Ag Economy Turnaround Came Quickly

Ag economy. Have two words ever been gloomier in rural America than they’ve been for the last several years? Well, we’ve had a bit of a turnaround, but my assignment was to find out not only the current state but what might be ahead in the future.

Ag Economy
Dave Widmar is an agricultural economist with Agricultural Economic Insights in West Lafayette, Indiana. (Photo from www.aei.ag)

So, I gave Dave Widmar of Agricultural Economic Insights in West Lafayette, Indiana, a call to find out more about the ag economy. He has more than enough experience to make a rational judgment. Before launching out on his own, Dave was a researcher in the Economics Department at Purdue University, as well as the economist for the Kansas Department of Agriculture.

The first thing he told me was that the ag economy turned around quickly. “Not only is it a big difference from 2020 to 2021, but the turnaround also took place in a short period of time,” he said on the phone from his Indiana office. “Last summer, the outlook was very bleak, and it was hard to put together a list of positive things going on.

“Now, just past the midpoint of 2021, we have a very strong outlook with a long list of positive things going for us,” he added. “The biggest piece is higher commodity prices, which have really turned around.”

That turnaround didn’t start until last September, and it has played out quickly over the past several months. That rise in commodity prices has been especially good for corn and soybean producers.

While it’s not as true as it was earlier in 2021, another thing the ag economy and farmers were benefitting from was a low-cost environment. “Over the last six months, fertilizer went from about $9 an acre in the fall of 2020 to between $130 and $140 an acre today,” Widmar says. “Farmland values and cash rental rates have increased as well. But it’s important to recognize that last year and early in 2021, the lower cost structure helped profitability.”

Here’s the rest of the conversation:

Water Rule Reversal a Blow to Agriculture

Water is a touchy subject, especially when it comes to our agriculture and environmental discussions these days. I have to admit that I was worried about this from day one. The Environmental Protection Agency announced it intends to reverse the Navigable Waters Protection Rule.

Water
Zippy Duvall, first elected president of the American Farm Bureau Federation in 2016, is very concerned about the EPA decision to reverse the Navigable Waters Protection Act. (Photo from fb.org)

American Farm Bureau Federation President Zippy Duvall his organization is very concerned about the idea and its potential impact on the nation’s farmers.

“The American Farm Bureau Federation is extremely disappointed in the Environmental Protection Agency’s announcement that it intends to reverse the environmentally conscious Navigable Waters Protection Rule,” Duvall says, “which finally brought clarity and certainty to clean water efforts. Farmers and ranchers care about clean water and preserving the land, and they support the Navigable Waters Protection Rule. 

“Administrator Regan recently recognized the flaws in the 2015 ‘Waters of the U.S. Rule’ and pledged not to return to those overreaching regulations,” he added. “We are deeply concerned that the EPA plans to reverse the Navigable Waters Protection Rule, which puts the future of responsible protections at risk. We expected extensive outreach, but today’s announcement fails to recognize the concerns of farmers and ranchers.”

Duvall, a third-generation Georgia farmer, says this is an important moment for EPA Administrator Michael Regan and will be pivotal to his ability to earn the trust of farmers on this and other administration priorities. Duvall says the EPA boss must “keep his word” to recognize the efforts of agriculture and not return to flawed, overly-complicated and excessive regulations. 

Water
EPA Chief Michael Regan announced that his agency is planning to reverse the Navigable Waters Protection Rule put in place by the Trump Administration. (Photo from eenews.com)

“We call on the EPA to respect the statute, recognize the burden that overreaching regulation places on farmers and ranchers, and not write the term ‘navigable’ out of the Clean Water Act” Duvall says. “On this issue, and particularly prior converted croplands and ephemerals, we also urge Secretary Vilsack to ensure that we don’t return to the regulatory land grab that was the 2015 ‘WOTUS’ Rule.

Duvall adds that clean water and clarity are paramount, which is why farmers shouldn’t need a team of lawyers and consultants to farm.

From a personal perspective, why can’t we meet in the middle here? You do realize that farmers don’t get to stay in business and pass on the operation to their kids if they don’t take care of their environment?

Am I anti-environment by being concerned about farmers? I’m not. I’m saying there has to be a way to preserve the environment and still allow farmers to make money. After all, they do feed us, remember? Food doesn’t just show up at Safeway.

Farm State of Mind mental health website goes live

Farm State of Mind in recent years can be summed up in one word: stress. While things are starting to turn around due to higher commodity prices, it doesn’t mean farmers are out of the woods yet.

