NAWG Newsletter – Quick Edition: Week of March 21, 2013
We hope everyone had a great National Ag Day this past Tuesday. Remember, updates are always available at www.facebook.com/wheatworld.org and www.twitter.com/wheatworld.

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Congress Approves CR

Congress has successfully passed a Continuing Resolution (CR) to fund the government for the next six months. The House passed their version of the CR earlier this month. After eight days of floor debate, the Senate passed an updated version of their CR on Wednesday with a vote of 73-26. The Senate bill went much further than the House bill, and included appropriations for the departments of Defense, Veterans Affairs, Justice, Commerce, Agriculture and Homeland Security. As part of a deal with the House Republicans, the Senate bill didn’t overturn sequester, but included an amendment offered by Senators Roy Blunt (R-Mo.) and Mark Pryor (D-Ark.). The amendment allows the USDA to shift money from other areas of their budget to avoid furloughing meat inspectors. The House approved the Senate bill with a vote of 318-109. The bill will be sent to the White House, and is expected to be signed into law this week.

Farmers to Receive a Reduction in Direct Payments This Fall

Secretary of Agriculture, Tom Vilsack, alerted the hill on Wednesday that the Department will reduce payments received earlier this year due to sequestration. The reductions are primarily in three programs: Milk Income Loss Contract (MILC), Supplemental Revenue Assistance (SURE) and Noninsured Disaster Assistance Program (NAP), and won’t exceed 8.5%. Instead of asking farmers to pay back the money they’ve already received, the Department plans to take the cut out of future direct payments. If a farmer is not receiving a direct payment this year – yet has already received a payment from one of the three programs mentioned – it is speculated that those producers would be put on a credit ledger, and any future payments will be reduced.

According to guidelines sent out by the Farm Service Agency (FSA), there is a 30 day Congressional notification period that must pass before the FSA can move forward with this plan. Therefore, payments in MILC, SURE, and NAP will be deferred for the next 30 days. Once the 30 days are up, FSA intends to resume making full payments for the suspended programs.

House Passes Budget; Senate to Follow

On Thursday the House approved Rep. Paul Ryan’s (R-Wis.) budget on a party-line vote of 221-207. Ten republicans voted against the Ryan Plan, and all democrats voted against it. The Ryan budget was the only budget that passed the House this week. Many budget alternatives were offered, but none of them came close to passing. This marks the third year in a row that the House has passed a budget, but the first year that the Senate majority intends to do the same thing. The Senate moved yesterday to begin consideration of its 2014 budget resolution, and are scheduled to pass it sometime on Friday.

USDA Urges Farmers and Ranchers to Prepare for Continuing Drought

With the prospect of a continuation of one of the worst droughts in nearly 50 years, the US Department of Agriculture is reminding farmers and ranchers of some of the programs they offer that may help to mitigate effects of the drought. Last month, USDA Secretary Tom Vilsack announced a new sign-up for the Conserve Reserve Program (CRP) beginning May 20 and ending on June 14.

The CRP has been protecting the nation’s natural resources through voluntary participation for the past 27 years, and provided significant environmental benefits to rural communities and the nation. Secretary Vilsack pointed out, “Last year, during one of the worst droughts in generations, the CRP proved vital in protecting our most environmentally sensitive lands from erosion. Emergency haying and grazing on CRP lands also supplied critical feed and forage for livestock producers due to the drought.” Currently, about 27 million acres are enrolled in CRP.

Japan Announces Intentions to Join Trans-Pacific Partnership

Prime Minister Abe of Japan announced their intentions to join negotiations for the Trans-Pacific Partnership (TPP) last week. The addition of Japan – the 12th country involved in the negotiations – is important to American Agriculture because the size of the Japanese economy is second only to China’s in the region. Japan is also one of the US’s largest wheat export markets, purchasing three classes, of US wheat yearly. During the last market year, Japan purchased over 3.5 million metric tons of US wheat at a value of over $1.2 billion. In 2012, agricultural exports to Japan totaled $13.5 billion. NAWG supports Japan’s inclusion in TPP negotiations, and moving forward with a comprehensive, high-standard agreement that will benefit all countries involved.

House Ag Committee Approves Several Changes to Dodd-Frank

The House Agriculture Committee approved seven proposals amending the Dodd-Frank Wall Street Reform and Consumer Protection Act. The bills are the culmination of the committee’s oversight efforts in the Commodity Futures Trading Commission, as it writes rules for Dodd-Frank. Speaking on the reforms, Chairman Lucas said “Right now, some of the proposed regulations could make using derivatives so expensive that businesses will be forced to stop using them to hedge against risks. That ultimately results in higher costs for consumers and diminished stability in the marketplace. We have an opportunity to correct these issues with legislative fixes.” All but one of the bills advanced on a voice vote. The only one that didn’t – the Swaps Regulatory Involvement Act – was passed by a vote of 31-14.

The approved Bills are listed here: http://agriculture.house.gov/sites/republicans.agriculture.house.gov/files/documents/DoddFrankBillsUPDATED.pdf.

Extra Credit: Farm Policy Facts Releases Farm Bill 101 Guide

Today Farm Policy Facts released a current and comprehensive guide to the each title that makes up the Farm Bill, called Farm Bill 101. The guide includes a title-by-title history and summary of the Farm Bill.

You can click the link to view the Farm Bill 101 guide: http://content.inboxgroup.com/fpf/Farm-Bill-101-3-21-13.pdf

Spring is right around the corner, and so is the annual spring Wheat Research Fly-In. Remember, updates are always available at www.facebook.com/wheatworld.org and www.twitter.com/wheatworld.

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House and Senate Release FY2014 Proposed Budgets

House Budget Committee Chairman Paul Ryan (R-Wis.) released his budget proposal this past Tuesday calling for cuts to farm programs by $31 billion over the next 10 years, but leaves it up to the House Agriculture Committee to decide how to make the needed cuts. This is a big change from the House’s budget resolution last year, which specifically targeted crop insurance for reduction. The Ryan budget was written in order to balance the budget in 10 years, and was passed by the committee late Wednesday night with a party line vote of 22-17. The budget is expected to come to the House floor for a vote sometime next week.

Senate Budget Committee Chairwoman Patty Murray (D-Wash.) also released the Senate budget plan this week, and would provide the Senate Agriculture Committee with flexibility to write a five-year farm bill. The budget would assume $23 billion in savings by reforming agriculture programs. The committee is on day two of their markup and hopes to pass the budget through the committee by the end of the week. The Administration on the other hand has yet to release their FY2014 budget and is set to do so on April 8.

To read House Agriculture Committee Chairman Frank Lucas’ (R-Okla.) statement on the House budget proposal go to: http://agriculture.house.gov/press-release/lucas-statement-ryans-proposed-budget-plan-1

House and Senate Work to Avoid Government Shutdown

On March 6 the House of Representatives approved a six-month stopgap spending bill, referred to as a continuing resolution (CR), which will fund the government through Sep. 30. The House’s CR leaves the sequestration cuts in place, but shifts billions of dollars to military operations. Senate Democrats are working on their own package that will significantly alter the legislation passed out of the House. The Senate’s package would give the Obama administration greater flexibility to carry out the sequestration cuts and would include additional appropriations bills for the Departments of Commerce, Justice, Agriculture and Homeland Security. The Senate has yet to set a date for a vote on their sequestration plan, but both chambers are hopeful they can come to a compromise to avoid a government shutdown by March 27.

Obama Taps Ernest Moniz to be New Energy Secretary Nominee

President Obama has nominated physicist Ernest J. Moniz to become the next Secretary of the Department of Energy (DOE). While some environmental advocates have given the Moniz nomination a lukewarm reception, he is widely seen by many to embrace President Obama’s “all of the above” energy strategy. Some of the environmental opposition may stem from the fact that as undersecretary at DOE in the Clinton Administration, Moniz was an advocate for using hydraulic fracturing to exploit previously inaccessible oil and natural gas reserves.

To read the full press release go to: http://www.nationofchange.org/ernest-moniz-nominated-secretary-energy-1362674316

FAPRI Releases New Baseline Market Projections

Last Friday, the Food and Agriculture Policy Research Institute (FAPRI) at the University of Missouri released new baseline market projections. FAPRI reported that unlike corn and soybeans, U.S. wheat yields were near record levels in 2012 but that continued drought in the Plains raises questions about the 2013 wheat yield prospects. According to the FAPRI reports the baseline assumes average wheat yields are slightly below trend for 2013.

To read FAPRI’s press release on the report go to: http://extension.missouri.edu/news/DisplayStory.aspx?N=1744

For the full FAPRI report go to: http://www.fapri.missouri.edu/outreach/publications/2013/FAPRI_MU_Report_01_13.pdf

Baucus and Hatch Introduce Legislation to Extend Conservation Easement Tax Breaks

Senator Max Baucus (D-Mont.) and Orrin Hatch (R-Utah) introduced a bipartisan tax bill on Tuesday, The Rural Heritage Conservation Extension Act of 2013, makes the enhanced tax incentive for conservation permanent. The bill benefits farmers by allowing them to deduct up to 100 percent of their adjusted gross income for donations towards conservation easements.

To read the full Rural Heritage Conservation Extension Act of 2013 go to: http://www.finance.senate.gov/legislation/details/?id=b9d8428a-5056-a032-5219-33d85d08d0ad

Recent Rains Subside Drought Pressures on Spring Planting

March rains have come right in time for the rapid growth stage of winter wheat, and also have begun to prepare the soil for spring plantings. Meteorologist Joel Widenor said that, “two inches of rain were expected in the drought areas of the Northern Plains and upper Midwest next week.” Although these rains have begun to alleviate pressures from the record drought, the weather will need to persist through April and May in order to bring the winter wheat to maturity.

NWIC Research Fly-In Approaching on April 10-11

Wheat farmers, researchers and industry partners will be in Washington, D.C. next month for the annual Wheat Research Fly-In. The event is an opportunity to educate stakeholders on Capitol Hill and at USDA about the importance of wheat research projects around the country. It also emphasizes the need for consistent, adequate funding even in tough budget times. This event is planned in collaboration with NAWG, the National Wheat Improvement Committee, North American Millers’ Association and the American Bakers’ Association.

NAWG Newsletter – Quick Edition: Week of March 7, 2013

We hope everyone had a great time at the Commodity Classic, and extend a warm welcome to our 2013-2014 NAWG Officers. Remember, updates are always available at www.facebook.com/wheatworld.org and www.twitter.com/wheatworld.

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CBO Updates Savings Estimates for Farm Bills

The Congressional Budget Office (CBO) released a new estimate of the savings that last year’s Senate and House farm bills would have produced, if they would have been signed into law. Last year’s Senate-passed bill was approximated to save $23.1 billion over the next 10 years, but now the CBO has reduced their estimate of the savings to $13.1 billion. The House version was approximated to save $35.1 billion last year, but the CBO currently estimates that the same bill to only save $26.6 billion.

Click the link to read the full letter that CBO sent to Senate Agriculture Chairwoman Debbie Stabenow (D-Mich.), and House Agriculture Chairman Frank Lucas (R-Okla.): http://www.cbo.gov/sites/default/files/cbofiles/attachments/s3240_hr6083_Stabenow_Ltr.pdf

House and Senate Drop Bills to Lower Crop Insurance Subsidies

Senator Jeff Flake (R-Ariz) and Congressman John Duncan (R-Tenn.) introduced legislation in their respective chambers on Tuesday that would cut $40 billion in federal crop insurance subsidies over the next 10 years. The Crop Insurance Subsidy Reduction Act (S. 446, and H.R. 943) would return federal crop insurance premium subsidies to their pre-2000 levels. The introduction of this legislation was timely due to the fact that yesterday Environmental Working Group (EWG) and Bruce Babcock held a forum for hill staffers to share their views on crop insurance. The National Crop Insurance Services (NCIS) responded to claims from the EWG that farmers “pray for disaster” in hopes to collect a crop insurance check. In a press release from NCIS Marvin Andris, a farmer from Milford, Illinois made the comment that the EWG members “obviously haven’t brushed shoulders with any farmer,” and that farmers are “into this because we want to raise crops, and the more bountiful, the more excited we become.” To read the full NCIS press release and view their video response you can visit their website at http://www.ag-risk.org/

Sequestration Has Officially Gone into Effect

Last week, Congress failed to come to an agreement that would have stopped the $85.3 billion spending cuts known as sequester, which went into effect at midnight on Friday, March 1. At this point, Congress has yet to produce a strategy that will reverse these cuts, but we do know the cuts will be phased in over the next seven months.

House Lawmakers Push to End Extra Permit Requirements for Agricultural Producers

Bipartisan legislation, HR 935, has been introduced in the U.S. House of Representatives by Congressman Bob Gibbs (R-OH), Congressman Kurt Schrader (D-OR), and others that would correct a problem caused by a ruling from the Sixth Circuit Court of Appeals. The court ruled that the application of a pesticide constituted a source of pollution requiring a Clean Water Act permit. In response, the Environmental Protection Agency developed a Pesticide General Permit that protects aquatic applications of pesticides, but is not available for terrestrial applications. NAWG’s primary concern is that, if a producer were to apply a pesticide to a “water of the US” – which could occasionally carry water into a “navigable water of the United States” – that producer could be found in violation of the Clean Water Act. Violators of the act could potentially be subject to fines of up to $37, 500 per day.

Bills Introduced to Provide Relief from Transportation Regulation

Bi-partisan bills were introduced today in the House and Senate that would eliminate burdensome regulation, which require agriculture industry professionals, such as custom harvesters, to obtain a hazmat endorsement before allowing them to transport enough fuel for their operations. The Bills are sponsored in the Senate by Senator Pat Roberts (R-KS) and Senator Heidi Heitkamp (D-ND) and in the House by Congressman Randy Neugebauer (R-TX) and Congressman Collin Peterson (D-MN). The legislation would exempt certain agricultural workers, including custom harvesters and producers who have a Class A Commercial Drivers License, from the need to obtain a hazardous material endorsement to operate a vehicle carrying diesel fuel of 1, 000 gallons or less – provided the tank is clearly marked. Under current rules, drivers without a Hazmat endorsement can only transport up to 119 gallons. The bills are endorsed by a number of groups across the industry including NAWG.

A full press release from Senator Roberts’ office can be found at http://www.roberts.senate.gov/public/index.cfm?p=PressReleases&ContentRecord_id=b76b8b4e-612c-4506-a95c-9f60f123bb5f

Vilsack Testifies in front of House Agricultural Committee on State of the Rural Economy

United States Department of Agriculture (USDA) Secretary Tom Vilsack testified in front of the House Agriculture Committee on Tuesday at a hearing that was supposed to focus on the state of the rural economy but the Secretary spent the majority of his testimony discussing the sequester and its effects on meat inspections. The Secretary said that meat inspectors are unlikely to face immediate furloughs. The department must formally notify the inspectors, negotiate with the unions that represent them, and then allow time for individual discussions with any inspector who challenges the furlough. Vilsack estimated that the inspectors would ultimately have 11 to 12 days of unpaid leave for the remainder of the 2013 fiscal year. The House Agriculture Committee released this statement following the hearing at http://agriculture.house.gov/press-release/ag-committee-questions-secretary-vilsack-plans-implement-sequester

Agriculture Coalition Sends letter to Ambassador Kirk Regarding EU Free Trade Negotiations

A letter from a coalition of agriculture groups, including NAWG and US Wheat Associates, was sent to Ambassador Ron Kirk, the United States Trade Representative, this week applauding the decision to launch negotiations with the European Union on a transatlantic Free Trade Agreement. The letter urged Ambassador Kirk to model the agreement after the Trans-Pacific Partnership; it should include negotiations that cover all significant barriers to trade in a single agreement. The letter also thanks Ambassador Kirk for the recommendation to negotiate a strong Sanitary-Phytosanitary chapter based on science and international standards. However, the letter mentions the coalition’s concern over whether the EU will show any interest in negotiating these issues, which are important to the agriculture industry. These issues are significant because they can be barriers to trade and negatively affect exports. The letter can be found at http://www.wheatworld.org/wp-content/uploads/EU-Agriculture-Letter.pdf

McCarthy Nominated as New Environmental Protection Agency Administrator

President Barack Obama has nominated Regina “Gina” McCarthy to become the next Administrator of the Environmental Protection Agency (EPA). McCarthy currently serves as the Assistant Administrator for Air and Radiation at EPA and has worked for both Republican and Democratic administrations at the state level. McCarthy, a Massachusetts native, worked for former Presidential nominee Mitt Romney when he was Governor of Massachusetts as his top environmental protection official completing the state’s first climate protection plan regulating industrial emissions.

Senators Express Concern over STB Oversight in Berkshire-BNSF Acquisition

Seven Senators, including several from wheat states, sent a letter to the Surface Transportation Board (STB) this week urging the Board to exclude BNSF Railroad’s $8 billion acquisition premium from its regulatory rate base. The acquisition premium was paid for by Berkshire Hathaway when it acquired the railroad. The letter, which was led by Senators Franken (D-MN) and Vitter (R-LA,) also expressed concern over the fact that Berkshire was not authorized to own or control multiple rail carriers without the STB’s approval, which did not come to light until late in 2012. The letter can be found at http://www.wheatworld.org/wp-content/uploads/Letter-to-Chairman-Elliot-Berkshire-Hathaway.pdf

Federal Court Overturns Fisheries Services Findings on Northwest Fish

The Fourth Circuit Court of Appeals has reversed a decision made by the United States District Court for the District of Maryland. The decision upheld biological opinions – issued by the National Marine Fisheries Service and the US Fish and Wildlife Service in consultation with the Environmental Protection Agency – over the impact that three crop protection products (Chlorpyrifos, Diazinon, and Malathion) have on threatened or endangered salmon in the Pacific Northwest. In the lower Court ruling, 100 to 1,000 foot buffers around endangered fish bearing streams were deemed to be “reasonable and prudent alternatives”. The Fourth Circuit vacated these decisions, ruling that they were arbitrary and capricious, and has remanded the Bi-Op decisions back to the Fisheries Services for further decisions consistent with their opinion.

Wheat Farmers Return from Commodity Classic

Wheat farmers from around the nation returned home this week after attending meetings and talking to fellow farmers from the corn, soybean, and sorghum industries at Commodity Classic in Orlando, Florida. Those that attended participated in many educational learning sessions, and were able to see the latest in new equipment technology. At our business meetings we approved resolutions that give the NAWG executive team and staff the policy direction that they need in order to effectively carry the wheat grower’s voices on Capitol Hill. United States Department of Agriculture (USDA) Secretary, Tom Vilsack, addressed the general session and discussed how sequestration was going to affect the USDA and ultimately all of us involved in agriculture. The Secretary also gave a passionate speech on agriculture’s work ethic, patriotism, values, and economic contributions and the necessity for those to continue to help maintain a strong United States of America.

Kissimmee, Fla. – Visitors to the Wheat Industry Booth at the 2013 Commodity Classic are getting the opportunity to learn about the important role wheat plays in human lives and to express their opinions to their legislators.

The National Association of Wheat Growers (NAWG), U.S. Wheat Associates (USW) and the Wheat Foods Council (WFC) work together to present the Wheat Industry Booth each year. This year’s show runs until Saturday at noon.

At the exhibit, visitors will be able to combine fun and learning by spinning a prize wheel and answering questions about the 10,000-year-old grain crop, which gets credit for helping human beings form permanent communities and provides 20 percent of world food calories today. Successful answers win respondents chances to enter the booth raffle for a ruggedized digital camera.

Around the corner is a “Write Your Member of Congress” area where volunteers are talking with visitors about the most important policy issues of the day, including farm policy, trade promotion and environmental regulation. Visitors can then write a postcard to their Member and take an novelty oversized pen as a reminder of the need to write often.

“We are always encouraging farmers to be more involved in the decisions made at a national level that will affect their businesses and their communities,” said Bing Von Bergen, who was elected NAWG president Thursday.

“We hope the Wheat Booth this year will provide both some education and some energy for advocacy, which is what everyone – from Secretary Vilsack to farmers I talk to in the countryside – agrees we need to get a farm bill done.”

Leaders from NAWG, USW and WFC will be at the exhibit throughout the Commodity Classic trade show to greet visitors and answer any questions about wheat industry policy, export market development and wheat nutrition.

More about the organizations is available online at www.wheatworld.org, www.uswheat.org and www.wheatfoods.org.

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Kissimmee, Fla. – Montana wheat and barley farmer Bing Von Bergen was elected and installed as the new president of the National Association of Wheat Growers at the Association’s Board of Directors meeting Thursday.

Von Bergen is a native of Moccasin, Mont., in the center part of the state. Prior to becoming a NAWG officer, he served in the officer corps of the Montana Grain Growers Association for five years and on the NAWG Board, chairing the Domestic and Trade Policy Committee in 2008 and 2009.

Von Bergen Installed as NAWG President At Commodity Classic

In addition to running his farm, Von Bergen is the co-owner of Heartland Seed Company, which specializes in small grain seeds as well as grass and alfalfa seed. He has also served in several leadership roles in his community, including on a local co-op board, bank board and school board.

After serving in the U.S. Army, Von Bergen attended Montana State University. He and his wife Lois have two college-age children.

As president, Von Bergen will also be serving as acting chief executive officer while the Association undertakes a search process for a new staff lead.

“I am entering this new role during what some may consider a challenging time for our Association and our industry, but I see a lot of opportunity for us to grow and improve,” Von Bergen said.

“I appreciate my fellow growers entrusting me with these duties and responsibilities, and I will work diligently to ensure I live up to them.”

Other NAWG officers elected and installed at the Thursday meeting include:

• Paul Penner, Hillsboro, Kan., as first vice president;
• Brett Blankenship, Washtucna, Wash., second vice president;
• Gordon Stoner, Outlook, Mont., secretary-treasurer; and
• Erik Younggren, Hallock, Minn., immediate past president.

Members of NAWG’s Executive Committee, known as officers, commit to serve five years when they first run for the role of secretary-treasurer. The NAWG Nominating Committee and NAWG Board reaffirms their selection each year as they move into new roles on the officer team.

More about all of the officers is at www.wheatworld.org/about-us/contact-us/.

More from NAWG at the 2013 Commodity Classic is at www.wheatworld.org/2013Classic.

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Kissimmee, Fla. – U.S. wheat growers have left their cold, snowy farms for the warmer – if not windier – climes of Kissimmee, Fla., and the 2013 Commodity Classic.

Members of the National Association of Wheat Growers are once again partnering with the National Corn Growers Association, American Soybean Association and National Sorghum Producers for the 18th annual convention and trade show.

In addition to its sponsorship and participation in the Commodity Classic events, NAWG will hold its annual meeting during Commodity Classic for the seventh year in a row.

“Commodity Classic is always a fun time to get together with our growers and growers from the other commodity groups,” said NAWG President Erik Younggren, who farms near Hallock, Minn.

“Agriculture is a very small community, and any time we can get together with our growers at the grassroots level is important. It’s always good to meet with our fellow growers, see what’s on their minds, see what’s happening in different parts of the country.”

NAWG leaders will conduct a full complement of policy committee meetings starting the morning of Wednesday, Feb. 27, with the full Board of Directors meeting Thursday, Feb. 28, to review policy resolutions and committee actions and elect new officers. The National Wheat Foundation’s Board will meet Saturday, March 2.

More than 5,000 farmers pre-registered to attend the 2013 Classic, which will include multiple social events, a general session and trade show. NAWG, U.S. Wheat Associates and the Wheat Foods Council will sponsor a Wheat Industry trade show exhibit in booth #1001.

The National Association of Wheat Growers works with 22 state wheat grower organizations to benefit the wheat industry at state and national levels. More about the Association is at www.wheatworld.org.

More about the wheat industry’s 2013 Classic events will be at www.wheatworld.org/2013Classic throughout the week.

An audio preview of wheat Classic events with Younggren is at http://www.wheatworld.org/wp-content/uploads/audio-younggren-classic-preview-20130226.mp3.

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We are excited to see many of you at the upcoming Commodity Classic next week! Remember, updates are always available at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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Farm Groups Unite to Oppose Senate Sequester Plan

NAWG joined 13 other agricultural groups this week to share concerns about a Senate proposal to avoid planned sequestration cuts in part by taking $27.5 billion from Title I of the farm bill baseline. NAWG believes that if federal agriculture programs are subject to budget cuts in order to achieve deficit reduction, then the same percentage of cuts should apply to all federal government programs.

Agriculture has showed willingness over the past two years to give its fare share to deficit reduction. Last year, both the Senate and House introduced bills to provide real savings and reforms, with the Senate bill saving $23 billion and the House bill saving $35 billion over 10 years. Moving forward, NAWG would like to the see a process where the two Agriculture Committees work together to make needed cuts and reforms to any agriculture policy.

To read the full letter, please visit http://www.wheatworld.org/wp-content/uploads/farmbill-seqestration-letter-to-senate-20130219.pdf.

Supreme Court Hears Arguments in the Monsanto vs. Bowman Patent Case

The Supreme Court heard arguments Tuesday in a case between Monsanto and farmer Vernon Bowman. Bowman, a 75-year-old from Indiana, bought soybeans from a local grain elevator and used them as seed, even though it appears he knew they carried a Roundup Ready trait licensed by Monsanto. Bowman’s attorney argued that he didn’t violate Monsanto’s patent when he bought the seeds with the expectation that they would carry the Roundup Ready trait, and Monsanto did not have the right to carry the patent two or three generations after the seed was originally planted.

Although Monsanto won the case in district court and on appeal, the Supreme Court decided to hear it because as a first case involving a self-replicating technology. In oral arguments, several justices seemed sympathetic towards Monsanto’s claims, with Chief Justice John Roberts asking, “Why in the world would you spend money to improve a seed [if anyone could then duplicate it freely]?,” and Justice Stephen Breyer pointing out that federal law prohibits “making a copy of a patented invention… [and] that’s the end of it.”

USDA Secretary Announces New Conservation Reserve Program Sign-Up

Agriculture Secretary Tom Vilsack announced last week USDA will hold a new sign-up for the Conservation Reserve Program (CRP) beginning May 20 and running through June 14. CRP is a program that pays producers a per-acre rental rate for taking land out of production and planting environmentally beneficial cover vegetation. CRP acreage is typically enrolled in the program under contracts lasting 10 to 15 years. The program currently has 27 million acres enrolled with contracts on 3.3 million acres set to expire Sept. 30. Since it was first authorized in 1985, CRP has provided considerable environmental benefits, including wildlife and bird habitat and the reduction of more than 600 million pounds of nitrogen and 300 million pounds of phosphorus annually. Farmers interested in the new CRP sign-up can get additional information by visiting their local Farm Service Agency office or going to http://www.fsa.usda.gov.

NC-FAR Announces First Two Lunch-And-Learn Events for 2013

The National Coalition for Food and Agricultural Research, known as NC-FAR, has announced its first two “Lunch-and-Learn” sessions in 2013 for Capitol Hill staffers. The first, scheduled for Thursday, March 7, will focus on invasive weeds used as biomass crops. The second, set for Monday, March 18, will focus on balancing food, fuel and plant nutrients as the population expands. NC-FAR is made up of food, agriculture, nutrition, conservation and natural resource stakeholders who work to provide education and information about the importance of public investments in food and agriculture research. Nearly 1,000 attendees participated in the NC-FAR briefings last year. More is available online at www.ncfar.org.

Commodity Classic Events Begin Tuesday in Florida

The 2013 Commodity Classic convention, trade show and annual meeting for NAWG and corn, soybean and sorghum associations begins next week in Kissimmee, Fla. NAWG meetings start late Tuesday and run through Thursday. NAWG will participate in all of the Classic-specific events, including in a large trade show booth put on in partnership with U.S. Wheat Associates and the Wheat Foods Council. Two “What Is New” sessions on Saturday morning will focus on wheat, including one discussing advances in wheat breeding. The National Wheat Foundation will meet Saturday afternoon. An updated schedule of NAWG events at Classic is available at www.wheatworld.org/wp-content/uploads/meetings-nawg-classic-2013-20130221.pdf. More about the Classic convention events is at www.commodityclassic.com.

NAWG Begins Search for New Chief Executive Officer

NAWG’s grower-leaders are accepting applications for the position of chief executive officer until April 5. Application materials should be submitted via e-mail to incoming NAWG President Bing Von Bergen at president (at) wheatgrowers.org. More about the job requirements and ideal candidates is online at www.wheatworld.org/about-us/ceo/. Incumbent CEO Dana Peterson resigned her position as of Feb. 8.

Extra Credit: Farm Policy Facts Releases Pocket Guide to Agriculture

The Farm Policy Facts coalition released this week a new pocket guide to help farmers and other stakeholders educate policymakers, media and consumers about the important role agriculture plays in our economic recovery and national security. The eight-panel guide includes updated information on agriculture’s contribution to our economy, the cost-effectiveness of farm policy and the importance of the “thin green line” of full-time farms, which produce 80 percent of our food and fiber. The tool is part of FPF’s larger outreach program including regular e-mail alerts featuring farm policy news, detailed analysis and case studies of farm policy in action. NAWG is a member of FPF, along with six other ag trade associations. The new pocket guide can be downloaded directly at http://www.farmpolicyfacts.org/wp-content/uploads/2011/03/16703_FP_8pnl_bro_vfnl.pdf.

Happy Valentine’s Day from America’s wheat farmers! We hope this quick update helps keep you informed on the happenings in agriculture policy and the world of wheat. Remember, updates are always available at www.facebook.com/wheatworld.org and www.twitter.com/wheatworld.

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Sequestration Could Hit Meat Inspection While Effort to Avert Would Slash Baseline

The budget sequestration debate’s effect on farm and food programs is becoming clearer as the deadline to avoid the $85 billion in planned cuts draws near. The cuts are set to go into effect on March 1 unless Congress acts to revert or modify them. This week, USDA said it could be forced to furlough meat inspectors – effectively shutting down meat production – if the cuts go into effect. Late Thursday, word surfaced that a proposal in the Senate to avert the cuts would eliminate direct payments to farmers beginning in 2014, which would dramatically reduce the baseline funding available to write a new farm bill.

Senate Hearing on Ag Disasters Highlights Breadth of Wheat Country Drought

Nearly 60 percent of the U.S. winter wheat growing area is under drought conditions, with 43 percent located in areas of extreme or exceptional drought, USDA Chief Economist Joe Glauber testified Thursday before the Senate Agriculture, Nutrition and Forestry Committee. Glauber spoke at a hearing called to examine drought conditions facing much of the country, expanding on both the impacts of agricultural disasters to farmers and the efficacy of government programs during this time of crisis. Committee Chairwoman Debbie Stabenow (D-Mich.) said at the hearing that last year’s drought affected more square miles than any since the end of the Dust Bowl era in 1939. She called on Congress to pass disaster assistance and a new, five-year farm bill. A webcast of the hearing and full written testimony are at www.ag.senate.gov.

Senators Introduce Bill to Place Hard Caps on Farm Payments

Sen. Chuck Grassley (R-Iowa), Tim Johnson (D-S.D.), Mike Enzi (R-Wyo.) and Sherrod Brown (D-Ohio) introduced a bill this week that would place a hard cap on the amount of farm payments an individual can receive in a year. The Farm Program Integrity Act of 2013 is similar to provisions included in the Senate-passed farm bill in 2012. The legislation would establish a per-farm cap of $50,000 on all commodity program benefits, except those associated with the marketing loan program, which would be capped at $75,000. The combined payment limit would be $125,000 for an individual and $250,000 for married couples. The legislation also includes language to apply a cap of $50,000 in payments to whatever type of program is developed in a new farm bill this Congress. The full bill text is at http://www.grassley.senate.gov/issues/upload/Agriculture-02-12-13-Payment-Limits-bill-text.pdf.

Trade Negotiations with EU, Pacific Rim Countries Supported in State of the Union

President Barack Obama announced during his State of the Union address Tuesday that he plans to pursue a comprehensive, high-standard trade agreement with the European Union. He also reaffirmed his commitment to the ongoing Trans-Pacific Partnership talks. A strong trade agreement with the European Union could have a positive impact on American agriculture if it eliminates tariffs and other barriers to trade and includes measures such as enforceable sanitary-phytosanitary (SPS) provisions that go beyond normal WTO commitments, known as “WTO-plus.” The Administration hopes to finish the trade agreement by the end of 2014. TPP negotiations are ongoing between the U.S. and 10 other Pacific Rim countries, aiming to produce an agreement that would improve market access, address SPS and other challenges and improve trade enforcement mechanisms. More on the EU and the TPP negotiations is at http://www.ustr.gov/. The full State of the Union address is at http://www.whitehouse.gov/blog/2013/02/13/president-obamas-2013-state-union.

House and Senate Ag Committees Continue Organizational Work

The House and Senate Agriculture Committees both made announcements Thursday solidifying their membership for the 113th Congress. House Democrats named Rep. John Garamendi (D-Calif.) to fill the open slot on their roster. Meanwhile, Senate Ag leaders announced membership of that panel’s subcommittees. The full lists are available at http://www.ag.senate.gov/newsroom/press/release/chairwoman-stabenow-ranking-member-cochran-announce-final-subcommittee-assignments-for-senate-agriculture-committee. The House Agriculture Committee met this week to approve an oversight and work plan for the new Congress. More on that meeting is at http://agriculture.house.gov/press-release/agriculture-committee-approves-oversight-plan.

Von Bergen and Shupe Represent NAWG at Annual Crop Insurance Conference

NAWG First Vice President Bing Von Bergen and Manager of Government Affairs for Risk Management Brooke Shupe represented NAWG this week at the annual American Association of Crop Insurers (AACI) convention. On Tuesday, Von Bergen participated in a farmer panel about crop insurance needs and concerns. Von Bergen stressed how important crop insurance is to farmers, particularly producers who are highly leveraged including many younger farmers. Von Bergen also voiced the Association’s concerns with proposals to tie conservation compliance to crop insurance, which could impact the stability of the program. On Wednesday, Shupe participated in a panel discussion with farm policy staff from the American Farm Bureau, National Farmers Union and Western Growers, as well as organizations representing corn, soy, cotton and rice farmers. The panel reaffirmed that crop insurance is a top priority as Congress works to write a new farm bill. Shupe pointed out that crop insurance is the top risk management tool for wheat growers, with more than 80 percent of wheat acres covered.

