Farm bill action continued this week in Washington, D.C., as wheat farmers across the country hit field work preparing for winter wheat harvest and finishing up spring wheat planting. Here’s a quick update from DC; please also join us online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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Senate Farm Bill Floor Consideration Starts, Will Continue After Recess

The Senate began its floor work on a 2013 Farm Bill this week, with three days of floor debate and votes on amendments interspersed with debate on topics including the federal budget and immigration. On the floor Thursday afternoon, Senate Majority Leader Harry Reid (D-Nev.) said he, Senate Agriculture leaders and other Senators were working to determine how quickly the bill will need to move through the floor and how to manage the more than 200 amendments that have reportedly been filed. The Senate is scheduled to be out of session Friday and all next week for Memorial Day, returning on Monday, June 3. Reid has indicated the chamber intends to move to immigration legislation soon after returning from recess, meaning votes for final passage of the farm bill could come as early as June 3 or 4. On Monday, the White House issued a Statement of Administration Policy (SAP) supporting the Senate version of the farm bill, which is largely a formality but also a positive indication for the bill’s success this year.

Senate Adopts Crop Insurance AGI Amendment, Rejects Biotech Labeling Amendment

Senators continued to work on farm bill amendments Thursday, considering several important to wheat growers. The Senate adopted on a 59 to 33 vote an amendment that would take a 15 percentage point reduction on the crop insurance premium discount for farmers with adjusted gross incomes of more than $750,000. This amendment was strongly opposed by NAWG and other agricultural organizations. Another amendment to eliminate crop insurance premium support for tobacco producers failed on a 44 to 52 vote. The Senate also rejected 71 to 27 an amendment that would have required mandatory labeling of foods with biotech-derived ingredients, which NAWG and most farm organizations oppose. The Senate rejected amendments to repeal the sugar program and make changes to the Supplemental Nutrition Assistance Program and accepted several non-controversial amendments. NAWG will continue to send out updates to state associations about relevant amendments and strongly urges all wheat growers to be prepared to call Congressional offices as the floor debate continues.

House Planning to Take Up Farm Bill in Mid-June

The House is reportedly planning to begin its floor work on a 2013 Farm Bill in mid-June. No official timetable has been released by Agriculture Committee leadership though members of House Leadership have indicated a desire to take up the bill this summer. Farm policy is currently operating under a one-year extension, which expires on Sept. 30. If both the Senate and House approve their bills in June, legislators should be on a good track to conference and finish the bill before that deadline.

Senate Committee Approves Immigration Bill Including Ag Priorities

The Senate Judiciary Committee approved a comprehensive immigration bill, S. 744, on Tuesday with a 13 to 5 vote, sending the measure to the full Senate for consideration after the Memorial Day recess. The Committee finished the legislation after multiple days of mark-up, including processing nearly 150 amendments. The legislation included a compromise worked out among agriculture groups represented in the Agriculture Workforce Coalition, farm labor unions and legislators, and the Coalition pledged support for the bill as it moves forward. Across Capitol Hill, a bipartisan group of House Members continues to work toward a deal that can be brought forward in that chamber in June. More from the Coalition is at www.agworkforcecoalition.org.

Congressional Budget Process Seemingly Stalls Out

Congress continues to struggle to set a budget and allocate spending for the 2014 fiscal year, which begins Oct. 1. Both the House and Senate passed budget resolutions early in the year, raising hopes for a regular-order process. However, neither chamber has been willing to appoint conferees in part because of concerns that a traditional conference process could allow the debt ceiling to be raised with fewer than 60 votes in the Senate. Despite that delay, the House Appropriations Committee moved forward this week, approving discretionary spending levels and issuing allocations, known as 302(b) allocations, to subcommittees covering specific areas of government spending.

House Ag Holds First Hearing in Process of CFTC Reauthorization

The House Agriculture Committee met Tuesday for the first in a series of hearings related to the coming reauthorization of the Commodity Futures Trading Commission (CFTC). The statutory authorization for the regulatory body expires at the end of the fiscal year, Sept. 30. The hearing this week included testimony from major exchanges, futures industry trade associations and a futures commission merchant. House Agriculture Committee Chairman Frank Lucas (R-Okla.) said the Committee will hold additional hearings to get perspective from a wide range of stakeholders, including farmers and CFTC officials. All written testimony from the hearing is available at http://agriculture.house.gov/hearing/future-cftc-market-perspectives.

Energy Secretary Confirmed; EPA, Commerce, Transportation Under Consideration

Amid its other work on the budget, immigration and the farm bill, the Senate continues the process of considering nominees for cabinet-level positions. Ernest Moniz, a physics professor from the Massachusetts Institute of Technology (MIT), was confirmed as Energy Secretary last week. Gina McCarthy, an EPA official nominated to be head of the Agency, was approved by the Senate Environment and Public Works Committee last week, though her nomination faces a hold on the Senate floor. Nomination hearings were held this week for President Barack Obama’s picks for Transportation Secretary, Charlotte, N.C., mayor Anthony Foxx, and Commerce Secretary, Chicago-based businesswoman Penny Pritzker.

Note and a Prayer to Friends in Oklahoma

NAWG staff, including the native Oklahoman who has long written these updates, watched in horror Monday as a mile-wide tornado tore through Moore, Okla., and surrounding areas. Much of wheat country is also known as Tornado Alley, and farmers and urbanites alike in these areas know the devastation that can be wrought by severe weather of all types. We send our prayers and sincere hope for better days to all of those affected by the recent storms.

What a week in Washington! The farm bill is finally gaining traction and hopes are high new farm policy will be finalized this summer. Here’s a quick update on happenings in the capital. Please also join us online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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House and Senate Ag Committees Complete Farm Bill Mark-Ups

Both the Senate and House Agriculture Committees marked up and approved their versions of a new, five-year farm bill this week. The Senate Committee began the rare mark-up double header on Tuesday, passing its bill on a 15 to 5 vote after just more than three hours of debate. The House Agriculture Committee’s mark-up spanned most of the day Wednesday, finishing up just before midnight with a 36 to 10 vote on final passage. NAWG applauds the leaders of both committees for their efforts to move the process forward. For more, visit http://www.wheatworld.org/news-events/2013/05/wheat-farmers-ready-for-farm-bill-floor-action/.

Floor Action Starts Monday in the Senate; Likely June in the House

Indications are that legislators will waste no time in taking up the farm bill drafts on both the Senate and House floors. The version approved by the Senate Agriculture, Nutrition and Forestry Committee on Tuesday was introduced later that day on the Senate floor as S. 954. The Senate could begin farm bill debate on Monday, with votes on amendments beginning as early as Tuesday and passage as early as late next week. Ag leaders in the House have said their bill will likely come to the floor of that chamber in June. If both schedules stick – and the bills avoid serious problems during floor debate – conference could begin by mid-summer and a new law could be in place before the extension of the 2008 Farm Bill expires on Sept. 30.

Watch the (Smart)Phone: Your Participation Is Needed in Farm Bill Debate

With farm bill floor action beginning early next week, NAWG encourages all wheat farmers to pay careful attention to farm policy news and be prepared to call legislators as needed to express amendment priorities. NAWG staff will be reporting to state offices and Board members via e-mail and, when quick action is needed, text message. Farmers can follow the debate while in their fields through farm radio, C-SPAN on satellite radio and on Twitter by following @wheatworld and farm reporters including @farmpolicy, @agripulse and @hagstromreport.

Water Resources Bill Passes Senate with SPCC Measure Included

The Senate overwhelmingly approved the Water Resources Development Act (WRDA), S. 601, on Wednesday with an 83 to 14 final vote. The bill provides funding for waterways development, including work on harbors, ports and locks and dams. The final bill also included an amendment to revise the Spill Prevention, Control and Countermeasures (SPCC) rule for farms and ranches, which relates to storage of oil that could conceivably reach a body of water if leaked. The amendment would create an exemption for farms with up to 6,000 gallons aggregate of aboveground oil storage pending the completion of a study looking at permanent exemption options and allow most farms with less than 20,000 gallons of capacity to self-certify. The House of Representatives has yet to take up its version of WRDA, though reports are that leadership of the House Transportation and Infrastructure Committee is committed to passing a bill this year.

