Latest News & Updates in KC Agriculture - September 2022
/DEVELOPMENTS
American families can expect to pay record high prices at the grocery store for turkey this upcoming holiday season, thanks to the impacts of the bird flu and inflation. American Farm Bureau Federation economists analyzed turkey and egg costs in their latest Market Intel. The retail price for fresh boneless, skinless turkey breast reached a record high of $6.70 per pound in September, 112% higher than the same time in 2021 when prices were $3.16 per pound. The previous record high price was $5.88 per pound in November 2015, during the 2015 highly pathogenic avian influenza (HPAI) outbreak. Inflation is adding to the price hikes. All retail food prices were 11.4% higher in August compared to the same time last year. Despite the higher prices, there should be enough turkeys available for the Thanksgiving demand.
U.S. farm households increasingly rely on off-farm income, notes a report from University of Missouri Extension. On average, 82% of farm household income comes from outside the farm. More than half of the principal operators of farms have primary jobs off the farm, said Alan Spell, MU assistant extension professor and a co-author of the report. The Importance of Off-Farm Income to the Agricultural Economy highlights the growing interdependence of rural and urban economies over the past several decades, Spell said. Download the report here.
The Longhorned tick causes the loss of millions of dollars in agricultural revenue to cattle producers worldwide is now in northern Missouri, discovered for the first time by researchers at the University of Missouri. Longhorned tick infestation can lead to significant loss in weight gain for cattle, similar to an already widely prevalent disease called anaplasmosis. So far, the threat from this species in Missouri remains low. However, researchers emphasize that the discovery of the Longhorned tick in the state increases the need for more vigilance towards ticks in general.
The four largest U.S. railroads are optimistic about their plans to recruit more workers needed to move the fall grain crop to market, but Surface Transportation Board chairman Martin Oberman is expressing concern about whether the railroads will be ready for the harvest. The annual meeting of the board's Grain Car Council took place in Kansas City on August 25, bringing together railroad industry leaders, grain shippers and private rail car owners to discuss issues affecting grain transportation. The STB prefaced this year’s event with a letter to the council’s Class I railroad members expressing concerns over whether they will have “sufficient crew, locomotive, equipment and capacity resources along key corridors supporting domestic and international markets.” Max Fisher, the chief economist of the National Grain and Feed Association and one of the meeting’s attendees, said the railroads were optimistic about their worker recruitment. Railroad executives noted that the current period is a downtime for freight rail demand for grain, which has smoothed some of the shipping snarls they had previously experienced. Source: Agri-Pulse Newsletter, August 31, 2022.
The Missouri Soybean Merchandising Council (MSMC) is partnering with Missouri FFA to introduce the Soy Innovation Challenge to high school agricultural education classes. The Soy Innovation Challenge aims to engage FFA members in creating valuable exhibits and ideas based on the soy value chain to display at Missouri Soybeans’ Center for Soy Innovation. The Soy Innovation Challenge is a two-part contest. Participating chapters will design and develop an exhibit for the Center and submit proposals.
USDA has introduced its Fertilizer Product Expansion Program (FPEP), providing grants to help eligible applicants increase or otherwise expand the manufacturing and processing of fertilizer and nutrient alternatives and their availability in the United States. Entities are eligible regardless of legal structure and may include, but are not limited to, Tribes, Tribal Entities, for‐profit entities, corporations, non‐profit entities, producer‐owned cooperatives and corporations, certified benefit corporations, and State or local government entities. Private entities must be independently owned and operated. According to USDA, $500 million in grants through the Fertilizer Production Expansion Program will be offered to “support independent, innovative and sustainable American fertilizer production to supply American farmers.” More information is available here.
The American Farm Bureau Foundation for Agriculture has partnered with Grow with Google to train 2,000 teachers on digital skills, to reach 200,000 students in rural communities by the end of the 2023 school year. As part of that effort, the Foundation is bolstering agricultural education curriculum through the Farm Bureau Foundation Fellows Program, a unique fellowship that will allow educators in rural or agricultural regions to teach students where their food comes from. More information is available on the Foundation’s webpage.
Farmers’ outlook improved last month despite lingering concerns about high input prices and prospects for weaker prices in 2023, according to the monthly Purdue-CME Group Ag Economy Barometer. The index rose 14 points to 131 in August but remained well below its level a year earlier. The index is based on a survey that was conducted Aug. 15-19, after USDA released its closely watched Crop Production report and World Agricultural Supply and Demand Estimates. Separate measures of farmer attitudes toward current conditions and their future expectations both increased in August. "Producers this month were less worried about their farm’s financial situation than in July, although they remain concerned about a possible cost/price squeeze,” according to a summary of the survey. Some 53% of the farmers who were surveyed said higher input costs were their biggest concern heading into 2023. More than half the producers said they expect crop input prices to increase by as much as 20% in 2023. About four in 10 producers expect inputs to stay the same or decline by as much as 10%. USDA forecasts that net cash farm income will reach its highest level in a decade this year, although producers in some sectors are going to do much better than in others, due in part to increases in input costs. Net cash farm income is forecast at $168.5 billion in 2022, an increase of 15.1% over 2021. Source: Agri-Pulse Communications
Select session recordings from the Animal Agriculture Alliance’s 2022 Stakeholders Summit, held May 11-12 in Kansas City, Missouri, are now publicly available on the organization’s YouTube channel. The first in person Summit since 2019, themed Come Together for Animal Ag: Be Informed, Be Ready, Be Here, attracted an audience of more than 260 attendees and included an additional 125 registered virtual attendees. “Each sector of the food supply chain came together for animal ag at the Alliance’s most recent Stakeholders Summit,’ said Hannah Thompson-Weeman, Alliance president and CEO. “While nothing compares to attending the event live, there’s a vast array of key insights and action items to glean from session recordings led by subject matter experts.” All available session recordings from the 2022 Summit can be viewed here. To read a condensed overview of insights shared at the event, check out the highlights reports on their website.
