The Kansas Pork Association, the Missouri Pork Association, the Nebraska Pork Producers Association, the Iowa Pork Producers Association, the National Pork Board and National Pork Producers Council teamed up to host a one-day education seminar for 25 agriculture lenders December 11, in St. Joseph, Mo.
The goal of this conference was to give lenders an overview of the current situation in the pork industry and educate them on how they can better serve their pork-producing clients.
“Because of the current economic crisis facing the pork industry, many producers are suffering financially and are having difficulty finding ways to remain in business,” said KPA President-CEO Tim Stroda. “The speakers presented the severity of the situation; however, they also highlighted the reasons many pork producers are encouraged by the opportunities for profitability in the next few years.”
Click on the blue links below to see their presentations.
Situation Analysis - Mike Laughery, National Pork Board
Mike provided a short and long term view of what lies ahead for the pork industry. Attendees can utilize this information when serving their pork clients needs.
Market Outlook — Grain and Pig Prices - Steve Meyer, Paragon Economics
Grain and soybean meal prices are in uncharted territory and hog futures are following. For the first time in 30 years the agricultural market is being driven by macroeconomic factors, global economic growth, international credit and monetary policy, energy markets and related policies on climate and biofuels. This presentation looked at these factors and participants learned how this affects the pork industry.
Steve Meyer, Paragon Economics, gives his outlook for 2009 to the group.
The Glass is Half Full - John Green, National Pork Board
The demand for pork in the U.S. and abroad is strong and growing. This presentation will detail the domestic demand growth of pork at restaurants and at the local grocery store. In addition, the international market for U.S. Pork has been expanding at a record pace in 2008. Can these trends continue and what does that mean for U.S. pork producers in 2009 and beyond?
Risk Management - Tom Clark, CME Group
Risk Management has always played a key role in a successful agri-business. Today’s producers face unprecedented price, volatility and uncertainty in the markets. Tom discussed how producers can use futures and options for risk management, to lock-in production price levels and input costs by hedging.
Responsible Pork Initiative - Dallas Hockman, National Pork Producers Council
Dallas gave a history of this producer-led intitiative as well as providing a general outline for the program's future activities.
Dallas Hockman, NPPC, updates the group on the Responsible Pork Initiative.
The U.S. Department of Agriculture's(USDA) Agricultural Marketing Service (AMS) announced recently that it will conduct a Request for Referendum Dec. 8, 2008, through Jan. 2, 2009, among eligible producers and importers of hogs, pigs, pork, and pork products. This process will determine if producers want a referendum on the Pork Promotion, Research, and Consumer Information Order, commonly known as the Pork Checkoff Program. Participation is voluntary, and only individuals who desire a referendum on the Pork Checkoff Program should submit a request.
USDA will only conduct a referendum on the order if at least 15 percent of the total number of eligible pork producers and importers request a referendum. The total number of producers and importers eligible to participate in the Request for Referendum is approximately 69,446; therefore, at least 10,417 eligible producers and importers must request a referendum. If necessary, the referendum will be conducted within one year after the results of the Request for Referendum are announced. If results of the Request for Referendum indicate that a referendum is not supported, a referendum would not be conducted.
Producers and importers who were engaged in pork production or in the importation of hogs, pigs, pork, or pork products between Jan. 1, 2007, and Dec. 31, 2007, and were at least 18 years of age on or before Dec. 31, 2007, are eligible to participate.
For producers, the Request for Referendum will be conducted at the USDA Farm Service Agency (FSA) offices where their administrative farm records are maintained. For producers not participating in FSA programs, the opportunity to participate will be provided at the FSA county office where the person owns or rents land. Forms may be obtained at: http://www.ams.usda.gov/LSMarketingPrograms.
In order to vote, Form LS-54-1 and supporting documentation, where applicable, such as a sales receipt, veterinary bill, feed bill, copies of grower contracts, cancelled check or proof of payment must be returned in person, by mail, or by facsimile to the appropriate FSA county office by the close of business Jan. 2, 2009. Form LS-54-1 and supporting documentation returned by mail must be postmarked no later than midnight on Jan. 2, 2009, and received by Jan. 9, 2009. It is recommended that the form and supporting documentation be mailed via an express service.
Eligible producers may obtain form LS-54-1: Pork Promotion, Research, and Consumer Information Request for Referendum from the appropriate FSA county office.
The deadline to apply for funds through the Environmental Quality Incentives Program (EQIP) has been extended to January 30, 2009. Applications are available at local Natural Resources Conservation Service (NRCS) offices.
Producers needing to improve their nutrient handling systems can apply for cost-share funds through EQIP. For more information, contact Tim Stroda at the KPA office.
In 1956, Wendell Moyer, KSU Extension Swine Specialist, helped organize a small group of pork producers into the Kansas Swine Improvement Association. Their purpose was to work together to make their businesses more profitable while keeping the swine industry healthy and flourishing statewide. The Kansas Pork Association is working every day to achieve this same goal.
Through support of youth who have demonstrated an interest in the swine industry, the Kansas Pork Association is working to encourage participation in pork production while building our leaders of tomorrow.
Current Kansas State University students who have completed between 25 and 100 credit hours are eligible to apply for a $1,000 scholarship by completing this form by January 26, 2009, and sending it to the Kansas Pork Association office. Previous winners of any Wendell Moyer Student Enrichment Grants are ineligible to apply. For additional information, contact the KPA office at (785) 776-0442.
Award Process
Application - Download by clicking on Wendell Moyer Scholarship Application
Please submit all materials, including the application, photo, and transcript(s) to : Kansas Pork Association 2601 Farm Bureau Road Manhattan, KS 66502
Environmental Protection Agency (EPA) Administrator Stephen L. Johnson signed the revised final confined animal feeding operation (CAFO) rule on October 31. While the rule was originally issued in 2003, both industry and environmental groups sued EPA over the rule. The court required EPA to make several changes, but two have been controversial around the nation.
1. The final rule clarifies which operations need a permit. It gives the option for a non-discharging facility to forgo permit coverage. However, the operation must prove they can meet a zero-discharge standard which may be difficult. In Kansas, the state CAFO program predates the EPA rules. At this time, KDHE will continue to require Kansas livestock operations with greater than 1,000 animal units to have a NPDES permit.
2. The final rule requires nutrient management plans (NMPs) to be submitted by February 27, 2009. KDHE, livestock groups and Kansas State University Extension have been providing information about developing these plans for several months. EPA's final rule will not significantly impact the Kansas NMP process.
If you have questions, please contact Tim Stroda at the KPA office.
In 2007, a group of dedicated pork producers began work on a document that is vitally important to the industry’s future. That document is a statement of ethical principles. These leaders believed that if pork producers are to continue to be able to chart their own destiny, they must have the trust of our customers and of those who have the power to regulate. This statement is the first step in the process of building trust. It lays out in very simple statements what pork producers believe.
Ethical Principles for U.S. Pork Producers
U.S. pork producers recognize our obligation to build and maintain the trust of customers and the public in our products and our practices. To promote confidence in what we do and how we do it, we affirm the following ethical principles.
Food Safety: We affirm our obligation to produce safe food. Animal Well-Being: We affirm our obligation to protect and promote animal wellbeing.
Environment: We affirm our obligation to safeguard natural resources in all of our practices.
Public Health: We affirm our obligation to ensure our practices protect public health.
Employee Care: We affirm our obligation to provide a work environment that is safe and consistent with our other ethical principles.
The Communities in which we operate: We affirm our obligation to contribute to a better quality of life in our communities.
Utilizing these principles, the National Pork Board and the National Pork Producers Council have begun a unified industry-wide initiative designed to increase and maintain the trust and confidence afforded to the pork industry. The Responsible Pork Initiative will promote the industry’s long-standing commitment to responsiblity and improvement.
The Initiative’s success will depend on the participation of individual pork producers. While the national organizations have provided your state association with a toolkit filled with ideas for print, billboard, and radio advertising, each piece utilizes a pork producer’s photo or voice. This is where you come into the picture, literally. Your producer leaders have authorized funding to work on the Responsible Pork Inititive in 2009. As we move into the year, I will be calling on many of you to participate in this Initiative.
The success of the program will really depend on your willingness to demonstrate to neighbors, regulators, lawmakers, etc., that pork producers care about how pork is produced in Kansas and across the country. Below is a link to a “contract” for you to sign and display showing that you support and follow the Ethical Principles. Please download and print copies of the document.
I would also suggest you print copies for your employees to sign and display in their work area.
Ethical Principles "Contract".
Corn vs Milo
Over the past several years, corn plantings have increased at the expense of milo. As a result, many swine producers have been transitioning to corn-based diets. However with the recent harvest and demand for corn for ethanol production, its price has risen dramatically compared with milo’s. As a result, milo is now below the 96% value of corn that we use to determine its economical value relative to corn. In fact in some locations milo is selling for 70% the value of corn.
Milo can totally replace the corn in all swine diets. An important diet formulation consideration when using grain milo-based diets is its slightly lower energy and lysine content relative to corn. While milo is frequently substituted on an equal weight basis with corn, slight adjustment of the soybean meal or synthetic amino acids can be made to take full advantage of milo’s nutrient composition.
As a result, when purchasing milo a general recommendation for swine diets is that milo should be 96 percent or less the value of corn to be an economical substitute. Milo has a small kernel and is very hard relative to corn. Thus, proper processing is essential to obtain optimum particle size. Roller mills are preferred to achieve the particle size target of 600 to 700 microns for meal diets. There appears to be no differences in nutritional value to the pig for milo varieties of various colors (ex. red, yellow or white).
Pigs fed milo-based diets will have similar average daily gains to those fed corn diets. However, because the energy content of milo is slightly less than corn, feed efficiency will be slightly poorer than pigs fed corn.
Bottom line: In many areas of the state milo is becoming an economical alternative relative to corn and producers should consider switching from corn-based to milo-based diets if economical to reduce feed input costs.
Listeners to K-State and KU basketballl games across the state are hearing pork advertising during each broadcast.
To hear one of the ads, click on Pork Radio Ad. The stations carrying the broadcasts are listed below.
| KSU Network | KU Network |
BELOIT KVSV-AM |
Abilene KSAJ-FM |
As part of our advertising package with Kansas State University, the KPA receives tickets to selected basketball games.
Be the first producer to e-mail or call the KPA office and win your choice of four tickets to the following KSU men's games:
Saturday, January 3 - Idaho State
Monday, January 5- Chicago State
The KPA also has two tickets available for your choice to the following KSU women's games.
Saturday, January 10 - Kansas
Saturday, January 17 - Iowa State
Call 785-776-0442 or e-mail to kpa@kspork.org
The Pork Community Outreach is designed to assist individual pork producers in becoming more involved and positively visible in their local communities. The KPA is offering matching funds on the expenses on selected community relations activities. The purpose of this program is to multiply the positive effects of pork producer involvement in the communities where hogs are raised.
To be eligible you must:
Fill out a cost share request form and submit it to the KPA at least two weeks prior to your event and submit design ideas to the KPA so that appropriate logos and messages may be included.
To find more information about the program, click on Community Outreach
In response to a producer request, the KPA has developed a spreadsheet aimed at providing a livestock producer a simple tool to help estimate the value of the operation's manure. To utilize the tool, you will need to have a manure analysis. The tool uses your local cost of anhydrous and 11-52-0 to find the value of either liquid or solid manure. The type of application is also a part of the calculations. While the spreadsheet was designed for pork producers, the value of any type of livestock manure can be found. If you have questions, please call Garry Keeler at 785-594-2166.
To download, place click on Manure Value.
Garry Keeler, program coordinator for Kansas GOLD Inc., is now working to update the yearly information needed to recertify facilities. Kansas GOLD Inc. will be contacting producers as their certification becomes due. The program has also recently started working with several producers to begin the process of applying for new permits.
The GOLD program is designed to ensure that when a regulator visits your farm, the information they request can be found easily and is packaged in a pre-approved format. The process begins with a visit to your farm by the Kansas GOLD coordinator, who will begin by examining your KDHE permit for each facility number. This permit tells the coordinator what information needs to be collected and kept on file.
Kansas GOLD Inc. provides a cost-effective manner to ensure your operation is in compliance. For information, please click on GOLD or contact the KPA office at (785) 776-0442 or e-mail to kpa@kspork.org.
NPC Congratulates Vilsack On Nomination
Dec. 17, 2008 – The National Pork Producers Council congratulates former Iowa Gov. Tom Vilsack for being picked to be the next secretary of the U.S. Department of Agriculture. Vilsack today was nominated by President-elect Obama to be the 30th USDA secretary.
“Tom Vilsack knows production agriculture and the pork industry and will make a good Secretary of Agriculture,” said NPPC President Bryan Black, a pork producer from Canal Winchester, Ohio. “U.S. pork producers look forward to working with him as he tackles issues of importance to the U.S. hog industry, including trade agreements, animal identification, energy and environmental issues and livestock production matters.”
First elected to the Iowa governorship in 1998, Vilsack won re-election in 2002; he chose not to seek a third term. Currently he is of counsel in the Des Moines, Iowa, office of the Minneapolis-based law firm Dorsey & Whitney.
Vilsack received a bachelor’s degree from Hamilton College in Clinton, N.Y., and his juris doctorate from Albany Law School in Albany, N.Y.
Vilsack’s nomination is expected to be considered by the U.S. Senate when the 111th Congress convenes in January.
December 19
New PCVAD Article Focuses on Disease Surveillance
Effective swine disease surveillance, control and prevention can be expensive but can contribute to an overall reduction in veterinary costs. While herd health profiling has traditionally involved blood sampling, it appears that sampling oral fluids can offer a simple, cost-effective alternative for the health profiling of large swine herds.
More details are included in a new article on Pork.org's Porcine Circovirus Outreach/PCVAD site at http://www.pork.org/Producers/pcvad.aspx?id=517.
"While PCVAD has been fairly well controlled by effective vaccines and good production practices, our goal is to help producers be as efficient as possible," says Paul Sundberg, vice president of science and technology for the Pork Checkoff. "When we have research results that can help lessen the need for input costs like animal health products and maintain or even improve production, we try to get that information out as quickly and as broadly as possible."
Pork Infuses International Flavor into Holiday Celebrations
Ethnic fusion cuisine is one of the year's hottest trends, and the Pork Checkoff is promoting innovative, easy recipes to help families go global in the kitchen with pork during the holidays. As the world's most widely consumed protein, pork pairs well with nearly any flavor profile and is easy to prepare. To remind consumers about the many benefits of pork, the Pork Checkoff is partnering with Common Threads, a non-profit that fosters an appreciation for cultural diversity through cooking, and Stephanie Izard, the season-four winner of Bravo's Top Chef reality TV show. "I'm a fan of pork because I can use it to prepare almost any international dish, plus it's a great value at the meat case," says Izard, who has created two new pork recipes, including Pork and Peanut Ragu, a flavorful and hearty meal that pairs Indian and Chinese ingredients in a dish that's traditionally Italian. To spread the news, the Pork Checkoff is working with 30 of the nation's leading food publications, including Gourmet, Real Simple and the Food Network Magazine. The Checkoff also has developed an Internet press kit and full-color food page. All of the promotions encourage consumers to visit TheOtherWhiteMeat.com for more global recipe ideas and cooking tips with pork.
Pork Praised as "Lean, Light Entree"
There's more than one way to serve a pig, proclaims a recent Atlanta Journal Constitution column, which notes that today's lean pork is not your grandmother's pork roast.
"Many cuts of pork are actually as lean as skinless chicken," writes Carolyn O'Neil in her recent Health Eating Out column entitled "Pork Shouldn't be Overlooked as Lean, Light Entrée." "Pork tenderloin is famously fit for weight control and meets USDA guidelines for extra lean--less than 5 grams fat per three-ounce serving."
The Pork Checkoff has maintained a positive relationship with O'Neil, an accomplished journalist and nutrition expert who served as a senior correspondent for CNN's "On the Menu." Ceci Snyder, assistant vice president of consumer marketing for the Pork Checkoff, noted that O'Neil recently stopped by the Pork Checkoff's booth at the American Dietetic Association's annual meeting in Chicago.
In her Nov. 24 column, O'Neil cites data from the TheOtherWhiteMeat.com, which notes that today's pork has 16 percent less fat and 27 percent less saturated fat than 15 years ago. The article also mentions the emerging trend of niche pork and highlights how local chefs consistently feature pork on their menus, from grilled, center-cut pork chops with sautéed mustard greens to braised pork shank.
"This article shows the importance of building relationships with media and nutrition professionals," says Snyder, who is quoted in O'Neil's column about the best way to find leaner cuts of pork. "We want to be viewed as a credible source of science-based information for all things pork, and articles like Carolyn's help us educate consumers about how today's pork fits into a healthy diet."
U.S. Pork Exports Defy Expectations - Remain High
While the U.S. agriculture community undoubtedly has been feeling the significant effects of the global economic downturn, the export numbers for October continue to show progress over the previous year.
Pork exports in particular held up extremely well, posting the third-largest monthly volume on record that equates to a 46 percent volume increase over exports from October of 2007 and a 55.5 percent increase in value.
Specifically, pork and pork variety meat exports in October totaled 192,940 metric tons or 425.4 million pounds, valued at $487 million - a new record for monthly export value. Export volume increased 18 percent over the previous month and trails only May and June of 2008 for most pork exported in a single month. For January through October, exports were up 67 percent to 1.7 million metric tons or 3.8 billion pounds, with value surpassing $4.1 billion.
October pork highlights
ASEAN - U.S. pork exports to this region were fairly strong at 3,500 metric tons or 7.7 million pounds, in October, led by 2,262 metric tons or nearly 5 million pounds, to the Philippines. For the 10-month period, exports to the region were up 350 percent to 50,479 metric tons or 111.3 million pounds, equaling a 364 percent hike in value to $99.8 million. Export volume in the region thus far in 2008 has grown 232 percent in the Philippines, 967 percent in Vietnam and 364 percent in Singapore.
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
December 19, 2008
USDA revised their estimate of corn use for the current market year. They increased feed use by 50 million bushels decreased amount used to produce ethanol by 300 million bushels and decreased exports by 100 million bushels. The bottom line is an increase in carryover stock by 350 million bushels. The current market year price estimate is $3.65-4.85 per bushel down from $4.00-4.80 a month earlier.
For soybeans USDA December estimate shows crush down 30 million bushels, exports up 30 million bushels this leaves carryover stock the same as the November estimate. Soybean meal price forecast for December was $240-300 per ton down $15 per ton from the November estimate.
These lower grain prices are positive for the hog industry. If the weak general economy does not weaken pork demand too much, 2009 should be breakeven to a little profit for the average cost hog producer.
As indicated last week exports of pork continues to be the bright spot for the hog industry. For January through October net exports as a percent of production increased from 9.3 percent in these 10 months in 2007 to 18.9 percent in 2008.
The value of pork and pork variety meats exports increased from $28.22 per hog slaughtered in 2007 to $42.52 in 2008.
Retail pork prices in November declined 0.8 percent from October but were up 4.9 percent from November 2007. For January-November retail pork prices were up 1.4 percent from a year earlier.
All segments of the pork industry benefited from these higher retail prices. The processor-retailer manager was up 1.9 percent the packer's margin was up 6.6 percent and the producers' price was up 1.6 percent in January-November from 12 months earlier.
Barrow and gilt weights in Iowa-Minnesota last week at 268.3 pounds were down one pound from a week earlier and down 0.9 pound from a year earlier. However, barrow and gilt carcass weights were two pounds below a year earlier for the week ending November 29. Even though we appear to be more current with marketing then a year earlier we probably are not as current as were in late summer.
Pork product prices were pushed lower this week with the cutout on Thursday afternoon at $57.82 per cwt down $2.45 per cwt from a week earlier.
Top live hog prices Friday morning were $0.75-1.30 per cwt lower compared to a week earlier. Weighted average negotiated carcass prices Friday morning were $1.09-4.06 per cwt lower compared to seven days earlier.
The top live prices Friday morning were: Peoria $36.50 per cwt, Zumbrota, Minnesota, $ N/A per cwt and interior Missouri $38.75 per cwt. The weighted average negotiated carcass prices by area Friday morning were: western Cornbelt $49.77 per cwt, eastern Cornbelt $52.69 per cwt, Iowa-Minnesota $49.76 per cwt and nation $52.29 per cwt.
Slaughter this week under Federal Inspection was estimated at 2379 thousand head, down 3.7 percent from a year earlier.
Feeder pig prices were basically steady this week at united Tel-O-Auction compared to two weeks earlier. All of the pigs weighted between 50-60 pounds and sold from $90 to $111 per cwt.
There will be no report next week because of the Christmas holiday.
New K-State Swine Building Unveiled at Swine Day
Over 350 producers, allied industry and extension personnel were on hand as the Kansas State University Department of Animal Sciences and Industry unveiled a new growing and finishing swine building as part of the 2008 Swine Day held November 20 in Manhattan.
Fundraising for the $650,000 building began three years ago and all funds came from donations to support research and teaching efforts in swine production, said Joel DeRouchey, livestock specialist with K-State Research and Extension.
The new 75- by 208-foot building replaced an older facility, DeRouchey said. It complements several existing buildings that make up the swine unit, including a headquarters building which contains classrooms, plus farrowing and nursery, gestation and metabolism, and breeding barns.
“The new facility will house pigs indoors and remove extra pigs not used for research and teaching off of dirt lots. That will help reduce pathogen loads, decrease odor and generally aid the health of K-State’s swine herd,” said Extension swine specialist Jim Nelssen.
The new building will expand the university’s research capabilities, said DeRouchey, adding that through large viewing windows, the building’s design will allow undergraduate and graduate students better visibility than was possible in the previous facility.
“This building, which features a computerized feeding system, allows us to take pigs all the way from weaning to market in this facility,” Nelssen said. “Students will train in a state-of-the-art modern facility. They will have exposure to not only the newest technology (in the new building), but also some of the technology that has been used in the industry for awhile in some of our older buildings. That way, they will be familiar with newer, as well as older technologies when they go into industry.”
The building will hold up to about 1,000 head in four separate rooms, he added.
The new facility was built by Henning Construction Co., based in Johnson, Iowa. K-State Research and Extension specialists Pat Murphy and Joe Harner worked with the builders on the ventilation and waste management designs, respectively.
Primary donors to the new swine building include the Kansas Pork Association through increased sponsored research, the KSU Livestock and Meat Industry Council (LMIC), and chemical company, Lonza. In addition, direct swine producer and allied industry donations, as well as KSU swine nutrition graduate student alumni helped complete the fundraising efforts.
“We’re grateful for all the people who put money into this project,” Nelssen said.
Pork producers have a chance to learn about the latest innovations at the Trade Show held at KSU's Swine Day.
Jim Nelssen, KSU Swine Team, gives one of several reports on research completed at Kansas State University.
Producers got the opportunity to see the new growing and finishing research facility.
Producers and extension personnel enjoyed a pork sandwich at the Open House.
Hog Prices May Climb in 2009 But Profitability Still Elusive
Against a backdrop of economic turmoil, moderately high feed costs and weak domestic demand, U.S. hog prices may still climb modestly in 2009, thanks to strong export demand and less pork production, said University of Missouri agricultural economist Ron Plain.
That does not mean, however, that raising hogs will be profitable next year, said Plain, who spoke Nov. 20 to attendees of Kansas State University’s annual Swine Day.
“It’s hard to be optimistic about domestic demand with the economy the way it’s going right now,” said Plain, who was the keynote speaker for the day.
His forecast for the benchmark Iowa-southern Minnesota negotiated price per carcass hundredweight in 2009 was for an average annual price in 2009 of $67 to $72. His forecast, broken down by quarter, included a price range of $58 to $63 in the first quarter; $70 to $75 in the second quarter; $73 to $78 in the third quarter and $66 to $71 in the fourth quarter.
The $67 to $72 price prediction would be above the projected 2008 average price range of $63 to $64 and the actual average price for 2007 of $61.91, he said. On a live hog basis in the Iowa-southern Minnesota market, Plain anticipates the average annual price range of $51 to $55 per cwt for 2009. That would also be slightly above the projected price of $48 to $49 in 2008 and the actual average price of $47.05 in 2007.
Plain’s forecast by quarters for live hog trade per cwt in Iowa-southern Minnesota in 2009 included: $44 to $48 in the first quarter; $53 to $57 in the second quarter; $55 to $59 in the third quarter and $50 to $54 in the fourth quarter.
Plain said production of all four meats typically consumed in the United States – pork, beef, chicken and turkey – is expected to be down from this year’s production. If that materializes, it would be the first time since 1973 that production in all four categories was less than the previous year. He expected overall hog slaughter of 113.670 million head in 2009, down 2.7 percent from 116.830 million head projected in 2008, but up from 109.172 million head in 2007.
While Plain said he expects demand for pork from U.S. consumers to continue weak because of U.S. economic woes, there are bright spots in the industry, including demand for U.S. pork from overseas buyers and fewer expected farrowings next year.
“Export demand is what’s driving hog prices. 2007 was the 16th consecutive record year for U.S. (pork) exports, he said, adding that 2008 will mark the 17th year. That translates to billions of dollars in pork sales to overseas buyers.
In 2008, January-September, the value of total U.S. pork exports was $3.114 billion or $36.11 per hog slaughtered, according to U.S. Department of Agriculture data. That compares with the 2007 value at $2.752 billion or $25.21 per hog slaughtered and is well above the 2003 value of $1.393 billion or $13.80 per hog slaughtered.
Japan was the No. 1 overseas buyer of U.S. pork in 2007, buying 35.1 percent of all U.S. pork exports, Plain said. Mexico was No. 2 at 14.7 percent, Canada was No. 3 at 12 percent and China-Hong Kong was No. 4 at 11.6 percent. South Korea and Russia came in at 8.7 percent and 8.0 percent, respectively.
The other bright spot in the hog market is that pork production continues to get more efficient, he said. “The number of litters per sow per year have been increasing since 1930 and carcass weights also have been increasing,” Plain said. “The average slaughter weight has been going up one pound per year for the last 50 years.”
Since 1930, Plain said, the United States has reduced sow inventory by 42 percent, but has increased annual pork production by 221 percent. He said he expects that further improvements in swine genetics will continue that trend for another 50 years: “As far as I can tell, there is no end to this getting better.”
Ag Economist Ron Plain Shares Swine Market Facts
Longtime agricultural economist Ron Plain, University of Missouri professor, shared numerous facts about the swine industry. They included:
The Pork and Soybean Checkoff Image Campaign is finishing for 2008 in Brown, Nemaha, Washington, Clay, Montgomery, Mitchell, Geary and Norton counties. The campaign covered the counties during the month of October and November with the theme, “Together, we raise the community’s standard of living.” Newspaper, billboards and radio ads were created to promote consumer and producer awareness about the positive impact of pork and soybean producers in their cities.
Print advertisements were placed in:
Radio spots aired on:
Six billboards were located in:
The Kansas Pork Association, the Missouri Pork Association, the Nebraska Pork Producers Association, the Iowa Pork Producers Association, the National Pork Board and National Pork Producers Council are teaming up to host a one-day education seminar for agriculture lenders December 11, in St. Joseph, Mo.
The goal of this conference is to give lenders an overview of the current situation in the pork industry and educate them on how they can better serve their pork producing clients.
“Because of the current economic crisis facing the pork industry, many producers are suffering financially and are having difficulty finding ways to remain profitable and stay in business,” said KPA President-CEO Tim Stroda. “By holding this seminar, we can impress upon lenders the severity of the situation and encourage them to find additional solutions to pork producers’ problems.”
Several industry experts have been enlisted to present at the seminar. The speakers include Mike Laughery of the National Pork Board who will provide a short- and long-term view of what lies ahead for the pork industry.
Economist Steve Meyer of Paragon Economics will discuss the various factors affecting the pork industry such as grain prices, international credit, energy markets, biofuels policy and global economic growth.
The National Pork Board’s John Green will discuss international and domestic demand for pork and how these trends will affect the industry.
Tom Clark of CME Group will share ideas on how producers can use futures and options for risk management, to lock-in production price levels and input costs by hedging.
National Pork Producer Council representative Dallas Hockman will discuss the Responsible Pork Initiative. This unified industry-wide initiative will focus on promoting the industry’s long-standing commitment to responsibility and improvement as well as responding to attacks against it.
“We’re pleased with the speakers who are committed to participating in this important seminar,” Stroda said. “Their experience will allow them to provide a comprehensive summary of what’s going on in the industry at the present time.”
For more information or to register, you can contact Sharlotte Peterson at the National Pork Board at (800) 456-PORK or at speterson@pork.org. The conference will be Thursday, December 11, from 9 a.m. to 3 p.m. at the Stoney Creek Inn at 1201 Woodbine Road, St. Joseph, MO 64506.
To download a brochure, click on Lender's Conference
As part of our advertising package with Kansas State University, the KPA receives tickets to selected basketball games.
Be the first producer to e-mail or call the KPA office and win your choice of four tickets to the following KSU men's games:
Sunday, December 14 - Gardner-Webb
Saturday, December 20 - Centenary
Tuesday, December 30 - Wagner
The KPA also has two tickets available for your choice to the following KSU women's games.
Friday, December 5 - Alcorn State
Saturday, December 6 Consolation or Championship of tournament
Tuesday, December 9 - Creighton
Call 785-776-0442 or e-mail to kpa@kspork.org
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
Date: October 23, 2008
Length: 7:26
Speaker: Tina Widowski, University of Guelph
Date: October 27, 2008
Length: 6:18
Speaker: Traci Rodemeyer, manager of pork information for the Pork Checkoff
Colombians Want U.S. Trade Deal, NPPC Delegation Finds
Returning today from a two-day trade mission, U.S. pork producers who visited Colombia called on Congress to approve a free trade agreement with the South American nation.
The National Pork Producers Council led the delegation, which met with U.S. embassy officials in Bogota; Colombian Vice Minister of Agriculture Juan Salazar; Colombian Minister of Commerce, Industry and Tourism Luis Guillermo Plata; the Colombian Pork Producers Association; the country’s farm bureau organization; labor union representatives; and flower and coffee growers.
“We are very excited about this agreement because it will provide significant new export opportunities for U.S. pork producers,” said NPPC President-elect Don Butler, director of government relations and public affairs for Murphy-Brown LLC, the livestock production subsidiary of Smithfield Foods. “The Colombians are excited about this deal, too, but they are frustrated with the failure of the U.S. Congress to approve it. We urge lawmakers to take up the Colombia FTA and pass it now.”
The Colombian National Congress already overwhelmingly approved the trade agreement, which, when approved by the U.S. Congress and fully implemented, will add $1.63 to the price producers receive for each hog marketed, according to Iowa State University economists.
Some U.S. lawmakers have cited violence against labor unionists in Colombia as a reason for opposing the trade pact, but Butler, one of five pork producers who went on the trade mission, said those concerns are exaggerated.
“We saw firsthand the improvements that have been made in Colombia with regard to violence and its economy,” said Butler. “There’s been a remarkable transformation. We spoke with labor unionists in Colombia, who strongly support the FTA. The average Colombian is more at risk for violence than labor unionists in Colombia.”
NPPC, which leads a coalition of agricultural organizations in support of the trade agreement, points out that more than 99 percent of Colombian food and agriculture products entering the U.S. do so duty-free under the Andean Trade Preferences and Drug Eradication Act. The Colombia FTA would give the same treatment to U.S. goods.
“It’s time for U.S. farmers, ranchers and food companies to receive fair and reciprocal trade with Colombia, to be given the same trade benefits that Congress repeatedly has bestowed on our Colombian counterparts,” Butler said.
Pork Serves Up Facts, Fun at Dietitians’ Conference
As the world’s largest organization of food and nutrition professionals, the American Dietetic Association (ADA) offers a key audience to promote pork’s role in a healthy diet. To connect with these influential food and nutrition professionals, the Pork Checkoff headed to Chicago recently for the ADA’s Food and Nutrition Conference and Expo, which attracted more than 8,000 registered dietitians from across the United States.
“This year we handed out our hot-off-the-press, updated materials for health professionals, including a pork recipe brochure and a cardboard plate that dietitians can use to show proper food portion sizes,” says Ceci Snyder, assistant vice president of consumer marketing for the National Pork Board.
The ADA conference allowed Pork Checkoff representatives to highlight a recent study showing that timing of dietary protein intake, including pork, affects feelings of fullness throughout the day. This year’s conference took on additional significance, since the American Dietary Guidelines are currently being revised by the U.S. Department of Agriculture and the U.S. Department of Health and Human Services.
“These guidelines, which are reassessed every five years, set the tone for dietitians’ recommendations,” Snyder says. “They were a hot topic at the ADA conference this year, as well as an important issue for the pork industry.”