Major Study Shows Folic Acid Supplementation Reduces Risk of Autism

A study published by the Journal of the American Medical Association this week showed mothers who took folic acid supplements prior to and early on during pregnancy had up to a 40 percent lower risk of having a child who developed autism. The study was conducted in Norway and looked at more than 85,000 children. The findings provide further support for folic acid supplementation for women of childbearing age, who should consume at least 400 micrograms of folic acid daily. In the U.S., grain millers fortify grains with folic acid specifically to help prevent neural tube defects. Since the Food and Drug Administration first required folic acid fortification of enriched grains in 1998, the number of babies born in the U.S. with neural-tube birth defects has declined by approximately one-third. More about folic acid enrichment is available from the Grain Foods Foundation at http://www.gowiththegrain.org/nutrition/enriched-grains.php. The study out this week is available at http://jama.jamanetwork.com/article.aspx?articleid=1570279.

Classic Launches Mobile App for 2013 Attendees

Commodity Classic begins in less than two weeks, and there’s a new mobile app available to help attendees plan their experiences. The Classic convention and trade show mobile app gives show-goers the ability to make their own schedules, take notes on activities, lookup session and event times, navigate with maps and more. It’s available for download at www.commodityclassic.com/app. Classic is set for Feb. 28 until March 2; NAWG meetings at Classic begin Feb. 26. For more information about the wide range of learning and networking opportunities at the convention and registration details, visit www.commodityclassic.com.

A statement from NAWG President Erik Younggren, a farmer from northwestern Minnesota:

“National Association of Wheat Growers Chief Executive Officer Dana Peterson has voluntarily resigned due to personal circumstances, effective Friday, Feb. 8, 2013.

“I have formed a search committee to find a new CEO. In the interim, NAWG policy calls for the president of the Association to serve as CEO, and I am fulfilling that role.

“In her resignation letter, Peterson thanked the NAWG Board for the opportunity to serve the nation’s wheat growers and wheat industry and described her time at the Association working with the NAWG staff, Board and state staff as ‘one of my life’s greatest pleasures.’

“Dana served us well for the three years she was in the CEO position, and we thank her for her tireless, passionate work for the Association and the nation’s wheat growers on Capitol Hill and beyond.”

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Media contacts: Melissa George Kessler, mkessler (at) wheatworld.org

Official business: Erik Younggren, president (at) wheatgrowers.org

We hope this quick update finds you well. We’ll be back with the regular news next week. Remember, updates are always available at www.facebook.com/wheatworld.org and www.twitter.com/wheatworld.

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CBO’s February Farm Program Baseline Declines Less Than Expected

Congressional Budget Office (CBO) February 2013 baseline projections issued this week showed, as expected, that there will be less money available to write a farm bill this year. However, the reduction in total funds was less than expected. One key indicator, crop insurance spending, showed a 3 percent decline based on expectations that commodity prices will be lower in 2013. The February baseline numbers are important because they are a good indication of what March 2013 baseline numbers will show. Farm bill programs proposed this year will be scored against the March numbers. The full baseline is available at http://cbo.gov/sites/default/files/cbofiles/attachments/43893_USDAfarmPrograms.pdf.

Obama Urges Action on Sequestration Cuts Prior to March 1

President Barack Obama called this week for Congressional action ahead of sequestration cuts planned for March 1. The savings from planned cuts would be $1.2 trillion over 10 years, with $55 billion annually cut out of the Department of Defense, $11 billion annually out of Medicare and another $44 billion annually out of all other federal programs. Obama is demanding that any deal done to avoid the sequester have both spending cuts and tax hikes. However, House Speaker John Boehner (R-Ohio) has publicly stated he will no longer negotiate with Obama on a deficit-reduction package.

Senate Agriculture Committee to Hold Hearing on Farm Disasters

The Senate Agriculture, Nutrition and Forestry Committee announced Thursday it will meet next week to hear testimony about disasters facing American farmers. The hearing is scheduled for Feb. 14 at 9:30 a.m. D.C.-time. Witnesses will include Dr. Joe Glauber, USDA’s chief economist, and Dr. Roger Pulwarty, director of the National Integrated Drought Information System at the National Oceanic and Atmospheric Administration (NOAA), in addition to farmers from Montana, Indiana and Michigan. The hearing will be webcast at http://ag.senate.gov.

MF Global Customers to Get Back Up To 93 Percent of Lost Funds

More than a year after the brokerage MF Global suddenly went bankrupt, losing more than $1.6 billion in customer money in the process, it appears most customers will get nearly all of the their money back. A bankruptcy judge approved last Thursday a deal that includes a payback of about 93 percent of customer money in U.S. accounts. The company’s collapse in the fall of 2011 resulted in an unprecedented loss of customer funds that rocked the confidence of participants in the futures markets. Farmers, ranchers and small rural businesses who rely on futures markets to hedge risk were among those who lost funds, prompting changes by CME Group, the company’s industry regulator, and investigations by both the Commodity Futures Trading Commission (CFTC) and the House and Senate Agriculture Committees.

New Senate Ag Ranking Member Cochran Names Lead Staff

New Senate Agriculture, Nutrition and Forestry Committee Ranking Member Thad Cochran (R-Miss.) announced late last week the first of his hires in his new position. Cochran appointed his chief of staff, T.A. Hawks, as Republican staff director for the Committee, naming the Republican staff director for the Senate Appropriations Committee, Bruce Evans, as his new personal office chief of staff. Cochran also named Steven Wall, his legislative director and counsel, as general counsel for the Committee’s Republican staff; promoted Adam Telle, currently a legislative assistant, to legislative director and promoted Will Todd, also a legislative assistant, as deputy legislative director. The full release from Cochran’s office is at http://www.cochran.senate.gov/public/index.cfm/news-releases?ID=dcb2c572-580b-4baa-bb65-4c257491012e.

KCBT Open Outcry Trading Moving to Chicago

CME Group announced Monday it is moving open outcry trading of Kansas City Board of Trade (KCBT) hard red winter wheat futures and options to its Chicago trading floor beginning Monday, July 1, pending CFTC review. KCBT wheat futures and options will continue to trade on CME Globex and be listed by and subject to the rules of KCBT. The last day of open outcry trading on the KCBT floor will be June 28. CME Group will operate an electronic trading center in the former KCBT floor space until the end of September. The two exchanges announced in October of last year that CME would purchase KCBT. A full release on the announcement this week is at http://cmegroup.mediaroom.com/index.php?s=43&item=3365&pagetemplate=article.

Energy Secretary Leaving; Pick for Interior Announced

Another cabinet secretary announced this week he would be leaving. Energy Secretary Steven Chu, a strong proponent of alternative energy sources, resigned last Friday. There’s not yet been indication of who might replace Chu. This week, President Barack Obama announced his pick for Interior Secretary, Sally Jewell, the president and CEO of Recreational Equipment, Inc., better known as REI. Jewell is also a former commercial banker and oil engineer.

Commodity Classic and NAWG Annual Meetings Begin in Less than 20 Days

Commodity Classic is set to begin in just two and a half weeks in Kissimmee, Fla., where growers of wheat, corn, soybeans and sorghum will gather to soak in some warm sun, learn new techniques, see new tools, and work to develop policy priorities for the coming year. Classic is NAWG’s annual meeting, and all of NAWG’s policy committees are scheduled to meet at the event. Details about attending Classic are online at http://www.wheatworld.org/meetings-events/commodity-classic/.

Extra Credit: Ram Trucks Breakout Commercial About Why God Made Farmers

In the extremely unlikely event that a reader of this publication has not yet seen it, NAWG recommends watching the two-minute commercial aired by Ram Trucks during the Super Bowl, which galvanized the farm community and showed the faces of farmers to millions of consumers who otherwise have no connection to agriculture. The commercial, called simply “Farmer,” features the late Paul Harvey reading a poem about the work farmers do over images of America’s farmlands and farmhands. At press time, the commercial had been seen more than 7.5 million times on YouTube. It is available at http://youtu.be/AMpZ0TGjbWE.

More than 225 people gathered for NAWG and U.S. Wheat Associates business meetings held Sunday through Tuesday in Washington, D.C.

The annual gathering, known as the Wheat Industry Winter Conference, included meetings of all of NAWG’s and USW’s standing committees, two joint committees, both Boards in a joint session and in separate sessions. The National Wheat Foundation Board of Directors also met.

At the conference, the NAWG Board approved the following new resolutions:

• NAWG encourages USDA-[Risk Management Agency] to allow producers the option of having enterprise units cross county and state lines.
• NAWG supports allowing irrigated, limited irrigation and non-irrigated wheat to be insurable within the same insurable unit to be classified as separate [enterprise] units.
• NAWG urges Congress to ensure that in the implementation of the U.S. Patriot Act, producer and custom harvesters retain their 150-mile exemption from their base of operations.
• NAWG supports the exemption of [commercial driver’s licenses] and gallon limitation requirements for custom harvesters and farm suppliers transporting input to and from the farm.
• NAWG encourages the [Surface Transportation Board] to provide for the mediation and arbitration of service and rate disputes.
• NAWG and U.S. Wheat Associates support the inclusion of the ‘WTO-plus’ SPS provisions in the Trans Pacific Partnership agreement, and we support making these provisions fully enforceable.

The NAWG Board also accepted a membership request from the Michigan Wheat Program, welcoming its 22nd state affiliate (see related story for more).

An audio update from each NAWG committee chairman is available online at www.wheatworld.org/newsroom/audio-updates. (Please note that due to technical issues, some audio reports are softer in volume than usual.)

The location of the winter meetings is intended to give growers around the country a time to visit staff and Members of Congress on Capitol Hill, and most wheat state association representatives took advantage of the opportunity to talk about farm bill, research, trade and environmental regulations.

Wheat growers will next gather at the 2013 Commodity Classic, scheduled for Feb. 27 through March 3 in Kissimmee, Fla. NAWG’s committees and Board meet at Classic, the Association’s annual meeting. USW’s next regular Board meeting will be in late June.

The Michigan Wheat Program sought and received membership in the National Association of Wheat Growers during the NAWG Board of Directors meeting on Tuesday.

Michigan wheat farmers have been working for several years to establish a checkoff program, which they completed in the summer of 2011.

Now that the program is up and running, they are becoming members of NAWG to ensure Michigan has a voice on both the state and national levels. They also sent representation to learn more about U.S. Wheat Associates, the industry’s export market development organization.

MWP Chairman David Milligan of Cass City and Secretary Chris Schmidt of Auburn represented Michigan farmers at the NAWG Board meeting on Tuesday.

“On behalf of Michigan’s 8,000 wheat farmers, we are very pleased to become members of NAWG,” Milligan said in a press release. “It has been a long journey to get the check-off passed. Joining NAWG is another step in the right direction as we move the Michigan wheat industry forward.”

Michigan’s official affiliation with NAWG was particularly timely, with the national association naming a home-state Senator, Senate Agriculture, Nutrition and Forestry Committee Chairwoman Debbie Stabenow (D-Mich.), as the organization’s 2012 Wheat Leader of the Year.

“We have a state with strong leadership, as illustrated by Senator Stabenow,” Milligan said. “It only makes sense to also have a strong wheat grower organization. We are very pleased to be admitted into NAWG and for them to recognize Senator Stabenow.”

Michigan ranks 12th in the nation for winter wheat production and produces 2.4 percent of all U.S. wheat. Michigan growers benefit from several mills in the state, including facilitates operated by Kellogg, Kraft and General Mills.

The Michigan Wheat Program joins NAWG’s 21 other affiliated state associations. A full list of NAWG state affiliates is at www.wheatworld.org/about-us/member-states/.

The Michigan Wheat Program is online at www.miwheat.org.

Sens. Pat Roberts (R-Kan.) and Mike Johanns (R-Neb.) introduced legislation this week that would eliminate a paperwork-laden redundancy in pesticide application permitting.

The bill, S. 175, is similar to H.R. 872 in the last Congress, which would have clarified Congress’ intentions that National Pollution Discharge Elimination System (NPDES) permits are not required for applications of pesticides already regulated under the Federal Insecticide, Fungicide and Rodenticide Act (FIFRA).

H.R. 872 was passed by the full House of Representatives in 2011 but expired with all other pending legislation at the end of the session. The Senate Agriculture Committee approved H.R. 872’s companion legislation, though that bill faced procedural roadblocks that prevented full Senate consideration.

The issue at hand stems from a 2009 Sixth Circuit Court ruling saying for the first time that pesticide applications that could come into contact with water are point sources of pollution requiring NPDES permits in addition to compliance with FIFRA label requirements.

Since early 2012, the EPA has enforced a now-permanent rule in response to the ruling, requiring approximately 35,000 pesticide applicators to get permits to cover about 500,000 applications per year.

EPA estimates the permit rule will cost states, localities and pesticide applicators $50 million and require one million hours to implement per year. The Clean Water Act penalizes unlawful discharges with fines of $37,500 per day.

Legislative proposals to address the NPDES permitting issue have been strongly supported by NAWG and other ag groups, whose members are facing an enormous amount of new paperwork and legal and regulatory risk because of the ruling.

The new requirements are also of concern for public health officials who are now restricted in their ability to control mosquitoes and, therefore, the spread of diseases like the West Nile virus.

S. 175 was introduced with nine original co-sponsors, including Sens. Jerry Moran (R-Kan.), Roy Blunt (R-Mo.), John Barrasso (R-Wyo.), John Thune (R-S.D.), Chuck Grassley (R-Iowa), David Vitter (R-La.), Michael Enzi (R-Wyo.), Jim Inhofe (R-Okla.) and John Boozman (R-Ark.).

The National Association of Wheat Growers presented its highest Congressional award to Senate Agriculture, Nutrition and Forestry Committee Chairwoman Debbie Stabenow (D-Mich.) on Tuesday, as wheat growers in her home state confirmed their affiliation with the national association.

Stabenow was named the 2012 Wheat Leader of the Year, an award given annually to one Member of Congress based on his or her demonstrated commitment to the well-being and goals of the wheat industry.

Stabenow was chosen to be so honored due to her diligence and leadership on farm bill legislation in the 112th Congress.

“Though a farm bill ultimately didn’t get done last year, our growers are confident that Chairwoman Stabenow did everything in her power to push it forward, and she has already shown her commitment to do the same in this new Congress,” said NAWG President Erik Younggren, a farmer from northern Minnesota.

“We are happy to honor her in this way and hope to continue our close relationship with the Chairwoman and her office in the coming years.”

Stabenow’s selection for the Wheat Leader Award comes as Michigan wheat farmers become more involved in national wheat organizations.

Michigan wheat farmers have been working for several years to establish a checkoff program, which they successfully did in the summer of 2011. Now that the program is up and running, they are becoming members of NAWG to ensure Michigan has a voice on both the state and national levels. They are also sending representation to learn more about U.S. Wheat Associates, the industry’s export market development organization.

The Michigan Wheat Program represented by Chairman David Milligan of Cass City and Secretary Chris Schmidt of Auburn sought and received membership from the NAWG Board of Directors at its meeting on Tuesday.

“On behalf of Michigan’s 8,000 wheat farmers, we are very pleased to become members of NAWG,” Milligan said. “It has been a long journey to get the check-off passed. Joining NAWG is another step in the right direction as we move the Michigan wheat industry forward.

“We have a state with strong leadership, as illustrated by Senator Stabenow. It only makes sense to also have a strong wheat grower organization. We are very pleased to be admitted into NAWG and for them to recognize Senator Stabenow.”

NAWG was also pleased to announce the recipients of its two other awards, the Wheat Advocate Award and the Friend of Wheat Award.

The Wheat Advocate Award is given annually to Members of Congress who have demonstrated support for the wheat industry above and beyond the norm. Those receiving 2012 Wheat Advocate awards include:

• Sen. Max Baucus (D-Mont.)
• Sen. Sherrod Brown (D-Ohio)
• Rep. Mike Conaway (R-Texas)
• Sen. Kent Conrad (D-N.D.)
• Rep. Bob Gibbs (R-Ohio)
• Rep. Lynn Jenkins (R-Kan.)
• House Agriculture Committee Chairman Frank Lucas (R-Okla.)
• Rep. Cathy McMorris Rodgers (R-Wash.)
• Rep. Kristi Noem (R-S.D.)
• House Agriculture Committee Ranking Member Collin Peterson (D-Minn.)
• Senate Agriculture Committee Ranking Member Pat Roberts (R-Kan.)
• Rep. Tim Walz (D-Minn.)

The Friend of Wheat Award is given annually by NAWG for superior action in support of the goals and policies of the wheat industry. This award is given to Congressional and administrative staff members who have demonstrated support for the wheat industry above and beyond the norm. The 2012 Friend of Wheat Awards were given to:

• Andrew Brandt – Rep. Randy Neugebauer (R-Texas)
• Jonathan Coppess – Senate Agriculture Committee Majority Staff
• Mike Dunlap – House Agriculture Committee Majority Staff
• Bart Fischer – House Agriculture Committee Majority Staff
• Max Fisher – Sen. Pat Roberts (R-Kan.)
• Brandon Harder – Sen. Jerry Moran (R-Kan.)
• Joel Leftwich – Senate Agriculture Committee Minority Staff
• Dr. David Marshall – USDA’s Agricultural Research Service (ARS)
• Jim Miller – Senate Budget Committee Majority Staff
• Shaughnessy Murphy – Rep. Cathy McMorris Rodgers (R-Wash.)
• Matt Schertz – House Agriculture Committee Majority Staff
• Joe Shultz – Senate Agriculture Committee Majority Staff
• Tara Smith – Senate Agriculture Committee Minority Staff
• Alexis Taylor – Sen. Max Baucus (D-Mont.)
• Emily Tully – Rep. Bob Gibbs (R-Ohio)

For his extensive service to the industry, the NAWG Board also recognized Oklahoma State University wheat breeder and professor, and National Wheat Improvement Committee (NWIC) chairman, Dr. Brett Carver, with a Friend of Wheat Award. This is an exception to policy that calls for all Friends to be employed directly by Congress or an administrative agency.

Representatives from NAWG’s member-states, in town for NAWG and U.S. Wheat Associates meetings and Hill visits, will deliver physical awards to all of the winners or they will be presented at a later date.

More about the Congressional awards, including more about past winners, is available at http://www.wheatworld.org/about-us/policy-process/.

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Contact: Melissa George Kessler, NAWG Director of Communications, mkessler (at) wheatworld.org

Agriculture leaders in Congress vigorously asserted this week their intentions to pursue a 2013 Farm Bill, though formal work in committee is unlikely to start before spring.

A placeholder bill for a to-be-negotiated Senate farm bill was one of 10 dropped by Senate Majority Leader Harry Reid (D-Nev.) this week in a symbolic move meant to show Senate leaders’ priorities. He also mentioned the measure on the floor of the Senate, which drew praise from Senate Agriculture, Nutrition and Forestry Committee Chairwoman Debbie Stabenow (D-Mich.).

“I applaud Sen. Reid’s leadership and commitment to getting a five-year farm bill done to provide certainty to the 16 million Americans working in agriculture,” Stabenow said in a written statement, noting the $23 billion in savings achieved in the farm bill passed by the Senate during the 112th Congress.

House Agriculture Committee Chairman Frank Lucas (R-Okla.) similarly expressed his commitment to a long-term bill, saying in a statement that, “As we renew efforts to complete a five-year comprehensive farm bill, I pledge to work with the Secretary [of Agriculture], my House and Senate colleagues, and all interested parties to advance a fiscally responsible, reform-minded, and balanced farm bill this year.”

House Agriculture Committee Ranking Member Collin Peterson (D-Minn.) also hit an optimistic note at an organizational hearing for the Committee, held Wednesday. He told the audience he had talked with House Speaker John Boehner (R-Ohio) about the process for moving a farm bill forward and was hopeful they could come to an agreement.

Peterson has been a vocal critic of the process in the 112th Congress, going so far as to send and publicly release letters to House Leadership saying he would not participate in writing a new farm bill until floor time was confirmed.

Despite the seeming agreement that a long-term bill in 2013 is the goal, none of the Congressional agriculture leaders have outlined a schedule for taking up a bill in committee.

Stabenow’s statement this week said she is committed to mark-up legislation “as soon as possible,” and Lucas confirmed to a reporter late in the week that the timeline will be a matter of months, not weeks. It is widely expected that action won’t begin in either chamber until after a series of fiscal issues is dealt with, which means at least April.

USDA this week announced it would begin implementing farm safety net programs included in the 2008 Farm Bill extension.

The Department will open a sign-up period for the Direct and Counter-Cyclical Payments (DCP) program and the ACRE program for 2013 crops on Feb. 19. The sign-up window for the ACRE program will end June 3, while the sign-up window for the DCP program will end Aug. 2.

This crop year will be unique in that farmers will have the option of signing up for the DCP program or ACRE. In prior years, farmers had to remain committed to their choices at the beginning of the 2008 Farm Bill’s implementation.

While both programs were extended for the 2013 crop year, there has been intense speculation that farmers might not receive direct payments if funding is reallocated as Congress seeks to cut overall federal spending.

Lucas said this week that in absence of a long-term bill, the “commitment” to these programs in the extension should be upheld to provide farmers with some measure of certainty about their safety net.

The sense of comity that often comes with America’s peaceful transfer of power dissolved quickly this week into reality about the fiscal issues the country is facing.

President Barack Obama and Vice President Joe Biden were inaugurated for their second terms over the weekend, with formal ceremonies held Monday on the federal holiday celebrating the birthday of Dr. Martin Luther King, Jr.

In his inaugural address, Obama outlined an extensive list of policy priorities to be addressed over the next four years, including immigration, climate change and a wide range of social issues and changes to social support programs.

Obama also alluded to the fiscal triple threat facing policymakers: the pending need to raise the nation’s debt ceiling or face default on obligations; delayed sequestration cuts, which are now set to go into effect in March; and regular federal spending, which is currently being allocated under a continuing resolution that also ends in March.

An agreement that surfaced last week will push off the first and most pressing of these issues until mid-May. The House of Representatives voted Wednesday 285 to 144 to extend the government’s borrowing authority until then, and the Senate is expected to soon follow suit.

This should clear space for negotiation, and hopefully agreement, on how and when the government will cut spending and what longer-term appropriations could look like.

New Senate Budget Committee Chairwoman Patty Murray (D-Wash.) indicated this week that her chamber will consider a budget resolution for the coming fiscal year. The Senate has not passed a budget, which outlines spending levels for appropriators, since 2009.

It’s clear that pending issues will affect ongoing efforts to write and pass a new farm bill. House Agriculture Committee Chairman Frank Lucas (R-Okla.) told Oklahoma farm broadcaster Ron Hays this week that fiscal uncertainty – and how Congress deals with it – is why his panel does not yet have a date scheduled for a farm bill mark-up.

The U.S. Farmers and Ranchers Alliance (USFRA) announced this week the diverse group of farmers who will serve as spokespeople for American agriculture, sharing their experiences on a national stage to help answer consumers’ questions about how food is grown and raised to feed our nation.

Winners included:

Chris Chinn of Missouri, who with her husband, Kevin, is a fifth-generation farmer raising 1,500 pigs, 60 head of cattle, corn, soybeans, hay and rye.

Will Gilmer of Alabama, who owns and operates a dairy farm with his father, milking 200 Holstein cows and raising their own replacement heifers while managing 600 acres of land used for pasture and forage production.

Katie Pratt from Illinois, who farms in partnership with her husband’s family, raising corn, soybeans and seed corn and also welcoming tour groups on to the farm.

Bo Stone from North Carolina, who works with his parents and wife to grow 2,300 acres of row crops, raise approximately 10,000 pigs annually and care for 60 cows. They also grow 2.5 acres of strawberries and four acres of sweet corn to sell at their own roadside market. Stone, a sixth-generation farmer, is also a wheat grower and former president of the North Carolina Small Grain Growers Association, which is affiliated with NAWG.

The four farmers were among the more than 100 applicants who submitted their names last summer to be part of the Faces of Farming and Ranching program.

In November and December, thousands of people visited USFRA’s website to learn more about the candidates and to vote for those they believed best represented American agriculture. In addition to the public vote, a panel of judges from throughout the food and agriculture community interviewed and evaluated the finalists to help determine final winners.

Criteria included the ability and commitment to share their stories about continuous improvement; involvement with the community and agricultural organizations; strong speaking capabilities; and a passion for what they do.

All four winners are profiled online at http://www.fooddialogues.com/faceswinners/, where visitors can hear from the farmers themselves about their families, businesses and passion for agriculture.

Statements this week from agriculture leaders reinforced the uncertainty surrounding the agriculture budget and the process for reauthorizing federal farm policy in the 113th Congress.

The New Year’s fiscal cliff deal included an extension of the 2008 Farm Bill for one year, including existing Title I farm safety net programs.

Direct payments, which were targeted for certain elimination in the 2012 Farm Bill proposals that passed the Senate and House Agriculture Committee, were part of the extension, and USDA recently confirmed it will issue the payments this fall unless some other legislation changes the law before that time.

Threats to the program, which many farmers value but most in the public don’t support, are expected to be numerous. This week, an unsuccessful amendment surfaced to move funding for direct payments to Hurricane Sandy relief.

Secretary of Agriculture Tom Vilsack said this week USDA will allow farmers to get out of – or into – the ACRE program for the term of the one-year extension. ACRE was written such that farmers had to remain in it for the life of the farm bill after signing up the first time. The extension evidently did not continue this specification.

With several serious fiscal issues looming before Congress, agriculture leaders are not yet setting firm timetables for new farm bill work.

House Agriculture Committee Chairman Frank Lucas (R-Okla.) has yet to say when he will hold new farm bill hearings. Committee Ranking Member Collin Peterson (D-Minn.) previously said hearings could be set as early as February, but recently said April is more realistic.

Peterson also previously wrote to House Leadership that he was not interested in participating in hearings until he received assurances a Committee-passed bill would be brought to the floor. He has since said he will not obstruct the Committee process regardless.

On Tuesday, Senate Agriculture, Nutrition and Forestry Committee Chairwoman Debbie Stabenow (D-Mich.) called for a new farm bill during an annual “State of Michigan Agriculture” speech. Stabenow has indicated she will work toward a new bill in the 113th Congress but has not yet given a time frame for hearings or a mark-up.

Vilsack has said repeatedly in recent days that Congress must pass long-term farm policy. On Monday, he delivered that message while speaking at the American Farm Bureau Federation meeting and in a statement announcing he would remain in his job for President Barack Obama’s second term.

An important determinant of how a new farm bill gets written and passed will be the funding available for it. The Obama Administration all but confirmed this week it would not meet the statutory deadline for a new budget proposal to be delivered to Congress, with the delay possibly extending into March.

Budget drafting is being complicated by a trifecta of fiscal uncertainties that will require action by Congress. Part of the New Year’s compromise passed to address the fiscal cliff was a two-month delay of pending sequestration cuts, and it’s unclear if those cuts will go into effect or be delayed again. The Treasury Department has announced the nation’s debt ceiling must be raised as early as mid-February to allow the government to continue to pay its bills, which has set off another round of negotiations about spending and revenue. And, “regular” funding for the federal government – currently through a six-month continuing resolution – expires at the end of March.

Wheat growers from NAWG-affiliated state associations will be in Washington the last week of January to talk with Members, staff and Administration officials about the process and content of new farm policy. NAWG, of course, will remain engaged and report to state stakeholders as new information is available.

Nearly a dozen agriculture groups announced on Friday a new Agriculture Workforce Coalition (AWC) to propose and advocate for labor policies that ensure farm operations have access to a stable and skilled workforce.

The formation of the new effort is recognition immigration reform’s coming to the forefront of possible legislative topics on Capitol Hill.

American agriculture employs more than 1.5 million hired workers each year, each of whom contributes enough economically to support two or three full-time jobs in food processing, transportation, farm equipment, marketing, retail and other sectors.

Farm labor shortages are acute for fruit, vegetable, nut and dairy operations, which are typically very labor intensive. For instance, each apple produced in the United States, more than 20 billion, must be picked by hand.

AWC said it would put forward a framework for reform including two components: an agricultural worker program to replace the current H-2A visa program, which is widely considered problematic, and adjustments to current short-term labor programs used by ag operations.

The agriculture worker program would provide visas for up to 11 months for “at will” employees or a year for contract employees, with employees required to spend a period of time in their home countries at regular intervals.

The proposal also supports an “adjustment of status for experienced but unauthorized agricultural workers” living the U.S.

“It’s important for workers, farmers and especially consumers that we have a legal, stable workforce in place. It’s time to move the discussion forward and find a solution. It’s time to meet agriculture’s labor crisis head on,” said American Farm Bureau Federation President Bob Stallman, whose organization is part of the new coalition.

Other groups participating in the coalition include American Nursery and Landscape Association; Florida Fruit and Vegetable Association; National Council of Agricultural Employers; National Council of Farmer Cooperatives; National Milk Producers Federation; USA Farmers; U.S. Apple Association; United Fresh Produce Association; Western Growers Association; and Western United Dairymen. The groups are partnered with the existing Agriculture Coalition for Immigration Reform.

NAWG is not a member of the AWC but is following its efforts. Standing NAWG policy supports a guest worker program that secures the borders of the United States and provides a legal, affordable and stable workforce for agriculture.

More from the AWC is available online at www.agworkforcecoalition.org.

From U.S. Wheat Associates’ Wheat Letter

Resolving to change our habits or reach new goals in a new year is only human. And for humans in many countries, one of the most common resolutions is to lose weight. That’s why the health clubs and fad diet promoters are on the prowl. So-called elimination diets seem to be dominant and, unfortunately for many growers, flour millers and bakers, the call to eliminate wheat from the diet is particularly popular this year.

Fortunately, there are sensible, science-based approaches to diet and weight that our customers can share with their customers that offer important, science-based counterpoints to the wheat-free fad.

No single food or food group is responsible for the global obesity epidemic. The human diet is complex and varied. Blaming one food for an epidemic is a gross oversimplification and there is, in fact, no correlation between wheat consumption and obesity rates. In the United States, for example, per capita wheat consumption has declined, while obesity rates have gone up. In France, per capita wheat consumption is 50 percent greater than in the United States, but the obesity rate is only a third of the U.S. rate. Italians consume at least two times more wheat per capita than Americans, but have one-quarter the obesity rate compared to the United States.

There is no single way to achieve or maintain a healthy weight except a diet that provides a reasonable amount of calories and regular physical activity. Fad diet plans are not grounded in sound science and often rely on anecdotal evidence. A balanced diet with moderate portions that includes all food groups, coupled with daily exercise, is the best solution for long-term health and weight management.

Fad diets do not stick. Eliminating a food group like wheat may result in quick weight loss because it cuts calorie intake but it is very difficult – and not nutritionally sound – to maintain such a diet. Most fad dieters can only stick with a plan for a few weeks or months. That may lead to worse results because an ongoing, repeated cycle of weight gain and loss is associated with more weight gain over time. In fact, carbohydrate intake is key for a healthy weight. Research indicates people with moderate- to high-carbohydrate diets tend to weigh less than people who consume fewer carbs. According to the Institute of Medicine, people should consume about half (45 to 65 percent) of their daily calories from carbohydrates. Grains like wheat as well as fruits, vegetables, legumes and dairy products are all important sources of carbohydrates.

For more information about sensible approaches to diet, weight and the truly important part wheat plays in human nutrition, USW recommends these resources:

• Washington Grain Alliance “The Best Grains” website, http://www.thebestgrains.com/;
• Wheat Foods Council, www.wheatfoods.org;
• Grain Foods Foundation, www.gowiththegrain.org;
• Flour Fortification Initiative, http://www.ffinetwork.org/; and
• Academy of Nutrition and Dietetics, http://www.eatright.org/About/Content.aspx?id=8382.

Resources used in the development of this article include:

• United States Department of Agriculture-Economic Research Service. Wheat Background. Available online at: http://www.ers.usda.gov/topics/crops/wheat/background.aspx#use
• http://www.flourmillers.eu/default.asp?structureID=350; http://www.pasta-unafpa.org/ingstatistics4.htm
• Pietilainen KH, et al. Does dieting make you fat? A twin study. Intl J of Obesity. 2012; 36: 456-464. Available online at: http://www.nature.com/ijo/journal/v36/n3/full/ijo2011160a.html
• Merchant A, et al. Carbohydrate intake and overweight and obesity among healthy adults. J Amer Diet Assoc. 2009; 109: 1165-1172. Available at: http://www.journals.elsevierhealth.com/periodicals/yjada/article/S0002-8223(09)00451-9/abstract
• Dietary Reference Intakes for Energy, Carbohydrate, Fiber, Fat, Fatty Acids, Cholesterol, Protein, and Amino Acids, Institute of Medicine, Sept. 5, 2002.

Editor’s note: this article originally appeared in Wheat Letter, a bi-weekly publication of NAWG’s sister association, U.S. Wheat Associates. Sign up to receive Wheat Letter directly at http://www.uswheat.org/subscribeWLG.

After a historic New Year’s session and swearing in the 113th Congress, Members were back in their districts this week. The House is slated to return to Washington, D.C., on Monday, Jan. 14, with the Senate back for Inauguration Day on Jan. 21. We hope you find this quick update helpful in the meantime; remember, updates are always available at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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House Agriculture Committee Rosters Released; Senate Ag Still to be Finalized

House Agriculture Committee Chairman Frank Lucas (R-Okla.) and Ranking Member Collin Peterson (D-Minn.) released their parties’ rosters for the Committee late last week, confirming the panel’s membership for the 113th Congress. The new Member lists are available at http://agriculture.house.gov/press-release/lucas-announces-gop-roster-agriculture-committee and http://democrats.agriculture.house.gov/press/PRArticle.aspx?NewsID=1151, respectively. The Senate Agriculture, Nutrition and Forestry Committee is expected to ratify its membership lists the week of Jan. 21, when that chamber returns to session. It is already known that Sen. Thad Cochran (R-Miss.) will replace Sen. Pat Roberts (R-Kan.) as Senate Ag Ranking Member.