Supreme Court Affirms Patent Rights in Pivotal Biotech Seed Case

The Supreme Court ruled unanimously on Monday that patents on traits within seeds are valid even as they carry into future generations, a decision crucial to continued investment in a wide array of bioscience research. Bowman v. Monsanto focused on the actions of farmer Vernon Bowman, who purchased Roundup Ready soybeans at a local elevator and used them for seed, avoiding licensing fees for the patented trait. Bowman’s attorney asserted Monsanto did not have the right to carry the patent two or three generations after the seed was originally planted, an argument soundly rejected by the Court. NAWG and other agriculture organizations filed briefs asserting the rights of patent holders and hailed the Court’s ruling, which will safeguard investments made in agricultural research by both public and private entities. Continued investment in the development of better crop varieties is essential to farmers’ livelihoods and continued ability to meet agronomic challenges while producing more food. The Court’s full opinion is available at http://www.supremecourt.gov/opinions/12pdf/11-796_c07d.pdf.

NAWG and USW Assert Priorities for Pending U.S.-EU Trade Talks

NAWG and U.S. Wheat Associates submitted joint comments to the Office of the U.S. Trade Representative (USTR) late last week, asserting priorities for the wheat industry as USTR formulates its strategy for upcoming trade negotiations between the U.S. and European Union. The wheat organizations urged the elimination of all duties on U.S. wheat imports; asked that the EU agree to implement the least restrictive sanitary and phytosanitary measures; and expressed concerns about the EU’s unpredictable biotechnology approval process, which could prove problematic when biotech traits are commercialized in wheat in an estimated seven to 10 years. The full comments are available directly at http://www.wheatworld.org/wp-content/uploads/trade-wheat-comments-US-EU-trade-negotiations-20130510.pdf.

USDA Announces CRP General and Continuous Sign-Ups

USDA said this week it will conduct a four-week Conservation Reserve Program (CRP) general sign-up beginning May 20 and ending on June 14. The Department is also restarting the sign-up for continuous CRP, which will run through Sept. 30. CRP is a voluntary program in which enrolled producers plant long-term, resource-conserving cover crops to improve water and soil quality and cultivate wildlife habitat. CRP contracts currently cover 27 million acres across 49 states and Puerto Rico. More about CRP participation is available online at www.fsa.usda.gov.

From USW: USDA Estimates Global Wheat Production to Reach New Record

Following a year with unfavorable weather that reduced the wheat production of several major suppliers, USDA estimated this week that global production would rebound to surpass the record set in 2011/2012, an increase of 7 percent. Of the five traditional major wheat exporters, USDA expects production to increase in each country except the United States, which it estimates will see a 9 percent drop in production from last year. USDA also estimates global wheat consumption to reach a new record high. More about the USDA estimates is available from U.S. Wheat Associates’ Wheat Letter, at http://bit.ly/107ABpq.

A statement from National Association of Wheat Growers (NAWG) President Bing Von Bergen, a wheat farmer from Moccasin, Mont.:

“The leaders of the National Association of Wheat Growers (NAWG) and the farmers we represent across the country are excited and grateful for the House and Senate Agriculture Committees’ passage of farm bill legislation over the last two days.

“This farm bill has been a long time coming. The bills approved by both Committees are solid products crafted through discussion, debate and significant work on the parts of Members who know the importance of agriculture, the leaders of the Ag Committees and their dedicated staff.

“From all appearances, leaders in both the Senate and House are ready to move the farm bill to the floors of their chambers and across the finish line. Our top legislative priority is completing a long-term farm bill this year, and we stand ready to assist in their efforts to reach this goal.”

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A statement from National Association of Wheat Growers President Bing Von Bergen, a wheat farmer from Moccasin, Mont.:

“I and my fellow wheat leaders are gratified for the progress underway in the House of Representatives toward a new, long-term farm bill. We appreciate the diligence shown by House Agriculture Committee Chairman Frank Lucas (R-Okla.) and Ranking Member Collin Peterson (D-Minn.) in writing the draft farm bill they released today and pressing for floor time this summer.

“The bill as drafted will help legislators save nearly $40 billion and produce a strong safety net for farmers during challenging production years like this one. The bill will also address priority areas of food aid, research, trade and conservation and clarify that farmers applying pesticides within the bounds of the Federal Insecticide, Fungicide and Rodenticide Act (FIFRA) do not need any additional permitting.

“We encourage all Members to support the effort to pass new long-term farm policy in the Committee and on the House floor, and we look forward to working with the Ag Committee’s leadership to support them throughout this process.”

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A statement from National Association of Wheat Growers President Bing Von Bergen, a wheat farmer from Moccasin, Mont.:

“On behalf of wheat growers across the country, the National Association of Wheat Growers applauds Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) and Ranking Member Thad Cochran (R-Miss.) for their work on the Agriculture Reform, Food and Jobs Act of 2013.

“We commend the Committee for producing a bill that will provide wheat farmers with a strong safety net through Title I programs and crop insurance and that addresses important provisions with regards to conservation, research, food aid, marketing and nutrition. The bill would also reduce our country’s deficit by roughly $23 billion over 10 years while supporting millions of jobs throughout the economy.

“NAWG believes it is vital for wheat farmers and our economy to finish a long-term farm bill this year, before the existing farm bill extension expires. We look forward to working with Committee Members as they prepare for their mark-up next week and urge quick consideration of the Ag Committee’s product on the Senate floor.”

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NAWG’s Washington offices have been buzzing this week with activity related to spring policy meetings and preparation for Hill action related to the farm bill and other legislation. A quick report on these activities is below. Please also join us online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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Farm Bill Mark-Ups on Tap Next Week for House and Senate Ag Committees

Both the Senate and House Agriculture Committees plan to mark up their versions of a 2013 Farm Bill next week. The Senate Committee scheduled a mark-up for Tuesday, May 14, and released a draft bill late Thursday (available in full at http://www.ag.senate.gov/issues/farm-bill). The House Committee scheduled its mark-up for Wednesday, May 15. Leaders in both chambers have indicated they would like to take up the farm bill this summer. Farm policy is currently operating under a one-year extension, which expires on Sept. 30.

NAWG Supports Senate Farm Bill Draft, Urges Quick Consideration and Floor Action

NAWG strongly supports efforts to finish a long-term farm bill this year, before the existing farm bill extension expires. The Association commends Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) and Ranking Member Thad Cochran (R-Miss.) for their work on the bill, which will provide a strong safety net and address needs in priority areas of research, conservation, food aid and trade. NAWG urges quick action in the Committee and on the Senate floor.

Alternative Conservation Title Bill Shows Crop Insurance Threats Ahead

In a preview of possible amendments coming during the farm bill debate, an alternative conservation title bill was introduced this week by Rep. Earl Blumenauer (D-Ore.) and 12 original cosponsors. Portions of the proposal would limit government cost-share for crop insurance on crops grown on land converted from sod grass or some wetlands. The bill would also tie conservation compliance to crop insurance, which NAWG strongly opposes. NAWG anticipates a robust amendment process during the farm bill debate, particularly on the House floor, as well as numerous proposals to weaken the crop insurance program. NAWG will continue to track such proposals and coordinate with state associations to combat them.

SPCC Amendment Added to Water Resource Bill Moving Through Senate

The Senate began work on the Water Resources Development Act (WRDA), S. 601, this week, including accepting an amendment to revise the Spill Prevention, Control and Countermeasures (SPCC) rule for farms and ranches. The amendment was sponsored by Sen. Mark Pryor (D-Ark.) and was adopted by unanimous consent. The amendment would create an exemption for farms with up to 6,000 gallons aggregate of aboveground oil storage pending the completion of a study looking at a permanent exemption for farms with 2,500 to 6,000 gallons. It would also permit farms to self-certify their spill prevention plans if their aggregate aboveground oil storage is between 6,000 and 20,000 gallons with no individual tank greater than 10,000 gallons. The SPCC rule calls for farmers to have SPCC plans if an oil spill from their farms could reach a water of the United States and if they store oil in aboveground quantities of more than 1,320 gallons or completely buried tanks of more than 42,000 gallons. More about ag-related SPCC requirements is at http://www.epa.gov/osweroe1/content/spcc/spcc_ag.htm.

