WATCH OUT FOR WORLD'S #2 CORN GROWER: CHINA

After the U.S., China is the second-largest corn grower in the world, but its stockpiles are twice the U.S. inventory. Dan Basse, head of the private consultancy AgResource Company in Chicago, says China is “awash in corn. I believe China will be back in the corn export market within one year.” 

The exports would be relatively small – there is market talk of 2 million tonnes in a world market of more than 140 million tonnes – and an outgrowth of Chinese farm-subsidy reforms and Beijing’s efforts to work down government-held reserves. Domestic prices are drifting closer to international shipping rates, Basse said during a luncheon at USDA’s Outlook Forum. Port disruptions at major exporters or a change in exchange rates could provide the opening for sales, he said.

USDA economists say the impact of China’s evolving farm policy “is still not entirely clear.” In a sidebar to USDA’s long-term baseline, they note that China has allowed prices to fall by up to 30% over the past few years for cotton, soybeans, rapeseed, “and now corn prices,” although wheat and rice supports remain. “The removal of the corn support price could encourage a modest shift in acreage from corn to competing crops in coming years,” such as soybeans, spring wheat, and fodder crops. 

China has throttled back on imports of corn, sorghum, and DDGs in the face of a corn surplus equal to a six-month supply at the start of this marketing year. Still, USDA projects corn imports of 3 to 4 million tonnes annually in the near term.

“Despite a slowdown in consumption of many commodities, China’s soybean exports are projected to be a record 86 million tonnes during 2016/2017, as falling international prices stimulated Chinese consumption,” say the economists. “Soybean imports are expected to rise to 121 million tonnes during 2016/2017.”

This article was produced in collaboration with the Food & Environment Reporting Network, an independent, nonprofit news organization producing investigative reporting on food, agriculture, and environmental health.

TRADE IS THE ANSWER, PERDUE SAYS IN HEARING

PERDUE SAYS PRESIDENT SAVED BEST FOR LAST.

WASHINGTON - Former Georgia Governor Sonny Perdue, seemingly a shoo-in to become agriculture secretary for President Trump, told senators on Thursday that larger exports are the remedy for farm-sector slump, promising to be “USDA’s chief salesman around the world.”

Senate Agriculture chairman Pat Roberts said he would schedule a vote as soon as possible on the nomination, which would then go to the full Senate for a final vote. Perdue was the last cabinet nominee announced by Trump, raising complaints that he was giving short shrift to rural Americ despite its key role in his election. “I think the president must have saved the best for last,” said Perdue mildly.

Committee members repeatedly asked Perdue how he would expand farm exports in an administration that has threatened to rewrite trade relations with major customers for U.S. ag products. Roberts grumbled about “too many cooks in the kitchen” on trade policy. With the farm economy in a slump since 2013, exports beckon as a speedy way to generate revenue when domestic markets are sated.

“I plan to be on-site as USDA’s chief salesman around the world to sell these products, to negotiate these deals side by side with USTR, side by side with (Commerce) Secretary (Wilbur) Ross,” Perdue told Montana Senator Steve Daines. “I believe USDA will be intimately involved...in selling our products.”

Perdue put farm income at the top of his priorities for action if confirmed, saying he would maximize the ability of producers to “sell the food and fiber that feed and clothe the world. We want to remove every obstacle and give them every opportunity to prosper.”

In responding to a question from Arkansas Senator John Boozman, Perdue said trade was a top issue raised by senators during conversations before the confirmation hearing.

“We’re seeing some of the lowest prices in years. Farmers are really struggling to be profitable,” he said. “I really believe trade is the answer. I look forward to being an adviser and counsel to this administration.”

Perdue also said he would be an advocate for immigration reform, particularly a change in the guest worker program, now limited to seasonal workers, to benefit dairy farmers who milk cows every day. Half or more of U.S. farm workers are undocumented, according to estimates, and Trump’s policy of strict enforcement of immigration law has created anxiety throughout agriculture to find a stable and legal workforce.

