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TheCropSite Newsletter - 21 August 2012

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The Crop Site

Tuesday 21st August 2012.

Sarah Mikesell - TheCropSite Senior Editor

Sarah Mikesell
Senior Editor

Editorial: Welcome to TheCropSite Newsletter

Here in the US, kids are heading back to school, so I thought a little quiz might be in order.

Question: What US crop is far outpacing the rally in the corn and soybean markets?

Answer: That's right, it's hay.

Even with the recent rains, the US faces its smallest hay harvest since 1976. Scarce hay supplies have pushed prices up dramatically over the past year. According to USDA, the July 2012 all-hay price was $184 per ton. However, auction prices in parts of the US are indicating prices as high as $300 per ton.

This is the sixth year in a row that what USDA calls RCAUs - roughage-consuming animal units - are expected to be down. With hay production dropping significantly, available supplies per RCAU declined from 1.94 tons in 2011/12 to 1.79 tons in 2012/13. This is the lowest hay supply per RCAU ratio in more than 25 years.

Analysts Steve Meyer and Len Steiner said Friday's USDA Cattle On Feed report reminded that last year's July placements were huge due to the early movement of calves from drought conditions in the southwest. However, they said despite this year's parched pastures, not near as many cattle were placed. It appears that the winner in the "feed prices vs. pasture conditions" battle is feed prices, whose high level very likely kept a good number of cattle out of lots - for now.

July placements were 8.5 per cent larger than the 2006-2010 average indicating that, while smaller than last year, this year's movement of cattle to feedlots was still quite large.

What does it all mean? The livestock guys are getting hit from all sides. High feed prices mean herd liquidation will come sooner or later. With rising global demand, higher meat and milk prices should be expected.

On a separate note… while I've been wishing for rain for months so that we can get out of this crazy US drought, I would prefer for the rain to skip over Boone, Iowa next week. A few colleagues from the UK and I will be attending the Farm Progress Show, the nation's leading outdoor farm show, which runs Tuesday through Thursday. Watch Wednesday's Headline News & Analysis for more from the show.

Have a great week!

The Global Biotech Challenge - Giving Farmers What They Want
It's no secret that marketing genetically modified (GM) seed globally is a challenge, but DuPont Pioneer differentiates themselves by offering farmers around the world what they want - which isn't always biotech seed, writes Sarah Mikesell, TheCropSite senior editor.

US Weather's Impact on 2013 Seed Production
In 2011, hot weather forced many seed companies to head to South America to supplement their 2012 seed production and this year will no different, writes Sarah Mikesell, TheCropSite senior editor.

Drought, the Illinois Corn Crop: Comparing 1988 - 2012
Many producers are wondering whether the development of genetically modified hybrids and the improvement in hybrid yield potential and stress tolerance has made the corn crop more “drought-proof” now than it was in 1988.

Newly Found Genes May Lead to Nematode-Resistant Upland Cotton
US Department of Agriculture (USDA) researchers have made significant progress in finding genetic resistance to two key cotton pests—the root-knot nematode and the reniform nematode.

Which Plants Will Become Next Generation Biofuels?
Like all babies, they’re cute and full of promise. But these young shoots are in for some rough tests. They’ve already been planted in marginal soil and will be routinely flooded and stressed. In the end, they’ll be ground up and converted into pellets and then into liquid fuel.

Which Plants Will Become Next Generation Biofuels?
Like all babies, they’re cute and full of promise. But these young shoots are in for some rough tests. They’ve already been planted in marginal soil and will be routinely flooded and stressed. In the end, they’ll be ground up and converted into pellets and then into liquid fuel.

Bioscience to Battle Global Hunger
A high-level Global Nutrition Event marked the closing of the Olympics and called on the world to improve malnutrition in the world's poorest countries. BBSRC's Chief Executive, Professor Douglas Kell, joined representatives from international governments, charities and businesses at 10 Downing Street to strengthen commitments and challenge the world to find new ways of working to tackle malnutrition.

Using Wastewater as Fertilizer
Phosphorus is a vital element not only for plants but also for all living organisms. In recent times, however, farmers have been faced with a growing shortage of this essential mineral, and the price of phosphate-based fertilizers has been steadily increasing. It is therefore high time to start looking for alternatives.

   United States

Soybeans Could Provide Cow Nutrition in Drought
US Weather's Impact on 2013 Seed Production
Long-Term Agricultural Trends Drive Monsanto's Growth Confidence
Drought Impacts on Crop Prices, Biofuel Production
Weekly Roberts Market Report
Corn Ethanol Waiver - Effect on Corn Prices Uncertain
BP Biofuels, Texas AgriLife to Advance Biofuels
CME: Would RFS Waiver Affect Corn Prices?
CME: Corn Futures Closed Higher Monday
CME: Corn Futures Closed Higher Wednesday
CME: Corn Futures Closed Higher Thursday
CME: Corn Futures Closed Lower Friday
Insecticide Restrictions Important as Soybeans Mature
Wheat Producers Have Options For Planting Into Dry Soils
Rain Brings Relief to Indiana, But Drought Continues
USGC: Grains Challenges Ahead Questioned
GeoGrain: Premium Grain Bids Heating Up
Grain Hedge: Sideways Trade Is Staple Post-Reports
Fewer Acres Planted, Mississippi Rice Crop Posts Strong Yields
Low-Interest Emergency Drought Loans Available
RFA Applauds US Appeals Court on E15 Decision
Rationing the 2012 US Soybean Crop
Comment Period Open on Renewable Fuel Waiver

   United Kingdom

NFU: Get Your Grain Sampling Right
New Grants for Ground Breaking Crop Pest Research
Morrisons Help Farmers Choose Right Renewables
CFE Launches New Online Training for Farmers
Increased Biofuel Opportunities for Arable Farmers
NFU Launches 2012 Harvest Survey


US Grains Council: Global Analysis of Grain Supply
Partnership Addresses Post-Harvest Loss
World Cotton Trade To Decline in 2012/13
Bayer CropScience Completes Acquisition of AgraQuest
Monsanto Announces New President, Chief Commercial Officer


Nationwide Census on Agriculture, Fisheries in 2013 to Take Place


Australian Farmers' Push for Drought Aid
Lupins and Lime Limit Grain Greenhouse Gas
Australian Cane Growers Boost Production, Minimise Water Impacts
Cotton Future is Wrapped in Good Management
New National Australian Rice Blast Protocol


Nutrient Wheel Offers Grassland and Crop Advice
Bad Weather Causes Problems for Irish

   Czech Republic

Czech Republic Grains, Rapeseed Forecast Lower


Organic Grasslands Get New Design


China Cotton Stock Increase Leads Global Rise


India’s 2012/13 Rice Production Forecast Lowered 2.0 Million Tons

   European Union

Wild Pollinators Support Farm Productivity, Stabilise Yield


Argentina Announces Temporary Soybean Import Policy


Meeting the Greatest Global Farming Challenge
Cargill Presents Canola Growers with Specialty Canola Contract

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