Farm and Food Groups Ask Members to Oppose Biotech Labeling Bills

NAWG and 35 other ag and food organizations wrote to all Members of Congress this week voicing “strong opposition” to recently-introduced House and Senate bills that would require special labeling of foods containing ingredients derived from biotechnology or genetically engineered plants. The groups told legislators that there is no scientific basis for mandatory biotech labeling and that to require such labeling would likely confuse, and even unnecessarily alarm, consumers. Biotech crops have been grown in the United States for nearly 20 years and are highly regulated by USDA, the Environmental Protection Agency (EPA), and the Food and Drug Administration (FDA). FDA has long allowed companies to voluntarily market their products as not containing biotech ingredients while maintaining that labels are not required because biotech ingredients are not materially different than ingredients from other sources. The full letter is available online at http://www.wheatworld.org/wp-content/uploads/biotech-coalition-opposing-labeling-bills-20130508.pdf.

USDA Restarts Payments for 2011 SURE, NAP and MILC

USDA said Wednesday that farm payments temporarily suspended due to sequestration have been resumed. Payments affected are related to the 2011 SURE program, the Noninsured Crop Assistance Program (NAP) and the Milk Income Loss Contract Program (MILC). USDA began suspending payments from the Farm Service Agency (FSA) temporarily in early March so it could determine how best to implement sequestration cuts.

Brazilian Selected as New WTO Director-General

Brazilian Roberto Azevedo has been selected as the next director-general of the World Trade Organization (WTO), succeeding sitting director-general Pascal Lamy in September. Azevedo is currently Brazil’s ambassador to the WTO and is said to be an advocate for completing the Doha Round of trade talks that was first initiated in 2001 and has stagnated in recent years.

USDA: Census of Agriculture Final Deadline Is May 31

The deadline for 2012 Census of Agriculture responses is May 31, and USDA is urging all farmers and ranchers who have not yet responded to do so quickly. The Ag Census is conducted once every five years and is the best source of consistent and comprehensive ag data for every state and county in the nation. Federal law requires a response from everyone who receives the Census form and requires NASS to keep all individual information confidential. The Department said it has received more than 2 million completed Census forms. More about the Census, including how to complete the Census form, is at www.agcensus.usda.gov.

NAWG Officers, CEO-Elect Visit Hill and Administration Officials

NAWG’s five farmer-leaders and newly-appointed CEO Jim Palmer were in Washington, D.C., this week for spring meetings and to visit policymakers on Capitol Hill. The group visited 15 Hill offices, including the Majority and Minority offices for both Ag Committees, and met with staff at Environmental Protection Agency (EPA), USDA’s policy shop and USDA’ s National Institute of Food and Agriculture (NIFA) and Agricultural Research Service (ARS).

Congress has been out this week for a spring recess, but the NAWG office has been staying busy preparing for the work period ahead. Here’s a quick update on wheat happenings and crucial policy issues. Please also join us online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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NAWG Names Soybean Exec Palmer As New CEO
NAWG announced this week that longtime soybean industry executive Jim Palmer has been selected as the Association’s next chief executive officer. Palmer will officially begin work on June 1 with the Association and the National Wheat Foundation, NAWG’s affiliated charitable organization, though he will meet with NAWG grower-leaders and staff throughout the month of May. Palmer has worked in administrative roles for national and state agriculture organizations for the past 30 years, most of that time in the soybean industry. He grew up on a large, multi-generational family farm in northeast Missouri, near Hannibal, and attended the University of Missouri-Columbia. More on the announcement is at http://www.wheatworld.org/news-events/2013/05/soybean-executive-named-nawg-ceo/.

Reports: Farm Bill Mark-Ups in Both Committees Coming Soon

The next two weeks could be critical to the effort to pass new, long-term farm policy this year, with Sen. Chuck Grassley (R-Iowa) saying this week the Senate Agriculture Committee could consider a bill as early as next week and House Agriculture Committee Chairman Frank Lucas planning a mark-up on May 15. Neither timeline has been confirmed, but Hill staff and the ag community have been working diligently to gear up for the formal legislative process. Several sticking points remain, most of which center around the budget. Lucas said to reporters this week that he plans to offer a bill cutting $38 billion from baseline spending, including $20 billion in cuts to the food assistance programs that make up 80 percent of the bill’s total spending and $18 billion in cuts to the other parts of the bill, which make up 20 percent of the bill’s total spending. Details are not yet available for total projected savings from the Senate version the bill. Changed assumptions in the newest federal budget estimates reduced the projected savings of last year’s Senate-passed and House Agriculture Committee-passed bills, meaning lawmakers will have to find both more and new sources of savings in this year’s efforts.

Water Resources Development Act Set to Move in the Senate
The Senate is set to take up the Water Resources Development Act (WRDA), S. 601, next week. Sponsored by Senate Environment and Public Works Committee Chairwoman Barbara Boxer (D-Calif.), WRDA supports investment in the nation’s waterways and ensures funds in the Harbor Maintenance Trust Fund will be spent for port maintenance. The bill would also make reforms to the U.S. Army Corps of Engineers to increase flexibility for certain Corps projects to accelerate project completion. Waterways are a major transport route for U.S. agricultural commodities, carrying 60 percent of the volume for grain exports while supporting more than 400,000 jobs. The bill was unanimously approved by the EPW panel in April. A companion bill in the House, H.R. 1149, has also been introduced.

Obama Nominates USTR, Commerce Picks; More Moves at USDA

President Barack Obama announced this week he intends to nominate Michael Froman as the next U.S. Trade Representative (USTR), the country’s top trade negotiator. Froman is an assistant to the President and a deputy national security advisor for international economic affairs. Froman was involved in negotiating free trade agreements with Colombia, Panama and South Korea and previously worked for the Treasury Department and Citibank. As the new USTR, he will be in charge of managing ongoing Trans-Pacific Partnership (TPP) negotiations and free trade agreement negotiations with the European Union. Also on Thursday, Obama announced Penny Pritzker as his pick for Secretary of Commerce. Pritzker is a businesswoman involved in an investment firm and real estate and is part of the family that founded Hyatt Hotels.

USDA announced this week Michael Scuse, the current undersecretary for farm and foreign agricultural services, will take over as deputy secretary after Kathleen Merrigan departs that post on Friday. The change will create something of a domino effect, with Darci Vitter taking over as acting undersecretary and Suzanne Heinen becoming acting deputy undersecretary for farm and foreign agricultural services, Vitter’s current role.

USDA Leaders Participate in G-8 Ag Data Conference

USDA leaders participated this week in the G-8 Open Data for Agriculture Conference, touting the importance of sharing public agriculture data to combating world hunger. Secretary of Agriculture Tom Vilsack led the U.S. delegation to the conference, announcing in his remarks the launch of a food, agriculture and rural data community at www.data.gov that will catalogue America’s publicly-available agricultural data and provide applications, maps and tools to help farmers, scientists and policymakers with their work. The conference is a follow-up to the New Alliance for Food Security and Nutrition launched by G-8 leaders last year. More from the conference is online at https://sites.google.com/site/g8opendataconference/home.

NAWG Officers Head to Washington for Spring Meetings

The five grower-leaders who make up NAWG’s executive committee will travel to Washington, D.C., next week for their annual spring business meetings, Hill visits and to visit with newly-appointed CEO Jim Palmer. While in town, the officers will review NAWG policy priorities, meet with staff, visit key Members of Congress and, with any luck, be witness to a farm bill mark-up.