To boost ADA conference attendees’ knowledge of The Other White Meat, Indiana pork producer Alan Wilhoite assisted with a trivia contest that focused on nutrition research, food safety and all things pork. Players received a pork t-shirt for rolling the dice and testing their pork I.Q.
To address emerging issues related to food and nutrition, the Pork Checkoff will continue to work closely with dietitians and the ADA, Snyder says. “It’s important to educate these health professionals so they can help their clients learn about pork’s role in a healthy diet.”
Women are BZZing about Pork
In its first ever social marketing campaign initiative, the Pork Checkoff is working through BzzAgent - a word-of-mouth marketing firm to implement the Pork Bzz Campaign. The Pork Bzz Campaign, which began Nov. 1 and runs 10 weeks, targets Atlanta-based women ages 25-44 years young with children at home and partners exclusively with Publix ® Super Markets in this target city.
"Our goal of the Pork Bzz Campaign is to increase pork consumption and positive pork perceptions among campaign participants," says Cathy Lee Fredrickson, online content manager for the Pork Checkoff. "After all, is there any better advertising than word of mouth?"
How does it work? The Checkoff turned to BzzAgent, a company that relies on everyday consumers to share information – or buzz – about products. Individuals who believe in honest, word-of-mouth conversations sign up to become bzz agents. Agents then get to discover and check out new products, services, books and other cool stuff. After experiencing a product or service, they share their honest opinions with people within their peer groups.
Meet the Agents
The 1,000 BzzAgent volunteers are Atlanta-based women, ages 25-44 with children at home. They represent all sorts of backgrounds and walks of life. Volunteers are not paid, since word of mouth is genuine, natural and unforced. But there are many perks to being an Agent.
"For the Pork Bzz Campaign, our agents were sent a BzzKit containing pork recipes, cooking accessories including a pot holder and a digital cooking thermometer, tips and tools that demonstrate pork's versatility and endless menu options," Fredrickson says. "The kits also contain coupons good on any fresh pork products redeemable at any Publix Supermarket in the Atlanta area."
Each BzzAgent received one $5 coupon for the agent to use on fresh pork product, and three $2 coupons for the agent to share with friends and family. In addition, the BzzAgents will receive weekly e-blasts from the Checkoff that include recipes and other great pork information to share with others.
"After trying the product, agents are encouraged to bzz about their pork experience," Fredrickson says. "People trust the opinions of friends and family."
After the 10-week campaign, the Pork Checkoff estimates that it will have reached 40,000 people through this initiative. This grassroots initiative will further build the network of passionate pork advocates at the consumer level.
Operation Main Street Celebrates Four Years of Growth and Making a Difference for the Pork Industry
Human development experts say four-year-olds feel good about things they can do, show self-confidence and are willing to try new adventures. You could easily say the same thing about the Pork Checkoff’s Operation Main Street (OMS) program.
Launched on November 8, 2004, this grass-roots communications effort has grown from a handful of volunteer pork producers reaching out to local civic organizations to hundreds of producers from across the country who are also taking the industry’s message to regional and county planning commissions, government-related associations, governor’s conferences and other high-level opinion leaders.
Through the OMS program, pork producers are helping to set the record straight by telling the pork industry’s story of innovation, quality and stewardship. OMS features a speakers’ bureau that involves intensive speaker training along with a scheduling program to get producers out into the community to talk about modern pork production.
Today this four-year-old effort also includes:
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
November 21, 2008
Pork exports for September 2008 were up 41 percent from a year earlier. As was expected, China plus Hong Kong purchases from the U.S. declined by 17 percent from September of 2007.
Pork trade in September shows a net pork export of 15.8 percent of production, up from 11.4 percent a year earlier.
Pork exports for January-September were up 65.8 percent from 12 months earlier. Net pork exports for January-September at 17.4 percent of production were up from 13.2 percent a year earlier. Pork exports for the first nine months of 2008 amounted to 21 percent of production or a little over one in every five hogs slaughtered in the U.S.
Our sales of pork to Japan for January-September were up 24.6 percent, to Mexico up 43.8 percent, to Canada up 21.0 percent, to South Korea up 29.1 percent, to Russia up 143.5 percent, to China and Hong Kong up 262.2 percent, to Taiwan up 51.7, to Australia up 23.1 percent, and to other countries up 112.6 percent.
The value of pork exports per hog slaughtered for January-July amounted to $36.11 in 2008 compared to $24.54 in 2007. The value of pork and pork variety meat exports for the first nine months of 2008 was $42.17, up from $28.07 in 2007 per hog slaughtered.
Feeder pig imports in September from Canada at 558,219 head were up 4.6 percent from a year earlier. However, slaughter hog imports for September at 185,521 head were down 30.6 percent from 12 months earlier. This is one of the reasons why slaughter in recent weeks has been down from a year earlier.
Total live hog imports from Canada for January-September at 7,265,169 head were up 1.8 percent from 12 months earlier. It is still too early to determine what the impact of COOL will have on live hog imports from Canada. Some of the U.S. packers say they do not plan to slaughter hogs from Canada.
Cash feeder-pig prices this week at United Tel-o-auction were up $4-12 per cwt from two weeks earlier. The lower feed prices are having a positive impact on feeder pig prices.
Our gilt and sow slaughter data continues to suggest producers have at least slowed, if not stopped, the decline in the breeding herd.
Live barrow and gilt weights last week in Iowa-Minnesota at 267.6 pounds per head were up 0.6 pound from a week earlier but down 0.6 pounds from a year earlier. Barrow and gilt carcass weights under Federal Inspection at 199 pounds for the week ending November 1 were down one pound from a year earlier.
Weights continue to support the belief that marketings are not as current as in late August and early September. At that time, carcass weights were 2-3 pounds below 12 months earlier and live weights in Iowa-Minnesota were up to five pounds below the same week in 2007.
Retail pork prices in October at $3.028 per pound set a new record high for the third month in a row. The October 2008 value was up 3.4 percent from a year earlier.
The average retail price of pork for January–October at $2.924 per pound was up 1.8 percent from the same months in 2007. We still do not have all of the additional costs for producing pork built into the retail price because of the higher costs of grain.
Pork product cutout at $56.67 per cwt of carcass Thursday afternoon was down $0.29 per cwt from a week earlier.
Live hog prices Friday morning were $1.00 per cwt lower to $1.50 per cwt higher compared to seven days earlier. Weighted average negotiated prices Friday morning were $1.42 per cwt lower to $1.04 per cwt higher compared to last week.
The live prices Friday morning for select markets were: Peoria $32.50 per cwt, Zumbrota, Minnesota, $36.00 per cwt and interior Missouri $37.25 per cwt.
The weighted average negotiated carcass prices Friday morning were: western Cornbelt $50.91 per cwt, eastern Cornbelt $36.00, Iowa-Minnesota $50.98 per cwt and nation $49.61 per cwt.
Slaughter this week under Federal Inspection was estimated at 2366-thousand head, up 17 percent from 12 months earlier.
Late last week, US Secretary of Agriculture Ed Schaffer, at a press conference during the World Food Prize ceremonies, told the group that USDA is planning on making loan guarantees available to ethanol producers who had locked in high prices for corn this past summer. (See story below.)
Whatever the intent, an effort to protect ethanol producers from their own decisions is totally unacceptable. Particularly in light of the fact that many pork producers (and other meat producers) also committed to long term arrangements for corn at prices much higher than currently available.
While NPPC and the KPA are responding, producers can also provide input on the issue. Here's how:
The number for the Secretary’s Office is: 202-720-3631.
The main points to express are:
These same points can also be expressed to the Kansas Congressional delegation. Their contact information is below.
Ethanol Makers May Get Aid for Losing Corn Bets, Schafer Says
Oct. 17 (Bloomberg) -- Ethanol companies that speculated on rising corn prices and lost may be eligible for government refinancing or loans to offset their bad bets, according to Agriculture Secretary Ed Schafer.
Some ethanol makers bought corn as prices rose, speculating it would go higher. Instead, futures have dropped by half since touching a record $7.9925 a bushel on June 27. Financial backing for the companies, which weren't named, is necessary to maintain U.S. ethanol production, Schafer told reporters today in Iowa.
``There's going to have to be some credit applied to companies to buy some lower-priced corn to blend with their higher-priced corn,'' Schafer said. ``This is important public policy for the country because corn-based ethanol is a stepping stone to energy independence through cellulosic ethanol. We're going to continue to support it as much as we can.''
Ethanol futures for November delivery rose 5.4 cents, or 3.2 percent, to $1.729 a gallon on the Chicago Board of Trade. The price has fallen 27 percent this year.
Some ethanol companies have struggled with volatile corn prices. On Sept. 17, VeraSun Energy Corp., the second-largest U.S. producer, said it may report a third-quarter loss of as much as $103 million because of bad hedging bets.
Biofuel Energy Corp. had $46 million in combined corn, ethanol and natural-gas hedge mark-to-market losses, according to an Aug. 12 statement, and may be forced to restructure.
Corn futures have dropped 12 percent this year because of decreased demand for the grain as animal feed and as production increased. Some ethanol companies bought corn for $7 a bushel in June and July, speculating they could sell their contracts at a profit after prices rose, Schafer said. Most-active corn futures closed at $4.03 a bushel in Chicago today.
Hedging Turned to Speculating
``When they got into saying, `We're not buying supply for our operations here, we're speculating on commodities to make money,' some people got stretched out pretty thin,'' Schafer told reporters during the World Food Prize symposium in Des Moines. ``There is some pressure out there by companies that have gotten away from their focus on producing ethanol and started speculating on the commodity markets, and that's hurt them.''
The government could provide up to $25 million per company to refinance through a ``guaranteed loan-type program for operating capital,'' Schafer said. The U.S. Department of Agriculture also has up to $10 million in support from an ``energy piece'' focused on biotechnology, he said.
Legislation passed in June lets the government guarantee loans of as much as $250 million for new ethanol production facilities, Schafer said. The assistance will help residents of small towns that rely on the ethanol companies, he said.
``We're not in the market to buy commodities or to provide funding to buy commodities,'' Schafer said. ``We have the responsibility to make sure we cement in the infrastructure of rural America and ethanol production has increased the economic opportunities, the jobs and the building of rural America.''
Response from NPPC
Statement of NPPC CEO Neil Dierks On USDA Plan To
Extend Development Loans To Ethanol
October 22
“The National Pork Producers Council is extremely disappointed and very concerned that USDA is considering extending rural development loans to ethanol plants because some plants may be struggling economically due to decisions made earlier in the year to lock in corn prices (referred to as speculation in many media reports) that have since lowered in price.
“Many pork producers used prudent risk management but encountered cost concerns, yet there has been no relief offered to them. The livestock and poultry industries have been dealing with – and suffering from – high input prices for nearly two years in large part because of the rapid rise in ethanol production. Recent estimates indicate that U.S. pork producers have lost nearly $3 billion of equity in their operations over the past year. Anything that has even the appearance of a bailout for an industry that already is being propped up through government production mandates, tax credits and import tariffs is a slap in the face to all of animal agriculture and is anathema to our free enterprise system.
“Rather than giving the ethanol industry what seems to be special consideration, NPPC renews its request for eliminating or significantly reducing the array of government support programs for the ethanol industry. Pork producers just want to be able to compete on an equal footing with other users of corn. Additionally, NPPC again calls on USDA to create a task force to address the negative consequences of ethanol mandates on feed prices.
“Finally, while some believe this will be a banner year for agriculture, it certainly will not be for the livestock industry, and we would hope that policy-makers in Washington remember that.”
The KPA Executive Board recently voted to financially support the efforts of Californians for SAFE Food, a coalition of public health and food safety experts, labor unions, consumers, family farmers and veterinarians, who are leading the charge against Proposition 2, a ballot measure that places mandates on how egg-laying hens are housed. The measure also includes provisions affecting housing requirements for veal calves and pregnant pigs.
The group recently unveiled its second television ad urging Californians to vote “NO” on Proposition 2, the ‘Standards for Confining Farm Animals Initiative.’ The ad began airing yesterday in major markets.
The advertisement features health and food safety experts, Dr. Kara Hutton, Bay Area Pediatrician, and Dr. Bruce Charlton, University of California Food Safety Lab System (title and affiliation for identification purposes only), as well as strong images describing the negative consequences of Prop. 2 for Californians, namely: Proposition 2 will compromise our high food safety standard, risking increased exposure to Salmonella poisoning, drive up food costs and grocery bills and put California family egg farmers out of business.
In recent days, nine more daily newspapers, the Merced Sun-Star, Marin Independent Journal, Chico Enterprise Record, Eureka Reporter, Vacaville Reporter, Monterey Herald, Santa Clarita Valley Signal, Union Democrat and Torrance Daily Breeze have come out against Proposition 2, bringing the total to 25 leading California daily newspapers who have urged their readers to reject this costly and dangerous initiative. From north to south, urban and rural, coastal and inland, all across the state, food safety and economic issues are winning the day as editorial boards are seeing through the false and misleading emotional arguments presented by the Yes on 2 campaign and urging a “NO” vote on Prop 2.
Major newspapers who have already taken stands against the costly and dangerous Proposition 2 include the Los Angeles Times, San Francisco Chronicle, Orange County Register, Sacramento Bee, Long Beach Press-Telegram, Fresno Bee, Modesto Bee, and Bakersfield Californian.
The Kansas State University Department of Animal Sciences and Industry will unveil a new growing and finishing swine building as part of the 2008 Swine Day Nov. 20 in Manhattan.
Fundraising for the $650,000 building began three years ago and all funds came from donations to support research and teaching efforts in swine production, said Joel DeRouchey, livestock specialist with K-State Research and Extension.
The new 75- by 208-foot building replaced an older facility, DeRouchey said. It complements several existing buildings that make up the swine unit, including a headquarters building which contains classrooms, plus farrowing and nursery, gestation and metabolism, and breeding barns.
“The new facility will house pigs indoors and remove extra pigs not used for research and teaching off of dirt lots. That will help reduce pathogen loads, decrease odor and generally aid the health of K-State’s swine herd,” said Extension swine specialist Jim Nelssen.
The new building will expand the university’s research capabilities, said DeRouchey, adding that through large viewing windows, the building’s design will allow undergraduate and graduate students better visibility than was possible in the previous facility.
“This building, which features a computerized feeding system, allows us to take pigs all the way from weaning to market in this facility,” Nelssen said. “Students will train in a state-of-the-art modern facility. They will have exposure to not only the newest technology (in the new building), but also some of the technology that has been used in the industry for awhile in some of our older buildings. That way, they will be familiar with newer, as well as older technologies when they go into industry.”
The building will hold up to about 1,000 head in four separate rooms, he added.
The new facility was built by Henning Construction Co., based in Johnson, Iowa. K-State Research and Extension specialists Pat Murphy and Joe Harner worked with the builders on the ventilation and waste management designs, respectively.
Primary donors to the new swine building include the Kansas Pork Association through increased sponsored research, the KSU Livestock and Meat Industry Council (LMIC), and chemical company, Lonza. In addition, direct swine producer and allied industry donations, as well as KSU swine nutrition graduate student alumni helped complete the fundraising efforts.
“We’re grateful for all the people who put money into this project,” Nelssen said.
More information on K-State’s Swine Day and the opportunity to view the new growing and finishing building is available online at http://www.asi.ksu.edu; click on Research and Extension and on Swine Day or call 785-532-1267.
The Kansas Pork Association, the Missouri Pork Association, the Nebraska Pork Producers Association, the Iowa Pork Producers Association, the National Pork Board and National Pork Producers Council are teaming up to host a one-day education seminar for agriculture lenders December 11, in St. Joseph, Mo.
The goal of this conference is to give lenders an overview of the current situation in the pork industry and educate them on how they can better serve their pork producing clients.
“Because of the current economic crisis facing the pork industry, many producers are suffering financially and are having difficulty finding ways to remain profitable and stay in business,” said KPA President-CEO Tim Stroda. “By holding this seminar, we can impress upon lenders the severity of the situation and encourage them to find additional solutions to pork producers’ problems.”
Several industry experts have been enlisted to present at the seminar. The speakers include Mike Laughery of the National Pork Board who will provide a short- and long-term view of what lies ahead for the pork industry.
Economist Steve Meyer of Paragon Economics will discuss the various factors affecting the pork industry such as grain prices, international credit, energy markets, biofuels policy and global economic growth.
The National Pork Board’s John Green will discuss international and domestic demand for pork and how these trends will affect the industry.
Tom Clark of CME Group will share ideas on how producers can use futures and options for risk management, to lock-in production price levels and input costs by hedging.
National Pork Producer Council representative Dallas Hockman will discuss the Responsible Pork Initiative. This unified industry-wide initiative will focus on promoting the industry’s long-standing commitment to responsibility and improvement as well as responding to attacks against it.
“We’re pleased with the speakers who are committed to participating in this important seminar,” Stroda said. “Their experience will allow them to provide a comprehensive summary of what’s going on in the industry at the present time.”
For more information or to register, you can contact Sharlotte Peterson at the National Pork Board at (800) 456-PORK or at speterson@pork.org. The conference will be Thursday, December 11, from 9 a.m. to 3 p.m. at the Stoney Creek Inn at 1201 Woodbine Road, St. Joseph, MO 64506.
To download a brochure, click on Lender's Conference.
As of September 30 of this year, fresh pork products come under the Mandatory Country of Origin Labeling program. The law requires product to be labeled as to country of origin at the retail meat case in the United States. The National Pork Producers Council has been working with others to develop workable systems for producers and other members of the pork chain to comply with the federal requirements of this law.
Foremost has been a process to develop uniform affidavits (forms of identification) of origin which can be signed by producers to serve as the legal paperwork for identifying the origin of their hogs. Remember origin on all hogs must be established, not just origin of imported animals. NPPC will continue to push for simple, common sense approaches that do not establish burdensome
requirements. For a list of frequently asked questions related to how producers must comply with the MCOOL regulations - click on Questions.
As part of our advertising package with Kansas State University, the KPA receives tickets to selected football games.
Be the first producer to e-mail or call the KPA office and you can win 2 tickets to the KSU vs Oklahoma game to be held Saturday, October 25.
Call 785-776-0442 or e-mail to kpa@kspork.org
Pork producers attending Kansas State University home football games are invited to attend the pre-game tailgate function hosted by the Department of Animal Sciences & Industry. The event is held in Cat Town located just west of Bramlage Coliseum.
The Kansas Pork Association is a sponsor of the event.
The grill was busy cooking pork for the Nemaha County Catbackers Club tailgate on September 6 before the Kansas State University football game in Manhattan. J-Six Farms LP, Seneca, teamed with the KPA's Community Outreach Program to help sponsor the event.
The Pork Community Outreach is designed to assist individual pork producers in becoming more involved and positively visible in their local communities. The KPA is offering matching funds on the expenses on selected community relations activities. The purpose of this program is to multiply the positive effects of pork producer involvement in the communities where hogs are raised.
To be eligible you must:
Fill out a cost share request form and submit it to the KPA at least two weeks prior to your event and submit design ideas to the KPA so that appropriate logos and messages may be included.
To find more information about the program, click on Community Outreach
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
Impact of COOL on Pork Producers
Date: October 13, 2008
Length: 7:08
Speaker: Steve Larsen, director of pork safety for the Pork Checkoff
Pork Industry Environmental Stewards
Posted: 06 Oct 2008 05:07 PM CDT
Carbon Footprint
Posted: 01 Oct 2008 05:07 PM CDT
Date: October 1, 2008
Length: 7:04
Speaker: Garth Boyd, Senior Vice President Camco Global
October 8
Trichinae Program Could Boost Pork Exports
The U.S. Department of Agriculture today issued a final regulation for implementing a program in which producers may participate to certify that their pork is free of trichinae, a move that should allay concerns of U.S. trading partners and help boost U.S. pork exports, according to the National Pork Producers Council, which worked to get the program included in the 2008 Farm Bill.
Although the occurrence of Trichinella spiralis in the U.S. commercial herd is extraordinarily rare, a national voluntary certification program, says NPPC, will confirm that fact and will address concerns raised by many of the United States’ biggest trading partners, including the European Union, Russia, Chile and Singapore, about the possible presence of trichinae in U.S. pork. Those countries require testing for trichinae of all fresh and chilled pork imports from the United States, tests that are expensive and that act as a significant barrier to U.S. pork exports.
“The trichinae certification program will give our trading partners evidence of what USDA and every U.S. pork producer has known for years – trichinae is not a problem in U.S. pork,” said NPPC President Bryan Black, a pork producer from Canal Winchester, Ohio. “We expect this program to expand U.S. pork exports.”
The U.S. pork industry has worked for more than 13 years with U.S. and international agencies to formulate a National Trichinae Certification Program that will significantly increase the U.S. pork industry’s global market access. Producers in a number of states have participated in voluntary pilot programs in 1995, 1997 and 2000. The certification program includes on-farm production practices – which producers helped develop – that will mitigate the negligible risks of exposure to Trichinella spiralis.
The Farm Bill includes authorization of $1.5 million annually over five years for the program. NPPC was instrumental in getting the authorizing language added to the bill.
U.S. Pork exports performed extremely well in August, despite growing concerns about global financial conditions and an upward surge for the U.S. dollar that has diminished the purchasing power of some major trading partners' currencies.
While August pork plus pork variety meat exports declined in comparison to the record monthly totals set earlier this year, the August total of nearly $444 million pushed this year's export value past the then-record total achieved in 2007. In just the first eight months of 2008, pork exports reached a value of $3.21 billion, compared to $3.15 billion in all of 2007. The export volume of 1.37 million metric tons or 3.03 billion pounds, also exceeds 2007's year-end total.
January-August pork exports have increased 71 percent in volume and 64 percent in value compared to the same period last year. Japan is still the largest value market for U.S. pork, at $992.7 million for the year - an increase of 29 percent over 2007. Japan's volume of 299,277 metric tons or 659.8 million pounds, is up 25 percent over last year.
Mexico also continues to be a strong growth market, with January-August volume up 35 percent and value up 46 percent over last year - to 237,655 metric tons or 523.9 million pounds, valued at $417.3 million.
Pork exports to Russia increased 174 percent in volume and 177 percent in value this year - to 141,446 metric tons or 311.8 million pounds, valued at $302 million. August exports to Russia set a new monthly record of 28,012 metric tons or 61.8 million pounds, valued at $61.9 million.
October 17
Where Does Our Food Come From
If producers from a celebrity talk show contacted you and wanted to tour your farm, would you let them? John Kellogg, a producer from Illinois, recognized the opportunity and the importance of showing how he properly cares for his animals to millions of viewers.
Having been active in the pork industry for many years, John called the Pork Checkoff to let the staff know that a producer from Oprah would be filming on his farm. The Checkoff worked with John and his son Matt to provide them with talking points and background information on the current industry issues.
The Oprah show, Where does our food come from?, aired on October 21. Matt Kellogg was in the audience telling his story. Other guests on the show included Wayne Pacelle, Humane Society of the United States; Julie Buckner, Californians for Safe Food; Ryan Armstrong, a California egg producer; Nicholas Kristof, a New York Times columnist who grew up on a farm; a veal producer; and an Iowa pork producer who runs a 300 sow free-range operation.
"Less than two percent of the world population is feeding the other 98 percent and then a lot of that population becomes to complacent about having a meal on the table when they want it, that they then feel they can come back and tell me how to do my job," said Matt Kellogg.
Kellogg continued, "It's really kind of funny because they get their food from the grocery store. They don't get it from the farm. That's their perception. It's frustrating because they aren't informed and they may be attacking what I am doing."
If you ever find yourself in a similar situation, please contact your state pork association or the Pork Checkoff. Together the two organizations can provide you with information to make the interview a success.
Rachael Ray Readers Respond to Pork Ad
The best advertisements have a knack for connecting with consumers and speaking to their needs and interests. Recent research focusing on the readers of Everyday with Rachael Ray magazine revealed very favorable ratings of the Pork Checkoff's latest advertising campaign, "Pork &."
Readership surveys measured the effectiveness of the Checkoff's magazine advertising by calculating ad recall, brand association and actions taken for a particular ad in an issue. This year's survey highlighted the "Pork & Jeans," ad, which featured a picture of pork kabobs and a short narrative about lean pork and its role in a healthy diet. The same survey was conducted last year for one of the Checkoff's ads that appeared in the September 2007 issue of Everyday with Rachael Ray. With its headline of "Incredible Meals. Really Fast.," the ad pictured a bike helmet-clad woman cooking at a grill.
"These readership surveys let us see how this year's creative is measuring up, compared to the ad we ran last year," says Laurie Bever, director of consumer advertising for the Pork Checkoff, who notes that Everyday with Rachael Ray boasts a circulation rate of 1.6 million, with a pass-along rate that bumps the total to 2.6 million. "Through our advertisements in Everyday with Rachael Ray, we experienced a significant improvement in resonating with our target audience, which is women ages 25 to 49."
Brand association, which measures whether readers associate the ad with pork and understand what The Other White Meat stands for, skyrocketed from 43 percent with the 2007 ad to 82 percent with the 2008 ad. Action taken, which can include visiting TheOtherWhiteMeat.com, searching for more information about pork, going to the store, saving the ad and/or recommending the product, soared from 47 percent to 71 percent. The percent of consumers who viewed the ad and considered buying pork or purchased the product jumped from 34 percent to 53 percent.
Protect Yourself and Protect Your Pigs this Flu Season, Pork Checkoff Recommends Getting Vaccinated for the Flu
In anticipation of this flu season, the Pork Checkoff is reminding producers, farm personnel, veterinarians and others who have contact with pigs to get the flu shot. The flu season can start as early as October and can last through May.
Dr. Liz Wagstrom, assistant vice president of science and technology for the Pork Checkoff, said, "Producers and swine farm workers can reduce the risk of getting sick and bringing the flu to the farm or workplace by getting vaccinated.
"The flu shot contains two type A viruses and one type B one. The A viruses may spread between people and pigs. The B virus is not of concern to the health of the animals," Wagstrom said. Humans will develop antibodies that will protect them against infection with the flu virus two weeks after taking the flu shot, she added. The flu shot is available as an injection or in a nasal spray. "The Centers for Disease Control and Prevention, or CDC, recommends that pregnant women not get the nasal vaccine," Wagstrom said.
Wagstrom recommends other practices to reduce the spread of infection among workers and of the pigs with human influenza viruses. Among them is modifying sick-leave policies to encourage workers to stay away from the farm if they are suffering from acute respiratory infections. "Virus shedding is at its peak when the clinical illness is most severe, but people may remain 'contagious' as long as the symptoms last, from three to seven days," she said.
Good building ventilation and good hygiene also will reduce transmission of the flu viruses. "To prevent pigs and humans from other species' influenza viruses, producers also should look at bird-proofing their buildings, protecting feed from birds and enforcing biosecurity practices such as the use of farm-specific clothing and footwear." Wagstrom also suggested chlorinating the water used on the farm, especially if it is surface or pond water since migrating fowl and other wildlife may spread different viruses.
"The CDC has great information about the flu shot, who should get it and who should not. I'd recommend that everybody visit their Web site for more information," Wagstrom added. The CDC's Web site is www.cdc.gov.
The Pork Checkoff's own fact sheet on influenza titled "Influenza: Pigs, People and Public Health" is available online at www.pork.org/PorkScience/PublicHealth.aspx?c=Factsheets.
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
October 17, 2008
Pork exports continued to grow during August but the rate of growth was down substantially from the growth through June and July. In August, pork exports were up 55.6 percent from last year. Pork imports for August were down 22.9 percent from 2007. The cash hog market in September and October indicates pork export growth slowed from August.
For January-August, pork exports were up 68.9 percent from a year earlier and pork imports were down 16 percent from 2007.
Net pork exports as a percent of production increased from 8.7 percent in August of 2007 to 17.4 percent of production in 2008. For January-August, net pork exports as a percent of production in 2007 was 9.1 percent, a year later the net pork exports had grown to 17.9 percent. These changes in pork trends are the major reasons why live hog demand for January-August was up 7.6 percent with consumer demand for pork down 4.9 percent.
Live hog imports from Canada for January-August were up three percent from a year earlier. Feeder pig imports were up and slaughter hog imports were down for January-August of 2008 compared to 2007.
The value of pork exports in August per hog amounted to $39.53 this year and $23.78 a year earlier. For January-August, the value of pork exports this year was $36.34 per head compared to $24.49 per head in the same month of 2007.
The value of pork exports plus pork variety meats exports at $47.90 per head for August of this year and $27.27 in August last year. In January-August last year the value of pork exports and pork variety meats was $28.00 per hog slaughter. For the same eight months this year the value per hog slaughtered was $42.11 for exports of pork and pork variety meats.
Hog slaughter in recent weeks indicated the possibility that the September Hogs and Pigs overestimated the number on farms of market hogs weighing 120-179 pounds. However, we cannot rule out that we have not backed some hogs up in the last few weeks. The live weights of barrows and gilts in Iowa-Minnesota for the week ending October 11 at 265.8 pounds per head were down 0.1 pound from a week earlier and down 2.1 pounds from a year earlier. But for the week ending September 6 the average live weights of barrows and gilts were 5.5 pounds below a year earlier. These weights have consistently grown closer to a year earlier in the past five weeks. This data supports the trade report that markets have become less current in recent weeks.
Pork cutout per cwt of carcass was pushed lower again this week with the cutout Thursday afternoon at $65.22 per cwt down S3.61 per cwt from a week earlier. Loins at $88.92 per cwt down $3.66 per cwt, Boston butts at $69.54 per cwt down $0.04 per cwt, hams at $47.47 per cwt down $9.78 per cwt and bellies at $74.75 per cwt down $1.23 per cwt from seven days earlier.
The live prices for barrows and gilts this Friday morning were $3.75 to $6.00 per cwt lower compared to last week. The weighted average carcass prices under negotiated trade were $3.07 to $4.50 per cwt lower compared to seven days ago.
The live prices for select market were: Peoria $37.50 per cwt, Zumbrota, Minnesota, $42.00 per cwt and interior Missouri $43.00 per cwt. The weighted average carcass prices for the negotiated trade by areas were: western Cornbelt $60.52 per cwt, eastern Cornbelt $56.78 per cwt, Iowa-Minnesota $60.54 per cwt and nation $58.31 per cwt. Additional weakness in hog prices is expected in coming weeks.
Slaughter this week under Federal Inspection was estimated at 2348 thousand head up 0.8 percent from a year earlier.
On September the 26th over 80 health care professionals from across the state gathered in Salina to attend the Kansas Consulting Dietitians in Healthcare Facilities Fall Workshop that was supported and attended by the Kansas Pork Association. Topics covered at the workshop included obesity, fine-tuning professional dietary management skills and liability among dietitians. Speakers were complimented by various on-site vendors such as the Kansas Pork Association, KSU Extension, Sysco Food Services of Kansas City, Nestle Nutrition and Apria Healthcare.
The Kansas Pork Association’s onsite booth focused on educating the registered dietitians, dietary managers and administrators of long-term care facilities on the value of pork in the diet and utilizing lean pork in a diet for Type 2 Diabetes. The KPA provided recipes that demonstrate pork as a lean, nutrient-rich source of protein for health professionals to utilize in their daily meal recommendations.
If you would like information to provide to health care professionals in your area, please contact the KPA office.
Sep 15, 2008
By Joe Vansickle Senior Editor
National Hog Farmer
Teams around the United States are hard at work trying to decipher why healthy-looking nursery pigs are starving out.
A puzzling pig-wasting problem spreading across the country has researchers and producers alike searching for answers.
About 10 months ago, producers started reporting nursery fallout problems, says Mike Tokach, Extension swine specialist, Kansas State University (KSU). Newly weaned nursery pigs appeared to be eating quite well, then a couple of days later they quit eating.
In affected barns, 2-10% of pigs have either died or wasted away. “They go through a very long-term starvation period and either die or have to be euthanized,” Tokach reports.
KSU swine researcher and graduate student John Bergstrom completed one trial comparing four similar nursery diets to determine if there is a dietary component. The trial showed surprisingly big differences in ingredient quality, sourcing and processing — but so far nothing that proves that diet is playing a role, Tokach reports.
The next trial will evaluate the potential role of porcine circovirus and mycoplasma vaccines in producing feed depression.
“What I think we are going to find is that in this postweaning period there are several factors involved: management issues, feed ingredient quality and possibly timing of Mycoplasmal pneumonia and circovirus vaccines that we weren't as concerned about a couple of years ago,” Tokach says.
Multifactorial Syndrome
At the 2008 Leman Swine Conference in St. Paul, a veterinary team presented a report on Postweaning Catabolic Syndrome.
The team demonstrated this syndrome is a multi-factorial industry problem involving postweaning pigs that fail to thrive. The team consisted of Luc Dufresne, DVM, Seaboard Foods; Thomas Fangman, DVM, Boehringer Ingelheim Vetmedica, Inc., and Steve Henry, DVM, Abilene (KS) Animal Hospital.
