Still Waiting On WOTUS

The Trump administration’s new definition of Waters of the U.S. (WOTUS) is still awaited, but is now expected to be announced as early as today.

Now, Sen. Chuck Grassley, R-Iowa, told reporters Tuesday he expects EPA to release the new WOTUS rule before the end of the week.

“The Trump administration will set common sense limits on state versus federal jurisdiction over the waterways and make it easier for state local governments and farmers to comply,” Grassley said.

Thursday Watch List

Markets
Early Thursday morning weekly jobless claims will be out along with leading economic indicators. DTN will also be watching for any 8 a.m. flash sales announced by USDA, any sign of Chinese buying, updated weather for South America, and ethanol production and stocks.

Weather
Thursday features snow in the central Plains through the western, northern and central Midwest, and rain in the Delta and Deep South. This precipitation will cause transportation and safety concerns along with livestock stress. The moisture also keeps soils saturated and adds to prospects of flooding and fieldwork delays in spring. We'll also see mixed precipitation in the interior Northwest. Conditions will be chilly but not bitter-cold.

Perdue Confirms Third Round of Trade Assistance for Farmers

Ag Secretary Sonny Perdue confirmed that U.S. farmers will receive a third round of trade assistance this year to help producers with their 2019 losses. President Trump had hinted at additional aid during his address on Sunday at the American Farm Bureau national convention. However, Perdue says, “No maybe about it.” Looking ahead to 2020, the secretary doesn’t see a similar program new year because of the Phase One Trade Agreement with China, as well as other trade deals in place. “Now, let’s grow stuff, let’s produce things, and let’s sell stuff,” he told the farmers in attendance. While speaking, Perdue did acknowledge the various challenges 2019 had on U.S. agriculture but thinks there are brighter days ahead this year. “We’re talking about doubling the number of ag imports to China, way more than they’ve ever purchased from us before,” Perdue says. “And, those purchases are going to come throughout the whole United States’ ag sector.”  The president said farmers told him they don’t want anything but a level playing field. Because of the trade deals he’s signed, Trump says farmers “now have what they want,” and better days are ahead.

Perdue Open to Changing Crop Data Collection

Ag Secretary Sonny Perdue talked over the weekend about his willingness to make changes in National Ag Statistics Service methods of crop data collection. A Farm Journal article says during 2019 and it’s many challenges, many farmers were openly questioning the crop projections that were coming from NASS throughout the year. Perdue admits that he had some concerns about their crop reports and the survey methods NASS uses. “In fact, it was kind of paranoia in light of all the prevented planting and other kinds of things that were falling on us,” he recalled. “We got a little conspiratorial too, thinking NASS was also out to get us.” He thinks the NASS numbers that took the market by surprise last June might have been more correct than the market ultimately was in its reaction. However, that doesn’t mean Perdue thinks the methodology for estimating crop size couldn’t be improved. “We’re going to get better,” Perdue says. “If you’ve got an idea about how we can better use electronics, or maybe an app for better surveys, we’d love to hear about it. We’re open to the kind of ideas of using modern technology to get you the best data that you can use to make plans for your farm.”

Poll Shows Farmers still in Trump’s Corner

A new poll shows farmers are still supporting President Trump. A Market Watch Dot Com article shows survey results that say 83 percent of people in the agriculture business approve of his job performance. That’s the highest level of support Trump has received from the respondents in that poll from Farm Journal. The survey of almost 1,300 people took place before President Trump spoke over the weekend at the American Farm Bureau convention. 64 percent of the respondents strongly approve of his job performance. Another 19 percent said they somewhat approve of the job the president has done. Just 13 percent of the survey respondents strongly disapprove of his job performance. The affirmation came after the U.S. and China signed a phase one trade deal and the U.S.-Mexico-Canada Trade Agreement made it through both chambers of Congress and to the president’s desk. The agreement with China calls for the Asian nation to purchase $36 billion in U.S. agricultural products in 2020 and more than $43 billion in 2021. The Dow Jones, Nasdaq, and the S &P 500 all jumped to record highs on the news, but the grain markets were a little slower to react last week.

Minnesota Loses Over 800 Dairy Farms in Three Years

The number of licensed dairy farms in Minnesota continues to drop at a steady pace. New data out from the Minnesota Department of Agriculture says 315 dairy farms left the business between January first of 2019 and New Year’s Day of 2020. That’s the second year in a row the state has lost more than 300 dairies. Further back on January first of 2017, Minnesota had 3,258 licensed dairy farms. As of January first of 2020, that number is down to 2,448 licensed dairy farms. That’s a three-year total of 810 dairy operations that are out of business. Margaret Hart, communications director for the MDA, says, “The number of farms going out of business over the last five years has been higher than normal, due in large part to a drop in prices.” It’s worth mentioning that at least some of those businesses have ceased their operations temporarily, which is referred to as “dried off.” For example, 47 dairies that stopped operation between December first, 2019, and January of 2020, are dried off. That means they intend to resume milking within 60 days.

National Biodiesel Board CEO Shares Future Vision Statement for the Industry

The National Biodiesel Conference and Expo started off Tuesday with a state-of-the-industry address from National Biodiesel Board CEO Donnell (Duh-NELL) Rehagen (REE-hagen). The CEO outlined a new public vision statement during his address to industry stakeholders. The new industry statement says, “Biodiesel, renewable diesel, and renewable jet fuel will be recognized as mainstream low-carbon fuel options with superior performance and emission characteristics. In on-road, off-road, air transportation, electricity generation, and home heating applications, use will exceed six billion gallons by 2030, eliminating over 35 million metric tons of CO2 equivalent greenhouse gas emissions annually. With advancements in our feedstock, use will reach 15 billion gallons by 2050.” Rehagen says without a clear vision for the future of the industry, including where they want to be and how they’ll get there, the industry won’t have a chance to be more than it is today. “As carbon policies around the country really begin to take hold, we see low-carbon fuels like biodiesel, renewable diesel, and renewable jet fuel with tremendous opportunities for growth,” Rehagen says.