In recognition of May as Mental Health Month, the American Farm Bureau Federation launched a comprehensive, easy-to-use online directory of resources for farmers, ranchers and their families who are experiencing stress and mental health challenges.   

farm state of mind
The American Farm Bureau launched the Farm State of Mind website to help farmers find the help they may need in dealing with farm stress.

The directory, which is on the Farm State of Mind website at farmstateofmind.org, features listings for crisis hotlines and support lines, counseling services, training opportunities, podcasts, videos, published articles and other resources in every U.S. state and Puerto Rico. Listings for crisis support, counseling and behavioral health resources that are available nationwide are also included.

“For far too long, farmers and ranchers have been trying to cope with increasing levels of stress on their own,” said AFBF President Zippy Duvall. “Our Farm State of Mind campaign is encouraging conversations about stress and mental health in farming and ranching communities. It is so important to spread the word that no one has to go it alone. 

“This new online directory of stress and mental health resources in every state gives farmers, ranchers and rural communities a user-friendly, one-stop shop to find services in their area that can help them manage farm stress and find help for mental health concerns. Whether you’re looking for information about how to recognize and manage stress, trying to find counseling services in your area or are in need of crisis support, you can find help here.”

farm state of mind
Mental health services are much needed in rural America because of stress on the farm that spills over into the local communities. The American Farm Bureau put together the Farm State of Mind website to help farmers find the assistance they need in the battle against on-the-farm stressors.

National research polls conducted and published by AFBF in 2019 and 2021 showed that a number of factors including financial issues and the impact of the COVID-19 pandemic are impacting farmers’ mental health, highlighting the need to identify local resources that can help farmers and ranchers cope with chronic stress and mental health concerns.

The Farm State of Mind directory lists resources specifically geared toward farmers, ranchers and rural communities in states where these specific services are available, with additional listings for county and statewide mental health and other support services in every state. The listings can be filtered by state and type of resource, including hotlines, counseling services and published information. 

AFBF partnered with the University of Georgia School of Social Work to research available resources across the U.S. and Puerto Rico and compile comprehensive information included in the directory.

Farmers and ranchers are encouraged to share the directory with their family, friends and community networks to ensure widespread awareness of the availability of these important resources.

Technology Tune-Up for Spring Planting

technology
As farmers prep for spring planting, don’t forget to upgrade the technology in your machinery. It’s every bit as important as a mechanical tune-up on your tractor. (Photo from blog.caseIH.com)

Technology is as important to today’s farm machinery as the nuts and bolts that held old-school equipment together back in the day. Maintaining your machines is a never-ending task when it comes to farming. When you’re lubricating moving parts, changing filters, or checking bearings, don’t forget to keep the technology that runs your machinery up to date.

Just like the typical equipment maintenance farmers all know and love (and occasionally hate), the technology the runs your machines need a regular tune-up as well. Technology advances quickly, and farmers have to be just as quick to keep up, which can sometimes be an overwhelming task.

Farming sure has changed a lot, hasn’t it? We know have to make sure the technology running those machines is as up to date as the machinery itself. (Photo from agupdate.com)

“As technology advances, you have to keep up to date with the software upgrades,” says Chris Ehman, Case/IH Aftermarket Solutions marketing manager. “That becomes even more true now as 3G is either going away or gone for good, depending on a farmer’s location. That’s why it’s even more important to get connected than before now.”

The new technology brought massive changes to the way farmers run their operations. For example, modern technology now gives farmers instant access to every machine in their fleet.

“The new technology in the CASE/IH Connection Portal frees up farmers to do their work, share data, and to manage their fleet wherever, whenever, and however they want,” he said. “It allows you to gather that data throughout the year and easily visualize what’s happening in your fields.”

The technology gives farmers a better grip on optimizing the performance of their fleet. Computerization helps Case IH owners of equipment made in 2010 or newer the chance to coordinate all of their machines and share their data to a central computer.

“Farmers can see each machine’s data as it’s running, including the location, the machine’s status, engine hours, idle time, acres per hour, and fuel levels,” he said, “so it helps them better track of what the operators are doing with the machines.

“Another way the technology helps farmers is with the security of their machines,” Ehman added. “It can set up geofences and curfews. With geo-fencing technology, you can set up pre-defined working areas for your machines and get alerts if they leave that specific area. And the curfew setting will alert you if the machine is working outside of a pre-defined timeframe. It gives you a lot of peace of mind at the end of every day.”

And if you’re one of those who don’t consider yourself “technologically efficient,” the software will help you know when it’s time to update. You’ll notice error codes and alerts that will get sent via the tech portal.

