3 BIG THINGS TODAY, APR 5

SOYBEAN FUTURES LOWER IN OVERNIGHT TRADING; ETHANOL OUTPUT, STOCKS INCREASE.

1. SOYBEANS LOWER OVERNIGHT AS U.S. EXPORTERS BATTLE WITH BRAZIL

Soybean futures declined overnight as the battle for exports between the U.S. and Brazil heats up.

The countries are now officially fighting for customers, who likely will go to whichever supplier offers the lowest price. Prices at ports in the Gulf of Mexico are reportedly nearing five-year lows as exporters attempt to attract overseas buyers.

Meanwhile, production in Brazil is expected to jump to a record, with some state and private forecasters saying output could total as much as 111 million metric tons. The U.S. Department of Agriculture has pegged Brazilian production at 108 million tons.

The U.S. is still the big kid on the block, expected to produce 117.2 million tons, according to the USDA.

Soybean futures fell 4¢ to $9.65 a bushel overnight on the Chicago Board of Trade. Soy meal was unchanged at $315.80 a short ton, and soy oil dropped 0.45¢ to 31.76¢ a pound.

Corn lost a penny to $3.57½ a bushel in Chicago.

Wheat futures for May delivery fell 1¼¢ to $4.24¼ a bushel in Chicago. Kansas City wheat declined ¼¢ to $4.23¼ a bushel.

**

2. U.S. ETHANOL PRODUCTION HIGHEST IN SEVEN WEEKS, STOCKPILES SECOND HIGHEST EVER

U.S. ethanol production rose to the highest level in seven weeks, which is good news for corn growers.

Output in the week that ended on March 24 totaled 1.054 million barrels and day, on average, the highest since the seven days through February 3, according to the Energy Information Administration. Production was up 10 million barrels a day, on average, from the prior week.

Ethanol output has fluctuated greatly since the last time it was this high. On March 3, production dropped to 1.022 million barrels a day, the lowest since November, worrying some that it would stay low. It rebounded the next week, however, and is again at relatively lofty levels.

Output reached a record 1.061 million barrels a day, on average, in the week that ended on January 27.

Stockpiles of the biofuel last week also rose to an historic high, climbing to 23.257 million barrels, the second highest on record behind only the week ending March 4, 2016. Inventories a week earlier totaled 22.595 million barrels.

Carryout of ethanol has been relatively high since the start of the year, never falling below 20 million barrels. It’ll be interesting to see if stockpiles next week breach the record of 23.307 million.

Get today’s news sent to your in-box by signing up for SOXAGRO newsletters.

**

3. COOL WEATHER, SUNSHINE IN SOUTHERN PLAINS TODAY; STORMS EXPECTED IN ILLINOIS, INDIANA

Storms that were bringing much-needed rainfall to the Southern Plains have seemingly disappeared, giving way to cool overnight weather and sun in the afternoon.

Much of the Oklahoma panhandle saw temperatures in the low 30s overnight, some at 30˚F. and 31˚F., the National Weather Service said in a morning report, not cold enough to damage plants. It’ll get up to almost 70˚F. in some counties in the area this afternoon.

A new front will move in tomorrow, however, bringing a 50% chance of rainfall, and storms are likely on Saturday, according to the NWS.

In the Midwest, widely scattered thunderstorms are forecast for much of northern Illinois and Indiana this morning with coverage expanding by midday, the agency said.

“Some of the thunderstorms will likely become strong to severe in the afternoon,” the NWS said.

FMC TO BUY DUPONT ASSETS INCLUDING INSECTICIDE AND CEREAL HERBICIDE BUSINESSES

IT’S PART OF A EUROPEAN COMMISSION DIVESTMENT RULING FOR THE PLANNED DOW-DUPONT MERGER. IN RETURN, DUPONT GETS FMC HEALTH AND NUTRITION AND $1.2 BILLION.

FMC is expanding its footprint in the agricultural insecticide and herbicide business through a purchase from DuPont. In exchange, DuPont is acquiring FMC Health and Nutrition.

