~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~Oklahoma's latest farm and ranch news
Your Update from Ron Hays of RON for Tuesday September 13, 2011A service of Johnston Enterprises, P & K Equipment/ P & K Wind Energy and American Farmers & Ranchers Mutual Insurance Company!
-- Tightest Corn Supplies Seen in 16 Years According to Latest USDA Data
-- Oklahoma Crop Weather Update - La Niña Returning
-- One Hundred 100s- and Rain May Finally Arrive
-- OSU's Dr. Derrell Peel says The Clock is Ticking Away on Winter Wheat Pasture Prospects
-- Permits Available for Baling Hay from Oklahoma Department of Transportation Rights-of-way
-- National Corn Growers Association Releases Commodity Title Proposal for 2012 Farm Bill
-- American Farmers and Ranchers Participate in NFU Legislative Fly-In
-- Let's Check the Markets!
Here's your morning farm news headlines from the Director of Farm Programming for the Radio Oklahoma Network, Ron Hays. We are pleased to have American Farmers & Ranchers Mutual Insurance Company as a regular sponsor of our daily update- click here to go to their AFR web site to learn more about their efforts to serve rural America!
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Tightest Corn Supplies Seen in 16 Years According to Latest USDA Data
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~A late-summer heat wave cut the U.S. corn crop by 3 percent, said the government on Monday, equal to trade expectations, but it boosted its forecast of the soybean crop by 1 percent due to higher yields. The smaller corn crop will mean less grain for livestock feeders and ethanol makers and the tightest corn supply in 16 years, said the Agriculture Department. Corn for ethanol would drop by 2 percent and corn for feed by 4 percent in the coming year. We have initial reaction from Tom Leffler- our own Ed Richards spoke with Tom and you can hear their conversation by clicking on the LINK at the bottom of this story.
With the harvest season opening, the Agriculture Department estimated the corn crop at 12.497 billion bushels, the third-largest crop on record but down 3 percent from its August forecast. Yields are down across most of the Corn Belt due to unusually hot and dry weather in late August. Corn would average 148.1 bushels an acre this fall, the lowest U.S. yield since 2005, and down 4.9 bushels from the August estimate.
The soybean crop was forecast for 3.085 billion bushels, up 1 percent due to higher yields although USDA ratings of the crop condition declined during August. Traders expected USDA to cut the crop by 1 percent. The soybean stockpile would shrink to 165 million bushels by next fall, slightly larger than traders expect but a two-and-a-half week supply. Corn supplies were forecast for 672 million bushels next Sept 1, compared to trade expectations of 636 million bushels. It would be a lean stocks to use ratio of 5.3 percent.
With a slightly larger domestic cotton crop, China will import 14.5 million bales of cotton during 2011/12, down 500,000 bales from last month's estimate, said USDA. It cut its forecast of U.S. cotton exports by 300,000 bales, to 12 million bales for this marketing year. The US Cotton crop forecast was left virutally unchanged at 15.819 million bales of upland cotton, which is just over ten percent smaller than the 2010 crop.
The Oklahoma spring planted crop numbers showed little change from the August estimates, with only peanuts set to produce a similar sized crop to 2010. The Oklahoma peanut harvest is predicted to bring in 69 million pounds, 2.6% more than the 2010 crop. In contrast, the Oklahoma cotton crop, which had been trending upward over the last few years, is called to be 79% smaller than in 2010. The 90,000 bales is up 5,000 bales from the August forecast- but just a fraction of the 422,000 bales grown in 2010.
Oklahoma Crop Weather Update - La Niña Returning
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~In the latest Crop Weather Update, the issue of La Niña was up for discussion, saying- "All indications from NOAA (National Oceanic and Atmospheric Administration) show a gradual strengthening of La Niña throughout the fall and into the winter. This may mean above normal temperatures and below normal precipitation from late fall into the early spring for drought stricken Oklahoma and the southern plains region. September kicked off with welcomed relief with high temperatures for all districts ranging from 87 to 82 degrees. Even with the break in temperatures severe drought conditions still limited wheat and other fall planting. Topsoil moisture conditions continued to decline, with 86 percent of the state rated very short. Subsoil moisture conditions dropped slightly to 88 percent rated very short."
