Latest News & Updates in KC Agriculture - October 2023

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Developments

Missouri net farm income saw a backslide from record-setting levels in 2022, according to the fall 2023 Missouri Farm Income Outlook report released by the Rural and Farm Finance Policy Analysis Center at the University of Missouri. The farm income report provides comprehensive insights into changes in the state’s farm receipts, production expenses, government payments and other key factors that impact net farm income. The report suggests that declining crop receipts and stubborn production expenses are contributors to the $530 million decrease in net farm income for 2023. Read more here.

Missouri Governor Mike Parson and First Lady Teresa Parson travelled to Japan on an international trade mission. Japan is a top source of foreign direct investment and key trade partner for Missouri, with more than $455 million in exports in 2022. Consistent with Governor Parson’s infrastructure and economic development priorities, the goal of the Trade Mission was to build relationships with key international figures to promote Missouri’s strong capacity for trade. The trade mission included stops in Tokyo and Nagano Prefecture, the sister state to Missouri, where the delegation visited Nagano Prefecture University, which works with the University of Missouri. The delegation also meet with Shuichi Abe, Governor of Nagano Prefecture, and the mayor of Suwa, St. Louis’ sister city.

The Kansas Department of Agriculture Division of Conservation (KDA–DOC) is pleased to announce the availability of funds in the form of cost share assistance and incentive payments to assist landowners with irrigation efficiency technology. The funding is provided by KDA–DOC through appropriation from the State Water Plan Fund and the program is administered by Conservation Districts across the state. This initiative is designed to promote irrigation efficiency by providing cost share assistance to landowners for automated mobile drip irrigation systems, autonomous pivot systems, water meter monitoring software subscriptions, bubbler nozzle packages, and remote monitoring systems (soil moisture probes included as part of system). Eligible projects must be located within Kansas groundwater management districts 1 through 5. Applications are currently being accepted, and projects will be approved beginning on November 1, 2023, until all funds have been allocated. Equipment purchases and subscriptions made before application approval by KDA–DOC are not eligible for this initiative. More information is available here.

St. Joseph-based AngusLink, the administrator for value-added programs of the American Angus Association®, surpassed 150,000 head of enrolled cattle for 2023 on September 15. This means from 2022 to 2023, participation in AngusLink has increased by more than 300%, reflecting a turning point for its value-added programs. This milestone comes after the establishment of a collaboration agreement with IMI Global. Since January, IMI Global has worked alongside Association staff to help provide verification services to cattlemen for AngusVerified and the Genetic Merit Scorecard. IMI Global administers the program giving producers a la carte access to IMI’s suite of programs along with AngusLink programs, which can be added individually as well.

Farmer views of the ag economy worsened for the second month in a row in September, according to the monthly survey from Purdue University and the CME Group. The overall rating of farm sentiment dropped to a reading of 106 in the Ag Economy Barometer, a decrease from 115 in August and down from 123 in July. The rating is also lower than the 112 rating in September 2022. According to the survey, “weakening prices for major crops and ongoing concerns about high production costs and interest rates weighed on producers’ minds this month.”

Agriculture Secretary Tom Vilsack announced that the U.S. USDA is providing $2.3 billion to help American producers maintain and develop markets for their commodities and use U.S. commodities to bolster international food aid. Consistent with a bipartisan request from the Senate Committee on Agriculture, Nutrition, and Forestry, USDA is utilizing funds from the Commodity Credit Corporation to address challenges related to trade and food insecurity impacting U.S. farmers and the international community. USDA will use:

  • $1.3 billion for the Regional Agricultural Promotion Program and support for specialty crop industries to diversify export markets.

  • $1 billion to help address global hunger.

According to a recent report by Rabobank, the outlook for the global fertilizer market is positive in the coming years, with some challenges and potential risks to be monitored. The global fertilizer market is recovering, with an estimated increase in usage of around 3% in 2023 following a 7% drop in 2022 due to various complications in the market. Regarding disruptions due to the latest Israel-Hamas war, the impact on fertilizer markets is seen as marginal at this stage. The report highlights the positive outlook for fertilizer purchasing in 2024, with an expected increase of close to 5%.

