Surging pork exports from the European Union to Asia are disrupting exports of the same products from the United States. The European Union last year surpassed the United States as the world’s leading exporter of pork, according to a recent USDA report. Meatingplace reports EU pork exports to all destinations increased seven percent from 2013 to 2015, while total U.S. shipments only increased one percent. Since 2014, EU pork exports to China rose nearly 82 percent. While Japan, Korea and China accounted for nearly 38 percent of total EU pork shipments in 2013, those markets rose to nearly 56 percent in 2015. U.S. pork exports to Japan, Korea and China declined five percent during the 2013 to 2015 period and also accounted for a smaller portion of total U.S. shipments. As a result, EU expanded not only shipments to key Asian markets in terms of volumes, but also market share.
Category: Agriculture
Senate agriculture committee approves CFTC bill
The U.S. Senate Agriculture Committee voted 11 to 9 along party lines to reauthorize the Commodity Futures Trading Commission for five years. The committee voted Thursday morning,following a seperate Senate floor vote, according to the Hagstrom Report. Committee Chairman Pat Roberts says the bill will provide relief from regulation to the end users of financial instruments regulated by the CFTC. Ranking Committee Democrat, Debbie Stabenow of Michigan, said the CFTC does not have the resources it needs to do its job and introduced an amendment for a user fee program to provide the agency more money. However, the committee voted down her amendment. The House passed its version of the CFTC authorization last year.
Lower farm income dampening farm economy
Agriculture groups are telling lawmakers farmers are facing increased financial pressure in an economic downturn brought on by low commodity prices. At a House Agriculture subcommittee hearing Thursday, the American Farm Bureau and the National Farmers Union told lawmakers the downturn of the farm economy is forcing farmers to tighten their belts. Net farm income has declined from $123 billion in 2013 to an estimated $55 billion for 2016. Farm Bureau President Zippy Duvall told the subcommittee lower prices will affect income for all farmers and ranchers, but will have an even greater impact on new and young farmers. Farm Bureau took the time to urge lawmakers to approve the Trans-Pacific Partnership, stop the Waters of the U.S. rule and establish a national GMO labeling standard to alleviate pressure on the agriculture sector. National Farmers Union President Roger Johnson urged the subcommittee to focus on commodity programs that he says need more attention in the next Farm Bill. Those programs include the Agricultural Risk Coverage program and the Stacked Income Protection Plan, or STAX program.
10 governors sign letter urging Congress to support SNAP drug testing
A coalition of Governors from 10 states is urging leaders in Congress to support legislation confirming states’ rights to drug test Supplemental Nutritional Assistance Program, or SNAP, recipients. Lead by Wisconsin Governor Scott Walker, the group, is urging lawmakers to support legislation authored by Alabama Republican Congressman Robert Aderholt, which they say confirms states’ rights to drug test SNAP recipients. In a letter sent to leaders in Congress, the governors say they believe Congress specifically gave states the flexibility to decide whether to implement such actions in the 1996 Welfare Reform Act. Governors signing the letter along with Walker include those from Arizona, Idaho, Kansas, Kentucky, Maine, Nebraska, Oklahoma, South Carolina, Texas, and Utah.
CHS reports 50 percent net income decline
The nation’s largest farmer-owned cooperative, CHS, reported net income is down 50 percent for the first six months of its 2016 fiscal year. CHS reported net income at $234.5 million, down from $471.5 million in the first half of fiscal year 2015. The cooperative says lower earnings were attributed to the down economic cycles in the agricultural and energy sectors, which have resulted in reduced commodity prices and lower margins globally. CHS revenues through February of this year were $14.4 billion, down nearly 20 percent from $17.9 billion for the first half of fiscal 2015, and primarily reflected lower selling prices for the energy, grain and fertilizer products the company handles. CHS President Carl Casale said “we’ve experienced these types of cycles throughout our more than 85-year history and will navigate this period by finding ways to run our businesses more efficiently and effectively while continuing to serve our owners’ and customers’ needs.”