It’s all part of a European Commission divestment ruling related to DuPont’s merger with The Dow Chemical Company. 

HERE’S WHAT’S HAPPENING 

FMC will acquire DuPont’s global chewing pest insecticide portfolio, its global cereal broadleaf herbicides, and a substantial portion of DuPont’s global crop protection R&D capabilities. After closing of the acquisition, FMC Agricultural Solutions will become the fifth-largest crop protection chemical company in the world by revenue, with estimated annual revenue of approximately $3.8 billion.

Meanwhile, DuPont is acquiring FMC Health and Nutrition and will also receive $1.2 billion in cash as part of the deal.

WHAT FMC GETS

According to an FMC news release, the acquired portion of DuPont’s crop protection business includes a selective insecticide portfolio consisting of Rynaxypyr, Cyazypyr, and Indoxacarb. The first two of these products have full patent protection over their respective active ingredients, and FMC expects these products will generate over $1 billion in 2017 revenue. These selective insecticides are complementary to FMC’s existing broad-spectrum insecticide portfolio.

The acquired portfolio also includes DuPont’s global cereal broadleaf herbicides, consisting of nine active ingredients and multiple formulated products. This herbicide portfolio includes recognized brands and DuPont’s proprietary PrecisionPac technology. These products bring diversification to FMC’s crop exposure in herbicides and also increase the balance of preemergent and postemergent applications in FMC’s portfolio, the release said.

The geographic spread of the revenue in this portfolio will result in a significant increase in FMC’s presence in Asia and Europe. Following the acquisition, FMC’s crop protection revenue will be almost equally spread across all four major regions: North America, Latin America, Europe, and Asia.

The underlying intellectual property related to the acquired products, including patents, registrations, and data packages, will be transferred to FMC. FMC will acquire a global manufacturing network to support these products, including four active-ingredient manufacturing facilities and 10 regional formulation plants.

The acquisition will bring DuPont’s discovery and development organization, including its Delaware crop protection research headquarters, 14 regional development labs, and related regulatory capabilities. This organization includes a pipeline of 15 synthetic active ingredients currently in development, covering insecticides, herbicides, and fungicides, and a library of 1.8 million synthetic compounds. The majority of DuPont’s crop protection research workforce will transfer to FMC as part of this transaction.

WHAT’S NEXT

The transaction is subject to the closing of the Dow and DuPont merger, as well as customary closing conditions and regulatory approvals. Closing is expected to occur in the fourth quarter of 2017.

Announcement: Feed Nigeria, to Feed Africa

All is set to host a new paradigm in the Nigerian Agricultural Sector, the Feed Nigeria Summit.

The event tagged “Feed Nigeria, to Feed Africa” is a first of its kind in Nigeria, and will bring together prominent stakeholders, NGOs, government officials and ministries, campaigners, continental and international players and other influencers in the agricultural space, to discuss bugging issues aimed at advancing development of the agriculture sector in Nigeria.

Supported by the Homegrown School Partnership for Child Development (PCD), the African Development Bank (AfDB) and Songhai Centre, the summit will address key national agricultural productivity issues like finance, market access, research, infrastructure, mechanisation, and ICT, while ensuring a mainstreaming of gender and other related issues.

Through the instrumentality of the summit, AgroNigeria seeks a home-grown, private sector inspired, solution provision for the myriad of problems bedeviling the Nigerian agricultural sector.

AGRICULTURE, SOLID MINERALS CAN PAY NIGERIA’S DEBT — OGBEH

Chief Audu Ogbeh, the Minister of Agriculture and Rural Development, says foreign exchange from agriculture and solid minerals could service the country’s debt and loan profile.

Ogbeh made the assertion on the sideline of the National Agribusiness Youth Training Programme funded by the Federal Government and the African Development Bank (AfDB) in Abuja on Tuesday.

The minister said that most funds for the training of youths in agriculture were borrowed from the World Bank and the African Development Bank (AfDB).

