House Passes Farm Bill Extension- Senate Unlikely to Agree as Farm Bill Finale Pushed to January 

Disagreements over the commodity title have further delayed Congress from completing a farm bill by the end of the year. The four principals (Sen. Debbie Stabenow, D-Mich., Sen. Thad Cochran, R-Miss., Rep. Collin Peterson, D-Minn., and Rep. Frank Lucas, R-Okla.) have been exploring various ways to frame the commodity title in order to please all parties while staying within their budget target. This has proved to be difficult, and the negotiations and a possible vote on the final package have been pushed to January when Congress returns from the Holiday recess.

Chairman Lucas filed a one-month extension of the 2008 farm bill on Tuesday night, which passed the House floor Thursday afternoon by a voice vote. Senate Majority Leader Harry Reid (D-Nev.) has said that any extension the House passes is dead on arrival in the Senate.

The possibility of the "dairy cliff"-dairy prices rising significantly on January 1 once permanent law kicks in-is a significant motivator to move on an extension. However, Senate Agriculture Chairwoman Stabenow stated that Agriculture Secretary Tom Vilsack assured her there would be no impacts on dairy prices in January. This allows negotiators to continue their work and prepare a conference committee report that can be voted on early next month. On the floor of the House, Lucas made the case to his colleagues that cerainty over the dairy issue would be in place if the extension was passed, which the House agreed to. California Democrat Jim Costa urged a "no" vote on the extension, saying that there is adequate progress on completing a farm bill and that the extension is unnecessary.

Lucas agreed that the farm bill conference leadership has made "significant progress" and that extensions are nothing new- the 2002 farm law was extended six times before the 2008 farm law was finally adopted.
 

Click here to listen to Rep. Lucas speak about the extension with Mr. Costa yesterday afternoon.

Coburn and Feinstein Introduce Bill to Eliminate Ethanol Subsidy and Tariff 

U.S. Senators Tom Coburn, M.D. (R-OK) and Dianne Feinstein (D-CA) today introduced the Ethanol Subsidy and Tariff Repeal Act, which will fully eliminate the Volumetric Ethanol Excise Tax Credit (VEETC) and fully repeal the import tariff on foreign ethanol. Cosponsors also include Senators Ben Cardin (D-MD), Richard Burr (R-NC), Jim Webb (D-VA), Susan Collins (R-ME), and James Risch (R-ID).

"The ethanol subsidy and tariff is bad economic policy, bad energy policy and bad environmental policy. As our nation faces a crushing debt burden, rising gas prices and the prospect of serious inflation, continuing our parochial ethanol policy that increases the cost of energy and food is irresponsible. I'm pleased to introduce this common sense bill with Senator Feinstein and will push for its consideration at the earliest opportunity," Dr. Coburn said, noting that the bill has been filed as an amendment (#309) to the small business bill pending in the Senate.

"Ethanol is the only industry that benefits from a triple crown of government intervention: its use is mandated by law, it is protected by tariffs, and companies are paid by the federal government to use it. Ethanol subsidies and tariffs sap our budget, they're bad for the environment, and they increase our dependence on foreign oil. It's time we end subsidies that we cannot afford and tariffs that increase gas prices," Sen. Feinstein said.

You can read more of this story by clicking here.  

Poultry, Ethanol Producers Square Off Over Corn Ethanol Mandate Elimination Act

The National Chicken Council and National Turkey Federation, with a coalition of poultry and livestock groups, announced their support for the "Corn Ethanol Mandate Elimination Act" introduced by Senators Diane Feinstein (D-CA), Tom Coburn (R-OK) and Kay Hagan (D-NC). In a coalition letter urging each member of the U.S. Senate to commit support as cosponsors, the bipartisan legislation was hailed as a simple, effective solution to the problems caused by corn diverted to ethanol, driving up feed costs and consumer prices for meat.  (You can read more from the NCC by clicking here.)

Bob Dinneen, President and CEO of the Renewable Fuels Association slammed the proposal, stating, "This is monumentally stupid. This legislation ought to be entitled 'The Oil Monopoly Protection Act of 2013.' This bill would deprive Americans of cost-saving, renewable fuel choice. It would set this country back in its quest to gain energy independence and further damage the environment by increasing the need for fracking, tar sands, and off-shore drilling." (Click here for more of Bob Dinneen's statement.)

Tom Buis, CEO of Growth Energy, echoed Dinneen's sentiments: "This legislation is incredibly shortsighted as it will eviscerate the RFS - the most successful energy policy enacted in the last 40 years. It will continue to keep us addicted to foreign oil and more than anything, it seems like this legislation is appeasing the wishes of Big Oil and Big Food."  (The rest of Buis's statement is available by clicking here.)

WASDE Report puts Wheat Prices 'In the Tank,' Anderson Says

The latest WASDE numbers are out and Oklahoma State University Extension Grain Marketing Specialist Kim Anderson dissects the grain numbers in his preview to this week's SUNUP program.

"Soybeans, that's been the bright spot in the grains. Soybean prices have been going up for the last six weeks. We got a positive report on that. Higher prices. The soybean stocks were lowered to 150 million bushels, 20 million bushels lower. We have resistance on that January soybean contract at $13.53 and support at $13.14."

Anderson says that the report was also positive for corn with an additional 50 million bushels being exported, a 50-million-bushel increase in ethanol and an additional 50 million bushels being used for seed and food. Ending stocks were lowered by 90 million bushels.