Extra Credit: Tweets from the Wheat Quality Council’s Winter Wheat Tour

Each spring, several dozen farmers, wheat buyers, millers, researchers, association representatives and reporters fan out across Kansas, Nebraska, Oklahoma and Colorado to check on winter wheat’s progress as part of the Wheat Quality Council’s Hard Winter Wheat Tour. This year’s tour ran from Monday through Thursday and was closely watched by many in the industry wondering how the famously resilient wheat is doing in the face of ongoing drought and many late freezes. Tour participants ultimate estimated an average yield of 41.1 bushels per acre, down from 49.1 bushels per acre last year, with an estimated 18 percent abandonment and a total production of 313.8 million bushels, down from 360 million bushels produced in 2012. See more from the tour on Twitter by searching for #wheattour13 at search.twitter.com and via the Facebook pages of many wheat organizations in the region.

Longtime soybean industry executive Jim Palmer has been named chief executive officer of the National Association of Wheat Growers (NAWG).

Palmer was selected by the NAWG Board of Directors after a search process led by the NAWG officers and grower-leaders of the National Wheat Foundation, NAWG’s affiliated charitable organization.

He will officially begin work with the Association and Foundation as of June 1, though he plans to meet with NAWG’s grower-leaders and staff throughout the month of May.

“Our farmer-leaders were very impressed with Jim’s experience and vision for the wheat industry, and we are excited to have him take the lead on the NAWG staff,” said Bing Von Bergen, NAWG’s president and a farmer from Moccasin, Mont., who has also served as NAWG’s interim CEO since late February.

“We are confident that under Jim’s leadership, NAWG will be able to face the challenges we have before us now in Washington and grow our industry well into the future.”

Palmer has worked in administrative roles for national and state agriculture organizations for the past 30 years, most of that time in the soybean industry.

From 1997 until early 2012, he worked as the executive director for the Minnesota Soybean Growers Association and the Minnesota Soybean Research and Promotion Council.

Earlier in his career, he was engaged in commercial agriculture credit and was the staff lead during the development of the United Soybean Board, the national soybean checkoff.

Since leaving Minnesota Soybean, he has worked as an independent management and development consultant with agriculture companies around the United States.

“I am extremely proud to be selected to serve as NAWG’s next CEO,” Palmer said. “The future will be bright for our wheat farmers working together, partnering with NAWG’s strong state organizations and our industry agribusiness friends, as well as other farm organizations. The bottom line is, I’m so eager to take on this new role at NAWG that I’ve mentally started already.”

Palmer grew up on a large, multi-generational family farm in northeast Missouri, near Hannibal. He attended the University of Missouri-Columbia, where he earned a bachelor’s degree in agricultural economics as part of an honors program that also conferred graduate credits.

More about Palmer is available online at www.wheatworld.org/about-us/contact-us/jim-palmer/.

Members of the media interested in interviewing Palmer or Von Bergen should contact Melissa George Kessler at mkessler (at) wheatworld.org or 202-386-2585.

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Hello again from Washington, D.C! We hope you find this quick update helpful, and we always welcome feedback at wheatworld (at) wheatworld.org. Please also join us online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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Reports from House, Senate Indicate Farm Bill Movement in May

May movement of a farm bill is looking more likely in both chambers of Congress. Senate Majority Leader Harry Reid (D-Nev.) said Thursday he would like that chamber to take up a farm bill next month, meaning the Agriculture Committee would have to mark-up immediately after Congress returns from a planned one-week recess on Monday, May 6. House Agriculture Committee Chairman Frank Lucas (R-Okla.) has said his panel plans to mark up their bill on Wednesday, May 15, although neither the Senate nor House Agriculture Committees have made formal announcements on mark-up timing.

Crop Insurance Fight Ahead, Senate Considers Amendment Strategy

With consideration of another Senate farm bill in the near future, Senate Agriculture Committee majority staff members are discussing ways to avoid harmful amendments during the floor process, including a possible strategy of adding to the base bill two amendments approved during last year’s floor debate. The concept is to include the previously-approved amendments – which would tie conservation compliance requirements to crop insurance and reduce premium subsidies to farmers with adjusted gross incomes of more than $750,000 – with some modifications to make each more “farmer friendly.” While there is no doubt there will be floor threats to crop insurance, NAWG is firmly opposed to any parameters that would potentially reduce the crop insurance risk pool, including means testing or tying conservation compliance to the program. NAWG will continue to work with Senate staff as the Committee moves toward consideration of new farm bill language to ensure the crop insurance program completed this year provides the best possible coverage for all wheat growers.

House and Senate Introduce “Protect Our Prairies” Legislation

Sens. John Thune (R-S.D.) and Amy Klobuchar (D-Minn.) introduced legislation this week that they said would protect the nation’s remaining native sod and grassland by reducing crop insurance subsidies for the first four years those acres are farmed. The Protect Our Prairies Act was first introduced earlier this month in the House by Reps. Tim Walz (D-Minn.) and Kristi Noem (R-SD). Members in both chambers believe this legislation would encourage conservation of grasslands that pheasants, ducks and other wildlife use as a habitat. Thune and Klobuchar said in a joint statement that their bill “makes common-sense changes to crop insurance saving taxpayers nearly $200 million,” and “in no way prohibits a producer’s right to convert sod or longstanding grasslands to cropland.” More from the release is at http://www.thune.senate.gov/public/index.cfm/press-releases?ID=2927674d-b003-4934-a915-4dcff5fa2cae.

Senate Finance Hears from Farmers on TPP Needs, Priorities

Two farmer representatives testifying at a Senate Finance Committee hearing this week voiced support for updated sanitary and phytosanitary (SPS) measures and a “rapid response mechanism” to address SPS claims in an eventual Trans-Pacific Partnership (TPP) agreement. The hearing focused on both the opportunities and challenges inherent in the ongoing TPP talks. A rancher representing the Montana Farm Bureau and the president of the U.S. Dairy Export Council both testified. Notably at the hearing, Committee Chairman Max Baucus said he wanted to see movement early this summer on the renewal of trade promotion authority (TPA), which allows trade agreements to be “fast tracked” through Congress once they are negotiated. More from the hearing is at http://www.finance.senate.gov/hearings/hearing/?id=03508528-5056-a032-526a-67ec511d1ced.

Court Dismisses Lawsuit Challenging Pesticide Registrations

A U.S. magistrate judge has dismissed a lawsuit filed by the Center for Biological Diversity and the Pesticide Action Network North America claiming that the Environmental Protection Agency (EPA) violated the Endangered Species Act by not consulting with the National Marine Fisheries Service and the U.S. Fish and Wildlife Service about pesticides’ potential effects on protected species. Though the dismissal is a temporary victory, ongoing discussions with EPA continue to determine what, if any, actions the Agency may take to avoid further litigation or restrictions on the use of legally-registered crop protection products. The dismissed lawsuit alleged that some 382 crop protection products – all legally registered and scientifically examined for safety under the Federal Insecticide, Fungicide and Rodenticide Act – may have harmed protected species. More on the suit’s dismissal from CropLife America is at http://www.croplifeamerica.org/news/cla/42313-District-Court-Dismisses-Endangered-Species-Act-Mega-Lawsuit.

Bayer Announces Agreement With Dutch Company to Improve Wheat Traits

Bayer CropScience and KeyGene, a company headquartered in the Netherlands, announced this week they have entered into a multi-year agreement to work together on traits in key crops, beginning with wheat. The program is also likely to include work on canola, rice and cotton. The collaboration will give Bayer access to KeyGene’s discovery pipeline and mutagenesis process to identify and improve genes associated with novel traits such as drought tolerance. Bayer will then be able to introduce new wheat varieties based on the improved traits. Financial details about the agreement were not disclosed. More about the agreement is at http://www.cropscience.bayer.com/en/Media/Press-Releases/2013/Bayer-CropScience-KeyGene-enter-research-agreement-develop-improved-varieties-initial-focus-wheat.aspx.

Senate Finance Chair, Wheat Advocate Baucus Announces Coming Retirement

Senate Finance Committee Chairman Max Baucus (D-Mont.) announced Tuesday he will not seek reelection in 2014, choosing to retire and return to his home state. Baucus said in a statement that “deciding not to run…was an extremely difficult decision” and that he wants to focus on the final year and a half of his long Senate service without the burden of a campaign. The Senator is a longtime advocate for federal farm policy and listed “passing a strong farm bill” among his priorities for the remainder of his term. Baucus has often been recognized for his work on behalf of the nation’s grain producers and is the only Member of Congress to have been named NAWG’s Wheat Leader of the Year three times.