Paper Refuting Wheat Health, Science Myths Circulates Online

A paper correcting misinformation about wheat research continued circulating around the Internet this week. “Wheat Improvement: The Truth Unveiled,” was compiled by the National Wheat Improvement Committee and published online at http://www.thebestgrains.com/wheat-improvement-the-truth-unveiled. It outlines the basics of how new wheat varieties are bred and confronts myths being perpetrated in the media by Dr. William Davis, the author of Wheat Belly. The paper has been posted and reposted on grain groups’ and farmers’ Facebook pages, Twitter accounts and websites. On Wednesday, the U.S. Farmers and Ranchers Alliance posted the paper to its Facebook page, garnering more than 640 likes, 100 shares and 65 comments at press time. Information in the paper was developed with the historic and scientific input of peer-reviewed research and U.S. and international wheat scientists, most of whom participate in NWIC, which brings together wheat scientists from across the country.

USDA Designates 597 Counties as Natural Disasters Due to Drought

USDA announced Wednesday Secretary Tom Vilsack has designated 597 counties in 14 states as primary natural disaster areas due to drought and heat, making all qualified farm operators in those areas eligible for low-interest emergency loans. The newly-designated counties have been in at least a “severe drought” for eight consecutive weeks based on U.S. Drought Monitor measurements. In 2012, USDA designated 2,245 counties in 39 states – 71 percent of the total U.S. – as disaster areas due to drought. USDA officials have attempted to help farmers, ranchers and businesses impacted by the ongoing drought through the programs they administer and have cited the drought as a reason for Congress to complete a new, long-term farm bill. More information from USDA about the drought is at www.usda.gov/drought.

Commodity Classic Early Registration Deadline on Jan. 20

The early registration deadline for Commodity Classic is Jan. 20. Growers and other attendees registering by that date can save up to $50 on their attendance fees for the convention, which is set for Feb. 28 to March 2 in Kissimmee, Fla. The 2013 Classic will again bring together wheat, corn, soybean and sorghum farmers for a wide variety of educational sessions, networking opportunities and a trade show with more than 1,000 booths displaying the newest technology, equipment, ideas and innovations in agriculture. Classic is NAWG’s annual meeting, and all NAWG policy committees will also meet in conjunction with the events. Details about attending Classic are online at www.commodityclassic.com. More about NAWG’s meetings at Classic is at http://www.wheatworld.org/meetings-events/commodity-classic/.

Grain Groups Celebrate Folic Acid Fortification to Prevent Birth Defects

Grain farmers and grain groups are celebrating National Birth Defects Prevention Month and the 15th anniversary of grain millers fortifying grains with folic acid to help prevent neural tube birth defects in the United States. Enriched grains like white bread, tortillas, cereal and pasta are the top source of folic acid in the diets of most Americans. Since the FDA required fortification of enriched grains with folic acid in 1998, the number of babies born in the U.S. with neural-tube birth defects has declined by approximately one-third. This success led the U.S. Centers for Disease Control (CDC) to recently name folic acid fortification of enriched grains as one of the top 10 public health achievements of the first decade of the 21st century. More about folic acid enrichment is available from the Grain Foods Foundation at http://www.gowiththegrain.org/nutrition/enriched-grains.php. More about this month’s educational activities is at http://www.nbdpn.org/bdpm2013.php.

USDA Seeks Young Farmer and Rancher Advisory Committee Nominations

USDA is seeking nominations for its Advisory Committee on Beginning Farmers and Ranchers, due to the Department by Jan. 16. This Committee advises the Secretary of Agriculture on matters broadly affecting new farmers and ranchers and puts forward recommendations for activities that would help that population. Organizations or individuals can nominate potential members. Nomination packages should include a nomination form along with a cover letter or resume that documents the nominee’s background and experience. Nomination forms are available online at http://www.ocio.usda.gov/sites/default/files/docs/2012/AD-755_Master_2012_508%20Ver.pdf.

Extra Credit: Challenge Yourself to Engage in Consumer Dialogues in 2013

As Americans make New Year’s resolutions for 2013, the U.S. Farmers and Ranchers Alliance is encouraging farmers and ranchers to place engaging consumer audiences about today’s agriculture at the top of their lists. USFRA research has found that 27 percent of Americans admit they often are confused about the food they are purchasing. Three in five Americans would like to know more about how food is grown and raised, but don’t feel they have the time or money to make it a priority. The coalition, of which NAWG is a member, suggests learning more about food and ag hot topics in the media (sign up at www.fooddialogues.com/user/register for alerts); using language about food that consumers understand; seeking training about starting conversations; and responding to misinformation. Many more tools to help individuals become involved – including research about consumer perceptions and information about making complicated ag topics easier to understand – are at www.fooddialogues.com.

NAWG hopes you had a wonderful holiday season! It was an action packed couple of weeks for the wheat industry in Washington, D.C. Here’s a look at what happened. Updates are also available at www.twitter.com/wheatworld.

One Year Farm Bill Extension Included in Fiscal Deal

This week the government avoided the “fiscal cliff” with late night action Monday by the Senate, Tuesday night by the House and the Thursday morning signature of President Barack Obama.

The bill, which passed the Senate by a vote of 89-8 and the House by a vote of 257-167, maintains lower tax rates for many Americans while increasing rates on those in the higher income brackets. The package also delays widespread automatic federal spending cuts, known as sequestration, that were set to take affect Jan. 3, 2013, and are now pushed off until March. The measure increased the estate tax rate to from 35 percent to 40 percent but maintained exemption levels of $5 million for individuals and $10 million for couples. The bill also includes a tax credit for cellulosic biofuel producers and tax credits for biodiesel and renewable diesel fuels.

The measure extended the 2008 Farm Bill including commodity support programs, such as the Direct and Counter Cyclical program, the Average Crop Revenue Election commonly referred to as the ACRE program as well as the Milk Income Loss Contract (MILC) program. Senator Mitch McConnell (R-Ky.) and Vice President Joe Biden, negotiators of the package, included the farm bill extension as an effort to avoid the so-called “dairy cliff” that caught the attention of Obama late last week.

NAWG released a statement Wednesday morning following the Congressional action that shared appreciation from growers for policy certainty for the fast approaching spring planting season and urged the 113th Congress, sworn in today, to outline a comprehensive five-year farm bill quickly.

The statement is available at http://www.wheatworld.org/news-events/2013/01/nawg-statement-on-extending-the-2008-farm-bill/. A summary of the bill is available here: http://www.gop.gov/bill/113/1/hr8senateamendments. Full language is available here: http://www.gpo.gov/fdsys/pkg/BILLS-112hr8enr/pdf/BILLS-112hr8enr.pdf.

Leadership Changes Continue in New Congress

The House of Representatives set their leadership slate for the 113th Congress; re-electing Speaker John Boehner(R-Ohio) to a second term as speaker with 220 “yes” votes. Majority Leader Eric Cantor (R-Va.) and Majority Whip Kevin McCarthy (R-Calif.) also kept their leadership posts. After the vote,  Boehner addressed the new Congress stating “public service was never meant to be an easy living. Extraordinary challenges demand extraordinary leadership,” he said. Boehner also pledged to work hard as Speaker to bring down our national debt, create jobs and grow our economy.

On the other side of the Capitol today, Sen. Pat Roberts (R-Kan.) announced Sen. Thad Cochran (R-Miss) will become the new Ranking Member of the Senate Agriculture Committee in the 113th Congress. Roberts’ statement noted that Cochran, who has seniority in the Senate over Roberts, has his full support and he would move the nomination when the committee comes together for a vote. As the Senate continues to organize, more information about members and schedules of the Senate Agriculture Committee can be found at: http://www.agriculture.senate.gov/.

EPA Administrator to Step Down

Environmental Protection Agency (EPA) Administrator Lisa Jackson announced she will step down from her post this month. While EPA has been a perennial target of criticism from some sectors, Jackson has won praise from renewable fuel supporters for her defense of the renewable fuel standard (RFS). Several names are floating about a possible replacement but focus seems to be largely on current Deputy Administrator Robert Perciacepe, who will serve as acting administrator. Perciacepe previously served as head of several divisions of that agency, such as Air and Water Pollution Abatement, as well as Secretary of the Environment for the State of Maryland.

Baik to Lead USDA Wheat Quality Lab

USDA announced today that Dr. Byung-Kee Baik has accepted the position of lead scientist in the Agricultural Research Service (ARS) Soft Wheat Quality Lab and will officially begin in February. Baik, currently an associate professor for the Washington State University (WSU) Department of Crop and Soil Sciences, directed the WSU Wheat Quality Program that evaluates the end-use quality of wheat breeding lines. He also managed an active, diverse and productive research program. The ARS Soft Wheat Quality Lab is located in Wooster, Ohio, and evaluates quality of Soft Wheat breeding lines and cultivars from the Eastern United States to ensure maintenance and improvement of milling and baking quality.

NAWG Meeting Season Fast Approaching

The 2013 Wheat Industry Winter Conference is scheduled for Jan. 26 – 29 at the Hyatt Regency Capitol Hill in Washington, D.C. All NAWG and USW committees, joint committees and both Boards of Directors are scheduled to meet during the Conference. In addition to the Winter Conference, the 2013 Commodity Classic is scheduled for Feb. 26 – March 2, 2013, in Kissimmee, Fla. The Commodity Classic is the annual convention and trade show of the wheat, corn, soybeans and sorghum industries. NAWG has made Classic its annual meeting since 2007. More information about both meetings, including registration can be found at: http://www.wheatworld.org/meetings-events/.

A statement from National Association of Wheat Growers President Erik Younggren, a wheat, soybean and sugar beet farmer from Hallock, Minn.:

“NAWG is pleased that leaders in Washington came to some agreement on fiscal and tax policy for our nation that includes an extension of farm policy through the 2013 wheat growing season. This will allow our nation’s farmers to know the parameters of tax policy and the farm safety net for spring planting decisions and allow continued operations of critical foreign market development programs.

“However, the extension of the 2008 farm bill is not ideal and we are concerned about unknown implications of automatic spending cuts, known as sequester, which are now postponed.

“We commend our agriculture leaders – Chairwoman Stabenow, Ranking Member Roberts, Chairman Lucas and Ranking Member Peterson – for their leadership in putting forth reforms that would have saved taxpayers tens of billions of dollars and regret that our joint efforts to reauthorize a five-year bill were not successful.

“It is of the utmost urgency to our farmer-members that Members of the 113th Congress reauthorize a new farm bill expeditiously. We call on policymakers to come to the table, compromise and send a five-year farm bill to the President for signature this year.”

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After several intense weeks of negotiations and with just 10 days remaining in the year, there is no apparent plan to pass a new farm bill or an extension of current farm policy.

Separate negotiations on the fiscal cliff, the combination of tax increases and spending cuts set to hit in January, also appear to have stalled, with House Speaker John Boehner (R-Ohio) proceeding this week with what he’s calling “Plan B” in his chamber while President Barack Obama maintains Boehner has in hand a viable compromise.

The fiscal cliff tension has long been sucking the oxygen out of the room on the farm bill talks, to use the language of House Agriculture Committee Chairman Frank Lucas (R-Okla.). The possibilities for a long-term bill were all but snuffed out late Tuesday, when word came from Boehner that he did not believe he could achieve the necessary votes for a fiscal cliff deal if anything else is attached to the measure.

Late this week, Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) sharply rejected the notion that there is no legislative vehicle for a farm bill to move before the end of the year.

She also threw support behind an agricultural disaster assistance amendment to a bill that would provide aid to victims of Superstorm Sandy. That is one of the few bills anticipated to move in either chamber before they recess.

Boehner’s Plan B legislation, which would extend expiring tax cuts for those making less than $1 million and address coming increases in the estate tax, was set to be voted on in the House late Thursday. However, it is widely considered a nonstarter in the Senate and Obama has said he will veto the measure if it comes to his desk.

It is almost certain both chambers will return next week to complete the Congressional session. Whether or how farm policy certainty will be addressed then is still unknown.

NAWG staff will continue to be in touch with Hill contacts and grower-leaders as news develops.

There will be no changes to existing regulation of farm dust, the Environmental Protection Agency (EPA) confirmed late last week.

The announcement was part of an update to fine particulate matter (PM) regulations, which primarily impact soot. Coarse particulate matter like farm dust will continue to be regulated as it has been in the past.

EPA is required under the Clean Air Act to review air quality standards every five years. The Agency had not issued its report within the five-year timeframe, so it was required by a court order to do so by Dec. 14.

The review of PM standards had been ongoing for more than a year when EPA Administrator Lisa Jackson announced in October 2011 that the Agency had no intention of further regulating coarse PM.

NAWG, farm groups and farm state legislators had argued that dust is a fact of farming life and further regulation would effectively shut down the agricultural economy in many areas.

Despite the earlier assurances, EPA’s recent announcement is an appreciated measure of certainty for farmers in a very uncertain policy environment.

More from EPA on particulate matter regulation is at http://www.epa.gov/pm/.

More on NAWG’s work related to environmental regulation is available at www.wheatworld.org/environmentalregulation.

Representatives from 16 countries and international organizations recently agreed to launch an initiative to increase wheat’s genetic yield potential by 50 percent in the next 20 years.

The group met in Mexico City in mid-November to set up the framework for the multinational initiative, known as the Wheat Yield Network (WYN).

According to a release by the United Kingdom’s Biotechnology and Biological Sciences Research Council (BBSRC), which pushed for the creation of the WYN, the new effort will support research and development activities to raise global wheat yields and develop new varieties adapted to different geographical regions.

The creation of the WYN follows on the heels of the establishment of the Wheat Initiative through the G20 in 2011, with which the WYN will seek to coordinate. The G20’s Wheat Initiative aims to create opportunities for coordination of national and international research programs dedicated to wheat and to enhance platforms for sharing of data between wheat researchers.

To help facilitate WYN’s ambitious yield goal, WYN partners are planning to invest $50-75 million in the next five years, with details of operations and structures still to be determined.

The intention of the network is to bring together funding from governmental and non-governmental entities to support basic and applied wheat research. A key focus of the WYN will be looking at boosting wheat yields through improvements to the plant’s fundamental processes including photosynthesis.

“The Wheat Yield Network will aim to improve the yield potential of wheat by improving the physiology of the wheat plant itself, then combining those improvements with all other breeding objectives across governments and institutions,” said David Marshall, acting National Program Leader for USDA’s Agricultural Research Service (ARS), who is the U.S. government representative to the WYN.

U.S. signatories to the new initiative include USDA and the U.S. Agency for International Development (USAID). Other participants include governmental organizations from Canada, Australia, the United Kingdom, China, Argentina, Brazil, Turkey, Germany, India, Mexico, France, Japan and Ireland. The international research organization CGIAR, which includes important international research institutions CIMMYT and ICARDA, is also a participant. To date, Syngenta is the sole industry partner.

Washington transitions continue, with more departures, appointments and leadership positions announced recently. Here’s a roundup:

Incoming Senators Heidi Heitkamp (D-N.D.) and Joe Donnelly (D-Ind.) will take seats on the Senate Agriculture, Nutrition and Forestry Committee. They are replacing Sen. Kent Conrad (D-N.D.) and Sen. Dick Lugar (R-Ind.), both of whom are leaving the chamber.

Sen. Barbara Mikulski (D-Md.) was tapped to head the Senate Appropriations Committee this week following the death of longtime chairman Sen. Daniel Inouye (D-Hawaii).

Rep. Tim Scott (R-S.C.) was recently named as the replacement for Sen. Jim DeMint (R-S.C.), who is retiring to take the helm at the Heritage Foundation.

On Thursday, House Agriculture Committee Chairman Frank Lucas (R-Okla.) announced his panel’s subcommittee chairmen for the coming session. They include:

• Rep. Steve King (R-Iowa), chairman of the Subcommittee on Department Operations, Oversight and Nutrition
• Rep. Mike Conaway (R-Texas), chairman of the Subcommittee on General Farm Commodities and Risk Management
• Rep. Glenn Thompson (R-Penn.), chairman of the Subcommittee on Conservation, Energy and Forestry
• Rep. Austin Scott (R-Ga.), chairman of the Subcommittee on Horticulture, Research, Biotechnology and Foreign Agriculture
• Rep. Rick Crawford (R-Ark.), chairman of the Subcommittee on Livestock, Rural Development and Credit

Conaway was also recently selected to be the new chairman of the House Ethics Committee.

House Agriculture Committee Ranking Member Collin Peterson (D-Minn.) also announced Thursday the Committee’s new Democrats in the 113th Congress. They will include Representatives-Elect Michelle Lujan Grisham (D-N.M); Ann Kuster (D-N.H); Gloria McLeod (D-Calif.); and Filemon Vela (D-Texas).

An earlier story about agriculture policymaker moves is at http://www.wheatworld.org/news-events/2012/12/coming-and-going-rma-head-emerson-house-ag-gop/.

Lawmakers in Washington are betting on their ability to achieve last minute deals while farmers around the country face deeper uncertainty about federal policy than in recent memory.

Agriculture watchers in Washington continue to be consumed by high-stakes negotiations related to the fiscal cliff and a farm bill that could possibly be worked into it.

Congressional agriculture leaders have been diligently meeting this week to find middle ground around the most controversial portion of the bill, the farm safety net title.

As those talks continue, negotiations on a package to avert the fiscal cliff – the combination of tax increases and federal spending reductions set to go into effect at the first of the year – are being conducted chiefly by just two people, House Speaker John Boehner (R-Ohio) and President Barack Obama.

Offers and counteroffers have been exchanged in both sets of talks but no conclusions have yet been reached and compromise seems elusive.

Success in both negotiations before the end of the Congressional session is essential to any semblance of regulatory certainty for farmers.

The fiscal cliff would raise a slew of taxes, most notably for farmers the estate tax, dropping estate tax exemptions from $5 million to $1 million while skyrocketing rates from 35 percent to 55 percent.

The fiscal cliff would also trigger sequestration cuts that are expected to disproportionally hit essential but relatively low-budget programs working on trade promotion, agricultural research and other priorities.

Adding to the pressure, few pieces of legislation are moving in Congress while the fiscal cliff talks continue, which dramatically limits the vehicles for any farm bill language to come before Members.

Meanwhile, the outcome of the farm bill talks will determine what safety net is available for the nation’s crop farmers, many of whom have faced significant weather challenges this crop season.

Traditional farm programs in Title I technically expired with the 2008 Farm Bill on Sept. 30. If no new farm bill is approved by the first of the year, USDA will be forced to begin implementing underlying farm law, which dates to 1949 and contains such regulatory anachronisms as parity prices and planting quotas.

By Jan. 1, the existing milk support program would be off the books, and the dairy industry projects in-store costs for milk could quickly rise to $6 per gallon.

Most critically for the wheat industry, the failure of farm bill talks would mean the end to funds flowing through the Market Access Program (MAP) and the Foreign Market Development (FMD) program to non-profit cooperating organizations like U.S. Wheat Associates, effectively stopping their work to promote U.S. commodities overseas.

These and other consequences would likely continue well into the new year while the new Congress organizes and works toward passing new farm legislation with much less funding and a vastly changed political landscape. It’s unlikely any new bill could be considered before early spring.

NAWG and other agriculture organizations strongly support the approval of a five-year farm bill before the end of the Congressional term. NAWG staff and grower-leaders continue communication with Hill leaders and will continue to report to state associations as new information develops.

A high-level report on agriculture research funding was issued Friday by the White House Office of Science and Technology, underscoring the importance of farming to the domestic economy and the global population.

The President’s Council on Advisors on Science and Technology (PCAST) issued the report, which focused on the need for agricultural preparedness and the existing U.S. research infrastructure.

Noting the emerging and evolving threats to agriculture production, the paper makes the case for additional and rebalanced funding for research programs dedicated to agriculture.

It also calls for an additional $700 million in annual funding for agriculture research, which a report co-chair said is justified because agriculture research funding has been flat for decades.

The report prioritizes the top seven challenges facing agriculture. Managing new pests, pathogens and invasive plants is at the top of that list, and the paper singles out Ug99 wheat stem rust as an example of an evolving and potentially devastating new pest.

To capture the maximum “innovation potential” from government funding for ag research, the report urges a rebalancing of how that research is funded to focus more on competitive grants and deemphasize research that overlaps with that done in private industry.

However, without additional resources, moving away from the current balance of funding at USDA could prove risky for crops like wheat that do not benefit from the levels of private research funding devoted to corn and soybeans.

Plant research takes long-term, committed funding and special expertise, and much of the innovation available to farmers from wheat research still comes from the public system.

Despite additional private money into the crop in recent years, wheat research being conducted by USDA’s Agricultural Research Service (ARS) is still fundamental to wheat’s viability as a U.S. crop and food source for consumers around the world.

The full PCAST report and a webcast of the report’s release event are available at http://www.whitehouse.gov/administration/eop/ostp/pcast/docsreports.

Much more about the wheat research system in the U.S. is available at www.wheatworld.org/research.

The Food and Drug Administration (FDA) reiterated this week that farms do not have to register with the agency under a 2011 food safety law.

The clarification was included in updated guidance and question-and-answer documents about registration requirements for smaller food facilities. FDA said the documents are intended to provide easier-to-read information for entities that might need to comply, or that might not know if they need to comply, with changes made to food safety law under the Food Safety Modernization Act of 2011.

The 2011 food safety law amended a 2002 bioterrorism law, which requires food facilities to register with the FDA. The 2011 law added inspection requirements on qualifying facilities and gave the FDA more authority to stop food production it believes could be harmful to the public.

In the guidance issued this week, FDA clarified that food industry sectors affected by the registration requirements include domestic or foreign manufacturers, processors or packers of foods or storage operations.

Facilities excluded from the registration requirements include farms, restaurants and retail food establishments. These entities either face regulation under other laws or, like wheat farms, produce a product that is not ready to eat until it has been processed.

While not new information, this clarification is important for farmers, some of whom may be contacted by private companies seeking to sell unneeded registration services.

Agriculture-related business operators who are not sure of their status under the food safety law can read more about the compliance requirements online here.

More about food safety efforts in the wheat industry is available online at www.wheatworld.org/foodsafety.

Congressional agriculture leaders are negotiating a long-term farm bill package to be inserted into a fiscal cliff deal expected by the end of the month.

This activity in Washington has raised hopes that farm and food legislation will get done this year, though many details and the legislative mechanism are far from certain.

The four principals on Capitol Hill – Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) and Ranking Member Pat Roberts (R-Kan.) and House Agriculture Committee Chairman Frank Lucas (R-Okla.) and Ranking Member Collin Peterson (D-Minn.) – have met several times this week.

They and agriculture stakeholders in Congress, Washington and back in farm country are counting on the savings offered by a long-term farm bill to be attractive enough to get a suitable package worked into the larger agreement, which faces its own tense negotiations.

The Senate-passed farm and food legislation saves about $23 billion, while the version approved by the House Agriculture Committee would save about $33 billion. Current word is that Congressional leaders are seeking up to $35 billion in savings.

Still on the table are Title I cuts, food stamp spending and the question of how best to implement new long-term legislation if it can be passed before this Congress ends, either by rushing forward changes or by providing a short-term transition period.

The plan also hinges on the successful completion of a deal to attack the fiscal cliff, which is the combination of planned tax hikes and sequestration cuts that will go into effect in early 2013 if new legislation is not passed.

Both Republicans, led by House Speaker John Boehner (R-Ohio), and Democrats, led by President Barack Obama, offered proposals this week that were soundly rejected by the other side. Treasury Secretary Timothy Geithner said Thursday the Obama Administration was “absolutely” prepared to go over the fiscal cliff, though such heady talk is expected to give way to compromise as the end of the year draws nearer.

NAWG President Erik Younggren, who farms in northern Minnesota, came to Washington this week for meetings with several Members and Hill staffers. Younggren and NAWG staff met with House Agriculture Committee staff from both parties as well as staff in other agriculture-friendly offices. With other agriculture groups, Younggren also met with House Minority Whip Steny Hoyer (D-Md.).

“There’s too much uncertainty right now to make good business decisions,” Younggren said he told those he visited on Capitol Hill.

“Farming is no different than the rest of the country, that we need to have some certainty as we make our plans going into the next year and even beyond that…that’s why having a five-year farm bill is the only choice that we really have.”

A full audio report from Younggren about the trip is available at www.wheatworld.org/newsroom/audio-updates.

NAWG continues to advocate for approval of a five-year farm bill before the end of the year. NAWG urges all farmers and other readers to contact their Members of Congress and House Leadership on the issue. They can be reached via the House switchboard at (202) 224-3121.

The Senate voted 92 to 4 on Thursday to establish permanent normal trading relations (PNTR) with Russia. A similar bill was approved by the House of Representatives in November, and President Barack Obama is expected to sign the measure shortly.

Approving PNTR status for Russia will allow U.S. exporters to take full advantage of Russia’s new membership in the World Trade Organization (WTO), which became official in August after a 19-year negotiation process.

The WTO mandates all countries offer permanent trading relations to other members. Previously, the United States had granted Russia normal trading relations status on an annual basis since the early 1990s.

Russia’s WTO accession is expected to provide the U.S. and other WTO members improved trade access and stronger enforcement mechanisms for the country’s commitments to domestic supports, export subsidies and state trading enterprise disciplines.

While some U.S. agricultural sectors will gain new exports from the trade status changes, Russia does not import U.S. wheat, so the country’s membership will benefit U.S. wheat producers primarily by providing new checks on Russian export and domestic support policies. Both NAWG and U.S. Wheat Associates, the industry’s export market development organization, support PNTR for Russia.

The Senate Finance Committee, which has jurisdiction over trade issues, has said that U.S. exports to Russia total $9 billion a year and are expected to double within five years due to the changed trading status. Russia is the world’s seventh-largest economy.

Wheat scientists gathered in Orlando this week for the annual meetings of the National Wheat Improvement Committee (NWIC) and the U.S. Wheat and Barley Scab Initiative (USWBSI).

NWIC is an organization of public and private wheat researchers from around the United States, and USWBSI is one of the premier wheat-related research collaborations, funded by USDA. Both meetings are important opportunities for researchers from different parts of the country and different specialties to meet in person and discuss common challenges, emerging threats and other issues that impact their work.

The NWIC meeting on Monday was well-attended, with 35 researchers and growers participating. They focused much of their time together on reviewing the progress of ongoing programs and challenges faced by regional, national and international wheat science initiatives.

An important topic of conversation was the continued concerns about decreased research funding from universities and the federal government, including the potential threat of federal sequestration cuts.

At present, these funding concerns are showing up most prominently in research positions that are being left unfilled, some of which will never be filled. Growers at the meeting reported that universities in their areas are becoming increasingly reliant on grower dollars for wheat research, which come primarily through state checkoffs and royalties for newly-purchased seed.

Despite these concerns, NWIC members are also seeing more opportunities for international collaboration and a more diverse group of organizations becoming involved in wheat research, including expanded funding from USAID and the Bill and Melinda Gates Foundation.

There also continues to be a large need for more qualified wheat scientists, in both the public programs and private industry. This expertise gap is being met with innovations in training, which is an important part of the T-CAP project in which 59 graduate students are participating. New and established researchers alike are becoming more aware of the need to talk about their work to the general public and the media, for which attendees at this week’s meeting received some training during the sessions.

Also at the meeting, scientists from each wheat growing region and private company reported on their work in the last year. Several regions suffered from extreme weather in the last growing season, which impacted disease and insect pressure, particularly rusts, which continues to be reported on more acres. Researchers from a number of regions reported acres being down overall in their areas.

Attendees also gave progress reports on several ongoing wheat research initiatives, including the T-CAP project funded by USDA; an international wheat research initiative created by the G-20 group of nations; the Wheat Yield Network; and the Borlaug Global Rust Initiative.

University and private scientists were joined at the meeting by several growers, including Ron Perry from North Carolina, Michael Thomas from Nebraska, John Weinand from North Dakota and Mike Miller from Washington, who was able to join by phone.

NWIC leaders were also pleased to announce that grower groups in Montana, Idaho, Washington and Minnesota have contributed funds to help offset the organization’s costs in the coming year. NWIC has operated without a budget until now.

The Scab Forum, the annual meeting of the U.S. Wheat and Barley Scab Initiative (USWBSI), followed the NWIC meetings, Tuesday through Thursday. USWBSI focuses exclusively on research to combat the disease Fusarium head blight, commonly known as scab.

During the meeting Art Brandli from Warroad, Minn., who is the group’s co-chair, encouraged researchers to use the Scab Forum as an opportunity to dream a little and to think outside of their comfort zones in their own research area. He urged them to continually refer to the mission of the Initiative and how it relates to the needs of the stakeholders who are growing and using wheat and barley.

Weinand was the keynote speaker at this year’s conference, discussing his experience with managing the fungus, saying he has won some battles but the war is still ongoing.

Another speaker, Chris Bowley from Wheat Tech, Inc., in Russellville, Ky., spoke about how the potential for scab is increasing each year with changing environments and increased corn plantings, which are conduits for the disease.

Speakers pointed out that while scab is thought of as something that emerged in the 1990s, it had existed previously but more episodically. In the past two decades, the problem with scab has increased overall, though research into new genetics and management practices has provided farmers with tools to combat the disease effectively in years with moderate occurrences.

Continued funding for the USWBSI is contingent on appropriations from Congress, and meeting attendees expressed concern that delays in passing a final funding bill for 2013 will subsequently delay distribution of funds for this critical research.

NAWG is an active participant in both NWIC and USWBSI, and Director of Government Affairs for Research and Technology Jane DeMarchi attended this week’s meetings.

More about the USWBSI and the proceedings at this week’s meeting is at www.scabusa.org.

More about NWIC, which is managed by the National Wheat Foundation and NAWG, is at www.wheatworld.org/research.

It’s that time of year in Washington: the retirements, appointments and other personnel changes continue among high-level agriculture policymakers.

Last Friday, USDA announced Risk Management Agency (RMA) Administrator Bill Murphy will retire at the end of the year after four years on the job.

Brandon Willis, a USDA advisor and former staffer for Sen. Max Baucus (D-Mont.), will be RMA’s acting administrator.

On the other side of Washington, House Agriculture Committee Chairman Frank Lucas (R-Okla.) announced this week the new Republican Members that will serve on his panel in the 113th Congress. They include the following:

• Rep. Dan Benishek (R-Mich.)
• Rep.-Elect Chris Collins (R-N.Y.)
• Rep.-Elect Rodney Davis (R-Ill.)
• Rep. Jeff Denham (R-Calif.)
• Rep.-Elect Richard Hudson (R-N.C.)
• Rep.-Elect Doug LaMalfa (R-Calif.)
• Rep.-Elect Elect Ted Yoho (R-Fla.)

There is also one vacancy on the Committee, which reportedly will be filled with a southern member. Rep. Tim Huleskamp (R-Kan.) was removed from the Committee, meaning the new Congress will be the first in more than 150 years without a Kansas Member on the Ag Committee.

Another House Member well-known for supporting agriculture, Rep. Jo Ann Emerson (R-Mo.), announced this week she plans to leave Congress in February to become the head of the National Rural Electric Cooperative Association (NRECA).

On Thursday, Sen. Jim DeMint (R-S.C.) announced he would leave Congress to lead the Heritage Foundation, a conservative think tank.

An earlier round of retirements and other moves was covered in last week’s newsletter. That story is available online at http://www.wheatworld.org/news-events/2012/11/white-at-nrcs-elworth-at-epa-retire-more-departures-expected/.

Another week has passed in Washington without progress or a plan for passing a five-year farm bill or an extension of the farm law that expired on Sept. 30.

Congressional agriculture leaders have expressed varying levels of optimism on the issue throughout the week, but as days go by, hope appears to be fading and the scramble for a legislative plan B to avoid implementation of permanent law in 2013 becomes more hurried.

Recognizing the logistical hurdles to a full bill at this point, farm groups, ag reporters and policy analysts have also become very frank about the perils of any type of extension to near-term policy priorities and the long-term farm bill budget.

Everyone believes an extension would be just as hard to pass as a full bill, but an extension could leave many programs without any funding, would not provide farmers the certainty inherent in long-term policy and would not include the reforms in versions of the legislation that have been successfully completed by the Senate and the House Agriculture Committee.

The hurdles facing the bill appear to be apparent to all and yet unfixable. House leaders who could bring the House Ag product to the floor are clearly tied up in fiscal cliff discussions.

The farm bill rose to the level of a White House press briefing, when Press Secretary Jay Carney was asked about Mississippi River flow issues. He said, in part, “The president has also been clear that Congress must pass a comprehensive multi-year farm bill that…not only provides much needed disaster assistance but gets farmers and ranchers the certainty they deserve while enacting critical reforms.”

House Agriculture Committee Chairman Frank Lucas (R-Okla.), who was officially selected this week to remain chairman in the 113th Congress, told Oklahoma farm reporter Ron Hays on Thursday that regular order was still his goal. However, he acknowledged that because of the fiscal cliff “literally there is not enough political oxygen left in this town” for anything else and “while the candle has not gone out completely, it’s flickering rather dimly.”

The next best hope for the farm bill, barring floor consideration, has appeared to be working it into a larger package addressing the fiscal cliff, which might be particularly attractive if legislators begin looking for spending offsets. Both the Senate-approved farm bill and the House Agriculture-approved farm bill save tens of billions of dollars.

However, that option suddenly looked to be an even longer shot when House Speaker John Boehner (R-Ohio) said Thursday there has been “no substantive progress” on the fiscal cliff talks. This political impasse is likely to demand even more attention in the coming days from all decision-makers on the Hill and in the Obama Administration.

Secretary of Agriculture Tom Vilsack and leaders of both Congressional agriculture committees met Thursday. Meetings between Congressional principals are likely to continue next week.

NAWG continues to work with other farm groups and Hill staff to press the importance of completing a five-year bill. NAWG President Erik Younggren, a farmer in northern Minnesota, will travel to Washington next week for meetings pertaining to the farm bill.

The full interview with Lucas released by Hays on Thursday afternoon is available at http://oklahomafarmreport.com/wire/podcasts/05935_Lucas11292012Podcast_105446.php.

News this week of a “shotgun sequence” of the wheat genome inspired excitement about the possibilities for breakthrough science based on increased understanding of the crop’s complex genetic make-up.

Sequencing the wheat genome has been a long-term goal of many leading wheat researchers and wheat farmers. The large size of the wheat genome, more than five times the size of the human genome, poses a huge and expensive scientific challenge and creates hurdles for crop improvement for wheat. Unlocking the wheat genome will have a global impact since one-fifth of calories consumed by the earth’s people come from wheat.

An article published this week in Nature described the results of a large, international collaboration to further understand the wheat genome using a “shotgun sequencing approach”.

