“President Hits on Areas Important to Agriculture in State of the Union Speech”
Along with acknowledging rural communities have been hit especially hard by the economic recession – President Obama touched on a number of issues important to the nation’s farmers and ranchers during his State of the Union address Wednesday night. Spending a great deal of time on the economy and the need for job creation – the President outlined a plan to help small businesses get the credit they need to stay afloat – and expressed a need to encourage innovation – including in the area of energy.
According to President Obama – investments in clean energy are paying off – but to create even more jobs – more production, more efficiency and more incentives are needed. He said that means making tough decisions about opening new offshore areas for oil and gas development – continued investment in advanced biofuels – and passing a comprehensive energy and climate bill.
In the area of trade – the President called for exporting more of our goods – and set a new goal to double our exports over the next five years. To help meet the goal – he announced the launch of a National Export Initiative that will help farmers and small businesses increase their exports. He also expressed the importance of seeking new markets aggressively – and said the Administration will continue to shape a Doha trade agreement that opens global markets and strengthen trade relations in Asia with key partners like South Korea, Panama and Colombia.
President Obama called on Members of Congress to take another look at the health insurance reform proposed – and asked them not to walk away from it. He said the nation still needs it. He invited members from either party to let him know if they had a better approach to bring down premiums and the deficit, cover the uninsured, strengthen Medicare and stop insurance company abuses.
And as expected – the President did announce a plan to freeze government spending for three years – and called for a bipartisan fiscal commission modeled on the proposal by Republican Judd Gregg and Democrat Kent Conrad – a measure that was blocked in the Senate this week. President Obama said he would issue an executive order that will allow it to go forward. It is not yet known how the budget freeze will impact ag programs.
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“Reaction to State of the Union Address”
A number of the President’s ideas were welcomed by the American Farm Bureau Federation. Farm Bureau President Bob Stallman said his group welcomes the call for Congress to pass energy legislation including more production of renewable fuels and nuclear power. Growth Energy, National Sorghum Producers and the Renewable Fuels Association were also pleased to hear the President place a priority on the potential of renewable energies.
National Sorghum Producers was pleased with the President’s mention of continued investment in advanced biofuels. They say it could further catapult the production of advanced biofuels – as a nod toward certain policies, technologies, crops and initiatives by the President has greatly increased notoriety and Congressional attention to those issues in the past. Sorghum qualifies as an advanced biofuel feedstock – and NSP is working with Congress to ensure it stays that way – and producers are able to take full advantage of that qualification.
Renewable Fuels Association President Bob Dinneen says America’s ethanol producers stand with the President – ready to provide good paying jobs and economic opportunity in a cleaner, more sustainable manner. But to ensure the economic potential of biofuels and ethanol in particular are realized – RFA says Congress and the Obama Administration should take a number of steps including – among other things – the approval of E15 and other higher level blends for use in all gasoline vehicles, extending the tax incentives for the use of ethanol from all feedstocks and partnering with industry to expand ethanol blending and dispensing infrastructure.
Farm Bureau President Bob Stallman also welcomed the call to export more of our agricultural goods – and said his group strongly backs the President’s commitment to opening new offshore areas for oil and gas development. But he maintains Farm Bureau cannot support climate change legislation in its current form.
But ahead of the President’s speech – Iowa GOP Senator Chuck Grassley suggested it’s not what the President says – it’s what he does. He said the Administration’s focus was on things like government spending, government control of the financial system, energy and health care policies that mean more regulation and higher taxes during the last year. Looking ahead – the Ag Committee member says bipartisanship needs to be established in the beginning of an initiative – and Congress and the White House need to listen to the grassroots. He says people are looking for a landscape that allows them to create jobs and build opportunities for the future – not a heavy hand from the government.
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“Baby Health Care Steps Planned in House”
It’s not a substitute for broader health care reform – but House leaders plan to bring small-scale health care legislation to the floor before the President’s Day recess. House Speaker Nancy Pelosi says the bigger bill – sidetracked by Republican Scott Brown’s win in Massachusetts – will eventually pass – but said there are some things legislators can do on the side.
As for that comprehensive reform measure now stalled – Pelosi says she doesn’t have the votes to pass the Senate bill and get it to the President. She says negotiations to find a compromise continue – but hasn’t given a timetable for reaching a deal. She’s also not saying whether Democrats would resort to use of the budget reconciliation process.
