Legal Issues That Could Affect Agribusiness in 2025

The Ag Business Council’s Annual Legal Update took place virtually, featuring several experts on legal issues facing the agriculture industry. Law firm Bryan Cave Leighton Paisner hosted the event, with opening remarks by BCLP partner Bob Thompson. The webinar was moderated by Zach Helder, Ag Business Council Director of Member Services.

Elsa Manzanares, partner at Stinson in Dallas, opened the program, saying, “You can expect tariffs to come out on day one of the Trump administration.” Regulatory risks associated with transactions involving China, she said, will continue to dominate international trade compliance considerations for U.S. companies. “China remains the long-term focus of U.S. national security and economic interests.”

Manzanares advises clients and legislators on U.S. and international regulations related to imports and exports. She has argued cases before the U.S. Court of International Trade, and was appointed to the Office of the U.S. Trade Representative to review antidumping and countervailing duty disputes under Chapter 19 of NAFTA. Aiming her advice at the international sector of the ag industry, she noted that “the fundamentals remain the same:”

• Review harmonized tariff classifications

• Implement a comprehensive trade compliance program

• Understand your risk profile

• Review guidance published by regulatory and governing agencies

Roger McEowen, Kansas Farm Bureau Professor of Agricultural Law and Taxation at Washburn University School of Law, directed his remarks on tax issues to farmers, livestock producers, agribusinesses and rural landowners, whose concerns are focused on what’s happening down on the farm. “The never-ending stream of legal and tax issues facing farmers and ranchers continues unabated,” he said. There’s never a dull moment, McEowen added. He hinted that a new farm bill could include revisions to the way IRS Section 180 might provide tax deductions for certain land purchases and land use expenses.   

Turner Polzin, CPA and Principal at Kansas/Arkansas-based Adams Brown Wealth Consultants, said the key to developing a successful succession plan is to start early. “And talk, talk and talk,” he emphasized. He was referring to how important it is that family and business partners have a clear understanding of the situation and where family heirs and non-familial heritors fall in line. All involved need to know the difference between fair and equal, Polzin explained. Simply put, if one sibling has worked the farm as a lifetime occupation and intends to continue maintaining it, he or she is probably entitled to a larger share of the inheritance. But such details require professional guidance.

Luke Guetterman, CPA, a tax advisor at Forvis Mazars, one of the largest public accounting firms in the U.S., focused his presentation on some provisions in the federal tax statutes that will be sunsetting in 2025. He noted that the yearly inflation adjustment for federal income tax brackets would increase by roughly 2.8%. That adjustment is relatively more favorable than 2024’s 5.4%. “There will also be the expiration of the Qualified Business Income Deduction and reductions of the Lifetime Estate Exemption,” he noted.

Chicago-based Brett Legner, of counsel with law firm Mayer Brown and a professor of law at Loyola University Law School, discussed the Loper Bright case—a landmark Supreme Court ruling on federal administrative agencies’ power to interpret and federal laws with deference from the judiciary. In a 6-3 decision, SCOTUS rejected the Biden administration's argument that existing precedent, known as Chevron Deference, protected agencies as they adjudicated laws written by Congress. SCOTUS suggested individuals and private entities had a right to defend themselves from civil penalties before a jury. The justices argued the Seventh Amendment to the Constitution, which guarantees a right to a trial before a jury of peers, applies to cases involving administrative penalties. The decision has the potential to put additional limits on federal and state agency authority. “Administration change will affect current rules like WOTUS and other environmental regimes,” he said. “Many things are on hold right now.”

Digging Deeper...

Agricultural export trade is an important revenue stream for many farmers and ranchers in the U.S. It directly influences their operational decisions when planning for the coming year. With higher tariffs proposed as the Trump Administration moves into the White House, farmers and ranchers are wondering how new policies will affect their operations and business ledgers.
By Dennis McLaughlin, McLaughlin Writers LLC. Sources: AgriPulse Communications, January 8, 2025; Ag America, December 4, 2024; AFBF/The Conference Board, Oct 4 2024; Steve Cubbage, Longitude 94 LLC/AgWeb, January 8, 2025; USDA Economic Research Service, November 26, 2024.

USDA Revises 2025 Ag Exports Upward…… A Bit 

For the moment, U.S. agricultural exports appear to be a positive in the overall outlook for the nation’s international trade. In its last agricultural export forecast of 2024 (November 26, 2024), USDA’s Economic Research Service said the overall value of U.S. agricultural exports in FY 2025 will reach $170 billion. That’s up $500 million from the August outlook. This projection was supported by increases in livestock and dairy exports. Beef exports were revised upward by $400 million, bringing the total to $8.8 billion, according to the ERS’s November report. The dairy outlook was raised $300 million to $8.4 billion. “This new higher forecast is based on increased U.S. price competitiveness for a number of products,” ERS said.

The latest forecast overall for livestock, poultry and dairy exports is expected to increase by $700 million to $39.3 billion. Grain and feed exports are forecast at $36.5 billion, up $200 million from the August forecast, as higher exports of corn and sorghum more than offset moderately lower wheat and feed and fodder exports.

Exports to Mexico are forecast to grow to $29.9 billion, a $700 million increase. Exports to Canada are projected to hit a record high of $29.2 billion based on stronger-than-expected demand for beef, fruits, and vegetables. 

Another cause for exporter optimism, as well as for importers, is the apparent labor settlement between the Longshoremen’s Association and the U.S. Maritime Alliance that represents container carriers and port operating employers. Such a massive strike at East and Gulf Coast ports might have cost the U.S. export/import industry $1.4 billion a week, said the American Farm Bureau Federation, citing statistics from The Conference Board (October 4, 2024). 

But there is reason to temper expectations about the near future. USDA projects ag imports will increase to $215.5 billion in 2025, driven by strong overseas demand for horticultural and tropical products such as fruits, nuts, and sugar. Since 2020, agricultural trade imports have increased as much as 50%, reported Ag America (December 4, 2024), “while U.S. agricultural exports have increased by a lesser 22%.”

This widening trade gap can be attributed to a mixture of factors, noted Ag America, Including these:

• A decline in U.S. agricultural exports to China, historically a top agricultural export market.

• An increase in U.S. consumer demand for imported agricultural products.

• Drought and severe weather conditions in the U.S. lowering yields and increasing import demand. 

“This growing agricultural trade deficit,” Ag America said, “also underscores the importance of maintaining diversified markets and minimizing trade barriers to sustain export momentum.”

Ag Is Wary

The Trump administration has signaled it will impose tariffs on products from China, Mexico and Canada. Agriculture economists and commodity groups worry that import tariffs on a wide range of farm products could backfire on U.S. agriculture. A week after the presidential election, 42% of farmers surveyed by the Ag Economy Barometer said they think it is either likely or very likely that U.S. agriculture is at risk of a trade war that will cause significant decrease in U.S. agricultural exports. Purdue University and financial services company CME Group survey 400 agricultural producers across the U.S. each month to track farmer sentiment. President Trump’s selection of Howard Lutnick as Commerce Secretary suggests that stiff tariffs will be a primary trade strategy. With the selections of Jamieson Greer as U.S. Trade Representative and Kevin Hassett as head of the National Economic Council, Trump will enjoy solid support for his trade policies.

Raising tariffs on other countries, though, usually leads to retaliation. Trade partners facing new tariffs from the U.S.will impose their own import taxes on U.S. products, noted Chad Hart, Ph.D., an agricultural economist at Iowa State University. “And agricultural exports are often targets in those trade wars,” he said. Dr. Hart emphasized that until there’s clarity about the scope and scale of tariffs, trying to predict the exact impact they could have on the U.S. puts “the cart before the horse.” But increased tariffs imposed on China in 2018 and 2019 have led to billions in losses for U.S. agricultural products—even after $23 billion in federal aid to farmers to cover short-run losses from trade disruptions. Zach Helder, the Agricultural Business Council’s Director of Member Services, added “To protect their interests and deter further escalation, defending countries in trade wars need to maximize the political pain of new tariffs. Penalizing U.S. agriculture is the simplest and most visible response, especially as the availability of alternate grain supplies in South America provides a shield against domestic price increases in the retaliating country.”

Glynn Tonsor, Ph.D, agricultural economist at Kansas State University, focuses on the livestock and meat industry. Products go to countries where they’re most valuable in an open trade environment, he said. In an interview with Harvest Public Media (December 17, 2024), Dr. Tonsor said livestock producers at the start of the supply chain tend to be the most affected by sudden market shifts – such as tariffs. Farmers reliant on imported machinery, fertilizers and other inputs may face higher costs that cut into already tight margins, reported Ag America.