The “shotgun sequencing approach” involved first identifying millions of DNA fragments and then piecing them together to identify nearly 100,000 genes in common wheat. Two-thirds of the genes identified were able to be assigned to the three component genomes of hexaploid wheat.

However, gaps remain in the sequence, and it is not anchored to a genetic map of agronomic traits. The project to create a complete sequence anchored to a map has been underway for some time by an international team of scientists but is not fully funded, which has delayed progress.

Researchers are searching for genetic keys that will help them breed better, higher-yielding varieties. This potential could be realized by identifying sources of genetic diversity within wheat ancestors and relatives or by mapping additional landmarks for important traits within today’s wheat. The research unveiled this week identified expanded gene families that could be associated with higher yield.

“This is an excellent piece of research to identify most of the genes in wheat,” said P. Stephen Baenziger, a wheat breeder at the University of Nebraska and the chair of the National Wheat Genomics Committee.

“It is a major step forward but also highlights how much further we need to go to fully utilize the wheat genome for crop improvement. The full sequence is needed so we can know the location of the key genes and how the sequence relates to the genome function.”

The effort announced this week included researchers from the United Kingdom, Germany and the United States. U.S. collaborators included researchers at USDA’s Agricultural Research Service (ARS), Cold Spring Harbor Laboratory, University of California-Davis, Kansas State University and North Dakota State University.

Jan Dvorak of UC-Davis and a study co-author, noted in a release that “this work moves us one step closer to a comprehensive and highly detailed genome sequence for bread wheat.”

Another of the study’s co-authors, Bikram Gill, who is the director of the Kansas State Wheat Genetics Resource Center, said, “Scientists now have a genetic blueprint of common wheat for many traits, although associating gene sequences with traits will take many more years of work.”

The full paper released this week is available online at http://www.nature.com/nature/journal/v491/n7426/full/nature11650.html.

USDA numbers reflected this week what farmers have known for awhile: much of the nation’s winter wheat land is bone dry and struggling to produce a crop.

In a crop progress report issued Monday, the Department said wheat in 18 states rated 26 percent very poor or poor, 41 percent fair and 33 percent good or excellent. These are the worst ratings since 1985.

By comparison, last year at this point, 13 percent was very poor or poor, 35 percent was fair, and 52 percent was good or excellent.

The traditional breadbasket areas from Texas north to South Dakota seem to be faring the worst at this point in the crop season.

An estimated 21 percent of winter wheat in Texas is good to excellent; 14 percent of winter wheat in Oklahoma is good to excellent; 29 percent of winter wheat in Kansas is good to excellent; 14 percent of winter wheat in Nebraska is good to excellent; and just 2 percent of winter wheat in South Dakota is good to excellent. A bit to the west, 18 percent of winter wheat in Colorado is good to excellent, and 29 percent of winter wheat in Montana is good to excellent.

Unsurprisingly, these are also the areas blanketed in the tell-tale red of exceptional or extreme drought on the U.S. Drought Monitor. Not only has there not been enough rain for the crop, higher-than-usual temperatures are promoting evaporation of the moisture that is available.

Though drought in corn and soybean country made national headlines earlier in the year, many wheat farmers are now in their third or fourth crop year without adequate moisture.

After several years of drought, farm businesses are threatened by decreased protection in the crop insurance contract because of years with lower production history. Farmers are also faced with hard decisions about cropping plans and water and forage available for livestock herds.

This year, the uncertainty about the weather comes in addition to uncertainty about the farm safety net outlined in the farm bill. The 2008 Farm Bill expired on Sept. 30 with no replacement legislation, and haggling in Washington continues over whether or not there will be a farm bill in the foreseeable future, much less what it will contain. Farmers do have certainty in crop insurance contracts, which have been critical for many crop producers facing weather disasters this year, paying out more than $5 billion in indemnities so far.

Though effects of the drought are also apparent in wheat futures markets, consumer prices for wheat products in the U.S. should not rise significantly solely on the basis of a poor wheat crop. This is because so little commodity wheat goes into finished products, and there are so many other costs associated with getting wheat from the farm to the table.

For instance, only about 10 percent of the cost of bread comes from commodity wheat, unlike products that have a more direct route to consumers, like meats. About 60 loaves of bread can be made from a bushel of wheat, meaning a loaf made with wheat that cost $9 per bushel probably contains 15 cents of wheat.

The full crop progress report from this week is at http://usda01.library.cornell.edu/usda/current/CropProg/CropProg-11-26-2012.pdf.

Top agriculture advisors and policymakers are beginning to depart the Obama Administration as the president’s second term nears.

Natural Resources Conservation Service (NRCS) Chief Dave White will retire effective Dec. 3, the agency announced recently.

White was a career conservationist with NRCS, working in Missouri, South Carolina, Washington, D.C., and Montana, as well as with the Senate Agriculture Committee during the development of the 2002 and 2008 Farm Bills. He also served on the White House Task Force for Livable Communities during the Clinton Administration.

White has been NRCS chief for four years. Agriculture groups including NAWG wrote him this week to express appreciation for his “tireless efforts” to advance conservation policies.

White will be succeeded by Jason Weller, current NRCS chief of staff and previously a Congressional and Office of Management and Budget (OMB) professional staff member.

This week was also the last in the Administration for Larry Elworth, the chief agriculture advisor to Environmental Protection Agency (EPA) Administrator Lisa Jackson. Elworth often drew on his background as a farmer to explain the realities of agriculture within the environmental regulatory organization and to communicate to farmers about EPA’s intentions. No replacement for Elworth has yet been named.

These two key retirements are unlikely to be the last departures by agriculture experts within the Administration or in Congress.

It is quite common for many top aides and department heads to change with the onset of a new administration or a second term. Many jobs in the Administration and on Congressional staffs are demanding or do not compensate employees as well as the private sector. As with other parts of the agriculture community, many in ag policy are also nearing retirement age and ready to move toward a slower pace of work and life.

Craig Jagger, who spent more than a decade as the chief economist at the House Agriculture Committee, retired recently and is now consulting and speaking about budget and farm bill issues.

It was reported several weeks ago that U.S. Trade Representative (USTR) Ron Kirk also plans to leave his position to return to his native Texas.

Several Members of Congress closely associated with agriculture are also wrapping up their final weeks in Washington.

North Dakota Senator Kent Conrad (D-N.D.), who is also chairman of the Senate Budget Committee, is retiring after this term.

A half dozen Members of the House Agriculture Committee will also be departing, though not by choice. Reps. Tim Johnson (R-Ill.), Jean Schmidt (R-Ohio) and Tim Holden (D-Penn.) lost their primaries earlier in the year, while Reps. Bobby Schilling (R-Ill.), Joe Baca (D-Calif.) and Leonard Boswell (D-Iowa) lost their seats in the general election a few weeks ago.

NAWG wishes all of our readers a wonderful Thanksgiving holiday with friends and family! The full newsletter will return next week; updates are also available at www.twitter.com/wheatworld.

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Congress Out Again for Thanksgiving, Will Talk Turkey Next Week

Members of Congress have left D.C. just a week after returning from the campaign trail, this time for Thanksgiving. Both chambers are expected back next week, potentially until Dec. 21. Top of the agenda will be the sequestration cuts set to go into effect and tax cuts set to expire in January, known collectively as the “fiscal cliff.” Congressional leaders and President Barack Obama met Nov. 16 at the White House to begin talking about how to deal with this potentially calamitous set of events, with all parties expressing optimism that a compromise will be reached. Of course, the agriculture community continues to wait for word on how a farm bill will be handled in the lame duck session, with House leaders remaining mum into the holiday week.

AC21 Report Released with Insights on Biotech and Organic Crop Coexistence

The final report for the Advisory Committee on Biotechnology and 21st Century Agriculture (AC21) was submitted to Secretary of Agriculture Tom Vilsack this week. Keith Kisling, a farmer from Burlington, Okla., who represents wheat growers on AC21, emphasized during the AC21 process that farmers have been engaged locally on agriculture production issues for years and, following the report’s release, said that “the AC21 dialogue has confirmed the value of diversity in U.S. agriculture and the history of successful coexistence among different production methods.” In his formal comments on the report, Kisling urged the Secretary to consider the ramifications from the implementation of any new programs, especially the impact to trade. The full AC21 report is available online at http://www.usda.gov/wps/portal/usda/usdahome?contentid=AC21Reports.xml&contentidonly=true.

EPA Denies Request for RFS Waiver, Saying Economic Harm Not Demonstrated

The Environmental Protection Agency has denied a request to waive application of the existing renewable fuels standard (RFS), saying requirements for such a waiver have not been met and granting a waiver would have “little, if any, impact on ethanol demand.” In its announcement, the Agency acknowledged that a severe drought affecting much of the country has created “significant hardships,” but said its review found the RFS would not cause severe economic damage to state or national economies. NAWG was one of many agriculture groups supporting denial of the waiver request. More about the announcement is at http://www.epa.gov/otaq/fuels/renewablefuels/notices.htm.

MF Global Report Cites Management, Regulator Communication in Bankruptcy

A House Financial Services Subcommittee on Oversight and Investigations report released last week concluded that poor decisions by MF Global management, including former CEO Jon Corzine, led to the company’s bankruptcy, but not that any laws were broken. The report also cites a lack of communication between regulators that may have contributed to the loss of funds, saying that the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) “failed to share critical information about MF Global with one another, leaving each regulator with an incomplete understanding of the company’s financial health.” They recommended that the SEC and CFTC streamline their operations or consider a merger to have complete oversight over capital markets. The full report can be found at http://financialservices.house.gov/uploadedfiles/256882456288524.pdf.

WILOT Class Talks Food and Farm Policy

Ten participants from NAWG took part last week in the Wheat Industry Leaders of Tomorrow (WILOT) program, held in St. Louis, Mo. WILOT is sponsored by Monsanto and held annually with a new class of participants whose state wheat associations support their interests in becoming better advocates for wheat and the agriculture industry as a whole. WILOT participants this year included growers from several NAWG member states and NAWG staff, who took part in leadership and media training and toured many of the Monsanto laboratories. Presentations were also given by NAWG staff in the areas of policymaking, lobbying and communications, as well as an overview of NAWG’s structure as an organization. Much of the discussion centered on what role farmers will play in shaping the future of agriculture as the world demands more food to feed a rapidly growing population.

Annual Farm Bureau Survey Sees Thanksgiving Dinner’s Cost Up Slightly

Thanksgiving dinner increased in cost by less than 1 percent in 2012, according to an informal cost survey done by the American Farm Bureau Federation. AFBF has been doing the survey since 1986, using volunteer shoppers to gather data in 35 states about average costs for classic items including turkey, stuffing, cranberries and pumpkin pie. This year’s cost for a family of 10 came to $49.48, a 28-cent price increase from last year’s average of $49.20. Though the Thanksgiving survey is unscientific, the slight percentage increase in the national average cost tracks closely with AFBF’s quarterly food price surveys and the government’s Consumer Price Index for food. More on the survey is at http://www.fb.org/index.php?action=newsroom.news&year=2012&file=nr1108.html.

America’s Heartland Thanksgiving Webisode Honors Focus on Farm, Family and Food

America’s Heartland, the only national TV show about American agriculture, released a special online web episode this week to celebrate Thanksgiving. The 24-minute broadcast is available at http://www.americasheartland.org/episodes/thanksgiving2012/index.htm and includes stories about food crops Americans associate with Thanksgiving celebrations, corn and cranberries; modern buffalo herds; and a unique farm and food pantry partnership. More about the show is at www.americasheartland.org.

Extra Credit: USFRA’s Food Dialogues Webcast Available at www.fooddialogues.com

The media’s treatment of farmers and farming, antibiotics in food and the use of biotechnology to improve food crops were the hot topics tackled at the U.S. Farmers and Ranchers Alliance’s latest Food Dialogues, held Thursday, Nov. 15, in New York City. Webcast archives of all three panels are available at http://www.fooddialogues.com/ny-food-dialogues, and commentary about the event can be seen on Twitter by searching #FoodD at search.twitter.com.

Members of Congress are back in Washington, D.C., for a much-anticipated lame duck session, but, so far, no farm bill game plan has become apparent.

Before the elections, House Speaker John Boehner (R-Ohio), who will remain in his position in the next Congress, said his chamber would “deal with” the farm bill during the lame duck. How and when are still hanging questions, as Congress prepares to leave town again for the Thanksgiving holiday.

Any decisions about the farm bill are certain to be dictated in part by the tight calendar, a weighty list of fiscal and tax issues that are seen as top priorities and larger political tides that have worked against the bill all year.

House Agriculture Committee Chairman Frank Lucas (R-Okla.) has not made an official statement while waiting for his caucus’ leadership to decide on floor time, though he did tell Politico on Thursday that the farm bill remains part of Leadership’s “big picture.”

House Ag Ranking Member Collin Peterson (D-Minn.), whose party does not control the House schedule, has been vocal about the need to bring the farm bill to the floor immediately and his strong opposition to an extension of any length.

Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.), whose chamber has already completed its farm bill work, issued a statement late last week saying bipartisan work to complete the farm bill would “create the trust and momentum we need to overcome gridlock and solve the challenges our country faces” and take a major step toward deficit reduction.

More than 200 agriculture, rural, conservation and energy groups, including NAWG, wrote top House leaders from both parties this week urging the bill be considered and completed as soon as possible.

“This legislation is of paramount importance to the diverse, bipartisan constituencies our organizations represent,” the groups said.

“Failure to pass a new five-year farm bill before the year’s end will create significant budget uncertainty for the entire agricultural sector, including the rural businesses and lenders whose livelihoods are dependent upon farmers’ and livestock producers’ economic viability.”

NAWG strongly supports immediate passage of the five-year farm bill pending before the House and a conference process that will bring the legislation to a conclusion before the end of 2012.

Members of both agriculture committees have invested significant time and effort to produce farm policy proposals offering significant reform and reductions in spending.

Ignoring this leadership and work at this point could have vast consequences on future farm bill budgets, the effectiveness of programs included in the farm bill and on the wider economy, particularly through ag export promotion programs that are currently not being funded due to the 2008 Farm Bill’s expiration.

NAWG encourages all farmers and other readers to contact Members of Congress and House Leadership to voice their support for farm bill action, and NAWG will keep state associations and grower-leaders informed of the latest developments.

The full letter sent this week is available at www.wheatworld.org/farmbill.

Agriculture organizations are sounding the alarm about estate tax changes that could break up family farms if Congress does not act to stop them before January.

NAWG and more than 30 other farm organizations wrote every House and Senate office this week to urge prioritization of this important issue for farmers and ranchers.

The estate tax changes as planned could devastate family businesses in the agriculture sector by dramatically reducing the estate tax exemption, from $5 million to $1 million, while also dramatically increasing the estate tax rate, from 35 percent to 55 percent.

Many farm businesses that provide the primary income for the families who operate them would reach the $1 million threshold quickly with just a few pieces of equipment and less than 100 acres of land. This means parts of the business would almost certainly have to be split off and sold to pay taxes after the death of the primary owner.

The risk to individual families of even a short period with such a low exemption is heightened because many farm operators are older than the average American and because, while farming has become much safer in recent decades, it is still one of the country’s most dangerous professions.

The groups writing this week – many of which have long opposed the estate tax on principle as well as economic reasoning – urged a full repeal of the tax.

Barring that, they urged changes to the estate tax including a permanent extension of current law with provisions to index the exemption to inflation, provide for spousal transfers and include the stepped-up basis.

“The current state of our economy, coupled with the uncertain nature of estate tax liabilities, makes it difficult for family-owned farms and ranches to make sound business decisions,” the groups wrote.

“[A] permanent extension will give farmers and ranchers the certainty they need to conduct business.”

The estate tax is one of many taxes set to change after the first of the year, making up half of what is known as the “fiscal cliff.” Other changes would affect depreciation schedules and amounts, capital gains and payroll taxes.

The full letter sent this week is available at www.wheatworld.org/othercorrespondence.

November is the first true month of fall, the month of celebrations of thanksgiving and, appropriately, the official month to celebrate a standard on most American dinner tables: bread.

National Bread Month is being marked by wheat farmers, millers, bakers, home bakers and bread enthusiasts in as many ways as there are varieties of bread.

Make a sandwich, have bread as part of a balanced meal, plan a special baking event for the holiday, seek whole grains, eat enriched rolls – you name it, and it will be enjoyed this time of year.

The 2012 National Bread Month is particularly exciting because this year also marks the 250th anniversary of the invention of the sandwich as a convenient and filling food, originally intended to help the Earl of Sandwich keep his concentration on his card game rather than dinner.

Now, Americans consume more than a billion sandwiches each year, with a recent survey commissioned by the Grain Foods Foundation finding 41 percent of American adults eat sandwiches up to six times a week.

Americans like their sandwiches so much that 86 percent of adults maintain they would rather spend their lunchtime eating a sandwich than checking Facebook!

Special for November, four new sandwich recipes are available from the Grain Foods Foundation and chef Bryan Voltaggio, online at www.gowiththegrain.org.

Bread recipes are abundant online, with a few resources at:

• the Wheat Foods Council’s baked goods page, www.wheatfoods.org/recipes/Baked%20Goods
• the Home Baking Association’s bread page, www.homebaking.org/recipes/index.html#breads
• the Whole Grains Council’s bread recipe page, www.wholegrainscouncil.org/recipes/breads

Creative amateur bread bakers should consider entering the 2013 National Festival of Breads competition, for which recipes are due Jan. 31 of next year. Much more information is at www.NationalFestivalofBreads.com.

And those who would rather leave their baking to the pros and just read a bit about bread can check out “Breads Around the World,” an educational publication provided by America’s Heartland and Food, Land and People at www.americasheartland.org/education/teachers/003_breads_around_the_world.pdf.

Much more about wheat – a key component of almost all breads – is online at the NAWG site, www.wheatworld.org/wheat-info.

Do you know any students looking for money to pay for college?

Applications for the Jerry Minore Memorial Scholarship program are due Dec. 1, 2012, to the National Wheat Foundation offices.

For the 2013-2014 academic year, four scholarships are available, two for $1,500 each and two for $1,000 each.

To qualify for the scholarships, students must be freshmen, sophomores or juniors pursuing agriculture-related degrees at an accredited institution and either be a member of NAWG, have a close relative who is a member or NAWG or be nominated by a national or state wheat association board member.

The scholarship application requires an information form, two letters of recommendation, a current transcript and a response to one of two short essay questions.

Winners of the 2013-2014 scholarships will be notified and announced next spring.

The scholarship program honors Jerry Minore, a longtime friend and advocate of wheat who passed away suddenly early this year. The Foundation’s partner in the Minore Scholarship program is BASF, Minore’s longtime employer.

The full announcement for the Minore Scholarship can be found here http://www.wheatfoundation.org/wp-content/uploads/2012/10/Minore-scholarship-application.pdf.

The long-awaited election is over! This quick update focuses on results and wheat grower priorities in the coming lame duck session of Congress. More from NAWG is always available at www.twitter.com/wheatworld and www.facebook.com/wheatworld.

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Election Season Over, Farm Bill Remains on the Table for Lame Duck

Election day has come and gone and one thing remains the same: farmers, consumers and the economy need a farm bill before the end of the 112th Congress. The Members of the Senate and House agriculture committees have invested significant time and effort to produce farm policy proposals over the past two years, both offering significant reform and serious reductions in overall spending. NAWG believes now is the time for House Leadership to recognize this work – and the importance of farm policy to the nation’s economy – and allow the farm bill to come to a vote. Passage of a new farm bill is the top priority for NAWG grower-leaders, state associations and staff until December. All farmers are encouraged to call their Members of Congress and House Leadership via the main switchboard at (202) 224-3121 to make their voices heard!

Balance of Power in D.C. Remains Status Quo

The balance of power in Washington, D.C., will be little changed in the coming Congressional term, though many are hopeful for a more conducive climate for compromise and tackling looming fiscal and policy challenges. President Barack Obama won re-election on Tuesday in a closely-watched and fiercely-fought race against former Massachusetts Governor Mitt Romney. Obama will once again be faced with a divided political system, with the Senate remaining in Democratic control and Republicans holding on to the House of Representatives. Because Inauguration Day falls on a Sunday next year, Obama will be sworn into office privately at noon on Jan. 20, 2013, and the public inaugural ceremony will take place the next day, Monday, Jan. 21, 2013.

Ag Committees Members Win, Lose and Draw on Election Day

Both the House and Senate Agriculture Committees are likely to see several new faces in the 113th Congress, set to be sworn in after the first of the year.

Current Senate Agriculture Committee members Sen. Bob Casey (D.-Pa.) and Sen. Sherrod Brown (D-Ohio) won their re-election bids. In other Senate races of note, Deb Fischer, a Republican from Nebraska, and Heidi Heitkamp, a Democrat from North Dakota, will join the chamber next year. Sen. Jon Tester (D-Mont.) held on to his Senate seat in a close race against current Rep. Denny Rehberg (R-Mont.). On the House side, Rep. Tom Latham (R-Iowa) defeated Rep. Leonard Boswell (D-Iowa), and Rep. Steve King (R-Iowa) defeated his Democratic opponent, Christie Vilsack. House Agriculture Committee members Reps. Kristi Noem (R-S.D.), Bill Owens (D-N.Y.) and Christopher Gibson (R-N.Y.) all held on to their seats, while Reps. Bobby Schilling (R-Ill.) and Joe Baca (D-Calif.) were defeated, and Rep. Mike McIntyre (D-N.C.) is holding on to a slim lead in a race still too close to call.

Senate Ag Committee Chairwoman Debbie Stabenow (D-Mich.), House Ag Committee Chairman Frank Lucas (R-Okla.) and House Ag Committee Ranking Member Collin Peterson (D-Minn.) were all reelected. (Senate Ag Ranking Member Pat Roberts (R-Kan.) was not up for reelection in this cycle.) More election night results are at www.google.com/elections or www.farmpolicy.com.

Biotech Labeling Proposition Defeated in California, But More on the Way

In California, voters rejected Proposition 37, which would have required special labeling of any retail food products containing an ingredient derived from a genetically modified crop. The measure lost 53 percent to 47 percent, as of press time. Prop 37 was opposed by a broad coalition of family farmers, scientists, doctors, business, labor, taxpayers and consumers. Nearly every daily newspaper in California also opposed Prop 37. It was estimated that the new regulations would have cost California families an additional $400 per year for groceries.

Leading scientific organizations that have reviewed the issue agree foods containing genetically engineered ingredients are safe and are not materially different than their traditional counterparts. However, backers of Prop 37 are vowing to continue their fight in other states and at the national level. Legislative efforts are taking place in Connecticut and Vermont, and a petition drive is underway in Washington State.

Groups to House Leaders: Lack of Farm Bill Puts Export Development Programs at Risk

NAWG and other members of the Coalition to Promote U.S. Agricultural Exports wrote House Speaker John Boehner (R-Ohio) and Minority Leader Nancy Pelosi (D-Calif.) late last week urging passage of the 2012 Farm Bill pending in that chamber to avoid permanent damage to U.S. export market development infrastructure.

The Market Access Program (MAP) and the Foreign Market Development (FMD) program, two export programs administered by USDA, no longer have authorization because of the expired farm bill. This means no new payments can be made from the programs, and current funding will run out for cooperating organizations like U.S. Wheat Associates early in the new year, seriously compromising critical day-to-day export market development and promotion activities. Studies have shown that for every additional $1 spent by government and industry on market development, U.S. food and agricultural exports increased by $35, making these programs among the most successful in government. The full letter is available at http://www.wheatworld.org/wp-content/uploads/trade-MAPFMD-to-house-leaders-20121102.pdf.

Extra Credit: Farm Foundation Forum About Elections on Nov. 14

The Farm Foundation is offering a free webcast of its forum on the 2012 elections’ effect on agriculture policy, scheduled for Wednesday, Nov. 14, from 9 to 11 a.m. Eastern time. The forum will be held at the National Press Club in Washington, D.C., featuring a lineup of speakers including budget policy specialists, farm policy watchers and a farmer from Indiana. More information is at http://www.farmfoundation.org/farmfoundationforums.aspx. Registration for the webcast is at www.visualwebcaster.com/Farmfoundationforum.

NAWG’s leaders have had a busy week including meetings, a hurricane and an upcoming election. Here’s a quick update on major happenings; even more from NAWG is always available at www.twitter.com/wheatworld and www.facebook.com/wheatworld.

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Sandy Strikes Rural and Urban Areas Alike; Wheat Offices Unharmed

Hurricane Sandy’s landfall on the East Coast dominated the national news this week and kept much of Washington, D.C., including the NAWG offices, closed Monday and Tuesday. The storm left little lasting damage in the District, and NAWG staff members and the Wheat Growers Building weathered it well. U.S. Wheat Associates also reports its offices and staff made it through the storm with minimal problems. Many farmers and urban dwellers alike were not as lucky. USDA has condensed its disaster resources at www.usda.gov/disaster; Sandy-specific information from the federal government is at www.usa.gov/sandy.

Fall Wheat Conference Concludes in Houston with Board Meetings

The 2012 Fall Wheat Conference ended Saturday in Houston, topped by Board of Directors meetings for both NAWG and U.S. Wheat Associates. The fall meetings are the first of three in a series for NAWG, with the next two sessions scheduled for January in Washington, D.C., and at Commodity Classic. The NAWG Board adopted a number of new and revised resolutions, which are available at http://www.wheatworld.org/wp-content/uploads/about-resolutions-mission-from-fwc-20121101.pdf. Audio reports from the meetings are at http://www.wheatworld.org/newsroom/audio-updates/.

Election Day on Tuesday; Outcome Will Likely Determine Farm Bill Path

The long-awaited fall elections will be over Tuesday evening, determining control of the White House and Congress and, perhaps, providing some insight into the path for the 2012 Farm Bill. FarmPolicy.com, a widely-read blog about politics and agriculture, offers a glimpse at the latest in relevant elections at http://farmpolicy.com/2012/09/17/snapshot-an-election-year-farm-bill/. While NAWG does not endorse candidates for any races, and works closely with Members of Congress of both parties, we strongly encourage all of our farmer-members to vote Tuesday and continue to discuss wheat priorities, including the farm bill, with their legislators.

Glimmer of Hope from Majority Leader Cantor Fizzles Out

Farm policy watchers experienced a surge of hope for successful completion of a 2012 Farm Bill when House Majority Leader Eric Cantor (R-Va.) seemed to suggest at a campaign stop late last week that the farm bill would be taken up in the lame duck session. News of these comments quickly circulated through the farm press and social media, and Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) released a statement saying she was “very pleased” at Cantor’s “commitment.” However, Cantor’s office later clarified that his comments were intended to go no farther than similar ones made by Speaker of the House John Boehner (R-Ohio), who has said the House will “deal with” the vital legislation in the post-election period.

Commodity Classic Prep Underway; Entertainment Announced

Preparations for the 2013 Commodity Classic are already under way, with Classic planners announcing this week the entertainment booked to cap off the convention’s events. The Monsanto Evening of Entertainment at next year’s Classic will feature World Classic Rockers, a group of standout performers from legendary rock bands. Classic 2013 is scheduled for Feb. 28 until March 2 in Kissimmee, Fla. The event is the largest farmer-led, farmer-focused conference and trade show in the country and is the annual meeting for NAWG, the National Corn Growers Association, the American Soybean Association and the National Sorghum Producers. More about Classic will be available online at www.commodityclassic.com and in this publication in the coming months.

Documentary “Harvesting the High Plains” Debuts Next Week

A documentary that brings to life the story of a farm that overcame the Dust Bowl to harvest one of the largest wheat crops ever raised is premiering next week in Kansas, Nebraska and Virginia and will be available on DVD by the end of the month. “Harvesting the High Plains,” uses historic films and recreations, and is narrated by Mike Rowe, creator and host of the Discovery Channel’s “Dirty Jobs.” The piece is directed by Jay Kriss and produced by Sydney Duvall of Inspirit Creative, based in Williamsburg, Va. NAWG and the National Wheat Foundation have supported the film’s production and encourage wheat growers and wheat stakeholders to learn more about it at www.harvestingthehighplains.com.

NYC Food Dialogues to Tackle Media and Food, Antibiotics, Biotech

The next installment of the U.S. Farmers and Ranchers Alliance’s (USFRA’s) Food Dialogues is scheduled for Thursday, Nov. 15, in New York City and live online via web streaming. The daylong conversation about food will include panels on media, marketing and healthy choices, antibiotics and food and biotechnology. Space is still available to participate in the event in-person or it can be watched via the web. More details and RSVP links are at http://www.fooddialogues.com/ny-food-dialogues.

Farm Broadcasters to Meet in Kansas City; Wheat Industry at Trade Talk

Grower-leaders from NAWG and U.S. Wheat Associates will be at the Trade Talk interview fair next Thursday in Kansas City. The annual event is a highlight of the National Association of Farm Broadcasting’s (NAFB) convention. NAWG President Erik Younggren, who farms in Minnesota, and USW Vice Chairman Dan Hughes, who farms in Nebraska, are set to be at the wheat booth (#27), along with NAWG Director of Communications Melissa Kessler and USW Vice President of Communications Steve Mercer. Reporters who would like to pre-schedule interviews should contact mkessler (at) wheatworld.org and/or smercer (at) uswheat.org.

Extra Credit: NAWG Policy Committee Audio Reports Online Now

As noted above, audio reports from NAWG policy committee meetings associated with the Fall Wheat Conference are now available at http://www.wheatworld.org/newsroom/audio-updates/. NAWG issues these updates from policy committee chairmen after each regular Board meeting. We encourage wheat growers to use them to catch up on national association actions, particularly ahead of planned state wheat organization meetings. The reports can also be used by members of the media with appropriate attribution.

Greetings from Houston, where wheat growers from around the country are gathered this weekend! Here’s a quick update on policy and other ag happenings this week. Follow along with NAWG in real time at www.twitter.com/wheatworld and www.facebook.com/wheatworld.

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Fall Wheat Conference Underway in Houston

Grower-leaders and staff from NAWG and U.S. Wheat Associates are gathered in Houston until Saturday for the 2012 Fall Wheat Conference. The conference encompasses both organizations’ fall committee and Board meetings, as well as meetings of NAWG/USW joint committees and a meeting of both Boards together. Consequences of the 2008 Farm Bill’s expiration and potential paths forward for new farm policy are topics dominating the meetings’ discussions. A recap of major actions and audio reports on NAWG committee meetings will be available in next week’s quick update. Those who aren’t attending the Conference can get updates in real time by following @wheatworld (NAWG) and @uswheatassoc (USW) on Twitter or searching for the hashtag #fallwheat12.

Panama FTA to Be Entered Into Force on Oct. 31

The long-pending Panama-U.S. free trade agreement (FTA) will be entered into force next week, the office of the U.S. Trade Representative (USTR) announced Monday. Nearly half of U.S. agricultural products, including wheat, will be able to enter the country duty-free when the agreement is officially in effect, with remaining tariffs phased out over 15 years. The agreement is one of three such pacts negotiated and signed in 2006 and 2007, then stalled for political reasons until they were signed by President Barack Obama last October. The two other agreements, with Colombia and South Korea, have already been activated. NAWG and U.S. Wheat Associates strongly supported the approval of the Panama FTA. More about the agreement is at http://www.ustr.gov/trade-agreements/free-trade-agreements/panama-tpa.

Arcadia, CIMMYT and USAID Partner-Up on Heat Tolerant Wheat Research

Arcadia Biosciences, international wheat research organization CIMMYT and the U.S. Agency for International Development (USAID) announced late last week they would work together to develop heat-tolerant wheat varieties using classical breeding and modern molecular biology tools. Under the terms of the agreement, CIMMYT will receive non-exclusive rights to the new technology in developing countries while the company will retain exclusive commercial rights in the developed world. Arcadia will lead the program under a $3.8 million grant from USAID. The organizations said in the announcement that heat-tolerant wheat can play a significant role in maintaining yields and meeting demand in both the developed and developing world. More on the new partnership is at http://www.arcadiabio.com/news/press-release/arcadia-biosciences-usaid-and-cimmyt-develop-heat-tolerant-wheat.

Ukraine Confirms It Will Ban Wheat Exports Following Drought

The Ukrainian government confirmed this week the country will ban grain exports beginning Nov. 15 to preserve domestic supplies following a year plagued by weather problems. The announcement was not unexpected, however it did have a slight initial effect on the global wheat markets. The United States has also suffered from a drought this year but maintains adequate supplies of wheat for domestic consumption and export. The U.S. Constitution prohibits similar export bans. More from U.S. Wheat Associates on the reliability of U.S. wheat exports is at http://www.uswheat.org/tradepolicy/reliability.

Drought Conditions Have An Upside: Minimal Scab Appearance

Abnormally dry conditions in much of the United States this year resulted in disappointing yields for many farmers, but had at least one upside: minimal problems with Fusarium head blight, also known as scab, and vomitoxin (DON), the mycotoxin it creates. Very few areas had significant issues with the disease in 2012, scientists are reporting. The most recent issue of the U.S. Wheat and Barley Scab Initiative’s (USWBSI’s) electronic newsletter includes a detailed recap of the season in scab for each grain-growing region. It is available in full at http://www.scabusa.org/pdfs/fus-focus_10-2012_newsletter.pdf.

Sen. George McGovern Remembered for Hunger Relief Advocacy

The agriculture community remembered former Senator and Ambassador George McGovern this week as one of the country’s great anti-hunger advocates. McGovern, who was perhaps best known for being a presidential candidate in 1972, passed away Sunday at the age of 90. According to the North American Millers’ Association (NAMA), McGovern co-authored the school lunch program and worked to spread such programs to countries all over the world. He was the head of the U.S. Food for Peace program, was an ambassador to the United Nations for food programs and helped to formulate what evolved into the UN’s World Food Programme. He was also a co-author of the food aid program named for him and former Sen. Bob Dole, who eulogized him in a Washington Post opinion piece over the weekend. For their work, Dole and McGovern were awarded the World Food Prize in 2008. NAMA’s full statement on McGovern’s work is at http://www.namamillers.org/PR_McGovern_10_22_12.html.

Applications for Minore Scholarship for Ag Students Due Dec. 1 

The National Wheat Foundation is accepting applications for the Jerry Minore Memorial Scholarship until Dec. 1. The scholarship is available to undergraduate freshmen, sophomores and juniors who are pursuing an agriculture-related degree and have family or other connections to the wheat industry. The scholarship program will give two $1,500 and two $1,000 awards for the 2013-2014 academic year. The scholarship program, generously funded by BASF, honors Jerry Minore, who was a longtime friend of the wheat industry and advocate for wheat farmers during his time with the company. More information about the application process is at http://www.wheatfoundation.org/projects-programs/education/.

