on General Farm Commodities, Resource Conservation and Credit of the House Committee on Agriculture on Thursday, May 6. Below is the bulk of his comments:
"I am a family farmer from Western Nebraska, where I have lived on the same farm all of my life. My family moved to the area in 1886 and has farmed continuously ever since. My son, a senior in high school, helps out of the farm, as does my father, who recently retired. My wife, Mary, helps out financially by teaching at a high school 30 miles from our home.
We raise primarily wheat on a 2,000 acre operation. The entire farm is non-irrigated and our limited rainfall generally allows us only a fallow/wheat type of farming. The land I farm is all leased. While I would like to purchase the land, there is currently no profit in farming that might afford me such a luxury.
Today I would like to address three topics relative to loan deficiency payments, or LDPs: The first is how LDPs affect me and my fellow farmers; the second is some problems I see within the current program; and the third is my suggestions for possible solutions to these shortcomings.
First, let me begin with what I believe is the simple truth: Any farmer would rather receive his income from marketing his crop than from a government program. But lately, this just hasnt been an option. U.S. farmers face unfair competition in the world market by producers in other countries that receive significant governmental support, high levels of export subsidies, and, in some cases, resources and training from the U.S. I believe it is terrible that we as a nation have taught the rest of the world to not only feed themselves, but enabled them to compete with us on the world market a market we once dominated.
That having been said, our farm and most others has participated in the federal farm programs and last year I collected LDPs on a portion of my wheat crop. On average, I received 16 cents per bushel in LDP payment. Luckily, I had good yields. I can honestly state that the government payments I received in 1998 are the reason I am still a farmer in 1999 and able to be with you here today.
As helpful as the LDP was to my bottom line, I believe the program suffers from serious flaws. Chief among these is the great price fluctuation between counties and states. Farmers like me who farm across country, or even state, lines are affected the most. While the local elevator prices remain constant, the shifting LDP benefits some at the expense of others for what are apparently random reasons.
Just as troubling is the information we receive from our local FSA offices. While the staff of our local offices are hard working and strive to be helpful, they seldom have the answers we seek regarding how the LDPs are suppose to work or the basis for the deference across the county lines.
These problems are the most serious where the program pits farmers from one area of the country against those from another. In many areas those who received the most for their wheat also cashed in with the highest LDPs. To most of us farmers, this just doesnt make since.
And what of those farmers who are unfortunate enough to be caught by drought, or hail, or a flood, or some other problem which takes his crop through no fault of his own? Since LDPs are calculated on actual production, these farmers loose out on the chance to make ends meet with a LDP. This, of course, has a rippling effect through our communities. Our local businesses, implement dealers, banks, and schools are all hurting from the decline in our current farm economy.
As a wheat producer affected by the policy established by this Committee, I would like to praise the intent of the LDP but urge you to address its problems.
Finally, something must be done for those without a crop. Perhaps an LDP calculated on the producer's historic yield or the county average could be developed for those who suffer a crop loss."
PROPOSED BILL WOULD LIFT SOME SANCTIONS ON CUBA - A congressional group has proposed a bill that would relax U.S. economic sanctions on Cuba to permit the export of food and medicines to the island. The Cuban Food and Medicine Security Act of 1999 (HR 1644) was introduced yesterday by Reps. James Leach of Iowa and Jose Serrano of New York, and would allow the sale of food, agricultural products, medicines and medical equipment. A similar bill was to be presented in the Senate by Senators Christopher Dodd of Connecticut and John Warner of Virginia.
The proposal came just after the Clinton administration announced it was changing its economic sanctions policy to allow the sale of food and medicine to Iran, Libya and the Sudan. "It is time for a change, time to provide some humanitarian aid to Cuba by increasing the flow of food and medicine from the United States," said Representative Serrano, who added that more than 10 million Cubans are believed to suffer from nutritional deficiencies and other health problems.
PESTICIDE REFORM FOCUS OF NEW NORTHERN CROPS NETWORK - A new coalition of commodity groups, the Northern Crops Network, has organized to cut through red tape on the availability and use of crop protection products. Two leaders affiliated with the coalition, Lance Hagen and Lance Gaebe, are in Washington, D.C. this week to attend a U.S.-Canada summit on the harmonization of pesticide prices and product availability between the two countries.
Hagen is an Ellendale N.D. farmer who served as chief clerk of the N.D. House of Representatives in the 1999 N.D. Legislative Session. Gaebe is executive director of the North Dakota Grain Growers Association, and is also representing the National Association of Wheat Growers at the U.S.-Canada Pesticide Summit. Gaebe says the meeting involves top representatives of the pesticide industry and farm organizations of both countries, along with senior-level government officials from the U.S. and Canada.