A Different Perspective

Steve Cubbage, founder of Nevada, Missouri-based Longitude 94 LLC and a thought leader in precision agriculture and food production, recently wrote in an article for AgWeb (January 8, 2025) that “the most overused word in the English language since November has to be the word tariff as speculation runs rampant on how much a Trump 2.0 presidency will use this controversial trade negotiation tool. Tariffs can disrupt almost any industry,” he said, “but U.S. agriculture has already ‘seen this movie.’” 

Instead, Cubbage warns that U.S. agriculture, as well as the overall American economy, should be more concerned about the influence China and Russia have over trading allies like Brazil, India and South Africa. China and Russia forged a compact with these nations known as BRICS in 2009. The trading bloc is the world’s largest by population and accounts for about 37% of the world’s grain. In 2023, Brazil was China’s largest source of agricultural imports, and that accounted for more than 50% of Brazil’s total trade with China. “No longer are U.S. farmers China’s primary source of imported soybeans or corn,” says Cubbage.

Solidly Embedded

China has been acquiring Brazilian railroads and expanding port facilities. Between 2007 and 2022, China invested $71.6 billion in 235 Brazilian infrastructure projects. “But China’s investment and buying spree has been more impressive within the continent of Africa,” notes Cubbage. China’s Belt and Road Initiative is active in 53 of Africa’s 54 nations and is also involved in Asia and Europe. “The projects intend to provide improved shipping corridors for precious raw materials and commodities, and as of 2023, the two-way investment between China and its BRI partners had reached $380 billion.”

Cubbage contends that if U.S. agricultural exports to China continue to decline, tariffs won’t be responsible. “It will be because China holds a majority of railroads, utilities and low-cost properties on the world’s Monopoly board.” Why buy U.S. soybeans, he asks, when the Chinese can ship them from Brazil on their own railroad to their own port in their own container ship? “If you already own everything but Boardwalk and Park Place,” he argues, “then you don’t need the economies of the West to be involved as you plot your future livelihood.”

Latest News & Updates in KC Agriculture - January 2025

DEVELOPMENTS

Vytelle, a precision livestock company based in Lenexa, Kansas, reported in late December that its revenue has grown 278% over the last three years.  “We’re growing three times faster than [others in companies] in the advanced agricultural reproductive market,” CEO Kerryann Kocher. Vytelle uses an in vitro fertilization and artificial intelligence technology platform to maximize the value of livestock herds, such as by identifying animals with the best genetic traits to improve cattle reproduction. The company is building a global network of lab spaces, including in the U.S. and New Zealand, that produce embryos for cattle farmers. Kocher says the company’s success also has hinged on delivering on its value proposition for customers: promising to be the “most accessible, reliable and predictable tool when it comes to genetic progress services.”

Ceva Animal Health, the 5th largest global animal health company, with U.S. headquarters in Lenexa, Kansas, announced it has been granted rights to develop and manufacture new dbDNA vaccines and therapeutics, pioneered by London-based Touchlight, a biotech enterprise. Touchlight’s expertise in synthetic DNAs and protein designs together with Ceva’s leadership in development and manufacturing of animal vaccines will support the development of effective novel technology vaccines.

University of Missouri experts have released the Show-Me 2025 Missouri Agricultural Outlook, which shows a mixed outlook for Missouri’s crops and livestock and the challenges and opportunities ahead. The report is available at www.mizzou.us/MAO25. “While corn production is set to decline with rising prices, soybean production is expected to increase despite falling prices,” said Danyelle Chinn, economist with the MU Rural and Farm Finance Policy Analysis Center. “On the livestock side, declining beef cow inventories may push cattle prices higher, while increasing hog inventories could lower prices.” These trends emphasize the need for strategic decision-making in a shifting market, Chinn said.

Dutch bank RaboResearch, known for its global agriculture focus, reports 2025 will mark a pivotal moment for production across various regions and commodities. “Overall production is set to grow slightly faster than in 2024, driven by aquaculture, wild catch and poultry,” says Angus Gidley-Baird, Senior Analyst – Animal Protein for RaboResearch. “Seafood and pork are expected to transition from contraction to growth, while beef will move from growth to contraction, reshaping market dynamics and supply chains.” Aquaculture and wild catch are projected to grow by 2.3%, rebounding from a 0.3% decline in 2024. Poultry will continue its steady growth, while beef production will decline due to contractions in major regions. Pork production will be up marginally (+0.1%) after significant growth from 2021 to 2023 following recovery from African swine fever.

Precision Conservation Management in collaboration with the Illinois Corn Growers Association, Kentucky Corn Growers Association, and Missouri Corn Merchandising Council, has received new grant funding from the National Fish and Wildlife Foundation to bolster regenerative agriculture practices. This grant is part of the $14.7 million NFWF awarded nationwide to advance soil health and improve water quality on working lands. It provides the first opportunity for Missouri farmers to participate in PCM. “We are excited to bring the farmer-led Precision Conservation Management program to the Lower Grand and Salt watersheds in northern Missouri,” says MCMC Chairman Brian Lehman. “This marks the first PCM region in our state, offering corn growers one-on-one assistance to identify conservation practices that fit their needs for positive environmental outcomes and long-term profitability. By providing access to technical resources for practices like cover crops, nutrient use efficiency, and tillage management, we are investing in healthier soils for future generations.” More information at www.precisionconservation.org.

Livestock Marketing Association members and staff have scheduled its 2025 Washington D.C. Fly-In for March 9-11. This event offers a unique opportunity for LMA members to engage with policymakers, experience the heart of D.C, and advocate for the livestock marketing industry. This fast-paced event will include briefing on LMA policy priorities, USDA meetings, Congressional visits, reception with elected officials and staff on Capitol Hill, an auction demonstration by Wade Leist, World Livestock Auctioneer Champion, and a Monuments by Moonlight bus tour. To join the fly-in, contact Lucas Simmer at www.simmer@lmaweb.com for more details.

The American Royal Association has received a grant for $20,000 from Bayer Fund, a philanthropic arm of Bayer in the U.S. The grant will be used to support the American Royal K-12 agricultural education programming in 2025. “We appreciate the support of Bayer Fund as we strive to enhance our long-standing youth field trip experience and new programs, like AgStem camp, educational clinics and career development events,” said Lauren Luhrs, director of partnerships at the American Royal Association. “Since its founding in 1899, the American Royal has consistently weaved education into its programming. As we have expanded to host events year-round, our focus on education has also grown. This Bayer Fund grant will be tremendously beneficial as we work to impact the future of agriculture.” The American Royal, whose purpose is to champion food and agriculture, will be using the grant funds to expand several of its education programs for students with minimal exposure to agriculture as well as youth with deep roots in the industry. The Bayer Fund grant will allow the American Royal to enhance these events with supplementary educational materials and take-home resources for participants, and offset costs for event setup, onsite medical care and security teams.

Farm Journal has entered a strategic partnership with Randy Dowdy and David Hula, lifelong farmers and founders of Total Acre. The expansive collaboration includes the launch of a new video podcast along with industry-leading content that will be distributed across Farm Journal’s omni-channel platforms. “Farm Journal has set the bar in this industry,” Dowdy said. “To have the opportunity to leverage all the ways Farm Journal reaches farmers is a big deal for us and the farmers we serve.”

EVENTS

The Kansas Corn Growers Association kicks off its 50th Anniversary celebration at the Kansas Corn Symposium on Thursday, January 30 at the Salina Hilton Garden Inn. The KCGA Annual Meeting will feature policy discussions and updates from KCGA and National Corn Growers Association as well as discussion of resolutions and elections. KCGA was founded in 1975 by a committee of growers led by Earl Foote of Bucyrus, who served as the association’s first president. Since its beginning 50 years ago, KCGA continues to grow as a respected and active farmer-led voice for Kansas corn farmers. Today, KCGA continues its involvement on the national level with several current leaders and staff serving on NCGA action teams, as well as other teams and committees with other partnering organizations. KCGA will celebrate its 50th Anniversary throughout the year, recognizing its farmer members, current and past leaders, and the organization’s accomplishments.