When Vermont Senator Patrick Leahy argued that dairy farmers, like sheep farmers, should be allowed year-round visas for guest workers, Perdue said, “There is a need, obviously,” and added, “I believe dairy qualifies for that as well.”

Michigan Senator Debbie Stabenow cited the January 19 announcement of Perdue for USDA – the longest search for an agriculture secretary since 1933 – and the administration’s proposal to cut discretionary spending at USDA by 21% as signs that “rural America has been an afterthought” for Trump.

Update: GEMS4 DFID pilot test on tomato transport records success

Post harvest losses in tomatoes may soon become history as GEMS4DFID pilot test on Returnable Plastic Crates (RPCs) turns out to be successful.

The test which involved the transportation of 585 Returnable Plastic Crates of tomatoes via train from Kano state to Lagos state came to a conclusion when the train arrived at Iddo terminus on Wednesday, at about 7pm.

In an interview with AgroNigeria, the Vice-President of the Nigerian Agribusiness Group (NABG) and Chairman, Best Foods Global Limited, Emmanuel Ijewere, noted that the innovation would bring a new paradigm to the sector and the country at large.

“For many years, the Federal Government has been pained by the amount of losses the farmers suffer. With this now, we are beginning to see those changes come to be and this is a perfect relationship between the public and private sector” Ijewere said.

Ijewere said the federal and state governments can come up with policies that will promote the application of these innovations aimed at reducing post harvest losses while the private sector drives the policies into action.

While commending the Nigerian railway corporation for their support towards the execution of the pilot test, he affirmed that there were still some issues which would be addressed as soon as possible. He added that once the use of RPCs becomes a routine, tomato production in Nigeria will go into a new era.

“The baskets were covered with paper and stacked on one another sitting directly on the produce and this increases the risk of spoilage. However, the use of this plastic crates prevents squashing as the crates though placed on each other do not seat directly on the produce. They also allow for more ventilation and retain the fresh state of the produce” he explained.

Kwara hosts Feed Nigeria Summit pre-event stakeholders meeting

Kwara state played host to stakeholders in the agriculture sector from the northern geo-economic zone for a pre-summit town hall meeting that was slated to hold on March 24, 2017 at the Agric House, beside Ministry of Agriculture and Natural Resources, Jebba Road, Ilorin.

The Town Hall Meeting is coming ahead of the main event: Feed Nigeria Summit which is slated for April 6-7, 2017 at the Grande Ballroom, Intercontinental Hotel, Lagos.
According to Sub-national Coordinator for the Northern geo-economic zone of the FNS, Comrade David Kayode Ehindero, Chairman, Agric House Ventures, expected participants from the Northern States will include government officials in the agricultural sector, All farmers Association of Nigeria (AFAN), other professionals and operators in the sector, members of the Agriculture and Allied Employees Union of Nigeria (AAEUN), agriculture Ministries Department and Agencies (MDA) in the zone.

The feed Nigeria Summit is an initiative of AgroNigeria with technical support from the African Development Bank (AfDB) and the Songhai Center for Excellence, Porto Novo. The pre-event stakeholders’ meeting is for the purpose of sub-national sensitization and agenda –setting for the main event.
The summit according to Richard Mark-Mbram, CEO AgroNigeria, is expected to position Nigeria at the forefront of this laudable policy initiative in Africa, and make Nigeria’s agriculture the key to a successful continent food security and nutrition enhancement bid.

“The current drive towards diversification can only succeed if agriculture can be given the deserved attention by both public and private sectors”, Ehindero submitted.

FAO moves to support farmers in North East Nigeria with $20 million

The Food and Agriculture Organisation (FAO), has said about $20 million is required urgently by June, 2017, to support farmers for new farming season in the north east region of Nigeria.

The Agency stated this in a report on the region released by FAO National Communications Officer, Emeka Anuforo in Abuja on Thursday.

In the report, FAO noted that about 1.5 million people may face acute food Security in  Adamawa, Borno and Yobe, adding that deliberate efforts should be made towards raising  the sum , otherwise the implication might continue to worsen until 2018.