Extra Credit: New Online Info Hub, FoodSource

This week, NAWG recommends readers explore FoodSource, a new online information hub unveiled this week by the U.S. Farmers and Ranchers Alliance (USFRA). The resource is designed to be a one-stop shop for answers to consumer questions about how food is grown and raised. The site delves into topics including biotech seeds, food prices, food safety and pesticides, herbicides and fertilizer. FoodSource is available at www.fooddialogues.com/foodsource.

Here’s a quick update on ag policy happenings this week. The most up-to-date information from NAWG is always available online at www.twitter.com/wheatworld.

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CME Group to Acquire Kansas City Board of Trade

CME Group will acquire the Kansas City Board of Trade (KCBT) in a $126 million deal, the companies announced this week. CME reportedly outbid other competitors for the 156-year-old KCBT, which is the leading futures market for hard red winter (HRW) wheat. CME said in a press release it will continue to maintain a committee of KCBT market participants to advise on HRW contract terms and conditions for at least three years. CME will also maintain the KCBT trading floor for at least six months. The deal, which was unanimously approved by the KCBT board of directors, is expected to close later this year. More from CME is at http://cmegroup.mediaroom.com/index.php?s=43&item=3331.

Legality of BNSF’s Acquisition by Berkshire Called Into Question

The legality of Berkshire Hathaway’s acquisition of BNSF Railway has been called into question following the discovery that Berkshire owned short-line railroads in Oregon and Iowa before the transaction. Ownership of these assets means Berkshire needed approval by the Surface Transportation Board (STB) before it purchased BNSF in 2010, which it did not receive. BNSF has acknowledged that the acquisition should have been subject to the STB’s authority and has said the company will sell both railroads by the end of year and provide progress reports to the STB every 30 days. BNSF believes legislators’ calls for regulatory action on the issue are an “unnecessary overreach and a waste of taxpayer dollars.” A separate concern for rail customers is the $8 billion acquisition premium paid by Berkshire when it bought the railroad and whether or not BNSF will raise rates to compensate for that premium. The STB has issued a notice requesting public comments on the BNSF acquisition by Nov. 8.

USDA’s NRCS Highlights Initiative to Focus on Soil Health

USDA’s Natural Resource Conservation Service (NRCS) recently announced the start of a concerted effort to highlight the benefits of improving and maintaining soil quality, which is particularly timely in light of the severe drought plaguing many U.S. farming regions. NRCS Chief Dave White said the effort will aim to “provide farmers the very best information available to meet their unique needs and help their business thrive.” NAWG and several other production agriculture and conservation groups recently wrote White in support of this initiative, telling him that soil health is part of a systems approach that benefits landscape and wildlife, reduces runoff and saves farmers money. The groups also pointed to the importance of farm bill conservation programs to aid this effort, and thus the urgent need to reauthorize new legislation to replace the expired 2008 Farm Bill. More from NRCS on soils health is at http://soils.usda.gov/sqi/. The full stakeholder letter is at www.wheatworld.org/sustainability.

FSA Payments $1.2 Billion Less Than Expected in FY2012

Outlays from USDA’s Farm Service Agency (FSA) programs were $1.2 billion lower than expected in FY2012, the Treasury Department and Office of Management and Budget (OMB) reported late last week. The figure came as part of a review of overall income and spending by the federal government during its 2012 fiscal year, which ended Sept. 30. The difference in FSA outlays was attributed to “lower commodity marketing loan-making and higher loan repayments than anticipated, due to higher-than-estimated crop prices.” FSA also paid out less for 2010 disaster assistance than anticipated. The overall federal budget’s deficit in FY2012 was $1.089 trillion, $207 billion less than FY2011. Additional details on the report are at http://www.treasury.gov/press-center/press-releases/Pages/tg1734.aspx.

U.S.-Canada Grain Trade Site Has New FAQs Available

A website offering information for farmers who are considering trading wheat across the U.S.-Canadian border has updated FAQs now available. The site, www.canada-usgrainandseedtrade.info, was launched in August by U.S. and Canadian non-profit and trade associations following the Aug. 1 elimination of the Canadian Wheat Board’s monopoly on wheat sales. That change opened up cross-border trading market for wheat, durum and barley. The FAQs are designed to illustrate how the two markets may be different but can work together in a mutually beneficial relationship. Visitors to the site can also submit additional questions or comments.

National Wheat Foundation Board Meets in Fort Worth

The National Wheat Foundation’s Board of Directors met Tuesday in Fort Worth, Texas. The day-long meeting focused on refining the organization’s messages for forthcoming fundraising and outreach campaigns as well as resource allocation to help facilitate the Foundation’s activities. NWF appreciates the hospitality of its host for the meeting, BNSF Railway. More about the Foundation is at www.wheatfoundation.org.

WOLF Training Programs Applications Due Nov. 9

Applicants for the Wheat Organization Leaders of the Future (WOLF) leadership training program should plan to submit their materials by Nov. 9. The program is put on annually by the National Wheat Foundation, which is managed by the NAWG staff, with supporting sponsorship from Bayer CropScience. The program focuses on the responsibilities of Board members, governance, media relations and lobbying, and it is primarily intended to provide advanced leadership training for state wheat grower leaders who will soon become part of the NAWG Board of Directors. The 2013 WOLF program will be held in association with the Wheat Industry Winter Conference in Washington, D.C., in January. Application information is at http://www.wheatfoundation.org/projects-programs/leadership-training/.

Extra Credit: Best Food Facts Blog on “Is Wheat A ‘Perfect Chronic Poison’”?

This week, NAWG recommends readers take a look at the Best Food Facts blog’s take on claims circulating in the media that wheat is “a perfect chronic poison.” In the post, university experts in human nutrition and plant science weigh in to set the record straight and put the genetic history of wheat in a context that is easy for a lay person to understand. The post is online at http://www.bestfoodfacts.org/food-for-thought/wheatperfectchronicpoison.

Here’s a quick update on ag policy happenings this week. The most up-to-date information from NAWG is always available online at www.twitter.com/wheatworld.

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Presidential Candidates Sling Accusations on Farm Bill

Agriculture policy was front and center in the presidential campaign this week. Republican candidate and former Massachusetts Governor Mitt Romney campaigned at a century farm in Iowa on Tuesday, joined by members of Iowa’s Congressional delegation. Romney criticized many of President Barack Obama’s agriculture policies, including his stance on the estate tax and the Administration’s export and regulatory policies. The Obama campaign this week issued an open letter to farmers and ranchers highlighting the farm and rural initiatives undertaken by the Administration and criticizing House Republicans for lack of action on the farm bill. A transcript of Romney’s full remarks is available at http://farmpolicy.com/wp-content/uploads/2012/10/GovRomIowa10Oct9.pdf. The open letter from Obama is at http://www.wheatworld.org/wp-content/uploads/other-obama-open-letter-election-2012.pdf.

Reports: No Major Developments or Discussions on Farm Bill, Timing

The ag community is holding its breath that when the election is over in four weeks, Congress will return for a lame-duck session and pass a comprehensive, five-year farm bill, though that goal seems very far off. In a recent interview with CQ-Roll Call, House Agriculture Committee Chairman Frank Lucas (R-Okla.) said he hasn’t spoken with Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) or Ranking Member Pat Roberts (R-Kan.) since the recess started. Lucas has an uphill battle ahead of him in trying to get House approval of his bill, though Majority Leader Eric Cantor (R-Va.) provided some hope recently, saying about the farm bill during a campaign event that, “[i]f it’s going to pass, we’re going to need some tweaks.” NAWG strongly supports approval of a new, long-term bill this year.

NAWG Urges EPA to Reject RFS Waiver Request

The recent drought – not the existing renewable fuels standard (RFS) – is the primary cause of economic hardship facing many agricultural producers, and waiving the RFS would hurt the country’s efforts to develop alternate fuels and rural economies, NAWG said in comments this week to the Environmental Protection Agency (EPA). The statement from NAWG President Erik Younggren, a wheat farmer in Minnesota, was submitted Wednesday. The comment period closed Thursday; a final decision on the waiver request is expected in late November. NAWG’s full comments are available at http://www.wheatworld.org/wp-content/uploads/celleth-NAWG-comments-RFS-waiver-proposal-20121009.pdf.

ARS Seeking New National Program Leader for Grain Crops

USDA’s Agricultural Research Service (ARS) is accepting applications from scientists interested in becoming the next national program leader responsible for leading and coordinating ARS grain crop improvement, production and protection programs. The position is vital to wheat research within the Department, charged with representing grains during USDA priority-setting exercises; serving as the ARS’ technical expert on grain research both inside and outside the department; and liaising with outside scientists, industry and other government agencies. The application window is open until Nov. 1. The full job announcement is at https://www.usajobs.gov/GetJob/ViewDetails/327955700.

New Crop Insurance Website Lets Groups, Small Businesses Show Support

National Crop Insurance Services (NCIS) announced on Wednesday the launch of a new website to allow groups to show their support for crop insurance. According to the NCIS press release, the website, www.SupportCropInsurance.org, will allow “organizations, farmers, agents, small businesses and others to sign an open letter to Congress in support of crop insurance.” Crop insurance is the top risk management tool for U.S. farmers and, following this year’s record-setting drought, it has become clearer than ever how important crop insurance is. Nearly 80 percent of wheat acres in the U.S. are covered by some form of crop insurance.

Wednesday Webinar Set on Teaching the Next Generation About Agriculture

The Alliance to Feed the Future is hosting a webinar next Wednesday on the issue of agriculture education. The online event will be held from 12:30 until 2 p.m. Eastern time. It is scheduled in association with the World Food Prize events and will feature a panel talking about making agriculture part of school curricula, shaping how young people see agriculture and providing resources to educators and parents. Registration is free but space is limited. To register, go to http://event.netbriefings.com/event/ific/Live/alliance/.

Grain Chain Teams Up with USDA to Promote MyPlate and Whole Grains

Wheat industry and nutrition education groups recently launched a partnership with USDA’s Center for Nutrition Policy and Promotion (CNPP) on whole grains education by releasing a series of videos on how to incorporate whole grains into daily diets. The videos feature Liz Weiss, a registered dietician, cookbook author and family nutrition expert, who shares creative, healthy and economical ways to increase whole grain consumption. The short videos are available online via Wheat Foods at www.wheatfoods.org or at www.choosemyplate.gov/videos.html.

From U.S. Wheat: WASDE Shows Wheat Production, Consumption Down

Wheat futures received a bump up today following the release of USDA’s October World Agricultural Supply and Demand Estimates (WASDE) report. For the second time in two weeks, USDA’s production estimates for wheat came in below industry expectations and provided support for futures markets. USDA lowered estimated 2012/2013 global wheat production 1 percent from its September estimate and 6 percent below last year’s production. USDA also lowered its total global wheat consumption estimate. U.S. Wheat’s full analysis of the WADSE report is in the Oct. 11 Wheat Letter at http://www.uswheat.org/newsEvents/wheatLetter.

Extra Credit: World Without Food Science

If you’re looking for an extra something this week, check out “World Without Food Science,” a short but illustrative video depicting an alternate universe without plant science, microbiology and the other science that goes into food production, processing, packaging and transportation. The video is at http://www.youtube.com/watch?v=yhuaXO2A3Tk or www.worldwithoutfoodscience.org.

Here’s a quick update on ag policy happenings this week. The most up-to-date information from NAWG is always available online at www.twitter.com/wheatworld.

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Agriculture Community Reacts to Farm Bill Expiration

The 2008 Farm Bill became a thing of the past on Monday, expiring with no replacement law on the books. NAWG and 14 other stakeholder groups released a statement early in the week summarizing the impacts of the lapse on agriculture programs, pointing out that “it has terminated a number of important programs and will very adversely affect many farmers and ranchers, as well as ongoing market development and conservation efforts.” Sectors most affected include dairy, trade and conservation. The full stakeholder statement is online at http://www.wheatworld.org/news-events/2012/10/group-statement-on-expiration-of-the-2008-farm-bill/.

Congressional Democrats reacted fiercely to the farm bill’s expiration, saying it is being held up by inaction on the part of the House Republican leadership. Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) released a statement on Monday demanding that the House take up a new, five-year farm bill on the “first day of the November lame-duck session.” House Minority Leader Nancy Pelosi (D-Calif.) said later in the week she would support an ongoing discharge petition to bring the pending House bill to that chamber’s floor. Secretary of Agriculture Tom Vilsack shared similar frustrations in a statement from the Department saying the expiration left “USDA with far fewer tools” to do its work. NAWG continues to work with USDA officials and other commodity groups to understand the growing impacts of the farm bill’s expiration on farmers and vital agriculture-related programs.

Conservation Programs Affected by Farm Bill Expiration, CR Funding

Farm-focused conservation programs are among those experiencing the immediate effects of the 2008 Farm Bill’s expiration and the new continuing resolution. Many conservation programs including the Environmental Quality Incentives Program (EQIP), the Conservation Stewardship Program (CSP), the Wildlife Habitat Incentives Program (WHIP) and the Farmland Protection Program (FPP) are continuing but under reduced funding levels outlined in the recently-passed continuing resolution that extended federal spending until March of 2013. For example, funding for EQIP is expected to be reduced by some $350 million, and funding for CSP is restricted to prevent new contract sign-ups, although all existing contracts will continue to be honored.

Funding authority for the Conservation Reserve Program (CRP) expired on Sept. 30, but existing contracts and agreements under the program will remain in effect and payments will continue as scheduled. Contracts on some 6.5 million acres of CRP land are set to expire in 2012, with an additional 3 million acres coming out of the program in 2013. The gradual drawdown of CRP acreage is consistent with NAWG’s 2012 Farm Bill recommendations, which suggested an overall CRP program size of approximately 25 million acres versus the present program authorization of 32 million acres, though an automatic draw-down would not prioritize re-enrolling expiring acres that are most sensitive or highly-erodible.

Foreign Market Development Program Shuts Down With Farm Bill

The Foreign Market Development (FMD) program, a highly successful public-private partnership program used to help domestic industries build markets abroad for American products, is no longer issuing funds to cooperator organizations due to the expiration of the 2008 Farm Bill. Within the wheat industry, FMD is a critical source of funding U.S. Wheat Associates (USW) uses to promote exports in more than 100 countries. USW is continuing operations in the short term using other sources of funding, but FMD’s inactivity means the organization and others like it will have to cut back activities, which will hurt farmers because demand for their commodities around the world will decline. NAWG strongly believes funding for FMD and other export market development programs must be restored quickly for the benefit of the wheat industry and the larger economy. Studies have shown that every dollar spent on market development programs increases ag exports by $35; within the wheat industry, the ROI is about $115 to $1 through a direct effect on wheat prices and wheat farmer income.

National Campaign Launched to Urge Preservation of Renewable Fuels Incentives

NAWG and other stakeholder groups launched the Fuels America coalition last week, focusing on defending the renewable fuel standard (RFS) from calls to waive all or parts of the mandate. The RFS requires the volume of renewable fuel blended into transportation fuel to increase from nine billion gallons in 2008 to 36 billion gallons by 2022, with the goal of reducing imported petroleum and greenhouse gas emissions while encouraging development and expansion of the nation’s renewable fuels sector. NAWG and others in the agriculture sector have an interest in the development of renewable fuels because many potential alternative fuels utilize agriculture residues, such as wheat straw, as a fuel feedstock. However, a waiver of the RFS would send a signal to the investment community that the U.S. is not going to stand by its support for the renewable fuel industry. A full list of Fuels America members and more about the coalition is at http://www.fuelsamerica.org/.

Federal Judge Tosses New CFTC Position Limits

Rules on commodity trading position limits put in place by the Commodity Futures Trading Commission (CFTC) were thrown out late last week by a federal judge who ruled they do not reduce speculation in the markets as claimed. Position limits have been in place for certain agricultural commodities such as wheat for some time, but the Dodd-Frank regulation reform law mandated that position limits include other commodities, such as gold and natural gas. The new limits, which were added to the Commodity Exchange Act, would only apply if they were found to reduce excessive speculation in the marketplace, which the district judge ruled that CFTC has not clearly proven. CFTC is reportedly examining administrative and legal options to reinstate the position limits.

Extra Credit: White Bread Isn’t White Trash

This week we are recommending readers who want a little bit more dig in to “Why demonizing white bread falls flat” by Elena Ferretti at FoxNews.com. This approach to a hot food debate provides the history of “white bread,” an overview of its nutritional perks and a balanced view of the importance of both white and whole grain products. The full story is at http://www.foxnews.com/leisure/2012/10/01/white-bread-isnt-white-trash/.

The 2008 law governing many of our nation’s farm policies expired on Sunday, September 30th, and the 2012 Farm Bill needed to replace it is bottled up in Congress. While the Senate and the House Agriculture Committees were both able to pass their versions of the new farm bill, the full House was unable to do so. While expiration of farm bill program authorities has little or no effect on some important programs, it has terminated a number of important programs and will very adversely affect many farmers and ranchers, as well as ongoing market development and conservation efforts. Following is a summary of these impacts.

Programs Affected by Expiration of the 2008 Farm Bill

Dairy producers will face considerable challenges. The Milk Income Loss Contract (MILC) program expired on Sunday. That program compensated dairy producers when domestic milk prices fall below a specified level. Without a new farm bill, dairy farmers are left with uncertainty and inadequate assistance. While milk prices are high enough that the price support program doesn’t kick in; unfortunately, there is no other safety net to help battle the highest feed costs on record.

Many farmers, ranchers and agribusiness or agricultural processors benefit from the Foreign Market Development Program (FMD). FMD is a cost-sharing trade promotion partnership between USDA and U.S. agricultural producers and processors. The program pools technical and financial resources to conduct overseas market development. FMD helps maintain and increase market share by addressing long-term foreign market import constraints and by identifying new markets or new uses for the agricultural commodity or product in the foreign market. That funding, as well as specific funding for personnel to run the program at USDA, will run out at the end of October. Since 31 percent of our gross farm income comes from exports which also make a positive contribution to our Nation’s trade balance, trade promotion is an important part of our safety net. Other countries will most certainly take advantage of the fact that the program is rendered inoperable and will do what they can to steal our markets – and everyone knows, the hardest market to get is the one you lost.

About 6.5 million acres rotates out of the Conservation Reserve Program (CRP) this year. While current contracts are protected, no new signup will be allowed for CRP or the Conservation Reserve Enhancement Program (CREP). Both of these programs are voluntary land retirement programs that helps agricultural producers protect environmentally sensitive land, decrease erosion, restore wildlife habitat, and safeguard ground and surface water. In addition, there cannot be sign up for the Wetlands Reserve Program or the Grasslands Reserve Program.

Both versions of the new Farm Bill contain funding for the disasters facing the livestock industry due to the drought. However, programs are currently only available for lack of forage, as well as death of animals.

Most producers of fruits and vegetables do not have a safety net, but instead receive funding to augment the competitiveness of specialty crops through programs that enhance trade, promote cutting-edge research, and implement on-the-ground projects to protect crops from disease and invasive species. Funding for these programs ended when the Farm Bill expired.

Numerous other programs, including energy, agricultural research, rural development and funding for new and beginning farmers could be added to this list of affected programs. The bottom line is that while expiration of the Farm Bill causes little or no pain to some, others face significant challenges.

Programs Not Affected by Expiration of the 2008 Farm Bill

Almost 80 percent of the Farm Bill’s cost is for nutrition programs – primarily the Supplemental Nutrition Assistance Program (SNAP), formerly commonly known as food stamps. Most recipients of nutrition program benefits will not be affected because the SNAP program did not need to be extended. Funds for nutrition assistance programs will continue to be provided to those Americans without issue.

Farmers and ranchers who manage their risks using the farm bill’s crop insurance provisions will be unaffected because, like SNAP, those programs don’t expire. Nor do some of the conservation-related programs. In addition, most commodity-specific programs are largely covered by the 2008 Farm Bill since it applies to the 2012 crop year, rather than the 2012 fiscal year. The main challenge, however, will be in planning for 2013. This includes lining up the critical financial assistance needed from lending institutions which prefer, if not demand, to see business plans presented in black and white. That will be difficult when producers don’t know when to expect a new Farm Bill – or what type of financial safety net is likely to be included in that bill.

Congress will return in mid-November for a lame-duck session prior to final adjournment in December. We will work to have the first order of business for the House of Representatives be to consider a new Farm Bill. We are urging our members to seek out their House members between now and the elections and remind them of the consequences of not having a new bill in place prior to adjournment at the end of the year.

American Farm Bureau Federation

American Pulse Association

American Soybean Association

National Association of Conservation Districts

National Association of Wheat Growers

National Barley Growers Association

National Corn Growers Association

National Council of Farmer Cooperatives

National Farmers Union

National Milk Producers Federation

National Sunflower Association

United Fresh Produce Association

USA Dry Pea & Lentil Council

U.S. Canola Association

Western Growers Association

Congress is back on recess until mid-November. Quick editions will replace NAWG’s regular publications until then unless news warrants more in-depth coverage. The most up-to-date information from NAWG is always available online at www.twitter.com/wheatworld.

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2008 Farm Bill to Expire on Sunday After Congressional Inaction

The slogan “Farm Bill Now” is rapidly turning into “Farm Bill…..Now What?” as the 2008 Farm Bill is set to expire on Sunday with no replacement legislation. Congress recessed last weekend until after the November elections, leaving an anticipated lame duck session as the next possible time for work on a five-year farm bill. However, what comes out of that work period will depend heavily on election results.

If a full farm bill reauthorization is not completed before the end of the year, legislators could be faced with dramatically fewer dollars in the bill’s baseline, which will be updated in January and again in March. The only other farm bill to be enacted in a lame duck session was the 1990 bill, and it is unprecedented for a farm bill to be reintroduced in a new Congress after failing to achieve passage in a previous Congress.

NAWG will continue to work with Members of Congress and stakeholder organizations toward passage of a five-year, comprehensive bill before the end of the Congressional session. More on farm bill possibilities and impact is at www.wheatworld.org.

Communication with Congress More Vital Than Ever

With Congress out on recess again until after the election, more grassroots action is needed to urge work on a five-year farm bill before the end of the year. Tell your Members of Congress that you want a farm bill by calling, through social media or at www.farmbillnow.com. Many House Members will be easily accessible in their districts over the next few months, which will also provide opportunities for interaction. A large showing of grassroots support is necessary to achieve a new farm bill! More about the farm bill process, what could happen next and NAWG’s farm bill work is at http://www.wheatworld.org/newsroom/latest-news/.

Senate Approves Six-Month Continuing Resolution, Congress Heads Home

The Senate approved a six-month continuing resolution on Sept. 22, allowing Congress to leave for a seven-week recess ahead of the November elections. The final vote on the bill was 62 to 30; the House approved it the week prior by a 321 to 91 vote. The measure held most programs at existing funding levels though it did make cuts to farm bill conservation programs. The funding bill pushes off final FY2013 spending decisions until after a new Congress is in place. It did not deal with either upcoming sequestration cuts or planned tax cut expirations.

Budget Bright Spot (For Now): Scab Initiative Funding Partially Restored

The wheat industry received rare positive budget news last week when the U.S. Wheat and Barley Scab Initiative (USWBSI) informed researchers that 66 percent of the funding cuts from the Initiative’s FY2012 budget are being restored. Universities receiving funding through the initiative include North Dakota State University, University of Minnesota, Kansas State University, Virginia Tech and University of Kentucky.

As reported in March, USDA’s Agricultural Research Service (ARS) sought to close an estimated $40 million budget shortfall tied to the closure of 12 labs by cutting funding for extramural supported research and in-house programs and by restricting hiring. The original cut to USWBSI from this effort was around 30 percent of FY2012 funds, or $1.464 million. ARS is returning $965,000 to the USWBSI so that total funding for FY2012 for the USWBSI will be $4.53 million. All FY2012 USWBSI ongoing projects that were part of an extramural agreement between ARS and state universities will be fully funded. Many new projects that were priorities for the initiative will also now be able to be funded.

Since many of the costs associated with the Congressionally-mandated closures were not incurred this fiscal year, complete closing costs still need to be covered in subsequent fiscal years. That plus looming sequestration budget cuts could impact both ARS research programs and extramural funding in FY2013 and future years.

North Dakota State University and Monsanto Announce Wheat Breeding Collaboration

North Dakota State University (NDSU) and Monsanto announced last week they are forming a collaboration to improve their hard red spring (HRS) wheat breeding programs. The project will aim to develop new breeding and genetic tools to improve breeding efficiencies and provide improved varieties to North Dakota growers. NDSU and Monsanto said the collaboration follows the principles for public-private partnerships developed by the NAWG and U.S. Wheat Associates Joint Biotechnology Committee. More is available at http://www.ag.ndsu.edu/news.

Friday Seminar on the Hill to Tackle Food Needs Over the Next 40 Years

A Capitol Hill lunch seminar on Friday will tackle the huge and looming question of how the world’s farmers will feed the projected 9.6 billion people expected to be on earth in the next 40 years. The seminar will highlight the important role agricultural research can have in solving future problems and encourage a sustainable, realistic approach to feeding the rapidly expanding population. The scheduled speaker is Dr. Robert Thompson, a visiting scholar from Johns Hopkins University’s international school. The event is being sponsored by the National Coalition for Food & Agricultural Research (NC-FAR) and the Alliance to Feed the Future; NAWG is a member of both groups. The session will start at noon in 1302 Longworth House Office Building, with lunch served for those participating. More information is at http://www.ncfar.org/Hill_Seminar_Series_2012.asp.

Extra Credit: Treat Your Wheat…With the Respect It Deserves in Your Diet

Each week, NAWG staff members read dozens of articles that hit the nail on the head or make us consider an issue in a way we hadn’t previously. Some are particularly worth sharing, so we’re starting an occasional feature where we offer curated recommendations. We’ll call it “extra credit” for our loyal readers who want a bit more. This week, NAWG recommends “Treat Your Wheat…With the Respect It Deserves in Your Diet,” which was included in the Sept. 13, 2012, edition of Wheat Letter, published by our sister association, U.S. Wheat Associates. The article takes on claims that wheat is less-than-nutritious and explores the importance of the vital grain to our bodies and our history. This story is available in full at http://www.uswheat.org/newsEvents/newsRelease/doc/79BEF06A6598DB6585257A8600571F94?OpenDocument.

A statement from National Association of Wheat Growers President Erik Younggren, a wheat and sugar beet farmer from Hallock, Minn.:

“Congress has now left Washington with no new farm bill passed and no clear path for how one will get passed in the near future.

“As a farmer who grew up on the land I still farm, and as the leader of a national organization made up of men and women whose families are dedicated to their farm businesses, this development is both surreal and deeply unsettling.

“Members of Congress are now fanning out across our nation to ask for our support in their efforts to get their jobs back. Regardless of party or position, we strongly encourage farmers to ask their legislators for an explanation of why they have failed to pass this fundamental legislation despite ample time and the worst drought conditions in our lifetimes.

“We thank our agriculture leaders – Chairwoman Stabenow, Ranking Member Roberts, Chairman Lucas and Ranking Member Peterson – and many other faithful Members who have worked hard to push the farm bill forward.

“We can only hope that House leaders have the will to bring forward the five-year reauthorization of the farm bill as the first item of business when they return in November and get done what should have been done long ago.”

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President Abraham Lincoln once observed “You cannot escape the responsibility of tomorrow by evading it today.”

But that seems to be exactly Congress’ strategy, with both the House and Senate scheduled to recess at the end of this week without completing reauthorization of the 2008 Farm Bill.

Since the current farm bill is set to expire on Sept. 30, this would be only the second time in nearly 40 years that a farm bill will have expired without action to at least extend the previous authorization.

That is not to say that efforts have not been made to reauthorize the 2008 Farm Bill.

In particular, Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) and Ranking Member Pat Roberts (R-Kan.) deserve great credit for not only moving a farm bill through their Committee in record time but also for having the full Senate approve the five-year reauthorization on a strong bipartisan vote in June. That reform-minded measure would have saved $23 billion over 10 years.

Likewise, the House Agriculture Committee, under the leadership of Chairman Frank Lucas (R-Okla.) and Ranking Member Collin Peterson (D-Minn.), reported out a five-year bill in July, again with strong bipartisan support. Had it progressed, that measure would have saved $33 million over 10 years.

Unfortunately, matters ground to a halt after the House Committee action, with that chamber’s leaders declining to bring the measure to the floor for a vote. House Speaker John Boehner (R-Ohio) said Thursday the House would “deal with” the farm bill after November’s elections.

NAWG and many other commodity, conservation, environmental and nutrition stakeholders have used every opportunity to try to move the process forward. Just last week, NAWG and 90 other stakeholder groups held a Farm Bill Now rally in front of the Capitol and then blanketed the Hill to visit Member offices.

What now lies ahead is not entirely clear.

NAWG and other interested stakeholders will continue to press for a full five-year reauthorization of the farm bill during any lame-duck session of Congress.

Some have suggested Congress may elect to pursue a short-term extension, which is problematic on several fronts.

Even if a short-term measure could be passed – and all indications are it couldn’t at this point – it would still expire before the winter wheat crop is harvested in the spring. A longer-term extension of up to a year would push development of new farm policy into a new Congress with a much smaller amount of money available for agriculture and related programs.

It is still critical for every farmer and stakeholder to raise concerns about Congress’ inaction on the farm bill even as we stumble, in President Lincoln’s words, toward “…the responsibility of tomorrow…”.

For more on how to press for a new farm bill now, please visit www.farmbillnow.com.

Unbelievably, Members of Congress are headed out of town on Friday having not passed a new farm bill or extended the old one. This means that on Oct. 1, authorization for farm and food policies spanning the breath and depth of our economy will have expired.

Wheat farmers who are now taking on operating loans for the 2013 crop and putting it in the ground will be joined by many, many others wondering what farm safety net will exist in the new year and how much more deeply farm programs will be cut when the new Congress is seated in January.

Here are a few possible scenarios for what might happen next:

On Sept. 30, the 2008 Farm Bill expires, taking with it authorization for most farm and food programs, with the notable exceptions of crop insurance, authorized under the Federal Crop Insurance Act, and some conservation programs.

Many programs will continue to function, however, particularly if they have an appropriation the pending six-month continuing resolution. USDA is preparing a plan to phase out programs as law and funding expire.

Assuming Congress returns for a lame duck session – which is scheduled, but not guaranteed – both the House and Senate could consider a full, five-year bill, a three-month extension of the 2008 law or a one-year extension of the 2008 law.

The steps to pass a new, five-year farm bill in this Congress are surprisingly few: the House needs to approve the bill already presented by the House Agriculture Committee, that bill needs to be conferenced with a Senate bill, and the compromise measure needs final approval from both chambers and the president’s signature.

A House whip conducted last week on a three-month extension fell short of getting necessary support. Such an extension after the election would be even less likely.

More discussion has centered on a one-year extension in the lame duck to extend current law into the fall of 2013. This pushes off to the 113th Congress the task of finishing a five-year bill, which would be all the more difficult because funding is expected to be reduced for farm programs through some combination of sequestration, scoring changes and political shifts.

The path of a one-year extension depends heavily on the outcome of the November elections. Speculation is that if Republicans take the White House and the Senate, they will extend current law for a year and then work to create a new version of the farm bill tailored to Republican priorities.

If a lame duck session does not happen, or if there is no movement on passing an extension or five-year bill before the end of the year, the Agriculture Act of 1949 would go into effect on Jan. 1.

This underlying law is commonly known as “permanent law” because new farm bills actually amend it, rather than creating wholly original pieces of legislation. The soon-to-expire farm bill suspends permanent law until the end of the 2012 crop year.

The 1949 law uses “parity prices” for price support. A parity price is set to guarantee producers 50 to 90 percent of parity using the 1910 to 1914 ratio as a benchmark. For example, the farm market price for wheat in 2012 is $6.37 per bushel, and the parity price for wheat is $18.10 per bushel. Under permanent law the price for wheat would be set at 75 percent of the parity price, which would be $13.58 per bushel.

Rice, cotton, milk and honey would also have higher permanent law support prices than the market price while feed grains including corn, sorghum, barley and oats would not currently trigger permanent law price support. Soybeans, other oilseeds, peanuts and sugar beets would not have any support under the 1949 law.

Wheat is in a unique position since it is the first crop harvested, with 2013 winter wheat harvested as early as April. In theory, if Congress continues to do nothing, wheat growers could be receiving $13.58 per bushel from the government for their 2013 winter wheat.

Of course, if no lame duck session is scheduled, farmers and all other Americans will face two economic issues more drastic than a return to post-war era farm policy: sequestration cuts set to go into effect in January and the expiration of tax cuts, the combination of which is known as the “fiscal cliff.” Without action, this deadly duo is likely to upend the already shaky U.S. and world economies.

A Congressional Research Service report with more detail on possible 2008 Farm Bill extension or expiration scenarios is available through FarmPolicy.com at http://farmpolicy.com/wp-content/uploads/2012/09/R42442.pdf.

The National Wheat Foundation is pleased to announce the 10 participants selected for the 2012 Wheat Industry Leaders of Tomorrow (WILOT) training program.

WILOT is held annually for wheat growers who would like to become involved in state or national association leadership for the first time. The program is a project of the Foundation and is planned and generously sponsored by Monsanto.

The five-day program will be held in mid-November and cover a broad range of topics necessary for effective leadership within wheat associations.

Scheduled presentations and trainings focus on the structure of the wheat industry; personality types and group facilitation skills; communicating with the public; media and social media; emerging policy issues; and lobbying.

Additionally, WILOT participants will have the opportunity to tour Monsanto’s biotechnology research facilities near St. Louis and talk with key members of the company’s wheat team about the research they are undertaking.

Members of the 2012 class include:

• Charlie Bumgarner, Great Falls, Mont.
• Dayton Christensen, Big Springs, Neb.
• Mark Formo, Mandan, N.D.
• Paul Fruendt, Guthrie, Okla.
• Steve Griffin, Washington, N.C.
• Michael McClellan, Palco, Kan.
• David Milligan, Cass City, Mich.
• Randon Peters, McCook, Neb.
• Chris Schmidt, Auburn, Mich.
• Will Stafford, NAWG, Washington, D.C.