The Kansas Commodity Classic returns on Friday, January 31, 2025, at the Hilton Garden Inn in Salina, bringing together Kansas farmers and industry leaders for a day of valuable information and networking. The Kansas Commodity Classic is the annual convention of the Kansas corn, grain sorghum, soybean and wheat associations. The event is free to attend and includes a complimentary breakfast and lunch, but pre-registration is requested. Greg Akagi, agriculture director for WIBW Radio and Kansas Agriculture Network, will serve as MC of the event will include perspectives on long-term weather forecasts, market insights, investment in rural communities, the Kansas State Fair, conservation and legislative developments. Registration starts at 7:30 a.m. The program gets underway at 8:30 a.m. with remarks from Kansas Secretary of Agriculture Mike Beam. To register, contact Kansas Corn by phone at 785-410-5009 or by email at corn@ksgrains.com

On February 20, MU Extension will host Unlocking Lending Opportunities in Missouri’s Specialty Crop Industry, an informative conference to help ag finance professionals become more familiar with the resources and partnerships available to support Missouri’s specialty crop growers from a lending perspective; the specialty crop sector is growing and could offer new opportunity for lenders to expand their portfolios. With nearly 4,000 specialty crop farms that generated $267 million in sales in 2022, Missouri’s specialty crop sector is an emerging opportunity for lenders looking to expand their portfolios. Often concentrated around urban areas, Missouri’s specialty crop producers grow a diverse range of vegetables, fruits and other horticultural crops.  This three-hour workshop will cover how agricultural lenders can serve this expanding sector through partnerships with the USDA’s Farm Service Agency (FSA), the Natural Resource Conservation Service (NRCS) and University of Missouri Extension. Tailored for lenders new to agriculture, or those new to lending to specialty crop producers, this workshop will provide practical tools and insights to support specialty crop clientele. The event will be held at the Anita Gorman Conservation Discovery Center, 4750 Troost Ave, Kansas City MO 64110. Registration: Mallory Rahe Mallory.rahe@misouri.edu 573-884-7606. Cost is free. 

MU Extension is partnering with Missouri State University to present the SW MO Beef Cattle Conference, which will educate cattle producers on strategies that will add value to their beef cattle operation. The conference takes place February 11, 2025, in the Christopher S. Bond Learning Center at the MSU Darr Agriculture College. Agriculture businesses will have booths set up. For more information or to have a booth, contact the Cedar County MU Extension Center at (417) 276-3313.

Kansas Livestock Association’s Legislative Meeting and Dinner is scheduled for February 19 at the Townsite Tower in Topeka. All meetings and meals held throughout the day will take place at this location. The event will start with a complimentary lunch, sponsored by Equity Bank. After lunch KLA’s lobbying team will analyze bills under consideration in the Kansas Legislature. Members will have the opportunity to discuss and take positions on bills, providing direction to staff. The social and dinner with state legislators will begin at 6:00 p.m. All 165 members of the Kansas Legislature will be invited. Members are encouraged to sit with their representative and/or senator at dinner to discuss KLA positions on proposed legislation. Registration information at www.kla.org.

Missouri Pork Association is holding this year’s Missouri Pork Expo February 18-19, 2025, at the Margaritaville Lake Resort Lake of the Ozarks in Osage Beach, Missouri. For more information and registration, contact Diane Slater, 573-445-8375, diane@mopork.com . 

PEOPLE

The American Royal Board of Directors announced a key addition to its executive leadership team. Pat Macy will serve as Managing Director of the American Royal Association, effective January 6, 2025. In this role, Pat will manage day-to-day operations and lead the Association’s staff in executing its strategic initiatives, events, and programs. His responsibilities include overseeing organizational, financial, and facility operations while driving strategic partnerships and engagement across our community. Jackie McClaskey will continue in her role as President and CEO of the American Royal Association, focusing on the New American Royal Campus and the organization’s Strategic Plan. Together, McClaskey and Macy are supported by a dynamic senior leadership team, including Tim Carroll, Chief Financial Officer, Sara Befort; Chief Operating Officer, Katie Vincent, Vice President of Marketing; and Kyle Vena, Vice President of New Campus Development.

The World Food Prize Foundation has appointed recently departed USDA Secretary Tom Vilsack as CEO. Vilsack’s appointment builds on his longstanding relationship with the Foundation, where he served on the Council of Advisors and Board of Directors, offering invaluable insights that have shaped its mission and initiatives. With nearly 12 years of service in the Obama and Biden administrations, Tom Vilsack is the second-longest serving as U.S. Secretary of Agriculture. “I’m also the sixth-longest serving cabinet member of any kind,” he told Successful Farming in a recent interview. He also noted he had no intentions of retiring. “There’s work to be done in food and nutrition security, and I will look for opportunities to be engaged in that effort,” he said.

Josh Mueller, Halstead, Kansas, has been appointed vice chair of the Kansas Beef Council. He, along with KBC Chairman Jake Pannbacker, will lead the council over the next year. Mueller is a fourth-generation farmer and rancher. In 2019, he and his wife, Macey, purchased El Dorado Livestock Auction, where they currently market nearly 70,000 head of cattle each year. He has been a representative for Superior Livestock Auction for 20 years and also has his own order-buying business. Mueller currently serves on the Federation of State Beef Councils and has been a member of the KBC Executive Committee since 2018. He is a past KLA county chair and past president of the Harvey County Livestock Association.

Richard Fordyce, a Missouri farmer who ran USDA’s Farm Service Agency in the first Trump administration, has been chosen as USDA Undersecretary for Farm Production and Conservation. If confirmed, Fordyce would oversee FSA, the Risk Management Agency and Natural Resources Conservation Service. Robert Bonnie held the post during the Biden administration.

Ceva Santé Animale (Ceva) announced the appointment of Brad McCollum Senior Vice President for North America. Ceva U.S. is headquartered in Lenexa, Kansas. McCollum will lead Ceva’s business development and activities in the United States and Canada. He succeeds Jean-Charles Tissot, who has been overseeing this region since 2019. Tissot will lead Ceva’s global autogenous vaccines’ activities. A graduate of the University of Oklahoma, McCollum has had an impressive 25-year career in pharmaceuticals and animal health. Before joining Ceva, he served as Senior Vice President Petcare for the U.S. Business at Zoetis. His extensive leadership experience also includes different roles at Zoetis and over a decade at Pfizer.

Latest News & Updates in KC Agriculture - December 2024

DEVELOPMENTS 

Bill Hudson, founder of The ProExporter Network (PRX), passed away December 6th, 2024. He was a fixture in the global agriculture industry, launching PRX in 1988. He sold the company in 2006, and served as PRX chief editor until his retirement in 2019. “Bill’s contributions to U.S. agribusiness decision making are both extensive and consequential,” said Marty Ruikka, a principal of PRX.  “As a friend, partner, mentor and colleague,” Ruikka added, “Bill was and remains irreplaceable. After his retirement, a senior executive client said to me ‘Bill was a National Treasure to our industry’ and I completely  concur.” The Amos Family Funeral Home in Shawnee, Kansas, is handling funeral arrangements set for December 21.  

USDA does not provide updated commodity production estimates in December, waiting until January to provide “final” estimates.  However, its World Agricultural Supply and Demand Estimates  (WASDE) provided fresh data on corn, soybeans and wheat.  Corn exports were increased 150 million bushels to 2.475 billion bushels, while corn used for ethanol was increased 50 million bushels.  Soybeans were unchanged, except for a reduction in average farm price of $0.60 to $10.20 per bushel.  Wheat imports and exports were increased,  imports by 5 million bushels and exports by 25 million bushels. All PRX reports will be updated with these changes and available later this week. Source: ProExporter, Inc, December 11, 2024. 

The Minnesota Public Utilities Commission approved Summit Carbon Solutions’ proposed carbon capture and storage pipeline project. The approval is contingent upon the pipeline’s receiving the necessary permits, and beginning construction in other states along proposed routes before construction can begin in Minnesota. The Otter Tail to Wilkin Carbon Dioxide Pipeline Project is a proposed 28-mile, 4.5-inch diameter carbon steel pipeline. It is designed to transport captured carbon dioxide (CO₂) from the Green Plains Ethanol Plant near Fergus Falls in Otter Tail County, Minnesota, to the North Dakota border south of Breckenridge in Wilkin County. From there, the CO₂ is sequestered underground in North Dakota using Class VI injection wells. Summit CEO Lee Blank has participated in several Kansas City Agricultural Business Council’s meetings, forums and conferences.  

The US agriculture industry has started talks with President-elect Donald Trump’s transition team in a bid to advocate for the food business as the president-elect pledges tariffs and mass deportations.  Groups including the National Grain and Feed Association, which represents agriculture powerhouses such as Archer-Daniels-Midland Co. and Cargill Inc., and the International Fresh Produce Association, were among those involved in the discussions, according to people familiar with the matter. The National Council of Agricultural Employers also has a meeting on the books. Source: BNN Bloomberg, December 12. 2024. 