FYI: For the second year, the Real Christmas Tree Board has asked wholesale growers of real Christmas trees for their outlook on the coming holiday season. It’s good news. Input costs and wholesale price increases have moderated year-over-year. Even though input costs have gone up year-over-year for nearly all wholesale growers. “The real Christmas tree industry consistently meets demand,” said Marsha Gray, Executive Director of the Real Christmas Tree Board. “This year, two-thirds of the wholesale growers (67%) surveyed told us they expect to sell all the trees they plan to harvest. And that’s how we, retailers, and consumers like it.”

More than 50 Livestock Marketing Association members and staff met with senators, U.S. representatives, congressional staffers and USDA officials last month during the association’s 17th D.C. Fly-In. The event offered an opportunity for livestock auction market owners to share their stories and connect with elected officials. Throughout the visit, they advocated for Congress to pass bills to remove an antiquated prohibition and allow a livestock auction owner to own or invest in a small or medium packer. Association members say Congress and the cattle industry agree the U.S. beef packing capacity needs to be increased, ideally by adding new competitors to the marketplace. But the rule prohibits livestock auction owners from owning or investing in meat packing businesses.

Last month Congress approved five-year reauthorizations for the Animal Drug User Fee Act and the Animal Generic Drug User Fee Act as part of the short-term spending bills that kept the government from shutting down. ADUFA allows FDA’s Center for Veterinary Medicine to collect fees from animal health companies, which fund the agency’s review and approval process for new animal drugs. The National Cattlemen’s Beef Association welcomed the "clean" reauthorization of ADUFA. “Incredible veterinary drug innovations are happening every day, and ADUFA ensures that the FDA has the resources it needs to review these new technologies for safety and efficacy and to bring them to market for cattle producers,” says NCBA Chief Veterinarian Dr. Kathy Simmons.

Preliminary USDA program data for the first 10 months of fiscal year (FY) 2023 signal that federal spending on the Supplemental Nutrition Assistance Program is likely to total $112 billion for the year, an $8 billion decline from its peak in 2022. This estimate excludes P-EBT, associated with school lunch reimbursements. The average monthly SNAP benefit per person has started to decline significantly, compared to maximum benefit levels, as most states phased out emergency allotments earlier this year. In January 2023, SNAP participants received an average of $254, roughly 90% of the authorized maximum benefit level for a one-person household. In July 2023, the ratio of average over maximum benefits dropped to 62% as most households no longer qualified for maximum benefits. Though lower, this ratio is relatively similar to pre-COVID SNAP averages.

Senate Agriculture Committee Chairwoman Debbie Stabenow says in an exclusive interview with Agri-Pulse that she expects to have about $4 billion to $5 billion in new funding available for the next farm bill. She’s been working with Majority Leader Chuck Schumer, D-NY, to identify funding sources outside the bill.  She doesn’t say where the money is coming from, but says it will help address issues in the commodity and crop insurance titles. Stabenow, D-MI, also says Congress is going to need to pass a one-year extension of the 2018 farm bill before the end of the year. House Ag Chairman Glenn Thompson, R-PA, doesn’t think the extension needs to be that long. But USDA has told Stabenow a one-year extension is necessary to ensure commodity programs can properly operate. Source: Agri-Pulse Communications, October 25, 2023.

Events

The featured speaker for opening night of this year’s Kansas Livestock Association Convention, November 29-December 1 in Wichita, will discuss highlights from his 30-year career in agricultural policy and provide insight into the beef and dairy export markets. Kansas native Gregg Doud will take the stage Wednesday evening during the Cattlemen’s Banquet, sponsored by INTRUST Bank, Tyson Fresh Meats and Allflex Livestock Intelligence. Doud currently is the chief operating officer for the National Milk Producers Federation, but will become president and chief executive officer in January.