A third installment of the Kansas Livestock Association’s Young Stockmen's Academy program was held September 19-21. The group of young producers spent three days touring various segments of the beef and dairy industries in central and western Kansas. Merck Animal Health is the exclusive sponsor of the YSA program. El Dorado Livestock Auction was the first tour stop. The group heard from co-owner Josh Mueller about the modern facility, where more than 50,000 head of cattle are sold per year. Frank Harper hosted the class for a tour of his new backgrounding facility near Sedgwick, where both home-raised and purchased calves are grown before being sent to a feed yard. During a stop near Lindsborg, Erik Peterson explained how they use high-accuracy sires and cow families at Smoky Valley Angus to raise bulls that meet the needs of their commercial cow-calf customers. Sam Hands and Marissa Kleysteuber, managing partners of Triangle H, gave the group an inside look into their fifth-generation operation, which consists of a cow-calf, stocker and cattle feeding program, as well as a farming business.
Missouri Department of Agriculture celebrated Farm Safety and Health Week, which has been recognized during the third week of September since established by President Roosevelt in 1944. This year’s theme, coined by the National Education Center for Agricultural Safety (NECAS), was Protecting Agriculture’s Future. Each day had its own theme: Monday was Tractor Safety and Rural Roadway Safety; Tuesday was Overall Farmer Health; Wednesday was Safety and Health for Youth in Agriculture; Thursday was Confined Spaces; and Friday was Safety and Health for Women in Agriculture. Missouri is home to 95,000 farms and employs nearly 460,000 people in agriculture, forestry and related industries. Agriculture remains the state’s number one economic driver, supporting both rural and urban communities from farm to fork. In turn, farm safety and health is of utmost importance throughout the state. “The safety of our farmers and ranchers remains a top priority for my team each year,” Director of Agriculture Chris Chinn said.
PEOPLE
Randy Dickhut is retiring from Farmers National Company where he spent 20 years. FNC has promoted Paul Schadegg to succeed Dickhut as the senior vice president of real estate operations. Schadegg currently serves as the Western area sales manager and is a member of the Ag Business Council’s Board of Directors.
Riley Pagett has been promoted to deputy chief of staff for U.S. Representative Tracey Mann. He previously served as Mann’s legislative director and counsel. Before that, Pagett worked at USDA as the chief of staff in the Office of Partnerships and Public Engagement during the Trump administration.
Kansas Corn has brought Nicki Fisher on board as part of its grower services team. She will serve as Programs Manager, Western Grower Services, and will focus on the western half of the state and the unique challenges growers in that area face. Nicki attended Kansas State University and received her bachelor’s degree in Agribusiness. While in college, Nicki was a graduate of Class 5 of Kansas Corn’s Collegiate Academy.
EVENTS
The University of Missouri will host a free webinar for agricultural lenders, credit managers, rural land appraisers, congressional staffers, county commissioners and ag service providers 10:30 a.m.-noon Friday, October 7. The Zoom webinar will focus on “Monetary Policy and Farm Income Outlook for Missouri’s Ag Lenders.” Register online. Hosted by the University of Missouri’s Food and Agricultural Policy Research Institute (FAPRI), the Rural and Farm Finance Policy Analysis Center and the MU Extension, the webinar will provide an overview of Missouri farm income portfolios; deliver an outlook on Missouri cash receipts, expenses and net farm income; and focus on areas of concern in Missouri’s farm and rural sector.
Missouri Governor Mike Parson has proclaimed October 2-8 as National 4-H Week in Missouri. 4-H State Council President Emily Taylor, Vice President Lynn Dyer and council adviser Erin Stanley received the proclamation at the governor’s office from Lt. Governor Mike Kehoe.
Plans for the 2023 Commodity Classic are well underway as America’s largest farmer-led agricultural and educational experience returns to Orlando March 9-11, 2023. The theme for the 2023 show is Preparing for the Next Generation. Registration and housing for the 2023 Commodity Classic will open in mid-November 2022. Attendees can sign up now to receive email updates at CommodityClassic.com.
Kansas State University-Olathe is offering several agriculture-related workshops, forums and symposia this Fall.
October 12-13: Pesticides workshop will provide a practical approach to getting pesticide products approved and keeping them in the market post approval, while avoiding common pitfalls and challenges faced along the way. The workshop is designed to be interactive with case studies, and an opportunity for participant interaction and networking.
December 8: Ag Supply Chain has become a heightened challenge over the last few years and many have accepted delayed deliveries as part of the new way of things. Are there processes that can anticipate delays or overcome these challenges? Particularly in the animal health industry, where are delays happening and what can be done by organizations to plan ahead to avoid supply chain issues? This half-day seminar will be a discussion on how to best navigate the supply chain and still get products to market in a timely manner, amidst ever-changing barriers.
Contact Lauren Raki at laurenracki@ksc.edu or 913-307-7340 for more information.