There weren't many changes in the wheat numbers in the latest report, Anderson says. "The USDA increased the ending stocks number by 10 million bushels to 575 million. You can compare that to 718 last year or a 700-million bushel five-year average... Overall ending stocks in the world increased by two-and-a-half percent and, of course, wheat prices went in the tank." 

Click here to listen to Kim Anderson's full analysis and to see a lineup of this week's SUNUP program.

Weather Patterns Affecting Oklahoma Agriculture May be Changing, Travis Meyer Says

Not only is he a meteorologist, but Travis Meyer with the News On 6 in Tulsa is also a rancher in southern Tulsa County. He spoke with me at the Tulsa Farm Show about this past year's weather and what Oklahomans might see as 2014 begins. He says that even though the drought may have eased in many parts of the state compared to the previous year, the effects are still being felt.

"In the spring, and even in the summer, when I was cutting hay, a lot of the prairie hay meadows, the native prairie hay meadows, they weren't that good. When we got our first cutting-and with native grasses you only want to cut one time a year-we had about a 50-percent drop off or death of plants. There were gaps and holes and that went throughout Osage County. We have a lot of hay-producing country around here. So, the leftovers, to me, are still significant because the drought was so intense for so long.

"Agriculture, I think, overall, was better with row crops because a lot more farmers weren't just shaking their heads and throwing dust in the air. But, as we go forward, it's going to be interesting to see, too, what happens for this next year because out of the 12 months so far this year, nine of them have been normal or below normal for temperatures. Compare that to the last two years when every month minus one, I think it was last year in 2012, was above normal. We hit a high point and I don't know if we're really coming down, but it looks like we are."

The latest drought numbers are showing conditions in the western counties are deteriorating. Meyer says that trend is troublesome, but climatologists say the models are showing drought improvement should be the long-term trend even though it is painfully slow to develop in some areas. Models show that the Southwest United States, however, will still be at greater risk for drought this year.

You can read more or hear our full conversation by clicking here. 

Body Condition at Calving of Prime Importance for Productivity, Research Confirms

Glenn Selk, Oklahoma State University Emeritus Extension Animal Scientist writes in the latest Cow-Calf Newsletter:

For at least three decades, beef cattle scientists have studied body condition of cows and its impact on productivity. Cows in better body condition at calving time and breeding nearly always seem to out-perform counter parts that are in thinner body condition. However, some things do change. Some examples include cattle type changes, selection methods change, drought impacts on feed availability and prices. We therefore question whether the research would give the same answers in more modern times.

Research published in a recent issue of the Journal of Animal Science (Bohnert, et al. J. Anim. Sci. 2013, 91: 5485-5491) provides some insight into this discussion. Oregon State University, University of Nebraska, and USDA-ARS scientists combined on a two year study utilizing 120 mature, crossbred (Angus X Hereford) cows/year. The cows were fed in such a manner to expect half of the cows to be in a body condition score of 6 entering the last trimester, whereas the other half of the cows were fed to be in a body condition score of 4 at the same time. The actual outcome of their management schemes resulted in the high condition cows averaging a 5.7 body condition score (1243 lbs) and the low cows averaged 4.4 (1106 lbs.) They also subdivided each of these groups and fed half of each group the equivalent of 2 pounds/day of dried distillers grains with solubles (DDGS). The supplement was fed in appropriate amounts 3 times per week. All cows received access to 28 lb/day of the hay (6.4% crude protein) during the last trimester and then after calving the cows were placed together in a common pasture and exposed to a 60 day natural breeding season.

You can read more from Glenn Selk on our webpage by clicking here.   

This N That- National Livestock Donating Calf for Beef Battalion Sale Monday, McAlester Cow Sale Saturday and Other Saturday Reminders 

National Livestock Credit Corporation and affiliated companies announce their support, once again, for the All American Beef Battalion.


On December 16th, the Oklahoma National Stockyards will auction a calf for the benefit of the All American Beef Battalion. The sale will take place at approximately 11:00 a.m. in the sale arena of the Stockyards.


The calf to be auctioned is being donated by 3C Cattle Feeders and the Clyde Runyan family of Mill Creek, Oklahoma. National Livestock Credit Corporation will invoice buyers and collect checks.


This is the 4th year for the National Livestock companies to be involved in supporting the All American Beef Battalion. Their involvement has helped raise over $120,000 from the annual auction of a donated calf. 


Anyone may join in to support this effort by calling 800-310-0220 and speaking with June Malonee. Click here for more on this effort planned for this coming Monday morning.

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McAlester Stockyards has a good group of replacement cows, bred heifers, pairs and even several bulls planned for their special Replacement Cow and Bull Sale set for Saturday at noon at their sale facility in McAlester.

Details of the consignments that have been made are up on our website in the Auction and in the Calendar Sections- click here to take a look.

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Our In The Field Guest for this Saturday is Michael Kelsey, Executive Vice President of the Oklahoma Cattlemen's Association- tune in Saturday morning around 6:40 AM to KWTV News9 for our segment with Michael- and if you miss it or are outside the News9 area- we will post the video on our website over the weekend- probably later on Saturday.

Also on Saturday- the AFR will have their state speech contest finals on campus at Oklahoma State University in Stillwater- outstanding 4-H and FFA youth compete for scholarship dollars in the culmination of the fall speech contests held by the organization on a district by district level.

We will have details of who wins on Monday in our email and before that on our website in the Blue Green Gazette- and we will also have the winners from today's Livestock Skills Contest here at the Tulsa Farm Show- that is also sponsored by American Farmers & Ranchers. 

Finally- we mentioned yesterday that Apache Livestock also has a Replacement Female sale set for Saturday- their sale time is 11 AM and you can click here for full details.