“Live Coverage of Commodity Classic”
Live coverage begins this morning from Anaheim, California – the site of the 2010 Commodity Classic. Catch the Sorghum Industry General Session beginning at 10:00am and running until 2:00pm (CST). Tony St. James of All Ag, All Day will be the host and moderator for the event from the Anaheim Convention Center.
***Programming note: Agri-Talk will air in it’s entirety at 4:00pm this afternoon, and again tonight at 10:00pm on All Ag, All Day!
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“President Outlines Alternative Heal Care Plan”
President Obama has outlined his final version of a health care bill and has urged Congress to bring the plan to a conclusive vote within the next few weeks. The President said his nearly 1-trillion dollar proposal is a compromise plan that combines the best ideas of both Democrats and Republicans. Mr. Obama also came out in support of reconciliation, which would allow changes to the health care bill to be passed by the Senate with only 51 votes — a bare legislative majority.
The arguments both for and against health care reform have not changed for either political party. Top Republicans have repeatedly said Obama’s proposal amounts to a government takeover of the private health care system that will do little to control spiraling medical inflation. In recent weeks, they have reiterated their calls for the President to scrap his plan and start over.
The President’s proposal includes significant reductions in Medicare spending, in part through changes in payments made under the Medicare Advantage program. It does not include a government-run public health insurance option but it does include Medicaid reimbursement increases to doctors in certain states, and supports language ensuring certain high-deductible health plans can be offered in the health exchange.
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“Health Care Path Ahead”
It is likely the President’s refurbished health care plan will be considered using rules of reconciliation. Those rules would permit changes in the health care legislation to be passed by the Senate with only 51 votes. Democratic leaders say the legislation could gain enough support for passage in both chambers – most likely through expedited budget reconciliation procedures.
Illinois Senator and Majority Whip Richard Durbin says Democrats are – coming to closure - on revised language that was being written jointly by House and Senate lawmakers and White House officials. But, uncertainties remain as changes to one part of the bill could affect other aspects of the legislation.
Democratic leaders hope to send legislative language to the Congressional Budget Office for a cost estimate – perhaps before the end of the week. Durbin admitted that report could force more changes in the bill. Durbin said the Senate would provide some kind of – convincing gesture – aimed at reassuring anxious House Democrats that the Senate would act on the proposal once it passes the House, but that the House likely would have to act first.
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“Senate Preparing for Jobs-Extension Bill”
Kentucky Senator Jim Bunning has stepped out of the way of a request by Majority Leader Harry Reid to advance a 10-billion dollar package that would fund additional unemployment benefits, highway construction and Medicare provisions. He wanted it paid for. Fellow Senators agreed to allow Bunning to offer an amendment that would fund the legislation. But it failed.
Many lawmakers, especially those up for re-election this year don’t want to raise any taxes to pay for more federal expenditures. So, they have turned their attention to jobs and tax incentives. They appear willing to spend 150-billion dollars to extend key energy and tax provisions, as part of the American Workers, State and Business Relief Act – or jobs bill. The legislation would not be paid for under – pay-as-you-go – rules.
The legislation would provide for the extension of a five-year recovery period for machinery or equipment purchases. It would also extend emergency disaster assistance; tax incentives for biodiesel and renewable diesel; extension and modification of Alternative Fuels Credit; and Taxation of Qualified Timer Gain and Timer REIT provisions.
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“Legislators Ready to Take Control of EPA Regulations”
Two leaders in the U.S. House have introduced legislation similar to legislation already introduced in the U.S. Senate that would nullify action taken by the Environmental Protection Agency to regulate greenhouse gas emissions coming from farms and other locales.
Senate Ag Committee chair Blanche Lincoln says she believes she has enough signatures for the resolution to bypass the Environment and Public Works Committee and move directly to the floor. Only 51 votes would be required for approval. A vote could happen quickly.
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“House Ag Committee Approves Bills”
The House Committee on Agriculture has approved two bills for floor consideration and adopted the annual budget views and estimates letter, which outlines the Committee’s budget recommendations for the federal agencies and programs under its jurisdiction for fiscal year 2011. Those programs include nutrition, farm, conservation, energy and rural development programs.
H.R. 3509 would reauthorize funding for the State agricultural mediation grant program. The grants fund state agricultural mediation programs that help agricultural producers, their creditors and various USDA agencies address disputes, including loan problems and USDA adverse decisions.
H.R. 3954 would authorize the conveyance of 114 acres in Leon County, Florida and would allow the U.S. Forest Service to make equivalent land exchanges within the Ocala and Apalachicola National Forests to better and more efficiently manage the lands. The bill would also clarify some boundary issues by allowing a survey to be conducted on certain areas of Florida state forestland.
