SD Corn

Archive for April, 2010

Obama Stresses Importance of Ethanol in Rural Economies

President, Barack Obama, has been touring through the Midwest the last couple of days talking about rural economic development. On Wednesday, he toured an ethanol plant in Macon, Missouri and stressed the important role that ethanol and other biofuels have in boosting rural communities.

“There shouldn’t be any doubt that renewable, home-grown fuels are a key part of our strategy,” said President Obama.

With nearly 400,000 employee’s nationwide working in the ethanol industry alone, those good paying jobs are extremely important in rural areas where  20% of the nation’s population live.

The President made sure to note that he is no stranger to ethanol.

“I may be President these days, but I used to be a Senator from Illinois. I didn’t just discover the merits of biofuels like ethanol when I first hopped on the campaign bus.  I believe in their potential to contribute to our rural economies and our clean energy economy used to be a senator from Illinois. I believe.”

President Obama went on to say that now is the time to reduce our dependence on imported oil.

 “For decades we have talked about doing this, for decades we have talked about how that dependence on oil from other countries threatens our economy, but usually our will to act kind of rises or falls depending on the price of gas at the pump,” he said.

The President also acknowledged that ethanol has benefits beyond being an economic booster.

“I believe in the potential of what you are doing right here to contribute to our clean energy future.”

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Practice Grain Bin Safety this Spring

Spring is always a busy time on the farm with calving season coming to an end and farmers racing to get into the field, there is little time to think about safety. But when it comes to cleaning out your grain bins this spring, SAFETY should be your number one priority.

With the wet harvest this last fall, farmers were left with grain in very bad condition and forced to practice some heavy drying. Following a long winter, cleaning out bins can be potentially dangerous with crusting and mold issues.

There have been numerous incidents so far this spring with farmers cleaning out their bins including fatalities, and South Dakota Corn asks that everyone be extra cautious.

Here are a couple of things to remember:

Farmers too often work alone, when cleaning out your grain bins, be sure to use the buddy system.

If your grain is in bad condition, make sure to wear a mask in effort to not breathe in possible molds.

Crusting is a serious issue that can be deceiving to farmers which can lead to lengthy falls or getting trapped.

Don’t let your bins get out of hand, if your grain is in bad condition in April, just imagine what it will look like as it warms up in June.

Be sure to watch the Hefty’s Grain Bin Safety Video.

 

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Every Day is Earth Day on the Farm

What comes to mind you think of Earth Day? Most people probably think of planting trees or recycling. But what about our farmers? Everything they do is about sustainability and caring for the land. South Dakota Farmers are indeed are the True Environmentalists.

Each year, farmers are continuing to become more efficient through new practices and technologies. No-till planting, GPS and seed biotechnology are just a few of things that farmers are using to care for their soil, use less energy, prevent erosion, reduce run off and to use less chemical application.

“One of the clearest measures of the sustainability of an industry is that industry’s ability to increase efficiency, while decreasing environmental impacts,” said Lisa Richardson, SDCUC Executive Director.

Using less and growing more is exactly what farmers have been doing over last few decades.

“Today it takes about 40 percent less land and energy to produce a bushel of corn than it did 20 years ago. Earth Day is the perfect moment to recognize farmers for improving their environment and for being environmental stewards 365 days of the year,” said Richardson.

Not only do farmers care for the land, but they are both feeding and fueling a growing population.

“Our ability to feed and fuel a world population that will double in the next 20 to 40 years is in the hands of dedicated farmers, who truly care about conserving our natural resources,” said Richardson.

As South Dakota farmers have begun planting corn this spring using their new technologies and soil management practices, please acknowledge their endless efforts to provide an abundant, safe, high quality and inexpensive food and clean-burning fuel supply while taking care of their land in a sustainable way.

“Everything I do every day is to take care of the soil that I own, that I raise my family on and that I depend on for my living.” – Bill Chase, farmer from Wolsey, SD.

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Green Jobs Act 2010 Introduced Today

The Green Jobs Act of 2010 which resembles House Resolution 4940 was introduced today by Chuck Grassley (R-IA) and Kent Conrad (D-ND) in the United States Senate. The act includes extending the volumetric ethanol excise tax credit (VEETC), ethanol tariff, small producer credit and cellulosic ethanol producer tax credit through 2015.