“That alert will help you understand what’s happening with your equipment out in the field,” Ehman said. “It will help you decide if it’s a simple setting that needs to be adjusted and can get fixed over the phone, or if a tech will instead need to make a trip to the field. If a tech support worker doesn’t need to come out and fix the issue, taking care of it over the phone can be a real time and money-saver.

“And if a tech is needed, they’ll have a much better understanding of what the issue is and what’s needed to fix it,” he added. “That makes the repair move at a quicker pace and gets the machinery back into operation and making money for the farmer. Quicker repairs, less money, and more uptime is always a good thing.”

At the end of the day, Ehman said farming is one of the most challenging occupations in the country. There’s a lot at stake and many difficult decisions to make. The agricultural economy has struggled in recent years, and farmers need success this year without question.

“A profitable operation is possible, and these new technologies help make that happen,” he said. “You don’t have to wait to benefit from the advantages of the new technologies. The equipment you already own can be capable of so much more than you may realize.”

Data protection is a big deal for farmers, and Ehman says companies like Case IH are taking good care of that vital information. The company is upfront in saying that farmer’s data belongs to each individual farmer and that farmer alone.

“For our dealers and our partners to access that data, they have to get permission from the farmers,” Ehman said. “That is a move in the right direction for Case IH as a company and a brand.

“The technology we use to analyze that data has come a long way as well,” he adds. “We’ve gotten much better at collecting and aggregating the data from multiple machines on the operation, and then overlaying that with yield data and field maps to allow farmers to see all the conditions that may be affecting their yield. It’s moving past the machinery data and into more of the farming and agronomic data.”

Any farmer can then use that data to help improve their yields and return on investment. A 4G update will get farmers into the Case IH Connect Portal with an AFS Connect subscription. That will let farmers take advantage of the new 4G technology and the benefits that come with it.

Planting predictions and grain stocks numbers

Planting
Mike Zuzolo is president of Global Commodity Analytics in Atchison, Kansas. He spent some time looking over the numbers in the USDA’s Prospective Planting and Grain Stocks Reports. (Photo from globalcommresearch.com)

Planting crops and grain stocks were a topic of conversation in the markets this week. The USDA issued its Prospective Planting and Stocks Reports, with the biggest surprise coming from the planting numbers. Corn planting is estimated at 91.1 million acres, up less than one percent from a year ago. Mike Zuzolo is the President of Global Commodity Analytics in Atchison, Kansas. He says the trade was expecting more corn acres in the report.

“I think that’s right. Look at the news wire estimates. The lowest number we saw was down around 91 million acres. I don’t publish to the newswires anymore because the algo-traders use them to position themselves before the numbers come out. I send stuff out to the producers and investors that I work with. So, I was below 92 and having a really tough time going above 91.5.”

He says one reason farmers may be shying away from more corn acres is the quickly rising cost of inputs. However, corn wasn’t the only surprise in the planting report.

“What was surprising to me is how did the soybeans come in at 87.6 million planted, when the trade, including myself, were closer to 89 and 90 million. What happened was most of the other producers in other parts of the country, including the cotton producer, the sorghum producer, and the rice producer all ‘stayed in their lane’ this year and they kept planting what they normally produce. I think this brings with it a little more questioning, especially with that Deep South looking wetter than normal from the Tennessee River Valley down to Louisiana, so we’re going to have to keep an eye on that because soybean acres could grow, similar to the way corn acres could grow because the of the way the weather is shaping up.”

He says the Deep South weather picture looks wet, while the main corn and soybean areas, especially in the Plains States, are leaning toward a drier pattern.

Zuzolo was disappointed in USDA’s prediction of 46.4 million all-wheat acres, the fourth-lowest planted area since records began in 1919.

“I think the big thing we saw in the planting that I’ll wrap up with, and this is where we have a leader to the downside, and that is the wheat market. We wanted it to be the leader to the upside with the drought in the High Plains and Central Plains and in the hard red wheat belt specifically, driving prices higher and make corn that much more expensive, not allowing wheat to get into a feed category. But unfortunately, we are seeing the wheat-corn spread dip into the 50-60-cent per bushel range. Soft red wheat minus corn, that is feed category for wheat, that is the lowest since late 2017.”

Corn planting totaled 91.1 million acres, up less than one percent from a year ago. Soybeans are estimated at 87.6 million acres, up five percent. All wheat acres are 46.4 million, up five percent. The all-cotton planting projection for 2021 is 12 million acres, one percent lower than last year.

