Still Searching for an Ag Secretary

Two new candidates are expected to interview this week for the Secretary of Agriculture position. A DTN report says Abel Maldonado, Jr., a former California Lieutenant Governor, is set to interview for the post with President-elect Donald Trump this week. The other newest candidate is Elsa Murano, a former undersecretary for food safety at the USDA as well as President of Texas A & M University. Ag Secretary is one of the two cabinet nominations the President-elect hasn’t yet made, the other being Veterans Affair Secretary. Maldonado grew up on a strawberry farm near Santa Maria, California. He helped expand the farm from half-acre to 6,000 acres, employing around 250 people. A Trump spokesman says the plan is to interview Murano this week. A prominent member of the Trump Ag Advisory Council says Murano “is strongly opposed by most the Trump transition team.” Current Texas Ag Secretary Sid Miller is also thought to be traveling this week to interview for the Ag Secretary post

Debt-To-Asset Ratios Projected to Climb 13%

Economists are watching the farm economy numbers closely. An Ag Web Dot Com article says they’re watching for signs as to the current downturn in the ag economy driving it into a similar spiral seen in the 1980s. 2016 was a challenge, whether producers grew crops, milked cows, or fed beef cattle. Farmers pulled back on inputs where they could, machinery sales slumped, and prices were bad across the board. Nathan Kauffman, an economist with the Kansas City Federal Reserve Bank, says, “We saw a lot of carry over debt going into 2017 and a significant amount of debt being restructured.” Farm economists are keeping a watchful eye on agriculture debt numbers. The projected 2016 debt-to-asset ratio will rise to 13 percent. By way of comparison, the ratio was over 20 percent in the mid-1980s. There are some clouds on the horizon. American Farm Bureau Economist Bob Young says, “The number of loans or the proportion of loans where the collateral used to secure that note has been the farm land itself took a significant jump in 2016, and that’s concerning.” Kauffman says the extent that farmland value holds up should help soften some of that blow from low prices and the higher ratio.

Burger King Switching to Antibiotic-Free Chickens

The parent company of the Burger King and Tim Hortons restaurant chains announced it will no longer purchase chickens raised with antibiotics that are also used for humans. A Meating Place Dot Com report says Restaurant Brands International in Ontario, Canada, currently runs more than 19,000 restaurants in over 100 countries and U.S. territories. RBI intends to make the conversion to antibiotic-free chicken at its U.S.-based operations in 2017. The announcement says the conversion will take place in Canada during 2018. It also says the moves at Burger King and Tim Hortons will be moving from antibiotics used in humans but not necessarily animal-specific antibiotics used to keep the animals healthy. The chains will join other establishments like McDonald’s, Wendy’s, Papa John’s, and Chick-Fil-A in making the move over the next several years. In 2015, chicken supplier Tyson Foods announced it would also stop using antibiotics that are also used in humans in its operations next year. The restaurant chains and the processor are responding to concerns about consuming animals raised with human-use antibiotics possibly breeding drug-resistant bacteria that would affect human health. The U.S. Centers for Disease Control says at least two million consumers are infected every year with the so-called superbugs, which also cause 23,000 deaths.

China to Increase Farmland by 2020

The Chinese government has put together a five-year plan for land management from 2016 through 2020. Pro Farmer’s First Thing Today Report says the government will be adding another 3.2 million acres of farmable land to replace some of the nearly five million acres lost since 2003. The new acres would come from cultivation and land management, but the State Council wouldn’t provide any details. Industry estimates say China currently has just over 309 million acres of arable land and currently farms 247 million acres. China also announced five-year plans for the grains and oilseed industries. Those new plans include boosting production of biodegradable plastics made from corn and increasing the use of grains in animal feed. The nation is currently working to reduce its large corn reserve.

Dairy Producers and Veterinarians Invited to January Animal Health Meetings

Boehringer Ingelheim Vetmedica, Inc. partners with Dr. Garret Oetzel on a trip through Washington, Idaho and California to educate the dairy industry about a challenging health issue. ST. JOSEPH, Missouri. (Dec. 27, 2016) — For many dairy producers, dangerously low calcium levels – known as subclinical hypocalcemia – is a very real threat to their herds. That is why Boehringer Ingelheim Vetmedica, Inc. (BIVI) and Dr. Garret Oetzel, professor at the School of Veterinary Medicine, University of Wisconsin, are partnering to educate dairy producers and veterinarians in the northwest. Dairy producer meetings:Jan. 11, noon, Walter Clore Wine & Culinary Center, Prossor, WashingtonJan. 18, noon, Lola Bistro & Express, Hilmar, CaliforniaJan. 19, noon, La Piazza Ristorante Italiano, Tulare, California Dairy veterinarian and nutritionist meetings:Jan. 11, 6 p.m., Walter Clore Wine & Culinary Center, Prossor, WashingtonJan. 12, noon, Jakers, Meridian, IdahoJan. 12, 6:30 p.m., Canyon Crest Event Center, Twin Falls, IdahoJan. 18, 6 p.m., Lola Bistro & Express, Hilmar, CaliforniaJan. 19, 6 p.m., The Vintage Press Restaurant, Visalia, California Producers and veterinarians will learn about the risks associated with subclinical hypocalcemia, health and economic impacts of the disease and how to manage it. If you are interested in learning more about the meetings, or would like to reserve a spot, contact your local BIVI representative.

Scholarships Available to Allied Users of Angus Genetics

Applications now available for three, undergraduate Allied Angus Breeders scholarships, available through the Angus Foundation. Young people who use Angus genetics in their commercial cattle breeding program or whose parents use Angus genetics are eligible for one of three $1,000 Allied Angus Breeders scholarships from the Angus Foundation. Emphasis is placed on applicants’ knowledge of the cattle industry and their perspective of the Angus breed.“Providing outstanding young people with scholarship dollars toward their higher educations is one of the key tenets of the Angus Foundation mission,” says Milford Jenkins, Angus Foundation president. “There are so many young people in the commercial beef cattle industry who are connected to Angus genetics, it just makes sense for the Angus Foundation to support their continued involvement in the industry.”Scholarship applications are available online at www.angusfoundation.org, and are due May 1. Applicants must be a graduating high school senior or enrolled at a junior college, four-year college/university or other accredited institution and have a minimum 2.0 GPA. Recipients are announced in July.Applicants or their parents/guardians must currently be a member of the American Angus Association or have an affiliate member code and the applicant or their parent/guardian must have transferred or been transferred an Angus registration paper in the last 36 months (on or after May 1, 2014). The scholarship is applicable to any field of study. (Applicants having received or applied for Angus Foundation undergraduate scholarships using our standard general application this year or in past years will not be considered for this scholarship.)In 2016, the Angus Foundation awarded more than $212,000 in undergraduate and graduate student scholarships to more than 50 students.For more information, please contact Jenkins at 816-383-5100 or mjenkins@angusfoundation.org.

MDA to host Ag Caucus Welcome Luncheon

Venue will give legislators and industry a chance to chat about agriculture issues

Helena, Mont. – The Montana Department of Agriculture (MDA), in conjunction with several sponsors including Montana Farmers Union, Montana Farm Bureau, Montana Stockgrowers Association and the Montana Grain Growers Association, will be hosting a welcome luncheon for the agriculture caucus on Thursday, January 5th at 12 pm in the old supreme court chambers in the state capitol. “This is a really great opportunity for the ag caucus to get together and hear from industry partners,” said Representative Alan Redfield, Chair of the House Agriculture Committee. “Agriculture is the backbone of Montana’s economy, so it’s important that we as legislators know all we can about the issues facing the industry.” The MDA holds an ag caucus welcome luncheon at the beginning of every legislative session. The luncheon brings legislators and industry groups together in a bipartisan fashion to discuss the issues facing Montana’s agriculture industry

BLM Releases Draft EIS on Proposed Withdrawal in Crucial Sage-Grouse Habitat

Will host series of public meetings throughout West to gather input on alternatives

WASHINGTON, DC – As part of its continuing efforts to conserve habitat vital to healthy populations of the Greater Sage-Grouse in the West, the Bureau of Land Management (BLM) today announced the draft proposal to withdraw a subset of lands that are sage-grouse strongholds from future mining claims.  Based on public comments received during the scoping period over the last year, the draft Environmental Impact Statement (EIS) analyzes five alternatives, ranging from no action to the withdrawal of approximately 10 million acres of federal locatable minerals in certain areas that are particularly crucial to the Greater Sage-Grouse in six states: Idaho, Montana, Nevada, Oregon, Utah and Wyoming. The announcement, which will be published in the Federal Register tomorrow, opens a 90-day public comment period that will end March 30, 2017.  The BLM will also host eight public meetings throughout the West in February to gather input on the proposal and alternatives to the proposal. “We appreciate the input we’ve received from states, tribes, and other important stakeholders to help develop this draft analysis of the proposed mineral withdrawal,” said Kristin Bail, BLM assistant director for resources and planning. “We look forward to working closely with the public in the coming months as we finalize a proposal to protect important Greater Sage-Grouse habitat from potential future disturbance resulting from mining claims.” Secretary of the Interior Sally Jewell first announced the proposed withdrawal in September 2015, as part of the unprecedented, landscape-scale effort that began with BLM’s and its state and federal partners’ successful efforts to prevent the Greater Sage-Grouse from being listed under the Endangered Species Act. To develop the proposal and its alternatives, the BLM held public meetings in November 2015 in the six states to gather information and comments about whether to withdraw these areas from the location of new mining claims for up to 20 years.  The BLM also incorporated a mineral resource assessment prepared by the U.S. Geological Survey to help develop a reasonably foreseeable development scenario for the draft EIS.
In addition to releasing the draft EIS today, the agency published a Notice of Amended Proposed Withdrawal that would add about 388,000 acres to the approximately 10 million acres that are already temporarily segregated under the mining laws until Sept. 24, 2017.  These lands represent a proposal by the State of Nevada that areas adjacent to SFAs that contain high value habitat and identified Greater Sage-Grouse populations should be withdrawn, instead of high mineral development potential areas in the SFAs.  The draft EIS includes an alternative that evaluates the environmental consequences of this substitution.  Neither the segregation, nor any subsequent withdrawal, would prohibit ongoing or future mining exploration or extraction operations on valid pre-existing claims.  At one time, the Greater Sage-Grouse population likely numbered in the millions, but is estimated to have dwindled to 200,000 to 500,000 individuals range-wide. Sagebrush, the Greater Sage-Grouse’s primary habitat, also supports more than 350 other animal and plant species in the Western United States.