NAWG First Vice President Bing Von Bergen, a wheat producer from Moccasin, Mont., and Director of Government Affairs for Environmental Policy Mark Gaede will both join the WILOT participants during the training.

More about National Wheat Foundation leadership programs is at http://www.wheatfoundation.org/projects-programs/leadership-training/.

Supporters of new, long-term farm and food policy continued this week to press the issue politically and procedurally in the face of House Leadership that is intransigent in its unwillingness to take up the House Agriculture Committee-approved bill.

More than a dozen Members of Congress joined the Farm Bill Now rally held on the Capitol grounds Wednesday, with many encouraging farmers and stakeholders to call all Congressional offices, every day, pressing a new farm bill.

Thursday, Reps. Kristi Noem (R-S.D.), a member of the House Leadership herself, and Peter Welch (D-Vt.) circulated a Dear Colleague letter asking House Majority Leader Eric Cantor (R-Va.) to meet and discuss the farm bill. It was sent Friday with 40 signatories.

Also Thursday, Rep. Bruce Braley (D-Iowa) filed a discharge petition, which is something of a political Hail Mary pass, aiming to bring the legislation to the full House.

If the petition gains 218 signatures, it will force floor consideration of the bill under an open rule. As of Friday afternoon, 53 Members of Congress had signed on, with a full list available at http://clerk.house.gov/112/lrc/pd/petitions/DisPet0005.xml.

House Republican Leaders continue to say there are not the needed votes available to pass new, long-term legislation to replace the 2008 Farm Bill, which expires Sept. 30. This contention is heavily debated by House Democrats, Senators and agriculture stakeholders who see the blockage as primarily political.

House leaders seem somewhat more open to further consideration of a disaster assistance package, though the body already passed one disaster bill before leaving for the August recess. The Senate has declined to take that package up, a position supported by NAWG and other grower groups in a letter sent to Senate leaders last week.

Leadership is also reportedly determining support for a three-month extension of the 2008 Farm Bill, which would at least prevent current law from expiring wholesale on Sept. 30.

Congress’ time at work before the November elections can now be more easily counted in hours than days. Both chambers will take a long weekend for Rosh Hashanah, returning for work next Wednesday through Friday. After that, they will be out of session until mid-November.

Meanwhile, the 2008 Farm Bill expires in just 16 days. If nothing is passed to replace it before that time, some programs will continue on, including the Supplementary Nutrition Assistance Program (SNAP), or food stamps. Most others will lose funding or authorization over the next three months until permanent law, written in 1949, takes over.

NAWG is watching closely the impact to vital trade promotion and research programs authorized in the 2008 Farm Bill that are due to expire Oct. 1.

USDA, which will be hard pressed to operate without current authorization, is preparing for what happens in the event of a complete expiration. NAWG leaders in town for the Farm Bill Now rally and Hill visits this week also visited officials at the Department to discuss possible impacts on farmers under that scenario.

NAWG strongly supports Congressional approval of a new, five-year bill this year. NAWG is urging Members of Congress to sign on to the discharge petition and voice support for new legislation publicly and to House leaders directly.

NAWG also encourages all farmers and other readers to contact their local House Member and House leaders to encourage consideration of the farm bill. All House Members can be reached through the House switchboard at (202) 225-3121. 

Farmers from around the country put on business suits and headed to the Capitol lawn Wednesday morning, united with nutrition, energy and conservation advocates in a clear message: pass a farm bill, now.

The hundreds-strong rally was supported by more than 90 groups and a dozen Members of Congress.

House Agriculture Committee Ranking Member Collin Peterson (D-Minn.); Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich); Sen. Jerry Moran (R-Kan.); and Rep. Kristi Noem (R-S.D.) addressed the crowd, urging phone calls to House Members and movement on the part of House Leadership.

Ten farm leaders also spoke, including NAWG First Vice President Bing Von Bergen, who farms wheat and barley in Montana, as well as representatives of 25x’25, the Alliance to End Hunger, the American Farm Bureau Federation, American Farmland Trust, the National Association of Conservation Districts, the National Consumers League and trade associations for producers of soybeans, corn, milk and fresh fruits and vegetables.

Von Bergen spoke on trade policies, which are vital to the wheat industry.

“Each year, we export about half of the total wheat crop produced in this country. Eighty percent of wheat from my home state goes overseas,” he said.

“To me, trade means money in farmers’ pockets, growth in our economy and doing my part to feed hungry people around the world.”

Other advocate representatives spoke on the importance of farm bill policies to providing growers a safety net, feeding hungry Americans and conserving U.S. lands, as well as the certainty a long-term farm bill provides to the ag sector, which supports 1 in 12 American jobs.

The rally is part of the larger Farm Bill Now effort launched in August at www.farmbillnow.com. The call to action there now has nearly 90 signatory groups, with an additional 1570 individuals signing a petition to support for the statement.

Quick approval of a new farm bill is essential to farmers and the larger economy. Wheat farmers are already planting next year’s crop without a clear understating of how farm policy will affect their businesses when harvest arrives.

Ten farmers from NAWG state associations in Washington, Montana and Idaho traveled to D.C. to attend the rally and farm bill-related Hill visits.

“We were happy to be able to come out to D.C. this week to inject a little bit of reality into the political debate around the farm bill,” said Joe Anderson, a wheat and dry bean farmer from Genesee, Idaho, and the president of the Idaho Grain Producers Association.

“We’ve been home doing our jobs, and we expect Congress to do theirs.”

For more about the rally Wednesday and the Farm Bill Now effort, visit www.farmbillnow.com.

Tweets, Facebook posts and pictures from the rally are available at www.twitter.com/wheatworld and www.facebook.com/wheatworld.

Members of Congress arrived in Washington this week ready to undertake their most basic work – funding the government – and then head back home.

Legislators in both chambers are focused on a six-month continuing resolution (CR), which was approved by the House Thursday evening on a 321 to 91 vote. The Senate is scheduled to take up the measure next week.

The short-term funding bill was pre-negotiated to be approved well before the end of the federal government’s fiscal year, which should avoid the last-minute nail biting of past efforts to continue or reauthorize federal funding.

The overall bill increases spending by $8 billion, to $1.047 trillion, the Republican concession to get a CR deal. In turn, Democrats agreed to let the measure run until March 2013, two months into the next Congress and presidential administration.

Most programs are maintained at existing funding levels, though some saw cuts.

For instance, agriculture conservation programs were hard hit, with the bill mandating no new enrollments in the Conservation Security Program (CSP); cutting $350 million from the Environmental Quality Incentives Program (EQIP), $50 million from the Farmland Protection Program and $35 million from the Wildlife Habitat Incentive Program (WHIP); and ending spending authority after Sept. 30 for the Wetland Reserve Program, Grassland Reserve Program and the Chesapeake Bay Regional Conservation Program.

Approval of a six-month CR will give federal agencies a small measure of budgetary certainty for the coming year, but that is far outweighed by the looming threats of deep sequestration cuts in January and a wholly unknown budget for the second half of the fiscal year.

The Obama Administration released a report late Friday outlining how sequestration would affect agency spending. A quick review of that showed USDA programs would be cut between 7.6 and 8.2 percent.

The CR does not address either part of the so-called “fiscal cliff,” the sequestration cuts mandated by law as part of last year’s attempted debt-deficit reduction efforts or tax cuts set to expire at the end of the year.

Congress is scheduled to be in session by late next Wednesday after an extended weekend for a Jewish holiday. However, it is unlikely either fiscal cliff issue will be addressed, if at all, until a lame duck session following the November elections.

The full CR language is at http://www.gpo.gov/fdsys/pkg/BILLS-112hjres117ih/pdf/BILLS-112hjres117ih.pdf.

The full sequester report language is at http://www.whitehouse.gov/sites/default/files/omb/assets/legislative_reports/stareport.pdf.

The following is National Association of Wheat Growers’ (NAWG’s) statement to The View regarding Wheat Belly claims discussed during the Sept. 11, 2012, episode:

“Humans have been growing and eating wheat for thousands of years, and the assertion that wheat’s nutritional value has been changed is patently untrue.

“Eliminating wheat foods means eliminating an important source of healthful nutrients that are vital to our bodies functioning properly, like fiber, iron, B vitamins, antioxidants, and folic acid, which is especially important to women of childbearing age.”

For more factual information about wheat and wheat nutrition, we recommend visiting our sister associations the Grain Foods Foundation and the Wheat Foods Council, or our nutrition website page.

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We hope you find this quick update useful. Congress and the complete editions of our regular publications will return next week.

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Wheat Farmers Coming to D.C. for Farm Bill Now Rally, Meetings

Wheat farmers and NAWG members will join hundreds of other farmers from around the country next week for a Farm Bill Now coalition rally on the Capitol grounds. Leaders from major farm and commodity groups, rural development, livestock, conservation and energy organizations will be on hand to energize the crowd before Hill meetings to urge passage of a five-year farm bill during September. Members of Congress have also been invited. NAWG First Vice President Bing Von Bergen, Second Vice President Paul Penner and Secretary-Treasurer Brett Blankenship are coming to Washington for the event and related Hill meetings, joined by half a dozen additional representatives from NAWG-affiliated state associations. The rally will begin at 11 a.m. at Union Square in front of the Capitol, between the Capitol Reflecting Pool and 3rd Street. NAWG will provide updates from the event online at www.twitter.com/wheatworld and www.facebook.com/wheatworld.

Media Encouraged to Cover Farm Bill Now Rally

Members of the media are encouraged to cover the Farm Bill Now rally scheduled for next Tuesday in Washington. The primary media contact for rally logistics and audio/video access is Dan McEvily, National Farmers Union communications coordinator, at dmcevily (at) nfudc.org or 202-314-3104. Members of the media wishing to speak to wheat farmers or about NAWG’s Farm Bill Now efforts can contact Melissa Kessler at mkessler (at) wheatworld.org.

Have You Signed On To the Farm Bill Now Message?

If you haven’t yet given your support to the Farm Bill Now message, go to www.farmbillnow.com to do so NOW! Start by reading the Farm Bill Now statement, endorsed by more than 60 agriculture groups. Then, put in your address, which will bring up a screen displaying local Members of Congress’ social media profiles and a place to submit your name to the expanding list of individuals supporting the petition!

Conventions Coming to a Close, Congress Coming Back to D.C.

The Democratic National Convention is meeting in Charlotte, N.C., this week, with President Barack Obama expected to accept his party’s endorsement for a second term on Thursday evening. Obama’s wife, Michelle, spoke to the crowd Tuesday, and former President Bill Clinton officially entered Obama’s name into nomination Wednesday. Secretary of Agriculture Tom Vilsack also made the pitch for his boss in a speech Wednesday. Republicans finished their convention last Thursday with presidential nominee and former Massachusetts governor Mitt Romney accepting his party’s mantle. The two conventions mark the end of the Congressional summer recess, with Members set to return to Washington, D.C., on Monday, Sept. 10.

Corn Growers Request RFS Comment Deadline Extension

Citing uncertainty in the corn crop and the current harvest season, the National Corn Growers Association has requested an extension to the comment period underway regarding possible modifications to the renewable fuels standard (RFS). The Environmental Protection Agency (EPA) published notice of a 30-day public comment period on Aug. 30. The call for comments was triggered by requests from four governors for an RFS waiver reducing the amount of renewable fuels needing to be produced under the law. NAWG supports the existing RFS and similar policies to expand the use of conventional ethanol and cellulosic ethanol. More on the comment period is at http://www.epa.gov/oms/fuels/renewablefuels/notices.htm. The full NCGA request is at http://ncga.com/news-stories/647-ncga-requests-extension-for-rfs-waiver-comments/.

Export Projections and Commodity Prices Hit All-Time Highs

The current economic and agronomic environments have driven some commodity prices and projected exports to their highest levels ever, USDA and other agencies have reported recently. USDA announced last Thursday it believes farm exports will hit $143.5 billion in the 2013 fiscal year, compared to an estimated near-record of $136.5 billion in the 2012 fiscal year. Since 2009, U.S. agricultural exports have made gains of 50 percent. These records are in part due to high prices, including the highest corn and soybean prices on record, according to a new Food Price Watch report from the World Bank. Wheat prices are also up but still below records. The United Nations’ Food and Agriculture Organization said Thursday its food price index held steady in August after rising 6 percent in July. While higher prices are wonderful for farmers who have crops to sell, they also increase concerns about food insecurity in some parts of the world.

USDA: 46.67 Million Americans Receiving SNAP Benefits

USDA released data last week showing a record 46.67 million Americans are now participating in the Supplemental Nutrition Assistance Program (SNAP), formerly known as the food stamp program. These individuals are part of 22.4 million households receiving an average of $276.50 a month. The number of Americans participating in SNAP has exceeded 46 million since September of 2011 and has exceeded 40 million since March 2010. SNAP is authorized as part of the 2008 Farm Bill, which expires on Sept. 30, though the program is written such that benefits will not be affected if a new bill is not approved by that deadline.

Kansas Wheat Launches Home Baker Online Community

Kansas Wheat has two new opportunities for home bakers interested in improving their skills or showing off their handiwork. A new online community at www.americasbreadbasket.com offers visitors the opportunity to share recipes, baking tips and more, plus gain access to the nutrition information and educational resources of the Kansas Wheat Commission. The website includes an “Ask a Question” feature as well as a blog, “Daily Bread,” on which wheat experts address topics ranging from nutrition trends and fads to kitchen tips. The America’s Breadbasket site also has information available about the annual National Festival of Breads baking contest, the only nation-wide, amateur bread-baking competition. Entries are being accepted in four categories until February 2013.

Farm group leaders and House Agriculture Committee Chairman Frank Lucas (R-Okla.) said this week it is still, in Lucas’ words, “theoretically” possible for Congress to approve new farm and food legislation before the 2008 Farm Bill expires on Sept. 30.

On Thursday, agricultural policy publication Agri-Pulse published an interview in which he reassured readers there would be a new farm bill, though the timeline is still uncertain.

Lucas said he remains focused on passage of new legislation before the 2008 law expires, a similar message heard from Senate Agriculture, Nutrition and Forestry Committee Ranking Member Pat Roberts (R-Kan.) this week during the Republican National Convention

On Tuesday, members of seven groups participating in the Farm Bill Now coalition held a press conference at the Farm Progress show in Boone, Iowa.

They focused on the need to achieve new, long-term farm policy before existing law expires. They also spoke to the positive economic impact of a strong farm economy and the certainty provided by the farm bill in an inherently uncertain industry.

“Agriculture is one of the few bright spots in the American economy,” National Corn Growers Association First Vice President Pam Johnson said during the press conference.

“Naysayers might suggest a new bill can’t be completed in time, but we are here to say it can be – and to call on Congress to pull together to finish their job. This is a bill that will impact every American and a bill that needs to be done now.”

This week, the number of national groups signing on to the Farm Bill Now message topped 50. Additional groups are welcome to join the effort, outlined in a statement at www.farmbillnow.com. Individuals can also throw their names behind the message by using the website’s resources to contact their Members of Congress on social media or by signing onto a petition available there

Audio from the press conference is available from AgWired at http://agwired.com/2012/08/28/farm-bill-now-coalition-at-fps/.

The full Agri-Pulse interview is available at http://agri-pulse.com/Lucas-just-give-me-floor-time-to-move-a-farm-bill-08292012.asp.

Members of the Advisory Committee on Biotechnology and 21st Century Agriculture (AC21) met this week for the group’s fifth round of deliberations to identify solutions for improving coexistence in American agriculture.

The committee has worked for a year to respond to the charge set forth by Secretary of Agriculture Tom Vilsack to determine “what type of compensation mechanisms, if any, would be appropriate to address economic losses by farmers in which the value of their crops is reduced by unintended presence of [genetically engineered] material(s).” The group intends to deliver a final report to Vilsack in early November.

Keith Kisling, a farmer from Burlington, Okla., is representing wheat growers on AC21. Kisling and other AC21 members have pointed out during the discussions that data regarding actual economic impact to organic and other producers is critical to ensuring a compensation mechanism is appropriate.

Discussions on the final day of meetings this week centered on a draft recommendation that if data collected shows a compensation mechanism is warranted, the Secretary could consider a crop insurance-type program utilizing a pilot to test its feasibility.

The final report is also likely to include recommendations for proactive outreach, education, research and the use of good neighborly practices.

“Coexistence is not about safety or health, it is about finding ways for different production methods to work together for a greater American agriculture,” Kisling said after the meeting.

For more on the wheat industry’s work in biotechnology, please visit www.wheatworld.org/biotech.

America’s Heartland, the only public TV show about American farms and farmers, will start airing the first episodes in its eighth season shortly after Labor Day.

At least three special themed episodes are planned for season 8, including Dawn to Dusk, where viewers take an intimate look at a full day in the lives of a farm or ranch family; Dairy Duel, where cheese makers from Wisconsin and California vie for supremacy in their craft; and Classy Cowgirls, where viewers go on a photo shoot to discover how ranching meets high fashion.

Other new and returning features planned for the eighth season include Agriculture 101, where consumers ask all kinds of questions about agriculture; Off the Shelf, which looks at food choices at the supermarket; and Harvesting Knowledge, which explores the fascinating history of common foods.

The half-hour weekly series is seen on more than 240 public television stations, including stations in 21 of the top 25 U.S. markets. Additionally, the show has a YouTube Channel that welcomes more than 90,000 visitors each month.

Heartland is funded by Farm Credit, the United Soybean Board and the American Farm Bureau Foundation and is produced by KVIE Public Television in Sacramento, Calif.

NAWG and other major agricultural groups serve as promotional partners for the show and sit on the program’s Advisory Board.

Much more about the show, including local listings, is at www.americasheartland.org.

We hope you find this quick update useful. The full Report from Washington and the Weekly Wheat Digest will return on Sept. 13, at the conclusion of Congress’ August recess.

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National Ag Groups Say “Farm Bill Now” in Unison

NAWG and 38 other national agricultural organizations issued a joint statement Wednesday calling on Congress to pass a new, comprehensive, five-year farm bill before current farm programs expire at the end of September. Groups participating in the effort include commodity crop and general farm organizations, livestock, dairy, specialty crops and farm cooperatives and financial groups. The coalition also unveiled a new website at www.farmbillnow.com and announced two planned media events, in Iowa on Aug. 28 and Washington, D.C., on Sept. 12. More details are at http://www.wheatworld.org/news-events/2012/08/farm-bill-now-coalition-unites-nations-farm-groups/.

Calling … Everyone! Send Your Message To Congress Now!

Do you want a #farmbillnow? If you are passionate about the safety, security and availability of our nation’s food supply, or even if you just like to eat a few times a day, the answer should be yes. Share your views with Members of Congress at www.farmbillnow.com through social media or by signing on to a petition supporting the coalition statement calling for quick approval of new farm and food legislation. Action starts by putting in your address (so the system can find the right legislators!) at the www.farmbillnow.com home page.

Russia Enters WTO; U.S. PNTR Still Pending

Russia officially joined the World Trade Organization (WTO) this week, ending the longest negotiations in the history of the trade body, having first submitted an application for membership in 1993. Despite this achievement, the United States has yet to grant the country permanent normal trade relations (PNTR) status, which the WTO mandates all countries do for other members. Russia has been granted normal trading relations status by the U.S. on an annual basis since the early 1990s, but this designation must be made permanent for the U.S. to fully enjoy the benefits of Russia’s WTO membership. Committees in both the House and Senate have approved measures to grant PNTR to Russia and Moldova but action has yet to happen in either full chamber.

Russia’s WTO accession will provide the U.S. and other WTO members improved trade access to that market and stronger mechanisms to enforce the country’s commitments to domestic supports, export subsidies and state trading enterprise disciplines. The Joint International Trade Policy Committee between NAWG and U.S. Wheat Associates, which recommends trade policy to both wheat organizations’ boards of directors, has approved a resolution supporting giving Russia PNTR status.

CBO Report Predicts Recession If U.S. Falls of “Fiscal Cliff”

The Congressional Budget Office (CBO) warned this week that the U.S. economy could return to a recession if Congress does not take action to avoid the so-called “fiscal cliff” of expiring tax cuts and planned spending reductions from sequestration. The analysis indicated that the deficit would shrink nearly $500 billion in one year because of increased collections and reduced spending by the federal government. However, the overall economy would also contract, by 0.5 percent in a year, and the unemployment rate would rise to 9 percent from the current rate of 8.2 percent. Planned tax increases and spending cuts are likely to be among the most hotly debated topics between the November elections and the end of the Congressional year, with high stakes consequences regardless of the political outcome.

EPA Asks for Comments Following RFS Waiver Requests

The Environmental Protection Agency (EPA) has opened a 30-day comment period on the likely effects of modifying the existing renewable fuels standard (RFS). The comment period was triggered by requests from four governors for an RFS waiver reducing the amount of renewable fuels needing to be produced under the law. The governors and legislators who have made similar calls have said they are concerned about the ongoing drought’s effects on feedstocks for livestock. NAWG supports the existing RFS and similar policies to expand the use of conventional ethanol and cellulosic ethanol, the latter of which could be produced in some regions using wheat straw and biomass. More on the comment period is at http://www.epa.gov/otaq/fuels/renewablefuels/documents/2012-rfs-waiver-request-comment.pdf.

USFRA Seeks Farmers and Ranchers Willing to Speak Out About Their Work

The U.S. Farmers and Ranchers Alliance (USFRA) is looking for farmers and ranchers willing to speak out on behalf of their professions. The coalition, of which NAWG is a part, is offering webinar-based Conversation Leader training on Aug. 27 and 28 and Sept. 10 and 11. Farmers interested in participating can get registration information by contacting the NAWG office at wheatworld (at) wheatworld.org or USFRA staff Abby Rinne at rinne (at) usfraonline.org. The Alliance is also undertaking a nationwide search for farmers and ranchers who can serve in larger public roles, working with national media and on other outreach projects. Applications for that opportunity are due on Sept. 8; much more information is available at http://www.fooddialogues.com/faces-of-farming-and-ranching.

Wheat Foods Council “Back to Breakfast” Toolkit Available Online

The Wheat Foods Council is offering grocery store dietitians and other nutrition professionals a new Back to Breakfast tool kit to help them promote breakfast consumption during National Breakfast Month in September. More than 90 percent of Americans know they should be eating breakfast, but the morning time crunch means only 44 percent do so. The Back to Breakfast toolkit includes breakfast marketing tools, as well as meal ideas and recipes. The full toolkit is at http://wheatfoods.org/node/798#node-798.

Silver Lining: Crop Insurers Start Online Drought Photo Contest

National Crop Insurance Services (NCIS) is holding a drought-year photo contest, seeking snapshots of the worst of the worst Mother Nature has dealt farm families this year. NCIS will take photo submissions online through midnight on Friday, Sept. 21. Website visitors will be able to vote on the best/worst photo from Sept. 22 until Nov. 21. The “winners” will be awarded prizes including a new iPad. Details are at the group’s Facebook page, www.facebook.com/cropinsuranceinamerica.

The National Association of Wheat Growers (NAWG) and 38 other national agricultural organizations issued a statement Wednesday regarding the need for Congress to pass a new, comprehensive, five-year farm bill before current farm programs expire in September.

The coalition of groups, using the name Farm Bill Now, comprises associations and coalitions representing commodity crops, livestock, dairy, specialty crops, state and local governments, minor crops, energy and biobased product groups, farm cooperatives and financial groups, as well as the nation’s two largest farm groups, the American Farm Bureau Federation and the National Farmers Union.

Each organization has strong and distinct policy priorities, yet all 39 are committed to passing a new, comprehensive bill this year.

“Calling the farm bill the ‘farm bill’ suggests its impact is limited only to farms and to the rural areas to which they are so closely tied,” the groups wrote.

“While Congress waits to finish the farm bill, we are united in asking all Americans to encourage legislators—home for summer town hall meetings and speeches—to finish this vital legislation before the current farm and food law expires in September. After all, it’s your bill too.”

In addition to today’s statement, Farm Bill Now launched an interactive web portal at www.FarmBillNow.com, through which farmers and consumers can connect to their Members of Congress and show their support for a new five-year farm bill.

In the coming weeks, Farm Bill Now will hold events in Iowa and on Capitol Hill to further underscore the message.

On the afternoon of Tuesday, Aug. 28, farmers representing multiple groups within the coalition will discuss the Farm Bill Now effort at the annual Farm Progress Show in Boone, Iowa, the nation’s largest outdoor farm show.

Wednesday morning Sept. 12, representatives of many of the groups uniting today will gather on the grounds of the U.S. Capitol to encourage Congress to pass the bill before programs expire at the end of the month.

To read the full statement out today and see a full list of signatories, please visit www.FarmBillNow.com.

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Congress is still out of session, but the news hasn’t stopped. Please enjoy this quick update in lieu of our regular publications. The full The Report from Washington and the Weekly Wheat Digest will return on Sept. 13.

Have You Talked With Your Member?

NAWG strongly encourages all farmers and stakeholders to visit with Members of Congress throughout August recess and urge them to pass a new, five-year farm bill this year. Additional information is available from state wheat grower associations or from NAWG online at http://www.wheatworld.org/news-events/2012/08/congress-goes-on-august-recess-without-farm-bill-or-a-plan/.

Romney Announces Rep. Paul Ryan for VP Slot

Budget hawk Rep. Paul Ryan (R-Wis.) will be Republican candidate Mitt Romney’s vice presidential running mate, the candidate announced publicly over the weekend. Ryan is from an agriculture state but has worked over the years to deeply cut federal budgets, including farm programs and nutrition spending. Most immediately, Ryan’s selection appears to have further politicized the pending farm bill reauthorization, a process that has typically avoided overt partisanship. On Wednesday, the Romney/Ryan campaign announced their farmer and rancher outreach team, listed in full at http://www.mittromney.com/news/press/2012/08/mitt-romney-announces-farmers-and-ranchers-romney-coalition0.

Drought Taking A Toll on Mississippi River Water Levels

The current drought sweeping across the nation has started to take its toll on the Mississippi River, a major grain transportation route that has water levels reaching near-historic lows. To continue shipping goods on the water, barge companies have been forced to decrease their cargo load by about 25 percent in order to lose enough weight not to run aground, which has happened more than 20 times already this year. The river ships about $180 billion worth of goods on barges annually, including 60 percent of the nation’s grain, according to the American Waterways Operators. One barge carries about the same volume of goods as 60 trucks. Economists are forecasting an increase in prices for goods that are shipped on the Mississippi due to decreased traffic and payloads

MF Global Execs Likely Won’t Face Criminal Charges

Executives from MF Global will likely not face criminal charges stemming from the investigation into the company’s bankruptcy, despite having lost more than $1 billion in customer funds. News reports out this week indicate that after 10 months of investigations, authorities are convinced that it was chaos and poor risk controls that caused the loss of protected funds, not fraud. However, MF Global is still facing legal action as bankruptcy trustee James Giddens has agreed to assist lawyers in suits against former chief executive Jon Corzine for failure to take proper care of customer’s money. In addition, regulators may still file civil enforcement actions, which could potentially cost Corzine millions of dollars and ban him from working on Wall Street in the future.

RFS Impact Analysis Mixed, as Governors Request a Waiver

A report on the possible effects of a renewable fuels standard (RFS) waiver out from Purdue University this week was a mixed bag, showing a range of possible – and unpredictable – impacts on grain prices, depending on oil prices and other factors. The study and a similar one from the University of Illinois come as the governors of North Carolina, Arkansas, Maryland and Delaware have asked the Environmental Protection Agency (EPA) to waive RFS requirements, requests that will prompt an Agency review of the mandate under current law. NAWG supports the existing RFS and similar policies to expand the use of conventional ethanol and cellulosic ethanol, the latter of which could be produced in some regions using wheat straw and biomass.

Blue Dog Cardoza Retires from Congress Effective This Week

Rep. Dennis Cardoza (D-Calif.) retired from Congress this week, effective Wednesday evening. Cardoza had previously announced he would not run again for family-related reasons, but his immediate departure was not expected. Cardoza served on the House Agriculture Committee and was one of few remaining moderate Blue Dog Democrats, many of whom have chosen not to run again or who have lost primary fights this year. Estimates are that just 20 to 25 Blue Dogs might remain in the next Congress, down from 54 in 2008.

USW: WASDE Slashes Corn Production, Wheat Supplies Remain Strong

U.S. Wheat Associates analysis out Thursday concluded that while the latest edition of USDA’s World Agricultural Supply and Demand Estimates (WASDE), released Aug. 10, slashed world corn projection estimates by 6 percent, wheat supplies remain strong. USW Market Analyst Casey Chumrau wrote that USDA’s estimate of U.S. wheat production increased 1.2 MMT to 61.7 MMT, the highest estimate of the marketing year to date and 14 percent greater than 2011/2012. With total U.S. wheat supply of 85.4 MMT, more than 6 percent greater than the five-year average, the United States is prepared to respond to market needs. USDA currently expects the United States to meet nearly 25 percent of global wheat demand with exports of 32.7 MMT. The full analysis is available in the Aug. 16 Wheat Letter at http://www.uswheat.org/newsEvents/wheatLetter.

New Ag-Based Curricula Available From The Alliance to Feed the Future

New and free curricula incorporating facts about agricultural production and farmers are now available through the Alliance to Feed the Future. “Lunchbox Lessons: The Journey from Farm to Fork” is appropriate for classes from kindergarten to eighth grade and also addresses the basics of food safety, healthful eating, physical activity and energy balance. The downloadable curricula include 15 grade-specific lesson plans, an eight-panel color classroom poster and five parent take-home pieces, including Spanish translation. The Education Center of Greensboro, N.C., with support from Farm Credit, developed the plans to conform to core skills requirements including Common Core State Standards. The Alliance is a coalition of 105 groups, including NAWG, working to coordinate outreach and communication efforts. The lesson plans and more are at http://www.alliancetofeedthefuture.org/new/FarmtoForkResources/ForEducators.aspx.

Throughout the August recess, NAWG will issue quick updates on Thursday afternoons in lieu of our regular weekly publications, The Report from Washington and the Weekly Wheat Digest. We hope you find this shorter publication informative and welcome feedback to wheatworld (at) wheatworld.org. Please also join us online at www.twitter.com/wheatworld and www.facebook.com/wheatworld for the latest association, industry and policy news.

Congress Out for Recess Until Sept. 10

Members of Congress left Washington, D.C., last week for a five-week August recess. The traditional extended summer work period allows legislators to meet with constituents, which is all the more important this year ahead of November’s elections. The major political parties will also hold their nominating conventions during the break. Both the House and Senate are scheduled to reconvene on Sept. 10.

President Obama Calls for Passage of New Farm Bill

President Barack Obama spoke out this week on the farm bill debate, calling on Congress to approve new farm and food policy. Speaking publicly at a White House Rural Council meeting, Obama outlined steps being undertaken by the Administration, particularly USDA, to help farmers and ranchers facing drought. He also said plainly that “Congress needs to pass a farm bill” and that new legislation is the “single-best way that we can help rural communities both in the short term and in the long term.” USDA announced on Tuesday an additional $30 million would go toward programs helping producers in drought. More information about the drought and drought assistance is at www.usda.gov/drought. A clip of the President speaking about the farm bill is at http://farmpolicy.com/2012/08/08/president-obama-discusses-drought-response-effort-8-7/.

Summer To-Do for Those Who Farm or Eat: Visit Your Members of Congress

NAWG strongly encourages all farmers and stakeholders to visit with local legislators during the recess period. The Association’s top priority for the rest of the legislative year is completion of a new, five-year 2012 Farm Bill. Additional information is available from state wheat grower associations or from NAWG online at http://www.wheatworld.org/news-events/2012/08/congress-goes-on-august-recess-without-farm-bill-or-a-plan/.

Ag Groups Urge SPS Disciplines in TPP Agreement

NAWG, U.S. Wheat Associates and more than 40 other agricultural groups wrote Obama Administration trade leaders recently, urging the inclusion of effective sanitary and phytosanitary (SPS) disciplines in any Trans-Pacific Partnership (TPP) agreement. The groups told leaders at the Office of the U.S. Trade Representative, Environmental Protection Agency and Departments of Agriculture, State, Commerce and Health that any market gains from a TPP agreement could be lost without strengthened, science-based SPS rules. The full letter is available at www.wheatworld.org/trade.

Surface Transportation Board Looks at Captive Shipper Relief Proposals

The Surface Transportation Board recently announced two initiatives to explore ways to help protect captive rail shippers from unreasonable rates. One initiative will examine current rules on how rate disputes are resolved and will look to provide a less complicated and less expensive way for shippers to challenge freight rates. The Board will also consider a stakeholder proposal to increase rail-to-rail competition by granting certain shippers located in terminal areas access to a competing railroad, if there is a working interchange within 30 miles. Details about the announcement are at http://www.stb.dot.gov/__85256593004F576F.nsf/0/2C497BDC96F747C085257A460063D398?OpenDocument.

Bayer CropScience to Establish $15 Million Aussie Breeding Center

Bayer CropScience announced this week it plans to establish a new breeding center in Victoria, Australia, to focus on wheat and oilseeds. The company plans to invest nearly $15 million, including 20 new researcher positions, to develop new varieties with higher yields and productivity improvements tailored to Australian conditions. More about the new facility is at http://www.research.bayer.com/en/news-detail.aspx?newsid=19739.

NAWG and USW Meet with Writers at Ag Media Summit

Communications staff from NAWG and U.S. Wheat Associates met with members of the American Agricultural Editors’ Association and other groups at the 2012 Ag Media Summit held this week in Albuquerque, N.M. The annual event combines participant organization meetings, professional development sessions and a trade show that allows association and company representatives to meet with agricultural editors, writers, students and farmers. NAWG and USW once again shared a wheat industry booth at the trade show, known as InfoExpo. Updates from the convention are available at www.twitter.com/wheatworld and www.twitter.com/uswheatassoc.

Next USFRA Food Dialogues Set for Nov. 15 in NYC

The U.S. Farmers and Ranchers Alliance (USFRA) recently announced its next Food Dialogues event is scheduled for Nov. 15 in New York City. The Food Dialogues series allows the organization and its farmer members to answer questions consumers have about food production through in-person events, social media and other outlets. The New York event will tackle three of the biggest issues in the current food debate: the use of antibiotics for farm animals, biotechnology and food marketing. Members of the public can sign up at http://www.fooddialogues.com/ to receive additional details about the event as they become available.