The Stocks Report showed corn stocks down three percent from last year, soybean stocks down 31 percent, and all wheat stocks were seven percent lower than 2020.

“I was glad that the soybeans came in a little bit higher and would rather have it that way, and the wheat a little bit higher than the corn. The corn came in at 67 million bushels, 37 million bushels light, versus the average trade guess. And so, that keeps your old crop corn well bid.”

Corn in all positions totaled 7.7 billion bushels, down three percent from last year. Soybeans stored in all positions were 1.56 billion bushels, 31 percent lower than last March. All wheat stored in positions totaled 1.31 billion bushels, seven percent lower than last year. Durum wheat stocks in all positions were 42.7 billion bushels, 17 percent lower than last year.

Again, that’s Mike Zuzolo of Global Commodity Analytics in Kansas.

USDA assistance for quality loss now available

USDA assistance is now available for producers who were hit by natural disasters in 2018 and 2019. Lord knows there were enough of them to last most farmers a lifetime.

The U.S. Department of Agriculture’s (USDA) Farm Service Agency (FSA) today announced that signup for the Quality Loss Adjustment (QLA) Program will begin Wednesday, Jan. 6, 2021. Funded by the Further Consolidated Appropriations Act of 2020, this new program provides assistance to producers who suffered eligible crop quality losses due to natural disasters occurring in 2018 and 2019. The deadline to apply for this USDA assistance is Friday, March 5, 2021.

USDA assistance

“Farmers and livestock producers nationwide experienced crop quality losses due to natural disasters in 2018 and 2019,” said. Bill Northey, USDA Under Secretary for Farm Production and Conservation. “We have worked diligently over the past couple of years to roll out meaningful USDA assistance programs to help alleviate the substantial financial loss experienced by so many agricultural producers, and are pleased to offer quality loss assistance as added relief. Many of the eligible producers have already received compensation for quantity losses.”

Eligible Crops

Crops eligible for USDA assistance include those for which federal crop insurance or Noninsured Crop Disaster Assistance Program(NAP) coverage is available, except for grazed crops and value loss crops, such as honey, maple sap, aquaculture, floriculture, mushrooms, ginseng root, ornamental nursery, Christmas trees, and turfgrass sod. 

Additionally, crops that were sold or fed to livestock or that are in storage may be eligible; however, crops that were destroyed before harvest are not eligible. Crop quality losses occurring after harvest, due to deterioration in storage, or that could have been mitigated, are also not eligible.

Assistance is based on a producer’s harvested affected production of an eligible crop, which must have had at least a 5% quality loss reflected through a quality discount; or for forage crops, a nutrient loss, such as total digestible nutrients.

Qualifying Disaster Events

Losses must have been a result of a qualifying disaster event (hurricane, excessive moisture, flood, qualifying drought, tornado, typhoon, volcanic activity, snowstorm, or wildfire) or related condition that occurred in calendar years 2018 and/or 2019.

Assistance is available for eligible producers in counties that received a qualifying Presidential Emergency Disaster Declaration or Secretarial Disaster Designation because of one or more of the qualifying disaster events or related conditions. 

Lists of counties with Presidential Emergency Disaster Declarations and Secretarial Disaster Designations for all qualifying disaster events for 2018 and 2019 are available here. For drought, producers are eligible for QLA if the loss occurred in an area within a county rated by the U.S. Drought Monitor as having a D3 (extreme drought) or higher intensity level during 2018 or 2019.  

Producers in counties that did not receive a qualifying declaration or designation may still apply but must also provide supporting documentation to establish that the crop was directly affected by a qualifying disaster event. 

To determine QLA eligibility and payments, FSA considers the total quality loss caused by all qualifying natural disasters in cases where a crop was impacted by multiple events. 

Applying for QLA

When applying, producers are asked to provide verifiable documentation to support claims of quality loss or nutrient loss in the case of forage crops. For crops that have been sold, grading must have been completed within 30 days of harvest, and for forage crops, a laboratory analysis must have been completed within 30 days of harvest.

Some acceptable forms of documentation include sales receipts from buyers, settlement sheets, truck or warehouse scale tickets, written sales contracts, similar records that represent actual and specific quality loss information, and forage tests for nutritional values.

Payments Calculations and Limitations

QLA payments are based on formulas for the type of crop (forage or non-forage) and loss documentation submitted. Based on this documentation FSA is calculating payments based on the producer’s own individual loss or based on the county average loss. More information on payments can be found on farmers.gov/quality-loss

FSA will issue payments once the application period ends. If the total amount of calculated QLA payments exceeds available program funding, payments will be prorated.

