Wednesday 18 January 2017

3 Big Things Today, January 16

1. Chicago Board of Trade Closed For Martin Luther King Jr. Holiday

The Chicago Board of Trade is closed for the Martin Luther King Jr. Holiday in the U.S. Overnight trading resumes at its normal time this evening.
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2. Specs Boost Net-Longs in Wheat to Largest Since 2014 as Planting Falls to 107-Year Low

 

Speculative investors held the biggest net-long position in hard red winter wheat in more than two years as of last Tuesday amid declining acres.

Money managers held 23,212 net-long futures contracts, the biggest such position since the last week of 2014, the Commodity Futures Trading Commission said in a report. That’s up from 11,115 net-long contracts a week earlier.

Planted area of hard red winter wheat dropped 12% in 2016 from the prior year to 23.3 million acres, the U.S. Department of Agriculture said in a report last week. That, along with extremely cold weather in the Southern Plains where hard red winter wheat is grown, has boosted the outlook for Kansas City wheat prices traded on the Chicago Board of Trade.

In Kansas, the biggest grower of winter wheat in the U.S., farmers seeded 7.4 million acres with hard red winter wheat, down 13% from the prior year, and in Oklahoma and Texas, tied as the second-largest producer, acreage fell 10% to 4.5 million in each state, according to the USDA.

Total winter wheat area came in at 32.4 million acres, down 10% from 2016 and 18% from 2015, the second-lowest acreage in history behind only 1909, government data show.
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3. Ice Storm Stretching From Oklahoma to Iowa Makes Travel Dangerous

 

An ice storm stretching through much of the Plains and into the Midwest will continue moving east into the northeastern U.S. today.

The storm, which stretches from western Oklahoma to northern Iowa, likely will drop more freezing rain on the region today, the National Weather Service said in a morning report.

“Widespread freezing rain persists for much of western Oklahoma, Kansas, northern Missouri, and western Iowa,” the NWS said. “To the north of the freezing rain, continuing snow; to the south, heavy rain and the potential for severe thunderstorms. By Tuesday, freezing rain and snow moves into the northeastern states.”

A winter weather advisory is in effect for the area ahead of the storm, according to weather maps. A mix of sleet and freezing rain has moved into southwestern Wisconsin this morning and will continue to move north through the rest of the day, making travel dangerous, the agency said.

source: successful farming

Trucker Protest Continues in Brazil's Top Grain State

SAO PAULO, Jan 16 (Reuters) - A Brazilian truckers' protest entered its fourth day on Monday, preventing grain-carrying vehicles from taking a key road for soy and corn shipments in the state of Mato Grosso, police and the highway operator said.

The demonstration started on Friday as truck owners demanded greater compensation from commodities traders and transportation companies to transport soy and corn from the state to exporting ports in southern Brazil.

The main harvest has just started in Mato Grosso, Brazil's No. 1 soy and corn producing state, where farmers are expected to collect 30 million tonnes of soybeans.

Police said protesting truck drivers were stopping all trucks carrying grains at two points in the BR-364 road and asking them to park. The protest is not aimed at stopping flow of other vehicles.

Road operator Rota do Oeste, controlled by Brazilian conglomerate Odebrecht, confirmed that grain-carrying trucks are being parked on the side of the road, reducing the room for normal traffic.

Gilson Baitaca, one of the protest's leaders, told Reuters on Friday the demonstration aimed to force commodities traders with large operations in the state, such as Bunge and Archer Daniels Midland, to renegotiate compensation for truck owners.

A manager at a large grain elevator in the area, who asked not to be named, told Reuters on Monday that he had no reports of problems so far to get grain out of the region. Trucks might be avoiding the protests by taking alternate roads.

Abiove, the Brazilian association representing commodities traders and processors, and Aprosoja, a Mato Grosso farmers association, declined to comment.(Reporting by Gustavo Bonato and Marcelo Teixeira; Editing by Paul Simao)

Source: Successful Farming

Ag Leader Technology Celebrates Silver Anniversary

The one thing Lee Kline treasured most as a farm broadcaster was grabbing his tape recorder, driving out to the countryside, and riding in a combine.

“I always felt those interviews in the farmer’s environment were far more genuine because he was in his element,” says the retired WHO farm broadcaster.

During his more than 40-year career, Kline had a front-row seat to the challenges and achievements that shaped rural America including technology that would revolutionize how farmers tracked their grain.

“I had heard about a machine that could record yield on-the-go,” Kline recalls. “In the fall of 1992, I rode in the combine with Dave Granzow, an Iowa farmer who owned one of those machines – Ag Leader’s Yield Monitor 2000.”