There’s been much disconcerting news in our nation this week and several rough storms in wheat country. We hope this update finds our readers safe and as optimistic as possible for the crop season and our mutual futures. As always, please join us online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

House Ag Committee Farm Bill Mark-Up Set for May 15

Official word came late Thursday that the House Agriculture Committee will mark up its version of long-term farm policy on May 15. Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich.) had expressed hope her panel would mark up a bill in April, though just one legislative week remains in the month. The current one-year extension of the 2008 Farm Bill expires on Sept. 30.

Congress Holds Hearings on Administration Budget Requests

Congress began this week the process of debating the merits of Obama Administration budget requests, delivered to Capitol Hill last week more than two months behind schedule and after both chambers had passed their budget resolutions. Hearings in the House’s agriculture appropriations subcommittee included testimony from Secretary of Agriculture Tom Vilsack, leadership from USDA’s Research, Education and Economics mission area and USDA staff focused on agriculture marketing and regulatory programs. REE officials were asked about specifics of the Administration’s research funding proposals, including the requested elimination of funding for the U.S. Wheat and Barley Scab Initiative, which the wheat industry strongly opposes. Full testimony and archived webcasts of the hearings are at http://appropriations.house.gov/subcommittees/subcommittee/?IssueID=43419. The next step in the Congressional budget process is for the House and Senate to come to a compromise on spending intentions, though a conference committee has yet to be named. The federal government’s new fiscal year begins Oct. 1.

Immigration Compromise Reached, Including Ag Labor Proposals

A sweeping immigration compromise developed by a bipartisan group of Senators reportedly includes provisions related to agricultural workers lauded by both farm groups and farm worker unions. The agreement would allow for up to 112,000 visas to be issued per year for farm workers, with a maximum of 337,000 visas at one time. Visas could last as long as three years and would allow for yearlong work. Wages would also rise under the plan. Immigrants make up a large portion of the workforce for many parts of the agriculture industry including the fruit and vegetable, dairy and meat sectors.

Ag Groups Voice Support for Strong, Enforceable SPS Measures in TPP

More than 55 agriculture and food groups wrote White House trade negotiators and trade leaders in Congress this week urging the inclusion of enforceable “WTO-plus” sanitary and phytosanitary (SPS) provisions as part of a successful Trans-Pacific Partnership (TPP) trade agreement. The groups said SPS barriers are “a significant and growing impediment to market access” for U.S. goods, and that a successful agreement upon standards and enforcement mechanisms in the TPP could pave the way for similar agreements in a new set of trade negotiations with the European Union. The U.S. wheat industry strongly supports both sets of negotiations. The letter sent this week and a reply to an inquiry on TPP SPS provisions from House Committee on Ways and Means Trade Subcommittee Chairman Devin Nunes (R-Calif.) are available at www.wheatworld.org/trade.

Wheat Crop Faces Weather Challenges Across the Country

Wheat country continues to face challenges from winter weather, including abnormally high amounts of snow for the year and freezing temperatures. Hard red winter areas have already had a number of freeze events in recent weeks and another is coming overnight for much of the region. Farther north, abnormal snowfall means farmers are struggling to plant spring wheat at all. USDA’s crop progress report issued Monday showed just 4 percent of winter wheat in 18 states had headed, compared to 28 percent at this time last year. Thirty-one percent of winter wheat was rated poor or very poor, compared to just 11 percent at this time last year. Just 6 percent of spring wheat was planted in the top producing states as of last week, compared to a third last year at the same time and an average of 13 percent over the past five years.

Chicago Food Dialogues Event to Tackle Biotech Crops Controversies

The U.S. Farmers and Ranchers Alliance’s next Food Dialogues is scheduled for this coming Monday, April 22. The event will be part of the 2013 BIO International Convention with a focus on agricultural biotechnology. Panelists will include farmers, media, industry and members of academia, who will answer some of the toughest questions surrounding GMOs. The panel will begin at 1:45 p.m. CDT and will stream live online at www.fooddialogues.com. Viewers can also follow along on Twitter by using the #FoodD hashtag. More about the event is at http://www.fooddialogues.com/chicago-food-dialogues.

NAWG Seeks Policy Communications Intern for Summer Term

NAWG is seeking an intern interested in agriculture and policy communications to join its staff in Washington for the summer. The selected student will work with the NAWG communications director and staff to develop reports, press releases and newsletters, maintain and build NAWG’s online presence and keep states and stakeholders up-to-date on policy happenings. The intern will be considered a temporary NAWG employee and paid hourly. Applications for the communications internship are due April 30. Full details are available online at http://www.wheatworld.org/wp-content/uploads/Communications-NAWG-Internship-Program-Description.pdf.

Extra Credit: IFIC Releases Updated Biotech Communications Guide

The International Food Information Council (IFIC) Foundation recently released an updated edition of its biotechnology communications guide, indented for use by farmers, agriculture stakeholders, nutritionists and others talking about biotech crops and the food made from them. The guide is titled Food Biotechnology: A Communicator’s Guide to Improving Understanding, 3rd edition, and is available online for free at http://www.foodinsight.org/foodbioguide.aspx. Hard copies of the resource can also be ordered through the website for a nominal price.

The NAWG offices have been hopping this week with farmers in town for business meetings and the industry’s annual wheat research fly-in. We hope you find this update useful, and we’re always available online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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President’s Budget Proposes Changes to Crop Insurance, Food Aid, Research

President Barack Obama’s FY2014 budget proposal was submitted to Congress Wednesday, being met with open opposition from the Republican side of the aisle for proposed spending and revenue increases and more muted grumbling from Democrats for proposed trims in cost-of-living increases to entitlement programs such as Medicare. The $3.77 trillion fiscal year 2014 budget proposal is almost certain not to be adopted in whole, as few administration budgets are.

Both the House and the Senate have adopted their own radically different versions of their non-binding budget resolutions. House Budget Committee Chairman Paul Ryan (R-Wis.) and Senate Budget Committee Chairman Patty Murray (D-Wash.) put out a rare joint statement indicating they intend to move the budget process forward in Congress, saying, “We recognize the many differences between the House and Senate budget resolutions and the challenge we face in reaching an agreement. We are committed to working to find common ground. We look forward to continuing the conversation as we move toward a conference committee.”

For agriculture, the president’s budget proposal is a mixed bag. Overall, the Department of Agriculture would receive nearly $22 billion in discretionary funding, a decrease of $1.2 billion over 2012 funding levels. The entire 2014 USDA budget would be $145.8 billion.

Farm Safety Net, Conservation and Energy
Related to farm programs, the document reprises proposals to cut crop insurance support and eliminate direct payments, which officials said would save $37.8 billion over the 10-year budget window. These topics are expected to be central to continued discussions leading toward a new, long-term farm bill.

For conservation programs, for the Environmental Quality Incentives Program (EQIP) funding is proposed to be decreased slightly from $1.4 billion to $1.350 billion. In 2012, funding for the program was enacted at $1.373 billion. For the old Conservation Security Program, funding for existing contracts would decline to $134 million, while funding for the new Conservation Stewardship Program would see an increase from $768 million in 2013 to a proposed $989 million in 2014. The Conservation Reserve Program (CRP) would be funded at approximately $2.1 billion with enrollment of just more than 27 million acres.

The budget also calls for $238 million for the Rural Energy for America Program.

Food Aid
As expected, the Obama Administration proposal suggests elimination of the Food for Peace (PL-480) program, aiming to shift from a system of shipping U.S. commodities directly to countries in need. The changes would allow up to 45 percent of food aid to be purchased outside the United States and end the practice of selling commodities to fund development assistance, known as monetization.