For each crop year, 2018, 2019 and 2020, the maximum amount that a person or legal entity may receive, directly or indirectly, is $125,000. Payments made to a joint operation (including a general partnership or joint venture) will not exceed $125,000, multiplied by the number of persons and legal entities that comprise the ownership of the joint operation. A person or legal entity is ineligible for QLA payment if the person’s or legal entity’s average Adjusted Gross Income exceeds $900,000, unless at least 75% is derived from farming, ranching or forestry-related activities.

Future Insurance Coverage Requirements

All producers receiving QLA Program payments are required to purchase crop insurance or NAP coverage for the next two available crop years at the 60% coverage level or higher. If eligible, QLA participants may meet the insurance purchase requirement by purchasing Whole-Farm Revenue Protection coverage offered through USDA’s Risk Management Agency.

More Information

For more information, visit farmers.gov/quality-loss, or contact your local USDA Service Center. Producers can also obtain one-on-one support with applications by calling 877-508-8364.

All USDA Service Centers are open for business, including those that restrict in-person visits or require appointments. All Service Center visitors wishing to conduct business with FSA, Natural Resources Conservation Service, or any other Service Center agency should call ahead and schedule an appointment. Service Centers that are open for appointments will pre-screen visitors based on health concerns or recent travel, and visitors must adhere to social distancing guidelines. Visitors are also required to wear a face covering during their appointment. Our program delivery staff will continue to work with our producers by phone, email and using online tools. More information can be found at farmers.gov/coronavirus.    

CFAP commodities list expands at USDA

CFAP continues to expand its assistance to American farmers and ranchers.

Ag Secretary Sonny Perdue announced that his agency is making more commodities eligible for assistance under the Coronavirus Food Assistance Program. The USDA is also extending the application deadline for the program to September 11. After the agency looked through over 1,700 public comments and other data, the move means more farmers and ranchers will get the assistance they need to help keep their operations afloat through tough times.

CFAP
USDA announced that the list of eligible commodities for the Coronavirus Food Assistance Program is expanding. (Photo from USDA.gov)

“We are standing with America’s farmers and ranchers to ensure they get through this pandemic and continue to produce enough food and fiber to feed America and the world,” Perdue says. “That is why he authorized this $16 billion worth of direct support in the CFAP program and today we are pleased to add additional commodities eligible to receive much needed assistance. CFAP is just one of the many ways USDA is helping producers weather the impacts of the pandemic. USDA is leveraging many tools to help producers, including deferring payments on loans and adding flexibilities to crop insurance and reporting deadlines

Background:

USDA collected comments and supporting data for consideration of additional commodities through June 22, 2020. The following additional commodities are now eligible for CFAP:

·        Specialty Crops – Aloe leaves, bananas, batatas, bok choy, carambola (star fruit), cherimoya, chervil (French parsley), citron, curry leaves, daikon, dates, dill, donqua (winter melon), dragon fruit (red pitaya), endive, escarole, filberts, frisee, horseradish, kohlrabi, kumquats, leeks, mamey sapote, maple sap (for maple syrup), mesculin mix, microgreens, nectarines, parsley, persimmons, plantains, pomegranates, pummelos, pumpkins, rutabagas, shallots, tangelos, turnips/celeriac, turmeric, upland/winter cress, water cress, yautia/malanga, and yuca/cassava.

·        Non-Specialty Crops and Livestock – Liquid eggs, frozen eggs, and all sheep. Only lambs and yearlings (sheep less than two years old) were previously eligible.

·        Aquaculture – catfish, crawfish, largemouth bass and carp sold live as food fish, hybrid striped bass, red drum, salmon, sturgeon, tilapia, trout, ornamental/tropical fish, and recreational sportfish.

·        Nursery Crops and Flowers – nursery crops and cut flowers.

Other changes to CFAP include:

·        Seven commodities – onions (green), pistachios, peppermint, spearmint, walnuts and watermelons – are now eligible for Coronavirus Aid, Relief, and Economic Stability (CARES) Act funding for sales losses. Originally, these commodities were only eligible for payments on marketing adjustments.

·        Correcting payment rates for onions (green), pistachios, peppermint, spearmint, walnuts, and watermelons.

Additional details can be found in the Federal Register in the Notice of Funding Availability and Final Rule Correction and at www.farmers.gov/cfap.