Their findings were that normal, well-grown pigs begin a progressive decline in body condition within the first five days after weaning. “Even with early detection and immediate supportive nutrient and antimicrobial intervention, affected pigs catabolize fat and muscle tissue over the ensuing 2-3 weeks and deteriorate to become emaciated and require euthanasia,” they explain. “Catabolize” refers to a metabolic imbalance and release of energy that results in a breakdown of complex materials within the organism.
Kansas Field ObservationsIn swine veterinarian Henry's experience with client herds, weaned pigs at 3-10 days postweaning, with good frame and condition, suddenly become gaunt and anorexic, yet active and alert. “But (they) progress to thin-as-rails by 14 days postweaning and usually die by 17 days postweaning,” he says.
Field necropsies reveal a breakdown of fat in organs and a depletion of fat reserves in most parts of the body. “The gastrointestinal tract is void of ingested feed, feces are pasty and scant, and many pigs appear not to have eaten since being weaned,” he states.
Henry stresses this “catabolic syndrome” is a feature of the well-conditioned, well-framed pig at weaning. These are pigs typically weaned at 21-24 days of age weighing 13-16 lb., carrying impressive body fat stores and appearing vigorous and active.
Tale of Two SyndromesDufresne says the Seaboard production system has stuck with weaning pigs at 16-18 days of age, but clinical signs and necropsy results of “failure to thrive” pigs mimic Henry's observations.
“These animals show severe anorexia/cachexia (general physical wasting and malnutrition) with no apparent infectious agent involvement. The syndrome is observed most often in normal or large piglets.
“What has changed, lately, is the increase in prevalence of the condition,” he says. “The combined results of six, system-wide necropsy audits, performed between March 2003 and May 2006, and involving several thousand pigs, show that failure to thrive was the fourth most important cause of mortality behind pneumonia, polyserositis and colitis.” See Figure 1.
Moving to source-specific necropsy audits, two different patterns of the syndrome emerged, Dufresne adds. One is a high incidence of failure to thrive with a high rate of colitis and pneumonia. (Figure 2). “In these cases, diagnostics implicate salmonella and rotavirus, and we suspect that the failure to thrive was initiated by one or both of these pathogens,” he continues.
The use of vaccination, strategic antibiotic treatment and partial depopulation has greatly reduced mortality in those flows. “Although we have been successful at controlling the pathogens, failure-to-thrive pigs remain, but at much lower levels,” Dufresne counters.
In contrast, a different trend has emerged in the last year in some of Seaboard's production flows. “Necropsy results shown in Figure 3 indicate that failure to thrive is the first- or second-highest cause of mortality with no major lesions of colitis or enteritis,” he asserts. In these cases, the catabolic syndrome seems to play a major role by itself. Dufresne offers three major clinical observations:
The severity of the syndrome is sow-farm dependent. When pig sources are combined in the same nursery barn, the prevalence of failure-to-thrive pigs can be four to five times higher in one source vs. the others.
Porcine reproductive and respiratory syndrome (PRRS) can be involved, but not always. In one case, when two sow farms combined pigs in nurseries in source-specific rooms, the syndrome results were worse in the offspring coming from a PRRS-stable farm than the offspring from a PRRS-unstable farm.
Males are more affected than females. In farms experiencing this syndrome, death loss in barrows is usually twice as high as in gilts. In the necropsy audit results shown in Figure 3, out of 236 piglet necropsies, 152 were barrows and 84 were gilts, Dufresne points out.
Henry says the inability to obtain whey with predictable quality has led to modifying feed budgets based on wean weight, with less plasma protein included in starter diets.
Henry resolves there are six points impacting nutrition in the current syndrome, based on talks with Tokach:
The lactose and lactalbumin in whey are key to predictable response of starter diets. The industry is now using more whey permeate, where the whey protein is removed (used for human markets).
Fish meal has also been a critical component in weaned pig diets. The quality and quantity of fish meal has seriously declined, and along with it, the performance of diets in weaned pigs. A number of recent trials show fish meal sources have poorer performance than pigs fed diets with soybean meal replacing the fish meal.
Cost-saving moves add to problems. Reducing feed budgets in older, heavier pigs means less plasma and whey to start the pigs.
An increase in ingredients in weaning pig diets to improve performance and reduce costs could actually increase quality problems.
It can be difficult to identify and solve this syndrome in a normal research setting because it's tough to replicate what's happening in the field. Providing extra care in the research barn to carry out the trial often results in improved performance.
“The greatest frustration is that we have learned much about ingredients to increase consumption, help the immune system, reduce villus atrophy, alter pH, etc., and yet, getting pigs started on feed is a bigger issue today than in years past,” Henry comments.
Health, TreatmentsThe team agrees that infections with PRRS, swine influenza virus, circovirus, salmonella and rotavirus can certainly compromise the pig, and combined with a lack of feed consumption, lead to a failure to thrive and ultimately death.
The environmental stress of chilling, plus the competition associated with establishing dominance during postweaning, places these challenged nursery pigs more at risk.
Specific efforts to improve pig performance have included hand-feeding pellets, the use of milk products and milk replacer, dextrose/electrolyte preparations and multi-day supplementation with concentrated glucose/glycine solutions. Diets have also been supplemented with nutrient-dense feeds and complex protein and lactose.
The results are sometimes beneficial, but more often confusing. These compromised pigs return to feed consumption, yet fail to grow normally and muscle deposition does not rebound normally, according to the team report. Most of these pigs end up being classified as non-growers and are euthanized prior to the move to finishing.
In conclusion, the veterinary team says the postweaning catabolic syndrome has led to a great deal of speculation, yet little data beyond clinical and pathological evaluations. Neither approach has yielded a greater understanding of the cause, processes or appropriate intervention.
As of September 30 of this year, fresh pork products come under the Mandatory Country of Origin Labeling program. The law requires product to be labeled as to country of origin at the retail meat case in the United States. The National Pork Producers Council has been working with others to develop workable systems for producers and other members of the pork chain to comply with the federal requirements of this law.
Foremost has been a process to develop uniform affidavits (forms of identification) of origin which can be signed by producers to serve as the legal paperwork for identifying the origin of their hogs. Remember origin on all hogs must be established, not just origin of imported animals. NPPC will continue to push for simple, common sense approaches that do not establish burdensome
requirements. For a list of frequently asked questions related to how producers must comply with the MCOOL regulations - click on Questions.
Pork producers attending Kansas State University home football games are invited to attend the pre-game tailgate function hosted by the Department of Animal Sciences & Industry. The event is held in Cat Town located just west of Bramlage Coliseum.
The Kansas Pork Association is a sponsor of the event.
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
Pork Industry Environmental Stewards
Posted: 06 Oct 2008 05:07 PM CDT
Carbon Footprint
Posted: 01 Oct 2008 05:07 PM CDT
Date: October 1, 2008
Length: 7:04
Speaker: Garth Boyd, Senior Vice President Camco Global
Industry Responds to PETA Video
Posted: 18 Sep 2008 10:38 AM CDT
Date: Sept. 18, 2008
Length: 6:33
Speaker:
Steve Weaver, National Pork Board President
Lynn Becker, MowMar farms
Tom Burkgren, American Association of Swine Veterinarians Executive Director
Profitability Challenge for Pork Producers Part 2
Date: September 9, 2008
Length: 9:08
Speaker: Don Fedie, Financial and Management Advisor for Agri Control Co.
October 3
Where do pigs come from?
Producers need to be able to answer this question for every load of pigs that they sell due to country of origin labeling (COOL) regulations that came into effect on Sept. 30.
"The COOL rule has been in the works for years," said Steve Larsen, director of pork safety for the Pork Checkoff. "It was in the 2002 Farm Bill and it's finally time to implement it. It will not affect all producers, but it will affect most."
COOL directly affects retailers and packers, but to be compliant these customers will need producers to participate too. "You don't only have to sell market hogs to have a responsibility under COOL regulations," said Larsen. "If you sell weaned pigs for another producer to finish, you have a responsibility. You must provide your customers with a declaration of origin -also known as a producer affidavit- of those pigs. If you are the buyer, you must request the document because you will be asked for the information when it's your time to sell the animals."
Some producers will not be affected by COOL. "My best advice to producers is: ask your customer, be it a packer, a locker or another producer, if you need any documentation to accompany your pigs as a result of COOL coming into effect."
The Pork Checkoff has put together a Web page dedicated to COOL. There, producers can find more details on COOL including exceptions to the rule, sample affidavits from industry customers and answers to frequently asked questions. The Web page can be found by clicking on the For Producers tab and navigating to the page labeled "COOL."
Celebrity Chef Crowns Boldest Pork Griller in America
When celebrity chef and grilling guru Guy Fieri teamed up with the Pork Checkoff for the "Bring it t-ON-g! Pork Grilling Challenge," a nationwide search for America's boldest grilled pork recipe, Steven Overlay's "Poppin Pork Burgers with Green Apple Slaw" captured the coveted "golden tongs."
"Steven's burgers were bold, and I dug the flavor combination he used," says Fieri, who spent the summer encouraging America's "gratest" grillers to beat the blahs and go bold with pork. "Judging was no simple task - each of these recipes was the bomb - and I was impressed that they all used different flavors and ways to prepare pork."
Three Bring it t-ON-g! finalists recently hit the grills and went tong-to-tong on a rooftop in New York City for the chance to take home $5,000 and bragging rights. Fieri, who is known for grilling with gusto, awarded top honors to Overlay, who hails from Henderson, Nev. The Food Network star relished his role, notes Traci Rodemeyer, pork information manager for the National Pork Board.
"Guy calls himself a 'P.O.P.-Pal of Pork,' and he's the perfect spokesman for pork. His involvement with the Bring it t-ON-g! Pork Grilling Challenge attracted a great deal of national media attention, and his messages came through with credibility, passion and enthusiasm."
Dr. BBQ Fires Up Fall Tailgating with Pork
One of America's most-beloved barbecue gurus teamed up with the Pork Checkoff to kick off the football tailgating season and promote pork, live from the University of Phoenix Stadium via a recent satellite media tour (SMT).
"Ray Lampe, also known as Dr. BBQ, helped the Pork Checkoff achieve a record-setting SMT," says Pamela Johnson, director of consumer communications for the National Pork Board. "We had the chance to reach millions of consumers through 27 broadcast interviews in major markets across the country, including Denver, Atlanta and Tampa."
During his television and radio broadcasts from the site of the 2009 Fiesta Bowl, Dr. BBQ coached at-home kitchen quarterbacks on how to host the ultimate gridiron get-together, complete with pork. For the first time, Dr. BBQ shared his favorite pork recipes from his new cookbook "The NFL Gameday Cookbook," including Tropical Pork Chop Sandwiches with hints of lime, coconut and pineapple and guava. He also served up recipes for Kick-Off Pork Kabobs, Spicy Spare Ribs, and Maple Pork (Tenderloin) on a Maple Plank, which can be found on TheOtherWhiteMeat.com.
"Not only did Dr. BBQ show consumers how to put together the perfect tailgate party with big, bold flavors, but we'll be able to maximize this Checkoff investment throughout the football season," says Johnson, who notes that TheOtherWhiteMeat.com is offering sports fans everywhere a chance to win a trip for two to the 2009 Fiesta Bowl on Jan. 5 in Phoenix, Ariz., including two tickets to the game and a VIP pass to a private tailgating party with Dr. BBQ himself. "Our retail marketing specialists will also coordinate with the Fiesta Bowl party to promote pork and pork recipes at the retail level to approximately 3,500 stores."
Pork Checkoff Announces 2008 Pork Industry Environmental Stewards
Four pork production operations have been selected to represent the industry as 2008 Pork Industry Environmental Steward Awards. The Pork Checkoff and its cosponsor, National Hog Farmer magazine, have awarded this honor to four U.S. pork producing operations that have demonstrated a firm commitment to safeguarding the environment and the communities that surround them. This year's award recipients are:
The environmental steward award winners were selected by judges drawn from pork producers and environmental organizations. The judges reviewed the applications of pork producers committed to minimizing the pork industry's footprint on the environment. Their operations were evaluated on their manure management systems; water and soil conservation practices; odor-control strategies; farm aesthetics and neighbor relations; wildlife habitat promotion; innovative ideas used to protect the environment and an essay on the meaning of environmental stewardship.
"We receive a great set of pork producer applications and nominations every year. These operations are committed to doing things right for the environment, for their families and for U.S. agriculture," said Randy Brown, chair of the environmental stewards selection subcommittee and member of the National Pork Board. "Pork producers generally chose to do things right. Farming is their livelihood and protecting the natural resources is part of doing business and part of every day life. These producers went one step further because they chose to represent the industry and apply for this award," he added. Randy Brown's family operation received the environmental steward award in 2005.
Award recipients will receive the recognition of their peers at the 2009 National Pork Industry Forum in Dallas, Texas.
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
October 3, 2008
The September 1, Hogs and Pigs Report came in very close to the average of the trade estimates. USDA estimate of the total number of hogs and pigs was 102 percent of a year earlier. The trade estimate was 102.1 percent. USDA estimate of the breeding herd was 97.4 percent of 12 months earlier and the trade estimate was 97.3 percent of 2007. The market herd estimate was the same for both at 102.5 percent.
The futures market on Monday ended the day with the nearby October and December contracts down $1 per cwt or more and practically all of the contracts for the next year were down at least a little.
Our estimate for the fourth quarter slaughter at 31 million head commercial is up about two percent. We have adjusted the slaughter estimate from the heavier weight market inventories down about 1.5 percent due to expected fewer slaughter hog imports from Canada.
Total commercial hog slaughter in 2008 is expected to exceed 117 million head, up nearly 7.5 percent from the previous record high slaughter in 2007. Slaughter in the first quarter of 2009 is forecasted to be down a littler over two percent based on the light weight market inventories. The second quarter 2009 slaughter, based on farrowing inventories, show a decline of five percent. We are a little apprehensive that this much decline will occur. This feeling is reinforced by the farrowing inventories for the first quarter of 2009 being down only about three percent.
It now looks like slaughter will be down enough in the second and third quarter of 2009 for prices to be at or above the cost of hog production for the average cost producer. This is assuming we do not lose a bunch of demand and we have a near normal corn crop developing in 2009.
Live weights of barrow and gilts in Iowa and Minnesota for the week ending September 27, was up 1.6 pounds from a week earlier but still 2.7 pounds below a year earlier. However, for the week ending September 20, barrow and gilt carcass weights at 195 were only down one pound from a year earlier.
Pork product cutout was pushed lower again this week with the cutout at $73.14 per cwt of carcass down $1.11 per cwt from a week earlier on Thursday afternoon.
Loin prices at $91.44 per cwt were up $1.10 per cwt, Boston butts at $71.13 per cwt were down $1.92 per cwt, hams at $63.38 per cwt were down $4.96 per cwt and bellies at $82.47 per cwt were up $0.12 per cwt from a week earlier.
Live hog prices Friday morning were $0.75 higher to $1.00 per cwt lower compared to seven days earlier. Weighted average negotiated carcass prices Friday morning were $0.76 to $0.04 per cwt lower compared to Friday last week.
The prices for live hogs at select markets Friday morning were: Peoria $45.56 per cwt, Zumbrota, Minnesota, $48.00 per cwt and interior Missouri $48.25 per cwt.
The negotiated weighted average carcass prices by areas for Friday morning were: western Cornbelt $67.69 per cwt, eastern Cornbelt $66.39 per cwt, Iowa-Minnesota $67.54 per cwt and nation $66.90 per cwt.
Slaughter this week under Federal Inspection was estimated at 2323 thousand head up 0.6 percent from a year earlier.
An undercover video shot at an Iowa hog farm shows workers hitting sows with metal rods, slamming piglets on a concrete floor and bragging about jamming rods up into sows' hindquarters.
On the video, obtained by The Associated Press, a supervisor tells an undercover investigator for People for the Ethical Treatment of Animals (PETA) that when he gets angry or a sow won't move, "I grab one of these rods and jam it in her (anus)."
The farm, located outside of Bayard, Iowa, about 60 miles west of Des Moines, is a supplier to Hormel Foods of Austin, Minn. PETA wants to use the results of the investigation to pressure Hormel, the maker of Spam and other food products, to demand that its suppliers ensure humane treatment of pigs.
Source: Associated Press/ Frederick J. Frommer, Sept. 17, 2008
Source URL: http://ap.google.com/article/ALeqM5jYCps4elThCbt4fcA1bKFoxNscmwD938L5HG0
Responses to Video
Statement from MowMar farms
BAYARD, IA (September 17, 2008) – MowMar farms, the new owner of a pig/swine operation featured in a video posted on the PETA website, stated that it is surprised and outraged over the images of animal mistreatment at this newly-acquired farm. As a family-owned farm operation with over 30 years in the swine business, MowMar farms does not and will not tolerate the mistreatment of any animals under our husbandry and we take these PETA allegations very seriously.
VIEW ENTIRE STATEMENT
Statement Of The National Pork Producers Council
On Iowa Hog Mistreatment
An undercover video shot by the animal-rights group People for the Ethical Treatment of Animals shows on an Iowa farm mistreatment of hogs, including practices not condoned and, in fact, abhorred by America’s pork producers. The National Pork Producers Council condemns the mistreatment of animals that took place on the Iowa farm in question.
NPPC also is concerned that PETA did not alert the proper authorities about the abuse in a timely manner.
Providing humane and compassionate care for their pigs at every stage of life is one of the ethical principles to which U.S. pork producers adhere. The mistreatment that took place on one farm in Iowa does not reflect the standards the pork industry follows in caring for its animals. Mistreatment of animals is appalling to pork producers just as it is to others. We do not defend and will not accept such mistreatment.
The U.S. pork industry takes the well-being of its animals very seriously and offers many care and handling education-certification programs for producers and their employees. The Transportation Quality Assurance Program, for example, teaches proper pig handling and transport practices, and the Pork Quality Assurance Plus Program includes on-farm assessments that help producers identify areas of production that need to be addressed before they become problems. This program has the support of leading animal scientists, veterinarians and retail customers. Measuring the standards of care on all farms is one way to help ensure that all animals in the pork industry continue to receive humane care and handling.
Statement from Steve Weaver, National Pork Board President
The pork industry condemns the abuse of any animal.
The National Pork Board and America’s pork producers take their ethical responsibility for the proper care of pigs seriously and will not tolerate any mistreatment of animals.
The owners of the Iowa sow farm investigated by PETA also have said that they will not tolerate the misconduct of any employee involved in the care of animals. The owners said they are taking immediate steps to correct the problems at the Bayard, Iowa, facility they purchased on Aug. 18, 2008.
Representatives of the owners met Wednesday morning with PETA staff members to discuss specific corrective steps.
U.S. pork producers are committed to care for animals in a way that protects their well-being. The industry provides education and training programs – including Pork Quality Assurance Plus® and the Transport Quality Assurance® Program -- to ensure that all persons involved in the care of pigs understand their ethical responsibility and possess the skills necessary to provide good care.
I also would encourage anyone having knowledge of the possible mistreatment of animals to bring that immediately to the attention of the responsible persons.
- Steve Weaver, National Pork Board President
USMEF Humane Handling Statement
By Philip Seng
USMEF President & CEO
The recent video documenting inexcusable abuse of animals at an Iowa hog facility is evidence that there remains a need for animal welfare training and education. And when those fail, we must enforce our laws that are designed to protect animals from any cruelty, neglect or mistreatment.
There are thousands of animal handling facilities throughout the United States, and we know that instances like the one depicted in this video are far from the norm. However, videos like this do a service to our industry because they show that there is still a job to do. We cannot and must not rest until crimes like this are prevented.
Animal welfare is not an issue that is unique to the United States. Global meat industry executives will be gathering in Chicago for the International Meat Secretariat meeting early next year, and animal welfare is at the top of the agenda along with ethical and environmentally friendly meat production. Similarly, U.S. agriculture leaders will be addressing a variety of timely issues including animal well-being at the Center for Food Integrity meeting in Indianapolis next month.
It is important to understand that the groups like PETA that produce these videos are committed to removing meat from our diet. We do not support their objectives, as meat is a critical source of protein and an important part of a balanced and healthy diet. However, videos like this are an important reminder of what we need to do to ensure that our industry is operating in the most humane and ethical manner possible.
As of September 30 of this year, fresh pork products come under the Mandatory Country of Origin Labeling program. The law requires product to be labeled as to country of origin at the retail meat case in the United States. The National Pork Producers Council has been working with others to develop workable systems for producers and other members of the pork chain to comply with the federal requirements of this law.
Foremost has been a process to develop uniform affidavits (forms of identification) of origin which can be signed by producers to serve as the legal paperwork for identifying the origin of their hogs. Remember origin on all hogs must be established, not just origin of imported animals. NPPC will continue to push for simple, common sense approaches that do not establish burdensome
requirements. For a list of frequently asked questions related to how producers must comply with the MCOOL regulations - click on Questions.
Pork producers attending Kansas State University home football games are invited to attend the pre-game tailgate function hosted by the Department of Animal Sciences & Industry. The event is held in Cat Town located just west of Bramlage Coliseum.
The Kansas Pork Association is a sponsor of the event.
Thanks to the matching funds program, the Pork Checkoff is teaming up with states across the Heartland this fall to showcase pork in Midwest Living magazine.
“Our goal is to extend the Pork Checkoff’s national advertising campaign to the state level,” says Stacie Schafer, marketing coordinator for the National Pork Board. “Each quarter we offer the state associations a new turnkey promotion that saves them time and effort, and we’re excited about this opportunity with Midwest Living.”
Each year, $20,000 is available to state pork associations through the matching funds program. Through a 50/50 match, the money can be used on consumer advertising, including radio, print, online, billboards and/or television advertising. In 2008, 18 states are participating in the program.
This fall, state partnerships with Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, Ohio and South Dakota are investing in a “Pork and Jeans” print advertisement in the November/December 2008 issue of Midwest Living magazine, which covers 12 states and boasts a circulation of 950,000. Each state pork association’s cost for the full-page color ad, which promotes the leanness and versatility of pork, is based on the magazine’s circulation figures in that state.
“Midwest Living offers a great way to reach our target audience, and many of the magazine’s subscribers are located in states with a large number of pork producers,” Schafer says. “When we partner with the states on promotions like this, we can reach more consumers and get more value from the Checkoff investment.”
September 18
South Korean Government Decree on Antibiotics Won’t Impact U.S. Exports
The South Korean government’s recent decision to ban the use of seven antibiotics in animal feed in 2009 will not affect U.S. beef and pork exports to South Korea.
The new law restricts the use of these seven antibiotics — Neomycin, Penicillin, Chlortetracycline, Colistin, Oxytetracycline, Lincomycin, and Bacitracin zinc — for Korean domestic production of animal feed. These antibiotics may still be used therapeutically in livestock, and the maximum residue level (MRL) standards for these antibiotics remain unchanged for domestic production and imported meat items.
FDA Seeking Public Comment on Draft Guidance on Genetically Engineered Animal Regulation
The U.S. Food and Drug Administration (FDA) today released for public comment draft guidance on the regulation of genetically engineered (GE) animals. The guidance document is intended to clarify the FDA’s regulatory authority, as well as the requirements and recommendations for producers of GE animals and products derived from GE animals.
Genetic engineering generally refers to the use of recombinant DNA (rDNA) techniques to introduce new characteristics or traits into an organism. Genetic engineering already is widely used in agriculture to make crops resistant to pests or herbicides. Genetic engineering also is used in animals for such purposes as developing traits that improve nutrition, contributing to faster growth or reducing emission levels of environmentally harmful substances, such as phosphate in manure.
Using the animal drug provisions of the Federal Food, Drug and Cosmetic Act (FD&C Act), the FDA’s Center for Veterinary Medicine has been working with the developers of GE animals to make them aware of their responsibilities to ensure that food from these animals does not enter the U.S. food supply unless the FDA has authorized such use.
The comment period on the draft guidance, titled “The Regulation of Genetically Engineered Animals Containing Heritable rDNA Constructs,” runs through Nov. 18, 2008. The 25-page document is available online.
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
Industry Responds to PETA Video
Posted: 18 Sep 2008 10:38 AM CDT
The Pork Community Outreach is designed to assist individual pork producers in becoming more involved and positively visible in their local communities. The KPA is offering matching funds on the expenses on selected community relations activities. The purpose of this program is to multiply the positive effects of pork producer involvement in the communities where hogs are raised.
To be eligible you must:
Fill out a cost share request form and submit it to the KPA at least two weeks prior to your event and submit design ideas to the KPA so that appropriate logos and messages may be included.
The KPA provides promotional signs for each event.
To find more information about the program, click on Community Outreach
Pork Gains Partner, Missouri Soybean Merchandising Council Joins Effort to Improve Nutritional Efficiency of Swine
The Missouri Soybean Merchandising Council has joined the Pork Checkoff's Nutritional Efficiency Consortium, a group of organizations addressing the increasing cost of producing pork through research. Today, the consortium's members include the Pork Checkoff, state pork associations, state and national corn grower associations and several allied industry organizations. Larry Kline, vice president of finance and business development for the Pork Checkoff, said, "We are 25 partners-strong in our quest to maximize feed efficiencies in the pork industry. This is a great example of pork producers working together and partnering outside the industry to find solutions." Since its inception, the nutritional efficiency consortium has funded over $1.1 million in research. Research priorities have included a review of alternative feed ingredients for swine rations; the use of coproducts, such as distillers dried grains with solubles (DDGS) in swine rations; the estimation of net energy for feedstuffs; a study into the physiology of nutrient utilization by pigs; and, the effects of coproduct use on pork quality. More information on the Nutritional Efficiency consortium can be found online at http://www.pork.org/PorkScience/NutritionalEfficiency.
U.S. Pork Exports Remain on Pace
U.S. pork exports continued their strong performance in July, as pork exports remain on an all-time record pace for the year. The torrid pace of 2008 pork exports has been largely attributed to skyrocketing volumes of pork destined for China/Hong Kong. But even a significant July slowdown in this region could not break the global momentum for U.S. Pork, as it was offset by strong growth in other major export markets. A new monthly record was set for pork and pork variety meat exports to Mexico in July, totaling 38,973 metric tons or 85.9 million pounds valued at more than $75 million. Exports to Mexico in the first seven months of 2008 have totaled 202,280 metric tons or 445.9 million pounds valued at $345.7 million - an increase of 31 percent in volume and 39 percent in value over last year. July pork exports to Russia were also record-large at 19,903 metric tons or 43.8 million pounds valued at $42.3 million, putting Russia's total for January-July 2008 at 113,434 metric tons or 250.1 million pounds valued at $240 million. This represents an increase of 153 percent in volume and 158 percent in value over the same period last year. January-July pork exports to Japan - the largest destination for U.S. pork in terms of value - totaled 259,144 metric tons or 571.3 million pounds valued at $849.7 million. This is an increase of 24 percent in volume and 27 percent in value over last year. Canada has shown similar results, as pork exports to Canada in the first seven months of 2008 jumped 24 percent in volume and 21 percent in value over last year to 96,106 metric tons or 211.8 million pounds valued at $313.5 million. Exports to South Korea totaled 82,106 metric tons or 181 million pounds valued at $172.2 million during the same period, an increase of 41 percent in volume and 23 percent in value over last year. Pork and pork variety meat exports to China/Hong Kong set a series of monthly records during the first half of 2008, with the volume rising 324 percent over the same period in 2007. But with China taking significant measures to increase its domestic pork production, slower sales of U.S. Pork have been anticipated in the second half of this year. The volume and value of July pork exports to China/Hong Kong declined about 41 percent compared to June, but still remained well ahead of the results achieved in July 2007.
Reaction to the Undercover PETA Video
Pork producers around the United States were shocked late Tuesday when the evening news reported on an undercover video shot at an Iowa pork production facility depicting willful abuse to animals. The video was shot by representatives of animal rights activist group People for the Ethical Treatment of Animals (PETA) working undercover at the farm. The farm near Bayard, Iowa, had been purchased on Aug. 18 by two well-respected pork producing families from another state and managed through an Iowa management company. The owners and management company have decades of experience in the pork industry and have a history of employing sound animal care practices on their operations. Both organizations were shocked and dismayed to learn about the abuse depicted in the video and vowed to fully and immediately investigate and take actions to correct any unacceptable practice taking place. Since then, action has been taken to ensure the well-being of the animals at the facility. Steps include dismissal of employees found to have broken the families' organization's policy of zero-tolerance for animal abuse. On Wednesday, PETA representatives met with the farm's management to share additional details about the undercover operation taking place at the farm and to suggest corrective steps to each transgression depicted on video or logged into journals kept by the covert operation participants. Later that day, PETA held a news conference in Des Moines, Iowa, to report on its findings.
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
September 19, 2008
Pork exports in July were down 12.2 percent from June but up 84.7 percent from July of 2007. Pork exports for January-July were up 70.8 percent from a year earlier.
Pork exports in January-July to Japan were up 21.8 percent, up 37 percent to Mexico, up 25.7 percent to Canada, up 23.2 percent to South Korea, up 144.2 percent to Russia, up 376 percent to China-Hong Kong, up 20.5 percent to Taiwan, up 25.1 percent to Australia and up 119.7 percent to other countries compared to last year.
Pork imports for January-July were sown 15 percent from a year earlier. Net exports of pork as a percent of production for January-July at 17.9 percent was up 8.7 percentage points from 9.2 percent a year earlier.
These net exports explain most of the difference in live hog demands for January-July, which was up 8.9 percent while pork demand was down 3.9 percent at the consumer level.
The value of pork exports per hog slaughtered for January-July at $35.89 per head was up 45.8 percent from last year. The value of pork variety meats per hog slaughtered for January-July at $11.13 was up 39.3 percent from 12 months earlier. Total pork and pork variety meat exports for January-July was $47.02 per hog slaughtered, up from $32.61 a year earlier.
USDA September 1 Crop report showed this year's corn yield at 152.3 bushels per acre, down from an estimate of 155 bushels per acre in August. The USDA estimated corn price for the 2008-09 market year $5-6 per bushel. The 2007-08 market year corn price was $4.20 per bushel. This will increase the cost of producing hogs by $4-9 per cwt in the coming year compared to 12 months earlier.
Retail pork price in August were up 1.9 percent from July and up 2.9 percent from August of 2007. For January-August retail pork price were up 1.3 percent from a year earlier. Only the marketers benefited from the higher retail prices. The processor-retailer margin was up 1.8 percent and the packers' margin was up 8.6 percent from 12 months earlier. The producer’s average price for January-August was down 1.2 percent from 2007.
The average live weight of barrows and gilts for last week was up 2.5 pounds from a week earlier at 261.9 pounds. However, this weight is still 4.3 pounds per head below a year earlier. Some people believe a portion of this reduced weight is due to some producers feeding distillers dried grain which reduces the rate of gain. However, we still believe a portion of the reduction in weight is due to high feed prices.
Pork cutout stabilized this week and gained a little with the cutout Thursday afternoon at $76.95 per cwt was up $1.89 per cwt from a week earlier.
Loin price at $92.94 per cwt were down $0.20 per cwt, Boston butts at $78.08 were down $1.70 per cwt, hams at $77.36 per cwt were up $7.04 per cwt and bellies at $80.94 per cwt were up $5.35 per cwt from seven days earlier.
The live prices for hogs Friday morning were $2.00 to $3.00 per cwt lower compared to a week earlier. The weighted average carcass price Friday morning were $0.34 per cwt higher to $1.61 per cwt lower compared to last week.
The top live prices by market for Friday morning were: Peoria $44.00 per cwt, Zumbrota, Minnesota, $46.00 per cwt and interior Missouri $46.75 per cwt. The weighted average carcass price by area Friday morning were: western Cornbelt $69.59 per cwt, eastern Cornbelt $65.16 per cwt, Iowa-Minnesota $69.72 per cwt and nation $67.10 per cwt.
Slaughter this week under Federal Inspection was estimated at 2335 thousand head, up 4.1 percent from a year earlier.
The Annual Pork Chop Open Golf Tournament was held Friday, September 5, at Cedar Hills Golf Course in Washington. Seventy-seven players participated in the tournament.
The tournament included 20 teams from northcentral and northeast
Kansas as well as southern Nebraska.
The players enjoyed the chance to win $10,000 if they hit a
hole-in-one on Hole 7. A few shots got close and a few landed in the pond.
Representatives of Frontier Farm Credit prepare pork loins for the
cooker. The loins were provided by Farmland Foods for the event.
Flight 1
Flight 1 winners were lead by the Keeler Consulting Team, Baldwin City, with a score of 58. Team players included Jason Piper, Peter Sherlock, Andy Baker and Tom Dragiston. In second place was Gene Henderson’s Team, Palmer, with a score of 58. The team included Gene Henderson, Chuck Ouellette, Greg Knedlik, and Randy Wyatt. Jeff Brabec’s Team from Greenleaf placed 3rd with a score of 59. Team members included Jeffery Brabec, Jim Brabec, Mark Chapin and Paul Monty.