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“Senate Finance Receives Trade Report”
Wednesday, U.S. Trade representative Ron Kirk delivered to the Senate Finance Committee President Obama’s 2010 Trade Policy Agenda and 2009 Annual Report. The 2010 outlook promises to seize new opportunities, and build on existing agreements to bring benefits of trade to American businesses and workers. Committee Ranking Member Chuck Grassley said I’m disappointed by some of the gaps I see in the level of detail provided by the President.
For example, Grassley pointed to the trade agenda which states that our government – will continue to engage with the Governments of Panama, Colombia, and Korea – as the Administration further refines its analysis of outstanding issues. But it doesn’t indicate where we are on that engagement, or when future meetings are planned with the governments of Colombia and South Korea to iron out resolutions to the Administration’s concerns. Grassley said the delay in implementation – hurts U.S. credibility around the world, not just economically, but geopolitically as well.
Grassley sees – some disconnect between enthusiasm for negotiating a Trans-Pacific Partnership agreement, and the apparent lack of urgency to resolve the outstanding issues cited by the Administration as cause for delay in implementing our pending trade agreements. Grassley notes, – there may well be political reasons for this lack of urgency. But that doesn’t justify delay as good policy — quite the opposite.
Senate Ag Committee Chair Blanche Lincoln says – as we look for new markets for our exports, we must work to open trade with Cuba once and for all. Lincoln points out that – production of a safe and affordable food supply creates American jobs and is something we should not take for granted. Our producers have a quality product to offer the rest of the world and it is our job to give them the open markets to do so.
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“ITC Holds FTA Hearing”
R-CALF USA CEO Bill Bullard, testifying before the U.S. International Trade Commission on Wednesday, continued to hammer home the views of his organization on the negative impact flawed free trade agreements have on the U.S. live cattle industry. The organization has long held that the well-being of Rural America hinges on the success or failure of the U.S. live cattle industry. The Commission was focusing on the proposed U.S.–Trans-Pacific Partnership Free Trade Agreement that soon will be considered by President Obama.
During his testimony, Bullard said that while the U.S. has experienced increased trade – the welfare gains and increased prosperity promised by the FTAs and current trade policies have materialized neither for the hundreds of thousands of U.S. farmers and ranchers who raise cattle, nor for the rural economies those farmers and ranchers support.
Bullard also explained that any benefits that may have resulted from increased trade have been captured by the beef commodity industry and have not been allocated to U.S. cattle producers.
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“CFTC Focus of Hearing”
The House Agriculture Committee’s Subcommittee on General Farm Commodities and Risk Management held a hearing to review the implementation of changes to the Commodity Exchange Act contained in the 2008 Farm Bill. In opening the hearing, subcommittee chairman Leonard Boswell, said our job is to – bring greater transparency and oversight to the future markets without hindering legitimate consumers from operating within them. He said – hard-working Americans are getting taken to the cleaners.
It’s been nearly two years since the 2008 Farm Bill granted the Commodity Futures Trading Commission certain new authorities to regulate the futures markets. Subcommittee Ranking Member Jerry Moran said. – Congress needs to determine whether CFTC is effectively carrying out its intent and I believe today’s hearing gave us an indication of the Commission’s recent activities.
The Farm Bill strengthened the CFTC’s authority over retail foreign currency transactions, extended the CFTC’s principles-based oversight to exempt
commercial markets that trade significant price contracts, and increased criminal and civil penalties for market manipulation.
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“Report Quantifies Foodborne Illnesses”
A report published by the Produce Safety Project, an initiative of the Pew Charitable Trusts at Georgetown University, estimates the total cost of foodborne illnesses in the United States at 152-billion dollars per year. The report titled – Health-Related Costs from Foodborne Illness in the United States, – emphasizes illnesses related to FDA-regulated foods such as produce and is being used to push for Senate action on legislation passed by the House of Representatives last summer that would overhaul the Food and Drug Administration.
When compared to a 1999 study put together by the Centers for Disease Control, the cost estimate soars over the previous estimates. Also, it broadened both the array of pathogens and the types of costs to include medical costs, quality of life losses and the costs to others in society such as lost productivity, as well as the costs to the person made ill. Representative Rosa DeLauro, who has pushed for consolidating food safety regulation under a single agency, called the report – shockingly high.