Producers Who Have Applied:

To ensure availability of funding, producers with approved applications initially received 80 percent of their payments. The Farm Service Agency (FSA) will automatically issue the remaining 20 percent of the calculated payment to eligible producers. Going forward, producers who apply for CFAP will receive 100 percent of their total payment, not to exceed the payment limit, when their applications are approved.

Applying for CFAP:

Producers, especially those who have not worked with FSA previously, can call 877-508-8364 to begin the application process. An FSA staff member will help producers start their application during the phone call.

On farmers.gov/cfap, producers can:

Ag Secretary Sonny Perdue announced that his agency is making more commodities eligible for assistance under the Coronavirus Food Assistance Program. The USDA is also extending the application deadline for the program to September 11. After the agency looked through over 1,700 public comments and other data, the move means more farmers and ranchers will get the assistance they need to help keep their operations afloat through tough times.

“We are standing with America’s farmers and ranchers to ensure they get through this pandemic and continue to produce enough food and fiber to feed America and the world,” Perdue says. “That is why he authorized this $16 billion worth of direct support in the CFAP program and today we are pleased to add additional commodities eligible to receive much needed assistance. CFAP is just one of the many ways USDA is helping producers weather the impacts of the pandemic. USDA is leveraging many tools to help producers, including deferring payments on loans and adding flexibilities to crop insurance and reporting deadlines.”

Background:

USDA collected comments and supporting data for consideration of additional commodities through June 22, 2020. The following additional commodities are now eligible for CFAP:

·        Specialty Crops – aloe leaves, bananas, batatas, bok choy, carambola (star fruit), cherimoya, chervil (French parsley), citron, curry leaves, daikon, dates, dill, donqua (winter melon), dragon fruit (red pitaya), endive, escarole, filberts, frisee, horseradish, kohlrabi, kumquats, leeks, mamey sapote, maple sap (for maple syrup), mesculin mix, microgreens, nectarines, parsley, persimmons, plantains, pomegranates, pummelos, pumpkins, rutabagas, shallots, tangelos, turnips/celeriac, turmeric, upland/winter cress, water cress, yautia/malanga, and yuca/cassava.

·        Non-Specialty Crops and Livestock – liquid eggs, frozen eggs, and all sheep. Only lambs and yearlings (sheep less than two years old) were previously eligible.

·        Aquaculture – catfish, crawfish, largemouth bass and carp sold live as food fish, hybrid striped bass, red drum, salmon, sturgeon, tilapia, trout, ornamental/tropical fish, and recreational sportfish.

·        Nursery Crops and Flowers – nursery crops and cut flowers.

Other changes to CFAP include:

·        Seven commodities – onions (green), pistachios, peppermint, spearmint, walnuts and watermelons – are now eligible for Coronavirus Aid, Relief, and Economic Stability (CARES) Act funding for sales losses. Originally, these commodities were only eligible for payments on marketing adjustments.

·        Correcting payment rates for onions (green), pistachios, peppermint, spearmint, walnuts, and watermelons.

Additional details can be found in the Federal Register in the Notice of Funding Availability and Final Rule Correction and at www.farmers.gov/cfap.

Producers Who Have Applied:

To ensure availability of funding, producers with approved applications initially received 80 percent of their payments. The Farm Service Agency (FSA) will automatically issue the remaining 20 percent of the calculated payment to eligible producers. Going forward, producers who apply for CFAP will receive 100 percent of their total payment, not to exceed the payment limit, when their applications are approved.

Applying for CFAP:

Producers, especially those who have not worked with FSA previously, can call 877-508-8364 to begin the application process. An FSA staff member will help producers start their application during the phone call.

On farmers.gov/cfap, producers can:

·        Download the AD-3114 application form and manually complete the form to submit to their local USDA Service Center by mail, electronically or by hand delivery to their local office or office drop box.

·        Complete the application form using the CFAP Application Generator and Payment Calculator. This Excel workbook allows customers to input information specific to their operation to determine estimated payments and populate the application form, which can be printed, then signed and submitted to their local USDA Service Center.

·        If producers have login credentials known as eAuthentication, they can use the online CFAP Application Portal to certify eligible commodities online, digitally sign applications and submit directly to the local USDA Service Center.

All other eligibility forms, such as those related to adjusted gross income and payment information, can be downloaded from farmers.gov/cfap. For existing FSA customers, these documents are likely already on file.