Donald J. Trump turns the page on the presidency in January

Trump's November election as U.S. president seemed as unlikely a story at the beginning of 2016 as any other news event. Yet, the 70-year-old New York hotel developer and reality TV star captured the Republican nomination over 16 other GOP rivals who verbally sparred for more than a year before Trump's personality, large rallies and free media time dispatched all other contenders.The general election, which pitted the braggadocious, freewheeling business celebrity against a former first lady, senator and secretary of State. The debates were acrimonious and every day seemed to bring a new scandalous assault on one or both of the candidates.The rest is history still being made.No sooner had Trump been elected than questions arose about how he will separate his business dealings from his role as president. The roles his children will play in the administration have been repeatedly raised. Details on these concerns are still to come.As the days wore on after his election, more reporting was done on the level of Russian involvement in the election and whether Russian leader Vladimir Putin had a hand in helping elect Trump as well.Rural America, however, immediately embraced Trump's presidency. A DTN/The Progressive Farmer poll on the Pulse of Rural America released just before the election showed a nearly two-to-one margin for Trump over Hillary Clinton in rural America. Trump ended up winning 30 states to capture the Electoral College win even though he lost the national popular vote to Clinton 48.1% to 46%.Rural counties in key battleground states put Trump over the top. His win immediately set high expectations for Trump in rural America."Rural America stepped up, but they stepped up because things are pretty tough out there," said Chuck Conner, president of the National Council of Farmer Cooperatives, shortly after the election. "There's a natural expectation out there that Donald Trump is the white knight and his cabinet is right there beside him. They are going to come in and fix this and we're going to have $5 corn and no regulation, and exports are going to boom. It's going to make the expectations of these jobs really tough."Agriculture was seldom an issue in a presidential campaign driven heavily by personal attacks. Yet Trump did key in on different topics, such as vowing to relieve the regulatory pressure on farmers. Trump plans to scrap several rules created under President Barack Obama, including the highly criticized EPA rule defining waters of the U.S.Ethanol also was the one topic that came up from time-to-time during Trump's visits to Iowa.While the choice for Agriculture secretary still remains and is one of Trump's later cabinet picks, he built an energy team of Oklahoma Attorney General Scott Pruitt to head the Environmental Protection Agency, followed by secretary of State nominee Rex Tillerson, chairman and CEO of Exxon Mobil. Former Texas Gov. Rick Perry has been named nominee for Energy Secretary.All three nominees have battled against the Renewable Fuel Standard and other policies that benefit biofuel production. Still, Trump's transition leaders maintain the president-elect stands by his defense of the Renewable Fuel Standard.Trade was a hot topic during the campaign and Trump has made it clear he will withdraw from the 12-country Trans-Pacific Partnership as soon as he takes office next month, calling TPP "a potential disaster for our country." The trade pact was expected to boost U.S. ag exports by roughly $7.2 billion over 15 years while ag imports were projected to grow $2.7 billion.Trump also has sent mixed signals on U.S. trading partners such as China. He has poked China in different ways since the election, but also named Iowa Gov. Terry Branstad as his ambassador to China. Branstad has a relationship with Chinese President Xi Jinping going back 30 years when Xi visited Iowa as a young government agricultural official.Moving into 2017, both Trump's strongest backers and harshest critics are convinced he will redefine presidency. 

Washington Insider: NAFTA and the Future

A key political issue, as U.S. producers await the name of the new administration’s nominee for Secretary of Agriculture, is the future of ag trade. In fact, there is at least some opposition among Republican supporters for preserving and expanding ag’s overseas sales.Politico is reporting this week that although President-elect Donald Trump rode into the White House “on a wave of working-class hatred for NAFTA,” he’s going to find it tough to deliver on his promise to scrap the trade agreement that he blames for sending U.S. jobs abroad.The reason, Politico says, is that “dramatically changing the pact could instead threaten 14 million American jobs that rely on trade with Canada and Mexico and send tremors throughout the North American business community, which has invested billions of dollars in developing ways to manufacture everything from cars and airplanes to pharmaceutical products using labor from multiple countries.“There could be some tectonic shifts,” said Dan Ikenson, director of the trade policy center at the free-market Cato Institute. “The slightest hint that things are going to be disrupted could cause capital flight from the U.S.”Trump’s contempt for NAFTA was a cornerstone of his message to the working-class voters who elected him. However, NAFTA was forged by an earlier generation of Republican leaders, including President George H W Bush, Secretary of State James Baker and U.S. Trade Representative Carla Hills, before President Bill Clinton signed it into law in 1994. And, even now “few business groups are clamoring for a renegotiation, and many are warning that Trump’s threat to withdraw from NAFTA will actually cause the loss of millions of industrial jobs instead of saving them,” Politico says.“You want to get rid of NAFTA?,” U.S. Chamber of Commerce Tom Donohue asked in an interview with Fox News earlier this year. “NAFTA is 14 million jobs in the United States.”Meanwhile, the National Association of Manufacturers calls NAFTA “a boost to U.S. manufacturing competitiveness.”“We look forward to working with government officials on possible improvements to reduce barriers and improve U.S. manufacturing competitiveness given the agreement is now over 20 years old," Linda Dempsey, vice president of international economic affairs at the manufacturers group, told Politico. At the same time, it is critical not to put at risk the 2 million U.S. manufacturing workers whose jobs rely on US exports to Canada and Mexico.So far, Trump has offered few details about what changes he’d like to make to the pact. Business groups are hoping they can convince him to instead “fix” the agreement in ways that will benefit them.In an ironic twist, many business groups hope Trump will steal ideas from the Trans-Pacific Partnership as he seeks to upgrade NAFTA. That should be possible since both Canada and Mexico are part of the 12-nation deal that Trump is vowing to jettison on his first day in office. They’d like to see rules similar to those in the TPP covering digital trade and the movement of electronic business data across borders, concerns that didn’t exist when negotiators crafted NAFTA.Meanwhile, whatever Trump decides to do on NAFTA, it won’t be as easy as simply issuing an edict. He’ll have to work closely with his counterparts in Mexico and Canada. Both Mexican President Enrique Peña Nieto and Canadian Prime Minister Justin Trudeau have indicated their willingness to revisit parts of NAFTA, but they say they won’t stand for tariffs or other punitive measures that Trump has suggested, Politico says.Canada and Mexico are the second- and third-largest markets for U.S. farm goods, behind China. The three countries are also closely integrated in many manufacturing sectors, such as autos and steel, making any talk of U.S. tariff hikes to bring jobs back to the United States a double-edged sword since it could make the entire region less competitive."What we're looking for is to move forward, not backtracking," Kenneth Smith Ramos, head of Mexico's trade and NAFTA office in Washington. The veteran trade negotiator said he would also like to remind the incoming Trump administration that Canada and Mexico are the top two export destinations for the United States, taking in more than $500 billion in U.S. goods each year."We are your top clients," Ramos said. "We sell a lot to the U.S., but we buy more from the U.S. than Brazil, Russia, India, China countries combined and all of Western Europe combined. So that has to be valued, and we have to work together."So, we will see. Given the anti-trade tone of the campaign, it is hard to see a new trade agenda emerging from the new administration. But, given the importance of trade to ag, it is hard to see an administration effort to pull back sharply from the long standing market development efforts for that sector.Most likely, the new Ag Secretary, whoever that is, will have more than a full time job satisfying the sector’s continuing need for new markets along with the administration’s preferences and commitments, a likely fight producers should watch very closely as it develops, Washington Insider believes. 

National Alfalfa Checkoff Launches on January 1st

The National Alfalfa and Forage Alliance will launch its first ever alfalfa checkoff on January first. The initiative is called the U.S. Alfalfa Farmer Research Initiative, designed to help offset a shortfall in alfalfa research funding. An article on Western Farm Press Dot Com says the Alliance Board of Directors voted to start a national checkoff program to help get a farmer-funded research program off the ground and advance industry research. The initiative, which is implemented voluntarily by seed brand, will be assessed at the rate of $1 per bag of alfalfa seed. National Alfalfa and Forage Alliance President Beth Nelson says there’s a definite need for more research. “Alfalfa is the nation’s third most valuable field crop behind corn and soybeans. A lot of people don’t realize that.” She says alfalfa acres have been declining recently and they credit at least some of that to a lack of research. Nelson adds, “There isn’t the same public commitment to research that you see in corn, beans, and wheat.

