News Update
July 31, 2013
Best of I Am Angus Episode Airs
on RFD-TV
An upcoming I Am Angus best-of episode celebrates all those involved in the effort of raising and promoting cattle. The American Angus Association shares the stories of historic Angus operations, family businesses and advocates for the industry, both young and old. Produced entirely by the Association, the program airs at 7 p.m. CST (8 p.m. EST) on RFD-TV.
“We hope viewers enjoy this look back at our favorite I Am Angus segments from the last season,” says Eric Grant, Association public relations and communications director. “In the best-of episode, we highlight folks from all aspects of the cattle business.”
I Am Angus focuses on the heart of farming and ranching — its people, their heritage and why they’ve chosen to be involved with cattle production. The documentary series explores each sector of the Angus breed and beef business, Angus history and how animal agriculture meets the challenge of feeding a growing population.
For more information, please view the full release here.
Agriculture Secretary Announces Funding
to Support Small and Emerging Rural Businesses
Agriculture Secretary Tom Vilsack July 31 announced that projects in 30 states and the Commonwealth of Puerto Rico will be funded to support small and emerging rural businesses. The USDA remains focused on carrying out its mission, despite a time of significant budget uncertainty. The announcement is one part of the department’s efforts to strengthen the rural economy. Rural Business-Cooperative Service Administrator Lillian Salerno made the announcement on behalf of Vilsack during a visit to highlight the activities of the Memphis Bioworks Foundation Inc., regarding an ongoing project that was previously announced.
“The Obama Administration has been working to create economic opportunities in rural communities and bring well-paying jobs to the people who live there,” Salerno said. “Strategic investments in rural businesses like the ones we are highlighting today not only help to deliver more products and services to local customers, they also contribute to rural revitalization and economic development in the small towns where these businesses are located.”
The funding was made available through the Rural Business Enterprise Grant (RBEG) program, which promotes development of small and emerging businesses in rural areas. RBEGs may also be used to help fund distance learning networks and employment-related adult education programs. Eligible applicants for the program include public bodies, nonprofit corporations and federally recognized Indian Tribes.
For more information, please view the full release here.
Missouri Livestock Associations Work to Overturn HB 253 Veto
Five associations representing Missouri’s livestock industry have stepped up to support the first across-the-board tax cut for all Missourians in nearly one hundred years. Livestock associations joining the effort include the Missouri Pork Association, Missouri Cattlemen’s Association, Missouri Dairy Association, Missouri Egg Council, and the Missouri Chapter of the Poultry Federation.
“Family farms are small businesses and we are proud to promote small-business growth and expansion in Missouri, as well as increase our competitiveness with other states,” said Jimmie Long, chairman of the Missouri Cattlemen’s Policy and Legislative Affairs Committee and cattleman from Cole Camp. “Today, farmers work in a global economy and state policies make a difference in terms of the regulations, cost of doing business and ability to compete. We believe House Bill 253 would allow us to do all of those things better.”
Missouri’s livestock associations are the first agricultural organizations to partner with other grassroots and business advocacy organizations to help bring much needed tax relief and government accountability to all Missourians.
“Agriculture is the state’s number one industry and the tax relief represented in this proposal could offer a great boost to our economy, farmers across the state and the families of our members,” said Bob North, chairman of the Missouri Pork Association and hog farmer from Lebanon.
The bill would phase in a 50% tax cut to small businesses, such as limited-liability companies and S-Corps over 5 years. In addition, the highest income tax rate any Missourian would pay would be reduced from 6% to 5.5% over a 10-year period. The corporate income tax rate would also be reduced 3% over the same 10-year period. The individual and corporate reductions would only take place if the state generates $100 million in revenue annually. For low-income earners, the personal deduction would be increased from $2,100 to $3,100 for individuals earning less than $20,000.
Smithfield Foods Releases New Video
That Shows Group Housing for Pregnant Sows
Smithfield Foods Inc. announced July 31 that it is beginning the process of phasing out individual gestation stalls at all of its company-owned sow farms and replacing them with pens — or group housing — over the next 10 years. Smithfield also will work with its contract growers regarding system conversion.
“Working with our customers, who have made their views known on the issue of gestation stalls, we are pleased to be taking this precedent-setting step,” said C. Larry Pope, CEO of Smithfield Foods. “During our 70 years in business, we have always been sensitive to the concerns and needs of our customers, and they have told us they feel group housing is a more animal-friendly form of sow housing. “While this will be a significant financial commitment for our company over the next 10 years, we believe it’s the right thing to do,” said Pope.
Gestation stalls and group housing are methods used by hog producers to house pregnant sows. The sows are kept in these facilities during their pregnancies, which last about 16 weeks, to closely monitor their progress. In making the decision to convert from gestation stalls to group housing, Pope pointed out that “our decision acknowledges that extensive research into sow housing has concluded both gestation stalls and group pens provide for the well-being of pregnant sows and work equally well from a production standpoint. There is no scientific consensus on which system is superior, and we do not endorse one management system over the other.”
Smithfield also based its decision to adopt the group housing system on initial results of its own three-year study into sow housing. The company has been researching penning systems at some of its hog farms in North Carolina. The second year of the study has been completed, and preliminary results indicate that, with proper management, group housing arrangements are equally as good as gestation stalls in providing proper care for pregnant sows.
For more information, please view the full article here.
Unique Wheat and Feed Grains
Marketing Opportunity Slipping Away
Producers holding wheat or feed grains have a great opportunity to cash in on an extremely strong basis for any stocks of wheat and/or feed grains on hand, said a Texas A&M AgriLife Extension Service economist.
Steve Amosson, AgriLife Extension economist in Amarillo, said the wheat basis, which is the cash price minus the futures’ price, is around 10¢.
“This is a unique marketing opportunity,” Amosson said. “I checked the data back to 1976 and we have never had a positive basis for wheat at this time of year.
“The average for the previous five years is a negative 70¢. I’m recommending producers go ahead and market any wheat they have on hand to capture this extremely strong basis. If they think prices are going to rise, they can re-own the wheat by buying the board or buying a call using the December contract. That will allow a producer to capture the extremely strong basis and remain in the market if they wish.”
Amosson said he believes this is happening because the supply pipeline for feed and other uses is basically empty.
“End users are scrambling for anything they can use and are willing to pay a premium,” he said. “I expect the basis to fall as the new crop corn, which is anticipated to be at a record level, gets harvested. I don’t think this marketing opportunity will be around much longer since corn harvest has already started in South Texas.”
For more information, please view the full article here.
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