Ag Decision Maker website updates for August 2014

August 18th, 2014

Ag Decision Maker 

Business Solutions for Farms and Agribusiness from Iowa State University Extension and Outreach

August Newsletter (pdf) 

New and Updated Files

Leasing Arrangements and Self-employment (Social Security) Tax

Iowa Farm Outlook

Outlook Information for Crops and Livestock

August Newsletter (pdf) 

Livestock: AAEA Extension Section Annual Outlook Survey 2014

Crops: Great Crop Conditions, Worsening Crop Prices

AgMRC Renewable Energy Newsletter

National Center for Value-Added Agriculture

Prices, Profitability and Supply/Demand

Choices – The Magazine of Food, Farm, and Resource Issues

A Publication of AAEA, Agricultural & Applied Economics Association

Theme Overview: Rural Poverty and Food 

Theme Overview: Deciphering Key Provisions of the Agricultural Act of 2014 

Highlights of the Agricultural Act of 2014 for Specialty Crops

Ag Decision Maker (AgDM) 

An agricultural economics and business website.

Other

USDA Extends Deadline for the Emergency Assistance for Livestock, Honeybees, and Farm-Raised Fish Program

August 12th, 2014

WASHINGTON, July 31, 2014 — U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) Administrator Juan M. Garcia announced today that the enrollment deadline for the 2012 and 2013 Emergency Assistance for Livestock, Honeybees and Farm-Raised Fish Program (ELAP) has been extended to Aug. 15, 2014. Originally, program sign-up was scheduled to end Aug. 1.

The new deadline gives livestock, honeybee, and farm-raised fish producers who experienced losses because of disease, adverse weather, wildfires or colony collapse disorder between Oct. 1, 2011 and Sept. 30, 2013, an additional two weeks to enroll in ELAP.

“Because ELAP is an important safety net for key sectors of American agriculture, we’ve provided this two week extension so that producers can submit required documentation and apply for program benefits,” said Garcia.

Producers are encouraged to contact their local FSA service center or visit FSA’s website at www.fsa.usda.gov for additional information regarding ELAP.

ELAP was authorized by the 2014 Farm Bill, which builds on historic economic gains in rural America over the past five years, while achieving meaningful reform and billions of dollars in savings for taxpayers. Since enactment, USDA has made significant progress to implement each provision of this critical legislation, including providing disaster relief to farmers and ranchers; strengthening risk management tools; expanding access to rural credit; funding critical research; establishing innovative public-private conservation partnerships; developing new markets for rural-made products; and investing in infrastructure, housing and community facilities to help improve quality of life in rural America. For more information, visit www.usda.gov/farmbill.

Government Programs

Record Crops, But Somewhat Smaller Than Expected

August 12th, 2014

Chad Hart, ISU Extension Grain Marketing Economist, provides a summary of the latest USDA report.

Hart_Chad-thumbRecord Crops, But Somewhat Smaller Than Expected (8/12/14)

The USDA’s WASDE and Crop Production reports were released today. These reports were heavily anticipated by the markets as they represent the first set of estimates based on objective data from the field. The pre-trade expectations were for both crops to reach record production levels. And on that count, the reports agreed. But the production levels projected by USDA are slightly smaller than expected. For corn, the adjustments actually start with the 2013 crop. As we finish up the 2013 marketing year, corn demand has continued to build. In these latest numbers, USDA increased ethanol demand by 45 million bushels and export demand by 20 million bushels. Those changes cut ending stocks to 1.18 billion bushels, which was outside the range of pre-trade expectations. For the 2014 corn crop, there were a number of shifts on both the supply and demand front. The national yield was estimated at 167.4 bushels per acre. That’s up 2.1 bushels from USDA’s original estimate and up 8.6 bushels from last year. Given that yield, production is pegged at just over 14 billion bushels, topping last year’s record. However, the trade was looking for production in 14.2 billion bushel range, so the corn crop is a little lighter than anticipated. Feed, ethanol, and export demand were all increased, raising total demand to 13.435 billion bushels. Carryout stands at 1.8 billion bushels. The midpoint of the 2014/15 season-average price range was lowered to $3.90 per bushels, down 10 cents from last month.