The House of Representatives passed a $639 million, stand-alone livestock disaster bill Thursday afternoon, forgoing consideration of the pending farm bill that would authorize similar disaster spending.

The bill, approved on a 223 to 197 vote, came to the floor after a week of twists and turns worthy of a spy novel.

Eschewing consideration of the 2012 Farm Bill draft approved by the House Agriculture Committee, late last week House leaders announced a coming vote on a one-year extension of the 2008 Farm Bill with additional disaster assistance.

That concept was widely opposed by Members and farm groups, including NAWG, who are seeking a five-year bill. By late Tuesday, it was thrown out in favor of a disaster-only package, to be considered on Thursday’s suspension calendar.

Evidently lacking the 2/3 majority needed, the plan changed again Wednesday, with disaster-only bill going to the Rules Committee, which set up a Thursday afternoon vote only requiring a majority for passage.

Ultimately, the disaster bill was considered as stand-alone legislation under a closed rule, meaning there was no opportunity for amendment and it received limited time for debate.

The bill, which stands little chance of Senate consideration, would cut $639 million from the Conservation Stewardship Program (CSP) and the Environmental Quality Incentives Program (EQIP). Disaster assistance is expected to cost $383 million of that total, with the remaining $256 million going to deficit reduction, permanently removed from farm programs.

On Wednesday, NAWG joined 11 other groups in a statement expressing displeasure with the disaster-only bill.

“We do not oppose passage of a disaster assistance bill, but note that almost identical provisions to retroactively extend these four programs are included in the Senate-passed farm bill and the bill reported by the House Agriculture Committee. Those measures would likely be included in any conference committee report,” the groups wrote.

NAWG is supportive of a proposal from Sens. Max Baucus (D-Mont.), Kent Conrad (D-N.D.), Jon Tester (D-Mont.) and Tim Johnson (D-S.D.) that would provide relief for livestock producers and extend ag disaster assistance program SURE into 2012 to help crop producers who have widespread losses. The Iowa delegation has introduced similar language in the House.

The SURE program was included in the 2008 Farm Bill as a type of “permanent” disaster aid program, but its funding expired last year.

The program is a whole farm support system that supplements growers’ crop insurance contracts, which only cover a portion of yield and revenue risk during times of severe natural disaster like this year. NAWG supports utilizing this format for assistance to farmers, some of whom are suffering through their second and third successive years of drought in wheat country.

According to USDA, just over half of U.S. counties are now designated disaster areas, mostly because of drought. A program like SURE would provide extra assistance to the areas where farmers have been hit by such extreme weather.

The Drought Monitor shows nearly 80 percent of the country is in some kind of drought, compared to just over 40 at this time last year. More than 22 percent of the country is in extreme or exceptional drought.

USDA announced this week it would expand emergency haying and grazing on approximately 3.8 million acres of conservation land to help livestock producers, and that crop insurance companies have agreed to provide a short grace period for farmers on insurance premiums in 2012.

More from USDA on disaster- and drought- related resources is at www.usda.gov/drought.

The Drought Monitor is accessible at http://droughtmonitor.unl.edu/.

Ag groups’ full statement on the disaster bill is available at http://www.wheatworld.org/news-events/2012/08/coalition-statement-on-house-disaster-legislation/.

Members of Congress are returning to their districts and constituents Friday for August recess without a clear path for passing a five-year farm bill before the current law expires on Sept. 30.

The recess is scheduled to run five weeks, encompassing both major party conventions and allowing Members to spend significant time in their districts prior to upcoming elections.

The Senate completed its farm bill work on June 21, and the House Agriculture Committee finalized its version of a 2012 farm and food policy proposal in the early hours of July 12.

House Leadership has declined to announce a timeline for taking up that bill, which is controversial even within the Republican caucus.

An attempt to push off the issue with a one-year extension of existing farm law was rebuffed this week in the House, leaving the full chamber having passed no legislation that could be formally conferenced with the Senate-passed bill.

It is widely expected farm bill negotiations will continue throughout the August recess, and NAWG staff and grower-leaders will remain engaged with other commodity groups and Hill leaders throughout the summer work period.

NAWG also strongly encourages wheat farmers to meet with their House Members and Senators during the recess and urge them to press for completion of a five-year farm bill in September.

The reasons for a long-term law abound:

• A new farm bill will last for five years, providing a degree of certainty for farm operators, who make crop rotation, land and capital decisions on multi-year timeframes.
• A new farm bill would include disaster assistance programs for livestock and specialty crop producers, which are currently unauthorized and unfunded.
• A new farm bill would incorporate significant reforms to farm support programs, which were called for by many in the farming community and the general public, and which are essential to continuing support for agriculture as a secure base for the nation’s economy.
• A new farm bill would provide at least $23 billion in spending cuts, reducing the overall federal deficit.
• A new farm bill in September would solidify policy before any cuts are made as part of a year-end tax extender package or through sequestration early in 2013.
• A long-term bill is more efficient for USDA to implement, which saves tax dollars and provides better service to program users.

Additional information about the farm bill process up until now is at www.wheatworld.org/farmbill or from the Committees at http://agriculture.house.gov/ or http://www.agriculture.senate.gov/.

A new online reference is available at http://canada-usgrainandseedtrade.info for U.S. and Canadian wheat farmers examining their marketing options following the end of the Canadian Wheat Board monopoly on Wednesday.

On August 1, the Marketing Freedom for Grain Farmers Act takes effect in Canada, implementing a cross-border trading system for wheat, durum and barley similar to what already exists for commodities like canola and pulses.

Though the change in Canada’s marketing environment will provide new opportunities for farmers on both sides of the border, it remains a complicated proposition.

The new website was launched Tuesday by a working group of U.S. and Canadian non-profit and trade organizations to address many frequently asked questions and provide updated industry news. Visitors can also submit comments and additional questions.

The site focuses on questions about grading, contracts and pricing and will be updated as new information and details become available. Important questions are answered on the site, including about how to find a buyer, how wheat will be graded and requirements for crossing the border.

“The information on this site will help producers who might consider delivering their grain across the border understand market differences,” said Shannon Schlecht, vice president of policy for U.S. Wheat Associates, the U.S. wheat industry’s export market development organization and a NAWG sister association.

Both NAWG and U.S. Wheat have standing resolutions supporting an open border with Canada that provides reciprocal bilateral wheat trade.

Much more on the marketing change and how it can affect farmers selling grain is at http://canada-usgrainandseedtrade.info.

Sent Aug. 1, 2012

The undersigned farm organizations support finding a path forward to reaching agreement on a new five-year farm bill before current program authorities expire on Sept. 30. We are disappointed that the House Republican leadership has decided to not move forward with the House Agriculture Committee’s bill before adjourning for the August recess. That bill would provide the disaster relief our farm and ranch families need at this time.

Instead, we understand the House may consider a separate disaster bill, under suspension of the rules on August 2, to make supplemental agricultural disaster assistance available for Fiscal Year 2012. Specifically, the bill retroactively extends the Livestock Indemnity Program (LIP), the Livestock Forage Program (LFP), the Emergency Livestock Assistance Program (ELAP) and the Tree Assistance Program (TAP) so that producers are helped for Fiscal Year 2012. All of those programs expired in 2011. Offsets to pay for the disaster assistance would come from imposing caps on two conservation programs, the Conservation Stewardship Program (CSP) and the Environmental Quality Incentives Program (EQIP).

We do not oppose passage of a disaster assistance bill, but note that almost identical provisions to retroactively extend these four programs are included in the Senate-passed farm bill and the bill reported by the House Agriculture Committee. Those measures would likely be included in any conference committee report. It is imperative that we pass a comprehensive, long-term farm bill. Farmers and ranchers always face decisions that carry very serious financial ramifications, such as planting a crop, buying land or building a herd, and we need clear and confident signals from our lawmakers.

Assistance for cattle and sheep producers is very important and something that we strongly support in the five-year farm bill, but it is also important that assistance be provided for other types of livestock and for producers of fruits and vegetables. The disaster assistance bill does not help hog or poultry producers and only provides limited assistance via the grazing program for the dairy industry. The bill does not help dairy producers who are not located in a designated disaster county with grazing assistance and does not address high feed prices for dairy, hog or poultry producers. Many producers of fruits and vegetables may not have crop insurance available to them as a risk management tool, and they too need some type of help, which this package does not address.

The Congressional Budget Office scores this one-year bill as costing $383 million. That expense is offset by cuts of $639 million from the CSP and EQIP programs, leaving $256 million to go towards deficit reduction. If the House simply passed the five-year farm bill reported out of Committee on a bipartisan basis, this bill would not be necessary. While we understand that will not happen before the August recess, this bill potentially costs more than $600 million and would only provide relief to livestock producers a month or two earlier than a farm bill debated and passed in September. Agriculture will already provide a minimum of $23 billion in deficit reduction by passing the farm bill. We do not need to provide additional deficit reduction in this package only a few months before we provide far more than agriculture’s “fair share.”

Both the Senate and the House Agriculture Committees have produced reform-minded, bipartisan bills that address many of the core principles we believe are important, such as strengthening crop insurance as a reliable risk management tool or ensuring strong agricultural research and development. We remain committed to attempting to pass a five-year farm bill as soon as possible, including the long-term provisions it includes that would help alleviate the emergency conditions we are seeing across the country.

American Farm Bureau Federation
American Soybean Association
National Association of Wheat Growers
National Barley Growers Association
National Corn Growers Association
National Farmers Union
National Milk Producers Federation
National Sunflower Association
United Fresh Produce Association
U.S. Canola Association
USA Dry Pea and Lentil Council
Western Growers

A statement from National Association of Wheat Growers (NAWG) President Erik Younggren, who farms wheat, sugar beets and soybeans near Hallock, Minn.:

“The top legislative priority for the National Association of Wheat Growers (NAWG) during this Congress remains the achievement of a new, five-year farm bill before current law expires on Sept. 30.

“The Association and its farmer-leaders do not support a short-term extension of the 2008 Farm Bill by itself. A one-year extension would create even more uncertainly in a political, agronomic and economic climate that is already uncertain enough. A short-term extension would not incorporate many of the farm policy reforms that are crucial to garnering widespread support for a new farm law. And a one-year extension would set up the farm community for another year of waiting for Congress to get its job done.

“As it is, next year’s winter wheat crop will be in the ground before any farm policy legislation is able to go to the President’s desk this year. We appreciate the continued efforts of our farm leaders who are working to achieve a five-year bill and encourage Members of the House to do what they can, through whatever process possible, to give our nation’s growers long-term farm policy certainty this year.”

###

Contact:

Melissa George Kessler, Director of Communications, mkessler (at) wheatworld.org

As the agronomic and political impacts of the nation’s growing drought came into clearer focus this week, House Republican leaders shifted course toward possible consideration of a one-year extension of current farm programs.

At a House Agriculture Committee Members meeting Wednesday, Committee Chairman Frank Lucas (R-Okla.) pitched the idea, which would also include an extension of disaster relief programs, especially vital for livestock producers who cannot buy crop insurance and do not participate in Title I.

By Thursday, Republican leaders were whipping votes and planning for floor consideration next week, the last week before the month-long August recess.

Lucas, who has the unenviable job of convincing his leadership to bring any farm legislation to the floor, told members of the press at mid-week that an extension was possible and even logical with drought effects worsening by the day.

His Democratic counterpart, Ranking Member Collin Peterson, and Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.), first voiced opposition to an extension. However, if Stabenow seeks to move a bill to conference committee following a successful House vote, the way could be paved for Congress to pass a full farm bill before current law expires on Sept. 30.

Questions about the potential plan abound. It’s not yet clear how direct payments, which were eliminated in both House Committee- and Senate-passed versions of the bill, will be treated under a possible extension.

The effect of an extension on the law’s baseline – which has already been reduced dramatically in recent years and could take another hit with coming sequestration cuts in 2013 – is unknown.

Another concern is how Members in both chambers will react to a hopeful but unconventional path toward farm bill passage.

NAWG’s priority continues to be achievement of a new, five-year farm bill before current law expires this fall. A short-term extension doesn’t give farmers the certainty that they need and would likely not incorporate reforms that have been essential to gaining support for new farm and food policy in both chambers.

NAWG will continue to closely follow the process and report to members as appropriate. More on NAWG’s farm bill work is available at www.wheatworld.org/farmbill.

The House Transportation and Infrastructure Committee approved a bill Thursday to clarify requirements facing farmers under the Spill Prevention Control and Countermeasure, or SPCC, rule.

The bill, the Farmers Undertake Environmental Land Stewardship (FUELS) Act or H.R. 3158, was introduced last fall by Rep. Rick Crawford (R-Ark.) and co-sponsored by 38 other Members.

It would ease some of the restrictions imposed by the current SPCC rule, which is administered by the Environmental Protection Agency (EPA).

The SPCC rule is applicable to any facility, including farms, with an aggregate above-ground oil storage capacity of 1,320 gallons in tanks of 55 gallons or greater. In order to fully comply with SPCC rules, a facility must have, among other things, identified contractors who can help operators clean up an oil spill; provided overfill prevention devices such as a high-level alarm; and provided effective secondary containment measures such as a dike or double-walled tanks.

Farms in operation before Aug. 16, 2002, need SPCC plans in place now, while those started after Aug. 16, 2002, have until May 10, 2013, to develop and implement their plans.

The bill passed this week would create three classes of farms for SPCC purposes:

1) Farms with individual tanks with storage capacity greater than 10,000 gallons, aggregate storage capacity of at least 42,000 gallons or spill histories would need professional engineers to certify their SPCC plans.

2) Farms with aggregate storage capacity greater than 10,000 gallons but less than 42,000 gallons and no history of spills could be self-certified by the farms’ owners or operators.

3) Farms with aggregate storage capacity less than 10,000 gallons and no history of spills would be exempt from requirements.

The bill would also exclude all containers on separate parcels that have a capacity less than 1,320 gallons from the aggregate storage capacity of a farm.

NAWG and a dozen other organizations wrote leaders of the Committee on Wednesday to express strong support for the bill, saying it would “bring some much needed clarity to agriculture on the confusing requirements of the EPA’s [SPCC] rule.”

The agriculture community has repeatedly expressed concerns that the existing threshold for SPCC plan requirements, 1,320 gallons, has no scientific or industry basis; that establishing two separate rule deadlines for long-existing and newer farms has caused intense confusion; and that requiring professional engineers to sign off on SPCC plans adds significant logistical hurdles and cost to compliance with the rule.

Groups representing farmers have been further frustrated by EPA’s response to questions about compliance assistance and challenges getting EPA officials to farms to talk with agricultural producers about the issue.

NAWG will continue to advocate for the bill as it moves toward full House consideration.

More about the SPCC issue is available from EPA at http://www.epa.gov/emergencies/content/spcc/spcc_ag.htm.

More about NAWG’s work related to SPCC and the full letter sent this week is www.wheatworld.org/environmentalregulation/.

A new coalition of high-profile individuals and science organizations seeking to raise awareness of the needs for investment in agricultural research launched this week.

The Supporters of Agricultural Research (SOAR) kicked off Wednesday, supporting competitive grants and full funding for USDA competitive grants program Agriculture and Food Research Initiative (AFRI).

Founding board members of the new effort include William Danforth, chancellor emeritus, Washington University in St. Louis; Carol Tucker-Foreman, distinguished fellow, Food Policy Institute, Consumer Federation of America; Roger Beachy, president emeritus, Donald Danforth Plant Science Center; and Don Kennedy, past editor-in-chief of Science magazine.

“America today lacks an agricultural research enterprise capable of directing the full might of the nation’s scientific brainpower toward solving an array of problems that agriculture is uniquely suited to solve,” Danforth said at the launch event. “A key reason for this shortcoming is that insufficient funding is allocated for agriculture grants that are open to all scientists regardless of their field.”

The new group is one of many seeking to press Congress for additional agricultural research funding.

The National Coalition for Food and Agriculture Research (NC-FAR) and the Council for Agricultural Science and Technology (CAST) are two organizations actively supporting more ag research dollars and more efficient use of those that are already allocated.

The National Association of Wheat Growers, a long-time and strong supporter of public research funding along with wheat researchers who participate in the National Wheat Improvement Committee (NWIC), also welcomes renewed attention on the needs for additional agricultural research funding.

Through the ongoing FY2013 appropriations process, NAWG and state wheat organizations have repeatedly called for increased funding for vital programs at USDA including the Agricultural Research Service (ARS) and AFRI.

NAWG strongly supports a balanced approach to USDA agricultural research programs that includes intramural capacity. ARS is a key partner in U.S. wheat research, with labs and scientists who use a multi-disciplinary approach to address problems that impact growers, millers and bakers.

Wheat and barley researchers successfully competed for a significant AFRI grant of $25 million and are working to identify new markers that will lead to wheat varieties that can utilize water and nitrogen more efficiently and resist rust diseases.

Although wheat does not have a national checkoff program, wheat growers are contributing an estimated $12 million annually in checkoff dollars toward research at the state level. These funds fill critical gaps created by reduced budgets at state universities. In addition, several state grower groups have invested in major research projects in recent years.

More information about SOAR can be found online at www.supportagresearch.org.

More about wheat research infrastructure, funding and needs is at www.wheatworld.org/research.

Congress is working to grant permanent normal trade relations (PNTR) status to Russia and Moldova before leaving for August recess.

Russia’s legislature last week approved entering the World Trade Organization (WTO), which will allow it to become a full WTO member in 30 days. WTO rules require permanent normal trading relations between members, prompting the timeline for changing the United States’ treatment of the country for trade purposes.

Russia has been granted normal trading relations status by the U.S. on an annual basis since the early 1990s, but this designation must be made permanent for the U.S. to fully enjoy the benefits of Russia’s WTO membership.

Russia’s accession to the trade body will provide the U.S. and other WTO members improved trade access to that market. It will also provide the WTO stronger mechanisms to enforce Russia’s commitment to domestic supports, export subsidies and state trading enterprise disciplines.

Russia already has WTO-style access to the U.S. market as a result of the annual normal trading relations designation and, after becoming a WTO member, would be able to use the same WTO mechanisms to enforce U.S. trade commitments.

The House Ways and Means Committee approved a bill Thursday make normal trading relations permanent, which could come to the House floor as soon as next week. The Senate Finance Committee unanimously approved a similar bill late last week.

The Joint International Trade Policy Committee between NAWG and U.S. Wheat Associates, which recommends trade policy to both organizations’ boards of directors, recently approved a resolution supporting giving Russia PNTR status.

While some U.S. agricultural sectors will gain new exports from Russia’s accession to the WTO, Russia does not import U.S. wheat. Their membership will benefit U.S. wheat producers primary by providing new checks on Russian export and domestic support policies, helping the U.S. and other trading partners ensure that a major competitor plays by the same global rules.

The Senate Finance Committee reports that U.S. exports to Russia currently total $9 billion per year and are expected to double in five years with PNTR established. Russia is the world’s seventh-largest economy.

More about trade with Russia is available from the office of the U.S. Trade Representative at http://www.ustr.gov/russia.

With just two weeks until the Congressional August recess begins, it remains unclear if the 2012 Farm Bill will come to the House floor this summer.

As of Thursday afternoon, House Speaker John Boehner (R-Ohio), who effectively controls the floor schedule along with House Majority Leader Eric Cantor (R-Va.), had not made a decision about floor time.

Pressure is on from agriculture leaders in the House, including House Agriculture Committee Chairman Frank Lucas (R-Okla.) and Ranking Member Collin Peterson (D-Minn.), and through a Dear Colleague letter urging floor consideration, led by Rep. Kristi Noem (R-S.D.) and Rep. Peter Welch (D-Vt.).

“The House Agriculture Committee has done its work and we now ask that you make time on the floor of the House to consider this legislation, so that it can be debated, conferenced and ultimately passed into law, before the current bill expires,” the letter said, referencing the legislation passed by the Ag Committee on July 12.

“We need to continue to tell the American success story of agriculture and work to ensure we have strong policies in place so that producers can continue to provide an abundant, affordable and safe food supply.”

Calls for House consideration of the bill this summer, which is necessary to finalize new farm and food policy by the time current law expires on Sept. 30, also continue to come from farmers and rural constituents through Hill visits and calls, media interviews and social media using the hashtag #farmbillnow.

NAWG joined 45 groups in writing to Boehner and House Minority Leader Nancy Pelosi (D-Calif.) late last week, telling them “time is short” to get the new bill passed.

“While representing a wide range of interests, we are united in our view that the bill should receive floor time and be finalized this year, on schedule,” the groups wrote.

“We reject calls for delay and believe that extension of the current bill does not adequately address the needs of farmers, ranchers, foresters, those in need of food assistance at home and abroad, conservation, rural communities, or food and agricultural research.”

NAWG President Erik Younggren told RURAL TV on Monday that “our winter wheat guys will be planting here in August, and we’re encouraging our lawmakers to keep working just like farmers do. We don’t stop, and we don’t think that the lawmakers should stop either.”

NAWG is continuing to work with other commodity groups and Hill officials to determine a path for the 2012 Farm Bill this year. NAWG encourages all readers to contact their Members of the House and House Leadership to express the importance of quick farm bill action.

The Market Access Program (MAP) came under attack again this week in the Senate, with Sen. Tom Coburn (R-Okla.) attempting to eliminate funding for the export market development program at a Senate Finance Committee meeting.

Two amendments prepared by Coburn related to the MAP program were ruled non-germane and ultimately not considered. Still, the effort showed the continual attempts by some Members to end market development programs that are proven to be effective, efficient policies with excellent returns to farmers and the economy.

MAP and a sister program, the Foreign Market Development (FMD) program, are regular targets of certain Members who don’t appreciate their positive impacts on farmers’ incomes and the U.S. economy.

Both programs are authorized in the farm bill, which is currently up for renewal, with MAP receiving $200 million annually and FMD receiving $34.5 million annually.

They are managed by USDA’s Foreign Agricultural Service, which awards matching funds to non-profit U.S. agricultural trade associations and other groups promoting the sales of U.S. commodities overseas. To be eligible for the funding, farmers must contribute up to a 100 percent match and recipient organizations must annually submit promotion plans for review and approval.

A recent report on the program from IHS Global Insights, done at USDA’s request, showed that MAP and FMD have boosted agricultural exports by $6.1 billion, supporting up to 50,000 jobs.

The study also showed MAP and FMD provide a $35-to-$1 return on investment and have reduced U.S. domestic farm safety net payments an estimated $54 million because of the higher prices that come with more overseas sales.

For the wheat industry, which uses the programs to support U.S. Wheat Associates’ work around the world, the ROI on MAP and FMD is even larger.

A 2009 study done at the Cornell University Commodity Promotion Research Program showed that for every $1 invested by producers and the federal government between 2002 and 2009, $115 returned to the U.S. economy.

The Oklahoma Wheat Growers Association (OWGA), which represents wheat producers in Coburn’s home state, responded to his efforts this week with blunt rejection.

“The Oklahoma Wheat Growers Association is very concerned about Senator Tom Coburn’s attack on Oklahoma agriculture and the Oklahoma economy through his repeated proposals to cut funding for the Market Access Program (MAP), including amendments prepared for consideration by the Senate Finance Committee on Wednesday,” said OWGA Past President and wheat farmer Jimmie Musick in a statement.

“Though today’s amendments were ruled out of order, we know that in his quest to cut the federal budget, he will again attack this highly successful program that brings jobs and dollars back to his own constituents and the United States economy.

“The Oklahoma Wheat Growers Association and its farmer-members support efforts to cut the federal budget, but strongly oppose taking an axe to a program that has been proven to have a positive net effect on our economy.”

NAWG and its state wheat grower association members are strong supporters of both MAP and FMD and will continue to work to ensure they are fully funded and produce the maximum possible benefit for U.S. farmers and taxpayers.

More about MAP is available at http://www.fas.usda.gov/programs.asp.

By Casey Chumrau / U.S. Wheat Associates Market Analyst

Despite the worst drought since 1956, the U.S. Department of Agriculture (USDA) predicts that U.S. wheat farmers will produce a larger crop than last year and will stand ready once again to supply high quality wheat to the world.

In its monthly World Agricultural Supply and Demand Estimates (WASDE) released July 11, USDA lowered its 2012/2013 U.S. wheat production estimate for the second straight month to 60.5 million metric tons (MMT). However, that is still 12 percent greater than last year’s production and 2 percent above the five-year average.

A larger hard red winter (HRW) crop accounts for much of the total increase. In its first by-class estimates of the year, USDA estimated HRW production up 32 percent from last year to 28.1 MMT. The July WASDE indicates HRW production is on pace to become the largest crop since 2008/2009, exceeding the five-year average by 10 percent. As of July 15, 80 percent of the HRW crop is in the bins, ahead of the worst of the drought in most places.

USDA also expects hard red spring (HRS) wheat production to rebound in 2012/2013, despite the lowest planted area since 1983/1984. USDA forecasts HRS production at 11.8 MMT, up 9 percent from last year but 13 percent below the five-year average.

Greater yields in North Dakota, which produces about half of all HRS, will help offset the reduced acreage. USDA’s National Agricultural Statistics Service (NASS) expects North Dakota’s HRS yields will average 40 bushels per acre, up from 30.5 bushels per acre in 2011/2012. Most of the spring wheat production area is north of where other spring-related crops are suffering from heat and drought. Virtually all of the U.S. HRS crop has headed, and USDA’s latest conditions report shows that 65 percent of the crop in good to excellent condition with 27 percent in fair condition as of July 15.

After a year with the lowest durum production since 1988/1989, U.S. production including Desert Durum® (virtually all of which is irrigated) will increase 62 percent in 2012/2013 to 2.23 MMT according to USDA. Estimated harvested acreage in the top durum producing state, North Dakota, for 2012/2013 now stands at nearly double the 2011/2012 number, and yields are expected to improve from 25.5 bushels per acre to 31.0 bushels per acre, according to NASS.

USDA expects both soft red winter (SRW) and white wheat production to fall following above-average crops last year. SRW production will fall an estimated 6 percent from 2011/2012 to 11.7 MMT but remain 4 percent above the five-year average of 11.2 MMT. White wheat production will fall 18 percent from the 15-year high of 8.53 MMT reached in 2011/2012 to 7.03 MMT this year. If realized, white wheat would fall just below the five-year average of 7.08 MMT.

Although the U.S. wheat production outlook is positive, world weather conditions are affecting prices. Uncertainty about Black Sea wheat conditions and a rapidly declining U.S. corn crop have helped drive wheat futures sharply higher at a time when prices normally decline. Since June 1, the benchmark CBOT September SRW contract gained 40 percent, KCBT (HRW) increased 37 percent and MGEX (HRS) gained 33 percent.

As the corn crop declines, global wheat feeding will likely increase. Some analysts also predict quite a bit of volatility in this “weather market” and suggest that the market will not stabilize until the final impact of the drought becomes clear, probably by late August or early September.

For more from U.S. Wheat Associates, please visit http://www.uswheat.org.

The farm bill ball is in House Speaker John Boehner’s (R-Ohio) court following House Agriculture Committee approval of its version of new farm and food policy legislation early Thursday morning.

After a marathon mark-up ending just before 1 a.m., Committee Members voted 35 to 11 to favorably report the bill, officially known as H.R. 6083 or the Federal Agriculture Reform and Risk Management Act of 2012 (FARRM).

The bill would reauthorize a broad swath of federal food and farm programs, including the farm safety net and crop insurance; conservation, research and market development programs; regulatory clarifications related to pesticide application permitting; and domestic and international food programs. The Congressional Budget Office (CBO) confirmed the bill would reduce spending by $35 billion over 10 years, including $14 billion from Title I, the highest proportion of any title.

Still, the bill has proved controversial primarily due to cuts to food stamps, now known as SNAP, and dairy program changes.

Tuesday evening, NAWG released a letter outlining the organization’s priorities for the bill before final House passage, including modifications to the Title I revenue program that would make it trigger at the farm-level.

Approved by the Committee, the bill now faces the hurdle of the House floor, beginning with securing floor time just a few legislative days before August recess and in a politically-charged election year.

As of Thursday afternoon, Boehner, who as Speaker maintains almost complete control over what is considered or not in the full House, declined to say whether the farm bill would come before the House in the current work period and expressed concerns about some of its provisions.

Getting the bill passed quickly is the top priority for most agriculture groups and many agriculture leaders in Congress. If the House’s bill is not approved before August recess begins, it will be almost impossible to finalize a new farm bill before the current law expires on Sept. 30, requiring an extension and pushing the farm bill debate into the post-election period.

The lack of certainty has led agriculture-focused Members to look for alternative paths to the finish line. There were multiple reports this week that if House leaders choose not to schedule floor time, the bill could progress to an informal conference run by Agriculture Committee leaders in both chambers.

In a statement released after the bill’s passage, NAWG President Erik Younggren, a farmer from northern Minnesota, stressed the importance of continued movement.

“We strongly encourage House Leadership to schedule floor time for the bill as soon as possible,” he said.

“My fellow farmers will begin planting winter wheat in just a couple of months. It is very important they and all farmers have an understanding of the farm safety net available to them when they make the substantial investments required for the new crop.

“In addition to crop insurance and Title I policies, the bill passed today includes important provisions with regards to conservation, research, food aid, marketing and nutrition that should not be subjected to the uncertainty of short-term extensions.”

NAWG’s full statement is available online at http://www.wheatworld.org/news-events/2012/07/wheat-growers-applaud-house-committee-passage-of-2012-farm-bill/.

Additional letters signed by NAWG before the mark-up are available at www.wheatworld.org/farmbill under “Statements and Testimony.”

Key USDA statistical reports should be released “at a time of day when volume is heaviest and liquidity is deepest” and should be accompanied by both a one-page summary of relevant details and a one-hour pause in trading on major exchanges, NAWG and other grain groups told the Department in comments this week.

In a letter directed to USDA’s National Agricultural Statistics Service (NASS), the groups said these changes by USDA could help market participants who are managing physical risk and product deal with the increased volatility expected following the expansion of trading hours at the major U.S. grain exchanges in May.

The new hours prompted concern about the effects on farmers, grain and oilseed users and elevators of quick market reactions to new information contained in the USDA reports, which have historically been released to the public while markets are closed in part to give market participants time to digest the new data.

While adjusting the timing of the reports’ release and providing a quick summary to help non-corporate traders would help small market participants, the groups also noted that USDA’s ability to mitigate the risks of new volatility is limited.

For that reason, the groups also strongly recommended exchanges implement a one-hour pause of trading around report release times, which would provide a short period of time in which to analyze the data contained before trading resumes.

“We are deeply concerned that producers and smaller business operators without high-speed Internet access and/or sufficient personnel dedicated to immediate report downloads may be put at a significant disadvantage,” the groups wrote.

“Such data is relied on by our producer and agribusiness members to market their production and manage their risk, and a pause would allow them to adjust positions accordingly prior to potentially dramatic moves based on USDA-NASS reports.”

The group said the recommendations should be implemented for the World Agricultural Supply and Demand Estimates (WASDE) and reports on acreage, crop production, grain stocks and prospective plantings.

Groups signing onto the letter included NAWG, American Farm Bureau Federation, American Soybean Association, National Corn Growers Association, National Grain and Feed Association and North American Export Grain Association.

The letter is available in full online at www.wheatworld.org/othercorrespondence.

A new report demonstrates how six commodity crops including wheat are being produced more efficiently in the U.S. than they were 30 years ago, accompanied by important improvements in farm safety and economic sustainability for producers.

The data was released Thursday by Field to Market, the Keystone Alliance for Sustainable Agriculture, which is a broad-based coalition of farm and environmental groups, agribusinesses, universities and major food companies.

Developed by this diverse group of stakeholders, the new report is a follow-up to a similar study done in 2009, with updated data and methods as well as additional crops and new socioeconomic indicators.

The report analyzes national-scale trends in environmental and socioeconomic progress over time, relying on publicly-available data to estimate performance on eleven agricultural sustainability indicators ranging from soil erosion and greenhouse gas emissions to labor hours and debt-to-asset ratios.

The coalition, which is working to define and measure sustainability on the farm and in the food system, believes the report’s information will provide broad context for sustainability discussions and create a baseline against which to monitor future change.

“Sustainability for agriculture is a complex, multidimensional topic,” said Stewart Ramsey, principal and senior economist at IHS Global Insight, which conducted the analyses for the report.

“The intent of this report is to bring together best available data and science to inform the conversation and provide a picture of U.S. agriculture’s sustainability changes over the past three decades.”

Part one of the 179-page report analyzes environmental indicators from 1980 to 2011 including land use, soil erosion, irrigation water applied, energy use and greenhouse gas emissions for six crops, including wheat, corn, cotton, potato, rice and soybeans.

It found that, over the study period, all six crops demonstrated progress in improving resource use and impact per unit of production on all five environmental indicators.

For example, soil erosion per unit of production has improved by between 47 to 67 percent for the six crops studied, and energy use and greenhouse gas emissions per unit of production have decreased between 15 percent and more than 42 percent for the six crops studied.

Improvements in efficiency were driven, at least in part, by improvements in yield across all crops, ranging from 25 percent to 64 percent.

However, due in part to overall increases in production for five of the six crops (excluding wheat) and increases in total land use for four of the six crops (excluding potatoes and wheat), total resource use and impact increased for many crops on many indicators.

The second part of the report analyzes socioeconomic indicators for five crops, including wheat, corn, cotton, rice and soybeans.

The report found that indicators for debt-to-asset ratio, fatalities and non-fatality injury improved over their respective time periods and farm classification. Labor hours per planted acre decreased for corn, cotton, rice and soybeans and remained nearly constant for wheat.

Returns over variable costs were inconsistent over the report’s reference time period, but have been increasing for all crops, excluding cotton, since approximately 2002, and for cotton since 2009.

The report found that the agricultural sector’s contribution to national gross domestic product (GDP) has increased over the explored time period in absolute terms but decreased as a share of total.

NAWG is an active member of the Field to Market coalition and plans to continue work with the broader agriculture community to use the new data in its sustainability efforts.

The full report is available online at http://www.fieldtomarket.org/report/.