Kansas State University researchers received a $2 million award from the National Science Foundation’s Global Centers program to develop sensors that can more accurately detect nutrients, chemical compounds, soil microbiomes and greenhouse gases in soil. Suprem Das, an associate professor in K-State’s Department of Industrial and Manufacturing Systems Engineering, said, “Advancing soil sensors is essential for advancing precision agriculture and promoting sustainable practices.” Das will lead the project of more than a half dozen scientists aiming to develop sensors using atomically thin carbon sheets in which the actual sensing events occur at the nanoscale, defined as a dimension between 1 and 100 nanometers. The project, Das said, is the first successful example of leveraging K-State’s GRIP (game-changing research initiation program) award to attract highly competitive federal grants. Funding for K-State’s work begins on January 1, 2025. 

During its annual business meeting in November, Kansas Livestock Association focused its policy on milk marketing, Kansas State University dairy facilities, deer permits, federal immigration regulation and other key issues. New resolutions included these: 

• Creation of a milk marketing trust statute that would give unpaid cash sellers priority in the proceeds a dairy processor receives from the sale of milk or dairy products derived from the seller. 

• Renovation of K-State dairy facilities. The present condition of the dairy hinders the ability to perform research that would benefit the state’s growing dairy industry. 

• Election of (instead of appointing) commissioners to the Kansas Corporation Commission (KCC). Currently, three commissioners are appointed by the governor and confirmed by the Senate. The resolution further states that electing commissioners would more closely reflect the values of Kansas citizens. 

• Amendment of KLA’s existing policy pertaining to deer permits. The amended policy supports the repeal of a statute that allows non-Kansas residents the ability to obtain low-cost, nonresident landowner or tenant deer tags. Such a repeal would require nonresident landowners to enter the annual nonresident drawing to obtain a deer tag and pay full price for it.  

• Amendment of policy on immigration that supports federal immigration policy that allows for an efficient and adequate guest worker program and provides opportunities for foreign agricultural workers to gain year-round work authorization. 

In all, KLA members approved 75 resolutions for 2025. Other issues addressed in KLA policy range from taxes to water to noxious weed control. 

The International Dairy Foods Association (IDFA) shared a comprehensive set of federal policy priorities, December 12, with President-Elect Trump’s transition team. IDFA President and CEO Michael Dykes, D.V.M., said IDFA and its more than 300 members are looking to the new administration to help the U.S.  dairy industry to drive innovation, reduce barriers to business efficiency, and open new market access for healthy, nutritious U.S. dairy products around the world. “IDFA is pleased to share the priorities of the dairy industry with President-Elect Trump’s transition team leaders to build new momentum and drive greater prosperity across the U.S. dairy supply chain,” said Dykes, who also noted that U.S. dairy is the most productive in the world, but workforce challenges, dwindling export market opportunities and burdensome regulations are creating uncertainty for our industry.  

EVENTS  

Winter is coming and Kansas Corn and its commodity partners are offering several events with learning and networking opportunities for Kansas corn farmers. With four Kansas Corn and Soybean Schools held across the state, the Kansas Corn Symposium and Kansas Commodity Classic, growers can catch up with their commodity organizations, and farmers from across Kansas, and can hear from top speakers about issues that impact agriculture and their farms’ profitability. All events are offered free to growers. 

• Kansas Corn and Soybean Schools: 2025 Kansas Corn and Soybean Crop Management Schools will be held across the state Jan. 14-17. Kansas Corn and Kansas Soybean partner with K-State Research and Extension to offer the Kansas Corn and Soybean Schools, winter learning sessions for Kansas soybean and corn farmers. The Kansas Corn and Soybean Schools cover a number of issues for growers and are tailored to each region. Morning refreshments and a hot lunch are provided at these in-person schools. 

• Kansas Corn Symposium, Thursday, Jan. 30. Get ready to celebrate the 50th Anniversary of the Kansas Corn Growers Association at the Kansas Corn Symposium. The symposium will begin with a luncheon, top speakers, the KCGA annual meeting, a 50th Anniversary reception, dinner and entertainment. The Symposium will be held on Thursday, Jan. 30, 2025 at the Salina Hilton Garden Inn. The Kansas Corn Symposium brings together Kansas corn farmers, leaders and industry supporters to celebrate corn.  

• The Kansas Commodity Classic: Friday, Jan. 31. The Kansas Commodity Classic is the annual convention of the Kansas Corn, Grain Sorghum, Soybean and Wheat growers associations. The Classic will be held Friday, January 31, 2025 at the Salina Hilton Garden Inn, from 8:30 a.m. to 2 p.m. Join us for a high quality program with speakers on markets, policy and more along with breakfast and lunch, all offered free to growers thanks to the generous support of our sponsors. 

More information at kscorn.com. 

PEOPLE 

Kansas  Farmers Union (KFU) members gathered November 20-21 to elect leadership, advance key policy priorities for the upcoming legislative session and new Congress. New food and nutrition policy priorities include support for the expansion and promotion of farm-to-school and farm-to-institution programs and support for policies moving toward universal no-cost meals for all  Kansas  public school children. Kansas  Farmers Union President Donn Teske, Wheaton, was re-elected to a two-year term. Teske, a fifth-generation Pottawatomie County farmer, was first elected president of  Kansas  Farmers Union in 2001. He serves on the board of some twelve state, regional, and national boards concerning agriculture and the environment. 

Missouri Farm Bureau (MOFB) announced that Kayden Guymon has been hired to be its new Director of Regulatory Affairs & Policy Counsel. He will begin his tenure with MOFB on January 2, 2025. Guymon brings a wealth of knowledge and legal experience to MOFB. Prior, he worked for the Law Firm of Haden & Colbert where he specialized in agricultural law, providing legal counsel to farmers, ranchers, and agri-businesses. Guymon a graduate of the University of Missouri-Columbia, Guymon received his bachelor’s degree in animal science and received a law degree from Drake University Law School and also obtained a certificate in Food and Agricultural Law. 

Michelle Cloud  and  Joseph Frueh  joined the Missouri Farm Bureau (MOFB) board of directors during the 110th MOFB annual meeting earlier this month. Cloud, of Jasper County, was selected to serve as the South Director at-large representative, succeeding outgoing board member Amy Jo Estes of Gasconade County. The owner and operator of Cloud’s Meats in Carthage, Cloud has served as the Jasper County Farm Bureau President since 2022. Frueh, of Nodaway County, was selected as the new chair of the MOFB YF&R Committee. He is a fourth-generation farmer who currently serves as the President of both the Nodaway County Farm Bureau and the Nodaway County Cattlemen’s Association.   

Digging Deeper...

The roots of our Holiday Christmas Trees run deep in human history. Early Rome marked the winter solstice with its Saturnalia festival honoring Saturn, the god of agriculture. To observe the occasion, Romans decorated their homes and temples with evergreen wreaths. Druid priests of ancient Celtic culture in Northern Europe arranged evergreen sprigs and branches to symbolize everlasting life. As winter days grew darker, the Norse Vikings draped boughs of mistletoe – a semi-parasitic evergreen shrub – as a metaphor of love and betrayal.
By Dennis McLaughlin, McLaughlin Writers LLC. Sources: Julia Musto, The Independent, December 2, 2024, Independent Digital News & Media Ltd, UK; Wall Street Journal, November 28, 2024; Mordor Intelligence, India; A&E Networks (formerly the History Channel), a joint venture between Hearst  Communications and the Walt Disney Company.

Hurricane Helene And Christmas Cheer 

The United States is home to a vast, dynamic Christmas tree industry.  Evergreens are harvested across all 50 states. In 2022, the United States Department of Agriculture (USDA) reported the U.S. is the world’s largest market for Christmas trees. That’s quite an achievement considering the country was late to the historical yuletide celebrations by several millennia, give or take a century or two.   

Germany is credited with starting the modern Christmas tree tradition – as we now know it – in the 16th Century  when devout Christians brought decorated trees into their homes.  It is not surprising that the tree was adopted so late in America, noted The History Channel in a November 28, 2023 program. New England’s first Puritan leaders viewed Christmas celebrations as unholy, according to Channel’s editors who said, “Pilgrim governor William Bradford tried hard to stamp out pagan mockery of the observance, penalizing any frivolity.” In 1659, the General Court of Massachusetts enacted a law making any observance of December 25 an offense punishable with jail time.  People could be fined for draping decorations on their property and in their homes. Such stern measures were common until the influx of German and Irish immigrants in the 1800s helped make Christmas trees ubiquitous in American life.  

