SD Corn

Archive for July, 2011

Weather: The #1 crop variable

If you’re a regular reader of this blog, by now you are more than familiar with all of the things corn farmers are doing to become more efficient while producing record crops. But not everything is in the hand of the farmer. They may be able to choose their farming practices, seed variety and fertilizer, but one thing they can’t choose is their weather. Mother Nature affects every part of the farming cycle as it dictates when the field gets planted, if that seed grows, when the fields gets sprayed, when the crop is harvested and if that corn needs to be dried down.

Weather has seemingly unlimited variables. Too hot, too cold, too much rain, too little rain, hail, tornados and strong winds all have an enormous effect on crops throughout the Midwest. In order to produce a record crop or even a crop at all, these variables need to work out just right. All it takes is one hail storm or set of strong winds to flatten an entire corn field leaving the farmer with essentially nothing to show for his or her efforts.

For those who don’t farm, try putting on a pair of boots for one moment. Imagine driving out to a field which you have invested tens of thousands of dollars in seed, nutrients, fuel and land payments only to see that your crop is gone. Scenarios like this are completely out of the producers control and sadly happen quite often. Weather related disasters would bankrupt even the best farmers, if not for Federal Crop Insurance.

On a more positive note, America’s corn farmers are still expected to produce a record crop this year meeting the world’s demands for food, feed, fuel and fiber. And while the media may report about drought, heat and excess rains every now and again, working with those variable conditions is a daily chore in the life of a farmer.

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U.S. House continues to fight E15

The United States House of Representatives is on a mission to take apart the Environmental Protection Agency. Whether they are right or wrong isn’t the issue, it’s the fact that they continue to put politics ahead of the countries clean energy future.

Last January, the EPA approved the blend E15 (15% ethanol, 85% gasoline) as being safe for non flex-fuel cars and light trucks model year 2001 and newer. The announcement came after several delays and substantial amounts of testing. In fact, E15 is the most tested fuel in American history. So what exactly is the problem?

Two U.S. House members, John Sullivan (R-OK) and Gary Peters (D-MI) have introduced an amendment to further block the EPA’s financial means of implementing E15 into the marketplace.

The freshmen in the House are touting overall spending cuts, but would it make sense to block the implementation of E15 after all of the money that has already been spent on its testing and approval? And wouldn’t the blend benefits including lowering greenhouse gas emissions, increased tax revenues and less imported petroleum from not so nice countries far outweigh those costs?

America uses a lot of oil and imports 50% of it. That number has decreased by 10% in the last five years due in part to increased biofuel production. E15 would continue America on the path of lessening its dependence on foreign oil, create new green jobs and further enhance the countries energy security.

“Installing E15 into the marketplace needs to be about sound science, not party politics,” said South Dakota Corn Growers Association President, Gary Duffy, a farmer from Oldham, SD. “Higher blends of ethanol at the pump will not only save consumers money, but keep those dollars right here in the United States. It’s time to make our countries 90% gasoline mandate a thing of the past and let America’s corn farmers fuel us into the future.”

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Corn Comments 7.25

Corn Comments Podcast with Jim Woster.

South Dakota Corn’s schedule for DakotaFest 2011 in Mitchell, South Dakota breaks down as follows…

Tuesday, August 16: Complimentary Sweet Corn Feed between 11am-1pm at the South Dakota Corn Tent 

Wednesday, August 17: Membership Appreciation Day – All members are invited to stop by the South Dakota Corn Tent for a special giveaway.

Thursday, August 18: True Environmentalists Day – Stop by the South Dakota Corn Tent to learn about how and why South Dakota farmers and ranchers are the True Environmentalists.

Our event membership incentive is still available…Have lunch on us and get gas at DakotaFest. With a new 3 year or lifetime membership with the South Dakota Corn Growers Association you will receive a Free Ticket to DakotaFest, one Free lunch at DakotaFest and $25 worth of ethanol certificates for your travels. Sign up today by calling the South Dakota Corn office at 605-334-0100 as this offer is only available until August 5th, 2011.

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USFRA: Telling Ag’s Story

Telling the story of agriculture today should be one about innovation and pride. Instead, certain media and anti-ag organizations are telling a different story, a negative one about those very same people who are growing the food that feeds much of the world today. So instead of letting urban journalists continue to rip on conventional agriculture, an alliance has been formed to tell the real story of how our nation’s food is raised from the producers themselves, America’s family farmers and ranchers.

The newly formed organization is called the United States Farmers and Ranchers Alliance, and they are asking for something very simple from producers…raise your voice and tell your story. The time has never been more important to create an educational dialogue between the people who raise the food and the people who eat it. Consumers are eager to know more about how their food was raised and farmers need to do a better job of telling them.

Farmers and ranchers have done an amazing job of feeding the world by adapting to new technologies and changing their practices in order to become more efficient and productive. In fact on average, each American farmer and rancher feeds an average of 155 people each year, that’s up from 73 people just 40 years ago. But now it’s time to make another adjustment, sharing their story of success with the rest of world who takes them for granted. And what a story it is, about our countries family farmers and ranchers, who are growing the most abundant, affordable, nutritious and safest food in the entire world.

For more information on the USFRA check out their website at: http://usfraonline.org/

You can also follow them on Twitter: @USFRA and on Facebook.

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General Greed

General Mills has a problem with ethanol. In a recent Financial Times interview, their Chief Officer, Ken Powell claims America has a bad ethanol policy that’s driving up the price of corn. Powell blames that policy for the rise in their companies’ input costs.

“We’re driving up food prices unnecessarily,” said Ken Powell, chief executive of General Mills.

While Powell’s arguments might sound good, there’s little truth to it as a recent study from the University of Missouri shows that America’s ethanol policy gives only a modest boost to corn prices. Besides that, here’s a little Did You Know for the readers…Each 18 ounce box of corn flakes contains around $.086 worth of corn. Less than 9 cents of corn per box that costs somewhere in the ballpark of $3.65 total depending on where you live.

Powell predicts that grain prices will increase his input costs by 11%. Do you think that extra penny per box will really hurt General Mills? And what if corn prices fall, do you think they will charge less? Not a chance.

As the CO of a major corporation, wouldn’t you look at the rising cost of oil which affects your products largest cost, transportation to the store? Mr. Powell makes absolutely no mention of it in the entire article.

When greedy corporations start putting down America’s only alternative fuel source over fractions of a penny, their agenda needs to be in question as ethanol lessens our dependence on foreign oil, saves our country billions of dollars and creates thousands of domestic jobs.

It’s the same old song and dance, whether it’s General Mills, American Meat Institute or the Grocery Manufacturers Association it makes no difference, people who use corn want it cheap. No matter how misguided or factual their claims may be.

Besides cereal, the same can be said for any food product containing corn. Only $.116 of each dollar spent on food comes back to the farm (according to the USDA 2011). America’s corn farmers are doing an amazing job when it comes to efficiency, productivity and affordability for our nation’s food and fuel consumers who rely on them daily.

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Corn Comments 7.18

Corn Comments Podcast with Jim Woster.

With the 2012 Farm Bill just around the corner, membership has never been more important as our organization continues to work for our states’ family farmers in Washington. Let your voice be heard by joining the South Dakota Corn Growers Association. It’s a great day to stand up for corn!

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