Oklahoma's Latest Farm
And Ranch News
|
|
Thursday, February 3, 2022 |
|
|
|
Here is your daily Oklahoma farm and ranch news update.
- NCBA Goes On Record Opposing Federal Government Mandates of Cash Cattle Trade
- Ethan Lane Says Supply Chain and Cattle Markets are Hot Topics at #CattleCon22
- Ag Economy Barometer Declines, Producers Concerned About Rising Costs and Supply Chain Disruptions
- CattleFax Forecasts Positive Profitability Trends in 2022
- USMEF's Dan Halstrom Discusses Growing Global Beef Demand
- From the Nobel Research Institute: With Regenerative Agriculture, Context is Everything
- Americans Projected to Eat 1.42 Billion Chicken Wings for Super Bowl LVI
|
NCBA Goes On Record Opposing Federal Government Mandates of Cash Cattle Trade |
It was a relatively short meeting on Wednesday at the 2022 Cattle Industry Convention in Houston of the Live Cattle Marketing Committee- at least when you compare this meeting to the Six Hour marathon July 2020 meeting held in Denver when cattle producers agreed to pursue more cash cattle trade and going after it by establishing a task force that would develop measurements of cash and negotiated trade- click here to read more of that July 2020 meeting and hear my commentary on what was done that day.
Coming out of that meeting was the 75% plan- which documented the efforts of the industry in especially the southern great plains to increase cash and negotiated trade. That plan was the framework of tracking cash trade in the US over the first three quarters of 2021. The good news from that monitoring was that cash trade was increased while the bad news was the packers were not doing their fair share in increasing price discovery through cash and negotiated trade.
The triggers that occurred under that plan brought the industry back to the meeting on Wednesday in Houston to determine the policy direction of NCBA on cash trade- and while the midwest states still were promoting some level of federally mandated cash trade- the majority of the delegates wanted to preserve what was being called the “Freedom of Choice for a cattle producer” in how they market their cattle- this language was part of the framework that was proposed by several state cattle groups- including the Oklahoma Cattlemen's Association and the Kansas Livestock Association. Their amendment to current policy was further amended by language proposed by the Texas and Southwestern Cattle Raisers that would specifically put the NCBA on record as “NCBA opposes any mandate on cash trade volumes." That amendment received a roll call vote- and passed 146 to 41. The amended amendment then passed by a voice vote.
Click on the blue button to hear comments from Michael Kelsey as well as Colin Woodall on the issue.
Our thanks to Performance Beef and Zoetis for sponsoring all of our reports from Houston and the 2022 Cattle Industry Convention
|
National Livestock was founded in 1932 in Oklahoma City. National’s Marketing Division offers cattle for sale weekly at the Oklahoma National Stockyards in Oklahoma City. The Finance Division lends money to ranchers across several states for cattle production. The Grazing Division works with producers to place cattle for grazing on wheat or grass pastures.
National also owns and operates other livestock marketing subsidiaries including Southern Oklahoma Livestock Auction in Ada, Oklahoma, OKC West Livestock Market in El Reno, Oklahoma, and the nation’s premier livestock video sale, Superior Livestock Auction. National offers customers many services custom made for today’s producer. To learn more, click here for the website or call the Oklahoma City office at 1-800-310-0220.
|
Ethan Lane Says Supply Chain and Cattle Markets are Hot Topics at #CattleCon22 |
The Cattle Industry Convention and National Cattlemen’s Beef Association Tradeshow are in full swing today in Houston, Texas. The convention acts as a one-stop-shop for cattle producers where they can shop for the ranch, gain industry education or join in policy conversation.
Talking about the latter, Ethan Lane, vice president of Government Affairs at NCBA, told us that supply chain issues and the cattle markets are two hot topics at this year’s #CattleCon22.
“There is no shortage of issues this week; every committee has stuff going on,” Lane said. “A lot of producers are focused on the supply chain and how the larger supply chain challenges impact them, whether that is through labor shortages, transportation struggles or some of the challenges we have seen with getting product moved overseas.”
Years into the cattle market debate, Lane said states still view the issue differently based on their varying business models. He said the convention is the place to come together as an industry and work on solving issues like these.
|
Ag Economy Barometer Declines, Producers Concerned About Rising Costs and Supply Chain Disruptions |
Farmer sentiment weakened in January as the Purdue University/CME Group Ag Economy Barometer declined 6 points to a reading of 119, its second-lowest reading since July 2020. The Index of Current Conditions fell 13 points to a reading of 133, while the Index of Future Expectations changed little in Jan., down 2 points to a reading of 112. The Ag Economy Barometer is calculated each month from 400 U.S. agricultural producers' responses to a telephone survey. This month's survey was conducted between Jan. 17 to 21.
"Rising farm input costs and ongoing supply chain disruptions appear to be contributing to producers' weaker perception of current conditions and expectations of their farm's financial performance in 2022 when compared to last year," James Mintert, the barometer's principal investigator and director of Purdue University's Center for Commercial Agriculture, said.