U.S. Dairy Exports Quadruple in Value Over 10 years

USDA’s Economic Research Service reports the value of U.S. dairy exports more than quadrupled between 2004-2014. Farm Futures magazine says that makes the U.S. the third largest dairy exporter in the world. The recently released “Growth of U.S. Dairy Exports” report says 2015 wasn’t quite as good. The U.S. began adding to an already large amount of dairy exports in the early 2000s. Dairy export values grew from $1.6 billion to roughly $6.8 billion in 2014. The increase was fueled by increasing incomes in overseas markets like east and southeast Asia as well as Latin America. Free trade agreements also opened world markets, such as the North American Free Trade Agreement providing greater access to Mexico. Reforms in China made it more open to American dairy exports as well. U.S. global exports fell in 2015 to $4.9 billion thanks to changing global conditions. That drop was a 28 percent decrease from 2014, a larger drop than the 11 percent decrease in total ag exports. Several reasons for the decline in dairy exports include weak or slower growth in global demand, especially in China, and a Russian ban on dairy imports. Other factors include a stronger U.S. dollar and the discontinuation of milk supply quotas in the European Union. 

Net Farm Income Down for Third Straight Year

Net cash farm income and net farm income are two popular ways to measure farm sector profitability, but they aren’t the same thing. Net cash farm income tracks cash receipts and cash expenses, while net farm income includes non-cash transactions, including inventory changes, capital replacements costs, and others. Both measures have headed lower since 2013 after several years of higher income. The U.S. Department of Agriculture is forecasting that net cash farm and net farm income for 2016 will be $90.9 billion and $54.8 billion, respectively. Both amounts fall below the ten-year averages. Before the recent drops, both income measures largely trended upwards. Between 2010 and 2013, rising crop and animal receipts helped to push net cash farm income and net farm income higher. However, prices declined for a large group of commodities in 2015 and fell further in 2016. Production expenses were forecast to contract in 2016 but not enough to offset the drop in commodity prices. 

OSHA Issues Final Rule Clarifying Employer's Obligation To Make And Maintain Records Of Recordable Injury And Illness

Unfortunately injuries happen far too often on dairy farms. As an employer it is your responsibility to record injury events. Recently the Occupational Health and Safety Administration (OSHA) issued a final rule that clarifies an employer’s obligation to make and maintain accurate records of recordable injury and illness.The rule was printed in the Federal Register on Monday, December 20 and will go into effect January 18, 2017.This rule reverses a previous rule which found that OSHA cannot issue citations for an employer failing to record an injury or illness beyond the six-month statute of limitation as set out in the Occupational Safety and Health Act. The new rule clarifies that an employer has a continuing obligation to record illness and injuries for five years, which coincides with record-retention requirements.According to Emily Lyons, director of regulatory affairs and counsel with the International Dairy Foods Association (IDFA), the new rule could come under review by the Trump Administration. It could also be subject to the Congressional Review Act, which gives lawmakers 60 legislative days to overturn a regulation from the current or previous administration. As part of the Coalition for Workplace Safety, IDFA filed comments objecting to the rulemaking.Dairies with more than 10 employees fall under OSHA regulations. If your dairy is in that category, make sure your policies and reporting processes are up to date. 

President Claims another 1.5 Million Acres through Antiquities Act

WASHINGTON (Dec. 28, 2016) – The Obama administration on Tuesday declared two new monument designations - 1.35 million acres at Bears Ears in Utah and 350,000 acres at Gold Butte in Nevada. Both designations were made unilaterally and despite overwhelming local opposition. Public Lands Council President and Utah rancher Dave Eliason criticized the outgoing administration for both their disregard for local input and the manner in which these latest designations were executed.  

“Designating a monument in this manner – under the cloak of darkness and without even the decency of notifying the local communities, the states, or the congressional delegations of Utah or Nevada – speaks volumes about the disregard this administration has for local input,” said Eliason. “If the administration was proud of this action, they would have touted it proudly yesterday when the designation was made. Instead, the administration hid out while no one impacted by this monument was given the courtesy of a simple phone call until a full day after the papers were signed."

The designations of the Bears Ears National Monument in Utah and the Gold Butte National Monument in Nevada make it the 29th time President Obama has used his executive power under the Antiquities Act, more than any other president before him. 

Packers Increase Prices Paid, Margins Still Increase

How do they do it? Packers paid $3 to $4 per cwt more for cattle last week and their margins went up $20 per head. Packer margins for the week ended Dec. 23 averaged $150 per head, according to the Beef Profit Tracker. It was a good week for cattle feeders, too, as their margins more than doubled to $135 per head.Cash fed cattle jumped from $111.74 to $115.37 per cwt. last week as packers turned aggressive late in the week. The supplies of ready cattle do not appear burdensome to the market at this point. This week cattle feeders will try to extend the rally, with early-week asking prices of $120.The incentive for packers to pay up last week came from increases in the Choice cutout price and the drop credit. The beef cutout increased nearly $6 per cwt. to $195.12, and the drop credit rose $1.84 per cwt.The total cost of finishing a steer last week was $1,471 compared to $1,487 the previous week and $2,131 last year. The Beef and Pork Profit Trackers are calculated by Sterling Marketing, Vale, Ore.A month ago cattle feeders were earning $52 per head, while a year ago losses were calculated at $413 per head. Feeder cattle represent 75% of the cost of finishing a steer, compared to 80% last year.Farrow-to-finish pork producers lost $8 per hog last week, about $3 more than the week before. A month ago farrow-to-finish pork producers lost about $33 per head.Pork packers saw their margins improve $9 per head to $45. Negotiated prices for lean hogs were $54.68 per cwt. last week, about $1 per cwt. lower. Cash prices for fed cattle are $8 per cwt. lower than last year and prices for lean hogs are about $3 higher than last year.Sterling Marketing president John Nalivka projects average cash profit margins for cow-calf producers at $144 per cow this year. In 2017, Nalivka projects cow-calf losses of $24. Last year’s estimated average cow-calf margins were $432 per cow. 

Washington Insider: CRISPR Nears

As we look back over the 2016 year in food and agriculture, it is tempting to think that the food label war, at least, could be calming down, especially since Congress pre-empted states’ food label requirements. However, that would be mostly wrong, according to Food Dive which is now providing an extensive description of a new food technology called CRISPR. The technology has been around for a while but now is causing industry officials to rethink important aspects of their future.CRISPR is a technique that allows scientists to edit plant and animal genomes with unprecedented precision, efficiency, and flexibility. Food Dive says the past few years have seen a flurry of “firsts” with CRISPR, from creating monkeys with targeted mutations to preventing HIV infection in human cells. Recently, Chinese scientists announced they applied the technique to nonviable human embryos, hinting at the technology’s potential to cure genetic disease. Much of this potential is still unclear and will be so for some time.What is clear is that CRISPR is one of the fastest, most precise and impactful methods for genetic engineering ever seen, Food Dive says, and notes that the big name genetic firms like Monsanto and DuPont have been working hard this for more than a year and are already growing CRISPR-edited corn and wheat plants, among others, in field trials. They report that they have been using CRISPR on plants and animals to include mushrooms that don’t brown as quickly in the refrigerator, drought-tolerant corn and virus-resistant pigs.The increasing number of publications on the CRISPR/Cas system, the rising number of patents and the additional funding allocated for CRISPR research are all signs that CRISPR will be a core piece of the machinery in the future of bioengineering, Food Dive says.What’s more, the technology faces a far different regulatory world than do conventional GMOs. For example, USDA has already ruled that it will not regulate CRISPR based foods because the technology does not involve inserting new genes into organisms, as today’s recombinant DNA technology does, but rather snips pieces of an organism’s existing genes.Manufacturers do not have to wait for CRISPR to “happen” to the food industry, either, Food Dive says, because it’s already here. Companies could begin producing and selling mushrooms that don’t brown, meat that is more tender and cabbage that is more flavorful before long. In fact, it’s happening in places like China, where technologies very similar to CRISPR have been in play in the food industry already, the group says.However, there still is an ongoing regulatory discussion, Food Dive says, regarding whether CRISPR-edited foods are “non-GMO” as USDA says. Organic certification groups also do not certify foods that have been edited using CRISPR.Still, the food industry “doesn’t have a good foundation from which to build,” Food Dive says. Existing GMO regulations are already sorely outdated. The definition of a genetically modified organism is under debate and scrutiny. The group argues that the food label debate is more likely to be engineered around protecting special interests than actually coming up with responsible ways to keep consumers informed while allowing the food industry to adopt new technologies.Food Dive argues that “manufacturers have to first define the technology, then recognize that labels still matter.” This, it thinks, could be a huge opportunity for the food industry to embrace CRISPR as a fundamentally good thing focused on high priority consumer needs, but “it can’t be shrouded in mystery.”Consumers today won’t stand for that. Support for the technology will be stymied just as quickly and fiercely as support for GMOs has been in the past if companies aren’t upfront about their use of CRISPR.So, we will see. It is clear that the industry is nearing the capacity to produce numerous new products with highly desirable attributes more efficiently than can be done with available GMO technology, but that building demand for these will take marketing skill and considerable luck. CRISPR certainly could mean enormous changes for the industry including increased demand growth, but exactly how all this will unfold remains to be seen, and should be watched carefully by producers as it evolves, Washington Insider believes.

