Experts: Corn More Profitable– For Now

URBANA – The University of Illinois College of ACES’ (Agricultural and Consumer Economics) Planting Decision Model, developed by Gary Schnitkey, is indicating that corn will remain more profitable to plant than soybeans until at least June 1. “Delayed planting so far this spring and the continued prospects of rain bring on the potential for farmers to shift from corn to soybeans,” said Schnitkey and Ryan Batts of ACES. “The Planting Decision Model includes a ‘returns by planting date’ module which calculates projected returns from corn and soybeans by planting date. According to projections, corn will be the more profitable to plant in all areas until late May. In central Illinois, corn is projected more profitable than soybeans into June.”

The returns by planting date module contains defaults for northern, central and southern Illinois and further breaks down into high and low productivity farmland. It can be accessed as a Microsoft Excel spreadsheet downloadable from the FAST section of the U of I’s farmdoc website. (Ill. Corn Daily Update) 

More Rainfall Delays Planting

SPRINGFIELD – “Wet fields are the topic for most farmers across the state,” understated the April 29, 2013, or most recent (at press time) issuance of USDA-NASS’ Illinois Crop Report. “Corn planting is still at only one percent. Last year at this time, corn planted was at 76 percent and the five-year average for corn planting is 36 percent.”

Nothing much has changed across most of Illinois since that report was issued; in many areas, weather conditions worsened after a sweeping series of storms soaked the state May 2-4. Many Illinois farmers found themselves abandoning chores such as planter and equipment preparation, instead filling and stacking sandbags to protect agricultural levees, streambanks, or entire communities from rising waters.

Central Illinois farmers should get a break from the relentless rainfall that has gripped the state– especially in the Illinois River watershed– starting this week, according to Jim Angel, state climatologist for the Illinois Water Survey. “After this system is out of the way, we don’t have anything coming in until probably next weekend,” Angel said on May 3rd. “It is supposed to be fairly warm with highs in the 70s across the state. Some farmers may be able to plant by the end of the week, but in most places it’s going to continue to be too wet.”

The latest crop report rated topsoil moisture levels at 45 percent adequate and 55 percent surplus, while subsoil moisture levels averaged 72 percent adequate and 25 percent surplus. The most recent round of storms will only serve to exacerbate saturated soil conditions around the state, Angel predicted. “We’re getting rains once a week, so just about the time fields are drying out, we get another batch of rain. That and continued cold temperatures are conspiring to keep farmers out of their fields,” he said.

University of Illinois crop experts advise farmers that later planting does not guarantee lower yields– unless other issues pile on. Rushing in to plant before conditions are optimal, however, can definitely lead to lower yields. U of I crop sciences professor Emerson Nafziger has written two articles on corn planting delays for the U of I’s Bulletin, available online at www.bulletin.ipm.illinois.edu.

4R Program Supports National Nutrient Research

BLOOMINGTON – In order to fund a multi-year research effort aimed at studying the impacts of the “4R” Nutrient Stewardship initiative, D.C.-based The Fertilizer Institute (TFI) has committed $7 million to measure the environmental effects of the campaign at specific sites. The 4R (right fertilizer, right rate, right time, right place) fund, which is also supported by the Canadian Fertilizer Institute (CFI) and International Plant Nutrition Institute (IPNI), will be utilized in partnership with land-grant universities, watershed stakeholders and government agencies.

The fund differs from Illinois’ new state program that assesses farmers and others who purchase fertilizers a 75 cent tonnage fee, yet shares the same vision, according to Jean Payne, president of the Illinois Fertilizer and Chemical Association. “The new TFI research fund is funded by a self assessment on TFI members, and I believe their goal will be to work with programs like NREC (Illinois’ Nutrient Research & Education Council) to help leverage dollars and thus make nutrient research and education even more powerful,” Payne said, in an email to this reporter. “The more we can collectively share in the projects and in the funding of the projects that are significant research investments, the better return to the industry and to the farmer in terms of productivity and minimizing environmental impact from nutrient use in the ag sector.

“TFI and IPNI have put together an industry team to help develop principles to ensure that the TFI research fund is utilized in the most effective and efficient manner possible. That process is underway and I’m sure we will have a great framework for expanding the 4R framework in every state.”

Seminar to Focus on Estate, Succession Planning

NORMAL – A one-day seminar on estate and succession planning for family farmers is slated for Monday, June 24 at the Marriott Hotel and Conference Center in Normal. Presenters will include farm consultants, CPAs, tax attorneys and a certified financial planner, according to Gary Hoff, associate director of the University of Illinois Tax School, which is offering the event.

“A team of farm estate and succession planning experts will give presentations that will cover the pros and cons of various entity choices available to farmers. They’ll also provide expert advice on gifting, establishing the correct type of trust, and how to finance retirement,” Hoff stated in a news release announcing the seminar. “They will address recent changes in estate tax legislation and clarify estate tax terminology. The seminar will highlight critical and timely issues that every successful farmer should know to sustain their business well into the future.”

The seminar, which will begin with registration and a continental breakfast at 7:30 AM and conclude at 4:30 PM, costs $40 per person to attend. Breakfast, lunch and materials are included in the cost. More info and registration: www.taxschool.illinois.edu/legacy or (217) 333-0502.

Illinois Farm Fact:

At Peoria, the Illinois River crested at 29.35 feet on April 23, easily surpassing the city’s 70 year old flood level record. (Ill. USGS)

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