Now there are over 15,000 farms producing Christmas trees on plots measuring 2 to 9,000 acres in size. Larger farms dominate the market with around 434 farms controlling 75% of the supply. In recent years, the market has benefited from rising demand for eco-friendly products and that is ensuring a steady growth of natural Christmas tree production. Environmental consciousness, especially among millennials, has boosted the demand for natural trees as a more sustainable alternative to artificial trees.  

One of the main factors driving the sales of natural trees is the competitive pricing compared to artificial trees. In 2022, natural trees cost an average of $81 per tree, while artificial trees were priced higher at $107 per tree. Additionally, accessibility to freshly cut trees through online and offline platforms has contributed to the rising sales of real Christmas trees. The convenience of buying natural trees online has particularly appealed to eco-conscious millennials.   

The U.S. is the hub for the global Christmas tree market, according to World Population Review, a research firm based in Southern California. It notes that North Carolina, Michigan, Pennsylvania and Wisconsin lead in production and sales of Christmas trees. The Michigan Christmas Tree Association says around 30 million natural Christmas trees are sold annually in the U.S. Over 100 million trees currently are growing nationwide to ensure Americans a steady supply for years. Mordor Intelligence, India, has valued the North America Christmas tree market at $1.38 billion for 2024, and has forecast it to reach $1.71 billion by 2029. As sustainability gains importance, the North American natural Christmas tree market is expected to further expand in the coming years. 

But………. 

This year’s Christmas tree market hasn’t been all that merry with tidings of comfort and joy. The catastrophic flooding and destruction that Hurricane Helene unleashed on western North Carolina caused upwards of $53 billion in damages and recovery costs. “It’s the hardest year ever in North Carolina agriculture,” said Lee Wicker, deputy director of the North Carolina Growers Association, in an interview with the Wall Street Journal in late November. 

Among Helene’s victims was Trinity Tree Company-Avery Farms, located in western North Carolina. The family-owned farm and Christmas tree operation has been in business since the early 1700s, when the queen of England ceded the land to the Avery family as a gift.  On September 27, Helene dumped as much as 36 inches of rain and registered wind speeds as high as 175 MPH. 

“Helene hit our farm with aggression,” posted the family on its website, “wiping out our home, the barn, our office space, farm equipment, hauling trailers, dump trucks and all of our farm vehicles.” Some 60,000 Christmas trees, representing a third of the farm’s Christmas tree crop, were damaged. Many of the trees were partially submerged by floodwater, the family said.  “Others were covered in silt that resists washing.” Over the last couple of months Avery Farms has been salvaging what it can. The Wall Street Journal reported the staff is cutting tree tops off for table displays and using any salvageable greenery to make 3,000 wreaths, twice the normal number. “We’re cleaning what we can and we’re making little 4-foot trees out of 8-foot trees,” said Waightstill Avery III, scion to the three-century old farm operation. 

Looking at the bright side of the situation, the North Carolina Christmas Tree Association says  the current Christmas tree inventory should be enough to supply everyone who wants a real tree this year. But growers say that buyers might need to adjust their expectations for next year. The damage Helene inflicted on the Christmas tree crop this year will impact the Christmas tree industry many years to come. The Wall Street Journal pointed out that it takes roughly 10 years to produce a full-size Fraser fir, which grows about a foot a year. Many of the trees that were damaged were several years from maturity, explained The Wall Street Journal. That could affect supply for five or six years. Seedlings now being tended to in a nursery will require even more time before being planted.  

Washington Update at Council’s December Luncheon

Mike Seyfert

Kansas State University alum Mike Seyfert, President and CEO of the National Grain and Feed Association (NGFA), addressed Ag Business Council members during December’s annual meeting and December luncheon at the Grand Street Café. As Agriculture closely watches the Presidential transition, Seyfert provided his insights on what Council members can expect from Washington in 2025.  

Seyfert noted that NGFA enjoyed a positive working relationship with the previous Trump administration and is looking forward to partnering with his new administration over the next four years to strengthen the rural economy, and “put U.S. agriculture in a position to flourish for many years to come.” But agriculture is a tough business, and he commented that House Speaker Mike Johnson could have a rough time. “From passage of a new Farm Bill to transportation investments and opening of new markets for NGFA member companies, there is a lot of work to do,” said Seyfert. That sentiment was reiterated at the 53rd Country Elevator Conference held in Kansas City this past week, sponsored by the NGFA. The U.S. grain and feed industry will have several issues to navigate in 2025, including a difficult rural economy, shifting political realities and potential extreme weather conditions.  

The situation, however, is not without opportunity. Lower wheat export volumes from the E.U. and Russia could create windfalls for the U.S. and Canada. Emerging biofuel demand in the E.U., Mexico, India and Vietnam could open new markets for the U.S. Deregulation, an extension of tax cuts, renewed interest in agriculture production along with increased domestic energy production constitute opportunities for rural America.  

Shortly before his visit with the Kansas City Agricultural Business Council, Seyfert explained that USDA’s forecast for growth in grain production and steady export share of grain demand has the potential to provide opportunities for rail freight growth. He said U.S. grain production has nearly doubled over the past four decades, and wheat, corn and soybean yields are expected to increase from 21 billion bushels in 2023 to 23 billion bushels by 2033. Grain exports will expand from 4.5 billion bushels currently to 5.5 billion by 2023.  

Ag Business Council Raises Young Leaders to Board of Directors

Emma Reynolds (Dairy Farmers of America) and Sam Bormann (Merck Animal Health) succeed outgoing directors Jackie Klippenstein and Bill Vaughan

KANSAS CITY, MO--   The Agricultural Business Council of Kansas City held its annual meeting on December 4, re-electing Chair Ron Seeber and Vice Chair Kristie Larson, and elevating two young leaders in agriculture and animal health to the Board of Directors. Emma Reynolds and Sam Bormann will succeed outgoing directors Jackie Klippenstein and Bill Vaughan.

Seeber serves as CEO of the Kansas Agribusiness Retailers Association, Kansas Grain and Feed Association, and Renew Kansas Biofuels Association. Larson is the Strategic Relationship Manager at The DeBruce Foundation.

Reynolds is Manager of Dairy Policy and Industry Relation at Dairy Farmers of America (DFA), where she has served the cooperative’s farmer-owners since her career began. She started at DFA as an intern while earning her bachelor’s and master’s degrees in agricultural economics from the University of Missouri. Reynolds was raised on a row-crop and beef cattle operation in West-Central Missouri. 

Bormann leads the parasiticides business for the US Commercial Cattle Team at Merck Animal Health, drawing on extensive leadership experience at Merck, and earlier at Virbac and Elanco Animal Health. Bormann is a committed leader in his community, serving on the board of Christ Preparatory Academy and the K-State Olathe Advisory Board.

Klippenstein and Vaughan, the outgoing directors, each served on the Council Board of Directors for six years, and provided indispensable leadership throughout a decade of growth and programmatic success at the Council.

Tom Worth, Division Director at USDA’s Economic Research Service (ERS), was elected as an ex-officio member of the Board. He will succeed outgoing ex-officio director Jim Staiert, the Associate Administrator of ERS.

The Council’s Board of Directors consists of 20 members serving staggered two-year terms. Incumbent directors re-elected to the board include:

• Eric Bohl, The Bockorny Group

• Justin Gilpin, Kansas Wheat

• JJ Jones, Cultivated Conversations

• Sarah Kolell, American AgCredit

• Haley Larson, Kansas State University – Olathe

• Emily Narverud, Agriculture Future of America

• James Nygren, Farm Credit Services of America

• Brad Tolbert, John Deere

The re-elected directors will join incumbent directors continuing in their terms:

• Davin Althoff, Missouri Farm Bureau

• Tom Brand, St. Joseph Community Alliance

• Amber DeWitt, Fulcrum Global Capital

• Terry Holdren, Kansas Farm Bureau

• Chelsea Good, Livestock Marketing Association

• Chris Klenklen, Missouri Department of Agriculture

• Jackie McClaskey, American Royal

• Paul Schadegg, Farmers National Company

• Matt Teagarden, Kansas Livestock Association

• Robin Wenneker, Wenneker Properties

The Council’s staff leadership remains unchanged, with Erica Venancio serving as Executive Director and Zach Helder as Director of Member Services. 