Budget Patch Averts Ag Lending Crisis

All available ag lending money the government had was given out to farmers during the last fiscal year to help them through the worst economic downturn in decades. An Associated Press article says, despite that, no one who qualifies for a farm loan will be turned down over the next four months, thanks in part to an unusual item recently passed by Congress. The budget patch gives the U.S. Department of Agriculture the wherewithal to meet an expanding demand for farm loans by using future funding. USDA lending has no limit between now and April 28, which is a victory for farm groups who had been urging Washington to head off a potential ag lending crisis. Crop and livestock prices are pushing the nation’s farmers to the limit, and producers are turning to lenders for help in staving off disaster. The increasing demand pushed the Farm Service Agency to wind up $137 millions dollars short in direct and guaranteed loan funds through the end of the most recent fiscal year. The American Bankers Association Center for Agriculture and Rural Banking expects most producers to be able to hold on at least one more year because bankers can restructure their loans and add in some federal guarantees to commercial loans as well.  

Wind Turbines May Benefit Crops

An Iowa State University study is suggesting that turbines used to capture wind energy may have a benefit on crops in the fields. Gene Takle, a distinguished professor of both Agronomy as well as Geological and Atmospheric Sciences, says wind turbines disbursed throughout a field may create air turbulence that helps plants by affecting different variables, including air temperature and carbon dioxide. Feedstuffs magazine says research towers built on a 200-turbine wind farm collected data during a three-year study, noting wind speed and directions, temperatures, humidity, turbulence, gas content, and precipitation. While it’s difficult to know if the changes wind turbines produce actually affect crop performance, Takle said it can make growing conditions more favorable. For example, turbines can change the temperature around them. The wind turbulence can lead to a half-degree cooler days and between a half to a full degree warmer temps at night. The turbulence also suppresses the formation of dew, drying out the crops and preventing mold development on the plants.

Ag Secretary Search to Continue

Texas Ag Commissioner Sid Miller is the next candidate to meet with Trump Transition Team officials this week. Politico’s Morning Agriculture Report says Miller may be a bit of a long shot, but he’ll meet with incoming White House Chief of Staff Reince Prebius and Chief Strategist Steve Bannon at Trump Tower this week. Reports say Miller has spoken with Prebius multiple times on the phone, leading some to speculate he’s still in the running. In the meantime, former Texas Ag Commissioner Susan Combs met with Vice-President-elect Mike Pence last week, but the meeting only lasted about 20 minutes. Politico says Pence is expected to have a big say in the pick for Ag Secretary, so some think Combs may not be a serious candidate. If that’s not enough, anti-abortion groups in Texas are trying to sink her chances for the job by highlighting the fact that she’s supported abortion rights for most of her career. House Ag Committee Chairman, and fellow Texan, Mike Conaway had been lobbying the Trump Transition Team on her behalf. 

Trump Ban on Lobbyists Counter Productive

The incoming Donald Trump administration has a ban in place preventing lobbyists from working in the administration. Chris Novak, National Corn Growers Association CEO, says that’s going to present challenges. Novak tells Brownfield that lobbyists are important because they know the in’s and outs of Washington and how it works to get things passed. He says, “It’s simply a lot of missing expertise that will make it more challenging for the Trump administration to succeed.” Novak says Trump will need people that know how to build consensus to get things done because of the slight majorities that Republicans hold in the new Congress. “The Republicans do have a 58 to 42 majority in the Senate,” said Novak, “but with the new filibuster laws, sometimes it takes 60 votes to get things done. That means President-elect Trump is going to have to work with Democrats. That’s going to mean negotiation and compromise.” 

Global market for beef is expected to reach $2.1 trillion by 2020

The global market for beef is expected to reach $2.1 trillion by 2020, according to a new study by Grand View Research Inc., based in San Francisco.Beef is the third-most consumed meat globally. Growing consumer preference for meat as source of protein is expected to be a major driver of demand for beef over the forecast period. In addition, growing disposable income in emerging markets has resulted in increased consumption of beef in comparison to pork and poultry. And, the market is expected to witness significant growth owing to food safety issues such as chemical residue and pathogen detection in other meat products.Ground beef is the most-consumed product, with demand exceeding 29.5 million tons in 2013. Popularity of ground beef comes from its use in hamburgers and meatballs. Beef steaks are expected to be the fastest-growing segment due to increased preference for high quality beef, particularly in North America. The segment is expected to witness growth at an estimated compound annual growth rate of 1.24 percent from 2014 to 2020.Further key findings from the study suggest:The global beef demand was 67.4 million tons in 2012 and is expected to reach 72.9 million tons by 2020, growing at a compound annual growth rate of 1.15 percent from 2014 to 2020Asia Pacific is expected to be the largest regional market for beef with revenue exceeding $580 billion in 2013. Growing disposable income of China coupled with high preference toward red meat is expected to be a key driver for the market over the forecast period.North America was a significant contributor to beef demand with consumption in excess of 12.0 million tons in 2013.Increasing demand for halal beef in predominantly Islamic nations is expected to be a key factor having a positive impact on the market over the forecast period. The demand for Kosher beef is expected to increase in North America owing to consumer perceptions that it is a safer, higher quality and healthier beef.The global market was moderately consolidated with the top four companies accounting for more than 70 percent of the market in 2013. The key companies in the market include Tyson Foods, JBS, National Beef Co. and Cargill Meat Solutions. 

EU Responds To US Move On EU Ban On Hormone-Treated Beef

The European Union (EU) has met the commitments in a 2009 agreement with the U.S. on imports of hormone-free beef, an EU official said in a statement. The push back was in reaction to U.S. officials saying U.S. beef had been denied EU market access despite the U.S.-EU Memorandum of Understanding (MOU) on High-Quality Beef, which is beef raised without growth-stimulating hormones. “The EU has fully complied, both in the letter and in spirit, with the Memorandum of Understanding signed with the United States in 2009, establishing a hormone-free beef quota,” the EU official said in response to Dec. 22 statements by the Office of the U.S. Trade Representative.“The termination of this agreement and the possible application of duties on EU exports to the U.S. would certainly constitute a most unfortunate step backward in the strong EU-U.S. trade relations,” the EU official said, adding that the EU will continue to implement the memorandum of understanding and stands ready to listen to any concerns of the U.S. administration.USTR said that non-U.S. exporters of high quality beef products have been able to fill “a substantial part” of the EU's 45,000 metric ton duty-free quota. While the quota is not reserved for the U.S., the cuts of meat specified in the MOU correspond with grain-fed beef. Reports note that the EU is allowing Argentine and Australian producers of grass-fed beef to fill the quota with their high-quality beef products. In practice, USTR said in the notice, the quota has not provided enough “benefits to the U.S. beef industry sufficient to compensate for the economic harm resulting from the EU ban on all but specially produced U.S. beef.”As for the Transatlantic Trade and Investment Partnership (TTIP) implications, the EU official said, "Changing the EU's ban on hormone-treated beef was never part of the negotiations with the United States for a trade agreement." Both sides have signaled the TTIP talks will not culminate in the near future. USTR said in its December 22 statement that the European Commission “had argued that this issue should be resolved through TTIP.”Antibiotics Sales for Use in US Farm Animals Rose in 2015: FDA
U.S. sales and distribution of antibiotics approved for use in food-producing animals increased 1% from 2014 to 2015, the U.S. Food and Drug Administration (FDA) said in an annual report. An estimated 70% of antibiotics used to fight human infections and to ensure the safety of surgery and other invasive procedures are sold in the U.S. for use in meat production. In 2015, sales and distribution of those medically important antibiotics for food production rose 2%, the FDA said.Medically important antimicrobials accounted for 62% of the domestic sales of all antimicrobials approved for use in farm animals in 2015. Tetracyclines accounted for 71% of such sales, FDA said, noting the data also include drugs approved for therapeutic purposes."The more we use them anywhere, the less effective they become," said Dr. David Wallinga, a physician and senior health officer at the Natural Resources Defense Council.Some food outlets have switched to serving chicken raised without antibiotics important to human health. Some investors are pushing McDonald's and other major food companies to do the same for all of the meat they produce, purchase or serve around the world.

Frozen Poultry Supplies Down 13%

Total frozen poultry supplies on Nov. 30 were down 13 percent from the previous month and down 4 percent from a year ago.Total stocks of chicken were up 2 percent from the previous month but down 10 percent from last year. Total pounds of turkey in freezers were down 40 percent from last month but up 25 percent from Nov. 30, 2015.Total red meat supplies in freezers were down 8 percent from the previous month and down 4 percent from last year.Total pounds of beef in freezers were down slightly from the previous month but up 4 percent from last year.Frozen pork supplies were down 13 percent from the previous month and down 7 percent from last year. Stocks of pork bellies were down 8 percent from last month and down 54 percent from last year.  

25 Congress Members Say Soybean, Almond And Rice Milk Should Not Be Labled As "Milk"

(AP) -- Got milk? Twenty-five bipartisan members of Congress say if it's from soybeans, almond or rice, it should not be labeled as milk. Democratic Vermont Rep. Peter Welch and Republican Idaho Rep. Mike Simpson, leading the charge against "fake milk," signed a letter along with other Congressional members, asking the U.S. Food and Drug Administration to investigate and take action against manufacturers of "milk" that doesn't come from cows.They want the FDA to require plant-based products to adopt a more appropriate name, other than milk, which they say is deceptive."We strongly believe that the use of the term 'milk' by manufacturers of plant-based products is misleading to consumers, harmful to the dairy industry and a violation of milk's standard of identity," the letter states.Dairy farmers are struggling with "deep cuts in income" following a 40-percent drop in milk prices since 2014, the members of Congress say. The forecast is for prices to remain low. In recent years, the sale of plant-based products, often labeled as milk, has jumped in recent years, the letter states.They say milk has a clear standard of identity: "obtained by the complete milking of one or more healthy cows," among other qualities."While consumers are entitled to choose imitation products, it is misleading and illegal for manufacturers of these items to profit from the 'milk' name," the letter states. "These products should be allowed on the market only when accurately labeled."The Soyfoods Association of North America said the term "soymilk" has been used on products for over 100 years. It asked the FDA in 1997 to recognize the one-word name "soymilk" but that the FDA has not made a decision on the petition.The FDA said Friday that it had received the Dec. 16 letter and planned to respond directly to lawmakers.