Flight 2
Flight 2 winners were lead by Tim Suther’s Team from Frankfort with a score of 64. Team members included Tim Suther, Jeff Ottot, Brice Sawin and Bill Keeseeker. In second place was Barney Rapp’s team from Clay Center with a score of 64. Team members included Barney Rapp, Dan Rapp, Eril Rapp and Shawn Rapp. Sara Kirchhoff’s Team from Hardy, Neb., placed 3rd with a score of 65. Team members included Sara Kirchhoff, Crystal Noonan, John Quakenbush and Angie Utecht
Flight 3
Flight 3 winners were lead by Daniel Gerety’s Team from Seneca with a score of 69. Team members included Daniel Gerety, John Kramer, Troy Kramer and Dan York. In second place was Layton McKinney’s Team, Olsburg, with a score of 69. The team included Layton McKinney, Jeremy Castle, Trevais Schmeal and Ron Kincaid. Brad Jones’ Team from Washington placed 3rd with a score of 71. Team members included Brad Jones, Jerry Hoover, Brian Turner and Cody Schwartz.
Hole sponsors include: Bluestem Electric; Clay Center Locker Plant; Farm Bureau Financial Services; Golf USA; Hoovers, Inc.; Kastl-Powell Agency Inc.; Keesecker Agribusiness; Key Feeds; Mansfield Agency; Midwest Livestock; Midwest Products; Plymouth Industries/Homestead Electric; Southeast Nebraska Coop; and Zeitlow Distributing Co.
Event sponsors include:
As of September 30 of this year, fresh pork products come under the Mandatory Country of Origin Labeling program. The law requires product to be labeled as to country of origin at the retail meat case in the United States. The National Pork Producers Council has been working with others to develop workable systems for producers and other members of the pork chain to comply with the federal requirements of this law.
Foremost has been a process to develop uniform affidavits (forms of identification) of origin which can be signed by producers to serve as the legal paperwork for identifying the origin of their hogs. Remember origin on all hogs must be established, not just origin of imported animals. NPPC will continue to push for simple, common sense approaches that do not establish burdensome requirements. For a list of frequently asked questions related to how producers must comply with the MCOOL regulations - click on Questions.
Listeners to K-State and KU football games across the state are hearing pork advertising during each football broadcast.
To hear one of the ads, click on Pork Radio Ad.
The stations carrying the broadcasts are listed below.
| KSU Network | KU Network |
BELOIT KVSV-AM |
Abilene KSAJ-FM |
As part of our advertising package with Kansas State University, the KPA receives tickets to selected football games.
Be the first producer to e-mail or call the KPA office and you can win 2 tickets to the KSU vs Louisiana-Lafayette game to be held Saturday, September 27.
Call 785-776-0442 or e-mail to kpa@kspork.org
Pork producers attending Kansas State University home football games are invited to attend the pre-game tailgate function hosted by the Department of Animal Sciences & Industry. The event is held in Cat Town located just west of Bramlage Coliseum.
The Kansas Pork Association is a sponsor of the event.
Thanks to the matching funds program, the Pork Checkoff is teaming up with states across the Heartland this fall to showcase pork in Midwest Living magazine.
“Our goal is to extend the Pork Checkoff’s national advertising campaign to the state level,” says Stacie Schafer, marketing coordinator for the National Pork Board. “Each quarter we offer the state associations a new turnkey promotion that saves them time and effort, and we’re excited about this opportunity with Midwest Living.”
Each year, $20,000 is available to state pork associations through the matching funds program. Through a 50/50 match, the money can be used on consumer advertising, including radio, print, online, billboards and/or television advertising. In 2008, 18 states are participating in the program.
This fall, state partnerships with Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, Ohio and South Dakota are investing in a “Pork and Jeans” print advertisement in the November/December 2008 issue of Midwest Living magazine, which covers 12 states and boasts a circulation of 950,000. Each state pork association’s cost for the full-page color ad, which promotes the leanness and versatility of pork, is based on the magazine’s circulation figures in that state.
“Midwest Living offers a great way to reach our target audience, and many of the magazine’s subscribers are located in states with a large number of pork producers,” Schafer says. “When we partner with the states on promotions like this, we can reach more consumers and get more value from the Checkoff investment.”
Decision Allows Farmers and Ranchers to Apply for USDA Assistance
The U.S. Department of Agriculture designated Allen, Graham, Hodgeman and Rooks counties in Kansas as primary natural disaster areas because of losses caused by excessive rain, flooding, high winds and hail that occurred from March 15, 2008, through July 1, 2008.
Farm operators in the following Kansas counties listed below also qualify for natural disaster benefits because their counties are contiguous.
Anderson Ford Ness Sheridan
Bourbon Gove Norton Smith
Coffey Gray Osborne Trego
Edwards Linn Pawnee Wilson
Ellis Neosho Phillips Woodson
Finney
All counties listed above were designated natural disaster areas on Sept. 5, 2008, making all qualified farm operators in the designated areas eligible for low interest emergency (EM) loans from USDA's Farm Service Agency (FSA), provided eligibility requirements are met. Farmers in eligible counties have eight months from the date of the declaration to apply for loans to help cover part of their actual losses. FSA will consider each loan application on its own merits, taking into account the extent of losses, security available and repayment ability. FSA has a variety of programs, in addition to the EM loan program, to help eligible farmers recover from adversity.
USDA has also made other programs available to assist farmers and ranchers, including the Emergency Conservation Program, Federal Crop Insurance and the Noninsured Crop Disaster Assistance Program.
Interested farmers may contact their local USDA Service Centers for further information on eligibility requirements and application procedures for these and other programs. Additional information is also available online at: http://disaster.fsa.usda.gov.
Trade Barriers Remain Obstacle for U.S. Meat Exports
USAgNet - 09/10/2008
Erin Daley, U.S. Meat Export Federation economist, addressed major global trends in beef and pork consumption and the implications these trends will have on international trade earlier today during the 2008 IMS World Meat Congress currently taking place in Cape Town, South Africa.
"As we look at current and future megatrends facing the global red-meat industry, we see as the good news growth in income and, thus, direct correlation with growth in demand for red-meat proteins," Daley said.
However, she emphasized that a very high percentage of the growth in the world's population and income is occurring in developing countries--and many are not well-equipped to accommodate this growth, reports MeatPoultry.com. Daley noted that while these trends could present tremendous opportunities for meat-exporting nations, trade barriers continue to be a major obstacle.
"As we look at the largest populations in the world, China and India account for 37% of the global population," she said. "The U.S. and the E.U. account for just 12%. Over the next 20 years, 80% of the world’s population growth will occur in those countries least capable of supporting it politically environmentally and/or economically. Between the years 2005 and 2050, nine countries alone are expected to account for nearly half of the world’s population growth. The U.S. is the only developed country.
"If we look at trade specifically and the Doha talks stalled for now, we’ll continue to see high tariffs in many countries and this will restrict growth in red-meat trade and likely to hinder growth in may countries that are not self-sufficient in their meat production, " she added.
Hosted biennially by the International Meat Secretariat, the World Meat Congress offers presentations and panel discussions on a range of meat industry issues -- including livestock production and research, improving livestock health and meat safety, trends in consumption and consumer behavior and issues affecting global meat trade.
The National Pork Producers Council and the Chicago Mercantile Exchange is pleased to announce the 2009 Lois Britt Memorial Pork Industry SCHOLARSHIP PROGRAM. Introduced in 1990 to celebrate the 25th Anniversary of Live Hog Futures, the Pork Industry Scholarship Program continues to recognize outstanding youth in the pork community. Four $2,500 scholarships will be awarded to students who intend to pursue a career in the pork industry.
scholarshipFor more information, click on
The KPA, working with the National Pork Board and other state associations, has created a new video showcasing the pork industry. The Kansas version includes information about the industry's economic contribution to the state. The video is aimed at the lower grade school level children. The KPA has been furnishing copies of the video to teachers participating in Ag Days across the state. To receive a copy, contact the KPA office at 785-776-0442 or kpa@kspork.org.
To view the video, click on The Amazing Pig
Please note: this version is very compacted. The DVD is much higher quality.
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
Profitability Challenge for Pork Producers Part 2
Date: September 9, 2008
Length: 9:08
Speaker: Don Fedie, Financial and Management Advisor for Agri Control Co.
Checkoff-Funded Study Reveals Higher Protein Breakfast May Help Dieters Stay on Track
A new study published online in the British Journal of Nutrition found that timing of dietary protein intake affects feelings of fullness throughout the day. The study concluded that when people ate high-quality protein foods, from sources such as eggs and lean Canadian bacon, for breakfast they had a greater sense of sustained fullness throughout the day compared to when more protein was eaten at lunch or dinner.
"There is a growing body of research which supports eating high-quality protein foods when dieting to maintain a sense of fullness," said Wayne W. Campbell, PhD, study author and professor of foods and nutrition at Purdue University. "This study is particularly unique in that it looked at the timing of protein intake and reveals that when you consume more protein may be a critical piece of the equation."
The new research funded by the Pork Checkoff and the American Egg Board, evaluated overweight or obese men who followed a reduced-calorie diet. The diet consisted of two variations of protein intakes, both which were within federal nutrition recommendations: normal protein intake, 11-14 percent of calories or increased protein, 18-25 percent of calories.
Purdue researchers tested the effect of consuming the additional protein at specific meals - breakfast, lunch or dinner - or spaced evenly throughout the day. The results showed the feeling of fullness was greatest and most sustained throughout the day when the additional protein, from eggs and lean Canadian bacon, was eaten at breakfast versus lunch or dinner.
"This is another example of how pork provides consumers interested in weight control more options," said Barb Determan, a pork producer from Early, Iowa and chair of the Pork Checkoff Nutrition Committee. "Just last year, a Checkoff funded study published in an issue of the journal Obesity revealed that a calorie-restricted diet with additional protein resulted in retained post-meal feelings of fullness and improved overall mood. The same study also found that a higher level of protein intake was more effective in maintaining lean body mass during weight loss."
Campbell also notes that most Americans typically consume a relatively small amount of protein at breakfast, only about 15 percent of their total daily protein intake.
Additionally, consumer research by the International Food Information Council shows that 92 percent of Americans cite breakfast as the most important meal of the day, however less than half, 46 percent, eat breakfast seven days per week.
"This presents a great opportunity for pork," said Determan. "Consumers can visit TheOtherWhiteMeat.com to find high-quality breakfast ideas that will help them in their weight loss efforts."
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
September 12, 2008
Pork cutout peaked at $94.41 on Monday, August 18, then declined for 12 consecutive trading days to $77.20 or over 18 percent. This was a decline in value of over $34 per hog. The cutout was up slightly on Friday, September 5, but declined $1.49 per cwt of pork on Monday and was at $75.06 per cwt on Thursday afternoon, down $2.14 per cwt from a week earlier.
The odds are high that we have lost some of the export demand. We will have July data next week but all indications showed that export demand stayed strong until mid August. We will not have August information until about mid October. In fact, we may not get the true signals until we get the November releases for September shipments.
Slaughter in the fourth quarter is expected to be up about 2.5 percent from the record slaughter in the fourth quarter of 2007 at nearly 30.4 million head. Slaughter for the 11 full weeks in the fourth quarter will need to average about 2.4 million weekly or only 70 thousand head per week below the record high slaughter of 2470 thousand head last December. Unless we lose a slaughter plant for some reason, we should have enough slaughter capacity to squeak by this fall and early winter without real big problems.
Our preliminary estimate is that the September 1 breeding herd in the U.S. was 96.5 percent of a year earlier.
Pork product prices Thursday afternoon showed loins at $93.64 per cwt were down $3.56 per cwt, Boston butts at $79.78 per cwt were down $3.61 per cwt, hams at $70.32 per cwt were down $2.00 per cwt, and bellies at $175.59 per cwt were down $1.84 per cwt from seven days earlier.
Barrow and gilt weights live in Iowa-Minnesota last week at 259.4 pounds were one pound below a week earlier and a whopping 5.5 pounds below a year earlier. This is the biggest decrease form a year earlier since 1983. Producers are responding to the high feed price by pulling down weights.
Feeder pig prices at United Tel-O-Auction this week were steady to $7.00 per cwt higher than two weeks ago. All of the United pigs weighed between 50 and 60 pounds and sold from $60-$77 per cwt.
Live hog prices this Friday morning were steady to $1 per cwt lower compared to a week earlier. Weighted average negotiated carcass price Friday morning were $1.47 to $4.86 per cwt lower compared to seven days earlier. The top live prices for select markets this Friday morning were: Peoria $46 per cwt, Zumbrota, Minnesota, $48 per cwt, and interior Missouri $49.25 per cwt.
The weighed average negotiated price by area were: western Cornbelt $69.25 per cwt, eastern Cornbelt $66.77 per cwt, Iowa-Minnesota $69.57 per cwt and nation $67.91 per cwt. Slaughter this week under Federal Inspection was estimated at 2306 thousand head, up 3.5 percent from a year earlier.
The Annual Pork Chop Open Golf Tournament will be held Friday, September 5, at Cedar Hills Golf Course in Washington. The tournament has filled to capacity. We would like to thank our event sponsors below.
Hole sponsors include: Bluestem Electric; Clay Center Locker Plant; Farm Bureau Financial Services; Golf USA; Hoovers, Inc.; Kastl-Powell Agency Inc.; Keesecker Agribusiness; Key Feeds; Mansfield Agency; Midwest Livestock; Midwest Products; Plymouth Industries/Homestead Electric; Southeast Nebraska Coop; and Zeitlow Distributing Co.
Event sponsors include:
As part of our advertising package with Kansas State University, the KPA receives tickets to selected football games.
Be the first producer to e-mail or call the KPA office and you can win 2 tickets to the KSU vs Montana State game to be held Saturday, September 6.
Call 785-776-0442 or e-mail to kpa@kspork.org
Pork producers attending Kansas State University home football games are invited to attend the pre-game tailgate function hosted by the Department of Animal Sciences & Industry. The event is held in Cat Town located just west of Bramlage Coliseum.
The Kansas Pork Association is a sponsor of the event.
by stjoenews.net
Saturday, August 30, 2008
Triumph Foods has made a name for itself. Not only in St. Joseph, but in places like China, Russia and Japan.
Triumph and its marketing partner, Seaboard Foods, are responsible for 10 percent of the United States’ world pork exports, according to the U.S. Meat Export Federation. The total includes more than 30 percent of the country’s exports to Mexico and more than 20 percent of the fresh chilled products sent to Japan. In all, Triumph saw a 43 percent increase in exports through the first half of 2008.
Strong export sales have fueled $15 million worth of expansions at the plant in St. Joseph. Expanded equilibration bays and new CO2 stunning allow for more efficient processing in the plant, while a new freezer facility improves Triumph’s ability to store product.
Another move could come as soon as this year. The company is pursuing an expansion worth about $4 million that would allow it to produce sliced pork bellies and diced pork, both in high demand in Asia.
The expansion would add about 10,000 square feet on the northwest corner of Triumph’s plant, chief administrative officer Patt Lilly said. Construction has yet to begin, but Mr. Lilly expects the project to be complete by the end of 2008.
“With the expansion and new investment comes new jobs,” Mr. Lilly said. “Triumph Foods has added over 200 jobs in the past year as we continue to expand processing capacity.”
The company employs about 2,500 workers and slaughters 18,000 to 19,000 hogs per day.
August 27
Russia Signals Intention to Cut Pork and Poultry Import Quotas
Russian pork imports already exceed quotas
Russian Agriculture Minister Alexey Gordeyev today announced that Russia's import quotas for pork and poultry will be cut by "hundreds of thousands of metric tons.”
Gordeyev indicated that Russia’s domestic pork and poultry industries were developing fast and it was time to reduce imports, which have been on the rise. The agriculture minister added that Russia's international agreements regulating the import of pork and poultry were signed more than three years ago and no longer reflect Russian interests. The quotas were set to expire in 2009.
The Russian government reportedly is preparing to increase agriculture financing in 2009 through 2012, with more than $800 million (21 billion rubles) per year allocated from the federal budget, including more than $150 million (4 billion rubles) for subsidies to the meat and poultry industry.
Russia emerged as a leading market for U.S. pork and pork variety meat exports in 2008. Through the first six months of this year, Russia imported 93,531 metric tons (206.2 million pounds) of U.S. pork valued at more than $197 million – an increase of 137 percent in volume and 144 percent in value over the first half of 2007. U.S. pork muscle cut exports were up 143 percent to 75,730 metric tons (166.9 million pounds).
The effect of a Russian cut in import quotas remains to be seen. Exports from the United States have already surpassed the country-specific tariff-rate quota (TRQ) of 49,800 metric tons (109.8 million pounds). In-quota pork exports are subject to a 15 percent duty compared to 60 percent paid on out-of-quota exports. The quotas only apply to muscle cuts, not variety meats, which enter at 15 percent duty.
Overall, pork exports from the European Union (EU) have increased as well, more than offsetting the decline in exports from Brazil (down 12.5 percent through May). Exports from the EU are already nearing their TRQ of 249,000 metric tons (548.9 million pounds). During the first half of the year, roughly 50 percent of Russia’s pork imports came from the EU, 25 percent from Brazil, 20 percent from the United States and 7 percent from Canada.
Only the EU and United States have country-specific TRQs. Brazil and Canada share the “third-country” TRQ of 193,400 metric tons (426.4 million pounds). Last year, Russia imported more than 40 percent of its pork outside quotas, with imports totaling 688,000 metric tons (1.5 billion pounds), exceeding quota allocations of 483,800 metric tons (1.1 billion pounds).
Pork exports enjoyed a record-setting first half of 2008 according to the latest export figures released by USDA. Pork and pork variety meat exports in June totaled 192,667 metric tons valued at $451 million — double the volume exported in June of last year. This drove year-todate pork exports to 1,018,467 metric tons valued at $2.3 billion — 67 percent above the first six months of 2007 in terms of volume, and 58 percent higher than last year in terms of value. China/Hong Kong is now the largest volume destination for U.S. Pork and pork variety meats. Exports to this region in the first half of 2008 jumped 324 percent over last year to 254,445 metric tons valued at $439.8 million. Exports to this region alone accounted for 6 percent of this year’s U.S. pork production, as 24 percent of pork and pork variety meats produced in the United States are now destined for foreign markets.
Other strong-performing markets for pork exports (including variety meats) in the first half of
2008 included:
"It is critical that we recruit talented young people into our industry," says Steve Weaver, president of the National Pork Board and pork producer from California.
That’s why the Pork Checkoff, Pioneer Hi-Bred and PIC have partnered to offer scholarships to sophomore, junior and senior level college students considering a graduate degree program in a swine science discipline or planning a career in the pork industry. The Pork Industry Scholarship program will offer a $10,000 scholarship to the top applicant, a $5,000 award to the runner-up and $2,500 awards to a minimum of 17 other students, for the 2008-2009 school year.
Pioneer Hi-Bred, a DuPont Company, will fund the $5,000 award in the program and the scholarship will be termed the Pioneer Hi-Bred Pork Industry Scholarship. PIC's generous contribution will fund one of the $2,500 awards. "The support of Pioneer and PIC allows us to offer very generous scholarship awards to tomorrow's pork industry leaders," Weaver says.
The Pork Checkoff and its two industry partners have joined to address one of the pork industry's critical issues, the development of human capital. “The competitiveness of our industry depends on having a constant supply of human resources prepared to work in our industry. Our needs span from production to production management, to research, veterinary medicine, consulting, etc.," Weaver adds.
Opportunities
“There are many opportunities in the pork industry, and not just for pork producers. Young adults need to be convinced that the pork industry has great professional development opportunities for them. We hope these awards are a first step for some of these students to look our way.”
College students starting their sophomore, junior or senior year and considering graduate studies or careers in agricultural business, agriculture engineering, agronomy, animal science, animal physiology, environmental sciences, nutrition, reproduction, veterinary medicine and other related fields are encouraged to apply for the scholarships.
"I encourage other organizations to join us in our efforts to continue to make this industry competitive through the development of a talented workforce," he adds.
Sophomore, junior and senior level college students interested in applying for the Pork Checkoff Pork Industry Scholarships can visit http://www.pork.org/PorkScience/scholarship/ for information on how to apply and on the industry sponsors of these awards. Scholarship applications and supporting materials must be received by Sept. 15. Scholarship will be awarded for the 2008-2009 school year.
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
Small Business Innovation Research Program Grant
Date: July 28, 2008
Length: 5:20
Speaker: Annette Renaud, U.S. Pork Center of Excellence and the Pork Checkoff's grants coordinator
2008 Pork Industry Handbook/DVD Now Available
Date: July 21, 2008
Length: 5:30
Speaker: Dr. Brian Richert, associate professor in swine nutrition and management at Purdue University
Baby Back Ribs Go Crispy
Damon’s Grill restaurants are serving baby back ribs with a crunchy, flavorful twist –crispy and saucy. The restaurant chain is introducing the newly developed Crispy Baby Back Rib appetizer on Aug. 8. The pork dish is lightly fried and basted in one of three different sauce flavors.
“Crispy Baby Back Ribs should be a huge hit with hungry consumers,” says Howard Greenblatt, national foodservice marketing manager for the Pork Checkoff. “Everyone loves ribs, so incorporating them into the appetizer menu will give each person at the table a chance to eat them.”
Damon’s Grill, headquartered in Columbus, Ohio, partnered with the Ohio Pork Producers Association to kick off the new pork menu item. Other partners in this promotion are Samuel Adams, Brown Foreman and Finest Call. Damon’s Grill, a full-service casual dining restaurant, has more than 80 locations worldwide and is famous for serving delicious ribs.
The pork logo will be featured on Damon’s Grill menu inserts, lobby banners, guest check inserts, newspaper ads and local marketing fliers. The logo will also appear on NTN Buzztime ad screens, the restaurant’s television network. Promotional items will also bear the phrase ‘Brought to you by America’s Pork Producers’ to help tie in the partnership with the Ohio Pork Producers Association.
“Using the pork logo in so many locations will increase the awareness of pork and pork products,” Greenblatt says. “It will help consumers tie the pork appetizer in the Damon’s Grill Restaurants to pork products in the grocery store.”
In addition to seeing the pork logo, consumers will receive bounce back coupons while dining during the Labor Day holiday. Consumers who carry out or eat in Damon’s Grill restaurants during the holiday will receive a coupon for the Crispy Baby Back Rib appetizer to be used on their next visit, after the big holiday weekend.
“I think this is a great joint venture for the pork industry and Damon’s Grill,” Greenblatt says. “The coupons will benefit both pork producers and the restaurant chain.”
Another part of the promotion includes sampling of the new pork product in restaurants and at local events.
Pork Pleases at other Restaurants, Too
The Pork Checkoff’s relationship with other restaurants is reaping results, too. New, innovative pork dishes are popping up on menus of national chain restaurants like Denny’s, Tony Roma’s and Famous Dave’s.
Denny’s has introduced a new late night menu, and topping the list is an item called Potachos. This dish is made of freshly fried and seasoned kettle potato chips topped with crumbled pork sausage, smoked bacon bits, diced bell peppers and onions, and shredded cheddar cheese and cheese sauce. Denny’s is a long time Pork Checkoff partner and has more than 1,400 locations across the nation.
Tony Roma’s continues to focus on pork at its 226 locations worldwide by adding a taste of Memphis to their menu. This rib restaurant launched a new pork sandwich this summer, the Pulled Pork Slider. The sandwich is a soft roll topped with tender pulled pork, Memphis style barbecue sauce, pickles and a special seasoning. The meal includes a side of crispy Asian greens.
Famous Dave’s locations are offering a barbecue tour platter for a limited time only. Featured on the platter are two outstanding pork items, St. Louis style spare ribs and Georgia chopped pork. The platter also contains Texas beef brisket and strawberry shortcake, all for one price.
Pork Checkoff and Soybean Checkoff Partner for Joint Success
The Pork Checkoff and Soybean Checkoff continue to partner on mutually beneficial research despite the challenges of high feed costs. As soybean meal prices have followed other protein products upward, it has become more important for livestock and poultry producers to extract every ounce of nutrition available from their soybean meal.
“Livestock and poultry are our number one customer, consuming 98 percent of the U.S. soybean meal used domestically,” says Phil Bradshaw, United Soybean Board (USB) Animal Agriculture Team Lead and a soybean farmer from Griggsville, Ill. “The U.S. pork industry specifically uses about 25 percent of the domestically used soybean meal, so there is a strong
partnership between soybean farmers and pork producers.”
That partnership has led to collaboration among the United Soybean Board (USB), the National Pork Board and QUALISOY to fund two very important research projects. The North American Swine Energy System, a two-year research program evaluating the use of net-energy systems for U.S. feedstuffs. This project is set to conclude in August, while the three-year
Development of an Allergenicity Model in Swine project will conclude next May.“Net energy for swine becomes more important as corn becomes more expensive,” says Tom Brown, USB director and a soybean farmer and pork producer from Morral, Ohio. “Increasing energy from soybeans may provide added nutritional value, so the soybean checkoff is
funding research to look at this issue.”
“The National Pork Board appreciates the working relationship we have developed with the
United Soybean Board,” said Everett Forkner, a Missouri pork producer and member of both the National Pork Board and its Animal Science Committee. “Especially during this time of rising feed costs, net energy is a new look at how feeds can be formulated to meet the needs
of pigs as well as a way to possibly save producers money. This research is going to help us be much smarter with our feed.”
The Soybean Checkoff’s focus on animal nutrition and feed improvement led to the development of the Animal Nutrition Working Group in 2006. This group of 14 animal nutritionists advises the Soybean Checkoff on prioritization of potential improvements in soybean traits that could address environmental concerns, improve available energy, reduce allergens, and improve the overall benefits of soy as a feed ingredient for the livestock and poultry industries.
The Soybean and Pork Checkoff programs have partnered in the past to spread the word on the importance of animal agriculture, both to crop producers and to rural communities learn more about how animal agriculture and soybean markets are interdependent, visit www.animalag.org.
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
August 29, 2008
Demand for pork at the consumer level continues to decline. For January-July, the midpoint estimate we have shows a loss of 3.9 percent from 12 months earlier. Demand for beef at the consumer level was also down by 3.7 percent. The generally-weak economy and the high energy costs are believed to be the main factors creating weakness for meats.
The good news continues to be the demand for live hogs. For January-July, the demand for live hogs was up 8.9 percent from 12 months earlier. Larger pork exports and smaller imports are the major drivers in the live hog demand increase. Remember, net exports of pork as a percent of U.S. pork production at 17.8 percent of production is up from 9.3 percent for January-June.
Corn prices have rallied following an August crop report showing a larger crop than expected. However, the corn price increase is likely due to the need for a larger corn crop in 2009, so the contest is on between corn and soybean for acres in 2009. High feed prices will be the normal for the livestock industry for the foreseeable future.
Gilt and sow slaughter data continue to indicate U.S. pork producers are reducing the breeding herd at a slow rate.
Pork product cutout on Tuesday declined by $3.93 per cwt of carcass — the second largest decline since the beginning of 1998. Rumors are that the "pipelines" to Russia and China are full. This big decline on Tuesday followed over a $1 decline in cutout on Monday. The decline continued Thursday and the decline for the week was the largest in the last decade. It looks like we may be losing some of the strong export demand as we go into larger seasonal slaughter.
Pork cutout this Thursday afternoon at $80.51 per cwt was down $9.80 per cwt from a week earlier. Loins at $101.47 per cwt were down $13.68 per cwt, Boston butts at $86.92 per cwt were down $13.96 per cwt, hams at $74.70 per cwt were down $12.06 per cwt and bellies at $79.43 per cwt were down $5.21 per cwt from seven days earlier.
Live barrow and gilt weights were at 258.3 pounds per head down 0.1 pound from a week earlier and down 3.0 pounds per head from a year earlier. This data indicates hog producers have pulled marketings forward between one and two days this year in reaction to the record-high feed prices.
Cash feeder pig prices this week at United Tel-O-Auction showed pigs steady to $5.00 per cwt lower than two weeks earlier. 50-60 pounds pigs sold from $60-70 per cwt at United.
With the lower pork product prices, live negotiated hog prices Friday morning were $5.25 to $10 per cwt lower compared to a week earlier. The weighted average carcass prices Friday morning were pushed $10.04 to $12.30 per cwt lower than seven days earlier.
The top live prices Friday morning for select markets were: Peoria $48 per cwt, Zumbrota, Minnesota did not report and interior Missouri $54.25 per cwt. The weighted average carcass prices for negotiated hogs by area were: western Cornbelt $68.77 per cwt, eastern Cornbelt $71.15 per cwt, Iowa-Minnesota $68.34 per cwt and nation $70.18 per cwt.
Slaughter this week under Federal Inspection was estimated at 2,212 thousand head, up 5.3 percent from 12 months earlier.
The Executive Boards of the KPPC and KPA held a joint meeting recently in the KPA office in Manhattan. The boards provided input on industry issues and reviewed budget information for the remainder of 2008 as well as 2009.
The elections for the 2009 National Pork Act Delegate Body were held in conjunction with the Board meetings. Elected to represent Kansas were: Kent Condray, Clifton; Alan Haverkamp, Bern; Pete Sherlock, Washington; and Ron Suther, Blaine. Michael Springer, Sycamore, will serve as an alternate.
The Annual Pork Chop Open Golf Tournament will be held Friday, September 5, 2008, at Cedar Hills Golf Course in Washington. Registration for the 18-hole, 4-man scramble will begin at 9 a.m. with a shotgun start at 10 a.m. The charge is $250 per team with a meal included.
Thank you to the early event sponsors including Bottenberg and Associates, Frontier Farm Credit, Kansas GOLD and ZFI Swine Semen Services. Hole sponsors include Farm Bureau Financial Services, Hoover's, Inc., and Kastl-Powell Agency.
For more information, contact the KPA office.
The Kansas Pork Association (KPA) has named Jodi Termine as its Director of Industry Relations. Jodi will be responsible for member programs, promotions and public relations activities. She has experience in project management, sales/marketing and public relations.
Termine graduated from the University of Florida with a master’s degree (MAB) in Agricultural Business Management. She entered into a projects management position at an animal health company after college and shortly thereafter transferred to Kansas. While she enjoyed her three-year tenure in private business, her time spent working with the Florida Cattleman’s Association led her to consider working for an industry association.
Termine has been passionate about working with producers and bridging the gap between the producer and the consumer since her first internship with United Sugar Corporation of Clewiston, Florida.
“I am really looking forward to serving Kansas producers and providing them with what they need to be effective and efficient on farm. In a time of public scrutiny of agriculture, we must make certain we communicate to our customers that Kansas Pork Producers are producing one of the highest quality protein sources in the world for their families and yours.”
Termine currently resides in Manhattan, Kansas.
Despite June’s severe flooding in the Midwest, U.S. farmers are on pace to produce the second largest corn crop and fourth largest soybean crop in history, according to the Crop Production report released today by the U.S. Department of Agriculture’s National Agricultural Statistics Service (NASS).
Corn production is forecast at 12.3 billion bushels, down 6 percent from last year’s record, but up 17 percent from 2006. Based on conditions as of August 1, corn yields are expected to average 155 bushels per acre, up 3.9 bushels from last year. If realized, this would be the second highest corn yield on record, behind 2004. Growers are expected to harvest 79.3 million acres of corn for grain, down 8 percent from last year.
Soybean production is forecast at 2.97 billion bushels, up 15 percent from last year but down 7 percent from the 2006 record. Yields are expected to average 40.5 bushels per acre, down 0.7 bushels from 2007, while harvested area is expected to be 17 percent higher than in 2007.
The August Crop Production report contains NASS’s first estimates of yield and production for corn, soybeans and other spring-planted row crops. To help ensure that these estimates were based on the best information available, NASS supplemented its standard data collection activities in order to account for the impact of the June flooding in the Midwest. NASS personnel re-interviewed approximately 9,000 farmers in flood-affected areas who had previously reported their planted acreage to the agency in early June. Additionally, NASS increased the number of corn and soybean fields selected for objective field measurements in the flood-affected areas and also increased the sample size for the Agricultural Yield Survey, through which farmers report expected crop yields.
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
2008 Pork Industry Handbook/DVD Now AvailableDate: July 21, 2008
Length: 5:30
Speaker: Dr. Brian Richert, associate professor in swine nutrition and management at Purdue University
Date: July 14, 2008
Length: 4:30
Speaker: Ann Beacom, associate consultant with the Organizational Effectiveness Research Group at Minnesota State University
EPA Rejects Ethanol-Mandate Waiver
Pork Producers Will Continue To Face Uncertainty Over Corn Supplies
August 7, 2008 – The National Pork Producers Council expressed disappointment with today’s decision by the U.S. Environmental Protection Agency to reject a waiver of the federal ethanol production mandate for Texas. The waiver would have eased uncertainty over feed supplies and prices and helped bring long-term stability to U.S. pork producers and consumers, according to NPPC.