All USDA Service Centers are open for business, including some that are open to visitors to conduct business in person by appointment only. All Service Center visitors wishing to conduct business with FSA, Natural Resources Conservation Service or any other Service Center agency should call ahead and schedule an appointment. Service Centers that are open for appointments will pre-screen visitors based on health concerns or recent travel, and visitors must adhere to social distancing guidelines. Visitors are also required to wear a face covering during their appointment. Our program delivery staff will be in the office, and they will be working with our producers in the office, by phone and using online tools. More information can be found at farmers.gov/coronavirus.

·        Download the AD-3114 application form and manually complete the form to submit to their local USDA Service Center by mail, electronically or by hand delivery to their local office or office drop box.

·        Complete the application form using the CFAP Application Generator and Payment Calculator. This Excel workbook allows customers to input information specific to their operation to determine estimated payments and populate the application form, which can be printed, then signed and submitted to their local USDA Service Center.

·        If producers have login credentials known as eAuthentication, they can use the online CFAP Application Portal to certify eligible commodities online, digitally sign applications and submit directly to the local USDA Service Center.

All other eligibility forms, such as those related to adjusted gross income and payment information, can be downloaded from farmers.gov/cfap. For existing FSA customers, these documents are likely already on file.

More information can be found at farmers.gov/coronavirus.

Seed Packages still coming into Minnesota

Seed packages that Minnesotans didn’t order are still coming into the state in steady numbers from China. Many of the seeds are non-invasive species. However, that doesn’t mean they can’t carry some kind of a pest or disease with them.

This is what a typical package of the mystery seeds with a Chinese postmark look like. (Photo from the MDA)

Reports are still coming into the Minnesota Department of Agriculture (MDA) that say citizens continue getting unsolicited seed packages in the mail. To date, over 700 Minnesotans found the seeds in their mailboxes and reported it to the MDA.

The packages contain a variety of seeds. Seed analysts at the MDA Laboratory say some of the seeds are cosmos, radish, mung bean, juniper, basil, cucurbit, and zinnia. Seeds like these are not invasive plants. However, they can carry disease and pests can hide in packaging. The unsolicited seeds likely haven’t gone through proper inspection channels to enter the country legally. The labels typically say something like jewelry is inside.

The MDA is working with the United States Department of Agriculture (USDA) on the issue. Minnesota is sending all the collected seeds to the USDA for additional identification and destruction. Federal officials are investigating the source of the seeds, and the USDA is currently referring to the situation as a “brushing scam.” In that type of scam, people get unsolicited items from a seller who then posts false customer reviews to boost sales. Their latest statement on the seed packages can be found here.

Those receiving the packages have indicated they either never made an online seed order or they purchased seeds online earlier in the year but never got them. Their order information indicates it is still unfulfilled.

Minnesotans should take the following steps to deal with unsolicited packages of seeds.

  • Save the seeds and the package they came in, including the mailing label.
  • Do not open the seed packets.
  • Do not plant any of the seeds.
  • In case the package is already open, place all materials (seeds and packaging) into a tightly-sealed plastic bag.
  • Contact the MDA through this form (mda.state.mn.us/unlabeledseeds).

If you have planted the seeds you received, please destroy any plants that have germinated. Plants and soil aren’t eligible for most trash collection. However, in this unusual situation, pull up the plants, double bag them and the surrounding soil, and dispose of everything in the trash. Do not compost the seeds, plants, or soil. Please notify the MDA if you have disposed of any seeds or plants through our contact form.

You should always buy seeds from a reputable source. Minnesota law says all seeds sold in the state need correct labels. People selling seeds need to have a permit from the MDA. You can look up seed permit holders on the MDA website. Never plant unlabeled or unknown seeds.

Dicamba products update for Minnesota farmers

Dicamba products; So can Minnesota farmers use it or not? That Ninth Circuit Court Ruling last week left a lot of producers in limbo. Here’s the latest update from the Minnesota Department of Agriculture.

Upon further review of state law and while awaiting guidance from the U.S. Environmental Protection Agency on the ruling of the 9th U.S. Circuit Court of Appeals regarding dicamba products, the Minnesota Department of Agriculture will continue operating under existing pesticide program authorities. According to Minnesota law, an unregistered pesticide previously registered in the state may be used following the cancellation of the registration of the pesticide.

At this time Minnesota farmers can use XtendiMax with VaporGrip Technology (EPA Reg. No. 524-617), Engenia Herbicide (EPA Reg. No. 7969-345), and DuPont FeXapan with VaporGrip Technology (EPA Reg. No. 352-913) while following all federal and Minnesota label requirements. (Tavium Plus VaporGrip Technology (EPA Reg. No. 100-1623) was not part of the two-year federal registration and can still be used according to the label). The Department does not anticipate taking enforcement action against those who continue to appropriately use these products. This may change at any time pending additional guidance from U.S. Environmental Protection Agency.