Washington Insider: The Nation's Job Losses

During the recent campaign, both parties agreed that trade was bad because it killed jobs. And, both parties argued that keeping jobs in the United States, probably by subsidies, was the way to reduce income inequality.The problem is, most economists never really believed in that emphasis. Even though some of the economic articles months ago began to ask about real causes of job losses, the image of trade as a villain was repeated at almost all levels.Now, however, the issue is rapidly becoming what national policies will be required to bolster the jobs economy? On Thursday, the New York Times carried a long article in its main section on what "really killed jobs" and raises questions that should have been raised many months ago, but, mainly weren't.The article says new technology was typically the main villain. It cites a variety of examples including the steel industry in California where "minimill" technology led steel plants to cut 75% of employees over five decades, while keeping production the same. It presents many more examples."Over the long haul, clearly automation's been much more important (than trade) — it's not even close," Lawrence Katz, an economics professor at Harvard who studies labor and technological change told the Times.No candidate talked much about automation on the campaign trail, the article asserts, but it fails to note that most news articles didn't either. "Technology is not as convenient a villain as China or Mexico, there is no clear way to stop it and many of the technology companies are in the United States and benefit the country in many ways."So, the key question is what the next wave of policies will offer to deal with the problem and that answer is murky, at best. The Times notes that President-Elect Trump told a group of tech company leaders last Wednesday: "We want you to keep going with the incredible innovation. Anything we can do to help this go along, we're going to be there for you."Then, it quotes Andrew Puzder, the incoming labor secretary and chief executive of CKE Restaurants, as extolling the virtues of robot employees over the human kind as recently as last March. "They're (robot employees) always polite, they always upsell, they never take a vacation, they never show up late, there's never a slip-and-fall, or an age, sex or race discrimination case," he said.So, the Times concludes that globalization caused some of the job losses, especially trade with China during the 2000s which led to the rapid loss of up to 2.4 million net jobs. Still, over time, automation has had a far bigger effect than globalization, and would have eventually eliminated those jobs anyway, the article said.When Greg Hayes, the chief executive of United Technologies, agreed to invest $16 million in one of its Carrier factories as part of a Trump deal to keep some jobs in Indiana instead of moving them to Mexico, he said the money would go toward automation. "What that ultimately means is there will be fewer jobs," he said on CNBC.Another analysis, from Ball State University, attributed roughly 13% of manufacturing job losses to trade and the rest to enhanced productivity. Over time, automation has generally had a happy ending: As it has displaced jobs, it has created new ones. But some experts are beginning to worry that this time could be different. That's because even as the economy has improved, jobs and wages but for a large segment of workers others—particularly men without college degrees doing manual labor—wages have not recovered.Labor economists say there are ways to ease the transition for workers whose jobs have been displaced by robots. They include retraining programs, more public-sector jobs, a higher minimum wage, a bigger earned-income tax credit and for following generations, better education. But critics are pointing out that the new administration's policy headlines to date have little overlap with the White House proposals, and that retraining programs have been a hard sell in the past because of their cost.The White House on Tuesday released a report on automation and the economy that called for better education from early childhood through adult job transitions and for updating the social safety net with tools like wage insurance. "Just allowing the private market to automate without any support is a recipe for blaming immigrants and trade and other things, even when it's the long impact of technology," said Mr. Katz, who was the Labor Department's chief economist under President Clinton.The changes are not just affecting manual labor since computers are rapidly learning to do some white-collar and service-sector work, too. Existing technology could automate 45% of activities people are paid to do, according to a report by McKinsey.So, the key issue now is to be sure that policies are focused clearly at the cause of the unemployment and wage inequality problems, likely a very difficult task since so much political capital has been used blame trade and to build expectations on anti-trade efforts that may offer little relief, or may make problems worse. Thus, the coming debate over trade policies will be extremely important and should be watched closely by producers as it proceeds, Washington Insider believes.

Canada-U.S. Trade Not Broken, No Need for Trump Fix

Canada’s trade minister says the world-leading trade relationship between Canada and the United States does not need to be on U.S. President-elect Donald Trump’s list of things to fix once he takes office. Chrystia Freeland told The Canadian Press last week the trade relationship between the U.S. and Canada “is very balanced and mutually beneficial.” Freeland visited Washington earlier this month and met with some senior Trump advisers and Republican senators, including Senate Agriculture Committee Chairman Pat Roberts. Her message was to remind a new Congress and administration in Washington, D.C. the $2.4 billion a day that crosses the 49th parallel is good for both countries. Nine million Americans depend directly on exports to Canada, while 35 states have Canada as their top customer, according to Freeland

U.S. Scores Big WTO Win Against Indonesian Agricultural Trade Restrictions

The World Trade Organization ruled last week that 18 different import restrictions the Indonesian government maintains on beef, poultry and various produce items violate global trade rules, handing an overwhelming victory to the U.S. and New Zealand. Pro Farmer’s First Thing Today newsletter reports the ruling could help grow U.S. exports of a broad range of agriculture products to Indonesia that already totaled nearly $115 million in 2015. U.S. agricultural exports affected by Indonesia's restrictions include apples, grapes, oranges, potatoes, onions, flowers, juices, cattle, beef and poultry. Indonesia can appeal the ruling to the WTO's appellate body within 60 days. If it ultimately loses, Indonesia would have to reform its rules or face the possibility of U.S. trade retaliation

USCA Requests Status on U.S. Beef Trade with China

The U.S. Cattlemen’s Association last week requested an update on the status of trade negotiations with China about the export of U.S. beef. In a letter sent to Agriculture Secretary Tom Vilsack, USCA points out that an official from China in September announced in a speech in New York that Chinese consumers should no longer be denied the choice to dine on U.S. beef. The letter requests an update on the status of those negotiations and encourages the administration to reach out to stakeholders for input and feedback. China currently consumes around 13 percent of the world’s beef and is expected to increase their imports of red meat by nearly 24 percent in 2016, as compared to previous years.

List of the 100 Largest Landowners Released —

LandLeader is out with its 2016 Land Report, highlighting the 100 largest landowners in the country. John Malone is at the top of the list again with 2.2 million acres. Malone is the CEO of Liberty Media and has ranch land in Colorado, New Mexico and Wyoming. CNN founder Ted Turner is number two on the list with 2 million acres. Turner has land in South Dakota, Montana, Nebraska, New Mexico and Kansas.

A Slight Increase in Canola Acres —

Looking into 2017, Northern Canola Growers Executive Director Barry Coleman is expecting a slight increase in canola acres. “We’re steady to maybe up a little bit on acres: quite a few happy growers with the 2016 crop. In some areas of the state, the rotations have been pushed a bit. The acres will maybe drop a bit. In other areas, particularly the west, southwest and northwest part of the state we continue to see good growth of canola acres.” Coleman says more shatter tolerant varieties will be available for 2017 “We’ve had a couple of good varieties that are really taking the canola industry by storm the last few years," says Coleman. "A lot of people are really pleased with them. The shatter tolerance is an exciting new advancement in the canola industry.”

Undergraduate & Graduate Students: The Angus Foundation Wants to Support Your Education

Applications now available for Angus Foundation scholarships. Young people actively involved in the Angus breed who are pursuing degrees are encouraged to apply for a scholarship from the Angus Foundation.“Giving scholarships to deserving Angus youth is one of the favorite parts of my job,” says Milford Jenkins, Angus Foundation president. “These outstanding young people will go on to make important contributions to the Angus industry, and the Angus Foundation is proud to support them.”Undergraduate student scholarship applications are available online at www.angusfoundation.org, and are due May 1. Applicants must be previous or current National Junior Angus Association members or a regular or life member of the American Angus Association. Applications must be a graduating high school senior or enrolled at a junior college, four-year college/university or other accredited institution and have a minimum 2.0 GPA.Applicants are required to submit the following for consideration: the 2017 application form; three letters of recommendation; a copy of the applicant’s current college/university transcript, if applicable; and applicant’s AAA member code.Graduate student scholarship applications are also available online at www.angusfoundation.org and are due May 1. Eligibility requirements and application guidelines are included. Applicants will want to strictly adhere to the guidelines and provide the information requested when submitting their application to the Angus Foundation.In 2016, the Angus Foundation awarded more than $212,000 in scholarships to more than 50 undergraduate and graduate students.For more information, please contact Jenkins at 816-383-5100 or mjenkins@angusfoundation.org. 

WHY DOESN’T THE BEEF CHECKOFF PROMOTE “U.S. BEEF” DOMESTICALLY?