“We are deeply disappointed with EPA’s decision,” said NPPC President Bryan Black, a pork producer from Canal Winchester, Ohio. “Pork producers need more time to adjust to the volatility of the grain markets and to the government’s ethanol mandate, which this year is requiring the ethanol industry to use about one-third of the total U.S. corn crop. That has contributed to the uncertainty with regard to feed grain supplies and prices.”
The federal Renewable Fuels Standard mandates the production in 2008 of 9 billion gallons of corn-based ethanol. That will require more than 3 billion of an expected harvest of less than 13 billion bushels of corn this year. A waiver of the 2008 RFS would have reduced the production mandate to 4.5 billion gallons. (The RFS jumps to 11.1 billion gallons in 2009.)
Pork producers have been reeling from higher prices for feed, which accounts for 70 percent of the cost of raising a hog. Feed grain prices already were increasing starting in the summer of 2006 in part because of the rapid rise in ethanol production. Since then, increased global demand for crops, weather conditions and the ethanol mandate have fueled even higher grain prices. (A bushel of corn for September delivery now is selling above $5 – it was around $7 in mid-summer – compared with about $2.60 in July 2006.) From September 2007 to April 2008, corn prices rose 124 percent and soybean meal prices went up 94 percent. During that time, pork producers lost an average of $30 per hog marketed.
NPPC in June urged EPA to grant Texas a waiver of the RFS. Without the waiver, NPPC pointed out in comments to the agency, the Texas pork industry, which generates more than 3,100 jobs and nearly $200 million in gross state income, could be adversely affected.
“The RFS has helped create one of the most volatile economic situations ever to hit pork producers,” said Black. “We need relief, and the RFS waiver was one way the government could have provided it. Now, we expect to see increasing pressure on the domestic pork industry, with the hog herd continuing to be reduced, producers going out of business, jobs being lost and retail pork prices rising.”
FOR THE WEEK ENDING Aug. 1, 2008
ANIMAL-DRUG REVIEW LAWS APPROVED
In a big victory for the U.S. pork industry, Congress today approved legislation to reauthorize an animal-drug review law and to implement a new generic animal-drug review statute, both of which will give pork producers access to products that safeguard animal and public health. The Senate today approved H.R. 6432, the Animal Drug User Fee Act (ADUFA) and the Animal Generic Drug User Fee Act (AGDUFA), by unanimous consent. The House July 30 passed the bill on a voice vote. First enacted in 2003, ADUFA allows the U.S. Food and Drug Administration to collect fees from the animal health industry for the review and approval of animal health products. The fees supplement the agency’s annual congressionally-approved appropriations and have enabled FDA to dramatically reduce its review time for new animal drugs, bringing medications to the market more quickly while maintaining high standards for safety and effectiveness. AGDUFA will do the same for generic animal drugs. The laws will require animal health companies to report to FDA by March 31 of each year certain data related to the distribution and export of animal health products. (Although individual company data will be kept confidential, FDA will publish an aggregate of it.) Some lawmakers had proposed that the drug firms and livestock producers publicly report such data as well as information on uses of animal health products. Since ADUFA was signed into law, four new swine health products have come on the market, helping producers fight the increasing challenges that swine respiratory diseases have created for the industry. Additionally, last year alone, veterinarians and pet owners received nine new products to help pets live longer, healthier lives.
USDA ISSUES INTERIM FINAL MEAT-LABELING RULE
The U.S. Department of Agriculture today issued an interim final rule for the mandatory country-of-origin labeling (COOL) program that will take effect Sept. 30. NPPC worked to get included in the 2008 Farm Bill needed changes to the labeling law, which was approved as part of the 2002 Farm Bill but whose implementation twice was delayed because of objections raised by NPPC and other livestock organizations. The rule covers muscle cuts and ground beef (including veal), lamb, chicken, goat and pork; perishable agricultural commodities such as fresh and frozen fruits and vegetables; macadamia nuts; pecans; ginseng; and peanuts. USDA implemented the COOL program for fish and shellfish covered commodities in October 2004. Commodities covered under COOL must be labeled at the retail level to indicate their country of origin. They are excluded from mandatory COOL, however, if they are an ingredient in a processed food item. Covered commodities produced or packaged before Sept. 30, 2008, will not be subject to the law. The rule sets the following label categories – which NPPC lobbied to get in to the Farm Bill – for pork, beef, lamb and goat meat:
USDA WON’T RELEASE CRP LANDS TO ADDRESS CROP PROBLEMS
The U.S. Department of Agriculture this week rejected a request made by NPPC and other agricultural organizations to release land from the Conservation Reserve Program (CRP) to address the need for more acres in crop production to meet the growing demands for food, feed and fuel. Pork producers have lost an average of $20 per hog since the start of this year because of lower feed supplies – and higher prices – driven by the ethanol industry’s demand for corn, which has grown by 1 billion bushels over last year. Ethanol production is predicted to use about one-third of the U.S. corn crop in 2008, up from 22 percent last year, and the demand is expected to grow by as much as 1.4 billion to 1.9 billion bushels in 2009. According to NPPC, an additional 5 million to 7 million corn acres will be needed in 2009 to meet the ethanol industry’s demands and to keep the U.S. pork industry from contracting even more than it has so far.
HOUSE PASSES E-VERIFY REAUTHORIZATION BILL
The House Thursday approved on a 407-2 vote legislation to reauthorize a voluntary program that allows employers to check the employment eligibility of workers. The U.S. Department of Homeland Security’s E-Verify Program, also known as the Basic Pilot Program, allows employers to verify I-9 data through an automated system linked to the databases of the Social Security Administration and DHS’s U.S. Citizenship and Immigration Services. (The E-Verify Program is part of the 1996 Illegal Immigration Reform Act, which was set to expire in September 2008.) Employers must file I-9 Forms for each employee, using various identifying documents, such as a driver’s license or Social Security card. NPPC, which supported reauthorization of the E-Verify Program, also has asked Congress to overhaul the nation’s immigration laws in a way that:
NPPC REMAINS OPTIMISTIC DESPITE IMPASSE IN WTO TRADE TALKS
While disappointed with the breakdown this week in global trade talks, NPPC remains optimistic that the World Trade Organization’s Doha Round negotiations will come to a successful conclusion. The trade talks broke down Tuesday in Geneva, Switzerland, over an impasse between the United States and India over the use of an agricultural special safeguard for developing countries. NPPC supported the U.S. administration’s opposition to the proposed safeguard, which would have led to import duties in excess of those agreed to in the last WTO trade round and which would have threatened the strong growth in exports that U.S. pork producers have enjoyed in recent years. For NPPC, a successful Doha Round agreement would include improved market access for U.S. pork in developed and developing countries, complete elimination of the European Union’s trade-distorting export subsidies for pork and other products and deep cuts in EU domestic support to European farmers and cuts in tariffs on pork. The average global tariff on pork is a staggering 77 percent. NPPC and the Bush administration have put particular focus on improving market access in two top priority markets, the European Union and Japan, but also are giving considerable attention to improved market access in fast growing Asian markets such as China, Taiwan and the Philippines.
WHAT’S AHEAD
CAFO WATER POLLUTION RULE SET TO BE ISSUED SOON
The U.S. Environmental Protection Agency is set to issue in mid-August a new water pollution regulation for concentrated animal feeding operations (CAFOs), a rule that NPPC calls good but tough. The new rule, which overhauls the federal Clean Water Act, prohibits CAFOs from discharging manure into waters of the United States. The rule was first issued in February 2003 and required all CAFOs over a certain size to obtain – under the Clean Water Act – National Pollution Discharge Elimination System (NPDES) permits and to develop and implement nutrient management plans for using manure on crop land. But NPPC and other livestock groups challenged the 2003 rule in federal court, arguing that the Clean Water Act requires NPDES permits only for producers who actually discharge. The U.S. Court of Appeals for the Second Circuit agreed with that argument and ordered EPA to revise the 2003 rule. The court also confirmed a provision in the 2003 rule that classified as agricultural storm water “discharges” from manure that is “appropriately” applied to land and therefore not subject to the Clean Water Act’s mandatory permitting requirements. While the rule expected to be issued later this month will set a “zero-discharge” standard and, therefore, will not require producers to obtain NPDES permits, such a permit would protect a producer from liability should an accidental discharge occur. Earlier this year, EPA allowed producers to certify that they do not discharge or propose to discharge. That certification would protect producers from liability in case of an accidental discharge.
NPPC LEGISLATIVE ACTION CONFERENCE SET
NPPC will hold its Legislative Action Conference Sept. 17-18 in Washington, D.C. As many as 100 pork producers from around the country are expected to attend the conference and to visit their congressional delegations to educate them about critical pork industry issues.
August 7
Baby Back Ribs Go Crispy
Damon's Grill restaurants are serving baby back ribs with a crunchy, flavorful twist -crispy and saucy. The restaurant chain is introducing the newly developed Crispy Baby Back Rib appetizer on Aug. 8. The pork dish is lightly fried and basted in one of three different sauce flavors.
Damon's Grill, headquartered in Columbus, Ohio, partnered with the Ohio Pork Producers Association to kick off the new pork menu item. Other partners in this promotion are Samuel Adams, Brown Foreman and Finest Call. Damon's Grill, a full-service casual dining restaurant, has more than 80 locations worldwide and is famous for serving delicious ribs.
The pork logo will be featured on Damon's Grill menu inserts, lobby banners, guest check inserts, newspaper ads and local marketing fliers. The logo will also appear on NTN Buzztime ad screens, the restaurant's television network. Promotional items will also bear the phrase 'Brought to you by America's Pork Producers' to help tie in the partnership with the Ohio Pork Producers Association.
In addition to seeing the pork logo, consumers will receive bounce back coupons while dining during the Labor Day holiday. Consumers who carry out or eat in Damon's Grill restaurants during the holiday will receive a coupon for the Crispy Baby Back Rib appetizer to be used on their next visit, after the big holiday weekend.
Bonefish Grill Reels in Customers with Pork
While Bonefish Grill is fueled by a passion for fresh seafood and a desire to take the mystery out of fish, the chain has cast a wider net by featuring pork specials this summer.
With 131 locations in 31 states, Bonefish Grill featured a two-for-one mailed and Internet coupon from early June through early July. Featured dishes included Icelandic Arctic Charr and the Fontina Chop, a thick, boneless pork chop topped with Fontina cheese, roasted garlic, crispy prosciutto and mushroom marsala wine sauce. In addition to the Fontina Chop on Bonefish Grill's Steaks and Chops menu, the chain's Specialties menu featured the Tenderloin Portabella Piccata, a wood-grilled, garlic crumb-dusted pork tenderloin topped with a flavorful, portabella piccata sauce.
Pork Checkoff applauds USDA renewal of PRRS CAP
The U.S. Department of Agriculture has announced it is renewing its funding of the Porcine Reproductive and Respiratory Syndrome (PRRS) Coordinated Agricultural Project (CAP). The USDA will invest $4.8 million over the next four years to reduce the animal and economic losses associated with the disease. PRRS CAP was funded in 2004 and led by the University of Minnesota. The program brought together a community of scientists, veterinarians, pork producers, represented by the Pork Checkoff, and industry to develop innovative strategies to lessen the impact of PRRS and work toward the virus' eradication. The program is now led by Bob Rowland of Kansas State University.
Some of the successes of the effort include the development of vaccines; understanding how the virus spreads and the development of successful biosecurity practices to control infection and reinfection. Recent findings now provide guidelines for maintenance of PRRS-free herds without the use of vaccination.
The Pork Checkoff represents the industry on the PRRS CAP stakeholder board and Lisa Becton, director of swine health research and information, is project co-director of the program. Among other things, Becton helps coordinate program goals, research calls and research findings through the pork.org and prrs.org Web sites.
Requests for PRRS research proposal-funding through PRRS CAP are due Aug. 20. Information on funding and applying for funding can be found online at prrs.org. Also online is information on the upcoming International PRRS Symposium to be held in Chicago, Ill., on Dec. 5-6.
Risk Management Webinars Focus on Feed, Grain
With today's price volatility and global concerns about adequate grain supplies, the U.S. Department of Agriculture's Aug. 12 Crop Production report may have a dramatic impact on your hog operation. In anticipation of this report, CME Group, the Pork Checkoff and your local state pork association designed two free webinars to keep you updated.
These interactive webinars were held Aug. 5 and 6. They are now available for free in an archived format online at www.cmegroup.com/porkwebinars.
The first webinar was entitled "What Is Expected from the August 12 USDA Crop Production Report." In this webinar, David Hightower, principal and founder of The Hightower Report, leads a discussion on current grain and oilseed market issues and outlook, including observations on crop production expectations, perspectives on domestic and export demand, and possible wildcard factors.
The other webinar was entitled "A Strategic Approach to Hedging Your Hog Operation's Input Costs." The speaker for this discussion is a leading industry risk management consultant. The discussion was about how pork producers can use risk management tools, including input cost hedging strategies, to prepare and protect their operations from pending adverse market movements.
Back in the Black by 2009?
Although the U.S. swine industry will be up 7 percent on total slaughter levels for 2008, economists expect hog prices to move up strongly by the summer of 2009, due to lower farrowing intentions this fall, strong exports and substantially lower hog imports from Canada.
"I think we could see record high hog prices by late next summer," says Steve Meyer, president of Paragon Economics in Adel, Iowa. "While it's 100 percent a weather market now, if we have good growing conditions for the rest of the season and an average to late frost, things will look a lot better for producers."
Exports, which marked huge increases in April and May, have remained one of the brightest spots in 2008 for U.S. pork producers. "China/Hong Kong remains the big driver, although demand from Japan has grown, and Russia's imports of U.S. pork are up," Meyer says. "It doesn't look like there will be any reason for export demand to slow, especially since the weak U.S. dollar makes U.S. pork competitively priced."
As you weather the profitability challenge, continue to watch what the hog futures market is offering, relative to your costs, in the coming weeks, and look for selling opportunities, Meyer says.
"Pay attention to seasonal pricing patterns, and take advantage of them. There traditionally have been opportunities for February-April hogs in September and opportunities for fall hogs in August. To learn about these patterns, log onto the CME Group's Web site at www.cmegroup.com/moore . Also, take a very critical look at your costs, and put a lid on your feed costs and a floor on your hog prices."
Finally, work closely with your banker, and give him or her a maximum loan amount you'll need in the coming months. Bankers would much rather see you put a fence around your losses instead of saying you need $100,000 now but may need more after that, Meyer says.
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
August 8, 2008
The 2008 survey of American Agricultural Economics Association members shows third quarter pork production up 7.2 percent, fourth quarter up 2.4 percent from 2007 and first quarter 2009 down 2 percent, second quarter down 2.8 percent, third quarter down 3.2 percent and fourth quarter of 2009 down 3.6 percent from a year earlier.
With this level of production the people who participated in this annual survey expect third quarter 2008 51-52 percent live hogs to average $52.40 per cwt, fourth quarter $48.36, first quarter 2009 $51.61 per cwt, second quarter $58.46, third quarter $60.25 and fourth quarter 2009 $57.01. This results in an average price for 2009 at $56.88.
Based on these forecasts, hog producers that cannot handle more risk should take a long hard look at what the lean hog futures contract is now offering for hedge opportunities.
If the above forecasts turn out to be what happens, and they look realistic with current information, hog producers on average will lose money through much of 2009.
In the same survey corn prices at Chicago Board of Trade are forecast to be $6.69 per bushel the first of December 2008, $7.04 per bushel the first of March 2009 and $7.00 per bushel the end of June 2009. For these same dates soybean meal on the Chicago Board of Trade is expected to average $375 per ton for first of December 2008, $396 per ton for first of March 2009 and $402 per ton for the end of June 2009.
With these prices for feed the average cost producer’s break even price will likely be in the low $60 range per cwt live.
Pork product cutout was pushed $3.73 per cwt higher this week through Thursday at $91.96 per cwt. Loin price were at $111.09 up $9.71 per cwt, Boston butts at $97.52 per cwt were up $5.17 per cwt, hams at $89.59 per cwt up $0.28 per cwt and bellies at $99.72 up $0.23 per cwt from a week earlier.
The average weight of barrows and gilts in Iowa Minnesota last week were down 1.8 pounds from seven days earlier and 4.8 pounds below a year earlier. Barrow and gilt carcass weight for week ending July 26 at 192 pounds was down 2 pounds from a year earlier.
These data continue to show how producers have pulled marketings forward to reduce weights because of high feed prices and lower feed conversion that goes with heavier weights.
Live hog prices Friday morning were $2.25-5.00 per cwt higher compared to a week earlier. Weighted average negotiated carcass prices were $6.57-9.31 per cwt higher compared to seven days earlier.
The live prices Friday morning for select markets were: Peoria $56.00 per cwt, Zumbrota Minnesota $60.00 per cwt and Interior Missouri $58.00 per cwt. The weighted average negotiated carcass price by area Friday morning were: western Cornbelt $88.78 per cwt eastern Cornbelt $85.67 per cwt, Iowa-Minnesota $88.89 per cwt and nation $87.10 per cwt.
Slaughter this week was estimated at 2128 thousand head up 6.1 percent from a year earlier.
Help your producer boards make decisions on projects for 2008 by filling out a short on-line survey. The boards will utilize the direction you provide as they create the KPA and KPPC budgets for next year.
All segments of the industry are encouraged to participate, but please take the survey before July 23.
If you would rather fill out a paper survey, please contact the KPA office at 888-776-0442. Participants who provide their name and address will receive a KSU EAT PORK License Plate as a thank you. Your name will not be linked to your answers on the survey.
The election of pork producer delegate candidates for the 2009 National Pork Producers (Pork Act) Delegate Body will take place at 1:00 p.m., Friday, July 25, 2008, in conjunction with a Board of Directors meeting of the Kansas Pork Producers Council at the Wendell Moyer Office Building, 2601 Farm Bureau Road, Manhattan, KS 66502. All Kansas pork producers are invited to attend.
Any producer, who is a resident of the state and has paid all assessments due may be considered as a delegate candidate and/or participate in the election. All eligible producers are encouraged to bring with them a sales receipt proving that hogs were sold in their name and the checkoff deducted. For more information, contact Kansas Pork Producers Council, 2601 Farm Bureau Road, Manhattan, KS, telephone 785/776-0442.
If you can not attend the election, but would like to be considered as a delegate, please contact Tim Stroda at 785-776-0442 or e-mail to kpa@kspork.org
July 18, 2008 --- Bill R. Fuller, State Executive Director of the Kansas Farm Service Agency (FSA) encourages producers to pay a fee to become eligible for the 2008 Supplemental Disaster Assistance Programs authorized in the Food, Conservation and Energy Act of 2008 (The Act).
The Act created five new disaster programs, collectively referred to as the Supplemental Disaster Assistance Programs, including:
* Emergency Assistance for Livestock, Honey Bees, and Farm-Raised fish (ELAP)
* Livestock Forage Disaster Program (LFP)
* Livestock Indemnity Program (LIP)
* Supplemental Revenue Assistance Program (SURE)
* Tree Assistance Program (TAP)
To be eligible for these programs, producers must purchase at least catastrophic risk protection (CAT) level of crop insurance for ALL insurable crops and/or Noninsurance Crop Disaster Assistance Program
(NAP) coverage for ALL non-insurable crops.
Because the deadline to purchase CAT or NAP coverage for 2008 crops passed prior to the enactment of the farm bill, producers who were eligible to purchase 2008 crop insurance or NAP but did not, can 'buy-in' to be eligible to participate in the 2008 disaster programs by paying an administrative fee.
The buy-in fee must be paid at the administrative FSA county office by September 16, 2008. The buy-in fees do not provide any CAT or NAP coverage, but provides eligibility to participate in the 2008 disaster programs. All crop acreage in all counties that is planted or intended to be planted for harvest must be covered.
To become eligible for 2008 disaster programs, producers must fill out a
CCC-752 for insurable crops and a CCC-753 for noninsurable crops and pay applicable buy-in fees. For CAT and NAP the fees are $100 per crop, but not more than $300 per producer per county, or $900 total per producer, for all counties, less any previously paid fees for CAT or NAP. These fees and limits apply separately for CAT and NAP. Producers who meet the definition of a Socially Disadvantaged, Limited Resource, or Beginning Farmer or Rancher are not required to pay the buy-in fee.
Contact your administrative FSA county office to determine if you meet one of those definitions.
For 2009 disaster program eligibility, buy-in fees are not authorized.
Producers must purchase crop insurance and NAP coverage on all commodities to be eligible for 2009 disaster programs.
* SURE, TAP and ELAP - must timely obtain crop insurance for each insurable commodity and NAP for each noninsurable commodity on all crop acreage in all counties.
* LFP - must timely obtain crop insurance for insurable
commodities or timely obtain NAP on grazed land.
* LIP - is exempt and does not require CAT or NAP coverage for eligibility.
Check with your local crop insurance agent for the 2009 crop insurance closing dates. For 2009 NAP coverage, the application closing dates for Kansas are:
* September 1, 2008 - aquaculture, barley, canola, Christmas trees, nursery crops, rye, spelts, triticale, turf grass sod, and wheat.
* December 1, 2008 - all grasses, alfalfa, apricots, asparagus, blueberries, caneberries, cherries, clover, grapes, lespedeza, honey, mixed forage, nectarines, oats, peaches, plums, strawberries, and vetch.
* January 1, 2009 - apples and pears.
* March 15, 2009 - coarse grains, vegetable and melon crops,
amaranth, chestnuts, cotton, pecans, pumpkins, safflower, sesame, squash, and walnuts.
Fuller encourages producers to pay the buy-in fees by September 16, 2008 to be eligible for 2008 disaster programs and purchase 2009 crop insurance and 2009 NAP coverage by the applicable closing dates to be eligible for 2009 disaster programs. Contact your local FSA county office for additional information.
Eric B. Banks, State Conservationist for the Natural Resources Conservation Service (NRCS), announced an additional
$1.45 million for financial assistance has been made available to Kansas producers who had conservation practices damaged or destroyed by flooding events in Kansas during 2008 that need to be repaired and replaced.
Signup Date
"Producers need to act quickly and sign up for financial assistance by the August 1, 2008, deadline," said Banks.
"These funds provide an opportunity for producers hit by flooding to repair and/or replace the damaged practices and keep their investment and conservation practices working."
What's Eligible for Financial Assistance Any structural or vegetative conservation practice originally installed with NRCS financial assistance and/or technical assistance and still functioning at the time of the flooding would be eligible. Practices are not eligible if the damage was due to lack of maintenance or caused by a non-flood related event.
"There are a lot of practices out there that would be eligible; for example, washed out terraces and grass seedings, damaged ponds, and streambank stabilization systems that failed," said Troy J. Munsch, Assistant State Conservationist for Programs in Kansas.
For More Information
Visit your local NRCS office to learn more about this signup. The office is located at your local USDA Service Center (listed in the telephone book under United States Government or on the Internet at offices.usda.gov). More information is also available on the Kansas Web site at www.ks.nrcs.usda.gov.
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
New Worker Safety Reporting DatabaseDate: July 14, 2008
Length: 4:30
Speaker: Ann Beacom, associate consultant with the Organizational Effectiveness Research Group at Minnesota State University
Date: July 7, 2008
Length: 5:55
Speaker: Larry Jacobson, professor and extension engineer for the University of Minnesota
Date: June 18, 2008
Length: 6:30
Speaker: Dr. Mark Boggess, director of animal science for the Pork Checkoff
Date: May 29, 2008
Length: 5:51
Speaker: Dr. Mark Boggess, director of animal science for the Pork Checkoff
Livestock Producers Win Major CRP Victory
Federal Court Decision Will Allow Use of CRP Land
July 17, 2008–The National Pork Producers Council (NPPC) today applauds the ruling of the United States District Court Judge John Coughenour to allow livestock producers to utilize at least 2.5 million acres of noncritical Conservation Reserve Program (CRP) land for haying and grazing, rejecting the calls for a ban of USDA’s Critical Feed Use (CFU) initiative.
The decision was based largely on a brief filed by NPPC in response to the National Wildlife Federation’s (NWF) lawsuit regarding the USDA’s CFU initiative. NPPC’s brief, filed with the American Farm Bureau Federation and National Cattlemen’s Beef Association, pointed out the significant losses livestock producers are suffering due to recent spike in grain prices and the need to rely on the CFU initiative to avoid suffering irreparable harm to their business and possible loss of their farms from a lack of feed.
Last week, at the request of the National Wildlife Federation (NWF) and several state wildlife federations, the court issued a temporary restraining order immediately halting farmers and ranchers from haying and grazing on CRP land for critical feed use until the court considered the issue further this morning.
In declining to extend the injunction, Judge Coughenour stated, “There are substantial competing hardships, whose impact could be devastating to citizens who trusted that their government was acting legally in implementing the Critical Feed Use initiative, as well as to the nation and the world economy at large, if the Court issues the injunction that Plaintiffs urge.” Instead, he ordered the NWF and USDA to come up with a compromise plan designed to mitigate the hardships of livestock producers, suggesting that at least 2.5 million acres of CRP land be released for haying and grazing.
According to USDA estimates, the CFU initiative will generate around 18 million tons of hay, worth approximately $1.2 billion. This additional hay would free up large quantities of other commodities currently in short supply and lower input prices for livestock producers everywhere, regardless of their participation in the initiative.
NPPC board member Doug Wolf, who raises both hogs and cattle on his 1300 acre farm in Lancaster, Wis., said, “This is a significant victory for pork producers who face not only losses as a result of volatility on grain markets, but tremendous uncertainty over securing adequate supplies of feed. The court’s decision to allow this land to be hayed and grazed could free up an estimated 105 million bushels of corn, or a ten to fifteen percent increase in carry over stocks of grain, providing the certainty producers need to continue operating.”
Drug-Review Law Favorable To Pork Industry
July 16, 2008 – The National Pork Producers Council today commends the House Energy and Commerce Committee for approving the clean reauthorization of an animal-drug review law and a new generic animal-drug review statute.
The Animal Drug User Fee Act (ADUFA), first enacted in 2003, allows FDA to collect fees from the animal health industry for the review and approval of animal health products. The fees supplement the agency’s annual congressionally-approved appropriations and have enabled FDA to dramatically reduce its review time for new animal drugs, bringing medications to the market more quickly while maintaining high standards for safety and effectiveness. The Animal Generic Drug User Fee Act (AGDUFA) would do the same for generic animal drugs. The law is expected to generate $98 million in user fees over the next five years; AGDUFA is estimated to bring in $27 million.
NPPC applauds the leadership of Energy and Commerce Committee Chairman Dingell, D-Mich., Ranking Member Barton, R-Texas, and Subcommittee on Health Chairman Pallone, D-N.J., and Ranking Member Deal, R-Ga., for working with pork producers and the veterinary community to take up the measure before it expires on Sept. 30.
Pork producers have always supported science-based efforts to protect public health. Today’s bill included enhanced animal-health company reporting requirements to further promote public health. These additional requirements do not limit producer access to important animal health products.
NPPC urges swift action by the House and Senate to reauthorize ADUFA and approve AGDUFA before the August recess.
Since ADUFA was signed into law in 2003, four new swine health products have come on the market, helping producers fight the increasing challenges that swine respiratory diseases have created for the industry. Additionally, last year alone, veterinarians and pet owners received nine new products to help pets live longer, healthier lives.
“Passing ADUFA favorably through the House Energy and Commerce Committee is a win for pork producers. I urge Congress to quickly approve both ADUFA and AGDUFA without additional amendments that would make it more difficult to keep animals healthy and maintain a safe food supply,” said NPPC President Bryan Black, a pork producer from Canal Winchester, Ohio.
Wanted: Future leaders for the pork industry
Calling all sophomores, junior and senior college students! If you are considering a graduate degree program in a swine science discipline or planning a career in the pork industry, the Pork Checkoff wants to hear from you.
The Pork Checkoff and industry partners have joined to address one of the industry’s critical issues, the development of human capital. The partners are offering scholarships to college students who are working toward becoming part of the pork industry. The Pork Checkoff Pork Industry Scholarships program will offer the top applicant a $10,000 scholarship, the runner-up will receive a $5,000 award and a minimum of 14 other students will receive $2,500 for the 2008-2009 school year.
“The competitiveness of our industry depends on a sustainable source of human capital,” said Steve Weaver, vice president of the National Pork Board and producer from California. “It is critical that we recruit talented young people into our industry at all levels. These scholarships will be granted to youth interested in production, management, research and veterinary medicine.”
The pork industry scholarships are funded by the Pork Checkoff and PIC. Sophomore, junior and senior level college students interested in applying for the pork industry scholarships can visit http://www.pork.org/PorkScience/scholarship/ for more information on how to apply and on the industry sponsors of these awards. The deadline for application is September 15, 2008. Scholarships will be awarded for the 2008-2009 school year.
Dorms, books... scholarships?
As they prepare for the new school year, students considering careers in agricultural business, agriculture engineering, agronomy, animal science, animal physiology, environmental sciences, nutrition, reproduction, veterinary medicine and other related fields with an emphasis on swine also should consider applying for the Pork Checkoff Pork Industry scholarships.
“These young students have taken the first step by choosing to enter agriculture, animal science or veterinary medicine for their studies,” Weaver said. “We hope to interest them in narrowing their field to the pork industry. This industry offers many great career opportunities. “Great organizations such as ours and PIC are interested in recruiting talented, young graduates and offering exciting and diverse careers where they can grow as professionals and as individuals,” Weaver said.
Sophomore, junior and senior level college students interested in applying for the pork industry scholarships can visit http://www.pork.org/PorkScience/scholarship/. Guidelines for applicants including prerequisites and support materials, as well as an application questionnaire and criteria that will be used to select the top candidates can be found there. The application must be submitted electronically. Supporting materials must be sent by U.S. postal service. Applications and all supporting material must be received by September 15, 2008. Questions can be emailed to LModlin@pork.org.
New Pork Labels Brighten Up the Meat Case
From Cranberry Onion Chops to Peachy Mustard Chops, consumers in the central U.S. are getting great meal ideas – all with one quick look into the meat case. The Pork Checkoff is partnering with Wal-Mart and Tyson to test recipe labels on packages of fresh boneless and bone-in pork chops in July and August.
“Testing this new label with Wal-Mart and Tyson provides a great opportunity to sell more pork, especially during the summer grilling season,” says Patrick Fleming, the Pork Checkoff’s retail marketing manager for the south-central division. “We are hoping to see sales increase 3 to 8 percent throughout the 12-week test.”
This new label is different from labels seen on pork chops in the past. The standard label is a triangular label on the corner of the packaging. The new one has been developed to attach to the pricing label. “This label has an advantage because consumers will automatically look at the price when they pick up the product,” Fleming says. “In addition to the price, they will also see a nice beauty shot and a recipe.”
The labels will offer consumers one of eight different recipes with one to three ingredients and suggested cooking times, and it will direct them to the Pork Checkoff’s consumer Web site, TheOtherWhiteMeat.com, as a source for all things pork. Tyson will be applying these labels to all packages of pork chops coming out of their Sherman, Texas case-ready plant. These pork chops will go to 500 Wal-Mart stores in Texas, Oklahoma, Arkansas, Kansas, Missouri, Tennessee and Louisiana through Labor Day.
“After Labor Day, Wal-Mart, Tyson and the Pork Checkoff will evaluate the success of the test,” Fleming says. “Then we will decide whether or not to roll the program out nationally.”
Out with the Old, In with the New
Labeling pork products is not a new practice, Fleming says. Companies have used labeling programs for years. The Pork Checkoff has worked with nationwide stores like Wal-Mart, Kroger and Safeway to provide the corner cooking label, offering serving tips and recipes. But, depending on the new label test, it may be out with the old and in with the new.
“The old corner labels require an extra cost because they are applied separately, while the new label is applied with the price label,” Fleming says. “If the new label is successful during the test period, it would save money.”
Previous controlled store tests on labeling have shown an increase in pork sales of 6 to 8 percent.
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
July 18, 2008
Pork export demand is phenomenal with a gain of 98.2 percent in May from a year earlier. Pork exports in May of 2008 amounted to $43.62 per head slaughtered. This is up from $25.06 per head slaughtered in May of 2007. Pork by-product exports in May amounted to $6.23 per head slaughtered, which compares with $3.57 per head slaughtered in May a year earlier.
The total value of pork and pork variety meat exports in May amounted to $49.85 per hog slaughtered in 2008, up from $28.62 per head a year earlier.