He said the Federal Government was designing a strategy through agriculture to enable the country earn enough foreign exchange to service its debt in due course.

According to him, after satisfying our needs in local staples for the grains mainly, we have to design a scheme from which we shall earn enough foreign exchange to settle debts.

He said the Federal Government would soon launch a National Plantation Programme to encourage individuals to farm the smallest part of their unused land to invent their future.

“All these monies for trainings on youth agriculture are borrowed.

“We borrowed from the AfDB and World Bank and if you take a loan, you must think of when and how to pay.

“Some of these loans will be due in 35 to 40 years. Time flies and the question is, how do we pay.

“We are not likely to sell oil for 100 dollars a barrel ever again and even if we do, we are not usually careful,’’ he said.

“We waste the money when it comes, so, agriculture and solid minerals will have to pay the loans and we will pay through exports.

“The average age of a farmer now is between 60 to 65 years and that is why we want the youths to be involved in agriculture.

“There is a programme which we will launch very soon. It is called the National Plantation Programme.

“Everyone with a land somewhere should do a plantation like cocoa, cashew, shea butter, coconut and pigeon pea to make money to recover the image and honour of this country.’’

The minister noted that the Federal Government would re-launch cocoa before the end of the second quarter of the year to also boost the production for exports.

He said the plan was to take the country back to its place of pride as the highest producers of cocoa.

“The only way of controlling tomorrow is by planning for it but we Africans are not very good at that.

“We get caught by the future, we do not remember much of the past,’’ he said.

Ogbeh commended the President of the AfDB, Dr Akinwumi Adesina, for his support to the country. (NAN)

SOURCEDaily Trust

EMPOWERMENT OF RURAL WOMEN FUNDAMENTAL TO 2030 AGENDA

Leaders from the three UN Rome-based agencies on March 8 2017 marked the International Women’s Day by reinforcing their commitments to step up efforts to invest in the capacities of rural women as key agents of change in building a world without hunger.

The Food and Agriculture Organization (FAO), the International Fund for Agricultural Development (IFAD) and the World Food Programme (WFP) reminded the world that women and girls play a crucial role in achieving the 2030 Agenda for Sustainable Development, in particular, the goal of eradicating hunger and extreme poverty.

FAO Director-General José Graziano da Silva on the occasion said “Women play a critical role in agriculture and food systems – not just as farmers, but also as food producers, traders and managers.” He however said “women still face major constraints in rural labour markets and in agricultural value chains. They are more likely to be in poorly paid jobs, without legal or social protection. This limits women’s capacity to advance their skills, earn incomes and access employment opportunities.”

Graziano da Silva posited that the future of global food security depends on unleashing women’s potential. “Achieving gender equality and empowering women are crucial ingredients in the fight against extreme poverty, hunger and malnutrition which is strongly recognized by the 2030 Agenda for Sustainable Development,” he said.

Also speaking, IFAD President Kanayo F. Nwanze said, “We need to face the fact that we will never overcome poverty and hunger without empowering rural women.” He added that “We have ample evidence from around the world that greater empowerment of women in rural and urban areas leads to higher economic growth and a better quality of life for women and men alike.

Despite progress, it is still the case today that rural women’s double burden of farm labour and unpaid domestic work prevents them from participating fully and fairly in income-generating activities. Improving rural women’s access to technologies that save time and labour is essential to reducing their workloads. Transforming gender relations within the family is also crucial to empowering women and enabling them to make decisions about their lives.”

WFP Executive Director Ertharin Cousin said, “Empowering women economically is one of the key steps to realizing gender equality and achieving Zero Hunger. The changing world of work – as patterns of economic activity shift – provides the opportunity to achieve these goals.

“Ensuring women have adequate access to land, tools, fertilizers and credit improves their lives and the lives of their families; potentially freeing millions from hunger. We also know that school meals are a powerful incentive to keep girls in class, boosting their chances of completing school and finding employment. Enabling women to seize these opportunities will transform lives and help bring the Sustainable Development Goals within reach,” she said.

SOURCELEADERSHIP