For our spring-planted crops, according to the USDA- "Seedbed
preparations increased slightly but small grain planting was limited as
little precipitation was received across the state. Seedbed preparation
for wheat ground was 55 percent complete by week's end, just 13 points
behind normal. Rye ground plowed was 90 percent complete and 45 percent of
seedbeds were prepared by Sunday, 26 points behind the five-year average.
Plowing of oat ground was 93 percent complete with 42 percent of seedbeds
prepared. Canola seedbed preparation reached 67 percent complete by the
end of the week, up 17 points from the previous week."
Hay production continued to fall behind normal with conditions rated mostly very poor for all hay. Second cuttings of alfalfa were 95 percent complete and third cuttings were 44 percent complete by the end of the week, 56 points behind normal. Second cutting of other hay reached 40 percent complete by Sunday, 24 points behind the five-year average.
One Hundred 100s- and Rain May Finally Arrive
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~Grandfield made it official on Monday, putting the cherry on top of the "days at or above 100 degrees" record for Oklahoma at an even, well ONE HUNDRED. Just another of the extremes we've seen this summer and year. Recall that the previous record was 86 days from Hollis in 1956. Not only has Grandfield utterly destroyed that record this year, other southwestern Oklahoma towns Altus, Hollis, Mangum, and Tipton have exceeded that 86 days mark (and Walters is on the verge).
There's a chance that many of these communities could add one more century mark reading to its meteorological achievements today- before a big change in the weather patterns arrive. From the weather discussion coming from the boys in Norman this morning- "A much stronger front will arrive Wednesday into Wednesday evening as a shortwave/upper low moves across the Great Lakes region. As an upper low/trough over the southwestern states moves East- precipitation will become likely across a large part of the southern plains Wednesday night into Thursday. Clouds and relatively cool air behind the front will result in very cool high temperatures for mid September. Clouds and precipitation on Thursday will likely keep most areas in the 60s with some 70s possible south."
Chances of precipitation jump well over 50% in a lot of the state
Wednesday night into Thursday. In his email communication- Gary McManus
describes the possibilities- "Speaking of rainfall, we've been promised
some lovely wet, gray days during this week. The Hydrometeorological
Prediction Center shows a 5-day precipitation forecast of greater than in
inch in southwestern Oklahoma. This is something concrete to hope for."
OSU's Dr. Derrell Peel says The Clock is Ticking Away on Winter Wheat Pasture Prospects
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~The window of opportunity for planting winter wheat for grazing is rapidly closing. According to Dr. Derrell Peel, Oklahoma State University Extension Livestock Marketing Specialist, in Oklahoma, dual-purpose or forage-only winter wheat generally needs to be planted by mid-September in order to produce significant fall and winter forage. Wheat planted for grain-only has about another month to be in the ideal planting window.
It will take two to three significant moisture events in order to establish and support fall wheat forage growth and the first of those events needs to happen in the next week or so. There is some chance for limited rain showers this coming week which likely represent the last chance for early planting of wheat for forage.
Winter wheat grazing normally supports a large winter stocker industry in Oklahoma. The January 1 estimate of feeder cattle outside of feedlots has averaged about 2.3 million head the last ten years. This value includes roughly a million head of stocker cattle that are brought into Oklahoma for winter grazing in addition to stocker cattle retained from Oklahoma's 1.9 million head calf crop. These in-shipments of cattle will be drastically reduced given current prospects for winter wheat pasture.
The extreme drought conditions has resulted in severely reduced hay and pasture production and now seems likely to limit winter wheat forage to a small fraction of normal production. Many calves in Oklahoma have already been marketed as early weaned calves and have moved to feedlots or to better forage out of state. That fact, combined with few calves brought in as stockers may result in an Oklahoma feeder supply on January 1, 2012 that is down by one million head or more.