FFA members and supporters from across the country will celebrate agriculture and agricultural education next week during the 96th National FFA Convention & Expo in Indianapolis. This time-honored tradition, hosted by the city of Indianapolis, is taking place this week, November 1-4. More than 65,000+ FFA members from the U.S., Puerto Rico and U.S. Virgin Islands are expected to participate in the event. This year the event can be watched live through their streaming broadcast. More information at FFA Live! – 96th National FFA Convention & Expo.

Kansas City-based National Institute for Animal Agriculture will host the 13th Annual Antibiotics Symposium in Atlanta, Georgia from November 7-9, 2023. This year’s theme is Thriving in a Changing Landscape. NIAA serves as a contractor to the Cattlemen’s Beef Board and the Antibiotics Symposium is made possible in part by the Beef Checkoff. More information is available here.

Leading agriculture experts from the University of Missouri, Purdue University, USDA Agricultural Research Service and the University of Nebraska will give updates on weeds, crop diseases, insects and new technologies at the annual MU Crop Management Conference, December 6-7 at the Columbia Holiday Inn Executive Center. MU Extension weed scientist Kevin Bradley will summarize recent weed management research, including tank mixes of biological products with herbicides and an evaluation of drones for spraying and spreading. Sessions will cover intensive corn management, planter technologies for improving corn stands after a rye cover crop and a new tool for soybean variety selection. More information is available here.

K-State Olathe is hosting an upcoming workshop on Artificial Intelligence in Animal Health: What is it and What Does the Future Hold? The workshop will be held Nov. 2 from 1-5 p.m. Options are available for online and in-person participation. More information is available here. In addition they are hosting two upcoming luncheon webinars on Animal Health Regulatory Affairs Graduate Certificate, Oct. 11, Noon and M.S. in Veterinary Biomedical Science, Oct. 11 at 12:30 p.m.

People

Nicole Erceg is the new director of marketing for Agriculture Future of America. Erceg most recently served as the director of communications for Certified Angus Beef. Erceg is an established leader in agricultural communications with a robust background in public relations, communications strategy, digital media and sustainability initiatives. Throughout her career, she played a pivotal role in elevating brands serving as the Director of Digital Media for the marketing agency Ranch House Designs and her own business, Erceg Creative & Consulting, which catered to a diverse clientele in the food and agriculture sector.

Wyatt Agar, Thermopolis, Wyoming, became the new president of the American Hereford Association during its Annual Membership Meeting in Kansas City, Missouri. Agar is a manager and a partner in Durbin Creek Ranch and Washakie Feeders in Worland, Wyoming. The seedstock division runs 500 head of females, where AI and embryo transfer (ET) technologies are used. Chad Breeding, Miami, Texas, was selected to serve as the 2024 vice president

With the start of a new fiscal year, the Missouri Corn Merchandising Council and the Missouri Corn Growers Association announced a new slate of officers, the appointment of recently elected board members, and national committee assignments. The election of the 2023-24 MCMC officer team took place during an August board meeting held in Branson. The following MCMC leaders assumed their new roles October 1: Chairman- Matt Lambert, Laclede (District 2); Vice Chairman- Patrick Seyer, Oran (District 7); Secretary- Adam Casner, Carrollton (District 2).The Missouri Corn Growers Association rolled out their new leadership team for 2023-24: President Brent Hoerr of Palmyra, Vice President Brian Lehman of Versailles, and Secretary/Treasurer Ryan Meyerkorth of Rock Port. (Courtesy MCGA)

Jeff Rowe has been selected as the new CEO of the Syngenta Group, effective January 1. He currently is president of Syngenta Crop Protection. Before that he was president of Syngenta Seeds. Last week, Erik Fyrwald, Syngenta Group’s current CEO, announced he would be stepping down at the end of the year after seven years with the company. He will remain as an adviser and continue serving as chairman of the Syngenta Group’s board of directors. Hengde Qin has been tapped as the new chief financial officer, replacing Chen Lichtenstein, who is stepping down to pursue other business opportunities. Source: Agri-Pulse Communications, October 25, 2023.