The value of pork exports for January-May for each hog slaughtered in the U.S. was $33.51 --- up from $24.73 per hog slaughtered in 2007 for January-May. Pork variety meat exports for January-May at $4.80 per hog slaughter were up $1.38 per head from 12 months earlier at $3.42 per head. The total pork and pork variety meat exports for each hog slaughtered in the U.S. from January-May was $38.31 this is a 36 percent increase from the $28.51 per hog slaughtered in the first five months of 2007.
In May, pork exports amounted to 26.5 percent of U.S. slaughter or a little more than one out of every four hogs slaughtered. For January-May, 20.6 percent of U.S. pork production was exported. In carcass weight equivalent, pork exports for January-May were up 61 percent from a year earlier.
For January-May, pork exports to Japan were up 16.2 percent, to Mexico up 19 percent, to Canada up 25 percent, to South Korea up 13.5 percent, to Russia up 145.2 percent, to China and Hong Kong up 401.3 percent, to Taiwan down 5.8 percent, to Australia up 4.4 percent, and to other countries up 107.8 percent from 2007.
Net pork exports as a percent of production for January-May were 16.96 percent. This compared with net pork exports for January-May of 2007 of 9.56 percent of production or a gain of 7.4 percentage points of production.
This is the major reason demand for live hogs in January-May were up 6.8 percent and consumer demand for pork for these five months was down 1.9 percent from 12 months earlier.
The average weight of barrows and gilts in Iowa-Minnesota for the week ending July 12 was up 0.9 pound from a week earlier at 260.5 pounds but down 2.8 pounds from a year earlier. The evidence is strong that hog producers are more current with marketings than a year earlier. Having marketings more current this fall will minimize the potential negative impact of short slaughter capacity relative to supply.
The strong export demand pushed pork cutout higher this week. The cutout Thursday afternoon at $83.07 per cwt of carcass was up $2.21 per cwt from a week earlier.
Loin prices at $99.97 per cwt were up $2.21 per cwt, Boston butts at $85.05 per cwt were down $4.85 per cwt, hams at $85.75 per cwt were up $8.02 per cwt and bellies at $84.53 per cwt were up $1.18 per cwt from seven days earlier.
Top live hog prices this Friday morning were $1.50 to $5.00 per cwt higher compared to last week. The weighted average negotiated carcass prices were $0.24 lower to $5.15 per cwt higher compared to a week earlier.
The top live prices Friday morning for select markets were: Peoria $47.00 per cwt, Zumbrota, Minnesota, $52.00 per cwt, and interior Missouri $51.25 per cwt. The weighted average carcass prices for negotiated hogs by area were: western Cornbelt $76.11 per cwt, eastern Cornbelt $73.65 per cwt, Iowa-Minnesota $76.12 per cwt, and nation $74.46 per cwt.
Slaughter this week under Federal Inspection was estimated at 2145 thousand head, up 9.6 percent from a year earlier.
Based on requests from producers, the KPA has initiated the KPA Producer Classified
To add your listing to the page, plese contact Tim Stroda at the KPA office at 785-776-0442 or
e-mail to kpa@kspork.org.
The election of pork producer delegate candidates for the 2009 National Pork Producers (Pork Act) Delegate Body will take place at 1:00 p.m., Friday, July 25, 2008, in conjunction with a Board of Directors meeting of the Kansas Pork Producers Council at the Wendell Moyer Office Building, 2601 Farm Bureau Road, Manhattan, KS 66502. All Kansas pork producers are invited to attend.
Any producer, who is a resident of the state and has paid all assessments due may be considered as a delegate candidate and/or participate in the election. All eligible producers are encouraged to bring with them a sales receipt proving that hogs were sold in their name and the checkoff deducted. For more information, contact Kansas Pork Producers Council, 2601 Farm Bureau Road, Manhattan, KS, telephone 785/776-0442.
If you can not attend the election, but would like to be considered as a delegate, please contact Tim Stroda at 785-776-0442 or e-mail to kpa@kspork.org.
Pork Industry Joins Texas In Asking EPA To Suspend Renewable Fuels Standard
With rising pressures on this year’s corn crop, which now have been ratcheted up because of flooding in the Midwest, and the prospect of significant numbers of pork producers going out of business from the resulting higher feed costs, the National Pork Producers Council today called for the federally-mandated target for corn-based ethanol production to be cut in half.
In comments submitted to the U.S. Environmental Protection Agency, NPPC urged that the state of Texas be granted a waiver of the Renewable Fuels Standard (RFS) and that the amount of biofuels – ethanol is the only viable biofuel – that must be produced in 2008 be reduced to 4.5 billion gallons from 9 billion gallons. EPA must make a decision on the waiver requested by Gov. Rick Perry by July 24.
Pork producers have been feeling the pinch of higher prices for feed, which accounts for 70 percent of the cost of raising a hog. Feed grain prices already were increasing starting in the summer of 2006 because of the rapid rise in ethanol production. Since then, increased global demand for crops, drought conditions in parts of the world and the RFS requirement have fueled even higher grain prices. (A bushel of corn for July delivery now is selling for more than $7 compared with about $2.60 in July 2006.) From September 2007 to April 2008, corn prices rose 124 percent and soybean meal prices went up 94 percent. During that time, pork producers lost an average of $30 on each hog marketed.
“The U.S. government’s intervention in grain markets, through the RFS, has created one of the most severe economic crises to ever hit pork producers,” said NPPC President Bryan Black, a producer from Canal Winchester, Ohio. “The impact for the pork industry and its customers will be devastating as herds are culled, producers go out of business and pork prices skyrocket.”
Making matters worse are the recent flooding in much of the Heartland and delayed plantings because of a cool, wet spring, which have pushed corn yield forecasts significantly below earlier projections. USDA recently reduced to 149 bushels from 154 bushels its estimated average yield per acre. That expected shortfall along with a mandated 38 percent increase in ethanol production over last year has producers very concerned about having physical access to corn to feed their livestock, pointed out NPPC in its comments to EPA.
Bill R. Fuller, State Executive Director of the Kansas Farm Service Agency (FSA) announced the Crop Disaster Program (CDP) for quality losses in 2005, 2005 and 2007 crop years.
FSA has been conducting signup since last fall for quantity losses for 2005-2007 crops. On June 23 signup started for quality losses on 2005-2007 crops. Producers with losses in 2005, 2006 or 2007 may only receive benefits for one of those years.
Producers must have obtained crop insurance or coverage under the Noninsured Crop Disaster Assistance Program (NAP) for the year of loss to be eligible for CDP. Producers must have suffered quality losses of at least 25 percent. The payment rate is 65 percent of the amount of the affected crop multiplied by 42 percent of the per-unit market value in the year in which the loss occurred.
The acreage reporting deadline has been extended to August 15 to certify spring seeded crops and CRP. NAP acreages must be certified by August
15 or 15 days prior to the onset of harvest or grazing. August 15 is also the final date to report NAP production for crop year 2007.
Producers must report acreages to maintain eligibility for Price Support Programs, Noninsured Crop Assistance Program (NAP), Conservation Reserve Program (CRP), and Direct and Counter-Cyclical Program.
Producers are also reminded that marketing assistance loans and loan deficiency payments are available on 2008-commodities. The CCC-633 EZ Page 1 must be completed before loosing beneficial interest in the commodity.
Fuller also reminds producers that signup ends on July 18 for the Livestock Indemnity Program and Livestock Compensation Program for 2005-2007 losses.
FSA accepts applications anytime for Farm Storage Facility Loans, Continuous CRP, Rural Youth Loans, and Direct or Guaranteed Operating or Farm Ownership Loans, including Beginning Farmer and Socially Disadvantaged.
USDA Farm Service Agency (FSA) has many programs that provide Kansas farmers and ranchers supplemental income to help with the many expenses of maintaining a crop or livestock operation.
To apply for FSA benefits or certify acreages, contact the Farm Service Agency at your local USDA Service Center.
Bill R. Fuller, State Executive Director of the Kansas Farm Service Agency announced that FSA is making emergency loans available to help qualified producers recover from production and physical losses due to severe storms, tornadoes and flooding.
Presidential Disaster Declaration M1770 for Nebraska storms on May 22, 2008, and continuing, made the following contiguous counties in Kansas eligible for emergency loans: Brown, Decatur, Doniphan, Jewell, Marshall, Nemaha, Norton, Philips, Rawlins, Republic, Smith, and Washington. Producers in these counties have until February 20, 2009 to apply for an emergency loan.
Eligible loan funds may be used to restore or replace essential property and pay production costs associated with the disaster year. Applicants can borrow up to 100 percent of actual production or physical losses not to exceed $500,000. The current rate for these low interest loans is
3.75 percent.
Producers must meet eligibility requirements and not be able to obtain credit from a commercial lender. FSA will consider each loan application on its own merits, taking into account the extent of losses, security available and repayment ability.
Contact the FSA office at your local USDA Service Center.
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
How to Handle Weather-related ChallengesDate: June 18, 2008
Length: 6:30
Speaker: Dr. Mark Boggess, director of animal science for the Pork Checkoff
Date: May 29, 2008
Length: 5:51
Speaker: Dr. Mark Boggess, director of animal science for the Pork Checkoff
WEEK ENDING June 20, 2008
FARM BILL VETOED AGAIN, OVERTURNED AGAIN BY CONGRESS
Congress Wednesday voted overwhelmingly to override President Bush’s second veto of the 2008 Farm Bill. The House voted 317-109 and the Senate 80-14 to approve the $289 billion bill. The second veto of the Farm Bill and second vote to override it were necessary because the first measure sent to the president in May was missing the Trade title. The Farm Bill now is effective.
WHAT’S AHEAD
NPPC TO TESTIFY BEFORE HOUSE LIVESTOCK SUBCOMMITTEE IN JULY
The date has changed for a House Agriculture Subcommittee on Livestock, Dairy and Poultry hearing to review advances in animal health for the livestock industry. Previously scheduled for June 24, the hearing is anticipated to take place in July. Dr. Craig Rowles, a veterinarian and pork producer from Carroll, Iowa, will testify on behalf of NPPC, touting the pork industry’s successful voluntary programs such as the Take Care—Use Antibiotics Responsibly and Pork Quality Assurance Plus programs.
SENATE TO EXAMINE ANTIMICROBIAL RESISTANCE
The Senate Committee on Health, Education, Labor, and Pensions will hold a hearing next Tuesday on antimicrobial resistance in the U.S. and the emergence of a superbug. Critics of the U.S. pork industry have tried to link antibiotic use in pigs with growth of antibiotic-resistant bacteria. NPPC recognizes the threat to public health caused by antimicrobial-resistant bacteria and supports the judicious use of antibiotics in livestock. All decisions affecting the availability of antimicrobials for animal use need to be transparent and based on sound science.
Protect Your Pigs’ Health in Extreme Weather
From heat waves in the Southeast to flooding in the Midwest, pork producers across the country are facing many serious weather-related challenges that could impact the safety and health of their livestock.
“While pork producers know it’s always important to make animal well-being a priority, this takes on special urgency when extreme weather emergencies hit,” says Paul Sundberg, vice president of science and technology for the National Pork Board, who offers the following advice:
• Check the vital signs. Ensure that your animals are safe and housed in a spot where they can survive, and make sure they have adequate feed and water supplies.
• Preplan for biosecurity issues. If you have to relocate animals, for example, will different ages of pigs come in contact with each other? If you have to evacuate animals to a different site, call your neighbors, local veterinarians, and county or state pork associations to see where barns or shelter might be available.
• Watch closely for signs of disease. Animals that are under stress are more vulnerable to pathogens. “The strategic use of antibiotic treatment may be necessary to protect the health of your pigs, especially if the animals have to be moved and are stressed,” Sundberg says.
Following the basics can go a long ways towards protecting the health of your herd, Sundberg adds. “Ensuring that your pigs are taken care during these difficult weather conditions isn’t always easy, but it’s more important than ever.”
Producer Uses YouTube to Tell Pork’s Story
Chris Chinn is throwing open the barn doors at her family’s farrow-to-finish Missouri hog farm and inviting guests to take a tour, thanks to the power of YouTube.
“In today’s world, putting a face on farming is a necessity,” says Chinn, a fifth generation farmer who runs a 2,400-sow operation near Clarence, Mo., with her husband, Kevin, his parents and his brother. “It’s important to use online tools like blogs and social networking sites to reach a wider audience and stand up for agriculture.”
The five-minute “Truth about Modern Pork Production” video (http://www.youtube.com/watch?v=hOpVYj2bKIE), shows daily life inside the farrowing room and finishing barns. Chris, who narrates the video, describes the farm’s nutrient management plan to protect the environment, details how the barns’ computerized climate control systems contribute to the animals’ comfort, and explains the importance of animal well being, from proper nutrition to veterinary care.
“We hope this helps people understand why we use modern technology on farms and the benefits it brings to our livestock,” says Chinn, whose husband shot the video with a camcorder. “Our motivation is to maintain our business and way of life so we can pass the farm on to our two children some day.”
Consumers respond positively
Many of the YouTube viewers who have commented on Chinn’s video echo the sentiments of WorkingMom13, who wrote, “This is really an informative video. It explained several things about pigs that make me realize how much better it is for them inside those buildings. Pig farmers really care about how the pigs are taken care of.”
Consumers are hungry for knowledge about modern agriculture and food production, says Chinn, who e-mailed the link to her YouTube video to her many e-mail contacts, including local media. “While people are inerested in livestock production, they want easy-to-understand explanations without a lot of details. I encourage more pork producers to share their story and build trust with consumers.”
Pork Checkoff debuts on YouTube
The Pork Checkoff has recently released three new videos on YouTube to answer consumers’ questions about animal care, feeding, transport and more. The videos, which run approximately one to two minutes each, feature pork producers and industry experts answering consumer questions on animal care issues.
The Checkoff's YouTube channel can be found at http://www.youtube.com/PorkCheckoff. Videos include “Pig Farmers Take Action” (which focuses on animal health and well-being, including Pork Quality Assurance Plus), “Ride Along with a Pig” (which shows why transportation is a very important issue for pork producers), and “Pigs Are Hungry, Too” (which addresses pigs’ nutritional needs and requirements for optimum care).
The Checkoff needs your help in spreading the message about these YouTube videos, says Teresa Roof, public relations manager for the National Pork Board. “The more people who view these videos and rate them, the higher the videos will appear in the online search. This is viral marketing, and it will help us spread the message that pork producers are doing the right thing.”
Yokohama Port Festival and Tokyo PR Event Promote U.S. Pork
The Yokohama Port Festival, a revered institution for 27 years, was an ideal setting for USMEF’s “Mainichi Oishi” campaign to promote the taste and versatility of U.S. pork to Japanese consumers, who have to be convinced that any imported pork can be as good as domestic. The festival, held June 1-2, attracts hundreds of thousands of people in this major city The USMEF booth distributed 2,400 cooked samples of U.S. sausage donated by Johnsonville, Sara Lee, and Farmland, 200 questionnaires to keep tabs on how consumers view U.S. pork, and other informational material. Enthusiasm was so high consumers lined up for the samples and each batch of 200 vanished as soon as serving began. The questionnaires revealed that 54 percent thought the sausages were “super delicious” and 41 percent said delicious, meaning a 95 percent approval rate. A total of 84 percent said trying the samples improved ! their perception of U.S. pork sausage.
The port festival came two days after USMEF collaborated with the magazine Mart in a public relations booster at Tokyo’s Oriental Hotel. This trendy hotel and a magazine very popular with women from 20 to 50 were chosen as ideal vehicles to explain the quality and versatility of U.S. pork to USMEF’s target audience. One of Mart’s well-known models told the audience how much she enjoys U.S. pork and detailed her favorite ways to cook it.
The KPA provides comments from analysts on a periodic basis. Their opinions and comments represent the opinions of the commentators--they do not necessarily reflect the opinions of the Kansas Pork Association.
June 20, 2008
The floods and excess rain has pushed corn prices above $8 per bushel in the futures market. Cash corn prices are at or above $7.00 per bushel for many areas. The cost of producing hogs has increased over $25 per cwt in the last two years just due to feed cost.
If one is planning to exit the hog industry in the near future, now is probably a good time. However, the current market for hog facilities even in good condition is not good.
A good management strategy that continues to be viable is to sell the low producing 5 percent of the breeding herd.
Our data indicates the U.S. breeding heard on June 1 was down about two percent from a year earlier. The herd actually may be down some more than the actual because the last year provides strong evidence that the breeding herd on June 1, 2007, was larger than the current USDA data shows. The bad news is that the market herd on June 1 was still probably 6-7 percent larger than a year earlier. All weight categories of market hogs are expected to be larger than last year when the Hogs and Pigs report is released on June 27.
Retail pork prices in May were up 1.6 percent from April and up one percent from a year earlier. For the first five months of 2008 retail pork prices were up 1.2 percent from 12 months earlier.
The total marketing margin for January-May was up 5.8 percent with the processor-retailer margin up 5.6 percent and the packer margin up 6.3 percent. The bad news is that the live hog price was 8 percent below last year for these five months. Only an 8 percent reduction in prices is not too bad when pork production was up over 11 percent for January-May of 2008 compared to 2007. There is strong evidence of good demand growth at the live hog level.
With retail pork prices up and pork supply per capita up, it all adds up to growth in demand at the consumer level.
The big increase in retail pork prices are still in the future. However, retail pork prices showed only increases in percentage about one-third as much as the price of hogs due to the increased pork production costs.
Feeder pig prices this week were $5-10 per cwt below two weeks ago at United Tel-O-Auction. Prices by weight groups at United this week were: 40-50 pounds $45 per cwt, 50-60 pounds $38-60 per cwt.
Pork product prices recovered some this week with the cutout Thursday afternoon at $79.33 per cwt were up $4.49 per cwt from a week earlier. Loins at $97.33 were up $250 per cwt, Boston butts at $94.52 per cwt were up $3.91 per cwt, hams at $74.97 per cwt were up $9.28 per cwt, and bellies at $75.40 per cwt were up $3.85 per cwt from seven days earlier.
With the stronger pork product market, this week's live hog prices were $1.50-3.00 higher per cwt compared to last week. Weighted average negotiated carcass prices were up $2.68-5.62 per cwt compared to a week earlier.
The live prices for select markets Friday morning were: Peoria $47.00 per cwt, Zumbrota, Minnesota, $51.00 per cwt and interior Missouri $51.25 per cwt. The weighted average carcass negotiated prices Friday morning by area were: western Cornbelt $74.10 per cwt, eastern Cornbelt $70.64 per cwt, Iowa-Minnesota $74.16 per cwt and nation $72.90 per cwt.
Slaughter this week under Federal Inspection was estimated at 2,081 thousand head, up 7.5 percent from a year earlier.
The average weight of barrows and gilts in Iowa-Minnesota for the week ending June 14 at 264.9 pounds were up 0.5 pound from the previous week and up 0.5 pound from a year earlier. This is the first week for weights in Iowa-Minnesota to be above a year earlier since early February.
As part of a campaign to provide information about the pork industry's financial issues, Tim Stroda, KPA staff, recently met with representatives of the Kansas Agricultural Mediation Service. With the help of Kansas State University Extension
MANHATTAN, Kan. - Like livestock producers across the country, Kansas producers have been hit by soaring fuel, feed and other costs. But few have been affected more than the state´s pork producers, who are losing money on every animal they sell.
Pork and beef producers - any agricultural producers struggling under the weight of record-high input costs, have resources available to help them make the best choices possible through the Kansas Agricultural Mediation Service, said KAMS mediation coordinator Char Henton.
Based at Kansas State University as part of K-State Research and Extension, KAMS works with farm and ranch families in a confidential manner to find information, to connect families with services and to help resolve disputes that arise with government agencies, banks, suppliers and others.
KAMS works with producers to help make them aware what their options are, said KAMS staff attorney Forrest Buhler. Two components of the system are key features of KAMS´ services -- financial counseling through the Farm Analyst Program and legal counseling through Kansas Legal Services. In many cases, Buhler said, KAMS services are free of charge. Even when there is a fee involved, it´s much lower than the industry standard.
"Our industry is in somewhat of an unusual situation," said Tim Stroda, president and chief executive officer of the Kansas Pork Association. "For three to four years we had a record run of profitability. Then, in October last year, everything turned upside down."
Since then, Kansas producers have lost as much as $60 to $70 per head on hogs sold. The market situation eased this spring, helped by strong demand for pork from overseas buyers. But producers are still losing $20 to $25 per pig, he said.
That may be putting some of the 1,500 Kansas hog producers in an uncharacteristically tight financial bind, said Stroda, who is talking with bankers, government agencies and others to make them aware of the situation.
Kansas ranks No. 9 in total hog and pig inventory, producing about 2.8 percent of the nation´s total, Stroda said. In 2007, Kansas producers sold 3.3 million market hogs, feeder pigs and seedstock with a gross market value of $402 million.
To underscore the pork industry's importance to the state, Stroda said that Kansas pork operations consume more than 30 million bushels of grain annually. At today's prices, that means pork producers will spend more than $165 million on grain sorghum and corn this year.
"Confidentiality is often a concern with people who are trying to work through problems. Our services are always kept in confidence," Henton said.
More information about KAMS is available by telephone at 1-800-321-3276 or on the Web at http://www.oznet.ksu.edu/kams/.
U.S. pork continues to shine in the export market, eclipsing the previous one-month record by nearly 12 percent to reach 175,640 metric tons (387.2 million pounds) of pork and pork variety meat valued at $391.5 million in April. The previous record of 156,959 metric tons (346 million pounds) was set in February.
The pork success story is even more impressive looking at the first four months of 2008 versus a year ago. Total pork exports for 2008 are up an impressive 52 percent over the year prior, equaling 629,682 metric tons (1.38 billion pounds) valued at $1.4 billion.
“U.S. pork has set export records for 16 consecutive years, and there’s no sign that the world’s appetite for U.S. pork is slackening one bit,” said Erin Daley, manager of research and analysis for the U.S. Meat Export Federation.
Daley noted that for the first four months of 2008, exports accounted for 22 percent of total U.S. pork and pork variety meat production, versus 16.5 percent last year.
Pork Highlights (year-to-date)
Japan is still the top market with total pork exports up 17 percent to 144,950 metric tons (319.5 million pounds) valued at $460 million.
The China/Hong Kong region follows closely behind with exports up 311 percent to 144,800 metric tons (319.2 million pounds) valued at $243.5 million. April exports set a new monthly record for the region – 42,331 metric tons (93.3 million pounds), up from the February record of 40,894 metric tons (90.1 million pounds) and a recovery after exports dipped to 27,724 metric tons (61.1 million pounds) in March.
Exports to Mexico are up 10 percent to 103,682 metric tons (228.5 million pounds), but still lag record 2006 volumes by 16 percent.
A new record in Russia as well, with April volumes at 18,470 metric tons (40.7 million pounds) for a January-April total of 58,334 metric tons (128.6 million pounds), up 142 percent from the first four months of last year. Russia recently resumed imports from Canada after banning them in April, then delisted several EU plants and later delisted four U.S. plants. Russia is currently the third-largest pork importer, following China/Hong Kong and Japan. Daley noted that U.S. prices are currently extremely competitive, even with Brazil, assisted by the weak dollar.
Exports to Canada are up 24 percent to 53,348 metric tons (117.6 million pounds).
Exports to South Korea are up 12 percent to 48,550 metric tons (107 million pounds).
Exports to the ASEAN are up 316 percent to 15,429 metric tons or 34 million pounds (Philippines: 8,963 metric tons, Vietnam: 3,238 metric tons, Singapore: 3,072 metric tons).
Exports to the EU are up 117 percent to 13,668 metric tons or 30.1 million pounds (France: 3,979 metric tons, Italy: 2,109 metric tons, Germany: 1,811 metric tons). As previously noted, U.S. export statistics overstate actual exports to the EU.
Exports to Central and South America are up 4 percent to 11,308 metric tons or 24.9 million pounds (Honduras: 4,024 metric tons, Guatemala: 2,247 metric tons, Colombia: 1,652 metric tons). Exports to the Dominican Republic are up 320 percent to 4,312 metric tons (9.5 million pounds).
Exports to Taiwan and Australia are lagging last year by 18 and 7 percent respectively. Exports to Australia and Taiwan increased significantly in April, but market access restrictions still limit exports to Taiwan.
June 11, 2008 – Retail prices of pork will rise and some pork producers will go out of business because of current crop conditions and subsequent feed availability issues, the National Pork Producers Council today warned the U.S. Democratic Steering and Outreach Committee during a meeting on rising food prices.
NPPC CEO Neil Dierks joined representatives of crop commodity organizations, hunger and food groups, labor unions, religious groups and renewable fuels organizations in a discussion with several Senate Democrats on the global and domestic impact of rising food prices, the factors contributing to the trend and possible solutions to the problem.
“Food price inflation for pork will be a reality,” said Dierks, the only representative from the livestock industry to attend the meeting, which was presided over by Majority Leader Harry Reid of Nevada and committee Chairwoman Debbie Stabenow of Michigan.
Projections are that just to allow producers to break even pork retail prices will need to increase by at least 17 percent next year because of the recent rise in feed costs, which account for 70 percent of the cost of raising a hog. Corn prices have increased by 124 percent and soybean prices by 94 percent since September. From October through April, pork producers lost an average of $30 on each hog marketed, and many producers since have been forced to quit the business.
The two-year run-up in crop prices – corn was about $2.60 a bushel in July 2006 compared with around $6.70 a bushel for July 2008 delivery – is due several factors, including the new increased demand from corn-based ethanol plants. Additional pressures on prices and availability now are being felt because of weather conditions in much of the Corn Belt. USDA yesterday revised down by 390 million bushels its forecast for the 2008 corn crop.
“Given current crop conditions and projections for next year,” Dierks told the committee, “there will be tremendous stress on pork producers.”
He pointed out that as producers leave the industry prices will rise because of less pork production, resulting in reduced feed use of corn.
One solution to the need for more corn Dierks offered the committee: release of non-environmentally sensitive acres from the Conservation Reserve Program to crop production. NPPC previously has asked USDA to consider such a proposal.
NPPC also previously has urged lawmakers to strike a balance between food, fuel and feed needs when considering energy policies, including the recently approved mandate that by 2010 15 billion gallons of renewable fuel come from corn-based ethanol. Additionally, NPPC has policy that calls for the expiration of the ethanol blender’s tax credit and the tariff on imported ethanol.
“The interrelated issues of rising food prices, how crop availability and usage come into play and national energy policy are complicated,” said Dierks. “As an industry, we need to resolve these problems for our producers and for consumers.
“NPPC is grateful to the Democratic Steering and Outreach Committee for holding these discussions,” he added, “and hopes that the dialogue will continue.”
The Kansas Natural Resources Conservation Service (NRCS) has announced Friday, June 20, 2008, as the cutoff date for the final Fiscal Year 2008 signup for the Environmental Quality Incentives Program (EQIP) including Ground and Surface Water Conservation (GSWC) and Wildlife Habitat Incentives Program (WHIP).
Funding decisions will be made by July 11, 2008.
Limited Resource and Beginning Farmers and Ranchers
“EQIP is available to help address the unique circumstances and concerns of limited resource and beginning farmers and ranchers, who have natural resource concerns that need to be addressed on their land,” said Acting State Conservationist Thomas A. Perrin. “In Kansas limited resource and beginning farmers and ranchers may receive a higher payment rate through EQIP for structural and vegetative practices,” said Perrin.
Apply at Local NRCS Office
Agricultural producers interested in participating in EQIP including GSWC and WHIP can apply at any time at their U.S. Department of Agriculture Service Center at their local NRCS office or conservation district office. Phone numbers are listed in the telephone book under United States Government or on the internet at offices.usda.gov. Information about EQIP including GSWC and WHIP is available on the Web site at http://www.ks.nrcs.usda.gov/programs and scrolling to the specific program.
Porcine reproductive and respiratory syndrome costs pig producers an estimated $700 million a year. In Kansas alone, losses are estimated at $15 million per year. That's why researchers at Kansas State University have been collaborating with other universities in the region to resolve porcine reproductive and respiratory syndrome and other swine diseases in the nation's pig population.
In recognition of this hard work, the U.S. Department of Agriculture recently approved a $4.8 million grant to support a comprehensive national program aimed at controlling the disease. Raymond "Bob" Rowland, K-State professor and virologist, will lead the Porcine Reproductive and Respiratory Syndrome Coordinated Agricultural Project. Under the project, K-State's experts will collaborate with other universities, veterinarians, commodity groups, government agencies and swine producers to get to the bottom of the disease.
K-State has been a player in this initiative since it began in 2004 at the University of Minnesota.
"Our first step was to lay out a comprehensive road map for the industry," Rowland said of the national project's progress to date. "All anyone in the field has to do now is pick a destination and go there."
The mission of the Porcine Reproductive and Respiratory Syndrome Coordinated Agricultural Project is to effectively coordinate efforts aimed at dealing with the disease. That includes research, education and extension. Porcine reproductive and respiratory syndrome virus is a highly infectious disease that has spread throughout North America, Europe and Asia. The disease is responsible for causing a flu-like condition with high fever, loss of appetite and an overall deterioration of health. In its most severe form, the virus causes "reproductive storms" which result in the death of pregnant females and of newborn pigs.
"By eliminating porcine reproductive and respiratory syndrome we can have a significant impact on animal health and welfare and the economic bottom line of producers across the nation and the world," Rowland said.
The project will support research into new vaccines against the syndrome, Rowland said, as well as a look into the disease and how things like pig genetics impact treatment. Though researchers have come a long way in the few years since the disease became prevalent in the U.S. pig population, Rowland said there is also still quite a bit of basic research to be done on the virus. Researchers who take part in the project, he said, will take a broader look at the syndrome and try to map out how the virus works, as well as what effect things like the environment have.
"Overall, we need to gain a better understanding of the virus and disease processes," he said. "This project is designed to bring together the scientific resources needed to get the job done."
The scientific findings will then be translated into remedies or management practices for producers. Once that step is made, the project also will be responsible for disseminating the latest scientific and practical advances.
The Porcine Reproductive and Respiratory Syndrome Coordinated Agricultural Project at K-State will be funded by the U.S. Department of Agriculture at $1.2 million a year for the next four years. Participants at Ohio State University, the University of Minnesota and the National Pork Board are listed as co-directors, and grants from this project will be funded competitively, Rowland said.
Pork Pod is a new tool the Pork Checkoff’s is utilizing to provide useful information to producers. Pork Pod is a podcast. Podcasting is a method of publishing files to the Internet, allowing users to subscribe to a feed and receive new files automatically by subscription at no cost. You can listen to podcasts on your computer, download the podcasts on computer and then create a CD or subscribe to a feed for your iPod.
Alternative Feed Ingredients in Swine Diets
Date: May 29, 2008
Length: 5:51
Speaker: Dr. Mark Boggess, director of animal science for the Pork Checkoff
As part of a campaign to provide information to state leaders about the pork industry's financial issues, KPA staff recently met with a representative of the Governor's office. Following this meeting, Governor Sebelius requested an interagency task force be formed to provide attention to the livestock industry.
Last week, Tim Stroda, KPA staff, and John Bottenberg, KPA lobbyist, provided an overview of the pork industry's situation to several state agencies and faculty from Kansas State University. The KPA specifically asked for the agencies' assistance in providing timely services to producers who were facing emergency financial status.
Attendees to the meeting included Adrian Polansky, Kansas Secretary of Agriculture; Roderick Bremby, Secretary of Kansas Department of Health and Environment; and George Teagarden, Kansas Livestock Commissioner. Several top members of the agencys' staffs were also present. Representing Kansas State University were
The agencies promised to work with the KPA in providing priority service on permitting issues for operations that may be changing structure or ownership due to financial stress.
If you are in this process or would like more information, please call Tim Stroda at the KPA office at 785-776-0442.
Tyler Rose, Washington County FFA Chapter, was the state winner of the FFA's Swine Production-Entrepreneurship Proficiency Award. Kendall Brandewiede, Moundridge-Hesston FFA Chapter, was the winner of the Swine Production - Placement proficiency Award. The KPA was the sponsor for the awards with Tim Stroda, KPA staff, presenting them during the Kansas FFA Convention held this week.
Porcine reproductive and respiratory syndrome costs pig producers an estimated $700 million a year. In Kansas alone, losses are estimated at $15 million per year. That's why researchers at Kansas State University have been collaborating with other universities in the region to resolve porcine reproductive and respiratory syndrome and other swine diseases in the nation's pig population.
In recognition of this hard work, the U.S. Department of Agriculture recently approved a $4.8 million grant to support a comprehensive national program aimed at controlling the disease. Raymond "Bob" Rowland, K-State professor and virologist, will lead the Porcine Reproductive and Respiratory Syndrome Coordinated Agricultural Project. Under the project, K-State's experts will collaborate with other universities, veterinarians, commodity groups, government agencies and swine producers to get to the bottom of the disease.