The Agricultural Business Council represents over 700 members from the food and agribusiness sector. Agribusiness remains a cornerstone of the Kansas City region, driving 8% of the local workforce and 22% of the gross regional product (GRP).

AFA Looks To A Future With Advanced Technology

Elizabeth Fastiggi,

At its Annual Leaders Conference earlier this month, held in the Sheraton Kansas City Hotel, Agriculture Future of America took a look at how technology is shaping the future of farming.  It was AFA’s most well-attended conference to date. Elizabeth Fastiggi, Global Head of Agri-food at Amazon Web Services (AWS) was guest speaker at the opening breakfast gathering hosted by the Agricultural Business Council of Kansas City.

“Agriculture is no stranger to harnessing the powerful combination of human ingenuity and machinery and technology,” said Fastiggi. The industry has made tremendous strides in guiding humans to be more efficient, she noted, allowing farming operations to be incredibly productive. “While this technology is rapidly evolving, it is still in its infancy.”

Fastiggi was glad that AFA and Agricultural Business Council thought to incorporate this topic into the agenda. “We as an agriculture ‘industry’ [referring to her particular division’s agricultural focus on generative AI & Innovation] have an opportunity to collaborate with each other and foster the dialogue that also leads to this technology being used responsibly and to the benefit of the farmer and the natural resources so vital to food production and security.”

AWS provides cloud computing infrastructure and over 200 services to ag businesses globally, including more than 20 Fortune 500 ag and food companies.  “We help organizations of all sizes leverage their data more cost efficiently to derive business value and build products that delight their customers,” she said. Given this diverse mix of customers, Fastiggi explained, AWS can help customers use artificial intelligence and machine learning across the value chain. AWS has many customers using its platforms and machine learning services to power their R&D programs that analyze data from field and support clinical trials that determine which genetics or molecules to advance in the pipeline. “AWS is also set up to help farmers with recommendations and decision making or optimizing their supply chains with better demand planning and optimizing routes.

The Time’s Right

Fastiggi asked why all this technology is happening now. She answered her question with these responses:

• “First, there is a proliferation of data. Let’s think about this from the
  agriculture perspective--we are very good at capturing data. We have more
  cost effective and rugged versions of sensors and devices and on farm
  equipment is incredibly sophisticated – we are awash in data.”

• “Next, the cost of compute capacity has come down considerably and it is
  more accessible than ever—this is something that AWS has been doing for
  customers for over a decade now.”

• “And then of course, we have the advancement of Machine Learning technologies and
  modeling capabilities.”

So a tipping point has been reached, she concluded: “The convergence of technological
progress and an understanding of the value of what it can accomplish.”

Digging Deeper...

Senate Agriculture Committee Chairwoman Debbie Stabenow released the text of the Senate’s 2025 Farm Bill on Monday, November 18. It arrived with little more than a month before funding for many farm programs in the current farm bill disappears. Senate Majority Leader Charles Schumer implored Congress to move the legislation forward to avoid opting for an extension of the current bill. This 2025 Farm Bill under discussion is Sen. Stabenow’s last change to shape farm and nutrition policy before her retirement at the end of the 118thCongress.
By Dennis McLaughlin, McLaughlin Writers LLC. Sources: Jim Wiesemeyer, Professional Farmers of America, Inc., Nov. 18, 2024; Paul Neiffer, Farm CPA Report, Nov.18, 2024; Jerry Hagstrom, The Hagstrom Report, Nov. 18, 2024; Agri-Pulse Communications, Nov. 20, 2024; U.S. Senate Committee on Agriculture, Nutrition & Forestry Press Release, Nov.17, 2024.

Can Farm Bill 2025 Get Over The Finish Line This Year?

Congress has a lot to do before it adjourns, says Jerry Hagstrom, principal of The Hagstrom Report. That includes passage of a measure to fund the government and raise disaster aid for hurricane and flood a victims. “With that in mind,” he notes, “prospects for passage of a farm bill this year appear slim.”

But Sen. Debbie Stabenow appears undaunted. In a statement as she unveiled the Senate’s1,397-page farm bill entitled The Rural Prosperity and food Security Act, the senator said, “The foundation of every successful farm bill is built on holding together the broad bipartisan farm bill coalition.”  She went on to say, “This is a strong bill that invests in all of agriculture, helps families put food on the table, supports rural prosperity and holds that coalition together.”  

Not everyone is in agreement. Senate Ag Committee ranking member John Boozman (R-Ark.) explained that an 11thhour partisan proposal is troubling. National Pork Producers Council president Lori Stevermer said, “This is not a viable bill, as it fails to provide a solution to California Prop 12.”  Stevermer, who was a featured speaker this year at the Agricultural Business Council’s Ag Outlook Forum, explained that pork producers have continually spoken up about the negative impacts of this issue. “It is a shame these conversations were disregarded.” 

Senior Republican on the Senate Appropriations Committee, Kansas Senator Jerry Moran commented that since Congress can’t pass a farm bill this year the panel will “focus fully” on negotiating “a natural disaster and economic assistance supplemental for farmers and ranchers who have suffered from high input costs and low commodity prices along with drought.”

What’s New In Stabenow’s Farm Bill Text?

Stabenow’s bill is unlikely to become law, but the text provides a useful barometer for the consensus among Senate Ag Democrats, whose support will be required to reach the 60 votes necessary to pass a farm bill and conduct most Senate business. Importantly, the Senate Ag Committee’s Rural Prosperity and Food Security Act includes $39 billion in new resources to keep farmers farming, families fed and rural communities strong. “It provides farmers with the certainty of a 5-year farm bill and the immediate help they need to manage the urgent needs of the present. It ensures that the Supplemental Nutrition Assistance Program (SNAP) keeps up with the realities of American life, and brings the historic investments in climate-smart conservation practices into the farm bill.” Investments include these allocations:

• $20 billion to strengthen the farm safety net to support all of agriculture and establishes a permanent structure for disaster assistance so emergency relief reaches farmers faster;

• $8.5 billion to help families make ends meet, put food on the table, and improve access to nutrition assistance;

• $4.3 billion to improve quality of life in the rural communities that millions of Americans call home.

More Details

Experts and pundits were quick to identify key features of the senate’s Farm Bill. Paul Neiffer. Publisher/Editor of Farm CPA Report, commented on items that stood out for him:

• Reference Prices: The House proposal raised reference prices by approximately 10-20%. The Senate proposal appears to raise reference prices by a flat 5% (rounded).

• Increase in Base Acres: Only underserved and disadvantaged farmers may increase base acres:

  • Based on average of 2018-2022 plantings

  • Includes prevent planted acres

  • Maximum increase of 160 acres per farm

  • If disadvantage farmer does not farm acres during 2025-2029, then increased base acres are eliminated

  • Special 2023 and 2024 ARC/PLC election

  • Automatic election to be paid the highest amount for 2023 and 2024 crop year even if the farmer originally elected ARC or PLC.

•  Limit on PLC Payment: The maximum amount of payment for PLC will be 15% of the effective reference price. As example, assume a farmer has a PLC yield of 200 bushels for corn and the effective reference price is $4.30 and the final corn harvest price is $3.50. Under the old PLC rules, the farmer could receive 200 bushels times 80 cents per bushel or $160. Under this proposal, the farmer is limited to 65 cents or $130 per acre.

• Partial PLC Payments: Instead of waiting until after October 1 to collect a PLC payment, the farmer, in certain situations may elect to receive up to 50% of the crop beginning February 1. This is based on firm projections by USDA that the final harvest price will be below the effective reference price. If USDA pays too much, then the farmer must pay it back.

• Agricultural Risk Coverage: As expected, the Bill increases the guarantee from the current 86% to 88%, less than the 90% in the House Bill. However, not expected, the Bill increases the maximum payment to 12.50% of benchmark revenue, matching the House Bill and makes this retroactive to the 2024 crop. 2023 crop remains at 10%.

• Partial ARC Payments: Provides same mechanism for partial payments as under PLC.

• Increase to Marketing Loan Rates: For 2025 crops and subsequent years, the loan rate will be the lesser of 110% of current loan rates or an adjustment based on current input costs versus a five-year average.

• Sugar Program: Increase sugar cane payment to 24 cents per pound for 2025-2029. Sugar beet growers will receive 136.5% of sugar cane payment rate.