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“Report Suggests Biotech Wheat Bad for U.S. Prices”
According to a report issued this week by the Western Organization of Resource Councils – U.S. wheat prices could drop 40-percent or more if efforts to develop a biotech wheat are successful. The report cites opposition to genetically modified wheat in Europe, Japan and other Asian countries – suggesting buyers in those countries would shift purchases to GM-free wheat from other nations if GM wheat is commercialized here. The report’s author – former Ohio State University Research Economist Neal Blue – called the introduction of genetically modified wheat in the U.S. a risky proposition.
The report predicts hard red spring wheat prices would fall 40-percent – with prices for durum wheat dropping 57-percent. Todd Leake – a wheat farmer and member of the Dakota Resource Council – says this suggests those in the industry that seem intent on pushing genetically modified wheat should be very cautious and listen to the customer.
U.S. Wheat Associates spokesman Steve Mercer – who said his group was not familiar with the report – said several in the industry are working to improve international acceptance of biotech wheat in advance of commercial introductions – which are still several years away. He said the market will have to sort it out – but noted the market is committed to providing the kind of wheat customers want.
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“COOL Blamed for Plant Closure”
The Chairman of the Manitoba Pork Council says country-of-origin labeling has probably played a large role in the planned closure of the John Morrell hog processing plant in Sioux City, Iowa. Karl Kynoch says fewer Canadian pigs are moving south because of COOL – resulting in empty barns in the U.S. and fewer hogs available for processing plants. As a result of COOL – Kynoch says the movement of Canadian slaughter hogs into the U.S. has been reduced by about 90-percent – and Canadian weanlings by about 40-percent. And he suspects the closure of the Sioux City plant is just the beginning.
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“USDA Issues First NE3 Designation”
Farmland Foods says it is the first U.S. pork producer to receive USDA’s “Never Ever 3″ designation for the company’s “SIMPLY NATURAL” line of fresh pork products. The NE3 designation certifies that the products contain no antibiotics in feed, water or by injection from birth to slaughter; no growth promotants; and no animal by-products in feed.
Chris Hodges – Senior Vice President of Farmland Fresh Pork says the company is extraordinarily pleased to be the first pork company to receive this designation. According to Hodges – the SIMPLY NATURAL line of fresh pork is a great choice for consumers looking for a natural, delicious protein – and this USDA NE3 certification gives them confidence that the product has been held to the very highest standards.
NE3 is a USDA Process Verified Program that uses the International Organization for Standardization’s ISO 9000 series standards for evaluating program documentation to ensure consistent auditing practices and promoting international recognition of audit results.
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“Lincoln Recognized by Wheat Industry”
Senate Ag Committee Chairman Blanche Lincoln has received the 2009 Wheat Advocate Award from the National Association of Wheat Growers in recognition of her leadership on agriculture issues and advocacy on behalf of the nation’s farmers. NAWG President and Oregon wheat producer Karl Scronce says Lincoln was recognized for her continued leadership in defending the interests of rural America and production agriculture in particular.
Scronce says Lincoln’s efforts in leading oversight of USDA during farm bill implementation and safeguarding the needs of rural America with respect to environmental initiatives being put forward are appreciated. Lincoln says she’s proud to serve as an advocate for the nation’s ag producers – and is committed to ensuring the nation’s farmers have a strong safety net in place so they can continue to provide a safe, abundant and affordable food supply to all Americans.
The Wheat Advocate Award is given annually to Members of Congress who have demonstrated support for the wheat industry above and beyond the norm.
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“New Geospatial Data Products Released”
USDA’s National Agricultural Statistics Service has released new satellite images showing ag land cover across most of the nation for the 2009 crop year. The cropland data layers (CDL) are a useful tool for monitoring crop rotation patterns, land use changes, water resources and carbon emissions. They can be used in geographic information systems applications and by agribusinesses, farmers, government agencies, researchers and academic institutions to study pesticide risk, epidemiology, transportation, fertilizer usage and more.
The entire inventory of CDL products is available at the USDA National Resource Conservation Service’s Geospatial Data Gateway online. Visit datagateway dot nrcs dot usda dot gov (http://datagateway.nrcs.usda.gov).
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“National Pork Producers Delegate Body Appointees”
U.S. Ag Secretary Tom Vilsack has appointed 154 pork producers and six importers to the 2010 National Pork Producers Delegate Body. Delegates meet each year to recommend the rate of assessment, determine the percentage of assessments state associations will receive and nominate producers and importers to the 15-member National Pork Board. The Delegate Body will be seated during the upcoming National Pork Industry Forum in Kansas City. Each appointee will serve a one-year term.