NAWG and other agriculture groups have spoken out against the proposed changes, which would harm the existing – and very successful – system of food aid, which guarantees quality products for those in need and builds goodwill for the U.S. in countries that are working to improve conditions for their people. Wheat is a significant part of U.S. food aid, accounting for 34.4 percent of all food-aid donations in fiscal year 2011. NAWG and 80 other groups recently wrote Congressional leaders offering strong support for the Food for Peace and other existing food aid programs; a sample of those letters is available at www.wheatworld.org/wp-content/uploads/foodaid-letter-to-senate-ag-fy2014-20130321.pdf.

Research
The Administration’s research proposals contain slight increases in overall funds for both research done by USDA scientists and partnerships with land-grant universities. Researchers and farmers in town this week for the industry’s annual research fly-in were encouraged by this news and urged Members of Congress to support two top-line requests, $1.124 billion for USDA’s Agricultural Research Service (ARS) and $383 million in funding for USDA’s premier competitive grant programs, the Agriculture and Food Research Initiative (AFRI).

However, NAWG and state associations are continuing to examine the details of the research proposal and already have developed grave concerns about some of the details. Most significantly, the request appears to zero out funds for the U.S. Wheat and Barley Scab Initiative (USWBSI), as well as a significant reduction for crop protection work. Wheat stakeholders will continue to assess the potential impact of the president’s ideas on ARS and land-grant research and engage with Members of Congress on top priorities.

The full budget proposals are available online at www.whitehouse.gov/omb/.

Wheat Stakeholders Press Need for Consistent Research Funding

Wheat farmers and researchers from every region of the country were on Capitol Hill together this week, pressing the importance of long-term and stable agriculture research funding as part of the wheat industry’s annual fly-in focusing on innovation in the public sector. The goal was to educate policy makers about the process of developing new and better wheat plants, which can easily take 10 years per variety, and the importance of adequate, consistent funding even in a time of deep fiscal uncertainty.

Despite increased private investment, wheat research is primarily done within USDA, through USDA grants and at land-grant universities around the country that also get significant funding from state governments and wheat growers directly. Public programs are uniquely suited to address the basic questions all plant scientists need answered and to operationalize research into locally-adapted wheat varieties. Despite demonstrated return on investment of up to $32 to $1, just 1.6 percent of the $142 billion annual federal investment in research goes to agriculture, according to the American Association for the Advancement of Science (AAAS).

More about wheat research needs and the wheat research community is at www.wheatworld.org/research. More on this week’s fly-in is at http://www.wheatworld.org/news-events/2013/04/wheat-stakeholders-press-necessity-of-consistent-federal-research-funding/.

Interior Secretary Confirmed; Energy and EPA Nominees Face Congress

The Senate confirmed new Interior Secretary Sally Jewell Wednesday with an 87 to 11 vote. Jewell has been the head of the outdoor-focused retailer REI and was formerly a banker and oil engineer. The Obama Administration’s nominees for Secretary of Energy and the administrator of the Environmental Protection Agency (EPA) appeared before Congress this week for their nomination hearings. Ernest Moniz, a physics professor from the Massachusetts Institute of Technology (MIT), went before the Senate Energy Committee, while Gina McCarthy, an EPA official nominated for the top spot in that agency, went before the Senate Environment and Public Works Committee. Archived webcasts of both hearings are available on the respective committee websites.

Hurst Appointed as Member of STB’s Rail Advisory Council

Former NAWG president Wayne Hurst was recently appointed to a three-year term as a member of the Surface Transportation Board’s Railroad-Shipper Transportation Advisory Council (RSTAC). RSTAC works with the STB and Congress on a range of regulatory, policy and legislative issues related to the nation’s rail systems. Hurst, who farms near Burley, Idaho, has been deeply involved in rail shipper issues during his time as an officer of the Idaho Grain Producers Association (IGPA) and NAWG. Hurst grows wheat, sugar beets, potatoes, dry beans and forage crops and serves in a variety of leadership capacities within and outside agriculture. He is also currently a member of the Board of Directors for the National Wheat Foundation. More about RSTAC is at http://www.stb.dot.gov/stb/rail/railshipper_council.html.

Freeze Hits Winter Wheat in Kansas, Oklahoma, Texas

Freezing temperatures and ice descended on young wheat crops in Kansas, Oklahoma and the Texas Panhandle this week, potentially causing severe damage throughout the region. It will be a few weeks before the extent of the damage is known. Kansas Wheat offers more details about the effects in that area on its Wheat Beat blog, at http://thewheatbeat.wordpress.com/2013/04/10/from-the-field-freeze-wreaks-havoc-on-kansas-wheat-crop/. Jeff Edwards, the small grains extension specialist at Oklahoma State University, wrote about the freeze at http://osuwheat.com/2013/04/10/spring-freeze-part-deux/.

Extra Credit: Crop Insurance, Just the Facts

Crop insurance is the most important safety net program for many farmers, including many wheat producers. Heading into the latest effort to write new, long-term farm policy, it is more important than ever that growers and their advocates in Washington have tools to talk to policymakers – familiar and unfamiliar with agriculture – about this vital policy issue. National Crop Insurance Services (NCIS) recently released a new section of its website on crop insurance facts to help answer common questions, from basic (What is crop insurance?) to in-depth (Does crop insurance have a role to play in the climate change debate?). Check it out online at http://www.cropinsuranceinamerica.org/about-crop-insurance/just-the-facts/.

As policymakers struggle to set federal funding priorities for the coming years and craft a new, five-year farm bill, wheat researchers, farmers, millers and bakers are on Capitol Hill together, pressing the importance of long-term and stable agriculture research funding.

Nearly 30 stakeholders from every region of the country are in town this week for the wheat industry’s annual fly-in focusing on innovation in the public sector, which continues to produce the vast majority of new wheat varieties adapted to the challenges farmers face.

In a time of deep uncertainty at the federal level, the wheat representatives are educating policymakers about the process of developing new and better wheat plants, which can easily take 10 years per variety.

The annual event is sponsored by the National Wheat Improvement Committee (NWIC), a group of wheat scientists and stakeholders, and the National Association of Wheat Growers (NAWG) and put on in conjunction with the North American Millers’ Association and the American Bakers Association.

Fly-in participants are telling their own stories about the impact of crop research on their sector and specifically asking Members of Congress to support the Obama Administration’s FY2014 request of $1.124 billion for USDA’s Agricultural Research Service (ARS) and $383 million in funding for USDA’s premier competitive grant programs, the Agriculture and Food Research Initiative (AFRI).

Despite demonstrated return on investment of up to $32 to $1, just 1.6 percent of the $142 billion annual federal investment in research goes to agriculture research, according to the American Association for the Advancement of Science (AAAS).

Even in a time of increased private investment, wheat research is primarily done within ARS, through AFRI grants and at land-grant universities around the country that also get funding from state governments and wheat growers directly. Public programs are uniquely suited to address the basic questions all plant scientists need answered and to operationalize research into locally-adapted wheat varieties.

“The conundrum we find ourselves in is that rapidly evolving and emerging pests and a growing population will not wait for better days ahead financially,” said Dr. Brett Carver, the head of the wheat improvement team at Oklahoma State University and the chairman of NWIC.

“The problems are now, and the solutions are as pressing on wheat scientists as ever before. The U.S. wheat research community has performed well at keeping up; catching up is an entirely different game, but one we increasingly have to play.”

With a new farm bill still on the horizon, participants are also reminding Members of Congress of the importance of the legislation’s research title, which authorizes AFRI and the U.S. Wheat and Barley Scab Initiative (USWBSI), a public-private-federal research collaboration that is a model for other such partnerships within the industry.

“Nobody believes that the way the federal government is operating right now is healthy or encouraging economic growth. All industries and sectors benefit from certainty,” said Bing Von Bergen, NAWG president and a wheat farmer from Moccasin, Mont.

“With research, though, the impact of cuts today won’t just last until a program is restructured or funding is found elsewhere. Programs will cease to exist, scientists will move on to other specialties, and we will have very serious problems developing and cultivating healthy crops for decades to come. These expenditures truly are investments in our nation’s future that need to be made.”

More about wheat research needs and the wheat research community is at www.wheatworld.org/research.

