Growth Energy Comments on EPA CVR Waiver

The Environmental Protection Agency has granted an undisclosed waiver to CVR, a refinery owned by Carl Icahn (Eye’-kahn), allowing the company to bypass its biofuel obligations under the Renewable Fuel Standard. The move, which is one of several, has angered the ethanol industry. Growth Energy CEO Emily Skor points out the political ties between the Trump Administration and Icahn, as “Icahn interviewed Scott Pruitt for the job.” EPA administrator Pruitt told reporters last week that the EPA is following statute regarding RFS waivers. But, the move to grant a waiver to CVR means “Icahn stands to make millions more from an EPA handout,” according to Growth Energy. Icahn has been under the microscope since the beginnings of the Trump administration. While serving as an unpaid advisor to President Donald Trump, Icahn submitted a proposal to change the point of blending under the RFS away from refiners and further down the supply chain.

New York Tells ICE to Cease Non-Warrant Farm Raids

The Governor of New York is demanding U.S. Immigration and Customs Enforcement, or ICE, stop some raids by the federal agency in his state. Andrew Cuomo has sent a cease and desist letter to ICE following a raid on a farm in New York without a warrant. Meat industry publication Meatingplace reports the governor signed an executive order to block ICE arrests in state facilities without a warrant, and to prohibit state agencies and law enforcement officers from inquiring about an individual’s immigration status unless required by law or to establish whether the individuals qualify for a specific benefit or service. The letter cited an April raid by undercover agents at a dairy farm in Rome, New York, where the owner reported agents were questioning a farm worker on the property and pushed him against a window as his children watched while waiting for a school bus. The federal agency has not yet responded to the letter.

USDA Supports Specialty Crop Industry with Multi-State Initiatives

The U.S. Department of Agriculture Monday announced $7 million of funding support for specialty crop industries. The funding will support 11 projects in six states to “develop solutions to challenges” affecting specialty crop producers. The funding is managed through the Specialty Crop Multi-State Program and administered by the Agricultural Marketing Service. The 2018 funding will support partnership-based projects that, while originating in six states, are developed through multiple other states via universities. The program, according to USDA, helps strengthen food safety, while helping growers of specialty crops, including fruits, vegetables, tree nuts and horticulture crops, find new ways to address plant pests and diseases. Specific details of each project can be found online at www.ams.usda.gov.

Biodiesel Ranks First Among Fleets for Alt Fuel Use

A survey of fleet vehicle providers has found that biodiesel is now the most popular alternative fuel option on the market, followed by E85. The National Biodiesel Board says the study conducted by the Association for the Work Truck Industry shows that the nation’s top fleets call biodiesel the number one choice for greening fleet operations. The 2018 Fleet Purchasing Outlook study shows that 75 percent of fleet respondents planning to acquire trucks in 2018 anticipate maintaining or increasing use of diesel engine powered trucks, and more fleets are planning to acquire or continue using biodiesel than any other alternative fuel option. Survey organizers note that Nearly 40 percent of respondents indicated they currently operate alternative-fueled trucks in their fleets, up four percent from 2017, and interest is at the highest recorded level since 2014. 

Dillon, Mont. to host Stockgrowers’ MidYear Meeting

The Montana Stockgrowers Association (MSGA) has announced their Midyear Meeting will be held in Dillon, Mont. June 14-15. MidYear is one of two major meetings MSGA holds annually where members will gather to discuss the issues facing Montana ranching families and set interim policy to guide the association through the year.
 
“Please join us for an unforgettable summer convention in Dillon!  It's time to show southwest Montana how important ranching is to preserving the west.  This year, we have invited the entire community and surrounding area to join us in this great celebration,” said Bryan Mussard of Dillon, President of MSGA. “Dillon, Montana is the crossroads of agriculture and environmentalism. Every time an endangered species is identified in Montana, there is a cow standing over it, protecting it with thousands of acres of open space and hundreds of miles of clean watersheds.  We are all busy, but it is necessary for all of us to participate in this event.  Our consumers will be on hand to meet us personally.  So, get your chores done, call your neighbor to watch the gates and get to Dillon for this historic event.”