K-State has been a player in this initiative since it began in 2004 at the University of Minnesota.
"Our first step was to lay out a comprehensive road map for the industry," Rowland said of the national project's progress to date. "All anyone in the field has to do now is pick a destination and go there."
The mission of the Porcine Reproductive and Respiratory Syndrome Coordinated Agricultural Project is to effectively coordinate efforts aimed at dealing with the disease. That includes research, education and extension. Porcine reproductive and respiratory syndrome virus is a highly infectious disease that has spread throughout North America, Europe and Asia. The disease is responsible for causing a flu-like condition with high fever, loss of appetite and an overall deterioration of health. In its most severe form, the virus causes "reproductive storms" which result in the death of pregnant females and of newborn pigs.
"By eliminating porcine reproductive and respiratory syndrome we can have a significant impact on animal health and welfare and the economic bottom line of producers across the nation and the world," Rowland said.
The project will support research into new vaccines against the syndrome, Rowland said, as well as a look into the disease and how things like pig genetics impact treatment. Though researchers have come a long way in the few years since the disease became prevalent in the U.S. pig population, Rowland said there is also still quite a bit of basic research to be done on the virus. Researchers who take part in the project, he said, will take a broader look at the syndrome and try to map out how the virus works, as well as what effect things like the environment have.
"Overall, we need to gain a better understanding of the virus and disease processes," he said. "This project is designed to bring together the scientific resources needed to get the job done."
The scientific findings will then be translated into remedies or management practices for producers. Once that step is made, the project also will be responsible for disseminating the latest scientific and practical advances.
The Porcine Reproductive and Respiratory Syndrome Coordinated Agricultural Project at K-State will be funded by the U.S. Department of Agriculture at $1.2 million a year for the next four years. Participants at Ohio State University, the University of Minnesota and the National Pork Board are listed as co-directors, and grants from this project will be funded competitively, Rowland said.
Rule On Rodent Control Amenable To Pork Producers
May 29, 2008 – A final rule on chemicals used to control rodents won’t be as burdensome on the livestock industry as initially proposed, according to the National Pork Producers Council, which worked to ease the impact of the regulation on pork producers.
The U.S. Environmental Protection Agency May 28 issued its “Risk Mitigation Decision for Ten Rodenticides,” which seeks to minimize children’s exposure to rodenticide products in the home and to reduce wildlife exposure to and ecological risks from rodenticides. EPA initially proposed that all second-generation rodenticides, which are lethal after a single ingestion of bait, be classified as “restricted use.” Such a classification would have required anyone wishing to use rodenticides to obtain a pesticide applicator’s license.
EPA found there was little risk of misuse of rodenticides by livestock producers, and under the final rule, producers will not need to obtain an applicator’s license. They will be limited to purchasing rodenticides in bulk – 8 pounds or more – from a farm store or directly from a manufacturer. The products, which will be labeled “For Agricultural Use Only,” must be used within 50 feet of an agricultural structure.
The final rule also allows livestock producers to use loose forms – pellets, meal, liquids – of bait indoors. Rodenticides used outdoors must be contained in bait stations, although the type of station is left to the discretion of the producer.
NPPC, in comments submitted earlier in the year, argued that EPA’s initial rule would have placed a tremendous burden on producers’ efforts to maintain effective biosecurity on their farms and that the costs of compliance far outweighed the risks of misuse of rodenticides.
“Working with EPA, NPPC was able to minimize the rodenticide rule’s challenges and costs for pork producers,” said NPPC President Bryan Black, a pork producer from Canal Winchester, Ohio. “It is extremely important that producers be able to easily obtain and use rodent-control products, which help protect our animals from disease and prevent destruction of equipment and feed.”
The Wichita River Festival was the first stop on the National Pork Board's The Other White Meat Tour, a marketing campaign to educate consumers about all things pork.
Kansans participating included (from left) Tim Stroda, KPA staff, Linda and Roy Henry, Longford; Ronda and Alan Haverkamp, Bern; and Adam Root, Cargill, Wichita. The group worked providing samples of pork chops, handing out brochures and encouraging consumers to enter the drawing for a free grill.
"I enjoyed the experience," said Alan Haverkamp after working the grills at the event. "I feel we have a great group of individuals representing our industry. They will have a positive influence on consumer awareness of our product," he added.
The mobile marketing tour will extend through the traditional grilling season of May through September, participating in high-trafficked events that reach a large number of our target consumer demographic - females who want to be better cooks, age 25 to 49, with kids in the home.
The tour route includes the following events:
* May 9-11 - Wichita River Festival, Wichita, Kan.
* May 15-18 - Memphis in May BBQ Battle, Memphis, Tenn.
* May 24-25 - Taste of Cincinnati, Cincinnati, Ohio
* May 30 - June 1 - River Splash, Milwaukee, Wis.
* June 5-8 - Chicago Blues Festival, Chicago, Ill.
* June 13-15 - Michigan International Speedway, Brooklyn, Mich.
* June 21-22 - 16th Annual Safeway BBQ Battle, Washington, D.C.
* June 28-29 - Manayunk Arts Festival, Manayunk, Pa.
* July 3-6 - Boston Harborfest, Boston, Mass.
* July 12-13 - Taste of Buffalo, Buffalo, N.Y.
* July 16-20 - Ann Arbor Arts Festival, Ann Arbor, Mich.
* July 25-27 - NASCAR Allstate 400 at the Brickyard, Indianapolis, Ind.
* August 1-3 - Kimball Art Fair, Park City, Utah
* August 5-9 - Hot August Nights, Reno, Nev.
* August 15-17 - California State Fair, Sacramento, Calif.
* August 29 - September 1 - Taste of Colorado, Denver, Colo.
* September 4-7 - Yellow Daisy Festival, Stone Mountain, Ga.
* September 11-14 - LPGA Bell Micro Classic, Mobile, Ala.
* September 20-21 - Old Pecan Street Festival, Austin, Texas
* September 26-28 - State Fair of Texas, Dallas, Texas
* October 3-5 - OktoberFest, Tempe, Ariz.
* October 9-12 - Albuquerque International Balloon Festival, Albuquerque, N.M.
If you would like to participate in one of these events, contact Tim Stroda at the KPA office at 785-776-0442.
May 15, 2008
The 2008 Farm Bill – officially known as the Farm, Nutrition and Bioenergy Act – approved Wednesday by the House on a 318-106 vote and today by the Senate on a vote of 81-15 includes a number of provisions beneficial to the U.S. pork industry, according to the National Pork Producers Council.
“Our goal going into the Farm Bill process was to maintain the competitiveness of the U.S. pork industry, which meant increasing funds for vital programs and keeping out any mischief,” said NPPC President Bryan Black, a pork producer from Canal Winchester, Ohio. “We accomplished that goal, and the 2008 Farm Bill is good for producers.”
Among the provisions that NPPC supported are ones that will:
· Change the Mandatory Country-of-Origin Labeling law to include four new label categories for meat, including one to address Canadian feeder pigs by allowing flexibility in labeling so that producers and packers can reduce sorting costs. The law also was changed to ease recordkeeping for verifying an animal’s country of origin by allowing the use of existing records, such as normal business records, animal health papers and import or customs documents.
· Require a study that looks at the costs and impacts on pork producers and consumers of requiring packers to report wholesale pork cut prices and volumes.
· Authorize a voluntary national trichinae certification program, which will certify that exported pork is trichinae-free thus further increasing export opportunities.
· Authorize the U.S. Pork Center of Excellence, which coordinates research, teaching and extension for the pork industry on a national scale.
· Authorize research grants for mapping the swine genome.
· Authorize research and education grants for the study of antibiotic-resistant bacteria, including the movement of antibiotic-resistant bacteria into ground and surface water, and for the study of judicious use of antibiotics in veterinary and human medicine.
· Increase funds for the Environmental Quality Incentives Program and make it easier for pork producers to qualify for the cost-share conservation program.
· Increase funds for the Conservation Security Program to allow more acres to be enrolled and restructure the program to provide conservation stewardship payments that encourage producers to implement additional conservation practices.
· Allow the use of manure and manure biogas for advanced biofuel and renewable biomass production.
· Provide incentives for expanding production of advanced biofuels made from agricultural and forestry crops and associated waste materials, including animal manure and livestock and food processing waste.
· Give producers the right to cancel production contracts within three days of signing.
· Allow producers, at the time of signing a contract, to opt out of using arbitration – and instead use the courts – to settle contract disputes.
· Give producers the right to settle disputes involving production or marketing contracts in the federal court district in which production occurred.
· Allow contracts between entities in different states to specify which state’s laws apply when disputes arise unless the laws in the state in which production occurs take precedent.
· Sense of Congress regarding the pseudorabies eradication program, recognizing the threat of feral swine to the domestic swine population and establishing continued support for the swine surveillance system.
· Increase funding for the export-promoting Market Access Program and for the Foreign Market Development program.
· Direct the Grain Inspection, Packers and Stockyards Administration to provide Congress an annual report on the number and resolution of livestock cases brought under the Packers and Stockyards Act.
· Allow interstate shipment of state-inspected meat and poultry from packing plants that have state inspection programs that are identical to the federal program.
Among the detrimental provisions NPPC opposed and was able to keep out of the legislation were ones that would have:
· Banned packers from owning livestock.
· Included various costly and unnecessary definitions and rulemakings that would have greatly expanded the current livestock laws and regulations and dictated what could and could not be in a swine contract.
· Established an Office of Special Counsel within the U.S. Department of Agriculture to investigate livestock competition matters, replacing the U.S. Department of Justice’s role in enforcing competition and antitrust matters.
· Allowed for the hiring of private attorneys to investigate and prosecute livestock competition cases rather than the U.S. government.
· Eliminated as a defense against lawsuits over alleged unfair competition “justifiable business practice” for pork producers who make rational business decisions based on cost, quality and efficiency.
· Dictated onerous on-farm food animal handling and production practices.
The bill also lowers the ethanol blender’s credit from 51 cents per gallon to 45 cents and extends the import tariff on ethanol to Dec. 31, 2010, from Dec. 31, 2009.
NPPC, which first raised concerns about the rapid rise of corn-based ethanol production in September 2006, said extending the 54-cent import tariff will further inflate the high feed costs currently affecting pork producers.
“NPPC supports ethanol production,” said NPPC’s Black. “But pork producers still have concerns about corn costs and availability, both of which are affected by ethanol production, and about our ability to compete for corn on a level playing field with the subsidized ethanol industry.”
The Farm Bill now will be sent to the White House, where President Bush is expected to veto the measure because, he says, it does not include reforms to various farm programs and does include budgetary gimmicks and tax increases.
May 15, 2008
Bill R. Fuller, State Executive Director of the Kansas Farm Service Agency reminds producers to file acreage reports by the deadline.
"Although most 2008 commodities are not currently covered by a farm bill, we hope that a new farm bill will be passed soon," emphasized Fuller. "Producers are encouraged to file acreages reports by the deadline since the previous farm bill required producers to report acreages to maintain eligibility for most FSA programs."
June 2 is the final date to certify small grains. Certify small grains for grazing or haying no later than 15 days prior to haying or grazing.
August 1 is the final date to certify spring seeded crops and CRP. NAP acreages must be certified by August 1 or 15 days prior to the onset of harvest or grazing.
June 2 is also the final date to request a 2007-crop commodity loans or loan deficiency payment for feed grains, minor oilseeds, soybeans, and cotton.
FSA accepts applications anytime for Farm Storage Facility Loans, Continuous CRP, Rural Youth Loans, and Direct or Guaranteed Operating or Farm Ownership Loans, including loans for Beginning Farmers and Socially Disadvantaged Applicants.
Farmers and ranchers in disaster counties are reminded that they have eight months from the date of a disaster declaration to apply for emergency loans to help cover production and physical losses.
To apply for FSA benefits or certify acreages, contact the Farm Service Agency at your local USDA Service Center.
At the KPA's request, Representative Sharon Schwartz, Washington, introduced HCR 5041 which urges Congress to support the United States Department of Agriculture in taking immediate action to examine a number of options to assist Kansas pork producers.
KPA staff, Tim Stroda, testified on the Resolution Thursday before the House Agriculture and Natural Resources Budget Committee. The Committee favorably recommended the measure to the House Appropriations Committee.
Later in the day, the pork industry received the positive news from USDA outlined in the story below.
At this point, no further action is planned on the measure.
To view the resolution, click on HCR 5041.
Agency Will Purchase Additional Pork Products For Food Assistance Programs
WASHINGTON, D.C., May 1, 2008 – The National Pork Producers Council commended the Bush administration for its decision to lend assistance to U.S. pork producers to help them weather the current economic crisis in the hog business.
The U.S. Department of Agriculture will purchase up to $50 million of pork products, which will be donated to child nutrition and other domestic food assistance programs.
NPPC officers and top staff recently met with Agriculture Secretary Ed Schafer to urge him to take immediate action to address a crisis that over the past seven months has cost the pork industry more than $2.1 billion. Due mostly to a doubling of feed costs, producers have lost $30-$50 on each hog marketed over the last 30 days.
Economists have estimated that the industry will need to reduce production by at least 10 percent – meaning a reduction of 600,000 sows – to restore profitability. Such a cutback, however, could result in less-efficient packing plants closing, less manure for crop fertilizer and correspondingly a need for more man-made, foreign-produced fertilizer, a hike in pork retail prices because of a smaller supply and lost jobs.
“The action by USDA to buy additional pork will benefit America’s pork producers, the U.S. economy and the people who rely on the government’s various food programs,” said NPPC President Bryan Black, a pork producer from Canal Winchester, Ohio. “It will help our industry reduce the herd and thereby bring supply and demand back into balance and allow producers to continue to provide consumers with economical, nutritious pork.”
In its meeting with Schafer, NPPC requested that USDA purchase an additional 50.5 million pounds of pork – in 2007 it bought 43 million pounds – for various federal food programs. This would reduce the U.S. sow herd by nearly 163,600 animals. The organization also asked that the secretary implement emergency programs and loan guarantees to help producers purchase feed, consider allowing early release without penalty of non-environmentally sensitive Conservation Reserve Program acres back into crop production and support pork exports through USDA’s Market Access Program and Foreign Market Development Program.
Tim Stroda, KPA staff, spoke to about 125 members of the Kansas Ag Bankers Association at a conference held earlier this week in Manhattan. Stroda's presentation gave a review of the issues that have provided the current challenges facing the industry. He also provided information detailing the positive outlook provided by the demand for pork.
Stroda encouraged the group to educate themselves about the pork industry and work to communicate with their pork-producing clients to alleviate any surprise issues as the industry works toward profitability.
The CME Group, Pork Checkoff and KPA have come together to develop this complimentary series of risk management Webinars – online, interactive presentations that give you direct
access to industry professionals.
Choose from the Introductory or Advanced Tracks based on your experience and educational needs. To see more information, click on Risk Management
Register by Friday, May 16 at www.cmegroup.com/porkwebinars.
Please contact your state pork association or Pork Checkoff at 800 456 7675 with questions.
Tim Stroda, KPA staff, and John Bottenberg, KPA lobbyist, met this week with Legislative leaders, Jeremy Anderson, policy director for Governor Sebelius, and representatives of other selected agricultural organizations to provide information on the current status of the pork industry. KPA provided information outlining the causes behind the devastating losses being endured by our industry. The KPA asked the Governor's office for assistance in working with state agencies in case of an emergency feed situation caused by economic issues. KPA also asked the group for assistance in sharing information about our industry's situation.
Officers and top staff with NPPC Wednesday met with Agriculture Secretary Ed Schafer to urge him to take immediate action to address what now is a hog industry economic crisis, which likely will affect the broader U.S. economy. Over the past seven months, U.S. pork producers have lost more than $2.1 billion. Due almost solely to a doubling of feed costs, producers now are losing $30-$50 on each hog marketed. Lenders are estimating that some producers could lose up to half or more of the equity in their operations by year-end. Economists have estimated that the industry will need to reduce production by at least 10 percent – meaning a reduction of 600,000 sows – to restore profitability. But that cutback could be costly, with less-efficient packing plants closing; less manure for crop fertilizer and correspondingly a need for more man-made, foreign-produced fertilizer; a hike in pork retail prices because of a smaller supply; and lost pork industry jobs. Other industries that benefit from pork production, such as Main Street businesses, feed mills and trucking companies, also likely would see job losses. Additionally, there likely would be agricultural credit problems as some producers default on loans. During discussions with Schafer – and in a letter presented to the secretary – NPPC President Bryan Black, a pork producer from Canal Winchester, Ohio, requested that USDA purchase an additional 50.5 million pounds of pork for various federal food programs. This would reduce the U.S. sow herd by nearly 163,600 animals. Black also asked that the secretary implement emergency programs and loan guarantees to help producers purchase feed, consider allowing early release without penalty of non-environmentally sensitive Conservation Reserve Program acres back into crop production and support pork exports through USDA’s Market Access Program and Foreign Market Development Program.
The Wichita River Festival will be the first stop on the National Pork Board's The Other White Meat Tour, a marketing campaign to educate consumers about all things pork.
Kansas producers are encouraged to be a part of the event. The drawing above shows the layout of the promotion with spaces for producers to grill and sample as well as interact with consumers (handing out recipe brochures, encouraging consumers to enter the drawing for a free grill, etc.).
The biggest benefit producers can provide is the interaction with consumers, answering questions and talking about pork production.
The KPA is asking for volunteers for the following dates and times. There is room for up to seven producer volunteers on each shift. The KPA will pay mileage to the event. Please note: producer volunteers must be 16 years of age. To volunteer, please call the KPA office at 785-776-0442 or e-mail to kpa@kspork.org.
Friday, May 9th
Shift 1
5pm – 9:30pm
Saturday, May 10th
Shift 1
8am – 2pm
Shift 2
2pm – 8pm
Sunday, May 11th
Shift 1
11am – 4pm
Shift 2
4pm – 9pm
Governor Kathleen Sebelius signed a proclamation declaring March 20th as Kansas Agriculture Day. To celebrate, the Kansas Departments of Agriculture and Commerce and several agricultural organizations sponsored a luncheon for legislators that featured many Kansas foods, including delicious, nutritious Kansas pork.
Displays showcasing Kansas agriculture were set up in second floor rotunda by the following groups:
Kansas Pork Association
Kansas Department of Agriculture
Kansas Department of Commerce
Kansas Farmers Union
Kansas Farm Bureau
Kansas Corn Commission
Kansas Grain Sorghum Commission
Kansas Wheat
Kansas Soybean Association/ Commission
Kansas Cotton Association
Kansas Beef Council
“In Kansas, we have a strong agricultural tradition that predates our statehood, and it provides the foundation of our state’s economic well-being,” Sebelius said. “But agriculture is more than the bedrock of our economy; it’s also a launching point for future economic growth.”
Sebelius identified agriculture as a key industry important to the state’s innovation-based economy when she announced the Kansas Innovation Consortium earlier this year.
“Kansas has already made great strides toward building a strong innovation-based economy by blending technology with agriculture to develop specialty products like ethanol, biodiesel, biobased lubricants and fibers,” Sebelius said. “Emerging ventures and new opportunities like these will enhance agriculture’s role in Kansas.”
Sebelius noted that because of the commitment and hard work of farmers and ranchers statewide:
· Kansas produces more wheat, grain sorghum and beef than any other state in the nation;
· Kansas ranks third in sunflower production, ninth in corn and hog production, eleventh in soybean production and sixteenth in milk production;
· Cash receipts for farm marketings totaled $10.3 billion in 2006, or 4.3 percent of the U.S. total; and
· Kansas ranks sixth in farm product exports, which were valued at $3.2 billion in 2006.
“I urge all Kansans to join me in celebrating all that agriculture has contributed, and promises to contribute, to our health, our way of life and our future prosperity,” Sebelius said.
Lieutenant Governor Mark Parkinson offered remarks and read Gov. Kathleen Sebelius’ proclamation declaring March 20 Kansas Agriculture Day. Also speaking were Secretary of Agriculture Adrian Polansky and Secretary of Commerce David Kerr. Sen. Mark Taddiken, chair of the Senate Agriculture Committee, and Rep. John Faber, chair of the House Agriculture and Natural Resources Committee also made remarks.
Secretary of Agriculture Adrian Polansky spoke at the Kansas Ag Day event in Topeka.
To celebrate Kansas Ag Day, several agricultural organizations sponsored a luncheon for legislators that featured many Kansas foods, including delicious, nutritious Kansas pork.
The Kansas Department of Agriculture has launched a new web page to help water users in the lower Republican River basin access information about streamflow conditions and whether water use will be curtailed to reach minimum desirable streamflow. The web page is at www.ksda.gov/appropriation/content/301/cid/1388.
“This is the time of year I start getting calls from irrigators with questions about streamflow and water use, and I intend to tell them that most of the information is now online,” said Katie Tietsort, water commissioner for the division of water resources Topeka field office. “The good news right now, of course, is that streamflow is adequate to allow water use.”
Under Kansas law, when flow drops below an established threshold, pumping restrictions are imposed to protect existing water rights and to meet in-stream water uses related to water quality, fish and wildlife, and recreation. These minimum desirable streamflow requirements were made part of the Kansas Water Appropriation Act by the 1984 Legislature, and they affect only those water rights granted after April 12, 1984.
Last June, the chief engineer of the division of water resources lifted pumping restrictions that had been in place since 2002 on 177 water rights along the Republican River in Clay, Cloud, Jewell, Republic and Washington counties. The restrictions were imposed because streamflow remained below minimum desirable streamflow values. Heavy precipitation in spring 2007 brought back higher sustained flows.
In recent years, water users in the Republican River basin have been allowed to enter into agreements with the division of water resources to use at least some groundwater or surface water, even while minimum desirable streamflow administration is underway. The chief engineer decided to make consent agreements available again in 2008, but only if and when MDS administration becomes necessary.
For the time being, Republican River flows remain above MDS trigger levels. The agency will notify affected water users in the area if conditions change in the coming weeks and months requiring MDS administration.
Water right holders who want to know more about Republican River MDS issues are encouraged to check out the new web page or to contact the division of water resources field office in Topeka at (785) 368-8251 or Stockton at (785) 425-6787.
Last Week
The KPA is participating in a Business Coalition Immigration Working Group. This is a group of business lobbyists representing packing plants, railroads, cattle and swine interests, contractors, solid waste facilities, and other businesses interests in Kansas that are concerned with the current legislative proposals that attempt to address the immigration issue in Kansas.
Committee Activity
Both the House Federal and State Affairs Committee and the Senate Federal and State Affairs Committees worked immigration measures this week. The Senate Federal and State Affairs Committee made several amendments to Sub for SB 458, including striking the requirements that businesses check new hires against a federal database and striking the criminal penalties for business that knowingly hire illegal immigrants. The bill does state that any business that knowingly employs illegal aliens would be guilty of civil offenses and would be prosecuted by the Attorney General for those violations. The House measure, which is now contained in H Sub for SB 329, would mandate the use of a federal database to check new hires, although the Department of Labor could run the checks on behalf of businesses; businesses could face contempt charges if they knowingly hire an illegal immigrant; law enforcement officers are expected to ask every arrestee about their citizenship status and the Attorney General will investigate law enforcement agencies accused of not asking the citizenship question. The business and agricultural interests at the Capitol prefer the approach taken in SB 458.
The House Insurance and Financial Institutions Committee held hearings on SB 464 (waiving reinsurance agreements when an insurer ceases to do business) and SB 498 (increases the penalties for refusing to respond to KID inquiries). Representatives from the KID were the only conferees on both bills. Although there were not many questions regarding SB 464, some of the Committee members were concerned about the fine increase contained in the Senate amendments to SB 498, and the ability of the KID to adequately force insurers to respond to a consumer complaint. The Committee did not take any action on the bills.
The Senate Health Care Strategies Committee made a few substantive changes to SB 541. The bill would expand the Healthwave program for children of poor families by providing coverage for children living in a household having a gross income at or under 225 percent of the federal poverty guidelines in 2009 and at or under 250 percent in 2010 and subsequent years. The bill also abandons the premium assistance programs that assist low-income Kansans with the purchase of private insurance. The bill also adds the Commissioner of Education as the eighth nonvoting member of the Kansas Health Policy Authority; requires the KHPA to establish a small business wellness grant program and requires the KHPA to incorporate a medical home delivery system within Medicaid Regular Assistance, the State Children's Health Insurance Program and MediKan.
Floor Action
The House passed SB 267, which concerns the crime of failure to comply with a Wildlife and Parks citation, by a vote of 121-0; H Sub for SB 113, which would limit a health insurer’s right to recover an erroneous payment to 18 months, by a vote of 123-0; H Sub for SB 273, which requires insurance companies to provide information on claimants that owe child support to the Department of Social and Rehabilitation Services, by a vote of 116-7 and SB 441, which updates the annual HIPAA compliance laws, by a vote of 123-0.
The Senate passed Sub for SB 577, which enacts the Radon Awareness Law and the Radon Certification Law, by a vote of 33-7 and HB 2748, which concerns the tagging of big game and wild turkey, by a vote of 40-0.
The House gave tentative approval to Sub for HB-2762. This bill made some changes to the business income tax and sales tax refund laws.
Next Week
The House will debate Immigration on Monday, Health Care Reform on Tuesday, and the first of several Budget bills on Wednesday.
The Federal and State Affairs Committee will hold a hearing on SB 622, which would allow the sale of “strong beer” in convenience stores.
The Senate Commerce Committee will have an informational hearing regarding Kan-ed.
The House Energy and Utilities Committee will hold a hearing on SB 586, which concerns incentives for utilities to develop nuclear power plants and SB 570, which concerns exemptions for local carriers from the Kansas Universal Service Fund.
The House Agriculture and Natural Resources Committee will hold hearings on SB 123, which establishes the Upper Arkansas River Conservation Enhancement Program.
The House Health and Human Services Committee will hold a hearing on HB 2914, which would enact the Pharmaceutical Manufacturing Disclosure Act, which requires the disclosure of gifts from pharmaceutical companies and their agents.
Producers needing to obtain certification in the PQA Plus Program can attend a session beginning at 12:30 p.m., March 20, at the First National Bank, 101 C Street, in Washington. There will be a charge of $20 per farm operation. The Kansas Pork Association will provide lunch.
For more information, contact the Washington Veterinary Clinic at 785-325-2391.
BY MICHAEL PEARCE
The Wichita Eagle
U.S. Department of Agriculture biologists spent much of February shooting feral hogs from helicopters in an effort to control the hog population. For the third consecutive February, U.S. Department of Agriculture biologists shot and killed feral hogs from helicopters at several Kansas locations. The hunt, funded by the state livestock commission and Kansas pork growers, did well.
Tom Halstead, USDA's state director of wildlife services, said more than 330 feral pigs were shot from a leased helicopter over about 16 days from Feb. 4-23. Another 155 had been trapped and killed in past months. "I think we're making a difference," Halstead said.
Kansas is one many states battling expanding feral swine populations. Some may have moved into Kansas from northern Oklahoma populations. Biologists think most were illegally released to establish populations for sport hunting. About two years ago, a law was passed making it illegal to sport hunt feral hogs to discourage such releases.
Feral hogs, which are descendants of domestic hogs gone wild, have introduced diseases to domestic hogs in several states. Veterinarians take samples from all USDA-killed hogs in Kansas. So far, no signs of disease have appeared. Halstead and other biologists have a long list of landowners who've reported property damage.
• This year's flights killed 44 in and around the Kaw Wildlife Area east of Arkansas City.Last year's flights shot 83. Several landowners commented they had less damage than last year.
• The crew spent 4 ½ days flying the canyons and river bottoms west of Medicine Lodge, shooting 160 hogs. Their best day was 60 killed.
• In Bourbon County, the 52 killed approximately matches the number trapped by biologists over the fall and winter. Halstead said efforts are hampered by landowners who won't allow them to shoot on property they've purchased for recreation.
• Biologists were alerted to feral hogs west of Ottawa about a year ago and found a thriving population. Aerial gunning killed 55 after 45 had already been trapped. With excellent landowner cooperation, Halstead thinks they're making good progress.
• Attempts at aerial gunning were severely hampered at Clinton Wildlife Area in 2006 after sport hunters pushed the feral pigs from the wildlife area west of Lawrence. Because of the law change, biologists trapped about 60 off the wildlife area during last fall and winter. They shot 23 from the air. Fresh snow helped when they flew the area. "We were able to really see signs from the air, like rooting and tracks," Halstead said.
• Unlike the past two years, flights were not made over parts of Clark and Smith counties. After shooting good numbers of hogs in 2006, they found few in 2007. They've gotten no complaints from landowners in either county since.
• Biologist Chad Richardson said there have been no verified reports of feral hogs since 2000 on Fort Riley, the first place aerial gunning was attempted in Kansas. After averaging about 50 hogs killed by trapping and five by sport hunting for several years, aerial gunning killed about 200 in 1998 and handfuls the following two years. None have been seen since.
"There's no question this is the best way to get rid of pigs," Richardson said.
WASHINGTON, March 6, 2008 - Agriculture Secretary Ed Schafer announced during an international renewable energy conference that USDA will accept $220.9 million in loan and grant applications within USDA's Renewable Energy Systems and Energy Efficiency Improvements Program.
"As demand for energy rises, these renewable energy loans and grants help farms and rural small businesses increase their investment in renewable energy initiatives," said Schafer, speaking at the Washington International Renewable Energy Conference (WIREC). "Energy efficiency wisely applies our resources, and energizes wealth-creation opportunities with more jobs throughout rural America."
Loan guarantees and grants are available to agricultural producers and rural small businesses to purchase and install renewable energy systems or to make energy efficiency improvements.
Eligible applicants may seek loan guarantees to cover up to 50 percent of a project's cost, not to exceed $10 million. Grants are available for up to 25 percent of a project's cost, not to exceed $250,000 for energy efficiency improvements and $500,000 for renewable energy systems. USDA Rural Development has invested $674 million in more than 1,763 renewable energy and energy efficiency projects since 2001. These investments include ethanol, biodiesel, wind, solar, geothermal, methane gas recovery systems and biomass.
The Bush administration's Farm Bill proposal recommends a $1.6 billion increase in renewable energy funding. Were Congress to agree, cellulosic ethanol development proposals would receive a $2.1 billion loan guarantee program, while $500 million would be available for bioenergy and bioproducts research programs, as well as another $500 million for renewable energy development and energy efficiency grants. Details are available at www.usda.gov/farmbill .
USDA will issue one grant solicitation for two separate competitions in FY 2008. For the first competitive window, grant-only applications must be submitted no later than April 15, 2008. For the second competitive window, grant-only applications must be submitted no earlier than April 16, 2008, and no later than June 16, 2008. Applications for loan guarantees, as well as those for loan/grant combinations must be completed and submitted to the appropriate USDA Rural Development State Office no later than June 16, 2008.
Further information on rural programs is available at a local USDA Rural Development office or by visiting USDA's web site at http://www.rurdev.usda.gov.
March 14, 2008
CONGRESS EXTENDS FARM BILL AGAIN
The U.S. Senate and House voted to extend the 2002 Farm Bill until April 18. Originally, the five-year law was set to expire Sept. 30, 2007; it was extended once to March 15. The new deadline gives lawmakers more time to reach an agreement on how to pay for an additional $10 billion in Farm Bill spending above the baseline of about $280 billion over five years. Once they reach agreement on these so-called off-sets, conference committee members can begin working on each title of the Farm Bill.
NPPC URGES IMPLEMENTATION OF CROSS-BORDER TRUCKING PROGRAM
NPPC joined a number of agricultural and business organizations and companies in urging Congress to fully implement the U.S. Department of Transportation’s “Cross Border Trucking Pilot Program” with Mexico consistent with U.S. trade obligations under the North American Free Trade Agreement (NAFTA). Under NAFTA, Mexican motor carriers by now should have been allowed to transport international cargo inside the United States – the agreement does not allow them to transport domestic U.S. cargo – but to date they have been prohibited from hauling cargo into and out of the United States. In February 2001, a NAFTA dispute-settlement panel unanimously ruled that the blanket exclusion of Mexican trucking companies violated U.S. obligations under NAFTA, giving Mexico the right to retaliate against an equivalent amount of U.S. trade, which Mexico estimates to be as much as $2 billion per year. In a March 10 letter sent to every member of Congress, NPPC and the other organizations urged lawmakers to oppose attempts to halt or impede the pilot trucking program, including restricting funding for it. Disruption of the program, they pointed out, will come at a considerable cost to U.S. workers, farmers, businesses and consumers.
CANADA DELAYS IMPLENTATION OF NEW LABELING REQUIREMENTS FOR PORK IMPORTS
The Canadian Food Inspection Agency Feb. 27 agreed to grant an indefinite delay in the implementation of a change in nomenclature/labeling for all pork exported into Canada that was set to take effect March 10, 2008. The change would have affected all U.S. exports into Canada, the U.S. pork industry’s second largest market in value terms. NPPC played a significant role in helping persuade Canada to delay the change, pointing out the negative impact on trade it would have.