Daily cash grain bids
April 14th, 2016
St Joseph |
|
Yellow Corn |
3.61 – 3.66 |
White Corn |
no bid |
Soybeans |
9.06 – 9.19 |
LifeLine Foods |
3.69 |
|
|
|
Atchison |
|
Yellow Corn |
3.67 – 3.70 |
Soybeans |
9.01 |
Hard Wheat |
3.60 |
Soft Wheat |
2.84 |
|
|
|
Kansas City Truck Bids |
|
Yellow Corn |
3.69 – 3.74 |
White Corn |
4.00 – 4.05 |
Soybeans |
9.41 |
Hard Wheat |
4.35 |
Soft Wheat |
3.10 |
Sorghum |
5.96 |
For more information, contact the 680KFEQ Farm Department.
816-233-8881.
Germany supporting continued glyphosate use
Germany will back a proposal by the European Union that will allow the continued use of glyphosate in weed killers. Germany’s agriculture ministry said this week it agrees with the assessment of the European Food Safety Authority, which issued an opinion that glyphosate was unlikely to cause cancer, according to Reuters. Glyphosate is used in many herbicides, including Monsanto’s Roundup, but has provoked a dispute after the World Health Organization’s International Agency for Research on Cancer claimed the weed killer was “probably carcinogenic to humans.” The EU last month delayed a decision on whether to approve a European Commission proposal to extend the authorization of glyphosate for 15 years until 2031. The existing authorization is due to lapse in June.
China may permit GM corn cultivation

China may permit cultivation of genetically modified corn within the next five years. An official with China’s agriculture ministry said the nation will push forward the process of introducing pest-resistant cotton and pest-resistant corn as part of a five-year plan being implemented starting this year. However, no further information was provided by China. Pro Farmer’s First Thing Today reports that while China is the largest buyer of genetically modified soybeans, it has not permitted the cultivation of biotech crops, except cotton and papaya. State-owned ChemChina’s purchase of Syngenta in February did spur talk that a ban on GMO cultivation may soon be lifted.
Soy growers react to agriculture appropriations bill

The American Soybean Association says there are both positives and negatives in draft bills released this week, including the Fiscal Year 2017 Agriculture Appropriations bill. ASA President Richard Wilkins welcomed the Energy and Water Appropriations bill but noted concerns with the Agriculture Appropriations bill. In the agricultural bill, he says ASA is concerned with cuts to conservation programs authorized in the farm bill, including $300 million from the Conservation Stewardship Program, $113 million from the Environmental Quality Incentives Program and a reduction in the funds available for the Regional Conservation Partnership Program to $46.5 million. Among the positives in the Energy & Water Appropriations bill, according to ASA, is a prohibition on the use of funds to implement the controversial Clean Water Rule, also known as Waters of the United States. Additionally, the bill boosts funding for waterways infrastructure to record levels, including $6.1 billion in overall funding for the U.S. Army Corps of Engineers.
La Niña Could Bring Hot, Dry Weather to the Midwest
Forecasters from Japan to the United States and Indonesia have predicted a La Niña could develop this year, potentially changing weather globally. As El Niño weakens and La Niña starts to take shape, forecasters with the University of Missouri say the weather event seems likely to bring hot and dry weather to the Midwest this summer. The Midwest experienced a relatively mild winter and, according to Tony Lupo, a professor of atmospheric science at the University of Missouri, a fading El Niño leaves part of the U.S. open to dry conditions. La Niña is a weather pattern that directs the jet stream from the Pacific Ocean on a northeastern path over Canada. Rain-producing storms follow the jet stream, leaving states in the central and south-central U.S. dry. Lupo says he does not expect the summer weather in the Midwest to be comparable to the drought conditions of 2012, but still calls the forecast bad for agriculture. Bloomberg says the most recent La Niña weather event began in 2010 and continued into 2012.