The meeting on May 6 will discuss possible solutions to promote harmonization of pesticide products, and minimize related trade problems. The USDA and Ag Canada will also present a progress report on price differentials between the U.S. and Canada.
U.S. WINTER WHEAT TOUR PREDICTS HIGH YIELDS IN KANSAS - The first
week of the U.S. Wheat Tour began in Manhattan, Kansas, and saw yields that are expected
to exceed 1998 levels by more than 10 bushels an acre. Stock counts taken from a dozen
fields in central Kansas uncovered average projected yields of about 65 bu/acre, far
surpassing last year's output of 53.5 bu/acre and the five year country average of 41.5.
Forty percent of all fields exhibited light to moderate evidence of tan spot and barley
yellow dwarf disease, but yields in the most-affected fields were still estimated to be
more than 43 bu/acre.
CANADIAN DELEGATION TO VISIT ND - Officials from the Canadian province of Saskatchewan will visit North Dakota's capitol Thursday to discuss ag issues, among other things, with state officials. Lt. Gov. Rosemarie Myrdal will host the delegation. Public events include an opening session and introductions at 9:30 and a plenary session-working lunch, both in the Fort Union Room on the ground floor of the Capitol. Myrdal said the visit is to "keep the lines of communication open" between the Saskatchewan government and North Dakota's government. Gov. Ed Schafer is currently away on a trip to Norway. Source: The Forum
ADM TO CLOSE WALHALLA PLANT - The Archer Daniels Midland Co. (ADM) Corn Processing ethanol plant in Walhalla, ND, will close this month, putting some 50 people out of work less than a year after the ethanol factory reopened, reported the Grand Forks Herald today.
The announcement comes less than three weeks after the ND Legislature approved $1.8 million in ethanol subsidies over the next two years. The Legislature had dropped the Walhalla facility from the bill, saying it was too large to be eligible for the subsidy.
Martin Andreas, ADM senior vice president, said "It has nothing to do with the Legislature. The point is it's a good plant. It just doesn't fit well for us."
Andreas said the company has no plans to reopen the plant.
USDA SCRAPING BOTTOM OF THE BARREL TO FUND FARM LOANS - Democrats and Republicans traded barbs recently over a stalled emergency spending plan that includes $152 million for farm loans. ``Once again Republicans are about to cause another disastrous government shutdown,'' said House Minority Leader Dick Gephardt. "The only difference this time is Republicans have targeted this one to hurt farmers.''
Agriculture Department funds are now so depleted that struggling farmers won't get money in time for planting season, and nearly 20,000 USDA employees could face a 10-day furlough due to borrowing against the salaries fund for the farm loans, Democrats claimed.
``We are now at Day 62 and we are still waiting,'' said Rep. Marcy Kaptur, D-Ohio, referring to the days since the bill was submitted. ``Shame on us. Shame on the leadership of this institution.'' "We must get farmers off of this sacrificial altar,'' declared Rep. Sanford Bishop, D-Ga. "They're desperate.''
Some Republicans countered that USDA had money in its budget to cover the gap until Congress acts. ``From our point of view this appears to be more of a management problem,'' said Selma Sierra, spokeswoman for Rep. Joe Skeen, R-N.M. and chairman of the Agriculture appropriations subcommittee. ``The speaker is committed to getting that farm money out as soon as possible,'' said John Feehery, spokesman for House Speaker Dennis Hastert, adding that he expects action on the bill in the next two weeks. ``Our problem has been the administration has been slow in getting the requests up.''
The money is part of a $1.3 billion supplemental bill that also includes hurricane aid for Central America. Demand for loan programs has increased 65% in the last year, according to Ag Secretary Dan Glickman. So far, USDA has obligated $2.5 billion in loan assistance in the first half of fiscal year 1999--more than the $2.2 billion in loan assistance for all of 1998.
Sierra said USDA has about $40 million in unused funds from last year that could be used. The agency denies having any funds that have not been earmarked for other programs.
PILLSBURY CLOSES FROZEN DOUGH FACILITIES, BUYS SUPERVALU BAKERY
- The Pillsbury Co. has announced plans to sell two frozen dough plants in Kansas and
New Jersey, and move that production to its other plants in the U.S. and Canada.
Pillsbury also announced it will acquire Hazelwood Farms Bakeries from Supervalu Inc. Hazelwood Farms is one of the country's largest producers of frozen unbaked and par-baked dough products for the in-store/retail market and the bakery food service markets. It operates seven manufacturing plants. "The supermarket industry's trend toward consolidation has supermarkets turning toward larger, more focused suppliers for their in-store bakery products,'' said Paul Walsh, Pillsbury chairman and CEO.
Minnesota Association of Wheat Growers
2600 Wheat Drive
Red Lake Falls, MN 56750
218-253-4311