As the pair traveled across the field, what started popping up on the screen surprised even Kline. “We were in the cab and all of a sudden this machine registers 135 bushels, then shoots up to 150, and then to 179. Once in a while it might peak to over 200 bushels,” he says. “When we came to a wet spot, it would drop down to 35 bushels and then shoot right back up to 169. To instantly know what the yield is on your corn or soybeans was astounding!”

“Lee couldn’t believe this machine was actually recording on-the-go in real time and what it was capable of measuring,” says Granzow, who farmed with his father-in-law and brother-in-law at the time. “I remember how excited he got as the numbers started coming in.”

It was information that was vital to the multigeneration operation. “The three of us put all of our grain in the same bins,” he says. “We needed to know what came off of the different fields so we could better track how much each one was producing.”


A chance meeting with an ag engineer would provide the solution the farmers were looking for.

“Al Myers had his Yield Monitor 2000 at a combine clinic,” says Granzow. “I was curious and wanted to know whether it was a linear machine that would just spit out numbers or if there was more to it. He opened it up for me and I realized there was definitely something there. We bought the second one he ever sold for $2,200.”

Capturing yield wasn’t the only advantage the Granzows achieved from the device. “The yield monitor helped us streamline how we harvested our crops,” he says. “At the time, we had two combines, a couple of chase carts, and lots of wagons.”

Investing in the monitor allowed them to eliminate the chase carts and cut back to one combine. Less machinery also meant less people were needed in the field. “We were able to go from five to three people during harvest,” Granzow says.


Myers’ invention also changed how farmers viewed their fields.

“Farmers were as surprised as I was at what we were seeing come across that monitor,” he says. “It made us realize that even in a field that looked somewhat uniform how much yield variation there really could be across that field.”

Seed to success 

As a start up, Myers’ road from the drawing board to being market-ready began years earlier.
“Working on a shoe-string budget, I built a test stand in 1986 using combine parts I obtained from a scrap yard. It was a pretty crude system, but it worked well enough for me to believe that with some additional development I could make it work,” Myers recalls.

For the next six harvest seasons, he refined his product and tested it on his father’s and a neighbor’s farm in eastern Illinois, as well as one farm in Iowa.

“I still had my full-time job as an engineer so I was doing this on weekends, evenings, and holidays,” recalls Myers. “By 1991, I felt I had the monitor to the point where it could be manufactured and sold. In June 1992, I decided to leave my job and start Ag Leader Technology.”

Working out of his garage, launching a product wouldn’t come without its share of struggles.

“I only sold 10 monitors in 1992. It was tough surviving that first winter, but I hung in there,” he says.
As a one-man show, Myers handled everything from tech support to trade shows.

“There were definitely still a few bugs to work out, but I knew if I didn’t get the glitches resolved right out of the gate, I was not going to be able to build a business on that,” he says. “My name was on the line. I had to make sure I delivered a quality product.”

“Were there frustrations along the way? Absolutely,” says Granzow. “But I knew we had to stick with it. I also knew that if we had a question, Al was out there to answer it.”


A satisfied customer is also a great salesman. 

“In December 1992, Al asked me to go with him to his first trade show in Illinois,” recalls Granzow. “He told me he couldn’t afford to pay me, but I was willing to talk about a product I believed in for free.”

“Dave engaged with farmers and did much of the selling with his testimonial,” says Myers. “What better person to tell the story than a satisfied customer.”

By early 1993, Myers recognized he couldn’t continue to go it alone. “I rented a commercial space in Ames, Iowa, and hired some part-time Iowa State University students,” he says.

Within four years of launching Ag Leader Technology his perseverance paid off. Sales of his innovation soared from 10 to 1,500 by the end of 1995.

“I think the Yield Monitor 2000 experienced rapid adoption because farmers who were trying to be good managers and improve crop yields were finding it would show them yield differences they didn’t know existed,” Myers says. “They could then use that information to try to figure out what needed to be fixed in their fields to improve yields.”

2017 marks a golden anniversary

As Ag Leader Technology celebrates its 25th anniversary this year, the company has grown to nearly 300 employees and includes not only combine yield monitors but also controls and monitors for application, seeding and planting equipment, as well as GPS receivers, steering systems, and desktop software.

With seven different product lines in place, Myers is already looking to what’s next. He wants to continue to be the leader in displays that provide users the interconnectivity to gather data and the software that analyzes it.

“We have major plans to expand into the IoT so that the information being collected in the cloud can be moved through different devices in the field so a farmer can have the information when and where he needs it,” he says.

Through the years, Myers has held true to his original mission – backing up the products his company sells to farmers.