A statement from National Association of Wheat Growers (NAWG) President Erik Younggren, who farms wheat, sugar beets and soybeans near Hallock, Minn., on the House Agriculture Committee’s approval of 2012 Farm Bill language:

“NAWG was happy to see Members of the House Agriculture Committee approve their version of the 2012 Farm Bill early this morning, and we strongly encourage House Leadership to schedule floor time for the bill as soon as possible.

“My fellow farmers will begin planting winter wheat in just a couple of months. It is very important they and all farmers have an understanding of the farm safety net available to them when they make the substantial investments required for the new crop. In addition to crop insurance and Title I policies, the bill passed today includes important provisions with regards to conservation, research, food aid, marketing and nutrition that should not be subjected to the uncertainty of short-term extensions.

“We commend Chairman Lucas and Ranking Member Peterson for undertaking the mark-up in an expeditious fashion and allowing Committee Members’ voices to be heard. We look forward to the floor process and finalizing new farm and food policy before Sept. 30.”

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Contact:

Melissa George Kessler, Director of Communications, mkessler@wheatworld.org

NAWG transmitted a letter Tuesday to leaders of the House Agriculture Committee, outlining priorities for that Committee’s planned mark-up of 2012 Farm Bill language. The letter is available in full here.

Editor’s note: this post includes a correction to the story “Crop Insurance Yield Adjustments.”

Congress was out of session this week for the July 4 holiday. Ag news in Washington and around the country didn’t stop, though! Here’s a quick update on key happenings.

Congress Back Next Week Until August Recess

Members of Congress returned to their districts and states this week for the Fourth of July holiday. Both the House of Representatives and the Senate will be back in Washington, D.C., on Monday for the final work session before the August recess, which is slated to begin on Aug. 6.

Transport Bill Trucks Over to Obama for Signature

President Obama is set to sign into law a two-year transportation reauthorization bill on Friday after Congress passed the measure a week ago. Moving Ahead for the Progress in the 21st Century Act (MAP-21) has several important provisions including the Farmers’ Freedom Act (H.R. 2414), extending federally subsidized student loan interest at 3.4 percent, a five-year reauthorization of the National Flood Insurance Program and streamlining of agencies’ environmental review process.

H.R. 2414 clarifies agricultural hours of service provisions and continues the farm vehicle exemption from federal commercial driver’s license requirements. MAP-21 also provided maritime provisions that ensure harbor maintenance operations and maintenance funds are being utilized properly.

The bill fails to give guidance on states’ ability to increase truck weights which NAWG and others were seeking as well as freight rail provisions that are important to the grain industry.

House Farm Bill Language Expected

The House Committee on Agriculture is expected to release their version of the farm bill as early as today, almost a week before the scheduled mark up of the bill planned for next Wednesday, July 11.  NAWG applauds the efforts of the House Committee as we know they have been working diligently on the bill.  We look forward to continuing the process and ultimately passing a farm bill this year.

Crop Insurance Yield Adjustments

The Federal Crop Insurance Corporation (FCIC) Board of Directors has approved Trend-Adjusted APH for winter wheat. The Trend-Adjusted APH adjusts eligible yields, in qualifying APH databases, to reflect long term increases in the county’s historical yield. The county’s yield trend factor will be provided in the actuarial documents.

The trend-adjusted APH is available at the beginning of the 2013 crop year for specific counties in Colorado, Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, and Wisconsin. Interested producers should contact their crop insurance agents for more information specific to your area.

Soft Wheat Quality Lab Seeks Lead Scientist

The USDA-Agricultural Research Service’s Corn, Soybean, and Wheat Quality Research Unit in Wooster, Ohio, is seeking applications for a permanent, full-time research molecular biologist (plants)/geneticist (plants)/chemist. This position is the lead scientist in the Soft Wheat Quality Laboratory (SWQL).

ARS is seeking a scientist who will develop and lead an active, interdisciplinary program of independent and collaborative research to identify and characterize molecular, biochemical, chemical and/or physical differences in wheat that are related to flour quality in eastern soft wheat and will also manage the soft wheat quality testing program at the SWQL. The lead scientist will work with collaborators, stakeholders and ARS leadership to identify research needs and implement an effective research program.

To apply, print a copy of vacancy announcement ARS-X12E-0071 from the ARS Careers Website at www.ars.usda.gov/careers and follow the application directions provided. For information on the research program and/or position, call Dr. Peg Redinbaugh 330-263-3965 or send an email to peg.redinbaugh@ars.usda.gov. Applications must be received by Aug. 10.

Heads of state convened last week in Los Cabos, Mexico, for the annual G20 Summit. Amongst the issues the summit considered was sustainable agricultural production. The G20 Agriculture Vice Ministers and Deputies estimated global population will rise to 9.3 billion by 2050.

To accommodate this rapid growth of population, the group predicted an overall increase in agricultural production of 50-70 percent, and up to 100 percent in developing countries, would be needed to meet demand.  The group’s final report addressed the needs and goals for continuing to develop sustainable agriculture.

The group highlighted the joint work done by the United Nations’ Food and Agriculture Organization (FAO), and the Organization for Economic Cooperation and Development (OECD), which identified public and private investment, and research and development as major factors affecting a successful outcome. The report from FAO/OECD stressed the need for investment and development directed particularly toward small-scale farms in undeveloped and underdeveloped regions of the world, in order to maximize the productive and efficient use of land.

The FAO/OECD report also highlighted a number of initiatives underway in support of developing sustainable agriculture, notably the International Research Initiative for Wheat Improvement (Wheat Initiative). The Wheat Initiative was created as a result of the 2011 G20 Summit, and is a science-driven project with the goal of bettering the coordination of international research on wheat genetics, genomics and agronomy related to both bread and durum wheat. (The Wheat Initiative Scientific Board will meet this week in Fargo, N.D.).

Looking ahead to next year and to implementing the principles outlined during the summit, the G20 leadership called on the FAO, OECD, and other relevant international organizations to create a non-binding sustainable agriculture framework for analysis, which could be voluntarily adopted by G20 member nations, by the end of 2012.

Republicans and Democrats in Congress have reached a tentative agreement on a two year deal to finance the nation’s highways. The $8.4 billion dollar bill comes just days before the previous transportation bill expires on Saturday June 30. The legislation will reportedly help to create around 3 million jobs.

In the agreement Wednesday, Republicans from the House gave up several key points including a provision that aimed to speed up authorization on the Keystone Pipeline. Democrats, meanwhile, agreed to ease certain environmental rules, including shrinking the time frame regulators have to survey project sites.

Congress is also looking to attach a measure to the bill before the deadline on Saturday that will extend student loans at their current interest rate.

The bill carries several important provisions for the agriculture and wheat community. Amongst these is an exemption from the regulation of farm trucks that would otherwise place limits on hours of service and requirements for commercial licenses.

The exemption will apply to farm vehicles that weigh less than 26,000 pounds and are carrying commodities, livestock or equipment and are operated by a farmer, rancher or their employee. Trucks that weigh more than 26,000 pounds are exempt within 150 miles of the farm or ranch. This exemption is particularly important to farmers that carry goods and supplies across state lines.

Congress is expected to take up and pass the bill before the July 4 recess.

NAWG Director of Government Affairs for Research and Technology Jane DeMarchi attended the 2012 BIO International Convention. The event drew 16,505 industry leaders from 49 states and 65 countries.

The BIO convention is an opportunity to hear from a range of U.S. and international experts on cutting edge issues related to regulations, policy, consumer acceptance and the science of biotechnology and to engage in a dialogue about the future of biotech crops.

Among the food and agricultural sessions was a leadership summit titled, Harvesting the Commercial Potential of Emerging Agricultural and Industrial Biotechnologies with Dr. Catherine Woteki, U.S. Department of Agriculture Under Secretary for Research, Education and Economics, as a keynote speaker.

Other conference sessions focused on addressing expiring patents, the contribution of transgenic crops to human health, co-existence between biotech and organic production practices, building consumer trust, and biotech crop development in less developed markets. Farmers participated in a number of panels explaining the impact of these policy issues on their farms.

After nearly two weeks of commendable effort, the Senate moved for full passage of their version of the 2012 Farm Bill, S.3240 or the Agriculture Reform, Food and Jobs Act of 2012, by a 64-35 vote.

NAWG President Erik Younggren, farmer from Hallock, Minn., commended the Senate for moving forward with the legislation.

“This will provide policy certainty for hundreds of thousands of U.S. farmers and one in 12 American job earners who rely on agriculture,” he said.

“This bill is about standing up for our nation’s farmers, our small businesses, our manufacturers, our exporters and others whose livelihoods depend on us getting the policy right,” said Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.).

In addition to reauthorizing the nation’s food and farm programs, the chamber’s version calls on the Office of Management and Budget and the Pentagon to report on how sequestration expected in January 2013 will be implemented.

“American agriculture and those who depend on it around the globe need a Farm Bill,” said Senate Committee on Agriculture Ranking Member Pat Roberts (R-Kan.).

“They need to know what to expect from the federal government to make planning decisions, to be assured of a safe and affordable food supply, and to know that their businesses and families will have the opportunity to thrive. I take this responsibility seriously.”

Efforts to reauthorize farm and food programs this year now turn to the House of Representatives who are expected to hold a committee mark up of their version of the bill after the fourth of July recess.

More about NAWG’s farm bill work is at www.wheatworld.org/farmbill.

NAWG worked with grower members, its member state associations and in coalition with other groups to urge favorable positions on many of the amendments discussed by the chamber this week.

A notable crop insurance amendment that NAWG supported included the requirement to use plain language in crop insurance paperwork, which passed with a voice vote. Additionally Senators defeated an effort to restore funding to food programs by cutting USDA reimbursement to crop insurance companies, which was already reduced in the recent renegotiation of the Standard Reinsurance Agreement.

However the program, which farmers and their bankers testify as the most important safety net, suffered significant setbacks.

A majority of the Senators supported the effort by Sen. Saxby Chambliss (R-Ga.) to return crop insurance to the failed policy path of pre-1995 to reestablish additional regulations on crop insurance by requiring farmers who purchase crop insurance to comply with conservation requirements.

Following the lead of Sens. Richard Durbin (D-Ill.) and Tom Coburn (R-Okla.) the upper chamber proposed to penalize wealthy farmers’ utilization of the public-private program intended to spread risk across a wide array of users, without any understanding of what the effect will be on actuarial soundness for all crop insurance purchasers.

The chamber also agreed to increase the minimum level for Title II nonemergency food aid programs as proposed by Sen. Jerry Moran (R-Kan.).

They also agreed to limit marking loan gains to $75,000 per farmer as brought forward by Sen. Charles Grassley (R-Iowa).

Efforts were defeated to diminish Market Access Program  (MAP) funding and programmatic flexibility. Export market development programs, such as the MAP and the Foreign Market Development (FMD) program, which are essential to the wheat industry’s efforts to increase exports abroad.

The attempt to reduce the adjusted gross income levels required to participate in title one farm programs were thwarted as the committee-passed legislation had previously, significantly reformed these levels.

In what was categorized as a non germane amendment taken up by the Senate this morning, an effort by Sen. Bernard Sanders (I-Vt.) to allow states to mandate labeling of food products made with biotech ingredients was defeated by 26-73 vote.

This amendment would have undermined the strong U.S. regulatory program that helps ensure that all foods are safe to be marketed and labeled appropriately and would have resulted in costly and extreme food labeling requirements.

In addition, farmers across the country can be reassured the effort to prohibit commodity check off programs failed. These decade old programs initiated by farmers themselves have proved successful in delivering research, marketing and educational benefits to farmers and the entire agriculture value chain.

Not included in the list of amendments considered by the Senate this week was a NAWG supported effort from Senators Kay Hagan (D-N.C.) and Mike Crapo (R-Idaho) to overturn a 6th Circuit Court of Appeals decision that held that the application of a pesticide was a point source of pollution requiring a Clean Water Act permit.

A letter signed by NAWG along with every major commodity organization, and many of NAWG’s state associations, was sent late last week and stated in part that “we believe that the Court got it wrong regarding Congress’ intent, and we urge the Senate to take immediate action to affirm that water permits are not required for FIFRA-regulated pesticide applications.”

The letters sent this week are available in full at www.wheatworld.org/farmbill.

On Wednesday the House Appropriations Committee passed the FY 2013 Agriculture Appropriations bill. This legislation funds many important programs such as food safety, animal and plant health, rural development, farm services and nutrition programs with $19.4 billion in discretionary funding.

Representative Jeff Flake (R-Ariz.) offered an amendment, adopted by voice vote, which would prohibit funding for farm program benefits to individuals or entities with an adjusted gross income of more than $250,000. Senator Rand Paul (R-Ky.) proposed a similar amendment to the Senate farm bill this week, but his amendment was defeated 15-84.

Agricultural research programs, which must be funded each year, would receive $2.5 billion under the bill, a cut of $35 million from FY2012 spending levels. While $20 million was cut from the USDA-Agricultural Research Service (ARS) budget, the Agriculture and Food Research Initiative (AFRI) competitive grants program was increased by $12 million from last year.

It was rumored that Flake planned to offer amendments to defund MAP and FMD but he decided not to move forward. MAP and FMD were fully funded for 2013 in the bill. Concern remain that these amendments could be offered on the House floor even though both have had strong support from both chambers in past appropriations cycles.

The House Agriculture Appropriations bill is expected to be considered on the House floor next week, pushing the House mark up of the their version of the farm bill to Wednesday, July 11.

House Committee on Agriculture Chairman Frank Lucas (R-Okla.) has been quoted saying that the appropriations bill is a “mini farm-bill” and that the Agriculture Committee Members need to be prepared to help their friends on the Appropriations Committee get this legislation passed.

Agriculture and Congressional leaders continue to negotiate an agreement that would allow the 2012 Farm Bill draft pending on the Senate floor to gain approval.

More than 250 amendments have been filed for the bill to date, necessitating an overarching plan for processing them in a timely fashion.

Senate Majority Leader Harry Reid (D-Nev.) allowed Senators this week to begin debate on several controversial amendments, including on the sugar program, SNAP funding and conservation programs.

NAWG and other commodity groups have been actively advocating against amendments that would damage the bill and make portions of it unworkable.

An amendment from Sen. Jim DeMint (R-S.C.) would convert all mandatory agricultural spending to discretionary spending subject to annual appropriations, which would have broad effects on crop insurance, conservation and food stamp programs.

An amendment from Sens. Tom Coburn (R-Okla.) and Dick Durbin (D-Ill.) threatens to weaken the crop insurance program by instituting the first-ever means test for participation through an adjusted gross income (AGI) limit.

A separate amendment, from Sens. Jeanne Shaheen (D-N.H.) and Patrick Toomey (R-Pa.) would limit crop insurance subsidy premiums to $40,000 per producer, which would dramatically reduce the number of row crop acres covered under the crop insurance program.

NAWG and other ag groups wrote Senators Thursday opposing any amendment that will limit producers’ participation in crop insurance, including efforts to impose means testing and limit premium support, as well as those that threaten efficient and effective private sector delivery.

The groups said the proposed changes would threaten the program’s actuarial soundness and could render it ineffective as the primary safety net for most crop producers.

A separate amendment has been filed by Coburn to dramatically reduce funding and restrict activities under the Market Access Program (MAP), which is a farmer-government cost share program used by the wheat industry and other commodity groups to promote their products overseas.

NAWG and other ag groups wrote Senators on Thursday to urge their opposition to any such amendment, noting that MAP supports U.S. ag exports, one of few areas of the economy that has shown growth in recent years. Studies show the program has repeatedly delivered strong returns on investment of up to 35 to 1.

NAWG is actively supporting an amendment, from Sens. Kay Hagan (D-N.C.) and Mike Crapo (R-Idaho), to add the provisions of H.R. 872 to the Senate farm bill legislation. That amendment would clarify pesticide permitting requirements under the Clean Water Act, which were muddied by a 2009 Sixth Circuit Court ruling.

Two additional amendments that would directly and significantly affect the safety net portions of the Senate’s farm bill were filed late Thursday.

The first, from Sen. Kent Conrad (D-N.D.), would continue the countercyclical program with updated pricing and payment structures, with offsets from modifying the T-yield used in crop insurance calculations as outlined in the farm bill draft passed by the Senate Agriculture Committee.

A second, from Conrad and Sen. Max Baucus (D-Mont.), would limit the speed at which the price portion of the revenue calculation in the Senate bill’s Ag Risk Coverage (ARC) program could decline.

It is unlikely additional votes on farm bill issues will occur before next week. NAWG will continue to update state associations and grower-leaders as the situation on the Senate floor develops.

The letters sent this week are available in full at www.wheatworld.org/farmbill.

The most recent updates on farm bill action and action alerts are available through NAWG’s Facebook page, www.facebook.com/wheatworld, and NAWG’s Twitter feed, www.twitter.com/wheatworld.

California voters heading to the polls this fall will be asked to determine if some foods made from plants or animals derived with biotechnology should be labeled at a cost of hundreds of dollars per family, per year.

The California secretary of state officially certified the measure Monday following a signature-gathering campaign by its proponents. Other initiatives on the ballot for the Nov. 6 general election are on topics such as auto insurance, political contributions, the death penalty, punishments for human trafficking and the three strikes law.

If approved, the biotech labeling ballot measure would require labeling or reformulation of thousands of grocery products and specifically prohibit advertising processed foods including biotech crops as “natural.”

The proposition allows for multiple exemptions to potential labeling requirements. Many foods – up to 2/3 of those commonly eaten – would not be labeled, including those sold at restaurants or for immediate consumption, those that are certified organic or those that are produced unintentionally with biotech crops.

A broad coalition of agriculture, food, consumer and business groups is opposed to the measure because it would require repackaging and relabeling of most grocery products for the state, generating costs throughout the food chain that would ultimately be borne by consumers and farmers.

The initiative would also likely generate lawsuits that will be fought at taxpayer expense, which California officials say could be significant. Government officials there estimate the direct administrative costs to the state of the initiative would be up to $1 million per year.

Biotechnology is a plant breeding process that has been used in recent decades primarily to improve seeds and help farmers deal with challenges from plant pests, disease and weather while increasing the amount of food grown per acre.

More than 395 million acres of biotech crops were grown in 2011, half in developing countries, according to international organization ISAAA, which tracks the spread of the technology.

Since first being commercialized in 1996, farmers around the world have planted more than 3 billion acres of biotech crops, meaning trillions of meals have included biotech ingredients with no reported health or safety concerns.

The World Health Organization, American Medical Association and the National Academy of Sciences have confirmed that foods made with ingredients from biotech seeds are as safe as, and in some cases safer than, foods with non-biotech ingredients.

Currently, voluntary labeling is permissible under federal law and policy, allowing food companies to advertise their products with labels like “non-GMO.” However, federal law prohibits labeling that is misleading, including mandatory labeling of biotech-derived food products that are no different than non-biotech foods.

Biotech wheat is not commercially produced anywhere in the world and is not expected to be introduced into commercial production for at least seven to 10 years.

More about the ballot initiative is at www.stopcostlyfoodlabeling.com.

More about the history and benefits of biotechnology is at http://www.bio.org/articles/global-economic-and-environmental-benefits-ge-crops-continues-rise.

The U.S. Farmers & Ranchers Alliance’s second Food Dialogues event – “Lights, Camera, Food: Perceptions and Realities of Farming and Ranching in America” – is set for next Wednesday and Thursday in Los Angeles.

The two-day event will include four separate discussions that bring together farmers and ranchers with entertainment movers and shakers, chefs, academics, large restaurant operators, journalists and local leaders.

Those unable to attend in person are encouraged to participate online by watching some events live, participating in accompanying chats on Twitter and submitting feedback and questions via Twitter and Facebook.

Events are slated to include:

“Hollywood and “Vine”: The Intersection of Pop Culture and Food Production

Wednesday, June 20, 10 a.m. to 12 p.m. PDT

George Motz, documentarian, host of Travel Channel’s Made In America, and director of the Food Film Festival, will moderate this panel focusing on the portrayal of food and agriculture in popular culture.

This event will be live-streamed online at www.fooddialogues.com.

Meeting of the Minds: Touring Hollywood’s Urban Farm

Wednesday, June 20, 2 to 4 p.m. PDT

Urban farm expert and host of the syndicated Saturday Food Chain radio talk show Michael Olson will moderate this panel focused the role urban farms play in the communities where they operate.

This panel will be live tweeted using the hashtag #FoodD and can be tracked on Twitter by following @USFRA.

The event will also be recorded, with full video posted online later in the month.

The Great Debate: Science, Technology and Food

Thursday, June 21, 10 a.m. to 12 p.m. PDT

Long-time The New Yorker journalist and Denialism author Michael Specter will lead a panel of leading scientists and academics, farmers and thought leaders, including California Secretary of Agriculture Karen Ross, in a conversation about the role science and technology play in agriculture.

This event will be live-streamed online at www.fooddialogues.com.

The REAL Chef Challenge: Understanding How Food is Grown and Raised

Thursday, June 21, 12 p.m. to 2 p.m. PDT

Laura McIntosh, host and executive producer of Bringing it Home with Laura McIntosh, will moderate this discussion of how food sourcing impacts farmers’ and chefs’ work to grow, raise, buy and serve healthy choices for people everywhere.

This panel will be live tweeted using the hashtag #FoodD and can be tracked on Twitter by following @USFRA.

The event will also be recorded, with full video posted online later in the month.

NAWG is an affiliate member of USFRA, which aims to open dialogue between farmers and their urban customers about agriculture and food issues.

More about the events next week and USFRA is at http://www.fooddialogues.com/la-event.

The full Senate began debate on the 2012 Farm Bill this week, taking another step toward passage and completion of new farm and food policy.

The bill is known formally as the Agriculture Reform, Food and Jobs Act of 2012, or S. 3240.

The body moved to the measure Tuesday after quickly dispensing with another piece of legislation on the docket. Concurrently, Senate Majority Leader Harry Reid (D-Nev.) took steps to end debate on the measure, and a motion to proceed was approved Thursday morning by an overwhelming, 90-8 margin.

The bill would cut $23 billion from federal spending, the vast majority from farm safety net programs, also known as Title I programs.

In bringing the bill to the floor, Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) said it is not just a farm bill, but “a jobs bill,” with 16 million American jobs dependent on the strength of the agriculture sector.

Jerry Hagstrom, a D.C.-based ag policy reporter who contributes to National Journal, reported Tuesday that a new United Technologies/National Journal poll showed three-quarters of respondents said farm subsidy spending should be kept the same or increased.

By comparison, just two-thirds of respondents said food stamp spending should be kept the same or increased.

The bill also has support from the White House; Thursday afternoon, USDA released a Statement of Administration Policy saying it “makes meaningful progress toward the Administration’s goals.”

Consideration of amendments to the legislation is expected to start next week, probably on Tuesday. While it could be on the floor for two to three weeks, Senate Agriculture Committee Ranking Member Pat Roberts (R-Kan.) recently told reporters he hoped to finish by June 14.

All indications are that the House Agriculture Committee will mark-up its version of the farm bill before the Fourth of July recess, depending on Senate action.

NAWG will be closely monitoring the bill’s progress and reporting frequently to state associations and board members via e-mail, text message and other outlets.

NAWG and other agriculture groups, farmers and aggie friends are already spreading the message about the need for movement on the farm bill via social media, adding the hashtag #farmbillnow to tweets about farm policy.

Additional resources for following farm bill actions are at:

• http://www.ag.senate.gov/issues/farm-bill
• http://farmpolicy.com/
• http://twitter.com/search/farmbillnow
• http://thomas.loc.gov, searching for S. 3240

More about NAWG’s farm bill work is at www.wheatworld.org/farmbill.

Agricultural research organizations and farm groups are urging leaders of the House Agriculture Committee to include language in their version of the 2012 Farm Bill authorizing a USDA-administered ag research foundation to collect private-sector donations to supplement federal appropriations.

NAWG and more than 70 other organizations wrote House Agriculture Committee leaders on Monday describing a foundation concept included in the Senate’s version of pending farm bill legislation.

That bill, S. 3240, establishes a Foundation for Food and Agriculture Research (FFAR) to complement and add to USDA’s portfolio of intramural and extramural research programs, modeled on similar foundations that have been successfully established to bolster medical research work. The FFAR would be managed by a board made up of scientists and industry members and an executive director.

The groups strongly urged House Agriculture leadership to include similar provisions in the research title of their farm bill draft, which will increase the likelihood the FFAR structure will be included in the new farm law.

“We recognize the need for innovative solutions to increase funding and to leverage current and future investments in research,” the groups wrote. “Establishing a FFAR will generate new sources of funding for food and agricultural research. It will provide a structure for new public/private partnerships and investments that will further USDA’s research mission.”

USDA-sponsored research is vital to achieving the agricultural production levels necessary to feed the expected worldwide population of nine billion by 2050 and to remain competitive in a global economy.

Despite its importance, current funding for food and agricultural research is less than 2.5 percent of USDA’s budget and has been cut by about 12 percent since FY2010.

NAWG is a supporter of the research foundation concept as a way to bring new funds into agriculture research projects while federal appropriations slow. Wheat research continues to be done primarily in the public sector, through USDA programs and at land-grant universities using a combination of federal, state and grower dollars.

The full letter sent this week is at http://www.wheatworld.org/wp-content/uploads/research-FFAR-group-support-letter-20120604.pdf.

More about the wheat research community and research needs is at www.wheatworld.org/research.

Manhattan, Kan. - For Kansas wheat farmers, the annual harvest is “payday.” It is the culmination of a year’s worth of hard work, faith and hand-wringing. And during the hustle-and-bustle of wheat harvest, all the other farm chores take a backseat to bringing the crop in.

Timely harvest is of the essence: you never know when that cloud in the west could bring about severe weather, which could wipe out a crop in no time.

Yet every year, stories abound about how Kansas wheat farmers band together to bring in the crop for a family in need. The 2012 harvest is full of uplifting stories for farm families who have suffered illness or death to a loved one … right before harvest.

Near Cheney this week, area farmers brought combines, grain carts and semi trucks to make short work of the ripe fields of Raymond Rosenhagen, a farmer who died suddenly last month. Rosenhagen had been a community leader, having served on numerous boards of directors. A lifelong farmer, he was known in the community for helping others.

Raymond’s son, Mark, planned to take care of the harvest himself, but Raymond’s friends and neighbors insisted on helping. According to an article in the Wichita Eagle, Mark Rosenhagen was overwhelmed at the number of farmers who had left their own fields for a day to help him out. But he wasn’t surprised: “It’s just what neighbors do,” he said.

Haven-area farmers joined forces in support of Jim Baumann, whose father, Kenneth, died last week after an illness. The elder Baumann was a life-long farmer and community leader.

So that Jim could spend time during his father’s final days and take care of funeral preparations, neighboring farmers spent Monday in Jim’s wheat fields with a fleet that included eight combines, five grain carts and, “…too many trucks to count,” said neighbor Bob Albright.

On Thursday, 18 combines harvested nearly 600 acres of wheat for Lindsborg farmer Danny Carlson, who is battling cancer and in a Kansas City hospital, according to the Salina Journal. While dozens of workers harvested and hauled the crop, additional volunteers prepared lunch for the crew; others shuttled food and drinks back and forth to the Carlson’s fields.

Neighbor Kent Ebling, who coordinated the effort, reckoned that if any of the neighbors were in need, Danny Carlson would be the first in line to help. Ebling, who still had wheat to cut on his farm, said neighbors were happy to pitch in.

The Journal article said: “I’ve had so many people call and ask, ‘What can I do?’” he said. “Everybody has more to do. They quit what they were doing to come help. That says a lot.” Terence Carlson, Dan’s 90-year-old father, noted it would take 10 days in a normal year to complete the family harvest.

Neighbors helping neighbors. It’s as much of a tradition as, well, wheat farming.

Editor’s note: this article was reprinted with permission from Kansas Wheat. More is at http://www.kswheat.com/.

It was a short work week in Washington, D.C., with the Memorial Day holiday on Monday and the Senate on recess. Here’s a quick update on key happenings.

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Senate Farm Bill Filed, Scored…and Waiting on Floor Time

The Senate’s version of the 2012 Farm Bill is reportedly second on that body’s legislative agenda when it returns from recess next week. This means the bill could be on the Senate floor as early as June 5, though no firm date has been announced. The bill, known formally as the Agriculture Reform, Food and Jobs Act of 2012, or S. 3240, was officially introduced in the Senate last Thursday. New Congressional Budget Office (CBO) numbers out last Friday confirmed that the legislation would cut $23.6 billion from federal spending, with about 83 percent of funding reductions coming from Title I programs. More on the Senate bill is at http://www.ag.senate.gov/issues/farm-bill. The CBO score is at http://www.cbo.gov/sites/default/files/cbofiles/attachments/s3240.pdf.

 Two Reports Outline Possible Effects of Senate Ag Farm Bill

New information is becoming available from ag economists about the likely impacts of the provisions in the Senate Agriculture Committee’s version of the 2012 Farm Bill. A new study from the Food and Agricultural Policy Research Institute (FAPRI) – accessible in full at http://www.fapri.missouri.edu/outreach/publications/2012/FAPRI_MU_Report_03_12.pdf – looks at the possible consequences of eliminating direct payments, establishing a new Agriculture Risk Coverage (ARC) program and reducing land in the Conservation Reserve Program (CRP) to 25 million acres by 2017.

Separately, Kansas State Ag Economics Professor Art Barnaby has issued an article examining the real-world effects of a proposed $40,000 limit on the government’s portion of farmers’ crop insurance coverage. Based on his analysis, an average farm with average crop insurance costs would be able to ensure just 1,377 acres before hitting the limit. Farmers of higher-value crops, like specialty crops, would be able to ensure even fewer acres. More from Barnaby is at http://agmanager.info/crops/insurance/risk_mgt/rm_html12/AB_40K_Limit.asp.

NAWG, Other Shippers Urge Rail Provisions in Surface Transport Bill Conference

Conferees continue to work on finalizing a surface transportation measure that can be approved by both chambers of Congress before existing law expires on June 30. Last week, Senate Environment and Public Works Chairwoman Barbara Boxer (D-Calif.) expressed optimism about completing the bill, though just 13 legislative days remain for the House before the deadline. This week, NAWG and 35 other rail shippers wrote House conferees urging them to adopt provisions included in the Senate version of the legislation to “make small, but important, improvements to the current law governing the relationship between the nation’s major railroads and their customers.” The letter is at www.wheatworld.org/transportation.

USDA To Seek Comment on Report Release Timing Changes

USDA officially announced last Friday that it is reviewing the release times for its statistical reports following changes to electronic trading hours at the major U.S. commodity exchanges. The Chicago Board of Trade (CBOT), the Kansas City Board of Trade (KCBT) and the Minneapolis Grain Exchange (MGEX) have all extended their hours in recent weeks, prompting concern about the effects on farmers and other market participants of nearly continuous trading. The USDA announcement was made by Chief Economist Joseph Glauber, who said USDA will be seeking public comment through a Federal Register notice in the coming weeks.

USFRA Schedules Second Food Dialogues for June 20 and 21 in Los Angeles

USFRA recently announced the second installment of its Food Dialogues, dubbed “Lights, Camera, Food: Perceptions and Realities of Farming and Ranching in America.” The two-day event will encompass four separate discussions over June 20 and 21 in the Los Angeles area. The goal is to bring together entertainment movers and shakers, chefs, academics, journalists and farmers for varied and in-depth conversations about food production and how farmers and ranchers work. Two of the four events will be live streamed online and a third will be “live Tweeted” using the hashtag #FoodD. Much more about the events planned is at http://www.fooddialogues.com/.

Ag media is buzzing with hints about timing for farm bill consideration on the Senate floor and in the House Agriculture Committee, though Congressional agricultural leaders have announced no official dates.

The Red River Farm Network aired a report from House Agriculture Committee Ranking Member Collin Peterson (D-Minn.) early in the week in which he said the full Senate would take up its version of farm bill legislation on June 5 and the House Agriculture Committee would hold its mark-up on June 18. That report also noted that Peterson believes there is a 75 percent chance of completing a bill before August recess.

The Hagstrom Report reported on Monday that Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) is planning for Senate floor consideration the first week of June, though she declined to offer or confirm a specific date.

Previously, Stabenow had expressed a desire for farm bill floor time before Memorial Day. While that would have been an aggressive timeline, expeditious consideration of the bill will help facilitate getting final legislation through Congress before Members leave late in the summer to focus on campaigning ahead of fall elections.

While the number of legislative days available dwindles, many remain hopeful the farm bill will progress as legislators look for an election-year win that cuts a significant amount of money from the overall federal budget.

NAWG and farm groups have repeatedly urged quick consideration of farm bill language and passage of a reauthorization before the 2008 Farm Bill expires on Sept. 30.

More from the House Ag Committee on its farm bill work is at http://agriculture.house.gov/. More from the Senate Committee is at http://www.ag.senate.gov/.

More on NAWG’s positions related the farm policy reauthorization is at www.wheatworld.org/farmbill.

NAWG and other agricultural groups wrote President Barack Obama this week, commending him for his Administration’s support of agricultural technology in the recently-released National Bioeconomy Blueprint.

The groups said the Blueprint indentified several important objectives to strengthen the bioeconomy, including reducing regulatory barriers to new technology and continuing to focus on a science-based regulatory process.

“By reducing these barriers and assuring the regulatory review process is science-based, predictable and collaborative, your Blueprint will provide an effective incentive to technology developers to invest the resources necessary to bring safe and valuable innovations to the marketplace,” the groups wrote.

“We are especially encouraged by the emphasis on the existing role and potential for agriculture technology to contribute to a stronger, more secure economy.”

In releasing the plan last month, the Administration said the bioeconomy was important to both job creation and economic growth and tackling significant challenges in the areas of agriculture, health, energy and environmental preservation.

The plan outlined five objectives, including supporting research and development; facilitating transitions of discoveries from the lab to market; reforming regulations to increase regulatory speed and predictability while reducing costs; modifying training programs to meet current economic needs; and developing public-private partnerships.

With regards to agricultural biotechnology, the Blueprint described the need to build on existing successes with biotech-enabled crops and energy development, saying that in 2010, revenues from genetically modified plants and microbes alone were estimated to account for approximately $300 billion, equivalent to more than 2 percent of total U.S. gross domestic product.

More on the National Bioeconomy Blueprint is at http://www.whitehouse.gov/blog/2012/04/26/national-bioeconomy-blueprint-released.

The letter sent by ag groups this week is available in full at www.wheatworld.org/biotech.