For soybeans, the shifts for the 2013 crop basically offset each other, leaving ending stocks at 140 million bushels and a season-average price of $13 per bushel. For the 2014 crop, the yield was increased by 0.2 bushels per acre to a national average of 45.4 bushels per acre. That puts production at 3.816 billion bushels. Demand for the 2014 crop was left unchanged, so the production increase was absorbed into ending stocks. Carryout was raised to 430 million bushels for the 2014/15 crop and the midpoint of the 2014/15 season-average price range was lowered 15 cents to $10.35 per bushel.

Ag Decision Maker (AgDM) 

An agricultural economics and business website.

Crop Outlook

USDA Extends Deadline for the Emergency Assistance for Livestock, Honeybees, and Farm-Raised Fish Program

August 12th, 2014

WASHINGTON, July 31, 2014 — U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) Administrator Juan M. Garcia announced today that the enrollment deadline for the 2012 and 2013 Emergency Assistance for Livestock, Honeybees and Farm-Raised Fish Program (ELAP) has been extended to Aug. 15, 2014. Originally, program sign-up was scheduled to end Aug. 1.

The new deadline gives livestock, honeybee, and farm-raised fish producers who experienced losses because of disease, adverse weather, wildfires or colony collapse disorder between Oct. 1, 2011 and Sept. 30, 2013, an additional two weeks to enroll in ELAP.

“Because ELAP is an important safety net for key sectors of American agriculture, we’ve provided this two week extension so that producers can submit required documentation and apply for program benefits,” said Garcia.

Producers are encouraged to contact their local FSA service center or visit FSA’s website at www.fsa.usda.gov for additional information regarding ELAP.

ELAP was authorized by the 2014 Farm Bill, which builds on historic economic gains in rural America over the past five years, while achieving meaningful reform and billions of dollars in savings for taxpayers. Since enactment, USDA has made significant progress to implement each provision of this critical legislation, including providing disaster relief to farmers and ranchers; strengthening risk management tools; expanding access to rural credit; funding critical research; establishing innovative public-private conservation partnerships; developing new markets for rural-made products; and investing in infrastructure, housing and community facilities to help improve quality of life in rural America. For more information, visit www.usda.gov/farmbill.

Ag Decision Maker (AgDM) 

An agricultural economics and business website.

Government Programs

FSA mails summary acreage history report

August 11th, 2014

FSA Mails Summary Acreage History Report

Landowners and farm operators should review this report for each FSA farm number and cross check the information with their own farm planting records. If the information is correct, no further action is needed at this time. But if the data is incomplete or incorrect, the operator needs to contact their local FSA county office as soon as possible. Read more in Steve Johnson’s article on Base acreage reallocation decisions.

Ag Decision Maker (AgDM) 

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Government Programs

Live Webinar July 21 Offers Update on Farm Program

July 21st, 2014

Contributed by Steven D. JohnsonFarm Management Specialist, Iowa State University Extension and Outreach, sdjohns@iastate.edu, 515-957-5790

GFPIowa State University Extension and Outreach and USDA Farm Service Agency (FSA) are conducting a live update webinar on the farm program called Agriculture Risk Coverage (ARC) or Price Loss Coverage (PLC). The webinar titled “ARC PLC Decisions: Update, Election and Enrollment” is scheduled for July 21 at 7 p.m. Participants will get an update on the new farm program, including the opportunity to update base acres and farm yields, then to elect and enroll a farm in one of the new farm programs – Agriculture Risk Coverage (ARC) or Price Loss Coverage (PLC).Farmers, along with their landowners on rented ground, can make a one-time, unanimous and irrevocable election by FSA farm number for the life of the five-year farm program. The party at risk will then enroll annually in the ARC county, ARC individual farm, or the PLC program. If the farm is not enrolled in ARC or PLC for 2014, then it automatically defaults and can only be enrolled in the PLC beginning in 2015.

