Senate Ag Leaders Ask Biden to Fill USDA Vacancies

Senators Debbie Stabenow, Chair of the Senate Ag Committee, and Ranking Member John Boozman (BOZE-man) asked President Biden to quickly fill vacancies at USDA. They say filling the open positions can help increase trade opportunities for American agriculture. In a letter sent to the White House, the leaders ask Biden to quickly nominate a candidate to serve as the Chief Agricultural Negotiator in the Office of the U.S. Trade Representative. They also want a candidate in place to serve as the Undersecretary for Trade and Foreign Agricultural Affairs at the U.S. Department of Agriculture. “Global agricultural markets are highly competitive,” the senators wrote. “Every day, new trade barriers against American agricultural products are being devised to limit our access.” They also point out that the agricultural industry needs strong advocates that understand the needs of American farmers, ranchers, and foresters and who will represent their collective interests on the world stage.

NCBA Supports the A-PLUS Act

The National Cattlemen’s Beef Association supports the A-PLUS ACT, which stands for Amplifying Processing of Livestock in the United States. The bill was introduced in the U.S. House by Missouri Republican Vicky Hartzler and California Democrat Jimmy Panetta. The bill would clarify regulations under the Packers and Stockyards Act to allow livestock market owners to have an ownership stake in small meatpacking entities. Backers say that’s another tool to boost processing capacity and solve some key challenges in cattle marketing. “The need for new packing facilities has become a critical issue for the cattle industry,” says Clint Berry, chair of NCBA’s Livestock Marketing Council. “The A-PLUS Act makes it possible for the marketing segment of the cattle industry to be included as investors in these facilities, helping reduce dependence on major packers and improve the competitiveness of the live cattle market.” NCBA also says the meatpacking sector continues to be a bottleneck in the supply chain.

CHS Reports Second Quarter Earnings

CHS released its earnings results for the second quarter that ended on February 28. The company reported a second-quarter income of $219 million and revenues of $10.3 billion. That compares to a net loss of $38.2 million and $8.3 billion in revenues for the first quarter of fiscal year 2021. For the first six months of the current fiscal year 2022, the company reported a net income of $671 million and revenues of $21.2 billion. Some highlights in the fiscal year include refining margins in their energy segment, which were higher due to global supply and demand factors, and more favorable pricing for Canadian crude oil, which CHS refines. Robust global demand, coupled with increased market volatility, resulted in higher commodity prices and improved earnings, primarily in the company’s agricultural segment.  “The U.S. agricultural industry continues to experience strong demand for grain and oilseed commodities,” says Jay Debertin (Deh-BEHR-tin), president and CEO of CHS, Inc.

USDA Forming Subcommittee on Rural Community Economic Development

The USDA says it will establish a Rural Community Economic Development Subcommittee as a part of its recently launched Equity Commission. “This new subcommittee will be crucial to addressing issues of persistent poverty in rural communities,” says Ag Secretary Tom Vilsack. “We are committed to giving each recommendation the Equity Commission makes a full consideration to implement systemic, lasting change.” Deputy Secretary Jewell Bronaugh says,” The work of this subcommittee will be invaluable to the commission as we seek to provide recommendations on how underserved rural communities can obtain equity access to USDA programs. I’m hopeful the work of this commission and subcommittee will  break down barriers and increase the public’s access to, and trust in, USDA’s programs and services.” USDA is asking for nominations for membership on the RCED subcommittee. Nominations are open to the public, and any interested people or organizations may nominate qualified individuals. Learn more at usda.gov.

Bennet Wants Full Funding, Implementation of Fire Recovery Efforts

Colorado senator Michael Bennet wrote a letter to the USDA and the Forest Service asking the agencies to fully fund and implement fire recovery efforts before spring arrives. Snowmelt runoff and seasonal rains could cause further flooding and damage Colorado watersheds. Bennet says his state faces a funding gap of about $146 million for wildfire recovery. “Two catastrophic Western wildfires burned over 400,000 acres in Colorado,” Bennet wrote in his letter to Ag Secretary Tom Vilsack and Forest Service Chief Randy Moore. The Colorado lawmaker wants the Biden Administration to prioritize deploying fire recovery funds. Colorado, like many other western states, was hit hard by wildfires in recent years. Bennet wants the agencies to not only fully fund recovery efforts immediately, but also develop long-term solutions to support Colorado communities on the frontlines of recent wildfires. “State and local governments shouldn’t carry the burden of post-fire recovery on Federal lands,” he says.

Friday Watch List

Markets

Traders continue to keep an eye on the latest weather forecasts and any news regarding Russia or Ukraine. At 11 a.m. CDT, USDA will release its World Agricultural Supply and Demand Estimates for April, including the latest crop estimates from South America.

Weather

A system continues to spin across the Great Lakes on Friday, bringing spotty showers throughout the Midwest. Winds have calmed down significantly across the Plains but may still be breezy in spots. Cold air has filled in across much of the country east of the Rockies, with potential frosts and freezes from the Midwest to the Mid-South through Sunday morning. Damage to wheat is unlikely but temperatures will slow the warming of soils prior to planting row crops.

Pork Producers Press Politicians on Public Policies

Pork producers are in Washington, D.C., as part of the National Pork Producers Council's Capitol Hill fly-in. This week, the organization is highlighting top public policy issues facing the industry. NPPC says the top priorities include preparing for and preventing foreign animal diseases, addressing an agricultural labor shortage, and increasing pork exports. Nearly 100 farmers from across the country are participating in person for the first time in two years. NPPC President Terry Wolters says, “Challenges facing our industry continue to evolve, and we hope our efforts this week help lawmakers understand why these issues are so important.” Producers urge lawmakers to support additional funding for foreign animal disease prevention and preparedness efforts, particularly around African swine fever. Last July, ASF was detected in the Western Hemisphere for the first time in more than 40 years. And, to address an ongoing labor shortage, producers want lawmakers to expand the H-2A visa program to year-round agricultural workers.