• Permanent ERP: Emergency Relief Program would be made permanent (at least until next farm bill). Payment limits of $500,000 for specialty crops and $250,000 for all other crops. Terms appear similar to old ERP programs, but it does not mandate how USDA will administer it, etc. Also, no extra payment limit if you can prove you are a farmer. This may still be messy for CPAs to help farmers calculate their claim. Also, requires farmers to insure all acres.

• Adjusted Gross Income (AGI) limits: AGI limits dropped from $900,000 to $700,000.Increases AGI limits to $1.5 million for specialty and high-value crops.

  • What happens if a farmer grows both? The Bill does not address this, other than likely leave it up to USDA to come up with rules.

  • Waiver of AGI rules available to economically distressed producer.

  • It appears that no payments will be allowed if the land is owned by someone or an entity whose AGI is over $700,000. This means that a farmer who is cash renting that ground will not qualify for any payment on that ground.

  • Under current rules and the House Farm Bill proposal, any farmer who is cash renting the ground and their AGI is under the limit will qualify for a payment.

  • This is a major change and will create the law of unintended consequences. The Senate bill seems to want to not have an incentive for wealthier individuals to purchase land since their high AGI will not qualify them for any payments. But under current rules they get no payment anyway.

• Increase in CCC Scoring: For purposes of CBO scoring, the restrictions on utilizing CCC funds will be $6.7 billion per year for 2024-2033. The last scoring by CBO was $400 million per year.

• CRP Rentals Limit Increased to $125,000 from current $50,000.

• Crop Insurance Changes: Increases subsidies for beginning and veteran farmers and ranchers to essentially match House proposal.

  • Increases SCO to allow for payment at 88% instead of 86% of guarantee. House was at 90%.

  • Increases premium subsidies.

• Makes improvements to Whole Farm and Micro Farm insurance plans.

End Game

Reporting in Farm Journal (November 18, 2024), Jim Wiesemeyer, Professional Farmers of America, Inc., indicated the reaction of his contacts who have been following farm bill negotiations could be phrased as, “Wow, finally, but too late.” He wrote that even the “usually optimistic Congressional House Ag Committee Chair, Glenn Thompson, signaled it’s time to focus on a 2018 farm bill extension by year’s end.

Latest News & Updates in KC Agriculture - November 2024

DEVELOPMENTS

The Agricultural Business Council of Kansas City is strengthening its advocacy partnership with the Greater Kansas City Chamber of Commerce. With new elected leaders coming to the White House, Congress, and the Kansas and Missouri legislatures, AgBizKC Director of Member Services Zach Helder has joined the Chamber Public Policy Council (PPC) as the Council’s representative. Helder, an agriculture policy expert, is working to ensure agriculture has a strong voice in the Chamber’s public policy program. Said Helder, “Now, as much as ever, Agriculture needs to unite in support of free and fair trade, science-based policymaking, and the passage of a strong farm bill. Agriculture drives as much as 20% of our region’s economic output, and the Council is the PPC’s sole representative for the industry, so it’s a job we take very seriously, especially given the uncertainty in the ag economy. The Chamber’s policy staff and PPC members have been great partners and listeners. I’m confident they’ll help us educate policymakers about the broadly-held interests of agriculture, from producers, to businesses, to every American affected by food prices.”

Cooking a Thanksgiving Feast will cost less than last year but will still be more expensive than before the pandemic. The American Farm Bureau Federation’s 39th annual Thanksgiving dinner survey provides a snapshot of the average cost of this year’s traditional holiday feast for 10, which is $58.08 or about $5.80 per person. This is a 5% decrease from 2023, which was 4.5% lower than 2022. Two years of declines don’t erase dramatic increases that led to a record high cost of $64.06 in 2022. Despite the encouraging momentum, a Thanksgiving meal is still 19% higher than it was in 2019, which highlights the impact inflation has had on food prices (and farmers’ costs) since the pandemic. The average price for a 16-pound turkey is $25.67. That is $1.60 per pound, down 6%t from last year. AFBF volunteer shoppers checked prices Nov. 1-7, before most grocery store chains began featuring whole frozen turkeys at sharply lower prices.

Kansas Senator Jerry Moran, Senior Republican on the Senate Appropriations Committee, told Agri-Pulse Communications, that lawmakers are still in the “preliminary stages” of crafting a package of disaster aid and market-loss relief for farmers. But in an interview with Agri-Pulse Newsmakers, Sen. Jerry Moran indicated Congress will ensure this aid package does a better job of covering natural disaster losses than the last version did. “I can assure our viewers that we're absolutely committed to making sure that this Emergency Relief Program payment is one that is actually beneficial to producing farmers,” Moran said.  USDA pro-rated payments under the 2022 version of ERP to ensure smaller scale farmers got a bigger share of their losses covered. USDA officials defended their decision to do that by noting Congress only funded about one-third of the estimated losses. This time, Congress is looking at providing about $24 billion for disaster-related losses in 2023 and 2024, Moran said. Source: Agri-Pulse Daybreak, November 22, 2024.

Cattle producers should stay “business-like” during the next 12 to 24 months said CattleFax CEO Randy Blach during Beef Industry University, sponsored by the Farm Credit Associations of Kansas. He further explained that the industry is set to face cyclical-low cowherd and fed cattle numbers, but likely already has seen the bulk of the cyclical price increases. “While we all want to remain optimistic, this is not a time in the cattle cycle to bet the whole wad,” Blach said. “We are also at record-high retail beef prices, so we need to be conscious that we could see some consumer pushback and demand erosion.” Blach predicts 2025 calf prices will average around $320/cwt. to $330/cwt., while feeder prices are expected to range between $250/cwt. and $260/cwt. Fed cattle prices should average near $192/cwt. “All in all, this is a pretty unique time in our industry, with some of the best profitability numbers we’ve seen by segment,” he said. Source: Kansas Livestock Cattle Association, November 22, 2024.

The Kansas Department of Agriculture welcomed a beef genetics trade team from Canada in late October. The diverse trade team represented progressive seedstock operations located throughout Saskatchewan and Alberta and the participants had varied cattle breed interests including Black and Red Angus, Charolais, Hereford, and Simmental breeds. Suzanne Ryan-Numrich, international trade director at KDA, highlighted the significance of the trade relationship with Canada. “This trade mission was the direct result of an outbound trade mission to Canadian Western Agribition last fall,” she said. “It highlights the growing interest in beef genetics and the potential for cross-border partnerships in the beef industry. Through these trade missions, Kansans have had the opportunity to market purebred beef cattle and expand their global networks.” Supporting all facets of agriculture is central to KDA’s mission, including facilitating opportunities for producers to market and sell beef genetics both domestically and internationally.

In a statement released in earlier this month, the Livestock Marketing Association urged USDA to suspend enforcement of the electronic identification (EID) rule immediately. The current state of tag availability in various states is setting this transition as well as the livestock industry up for failure. “Our policy is clear in both opposing any move to mandatory individual identification of feeder cattle and demanding any mandate on currently covered animals be fully funded by USDA. This includes readers, infrastructure, tags, tag application, data collection and data management. Despite our extensive efforts in working with Congress, USDA and state veterinarians to ensure this program is handled effectively, major issues remain with the allocation and availability of USDA-provided EID tags needed to comply with the rule. Since this sets up an unfunded mandate on cattle producers, enforcement must be suspended. We will continue to work with Congress, state veterinarians, our member auctions and USDA to impact change on this issue.”

EPA has launched a new, no-cost technical assistance effort focused on reducing exposure to perfluoroalkyl and polyfluoroalkyl substances (PFAS) and other emerging contaminants in small or disadvantaged communities. This initiative is part of EPA’s Water Technical Assistance Program. The Tackling Emerging Contaminants initiative will help eligible public drinking-water systems evaluate emerging contaminant issues, conduct initial water quality testing, and identify next steps in 200 small or disadvantaged communities over the next three years. EPA will also share best practices and amplify successes through case studies, fact sheets, webinars, and other resources regarding addressing emerging contaminants, including PFAS. “The Bipartisan Infrastructure Law is providing a focused opportunity to help small and disadvantaged communities address PFAS and emerging contaminants to ensure that drinking water is clean and safe for residents,” said EPA Principal Deputy Assistant Administrator for Water Bruno Pigott. “By working hand-in-hand with local partners, the Tackling Emerging Contaminants initiative will help ensure that historically underserved areas have access to safer drinking water that is essential for healthy and vibrant communities.”