Speakers include ISU Extension and Outreach Economist Chad Hart and USDA FSA Chief Program Specialist Kevin McClure. The webinar will last approximately one hour.

To attend, log onto https://connect.extension.iastate.edu/anr. The webinar will be recorded for viewing at a later time from the Ag Decision Maker Farm Bill webpage.

Contact the Polk County Extension office at (515) 957-5760 with any questions.

Additional Contact:

Kevin McClure, Chief Program Specialist, Iowa State FSA Office, 515-254-1540 Ext. 1041, Kevin.McClure@ia.usda.gov

 

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Government Programs, Meetings and Events

Ag Decision Maker website updates for July 2014

July 15th, 2014

Remember to report acres to FSA by July 15, 2014

July 1st, 2014
Contacts:
John R Whitaker
PH 515-331-8480
2014 Farm Bill Program Eligibility Requires Acreage Certification with USDA’s Farm Service Agency

(Des Moines, Iowa) June 10, 2014 – USDA Iowa Farm Service Agency (FSA) Executive Director, John Whitaker reminds farmers that planted acres must be reported to FSA by July 15, 2014. The Agricultural Act of 2014 (Farm Bill) requires accurate and timely filed acreage reports for all crops and land uses, including prevented and failed acreage as well as Conservation Reserve Program (CRP) acres.

“Historically acreage certification has been a requirement to be eligible for USDA programs and although some federal farm program sign-ups have not yet started, timely acreage reports submitted to your local FSA office will be important to ensuring program eligibility,” said Whitaker.

Acreage reports are considered timely filed when completed by the applicable final crop reporting deadline, which may vary from state to state. Prevented acreage must be reported within 15 calendar days after the final planting date. Failed acreage must be reported before the disposition of the crop. Producers should contact their county FSA office if they are uncertain about reporting deadlines.

Producers should visit their county FSA office to complete acreage reporting. For questions on this or any FSA program, including specific crop reporting deadlines and planting dates, producers should contact their county FSA office. More information on FSA programs can be found at: www.fsa.usda.gov. Local FSA office contact information can be found at: http://offices.sc.egov.usda.gov/locator/app

Ag Decision Maker (AgDM) 

An agricultural economics and business website.

Government Programs

A Very Quiet Report

June 11th, 2014

Chad Hart, ISU Extension Grain Marketing Economist, provides a summary of the latest USDA report.

A Very Quiet Report (6/11/14)

97hartsmUSDA released its June update for crop supplies and demand and the updates were few and far between. For corn, there were no changes to the supply and demand estimates for the 2014 crop. Yield is projected at 165.3 bushels per acre.  Production is projected at a record 13.935 billion bushels, 10 million bushels above last year’s record crop. Total use is set at 13.385 billion bushels, down 250 million bushels from last year. 2014/15 ending stocks are set at 1.726 billion bushels, up 580 million bushels from the previous year. And the midpoint of the season-average price range remains at $4.20 per bushel.

For soybeans, there was one adjustment, but it was for the 2013 crop. 2013 domestic crush was increased 5 million bushels. Otherwise, as with corn, the projections remain the same. Yield is projected at 45.2 bushels per acre. Production is projected at a record 3.635 billion bushels. Total use is set at 3.45 billion bushels. 2014/15 ending stocks are set 325 million bushels, up 200 million from the previous year. And the midpoint of the season-average price range is $10.75 per bushel.

Ag Decision Maker (AgDM) 

An agricultural economics and business website.