Permits Available for Baling Hay from Oklahoma Department of Transportation Rights-of-way
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~The Oklahoma Department of Transportation, in partnership with the Oklahoma Department of Agriculture is reminding local farmers and ranchers that through a simple permitting process, they are allowed to bale hay from highway rights-of-way. There are over 135,000 mowable acres along highway rights-of-way in the state.
By state statute, permits to bale hay from area highway rights-of-way are available to the adjacent landowner first, but can be requested by anyone if all requirements are met.
Applications for permits are available for download at the ODOT website, which can be found by following the link below, in the "forms" link. They much be filled out then taken to a local ODOT division headquarters or ODOT county maintenance yard between 7:30 a.m. and 4:30 p.m. Monday through Friday for approval. There is no fee to apply and insurance verification must also be provided as part of the approval process.
Additional requirements/restrictions include:
National Corn Growers Association Releases Commodity Title Proposal for 2012 Farm Bill
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~The National Corn Growers Association unveiled the Agriculture Disaster Assistance Program (ADAP), a commodity title proposal for the 2012 farm bill that will modify and replace the existing Average Crop Revenue Election (ACRE) Program and provide a more effective and responsive safety net for growers.
"Responding to a charge by our voting delegates to investigate transitioning direct payments into programs that allow producers the ability to mitigate risk, our grower-led Public Policy Action Team developed a crop-specific, revenue-based risk management tool that provides a safety net when growers are facing a loss," NCGA President Bart Schott said. "We are focusing on simplification and faster delivery of assistance when it is needed."
ADAP builds on the existing structure of ACRE and is designed to address the need for simplification and elimination of overlapping coverage with individual crop insurance. Changes include the use of harvest prices and crop reporting districts to set the crop revenue guarantee and would establish a guarantee based on the five-year Olympic average of revenue.
Payments would be limited to 10 percent of the guarantee, based on planted acres and adjusted to a farm's yield. Payments would cover lost revenue between 85 to 95 percent of the guarantee. Marketing loan rates would be restored to standard levels, rather than being reduced by 30 percent in ACRE.
American Farmers and Ranchers Participate in NFU Legislative Fly-In
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~Farmers Union members heard from U.S. Secretary of Agriculture Tom Vilsack at a briefing earlier this week to discuss the 2012 Farm Bill. The briefing marked the beginning of National Farmers Union's (NFU) Fall Legislative Fly-In, where nearly 250 members from across the country will meet with legislators and discuss organizational priorities for the upcoming farm bill.
There are eight American Farmers and Ranchers members from Oklahoma, led by AFR President Terry Detrick, participating in the Fall Fly-In in Washington, D.C. AFR, formerly known as Oklahoma Farmer Union, is particpating in the Fall Fly-In with NFU, as well as, working with the Oklahoma State Chamber of Commerce, who also have a delegation in D.C. this week. Click on the LINK below to hear our conversation with Detrick on what AFR's priorities are in D.C.
"Agriculture is a bright spot in our economy, with exports and net farm income at record highs and total farm debt declining," said Vilsack. "This is a major achievement and a testament to our farmers and ranchers, who continue to work hard, innovate and make smart business decisions in these challenging times. As we work to create jobs and strengthen small businesses, we need a Farm Bill that maintains a strong safety net and gives America's farm and ranch families the support they need to continue to thrive and out-compete the rest of the world."
"We will likely not have as much money to write the next farm bill as we have for previous farm bills," said NFU President Roger Johnson. "Because of that, we have to focus on our top priorities, like protecting family farmers and ranchers during difficult times. Having our grassroots members meet with the policymakers face-to-face is invaluable because it gives family farmers and ranchers an opportunity to discuss the real problems they face on a daily basis. These are the people that farm programs should be designed for, and they are the reason it is so important to ensure that we maintain a strong safety net."
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Let's Check the Markets!
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~We've had requests to include Canola prices for your convenience here- and we will be doing so on a regular basis. Current cash price for Canola is $13.06 per bushel- as of the close of trade Wednesday, while the 2012 New Crop contracts for Canola are now available are $13.12 per bushel- delivered to local participating elevators that are working with PCOM.
Here are some links we will leave in place on an ongoing basis- Click
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