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Contact: Melissa George Kessler, mkessler (at) wheatworld.org, 202-386-2585

NAWG staff and grower-leaders spent the last week of Congress’ spring recess preparing for upcoming meetings and – with any luck – movement on important policy issues in the new work period. Here’s a quick update, and we’re always available online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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Congress Returns Next Week; Senate Farm Bill Mark-Up Expected in Late April

Members of Congress are set to be back in Washington next week after a two-week spring recess. Expected to be at the top the agenda are efforts to conference a budget resolution and begin the FY2014 appropriations process. The Obama Administration is scheduled to deliver its budget proposal on April 10, two months delayed from the traditional (and legal) deadline. The agriculture community is hoping for movement this spring toward a long-term farm bill, a process that has been stymied by fiscal and political uncertainty. While no official date has been set, word is that the Senate Agriculture Committee plans to mark-up a farm bill draft in April.

Crop Insurance Policies Pay Out $16 Billion to Farmers With Losses in 2013

National Crop Insurance Services (NCIS) reported this week that more than $16 billion has been distributed to farmers suffering crop losses in the last year. The high indemnity figure is largely due to an ongoing drought across the United States, particularly in the Corn Belt. NCIS said farmers invested more than $4.1 billion in 2012 to purchase 1.2 million crop insurance polices protecting 128 different crops on 281 million acres of land. Illinois had the highest loss ratio at 3.81; nationally, the loss ration is 1.44. Crop insurance is a public-private partnership in which farmers and the federal government share the cost of policy premiums. The program is the most important component of the farm safety net for most growers, and it is NAWG’s top priority in the ongoing farm bill discussions.

Provision Providing Farmers Assurance About Planting Ability Simple, But Controversial

Included in the recently-passed continuing resolution was a provision giving farmers the assurance that once they have adopted a product that has been deemed safe by the USDA, their ability to plant and harvest the crop will not be jeopardized. This provision has received widespread attention on the Internet in recent days, primarily from writers who believe the myth that it will restrict the right to challenge the USDA’s determination of plant pest risk. What the provision will, in fact, do is provide farmers protection from activist groups abusing the court system to prevent already-reviewed crops from being planted and harvested. This is a real threat for farmers; a court-ordered injunction against planting herbicide-tolerant alfalfa during a duplicative environmental review meant farmers were barred from planting the crop for nearly four years. The CR provision, known formally as section 735 after its location in the law, upholds science- and fact-based decisions from regulatory bodies like USDA while providing protection to farmers from situations like that with biotech alfalfa. Additional interesting commentary is available from Forbes at http://www.forbes.com/sites/jonentine/2013/04/02/exposing-the-anti-gmo-legal-machine-the-real-story-behind-the-so-called-monsanto-protection-act/.

25x’25 Alliance Issues Ag and Forestry Adaptation Report

Bioenergy coalition 25x’25 released this week a report outlining its view of adaptation strategies for agriculture in a time of changing weather patterns. The report is a product of a broad-based coalition of commodity groups, governmental and non-governmental entities, land grant universities and a number of farmers and ranchers. Its recommendations focus on real-time and common sense approaches including continued reliance on a strong, viable safety net for farmers (including crop insurance) and new research into a wide range of agriculture topics, including cropping patterns, tillage practices, equipment, production of alternate fuels and chemicals, and use of biotechnology to further improve sustainability for agriculture. The report is available online at www.25×25.org.

Wheat Leaders Travel to D.C. for Meetings on CEO Search, Foundation, Research

NAWG’s officer corps and the Board of Directors of the National Wheat Foundation (NWF) will come to Washington, D.C., early next week for back-to-back meetings. On Monday, the grower representatives in both groups will meet to continue the organizations’ search for a new chief executive officer. The NWF Board is scheduled to meet Monday afternoon and Tuesday morning. The wheat industry’s annual fly-in to educate policymakers about wheat research will bring together wheat growers, researchers, millers and bakers beginning Wednesday morning, ending up Thursday afternoon. Questions about any of the planned meetings can be sent to wheatworld (at) wheatworld.org.

Media Availability on Research Funding, Priorities Set for Wednesday Noon

Stakeholders visiting Washington, D.C., to press the importance of wheat research to policymakers will tell their stories to members of the media during an availability set for Wednesday, April 10. The event will begin at noon in NAWG’s Capitol Hill offices and 12:30 p.m. Eastern time via conference call. Lunch and wifi will be available for reporters attending in-person. Farmers, wheat breeders from three states, and miller and baker representatives will be on hand at the event. The fly-in is an annual event organized by NAWG and the National Wheat Improvement Committee (NWIC), an organization of wheat researchers and stakeholders, in partnership with the North American Millers’ Association and the American Bakers Association. To RSVP, email Melissa George Kessler at mkessler (at) wheatworld.org.

NAWG CEO Application Materials Due on Sunday

Applications for the position of NAWG chief executive officer and National Wheat Foundation executive director are due Sunday. The organization is seeking a new staff lead following the February departure of CEO Dana Peterson. Interested individuals should send a resume, cover letter and salary history to the search committee via president (at) wheatgrowers.org.

Extra Credit: Wheat Planted in First Lady Michelle Obama’s Kitchen Garden

First Lady Michelle Obama and volunteers did some spring planting Thursday in the White House garden, putting in stands of both “bread wheat” and club wheat, according to the blog Obama Foodorama. There’s no word yet on specific variety, how the crop will be managed or what is planned for the grain post-harvest. However, pictures of the planting are available on the Twitter feeds of ag reporters Jerry Hagstrom, www.twitter.com/hagstromreport, and Sara Wyant, www.twitter.com/agripulse.

Spring has not quite sprung in Washington, with a late-season snow fall here on Monday. We hope this quick update finds you with good weather for the week. Please join us between updates online at www.facebook.com/wheatworld and www.twitter.com/wheatworld.

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Congress on Two-Week Spring Recess

Members of Congress are in their districts this week and next for a spring recess over the Passover and Easter holidays. The Senate is scheduled to be back in session on April 8, with the House back on April 9. NAWG encourages farmer-leaders to meet with their Members of Congress during recess to discuss priorities including the ongoing farm bill process.

Both Chambers Pass FY2014 Budget Resolutions; Obama Proposal Delayed

Both chambers of Congress passed budget resolutions before leaving town, with the Senate approving its first budget in four years early Saturday morning on a 50-49 vote. The House plan was passed 221-207 earlier in the week. As the vote totals indicate, both measures were largely partisan documents, though their passage is a step toward regular order for the Congressional budgeting and appropriations processes and a sign of some willingness to compromise on overall federal spending. Word came Thursday that the Obama Administration is planning to send its budget proposal to Capitol Hill on April 10. Typically, the president’s proposal goes to the Hill in early February, but this year’s product has been delayed in part because of uncertainty about sequestration cuts.

Study Shows Renewable Fuels Credits Not a Factor in Higher Gas Prices

According to a new analysis conducted by Informa Economics, the renewable fuel standard (RFS) and its renewable identification number (RIN) credits have not been a factor in higher retail gasoline prices this spring. The report concluded that the RFS and RINs, in particular, have not been a “demonstrable factor in the rise in retail gasoline prices that has occurred in early 2013.” The renewable fuels standard, which NAWG supports, has come under increasing criticism, largely from the oil and gas industry. The Informa Economics analysis concluded that ethanol-blended gasoline is saving consumers an average of 4 cents per gallon based on straight blending economics. The full study is online at http://ethanolrfa.org/page/-/PDFs/RIN%20Price%20Impact%20Whitepaper%203-25-13.pdf?nocdn=1.

Enforcement of Spill Prevention, Control and Countermeasure (SPCC) Rules Delayed

The recently-enacted continuing resolution contained language delaying enforcement of the Spill Prevention, Control and Countermeasure (SPCC) rules for agriculture for 180 days. As stated in the legislation, “No funds made available under this Act shall be used for a 180 day period beginning on the date of enactment of this Act to enforce with respect to any…the Spill, Prevention Control and Countermeasures rule, including amendments to that rule, promulgated by the Environmental Protection Agency under part 112 of Title 40 of the Code of Federal Regulations.”

