R. F. D. News & Views, December 24, 2014

Tim Alexander

ISG: Cuba Deal Opens Doors to Exports

BLOOMINGTON – President Obama was commended by the Illinois Soybean Growers (ISG) last week for his efforts to normalize relations and expand trade opportunities with the Communist nation of Cuba. ISG had been working for several years to increase business opportunities with Cuba, meeting four times with top officials there and working to educate Illinois lawmakers and business leaders about the economic value that would result from increased trade with the country.

“While in Cuba we met with a wide variety of people from buyers to diplomats to everyday Cubans. Everyone is interested in improving diplomatic relationships with the United States,” said Mark Albertson, director of strategic marketing for ISG.

Obama’s announcement allows expanded commercial sales and exports of goods and services including agricultural equipment and commodities and permits travelers to use credit and debit cards, signaling what many hope is the first step in ending the decades-old embargo imposed by the U.S.

“The U.S. was once the dominant supplier of all Cuba’s soy products until Brazil moved in during 2011 and 2012, and Argentina in 2013. We want to get that business back,” said John Longley, ISG director and a farmer from Aledo. “Cuba relies solely on foreign suppliers for soybeans, so the U.S. and specifically Illinois– the No. 1 soybean-producing state– has a big opportunity to gain business that will boost our economy.” (ISG news)

 

Soy Growers Laud Federal Tax Extension

BLOOMINGTON – The Illinois Soybean Growers’ (ISG) media relations representative, Amy Roady, was kept busy last week issuing laudatory news releases regarding major legislative developments, such as Congress’ short-term extension of several key tax credits for 2014, including the dollar-per-gallon biodiesel tax credit.

“As a soybean grower, I welcome this federal tax extension as it provides continuity and stability for my fellow producers who use these programs,” stated Stan Born, a Dunlap farmer and director for the ISG. “However, farming requires long-term planning and, consequently, we need a more permanent solution. I hope that both chambers will work together on a resolution and extend these critical tax incentives into the future.”

The Tax Increase Prevention act of 2014 extends expiring tax provisions and allows farmers to extend farm equipment and infrastructure expensing under the Section 179 provision, along with bonus depreciation on farm assets. Farmers will be able to claim the related benefits on their 2014 tax returns. (ISG news)

 

2014 Harvest Rail Performance Improved?

PEORIA – Freight rail service during the 2014 harvest has improved slightly from the performance of many Class I railroads last year– at least in Great Plains states– according to a recently-released ag transportation industry study. The overall favorable rating for the railroads can be attributed to an elongated harvest season, an aggressive response to demand by the railroads, farmers electing to store more grain, favorable weather, and more modest harvest volumes than originally anticipated, according to the research project’s conclusions. However, 60 percent of grain receiving facilities in the Great Plains reported rail service delays and diminished storage capacity in response to the 2014 harvest, which sounds more like the rail transportation and storage issues just to the east of the surveyed states, said Scott Sigman, transportation and infrastructure lead for the Illinois Soybean Association (ISA).

“The railroads further east here have not been as responsive to car placement, and there have been snafus that have had a domino effect in terms of getting grain out and delivering cars to market as they need to be,” said Sigman in a phone call. “We are seeing more grain pilings and more farmers storing grain due to the issues, and the problems presented by transportation bottlenecks affect prices.”

The problems with freight rail movements of grain experienced by farmers and shippers the past couple of years has opened the door to a refreshed debate on the merits of increasing semi truck weight limits on roads. “Expanded semi weights would be beneficial not only to a lot of ag products, but to other industries as well,” Sigman said.

 

App Will Aid Grain Bin Rescues

BLOOMINGTON – A new smartphone application developed by the Illinois Corn Marketing Board (ICMB) and the Grain and Feed Association of Ill. (GFAI) will help rural elevators, fire departments and emergency personnel save lives in the event of grain bin entrapment. The Ill. Grain Rescue Tube Locator app, launched December 18 on iTunes and Google Play Stores, utilizes a GPS system to locate the nearest grain rescue tube to help save farm workers from grain engulfment inside storage bins.

In addition to serving as a tool for saving lives, the app helps build awareness that grain bin entrapments make farming one of the most dangerous occupations in Illinois. It works by mapping the locations of all available grain safety tubes in the state, once downloaded.

“We see this app as another tool in the toolbox if an unfortunate situation occurs and someone is entrapped. By downloading the app ahead of time and having it available, we can speed up the process to save a life,” said John Lee, director of safety for the GFAI, in a joint news release.

GFAI and the ICMB are urging other states to consider investing in similar databases for their areas, and are open to providing the framework for the application.

“Grain entrapment deaths are a completely avoidable problem,” said Lou Lamoreaux, ICMB chairman. “Illinois Corn wants to force farmers to think before they step into a full bin, and to provide a means for quicker rescue if a bad situation occurs. This app will help ensure that a grain rescue tube can always be located nearby.”

See the ICMB and GFAI websites for more information on the new app.

 

Illinois Farm Fact:

Illinois had ten grain entrapments in 2010 alone. (Grain & Feed Assoc. of Ill.)

 

(Tim Alexander is a freelance reporter who writes agriculture, news and feature articles for Chronicle Media, Farm World, Prairie Farmer and many other publications. He resides in rural Peoria County with his family.)