~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~Oklahoma's latest farm and ranch news
Your Update from Ron Hays of RON for Thursday October 8, 2009A service of Producers Cooperative Oil Mill, Midwest Farm Shows and KIS Futures!
-- Signup Now Underway for the 2010 Farm Program
-- Canada Decides to Push Protest Over COOL Into Formal Dispute Settlement Process at WTO
-- Oklahoma and Kansas Will Team Up on a Livestock Movement Lockdown Exercise
-- Class 14 of the Oklahoma Ag Leadership Program in Little Dixie
-- CRP Rental Payments Total $1.7 Billion in New Fiscal Year- Oklahoma Claims Just Over $31 Million
-- R-Calf Lobbies Justice Department to Say NO to the JBS Purchase of Pilgrim's Pride
-- Star Lake Cattle Ranch has Two Sales Coming on One Big Day- October 18, 2009
-- 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 proud to have KIS Futures as a regular sponsor of our daily email update. KIS Futures provides Oklahoma Farmers & Ranchers with futures & options hedging services in the livestock and grain markets- Click here for the free market quote page they provide us for our website or call them at 1-800-256-2555.
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Producers Cooperative Oil Mill, with 64 years of progress through
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sunflowers on the PCOM
website- go there by clicking here.
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Signup Now Underway for the 2010 Farm Program
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~Agriculture Secretary Tom Vilsack has announced that enrollment for the 2010 Direct and Counter-cyclical Program (DCP) and the Average Crop Revenue Election (ACRE) program has begun and will continue through June 1, 2010. USDA urges producers to make use of the eDCP automated website to sign up, or producers can visit any USDA Service Center to complete their 2010 DCP or ACRE contract.
USDA computes DCP Program payments using base acres and payment yields established for each farm. Eligible producers receive direct payments at rates established by statute regardless of market prices. For 2010, eligible producers may request to receive advance direct payments based on 22 percent of the direct payment. USDA will issue advance direct payments beginning Dec. 1, 2009. Counter-cyclical payment rates vary depending on market prices. Counter-cyclical payments are issued only when the effective price for a commodity is below its target price. The effective price is the higher of the national average market price received during the 12-month marketing year for each covered commodity and the national average loan rate for a marketing assistance loan for the covered commodity.
The optional ACRE Program provides a safety net based on state revenue losses and acts in place of the price-based safety net of counter-cyclical payments under DCP. A farm's payment is based on a revenue guarantee calculated using a 5-year average state yield and the most recent 2-year national price for each eligible commodity. For the 2010 crop, the 2- year price average will be based on the 2008 and 2009 crop years.
The June 1, 2010, deadline is mandatory for all participants. USDA will
not accept any late-filed applications.
Canada Decides to Push Protest Over COOL Into Formal Dispute Settlement Process at WTO
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~The Canadian government asked the World Trade Organization Wednesday to rule on the legality of the U.S. country-of-origin labeling (COOL) law. "The U.S. COOL requirements are so onerous that they affect the ability of our cattle and hog exporters to compete fairly in the U.S. market," said Stockwell Day, Canada's Minister of International Trade. "That is why our government has no choice but to request a WTO panel."
You get two viewpoints from the cattle industry groups from the US and Canada when it comes to the Canadian government move to formally challenge the US COOL law in the World Trade Organization. As you might expect, the Canadian Cattlemen's Association gives the call for a Settlement Dispute Panel two thumbs up, while the National Cattlemen's Beef Association says it is "unfortunate" from the US Cattle Industry's viewpoint that the Canadians have had to take this action within the WTO. At the same time, as we talked with NCBA Chief Economist Gregg Doud on Wednesday afternoon, he did not seem to be surprised by the action from the Canadians- and adds that he thinks the Mexican government will likely join in the action against the US over the impact of COOL.
We have extensive coverage on our website of this story- and that includes our conversation with Gregg Doud of NCBA on this decision by the Canadians to move forward- Doud reminds us that once you start a WTO Dispute Panel- you don't stop- it will work its way slowly through the process over a two or three year period. We also have the Canadian news release detailing their complaints- links to a backgrounder from the Canadians as well as a brief statement from the Obama Administration on this move by Canada. Click on the link below and it will take you to our top story of the morning on the website with all of this stuff in there or linked from there.
Oklahoma and Kansas Will Team Up on a Livestock Movement Lockdown Exercise
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~Oklahoma and Kansas officials are conducting the nation's first emergency response exercise to test interstate coordination and the logistics of implementing a stop livestock movement order when one is issued by state animal health officials. The real-time exercise will take place Oct. 22 in the Oklahoma and Kansas state capitals and on the Oklahoma-Kansas border. The scenario is based on simulated outbreak of foot-and-mouth disease in the eastern United States.
"Oklahoma, like many states, has conducted exercises to test its plans to respond to a highly contagious foreign animal disease within its borders, but this exercise provides the new perspective of coordinating our activities with a neighboring state to stop animal movement across a shared border," said Terry Peach, Oklahoma Secretary of Agriculture. "We have been planning our response to possible disease outbreaks for years and this exercise will be a good test for us."