According to the report “In 2017, FAO is asking for USD 62 million under the Humanitarian Response Plan for Nigeria. Of this, USD 20 million is urgently required to reach 1.9 million people during the upcoming main planting season starting in June 2017. Missing this season will mean food insecurity and, therefore, humanitarian costs will continue rising into 2018″.

“FAO’s dry season campaign is ongoing, with 174 400 people receiving vegetable seed, irrigation equipment and livestock support. A combination of food assistance and food production support is the only way to address the scale of hunger facing the people of northeastern Nigeria.”It added

The report revealed that in 2016, FAO received about $7.2 million to fund the northeastern part of the country from Belgium, the European Commission Directorate-General for European Civil Protection and Humanitarian Aid Operations (ECHO), FAO internal resources, Irish Aid, Japan, United Nations Central Emergency Response Fund (CERF), UN Women, and World Food Programme (Food for Peace).

“Agriculture-based livelihood interventions remain weakly funded. Missing the main planting season will force many IDPs, returnees and vulnerable host communities to rely on expensive and logistically challenging food assistance well into 2018″.

“This will have a broad negative impact – rising hunger, lack of economic and employment opportunities, and possible harmful consequences including youth radicalisation and enrolment in armed groups, and increased exposure to sexual abuse and exploitation.” it explained.

3 BIG THINGS TODAY, MARCH 31

CORN, BEANS LOWER OVERNIGHT; EXPORT INSPECTIONS MIXED WEEK OVER WEEK.

1. CORN, SOYBEANS LOWER OVERNIGHT ON FAVORABLE SOUTH AMERICAN WEATHER

Corn and soybean futures were lower in overnight trading on favorable weather conditions in South America.

About 2 to 4 inches of rain fell in central and northwest Mato Grosso, a major growing state in Brazil, over the weekend, according to Commodity Weather Group. Frequent showers in areas where the safrinha corn crop is being grown have limited concerns about dryness, the forecaster said.

In some areas of southern Brazil where too much rain fell recently, a drying trend continues this week, which will help ease wetness concerns, CWG said.

Corn futures for May delivery lost 1½¢ to $3.62 a bushel overnight on the Chicago Board of Trade.

Soybean futures for May delivery declined 1¾¢ to $9.97¾ a bushel. Soy meal fell $1.4 to $325.2 a short ton, and soy oil rose 0.16¢ to 32.90¢ a pound.

Wheat futures for May delivery dropped 2¢ to $4.28¼ a bushel, and Kansas City wheat declined 3¼¢ to $4.42 a bushel.

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2. CORN INSPECTIONS DOWN WEEK OVER WEEK, SOYBEAN INSPECTIONS IMPROVE

Inspections of corn for export by the U.S. Department of Agriculture fell week over week, while soybeans saw an increase.

Government officials inspected 1.33 million metric tons of corn for overseas delivery in the seven days that ended on March 16, the USDA said in a report. That’s down from 1.57 million the prior week.

Despite the lower week-over-week totals, inspections since the start of the marketing year on September 1 have almost doubled to 30.3 million tons from 17.6 million during the same time frame a year earier, according to the USDA.

Soybean inspections rose to 737,255 tons from 676,560 tons a week earlier, according to the department.

For the marketing year, soybean inspections have risen to 45.8 million tons from 41 million during the same period last year.

Wheat inspections last week totaled 624,334 metric tons, up from 544,166 tons a week earlier. Since the start of the wheat marketing year on June 1, the USDA has inspected 20.7 million tons of the grain for shipment to overseas buyers, well above the 16.1 million during the same time frame a year earlier, the agency said.

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3. POSSIBILITY OF RAINFALL CREEPS INTO SOUTHERN PLAINS WEATHER FORECAST

The possibility of rain has crept its way into the Southern Plains forecast for later this week, which would bring much-needed relief to the region.

There’s a marginal risk that a thunderstorm will develop on Thursday afternoon into the evening in the region, the National Weather Service said in a report on Tuesday morning.