“A satisfied customer is what it’s all about at the end of the day,” he says. “It’s how you continually improve your product and expand your business.”

The relationship between an ag engineer and a farmer willing to take a chance on technology that also began 25 years ago has evolved into a lasting partnership.

“Dave, and his son, Adam, continue to help us by testing products today,” says Myers.

Staying the course

Still an independently owned company, Myers says he fields inquiries weekly from outsiders either wanting to invest in or to buy his company. Yet, he’s committed to staying the course.

“I didn’t start Ag Leader to make a bunch of money and then sell out. I started the company to do what I love to do – develop new products,” he says. “I hired people who love to do the same thing. I believe that has benefitted not only my employees but also the farmers and the world, in general. I want to see that keep going.”

Although Myers says he’s not a person who likes a lot of attention, it’s difficult not to shine a light on a man who cares deeply not only about agriculture but also about his employees. Under his direction, he is diligently trying to ensure that the next generation of leadership understands how important it is to continue his legacy.

“I have two sons who will own the company after my time,” he says. “I’m working hard to set it up so that when I’m no longer able or around to run the company anymore, Ag Leader will continue to be well run and has the same values we do today.” 

source: successful farming

Heritage Bank set to strengthen support for agribusiness

Heritage Bank Plc has disclosed that plans are underway to deepen support for agriculture by giving adequate support for agribusinesses in the country.

Of particular importance to the bank is directing such stream of support to rice farmers and agribusinesses in the rice value chain. The bank also seeks to aid economic development through agriculture with direct participation Anchor Borrowers’ Programme (ABP) of the Central Bank of Nigeria, which has garnered wide public acceptance.

The Group Head, Agriculture Finance, Heritage Bank, Olugbenga Awe, who in a speech at the 3rd edition of Rice Investment Summit in Abuja, reiterated the bank’s resolve to support subsistence farmers in some targeted communities, citing similar efforts in the North.

“In our quest to participate in the rice value-chain through the ABP, we supported hundreds of small holder farmers in various communities in Kaduna and Zamfara State”, he said.

Speaking at the seminar which held in collaboration with New Partnership for Africa Development (NEPAD), Awe described the bank’s resolve as an act of patriotism towards a common national goal of improving food production, whilst achieving food security and sufficiency.

He also disclosed that the bank’s drive to support rice production stems from the conviction that the management of the bank adjudges agribusiness as profitable with an end to achieving food security in Nigeria.

Identifying some challenges mitigating the rice value chain, Awe was quick to describe them as splinters off a plethora of constraints facing agriculture in general, citing poor accessibility to farmlands, precipaitated by poor road network and rural underdevelopment as some.

Heritage Bank, he noted, is committed to tackling these challenges head-on, as the solution to food security in Nigeria hinges on some of these challenges.

Tracing the opportunities the agribusiness portends to the pre-collapse of crude oil prices, Awe noted that the bank, through its various programmes, will actively participate in its projection for year 2020 – the production of 7.7million metric tons of milled rice or 10.8million metric tons of paddy rice at milling recovery ratio of 62 per cent.

Ex-cattle rustlers surrender weapons, animals; embrace amnesty in Katsina

More than 97 AK47 rifles, 213 dane guns and 28,000 animals were recovered from some repentant cattle rustlers in Katsina, in an act of agreeing to the amnesty plea of the State government.

The return of the weapons and animals were central objectives of the Katsina State’s Dialogue and Amnesty programme led by the Secretary to the State Government, Mustapha Inuwa in Kankara Local Government, Katsina state.

Inuwa said the programme was initiated to end the incessant attacks on herdsmen and farmers in the state. Inuwa noted that the state’s amnesty committee had recovered 28,170 animals from the rustlers out of which 24,567 had been handed over to their rightful owners. He however noted that 3,014 animals had died while 90 had not been reclaimed.

Receiving the weapons at a ceremony organized by the State’s Amnesty Committee, Governor Aminu Masari, commended the committee, traditional rulers and members of the groups for the success being recorded by the programme. While noting that noted that 95 per cent of the repentant cattle rustlers resorted to the act to protest against unsavoury circumstances and their raw deals in the hands of individuals and groups.

Masari said the event will further lessen the sufferings of beneficiaries, adding that his administration is committed to improving the predicament of the ex-cattle rustlers and herdsmen in the state by demarcating grazing reserves and providing more earth dams among others.

While pledging the government’s readiness to provide basic amenities to help them resettle, Masari urged them to interact with members of their respective communities freely and also urged the people of the communities and security agencies to accept them back, without stigmatisation.