By Chaley Harney
Executive Director, Montana Beef CouncilThere has been a lot of recent discussion in the media among producers about why the beef checkoff doesn’t specifically promote “U.S. beef” in its domestic advertisements and promotions. We would like to provide some information that might help checkoff investors in Montana better understand why that is.It’s important to remember that state beef councils and the Cattlemen’s Beef Board all operate under the requirements of the Beef Act and Order – the enabling legislation under which our checkoff operates – and must remain in compliance with those documents.The Acts states the purpose of the Beef Checkoff Program as: “…carrying out a coordinated program of promotion and research designed to strengthen the beef’ industry’s position in the marketplace and to maintain and expand domestic and foreign markets and uses for beef and beef products.” In the domestic market, the role is to nourish the growth of consumer demand for beef and beef products, in general, not just a particular category of beef.The Act and Order further require all importers of live cattle, beef, and beef products to pay the equivalent of $1-per-head on those imports. Those assessments have added an average of $6.9 million per year to the national beef-checkoff budget during the last decade. And the “Guidelines for the Approval of Programs Under the Beef Promotion & Research Act” state, in Section III, that since producers and importers subject to the beef-checkoff assessment are required to contribute under the Act, “expenditures of checkoff funds should benefit the entire industry.”The mission of the checkoff is to build demand for beef among consumers by serving as a catalyst to provide consumers with beef research, information and promotion of beef, in general – on the tenet that “a rising tide lifts all boats.” In other words, protecting general beef demand opens the door for individual producers, importers or companies to serve and promote to their favored niche markets – such as local, grass- or grain-finished, antibiotic-free, and the like – if they want more specific branding.To maintain quality standards of the entire domestic beef supply, cattle imported to the United States, regardless of its country of origin, must meet the same USDA/Food Safety Inspection Service (FSIS) and Animal and Plant Health Inspection Service (APHIS) standards that beef produced in the U.S. must meet. Under statutory authority, APHIS and USDA/Veterinary Services monitor the health of all cattle (including semen and embryos) and beef and beef products that are imported to the U.S. Importers must meet requirements of an Import Checklist and obtain a veterinary permit for import of materials derived from cattle to ensure animal/meat health and safety.Why Imports?Let’s address one more topic at the very base of this that we’ve also seen bantered about in the country of late: Why do we import beef into the U.S. anyway?To be sure, the need for imports is not as simple as the number of cattle needed to meet demand, but instead the demand for certain parts of the animal, such as lean trim, according to ag economists nationwide, including Dr. Thomas Elam, Ph.D. Lean trim is in very short supply in the U.S. because the number of beef and dairy cows and bulls being sent to market has declined significantly during the last decade, and we simply don’t produce enough lean. Over time, the United States has increased production of 50’s-percent lean and reduced production of 90’s, mostly due to economic factors.With that, the vast majority of beef imported to the U.S. is lean trim (90+ percent) – primarily from Australia and New Zealand – to mix with 50/50 lean and fat ground beef produced in the U.S. so we can meet domestic consumer demand for lean beef. Without this, the U.S. beef supply would run far short of the lean ground beef required to meet our strong consumer demand for it. Importing lean trim to meet this need helps continue to grow domestic consumer demand for beef. Dr. Elam says that imports of lean beef actually enhance the value of the U.S. beef market and overall cattle prices and, in addition, allows U.S. cattlemen to maximize their competitive advantage of fed beef production.

Agriculture Secretary Search Continues

The search for Agriculture Secretary under President-elect Donald Trump continues and looks to be still far from closing in. DTN reports Trump will meet next week with Elsa Murano(mur-ron-oh), a former Texas A&M president and a USDA undersecretary for food safety under President George W. Bush. Lately, the Trump transition team has turned its focus to Texans for consideration of the post. Besides Murano, Vice President-elect Mike Pence has also spoken with Susan Combs, a former Texas agriculture commissioner. Politico speculates a decision will not be made until possibly early January on who Trump will pick to lead the Department of Agriculture. A Trump spokesperson said Thursday the search would continue into at least early next week. Currently,  Brian Klippenstein (clip-in-stine) from Protect the Harvest is the lone listed transition team member for USDA.

Lawmakers, Ag Groups Support USTR Action Against EU Ban on American Beef

Agriculture groups and lawmakers representing the Senate Agriculture Committee applauded a move by the U.S. Trade Representative against the European Union over discriminatory trade practices against U.S. beef imports. At the request of U.S. beef producers, the USTR office announced it would start the process of reinstating retaliatory tariffs on goods and products from the EU due to its unfair treatment of U.S. beef. In 2009, the U.S. and the EU signed a memo under which the EU agreed to create a new duty-free quota for imports of specially-produced beef to compensate the United States for losses arising from the EU’s ban on the use of hormones in beef production. Imports under the quota have grown steadily since then, and for the past two years, the entire 45,000 metric ton quota has been filled, though from countries other than the United States. National Cattlemen’s Beef Association President Tracy Brunner said the EU “has left us no choice but to seek compensation.” Senate Agriculture Committee Chairman Pat Roberts said the EU practices established “non-science based barrier to trade.” Roberts said the U.S. government must act, and applauded the USTR for taking the step towards tariffs.

Farm Bureau, NASDA Seek Delay of Unlawful EPA Rule

The American Farm Bureau Federation and the National Association of State Departments of Agriculture have petitioned the Environmental Protection Agency to delay the January 2017 start date of its worker protection safety rule. The two groups cited EPA violations of federal law as well as incomplete and undelivered compliance and enforcement tools to support their petition. AFBF and NASDA told EPA Administrator Gina McCarthy the rule “fails to advance the purpose of furthering the safety of farmworkers.” The petition from AFBF and NASDA claims EPA did not meet the law’s requirements when it failed to provide congressional agriculture committees a final copy of the regulations along with the copy sent to the agriculture secretary.

Industry Groups Making Case for WOTUS in Supreme Court

Industry groups in a legal battle over the Environmental Protection Agency’s Waters of the U.S. rule want the U.S. Supreme Court to hear their challenge, instead of going through district court first. The groups took issue with the 6th Circuit Court of Appeals’ decision that it should hear petitions challenging the rule. Industry groups, such as the National Association of Manufacturers, argues the Supreme Court should hear the case because the incoming Trump administration’s vows to kill the rule, according to Politico. In a court brief filed with the Supreme Court this week, the National Association of Manufacturers said:” The parties, the judiciary, and taxpayers should not be required to endure that enormous expenditure of money and effort in a case that is proceeding in the wrong court,” especially with the Trump administration likely to set off a new wave of legal maneuvering.” 

NCBA Applauds USTR for Defending U.S. Beef from European Mistreatment

WASHINGTON (Dec. 22, 2016) - Today, the Office of the United States Trade Representative announced it will start the process of reinstating retaliatory tariffs on goods and products from the European Union due to the E.U.’s unfair treatment of U.S. beef. National Cattlemen’s Beef Association President Tracy Brunner applauds USTR Ambassador Michael Froman for standing up for the U.S. beef industry and taking action in defense of U.S. beef producers.  
 
“The European Union has left us no choice but to seek compensation for the long-standing mistreatment of U.S. beef exports,” said Brunner. “Our temporary agreement with the E.U. was meant to be an opportunity to build a bridge of trust between U.S. beef producers and E.U. consumers, and to compensate the United States for the losses we have suffered as a result of the E.U.’s hormone ban. The E.U. has violated the spirit of that agreement and caused U.S. beef exports to become a minority interest in a quota meant to compensate U.S. beef producers.”
 
In 2009 the U.S. and the E.U. signed a Memorandum of Understanding under which the E.U. agreed to create a new duty-free quota for imports of specially-produced beef to compensate the United States for losses arising from the E.U.’s ban on the use of hormones in beef production. Imports under the quota have grown steadily since then, and for the past two years, the entire 45,000 metric ton quota has been filled, though from countries other than the U.S.
 
Over the past two years the U.S. government has attempted, without success, to engage the European Commission in discussions about ways to rectify this situation.
 
“While this is not our preferred choice, retaliation is the only way cattle producers are going to secure our rights for the losses we have incurred over the years due to the E.U.’s hormone ban,” said Brunner. “If the E.U. is unwilling to honor the terms of the agreement then we have no alternative but to seek restitution. We will not continue to be subjected to such trade agreement abuse.”
 
While initially imports from the United States accounted for the majority of the business done under the quota, over time imports from Australia, Uruguay and Argentina increased rapidly, taking a greater share of the quota. Neither Australia, Uruguay, nor Argentina was a party to the hormone dispute or the 2009 MOU that created the quota intended for the United States. The United States now has a minority and declining share of the quota, and imports so far this year point to a continuation of this trend. 

Public Lands Council and National Cattlemen’s Beef Association Comment on Endangered Species Coalition Report

Summary: The Public Lands Council and the National Cattlemen’s Beef Association today commented on the Endangered Species Coalition’s report on priorities for a new administration by adding a few concerns of its own. PLC and NCBA maintain that effective conservation is only achieved through balanced management and a focus on truly imperiled species – not those targeted by activist groups with a “zero human footprint” agenda.
 
WASHINGTON (Dec. 22, 2016) – After reviewing the report released on Wednesday by the Endangered Species Coalition, entitled “Removing the Walls to Recovery: Top 10 Species Priorities for a New Administration,” the Public Lands Council and the National Cattlemen’s Beef Association announced today several additional species overlooked by the report.
 
Since a gaping lack of scientific evidence does not appear to be a barrier to entry on this particular list, nor does a dearth of hard data, PLC and NCBA propose adding two additional imperiled and overlooked species: the Western Sasquatch and the flying North Pole (Santa’s) reindeer.
 
The Western Sasquatch is of great concern to enthusiasts and reality television viewers throughout the country, yet is altogether ignored by conservationists. Lovers of the Sasquatch are reduced to searching for footprints and other trace evidence of the great creature or waiting for new updates to the Netflix library.
 