The Kansas Department of Agriculture joined the New Mexico Department of Agriculture and the International Brangus Breeders Association on a beef genetics trade mission to northwestern Mexico on November 4-7, 2024. Assistant Secretary Josh McGinn and Agribusiness Coordinator Tessa Beeman represented KDA on the mission team, which spent three days in Sonora visiting Santa Cecilia Angus, El Cosari Ranch, La Muira Ranch, Santa Patricia Brangus, Sierra Angus Ranch and a cattle feedlot Rancho el 17. The team’s ranch visits allowed them to better understand the type of beef genetics that would fit the environment. While in Hermosillo, the group had an opportunity to host a seminar at the Sonora Cattle Union, which presented data on U.S. feedyards and information related to profitability of good genetics. “Witnessing firsthand the ability for Brangus to not just handle but thrive in the harsh environment of Hermosillo was an eye-opening experience,” said Grant Goree, International Junior Brangus Breeders Association Board Member and International Liaison. “My level of respect towards our breed has grown seeing the resilience, strength, and adaptability Brangus brings to an operation.” It is the mission of KDA to support all facets of agriculture, including facilitating opportunities that connect producers who wish to market and sell beef genetics domestically and internationally.

The Kansas Grain and Feed Association and the Kansas Agribusiness Retailers Association held the annual Kansas Agri-Business Expo from November 19-21. The Expo featured a leadership conference, which AgBizKC attended, to discuss emerging issues in agriculture. The expo’s keynote speaker was Ray Starling, former USDA Chief of Staff and White House Official in President Donald Trump’s first term, who reportedly is under consideration for a senior role in the next administration.

Farmer sentiment saw an unexpected surge in October ahead of the upcoming U.S. election, according to the latest Purdue University/CME Group Ag Economy Barometer. The index rose to 115, marking a 27-point increase from September. This boost in sentiment was primarily driven by a rise in producers’ confidence in the future, with the Future Expectations Index jumping 30 points to 124. While the Current Conditions Index also improved, reaching 95, it still reflected farmers’ concerns that economic conditions this year are worse than last year and weaker than the barometer’s base period of 2015-16 during the early days of a multiyear downturn in the U.S. farm economy. Despite current challenges, the October survey indicated some optimism among producers that economic conditions may strengthen, avoiding an extended downturn in the farm economy. This month’s survey was conducted from Oct. 14-18, 2024. Source: Agriculture of America, November 6, 2024.

EVENTS

Sachse Family Angus would like to invite you to their 3rd Annual RanchFIT Ruck located near Easton, Kansas on Saturday, December 21st. Located near the rolling hills of Kansas' first city of Leavenworth, this ruck is located in the heart of the Sachse family farming and ranching operation. This will be a trail hike through pasture, hayfield, and crop ground. Whether you are a first-time rucker or an avid enthusiast, this ruck is for you. More information and signup is located here.  

Kansas Farm Bureau will celebrate its 106th annual meeting December 7-9 in Manhattan, Kansas. “I’m excited we will be gathering again to conduct the work of the state’s largest general farm organization,” says Joe Newland, president of Kansas Farm Bureau. “I’m so glad I’ll get to celebrate once again with our members, county Farm Bureaus and friends from across the state.” The organization’s annual meeting  will begin Saturday evening with KFB’s Foundations’ Fundraiser, A Night in Vegas, which benefits the End Hunger Program to address food insecurity in Kansas. The doors open for all at 5:45 p.m. at the Hilton Garden Inn, with the event starting promptly at 6 p.m. On Sunday, informational workshops, tradeshow vendors and a silent auction will be open to attendees. Workshop topics include technology in agriculture, biosecurity, succession planning, mental health and more. A full list is available here. During the general session, awards for Friends of Agriculture, Natural Resources, county Farm Bureaus, mental health advocacy and media will be presented. Diane Sullivan, cofounder of Equitable Spaces, and Brian Klippenstein, senior advisor to former USDA Secretary Sonny Perdue, will host a panel discussion on how important the freedom to operate on farms and ranches is vital not only to agriculturalists, but also to low-income families.

Winter is coming and Kansas Corn and its commodity partners are offering several events with learning and networking opportunities for Kansas corn farmers. With four Kansas Corn and Soybean Schools held across the state, the Kansas Corn Symposium and Kansas Commodity Classic, growers can catch up with their commodity organizations, and farmers from across Kansas, and can hear from top speakers about issues that impact agriculture and their farms’ profitability. All events are offered free to growers.

• Kansas Corn and Soybean Schools: 2025 Kansas Corn and Soybean Crop Management Schools will be held across the state Jan. 14-17. Kansas Corn and Kansas Soybean partner with K-State Research and Extension to offer the Kansas Corn and Soybean Schools, winter learning sessions for Kansas soybean and corn farmers. The Kansas Corn and Soybean Schools cover a number of issues for growers and are tailored to each region. Morning refreshments and a hot lunch are provided at these in-person schools.

• Kansas Corn Symposium, Thursday, Jan. 30. Get ready to celebrate the 50th Anniversary of the Kansas Corn Growers Association at the Kansas Corn Symposium. The symposium will begin with a luncheon, top speakers, the KCGA annual meeting, a 50th Anniversary reception, dinner and entertainment. The Symposium will be held on Thursday, Jan. 30, 2025 at the Salina Hilton Garden Inn. The Kansas Corn Symposium brings together Kansas corn farmers, leaders and industry supporters to celebrate corn.

• The Kansas Commodity Classic: Friday, Jan. 31. The Kansas Commodity Classic is the annual convention of the Kansas Corn, Grain Sorghum, Soybean and Wheat growers associations. The Classic will be held Friday, January 31, 2025 at the Salina Hilton Garden Inn, from 8:30 a.m. to 2 p.m. Join us for a high quality program with speakers on markets, policy and more along with breakfast and lunch, all offered free to growers thanks to the generous support of our sponsors.

More information at kscorn.com.

PEOPLE

Nineteen individuals and six businesses were recognized at the 2024 KLA Convention in Manhattan for joining the association in 1974, and keeping their membership active for a half-century. Those to be honored are Beachner Bros. Livestock, Parsons; William Brethour, Maple Hill; Burkdoll Brothers Inc., Rantoul; Tom Carr, Medicine Lodge; Dave Casement, Sedan; Mike and Pam Collinge, Hamilton; Larry Corah, Manhattan; David Cross, Lewis; Stephen Donley, Ellsworth; Henry Eggers, Yates Center; Five Rivers Cattle Feeding/Grant County Feeders, Ulysses; Grabbe Farms, Hays; Jerry Grout, Mankato, Terry and Paul Handke, Muscotah; Tony Imm, Phillipsburg; Kansas State Bank of Overbrook and Scranton; Kueser Brothers Farms, Richmond; James “Tony” Meseke, Alma; Thomas Perrier, Eureka; Jerald Riemann, Dighton; Loyd Schoen, Lenora; Rex Schultze, Osborne; George Teagarden, La Cygne; Lafe Wilson, Uniontown; and James Zwonitzer, Horton…..   Four members will be honored for 60 years of loyalty to the association. Gartrell Farms, Stockton; Geffert Herefords, Haven; Gilliland Cattle Co. LLC, Leon; and Brad Tate, Welch, OK, all joined KLA in 1964…….Seven decades of membership will be recognized for Adams Cattle Company, Plains; the late Marilyn Fairbairn, Edmond, OK; Jack MacNair, Dodge City; and Tony Renollet, Sterling……This year marked 80 and 90 years of continuous membership by one business in each category: U.S. Bank of Topeka joined KLA in 1944. Leonhard Ranch, Berryton, became a member in 1934…….These loyal individuals and businesses exhibit steadfast commitment to KLA’s mission of “advancing members’ common business interests and enhancing their ability to meet consumer demand.”

Oliver Ward has joined the Agri-Pulse team on Capitol Hill as international trade editor. He has extensive experience in trade and international economics at Inside U.S. Trade and the Peterson Institute for International Economics, a non-partisan think tank. He can be reached by email here.

Missouri Corn Growers Association and Missouri Corn Merchandising Council CEO Bradley Schad of Versailles, Missouri, was recently recognized  with the Honorary American FFA Degree at the 97th National FFA Convention & Expo in Indianapolis.  The Honorary American FFA Degree is given to individuals who advance agricultural education and FFA through outstanding personal commitment. Nominations are first submitted to the individual’s state FFA association for approval before being endorsed by the National FFA Organization’s board of directors. As a member of the Versailles FFA Chapter, Schad earned both the State and American FFA Degrees. Recognizing education is a crucial component in moving the industry forward, Missouri Corn has been and remains dedicated to investing in efforts to expand agriculture outreach.