The storms, however, could be accompanied by hail and strong winds, which likely wouldn’t be ideal for delicate plants that have recently emerged from winter dormancy. Still, precipitation would be welcome.

Little or no rain has fallen in at least the past 30 days in much of the Southern Plains including southwestern Kansas and the Oklahoma and Texas panhandles, NWS data show.

CONTEST OFFERS GRAIN BIN RESCUE EQUIPMENT

When farmers become trapped in grain bins and other storage facilities, the ending is usually not a happy one. According to Purdue University researchers, more than 900 cases of grain engulfment have been reported over the past 50 years with a fatality rate of 62%.

With the proper equipment and training, however, fire departments and other first responders can increase the odds of a successful rescue.

For the fourth year in a row, Nationwide is awarding grain rescue tubes and specialized hands-on training to first responders. “Deploying a grain rescue tube is the only way to safely remove someone trapped in grain,” says Brad Liggett, president of Nationwide Agribusiness. “Until we can convince all farmers and other grain handlers to develop a zero-entry mentality, we will continue to make tubes available.”

Since the program’s inception, 32 fire departments in 15 states have been awarded rescue tubes.

To learn more or to nominate your local fire department, visit grainbinsafetyweek.com. Nominations are due May 31.

Postharvest loss alliance for nutrition

These infographics present ideas on Post harvest loss alliance for nutrition developed by the Global Alliance for Improved Nutrition (GAIN).

Jamaica bans importation of corned beef from Brazil

The Ministry of Industry, Commerce, Agriculture and Fisheries of Jamaica have placed an indefinite ban on importation of corned beef from Brazil.

This decision followed a report from the Brazilian authorities that companies supplying meat had been selling rotten beef and poultry. They were also alleged to have been bribing auditors in exchange for fake licences.

The Minister of Industry, Commerce, Agriculture and Fisheries,  Karl Samuda called an emergency meeting at the ministry’s Hope Gardens office emphasising  the need to protect consumer affairs.

The meeting was attended by officials from the ministries of Industry, Commerce, Agriculture and Fisheries; Health, and Consumer Affairs.

The meeting resolved that a temporary hold would be placed on all permits for the importation of corned beef from Brazil. It was agreed that corned beef in the market would be withdrawn for precautionary reasons. This implies that the nation’s Food Recall Committee will meet to determine the next step and inform the consumers when the product is safe.

Karl Samuda also held a meeting with major distributors and importers of corned beef.

Consumers have been advised to beware of corned beef for now. In the meantime, the Bureau of Standards, Jamaica will conduct chemical tests on the contents of corned beef in the market while the Veterinary service division of the ministry will conduct microbiology and residue tests to determine the presence of contaminants.

Buhari approves appointment of CEO, Executive Directors of BoA

President Muhammadu Buhari has approved the appointment of an interim Managing Director/Chief Executive Officer, as well as Executive Directors for the Bank of Agriculture.

The appointments were announced by the Federal Ministry of Agriculture and Rural Development on Thursday in a statement issued by the Deputy Director, Information, Mrs Lere -Adams Blessing.

The ministry explained that the appointments would support the administration in realising its vision of boosting agriculture across the country, through ensuring availability of funds needed for the development of the sector.

“This appointment is as a result of the Federal Government’s determination to reposition the Bank of Agriculture to be a more efficient and result oriented institution. The strategic re-positioning of BOA will enhance farmers accessibility to agricultural funds that will be profitable for large and small scale player” it stated.

According to the statement, the availability of funds will no doubt increase production which will eventually result in self-sufficiency.

The appointees include Kabiru Mohammed, Interim MD/CEO; Prince Akenzua, Executive Director, Corporate Finance, South-South; Dr. Okenwa Gabriel, Partnerships and Strategy, South-East; Ameh Owoicho, Executive Director, Credit and Empowerment, North Central; and Olabode Abikoye, Executive Director, Credit and Empowerment, South West.