Similarly, it is believed that only nine of Santa’s reindeer exist today, and warming temperatures increase the impending threat to their habitat. The extinction of these flying reindeer, all of whom have been affectionately named, would be a great loss for children and elves alike. The reindeer are truly a beloved part of our country’s great history, and their exclusion from the Endangered Species Coalition’s list is tantamount to a war on Christmas.
 
Though the Endangered Species Coalition may find it fitting to ignore science in pursuit of a political agenda, PLC and NCBA does not. Ranchers are the original stewards of the American landscape. Lists like the one released by the Endangered Species Coalition totally ignore the time, effort, and resources expended by ranchers and others to conserve wildlife and ecosystems while simultaneously providing food and fiber to the world.
 
In fact, the best scientific evidence available has proven time and time again that livestock grazing is not only compatible with conservation efforts, it is essential to achieving the objectives these groups claim to seek.
 
If the Endangered Species Coalition really wants to prioritize the continued survival of the sage grouse and the other species on its list, it should support true conservationist like America’s ranchers.

Office Of US Trade Representative Taking Action Against EU Trade Practices

The Obama Administration announced the Office of the United States Trade Representative (USTR) is taking action against the European Union’s (EU) trade practices that discriminate against U.S. beef imports.Acting on the request of the U.S. beef industry, USTR has scheduled a public hearing and is seeking public comments in connection with the EU’s ban on most U.S. beef products. If the trade action resumes, the United States would reinstate industry-supported tariffs on a list of EU products imported into the United States. USTR is seeking comments addressed to the possible effects of reinstatement on U.S. consumers and small- or medium-sized businesses. "The WTO determined that the European Union's ban on U.S. beef imports violates its international trade obligations," said Ambassador Michael Froman. "The EU has failed to live up to assurances to address this issue, and it's now time to take action. Today's action holds the EU accountable and is an important step in encouraging the Commission to come back to the table to ensure that American ranchers have access to Europe's market and that European consumers have better access to high-quality U.S. beef."In 1998, the EU lost a case at the WTO for banning American beef. In 2009, the U.S. negotiated an agreement to allow a modest degree of market access for specially-produced beef that meets the EU's standards, but that agreement, according to USTR, has not worked as intended. In recent years, the U.S. beef industry has been prevented from gaining the intended benefits from the agreement because of increased imports under the duty-free quota from non-U.S. suppliers.The European Commission had argued that this issue should be resolved through the Transatlantic Trade and Investment Partnership (T-TIP). USTR argues, however, that since EU stated in September that they did not view the completion of T-TIP this year to be possible, it is now time to take action.The U.S. beef industry exports an average $6 billion per year. These exports produce an estimated $7.6 billion in economic activity and support 50,000 jobs nationwide.“For several years we have been asking the EU to fix an agreement that is clearly broken, despite its original promise to provide a favorable market for U.S. beef,” said Agriculture Secretary Tom Vilsack.An interagency committee of trade experts and economists will participate in the hearing and review public comments on the particular products and EU member States that may be subject to the imposition of additional duties, with the goal of resolving this dispute. Complete information on the submission of comments is set forth in a Federal Register Notice that is published today on the USTR website. 

Decision Still Pending on USDA Cabinet Position

Current Texas Agriculture Commissioner Sid Miller reportedly remains in the running to lead USDA, with spokesman Mark Loeffler confirming that Miller has been in touch with Reince Priebus, the outgoing Republican National Committee chairman and Trump's appointed chief of staff, about "setting a meeting for next week."Idaho Governor C.L. "Butch" Otter, a former president at potato giant Simplot, was recently mentioned as a possible USDA leader, with Bill Flory of the Idaho Wheat Commission, a member of Trump's 64-member agricultural advisory committee, telling the San Antonio Express-News that Otter was an energetic and pro-trade leader who "ran the state like business" and "would really complement the [Trump] administration."Sen. Heidi Heitkamp, a Democrat from North Dakota, also has been a serious contender, though her reported vetting upset some Trump supporters.House Agriculture Chairman Mike Conaway, R-Texas, is backing Susan Combs, a Texas politician who served as the state's agriculture commissioner and comptroller, for USDA Secretary, one of the few remaining Cabinet posts to be filled. Combs met with VP-elect Mike Pence Tuesday.There was a photo yesterday of Iowa businessman Bruce Rastetter at Trump Tower. A reporter Wednesday asked a Trump spokesman whether he is being considered for any administration post. Jason Miller, the transition team's communications director, said, "Do not know if Rastetter is being considered for a particular post. Obviously someone who comes with a wealth of knowledge and is very well known in Iowa politics, but don't have any particular updates on his meeting with transition officials."The president-elect reportedly has vetted only two members of the advisory committee to lead USDA, Nebraska cattleman Charles Herbster and former Georgia Governor Sonny Purdue. 

Combs a Surprise Potential Ag Secretary Nominee

The search for an Agriculture Secretary has turned its attention to Susan Combs. She’s a former Commissioner of Agriculture and state comptroller of Texas. Combs met with Vice President-elect Mike Pence on Tuesday, which may have been due to the endorsement of House Ag Committee Chairman Mike Conaway of Texas. He told Politico’s Morning Agriculture report that he’s “been working to put her name into consideration” with President-elect Trump’s transition management team. The team didn’t comment publicly, but Combs is the first publicly acknowledged candidate for Ag Secretary to meet with Pence or Trump since North Dakota Democratic Senator Heidi Heitkamp on December 2. Combs grew up on a west Texas cattle ranch, but some are questioning her fit with the Trump administration. As Texas Ag Commissioner, she pushed nutrition policies in line with Michelle Obama’s and backed two of Trump’s rivals in the primaries. Conaway said her accomplishments as a comptroller stand out, saying she streamlined tax processes, recaptured $600 million in unpaid taxes, and cut $400 million dollars in government purchasing by making the process more efficient. Conaway says, “The federal government needs more people with that kind of expertise.”

Hormel Settles Dispute with Labor Department

37 women are heading to Hormel for work after the company settled a hiring dispute with the Department of Labor. A Meating Place Dot Com article says Hormel will hire the women with retroactive seniority and pay back over half a million dollars in back wages to 403 female job applicants who were denied entry-level jobs at its Fremont, Nebraska plant. Hormel’s fine and retroactive hiring agreement bring to a close a case filed by the Labor Department after it found Hormel discriminated against the women in its hiring process. Hormel is a federal contractor so it’s required to hire according to anti-discriminatory rules set forth in an executive order. Hormel has a federal contract to be a food supplier for the U.S. Departments of Agriculture and Defense. The Department of Labor found that Hormel was discriminatory in its hiring practices from February of 2008 to February of 2009. Hormel Foods said in a statement, “While we disagree with the Department of Labor, we believe a settlement now will avoid an unnecessary distraction.” Other meatpacking companies have faced similar suits over hiring practices, including Pilgrim’s Pride and JBS

Proposed Organic Livestock Farm Rules Not Guaranteed

Rules that would change the production of organic meat are awaiting President Obama’s approval but may run out of time. That means they might not ever go into effect. The High Plains Public Radio website says the proposed rules would clarify current rules and create new standards of care for animals on organic livestock farms. The rules would focus in on livestock and poultry living conditions, veterinary care, as well as transportation and slaughtering of livestock. The U.S. Department of Agriculture put the new rules together and estimates they’ll cost producers roughly $13 million per year. President-elect Donald Trump will be sworn in on January 20 and has pledged to undo a lot of regulations put into place by President Obama. Livestock industry officials and producers want these new rules to be among those that go away. The USDA says consumers aren’t certain about what the organic livestock label actually means, and that current standards are too ambiguous and confusing. Groups like the Organic Trade Association say the regulation updates are necessary to keep the organic label from getting watered down. The Association says rules like these should make sure producers don’t charge a premium for their product without following the rules for producing organic meats. Ag groups like the National Pork Producers Council and state chapters of the American Farm Bureau are vehemently opposed to the proposed rule changes.

EPA Removing Pesticide Ingredients from The Market

The Environmental Protection Agency is removing 72 inert ingredients from the list of ingredients approved for use in pesticides. Any manufacturers who want to use those ingredients in the future will need to first demonstrate their safety to the EPA, either through studies or other information. The EPA will then decide whether or not to approve the request. EPA is taking this action in response to a petition filed by the Center for Environmental Health, Beyond Pesticides, and others. The groups initially asked the EPA to disclose up to 371 inert ingredients in pesticides. In response, the EPA then said it will evaluate the risks found in each inert ingredient and make changes as appropriate. Pesticide ingredients that directly control weeds or insects are called active ingredients. Those that don’t directly affect pests are called inert ingredients. Many of the 72 inert ingredients were included on the original list of 371

Rabobank Issues Report on Reshaping Food Sector

The Rabobank Food and Agriculture Advisory Group issued a report on how the future is shaping up for North American agriculture, especially focusing in on agribusinesses over the next five years. The results show farmers will have an incentive to consolidate, streamline their operations, and respond to consumer desires. Senior Analyst Sterling Liddel says, “We’re expecting changes across the agriculture industry and the need for producers to respond and adapt in order to survive and succeed.” The report says three years of losses have forced farmers to use up most of their liquidity and they have tough decisions ahead about structuring debt and equity. Due to a decline in grain prices, the protein sector is expanding and should continue to do so next year. The dairy industry is facing increasing competition from non-dairy, plant-based alternatives across America. To be successful, the industry needs to promote dairy as an integral part of American food consumption. The report also says sugar processors will continue to move towards more non-GMO sources. 

