News Update
Feb. 1, 2010

NCBA Structural Concept Adopted by Wide Margin

In preparation for key battles it foresees for the beef industry in coming years, the National Cattlemen’s Beef Association (NCBA) Board of Directors voted Jan. 30 to adopt a report and governance structure concept that would lead to significant structural changes to the organization.

Meeting at the 2010 Cattle Industry Convention, the Board adopted the Govern Task Force report by a 201-13 margin, putting in motion the creation of a new governance structure, which would feature a smaller NCBA Board of Directors and a new House of Delegates that would include the organization’s state affiliates, state beef councils, industry/breed organizations, and product/allied industry councils. The Federation of State Beef Councils would be housed within the House of Delegates, and continue to conduct its federation duties as specified in the Beef Promotion and Research Act & Order. Read more.

Cow Size and Efficiency: Solving the Puzzle

Cow size has become a hot topic of debate among cow-calf producers. One side argues that smaller cows are more efficient, and rising feed costs have only fueled that argument. The other side counters that bigger cows produce the bigger calves that many if not most cattle feeders favor. And the beef packing industry generally rewards the feeder for heavy carcasses from large-framed cattle.

Cow size and efficiency were addressed during a 2010 Cattle Industry Convention Cattlemen’s College® session presented by Texas A&M University King Ranch Institute for Ranch Management (KRIRM) students Jennifer Johnson and J.D. Radokovich, along with KRIM Director Barry Dunn. The trio confessed to having no easy answer, no simple rule-of-thumb, and said the best way to frame the efficiency question is to ask which cattle are most efficient for a specific environment and production system.

“It’s complicated,” Radokovich said. “We can’t tell you exactly what kind of cattle to run. The best we can do is give you some tools to use in making good decisions for your individual operations.” Read more.

Statement from Agriculture Secretary Tom Vilsack on the Proposed FY2011 Budget

Below is a statement from Agriculture Secretary Tom Vilsack on the proposed fiscal year (FY) 2011 budget:

“I don’t need to tell the American people that in 2009, America struggled through the most serious economic recession since the Great Depression. Families were forced to make difficult decisions. And more and more Americans had to rely on USDA (U.S. Department of Agriculture) to help put food on the table.

“The challenges facing rural communities for decades have grown more acute, which is why the Obama Administration is committed to new approaches to strengthen rural America. Rural Americans earn less than their urban counterparts, and are more likely to live in poverty. More rural Americans are over the age of 65, they have completed fewer years of school, and more than half of America’s rural counties are losing population.

“This year, President Obama took steps to bring us back from the brink of a depression and grow the economy again. But with the unsustainable debt accumulated over the past decade, it’s time to get our fiscal house in order.

“Our proposed FY 2011 budget is a reflection of that reality, essentially freezing funding for discretionary programs at the FY 2010 level. However, limits we placed on select programs and efforts to eliminate earmarks and one-time funding actually result in a bottom line reduction to our discretionary budget authority of over $1 billion.

“This budget uses taxpayer dollars wisely, taking commonsense steps that many families and small businesses have been forced to take with their own budgets. We are investing in American agriculture and the American people without leaving them a mountain of debt.

“We care deeply about farmers and ranchers and have worked hard to maintain the agricultural safety net, while instituting some targeted reductions in farm program payments. Just as importantly, this budget pursues priorities that will have the greatest impact in our efforts to address the challenges facing rural America and lay a new foundation for growth and prosperity.

“This budget will assist rural communities create prosperity so they are self-sustaining, economically thriving, and growing in population. We have already taken important steps in this effort. With help from the Recovery Act, we supported farmers and ranchers and helped rural businesses create jobs. We made investments in broadband, renewable energy, hospitals, water and wastewater systems, and other critical infrastructure that will serve as a lasting foundation to ensure the long-term economic health of families in Rural America. This budget includes almost $26 billion to build on that down payment and focuses on new opportunities presented by producing renewable energy, developing local and regional food systems, capitalizing on environmental markets and generating green jobs through recreation and natural resource restoration, conservation and management.

“We will promote the production of food, feed, fiber and fuel, as well as increased exports of food and agricultural products, as we work to strengthen the agricultural economy for farmers and ranchers. America’s farmers and ranchers are the most productive and efficient in the world, and this budget maintains the policies that help maintain our nation’s food security. This budget increases our funding for export promotion as part of President Obama’s National Export Initiative and provides more support than ever before for competitive research, which can lead to gains in agricultural productivity.

“We will ensure that all of America’s children have access to safe, nutritious and balanced meals. The budget fully funds the expected requirements for the Department’s three major nutrition assistance programs — WIC, the National School Lunch Program, and SNAP — and proposes $10 billion over 10 years to strengthen the Child Nutrition and WIC programs. It also invests over $1 billion for efforts to reduce foodborne illnesses from USDA-inspected food products.

“We will ensure our national forests and private working lands are conserved, restored and made more resilient to climate change, while enhancing our water resources. This budget will enroll more than 300 million acres into Farm Bill conservation programs, an increase of 10% over 2010. It will support our efforts to strategically target high-priority watersheds. And it focuses efforts on forest restoration and hazardous fuels reduction in the wildland-urban interface, where they will offer job-creation opportunities and reduce the chance of catastrophic wildfires.

“There is no doubt that these tough times call for shared sacrifice. The American people have tightened their belts and we have done so as well. We made tough decisions, but this budget reflects our values, and common sense solutions to the problems we face. It makes critical investments in the American people and in the agricultural economy to set us on a path to prosperity as we move forward in the 21st century.”

— Release provided by USDA.

Webinar Planned to Inform Crop Producers about Disaster Program

Kansas State University (K-State) will host a webinar Friday, Feb. 19, at noon, (CST) on the Supplemental Revenue Assistance Program.

The webinar will provide information on the program commonly called SURE, for farmers in Kansas and states outside of Kansas who grow corn, sorghum, wheat, soybeans, forage and other crops.

SURE is tied directly to the type and level of crop insurance purchased, said Art Barnaby, risk management specialist with K-State Research and Extension. SURE will pay based on the coverage level and type of coverage purchased in 2008 and 2009. However, when farmers make their decision on the level and type of crop insurance to buy before March 15, they also are making their decision on the coverage provided by SURE.

In general, SURE is a whole farm revenue ‘insurance’ guarantee (crops and hay only). SURE guarantees the lesser of the SURE guarantee based on a grower’s crop insurance purchase or 90% of the expected farm revenue; less the value of the crop produced, net crop insurance indemnity payments, and government payments, Barnaby said.

“The concept is simple but the details are complex,” the agricultural economist added.
 

The cost to participate in the webinar is $25 for a single or $200 for a group license. Credit card users may register online at: commerce.cashnet.com/KSUAGECON. More information about the webinar is available on K-State’s agricultural economics Extension web site: www.agmanager.info. Information is also available by contacting Rich Llewelyn at rvl@ksu.edu or at 785-532-1504.

— Release by K-State Research and Extension.

— Compiled by Mathew Elliott, assistant editor, Angus Productions Inc.