This will be a very comprehensive exercise- with real time work going on in both state capitols- as well as at two border locations where livestock being moved will be screened. You can read more about this fascinating test being planned for later this month- including those border locations- just click on the link below.
Class 14 of the Oklahoma Ag Leadership Program in Little Dixie
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~It's a swing into southeast Oklahoma for the members of Class 14 of the Oklahoma Ag Leadership Program. Yesterday, they traveled through Shawnee and visited with Shawnee Feed, moved on to Wetumka and got a Harbin Fish Farm tour- and wrapped up the travel day in Poteau, spending time with the Kerr Center for Sustainable Agriculture.
Today will be devoted to touring Tyson's processing facility in Idabel and McCurtain County agriculture focusing on the forest industry. Friday, the class will visit pecan and sod farms in the Durant area as they wrap up their time in southeastern Oklahoma.
The OALP is a leadership development program that is a two year program that is administered by Oklahoma State University- and is designed to take farmers, ranchers and those involved in agribusiness and even in government positions relating to rural Oklahoma and help them see how Oklahoma Agriculture fits into the context of today's society and economy. By polishing leadership skills and exposing these young leaders to a variety of experiences, the intent is to challenge those that go through the program to then give back to their local community and farm or rural organization that they choose to be involved with. Click on the link below to jump to the OALP website- and learn more about the program and about class 14.
CRP Rental Payments Total $1.7 Billion in New Fiscal Year- Oklahoma Claims Just Over $31 Million
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~Agriculture Secretary Tom Vilsack announced on Wednesday that USDA will distribute approximately $1.7 billion in Conservation Reserve Program (CRP) rental payments to participants across the country in fiscal year 2010. Oklahoma landowners have 961,558 acres in CRP this new fiscal year- and those landowners will be getting rental checks totaling $31,693,228. "President Obama and I are committed to conservation and environmental stewardship and this program provides the tools and resources to enable America's producers to be responsible caretakers of their land," said Vilsack. "I encourage interested producers to consider enrolling their land through continuous sign-up opportunities."
Producers holding about 758,000 contracts on 424,000 farms will receive an average of $51.52 per acre. The number of contracts is higher than the number of farms because producers may have multiple contracts on a single farm. The payments allow producers to earn an average of $4,104 per farm enrolled in the program.
Currently, enrollment stands at approximately 31 million acres, making
CRP the largest public-private partnership for conservation and wildlife
habitat in the United States. This voluntary program helps agricultural
producers safeguard environmentally sensitive land. Producers enroll in
CRP and plant long-term, resource-conserving covers to improve water
quality, control soil erosion and enhance habitats for waterfowl and
wildlife. In return, USDA provides producers with annual rental payments.
CRP contract duration is from 10 to 15 years.
R-Calf Lobbies Justice Department to Say NO to the JBS Purchase of Pilgrim's Pride
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~With regard to efforts by JBS S.A. (JBS) to acquire Pilgrim's Pride Corporation, the cattle group R-Calf USA has submitted more information to the U.S. Department of Justice to reinforce evidence that shows economic harm would hit the U.S. cattle industry if Justice does not block the merger of the competing protein industries, in this case chicken versus beef.
The fear of R-Calf is that the JBS purchase might decrease US Poultry prices- and that would also drive US beef cattle prices lower. R-CALF USA calculated a loss to cattle producers ranging from $7.50 per head to $89.38 per head. "A loss of anywhere from $7.50 per head to $89.38 per head to the U.S. live cattle industry would have severe ramifications, particularly given the long-run lack of profitability faced by U.S. cattle feeders who have experienced 22 consecutive months of horrendous financial losses," said R-CALF USA CEO Bill Bullard.
"The JBS/Pilgrim's Pride merger likely would result in lower cattle
prices, and it's even more likely that the cost savings realized by JBS
would not be passed on to consumers," Bullard said. "R-CALF USA is
absolutely convinced that the proposed JBS/Pilgrim's Pride merger would
severely reduce competition among and between the competing food proteins
and would also significantly increase JBS' ability to exercise market
power in the marketplace to exploit both cattle producers and consumers,"
Star Lake Cattle Ranch has Two Sales Coming on One Big Day- October 18, 2009
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~It's the Star Lake Ranch Ready Bull Sale and Fall Celebration Female Sale in Skiatook, Oklahoma on Sunday October 18. Over 150 head will sell that day, including 80 bulls- mostly 20 month old ranch Ready bulls- ready to work.
Montie Soules and his team have several ways to be a part of the sale- including attending the sale via two different websites, as well as in person. They pride themselves on having some of the finest Hereford genetics not just in Oklahoma- but all across the United States. They plan on having video of the cattle to be offered after this Saturday on their website.
We have more details and the links you need for these two sales in one day at the Star Lake Cattle Ranch- just click on the link below and we will get you to that information on this exciting sale that you will want to check out.
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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 $6.90 per bushel, while the 2010 New Crop contracts for Canola are now available are $7.20 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
on the name of the report to go to that link:
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