The Farm Financial Performance Index fell sharply in Jan. to a reading of 83, a 30% decline compared to a year earlier and 27% lower than in Dec. 2021. The financial index is generated based upon producers' responses to whether they expect their farm's current financial performance to be better than, worse than or about the same as the previous year.
"The sharp drop in the financial performance index this month indicates producers expect a sharp decline in income in 2022 compared to 2021. In the Dec. survey, producers were focused on comparing a very positive income year, 2021, to 2020, which really supported the index at year end," Mintert said.
|
|
For our farmers who have either- always have had cotton on their farms- or those who have more recently have added the fiber crop to their operations- we have a daily report heard on several of our Radio Stations- It's Called Cotton Talk!
Click on the Button below to listen to our most recent report
|
|
Performance Livestock Analytics- Our Official 2022 Cattle Industry Convention Sponsor |
|
CattleFax Forecasts Positive Profitability Trends in 2022 |
The popular CattleFax Outlook Seminar, held as part of the 2022 Cattle Industry Convention and NCBA Trade Show shared expert market and weather analysis yesterday. Cattle price and profitability trends for producers are pointed in the right direction, even as challenges and uncertainty persist with continued disruptions from the pandemic. While issues around labor and packing capacity have lingered, both are expected to improve in the year ahead. These expansions in capacity combined with strong global and domestic consumer beef demand suggests increased profitability across segments, signaling a market that is healthier and more stable in the year ahead, according to CattleFax.
Kevin Good, vice president of industry relations and analysis at CattleFax, reported that U.S. beef cow inventories have fallen more than 700,000 head from last year and are off nearly 1.6 million from cycle highs. This year, the beef cowherd will near 30.1 million head.
“Drought, market volatility and processing capacity challenges affected 30% to 40% of the cowherd over the last year," Good said. "Without an improvement in weather and profitability, at least 250,000 more head will be liquidated in 2022.
The feeder cattle and calf supply will be 675,000 head smaller than last year, totaling 25.5 million head. Fed cattle slaughter will decline 400,000 head lower compared to last year, at 25.7 million head. Commercial beef production will contract over the next several years starting with a 2% decline in 2022.
|
|
We invite you to listen to us on great radio stations across the region on the Radio Oklahoma Ag Network weekdays-
if you missed this morning's Farm News - or you are in an area where you can't hear it- click below for this morning's Farm news from Ron Hays and KC Sheperd on RON.
|
Sponsor Spotlight
The Oklahoma Agriculture Mediation Program knows this is a hard time for farmers and ranchers. We want you to know we are still open, and we are still here for you. The Ag Mediation program is a free service that provides mediation to agriculture producers who may need help with ag-related disputes.
At Oklahoma Ag Mediation, we have been helping people in agriculture resolve conflicts since 1987. We know firsthand about working together to resolve conflicts, so you don’t have to go through the court systems. Let our professional mediators help you. Mediation is allowed for lease issues, farmer/neighbor disputes, family farm transitions, and more. These services are available at no cost for Oklahoma farmers and ranchers in all 77 counties. For more information, you can go to ok.gov/mediation, or give us a call at 800 248 5465.
|
|
|
USMEF's Dan Halstrom Discusses Growing Global Beef Demand |
The final results from a phenomenal year for beef exports are set to be released next week by the U.S. Department of Agriculture. So far, global U.S. beef exports have totaled more than $10.6 billion, according to Dan Halstrom, president and CEO of the U.S. Meat Export Federation. He told us that he is most impressed by the broad-based, global growth.
“It is not only China; it is Japan, Korea, Mexico, Central America and South America,” Halstrom said. “Four of five years ago, we were not even talking about exporting to Central America for U.S. beef.”
Just like an investment portfolio, it is healthy for the U.S. beef market to be diversified, Halstrom said. So why now? Halstrom said as the middle class expands, purchasing power grows and the demand for higher-quality food grows too.
“We are always trying to tell (beef’s) story and educate consumers in these markets,” Halstrom said. “Our goal is to get to the point where the price is not the first priority, but instead, quality is the first priority. I think we are seeing that in markets like Colombia and Chile.”
|
From the Nobel Research Institute: With Regenerative Agriculture, Context is Everything |
This is a special feature by Dr. Allen Williams, courtesy of the Noble Research Institute.
In the Six Principles of Soil Health, “Know Your Context” is the first principle. What does that mean, exactly? And why is it so important to the start of your regenerative agriculture journey?
Webster’s Dictionary defines context as “the parts of a written or spoken statement that precede or follow a specific word or passage, usually influencing its meaning or effect” and as “the set of circumstances or facts that surround a particular event or situation.” The origin of the English word comes from the Latin contextus, which means a “joining together” or “to join by weaving.” These definitions and the root origin are quite telling.