Crop Outlook, Crops

USDA Announces Programs to Conserve Sensitive Land and Help Beginning Farmers

June 6th, 2014

Contacts:

Office of Communications
(202) 720-4623
USDA Announces Programs to Conserve Sensitive Land and Help Beginning Farmers

Programs that Allow Producers to Protect Land and Help New, Minority and Veteran Farmers Get their Start in Agriculture

WASHINGTON, June 4, 2014 – Agriculture Secretary Tom Vilsack today announced that farmers, ranchers and landowners committed to protecting and conserving environmentally sensitive land may sign up for the Conservation Reserve Program (CRP) beginning June 9.The Secretary also announced that retiring farmers enrolled in CRP could receive incentives to transfer a portion of their land to beginning, disadvantaged or veteran farmers through the Transition Incentives Program (TIP).

“CRP is one of the largest voluntary conservation programs in the country,” said Vilsack. “This initiative helps farmers and ranchers lead the nation in preventing soil erosion, improving water quality and restoring wildlife habitat, all of which will make a difference for future generations.”
Vilsack continued, “The average age of farmers and ranchers in the United States is 58 years, and twice as many are 65 or older compared to those 45 or younger. The cost of buying land is one of the biggest barriers to many interested in getting started in agriculture. The Transition Incentives Program is very usefulas we work to help new farmers and ranchers get started.”

The Conservation Reserve Program provides incentives to producers who utilize conservation methods on environmentally-sensitive lands. For example, farmers are monetarily compensated for establishing long-term vegetative species, such as approved grasses or trees (known as “covers”) to control soil erosion, improve water quality, and enhance wildlife habitat.

CRP consists of a “continuous” and “general” sign-up period. Continuous sign up for the voluntary program starts June 9. Under continuous sign-up authority, eligible land can be enrolled in CRP at any time with contracts of up to 10 to 15 years in duration. In lieu of a general sign-up this year, USDA will allow producers with general CRP contracts expiring this September to have the option of a one-year contract extension. USDA will also implement the 2014 Farm Bill’s requirement that producers enrolled through general sign-up for more than five years can exercise the option to opt-out of the program if certain other conditions are met. In addition, the new grassland provisions, which will allow producers to graze their enrolled land, will enable producers to do so with more flexibility.

The Transition Incentives Program provides two additional years of payments for retired farmers and ranchers who transition expiring CRP acres to socially disadvantaged, military veteran, or beginning producers who return the land to sustainable grazing or crop production. Sign up will also begin June 9. TIP funding was increased by more than 30 percent in the 2014 Farm Bill, providing up to $33 million through 2018.

As part of the 2014 Farm Bill, participants meeting specific qualifications may have the opportunity to terminate their CRP contract during fiscal year 2015 if the contract has been in effect for a minimum of five years and if other conditions are also met.

The USDA Farm Service Agency (FSA), which administers CRP, will coordinate the various CRP program opportunities. For more information on CRP and other FSA programs, visit a local FSA county office or go online to www.fsa.usda.gov.

Both the CRP and TIP were reauthorized by the 2014 Farm Bill. The Farm Bill builds on historic economic gains in rural America over the past five years, while achieving meaningful reform and billions of dollars in savings for taxpayers. Since enactment, USDA has made significant progress to implement each provision of this critical legislation, including providing disaster relief to farmers and ranchers; strengthening risk management tools; expanding access to rural credit; funding critical research; establishing innovative public-private conservation partnerships; developing new markets for rural-made products; and investing in infrastructure, housing and community facilities to help improve quality of life in rural America.

For more information, visit www.usda.gov/farmbill.

USDA is an equal opportunity provider and employer. To file a complaint of discrimination, write: USDA, Office of the Assistant Secretary for Civil Rights, Office of Adjudication, 1400 Independence Ave., SW, Washington, DC 20250-9410 or call (866) 632-9992 (Toll-free Customer Service), (800) 877-8339 (Local or Federal relay), (866) 377-8642 (Relay voice users).

Ag Decision Maker (AgDM) 

An agricultural economics and business website.

Government Programs