R. F. D. News & Views, February 5, 2014

ISA: Farm Bill Favors Soy Priorities

BLOOMINGTON – A final version of a new, five-year farm bill– known as the Agricultural Act of 2014— could be approved by the Senate and signed by President Obama this week. After the House of Representatives voted in favor of the 2014 Farm Bill last week, the Illinois Soybean Association (ISA) of Bloomington issued news releases expressing their pleasure with the final package.

“The bill provides for multiple soybean farmer priorities, including a flexible farm safety net that includes a choice between price-based and revenue-based risk management tools and maintains decoupling of payments under both programs from current planted acreage,” said Mike Marron, ISA vice-chairman and soybean producer. “While this has been a trying process, we believe conferees, including (Ill.) Rep. Rodney Davis, have produced a framework that will serve the best interests of Illinois soybean farmers.”

Included in the farm legislation is an ISA-supported revenue program covering both price and yield losses with county and farm level options. Producers will have an option to choose the ISA-supported plan or a price support program that allows the optional purchase of insurance coverage under a Supplemental Coverage Option (SCO). In addition, the bill eliminates direct payments while maintaining decoupled farm support programs that minimize the possibility of planting and production distortions that could trigger new trade challenges, according to the ISA.

The 2014 Farm Bill will also allow farmers to choose between maintaining their existing crop acreage base or reallocating current base acreage to reflect average acres planted to covered commodities in 2009-2012. It also makes enterprise units for crop insurance permanent, among other notable changes, while shaving billions of dollars from the federal deficit.

“On behalf of Illinois soybean farmers, we are excited about passage of this legislation that would achieve net savings of $23 billion during the next ten years. That makes agriculture the only sector that has contributed to deficit reduction in the 113th Congress,” said Marron.


Cold, Snow Slows Ag Transportation

PEORIA – The extreme cold weather pattern gripping the Midwest has had an impact on transportation logistics for deliveries of grain and oilseeds. In addition to rail transportation disruptions, delays in barge deliveries are occurring on the upper Mississippi and Illinois rivers. At Peoria, cutters have been keeping a single shipping lane cleared on the Illinois River in the Peoria Lake area, according to Scott Sigman, transportation and export infrastructure lead for the Illinois Soybean Association.

“Ice cutting vessels on the river are trying to keep at least a single lane open, enabling some of the traffic flow to continue,” Sigman said. “It’s anticipated every winter by waterways operators that barge traffic can be affected through February. Most of the soy seed and meal have been on their pathway for some time, and it’s kind of the tail end of the market at this stage. We’re trying to (ensure) that what still needs to move, will move. There might still be some delays in getting to export position.”

Greater ice formation and accumulation on the rivers restricts the number of barges that can be lashed together to form a tow or flotilla. This results in lower efficiency and higher transportation costs during a period (September through February) when 80 percent of U.S. soybean exports are being shipped.

Railroads have had concerns about operating on their tracks and keeping their equipment properly lubricated and functioning through the cold and snow. “That will in turn challenge the terminals as opposed to the overall network, and so people operating in the terminals have to be very careful. For workers’ safety, things will slow down primarily to ensure workers are maintaining high awareness and are conscientious when it comes to safety,” said Sigman.


RMA Updates Cover Crop Insurance Guidelines

SPRINGFIELD – According to their Springfield office, the USDA’s Risk Management Agency (RMA) announced on Jan. 27 it had updated guidance providing producers more flexibility when insuring a row crop that follows a cover crop in Illinois and three other Midwest states. The Agency changed federal crop insurance provisions concerning cover crops as a result of increasing interest in the conservation practice, according to Brain Frieden, director of the Springfield Regional RMA Office.

“For farmers wanting to insure their spring crop following a cover crop…the cover crop must have been planted within the last 12 months and terminated at, or within five days after planting, but before crop emergence,” he said, calling the new policy consistent, simple and flexible. “Cover crops may also be hayed, grazed or used for silage as long as the planned amount of biomass is available at the time (of) termination.”

The new guidelines were developed with the assistance of the Natural Resources Conservation Service and the Farm Service Agency. Producers utilizing cover crops are encouraged to discuss the new guidelines with their crop insurance agent when making decisions for the upcoming crop year. (RMA news release)


Cover Crop Forums to Explore Soil Health

CHAMPAIGN – Five Illinois Cover Crop Forums have been announced by the USDA-Natural Resources Conservation Service (NRCS) Illinois Field Office. Farmers, ranchers, researchers, agribusiness operators and conservationists are invited to attend the forums, which will be held on Tuesday, Feb. 18 in concert with the National Conference on Cover Crops and Soil Health in Omaha, sponsored by the Howard G. Buffett Foundation. The forum will offer live streaming video of the national conference’s opening session and a panel of Midwest farmers who have been successful with cover cropping and improving their soil health.

“By taking advantage of communications technology, local participants will be able to view discussions about the soil health movement nationally,” said Ivan Dozier, Illinois state conservationist with the NRCS Illinois Field Office. “The local farmers and partners can discuss the benefits of healthier soil and how we can make these ideas work here in Illinois.”

The Illinois forums will be held in Sycamore, Springfield, Mahomet, Mt. Vernon and Carbondale. Learn more at www.il.nrcs.usda.gov. (Ill. NRCS news release)


Illinois Farm Fact:

Soybean yields can improve by 11.6 percent following cover crops. (Ill. Council on Best Management Practices)


(Tim Alexander is a freelance reporter who writes agriculture, news and feature articles for the News Bulletin, Farm World and many other publications.)