The new report put the price of campylobactyer-related illnesses at 18.8-billion dollars per year. It put those linked to salmonella at 14.6-billion and listeria-associated costs at 8.8-billion dollars annually. As for E. coli O157:H7, the report said 39 percent of outbreaks and 54 percent of illnesses linked to FDA-regulated food items were attributable to produce at an estimated foodborne illness cost of 39-billion dollars per year.
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“Dean Foods Lawyers File Paperwork”
Dean Foods came under fire after announcing its intention to purchase two milk processing plants owned by Foremost Farms, USA. The Department of Justice belies the purchase would lessen competition. The markets in question sell milk to schools and to grocery chains, restaurants and other retail outlets.
Now, lawyers for Dean Foods has filed a request that a federal judge in Milwaukee reject the charge affecting the supply for non-school fluid milk sales. The argument is the government failed to define the –relevant geographic market- where competition would be affected.
According to Dean, most customers in that area of Minnesota purchase milk from processing plants located within 150 miles.
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“Soy Going to Afghanistan”
USDA’s Food for Progress program, the American Soybean Association’s World Initiative for Soy in Human Health program and three partnering organizations will receive a cooperative agreement for work in Afghanistan in the amount of 26-million dollars. That nation has some of the highest rates of malnutrition in the world. At the same time the agreement will allow Afghanistan to rebuild its market for soy.
WISHH Chairman and ASA Board member Scott Fritz, a soybean producer from Winamac, Indiana, says – diets will improve and soy consumption will increase as Afghan agriculture and the local economy develops. When this happens, everybody wins.
The agreement will provide 240 metric tons of defatted soy flour over the next three years to meet the nutritional needs of 5-thousand women and their families. The agreement also includes 13,750 metric tons of soybean oil that will be monetized or sold into the local market in support of the project activities. The project will also bolster the processing end of the agricultural value chain, with the shipment of 6-thousand metric tons of soybeans. These soybeans will be processed into soy flour and soybean oil for the local market.
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“Biorefinery Loan Announced”
USDA says Range Fuels, Incorporated, a Colorado based firm with a planned biorefinery located near Soperton, Georgia, is the recipient of a loan guaranteed by USDA Rural Development to make cellulosic biofuel from wood chips. The deal, recently finalized, was first announced last year and represents the first ever loan guarantee by USDA to a commercial-scale cellulosic biofuel plant.
The 80-million dollar loan is being guaranteed through USDA’s Biorefinery Assistance Program authorized by the Food, Conservation, and Energy Act of 2008 and administered by USDA Rural Development. When fully operational, the plant is expected to produce an estimated 20-million gallons of cellulosic ethanol per year.
Range Fuels’ commercial facility will produce cellulosic biofuel from non-food biomass, such as wood chips. Under Secretary for Rural Development Dallas Tonsager says – USDA’s investment in the construction of Range Fuels’ commercial facility demonstrates the Obama Administration’s goal to make the United States a leader in renewable energy production.
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“Eisenhower Fellowships Applications Available”
Eisenhower Fellowships, the premier international leadership development program, is accepting applications from experienced farmers and ranchers for its 2011 Agricultural Fellowship. Applications are to be received by July 1, 2010 from farmers and ranchers aged 32-45 with excellent networking avenues, demonstrated leadership experience, U.S. citizenship or permanent resident, and a commitment to at least 15-20 years of further active leadership in agriculture.
The successful applicant will receive a custom-designed, all-expenses paid program overseas for up to five weeks in one or two countries where he or she will focus on agricultural issues. In addition, the 2011 Agricultural fellows will receive orientation and post-travel debriefing in Philadelphia along with a select group of Eisenhower Fellows from around the world.
Previous participants of this unique program have risen to positions of influence, and have used their international connections to bring new ideas and technologies to their communities. For more information and to download applications please visit: www.eisenhowerfellowships.org.
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“Corn Yield Guide Now Available”
The National Corn Growers Association 2009 Corn Yield Guide, which highlights the results of the NCGA National Corn Yield Contest, is available online at www.ncga.com. This year, in addition to the details on all 525 contest winners, it includes detailed stories on the role of supervisors in the contest and the results of NCGA’s 2009 farmer image survey.
NCGA Chairman Darrin Ihnen, a grower from Hurley, South Dakota, says – the National Corn Yield Contest provides a glimpse at the practices and resultant yields that growers can expect to become the industry standard in the next decade. The National Corn Yield Contest is in its 46th year and remains NCGA’s most popular program for members.
Ihnen boasts – we are extremely proud of the accomplishments of this year’s winners and look forward to a future with even higher average yields that will ensure we can meet ever increasing demand. The contest provides growers with an opportunity to showcase their achievements while establishing innovative practices that benefit the industry as a whole.