In my mind, the Latin meaning - “to join by weaving” - paints the clearest picture. You weave fibers together to form one cohesive and intact fabric. Separately, the fibers are just fibers, without a larger meaning or purpose. Woven together, they become a beautiful fabric that serves a specific purpose.
|
Americans Projected to Eat 1.42 Billion Chicken Wings for Super Bowl LVI |
Football fans might be surprised at the matchup, but one thing is not surprising: America’s love for chicken wings. This is never more apparent than on Super Bowl weekend, when wings are at their hottest. Americans are anticipated to devour 1.42 billion wings while watching the Cincinnati Bengals and Los Angeles Rams battle for the Lombardi Trophy, according the National Chicken Council’s (NCC) 2022 Wing Report.
“There will be no wing shortage,” NCC spokesperson Tom Super said. “Like almost anything else you buy right now, wings might be a little more expensive, but they’ll be stocked. I just wouldn’t wait until kickoff to be in line or order online.”
Bengals and Rams fans have not only rallied around their teams, they’ve rallied around the chicken wing. Wing sales in Cincinnati have seen a 27.6% growth during the NFL playoffs and Los Angeles a 37.3% increase compared to the same period last year.
Wholesale wing prices are down 19% from their high last May, according to USDA data. Retail wing prices are up about $0.30 per pound on average from the same time last year. Why the uptick? Many costs, like the price of chicken wings, have increased because of unusually high demand, record input costs, labor shortages that have reduced the supply of many goods, and government spending programs that have flooded the economy. Greater demand and less supply equals higher prices, ultimately resulting in the highest inflation our country has seen in 40 years.
|
|
OKC West is our Market Links Sponsor- they sell cattle three days a week- Cows on Mondays, Stockers on Tuesday and Feeders on Wednesday- Call 405-262-8800 to learn more.
|
Today's First Look:
Ron on RON Markets as heard on K101
mornings with cash and futures reviewed- includes where the Cash Cattle market stands, the latest Feeder Cattle Markets Etc.
|
Wholesale Boxed Beef Prices continue to go lower. Choice Beef was down $2.29 and Select Beef was down 65 cents on Wednesday, 02/02/2022.
Click on the Button below for the latest report from USDA Market News
|
Weekly Cattle Auction Reports
The buttons below allow you to check out the weekly Cattle Auctions in the region that we post on our website and here in our daily email update.
|
Each afternoon we are posting a recap of that day's markets as analyzed by Justin Lewis of KIS futures - click below for the latest update on the Livestock and Grain Futures Trade..
|
Okla Cash Grain:
Daily Oklahoma Cash Grain Prices- as reported by the Oklahoma Dept. of Agriculture- The report available after the close of the Futures Trade for that day.
|
Our Oklahoma Farm Report Team!!!!
Ron Hays, Senior Farm/Ranch Broadcaster and Editor
KC Sheperd, Farm Director and Editor
Dave Lanning, Markets and Production
Pam Arterburn, Calendar and Template Manager
Chelsea Stanfield, Farm News and Email Editor
|
|
Rural Oklahoma is full of some of the greatest success stories throughout the entire state and is a big reason why Oklahoma is on track to become a top 10 state.
The Road to Rural Prosperity dives into these stories, bringing you insight into the great things happening in and to rural Oklahoma. We will bring you stories covering rural life, agriculture, energy, healthcare, tourism, and politics affecting rural America.
The Road to Rural Prosperity is here to tell stories about rural America, for rural America.
Our Latest RRP is an end of year conversation between Oklahoma Third District Congressman Frank Lucas and Radio Oklahoma Ag Network Senior Farm/Ranch Director Ron Hays.
They talk about the recently passed extension of the Livestock Mandatory Reporting Measure as well as the Cattle Contract Library Act of 2021, the continued wait on the US Department of Justice investigation into the major meat packers, Congressman Lucas' work on the Science Committee, his continued intentions to return to the House Ag Committee in time to be a part of writing the next Farm Bill and a comparison of Congress when he first arrived in Washington in the mid 1990s and today.
Search for Road to Rural Prosperity and subscribe on your favorite Podcast platform.
To hear this podcast, you can click here or tap below:
|
|
Our thanks to Midwest Farms Shows, P & K Equipment, Oklahoma Farm Bureau, Oklahoma Ag Mediation Program, Great Plains Kubota, Stillwater Milling Company, National Livestock Credit Corporation, Oklahoma Beef Council, Oklahoma AgCredit, Union Mutual Insurance, the Oklahoma Cattlemens Association, and KIS Futures for their support of our daily Farm News Update.
For your convenience, we have our sponsors' websites linked here- just click on their name to jump to their website- check their sites out and let these folks know you appreciate the support of this daily email, as their sponsorship helps us keep this arriving in your inbox on a regular basis- at NO Charge!
We invite you to check out our website at the link below too that includes an archive of these daily emails, audio reports and top farm news story links from around the globe.
|
|
God Bless!
Reach Out To Us:
|
|
Tim West
President/General Manager
Radio Oklahoma Ag Network
2401 Exchange Avenue,
Suite F
Oklahoma City, OK 73108
405.317.6361
|
|
Ron Hays
Senior Farm/Ranch Broadcaster
Radio Oklahoma Ag Network
OklahomaFarmReport.Com
405.473.6144
|
|
|
|
|
|
|