Under the SPCC rule, farmers need spill prevention plans if an oil spill from their farms could reach a water of the United States and if they store oil (such as diesel, gasoline, hydraulic oil, lube oil, crop oil or vegetable oil) in aboveground quantities of more than 1,320 gallons or completely buried tanks of more than 42,000 gallons. More about ag-related SPCC requirements is at http://www.epa.gov/osweroe1/content/spcc/spcc_ag.htm.

Ag Groups Write to Support Japan’s Participation in TPP

More than 70 food and ag groups wrote President Barack Obama this week urging a warm welcome to Japan in the Trans-Pacific Partnership (TPP) trade negotiations. The country announced its intention to join the talks earlier this month, winning widespread support in the U.S., particularly the agriculture sector. “The addition of Japan to the negotiations will exponentially increase the importance of the TPP to U.S. farmers and ranchers, processors and exporters as well as other sectors of the U.S. economy,” the letter’s signatories said. Japan is the world’s third largest economy and the United States’ fourth largest ag export market. Japan is also often the biggest buyer of U.S. wheat in the world. The U.S. wheat industry strongly supports a successful TPP agreement. The full letter sent this week is at http://www.wheatworld.org/wp-content/uploads/trade-ag-japan-tpp-letter-20130326.pdf.

More Leadership Moves Announced for USDA Agencies

Leadership changes continue at USDA as the Obama Administration eases into its second term. USDA Undersecretary for Rural Development Dallas Tonsager announced Wednesday he will leave the Department in early May. USDA Deputy Secretary Kathleen Merrigan also recently announced she will be leaving in early May. Appointments announced this week include Cheryl Cook as USDA’s chief information officer; Johnie Jones as deputy chief of staff for rural development; Mike Schmidt as deputy administrator for farm programs at USDA’s Farm Service Agency (FSA); and Susan Keith as a deputy administrator within the Grain Inspection, Packers and Stockyards Administration (GIPSA).

Earlier this month, USDA announced appointments of two deputy chiefs of staff, Anne MacMillan and Oscar Gonzales, Jr. MacMillan will handle external affairs and policy while Gonzales will handle operational issues. They will replace Carole Jett, the current deputy chief of staff, who is leaving the Department early next month after 37 years in public service.

Extra Credit: USW’s Report on Wheat Conditions from Around the Country

U.S. Wheat Associates, the industry’s market development organization and a NAWG sister association, recently asked its state wheat commission members to share some information about local crop conditions. Conditions in Eastern soft red winter (SRW) states and the desert Southwest looked good, while much of the Southern and Central Plains continues to suffer from drought conditions. Farmers in Northern states are looking toward the beginning of spring for planting or for wheat to begin breaking dormancy. The full report is available in USW’s Wheat Letter from March 21, 2013, online at http://www.uswheat.org/newsEvents/wheatLetter/doc/A80D4BD529875F6F85257B35006C1267?OpenDocument.

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.

Listen to NAWG Environment and Renewable Resources Committee Vice Chairman Dayton Christensen discuss his committee’s meeting at the 2013 Commodity Classic, held Feb. 27, 2013, in Orlando, Fla.

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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Listen to NAWG Operations and Planning Committee Chairman Wayne Hurst discuss his committee’s meeting at the 2013 Commodity Classic, held Feb. 27, 2013, in Orlando, Fla.

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.

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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Listen to NAWG Domestic and Trade Policy Committee Chairman Brad Thykeson discuss his committee’s meeting at the 2013 Commodity Classic, held Feb. 27, 2013, in Orlando, Fla.

Listen to NAWG Research and Technology Committee Chairman Ben Barstow discuss his committee’s meeting at the 2013 Commodity Classic, held Feb. 27, 2013, in Orlando, Fla.

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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A brief conversation with NAWG President Erik Younggren of Hallock, Minn., ahead of the 2013 Commodity Classic.

(Note: this audio is very soft – we are fixing the problem for future recordings!)

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.).

Listen to NAWG Research and Technology Committee Chairman Ben Barstow discuss his committee’s meeting at the 2013 Wheat Industry Winter Conference, held Jan. 28, 2013, in Washington, D.C.

Listen to NAWG Environment and Renewable Resources Committee Chairman Brian Eggebrecht discuss his committee’s meeting at the 2013 Wheat Industry Winter Conference, held Jan. 28, 2013, in Washington, D.C.

Listen to NAWG/U.S. Wheat Associates Joint International Trade Policy Committee Chairman Randy Suess discuss his committee’s meeting at the 2013 Wheat Industry Winter Conference, held Jan. 28, 2013, in Washington, D.C.

Listen to NAWG/U.S. Wheat Associates Joint Biotechnology Committee Chairman Chris Tallman discuss his committee’s meeting at the 2013 Wheat Industry Winter Conference, held Jan. 27, 2013, in Washington, D.C.

(Note: the audio is very soft on this particular recording – apologies for any problems that causes in listening or reproduction!)

Listen to NAWG Domestic and Trade Policy Committee Chairman Brad Thykeson discuss his committee’s meeting at the 2013 Wheat Industry Winter Conference, held Jan. 27, 2013, in Washington, D.C.

Listen to NAWG Operations and Planning Committee Vice Chairman Paul Penner discuss his committee’s meeting at the 2013 Wheat Industry Winter Conference, held Jan. 27, 2013, in Washington, D.C.

(Note: the audio is very soft on this particular recording – apologies for any problems that causes in listening or reproduction!)

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.

NAWG President Erik Younggren, a farmer in northern Minnesota, visited Washington, D.C., Dec. 4, 5 and 6, 2012, to participate in meetings on Capitol Hill about the down-to-the-wire farm bill negotiations. Here, he talks about what he learned and why passing a new, long-term bill is so important.

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.

Listen to NAWG Domestic and Trade Policy Committee Chairman Brad Thykeson discuss his committee’s meeting at the 2012 Fall Wheat Conference, held Oct. 25, 2012, in Houston, Texas.

Listen to NAWG Research and Technology Committee Chairman Ben Barstow discuss his committee’s meeting at the 2012 Fall Wheat Conference, held Oct. 25, 2012, in Houston, Texas.

Listen to NAWG Environment and Renewable Resources Committee Chairman Brian Eggebrecht discuss his committee’s meeting at the 2012 Fall Wheat Conference, held Oct. 26, 2012, in Houston, Texas.

Listen to NAWG Operations and Planning Committee Chairman Wayne Hurst discuss his committee’s meeting at the 2012 Fall Wheat Conference, held Oct. 25, 2012, in Houston, Texas.

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.

Listen to NAWG/U.S. Wheat Associates Joint Biotechnology Committee Chairman Chris Tallman discuss his committee’s meeting at the 2012 Fall Wheat Conference, held Oct. 25, 2012, in Houston, Texas.

Listen to NAWG/U.S. Wheat Associates Joint International Trade Policy Committee Chairman Randy Suess discuss his committee’s meeting at the 2012 Fall Wheat Conference, held Oct. 26, 2012, in Houston, Texas.

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.

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

The 400-strong rally is supported by more than 90 groups and included speeches from NAWG First Vice President Bing Von Bergen, who farms wheat and barley in Montana, as well as representatives of the Alliance to End Hunger, the American Farm Bureau Federation, American Farmland Trust, National Association of Conservation Districts, 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.

Several Members of Congress joined the crowd, with remarks delivered by Senate Agriculture Committee Chairwoman Debbie Stabenow (D-Mich); Sen. Jerry Moran (R-Kan.); House Agriculture Committee Ranking Member Collin Peterson (D-Minn.); and Rep. Kristi Noem (R-S.D.).

The rally is part of the larger Farm Bill Now effort launched in August at www.farmbillnow.com. The call to action now has nearly 90 signatory groups, with an additional 1350 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 came in for the rally.

“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 a NAWG director. “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.

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Contact: Melissa George Kessler, Director of Communications, mkessler (at) wheatworld.org, 202-386-2585

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.

National Wheat Foundation

Learn about the programs and projects of NAWG’s affiliated Foundation

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.