NPPC SUPPORTS REAUTHORIZATION OF ANIMAL DRUG USER FEE ACT
NPPC urged reauthorization of the Animal Drug User Fee Act (ADUFA) at public hearing held Wednesday. Barb Determan, a pork producer from Iowa and NPPC past president, told a panel of officials with the Federal Drug Administration’s Center for Veterinary Medicine that ADUFA is a critical tool needed by the pork industry and veterinarians. Since it was signed into law, three new swine health products have come on the market, helping producers fight the increasing challenges that swine respiratory diseases have created for the industry. Additionally, last year alone, veterinarians and pet owners received nine new products to help pets live longer, healthier lives. Legislation to reauthorize ADUFA is expected to be introduced in Congress after a public comment period, which ends April 14. The law, enacted in 2003, authorizes the Food and Drug Administration to collect fees from the animal health industry to be used for the review and approval of animal health products. The FDA review and approval process for animal health products is very rigorous. To win approval, animal health companies must demonstrate that their products are effective and safe for animals and safe for the environment. If a product is intended for use in food animals, meat from such animals must be proved safe for human consumption.
PEW COMMISSION HOLDS BRIEFING ON CAFOS’ EFFECTS ON RURAL COMMUNITIES
The Pew Commission on Industrial Farm Animal Production yesterday in Washington, D.C., held a congressional briefing on the "Economics of Industrial Farm Animal Production" and the "Impact of Industrial Farm Animal Production on Rural Communities." Commissioners Brother David Andrews, former executive director of National Catholic Rural Life Conference; Bill Niman, founder and former president of Niman Ranch; and Frederick Kirschenmann, distinguished fellow with the Leopold Center for Sustainable Agriculture at Iowa State University, claimed that concentrated animal feeding operations (CAFOs) are having a negative impact on rural America. Animal Agriculture Alliance representatives and NPPC staff attended the hearing and continue to contest the validity of the opinions expressed by the panelists at the briefings. Yesterday’s briefing was the third in a series to discuss the commission’s two-year study on “industrial” farm animal production’s affects on public health, the environment, rural communities and animal welfare. The commission will issue April 29 a comprehensive report of its findings, including practical recommendations that will be made available for policy-makers, industry stakeholders and the general public.
EPA AG INDUSTRY ADVISORY COMMITTEE HOLDS FIRST MEETINGS
The U.S. Environmental Protection Agency’s (EPA) newly formed Farm, Ranch and Rural Communities Advisory Committee (FRRCC) held its inaugural meetings yesterday and today in Washington, D.C. The FRRCC is tasked with providing advice to the administrator of EPA on environmental issues and programs that affect, or are of concern to, farms, ranches and rural communities. The new committee is a part of EPA’s efforts to expand cooperative working relationships with the agriculture industry and others who are interested in agriculture issues and to achieve greater progress in environmental protection. NPPC members and pork industry leaders appointed to the 30-member panel are:
• Jim Moseley, Indiana pork producer and former Deputy U.S. Secretary of Agriculture and EPA agriculture adviser. Moseley is chairman of the FRRCC.
• Garth Boyd, senior vice president for Camco (a carbon credit trading firm) and former director of environmental technology for Smithfield Foods.
• Christine Chinn, Missouri pork producer.
• Gary Cooper, Chief Operating Officer of Cooper Farms and a pork producer.
• Dennis Treacy, vice president of environmental and corporate affairs for Smithfield Foods.
HOUSE HOLDS FOOD SAFETY HEARINGS
Several congressional hearings on food safety were held in the past two weeks. The House Appropriations Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and Related Agencies held a hearing last Thursday where Richard Raymond, USDA undersecretary for food safety, testified about the Food Safety and Inspection Service’s latest measures to improve food safety. Following the largest beef recall in U.S. history, Raymond offered solutions that FSIS will implement, including preventing animals with BSE to enter the food supply and recruiting more front-line food inspectors. Subcommittee Chairwoman Rosa DeLauro, D-Conn., urged FSIS to focus on preventing rather than reacting to food safety issues. Also discussed were USDA’s downer cow rule, international inspection practices and surveillance practices. Ranking Member Jack Kingston, R-Ga., and Rep. Tom Latham, R-Iowa, emphasized the overall abundance and safety of the American food supply. The Oversight and Investigations Subcommittee of the House Energy and Commerce Committee held a food safety hearing Wednesday where Steve Mendell, president and CEO of meat packer Hallmark/Westland, testified about his plant’s recent food safety violations. Subcommittee Chairman Bart Stupak, D-Mich., began the hearing with a video from the Humane Society of the United States that showed mistreatment of downer cows at the Hallmark/Westland plant. The subcommittee is considering new procedures to minimize the instance of contaminated meat in the food supply. Rep. Diana DeGette, D-Colo., proposed allowing USDA to issue mandatory recalls – currently they are voluntary – and requiring the ability to trace contaminated meat back to the slaughterhouse.
WHAT’S AHEAD
CONGRESS TAKES TWO-WEEK BREAK
Congress will be taking two weeks off beginning today, and many lawmakers will be returning to their home districts. NPPC is urging pork producers to use this time to contact their members of Congress on important issues, including:
• ADUFA reauthorization
• Farm Bill
• MCOOL fix
• Columbia Free Trade Agreement
NPPC Elects New Officers, Board Members
The National Pork Producers Council at its annual business meeting held March 7-9 in St. Louis elected new officers and members of its board of directors.
Taking over as president of the organization is Bryan Black of Ned Black & Sons farm in Canal Winchester, Ohio; Don Butler, director of government relations and public affairs for Murphy-Brown LLC – the livestock production subsidiary of Smithfield Foods Inc. – is president-elect; and Sam Carney, a producer from Adair, Iowa, is vice president. Each was elected for a one-year term.
Elected to the board for three-year terms in the producer category were Carney; Gary Asay, from Osco, Ill.; Mark Legan, from Coatesville, Ind.; and Bill Luckey, from Columbus, Neb. Quentin Bottorff, who works for Phibro Animal Health, was re-elected to a two-year term, representing allied industry.
“We have excellent leadership in Bryan, Don and Sam and quality, dedicated industry representatives in the new board members who were elected,” said NPPC CEO Neil Dierks. “I know that all of them will work diligently and tirelessly on behalf of America’s pork producers.”
In addition to the new officers and board members, continuing as NPPC directors are: Kathy Chinn, from Clarence, Mo.; Bob Dykhuis, from Holland, Mich.; R.C. Hunt, from Wilson, N.C.; Larry Liepold, from Okabena, Minn.; Randy Spronk, from Edgerton, Minn.; Doug Wolf, from Lancaster, Wis.; and Todd Neff, from Dakota Dunes, S.D., who serves as the Pork Producer Industry Council representative. Jill Appell, co-owner of Appell’s Pork Farms of Altona, Ill., will serve on the board as immediate past president.
Producers C. Ray Noecker, from Ashville, Ohio; E. Ray Summerlin Jr., from Rose Hill, N.C.; and Todd Wiley, from Walker, Iowa, were elected to NPPC Nominating Committee, which reviews the credentials of candidates for the organization’s board of directors.
Pork Act Delegates Elect National Pork Board Members and Vote on Pork Checkoff Resolutions at Annual Meeting
Pork Act Delegates conducted elections for new members of both the National Pork Board and the Pork Board Nominating Committee and dealt with industry-related advisements and resolutions during their annual business meeting, March 6-8 in St. Louis, Mo., during the National Pork Industry Forum.
Ron Suther, Blaine,(left), Alan Haverkamp, Bern, and Chris Cox, Long Island, (not pictured) served as the Pork Act delegates for Kansas.
Each year, Pork Act Delegates have three specific duties under the Pork Act including recommending the rate of the Checkoff, setting the percentage of Checkoff that is returned to states, and nominating producers and/or importers for appointment to the National Pork Board and to the Checkoff Nominating Committee. The recommendations for appointments to the National Pork Board are made to the U.S. Secretary of Agriculture, who makes the final determination.
In voting on National Pork Board members, eight pork producers were ranked for consideration by the Secretary of Agriculture. The Secretary will appoint five producers to serve three-year terms. The Secretary's appointments typically are announced during the summer. The nominees, as ranked by the delegates, are:
Roy Henry, Kansas
Conley Nelson, Iowa
Alan Wilhoite, Indiana
Brian Zimmerman, Nebraska
Karen Richter, Minnesota
Dale Norton, Michigan
Jamey Tosh, Tennessee
Curtis Meier, Iowa
Pork Act Delegates also elected two members to two-year terms on the Pork Board Nominating Committee. They are:
· Wayne Peugh, Illinois
· William Kessler, Missouri
Pork Act Delegates adopted advisements asking the National Pork Board to:
· Adopt the document "Ethical Principles for U.S. Pork Producers".
· Move rapidly to address misinformation on the pork industry in the media.
· Seek out additional funding opportunities for educational activities.
· Endorse the long-range goal for agricultural education to create new programs in communities not yet served by agricultural education and FFA.
· Support all Pork Quality Assurance Plus™ (PQA Plus™) swine production practices and vigorously advocate those swine production practices in a cooperative manner with industry partners.
· Support the use of sound science to serve as the basis for developing standards for animal husbandry; and asks all producers to complete the PQA Plus program over the next three years.
· Support scientific studies that include on-farm research and focus on wells and potential contamination issues.
· Implement programming to work toward increasing domestic pork expenditures over the next three years.
· Request that the USDA develop a process whereby the Secretary of Agriculture can approve Pork Act Alternates at the same time the secretary appoints the Pork Act Delegates.
"There was a good debate regarding the resolution to increase the national rate of the Pork Checkoff from 40 cents for $100 value of pork sold, to 42.5 cents per $100 value of pork sold," said Harrison. "We wanted to make sure all delegates had a chance to voice their opinions prior acting upon this resolution."
After much debate it was moved to refer the Checkoff-rate resolution to the National Pork Board to facilitate further consideration over the next year; that the board form a working group representing the interests of state pork associations/ and that the working group ensure that the question of a Checkoff rate increase be brought before the various states for their review prior to this issue being brought before the 2009 Pork Act Delegate body.
Last Week
The KPA is participating in a Business Coalition Immigration Working Group. This is a group of business lobbyists representing packing plants, railroads, cattle and swine interests, contractors, solid waste facilities, and other businesses interests in Kansas that are concerned with the current legislative proposals that attempt to address the immigration issue in Kansas.
Committee Activity
The Senate Federal and State Affairs Committee held a hearing on SB 458, which would enact the Kansas Illegal Immigration Act. The legislation would prohibit a business from knowingly hiring an unauthorized alien, and requires every business to use electronic means to verify the status of every new employee. The legislation requires the suspension of all licenses held by the business for a violation of the law. The bill also enacts the new law of employment identity fraud, which is a severity level 8, nonperson felony, and prohibits government from giving certain public benefits to unauthorized aliens. The bill requires law enforcement to inquire into the citizenship and immigration status of any person arrested for a violation of any state law or municipal ordinance, and the failure to do so could cause the agency to lose state funding. The bill also requires the Division of Motor Vehicles to verify the immigration status of every person who applies for a license. The proponents included state legislators and persons who advocate for tougher enforcement of the United-States Mexico border. The opponents included business and agricultural interests.
The KPA staff has talked with several producers who were interested in utilizing futures to lower their exposure to price swings in the markets. However, they have expressed hesitancy as it has been a number of years since they had explored trading. The KPA has been approached by a company affiliated with the Chicago Mercantile Exchange who will provide the speakers for an event. Please help provide information on the best way to bring this program to you.
As a thank you for filling out the survey, the KPA will send you a roller-ball pen. To start, please click on SURVEY.
National Pork Board Debuts The Other White Meat Tour
The National Pork Board unveiled the route for The Other White Meat Tour during the producer update session at the National Pork Industry Forum in St. Louis, Mo., today. The Other White Meat Tour is an experiential marketing campaign to educate consumers about all things pork.
"Our research shows that consumers want to have a positive experience with a product before buying it," said Traci Rodemeyer, manager of pork information for the Pork Checkoff. "The Other White Meat Tour will facilitate the positive experience between consumers and pork through sampling opportunities and personal interactions with pork producers."
The Other White Meat Tour will be traveling across the country through the traditional grilling season of May through September, stopping at high-traffic consumer events that reach a large percentage of the Checkoff's target audience, females 25-49 years old with kids in the home and who want to be better cooks.
The tour route includes the following events:
May 9-11 - Wichita River Festival, Wichita, Kan.
May 15-18 - Memphis in May BBQ Battle, Memphis, Tenn.
May 24-25 - Taste of Cincinnati, Cincinnati, Ohio
May 30 - June 1 - River Splash, Milwaukee, Wis.
June 5-8 - Chicago Blues Festival, Chicago, Ill.
June 13-15 - Michigan International Speedway, Brooklyn, Mich.
June 21-22 - 16th Annual Safeway BBQ Battle, Washington, D.C.
June 28-29 - Sunoco Welcomes America Taste of Philadelphia, Philadelphia, Pa.
July 3-6 - Boston Harborfest, Boston, Mass.
July 12-13 - Taste of Buffalo, Buffalo, N.Y.
July 16-20 - Ann Arbor Arts Festival, Ann Arbor, Mich.
July 25-27 - NASCAR Allstate 400 at the Brickyard, Indianapolis, Ind.
August 1-3 - Kimball Art Fair, Park City, Utah
August 5-9 - Hot August Nights, Reno, Nev.
August 15-17 - California State Fair, Sacramento, Calif.
August 23-24 - PIER 39, San Francisco, Calif.
August 29 - September 1 - Taste of Colorado, Denver, Colo.
September 4-7 - Yellow Daisy Festival, Stone Mountain, Ga.
September 11-14 - LPGA Bell Micro Classic, Mobile, Ala.
September 20-21 - Old Pecan Street Festival, Austin, Texas
September 26-28 - State Fair of Texas, Dallas, Texas
October 3-5 - OktoberFest, Tempe, Ariz.
October 9-12 - Albuquerque International Balloon Festival, Albuquerque, N.M.
"Pork's presence at these large events will definitely be noticed," said Barb Determan, a pork producer from Early, Iowa and member of the Pork Checkoff Demand Enhancement Committee. "Along with sampling pork, our exhibit will be entertaining, engaging and educational."
In addition to the face-to-face interaction with consumers, The Other White Meat Tour will be fully supported through an integrated campaign of public relations, advertising and retail promotions.
"The tour allows us to integrate all of our marketing efforts to directly impact domestic pork expenditures," said Rodemeyer. "In addition to local radio advertising and customized retail promotions, we will also work with local chefs and media to educate consumers about pork and The Other White Meat Tour."
The Pork Checkoff is working with Marketing Werks, an industry leader in experiential marketing. Marketing Werks has executed successful tours for consumer brands such as Hershey's, Char-Broil, Verizon and Chevrolet.
Last Week
The KPA is participating in a Business Coalition Immigration Working Group. This is a group of business lobbyists representing packing plants, railroads, cattle and swine interests, contractors, solid waste facilities, and other businesses interests in Kansas that are concerned with the current legislative proposals that attempt to address the immigration issue in Kansas.
Committee Activity
The House Federal and State Affairs Committee held hearings on HB 2370, HB 2680, HB 2836 and HB 2921, which all concern immigration. As an example of the immigration bills, HB 2836 would enact the Kansas Illegal Alien Reform Act, which makes it unlawful for a business to knowingly hire, recruit or refer an unauthorized alien. As a condition of its initial licensure, a business must affirm its enrollment and participation in verification programs. The bill also requires participation in verification programs if the business receives state contracts or grants in excess of $10,000. Under the bill unauthorized aliens are prohibited from receiving state or local benefits, except those benefits that are required under federal law. The bill also requires law enforcement to inquire into the citizenship and immigration status of anyone detained in violation of the law, and prohibits the issuance of state identification cards to unauthorized aliens. The proponents of the immigration measures included several state legislators and members of organizations that want tougher enforcement of the United States-Mexico border. The opponents included business and agricultural interests. The bills are in an exempt committee and will be worked later in the session.
The House Agriculture and Natural Resource Committee held a hearing on HB 2829, which would allow a county to request authorization for a special deer season if the sheriff certifies that 25 percent of the auto accidents in the past year were attributed to deer. The proponents of the bill were Rep Clay Aurand and Rep Forrest Knox, who both stated that their constituents have asked them to do something about deer-auto accidents. The opponent was the Kansas Department of Wildlife and Parks.
The Senate Financial Institutions and Insurance Committee held hearings on SB 624, which would regulate “Stranger Oriented Life Insurance” (STOLI) transactions, which are arrangements that allow elderly persons to buy life insurance upon a loan by a company that assumes ownership of the policy after two years. The bill would enact the NAIC Model Law for STOLI Insurance transactions, which would require that a person that entered into a STOLI contract keep the life insurance policy for at least five years, except under certain circumstances. The bill requires licensure of STOLI settlement brokers, and also requires that for any policy settled within five years of the policy's date of issuance, each licensed STOLI settlement broker must file an annual statement with the Department of Insurance. This bill has been blessed and will be worked later in the session.
The Senate Energy Committee held hearings on SB 595, an exempt bill, which would prohibit the labeling of an agricultural product that cannot be confirmed through laboratory analysis or supporting independent information. The issue is the use and labeling of a synthetic hormone in cows to increase milk production. The proponents of the bill included the Monsanto-backed American Farmers for the Advancement of Conservation of Technology, while the Kansas Farmers Union and the Kansas Department of Agriculture opposed the bill.
Floor Action
The Senate passed the following bills: SB 498, which increases the penalties for insurance companies that refuse to respond to inquiries by the Insurance Commissioner, by a vote of 40-0; SB 501, which creates the Kansas Tourism Corporation, by a vote of 33-7; SB 565, which allows the Kansas State Fair to conduct background investigations of employees, by a vote of 40-0; SB 570, which would remove the oversight of mergers between price-cap regulated telecommunications companies by the Kansas Corporation Commission, by a vote of 40-0; SB 469, which concerns local exchange carriers and carriers of last resort, by a vote of 40-0; SB 586, which would allow an utility to recover the costs of feasibility studies for the construction of a new nuclear facility, by a vote of 32-8 and SB 549, which grants a peer review privilege to pharmacists, by a vote of 39-1.
The House passed the following bills: SB 447, which concerns the agricultural and specialty chemical remediation act, by a vote of 121-0; HB 2207, which allows the Kansas Board of Pharmacy to conduct emergency proceedings against permits and registrations, by a vote of 118-1; HB 2781, which permits dentists to operate two additional offices in certain counties, by a vote of 119-0; HB 2618, which changes the procedure that a state agency may conduct an administrative hearing, by a vote of 120-2; HB 2675, which concerns insurance agent licensing, by a vote of 106-17; and HB 2805, which establishes the Kansas Emergency Communications Preservation Act, by a vote of 123-0.
This Week
The Senate Federal and State Affairs Committee will hold a hearing on SB 458, which is another bill that deals with immigration. The legislation would prohibit a business from knowingly hiring an illegal alien, and requires every business to use electronic means to verify the status of every new employee. The legislation requires the suspension of all licenses held by the business for a violation of the law. The bill also creates the new law of employment identity fraud, which is a severity level 8, nonperson felony, and prohibits government from giving certain public benefits to unauthorized aliens.
The House Appropriations Committee will hold a hearing on SB 381, which would allow the Kansas Livestock Commissioner to accept donated funds to protect the health of domestic animals.
The Senate Utilities Committee will meet to hear a report on the state of affairs of the Kansas Corporation Commission by Chairperson Tom Wright.
The House Insurance and Financial Institutions Committee will hold hearings on Sub for SB 209, which would update and modernize the Kansas Insurance Department’s procedure for accepting filings of accident and health insurance companies.
The House Select Committee on Energy and Environment for the Future will hold a hearing on HB 2949, the Kansas Energy Plan Act.
The Holcomb Power Plant Conference Committee is still meeting. They are attempting to craft a report that will be veto proof.
This marks the halfway point of the 2008 legislative session stay tuned.
KCC Releases New Policy for Interstate Commerce
After several meetings with agricultural associations, including the Kansas Pork Association, state legislators and members of the Kansas congressional delegation, the Kansas Corporation Commission (KCC) has released a new policy regarding its interpretation of interstate commerce.
KCC released its interpretation that commodity shipments within the borders of Kansas will not be considered interstate commerce unless there is clear evidence the shipper intends for the commodity to leave the state. This change means that many farmers and ranchers who deliver agricultural commodities to local grain elevators and sale barns will not be subject to federal regulations.
“I am pleased the KCC acted quickly to change its interpretation of this regulation,” Moran said. “Had KCC not made this change, it would have placed burdensome regulations on most of our Kansas farmers and ranchers. I thank them for their prompt attention to this matter and decision to do the right thing,” said Congressman Jerry Moran.
KCC was proposing to consider the transportation of grain from a Kansas farm to a local elevator as interstate commerce since the grain may ultimately be sold to an out-of-state buyer. In the KCC docket dated February 19, 2008, it states: “Upon a review of the available facts and circumstances surrounding a farm to market commodity shipment, if there is no clear evidence that the farmer-shipper’s intent as respects the movement of the items in commerce is one of interstate transport, that intent shall not be inferred. For the purpose of this policy, intrastate carrier is defined as a carrier who operates solely in intrastate commerce and does not transport placardable quantities of hazardous materials. If the operation is solely within the state of Kansas and the commerce engaged in is solely within the state of Kansas, the shipment is considered intrastate commerce.”
Preliminary Details of the Canadian Federally Funded Cull Breeding Swine Program
On February 25th, 2008 the Government of Canada announced the Cull Breeding Swine Program to help the industry to restructure by facilitating the reduction of the breeding herd. The $50 million program is to be delivered through the Canadian Pork Council.
This program has yet to receive Treasury Board authority. It is expected, however, that this will occur shortly such that a funding agreement between the Government of Canada and the Canadian Pork Council can be completed and program participation details can be announced.
The following details have been gathered from the federal government announcement and the press conference held the same day by Minister of Agriculture and Agri-Food, the Honourable Gerry Ritz:
The KPA Annual Meeting was held Monday, February 18, in Topeka.
Pete Sherlock, Washington; Michael Springer, Sycamore, and Kelly Wondra, Ellinwood; were elected to the Kansas Pork Association Executive Board. Each position serves a three-year term.
The KPA Executive Board elected Ron Suther, Blaine, as the new KPA Chairman for 2008.
The KPA Policy Handbook was adopted for 2008. Please review the document by clicking on Handbook.
Neil Dierks, CEO of the National Pork Producers Council, talked with the group about the ongoing Farm Bill deliberations.
Kevin Smith, Director of Export Services, at the U.S. Meat Export Federation, gave an overview of the group's activities in creating more demand for US pork. Kansas is a member of the USMEF.
K-State Swine Profitability Conference held Feb. 5
High feed prices and low swine market prices were the main topics at the recent KSU Swine Profitability Conference. Ways to deal with these challenges were addressed at K-State’s annual conference aimed at helping swine producers improve the efficiency and profitability of their operations.
Michael Springer, Independence, talked on "Returning to a Family Swine Business from K-State."
PCV will NOT be the Last Virus to Have a Major Impact on the Swine Industry: Is Swine Influenza Virus the next Ticking Time Bomb? - was the topic discussed by Marie Locke Gramer, University of Minnesota. Dr. Steve Dritz, presents her with a plaque for presenting the Jack and Pat Anderson Lecture in Swine Health Management.
The Influence of Ethanol, Oil and Land Prices on the Future of the Swine Industry was presented by Dr. Michael Swanson, Wells Fargo Financial.
Other topics included - Marketing Decisions based on Packer Matrixes and Pig Flow - Mike Tokach, Kansas State University and Steve Henry, Abilene Animal Hospital, and Is Your Team All Driving in the Same Direction - Larry Firkins, University of Illinois.
The purpose of the Swine Profitability Conference is to provide swine producers and allied industry the opportunity for an in-depth look at production management, marketing and business decisions related to profitability in the swine industry, said Jim Nelssen, swine specialist with K-State Research and Extension.
“We had a first-class line-up of speakers this year,” Nelssen said. “Our job is to try to challenge producers to do a better job with their operations.”
The Kansas Pork Association is a sponsor for the conference.
All members of the Kansas Pork Association are invited to attend the KPA Annual Meeting to be held Monday, February 18, 2008, beginning at 11:45 a.m., at the Senate Suites, 900 SW Tyler in Topeka.
Three positions on the Kansas Pork Association Executive Board will be elected during the KPA Annual Meeting. Each position serves a three-year term. Pete Sherlock, Washington; and Kelly Wondra, Ellinwood; are eligible for their second term. Michael Springer, Sycamore, has been filling a vacancy. He is eligible for election to his first full term on the Board. KPA members interested in running for the Board should contact the KPA office.
The KPA Policy Handbook was adopted at last year's annual meeting. Please review the document by clicking on Handbook. Please forward any proposed changes to the KPA office by January 31.
All members of the Kansas Pork Association are invited to attend the KPA Annual Meeting to be held Monday, February 18, 2008, beginning at 11:45 a.m., at the Senate Suites, 900 SW Tyler in Topeka.
Three positions on the Kansas Pork Association Executive Board will be elected during the KPA Annual Meeting. Each position serves a three-year term. Pete Sherlock, Washington; and Kelly Wondra, Ellinwood; are eligible for their second term. Michael Springer, Sycamore, has been filling a vacancy. He is eligible for election to his first full term on the Board. KPA members interested in running for the Board should contact the KPA office.
The KPA Policy Handbook was adopted at last year's annual meeting. Please review the document by clicking on Handbook. Please forward any proposed changes to the KPA office by January 31.
K-State Swine Profitability Conference Scheduled for Feb. 5
High feed prices and low swine market prices are presenting challenges for swine producers. Ways to deal with these challenges will be addressed at K-State’s annual conference aimed at helping swine producers improve the efficiency and profitability of their operations.
K-State Research and Extension’s Swine Profitability Conference will run from 9:15 a.m. to 3:15 p.m., Feb. 5 in Forum Hall at the K-State Union. The $25 registration fee includes lunch and all conference sessions. The registration deadline is Jan. 25.
This year’s program will cover several swine industry topics including the influence of ethanol, oil and land prices on the industry, swine health and marketing. Each session features presenters from universities and agribusinesses across the Midwest.
Topics and speakers for this year’s conference include:
* PCV will NOT be the Last Virus to Have a Major Impact on the Swine Industry: Is Swine Influenza Virus the next Ticking Time Bomb? - Marie Locke Gramer, University of Minnesota.
* Returning to a Family Swine Business from K-State - Michael Springer, Indpendence, Kan. pork producer.
* The Influence of Ethanol, Oil and Land Prices on the Future of the Swine Industry - Michael Swanson, Wells Fargo Financial.
* Marketing Decisions based on Packer Matrixes and Pig Flow - Mike Tokach, Kansas State University and Steve Henry, Abilene Animal Hospital.
* Is Your Team All Driving in the Same Direction - Larry Firkins, University of Illinois.
The purpose of the Swine Profitability Conference is to provide swine producers and allied industry the opportunity for an in-depth look at production management, marketing and business decisions related to profitability in the swine industry, said Jim Nelssen, swine specialist with K-State Research and Extension.
“We have a first-class line-up of speakers this year,” Nelssen said. “Our job is to try to challenge producers to do a better job with their operations. We have five topics that definitely do that.”
The conference is sponsored by the Department of Animal Sciences and Industry at Kansas State University, K-State Research and Extension, the Kansas Pork Association and the National Pork Board.
More information is available by calling Nelssen at 785-532-1251, or by visiting
The Kansas Pork Association is a member of the Kansas Agricultural Alliance, a group formed to help strengthen agriculture's voice at the State Capitol. The KAA holds an annual Welcome Back luncheon for legislators. This event gives the member associations an opportunity to meet the legislators in a friendly atmosphere.
Melvin Neufeld, Ingalls, Speaker of the House, (gray suit) talks with representatives of agricultural groups at the recent KAA meeting in Topeka including from left: Dennis Hupe, Kansas Soybean Association; Tim Stroda, Kansas Pork Association; Mike Beam, Kansas Livestock Association; and Leslie Kaufman, Kansas Cooperative Council.
In late 2007, the KPA provided funds to supplement the Feral Swine Control Program. The KPA lobbied strongly for state funding of this program in the last two legislative sessions. The pork industry's funds will be utilized through the U.S. Wildlife Services for landowner education, trapping and aerial control activities. To see a recent Wichita Eagle story on the feral swine work, click on http://www.kansas.com/sports/outdoors/story/272966.html
Below the photo, there is a gallery link. Click on this to see several more photos of the traps.
Leaders of the Kansas Pork Association met with Congresswoman Boyda yesterday in Manhattan. The group provided input on issues affecting pork production which are still being discussed in the Farm Bill's Conference Committee.
The producer leaders shared the importance of exports to our industry and discussed avenues to help expand exports. The group also discussed general agricultural issues such as immigration and the effects of increased grain-based fuel production on livestock feed prices.
Attending the meeting were (from left) Steve Eichman; Westmoreland; Ron Suther, Blaine; Congesswoman Boyda; Alan Haverkamp, Bern; and Tim Stroda, KPA staff.
Listeners to K-State basketball games are hearing pork advertising during each basketball broadcast. The stations carrying the broadcast are listed below.
| BELOIT KVSV-AM 1190 AM CHANUTE KINZ-FM 94.3 FM CLAY CENTER KCLY-FM 100.9 FM COLBY KXXX-AM 790 AM CONCORDIA KCNK-AM 1390 AM COPELAND/DODGE CITY KSKZ-FM 98.1 FM COFFEYVILLE KGGF-AM 690 AM EMPORIA KVOE-FM 101.7 FM GOODLAND KKCI-FM 102.5 FM GREAT BEND KZLS-FM 107.9 FM HIAWATHA KNZA-FM 103.9 FM HUTCHINSON KHMY-FM 93.1 FM JUNCTION CITY KJCK-AM 1420 AM JUNCTION CITY KBLS-FM 102.5 FM KANSAS CITY WHB-AM 810 AM |
LIBERAL KSCB-AM 1270 AM MANHATTAN KMKF-FM 101.5 FM MANHATTAN KMAN-AM 1350 AM MARYSVILLE KNDY-AM 1570 AM NORTON KQNK-AM 1530 AM NORTON KQNK-FM 106.7 FM PHILLIPSBURG KKAN-AM 1490 AM PHILLIPSBURG KQMA-FM 92.5 FM PRATT KWLS-AM 1290 AM RUSSELL KRSL-AM 990 AM SALINA KSAL-AM 1150 AM SENECA KMZA-FM 92.1 FM SCOTT CITY KSKL-FM 94.5 FM TOPEKA KDVV-FM 100.3 FM WICHITA KFTI-AM 1070 AM WINFIELD KKLE-AM 1550 AM |
As part of our advertising package with Kansas State University, the KPA has tickets to selected men's and women's basketball games.
Be the first producer to e-mail or call the KPA office and you can win 4 tickets to the KSU vs Savannah State men's basketball game to be held Monday, January 7, or you can have two tickets to the KSU vs Western Illinois women's game to be held Wednesday, January 2.
Call 785-776-0442 or e-mail to kpa@kspork.org
Listeners to the University of Kansas football games are hearing pork advertising during each basketball broadcast. The stations carrying the broadcast are listed below.
To hear one of the commercials, click on Pork
| KSAJ-FM Abilene KKOY-FM Chanute KGGF-FM Coffeyville/Independence/Fredonia KWGB-FM Colby KZRD-FM Dodge City KVOE-AM Emporia KMDO-AM Fort Scott KOMB-FM Fort Scott KZDY-FM Glen Elder/Cawker City KLOE-AM Goodland KHOK-FM Great Bend/Hoisington KAYS-AM Hays KWBW-AM Hutchinson KIKS-FM Iola |
WMBH-AM Joplin KCSP-AM Kansas City KLWN-AM Lawrence KLZR-FM Lawrence KNDY-FM Marysville KLKC-AM Parsons KKAN-AM Phillipsburg KQMA-FM Phillipsburg KSEK-AM Pittsburg WIBW-AM Topeka KWME-FM Wellington KFH-AM Wichita KFH-FM Wichita/clearwater KKLE-AM Winfield |
The K-State Collegiate CattleWomen are offering Eat Pork license plates featuring a Power Cat logo. The plates are $10.00 plus a flat shipping and handling fee of $2.50. Please send check payable to CCW and shipping address to Mishelle Hay, Kansas State University, 134 Weber Hall, Manhattan, KS 66506. For any other questions you may contact Mishelle at mhay@ksu.edu or by phone at 785-532-1262.