“The Circuit Court of Appeals decision to revoke the use of these products was, unfortunately, very untimely for our farmers as many had already purchased the herbicide for this growing season,” said Minnesota Agriculture Commissioner Thom Petersen. “Timing is critical for farmers to apply the products and our further interpretation of Minnesota law allows us to use these products.”

dicamba products
The Minnesota Department of Agriculture is keeping things as they were with regards to farmers using Dicamba products. They’re awaiting further guidance from the EPA before
making a final decision. As of right now, it’s business as usual. (Photo from thecounter.org)

As a reminder, all dicamba pesticide applicators in Minnesota must follow use instructions on the product label including the timing restrictions below. Dicamba products cannot be applied to dicamba-tolerant (DT) soybeans in Minnesota if any of the following conditions has occurred. Whichever cutoff time occurs first will determine whether a person can apply a given product to DT soybeans until June 20, 2020.

  • Forty-five (45) days after planting. The federal labels for XtendiMax, Engenia, FeXapan, and Tavium prohibit application more than 45 days after planting.
  • Once the R1 growth stage begins (beginning bloom). The federal labels for XtendiMax, Engenia, and FeXapan prohibit this. The R1 stage is when at least 1 flower appears on the plant on any node on the main stem.
  • After the V4 growth stage. The federal label for Tavium prohibits application after the V4 growth stage.
  • After June 20, 2020. The Minnesota Special Local Need (SLN) label, which must be in possession of the applicator at the time of application, prohibits this for all four dicamba products.  The SLN labels are available on the MDA website at mda.state.mn.us/24c

In Minnesota, all four dicamba products are “Restricted Use Pesticides” for retail sale to, and for use only by, certified applicators who have complete dicamba or auxin-specific training.

For questions, e-mail Josh Stamper at Joshua.Stamper@state.mn.us.

Weed of the Month: Tree of Heaven?

Tree of heaven (Ailanthus altissima) is a deciduous tree native to China, Taiwan, and Vietnam. It was brought to the U.S. in the late 1700s as an ornamental shade tree. Today this tree is found in most of the Continental U.S., Hawaii, and Canada. It looks similar to staghorn sumacash, and walnut and has a strong, offensive odor that some describe as being similar to rotting peanuts. In 2020, the Minnesota Department of Agriculture changed the regulated noxious weed designation of tree of heaven from Restricted to Prohibited Eradicate, meaning that all tree of heaven plants must be eliminated.

Tree of heaven is fast growing, can reach 90 feet in height, and live 30 to 70 years. This species is highly adaptable and tolerant of disturbance. It is dioecious, meaning there are separate male and female plants. Female plants produce prolific amounts of seed, up to 325,000 seeds per year. Tree of heaven spreads aggressively in response to above-ground cutting or root breaking. Root fragments found in infested soil may start new populations.

Tree of heaven with mature seeds
Tree of heaven with mature seeds. Courtesy: Barbara Tokarska-Guzik, University of Silesia, Bugwood.org

Tree of heaven is the preferred host for the invasive spotted lanternfly (Lycorma delicatula). Spotted lanternfly can attack over 65 tree species, including trees grown in Minnesota. Spotted lanternfly was detected in Pennsylvania in 2014 and has spread to surrounding states over the last several years, but it has not been found in Minnesota.

weed
An adult spotted lanternfly. Courtesy: Lawrence Barringer, Pennsylvania Department of Agriculture, Bugwood.org

Tree of heaven may play a particularly important role in the spotted lanternfly lifecycle.  To date, only two tree of heaven plants have been found in Minnesota, and both populations were eradicated. It is unknown if the absence of tree of heaven will affect the ability of spotted lanternfly to establish in this state. If you suspect that you have found a tree of heaven or spotted lanternfly:

  • Note the exact location with address or GPS coordinates.
  • If it is possible, take digital photos of the tree – whole plant, rosettes, flowers, and seed stalks – and suspected spotted lanternfly that can be emailed for identification.
  • Infestations can be reported to one of two places:
    1. The Minnesota Department of Agriculture (MDA) by email at arrest.the.pest@state.mn.us or voicemail 1-888-545-6684
    2. Directly to EDDMapS through the Great Lakes Early Detection Network app on a smartphone or tablet.

To learn more about the MDA’s Noxious and Invasive Weed Program and the Noxious Weed Law and Lists, please visit: www.mda.state.mn.us/weedcontrol