“We are pleased to see that both the House and Senate understand how important the tax credit is to our industry. We look forward to working with them to pass this legislation,” said SDCGA Gary Duffy, a grower from Oldham, S.D.

South Dakota is very fortunate to have legislators that support the biofuels industry which is vital to our state. Sen. John Thune and Sen. Tim Johnson are co-sponsors for the Green Jobs Act while Rep. Stephanie Herseth-Sandlin is a co-sponsor of HR 4940.

There is plenty of concern over this legislation after a recent study by ENTRIX revealed that without these tax credits, approximately 112,000 people would lose their jobs nationally with about 8,000 of those being in South Dakota. A majority of these jobs reside in rural America and this sort of job loss would be devastating to small communities.

The biodiesel tax credit is a perfect example. Since its expiration on January 1 of this year, 29,000 people have lost their jobs and 23,000 more are at risk.

Besides the threat of job loss, corn prices would likely take a hit of about $.30 per bushel because of a lack in demand.

Last year, the ethanol industry returned $3.4 billion to the Federal Treasury above the cost of the tax credit, which does not figure in the taxes paid on the state and local level.

Conrad said, “Our country is in serious danger because of skyrocketing energy costs. This growing crisis demands urgent action. We must be committed to coming together in a bipartisan way to lessen our dependence on foreign oil, while aggressively pursuing alternative sources of energy such as biofuels. Extending these tax credits is a step in the right direction.”

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South Dakota Blender Pump Grant Meetings Planned

Informational meetings on the Ethanol Blender Pump Grants available in South Dakota will be held at two locations this week:

  • Wednesday, April 21, 3 p.m. at the Sioux Falls VFW

 

  • Thursday, April 24, 3 p.m. at the Aberdeen VFW

 

The meetings will include information on the benefits of ethanol, the grant program, tactical issues and success stories from other South Dakota retailers who have installed blender pumps.

Retailers can receive a $10,000 grant per newly installed blender pump. The funds have been made available through the American Recovery and Reinvestment Act.

Blender pumps are a critical part of South Dakota’s effort to energize local economies, better the environment and to reduce our dependence on foreign oil.

Please contact your local fuel retailer and express your interest in having a choice at pump.

The grants have a very thin timeline with the application deadline being May 21.

Be sure to check out the South Dakota Tourism’s website for complete information.

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The Importance of VEETC in South Dakota

America has experienced a tough economy over the last year and a half or so with people losing jobs and new ones extremely hard to come by. One industry that has fought through the recession with the potential to expand is the ethanol industry. South Dakota’s ethanol industry has helped rural economies and communities thrive through good jobs and the purchase of locally grown corn and locally manufactured ethanol.   

There is although a disaster in waiting. The Volumetric Ethanol Excise Tax Credit (VEETC), the blender’s credit, is set to expire at the end of 2010 which would be detrimental to the industry. According to ENTRIX, South Dakota would lose 8,412 jobs. Quality jobs like these just can’t be duplicated in South Dakota, especially in the rural communities.

Nationally, 112,000 jobs would be lost with majority of them in Iowa, Illinois, Nebraska, Minnesota, South Dakota and Indiana. Besides jobs, United States ethanol production would be cut by 37.7% and the industry would purchase $6.6 billion less in grain and other raw materials. Corn prices would drop 8%. The elimination of tax revenues would equal $2.7 billion on the local and state tax level and $2.4 billion on the national level. Where exactly do you make up that economic activity?

Progress on renewing VEETC has been made with United States Representatives, Earl Pomeroy, D-N.D., and John Shimkus, R-Ill. introducing HR 4940, the Renewable Fuels Reinvestment Act, legislation that would extend VEETC for an additional five years. A number of Reps have also co-sponsored this bill including South Dakota’s own, Stephanie Herseth-Sandlin.

“Extending the VEETC is the single most vitally important action Congress can take to support thousands of jobs in all sectors and allow the ethanol industry to continue bolstering the economy with domestically produced fuel,” said Gary Duffy, president of the SDCGA. 

Just try and imagine more than eight thousand additional people being out of a job in South Dakota. Not a pretty picture. How many of you work for or know someone who works for an ethanol plant, trucking company, or in the ag industry? This legislation is more than just a step towards energy independence; it’s about our state and nation’s livelihood.

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