USDA Announces Cost Sharing for Organic Producers

The U.S. Department of Agriculture says organic producers can head to one of 2,100 Farm Service Agency offices on March 20, 2017, and apply for financial help to assist with the cost of receiving or maintaining current organic or transitional certification. FSA Administrator Val Dolcini says, “USDA is committed to helping the organic sector grow through a wide variety of programs. That’s why, on March 20, producers can head to their FSA offices and apply for reimbursements of up to 75 percent of cost share certification.” He says this provides a more streamlined application process around the nation and will give organic producers a chance to learn more about the various USDA assistance programs, including farm loans and conservation assistance. USDA hopes these changes will encourage more producers to sign up for the National Organic Certification Cost-Share Program, as well as the Agricultural Management Assistance Organic Certification Cost-Share Program. These changes should also provide organic producers an opportunity to access a full range of USDA programs, such as disaster protection and loans for farms, facilities, and marketing. Eligible producers include any certified producers or handlers who’s paid organic or transitional certification fees to a USDA-accredited certifying agent. 

MT Dept. of Agriculture Requesting Specialty Crop Block Grant Applications

Nearly $1.3 million in funding available for Montana agriculture Helena, Mont. - The Montana Department of Agriculture is now accepting applications for an estimated $1.3 million in federal funding available through the Specialty Crop Block Grant (SCBG) program. This competitive grant program is designed to expand markets for Montana specialty crops. Montana’s SCBG program is available for projects solely enhancing the competitiveness of Montana specialty crops. Specialty crops include fruits and vegetables, peas, and lentils, as well as horticulture and nursery crops, including floriculture. “The growth in Montana’s Specialty Crop Block Grant program is allowing for a broader scope of projects, increased research funding, and greater diversification of Montana’s agriculture industry. We look forward to reviewing new, innovative applications” said Department Director Ron de Yong.   Eligible projects include education, marketing, improving distribution systems, development of good agricultural practices, pest and disease control, variety development, and improving production practices. Technical assistance calls will be held on February 1 and 15, 2017.  For more information, visit http://agr.mt.gov/SpecialtyCropBlockGrants. State and/or local organizations, government entities, producer associations, academia, community based organizations, and other specialty crop stakeholders are eligible to apply either as single entities or in combined efforts.  Grant proposals are due to the Montana Department of Agriculture by 5:00 p.m. MST on February 22, 2017. For more information, eligibility guidelines, technical assistance and resources, visit scbg.mt.gov or contact Jim Auer, Specialty Crop Block Grant Program Manager, at (406) 444-5424. The Montana Department of Agriculture’s mission is to protect producers and consumers, and to enhance and develop agriculture and allied industries. For more information on the Montana Department of Agriculture, visit www.agr.mt.gov. 

USDA Releases Local Food Marketing Survey Results

The National Ag Statistic Service released the results of its first-ever Local Food Marketing Practices Survey this week. Over 167,000 U.S. farms locally produced and sold food through direct marketing practices. That resulted in $8.7 billion in revenue in 2015. Farmers who sold directly to institutions and intermediaries like wholesalers who would locally brand the product brought in the most money at $3.4 billion. Roughly 115,000 American farms sell their products direct to consumers, through on-farm stores or farmers’ markets. That segment of producers took in $3 billion in sales. A group of farmers also sold to retailers, pulling in $2.3 billion in profit. The top five states in direct food sales were California, Michigan, New York, Pennsylvania, and Wisconsin. Pennsylvania led the nation in farms selling their products directly to consumers with over 6,000 operations. Only eight percent of U.S. operations were selling directly to consumers through an online market. The survey also concluded over 80 percent of all direct marketing food sales were made within 100 miles of the farm. Most farms selling to consumers were within 20 miles of their largest grossing marketplace.

Public Comment Period on GIPSA is Open

The comment period on proposed Grain Inspection, Packers, and Stockyards Administration rules is now open and runs for 60 days. The aim of the proposed rules is to protect poultry and livestock producers. The controversial rules would make it easier for producers to sue livestock companies and much harder for meat companies to cancel contracts with farmers. The rules would also give the U.S. Department of Ag more power to punish companies that have a track record of abuse. Politico’s Morning Agriculture Report says the changes are designed to improve a system that the Obama Administration and some farm groups say has given meat companies the power to keep farmers in debt and destroy the livelihood of those who speak out against them. Meat and poultry groups across the country have called it the latest regulatory overreach for the Obama Administration. The National Pork Producers Council says the rules are an attack on rural America for playing a large part in helping Donald Trump get elected to the White House.”

Avian Influenza Problems Continue in Asia and UK

A Highly Pathogenic Avian Influenza outbreak is taking a toll on wild and domestic poultry flocks in Asia while another outbreak is just beginning in the United Kingdom. The outbreak has left authorities in Asian and European nations scrambling to deal with the disease and prevent further trouble. U.K. officials are now dealing with the first case that’s been recently found on the mainland. Japan is culling another 200,000 birds at a poultry farm after an outbreak killed another 30 birds. Japan had already culled over a half million birds in the last month. South Korea has already culled a record 16 million birds after a series of influenza outbreaks, representing a total of 20 percent of the nation’s flocks. Meating Place Dot Com says another 30,000 turkeys and ducks were culled last weekend in Germany after officials discovered another strain of the H5N8 influenza virus at two additional farms. Several reports in the United Kingdom this week confirmed an outbreak of avian influenza at a turkey farm. Threats of arrest and imprisonment are still in place to prevent the movement of poultry and eggs around the U.K. 

CA Dairy Farmers Navigating Methane Reduction Bill

Dairy farmers in California now have more to consider in running their day-to-day operations. An article on Milk Business Dot Com says farmers face water issues, regulatory burdens, and the nation’s highest minimum wage. Farmers now must reduce methane emissions on their farms after Senate Bill 1383 was signed into law. Producers now have to reduce their methane emissions by 40 percent below 2013 levels by 2030. “Dairy farmers are wondering what it means for them and their dairies,” said Paul Sousa, Director of Environmental Services and Regulatory Affairs for the Western United Dairymen. Sousa says the only way dairymen can meet the regulations is to install a digester. Digesters are showing up on more than 200 farms throughout the nation despite their very high cost. California producers have time to meet the regulations. Sousa says the new law can only take effect on or after January of 2024 if the regulations are technologically and financially feasible. “This gives families seven years to prepare and to implement reductions voluntarily with incentive funding,” Sousa says. The state of California has $50 million dollars available to help farmers make those changes.   

NCBA Announces CME Scholarship Recipients

DENVER (Dec. 20, 2016) - Ten top-notch college students, who are pursuing careers in the beef industry, have been chosen for the 2017-2018 $1,500 CME Beef Industry Scholarships. The scholarship is sponsored by the CME Group and administered by the National Cattlemen’s Foundation (NCF). Taylre Sitz of Bozeman, Mont., is the overall essay winner.
 
“We’re pleased continue our support of the CME Beef Industry Scholarships, which provides education to future beef industry leaders,” said Tim Andriesen, CME Group managing director of agricultural products. “Our partnership with NCF enables us to continue investing in accomplished university students who represent the next generation of food producers here in the U.S.”
 
The CME Beef Industry Scholarship was introduced in 1989 in partnership with the Chicago Mercantile Exchange. Today this scholarship tradition remains strong by recognizing and encouraging talented college students who will one day be industry leaders. The National Cattlemen’s Foundation and the CME Group are committed to the future of the cattle industry and continue to support outstanding youth in the beef community. 
 
“We cannot emphasize enough how grateful we are for the continuous support from CME for Beef Industry Scholarships to provide financial assistance for future beef leaders,” said John Lacey, chair of NCF Board of Trustees. “Each year we are impressed with the caliber of students that apply for these scholarships.”
 
In addition to the $1,500 scholarship, Taylre Sitz receives a trip to Nashville, Tenn., for the 2017 Cattle Industry Convention & NCBA Trade Show where she will be recognized at the Best of Beef Awards Breakfast. Sitz currently attends Montana State University where she is pursuing a Bachelor's Degree in Animal Science, as well as a minor in Business Administration. She is currently enrolled in the pre-veterinary program with plans to become a large animal veterinarian.“Growing up on a ranch, I developed a commitment to the beef industry at an early age,” Sitz said. “I am interested in becoming a large animal veterinarian, and through ranch life I have been able to see and visit as they doctored cut horses or lame cattle. These experiences only furthered my desire to pursue the large animal veterinary career.”In her essay, Sitz tackled the question of describing a risk confronting the beef industry and a solution to that risk by describing the risk of decreasing consumer confidence. Sitz wrote about the importance of using education through social media as a tool to improve consumer confidence in the beef industry.
 
Other $1,500 CME Scholarship winners are: 
Thor Burnside, Fort Hays State University, Talala, Okla.
Cole Grisham, West Texas A&M University, Van Vleck, Texas
Emily Ivey, Land Lake College, Loudon, Tenn.
Abby Marion, University of Florida, Deltona, Fla.
Garrett Nichols, Iowa State University, Marshalltown, Iowa
Dan Johnson, Kansas State University, Dillion, Mont.
Shelby Schiefelbein, Texas A&M University, Kimball, Minn.                          
Madison Slaven, Virginia Tech, Blacksburg, Va.
Rachel Waggie, Kansas State University, Manhattan, Kan.
 
To learn more about scholarship opportunities and additional youth support from the NFC visit: www.nationalcattlemensfoundation.org/