Thursday’s Opening General Session will feature Dr. Vaughn Holder the Ruminant Research Group Director for Alltech. His keynote “Expanding Nutritional Horizons” will address the science and technologies that are changing the face of cattle nutrition. His keynote will be followed by policy meetings where members have the opportunity to hear about issues facing Montana ranchers and set policy to exact positive change.

Following the policy meetings, the Montana Stockgrowers Foundation is hosting a Gala Dinner and Auction. Attendees are encouraged to dress up in their best “Cattle Baron – Turn of the Century Attire”. The Gala will include an auction of four local float trips, five commissioned original Montana art pieces and many other amazing items!

The fun doesn’t stop on Friday which kicks off with an inspirational breakfast at the Fairgrounds, a 500-horse parade through Dillon, a BBQ cookoff, Stagecoach viewing, a cattle judging competition and so much more! The day culminates in a Preserving the West Concert headlined by Saints & Angels, a Nashville based band that will be joined by Florida Georgia Line’s original guitarist Brian Bonds. Montana’s own Kyle Shobe & the Walk ‘Em Boys will kick the party off!

For more information about MSGA’s 2018 Mid-Year Meeting, contact MSGA’s office at (406) 442-3420 or join the Facebook event. Visit mtbeef.org for tickets and more details

To illustrate how demand can throw the market a curve, Glynn Tonsor says to look no further than 2017

That's when the industry took an uncommon turn, as demand drove fourth-quarter calf prices higher. That kind of late-market surge has happened just five times in the last 15 years.The Kansas State University beef economist explains: "Last year, we saw beef demand, both domestically and on the export market, get stronger throughout the second half of 2017. Typically, due to a higher supply of calves beginning in September and October, we see prices pull down. Given enough demand, you overcome that. The result was almost everyone last year got a better price than they thought they would."Tonsor says that fourth-quarter anomaly isn't something he expects to see repeated in 2018. He predicts this year's market to be more of a break-even environment largely because of mostly stable input costs."The cost to run a cow in 2017 was around $807," he notes. "We expect this year, that will be around $812." Clearly, drought conditions that force producers to purchase more feed could increase costs.Tonsor also believes there's opportunity for stockers this season. "There are two ways stockers do well in this market. If demand is strong and we see trade deals improve, or the global economy grows faster than projected, anyone selling a heavier animal benefits. So, those in the middle who bought calves and added weight are in a good position."The other way stockers do well is by buying discounted calves," he continues. "If I buy calves in October in a bearish market, and during the winter the outlook improves, I sell at a higher value than I bought at. The stocker sees upside, but it's a negative for the average cow/calf producer."Tonsor believes the high end of the calf market has already been set, unless some market dynamics change moving into the second half of 2018."Supply pressure going forward looks to be greater than demand," he notes. "So, if a stocker is making money, it's probably going to be because he got a cheaper calf." 

Farm groups are trying to stave off demands to include more cuts in the farm bill for crop insurance and commodity programs

OMAHA (DTN) -- A group of 65 organizations -- including farm, conservation and wildlife groups -- sent a letter Thursday to every member of the House of Representatives, urging them not to propose amendments to the farm bill "that would do significant harm to crop insurance and to rural America."The groups stated they were opposed to any amendments that would reduce or limit participation in crop insurance, make crop insurance more expensive or "harm private-sector delivery" of crop insurance. The groups detailed the justification for crop insurance for farmers and the value to taxpayers by avoiding ad-hoc disaster aid to producers. And the letter urged congressmen to oppose any amendments to the farm bill that would harm crop insurance. Not knowing exactly when the farm bill was going to come to the House floor, supporters of crop insurance felt the need to remind congressmen about the value of crop insurance and also to reach out to more 110 congressmen who were not in office the last time a farm bill came to the House floor.